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2. CULTURE & WORK
Cultural diversity and its impact on business ethos and practise
All generalizations are false
All generalizations, including this one, are false
Some generalizations are true
Some generalizations are true, some of the time
While it is impossible to predict behavioral style for a given
group, it may be helpful or useful to be aware of certain
particularities in order to understand people from that group,
adapt our behavior and select an appropriate strategy.
3. CULTURAL GROUPS
We can classify cultural groups in different ways
Ethnic
National
Regional
Urban
Religious
Professional
Corporate
5. CULTURAL HOMOGENEITY
Within a given cultural group,
there are common values, attitudes and behavior.
For example, Germans share these concepts :
Order
Logic and Clarity
Scientific truth
Seriousness
Work ethic
Consensus
Linear time
6. CULTURAL STEREOTYPES
A given cultural group also holds ideas
about other cultural groups.
Here ’s the typical Brit ’s view of Europeans :
FRENCH SPANISH ITALIAN BRITS IRISH DUTCH GERMAN
STYLISH 37 07 30 09 01 05 04
ARROGANT 29 14 12 14 07 04 48
SEXY 21 08 19 04 05 02 01
DEVIOUS 19 09 10 06 16 02 12
EASYGOING 10 27 20 27 30 15 03
GREEDY 10 07 07 12 03 02 09
COWARDLY 08 03 12 02 10 00 02
BORING 08 07 06 13 09 13 11
EFFICIENT 06 03 05 26 05 24 41
LAZY 06 23 13 16 11 01 01
HARDWORKING 05 12 10 29 22 28 38
CLEVER 02 01 01 06 02 04 08
BRAVE 01 03 02 25 07 06 08
7. INTERCULTURAL CONFLICT
It isn ’t easy for people to reach agreement, even within a given culture.
When people from different cultures come together to negotiate,
intercultural difficulties are superimposed on interpersonal ones.
Here are some potential sources of misunderstanding and conflict :
Language & communication
Behavior
Time & space
Attitudes & values
Power & decisionmaking
Work practises
8. THE FRENCH
Language & communication
Courteous - formal - rationalist - complex - abstract - critical - contentious - evasive - touchy.
Behavior
Formal - mistrustful - polite - arrogant - cynical - not very pragmatic - can be rigid - egoistic.
Time & space
TIME : nonlinear - may not respect agendas, schedules, deadlines - slow implementation
SPACE : respect privacy - territory closely guarded.
Attitudes & values
Work ethic underdeveloped - competitive drive relatively recent - highly valued welfare
system - proud - consider themselves competent & efficient - opinion counts more than facts
- can be contemptuous - security not risk - poor customer service.
Power & decisionmaking
Technocratic & centralized - slow - insufficient delegation - position a function of credentials
- functional & departmental responsibility sometimes ignored - subordinates accept elitist
hierarchy as being in the nature of things - decisions may be made with lateral consultation
only - predominance of political concerns.
Work practises
Teamwork insufficient - inadequate reporting - form over substance - accept surprises.
Bureaucratic - performance not always monitored - slow evaluation & promotion - territory a
key factor - procedural control may stifle initiative - information retention - tend to say no.
Meetings often ill-planned & too long - tend to rationalize failure - lack foresight.
9. THE AMERICANS
Language & communication
Loud - informal - direct - simple - concrete - idiomatic - polite - don’t like silence - curious.
Behavior
Casual - trustful - polite - abrasive - opportunistic - pragmatic - naive - egoistic - humorous .
Time & space
TIME : linear - agendas, schedules, deadlines - fast implementation - future oriented.
SPACE : large personal space - respect privacy.
Attitudes & values
Work ethic - competitive drive - risk - success - utilitarian - entrepreneurial - self reliant -
independent - patriotic - competent - effort rewarded - innovative - egalitarian - contractual
& litigious - ignorant of other cultures - customer service - professionalism.
Power & decisionmaking
Authority earned - empowerment - position a function of performance - strong functional &
departmental responsibility - accountability - frank exchange between managers &
subordinates - flat hierarchy - decisions made with both vertical & lateral consultation -
predominance of financial concerns - concern for stakeholder interests.
Work practises
Teamwork - tight reporting - substance over form - dislike surprises - meetings short &
productive - brainstorm - performance monitored - rapid evaluation & promotion - planning -
procedural control doesn’t stifle initiative - information exchange - tend to say yes.
10. THE GERMANS
Language & communication
Facts - precision - detailed information - logical argument - don’t like interruptions, smalltalk,
misunderstanding, simplification - compartmentalize arguments - direct & frank - respectful.
Behavior
Serious - humour out of place at work - calm - sensitive to criticism - formal interpersonal
relations - respect rules & procedures - think before acting - unimpressed by Latin flair.
Time & space
TIME : linear - punctual - agendas, schedules, deadlines - fast implementation – plan ahead.
SPACE : privacy important - don’t like standing too close - organized home & workspace.
Attitudes & values
Honest, sincere, reliable, conscientious, efficient, loyal. Intolerant of mistakes - perfectionists
inflexible when they believe they’re right, but will look for common ground.
Power & decisionmaking
Flat - authority not automatic, depends on performance - frank exchange between
managers & subordinates - upward mobility - strong middle class - middle management -
partnership - distrust elites - decision preceded by intense discussion & lateral consultation.
Work practises
Teamwork - meetings - cooperation - delegation - decentralization - detailed planning -
don’t like surprises - subordinates supervised, advised, instructed if needed - don’t interrupt
tasks - problems minimized by procedures - training - managers fair to employees - expats
can persuade HQ to change if needed - look for & criticize defects - quality - deadlines - price.
11. THE BRITS
Language & communication
Concrete - mistrust abstraction & rationalism - information exchange - understatement -
2-way communication - qualification & reserve - don’t like interruptions, open conflict - can
be vague & evasive but expect straight answers.
Behavior
Easygoing - casual & courteous - calm but politely arrogant - humour - pragmatic.
Time & space
TIME : linear - punctual - agendas, schedules, deadlines - fast implementation - plan ahead.
SPACE : respect privacy - don’t like touching or standing too close (except in the pub !).
Attitudes & values
Work ethic - sense of duty - utilitarian - success oriented - consider themselves reliable,
hardworking & efficient - competitive - ethnocentric.
Power & decisionmaking
Top-down but delegation - position a function of performance - frank exchange between
managers & subordinates - strong functional & departmental responsibility - decision
requires consultation, accurate & reliable data - predominance of financial concerns.
Work practises
Teamwork - supervision - planning - don’t like surprises - tight reporting - substance over
form - work task-centred & achievement-motivated - performance monitored - rapid
evaluation & promotion - procedural control not incompatible with individual initiative -
cost containment a key goal - meetings should be short, efficient & solve problems.
12. THE TURKS
Language & communication
Courteous - ambiguous - opinionated - touchy - contentious - evasive.
Behavior
Formal - mistrustful - astute.
Time & space
TIME : nonlinear - may not respect agendas, schedules, deadlines - slow implementation.
SPACE : closeness - touching.
Attitudes & values
Work ethic underdeveloped - opinion counts more than facts - conservative - honour -
sensitive - patriotic - family - Islam - resent pressure - relationship.
Power & decisionmaking
Top down - centralized - slow - insufficient delegation - position a function of credentials &
status - subordinates accept elitist hierarchy as being in the nature of things - decisions may
be made with lateral or no consultation - predominance of political concerns.
Work practises
Teamwork insufficient - inadequate reporting - form over substance - accept surprises.
Bureaucratic - performance not always monitored - slow evaluation & promotion - territory a
key factor - procedural control may stifle initiative - information retention - tend to say no.
Meetings often ill-planned & too long - tend to rationalize failure - lack foresight.
13. HOW DO THEY MEASURE UP ?
PARAMETER
Technical culture Financial
Formal man Casual
Cartesian mind Baconian
Abstract word Concrete
Complex message Simple
Credential criterion Result
Justice ethics Utility
Autonomous role Team Player
Universalist world view Ethnocentric
14. FRENCH & US ENGINEERS
Academic Greater mastery of pure science Stronger in applied research
Research State-funded research provides Corporates & Universities set up
security but low remuneration technology partnerships
Mobility Stays a long time in same firm Will leave if opportunity arises
Teamwork Education system isolates researcher Adept at sharing information and
so he is less communicative working in teams
Problems Takes a global & complex approach. Oriented towards project-based
Abstract & theoretical outlook does work that solves marketplace
not always produce solutions that problems faced by corporates
fit the marketplace
Flexibility Rigid Flexible
Presenting Exhaustive Focused
Business Difficulty in adopting profit ethos At ease in sales & marketing
environment
15. CULTURAL VALUES
Here is a list of work-related values shared by many cultures, but the order
of priority differs from one to another. How do you rank them ?
Group consensus ►
Competition ►
Reputation & prestige ►
Security & family ►
Self reliance ►
Time ►
Relationships ►
Openness & directness ►
Formality ►
Hierarchy & seniority ►
Efficiency ►
Freedom & risk ►
16. CORPORATE CULTURE
Matters are complicated still further when a
corporate culture is added to the equation.
Differing corporate values may be a problem in
joint ventures or subsidiaries and have to be
adjusted to take account of local values.
Define LISI corporate culture :
17. MERGING CORPORATE CULTURES
Acquired company embraces
Assimilation acquiring firm’s culture
Acquiring company imposes its
Deculturation culture on acquired firm
Both cultures combined into a
Integration new composite culture
Merging companies retain
Separation separate cultures
18. TRANSCULTURAL SKILLS
What skills are required when you step into a
different cultural environment ?
DO DO DON ’T
Observe & respect Speak briefly Talk too much
Tolerate ambiguity Exchange data Interrupt
Relate to individuals Listen Attack
Reserve judgement Question Blame
Adapt to difference Respond Score points
Empathize Look for clues Threaten
19. PROBLEM SOLVING
Understanding intercultural conflicts isn ’t easy.
Solving them is difficult - most people don ’t even try !
Here ’s a 5 step method :
Describe the problem as understood in both cultures
Analyze it from the two cultural perspectives
Identify the source of the problem from each viewpoint
Solve the problem through synergetic strategies
Determine if the solution is working interculturally
20. 12 NEGOTIATION PARAMETERS
NW Europe SE Europe
Preparation high low
Structure/Agenda/Protocol high low
Time management high low
Openness & Directness high low
Conflict & Emotion low high
Relationships low high
Listening & Feedback high low
Ambiguity low high
Empowerment high low
Position gap low high
Contractual detail high low
Packaging flexibility high low
21. WORLD COMPETITIVENESS SCOREBOARD 2004 *
USA 100
Iceland 86
Denmark 84
Finland 83
Luxembourg 83
Ireland 80
Sweden 79
Austria 78
Switzerland 78
Netherlands 78
Norway 75
Germany 73
UK 72
Belgium 70
Estonia 68
France 67
Spain 67
Portugal 58
Slovak Republic 57
Hungary 57
Czech Republic 56
Greece 56
Slovenia 55
Turkey 55
* www.imd.org
22. WORLD COMPETITIVENESS SCOREBOARD 2005
Iceland 85
Finland 83
Denmark 83
Switzerland 83
Luxembourg 80
Ireland 78
Netherlands 77
Sweden 76
Norway 76
Austria 75
UK 69
Germany 68
Belgium 67
Estonia 66
France 64
Czech Republic 60
Hungary 60
Spain 59
Slovak Republic 58
Portugal 52
Greece 50
Slovenia 49
Italy 46
Poland 39
23. WORLD COMPETITIVENESS SCOREBOARD 2006
Iceland 90
Denmark 86
Switzerland 83
Luxembourg 82
Finland 81
Ireland 81
Norway 80
Austria 79
Sweden 77
Netherlands 76
Estonia 71
UK 71
Germany 69
Belgium 68
Czech Republic 63
France 60
Spain 58
Slovak Republic 57
Hungary 57
Greece 54
Portugal 53
Slovenia 52
Bulgaria 51
Italy 44