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PRESENTATION ON HOFSTEDE

MODEL

COUNTRY: GERMANY

Presented by:

Pragati(52)

Rituparna Banerjee(69)

Sangita kalita(73)

Tamanna Mehta(94)

Trapti Johri (96)

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INTRODUCTION

Geert Hofstede proposed a systematicframework for assessing and differentiatingnational cultures best known as the cultural

dimensions theory.

He gathered and analyzed data about thevalues of people in over 50 countries around

the world. These people worked in the localsubsidiaries of one large multinationalcorporation IBM.

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THE FIVE DIMENSIONS OF

CULTUREPower/Distance (PD) This refers to the degree of inequality that

exists and is accepted among people with and withoutpower. A high PD score indicates that society accepts an unequaldistribution of power and people understand "their place" in thesystem. Low PD means that power is shared and well dispersed.

It also means that society members view themselves as equals.Germanys score :

Germanys lowest score was 35 points on PD index.

This index measures the extent to which less powerful membersaccept that power is distributed unequally in German institutions

and organizations. This means Germany is a decentralized society with relatively

flatter organization structures and a comparatively smallerproportion of supervisors.

German workers are remarkably loyal to their companies.

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Features ofPower/Distance

Characteristic Tips

High PD Centralized companies.

Strong hierarchies.

Large gaps incompensation, authority,

and respect.

Acknowledge a leader's

power.

Be aware that you mayneed to go to the top for

answers

Low PD Flatter organizations.

Supervisors and employees

are considered almost as

equals.

Use teamwork

Involve as many people as

possible in decision

making.

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INDIVIDUALISM (IDV) This refers to the strength of the ties people have to others within the

community. A high IDV score indicates a loose connection with people. Incountries with a high IDV score there is a lack of interpersonal connectionand little sharing of responsibility, beyond family and perhaps a few closefriends. A society with a low IDV score would have strong group cohesion,and there would be a large amount of loyalty and respect for members ofthe group. The group itself is also larger and people take moreresponsibility for each other's well being.

Germanys High Individualism Score:

Germany scored 67 points on individualism, the tendency of people tolook after themselves and their immediate family only. That score is56% higher than the world average score for individualism.

Trompenaar agrees that Germans place high priority on looking afterthemselves and their immediate family.

At work howeverGermans jointly assume responsibilities and achieve goalin groups.

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FEATURES OF IDVCharacteristics Tips

High IDV High valuation on

people's time and their

need for freedom.

An enjoyment of

challenges, and anexpectation of rewards for

hard work.

Respect for privacy.

Acknowledge

accomplishments.

Don't ask for too much

personal information.

Encourage debate andexpression of own ideas.

Low IDV Emphasis on building

skills and becomingmasters of something.

Work for intrinsic

rewards.

Harmony more

important than honesty.

Show respect for age and

wisdom.Suppress feelings and

emotions to work in

harmony.

Respect traditions and

introduce change slowly.

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MASCULINITY (MAS)

This refers to how much a society sticks with, and values,traditional male and female roles. High MAS scores are foundin countries where men are expected to be tough, to be the

provider, to be assertive and to be strong. If women work

outside the home, they have separate professions from men.Low MAS scores do not reverse the gender roles. In a lowMAS society, the roles are simply blurred. You see women andmen working together equally across many professions. Menare allowed to be sensitive and women can work hard for

professional success.

Germany score: Germany scored 66 points on masculinity, acultural characteristic in which success, money and material

possessions form the dominant values in society. According toHofstedes model, Germans place greater importance on

earnings, recognition, advancement and challenge.

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FEATURES OF MAS

Characteristic Tips

High MAS Men are masculine and

women are feminine.

There is a well defined

distinction between men's

work and women's work.

Be aware that people may

expect male and female

roles to be distinct.

Advise men to avoid

discussing emotions or

making emotionally-baseddecisions or arguments.

Low MAS A woman can do

anything a man can do.

Powerful and successful

women are admired and

respected.

Avoid an "old boys' club"

mentality.

Ensure job design and

practices are not

discriminatory to either

gender.

Treat men and women

equally.

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Uncertainty/Avoidance Index (UAI)

This relates to the degree of anxiety society members feel when inuncertain or unknown situations.

High UAI-scoring nations try to avoid ambiguous situationswhenever possible. They are governed by rules and order and theyseek a collective "truth".

Low UAI scores indicate the society enjoys novel events and valuesdifferences. There are very few rules and people are encouraged todiscover their own truth.

Germanys score: Germany scored 65 points on Hofstedesuncertainty avoidance index. This index measures the extent towhich people feel threatened by ambiguous situations and have

created beliefs and institutions to avoid such risks.

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FEATURES OF UAICharacteristic Tips

High UAI Usually countries/cultures

with a long history.

The population is not

multicultural, i.e. homogenous.

Risks, even calculated, are

avoided in business.New ideas and concepts are

more difficult to introduce.

Be clear and concise about your

expectations and parameters.

Plan and prepare, communicate

often and early, provide detailed

plans and focus on the tactical

aspects of a job or project.Express your emotions through

hands gestures and raised voices.

Low UAI Usually a country with a

young history.

The population is much morediverse due to waves of

immigration.

Risk is embraced as part of

business.

Innovation and pushing

boundaries is encouraged.

Do not impose rules or structure

unnecessarily.

Minimize your emotionalresponse by being calm and

contemplating situations before

speaking.

Express curiosity when you

discover differences.

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LONG TERM ORIENTATION (LTO)

This refers to how much society values long-standing as opposedto short term traditions and values. This is the fifth dimension thatHofstede added in the 1990s after finding that Asian countries with astrong link to Confucian philosophy acted differently from westerncultures. In countries with a high LTO score, delivering on social

obligations and avoiding "loss of face" are considered veryimportant.

Germanys score: According to Hofstede's analysis, people in theGermany have low LTO scores i.e. 31. This suggests that you can

pretty much expect anything in this culture in terms of creative

expression and novel ideas. The model implies that people in theGermany don't value tradition as much as many others, and aretherefore likely to be willing to help you execute the mostinnovative plans as long as they get to participate fully.

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APPLICATIONS

Culture is all different in different countries. We tend tohave a human instinct that 'deep inside' all people are thesame - but they are not. Going into another country andmaking decisions based on how we operate in our own

home country can lead to the chances of very baddecisions. Thus it is very important for those who work ininternational business to know the culture of other countriesand how people work there.

Geert Hofstede's research gives us insights into othercultures so that we can be more effective when interacting

with people in other countries. If understood and appliedproperly, this information should reduce ones level offrustration, anxiety, and concern.

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REFERENCES

The data we have gathered presents independentcalculations and insights based ongeert-hofstede.com and research from International

Management, Culture, Strategy and Behavior (6thedition, Hodgetts-Luthans-DOH) as well asCharles Hampden-Turner and AlfonsTrompenaars The Seven Cultures ofCapitalism.

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