Cross culture management is an art. Successful Organisation managed it well. In this age of globalisation Multinational, multicultural organisations need to know the local and global mind - sets for the smooth operation of the organisation.

1. Advanced Cross
Administrative Culture
and Values
Transnational Management
Dr Anwarul Wadud

2.  At the end of the class, participants will be able o
understand the cultural dimension and values in Cross
Cultural Environment
 Transnational Management approaches and its impact
on organizational management
 Different Challenges and Leadership skills towards
organizational growth and development
 Corporate Strategies and Responsibilities
 Strategic management for transnational organization
Learning objectives

3. INTRODUCTION
• The age of globalization provide
unprcedented amount of opportunities and
challenges for global business and their
managers
• Managers of MNCs face vast array of
challenges that need specific responses wile
keeping an eye on the Global Strategy
• This work explores leadership challenges
and cultural issues at different
environmental levels

4. MANAGERIAL
CHALLENGES
IN
TRANSNATION
AL
ORGANIZATIO
N

5. 1. Organizational Restructuring
2. Communication
Challenges
The expertise of an organization is no
longer confined to the headquarters,
but rather, could be located in any
country or region in which the
company operates.
It is important to treat the
communication obstacles as business
issues and to come to an
understanding with individuals or
groups on how to minimize the
downsides of the challenge

6. 3. Assessment and
Development
4. Cultural Sensitivities
• Systems need to be developed that both
assess and capture the true impact/value
that global executives are having on their
businesses.
• Leaders have the same right to a thoughtful
and accurate assessment of their potential
as do those within a closer proximity.
understand dynamics of internal
and external stakeholders in host
country.
It is important to understand the
unique needs of employees in
each location and find ways to
capitalize on their traits.

7. 5. Team Effectiveness
• The benefits of an international group of team members
can truly help organizations be more responsive to the
global marketplace.
• It require that team members have a better understanding of
the cultural expectations and beliefs of each culture
represented on the team.
• Leadership need to create an Corporate Cultures and Values
among the team members.

8. Stronger and More Complex
Environmental Forces
• The management must be able to analyse the new market
structures, competitive forces, and consumer needs with
strong analytical skills in the transnational business setting.
• It is necessary to have the ability to gather and analyse data
that clarifies new industry patterns. Administrative cross-
cultures and values of selected local and multinational firms.
.

9. Corporate Strategies and
Responsibilities• An organization must define new strategic objectives and
design strategies to achieve these targets when opting to
enter an international market.
• A strong level of legitimacy and supervision of their
organization’s operations, and the performance of its
workforce must be maintained by the top-level management
for good performance in these markets.

10. ORGANIZATION
AND ITS CHALLENGES IN
GLOBAL MARKETPLACE

11. 1. Cultural Challenges
One of the challenges in global projects is collaboration
between companies from different cultures and since the
global project company can be a complex network consisting
of geographically dispersed organizational units across
different cultures, the management of a global organization is
a significant challenge

12. 2. Global Leadership Challenges
• One of the challenges in global projects is collaboration
between companies from different cultures. Since the global
project company can be a complex network consisting of
geographically dispersed organizational units across
different cultures, the management of a global organization
is a significant challenge .
• The transferability of management
theories and practices across national
borders and different cultures
represent a huge challenge and has
become an increasingly debated topic.

13. 3. Global stakeholder challenges
• Global projects are highly
affected by various stakeholders
with differing interests and
demands; pose numerous
uncertainties in unfamiliar
environments, differing
regulations, norms, and cultural
beliefs. Internal,external
stakeholders
social, cultural, political
• The project’s success or failure is strongly influenced by
both the expectations and perceptions of the stakeholders,
and the capability and willingness of project managers to
manage these factors and the organization’s politics.

14. MULTINATIONAL
CORPORATIONS

15. • Multinational corporations (MNCs) play significant roles in
shaping the global economy.
• MNCs are also the main proponents of preferential trade
agreements and bilateral investment treaties.
• MNCs have been the main advocates of the inclusion of
provisions protecting investment and intellectual
property rights and liberalizing services in preferential
trade agreements, as means to gain an edge over MNCs
from other countries
MULTINATIONAL CORPORATIONS

16. Strategic Management for
Transnational Companies

17. Strategic Management
for Transnational Companies
• Develop coordination system for the flow of goods, resources,
and information while meeting local needs and growing the
company’s bottom line; they are both essential factors in
marketing the vision and mission statement for a transnational
corporation.
• To most effectively and profitably compete with their industry
rivals, transnational companies must establish strong networks
with their customers, supply chain members, and strategic
business partners.

18. 1. Barriers in Innovation
The manager should know the types of
challenges that stand in the way of
successful innovation integration.
2. Building Strong
NetworksInstead of looking to create new
relationships and networks, they
strengthen existing relationships
with key stakeholders.their
satisfaction with performance and
achievements should be prioritized.

19. Managing the Boundary,
Managing the Knowledge Flows,
and Providing Strategic
Direction in
Cooperative Venture

20. 1. Ambidexterity
Instead of concentrating on short
term profitability or performance,
transnational companies have
turned their attention to bolstering
their market position for long term
industry success and
competitiveness.
2. Access to Informational
ResourcesThey must create organizational
change in a structured manner by
establishing effective coordination
between departments.

21. 3. Structural ambidexterity and contextual
ambidexterity
• To gain some competitive advantage over industry rivals, they
must offer customers value-added services. Organizations must
put focus on both Structural Ambidexterity and Contextual
Ambidexterity in their business proceedings to effectively
conduct their collaborative ventures.
• When team work is needed, for instance, employees are
directed to allocate their resources, efforts, and time between
adaptability-focused and alignment-focused activities.
• Employees have full autonomy in making small scale decisions
related to their day to day job responsibilities and duties. When
employees are able to share information and assist one
another, the nature of their jobs become comparatively more
flexible.

22. Global Strategy
● Need for economies of scale to be
exploited on a global scale, but products
can be standardised. Typically used for
commodities, Industrial goods and low
price commercial goods.
● Centralised decision making and
coordination of branches from HQ in order
to integrate production and fully exploit
EoS.
● Lacks responsiveness to local needs
Transnational strategy
● Need to adapt products to meet local
needs,whilst benefitting from EoS.
● Decentralised decisions, such as R&D and
marketing which are then shared globally
known as global learning
● Need for mixture of centralised and
decentralised decision making and
coordination of separate units
International strategy
● Demand for products is similar to MNC’s
home market, while there is little pressure
for lowering average production costs
● Product development and R&D decisions
are centralised, other decisions may be
decentralised(i.e HR or marketing)
● Local branches implement centrally made
decisions
Multi- domestic strategy
● Very different markets with high demand
for products to be adapted, but little
pressure to exploit global economies of
scale
● Marketing, product development and R&D
decisions decentralised. Essentially lots of
separate business operating independently.
● Local branches have expertise and make
own decisions
● May not make the most of shared core
competences
High
High
Low
Low Pressure for Local Responsiveness
Cost
pressure
(global
integration
)
The Bartlett and Ghoshal Model(1989)

23. *Globalization introduced bigger challenges. To address
these challenges, the management must understand the
social, cultural, demographic, economic, and political
positions of the community in which they are operating
or planning to operate.
* Develop multicultural organisational capability and
adopt cross-cultural and global work environment.
*Management must develop efficient and effective
coordination system for the flow of goods,resources &
information while meeting local needs.
CONCLUSION

24. Subject:
Advanced Cross
Administrative
Culture and Values
Topic: Transnational
Management
Presented by:
Dr Anwarul Wadud
Faculty
Graduate School
Philippine Christian
University

25.  Luthans, Fred: Organisational Behaviour 10/e, McGraw-Hill,
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 Barlett Christopher A. (2008)- Transnational Management:
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 (2004)Transglobal economics and culture: contemporary
Japan and southest Asia. Diliman, Queszon city: UP Press.
 Chen, Stephen(2005). Strategic Management of E-
Business.2 e England: Jhon
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Referances

28. QUESTION
AND
ANSWER
FEEDBACK