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Understanding the Role of Culture Chapter 3 2 What is Culture? F The culture of a society comprises the shared values, understandings, assumptions, and.

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Presentation on theme: "Understanding the Role of Culture Chapter 3 2 What is Culture? F The culture of a society comprises the shared values, understandings, assumptions, and."— Presentation transcript:

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2 Understanding the Role of Culture Chapter 3

3 2 What is Culture? F The culture of a society comprises the shared values, understandings, assumptions, and goals that are learned from earlier generations, imposed by present members of a society, and passed on to succeeding generations.

4 DEFINITIONS OF CULTURE Culture is something -  shared by all or almost all members of some social group;  passed on to the younger members by the older members;  shapes behavior, or structures one’s perception of the world Carrol (1982) The collective programming of the mind which distinguishes the members of one group or category of people from another Hofstede (1980)

5 Nature of Culture F Learned F Shared F Transgenerational F Symbolic F Patterned F Adaptive

6 INFLUENCE OF CULTURE ON BEHAVIOR Culture Values Attitudes Behaviors Source: Adler (1991)

7 Values in Culture U.S. Cultural ValuesAlternative ValuesExamples of Management Function Affected U.S.Values and Possible Alternatives Individuals can influence the future (when there is a will there is a way). Life follows a preordained course, and, human action is determined by the will of God. Planning and scheduling Individuals should be realistic in their aspirations. Ideals are to be pursued regardless of what is “reasonable.” Goal setting and career development We must work hard to accomplish our objectives (Puritan ethic). Hard work is not the only prerequisite for success. Wisdom luck, and time also are required. Motivation and reward system

8 Values in Culture U.S. Cultural ValuesAlternative ValuesExamples of Management Function Affected U.S.Values and Possible Alternatives A primary obligation of an employee is to the organization. Individual employees have a primary obligation to their family and friends. Loyalty, commitment, and motivation Employees can be removed if they do not perform well. The removal of an employee from a position involves a great loss of prestige and will rarely be done. Promotion Company information should be available to anyone who needs it within the organization. Withholding information to gain or maintain power is acceptable. Organization, communication, and managerial style

9 Values in Culture U.S. Cultural ValuesAlternative ValuesExamples of Management Function Affected U.S.Values and Possible Alternatives Competition stimulates high performance. Competition leads to unbalances and disharmony. Career development and marketing What works is important..Symbols and the process are more important than the end point. Communication, planning, and quality control.

10 Environmental Variables Affect Management National Sociolocultural Economic Physical Religion Legal Technological Education Political know-how Language Cultural Attitudes Values Work Individualism Norms Time Change Beliefs Materialism Employee Job Behavior Motivation Commitment Productivity Ethics

11 Cultural Orientations ---Individual F What is the basic nature of people? * GOOD: People are generally to be trusted * EVIL: People are not to be trusted without prior knowledge of them * CHANGEABLE/UNCHANGEABLE: Kluckhoha & Strodtbeck (1961)

12 Cultural Orientations ---World F What is our basic relationship to the environment around us ? * MASTERY: To control and master nature and the environment around us. * HARMONY: To be part of and to maintain the balance of forces in the world around us. * SUBJUGATION: To follow our predetermined path and obey the natural and supernatural forces around us.

13 Cultural Orientations ---Human Relations F What is the natural relationships among humans? * INDIVIDUAL: Our main responsibility is to and for ourselves and immediate family. * COLLECTIVE: Our main responsibility is to and for a large group of people. * HIERARCHY: Power and responsibility are unequally distributed, with those having power over others also having responsibility for them.

14 Cultural Orientations ---Activity F What is human’s naturally preferred of activity? * DOING: To constantly work to achieve goals. * BEING: To be spontaneous, do things in their own time, and live life to its fullest. * THINKING: To be rational, think things through carefully and thoroughly before acting.

15 Cultural Orientations ---Time F What is human’s orientation to time? * PAST: The past serves as the best precedent for the present and future and past experience is the most important criterion by which to make decisions. * PRESENT: Current and short-term future needs provide the most important criteria by which to make decisions. * FUTURE: Long-term future goals are most important, and current needs should be sacrificed willingly for future gains.

16 Cultural Orientations ---Space F What is human orientation to space? * PRIVATE: Space and its contents belong to people, territories are important, and people cannot freely enter each other’s territories. * PUBLIC: Space and its contents belong to no one in particular and can be used by everyone freely.

17 Strengths of the Model F In general terms, cultures can be compared along distinct orientations; F Comparative models apply to cross- cultural management.

18 Weaknesses of the Model F The orientations and variations are imprecisely defined; F Interpretations are bound to be subjective. F Not centrally concerned with management studies, and did not describe the implications for management.

19 DIMENSIONS OF CULTURE BY HOFSTEDE F Power Distance F Individualism vs. Collectivism F Masculinity vs. Femininity F Uncertainty Avoidance F Long-term vs. Short-term Based on the survey of more than 116,000 managers and employees in over 60 countries (Hofstede, 1980) and the research by the Chinese Culture Connection team (1987).

20 POWER DISTANCE The extent to which the members of a society accept that power in institutions and organizations is distributed unequally.

21 High Power Distance F Managers should be careful not to ask the opinions of subordinates too frequently, otherwise the manager might appear to be weak and incompetent; F Higher level managers should receive more benefits and privileges than lower level managers; F Managers should make most decisions without consulting subordinates.

22 POWER DISTANCE IN THE WORKPLACE Small power distance F Hierarchy - inequality of roles F Decentralization F Subordinates expect to be consulted F Ideal boss is a resourceful democrat Large power distance F Hierarchy - existential inequality F Centralization F Subordinates expect to be told what to do F Ideal boss is a good father

23 INDIVIDUALISM VS. COLLECTIVISM Individualism relates to “societies in which the ties between individuals are loose”. Collectivism pertains to societies in which people are “integrated into strong, cohesive ingroups”

24 Collectivism F It is important for a manager to encourage loyalty and a sense of duty in subordinates; F Being an accepted member of the group is more important than having autonomy and independence on the job; F Individual rewards are not as important as group welfare; F Group success is more important than individual success.

25 INDIVIDUALISM AND COLLECTIVISM IN THE WORKPLACE Collectivist F Relationship is perceived in moral terms F Management of groups F Relationship more important than task F Reward given to the group Individualist F Relationship is a contract based on mutual advantage F Management of individuals F Task more important than relationship F Reward linked to individual’s performance

26 Masculinity/Femininity Masculinity is the extent to which the dominant values in society emphasize assertiveness and the acquisition of money and things. Femininity is the extent to which the dominant values in society emphasize relationships among people, concern for others, and the overall quality of life.

27 Masculinity F It is more important for men to have a professional career than it is for women. F Women do not value recognition and promotion in their work as much as men do. F It is preferable to have a man in higher level position rather than a woman. F There are some jobs in which a man can always do better than a woman.

28 MASCULINITY/FEMININITY IN WORKPLACE Feminine F Work in order to live F Stress on equality and quality of work life F Managers use intuition and strive for consensus F Resolution of conflicts by compromise and negotiation Masculine F Live in order to work F Stress on equity, competition, and performance F Managers expect to be decisive and assertive F Resolution of conflicts by fighting them out

29 Uncertainty Avoidance The extent to which the people in a society feel threatened by ambiguous situations, and have created beliefs and institutions that try to avoid these.

30 Strong Uncertainty Avoidance F It is important to have job requirements and instructions spelled out in details so that people always know what they are expected to do. F It is better to have a bad situation that you know about than to have an uncertain situation which might be better. F People should avoid making changes because things could get worse.

31 UNCERTAINTY AVOIDANCE IN WORKPLACE Weak UA F No more rules than is strictly necessary F Time is a framework for orientation F Comfortable feeling when lazy F Motivation by achievement and esteem Strong UA F Emotional need for rules F Time is money F Inner urge to work hard F Motivation by security and esteem or belongingness

32 Long-Term vs. Short-Term Orientation The degree of values oriented towards the future or towards the past and present.

33 Societies Key Differences between Long-Term and Short-Term Orientation Societies Short-Term F Respect for social and status obligations regardless of cost F Small savings quote F Concern with possessing the truth F Respect for traditions Long-Term F Respect for social and status obligation within limits F Large savings quote F Concern with respecting the demands of Virtue F Adaptation of traditions to a modern context

34 Weaknesses of Hofstede’s Model F It assumes that national territory and the limits of the culture correspond. F The respondents worked within a single industry and a single multinational. F Inappropriate assumption of bipolarity in two dimensions: Individualism and masculinity.

35 Strengths of Hofstede’s Model F The information populations controlled across countries. F The four dimensions tap into deep cultural values and make significant comparisons between national cultures. F The connotations of each dimension are highly relevant. F No other study compares so many cultures in so much details.

36 Trompenaars’ Cultural Dimensions F Trompenaar’s research was conducted over a 10-year period and published in F He gathered data from 15,000 managers from 28 countries, representing 47 national cultures.

37 Trompenaars’ Cultural Dimensions F Universalism: belief that ideas and practices can be applied everywhere in the world without modification –In countries with high universalism, focus is more on formal rules, business contracts are adhered to closely, people believe “a deal is a deal” –Includes Canada, U.S., Germany, U.K., Netherlands, France, Japan, Singapore, Thailand, and Hong Kong. VS. UniversalismParticularism

38 Trompenaars’ Cultural Dimensions F Particularism: belief that circumstances dictate how ideas and practices should be applied and something cannot be done the same everywhere –In countries with high particularism, legal contracts often modified, well-acquainted people often change the way in which deals are executed –Includes China and South Korea VS. UniversalismParticularism

39 Trompenaars’ Cultural Dimensions F Individualism: people regard themselves as individuals –In countries high on individualism, people stress personal and individual matters, and are more likely to make negotiated decisions on the spot by a representative, achieve things alone and assume great personal responsibility –Includes Canada, Thailand, U.K., and U.S. VS. IndividualismCommunitarianism

40 Trompenaars’ Cultural Dimensions F Communitarianism: people regard themselves as part of a group –In countries high on communitarianism, people value group-related issues, refer decisions to committees, achieve things in groups and jointly assume responsibility –Includes Singapore, Malaysia and Korea VS. IndividualismCommunitarianism

41 Trompenaars’ Cultural Dimensions F Neutral: culture in which emotions are held in –In high neutral culture countries, people try not to show their feelings, act stoically and maintain their composure –Includes Japan and the U.K. F Affective: culture in which emotions are expressed openly and naturally –In high emotional culture countries, people smile a great deal, talk loudly when excited and greet each other with enthusiasm –Includes Mexico and China VS. NeutralAffective

42 Trompenaars’ Cultural Dimensions F Specific culture: individuals have a large public space shared with others and a small private space they guard closely and share only with close friends and associates –In high specific cultures, people are more open and extroverted, and there is a strong separation of work and private life –Includes U.K., U.S. and France VS. SpecificDiffuse

43 Trompenaars’ Cultural Dimensions F Diffuse culture: public and private space are similar in size, individuals guard public space carefully because it is shared with private space –In high diffuse cultures, people often appear to be indirect and introverted, and work and private life often are closely linked –Includes China and Spain VS. SpecificDiffuse

44 Trompenaars’ Cultural Dimensions F Achievement culture: status is accorded based on how well people perform their functions –Includes U.S., Switzerland and the U.K. F Ascription culture: status is based on who or what a person is –Includes Spain, Japan, and China VS. AchievementAscription

45 Trompenaars’ Cultural Dimensions F Sequential approach –People do only one activity at a time, keep appointments strictly, prefer to follow plans as laid out (United States) F Synchronous approach –People tend to multi-task, view appointments as approximate, schedules are seen as subordinate to relationships (France, and Mexico) F Present oriented/future oriented –Future is more important (U.S., Italy, and Germany) –Present is more important (Venezuela, Indonesia, and Spain) –All three time periods equally important (France and Belgium) Time

46 Trompenaars’ Cultural Dimensions F Inner-directed: people believe in controlling outcomes –Includes U.S., Switzerland, Australia, Belgium, Indonesia, Hong Kong, Greece, Singapore, and Japan F Outer-directed: people believe on letting things take their own course –Includes China and many other Asian countries The Environment

47 GLOBE Project F The GLOBE (Global Leadership and Organizational Behavior Effectiveness) F Multi-country study and evaluation of cultural attributes and leadership behavior F Dimensions are based on data gathered by 170 researchers over seven years. The data were collected from 18,000 managers in sixty-two countries.

48 GLOBE Project F Based on beliefs that –Certain attributes that distinguish one culture from others can be used to predict the most suitable, effective and acceptable organizational and leader practices within that culture –Societal culture has direct impact on organizational culture –Leader acceptance stems from tying leader attributes and behaviors to subordinate norms

49 GLOBE Project: N ine Dimensions  Assertiveness F Future orientation F Performance orientation F Humane orientation F Gender differentiation F Uncertainty avoidance F Power distance F Institutional collectivism vs. individualism F In-group collectivism

50 GLOBE Dimensions F Assertiveness concerns how much people are expected to be tough, confrontational, and competitive versus modest and tender. Low assertiveness countries have sympathy for the weak and emphasize loyalty and solidarity. –Low: Sweden, New Zealand, Switzerland –High: Greece, Austria, Germany

51 GLOBE Dimensions F Performance orientation concerns the importance of performance improvement and excellence and refers to whether people are encouraged to strive for continued improvement. Low performance orientation countries place priority on things like tradition, loyalty, family, and background. They associate competition with defeat. –Low: Russia, Argentina, Greece –High: New Zealand, Hong Kong, Singapore

52 GLOBE Dimensions F Future orientation Future orientation refers to the importance a society attaches to future- oriented behaviors, such as planning and investing in the future. High future orientation countries tend to save and have a longer time horizon for decisions. Low future orientation countries are the opposite. –Low: Russia, Argentina, Poland –High: Netherlands, Switzerland, Singapore

53 GLOBE Dimensions F Humane orientation concerns the extent to which a society encourages and rewards being fair, altruistic, generous, caring, and kind. Paternalism and patronage, tolerance, and harmony are values in high humane orientation cultures. In low humane orientation cultures people value power, material possessions, and self-enhancement. –Low: Germany, Spain, France –High: Malaysia, Ireland, Philippines

54 Cultural Clusters

55 How Culture Affects Managerial Approaches In some societies, top managers make all important organizational decisions. In others, these decisions are diffused throughout the enterprise, and middle- and lower-level managers actively participate in, and make, key decisions. VS. Centralized Decision Making Decentralized Decision Making

56 How Culture Affects Managerial Approaches In some societies, organizational decision makers are risk averse and have great difficulty with conditions of uncertainty. In others, risk taking is encouraged, and decision making under uncertainty is common. VS. SafetyRisk

57 How Culture Affects Managerial Approaches In some countries, personnel who do outstanding work are given individual rewards in the form of bonuses and commissions. In others, cultural norms require group rewards, and individual rewards are frowned on. VS. Individual RewardsGroup Rewards

58 How Culture Affects Managerial Approaches In some societies, much is accomplished through informal means. In others, formal procedures are set forth and followed rigidly. VS. Informal ProceduresFormal Procedures

59 How Culture Affects Managerial Approaches In some societies, people identify very strongly with their organization or employer. In others, people identify with their occupational group, such as engineer or mechanic. VS. High Organizational Loyalty Low Organizational Loyalty

60 How Culture Affects Managerial Approaches Some societies encourage cooperation between their people. Others encourage competition between their people. VS. CooperationCompetition

61 How Culture Affects Managerial Approaches Some cultures focus most heavily on short- term horizons, such as short-range goals of profit and efficiency. Others are more interested in long-range goals, such as market share and technologic development. VS. Short-term HorizonsLong-term Horizons

62 How Culture Affects Managerial Approaches The culture of some countries encourages stability and resistance to change. The culture of others puts high value on innovation and change. VS. StabilityInnovation


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