Narcissistic Leadership: Impact on Knowledge Sharing in Business
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Understanding Narcissism in Leadership
Narcissism, regarded as one of the three dark-triad characteristics, is frequently observed among high-ranking leaders.
The critical inquiry is whether this trait obstructs effective business operations or if it can provide the ambition necessary for business success. Naturally, narcissists would assert that their abilities and drive are advantageous to the organization. However, research conducted by the University of Washington presents a different perspective, likely aligning with the experiences of numerous employees and leadership specialists.
Research Findings on Narcissism
In their study, researchers evaluated leaders from various business units within a prominent Chinese headhunting firm. The leaders assessed their narcissistic tendencies using a standardized questionnaire, while also considering the intricacies and dynamics of the local market, as well as perceived competition among business units. Subsequently, their subordinates were asked to evaluate the extent of knowledge sharing within their teams.
The results revealed a significant correlation: narcissism negatively affected knowledge sharing. Interestingly, this effect was influenced by the complexity of the environment. In scenarios marked by stability and heightened inter-unit competition, knowledge sharing was particularly restricted.
While some may argue that fostering internal competition can be advantageous for an organization, these findings indicate that excessive competition can be detrimental, especially in complex environments where knowledge transfer is crucial.
So, it's essential to approach internal competition with caution and to be wary of the potential pitfalls associated with narcissistic leadership.
Reference
Xin Liu, Lin Zhang, Abhinav Gupta, Xiaoming Zheng, Changqi Wu.
Upper echelons and intra‐organizational learning: How executive narcissism affects knowledge transfer among business units.
Strategic Management Journal, 2022
DOI: 10.1002/smj.3406
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Andy shares daily insights on various topics related to the brain, behavior, and business. Follow him for your regular updates. He is also the author of Leading Brains Review, an online magazine dedicated to exploring the intersections of neuroscience, behavior, and business.