Globalization Competencies Intercultural Management

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Globalization Competencies Intercultural Management Lecture by Melanie Hiller Faculty of Mathematics and Economics University Ulm polymundo - Consultancy for Globalization Intercultural Management ISP Melanie Hiller 06.07.2010 1

Content 1. Globalization and Culture?! 2. Culture What is that? 3. Intercultural Management! Intercultural Management ISP Melanie Hiller 06.07.2010 2

Intercultural Management ISP Melanie Hiller 06.07.2010 3

Forms of Globalization World Production World Trade World Market Economy Technique Ecology Politics World Communication World Information World Standards Environment Environmental Consciousness Environmental Crisis World Politics World Society World Culture Intercultural Management ISP Melanie Hiller 06.07.2010 4

Definition Globalization "Globalization is the continuous interlinking process of different worldwide happening occurrences in the fields of economy, technique, politics, culture and social aspects of nations with interlinked interdependenciesand consequences. Stehr, C. (2003), p. 47 Intercultural Management ISP Melanie Hiller 06.07.2010 5

Multi-dimensional Process Economy Politics Ecology Technique Social Culture Cp: Teusch, U. (2004) Intercultural Management ISP Melanie Hiller 06.07.2010 6

The cultural Process? Cultural Homogenization? World Culture? Cultural Heterogenization? Clash of Civilizations? Cp: Featherston, M. (1990); Varwick, J. (2004); Huntington, S. (1996) Intercultural Management ISP Melanie Hiller 06.07.2010 7

Cultural Glocalisation Global Homogenization Local Heterogenization Glocalisation Cp: Roland, R. (1998) Think globally, act Locally Intercultural Management ISP Melanie Hiller 06.07.2010 8

Summary Forms of Globalization! Cultural Form of Globalization! Global Heterogenization Local Homogenization (Cultural) Glocalisation! Intercultural Management ISP Melanie Hiller 06.07.2010 9

Content 1. Globalization and Culture?! 2. Culture What is that? 3. Intercultural Management! Intercultural Management ISP Melanie Hiller 06.07.2010 10

Culture - Definition (I) Culture is communication and communication is culture. Hall, E. (1990), p. 186 Intercultural Management ISP Melanie Hiller 06.07.2010 11

Culture Definition (II) Culture is the collective programming of the human mind that distinguishes the members of one human group from those of another. Culture in this sense is a system of collectively held values. Hofstede, G. (2004), p. 2 Intercultural Management ISP Melanie Hiller 06.07.2010 12

Culture - Definition (III) Culture is a shared system of meanings. It dictates what we pay attention to, how we act and what we value. Culture organizes such values into what Geert Hofstede calls mental programs. Trompenaars, F./Hampden-Turner C. (1997), p. 13 Intercultural Management ISP Melanie Hiller 06.07.2010 13

Culture as a collective System Enables individuals and groups to deal with each other and the outside world Shared Values, Beliefs, Norms, Assumptions and Perception Transmitted by Rituals, Behavior, Symbols, Communication, Artifacts, Art and Technology Cultural Standards Intercultural Management ISP Melanie Hiller 06.07.2010 14

Culture Values and Practices www.managingchange.co Hofstede, G. (2004) Intercultural Management ISP Melanie Hiller 06.07.2010 15

Individual and Culture Specific to Individual Personality Learned and Inherited Specific to group or category Culture Learned Universal Human Nature Inherited Hofstede, G. (2004) Intercultural Management ISP Melanie Hiller 06.07.2010 16

Culture Shock Based on Oberg, K. (1960) and Gullahorn, J. T./Gullahorn, J. E. (1963) Intercultural Management ISP Melanie Hiller 06.07.2010 17

Summary Values, Norms, Beliefs, Assumptions, Perception Rituals, Symbols, Behavior and Communication Artifacts, Art, Technology Intercultural Management ISP Melanie Hiller 06.07.2010 18

Content 1. Globalization and Culture?! 2. Culture - What is that? 3. Intercultural Management! Intercultural Management ISP Melanie Hiller 06.07.2010 19

Why Intercultural Management? Ecology Globalization Culture Technique Social Politics Economy Politics / Law Economy Technique Social Geography/ Nature International Management Culture Think globally, act Locally Intercultural Management ISP Melanie Hiller 06.07.2010 20

External Factors Mead, R. (1998) Intercultural Management ISP Melanie Hiller 06.07.2010 21

Worst Case Example Intercultural Management ISP Melanie Hiller 06.07.2010 22

Intercultural Management Skills Understand: Nature of Culture, its Influence on Behavior (in the Workplace) Knowledge: about specific Cultures Recognizing: Differences Between Cultures Implementation of structures Intercultural Management ISP Melanie Hiller 06.07.2010 23

Intercultural Competencies Cognitive Affective Conativ Knowledge: Social Skills: Implementing: - Countries - Culture - Cultural Systems - Sympathy - Empathy - Tolerance - Open Minded - Communication - Language - Behavior Intercultural Management ISP Melanie Hiller 06.07.2010 24

How to measure Culture? Intercultural Management ISP Melanie Hiller 06.07.2010 25

How to compare Cultures? Relative Freque ency 1:00 pm 1:30 pm 2:00 pm 2:30 pm 3:00 pm 3:30 pm Time/Accuracy Based on Barmeyer, Ch. (2000) Intercultural Management ISP Melanie Hiller 06.07.2010 26

Cultural Dimensions Cultural Standards Cultural Dimensions (Values and Behavior) Extreme 1 Extreme 2 Intercultural Management ISP Melanie Hiller 06.07.2010 27

Three Concepts 4-D-Concept from Hall 5-D-Concept from Hofstede 7-D-Concept from Trompenaars Intercultural Management ISP Melanie Hiller 06.07.2010 28

4 Dimensions - Hall Context-Orientation Space-Orientation Time-Orientation Message Intercultural Management ISP Melanie Hiller 06.07.2010 29

Context-Orientation Low-Context High-Context Messages/Information are message is part of the explicit, direct and context / indirect unambiguous Information Values: Individualism Direct verbal interaction less nonverbal expressions Values: Group Sense Indirect verbal interaction more nonverbal expressions Intercultural Management ISP Melanie Hiller 06.07.2010 30

High-Context vs. Low-Context www.genderwork.com Intercultural Management ISP Melanie Hiller 06.07.2010 31

High-/Low-Context Cultures High-Context vs. Low Context Austrian www.genderwork.com Intercultural Management ISP Melanie Hiller 06.07.2010 32

5 Dimensions - Hofstede Power Distance Individualism vs. Collectivism Masculinity vs. Femininity Uncertainty Avoidance Long Term vs. Short Term Orientierung Intercultural Management ISP Melanie Hiller 06.07.2010 33

Power Distance Power distance focuses on the degree of equality or inequality between people in the country or society. Intercultural Management ISP Melanie Hiller 06.07.2010 34

High/Low Power Distance Low PDI High PD Value People s Equally Respect for Status Inequality Minimized Needed Key Element Decentralization Centralization rights powerful people Equal Try to look less powerful Power holders entitled to Privileges Try to look as powerful as possible older people Not respected Respected Hofstede, G. (2004) Intercultural Management ISP Melanie Hiller 06.07.2010 35

PD - Index http://businesscoaching.typepad.com - Based on Hofstede, G. (2004) Intercultural Management ISP Melanie Hiller 06.07.2010 36

Uncertainty Avoidance Uncertainty Avoidance focuses on the level of Avoidance or Tolerance for Uncertainty and Ambiguity within the Society?????? Intercultural Management ISP Melanie Hiller 06.07.2010 37

High vs. Low UA High UA Low UA Value Certainty Exploration Distinction True or False Urgent or Not Key Element What is different is dangerous Hofstede, G. (2004) What is different causes curiosity Intercultural Management ISP Melanie Hiller 06.07.2010 38

UA - Index http://businesscoaching.typepad.com - Based on Hofstede, G. (2004) Intercultural Management ISP Melanie Hiller 06.07.2010 39

Long vs. Short Term Orientation Time-Orientation focuses on the degree the Society embraces long- or short-term devotion to traditional or forward thinking Values. Intercultural Management ISP Melanie Hiller 06.07.2010 40

Long/Short Term Orientation Value Long Term Long Term Benefits Short Term Saving Face Distinction Serve Goals Proper or Not Key Element Tradition and History Hofstede, G. (2004) Quick Results are expected Intercultural Management ISP Melanie Hiller 06.07.2010 41

LTO - Index http://businesscoaching.typepad.com - Based on Hofstede, G. (2004) Intercultural Management ISP Melanie Hiller 06.07.2010 42

7 Dimensions - Trompenaars Universalism vs. Particularism Individualism vs. Collectivism Neutral vs. Emotional Defuse vs. Specific Achievement vs. Ascription Human-Time Relationship Human-Nature Relationship Intercultural Management ISP Melanie Hiller 06.07.2010 43

Individualism vs. Collectivism This Dimension focuses on the Degree the Society reinforces Individual or collective Achievement and interpersonal Relationships. Intercultural Management ISP Melanie Hiller 06.07.2010 44

Individualism and Collectivism Individualism Collectivism Value Individual Group Harmony Freedom Distinction Me/Others In/Out Group Key Element The Task is important Trompenaars, F./Hampden-Turner, C. (1997) Relationships is important Intercultural Management ISP Melanie Hiller 06.07.2010 45

No Index by Trompenaars IDV Index? USA Individualism Canada Individualism Great Britain Individualism Germany Individualism Mexico Collectivism Brazil Collectivism Individualism Indonesia Collectivism Collectivism Trompenaars, F./Hampden-Turner, C. (1997) Intercultural Management ISP Melanie Hiller 06.07.2010 46

Cultural Dimensions Critique? Qualitative insights rather than Quantitative Data Useful in Understanding of different Cultures, Situations and Relationships Orientation Intercultural Management ISP Melanie Hiller 06.07.2010 47

Summary Intercultural Competencies Intercultural Management Cultural Dimension (Hall, Hofstede, Trompenaars) Orientation Intercultural Management ISP Melanie Hiller 06.07.2010 48

Summary 1. Globalization and Culture?! 2. Culture What is it? 3. Intercultural Management! Intercultural Management ISP Melanie Hiller 06.07.2010 49

Thank you very much for your attention Intercultural Management ISP Melanie Hiller 06.07.2010 50

Intercultural Management ISP Melanie Hiller 06.07.2010 51

Sources (I) Barmeyer, Ch. (2000): Interkulturelles Management und Lernen Studierende und Führungskräfte in Frankreich, Deutschland und Quebec, Frankfurt/ Main, 2000. Gullahorn, J. T./Gullahorn, J. E. (1963): Gullahorn, J. T., and Gullahorn, J. E. (1963) An extension of the U-curve hypothesis. Journal of Social Issues 19 (1), 33-47. Featherston, M. (1990), Global Culture: Nationalism, Globalization, and Modernity, London et al., 1990. Hall, T. (1990): Hall, Edward T., The Silent Language, New York, 1990. Huntington S. (1996): Huntington, Samuel P., Clash of Civilizations and the remaking of world order, New York, 1996. Hofstede, G. (2004): Hofstede, Geert, Cultures and Organizations: Software of the Mind, London et al., 2004. Mead, R. (1998): Mead, Richard. International Management: Cross cultural dimensions, Blackwell, 1998. Intercultural Management ISP Melanie Hiller 06.07.2010 52

Sources (I) Robertson, R. (1998): Robertson, Roland, Globalization Social Theory and Global Culture, London et al., 1998. Stehr, C. (2003): Stehr, Christopher, Globalisierung und Destabilisierungstendenzen innerhalb des Internationalen Systems: eine Indikatorenanalyse für ausgewählte Nationalstaaten, Berlin, 2003. Teusch, U. (2004): Teusch, Ulrich, Was ist Globalisierung? Ein Überblick, Darmstadt, 2004. Trompenaars, F./Hampden-Turner, C. (1997): Trompenaars, Fons/ Hampden-Turner, Charles, Riding the Waves of Culture: Understanding Cultural Diversity in Global Business, New York et al., 1997. Oberg, K. (1960): Oberg, Kalervo, Culture shock: Adjustments to new cultural environments. Practical Anthropology. 4, 177-182 Varwick, J. (2004): Varwick, Johannes, Globalisierung, in: Woyke, Wichard (Hrsg.), Handwörterbuch Internationale Politik, Bonn, 2004.. Intercultural Management ISP Melanie Hiller 06.07.2010 53