Intercultural Communication in Business (6) Multicultural teams and Framework for Intercultural Management

Intercultural Communication in Business (6) Multicultural teams and Framework for Intercultural Management

Group Effectiveness Multi Cultural Groups Single Cultural Groups Highly Average Highly Ineffective Effectiveness Effective Source: Nancy J. Adler: International Dimensions of Organizational Behaviour, 1986

Organisational Strategies for Managing Cultural Diversity Type of organisation Perceived impact of CD on org. Strategy for managing CD Outcomes of adopted strategy Situation PAROCHIAL Our way is the best way No impact Ignore differences Problems are usually not attributed to the culture Very common ETHNOCENTRIC Our way is the best way Negative impact Minimize differences Some problems and few advantages Common SYNERGISTIC The combination of our way and their way may be the best way Potential negative impact and positive impact Manage differences Some problems and many advantages Very uncommon (Nancy Adler: International Dimensions of Organizational Behaviour, 1986)

National Culture and Corporate Cultures Organizational culture is shaped not only by technologies and markets, but by the cultural preferences of leaders and employees. Three aspects of organizational structure are especially important in determining corporate culture: (1) The general relationship between employees and their organization. (2) The vertical or hierarchical system of authority defining superiors and subordinates. (3) The general views of employees about the organization s destiny, purpose and goals and their places in this.

Corporate Culture Model (Trompenaars & Hampden-Turner, 1999) Egalitarian Fulfilment-oriented culture Project-oriented culture INCUBATOR GUIDED MISSILE Person Task FAMILY EIFFEL TOWER Person-oriented culture Role-oriented culture Hierarchical

The Family Culture The family culture is at the same time personal, with close face-to-face relationship, but also hierarchical, in the sense that the boss (father of the family) has experience and authority greatly exceeding those of the subordinates (children). The result is power-oriented corporate culture in which the leader is regarded as caring father who knows better that his subordinates what should be done and what is good for them. Pressure is moral and social, rather than financial or legal. Power and differential status are seen as natural, a characteristics of leaders themselves and not related to the tasks they succeed or fail in doing. Who is doing something is more important that what is being done.

The Eiffel Tower Culture In the Eiffel Tower culture a bureaucratic division of labour with various roles and functions is prescribed in advance. Its structure is steep, symmetrical, narrow at the top and broad at the base, stable, rigid and robust. Its hierarchy is very different from that of the family. Each higher level has a clear and demonstrable function of holding together the levels beneath it. The subordinates obey the boss because it is his or her role to instruct them. In contrast to Family Model, the status is not personally ascribed, but is ascribed to the role.

The Guided Missile Culture The guided missile culture differs from both the family and the Eiffel Tower by being egalitarian, but differs also from the family and resembles the Eiffel Tower in being impersonal and task-oriented. While the rationale of the Eiffel Tower culture is means, the Guided Missile has a rationale of ends. Everything must be done to preserve in your strategic intent and reach your target. The guided missile culture is oriented to tasks, typically undertaken by teams or project groups. It differs from the role culture in that the jobs members do are not fixed in advance. The ultimate criteria of human value in guided missile culture are how you perform and to what extent you contribute to the jointly desired outcome.

The Incubator Culture The incubator culture is based on the existential idea that organizations are secondary to the fulfilment of individuals. If organizations are to be tolerated at all, they should be there to serve as incubators of self-expression and selffulfilment. The incubator is both personal and egalitarian. It has almost no structure at all and what structure it does provide is mainly for personal convenience: heat, light, coffee and so on. Cultural incubators may be innovative companies, legal partner, consultants and other groups of professionals who work mostly alone but like to share resources while comparing experiences. In contrast to the family culture, leadership in the incubator is achieved, not ascribed. You follow those whose progress most impresses you and whose ideas works.

National Patterns of Corporate Culture Egalitarian Denmark Person Norway Switzerland Sweden USA Canada UK Ireland Finland Mexico New Zealand Italy Belgium Hungary Venezuela Greece Australia Israel Nigeria Germany France Spain India South Korea Hierarchical Source: Trompenaars & Hampden-Turner, 1999 Task