Leading Multicultural Teams in Agile Organizations: An Integrative Literature Review

Sameh Abadir, Ph.D.

IMD Business School Switzerland

Eric Tetteh Batsa, MBA

Kwame Nkrumah University of Science and Technology

Michael Neubert, Ph.D.

International School of Management Paris

Daphne Halkias, Ph.D.

International School of Management Paris

Abstract
Background: Multicultural teams provide diverse skill sets, and members’ different
experiences could through effective leadership be leveraged to improve organizational
performance, especially in the agile organization. Effective multicultural team leadership can
drive the goals of agile organizations and support their realization. The problem is
organizational leaders have a critical knowledge gap on how the competencies and skills of
managers can be utilized to improve the effectiveness of multicultural teams.
Methodology: This integrative literature review focused on the study of current research
findings on managers’ experiences in leading multicultural teams within agile organizations.
This study is framed by two key concepts of agile leadership models and leadership
emergence in multicultural teams.
Findings: This integrative literature review provides in-depth knowledge to formulate new
knowledge and recommendations for further research that can be applied to measure the
leadership effectiveness of multicultural teams in agile organizations. Managers and leaders
of multicultural teams need to have a high intercultural competence to successfully integrate
employees with diverse cultural backgrounds in their teams and also to facilitate fruitful
communication and knowledge sharing among them using agile management tools.
Originality: This integrative literature review can be utilized by future researchers as
foundational material in studies to extend theoretical foundations and to extend the results of
prior related studies. It has helped to highlight managerial and theoretical implications and to
inform recommendations for future research that could contribute to improving the leadership
of multicultural teams and, thus, their performance within agile organizations.

Keywords: Agile organization, leadership, managerial competencies, multicultural team, team

effectiveness

Introduction and Background

The number of people living in their non-birth countries has been estimated at over

231 million, more than 100% up from the 1990 figure (United Nations, Department of

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Economic and Social Affairs, 2013). This has resulted in increasing numbers of immigrants

and second-generation immigrants in professional management positions (Furusawa &

Brewster, 2015). Because changing demographics will continue to shift the nature of work in

high-receiving immigrant nations, and in global organizations, there is need for a fresh focus

on the abilities of managers to span boundaries and motivate and lead individuals in

multicultural teams within today’s emerging agile organizations (Bauer & Vocke, 2018).

Multicultural teams offer a diverse set of skills, and the different experiences of the

team members could through effective leadership be leveraged to improve organizational

performance. This is particularly applicable to the agile organization – that is, an organization

adept at responding in a timely manner to changes in the marketplace or environment

(Holbeche, 2015). Effective multicultural team leadership can drive the goals of agile

organizations and support their realization (Linehan, 2017; Roberts & Beamish, 2017; Van

Oudenhoven & Benet-Martínez, 2015). The agile organization employs managers who can

lead a team without losing the team’s cohesion within the entire system. Within agile

organizations, such managers must be open to continuous learning through experimental

action and foster an open communication style that facilitates collaboration and sharing across

cultural diversity of multicultural teams, to be at once focused, driven, and people-oriented

(Holbeche, 2018). These are qualities that help a leader to overcome the challenges associated

with the paradoxes that are inevitably encountered in the agile organization once its work

crosses national and cultural boundaries. The authors suggest that cultivating the qualities

required for effective leadership of multicultural teams occurs through and within the

performance of a boundary spanner role.

Multicultural teams encounter multiple challenges that are characterized by power and

control, conflict resolution, and the effective attainment of anticipated results (Korzilius,

Bücker, & Beerlage, 2017). The problem is organizational leaders have a critical knowledge

gap on how the competencies and skills of managers can be utilized to improve the

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effectiveness of multicultural teams (Adler & Aycan, 2018; Kane & Levina, 2017). The

purpose of this integrative literature review is to formulate new knowledge and

recommendations for further research that can be applied to measure the leadership

effectiveness of multicultural teams in agile organizations.

Conceptual Framework

This integrative literature review is framed by two key concepts: Hanna and

Bethzazi’s (2018) concept of agile leadership models, and Lisak and Erez’s (2015) concept of

leadership emergence in multicultural teams. Hanna and Bethzazi’s (2018) study to define

agile leadership models was conducted to gain an increased understanding of leadership,

traditional management, and agile management. The scholars investigated these three closely

related areas to gain a deeper understanding of the transition that happens in agility

management while also considering the rather soft characteristics explained in leadership

theory (Alimo-Metcalfe, 2013; Mason, 2013).

Joiner and Josephs (2007) considered agile management ability as one of the most

important managerial abilities of today. They defined five categories of agile management

mastery in their model: (pre-expert), expert, achiever, catalyst, co-creator, and synergist. The

classification is based on four competencies: context-setting agility, self-leadership agility,

stakeholder agility, and creative agility. Neubauer, Tarling, and Wade (2017) determined that

agile managers tend to out-perform other managers in categories like effectiveness and

engagement, and they show a high awareness for changes within their environment, focus on

informed decision-making, and execute their decisions fast. Joiner and Josephs (2007) held

that 90% of all agile managers can be found on the first three levels, starting from pre-expert.

Hanna and Bethzazi (2018) supported that most managers in agile organizations are on the

“achiever” with a strong trend to the “catalyst” level.

Lisak and Erez (2015) grounded their concept of leadership emergence in

multicultural teams in social identity theory (Tajfel & Turner, 1986; Turner, Hogg, Oakes,

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Reicher, & Wetherell, 1987), which indicates that a shared social identity emerges when

people’s perceptions of their mutual and collective similarities are enhanced. When

multicultural team members in global organizations share a mutual interest in accomplishing a

team goal, they are driven to overcome cultural barriers and sustain positive relationships with

each other (Erez & Gati, 2004; Shokef & Erez, 2006, 2008). This sense of association with

others with diverse orientations working in the same global establishment reflects an

individual’s global identity (Shokef & Erez, 2006, 2008). Self-concept–based leadership

theories (Lord, Brown, & Freiberg, 1999; Shamir, House, & Arthur, 1993) emphasize the

importance of three global characteristics of the global identity that may contribute to a

multicultural team member being identified by other team members as an emergent leader:

cultural intelligence, defined as an one’s capability to function effectively in culturally diverse

settings (Ang & Van Dyne, 2008; Earley & Ang, 2003); global identity, which conveys a

sense of belongingness to the global work context (Erez & Gati, 2004; Shokef & Erez, 2006,

2008) and where leaders can easily facilitate communication with team members of other

cultures (Lisak & Erez, 2015); and openness to cultural diversity, which is “the degree of

receptivity to perceived dissimilarity” (Härtel, 2004, p. 190). Cultural intelligence greatly

differentiates emergent global leaders from other team members (Lisak & Erez, 2015) and

enhances their role as multicultural brokers, defined as team leaders who transcend multiple

cultural boundaries and help to bridge differences (Eisenberg & Mattarelli, 2016).

The three characteristics of cultural intelligence, global identity, and openness to

cultural diversity are found to positively influence multicultural team performance (Ang, Van

Dyne, & Koh, 2006; Shokef & Erez, 2008) and have been linked in previous research to

multicultural team leaders and also bicultural managers (Barker, 2017; Engelhard &

Holtbrügge, 2017; Friedman, Liu, Chi, Hong, & Sung, 2012; Lisak, Erez, Sui, & Lee, 2016).

Scholars have theorized that having members who understand multiple cultures can enhance

team outcomes (Brannen & Thomas, 2010; Hong, 2010). However, most of the researchers

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focused primarily on examining multicultural individuals’ qualities that allow them to interact

across cultures, rather than their complex team-level competencies that lead to better

performance (Dau, 2016; Engelhard & Holtbrügge, 2017; Fotso, Edoun, & Mbohwa, 2018).

Method

Following Torraco’s (2016) guidelines for an integrative literature review, the authors

placed focus on current research findings on multicultural team effectiveness within agile

organizations. It offers a precise and logically coherent definition of the meaning of

multicultural teams and their leadership in the agile organization today. The fundamental aim

of the literature search strategy was to identify the need for research in experiences leading

multicultural teams and the agile organization. Research reveals that relatively little is known

about these unique experiences and the implications of such in today’s workplace. See

Appendix A and Appendix B for the ranking of selected articles according to their number of

citations, indicating the weight that readers can place on the arguments within the extant

literature on leading multicultural teams and agile organizations.

Findings from the Selected Literature

Competencies

Competencies are sets of related domains of knowledge, abilities, and behaviors and

can be modeled to offer insight into managerial effectiveness in organizations (Clark et al.,

2016). In the cross-cultural settings of international management, managerial competencies

involve cognitive and behavioral abilities that are contingent, transactional, people-oriented,

dyadic, and transformational (Clausen & Keita, 2016; Hong, 2010; Kane & Levina, 2017;

Lisak & Erez, 2015). Managerial competence within this context connotes the ability to

function effectively within a multicultural context (Clausen & Keita, 2016; Hong, 2010) with

the leverage of foreign knowledge, social capital, and vision (Roberts & Beamish, 2017). This

distinct ability involves multiple cultural identity negotiation processes of hybridization,

frame switching, and integration as well as self, motivational, and cognitive outcomes (West,

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Zhang, Yampolsky, & Sasaki, 2017) primarily emergent from cultural intelligence, cross-

cultural and intercultural abilities, and cross-cultural adaptabilities (Clausen & Keita, 2016;

Hong, 2010).

In a multicultural setting, managerial competence involves developing behavioral

flexibility and attributional and cognitive complexities to comprehend the nature of another

culture (Clausen & Keita, 2016; Hong, 2010). The processes involved in its development

include cultural bridging abilities based on the specificity of international experience and

knowledge of both the heritage and host cultures (Rickley, 2018). This quality allows for the

development of fundamental insights into the operational context of international business

and within the various coexisting systems in politics, society, and technology, among others

(Hong, 2010; Rickley, 2018).

Cross-cultural abilities involve expertise in behavioral adaptability and cross-cultural

communication (Clausen & Keita, 2016; Hong, 2010). This competency consists of using

cultural-specific knowledge, language-specific knowledge, and behavioral adaptability for

cross-cultural interaction to adopt appropriate and effective verbal and non-verbal

communication in multicultural teams (Clausen & Keita, 2016; Hong, 2010). Behavioral

adaptability involves decoding multicultural team members’ behaviors and adopting

appropriate self-depiction strategies that reflect the context, whereas cross-cultural

communication is used to effect collaborative knowledge transfer in multicultural teams

(Hong, 2010; Roberts & Beamish, 2017).

Another competence involves relating cultural-specific knowledge (the knowing

aspect) to cross-cultural ability (the doing aspect) in a dynamic, interactive fashion for

multicultural effectiveness (Engelhard & Holtbrügge, 2017; Hong, 2010). This competence

involves switching cultural frames to access cultural-specific knowledge from one’s memory

faculties, examine cultural-specific schemas, and utilize cultural metacognition abilities to

perform cross-cultural analysis and supervision, and determining which cultural-specific

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knowledge to apply to cross-cultural abilities (Clausen & Keita, 2016; Hong, 2010). Cultural

frame switching facilitates the appreciation of diverse cultural norms and values, the creation

of new outlooks for understanding involved cultures’ contingencies and complexities, and the

adoption of behavioral flexibility towards individuals with diverse cultural orientations

(Engelhard & Holtbrügge, 2017; Hong, 2010).

Consistent cultural frame switching helps to develop cultural metacognition. This

competence is “the ability to consciously and deliberately monitor one’s knowledge process

and cognitive and affective states and the ability to regulate these processes and states in

relation to an objective” (Thomas et al., 2008, p. 131). Cultural metacognition allows for the

development of novel categories of knowledge and related perspectives, the creation of

explicit cultural experience, and the potential retrieval of higher general values or cultural-

general knowledge (Hong, 2010; Thomas et al., 2008). Metacognition facilitates the

management of complexities in cross-cultural engagements, the understanding of both

cultural variations and resemblances beyond focused cultures, the development of heightened

attention to novel cultures, and the exhibition of appropriate disposition when managing in

cross-cultural settings (Hong, 2010). Cultural metacognition together with cultural-specific

knowledge, cross-cultural abilities, and cultural frame switching allow boundary spanning and

conflict mediation in multicultural teams (Barner-Rasmussen, Ehrnrooth, Koveshnikov, &

Mäkelä, 2014; Clausen & Keita, 2016; Kane & Levina, 2017). The boundary spanner acts as a

broker of internal and global cultures, knowledge, and language and a mediator of conflicts in

multicultural teams and global organizations (Barner-Rasmussen et al., 2014; Kane & Levina,

2017). The competence involves forging diplomacy for external support, using laser-focused

communication to coordinate tasks, scouting organizations for viable market and technical

insights, and guarding team information from leaking (Hong, 2010). Boundary spanning is

aimed at facilitating awareness creation, capacity development, and dedication among

multicultural team members towards foreign practices (Roberts & Beamish, 2017). Boundary

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spanning involves mediating and resolving conflicts or social irreconcilability arising from

the dissimilar cultural identities and interests of multicultural team members (Eisenberg &

Mattarelli, 2016; Hong, 2010).

Multicultural teams are characterized by relationship, task, and process conflicts that

reflect affection and cognition, dissimilar outlooks and ideas regarding team tasks, and

controversies surrounding the doing and completion of tasks (Hong, 2010). Such conflicts

require having a cultural understanding of work ethics and cross-cultural interaction to effect

conflict mediation and foster appropriate consensus (Hong, 2010). Conflict situations also

require sensing and comprehending the logic and sentiments underlying disputants’

emotional, cognitive, and behavioral dispositions and using cultural frame switching to vary

mediation approaches based on situational requirements (Friedman & Liu, 2009). Various

issues can impact managerial competencies. These include low opportunity or support (Kane

& Levina, 2017; Roberts & Beamish, 2017), differences in identity integration or

psychological and sociocultural adjustments (Hong, 2010; Kane & Levina, 2017), and

inconsistencies that can arise based on the relationship between multicultural teams’ cultural

compositions and leaders’ cultural proficiencies (Dau, 2016).

Multicultural teams

Multicultural teams are situations of cross-cultural social interaction involving

culturally diverse members working together on activities spanning national and global

boundaries (Clausen & Keita, 2016; Dau, 2016; Hong, 2010). Such teams depend on

knowledge-intensive and information processing facilities based on the cultural diversity of

their members that provides highly resourceful multiple perspectives for effectiveness at the

teams’ micro, organizational, and global levels (Engelhard & Holtbrügge, 2017; Kane &

Levina, 2017). Nonetheless, issues of power, conflict, and goal achievement (Korzilius et al.,

2017) create performance issues and require agreement, integration, and trust to address

(Clausen & Keita, 2016). For example, whereas team members’ pre-existing communication

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can facilitate creativity, innovation, and improved outcomes, they can be reluctant to share

and focus on common knowledge (Engelhard & Holtbrügge, 2017).

Effective leadership reflects the situation being addressed and leader–follower

characteristics (Friedman & Liu, 2009; Lisak & Erez, 2015). Boundary spanning is the

conciliation of knowledge and relationships across cultures and fields of practice (Kane &

Levina, 2017; Roberts & Beamish, 2017). This role is the most demanding function in

multicultural teams (Barner-Rasmussen et al., 2014). A multicultural team’s collective

function of efficient knowledge transfer based on effective communication and interaction

across its scope can be inhibited by members’ cultural and interpersonal differences (Kane &

Levina, 2017; Roberts, & Beamish, 2017). As such, leading and organizing across multiple

inter- and intra-organizational boundaries has become key to the success of global

organizations (Schotter, Mudambi, Doz, & Gaur, 2017). Conflict mediation forms a

significant part of spanning boundaries in multicultural teams and leading them in that

progressive relationships with conflicting parties that acknowledge differences, interests, and

the participation of disputants can ensure interactional justice and procedural justice and the

reconciliation needed to resolve conflicts (Friedman & Liu, 2009). Conflict mediation leads to

shared values, work ethics, innovation, informality, familiarity, information sharing, and

knowledge transfer, which leads to tasks’ completion (Hong, 2010).

Success in boundary spanning depends on measuring up to and gaining authentic

outlier involvement in engaging involved groups, winning their acknowledgment as a

negotiator, and enacting the role compared to having only the potential to do so (Kane &

Levina, 2017). Among many outcomes, focusing sometimes on the interest of or being

affiliated with one team may create identity issues for both the boundary spanner and team

members, including marginalizing them or undermining their status (Kane & Levina, 2017).

That notwithstanding, individuals with well-adjusted culturally specific identities exhibit

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higher cultural intelligence and are perceived as having leadership qualities in multicultural

teams (Lisak & Erez, 2015).

Resolving conflicts using an integrative approach requires extensive relationship

building and comprehension of the multiple interests of teams, groups, units, and individuals

that pose limitations in situations that require rapid outcomes (Kane & Levina, 2017; Roberts

& Beamish, 2017). Irrespective of the outcomes, conflict resolutions always leave some

parties more disadvantaged, creating status-related issues and uncertainties for disputants,

including the conflict mediator (Kane & Levina, 2017).

Agile organizations

The ‘agile organization’, also known as the ‘entrepreneurial organization’ and the

‘resilient organization’, focuses on the customer, which calls for customized rather than

standardized offerings (Holbeche, 2018). A highly agile organization reacts successfully to

the emergence of new competitors, rapid advancements in technology, and sudden shifts in

overall market conditions. In a global, agile organization, what is needed is smooth, effective

cooperation across national and professional cultures, units, and hierarchical positions (Fotso

et al., 2018; Holbeche, 2018). Agile enterprises thrive in non-hierarchical organizations

without a single point of control (Narel, Yaeger, & Sorensen, 2019). A classic solution to the

increasing uncertainty and mutual dependence that frequently characterize the situation of

global, agile organizations is boundary spanning, a term referring to collaborations between

groups and bridge-making within groups (Balve et al., 2019).

There is an identified gap in the literature about the management of agile

organizations (Mishra, Garbajosa, Wang, Bosch, & Abrahamsson, 2017). There is a need for

practitioners to better understand the management of agile organizations, especially when

they are planning to transform their organization into one (Hanna & Bethzazi, 2018). The

number of culturally diverse agile teams is growing. Despite the benefits of culturally diverse

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agile teams, it is also a challenge for agile managers to lead them efficiently (Crowder &

Friess, 2016; Neubert, 2014).

Agile management. The goal of agile management is customer satisfaction through

early and continuous product and service delivery (Anderson, 2003). Agile management is a

paradigm shift, requiring a different mindset and a different organizational culture with a

strong focus on delivering value for customers with continuous innovation (Denning, 2018a).

This new mindset is a precondition to developing agile organizations (Manninen, 2018),

where late and fast (e.g., product, process) changes are accepted and — what is even more

important — can be recognized and implemented (Rigby, Sutherland, & Takeuchi, 2016).

This flexibility and adaptability to changing and unpredictable situations is a core competence

of agile organizations limiting the upfront planning needs, which is a traditional but no-less-

needed competence of traditional managers (Parker, Holesgrove, & Pathak, 2015). Agile

managers have to understand the advantages and disadvantages as well as the limitations and

objectives of agile management (Rigby et al., 2016). The five most meaningful objectives are

continuous innovation, product adaptability, improved time-to-market (including return on

investment), people and process adaptability, and reliable results (Manninen, 2018).

Agile management is different. It is based on agile principles and values (Manninen,

2018). Traditional line managers tend to work via authority, while agile management gives

autonomy to project teams and individuals (Yi, 2011). Therefore, agile managers need to

empower them (Anderson, 2003; Rigby et al., 2016). Yi (2011) has called it a transformation

of management from command-and-control to leading and coaching, perhaps making this

assumed risk of no control a non-problem in reality.

Self-managed teams. The core element of agile organizations is self-managed teams

(Parker et al., 2015). Self-managed teams are defined as small groups of employees managing

their projects with reduced managerial supervision (Parker et al., 2015). Many managerial

activities like assigning tasks to individuals and controlling the results might now be done in

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self-managed teams (Hanna & Bethzazi, 2018), adapting the organization from hierarchical to

self-management (Moreira, 2017). Agile managers, who also might be called scrum masters,

need to learn how to lead self-managed teams: how to organize sprints, design minimal viable

products, or how to create an aligned project team with a clearly defined vision and goals and

a structure to manage it (Hekkala, Stein, Rossi, & Smolander, 2017).

The main management challenge is to keep the balance between the definition of a

vision and the autonomy of project teams and individuals (Hekkala et al., 2017). Thus, the

agile manager is more focused on empowerment, facilitation, and managing for outcomes

(Parker et al., 2015). The need for traditional line managers in agile organizations is still

under discussion. Strålin, Gnanasambandam, Anden, Comella-Dorda, and Burkacky (2016)

and Yi (2011) argued that traditional line managers will continue to have an important role in

agile organizations. Maximini (2015) stated that traditional line managers might not be

needed in agile organizations, but they should be focused on team members’ development

paths rather than being responsible for the entire team’s performance.

The knowledge gap on managers and challenges of agile organizations

Most existing research on managerial boundary spanning is theoretical (Huang, Luo,

Liu, & Yang, 2016; Kane & Levina, 2017) and linked to knowledge transfers in multicultural

teams (Tippmann, Sharkey Scott, & Parker, 2017). The inductive qualitative strategy of

inquiry has been recommended and proven by scholars to provide required comprehensive

insights into the situated and emergent nature of collaborative boundary spanning as it unfolds

in settings that are characterized by collaboration between globally distributed agencies

towards the remodeling and formation of workplace initiatives, innovations, and knowledge

(Kane & Levina, 2017; Lee, Masuda, Fu, & Reiche, 2018; Tippmann et al., 2017).

An important challenge, especially for larger and more complex agile organizations, is

alignment, coordination, and communication (Hanna & Bethzazi, 2018). Agile managers

might meet this challenge by leading through motivating and inspiring (e.g., storytelling,

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common vision) and actions (e.g., informed decision-making and fast execution) (Denning,

2018b). They need to facilitate organizational learning and to implement the results quickly

into solutions for their customers (Annosi, Martini, Brunetta, & Marchegiani, 2018).

Discussion and Implications of the Integrative Literature Review

The findings of this integrative literature review contribute to knowledge in the areas

of leadership, multicultural team effectiveness, leading and management of multicultural

teams, and intercultural management of agile organizations. This synthesis/integration of

knowledge could drive research related to any global team and multicultural team, and

support researchers in advancing knowledge on and conceptualizing a model/framework for

leadership of multicultural teams in agile organizations.

This integrative literature review offers ample proof of a pressing need to identify and

implement policies and programs that can support the needs and talents of leaders of

multicultural teams (Furusawa & Brewster, 2015) in agile organizations. A better

understanding of managers’ experiences in agile organizations and the implications of their

competencies and skills in leading multicultural teams can help organizations to understand

the relationship between leadership and multicultural team effectiveness or performance

(Kane & Levina, 2017; Kassis-Henderson, Cohen, & McCulloch, 2018; Narel et al., 2019).

Managing multicultural teams exposes leaders to intersectionality dynamics involving

identity, social, and psychological processes of cultural complexity. These may have

implications not only for teams, management, and organizations but also the self (Kassis-

Henderson et al., 2018; West et al., 2017). Insights into these managers’ experiences may also

facilitate new leadership paradigms on cultural diversity in agile organizations (Fitzsimmons,

2013; Hong, Zhan, Morris, & Benet-Martínez, 2016). The growing awareness of cultural

diversity among and within individuals in organizations can help to overcome challenges

related to its management at organization level while also promoting social change (Brannen

& Thomas, 2010; Fitzsimmons, Liao, & Thomas, 2017). Policies regarding multiculturalism

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and interculturalism represent diverse interpretations of and attitudes towards diversity and

have multiple human-oriented (Sarala, Vaara, & Junni, 2017) outcomes for multiculturals and

society at large (Hong et al., 2016). Findings from the selected literature may thus also drive

research on how the personal characteristics of leaders shape their approach to facilitating

multicultural team effectiveness (Kane & Levina, 2017).

A leader’s ability to learn about and facilitate workplace diversity contributes to

organizational awareness of the social change implications of this phenomenon (Dreachslin,

Weech-Maldonado, Gail, Epané, & Wainio, 2017). Leaders of multicultural teams are critical

to realizing positive changes in the workplace, having to assume mediating roles in these

teams and overcome boundary spanning challenges, manage conflicts, and meet the need to

be effective (Lakshman, 2013; Osland, Li, & Mendenhall, 2016). Studies that highlight

findings underlying the existence of cultural diversity within teams and agile organizations

can facilitate social change in organizations as many accepted assumptions about managing

organization-level diversity are challenged (Linehan, 2017; Narel et al., 2019). The

recommendations made on the basis of this integrative literature review may prove beneficial

in enhancing the effectiveness of agile organizations to manage and benefit from key human

capital resources (Balve et al., 2019).

Managerial implications

Researchers’ recommendations for professional practice require interpretation,

regardless of the research design’s nature: professional practice is informed in the main by

qualitative research (Stake, 2010). A researcher’s professional and personal experiences,

sample-based experiences, and experiences of their study’s audiences inform these

interpretations (Stake, 2010). Experiences of leading and associating with culturally diverse

individuals in personal and professional settings as well as career stages offered an

experiential lens through which the authors evaluated the findings of this review. This also

made it possible to access the significance of the research results for decision-makers in

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multicultural teams, such as team members and human resource managers (Bhatta & Thite,

2019). Multicultural team members who are also decision-makers in their teams can facilitate

the creation of work environments that support strategies for managing related social identity

issues linked to both positive and negative outcomes of their leadership and authority,

especially when functioning as collaborative boundary spanners (Kane & Levina, 2017).

Effective identification, understanding, and management of a multicultural team’s unique

make-up, abilities, and challenges that arise have been positively linked to the effectiveness of

such teams (Brannen & Thomas, 2010; Linehan, 2017).

Multicultural team decision-makers need recommendations on management practices

that will effectively support the ability to lead multicultural teams. Decision-makers in global

organizations need to broaden their understanding of management experiences of

multicultural teams in agile organizations and the implications of these team leaders’

competencies and skills in leading them. This review can inform that process by facilitating

decision-makers in agile organizations who are designing global talent management programs

to comprehend how culturally diverse individuals and their competencies and skills can be

attracted and integrated for organizational success (Furusawa & Brewster, 2015). It can

facilitate decision-making that creates working environments where multicultural teams are

deemed a valuable management asset in agile organizations (Dau, 2016; Korzilius et al.,

2017).

Placing individuals who understand multiple cultures as leaders of multicultural teams

can boost team performance (Brannen & Thomas, 2010; Hong, 2010). Yet, there is need for

greater focus on complex team-level competencies that result in better performance (Dau,

2016; Engelhard & Holtbrügge, 2017; Lisak & Erez, 2015). Managers can also share insights

into challenges to leadership effectiveness, especially in collaborative boundary spanning

situations that include issues of communication, language variations, location of team

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members, team members’ and their leader’s ethnic orientation, team members’ and their

leader’s dominant cultural identities, interpersonal identity, and so forth.

At the same time, there is need for in-depth examination of bicultural individuals’

roles in the complexity of multicultural team management and effectiveness (Kane & Levina,

2017; Kassis-Henderson et al., 2018). Intersectionality issues involving identity processes and

outcomes may arise in multicultural teams when their members include ethnic minorities

(West et al., 2017). Discrimination from dominant groups may lead to hostile outcomes of

inhibited self-esteem and sense of belonging and motivation, as well as increased substance

abuse, depression, and impaired cognitive performance (Hong et al., 2016). Greater awareness

is required regarding the impact of workplace social identity challenges on a leader’s ability

to effect collaborative boundary spanning (Kane & Levina, 2017). The competency to

effectively lead a multicultural team, for example, in having bicultural leadership competence,

is both an individual- and team-level phenomenon (Kane & Levina, 2017; West et al., 2017).

Theoretical implications

The quest to bridge the gap in the literature on the relationship between leaders’

competencies and multicultural team effectiveness is eminent (Dau, 2016; Jang, 2017). The

purpose of this integrative literature review was to formulate new knowledge and

recommendations for further research that can be applied to measure the effectiveness of

managers leading multicultural teams in characteristically agile organizations. This integrative

literature review was framed by two key concepts: Hanna and Bethzazi’s (2018) concept of

agile leadership models, and Lisak and Erez’s (2015) concept of leadership emergence in

multicultural teams. Hanna and Bethzazi’s (2018) concept of agile leadership models defines

most managers in agile organizations as the “achiever” with a strong trend to the “catalyst”

level (Hanna & Bethzazi, 2018). Lisak and Erez’s (2015) concept of leadership emergence in

multicultural teams based on social identity theory (Tajfel & Turner, 1986; Turner et al.,

Electronic copy available at: https://ssrn.com/abstract=3507635

1987) reflects the emergence of a shared social identity due to the enhancement of people’s

perceptions of their mutual and collective similarities.

Research on leadership such as that reviewed can contribute to theory building by

helping to bridge the micro–macro gap in theoretical and empirical work, to relate the

leadership phenomenon being studied and other disciplines, to apply traditional leadership

theories to the leadership phenomenon being studied, and to test leadership typology (Osland

et al., 2016). In addition to possessing knowledge of cultural beliefs, values, norms, and habits

in social interactions within multicultural settings, leaders of multicultural teams need to be

capable of facilitating cross-cultural communications (Korzilius et al., 2017; LaFromboise,

Coleman, & Gerton, 1993; Lakshman, 2013). International and multicultural competencies

are needed to effect boundary spanning and conflict resolution, and to help improve

multicultural team effectiveness (Furusawa & Brewster, 2015; Osland et al., 2016; Schindler,

Reinhard, Knab, & Stahlberg, 2016).

Employers must be informed of potential leaders’ knowledge and capabilities in

leading multicultural teams and the criticality of this development for today’s agile

organizations (Zander, Mockaitis, & Butler, 2012). This integrative literature review can be

utilized by future researchers as foundational material in studies to extend the theoretical

foundations framing the study, provide replication evidence, and extend the results of prior

studies in emerging and critical theoretical directions (Bonett, 2012).

Future Recommendations and Conclusions

The need for in-depth examination of the complexity of multicultural team

effectiveness within agile organizations is paramount and has been a part of previous

scholarly calls for further related research (Kane & Levina, 2017; Kassis-Henderson et al.,

2018). Future research may investigate how leaders’ personal and professional experiences

shape their willingness to facilitate multicultural team effectiveness (Kane & Levina, 2017).

Electronic copy available at: https://ssrn.com/abstract=3507635

 Today’s organizations face extremely turbulent environments, in which high levels of

insecurity, complexity, and dynamism are significant features. There is a need to develop

dynamic, managerial-cognitive capabilities that would lead organizations to be agile enough

to detect environmental changes early, which would, in turn, give them the leverage, business

opportunities, and competitive edge to exploit market opportunities (Helfat & Martin, 2015;

Teece, 2018). These issues need to be further explored to address the literature gap on how

managerial competencies can be utilized to build organizational agility and develop dynamic

capabilities for commencing digital transformation (Albort-Morant, Leal-Rodriguez,

Fernandez-Rodriguez, & Ariza-Montes, 2018; Teece, 2018).

An integrative literature study addresses the quest to fill a gap in theoretical

knowledge and make recommendations for emerging studies (Merriam & Tisdell, 2015).

Organizational leaders in agile organizations have a critical knowledge gap on the managerial

experiences that facilitate easy adaptation to situationally salient cultural contexts while

promoting cultural diversity within organizations (Linehan, 2017; Roberts & Beamish, 2017;

Van Oudenhoven & Benet-Martínez, 2015). Emerging researchers can utilize this review to

contribute new knowledge using appropriate quantitative research methods or fitting

qualitative research models to address subjects in diverse contexts. Quantitative research that

includes a survey could provide important insights into a relevant large-sample population.

Broad-sampled views of individuals leading multicultural teams, such as biculturals, for

example, may differ based on family and social profiles (Kane & Levina, 2017) as well as

location. Longitudinal studies that examine changes in bicultural identity integration within

such profiles could prove beneficial in understanding the relationship between leaders’

competencies and the effectiveness of multicultural teams. An extensive quantitative study

may reveal discrepancies and similarities underlying changes in various dimensions of

previous research on the experiences of multicultural team managers, and especially in

relation to agile organizations.

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 The authors encourage use of the multiple-case study method for future research

relating to this topic to discover differences among managers leading multicultural teams.

Research is recommended to explore how family, social, and geographic profiles shape

individuals’ readiness to facilitate multicultural team effectiveness (Kane & Levina, 2017).

Fitzsimmons (2013) and Fitzsimmons et al. (2017) supported that important insights can be

gained in studying the relationship between leaders’ backgrounds and leadership dispositions

and actions. Research is also recommended on how a team’s multicultural characteristics

shape the relationship between managers’ competencies and team effectiveness. Additionally,

merging research on similar studies could be based on an equally gender-balanced sample,

which could offer greater understanding of the gendered aspect of the relationship between

managers’ competencies and multicultural team effectiveness.

Utilizing the case study method and other qualitative approaches may provide

opportunities for a more contextual scholarly exploration of management experiences of

multicultural team leaders and the implications of their competencies and skills in leading

such teams within the context of agile organizations. Such research may also facilitate

extensions to this study’s conceptual framework by offering original, qualitative data to the

concepts of and theories on agile leadership models and leadership emergence in multicultural

teams. Related studies could also include empirical investigation of living and switching

between the cultural complexities and diversities associated with multicultural team members.

Further research is also needed to fill a gap in the literature on the relationship between

managerial competencies and multicultural team effectiveness for achieving agility in

organizational functioning (Jang, 2017).

Qualitative data may also be added to the leadership emergence in multicultural teams

framework (Lisak & Erez, 2015) grounded in social identity theory (Tajfel & Turner, 1986;

Turner et al., 1987) indicating that the enhancement in people’s perceptions of their mutual

and collective similarities creates shared social identity. Ever-changing demographics and an

Electronic copy available at: https://ssrn.com/abstract=3507635

increasingly multicultural workforce have boosted awareness regarding the importance of

exploring sources of talent for collaborative boundary spanning globally (Furusawa &

Brewster, 2015). Among others, emerging research can be focused on the attraction and

development of and support for leaders of multicultural teams in human resource management

practices such as global talent management programs (Bhatta & Thite, 2019; Furusawa &

Brewster, 2015), especially in agile organizations.

Final Thoughts

Effective multicultural team leadership that also drives the team’s performance

requires cultural intelligence, global identity, and openness to cultural diversity (Ang et al.,

2006; Fotso et al., 2018; Shokef & Erez, 2008). While these three competencies have been

found to characterize emergent leadership in multicultural teams (Lisak & Erez, 2015),

empirical inquirers studying key leadership phenomena in multicultural settings such as

emergent leadership are yet to give prominence to the multicultural approach (Lisak & Erez,

2015), including the study of cultural intelligence, global identity, and openness to cultural

diversity (Ang et al., 2006; Shokef & Erez, 2008). Management research must explore deeper

into the identity negotiation or cultural frame switching processes that support leaders in

adapting to situationally salient cultural contexts and that help to facilitate cultural diversity

within multicultural organizations (Linehan, 2017; Roberts & Beamish, 2017; Van

Oudenhoven & Benet-Martínez, 2015), and agile organizations in particular.

This integrative literature review provides in-depth knowledge to formulate new

knowledge and recommendations for further research that can be applied to measure the

leadership effectiveness of multicultural teams in agile organizations. The work environment

influences leaders’ competencies and their effectiveness in managing challenges related to

multicultural teams (Dau, 2016; Korzilius et al., 2017) and the ability to enhance team

outcomes (Brannen & Thomas, 2010; Hong, 2010) and complex team-level competencies

associated with better performance (Engelhard & Holtbrügge, 2017; Lisak & Erez, 2015).

Electronic copy available at: https://ssrn.com/abstract=3507635

These challenges increase as agile self-managed teams become more culturally diverse

(Crowder & Friess, 2016; Holbeche, 2018). Agile managers need to understand these cultural

differences in organizations to avoid barriers and to tackle inefficiencies (Holbeche, 2018;

Hofstede, Hofstede, & Minkov, 2010). Managers and leaders of multicultural teams need to

have a high intercultural competence to integrate employees with diverse cultural

backgrounds successfully in their teams and to successfully facilitate communication and

knowledge sharing among them (Neubert, 2014) using agile management tools (Dalton,

2019). Building capacity, managing change and digital transformation, and raising

performance in agile organizations only works if synergies and symbioses are developed that

utilize the cultural strengths of every manager leading multicultural teams (Bhatta & Thite,

2019; Narel et al., 2019; Neubert, 2014; Teece, 2018).

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 Appendix A. Representative Literature on Multicultural Teams Selected

for Review

Rank Title Year Author(s) Type of Citations

Document
1 “Multicultural Employees: A 2013 Fitzsimmons Journal 148
Framework for Understanding how they article
Contribute to Organizations.”
2 “Leadership Emergence in Multicultural 2015 Lisak & Erez Journal 64
Teams: The Power of Global article
Characteristics.”
3 “Multicultural Identity Processes.” 2016 Hong, Zhan, Journal 22
Morris, & Benet- article
Martínez
4 “Multiculturalism and Innovative Work 2017 Korzilius, Journal 19
Behavior: The Mediating Role of Cultural Bücker, & article
Intelligence.” Beerlage
5 “From Crossing Cultures to Straddling 2017 Fitzsimmons, Journal 12
Them: An Empirical Examination of Liao, & Thomas article
Outcomes for Multicultural
Employees.”
6 “Biculturals, Team Facilitation and 2017 Engelhard & Journal 2
Multicultural Team Performance. An Holtbrügge article
Information-Processing Perspective.”

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 Appendix B. Representative Literature on the Agile Organization Selected

for Review

Rank Title Year Author(s) Type of Citations

Document
1 “Embracing Agile.” 2016 Rigby, Journal 148
Sutherland, & article
Takeuchi
2 “Learning in an Agile setting: A 2018 Annosi, Martini, Journal 14
Multilevel Research Study on the Brunetta, & article
Evolution of Organizational Routines.” Marchegiani
3 “Redefining Leadership for a Digital 2017 Neubauer, Online 3
Age.” Tarling, & Wade article
4 “How Major Corporations are Making 2018 Denning Journal 2
Sense of Agile.” article
5 “Future Directions in Agile Research: 2017 Mishra, Journal 2
Alignments and Divergence between Garbajosa, article
Research and Practice.” Wang, Bosch, &
Abrahamsson
6 “Succeeding in an Increasingly Agile 2018 Denning Journal 1
World.” article

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