Ellen Moorein Korea

By:

Afzal HabibChanya Sodsiri

Kalayanajati Napasakorn Vibulsrisajja 484 32294 26

Ongon RiabpraditVimvadee

Problems & Reasons:

Management aspect• Power of authority is undefined. Jack and Ellen, the co-manager, here are not clarified of which role each person should play—overlapping of power. As a result subordinates find it confusing of whose order should they follow leading to the delays of implementation plan

Cultural aspect• Though a co-manager, Ellen’s views are still ignored by Jack and consequently the subordinates. This is because by culture, women in Korea are expected to be working mostly as inferior. Reason behinds this might be also that at first the Korean company asked Andrew to take the position with a strong note that it would be impossible to send a women yet Andrew could not take the offer so Ellen had to take the place instead

Business structure aspect• Korean Structure is hierarchical which impacts the understanding of relationship between consultants and client of both the Americans and the Koreans—in reaching the final goal, each adopts different approaches making it hard for consensus during the way.

Problems

Human resources aspect• Jack has no experiences in neither SI project nor consulting project—instructs wrong instructions regarding the projects• Also, both consulting teams lack the training program preparing for expatriates or employees at the MNC— Ellen is being sent to work oversea after she has been with the company for only three months and Korean team has never been trained by their firm to work with foreigners • Senior management is rather ethnocentric. Each actor thinks their national norms of doing business is more superior than another hence both are reluctant to compromise. Andrew thinks the problems arise from the inexperienced Korean consultants whereas Mr. Song, the director, argues that Ellen is the one with issues

Communication aspect• While working, Korean consultants tend not to ask questions or express their true thoughts toward the idea because in general, Koreans regard saying ‘no’ as poor etiquette and somethingto be avoided at all costs thus it is difficult for Ellen to get at the truth of the Korean consultants’ intentions.

First thing to be reconsidered is the undefined power of First thing to be reconsidered is the undefined power of authority then followed by other problemsauthority then followed by other problems

Korea Culture & Business Culture:

Korean Culture

Korean Culture in GeneralMusic and Dance

National classical music performing

Sujecheon

Food

Traditional full-course meal

ClothingHanbok, traditional clothing

House

Hanok-- Traditional Korean  houses Ondol: In modern usage it refers to any type of under floor heating of a room that follows the traditional way of eating and sleeping on the floor.

Traditional Sport

Taekwondo

Kimchi and Bulgogi

Korean culture

Geert Hofstede™ Cultural Dimensions " Culture is more often a source of conflict than of synergy. Cultural differences are a nuisance at best and often a disaster."     Prof. Geert Hofstede, Emeritus Professor, Maastricht University.

South Korea 60 18 39 85 75

Hofstede’s Dimensions• Power Distance Index (PDI)

• Korea = 60 – high level of inequality

– hierarchical bureaucracy

• Individualism (IDV)• Korea = 18 -- Collective society— group-oriented

• Masculinity (MAS)• Korea = 39 – Femininity: a preference for relationships, modesty and caring

• Uncertainty Avoidance Index (UAI)• Korea = 85 – the society is low level of tolerance for uncertainty and would

like to control everything in order to eliminate or avoid the unexpected

• Long-term orientation (LTO)• Korea = 75 – Confucian dynamism

An acceptance of the legitimacy of hierarchy and valuing of perseverance and thrift

Doing Business with Korean people--The quality of the relationships developed are the real key t

o business success• Gift Giving – at first business meeting

• part of Korean business life• Alcohol: malt whisky and brandy – an appreciated gift

• In the meeting• a compatibility of levels within meetings• punctuality and maintain solid• Maintain good body posture during meeting

• Business Communication• saying 'no' as poor etiquette – “We’ll try” or “That’ll be difficult”

is more preferable • Maintain patience and politeness is necessary

• Exchanging Business card• Present your business card with both hands• Express some comment on the title or position

• Contract is the starting point• Flexibility -- adjustment can be made

• Greeting• wait to be introduced as third party

• shake hands with foreign colleagues after a bow and support the right forearm with the left hand

• Dress Code – Appearance is very important • Look smart all the time – both in formal and informal gatherings• Dark suit, shirt and tie -- men• Business suit or dress –women

• Booking appointments ahead of time• Between 10 a.m. – 12 p.m. or 2 p.m. – 4 p.m.• Send proposals for your contact to preview

• Saving face – very important• Control your emotion• Causing embarrassment or loss of composure can harm business

negotiation

Women in Business rare for women to succeed in business in Korea and most women work as secretari

es or in poorly paid assembly line positions

There was a survey data collected fromwomen (n=107) between 30 – 59 yearsold which was summarized as follows.

5838

11 AGE

30-39

40-49

50-59

26.9% of women => House Wife

73.1% of women => Labor Force

Accounting and other

clerical work16%

Teaching related services

29%

Production of goods

11%Sales44%

According to a survey by an online job search site in Korea (n=573),

57.5% experienced discrimination based on gender while looking for a job

> 80% were discriminated against a promotion

50% impossible to get promoted

Source: www.sdi.re.kr/nfile/zcom_eng_bbs/a2007-R-35.pdf

Total work time-- Females over males relative to other countries

Rank Countries  Amount    

#1 Kenya 135%

#2 Italy 128%

#3 South Africa 122%

#4 Philippines 121%

#5 Guatemala 117%

Korean Labor Statistics

Industrial workers > Female 19%[24th of 79]

Industrial workers > Male 34%[30th of 79]

Service workers > Female 68%[57th of 79]

Service workers > Male 56%[31st of 79]

Agricultural workers > Female 12%[26th of 77]

Agricultural workers > Male 10%[45th of 78]

Female professionals 34%[66th of 68]

Female decision makers 5%[66th of 67]

Literacy > Female 97%[44th of 157]

Literacy > Male 99.3%[17th of 156]

Source: http://www/nationmaster.com/country/ks-korea-south/lab-labor

Role of ConsultantsKoreans V.S. Americans:

Consulting Team in an Organization Chart

• North America • KoreaClient’s

Management TeamClient’s

Management TeamConsulting

Team

Consulting Team

Subordinate SubordinateSubordinate Subordinate

Differences in Consulting in North America and in Korea

• Consultant-Client Relationship

• Information Gathering

• Consultants’ Roles

• Scope of Work

• Importance of Meeting the Deadline

WHAT WOULD ANDREW DO?Discussion

We need our recommended action to be mutually exclusive and serve the following purposes:

a)Needs to establish a more clear reporting structure (Short Run)

b)Should realign the project so as to get it back on schedule or at least close (Short Run)

c)Should not compromise the relationship with Joint Venture Party (Long Run)

Recommendations & Implementation:

Recommendations

Compromising between two culture for clear defined power of Ellen and Jack

Finishing work for client is set as priority

Ellen and Jack consult and discuss with each other before talking with subordinates

Ellen transfer know-how to Jack and he is responsible on delegating works and coaching subordinates

Implementation

Meeting is held for Andrew,

Mr.Song, Jack and Ellen to

talk about the issue

Inform everyone

in the JV about defined position of

Ellen and Jack

Ellen and Jack coordinate to

coach the consultants

180 degree evaluation of the

Joint venture performance in collaboration of Ellen and Jack

For Future projects

Things could have started off much better.

http://www.1000ventures.com/business_guide/jv_main.html

For successful Joint-Venture

• Ice-breaking activities• Trust is an expectation that arises within a community

of regular, honest, and cooperative behavior, based on commonly shared norms, on the part of the other members of that community.

• Keep win-win agreement• Leadership: Fair and credible• Weekly session with psychologist• Repot back to the Head together• Clear duties and obligations• Install suggestion boxes• Termination terms & conditions

CULTURE

“The key to community is the acceptance, in fact the celebration of our individual and

cultural differences. It is also the key to world peace.”

– M. Scott Peck

Conclusion

Communication,

Trust, and

Understanding

References

• http://sbinformation.about.com/cs/bestpractices/a/jointventure.htm• http://madaan.com/jvsuccess.html