The key factors contributing to the performance of your international team (that actually help hit targets)

cultural competence

Leading a global team comes with its unique set of challenges. As a global team manager, you aren't just navigating time zones and language differences; you're juggling a complex blend of cultures, backgrounds, and expectations. These challenges often prevent your team from hitting its targets.

But here's the silver lining: When led with the right blend of cultural competency and a commitment to psychological safety, your international team can overcome these barriers and often surpass your monocultural peers in performance.

None of this will happen on its own though. Unlocking that true potential of a diverse international team starts with the team manager.

In this article, we will explore why you should add cross-cultural competency to your leadership toolbox and commit to creating psychological safety. The answer lies in the results this approach will generate.

Why are some cross-cultural teams outperforming?

Research led by Dr. Carol Kovach sheds light on what drives the effectiveness of cross-cultural and monocultural teams. For international managers like you, her findings present one overarching takeaway: effectively-led cross-cultural teams emerge as true powerhouses when led with finesse and backed by strong cross-cultural leadership skills.

But is simply hiring a diverse group of people enough to reap these benefits?

The research findings suggest that there are substantial hurdles facing such cross-cultural teams. Without effective leadership and cultural competencies, they often grapple with efficiency. The crux of the issue? Cultural misunderstandings.

The teams face challenges such as:

Misinterpretations arising from different cultural contexts
Divergent decision-making approaches leading to clashes
Varied communication styles causing disconnects

Because these teams left without effective leadership perform so poorly, the conclusion for some managers can be “not worth it”. They trust that their team can benefit from the harmony of shared cultural experiences and maintain a consistent performance level. This logic seems sound, but in practice it creates mediocre results.

A shared background, according to Dr. Kovach, does mean fewer cultural misunderstandings, but on the other hand the homogeneity of the teams means they miss out on the dynamism of diverse viewpoints.

With effective leadership, cross-cultural teams are where the magic happens. They:

Leverage the depth and breadth of varied perspectives
Approach problems with creativity, thanks to their collective diversity
Tap into the unique strengths each culture brings to the table

Crucially, leaders of such standout teams prioritise inclusivity. They champion mutual respect and are committed to fostering an environment where continuous learning thrives. These leaders ensure every team member feels valued and heard regardless of background.

Dr. Kovach's insights underline a salient point: multicultural teams with exemplary leadership aren’t just effective – they can be exceptional. As a leader, you possess the tools and potential to polish your team, transforming it from a rough diamond to a shining gem.

Cultural Competency: The Pre-Requisite to Thriving in a Global Setting

What is cultural competency?

Cultural competency isn't just a buzzword; it's the cornerstone of effective and harmonious interactions in a diverse team setting. In essence, it means understanding, communicating, engaging, and interacting effectively and respectfully across different cultures and backgrounds.

Let's break down the essential components of cultural competency:

Self-awareness and Reflection: It begins with introspection. Understanding and acknowledging your own cultural biases, beliefs, and attitudes is pivotal. This self-awareness provides a strong foundation for genuine interactions, setting the tone for understanding others.
A Receptive Attitude: Approach cultural differences with an open heart and an inquisitive mind. Embracing a stance of respect and non-judgment towards varied cultural perspectives enriches your understanding. A curious and open-minded approach is indispensable.
Educating Yourself on Cultural Norms: Knowledge truly is power. Equip yourself with insights into different groups’ cultural norms, values, and practices. Utilising structured science-based frameworks, like Hofstede's 6D model, offer a more nuanced understanding and help sidestep generalised stereotypes.
Practical Cross-Cultural Skills: Beyond theoretical knowledge, honing practical skills is crucial. Effective communication, active listening, and empathy are vital tools when interacting with members from varied backgrounds. These skills and tools bridge gaps and cultivate mutual respect.
Commitment to Continuous Growth: The journey towards cultural competency isn't a one-time endeavour. It's an ongoing process rooted in humility. Acknowledging that cultural nuances deeply influence our behaviours and thoughts and understanding that even with the best intentions, missteps can happen underlines the importance of continuous learning and self-reflection.

For global team leaders like you, cultural competency isn't just desirable; it's paramount.

It acts as the linchpin, fostering understanding and collaboration within your team. When effectively harnessed, it propels your team forward, enabling them to deliver exceptional solutions and services, truly reflecting their collective potential.

The Role of Psychological Safety in Global Teams

While cultural competency lays the foundation for understanding within a diverse team, psychological safety is the catalyst that enables each member to operate at their full potential, free from inhibitions.

What is Psychological Safety?

At its core, psychological safety is the assurance that one can communicate ideas, ask questions, raise concerns, or admit mistakes without fearing retribution or ridicule. In a team setting, it means fostering an environment where team members feel confident to share their insights without fearing negative consequences.

Why is Psychological Safety Crucial for you and your team?

Research consistently emphasises the benefits of cultivating psychological safety:

It nurtures open channels of communication.
It paves the way for innovative thinking by reducing fear associated with risk-taking.
It strengthens trust and collaboration within teams.
It boosts employee morale and engagement.
Ultimately, it leads to enhanced team outcomes and organisational success.

The Cultural Dynamics of Psychological Safety:

As a global team leader, it's essential to recognise the cultural nuances influencing perceptions of psychological safety. While the concept may resonate effortlessly with members from individualistic, egalitarian societies comfortable with ambiguity, it might align differently with team members from collectivistic, hierarchical cultures prioritising stability.

For instance, in cultures that prioritise group harmony over individual expression, speaking up or challenging the status quo might be seen less as a contribution and more as a disruption. Similarly, challenging someone higher up the chain in hierarchical cultures might be considered disrespectful.

So, how do you, as a leader, navigate these intricate dynamics?

Adapt and Personalize: Understand the cultural backgrounds of your team members and tailor your approach. Encourage participation in culturally sensitive ways.
Educate and Inform: Foster a mutual understanding by sharing insights about psychological safety and its benefits. Recognise that it might be a novel concept for some and offer resources for deeper learning.
Lead by Example: Display behaviours that promote psychological safety. This includes asking and being receptive to feedback from the team, acknowledging your own errors, and valuing contributions from every team member.’

In essence, psychological safety, when interwoven with cultural competency, can unlock the collective brilliance of your global team. To delve deeper into understanding the potential of your team over the potential of a few brilliant individuals, explore our article on high-performance culture.

Unlocking the True Potential: The Impact of Mastering Cultural Competency and Psychological Safety

When you, as a global team leader, effectively harness the principles of cultural competency and psychological safety, the effects ripple through every aspect of your team's dynamics, productivity, and overall performance. Here's what happens when you get it right:

Enhanced Collaboration and Communication: Barriers come down. Team members no longer hold back; instead, they engage proactively, share feedback, and collaboratively brainstorm. The quality of conversations elevates, promoting an exchange of ideas that can be game-changing.
Increased Innovation: With psychological safety in place, team members become more willing to take calculated risks, propose unconventional solutions, and think outside the box. This atmosphere of trust can lead to breakthrough ideas and foster a culture of continuous improvement.
Boosted Morale and Engagement: Team members feel valued and understood. They believe their contributions matter. This sense of belonging not only boosts morale but also increases engagement, leading to higher retention rates and greater commitment.
Reduced Conflict: With enhanced cultural understanding, many potential misunderstandings can be preempted. Issues are resolved constructively, ensuring minor hiccups don't escalate into major disputes.
Optimised Decision Making: The collective intelligence of a diverse team, when channelled effectively, leads to well-rounded decisions. By leveraging the varied experiences and viewpoints of team members, decisions tend to be more informed and holistic.
Improved Organizational Outcomes: Teams that are high in both cultural competency and psychological safety tend to outperform others. This means not just better team outcomes but also superior results on an organisational level, from increased profitability to enhanced reputation of both you and your team.
Global Future-Proofing: In an increasingly globalised world, having a team that's adept in cross-cultural interactions positions your organisation for future success. You become better equipped to enter new markets, collaborate with international partners, and appeal to a global customer base.
Personal Growth for Team Members: Beyond organisational benefits, individuals within your team grow both professionally and personally. They develop greater empathy, broaden their perspectives, and become more adaptable – skills that are invaluable in any context.
Strengthened Brand Reputation: Companies known for their inclusive culture and effective leadership attract top talent worldwide. Such positive internal dynamics often translate to external perceptions, enhancing your organisation’s reputation as a preferred employer and reliable business entity.

Most important takeaways from this article for leaders of international teams

Mastering cultural competency and ensuring psychological safety isn't just about preventing problems; it's about seizing opportunities.
It’s about converting the latent potential of your diverse team into tangible, exceptional results.
By getting this right, you set your team—and by extension, your organization—on a trajectory of sustainable success.

How can you start applying this advice?

If you want to move faster and receive support in applying cultural competence and committing to psychological safety, reach out to us for expert guidance on creating a diverse, cohesive, and high-performing team - if you are looking for support in the form of tailored team performance or growth coaching or consulting, we offer a free no obligation sales pitch free call to discuss your questions and situation with one of our expert consultants. Book by sending an e-mail to [email protected]