Comparing Chinese Leadership and Zimbabwean Leadership Styles

CHAPTER 1: INTRODUCTION

There is a multitude of problems the effect the effective and efficient running of an organization by virtue of it being an organization. As long a history as organizations have, so too is the history of organizational problems.  Whilst some problems may be external in nature these are beyond the Organization’s control and, internal factors may play the most significant role in the efficiency and effectiveness of the Organization itself. No issue affects the smooth running of an organization more than leadership styles utilized in the organization. Leadership is a topic that has been studied extensively and its study can be dated as far back as Plato, Sun Tzu, and Machiavelli. Today, leadership is still a topic that has not yet been fully exhausted. The chief questions that researchers have strived to answer are; what makes a leader a leader and what does a leader do?  Researchers have found that there are numerous types of leadership styles and have attempted to formulate theories to explain this leadership style.

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A Chinese Zimbabwean Joint Venture Company is a unique situation where due to a number of factors which will be discussed later, the prevailing leadership style normally utilized in a wholly owned Zimbabwean company cannot be applied and where the Chinese Leadership style is also unsuitable. It is important to note that leadership styles may also vary as a result of the context (Ivancevich, Konopaske, & Matteson, 2013). This context may clash with or complement the leader’s style, efforts, and personality. Given the little literature found on the context under which most leadership styles occur we found it important to discuss the leadership context specific to the Zimbabwean situation.  This paper seeks to look at what leadership style emerges in such a situation as well as the actual context under which these styles occur.

Firstly, we will take a look at the background of the study.

1. BACKGROUND

China is located in Asia and it the largest country in the world. In 2016, China had a population of 1.38 billion people making it the most populated country in the world (Statista, 2016). Zimbabwe is a landlocked country located in Southern Africa. The current population of Zimbabwe is estimated to be 16.5 million (World Population Review, 2018). Formerly known as Southern Rhodesia, Zimbabwe was colonized by the British and Zimbabwe remained a British colony for almost a century, attained independence in 1980 (The Stockton Post Colonial Studies Project, 2018). Today, as a result of colonization, the legal, political and economic structures in Zimbabwe today are based on British systems and so too are the business management practices (Cultural Atlas, 2018).

On the other hand China has a long, complex history, which is difficult to summarize the society without generalizing the culture (Tian, 2007). China was secluded and conservative country until 1978 when the nation began to embrace international involvement and openness which heralded the beginning of Chinese Economic Reform (Chinese Culture, 2018). The guiding philosophy in China is Confucianism that emphasizes the importance of healthy human interactions and this may explain why China is a highly collectivist society (Tian, 2007).  Chinese society therefore readily accepts inequality because it maintains harmonious, stable relations between individuals. Confucianism promotes the idea that relationships between people are unequal and that everyone should have defined hierarchical roles thus there is a strong emphasis on inter-dependence and harmony. The Confucianism principle of ‘Li’ condenses social cohesiveness’ and the Chinese sense of duty (Chinese Culture, 2018). Chinese culture has undergone a huge intense transformation over the past 50 years and continues to adapt rapidly in the modern age.

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China and Zimbabwe have a history of relations dating as far back as the Munhumutapa Kingdom. According to Manyeruke and Mhandara, the relationship between China and Zimbabwe dates back to the Ming and Qing dynasty when the Chinese made contact with the Munhumutapa Empire to establish relations based on trade and cultural exchange (Manyeruke & Mhandara, 2011). Modern interactions between Zimbabwe and China begin with China’s support of the Zimbabwe African National Union (ZANU) during the liberation of Zimbabwe in the early 1960s and this forms the foundation for the interaction between the current Zimbabwe Government and China (Chun, 2014)pg5.

Between 1980-2000, the relations between Zimbabwe and China grew through joint projects, visits, and loans; in turn, Zimbabwe supported China’s right to stabilize its own domestic situation during the 1989 Beijing political turmoil (Chun, 2014)pg7. Corporation between the countries during this period did not amount to the greater economic corporation because Zimbabwe related more to the west and capitalism than communism (Chun, 2014)pg7. This position shifted significantly and tires between Zimbabwe and China strengthened due to the imposition of sanctions by the United States, the European Union (EU), the United Kingdom and other member states of NATO as a result of the land acquisition policy of the Zimbabwe government in 1997. In this period it was reported that trade increased from $56.35 million in 1997 to $125.45 million in 2000 (R.G, 2012).

In the years after 2000, Zimbabwe lost the favor of the international community due to its land reform program and as a result, Zimbabwe adopted its ‘Look East Policy’. Between the ‘Look East and the Forum on China–Africa Co-operation (FOCAC) platform, China and Zimbabwe were able to consolidate their relations especially commercially and this saw China providing credit facilities and loans to the Zimbabwean government, as well as supported the Zimbabwean project through investment projects in different sectors of the Zimbabwean economy (Chun, 2014)pg8. China also played an invaluable role by casting a veto in the UN Security Council (UNSC) along with Russia effectively preventing the imposition of more travel bans and financial restrictions on ZANU-PF’s top officials.

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China- Zimbabwean relations are characterized mainly by the three pillars of strategic and diplomatic relations; economic relations; and social and cultural relations (Chun, 2014). For this paper, we will focus mainly on the economic relations between the two countries.  Bilateral trade between China and Zimbabwe has seen an increase from $52.2 million in 1996  to  $275.25  million in 2006, with a peak of $874.37 million in 2011 (Chun, 2014) mainly attributed to China’s appetite for Zimbabwe’s mineral resources and raw materials. Trade relations have been strengthened through high-level visits by government officials, sharing experiences in different sectors and by the signing of an economic and technical agreement in February 2014 such that China is one of Zimbabwe’s largest trading partner (Chun, 2014). Zimbabwe primarily exports by cash crops (tobacco, cotton) and minerals (nickel and ferroalloys) to China with tobacco being the main export product. Zimbabwe imports manufactured goods (including clothing, textiles, and footwear), vehicles (cars, buses, tractors and aircraft), electrical machinery and other equipment although there have been concerns about the low quality of some goods and the negative impact of such goods on the local industry (Chun, 2014).

In terms of investment Chinese investments in Zimbabwe significantly increased due to the ‘Look East’ Policy as well as the growing number of Chinese citizens in the country. Chinese investment in Zimbabwe rose by more than 5 000% from 2009 to 2013 and with investment largely focused on mining, agriculture, and manufacturing, annual FDI from China increased from $11.2 million in 2009 to $602 million in 2013. From 1994 to 2003, there were only  three Chinese companies that had actively invested in Zimbabwe namely China Building Material Industrial Corporation for Foreign Econo-Technical Co-operation invested $5.844 million (65% of shares) in the Sino-Zimbabwe Cement  Company,  Zimna  Tractor  Assembly  Factory  invested  4.8  million  (58% of shares) in Dwala Enterprises (PVT) Ltd, and Hongda Intertexture Factory which invested $810,000 (50% of shares) in a private company named Super Garments (Chun, 2014). Since then the number has increased to 62 companies in May 2014 (Chun, 2014). However, due to recent Political turmoil in Zimbabwe, some of these companies such as Sino-nonferrous have moved to neighboring countries such as Zambia.

2. SIGNIFICANCE OF STUDY

It is clear from the above that China and Zimbabwe have a long history of cooperation and mutual support but also have very different historical backgrounds. It is also important to note the significance of historical influences on current business practices. Leadership is also a study that is not restricted solely to the business arena. This study is significant in that it will help foster a better understanding of leadership styles within Chinese Joint Ventures which will as assist in increase efficiency and reduce conflict as a result of managers having different backgrounds. This will also help foster relations both within companied as well as within international relations between Zimbabwe and China.  .

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3. STUCTURE OF STUDY

We will now take a look the popular leadership style theories that have developed over time , the leadership styles found in joint ventures. This study will also look at Chinese leadership and Zimbabwean leadership styles.  Lastly, we will discuss the methodology, data analysis and findings.

CHAPTER 2: THEORATICAL FOUNDATIONS AND LITERATURE REVIEW

There are numerous different leadership styles some of which are considered ideal leadership styles. However, it must be emphasized that leadership style which is perceived as ideal in on situation may not be so in another.  Leadership context which may include cultural differences, language and communication barriers, trust, business practices is an important consideration when a leader chooses a style to lead with.

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1. THEORETICAL FOUNDATIONS

In order to form a better understanding of what leadership entails we will take a closer look at the theories that have been proposed to explain the various leadership styles. Firstly it is important to define what a leader is. Collins English dictionary (Collins: English Dictionary , 2018) defines a leader as

 “a person who rules, guides, or inspires others; head”.

A leader, therefore, is a person who delegates or influences others to achieve a certain goal (Nanjundeswaraswamy & Swamy, 2014). A leadership style is defined as being the process in which the leader seeks the voluntary participation of subordinates in an effort to reach organization goals (Omolayo, 2007). This may also be defined by the manner in which managers exercise their authority in the workplace including how managers relate to colleagues and team members. This also relates to how managers plan and organize responsibility for the achievement of the objectives. (Mircea T., 2008)

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Today organizations require effective leaders to understand the challenges of a global environment. Therefore there is a huge amount of research on leadership styles all concentrated on the effect and the effectiveness of various leadership styles.  We are also compelled to make a distinction between management and leadership.

According to Henry Mintzberg, whilst the distinction between Management and leadership styles exists it is not easily discernable in the day to day running of a business and as a result, the term leadership style has become common in recent years and has more or less replaced the term management styles (Mintzberg, 2009).  In the 20th Century, management style was predominantly thought to be how managers used their authority to get work done and successfully meet objectives (Chartered Management Institute, 2015). There has been a shift from the command and control style prevalent in the 1980s to today’s management styles which emphasize managers relate to the people who report to them (Chartered Management Institute, 2015). In addition to this, the management style should be informed by the culture of the organization, the nature of the tasks to be completed and the characteristics and expectations of their team members (Chartered Management Institute, 2015) (Chun, 2014).

Consequently, this paper will not seek to define management as opposed to leadership style but will briefly discuss the most well-known theories and approaches that have been brought forward to explain various types of leadership styles as well as the leadership context unique to Chinese- Zimbabwean Joint Venture Companies.

Approaches to Leadership style are divided into three dimensions namely trait, behavioral and the situational approach which will be briefly discussed below. After we look at traditional leadership styles we will turn to the leadership styles in Joint Ventures and leadership styles of Chinese and Zimbabwean leaders.

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1.      TRAIT LEADERSHIP STYLES

The theories of leadership have been evolving for centuries and leadership was once thought to be a condition of birth. One of the earliest leadership theories was the Great Man theory brought forward by Thomas Carlyle in 1847 which stated that leaders were born and only those man endowed with heroic potential could become leaders (Dobbins & Platz, (1986). After this theory was found to be fundamentally flawed, the Trait Theory emerged which presupposed that leaders had certain physical and personality traits which differentiated them from non-leaders (Ivancevich, Konopaske, & Matteson, 2013). Jenkins identified two traits as the cornerstones of leadership namely emergent traits which were reliant on heredity (e.g. as intelligence and height) and self-confidence and effectiveness traits (e.g. charisma) which were based on learning and/or experience (Ekvall & Arvonen,1991). Studies made on the trait theory by a number of scholars proved inconclusive and contradictory however Kirkpatrick and Locke did find some evidence that leaders were different from other people and that whilst leaders did not need to great intellects to succeed they needed the right traits in order to be successful (Ivancevich, Konopaske, & Matteson, 2013).

2.      BEHAVIORAL LEADERSHIP STYLES

In the 1940s, researchers made the shift from the trait theory to examine leadership behavior and its effect on the satisfaction and satisfaction of subordinates (Ivancevich, Konopaske, & Matteson, 2013). The manner in which a leader chose to achieve a certain objective is a reflection of the leader’s leadership style and its effectiveness depended on the manager’s personal traits, and the use of different management styles (Mircea T., 2008).  It is important to note that different theorists determined that different aspects of a leader’s behavior determined their style. For example Lewin’s original leadership styles focused on how a leader made decisions similarly Likert’s leadership styles focused on decision-making and involvement of subordinates, in contrast the Managerial grid categorized leaders by the extent to which they showed concern for people or task completion. These styles are discussed in more detail below.

Original Leadership styles

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Kurt Lewin is credited for the three different styles of leadership, all centered around decision-making  (Gill, 2018). The three leadership styles were laissez-faire or permissive leadership, democratic style and authoritarian style.

The permissive (“laisser-faire”) style ischaracterized by the avoidance of involvement in group organizing and leading. The activity efficiency is not dependent on the presence of the manager. In this style, the manager is low spirited and does not support the group in fulfilling the tasks (Mircea T., 2008). The laisser-faire style is characterized by a lack of interest for a promotion up the company hierarchy (Mircea T., 2008). These managers have a realistic image of themselves and are able to balance positive and negative traits in their personality and treat subordinates as equals (Mircea T., 2008).

The democratic style is characteristic of managers who allow their subordinates to participate in leadership. This style reduces tension and conflict whilst increasing staff involvement and the reduced control attitude may foster innovative work (Mircea T., 2008). The manager’s presence or absence affects the group’s efficiency as the manager supports the group and is high spirited in contrast to permissive style (Mircea T., 2008).

The authoritarian style or autocratic style is typically characteristic of the managers who refuse their subordinates involvement in leadership. These managers make their own decisions on setting objectives and they focus on task supervision and this reduces professional improvement for their subordinates (Mircea T., 2008). The limitation of employee involvement in decision making consequently results in professional alienation where the subordinates will have a reduced sense of responsibility, participation, and creativity. In addition to this excessive supervision of subordinated will result in confusion when the manager is not present (Mircea T., 2008).

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Managerial Grid Model

The Managerial Grid Model also known as the Leadership Grid was developed by R. R. Blake and J. S. Mouton to help managers analyze their own leadership styles. This model was considered one of the most influential management models in the 1960’s, and it provides the basis for the more complex contingency approaches to leadership (iEduNote, 2017). The Model was based on two behavioral dimensions namely:

1. Concern for people which was the extent to which a leader considers the needs, interests, and areas of personal development of their subordinates when deciding the best manner to accomplish a task. In the grid, the concern for people was located on the vertical axis and the concern for production was located on the horizontal axis as shown below (iEduNote, 2017).
2. Concern for production: This concern for production had to do with the extent to which a leader emphasizes concrete objectives, organizational efficiency, and high productivity when deciding how best to accomplish a task (iEduNote, 2017) and less to do with  task assignment and group creation.

The Managerial Grid Model provided that a manager’s concern for his employees and his concern for production can be assessed on a scale of 1-9. Level 1 denoted the lowest level of concern whilst Level 9 denotes the highest level of concern (iEduNote, 2017).