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Cultural Diversity in the Workplace Essay
Cultural diversity at work place
Understanding the importance of cultural differences in business
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Culture Difference in Organization. It has been seen over decades the rise of the multinational companies in the global world. It has affected the world in such a way that few of the multinational company’s income are more than the counties national income. This clearly explain you the effect of the globalisation. Multinational companies are not just multinational in their products but also they face many challenges as well and Culture difference is one of the major one .it is very important for any difference to understand the cultural differences within and outside the organisation as it can lead to be a failure of the business .It is very importance to have a close study of what cultural differences a company has to work on to make the business successful. It has also been seen that the companies ignoring this has suffered heavy losses as well the biggest Example been the failure of the Disney land in France as the culture was ignored .we will be further looking in to how culture plays a vital role in making an organisation successful . Culture directly or indirectly has the impact of the different activities perform by the management and the values created has a specific answer to every situation(Hawkins et al ).different culture varies from countries to countries as well .Getting late to work or passing your responsibility to your junior has been seen in Indian culture it has also been seen how the shape , name and the size and colour may be defining the culture of the product (pride and ferrel 1985).according to Berham some companies for the promotion choose the staff and the advertising in their local culture .wherein the main motive of the multinational companies is to earn or maximise the profit .so what they do is ma... ... middle of paper ... ...at how culture differences is a major challenge for the managers internally and externally and how different successful multinationals have overcome them challenges. That was a brief report that I have done and there is much more that we can look in to. References 1) Hawkins, D. I., Best, R. J. & Coney, K. A. 2001. Consumer Behaviour: ,Building marketing strategy 8th ed 2) William M. Pride, (1985). O.C. Ferrell Co International Inc. (4th ed.) 3) Umoren, J.A. (1996). Democracy and Ethnicity in Africa. 4) International journal of business and management (2008), vol.3 5) Managing talent across national borders: the challenges faced by an international retail group 6) Boussebaa, M. & Morgan, G. (2008) "Managing talent across national borders: the challenges faced by an international retail group", critical perspectives on international business, Vol. 4, pp.25 – 41.
Culture brings significant differences in the way of working, communicating, addressing relationships and so, it can positively or negatively affect the work environment.
In conclusion, the difference in culture can be the determinate factor to do business internationally, successfully. With this in mind, it is imperative for managers that conduct business abroad or businesses that want to expand its operation overseas. To study the county’s culture and the society values and norms before take off in this venture. By knowing a little what to expect these businesses can adjust, and inter graded better, its way of conducting business with other countries.
Globalisation allows individuals, groups, corporations, and countries to reach around the world farther, faster, more deeply, and more cheaply than ever before. Most large local companies regard globalisation as opportunity, thereby exploring overseas markets for maximum market share and optimum business strategies. However, managers would face a series of challenges caused by leadership models, cultural backgrounds, political and economic risks, HR management, etc. To study multinational management skills is very useful for my future career. In this essay, I will set goals for this subject, identify the skills I have honed and need to improve, and explain my strategies for achieving goals.
A major challenge of doing business internationally is to adapt effectively to different culture. Such adaptation requires an understanding of cultural diversity, perceptions, stereotypes, and values (Hodgett &Luthans, 2005). Doing business overseas has its challenges as well as it rewards.
Mooij, M.de. (2004). Consumer Behavior and Culture, Sage Publications, Page 102, Page 119, Page 274, Page 275
Simply speaking, a company’s structure and design can be viewed as its body, and its culture as its soul. Because industries and situations vary significantly, it would be difficult and risky to propose there is a “one size fits all” culture template that meets the needs of all organizations” (Nov 30, 2012). Those organizations who have shared beliefs and values and have organized methods on chain of command going to have positive outcomes. This will help shaping their employees views and performances. The growth and profit of the business relays on their employees and their performances. Culture is the core which will help and encourage all different level workers. If the core itself is weak, it will weaken the atmosphere of the business. Many companies announce that they have great culture but fail to implement to the lower level of workers. The basic issue is when organization has one set of culture and thinks one culture will meet the needs of all the workers. Each business is different and each individual is unique and have different beliefs and behaviors. The culture that is right for one individual might not work the same for the others. The ideal approach in this case would be, looking at the bigger picture of diverse working environment and give importance and respect to what are the ranges of business firms to achieve the perfect culture for organization. Sometimes one size fits all will not going to fit anybody, so the organization have to keep their ideas open and value everyone’s presence respecting all of their culture for the betterment and
As a result, culture plays a vital role in expanding international business with its impacts from general strategic direction to details like logo.
The differences in other cultures vary from beliefs to ways of life, or norms, of the different societies. The importance of understanding and sensitivity to other countries’ differences is crucial to a business’ success. “Lack of familiarity with the business practices, social customs, and etiquette of a country can weaken a co...
In recent decades, the process of globalization has accelerated and the world economy has become increasingly interdependent. The rise in the number of businesses that extensively operate in more than one foreign country, which is known as multinational corporations, plays an important role in the ongoing procedure of globalization. The United Nations has reported that multinational corporations hold one-third of world’s productive assets and control 70 percent of world trade (Schermerhorn et al., 2014). As there is a considerable growth in international businesses, worldwide economy is becoming more highly competitive. The global economy not only offers great opportunities for multinational enterprises but also on the other hand, creates many difficulties for them. Therefore, success in the large-scale economy requires a number of elements. One of the major determinants is dependent on global managers. In the operation of organizations, managers may encounter different international management challenges that restrict their business development. These challenges often include issues associated with the host countries, the global workforce diversity management, management across cultures, difficulties in competitive global business environment as well as in the process of global planning and controlling. This essay is going to discuss the above international management challenges in a broad sense and giving illustration in aspects of each challenge.
Shiffman, L.G. & Kanuk, L.L. 2010. Consumer behaviour. 10th ed. Upper Saddle River. NJ: Pearson Prentice Hall.
Sonderberg, A-M & N Holden. (2002), Rethinking cross cultural management in a globalizing business world' International Journal of Cross Culture Management 2(1): 103-121
Lewis (2012) suggests that multinational corporations should purpose to fill the ranks since the deviations and differences are a reflection of the culturally diverse global market. The global market serves diverse customers of different nationalities and incorporates the ideas from a diverse human resource pool in the formulation of policies and directives to determine the operations of a multinational organization; this is the most promising way for MNCs such as Microsoft. An international organization should bank on diversity since the rewards it ploughs back from the international exchanges of ideas and skills are more significant and are more of an advantage than a shortcoming. The three cultural divisions of organizational cultures reflect the differential of people’s lifestyles despite all of them being human beings (Lewis, 2012). Organizations, just like human beings, organize their operations to conform to values
Saikat Banerjee, (2008) “Dimensions of Indian culture, core cultural Values and marketing implications. An analysis”, cross cultural management: An Internationa Journal.
With the proliferation of the internet international Business transactions are more common today than ever. Globalization is now a key factor when creating a business strategy for most companies whether they are small family own businesses or huge corporations. Globalization however does not just involve selling a product in other countries. There are legal and cultural concerns that must be addressed. The legal aspects are fairly simple because in most places the laws are spelled out. It's the local customs, and regional way of doing things that can be tricky. Research on globalization has shown that it is not an omnipotent, unidirectional force leveling everything in its path. Because a global culture does not exist, any search for it would be futile. It is more fruitful to instead focus on particular aspects of life that are indeed affected by the globalizing process. (1). In this new economy, as it has been in the past, it will be the people not the machines who will determine a company's success. Having an effective Human Resource Management team that effectively analyze your company's current and future personnel needs is key in any business organization.
Understanding how organizational and national cultures relate, analyzing and identifying cultural similarities and differences, and addressing potential cultural conflict is crucial to the pursuit of cross-cultural harmony within an organizational environment. Cross-cultural harmony is essential to prevent misunderstandings, disagreements, and other types of conflict in the workplace. Organizational culture is highly impacted by national cultures, incompatibilities will not only result in an increased complexity of organizational management, but may also result in actions and behaviors contradictive to the organization’s mission and goals.