Symmetric and asymmetric leadership cultures: A comparative study of leadership and organizational culture at Hyundai and Toyota |
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| Authors: | Won Shul Shim Richard M Steers |
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| Institution: | 1. College of Business and Economics, Hanyang University—ERICA Campus, Ansan, Kyeonggi-do, 426-791, South Korea;2. Lundquist College of Business, University of Oregon, Eugene, OR 97405, USA;1. Essex Business School, University of Essex, UK;2. Tilburg University, The Netherlands;3. University of Roma Tre, Italy;4. University of Liverpool, Management School, UK;1. Institute of Information Management, University of St.Gallen (HSG), Mueller-Friedberg-Strasse 8, 9000 St. Gallen, Switzerland;2. Institute of Information Systems, University of Liechtenstein, Fürst-Franz-Josef-Strasse, 9490 Vaduz, Liechtenstein;1. Department of Management, Ca’ Foscari University of Venice, 873 Cannaregio, S. Giobbe, 30121 Venice, Italy;2. Department of Economics Marco Biagi, University of Modena and Reggio Emilia, Viale Berengario 51, 41121 Modena, Italy;1. Division of Urology, Seattle Children''s Hospital, Seattle, WA, USA;2. Division of General Surgery, Seattle Children''s Hospital, Seattle, WA, USA |
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| Abstract: | This study compares national cultures, leadership strategies, and work environments in two successful global automobile companies, Hyundai Motor Group and Toyota Motor Corporation. Despite competing head-on in the same market, it was found that these companies use very different leadership strategies as a basis for both global competition and local operations. Based on the results of a comparative case study, structured interviews, and related media and empirical data, it was found that Toyota competes both strategically and managerially by emphasizing planning and work systems to mitigate the impact of any turbulence in the external environment (stability is key), while Hyundai competes by accepting environmental uncertainty and risk as a part of normal daily operations (flexibility is key). We refer to these approaches as symmetric and asymmetric leadership and organizational cultures. As a result of these differences, Hyundai is able to change course more quickly than its larger competitor as new opportunities and technologies emerge. While national cultures played a role in differentiating between the two firms, leadership differences had a more pronounced effect on organizational behaviors and subsequent performance. Results are consistent with previous research and reinforce the conclusion that top management leaders’ behavior can have a significant influence on emergent organizational cultures and performance. |
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