Influences of Globalisation on Organisational Governance and Leadership

This article evaluates the influences of globalisation on organisational governance and leadership, including the use of new and innovative ideas, democratic leadership style, and ethical practices. It also examines the influences of globalisation on organisational structure, culture, and functions. The case study of Vodafone PLC is used to illustrate these concepts.

Global business
environment

Table of Contents
INTRODUCTION......................................................................................................................3
MAIN BODY.............................................................................................................................3
TASK 1......................................................................................................................................3
1.0 Introduction to the concept of globalization....................................................................3
1.1 An analysis of the key drivers of globalization................................................................3
2.0 An explanation on the complexity of strategic challenges faced by global businesses...4
2.1 A critical analysis on the strategic challenges caused by globalization on risk,
diversification strategies and supply chain............................................................................5
2.2 A critical evaluation of the global business environment................................................5
TASK 2......................................................................................................................................5
3.0 (a) an evaluation of the influences of globalisation on organisational governance and
leadership...............................................................................................................................5
B) An evaluation of the influences of globalisation on organisational structure...................6
C) An evaluation of the influences of globalisation on organisational culture......................6
D) An evaluation of the influences of globalisation on organisational functions..................6
3.1 a) An evaluation of the influences of ethics on organisational........................................7
B) An evaluation of the influences of global sustainability on organisational function........7
3. 2 (a) Application of mckinley 7S Model on organisational structure in case the of
Vodafone Plc..........................................................................................................................8
Application of Hofstede's Cultural Dimensions theory in the case of Vodafone Plc............9
4.0 (a) An evaluation of different ways decision making can work effectively in a global
context..................................................................................................................................10
(b) Ways (strategies) to enter global markets......................................................................10
(c) A critical evaluation of the key barriers to globalization and recommendations to
overcome them.....................................................................................................................11

(d) A critique of the strategies adopted when entering the global market and valid and
justified recommendations of how Vodafone Plc should adapt its organisational structure
and decision-making processes............................................................................................11
CONCLUSION........................................................................................................................11
REFERENCES.........................................................................................................................12
Books and journals...............................................................................................................12

INTRODUCTION
Global business environment can be defined as an environment at global level where
the organisation is performing its function (Bedianashvili, 2016). It include different business
functions which can impact the organisation performance and working within the market. It is
important for organisation to maintain a particular system in order to achieve its objectives
within the global business market. Under the current report it is based on study of Vodafone
group PLC. It is a British multinational telecommunication organisation which is selling its
services at global level. Head office of organisation is located in Newbury, Berkshire,
England. Organisation is operating at services in Asia Africa Europe and various other
countries where it provide mobile operation data mobile internet and various services to its
customers. Under the present report this discussion about the concept of business and
business environment. It include introduction to the concept of globalisation, key drivers of
globalisation and various other factors related to strategic challenges faced by business entity.
Along with this, there is also discussion about influence of globalisation on the organisation
governance and leadership structure culture function and various other things. There is also
use of mckinney 7s model and Hofstede cultural dimensions theory. Thereafter, there will be
discussion about various strategies which can be adopted in order to achieve global
objectives.
MAIN BODY
TASK 1
1.0 Introduction to the concept of globalization
Globalisation can be defined as a process of interaction and integration between
different individuals companies and governments worldwide. Globalisation is important for
organisation in order to improving the transport and communication technology. In current
business environment, Vodafone is operating at global level. Here, organisation is also using
the concept of globalisation to globalise its function (Hamilton and Webster, 2018).
1.1 An analysis of the key drivers of globalization
Positive impact of globalization

Globalization is important functions which provide benefits in various functions.
Under the process of globalization organization can easily improve its profitability bike
operating with global performers. There are number of functions which impact on the
organization in a related to globalizations. These key drivers are discussed below:
Global market: globalization is a successful feature this is because it provides global
market to the organization where developed countries at developing countries can sale and
purchase their products and services to each other. This is also helpful to Vodafone in
reaching to the global markets for increasing the business of organization and improving its
functionality (Lee, 2017).
Cross culture management: globalization is also related to managing the cross
culture in an appropriate manner because it invite different individuals from various parts of
the world where they will work together and combine their culture in an appropriate way. In
context of Vodafone, it is operating at global level where companies using cross cultural
management to manage the employees from one location to another.
Foreign trade: Increase in foreign trade is also and key element which is related to
the globalization. This is because globalization is created and expected foreign trade in the
world. In context of Vodafone, organization is operating its business from UK where it also
trade in Asian markets African markets and many others. Here, organization is using foreign
trade to improve its revenues and achieving benefits (Bhagra and Sharma, 2018)
2.0 An explanation on the complexity of strategic challenges faced by global businesses
International company structure: The major problem to the organisation while
performing at a global level and formulation of strategy is related to using an appropriate
international company structure. This is because organisation has to identify its competitors
as well as choose an appropriate structure which can help in maintaining a proper Central
headquarter of his representatives as well as other functions. In context of Vodafone, it is also
facing the difficulties when managing its international business and performing the function
at global level.
Foreign laws and regulations: This also impacts the performance of organisation as
well as strategic formulation for international business in the current time. This is because
there are various international rules, regulations and norms which has to be followed by
organisation. These all require a flexible structure as well as flexible strategies because of

their changing nature. Vodafone use different strategies which will impact on organisational
performance and lead to achievement of its objectives in the current time (Adekola and Sergi,
2016).
International accounting: International accounting also acts as an area which is
considered by the international business as a complex system to be handled. There are a
number of tax compliance and accounting standards which has to be followed by the
organisation and are in continuous changes according to the nature and area where the
organisation is working at global level. These are also impacting Vodafone performance at
international level where organisation has to use different standards for different nations and
maintaining appropriate record of books and journals in order to improve addition functions
and provide evidence of its working.
Improper supply chain: Performing business at international level will also bring
difficulties in managing the supply chain network at a bigger platform. This is because by
using the international business function organisation has to manage appropriate supply chain
network where it can enjoy your proper supply of goods and services to the customers at a
global level from one nation to another. In this respect organisation has to maintain
appropriate resources so that it can fulfil the needs and requirements and used to transfer
these resources to achieve its objective (Cherunilam, 2016).
2.1 A critical analysis on the strategic challenges caused by globalization on risk,
diversification strategies and supply chain
It can be evaluated from the above mentioned information that there are various
challenges which are related to use of globalisation for an organisation which will impact the
strategic decision making as a supply chain management of firm. Here, Organisation deal
with these challenges by matching its resources and using them in appropriate manner. This
will help in performing the task in an appropriate way and achieving the objectives in a
timely and appropriate function.
2.2 A critical evaluation of the global business environment
It can be evaluated that global business environment is directly associated with the
factor of globalisation. Globalisation is affecting directly on the functions of business
environment. There are a number of functions which has to be performed by the business

organisation to achieve its objectives. This can also see it globalisation is related to a global
business environment function where it impact the business integrally and externally. It is
important for business organisation to be cleaned and appropriate system which will helpful
in managing the challenges within the global business and using them benefit of organisation
(Halbert and Ingulli,2020).
TASK 2
3.0 (a) an evaluation of the influences of globalisation on organisational governance and
leadership
Globalisation is direct impact on the organisational governance and leadership in the
current business environment this is because globalisation is helpful in development different
aspects of organisational governance and leadership. Some of these are discussed below:
Provide new and innovative ideas: By the increment in the concept of globalisation
there is continuous development within the field of organisational governance and leadership.
This is because it is helpful to the organisation in providing an insight about different
functions at global level and the function performed by international organisations. In context
of Vodafone, organisation can also use this concept in governing developing a better
leadership style (Gooris and Peeters, 2016).
Trend toward democratic leadership: Globalisation also brings the influence of
democratic leadership style within the current business environment. This is because it states
that there must be contribution of employees within the decision-making process so that
organisation can maintain a motivated and coordinated environment. This concept will help
Vodafone in improving its organisational government by using a democratic leadership style.
Use of ethical practices: By the increment within the process of globalisation there is
also development in the feature of ethical government within the organisation which help in
shaping and leadership by providing ethical objectives to organisation. This is helpful in
achieving the business objectives and maintaining appropriate working culture (Kasemsap,
2016).

B) An evaluation of the influences of globalisation on organisational structure
Organisational structure can be defined as a process which is used by the organisation
in relation to assigning the roles and responsibilities for different individuals and collar job.
This is related to managing the function in a way to achieve the goals and objectives and
maximizing the profitability. In context of globalisation it has direct influence on
organisational structure (Caiazza, Shimizu, and Yoshikawa, 2017). This is because if
organisation is going to perform at global level it is needed to business and identity that they
will use flexible structure in the organisation. This is helpful to the organisation in boosting
its profitability and productivity and managing the function in an appropriate way. If
organisation is performing its function at global level then it has to use flexible structure so
that it can manage different individuals according to the changing needs of global
environment. Before globalisation organisation of following a rigid structure where they are
using the current sources and managing the structure according to the local community where
they are working. But after the introduction of globalisation and development in this function
organisations like Vodafone has to use a flexible structure which include different
hierarchical distributions of roles and responsibilities in order to achieve the objectives and
establishing better communication between different departments and individuals working in
this department.
C) An evaluation of the influences of globalisation on organisational culture
Organisational culture can be defined as believe working ideology of different
individuals working together in the organisation in order to achieve the objectives with the
common purpose. Globalisation is also impacting on the organisational culture within
organisation. This is because by the use of globalisation concept there will increment in
different functions and uses of sources. Globalisation influences the working of organisation
by transferring human resources from one place to another. By this transfer there will also
changes in the working environment and each and every individual will bring their own
culture to the organisation. This is essential for organisations such as Vodafone to improve
their function. Vodafone is using appropriate cultural management system where organisation
employed in local individual maximum count so that it can manage the culture at the
workplace in an appropriate achieves the objective in timely and targeted way (Martins and
Nienaber, 2018).

D) An evaluation of the influences of globalisation on organisational functions
There are a number of functions within the organisation which has there direct
relation with the globalisation and globalisation impact on this function in an appropriate
way. Impact of globalisation on different function of Vodafone is discussed below:
Marketing function: Marketing is an important function within the organisation
which is related to establishing relationship with the customers in order to sell products and
services to them. Globalisation impacting directly on the marketing where by the use of
globalisation there are a number of functions which has to be performed by the firm in order
to achieve its objectives. These global strategies have to be adopted by the organisation in
order to achieve the objectives of marketing. Vodafone is also using appropriate marketing
strategies like sales promotion, TV advertisement and global advertisement in order to
achieve marketing objectives (Chang, 2016).
Finance function: Finance is an important function within the organisation which is
related to performance of different functions and achieving objectives in a timely manner by
providing finance to different activities. In context of Vodafone, finance function within the
organisation is impacted directly with the globalisation. This is because by performing the
global function organisation requires a huge investment in different operation where it has to
attract invested at global level. Company has to divide its finance activity according to the
nation where it is working for attracting the investment from the local areas and bringing
FDI. This all is related to impact of globalisation on finance function (Boshyk, 2016).
Human resources function: Human resources function is one of most important
function in the organisation which is also impacted by the globalisation. Under this function,
globalisation impacted on different kind of human resources by changing their availability
and skill requirement. In the current scenario of globalisation, Vodafone required those
individuals who can perform at global level by understanding the local languages as well as
work for the organisation from ground level. This is impact of globalisation which has direct
influence on the profitability and function of human resources.
3.1 a) An evaluation of the influences of ethics on organisational
Organisation ethics can be defined as a function which includes the reputation
productivity and the bottom life of the organisation. A proper ethical corporate culture
improve the moral of the employees and help in working with increased productivity

employee retention and loyalty. Ethics has direct relationship to the organisation as they
influence the functioning of the firm in a straight way. In context of Vodafone there are a
number of ethics which impact the performance of organisation at global level and its
business. Some of these are discussed below:
Building positive corporate culture: it is important for organisation to build a
positive culture within the organisation so that each and every staff can satisfy the needs and
requirements related to formal and informal interaction with different individuals. This is
helpful to Vodafone in managing motivation within the employees and improving their
working conditions. This is unethical practices within the organisation which is related to
global presence of where it has to concentrate on each and every branch of the organisation at
global level (Pikhart, 2017).
Performing ethical financial activities: from the present time, it can be seen that
several of organisation are using improper finance function which is an unethical practice
which leads to false representation of accounting ledgers and journal. Vodafone is using
ethical approach to develop its financial accounts and used to show appropriate figures and
order to achieve higher ethical sustainability within the organisation.
B) An evaluation of the influences of global sustainability on organisational function
Sustainability is and concept which is related to bringing appropriate measures to
provide best and suitable functions to the environment so that organisation can return what it
takes from the local environment. While environment facility remains the core part of
sustainability within the business practices it includes different branches within the
organisation. These are related to to organisation vision, mission, standards and operational
procedures. In context of sustainability Vodafone is using various kinds of programs. Here
organisation is following a particular system which is known as "closed loop". This is an
appropriate function wear 14% of the plastic packing will be recycled by the organisation to
deal with major environmental challenges traditional recycling methods and limited
resources. Here, organisation is partnership with different functions to fulfil these objectives
and provide appropriate sustainability. Organisation is also trying to reduce the negative
impact of increase mobile range where company will contribute toward the health and safety
of the customer by providing wider public range (Prajogo, 2016).

3. 2 (a) Application of mckinley 7S Model on organisational structure in case the of
Vodafone Plc.
Mckinney 7s framework
The mckinney 7s framework is a model which is developed by two business
consultants Robert h water man junior and Tom peters. This model is used as a strategic
vision of the group which include different businesses and business units. The 7s within this
model stands for strategy, structure, system, staff, style, skill and shared values. This model is
useful to the organisation in order to analyse the internal changes and changes within the
situation. This model can also implemented on Vodafone in order to identify the current
trends and performing the function in an appropriate manner. The different elements of this
model are discussed below in context of Vodafone.
Strategy: It can be defined as those plans and functions which are related to a
location of firm’s resources over the time in an appropriate manner so that it can achieve its
goals and objectives. Under this function Vodafone has already adopted a proper branding
within the market which helps company in performing its function at the saturation stage
where company has to revolve around launching new products under the same brand name
(Silvius, 2018).
Structure: This function is related to identifying the structural unit of the organisation
in which it will perform its function in an appropriate manner. Here organisation can use
centralised and decentralized approaches. In the present functioning Vodafone it is using a
matrix structure within the organisation which is not an able to fulfil the requirements of fast
decision making. Here, Company need improvement by using more empowerment and
flexible and quick decision-making structure to compete with global performance.
System: System can be defined as and processes, procedures and routines which are
followed by organisation in relation to initiate action within the firm. Some of these are
related to hiring promoting and performance appraisal in organisation. Vodafone is
organisation which follow formal process which are governed on a day-to-day basis and
helpful to the firm in establishing a better communication.
Shared value: It is an interconnecting system under this model which is related to to
Central beliefs and attitude of the organisation. Under this function Vodafone is using
appropriate system which are connected and communicated to the organisation in order to

manage the behaviour of individuals and increase the employee responsibilities by building
various organisational policies.
Staff: This element of model is related to number and type of personal switch is
employed within the organisation. Under this function Vodafone used to appoint talented
employees within the organisation according to the requirements of skills and abilities to
perform that particular job. In context of this, organisation is also using motivation and other
techniques to maintain employees. This is achieving the objectives in a timely manner.
Style: It can be defined ASN function which is used by the manager in order to
perform the activities in an appropriate way. This converter definition management style
which can be adopted by the top level management in the Vodafone. Under this the
management within the organisation use discipline atmosphere where they can perform in an
effective way by increasing the contribution of employee and achieving objectives in a timely
manner (Kasemsap, 2016).
Skill: It is related to capabilities of the persons within the organisation in order to
born the customers and attract customers throughout the organisation product. Under this
concept Vodafone is using high quality products and innovation in their products to attract
the customer which health organisation in increasing its function and executing the skills in
an appropriate manner.
This is an appropriate model which can be used by the Tesco in order to achieve its
objectives, the function and appropriate. This will also help organisation identify the key
elements in functioning and using them to achieve the objectives.
Application of Hofstede's Cultural Dimensions theory in the case of Vodafone Plc
Hofstede cultural dimensions theory
Hofstede culture dimension theories and models which can be used by organisation in
order to maintain effective culture and team-building spirit and performing different task.
Effective method which can be used in order to achieve the objectives of team building. This
method can also use by Vodafone in order to maintain the functions and use the resources in
an appropriate manner. This element including different dimensions which are discussed
business

Power distance index: Power distance index can be defined as an extent to which is
related to distribution of power of different individuals within the organisation in order to
perform activities. This is an effective system which can be adopted by Vodafone where it
has to distribute the powers in an appropriate manner so that it can reduce the differences and
help in achieving the roles responsibilities.
Individualism vs collectivism: This element of the theory is related to managing
collector function within the organisation in order to improve the functioning and achieving
the goals and objectives in a timely manner. Under this the management within the Vodafone
has to focus on increasing the in collectivism so that it can use a collective efforts to improve
the function (Keegan, 2017).
Muscularity versus feminity: This is also important function which is related to
maintaining the balance between muscularity and family t within the organisation in order to
perform the functions. In context of organisation maintenance of muscularity and family tree
is important organisation can use to hire male staff for muscular works and female staff for
works which are related to management and doesn't require muscular power.
Long term orientation vs short term orientation: Long term orientation is related
to perform in the function by keeping the long-term objectives in the mind. In context of this,
Vodafone can easily implemented strategies by using both long-term and short-term
approaches where long term objectives are used for the period more than three years and
short terms are used for period below 3 years.
4.0 (a) An evaluation of different ways decision making can work effectively in a global
context
There are number of ways which can be used by organisation order to maintain
decisions at global level. And this management within the Vodafone can use a particular
system which will help organisation make effective decisions and achieving the goals and
objectives in in appropriate way. Some of these methods are discussed below:
Command style: under this title the management within Vodafone can use to make
decisions without any involvement. The management within the organisation has to take
decisions up in an appropriate command where there is no involvement of other employees
and persons to influence the decision-making capacity of the manager.

Consult decision making: under the system of decision making the manager within
the organisation is too concerned with other employee so that it can easily make effective
decisions according to the needs and requirements of other members.
Vote style decision making: this is also an appropriate style which can be used by
management of Vodafone in order to improve the services of organisation for making
effective decisions. Hundred this technique, manager within the organisation used to take
vote of each and every member within the organisation prior to make decisions regarding
particular functions. This is an effective technique to achieve the goals and objectives in a
directed way.
Consequence decision making: under this kind of decision making the manager
within the organisation has to take decisions according to the consequences and support
events. This technique is useful within Vodafone to manage the functions of organisation in
international level so that decisions can be taken according to the particular consequence.
(b) Ways (strategies) to enter global markets
There are number of cities which can be used by organisation in order to improve its
function and perform its global operations and effective way. Some of the strategies which
can be used by organisation to enter in the global market are discussed below:
Joint ventures and partnership: it is an all pervasive strategy which can be used by
organisation to enter within a new market. Can do this strategy organisation can use to joint
venture and partnership with other organisation which is all ready for marriage function
within that market. This strategy is useful for organisation in order to enter within the new
market by using the existing resources and research of organisation which is performing its
function. This can be used by Vodafone in order to meet the objectives of launching the
business in a successful manner and performing its functions in appropriate way.
Import and export: import export is an also method which can be used by
organisation to improve its functions and launched its products and services in new markets.
This is an effective tool which can be used by Vodafone as it include importing and exporting
the products and services of the organisation to the other nation where it is going to launch its
business. Vodafone can also use this product where it can use to export its services to various
other nations we want to grow its business and improve its market. This is an appropriate

system organisation can implement its product prior to launching it within a market by the
use of import and export.
(c) A critical evaluation of the key barriers to globalization and recommendations to
overcome them
It can be evaluated from the above mentioned information that there are number of
factors related to globalisation which are impactful to globalisation. This impact the
organisation profitability in the current period. Organisation meaning in manage plans by
using appropriate strategies to deal with it.
(d) A critique of the strategies adopted when entering the global market and valid and
justified recommendations of how Vodafone Plc should adapt its organisational structure and
decision-making processes
It can be evaluated from all above information that Vodafone can easily improve its
organisation structure and decision-making process to enter within the new and a global
market. Organisation can bring flexibility in its structure and improve its decision making
process by using various commands styles so that it can easily implement appropriate
products.
CONCLUSION
It can be concluded from the above mentioned globalisation has direct relationship
with organisational performance and using the resources in appropriate way. This can also
concluded that in order to manage the successful business relations organisation need to
improve its function and being practical. This will help in making effective decisions and
achieve in the objectivity to perform function.

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