This study examines how balancing current and needed leadership competencies (“competency ambidexterity”) impacts leadership success and derailment risk across different cultural contexts.

Key findings include:

  • In uncertain environments, leaders with high levels of both current and needed competencies have lower derailment risk.
  • Cultural values shape how competency balance affects leadership outcomes:
    • In collectivist cultures (e.g. Japan), moderate competency levels mitigate derailment risk, as standing out is discouraged.
    • In assertive cultures (e.g. USA), very high competency levels are needed to lower derailment risk and maintain effectiveness.
  • Leaders must continuously update skills to match changing demands, especially in today’s dynamic global business environment.
  • HR practices should consider cultural nuances when developing and evaluating leadership competencies.

The researchers used a mixed-methods approach, combining survey data from 766 American and Japanese managers with interviews of leaders across four countries. This comprehensive study offers insights for leadership development and global talent management in multinational corporations.

The findings highlight the importance of both competency balance and cultural context in predicting leadership success. Organizations should foster competency ambidexterity while accounting for cultural differences in how leadership skills are perceived and valued.

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