cultural dimensions of global is at ion

8/3/2019 Cultural Dimensions of Global is at Ion

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CULTURAL DIMENSIONS OF

GLOBALISATION


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Dimensions of Globalization

Economic dimension: Globalization is the processwhereby the world economies are becomingincreasingly integrated and interdependent, market-

oriented approaches to development are spreading,the notion of state provision of privatization andderegulation are being withdrawn, trade andinvestment are being liberalized, and increased

penetration of transnational corporations in life isbeing encouraged.


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Technological dimension: Globalization is theprocess of rapid innovation and increasing inter-connectivity, particularly for information and

communication services, and biotechnologies. This isthe process in which knowledge is the mostimportant factor determining the standard of living,more than capital or labour. Today's most

technologically advanced economies are trulyknowledge based (World Bank, 1998).


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Political dimension: Globalization is the new processof shifting the power from national governments indirecting and influencing their economies, to globalinstitutions, such as the World Bank, the European

Union, the European Central Bank, the World TradeOrganization, the World Health Organization, andthe World Tourism Organization. In order to survive,national governments that can no longer manage

their national economies must increasingly managenational politics by adapting them to the pressures oftransnational market forces.


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Sociological Dimension: Globalization is the processof incorporating people into a single world society.The world is becoming a global village

Environmental dimension: Globalization is theprocess of increasing inter-linkages betweenecosystems, accelerating biological invasions,simplifying and homogenizing natural systems, and

intensifying pressure on global commons.


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Cultural dimension: Globalization is the process ofincreasing homogeneity of lifestyles and aspirations

via media, TV, films, tourism, etc., combined withthe rapid spread of different views and greateropportunities for marginalized voices to be heard.

Cultural globalisation refers to the emergence of aspecific set of values and beliefs that are largely

shared around the planet (Castells, 2009, p. 117).


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INDIVIDUALISM VERSUS COLLECTIVISM

In an individualist culture, the interest of the individualprevails over the interests of the group. Ties betweenindividuals are loose. People look after themselves andtheir immediate families. Masakazu (1994) defines

modern individualism as a view of humanity thatjustifies inner beliefs and unilateral self-assertion, as wellas competition based on these

In a collectivist culture, the interest of the group prevailsover the interest of the individual. People are integrated

into strong, cohesive in-groups that continue throughouta lifetime to protect in exchange for unquestioningloyalty (Hofstede, 1997).


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INDIVIDUALISM VERSUS COLLECTIVISM

In individualist cultures, goals are set with minimalconsideration given to groups other than perhaps

your immediate family.

In collectivist cultures, other groups are taken intoaccount in a major way when goals are set.

Individualist cultures are loosely integrated.

Collectivist cultures are tightly integrated.


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STYLES OF COMMUNICATION

The styles of communication is the extent to which speakers revealintentions through explicit verbal communication.

In the direct style, associated with individualism, the wants, needs, anddesires of the speaker are embodied in the spoken message.

In the indirect style, associated with collectivism, the wants, needs, and

goals of the speaker are not obvious in the spoken message. Rojjanaprapayon (1997), for example, demonstrated specific

communication strategies in Thai communication: Thais do not usespecific names when they express negative feelings; Thais tend to usewords and phrases expressing probability, such as maybe, probably,sometimes, likely, and I would say so, but I am not sure; Thais donot show their feelings if doing so would make the other person feelbad; and Thais also use indirect nonverbal communication by havingless or avoiding eye contact and keeping greater personal distance.


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MASCULINITY VERSUS FEMININITY

Hofstede (1980) found that womens social rolevaried less from culture to culture than mens. Helabelled as masculine cultures those that strive formaximal distinction between what women and men

are expected to do. Cultures that place high values onmasculine traits stress assertiveness, competition,and material success. Those labelled as femininecultures are those that permit more overlapping

social roles for the sexes. Cultures that place highvalue on feminine traits stress quality of life,interpersonal relationships, and concern for the

weak.


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POWER DISTANCE

Hofstede (1997) defines power distance as the extent towhich less powerful members of institutions andorganizations within a country expect and accept that power isdistributed unequally (p. 28).

Power distance also refers to the extent to which power,

prestige, and wealth are distributed within a culture. Cultureswith high power distance have power and influenceconcentrated in the hands of a few rather than distributedthroughout the population. These cultural environments tendto be more authoritarian and may communicate in a way tolimit interaction and reinforce the differences between people.

In the high power distance workplace, superiors andsubordinates consider each other existentially unequal. Poweris centralized, and there is a wide salary gap between the topand bottom of the organization.


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UNCERTAINTY AVOIDANCE

Uncertainty avoidance is the extent to which peoplein a culture feel threatened by uncertain or unknownsituations.

Cultures strong in uncertainty avoidance are active,aggressive, emotional, compulsive, security seeking,and intolerant; cultures weak in uncertaintyavoidance are contemplative, less aggressive,

unemotional, relaxed, accepting of personal risks,and relatively tolerant


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DIVERSITY AND INNOVATION

As innovation processes depend on harnessingcreativity, and while dynamic as well as supportivesystems of management can elicit the best from staff,like-minded people will usually produce like-mindedresults. Diversity in the workforce can, however, helpcompanies to break this mould and the cycle oflimited unilateral thinking and, in so doing, set them

free to discover new products, markets, and ways ofdoing or leading business


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DIVERSITY

Diversity can be defined from a policy and legalperspective across six clear demographic strands:gender, age, race & ethnicity, sexual orientation,religion & beliefs, and disability.

Diversity considers the learning styles and attributesof individuals and even communities includedifferent knowledge acquisition, and communication

styles, educational history, personal skills,professional abilities and functional expertise.


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CULTURAL DIVERSITY

Cultural diversity distinguishes between supplieddiversity and consumed diversity (Eaton and

Lipsey, 1989; Van Cuilenburg and Van der Wurf,2001).

Supplied diversity corresponds to the diversity ofwhat is made available.

Consumed diversity refers to diversity as it is actually

consumed, thus depending on both consumer tastesand supplied diversity.


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PRODUCT, PRODUCER AND CONSUMER DIVERSITY

Product diversity refers to the diversity of thecharacteristics of products that can be goods or services,either supplied or consumed

Producer diversity means diversity of manufacturers ororganisations at every stage of the production, operationand distribution process.

Consumer diversity consists of the diversity of the peoplewho obtain and consume products. Consumers aretargeted by producers who encourage them to consumetheir products. Consumer diversity should not beconfused with demanded diversity. While the latter is aneconomic concept that relies on the assumption of stablepreferences that are independent of the nature and levelof supply, the former aims to reflect the diversity ofconsumer tastes.


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INNOVATION

Innovation, is a multidimensional term, displayingsubjective and objective traits.

Subjective traits of innovation include the processes ofcreativity and original thinking, the communication ofcreative and original thinking to others, and the uptake of

those ideas by others. Here thinking relates to all areas ofcompany activity, including everyday operations andproblems, through the research and development of new orexisting products, to the sourcing of new suppliers andexpansion into new markets.

Objective traits of innovation include the structures withinwhich such ideas are thought about, transmitted to, and takenup by others, and the output and outcome in terms ofdefinable benefits.


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INNOVATION

Creativity is the mental and social processfuelled byconscious or unconscious insightof generating ideas,concepts, and associations. Innovation is the successfulexploitation of new ideas: it is a profitable outcome of thecreative process, which involves generating and applying

in a specific context products, services, procedures, andprocesses that are desirable and viable Innovation is best defined as the generation and

introduction of new ideas, which lead to the developmentof new products and services, processes, and systems in

all areas of business activity. The ability of diverse individuals to communicate

creative and original thinking to others, and thewillingness of those others to listen and respond to suchideas.


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TYPES AND SOURCES OF INNOVATION

Product innovations, service innovations, andorganizational (procedural or process) innovations.

Peter Drucker identified seven sources of innovation:

(i) unexpected occurrences, (ii) incongruities ofvarious kinds, (iii) process needs, (iv) changes in anindustry or market, (v) demographic changes, (vi)changes in perceptions, and (vii) new knowledge.

Innovation can be classified depending on the degreeof their impact, viz., incremental, radical, or systemic


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LINK BETWEEN DIVERSITY AND INNOVATION

Adler (2002) notes that diversity in multicultural teams isassociated with positive group outcomes such as increasedlevels of innovation, creativity and problem solving.

Hennessey & Amabile (1998) suggest that diversity, whencombined with an understanding of individual strengths and

weaknesses, and working relationships that are founded uponsensitivity and trust, enhances creativity and problem solvingcapability.

Niebuhr (2006) found higher levels of research anddevelopment and innovation in regions of Germany that hadhigher levels of cultural diversity than regions with lowerlevels of diversity.

In a most comprehensive study of 1000 international teams,Gratton (2007) found that innovation was positivelycorrelated with equal gender ratio within work teams andnegatively correlated with an unequal ratio.


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LINK BETWEEN DIVERSITY AND INNOVATION

Flexibility, creativity, and the ability to innovate are enhanced bythe existence of dissimilar mind sets, that is to say that like-mindedpeople make like-minded decisions, [limiting] the breadth anddepth of innovative and creative thinking (Ozbilgin 2208).

While situations where individuals and groups find their existingmindsets, beliefs and knowledge sets challenged will produce

effective learning, this is more likely to happen when there is diversemix of participants and an environment in which all individuals feeltheir views are valued.

Diversity can contribute to more effective decision-making andproblem solving capability by providing a diverse range ofperspectives, a broader spectrum of expertise, and more robust

critical evaluation (Bassett-Jones, 2005). Teams characterised by diversity have the capability to access

broader networks of relationships, cultural capital and biculturalcompetence and bring these assets into the innovation process.Increased productivity, innovation, and creativity are about makingeffective use of this capacity.


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THE INNOVATION CULTURE TABLE


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THE INNOVATION CYCLE


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Need finding is a process of looking for newopportunities. When researchers want to understandthe customers experience, they want to know it ascustomers themselves experience it.

Framing is the next step in the innovation cycle. Itswhat happens when you gather a set of observationsand look for the important patterns. The term

framing refers to the process of choosing the mostuseful frame, as in framework, through which tointerpret the customers experience.


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creative combination, which happens when need findingand framing come together, when the images andimpressions are gathered together and the discussionturns to creating the best options to address theidentified needs and the conceptualized frames. Here the

innovation process moves beyond individual efforts tobroader teams, because when talking through the optionsa group of people almost always achieves betteroutcomes than when individuals try to sort it out alone.

Diversity in these teams is important, because testing

ideas against many different points of view will result inmore robust concepts and solutions, leading to strongerbusiness opportunities.


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Prototype is created as quickly as possible so that thelearning process can be accelerated, and you find outas quickly as possible that either its an idea worthmore investment, or one that should be shelved.

Every idea worthy of further development will findits way through the cycle many times, as progressiverefinement comes through many iterations of

thought, design, and testing.

cultural dimensions of global is at ion

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