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https://doi.org/10.22214/ijraset.2021.38027

September 2021

Globalization and the Impact of Culture on Leadership and Management in Nigeria Joel Bulus Haruna Pan Africa Christian University, Nairobi, Kenya Abstract: This study is set out to investigate the “Globalization and the impact of culture on leadership and management in Nigeria”. Relevant data were drawn from selected staff and managers from selected organizations in Lagos, using a wellstructured questionnaire. The result of the findings revealed that, there is a significant impact of globalization on management practices of organizations in Nigeria. There is also a significant relationship between leadership and management practices and significant impact of culture on management practices in Nigeria. It is recommended that Nigerian institutions need to be aware of global best practice and culture if they are to be successful in going global. I. INTRODUCTION Due to global integration, the internationalization of economic linkages between nations, and the internationalization of market, trade, finance, technology, labor, communication, transportation, and economic institutions, globalization and culture have arisen as a powerful force (Kasmi, 2014). Globalization highlights the world's economies' rising interdependence and integration, as well as the global nature of production, trading, and investment activities (Alli, 2017). Foreign trade liberalization kicks off the global integration process (Pearce, 2016). Globalization and culture in leadership and management can be defined as a process by which leaders in organizations create value by leveraging their resources and competencies across boundaries, which includes cross-border manufacturing and marketing strategies coordination. Globalization has been boosted by pressures from developing markets, converging markets, technological advancements, customer demands, product sourcing possibilities, and resource availability (Stegar, 2013). Globalization has resulted in the growth and dominance of internationally marketed global brands (Agbonifoh & Inegbenebor, 2015). management has become a key problem not just for business firms and organizational leaders, but also for governments and other institutions, as globalization is putting an incredible amount of power in the hands of giant corporations. (Boddewyn et al, 2014). Through global integration and migrations, these firms have a tendency to transfer their management culture to other locations. To succeed, global teams require a synergistic collective team separated by location, time, leadership, and culture. Agbonifoh & Inegbenebor (2015), organizational leaders must deal with more severe local and global competition, which disadvantages enterprises in disadvantaged countries. Globalization can have a two-way impact on leadership and management practices: through multinational organizations' operations and foreign direct investment into local or host markets, or from indigenous firms' participation in global industries. Agbonifoh &Inegbenebor (2015) reflect that, as a result of globalization and culture, businesses must reach and maintain higher standards in terms of product and service quality, customer service, and managerial practices. Operating on a global scale allows businesses to develop skills that provide them a competitive advantage over domestic competitors. These competitive benefits may stem from exposure to a wide range of market resources and regulatory regimes that a local or less exposed firm may be missing out on (Meyer 2018). Quickmba, (2010) In order to develop a successful global strategy, executives must first grasp the nature of global industries and the dynamics of worldwide competition, according to the report. The cultural diversity of the various marketplaces is not overlooked. Globalization can bring to more cultural diversity in management and leadership styles, which, if properly exploited, can add to a competitive advantage (Cunningham et al 2018). It can also have a significant impact on the contextual growth of multinational firms, as well as on corporate values, attitudes, and individual identity, which certain cultures would prefer to preserve (Giddens, 2010). This, in turn, has ramifications for globalization's cross-cultural challenges. Despite widespread globalization Hill, (2015) there are still many significant and long-lasting differences between countries, according to the report. Managing employees in the United States may necessitate a different set of skills than managing employees in Japan, where long-term employment and consensus decision-making are commonplace (Welherich et al 2018). According to Welherich et al (2018), keeping a tight relationship with a particular level of government is crucial in the Republic of China but irrelevant in Germany, since the legislation allows for codetermination.

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International Journal for Research in Applied Science & Engineering Technology (IJRASET) ISSN: 2321-9653; IC Value: 45.98; SJ Impact Factor: 7.429 Volume 9 Issue IX Sep 2021- Available at www.ijraset.com As a global firm, according to Cateora & Graham (2015), due to differing legal, political, and cultural circumstances, it is hard to advertise a standard advertising message in different countries. According to Cateora and Graham (2015), comparative advertising is banned in Germany, although government control of commercials is prevalent in numerous nations, like Kuwait and Libya, due to state ownership of the media. According to Welherich et al. (2018), theory Z, which entails selected Japanese managerial techniques, has been adopted by several U.S. businesses. This demonstrates that globalization has been successful in transferring managerial practices and norms across countries. Globalization has resulted in more cross-cultural interaction and communications, according to Abgonifor & Inegbenebor (2015), putting more pressure on managers to develop stronger cross-cultural understanding and sensibility. A. Objectives Of The Study The main purpose of this study is to examine globalization and the impact of culture on leadership and management in Nigeria. The specific objectives are; 1) To examine the impact of globalization on management practices of organizations in Nigeria 2) To examine the relationship between leadership and management practices 3) To the examine the impact of culture on management practices in Nigeria B. 1) 2) 3)

Research Questions What is the impact of globalization on management practices of organizations in Nigeria? What is the relationship between leadership and management practices? What is the impact of culture on management practices in Nigeria?

II. LITERATURE REVIEW A. Conceptual Review 1) Concept Of Organizational Culture: Osifo & Osifo (2011) define corporate culture as a system of shared values that guides activities and behaviors in private enterprises. Through two major reasons, organizations have a natural inclination to generate homogeneity, in the sense of shared views and values. On the one hand, people like to work with people who share their convictions, thus others will make "the right" judgments when hiring people who share their values. People in the same company, on the other hand, exchange experiences, which leads to more shared beliefs. Because members are taught the proper way to perceive, think, and feel in response to those challenges, culture has aided in the resolution of problems of external adaptation and interior integration (Park et al 2014). Age, size, previous mergers and acquisitions, socialization process/experiences, managerial style, and the screening process available for recruitment and advancement are all factors that influence cooperative culture strength. 2) Concept Of Cultural Globalization: Globalization has paved the way for more cultural dispersion (Kazmi, 2014). Cultural globalization is linked to the dispute over whether management techniques are "culture-free" or "culture-specific," which refers to the extent to which locales retain control over management practices or are overruled by transferable practices. There are two primary models to choose from. Organizational differences are established in the idiosyncratic national and institutional systems that surround enterprises, according to one hypothesis (Hofstede, 2012). Culture can function as a "informal restriction" on institutions, influencing decision-making, managers' judgments, and knowledge management, making management models harder to transfer (Cunningham, et al, 2018). The second model highlights that companies may lose their national traits over time (Pauly& Reich, 2010), resulting in the many pressures and vectors of cultural globalization eradicating the distinctiveness of individual national cultures and creating a culturally homogenized globe.As a result, management methods will become standard in all countries. 3) Implication Of Culture And Globalization For Leadership And Management In Nigeria: In Nigeria, the Impact of Culture and Globalization on Management Culture refers to a group's common values, beliefs, and preferences for appropriate behavior. According to Osifo & Osifo (2011), knowing a company's corporate culture can help managers with joint ventures, mergers, and hiring and promoting the proper people. Non-economic factors like as internal cohesion and company perception can also influence employment of staff in the event of succession, policy and market response, and increased profitability and growth. Some say that advertising messages are driving the world to become more homogeneous by helping to break down distinguishing cultural boundaries and traditional values (Robbs, 2018). Most of these marketing and cultural influences have

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International Journal for Research in Applied Science & Engineering Technology (IJRASET) ISSN: 2321-9653; IC Value: 45.98; SJ Impact Factor: 7.429 Volume 9 Issue IX Sep 2021- Available at www.ijraset.com become commonplace in Nigeria, influencing how people dress, speak, and act in general. Various global corporations operating in Nigeria, as well as a slew of Nigerians relocating to the country from all over the world who have studied and/or worked under various systems, have all influenced management style. This is rapidly transforming Nigeria's management landscape into a more westernized pattern. Managers must now, more than ever, be aware of global developments and trends in management, business, the global economy, and politics (Agbonifoh & Inegbenebor, 2015). Nigerian business leaders stand to benefit much from becoming global management experts. According to Prest (2015), global trends indicate best practice in cutting-edge organizations. It is thought that a strong corporate culture can help with activity coordination and tries to promote uniformity in shared opinion and value by influencing the firm through various screening and socialization processes in order to make the organization more predictable. Because of improved technology, communication, and the reduction of barriers between countries, globalization has resulted in the growth and domination of global brands that are sold internationally (Agbonifoh & Inegbenebor, 2015). Due to globalization, which has created a cultural diversity that is changing managers' ethnocentric orientation to a geocentric one, whereby the entire organization is viewed as an independent system operating in different countries, managing these global enterprises necessitates a variety of strategies both at the local and international levels. If Nigerian businesses want to succeed in going global, they must be cognizant of global best practices and culture. 4) Relationship Between Leadeship And Management: About the relationship between leadership and management, there are primarily four types of representative views. The first viewpoint holds that there is no distinction between management and leadership. Because management is leadership and leadership is management, a leader is also a manager. The second point of view is that management is a broad category, and leadership is a subset of it. The third point of view is that management is part of a bigger category of leadership. The fourth point of view is that leadership and management are two distinct disciplines. In fact, the first viewpoint fails to recognize the distinction between organizational management and its two micro functions: leadership and management. As a result, the two fundamental functions are thought to be interchangeable with their mother idea of organizational management. The second viewpoint considers management to be a broader concept. It basically means that management is the macro-level management of an organization, with leadership as one of its tasks. This viewpoint fails to distinguish between the macro-level idea of organizational management and the micro-level concept of management function. The third point of view emphasizes the importance of leadership in practice. Because the majority of operations are coordinated by the leaders, and managers are only responsible for carrying out the decisions, management is the responsibility of the leadership. Clearly, this viewpoint does not fit within the managerial framework of a business. Furthermore, this viewpoint regards the relationship between management and leadership to be the relationship between managers and leaders. The fourth point of view emphasizes the relative independence of the leadership and management functions in the discipline creation process. Discipline development and theoretical research, on the other hand, are inextricably linked to organizational management practice. In fact, both of these types of relatively separate responsibilities help the administration of the business."Some modern authority draws a distinction between leadership and management, that is, leaders and managers are given opposite functions," argues Daniel A. Wren, "but soon we shall see that this distinction will be disputed forever." In conclusion, the fundamental source of disagreements about the relationship between leadership and management is that some scholars failed to consider the underlying notion of organizational management while analyzing the relationship. As a result, leadership and management are both out of their mother idea and infinitely magnify their own ranges, resulting in a blurring and fragmentation of the relationship's understanding. The key to understanding their relationship is to distinguish between organizational management at the macro level and management as a management function at the micro level. Only by distinguishing the two styles of management can the relationship between them be clarified from a theoretical and practical standpoint. III. METHODOLOGY The research was carried out in the Nigerian state of Lagos. According to the Lagos state government, the population of the state is 21.5 million people. The primary data collection instrument in this study was a questionnaire, which was employed in a descriptive survey design. The study's participants were selected staff from selected organizations. A sample size of forty (40) selected staff and managers from selected organizations was chosen using a simple random selection procedure. Respondents were given 50 questionnaires, and 40 of them were successfully returned.

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International Journal for Research in Applied Science & Engineering Technology (IJRASET) ISSN: 2321-9653; IC Value: 45.98; SJ Impact Factor: 7.429 Volume 9 Issue IX Sep 2021- Available at www.ijraset.com IV. DATA ANALYSIS, FINDINGS AND DISCUSSION This section deals with the presentation and analysis of the result obtained through questionnaires A. Bio Data of Respondents Table 1 gender of respondents

Valid

Frequency

Percent

Valid Percent

Cumulative Percent

Male

60.0

Female

40.0

100.0

Total

100

100.0

Source: field survey, September, 2021. Table1 above shows the gender distribution of the respondents used for this study. 60 respondents which represent 60.0percent of the population are male while the remaining 40 respondents which represent 40.0 percent of the population are female. Table 2 age grade of respondents

Valid

Frequency

Percent

Valid Percent

Cumulative Percent

below 17years

15.0

18-20years

15.0

30.0

21-30years

40.0

70.0

31-40years

10.0

80.0

41-50years

10.0

90.0

above 50years

10.0

100.0

Total

100

100.0

Source: field survey, September, 2021. Table 2 above shows the age grade of the respondents used for this study. 15 respondents which represent 15.0percent of the population are below 17 years.15 respondents which represent 15.0 percent of the population are between 18-20years.40respondents which represent 40.0 percent of the population are between 2130years.10respondents which represent 10.0 percent of the population are between 31-40years.10respondents which represent 10.0 percent of the population are between 41-50years while 10respondents which represent 10.0 percent of the population are over 50years. Table 4 marital status of respondents

Valid

Frequency

Percent

Valid Percent

Cumulative Percent

Single

60.0

Married

30.0

90.0

Divorced

5.0

95.0

Widowed

5.0

100.0

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Valid

Frequency

Percent

Valid Percent

Cumulative Percent

Single

60.0

Married

30.0

90.0

Divorced

5.0

95.0

Widowed

5.0

100.0

Total

100

100.0

Source: field survey, September, 2021. Table 4 above shows the marital status of respondents used for the survey 60 respondents representing 60.0percent of the population are single.30 respondents representing 30.0 percent of the population are married.5 respondents representing 5 percent of the population are divorced while 5 respondents representing 5 percent of the population are widowed. Table1 There Is A Significant Impact Of Globalization On Management Practices Of Organizations In Nigeria

Valid

Frequency

Percent

Valid Percent

Cumulative Percent

strongly agree

50.0

Agree

25.0

75.0

Undecided

5.0

80.0

Disagree

10.0

90.0

Strongly disagree

10.0

100.0

Total

100

100.0

Source: field survey, September, 2021. Table 1 shows the responses of respondents that there is a significant impact of globalization on management practices of organizations in Nigeria. 50 respondents representing 50.0 percent strongly agree that there is a significant impact of globalization on management practices of organizations in Nigeria. 25 respondents representing 25.0 percent agree that there is a significant impact of globalization on management practices of organizations in Nigeria. 5 respondents representing 5.0 percent were undecided. 10 respondents representing 10.0 percent disagree that there is a significant impact of globalization on management practices of organizations in Nigeria 10 of the respondents representing 10.0 percent strongly disagrees that there is a significant impact of globalization on management practices of organizations in Nigeria.

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Valid

Frequency

Percent

Valid Percent

Cumulative Percent

strongly agree

40.0

Agree

50.0

90.0

Undecided

2.0

92.0

Disagree

5.0

97.0

strongly disagree

3.0

100.0

Total

100

100.0

Source: field survey, September, 2021. Table 2 shows the responses of respondents that there is a significant relationship between leadership and management practices in Nigeria. 40 respondents representing 40.0 percent strongly agree that there is a significant relationship between leadership and management practices in Nigeria. 50 respondents representing 50.0 percent agree that there is a significant relationship between leadership and management practices in Nigeria. 2 respondents representing 2 percent were undecided. 5 respondents representing 5.0 percent disagrees that there is a significant relationship between leadership and management practices in Nigeria while the remaining 3 of the respondents representing 3 percent strongly disagree that there is a significant relationship between leadership and management practices in Nigeria. Table 3 There Is A Significant Impact Of Culture On Management Practices In Nigeria

Valid

Frequency

Percent

Valid Percent

Cumulative Percent

strongly agree

50.0

Agree

30.0

80.0

Undecided

5.0

85.0

Disagree

10.0

95.0

strongly agree

5.0

100.0

Total

100

100.0

Source: field survey, September, 2021. Table 3 shows the responses of respondents that there is a significant impact of culture on management practices in Nigeria. 50 respondents representing 50.0 percent strongly agree that there is a significant impact of culture on management practices in Nigeria. 30 respondents representing 30.0 percent agree that there is a significant impact of culture on management practices in Nigeria. 5 respondents representing 5 percent were undecided. 10 respondents representing 10.0 percent disagrees that there is a significant impact of culture on management practices in Nigeria while the remaining 5 of the respondents representing 5 percent strongly disagrees that there is a significant impact of culture on management practices in Nigeria

663

International Journal for Research in Applied Science & Engineering Technology (IJRASET) ISSN: 2321-9653; IC Value: 45.98; SJ Impact Factor: 7.429 Volume 9 Issue IX Sep 2021- Available at www.ijraset.com V. SUMMARY It is believed that where there is a strong corporate culture, it could aid coordination of activity and aims to create homogeneity in the shared belief and value by influencing the firm through the various screening and socialization processes to make the firm more predictable. Globalization has led to the growth and dominance of global brands that are marketed internationally due to enhanced technology, communication and fall in barriers between countries (Agbonifoh & Inegbenebor, 2015). Managing these global enterprises requires a lot of strategies both at the local and the international levels due to globalization, that has created a cultural diversity that is changing the ethnocentric orientation of leaders and managers to a geocentric one whereby the whole organization is viewed as an independent system operating in different countries. Nigerian companies need to be aware of global best practice and culture if they are to be successful in going global. VI. CONCLUSION As a result of improved technology, communication, and the lowering of barriers between countries, globalization has resulted in the growth and domination of global brands that are sold internationally. According to the findings of the study, there is a large impact of globalization on organizational management practices in Nigeria, a significant association between leadership and management practices, and a considerable impact of culture on management practices in Nigeria. VII. RECOMMENDATION Due to globalization, which has created a cultural diversity that is changing managers' ethnocentric orientation to a geocentric one, whereby the entire organization is viewed as an independent system operating in different countries, managing these global enterprises by leaders requires a lot of leadership and management strategies both at the local and international levels. If Nigerian enterprises are to be successful in going global, they should be cognizant of global best practices and culture. REFERENCES [1] [2] [3] [4] [5] [6] [7] [8] [9] [10] [11] [12] [13] [14] [15] [16] [17] [18] [19] [20]

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