...Managing a business entity with a diverse workforce towards achieving a common goal is problematic. People have their own ways (cultures) of doing things. As a result, most managers consult Hofstede’s four-dimension model to manage efficiently. The dimensions are power distance, uncertainty avoidance, individualism/collectivism, and masculinity/femininity. By observing how different cultures act based on these dimensions, they come up with solutions to solve conflicts. However, Hofstede’s model is not as efficient as perceived by most people across the world. Although Fernandez et al. (1997, p. 52) resonates with Hofstede, he highlights why the managers should exercise caution while using his findings to manage workforce in the modern day life. In his recent study on reexamination of Hofstede’s country classifications, Fernandez et al. (1997) reveals that significant changes have taken place since Hofstede’s original study. He finds out that many of the countries examined in the present study showed a shift in ranking when compared with Hofstede’s initial data. His study proves that the nation’s core work-related values change when subjected to external environmental changes. Unlike Hofstede, Fernandez et al. (1997) study doesn’t use data from selected middle-class IBM employees. His study collects data from advanced business students and as well as working individuals from different organizations and countries. His sample helps him predict the...
Words: 836 - Pages: 4
...Hofstede’s Power Structures in Society “Culture is more often a source of conflict than of synergy. Cultural differences are a nuisance at best and often a disaster. For those who work in international business, it is sometimes amazing how different people in other cultures behave. We tend to have a human instinct that 'deep inside' all people are the same - but they are not. Therefore, if we go into another country and make decisions based on how we operate in our own home country - the chances are we'll make some very bad decisions.” We tend to have a human instinct that 'deep inside' all people are the same - but they are not. Therefore, if we go into another country and make decisions based on how we operate in our own home country - the Prof. Geert Hofstede, Emeritus Professor, Maastricht University. Hofstede’s studies include the identification and definition of groups, tribes, territories, national minorities or nations and he argues that they all possess specific features and behavior which can be opposed to other similar groups. Hofstede's IBM study in the 70s of the position of management, collaboration, organization, individualism, etc. have been widely used by companies when different cultures meet. Hofstede's framework for assessing culture includes the following five dimensions: 1. Power Distance 2. Individualism vs. collectivism 3. Masculinity vs. femininity 4. Uncertainty avoidance 5. Long vs. short term orientation The...
Words: 1155 - Pages: 5
...1799 1799 ‘How are the concepts of culture and leadership linked?’ Introduction: This literature review will make use of four pieces of academic work to discuss how the concept of culture can intrinsically affect leadership. The literature finds that the link between culture and leadership is an important, yet complicated relationship. I will begin by discussing and defining the central concepts of culture and leadership. I will then explain and analyse the significance of culture upon leadership. Finally I will review Hofstede’s cultural framework to assess its significance and relevance to the topic at hand. Culture: To begin, culture is a phenomenon that carries multiple definitions. A simplistic view sees it as “how things are done around here”(Ouchi and Johnson, 1978 p.293). Culture can also encompass the behaviours, attitudes, norms, morals and unconscious values instilled within a group of individuals (Schien, 1985). Hofstede himself defines culture as the “collective mental programming” (Hofstede, 1980 pp.43) of individuals bound by some form of common orientation or geographical boundary. Culture shapes everything within society, and as an extension, leadership. Leadership is another interlinked concept, commonly defined as a relationship by which followers are influenced, and inherent changes are made towards a collective purpose (Daft and Lane, 2005). Moreover leadership refers to the “core set of traits, behaviours, skills, or characteristics that...
Words: 2192 - Pages: 9
...Hofstede's Framework for Assessing Culture He has found five dimensions of culture in his study of national work related values: • Low vs. High Power Distance - the extent to which the less powerful members of institutions and organizations expect and accept that power is distributed unequally. Low power distance (e.g. Austria, Israel, Denmark, New Zealand) expect and accept power relations that are more consultative or democratic. People relate to one another more as equals regardless of formal positions. Subordinates are more comfortable with and demand the right to contribute to and critique the decision making of those in power. In High power distance countries (e.g. Malaysia, Slovakia) less powerful accept power relations that are more autocratic and paternalistic. Subordinates acknowledge the power of others simply based on where they are situated in certain formal, hierarchical positions. As such the Power Distance Index Hofstede defines does not reflect an objective difference in power distribution but rather the way people perceive power differences. In Europe, Power Distance tends to be lower in Northern countries and higher in Southern and Eastern parts. There seems to be an admittedly disputable correlation with predominant religions. • Individualism vs. collectivism - individualism is contrasted with collectivism, and refers to the extent to which people are expected to stand up for themselves and to choose their own affiliations, or alternatively act predominantly...
Words: 646 - Pages: 3
...Hofstede's Framework for Assessing Culture He has found five dimensions of culture in his study of national work related values: • Low vs. High Power Distance - the extent to which the less powerful members of institutions and organizations expect and accept that power is distributed unequally. Low power distance (e.g. Austria, Israel, Denmark, New Zealand) expect and accept power relations that are more consultative or democratic. People relate to one another more as equals regardless of formal positions. Subordinates are more comfortable with and demand the right to contribute to and critique the decision making of those in power. In High power distance countries (e.g. Malaysia, Slovakia) less powerful accept power relations that are more autocratic and paternalistic. Subordinates acknowledge the power of others simply based on where they are situated in certain formal, hierarchical positions. As such the Power Distance Index Hofstede defines does not reflect an objective difference in power distribution but rather the way people perceive power differences. In Europe, Power Distance tends to be lower in Northern countries and higher in Southern and Eastern parts. There seems to be an admittedly disputable correlation with predominant religions. • Individualism vs. collectivism - individualism is contrasted with collectivism, and refers to the extent to which people are expected to stand up for themselves and to choose their own affiliations, or alternatively act predominantly...
Words: 646 - Pages: 3
...ABSTRACT Geert Hofstede's legendary national culture research is critiqued. Crucial assumptions which underlie his claim to have uncovered the secrets of entire national cultures are described and challenged. The plausibility of systematically causal national cultures is questioned. Introduction Do nations have cultures? Within each of the ‘management disciplines’ there is a significant literature which assumes that each nation has a distinctive, influential, and describable ‘culture’ As Hickson and Pugh declare: '[i]t ‘shapes everything’ (1995: 90). Other than a priori belief, what is the basis of claims that influential national cultures exist? What is the quality of the evidence appealed to? Frequently, within the management disciplines, the causal-national-culture accepting literature justifies its reliance on the notion of national culture by citing approvingly the work of Geert Hofstede who claims to have successfully 'uncover[ed] the secrets of entire national cultures' (1980b: 44). Whilst Anderson has vividly described nations as ‘imagined communities’ (1991) and Wallerstein states that he is ‘skeptical that we can operationalise the concept of culture ... in any way that enables us to use it for statements that are more than trivial’ (1990: 34), Hofstede claims to have identified the four (later five) 'main dimensions' of national culture along which countries can be hierarchically ordered (1980a, 1984, 1991). By 1998 he could confidently claim that the scale...
Words: 4896 - Pages: 20
...Conclusions | pp.8-11 | Chapter III – Analyzing and Explaining Cultural Dimensions3.1 Introduction3.2 Analysis of cultural dimensions and Country Comparisons 3.2.1 Power Distance 3.2.2 Uncertainty Avoidance 3.2.3 Long term orientation 3.2.4 Indulgence 3.2.5 Individualism 3.2.6 Masculinity 3.3 Limitations of Hofstede’s Dimensions | pp.12-17 | Chapter IV – Gamification4.1 Introduction4.2 Defining and Explaining gamification4.3 Gamification’s effects on business4.4 Examples of gamification4.5 Criticism – The dark side of gamification | pp.18-20 | Chapter V – Corporate Social Responsibility5.1 Introduction5.2 Defining and explaining CSR 5.3 The Foxconn and Apple scandal5.4 Recommendations and Actions | pp.21-22 | Chapter VI – Recommendations to Management | pp.23-24 | Chapter VII – Conclusions | pp.25 | References | pp.26-27 | Executive Summary Executive Summary This report provides an analysis and evaluation of the issues an EU company might face during its operations in a third country (non-EU member state), through a review of the current literature on cross-cultural offshoring management, Hofstede’s cultural dimensions and gamification. The methods of analysis used, include a comparative analysis between UK’s culture and Indian culture. The results of the research illustrate that considerable...
Words: 6986 - Pages: 28
...Scientific criticism to Geert Hofstede’s research Cross-cultural issues in European Human Resource Management Contents Abstract 2 Introduction 2 Hofstede’s findings 2 Hofstede’s Framework of Cultures 3 Power Distance (PD) 3 Individualism - Collectivism (IC) 3 Masculinity - Femininity (MF) 4 Uncertainty Avoidance (UA) 4 Long/short term orientation (LTO) 5 Some aspects of Hofstede’s model having provoked scientific criticism 5 Methodological issues 6 Cultural Homogeneity 7 National Divisions 7 Number and bipolarity of dimensions 7 Out-dated concept 8 Political Influences 9 Conclusion 9 References 10 Abstract The high level of multiculturalism in the field of business indicates to raise awareness about cultural understanding. Researches in that line major refer to Greert Hofstede, who analyzes dynamics of cross-cultural groups and organizations. Undoubtedly, his model is as widely cited as criticized, because it is well-known pioneering research of national culture differences and their consequences. In this short paper, I am going to examine Hofstede’s findings and the reason why his work faces criticism. Introduction Culture in business has been of utmost interest for the last two decades, and with increasing national diversity in nowadays business environment, culture itself is regarded as an important dimension. The beginning of a pilot study in that sphere refers to the Dutch social psychologist Greert Hofstede and his...
Words: 3257 - Pages: 14
...Hofstede's cultural framework [9], [10] Hofstede's (1980, 2001) cultural framework is built on the premise that people from around the world are guided by different attitudes, beliefs, customs, morals and ethical standards. Societies are based upon different traditions, rituals, and religions; and promote different views regarding family, work, social, and personal responsibilities. Hofstede's framework was originally comprised of four dimensions. The first dimension - individualism/collectivism - is widely acknowledged as a defining element of culture. In individualistic societies people are expected to look out after themselves, whereas in collectivist societies there is a greater emphasis on group welfare and loyalty. Individualists value independence and self-expression, and tend to believe that personal goals and interests are more important than group interests. In contrast, collectivists tend to view themselves as members of an extended family or organization, place group interests ahead of individual needs, and value reciprocation of favors and respect for tradition. The second dimension - uncertainty avoidance - represents the extent to which people feel uncomfortable or threatened by ambiguous and uncertain situations, and thus create belief systems and institutions in order to promote conformity. Societies with higher levels of uncertainty avoidance place greater value on security (e.g., financial, social), feel a greater need for consensus and written rules, and...
Words: 1549 - Pages: 7
...EMPL 3270: NEGOTIATION – THEORY & PRACTICE RESEARCH ESSAY Q2: According to Fells (2012, p.207) “As a negotiation unfolds, it is easy to attribute any behaviour, particularly behaviour that is different to your own, to culture and so ignore the many similarities”. Consider this statement with reference to contemporary research on cross-cultural negotiation and use examples to illustrate your analysis Introduction: Former President and charismatic leader of the United States John F. Kennedy once stated that, “We cannot negotiate with people who say what's mine is mine and what's yours is negotiable” (Kennedy, 1961). This timeless quotation epitomizes and typifies in essence what can commonly be regarded as cooperative negotiation. Formally, the term negotiation is commonly defined as two or more parties or groups deliberating amongst each other endeavoring to achieve a decisive result, which is mutually beneficial for both entities. When considering the process of negotiation across contrasting geographic locations or countries, negotiators have to understand the repercussions which heterogeneous cultures have in the final outcome of a potential deliberation. Culture is defined as the ‘unwritten rules of society’ (Hofstede et al, 2010) and most typically refers to those characteristics or values, which are unconsciously embedded in a large group of citizens through the ongoing processes of tradition and various forms of education. Understanding the pertinence of cultural...
Words: 2536 - Pages: 11
...behaviors, traditions or communication of one culture can be observed as irrelevant or sometimes even threatening by other cultures. These uncertainties can bring into being cultural gaps between people within a workforce. Not only do the variety of cultural structure interacting together increase the potential for conflict or disagreement, but also methods of control disputation among the cultures. The project manager must be able to handleconfrontation using different styles, depending on the circumstances, in order to effectively manage a diverse team. This paper discusses the most well-known and accepted theories of cultural differences and illustrates them with cases from international project management. Two leading studies of cross-cultural management have been conducted by Geert Hofstede and FonsTrompenaars. Both frameworksoffer a set of cultural dimensions along which core values can be obtained. These structures influence on human thinking, feeling, performance, and the behavior of organizations and institutions in predictable practice. The two sets of measurements indicate basic difficulties that any culture has to deal with but for which solutions are in dispute. They are similar in some respects and different in others. The frameworks can be grouped into several categories: Relations...
Words: 2552 - Pages: 11
...An Analysis of the Culture of an Organization Student’s Name University Contents 1.0 Background to the Organization...........................................................................................3 2.0 Theoretical Framework.........................................................................................................4 3.0 Discussion of Central Topic..................................................................................................6 4.0 Conclusions..........................................................................................................................13 References..................................................................................................................................15 An Analysis of the Culture of an Organization 1.0 Background to the Organization Every organization has a personality that is unique, that individual character in the society is its culture (Barker, 2010). My company of choice for analysis is The Hongkong and Shanghai Banking Corporation (HSBC). I have used this bank to discuss the central topic in my report.As I have found it to have a strong corporate culture that has continued to improve its efficiency, value, performance and ratings over the years. HSBBC is a privately based organization; it was incorporated in 1865 with a primary objective of increasing trade and commerce between Europe and China. The headquarters of HSBC are located in London...
Words: 3578 - Pages: 15
...Culture Impact on German Negotiation Style Chen Shuqi SEIB Abstract As the increasing frequency of international trades， international negotiation skills draw a lot of attention. Regarded as a major barrier for cross-cultural communication, understanding culture difference is of signification . This essay will firstly introduce the study history and relevant definitions of international negotiation and how culture factors impact on negotiation style. Considering the gradual closed trade relationship between Germany and China and the commonly acknowledged differences of national cultures between them, this essay would firstly analyzes images of Germans for the general Chinese in a book, Die Langnasen . Further, it clarifies German negotiation style basing on analysis from Hofstede's cultural dimensions theory. We find out that some of German business behaviors from the theory don’t fit with our general impression as the book concludes. After discussion about the deficiency of the theory or possible stereotype of the book, we try to present a modification of the prevalent impression about German negotiation style, and give some suggestion about how to carry out a better international business negotiation with Germans. It may be possible to provide us a better understanding in successful negotiation process with Germans. Key words: International negotiation, German culture, German negotiation style 德国文化对其谈判风格的影响 陈舒祺 国际商务英语学院 2011级国际商务管理 摘 要: 随着跨国贸易的频率迅速增长，国际商务谈判技巧尤为重要。...
Words: 7943 - Pages: 32
...Electronic Submission Coversheet * Please complete and insert this form as the first page of your electronic submission. * Submit the assignment with attached coversheet electronically through the Wolf E-submission gateway * Please make sure you keep a copy of your assignment. Student Details Student Number | 1429530 | Email | sheana@ceragon.net | Assignment Details Module name | Managing Human Resources | Module Code | 7HR011 | | | For the attention of | Dr. Paschal Anosike | Due date | Friday, 15th May 2015 | | Assignment title | As on brief | All forms of plagiarism, cheating and unauthorized collusion are regarded seriously by the University and could result in penalties including failure in the unit and possible exclusion from the University. If you are in doubt, please read the following web page. Student’s Declaration By submitting this assignment I SIGNAL & DECLARE my knowledge and agreement to the following: - Except where I have indicated, the work I am submitting in this assignment is my own work and has not been submitted for assessment in another unit or for any other purpose. This work conforms to the instructions and submission guidelines as contained in the assessment briefing and the module guide respectively. This submission complies with University of Wolverhampton policies regarding plagiarism, cheating and collusion. I acknowledge and agree that the assessor of this assignment may, for the purpose of assessing...
Words: 3675 - Pages: 15
...Confirming Pages CONTENTS PREFACE xv PART 1 CHAPTER 1 GLOBAL MARKETING ENVIRONMENTS 1 Understanding Global Markets and Marketing 2 markets are becoming global 2 globalization: the world is becoming smaller 3 globalization and global marketing 4 Globalization: Opportunity or Threat? The Global Marketing Approach 6 6 global marketing and global markets 7 the cage distance framework 7 domestic and global marketing compared 8 Geographic or Spatial Distance 10 Psychic/Cultural Distance 12 The EPRG Framework 13 Developing Global Marketing Strategy 14 The Standardization versus Localization–Adaptation School 14 Levitt and the Globalization of Marketing 16 Standardization versus Mass Customization 17 Managing the Firm’s Value Chain 18 Global Value Chain Configuration 19 Integrating the Firm’s Competitive Strategy 20 Global Competition 20 a global marketing management framework Global Marketing Performance 22 Global Vision—The World Is My Oyster CASE 1-1 CASE 1-2 CHAPTER 2 21 23 A Tortuous Road Ahead for Proton of Malaysia 26 Dabur—Developing Values in an Emerging Economy Through Value Chain and Product Line 31 Assessing the Global Marketing Environment—The Global Economy and Technology 36 the global economy 37 Economic Growth and World Trade 37 Who Are the United States’ Major Customers? 38 High Tech Products Lead World Trade 40 Characteristics of High Technology Markets 42 Technology and Global...
Words: 1893 - Pages: 8
