Calypso Consulting

(A Chinese version of this article originally appeared in CHO Magazine in April 2008)
 
            In an earlier posting (February 4, 2009) on this blog, we looked at the unique competencies of Chinese leaders.  In that same posting I listed a few of the typical competencies that might be found in the Western literature for leadership competencies in the West.  These included honesty, strategic thinking, visionary thinking, customer service focus, conceptual thinking and more.  Most of these competencies are also expected of Chinese leaders.  But what is different between the West and China are the specific values that most Westerners are taught as children.  I want to describe them in this column to give readers a better understanding of what makes many Westerners behave as they do.
            The information in this posting summarizes one of the chapters in my book, Business Leadership in China, which was published by John Wiley and Sons in July 2008.
 
Key Western Values that Shape Its Leaders
Equality.  One of my first “startling” experiences in China was when I went to a client’s company headquarters in Jinan.  I was getting a tour of the facility by the CEO.  As we entered each new space, employees would stand at attention until we left the area.  Some employees saluted.  It reminded me of my military days.  I soon learned that this was an exceptional situation – a State Owned Enterprise that was run by a retired army general.  Nevertheless, the point was well made.  This was so different from what I was used to.  In the United States, I worked for one high-tech company that was very egalitarian.  Everyone was on a first name basis.  The CEO drove his own car and had to park in the employee lot just like everyone else.  It was “first come – first served.”  We all ate in the same dining room.   While both of these examples are extreme, the roots of egalitarianism in the West versus hierarchical roles in China are clear. 
I also remember the horror of my Chinese staff when I asked for a smaller office and a smaller car than they thought I should have.  I was just being frugal and felt that the status of a big office and a big car were no longer important in my own life and should not be a model for the firm.  In China however, certain things are expected of a CEO and my egalitarian view was not all I thought it was.  This seemingly benign stance by many Westerners can be a source of conflict between the Western leaders and their Chinese staff.  In the eyes of my employees, by seeking smaller spaces and only an average car, I was belittling the firm’s value in the eyes of the Chinese market.
 
Independence.  In many Western books on parenting it is emphasized that the primary goal of a parent is to teach their children to be independent of them.  The sooner their children can become self-reliant and live on their own, the better one would judge their parenting success
Perhaps America typifies this trait more than other Western countries.  There are so many success stories one reads about the person who “did it on her own.”  People in the West are reluctant to admit that social programs sometimes helped them achieve their success.  It is much preferable to announce that outside help was minimal in your achievements.  While it is fine to identify a mentor or another who was influential in developing one’s thinking, it is always the individual who was smart enough to “use” the other to gain their success.
Let us not forget that the United States was formed with a document entitled the Declaration of Independence. 
Individualism.  Closely related to independence is individualism.  Westerners are taught from a very early age to develop all the necessary skills to make it on their own.  Your parents and teachers make it clear that your individualism is special.  It is more important than the group.  You own things that are yours.  Sharing becomes your prerogative.  While children are taught to share, the implication is that it is your individual decision to share.  Property can be owned and is private.  Only you can give permission to share it or to make it public.
Freedom.  In the United States Constitution, the Bill of Rights lists the basic freedoms of every person.  These become the foundation for most court arguments.  When these freedoms are threatened, Westerners (and Americans in particular) are very vocal and will fight until the threat is gone.  When Westerners go to war, it is almost always to defend freedom.  One of the United States, New Hampshire, has the motto, “Live Free or Die.”  Patrick Henry, an important historical figure in the American Revolution against Great Britain is famous for his statement, “Give me liberty or give me death.”  Westerners view dictatorial leaders as despicable because they are seen to restrict individual freedoms. 
Freedom is often a source of great conflict in Western nations.  Lawyers are always arguing in the courts to determine which freedom is more important than another.  Do I have the right to go to a certain restaurant, or does the restaurant owner have the right to exclude me?  The answers to these questions are often not very clear.  Western leaders from different points on the political spectrum may have very different views on how to interpret what is meant by freedom.  One often must decide on the freedom of the individual versus the freedom of the company.  In China, the issue is freedom of the individual versus freedom of the State.
What is also important for the Chinese person to understand about Western views of freedom is that, while the concept is extremely important, the application is dependent on the person’s own values about which freedoms supercede others.
Risk-taking.  “Nothing ventured, nothing gained.”  “You will never know unless you try.”  “Go for it!”  These are just a few of the often-repeated mantras in the West about taking a risk.  People who always take the safe path are considered boring and conventional and are not sought out by leading-edge firms.
Conversely, the Chinese are often accused of not being risk takers as much as their Western counterparts.  I am not sure this is true.  But what I have often observed is very severe penalties for Chinese workers who make mistakes.  In the early days of companies in China, we have heard stories of errant workers being made to stand in a corner wearing a dunce cap so that everyone can observe that they made a mistake.  This kind of punishment does not lead one to take risks.  In Chinese history, there are several examples of not taking risks for fear of a severe punishment (even death) if you make a serious mistake.  The more you can hide your capabilities and your intentions, the safer is your course.
While nearly every Chinese firm today wants people to take risks and encourages them to do so, there is still this deep-seated cultural fear that sometimes underscores one’s desire to do so.  This is very different in the West where one is taught from an early age to try something new.
 
Trust in others.  This was a basic tenet that all Western children were taught from a very early age.  While the new age of terrorism has modified this level of trust, there is still a sense in the West that people are generally trustworthy.  Western leaders usually begin their assignments with a given trust of their workforce.  They continue this way unless they are given cause to think differently.  Likewise, workers are more likely to trust their leaders at first, until the leader gives them a reason to abandon that trust.
Other authors have clarified the difference between the “personal trust” required in China, and the “formal trust” that is fostered in Western companies.  Formal trust allows you to trust a stranger who works in the company or even someone who works for another respected firm.  The assumption is that these others share the same business goals and values.
 
Honesty.  A good example here is the fable about George Washington and the cherry tree.  George Washington was the first President of the United States.  According to the fable, when George was six years old he was given a hatchet as a present. He was very fond of this tool and, like many young boys who would receive such a gift; he went about chopping at everything he could find.   One day, when playing in the garden with his hatchet, he found a beautiful young cherry tree.  He tried his hatchet on the tree and soon it died.  He did not intend to kill the tree, but it happened.  He did not tell anyone of this at first because he knew that his father would be very angry.  A few days later his father discovered that his favorite tree had been destroyed.  He was very angry and entered the house wanting to know what had happened.  Just then, George, with his hatchet in hand, entered the room.
“George,” the father asked, “do you know who chopped down my cherry tree?”  Little George began to cry.  “Father,” he said, “I cannot tell a lie.  It was I who cut down the tree.”  With that honesty, the father’s anger left his face.  “My son,” he said, “that you should tell the truth is much more important to me than any tree.  Although I loved that tree, I love your honesty more and I forgive you.”
This story is told to all American children to explain the importance of honesty.  Of course this is just a fable.  But what is important is that it is told in every elementary school in the U.S. to explain a value that Americans hold dear, telling the truth.
Unfortunately, not every Westerner is as truthful as George Washington was in the story.  But the value of honesty, as described in this fable, is one of the fundamental ones in Western culture.  This is why many Westerners who come to China to do business are often puzzled by what they see as a business culture that appears dishonest.  Mostly, they do not understand the Chinese value of truth relative to other values such as courtesy which is much more important than truth in China.
 
Summary
            Westerners, like people elsewhere in the world, are taught from a very early age what their parents and forefathers believe are the essential values that will make them better people in the world.  The seven values described in this column; equality, independence, individualism, freedom, risk-taking, trust in others, and honesty, are fundamental to most Western countries.  But Westerners going to China to lead must understand how these things that are taken for granted by all other Westerners are actually viewed quite differently in China and are not, at the outset, as valuable as Westerners have been taught to believe.  Likewise, Chinese leaders who are either leading Westerners or working together with other Western leaders must thoroughly comprehend the deep meaning and importance of these values to the typical Westerner.  Only with this kind of mutual understanding can we expect both Westerners and Chinese to work cooperatively.