CULTURE VS' NATIONAL CULTURE

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CULTURE VS. NATIONAL CULTURE

• MIDTERM 2 REVIEW

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CULTURE IN CONTEXT
Transformation Process
Culture
Input
Output
Environment National Culture Political
Legal Economic Resources History
Organizational Group Individual
Task
Formal Organizational Arrangements
Individual
Feedback
From Nadler Tushman, A General Diagnostic
Model for Organizational Behavior
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WHAT IS CULTURE?
Culture is learned H.E.L.P.
H abits E xpectations L anguage P erception
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Culture is a system of H.E.L.P.

• Habits
• Patterns of behavior and thought
• Expectations
• For ourselves and others, accepted norms
• Language
• Language and symbols with shared meaning
• Perspective
• About how the world works, assumptions

Day 1
5

• When Im angry I.......
• If I dont agree with an idea I.......
• When someone in my team has done a good job
  I.......
• If someone hasnt been pulling his/her load
  I.......
• A meeting is to...........
• If Im shown a picture of someones family and
  one of the members is fat

grin and bear it say that its interesting and
Ill think about it reward the group leave it
up to group pressure formalize a
decision laugh and comment on persons health
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UNDERSTANDING CULTURE

• Artifacts On the surface, that can be sensed
  easily
• Values That can be or inferred, or
  articulated
• Assumptions Hidden -- about man and the
  environment, about human nature, human roles
  relationships, reality, time, risk-taking..

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Core Cultural Axioms

• Combines dimensions and values
• Focuses on major beliefs/values and links them to
  behavior

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Cultures Influence on Work
Dr. Julia Gluesing, Cross-Cultural Connections,
Inc.
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Cultures Influence on Work
With Dr. Julia Gluesing, Cultural Connections,
Inc.
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Cultures Influence on Work
With Dr. Julia Gluesing, Cross-Cultural
Connections, Inc.
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Culture in Business

• Social Stratification System
• Vertical vs. flat organizational structure
• Age-seniority vs. expertise
• Gender-based distinctions
• Family-based groups
• Industrial groups
• Occupational distinctions

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• Relationship Preferences
• Power distance
• Individualism vs. collectivism
• Communication
• Obtaining information
• High and low context cultures
• Explicit versus implicit communication
• Task and Information processing
• Precision of language
• Categorization of information
• Monochronic vs. polychronic

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• Risk-taking Behavior
• Uncertainty avoidance
• Trust
• Fatalism
• Negotiation Decision-making
• Length of different stages of process
• Team sizes
• Power and authority issues
• Data versus stories as evidence
• Comfort with ambiguity
• Influence tactics--consensus-building,
• persuasion, fiat, reciprocity . . .

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DECISION-MAKING
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CULTURAL LEVELS
National
Organizational
Occupational
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CULTURE AT THREE LEVELS

• National Culture
• Hofstedes dimensions of national culture
• Power distance, Uncertainty Avoidance,
  Individualism-collectivism, Masculinity-Femininity
  
• Sub-national cultures
• Organizational Culture
• The culture of Matsushita and Sony versus
  Japanese culture
• Individual culture
• Function of different affiliations, extent of
  socialization, learned through experience . . .
  , Stereotypes

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Discussion Simulations

• Different Contexts of Culture

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Feeling Upset at Work
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• Choose between the following two extremes to
  conceive of a company what do you think is
  usually true? What do you think most people would
  prefer?
• A. One way is to see a company as a system
  designed to perform functions and tasks in an
  efficient way. People are hired to perform these
  functions with the help of machines and other
  equipment. They are paid for the tasks they
  perform.
• B. A second way is to see a company as a group of
  people working together. They have social
  relations with other people and with the
  organization. The functioning is dependent on
  these relations.

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Two Ways to Work
G R O U P
System

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Question

• A defect is discovered in one of the
  installations. It was caused by negligence of one
  of the members of a team. Responsibility for this
  mistake can be carried in various ways.
• A. The person causing the defect by
  negligence in the one responsible.
• B. Because he or she happens to work in a team,
  the responsibility should be carried by the group.

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Four Building Blocks

• Concept of Self (How we interpret the human
  condition)
• Individualist-Collectivist
• Concept of Responsibility (Our relationship with
  others)
• Personal versus Societal Responsibility
• Concept of Time
• Monochronic-Polychronic
• One thing at a time-Multi-tasking
• Locus of Control (Fate)
• Internal-External

Based on Hall, 1959, 1977 Klukhohn Strodtbeck,
1961
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RESPONSIBILITY
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CONCEPT OF TIME
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RELATIONAL TIME
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LOCUS OF CONTROL
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National Cultures
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Hofstedes Dimensions of Workplace Culture

• Power Distance -- extent to which the less
  powerful members of institutions and
  organizations within a country expect and accept
  that power is distributed unequally, society is
  hierarchical
• Uncertainty Avoidance -- extent to which members
  of a culture feel threatened by uncertain or
  unknown situations. This feeling is, among other
  things, expressed through nervous stress and in a
  need for predictability a need for written and
  unwritten rules.
• Masculinity/Femininity -- Masculinity pertains to
  societies in which social gender roles are
  clearly distinct (i.e., men are supposed to be
  assertive, tough, and focused on material
  success, whereas women are supposed to be more
  modest, tender, and concerned with the quality of
  life) Femininity pertains to societies in which
  social gender roles overlap (i.e., both men and
  women are supposed to be modest, tender, and
  concerned with the quality of life).
• Individualism/Collectivism -- the degree to which
  the ties between individuals are loose (everyone
  is expected to look after himself or herself) or
  strong (people are integrated into strong,
  cohesive ingroups from birth onwards which
  protect them in exchange for unquestioning
  loyalty).

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National Cultures
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National Cultures
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National Cultures
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National Cultures
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Midterm 2 November 30th

• 30 Multiple choice questions (3 points each)
• You choose 1 of 2 essays (10 points)
• Bring
• Scantron (Form 882-E the small style)
• ONE piece of three ring, lined binder paper

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Multiple choice questions will cover

• Assigned reading in Chapters 2, 8, 11, and 13
• The Porter article The Competitive Advantage of
  Nations
• Global Operations Management and
  Recontextualization in Technology Transfer

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Use these slides and the class review discussion
as guides

• Study
• the text
• your notes
• the original slides available on the class web
  page

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Key issues in Chaps. 8 and 11 Foreign Direct
Investment (FDI)

• Definition of foreign direct investment
• Why firms do foreign direct investment
• Be able to think about under what circumstances a
  firm would produce abroad
• Most FDI is to and from developed countries, but
  investment in developing countries is growing

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Hopes and fears of developing (poor) countries

• What developing countries want
• Need for capital when a country is running a
  trade deficit
• What they fear from investing companies

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Key issues in Porters Competitive Advantage of
Nations

• Understand what Porter means by the competitive
  advantage of an industry
• Understand the four determinants
• Factor conditions
• Demand conditions
• Related and supporting industries
• Firm strategy, structure, and rivalry
• Understand what Porter means by each
• Importance of pressure on firms

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Key issues in Global Sourcing (Country
Evaluation and Selection)

• How location decisions should be influenced by
  Porters theories
• Scanning and initial decision techniques
• Know some key criteria
• Size
• Growth rate
• Stability
• Spillovers
• Limitations of scanning
• Dangers in using standard data sources

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• What causes firms to eliminate proposals from
  countries
• Diversification vs. Concentration strategies
• Differences between new and reinvestment
  decisions