Participative Leadership by American and Chinese Managers in China: The Role of Relationships*

Abstract

Developing participative leadership may be particularly challenging when managers are working cross-culturally and in China. One hundred and sixty-three Chinese employees from various industries in mainland China were surveyed about their relationships and the effectiveness of their participation with American and Chinese managers. Results, including structural equation analyses, support the hypotheses that cooperative, but not competitive or independent, goals helped Chinese employees and their foreign and Chinese managers strengthen their quality relationships as measured by supervisor-subordinate guanxi and leader-membership exchange; quality relationships in turn enhanced effective participative leadership as measured by the opportunity for joint decision-making and the open-minded discussion of opposing views (constructive controversy). Results suggest that cooperative goals and the Chinese value of guanxi may be important for overcoming obstacles and developing participative leadership within and across cultural boundaries. Copyright Blackwell Publishing Ltd 2006.

The effect of leadership style on talent retention during Merger and Acquisition integration: evidence from China

“…In this study, however, relationship or guanxi with 37 government at various levels was not found to be important. Contrary to prior research (e.g., Chen and Tjosvold, 2006), we found guanxi with government to be insignificant if the operation of the acquired Chinese company is not directly affected by the government or if the acquired firm is located in an economically developed area of China.…”

“…This finding suggests that relationship-focused leadership can be appropriate at a Chinese firm, where guanxi is highly valued (Alston, 1989;Chen and Tjosvold, 2006;Tse et al, 1988;Wong and Leung, 2001), especially at the stage of post-M&A integration, when team harmony, increased morale, and improved communication must be built (Goleman, 2000). This is reflected in the respondents' attitude toward the significance of building a sense of belonging, trust, and harmony in the team.…”

“…The literature identifies guanxi as a significant resource in China (Alston, 1989;Chen and Tjosvold, 2006;Tse et al, 1988;Wong and Leung, 2001). Wang and Nishiguchi (2006) even suggested that firms should first identify key business and regulatory relationships, then focus on the individuals who should be retained in order to keep the targeted relationship.…”

Rethinking distributed leadership: dimensions, antecedents and team effectiveness

“…The leadership style of leaders has long been considered as an important factor associated with organizational and employee effectiveness (Cusumano 1988). Leaders with participatory styles tend to support open-minded discussion of opposing positions and enhance the value of joint decision-making (Chen and Tjosvold 2006). In addition, leaders with autocratic styles may also accept DL; many DL forms, like sports coaches and deputies, and part-time chairs and full-time CEOs, are compulsory for formal leaders of either style.…”

“…Formal leaders with participatory styles stand for collective decision-making, consulting with employees, asking for suggestions, and taking ideas into consideration before making decisions (Chen and Tjosvold 2006). They share information with team members and develop reciprocal trust (Harris 2012), preferring concertive actions rather than numerical actions and developing 'high involvement leadership' (Yukl 2002).…”