Transcript Cross-cultural management in Europe - Pc

Cross-cultural
management
in Europe
An International and comparative
perspective
October 2002
Joop Vinke
Comparative Methods
Social setting
Business systems


History
 Culture
 Institutions
October 2002
IBS Arnhem
Organisation structure
 Corporate governance
 Decision making ethos
Joop Vinke
Convergence versus Divergence
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Similarities
Differences
DIVERSITY
1. Develop models
2. Learn “best way”
3. Understand ‘transferability”
4. Secure national competitive advantage
October 2002
IBS Arnhem
Joop Vinke
What can be compared?
 Industrial relations systems
(employers, unions, legislation)
 Employment system
(labour markets, industrial structure,
welfare regime)
 Vocational education and training
 Social structure
(class, gender, race)
 Culture
October 2002
IBS Arnhem
Joop Vinke
Theoretical approaches
Industrialism
(Kerr et al 1960)
Political
Cultural Studies
Economy/ Marxist (Hofstede/Trompenaar)
Societies industrialise
to “common form”
State-labour-Capital
relations
Socialisation processes
(norms and values)
Technology paradigm
Ownership and control
Institutions
(socially transmitted behaviour
patterns that are historically
formed)
Specialisation,
coordination,
bureaucracy
International Division of
labour
Production paradigm
(Taylorism, Fordism
etc.)
October 2002
IBS Arnhem
Joop Vinke
CULTURE
 Symbols:
Gestures, words, objects etc. of which only
the group members know the meaning
 Heroes:
Public figures, dead or alive, real or fictive,
who serve as role models
 Rituals:
Acts that, for outsiders, may seem useless
but are socially essential
October 2002
IBS Arnhem
Joop Vinke
Norms and Values
 Norm:
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What is right? / What is wrong?
 Value:
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What is good/ bad?
What is beautiful/ ugly?
What is natural/ artificial?
What is normal, not normal?
Etc.
October 2002
IBS Arnhem
Joop Vinke
Explicit culture
Symbols
Heroes
Rituals
Norms and Values
October 2002
IBS Arnhem
Joop Vinke
Is culture inborn or learned?
Definitions:
 “The right way of doing things””
 “The collective mental programming of
people in an environment
 “The collective preference of one decision
above another one””
 “Integrated system of patterns of
behaviour which are acquired by all
members of a society
October 2002
IBS Arnhem
Joop Vinke
Culture and peace of mind
Culture helps people to:
make choices
and
reduce emotional stress
When they are confronted with dilemmas:
•Our relations with other people
•Our relationship with time
•Our relationship with our natural
environment
October 2002
IBS Arnhem
Joop Vinke
Relationships with big problems
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How equal are the members of the society?
Which are most important; obligations to a friend or
to the society?
 Which value prevail; masculine or feminine?
 Is it allowed to show emotions?
 What is private matter?, What is public matter?
 Does status depend on who one is or what one has
achieved?
 What is the importance of the past, the present
and/or the future?
 Is ones destiny controllable or not?
 Etc.
October 2002
IBS Arnhem
Joop Vinke
Research and models
(1969) “MNC practice”
 Hofstede (1980) “Cultures consequences”
 Perlmutter

Kluckhohn and Stodtbeck
 Traxtler
(1995)
 Marginson and Sisson (1996)
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Hoeklin, Hall
 Nagelkerke (1995)
 Trompenaars
October 2002
IBS Arnhem
Joop Vinke
Is it possible to define
“national culture”?
October 2002
IBS Arnhem
Joop Vinke
Using models to define
“national culture”
Hofstede (1980)
PDI-power distance
the extent to which a culture accepts that power in organizations is distributed unequally
MAS-Masculinity
the value attributed to achievement, assertiveness, and material success as opposed to the
stereotypical feminine values of relationships, modesty, caring and the quality of life.
IDV-Individualism
the extent to which people are supposed to take care of themselves and be emotionally independent
UAI- Uncertainty avoidance
the degree to which members of a society are uncomfortable with risk and uncertainty
CDI -Confucian dynamism
The extend to which a society exhibits a pragmatic future-oriented perspective rather then a
conventional historic or short time point of view
October 2002
IBS Arnhem
Joop Vinke
The seven dimensions of culture
Trompenaar
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universalism vs. particularism
individualism vs. collectivism
neutral vs. affective relationships
specific vs. diffuse relationships
achievement vs. ascription
Sequential vs synchronic culture
Internal vs External control
October 2002
IBS Arnhem
Joop Vinke
Universalism vs. particularism
What is more important - rules or relationships?
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Universalist:
“What is good and right
can be defined and
always applies!“
October 2002
IBS Arnhem
Joop Vinke

Particularist:
Great attention to the
obligations of
relationships and
unique
circumstances
Individualism vs. collectivism
Do we function in a group or as an individual?
1.
2.
“It is more important to focus on
individuals so that they can contribute
to the collective as and if they wish”
“It is more important to consider the
collective first since that is shared by
many individuals”
October 2002
IBS Arnhem
Joop Vinke
Neutral vs. affective (emotional)
relationships
“The nature of our
interactions should
be objective and
detached”
“The expressing the
emotions is part of
the relationship and
therefore
acceptable”
North American and North
European business
relationships
South American and European
business relationships
October 2002
IBS Arnhem
Joop Vinke
Specific vs. diffuse relationships
When the whole person is involved
in a
business relationship there is a real
and personal contact, instead of
the
specific relationship prescribed by
contract.
October 2002
IBS Arnhem
Joop Vinke
Achievement vs. ascription
Do we have to prove ourselves to receive status or is it given to us?
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Achievement:
One will be judged
on what you have
Recently
accomplishes and on
your record
October 2002
IBS Arnhem
Ascription:
The status is
attributed to you, by
birth, childhood,
gender or age, but
also by your
connections and your
educational record.
Joop Vinke
Sequential vs. synchronic
culture
Is time a line ?
Or is it a circle?
October 2002
IBS Arnhem
Joop Vinke
Past, present and future
How would You draw it??
October 2002
IBS Arnhem
Joop Vinke
Internal vs. External control
1.
2.
Do we control our environment or
work with it ?
Major focus affecting their lives and
the origins of vice and virtue as
residing within the person (part of the
nature)
World is more powerful than
individuals. Nature is to be feared or
emulated.
October 2002
IBS Arnhem
Joop Vinke
Global Literacy
Be effective in doing business and managing with different
culture
This applies equally to:
1. those working where there is diversity in
the work force
2. those travelling and working in different
cultures
3. those receiving business visitors from
other cultures
October 2002
IBS Arnhem
Joop Vinke
Don’t………..!
 Change
your behaviours to try
to emulate the culture(s) you
are working with.
or
 Simply 'Do in Rome as Romans
do... etc.
October 2002
IBS Arnhem
Joop Vinke
Try …………Reconciliation
In dealing with different cultures, you
have several options:
• Ignoring other culture
• Abandon your standpoint
• Compromise or…………
Reconciliation:
October 2002
IBS Arnhem
Joop Vinke
Universalism
…Apply rules and procedures
universally to ensure equity
and consistency
although……
…We do not want to drown
in chaos or lose our sense
of central directions so we
must…
Central
guidelines with
local adaptations
and discretion
..Encourage flexibility by
adapting to particular
situations. However......
October 2002
Particularism
IBS Arnhem
Joop Vinke
…We do not want to
degenerate into rigidity and
bureaucracy so we
must………
MAS VERSUS UAI
October 2002
IBS Arnhem
Joop Vinke
PDI VERSUS UAI
October 2002
IBS Arnhem
Joop Vinke
A model for the
Diversity of European regimes
Rheinic
Germany, Austria, Netherlands,Scandinavia, France
Anglo-Saxon
UK, Ireland
Latin Rim
Greece, Spain Southern Italy, Portugal
October 2002
IBS Arnhem
Joop Vinke
The “Rheinic Model”
Social partnership in various forms
Germany, Austria, Netherlands, Scandinavia, France
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Juridified industrial relations
Work councils
Emphasis on social cohesion and social
market
Welfare as “first resort”
Corporatist tradition
October 2002
IBS Arnhem
Joop Vinke
The “Anglo-Saxon model”
Free market
UK, Ireland
 Voluntarist, adversarial industrial relations
 Free market
 Welfare as “last resort”
October 2002
IBS Arnhem
Joop Vinke
The “Latin Rim model”
Greece, Spain Southern Italy, Portugal
 Conflictual, antagonistic industrial relations
 Mixed labour market
 Rudimentary welfare (church, family support)
October 2002
IBS Arnhem
Joop Vinke
More information??
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“Culture's Consequences : Comparing Values, Behaviours, Institutions,
and Organizations Across Nations”n
“Cultures and Organizations”
By Geert Hofstede
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“Riding The Waves of Culture: Understanding Diversity in Global
Business”
“The Seven Cultures of Capitalism”
“21 Leaders for The 21st Century”
“Building Cross-Cultural Competence: How to Create Wealth from
Conflicting Values “
By Fons Trompenaars
Try : www.7d-culture.nl
October 2002
IBS Arnhem
Joop Vinke