developing global managers chapter three copyright © 2010 the mcgraw-hill companies, inc. all...
TRANSCRIPT
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Developing Global Managers
Chapter Three
Copyright © 2010 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin
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After reading the material in this chapter, you should be able to:
• Define ethnocentrism and explain what Hofstede concluded about applying American management theories in other countries.
• Identify and describe the nine cultural dimensions from the GLOBE project.
• Draw a distinction between individualistic cultures and collectivist cultures.
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After reading the material in this chapter, you should be able to:
• Demonstrate your knowledge of these two distinctions: high-context versus low-context cultures and monochronic versus polychronic cultures.
• Explain what the GLOBE project has taught us about leadership.
• Identify an OB trouble spot for each stage of the foreign assignment cycle
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A Model of Societal and Organizational Cultures
• Societal culture- Beliefs and values about what is desirable and
undesirable in a community of people, and a set of formal or informal practices to support the values
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Cultural Influences on Organizational Behavior
Figure 3-1
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Managing Societal and Organizational Culture
• Employees bring their societal culture to work with them in the form of customs and language
• Organizational culture affects an individual’s values, ethics, attitudes, assumptions, and expectations
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Ethnocentrism
• Ethnocentrism - belief that one’s native country, culture,
language, and behavior are superior to all others.
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Dealing with Ethnocentrism
• Managers can effectively deal with ethnocentrism through:
- education- greater cross-cultural awareness - international experience- a conscious effort
to value cultural diversity
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Question?
Patricia has lived in the US her entire life. She believes that the US is the greatest country in the world. Her belief is an example of _____.
A.Societal normB.Cultural paradoxC.EthnocentrismD.Collectivism
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The Hofstede Study: How Well Do US Management Theories Apply in Other Countries
• Power distance – How much inequality does someone expect in social situations?
• Individual-collectivism – How loosely or closely is the person socially bonded?
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The Hofstede Study: How Well Do US Management Theories Apply in Other Countries
• Masculinity-femininity – Does the person embrace competitive, performance-oriented traits or nurturing, relation-oriented feminine traits?
• Uncertainty-avoidance – How strongly does the person desire highly structured situations?
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The Hofstede Study: How Well Do US Management Theories Apply in Other Countries
1. Management theories and practices need to be adapted to local cultures
2. Cultural arrogance is a luxury individuals, companies, and nations can no longer afford in a global economy
See excerpt of Hofstede article
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Five Cultural Perspectives
• Basic cultural dimensions• Individualism versus collectivism• High-context and low-context cultures• Monochronic and polychronic time orientation
• Cross-cultural leadership
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Becoming Cross-Culturally Competent
• Cultural intelligence - ability to interpret ambiguous cross-cultural
situations correctly
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Project GLOBE
• GLOBE (Global Leadership and Organizational Behavior Effectiveness)
- attempt to develop an empirically based theory to describe, understand, and predict the impact of specific cultural variables on leadership and organizational processes and the effectiveness of these processes
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Cultural Dimensions fromthe GLOBE Project
• Power distance – How much unequal distribution of power should there be in organizations and society?
• Uncertainty avoidance – How much should people rely on social norms and rules to avoid uncertainty and limit unpredictability?
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Cultural Dimensions fromthe GLOBE Project (cont.)
• Institutional collectivism – How much should leaders encourage and reward loyalty to the social unit?
• In-group collectivism – How much pride and loyalty should individuals have for their family or organization?
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Cultural Dimensions fromthe GLOBE Project (cont.)
• Gender egalitarianism – How much effort should be put into minimizing gender discrimination and role inequalities?
• Assertiveness – How confrontational and dominant should individuals be in social relationships?
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Cultural Dimensions fromthe GLOBE Project (cont.)
• Future orientation – How much should people delay gratification by planning and saving for the future?
• Performance orientation – How much should individuals be rewarded for improvement and excellence?
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Cultural Dimensions fromthe GLOBE Project (cont.)
• Humane orientation – How much should society encourage and reward people for being kind, fair, friendly, and generous
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Countries Ranking Highest and Loweston the GLOBE Cultural Dimensions
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Question?
Rebecca has always focused on delaying gratification and saving money for the well-being and education of her children and her own retirement. According to dimensions from the GLOBE project, Rebecca's behavior reflects:
A.Future orientationB.In-group collectivismC.Masculinity-femininityD.Assertiveness
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Individualism versus Collectivism
• Individualistic culture – primary emphasis on personal freedom and choice
• Collectivist culture – personal goals less important than community goals and interests
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High-context cultures and Low-context cultures
• High-context cultures – primary meaning derived from nonverbal situational cues
• Low-context cultures – primary meaning derived from written and spoken words
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Question?
Michelle is torn between her desire to go on vacation and her organization's desire to have her at work. She decides to take her vacation. Michelle is probably from a(n) _____ culture.
A.OrganizationalB.Low-contextC.High-contextD.Individualistic
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Cultural Perceptions of Time
• Monochronic time - preference for doing one thing at a time
because time is limited, precisely segmented, and schedule driven
• Polychronic time - preference for doing more than one thing at a
time because time is flexible and multidimensional
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Leadership Attributes Universally Liked and Disliked
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Question?
Manuel is manager of a work crew. He keeps to himself and prefers not to interact with his employees. This is an example of which negative leader attribute.
A.AsocialB.RuthlessC.EccentricD.Loner
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Preparing for a Foreign Assignment
• Expatriate - anyone living or
working in a foreign country
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Preparing for a Foreign Assignment
• Major stumbling blocks for American managers working in foreign countries
- Personal and family adjustment problems- Homesickness
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Preparing for a Foreign Assignment
• Important success factors in a foreign assignment
- Cultural adaptability- Patience and flexibility- Tolerance for other’s beliefs
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Avoiding Unrealistic Expectations
• Realistic job preview is a must
• Cross-cultural training - any type of structured experience designed to
help departing employees adjust to a foreign culture
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The Foreign Assignment Cycle
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Figure 3-2
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Avoiding Culture Shock
• Culture shock - anxiety and doubt caused by an overload of
new expectations and cues
• Best defense is comprehensive cross-cultural training, including intensive language study
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Question?
Danielle is struggling with the anxiety of driving on the left-hand side of the road at her new job assignment in the U.K. This is called ___________.
A.MentoringB.Collective cultureC.Culture shockD.Societal adjustment
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Support during the Foreign Assignment
• Host-country sponsors – assigned to individual managers or families
- Serve as “cultural seeing-eye dogs”
• Maintain an active dialog with established mentors back home
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Avoiding Reentry Shock
• Three areas for potential reentry shock are work, social activities, and general environment
• Key to a successful foreign assignment is making it a well-integrated link in a career chain rather than an isolated adventure
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Supplemental Slides
• Slides 39-44 contain extra non-text examples to integrate and enhance instructor lectures
- Slides 39: Management in the Movies: Gung Ho- Slide 40-41: Tips for Business Travelers- Slide 42: Role of Expatriates- Slide 43-44: Video discussion slides
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Management in the MoviesGung Ho – “Assan Motors”
• In this scene, Stevenson has finally found his meeting with the Assan Motors executives. He sets up and begins his proposal to bring Assan Motors to Hadleyville.
• What would you have done differently than Stevenson?
• What decisions should the executives consider before opening a plant in the U.S.?
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Tips for Business Traveler’s
• Make Packing a Reflex Action- Pack the same items in the same way for
every trip• Get Briefed
- Research latest economic and business information on the country you’re visiting
• Stick to top Business Hotels- They have excellent business centers; health
clubs; and prestige that has influence with locals
3-40Source: McGovern, P. (2007, April) How to be a Local, Anywhere, Inc. Magazine
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Tips for Business Traveler’s
• Arrive Early- Take a day or two to walk around and get “in tune”
with the people, pace, and culture
• Bear Gifts- In Asia, Latin America, and Africa present your host
with a simple gift
• Practice Humility- Don’t boast about your company or accomplishments- Talk about your children and theirs and your
participation in philanthropic activities
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Role of Expatriates
• See article excerpt on expatriates from the Journal of International Business Studies
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Video Case: Cirque du Soleil
• Why is Cirque du Soleil successful throughout the world? Why does the product transcend culture differences between countries?
• How do the cultural influences discussed in Figure 4-1 influence organizational behavior at Cirque du Soleil?
• Why is it important for Cirque du Soleil to be a good corporate citizen? How does ethnocentrism relate to fulfilling this role?
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Video Case: Disney Imagineering
• In what ways does Disney Imagineering truly live up to the title of a global company? Why are their parks and stories so universally accepted across cultures?
• For its remote locations, does Disney consider local cultural tastes too much? Should they “stick to their guns” more?
• What benefit does paying attention to local culture provide?
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