What Are the Effects of Diversity Within Top Management at Multinational Corporations (MNCs) on Organizational Performance?
As more and more companies are going global, the importance of cultural understanding is becoming more important to successful business operations. Managers can no longer assume that their employees share a common set of beliefs and priorities. Today, managers deal with employees from many different backgrounds. Groups and work teams have diverse memberships, and group members need to develop positive group dynamics before they can focus on the business tasks at hand. The literature has focused on staffing patterns, global marketing initiatives, and international financial concerns. There has been little research on the impact of the international composition (or lack thereof) of corporate governance on corporate effectiveness and efficiencies. Given the increasing role of international business to the financial success of the firm, it seems logical to assume that the governance of firms is international as well. This presentation will examine the composition of the boards of directors
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