We all know that an appreciation of cultural diversity can be useful to executives operating across multi-cultural boundaries, but what else is important? What distinguishes ‘global leaders’ from ‘domestic leaders’?

No company today can escape the impact of globalization and convergence of our global marketplace. All corporations (both domestic and global) face increasingly diverse cross-cultural employees, customers, suppliers and competitors, and need executives with global mindsets and leadership capabilities.

We all know that an appreciation of cultural diversity can be useful to executives operating across multi-cultural boundaries, but what else is important? What distinguishes global leaders from domestic leaders?

To succeed, global leaders need to be able to think globally. According to the book Global Leadership – The Next Generation, by Marshall Goldsmith, Cathy L. Greenberg, Alastair Robertson, Maya Hu-Chan, “thinking globally” means leaders who:

• Recognize and understand the impact of globalization (economic, cultural, legal and political ramifications) on their business
• Understand the global landscape and can adapt to the changes required for  their business environment 
• See themselves as, and act as, global citizens of the world with an expanded field of vision and values
• Probably have lived in, or at least spent substantial time in, different regions of the world  
• Have a worldwide perspective and make decisions that incorporate global considerations 
• Help others understand the impact of globalization.

Global leadership development is a major challenge even large multinationals find difficult. Companies that do it best are committed to improving the expatriate learning experience. Formal education and training programs can also be helpful, but international work experience and assignments are viewed by many as the most effective source for developing global leaders. 

For more information on thinking globally, what to do and how to do it, see the resource section of Global Leadership – The Next Generation p17-26)