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WWW.ASIOCONSULTING.COM
What is culture ?
“Culture is defined as the collective mental
programming of the human mind which
distinguishes one group of people from another.”
Prof. Geert Hofstede
WWW.ASIOCONSULTING.COM
WWW.ASIOCONSULTING.COM
Geert Hofstede’s model
Studied how values in the workplace
are influenced by culture
Started in IBM subsidiaries early 70s
Identified 4 “dimensions” (later
extended to 6)
Studies extended to 93 countries
www.geert-hofstede.com
WWW.ASIOCONSULTING.COM
Dimension #1: Power Distance (PDI)
“The degree to which the less powerful members of a society
accept and expect that power is distributed unequally”
o distribution of
power is equalized
o power inequalities
need to be justified
PDI
low high
o there is a hierarchy where
everyone has a place
o this is accepted and there
is no need for justification
Philippines (94)
Russia (93)
Mexico (81)
India (77)
Austria (11)
Israel (13)
Sweden (31)
Great Britain (35)
USA (40)
Thailand (64)
WWW.ASIOCONSULTING.COM
Dimension #2: Individualism vs Collectivism (IDV)
“Degree to which people’s self-image is defined in terms of “I” or
“we.””
o tightly-knit framework in
society
o individuals expect relatives
or members of a group to
look after them
o loyalty to the group IDV
collectivism individualism
o loosely-knit framework in
society
o individuals take care of
themselves and their
immediate families only
USA (91)
Australia (90)
Great Britain (89)
Canada (80)
Indonesia (14)
Taiwan (17)
South-Korea (18)
Thailand (20)
WWW.ASIOCONSULTING.COM
Dimension #3: Masculinity vs Femininity (MAS)
or assertiveness vs modesty
“Degree to which society clearly distinguishes emotional gender
roles.”
o focus on cooperation,
modesty, caring for the weak,
quality of life
o society is consensus-oriented MAS
feminine masculine
o focus on achievement,
heroism, material reward,
assertiveness
o society is competitive
Japan (95)
Italy (69)
China (66)
Sweden (5)
Netherlands (14)
Finland (26)
Thailand (34)
WWW.ASIOCONSULTING.COM
Dimension #4: Uncertainty Avoidance (UAI)
“Degree to which the members of a society feel uncomfortable
with uncertainty and ambiguity”
o relaxed attitude
o practice counts more
than principles UAI
low high
o rigid codes of belief and
behavior
o intolerant of unorthodox
behavior and ideas
Greece (112)
Belgium (96)
Japan (92)
France (86)
Singapore (8)
Denmark (23)
Hong Kong (29)
Vietnam (30)
Thailand (64)
Dimension #5: Long vs Short Term Orientation (LTO)
“Degree to which society values the long term focus.”
LTO
low high
South Korea (100)
Taiwan (93)
Japan (88)
China (87)
USA (25)
Ireland (24)
Australia (21)
Egypt (7)
Thailand (32)
WWW.ASIOCONSULTING.COM
o quick results
o limited savings for future
o save and invest
o perseverance
WWW.ASIOCONSULTING.COM
RESULTSBEHAVIORASSUMPTIONS
CULTURE & CULTURE’S
DIMENSIONS
beliefs, values communicate, making
decisions
Why is this important at work ?
WWW.ASIOCONSULTING.COM
Example #1: Manager from high IDV in low IDV context
o tightly-knit framework in
society
o individuals expect relatives or
members of a group to look
after them
o loyalty to the group
IDV
o loosely-knit framework in
society
o individuals take care of
themselves and their
immediate families only
Thailand (20) USA (91)
USA Manager needs to …
- Understand subordinates have a responsibility over their family
- Give praise to the team (as opposed to individuals)
- Be aware that relationships can be more important than the task
- Be aware decision making can be slow because of the need to
consult many people
WWW.ASIOCONSULTING.COM
Example #2: Manager from low PDI in high PDI context
PDI
Austria (11) Thailand (64)
o distribution of power is
equalized
o power inequalities
need to be justified
o there is a hierarchy where
everyone has a place
o this is accepted and there is
no need for justification
Austrian Manager needs to …
- Give clear and explicit directions to subordinates
- Be aware that not much initiative can be expected
- Accept that his team puts him at a higher level
- Show respect to those higher up in the hierarchy
WWW.ASIOCONSULTING.COM
PDI
Thailand (64)
IDV
collectivism individualismThailand (20)
MAS
feminine masculineThailand (34)
low high
UAI
low highThailand (64)
LTO
low highThailand (56)
UK (35)
UK (89)
UK (66)
UK (35)
UK (25)
France (68)
France (71)
France (43)
France (86)
France (39)
WWW.ASIOCONSULTING.COM
www.geert-hofstede.com

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Cross Cultural Management Focus on Thailand july 2013

  • 2. What is culture ? “Culture is defined as the collective mental programming of the human mind which distinguishes one group of people from another.” Prof. Geert Hofstede WWW.ASIOCONSULTING.COM
  • 3. WWW.ASIOCONSULTING.COM Geert Hofstede’s model Studied how values in the workplace are influenced by culture Started in IBM subsidiaries early 70s Identified 4 “dimensions” (later extended to 6) Studies extended to 93 countries www.geert-hofstede.com
  • 4. WWW.ASIOCONSULTING.COM Dimension #1: Power Distance (PDI) “The degree to which the less powerful members of a society accept and expect that power is distributed unequally” o distribution of power is equalized o power inequalities need to be justified PDI low high o there is a hierarchy where everyone has a place o this is accepted and there is no need for justification Philippines (94) Russia (93) Mexico (81) India (77) Austria (11) Israel (13) Sweden (31) Great Britain (35) USA (40) Thailand (64)
  • 5. WWW.ASIOCONSULTING.COM Dimension #2: Individualism vs Collectivism (IDV) “Degree to which people’s self-image is defined in terms of “I” or “we.”” o tightly-knit framework in society o individuals expect relatives or members of a group to look after them o loyalty to the group IDV collectivism individualism o loosely-knit framework in society o individuals take care of themselves and their immediate families only USA (91) Australia (90) Great Britain (89) Canada (80) Indonesia (14) Taiwan (17) South-Korea (18) Thailand (20)
  • 6. WWW.ASIOCONSULTING.COM Dimension #3: Masculinity vs Femininity (MAS) or assertiveness vs modesty “Degree to which society clearly distinguishes emotional gender roles.” o focus on cooperation, modesty, caring for the weak, quality of life o society is consensus-oriented MAS feminine masculine o focus on achievement, heroism, material reward, assertiveness o society is competitive Japan (95) Italy (69) China (66) Sweden (5) Netherlands (14) Finland (26) Thailand (34)
  • 7. WWW.ASIOCONSULTING.COM Dimension #4: Uncertainty Avoidance (UAI) “Degree to which the members of a society feel uncomfortable with uncertainty and ambiguity” o relaxed attitude o practice counts more than principles UAI low high o rigid codes of belief and behavior o intolerant of unorthodox behavior and ideas Greece (112) Belgium (96) Japan (92) France (86) Singapore (8) Denmark (23) Hong Kong (29) Vietnam (30) Thailand (64)
  • 8. Dimension #5: Long vs Short Term Orientation (LTO) “Degree to which society values the long term focus.” LTO low high South Korea (100) Taiwan (93) Japan (88) China (87) USA (25) Ireland (24) Australia (21) Egypt (7) Thailand (32) WWW.ASIOCONSULTING.COM o quick results o limited savings for future o save and invest o perseverance
  • 9. WWW.ASIOCONSULTING.COM RESULTSBEHAVIORASSUMPTIONS CULTURE & CULTURE’S DIMENSIONS beliefs, values communicate, making decisions Why is this important at work ?
  • 10. WWW.ASIOCONSULTING.COM Example #1: Manager from high IDV in low IDV context o tightly-knit framework in society o individuals expect relatives or members of a group to look after them o loyalty to the group IDV o loosely-knit framework in society o individuals take care of themselves and their immediate families only Thailand (20) USA (91) USA Manager needs to … - Understand subordinates have a responsibility over their family - Give praise to the team (as opposed to individuals) - Be aware that relationships can be more important than the task - Be aware decision making can be slow because of the need to consult many people
  • 11. WWW.ASIOCONSULTING.COM Example #2: Manager from low PDI in high PDI context PDI Austria (11) Thailand (64) o distribution of power is equalized o power inequalities need to be justified o there is a hierarchy where everyone has a place o this is accepted and there is no need for justification Austrian Manager needs to … - Give clear and explicit directions to subordinates - Be aware that not much initiative can be expected - Accept that his team puts him at a higher level - Show respect to those higher up in the hierarchy
  • 12. WWW.ASIOCONSULTING.COM PDI Thailand (64) IDV collectivism individualismThailand (20) MAS feminine masculineThailand (34) low high UAI low highThailand (64) LTO low highThailand (56) UK (35) UK (89) UK (66) UK (35) UK (25) France (68) France (71) France (43) France (86) France (39)