...What are some of the challenges associated with managing alliances? How do host governments affect these? One of the biggest challenges in managing alliances is the cultural dimension. Differences in culture can cause huge issues in alliances, and also in working with foreign partners. Cultural differences can cause misinterpretation, lack of valuable communication and also confusion in the partnership. Differences in the cultural dimension have plagued alliances for years, and should be looked at carefully before a MNC ventures into one. One partner may have high uncertainty avoidance while another may have low uncertainty avoidance. This definitely impacts the way management deals with certain situations, and can become a tug-of-war. Host governments have a substantial role in how and when alliances are formed and also terminated. Many host governments require alliance, and can even affect dissolution of the alliance by making it difficult for the partner to sell their share. They can also block repatriation of the foreign partner’s investments in the alliance. This is why it is so important for MNC’s to do extensive research, and understand the risk level before joining into an alliance. Cultural differences can be a huge deal breaker. Like you said, it can cause misinterpretation. Misinterpretation can change situations quickly and make other countries think differently of the company. It can simply be a logo or slogan than is interpreted differently in the host country...
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...Issues relating diverse and cross cultural workforce R.RAAKESH(12608013) INTRODUCTION The diverse workforce has become a reality today. The impact of cultural diversity varies with the type of environment and firm’s overall strategy. As more and more number of firms move from domestic, multidomestic, multinational strategies to operating as a truly global firm, the significance and impact of cultural diversity increase markedly. Management of cultural differences has become more important for creating advantages and getting competitive edge. Companies must also consider stakeholders as employees. The viewpoints of stakeholders such as shareholders, suppliers, public agencies, and government regulators should be considered in shaping the culture of performance and approaching the diverse markets. In number of situations employees, customers and other stakeholders in the service environment interact to produce the ultimate service outcome. To solve the problem of unfair, inequitable treatment of diverse people, both as employees and customers, managers must recognize that such treatment is bound with bureaucratic structure, subjectivity and irrationality, inappropriate policies and practices, ineffective implementation of human. Companies should completely reshape the working culture that make possible the integration of a broad range of viewpoints that leads to a redefinition of how work gets done and how diverse markets are approached and capitalized upon. All employees...
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...The influence of cultural difference on managing emotions in project management teams. Abstract Managing emotions is a part of emotional intelligence that is, according to previous researches, counted as a significant aspect for successful management of project teams. With globalisation companies hire employees with different cultural backgrounds which is in its turn may lead the possibility of misunderstandings between team members. The purpose of current study is to examine the relationship between the outcomes of managing emotions test and different cultural background of individuals. In this study 30 participants of 6 different nationalities took part whose professional field is project management. Data collection process was conducted through self-report scaled questionnaire based on Mayer–Salovey–Caruso Emotional Intelligence Test (MSCEIT) but only four factors of MSCEIT that relate to emotional management branch was used for assessment. However, the findings of the survey indicated that ability to manage emotions does not relate to nationality. Also, the limitations and obstacles of this study are presented. 1 Introduction 1.1 Background The first definition of emotional intelligence that was given by Professors P. Salovey and J. Mayer states that emotions can influence the logical thinking and goal focused actions. Moreover, it can improve rationality. There were many debates around emotional intelligence mostly because it combines fundamentally...
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...for the management of the company. The challenges of global talent selection and mobility of labor, established by a career concept that transcends national borders and organizational groups and the emergence of virtual collaboration on international projects requires companies to develop new skills in their employees to be effective in the complexity of today's contexts. The workforces are people, and as we are human, we are all different from various points of view. This paper aims to answer the question: “Is culture really all that International Human Resource Manager is about?” I’ve analyzed the differences between HRM and IHRM based on the concept of diversity, characteristics that influence both topics but in a different way. After this, the next stop is to define IHRM and the concept of culture to reach the conclusion that managing cultural differences in an international team is the major challenge to IHRM. Due to the movement of employees between foreign subsidiaries and headquarters and between foreign locales, HRM professionals are likely to find themselves working on international assignments. Managers working in their home countries but employed by a local subsidiary of a foreign MNE, will have to integrate a local culture and organizational culture into the local operation. The different communication styles, worker motivation philosophies, and organizational structures and frequent lack of understanding of the host country...
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...Papers/Capstones 12-2008 Managing cultural diversity in hospitality industry Yi Gong University of Nevada, Las Vegas Follow this and additional works at: http://digitalscholarship.unlv.edu/thesesdissertations Part of the Hospitality Administration and Management Commons Repository Citation Gong, Yi, "Managing cultural diversity in hospitality industry" (2008). UNLV Theses/Dissertations/Professional Papers/Capstones. Paper 480. This Professional Paper is brought to you for free and open access by Digital Scholarship@UNLV. It has been accepted for inclusion in UNLV Theses/ Dissertations/Professional Papers/Capstones by an authorized administrator of Digital Scholarship@UNLV. For more information, please contact digitalscholarship@unlv.nevada.edu. 1 MANAGING CULTURAL DIVERSITY IN HOSPITALITY INDUSTRY by Yi Gong Bachelor of Science China Chongqing University 1998 A professional paper submitted in partial fulfillment of the requirements for the Master of Science in Hotel Administration William F. Harrah College of Hotel Administration Graduate College University of Nevada, Las Vegas December 2008 2 ABSTRACT Managing Cultural Diversity in Hospitality Industry By Yi Gong Gail Sammons, Committee Chair Professor of Hotel Management University of Nevada, Las Vegas Cultural diversity has become a major issue in the hospitality industry of the United States. This paper focuses on analyzing the change faces and current status of the cultural diversity in the hospitality...
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...Managing cross cultural communication Introduction Globalization is a phenomenon that is in vogue nowadays. In this rapidly changing world to succeed it’s imperative for an organization to adopt the phenomenon of globalization. On one hand globalization cultivates scores of benefits for the organization. On the other hand, it also generates various dilemmas for management. One of these dilemmas is of effective communication management. This phenomenon of globalization presents challenges of understanding and managing cross-cultural communications. According to Stephen Roberts: “Culture is the framework in which we communicate” This suggests that various factors give rise to the problem of cross-cultural communication. These factors include: language, environment, technology, social organization, the perception of authority and non-verbal communications. Having the ability to assess these variables is vital in ensuring for managers to convey messages and conduct business across a wide range of cultures. This paper addresses communication within multicultural project teams and the significance of leadership style in managing cross-cultural communications. The aim of this paper is to reveal different ways or skills that managers need to adopt to make the process of communication effective. Furthermore, this paper sheds lights on variegated barriers that may exist in effective communication process in a cross-culture environment. Literature review Zapf...
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...Introduction With the initiation of global economy comes an increased interaction between people of different countries and an increase in the need to deal with cultural differences. Thus, there must be an understanding of how the international project will affect people and how people will affect the project. This requires an understanding of economic, demographic, educational, ethical, ethnic, religious, and other characteristic of the people for whom the project affects or who have an interest in the project (Egeland, 2011). Today’s projects have dramatically increased in complexity, which requires a culturally and functionally diverse mix of individuals who must be assimilated into an effective unit – a project team. In order for the project to succeed it will be predicated upon the effectiveness of teamwork during all phases of the project life cycle (Knutson, J, 2001). Therefore, it is critical that organizations involved in international projects take into consideration “cultural risk”, which, if not consciously recognized may lead to ineffectiveness and in some cases prove to be very costly (Sennara & Hartman, 2002). Therefore, it must be understood that the most crucial element in international projects is “culture” (PM Hut, 2012). What is Culture? “Culture” refers to a way of life for a group or community that practices and shares values and common experiences that shapes the way in which the group or community understands the world. These values and practices...
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...understanding or managing diversity in which I am most strong. Diversity can be defined as any attribute relevant to an individual that creates or reinforces a perception that he/she is different from another individual (Williams, 1998). Managing diversity is an on-going process that unleashes the various talents and capabilities which a diverse population bring to an organization, community or society, so as to create a wholesome, inclusive environment, that is “safe for differences,” enables people to “reject rejection,” celebrates diversity, and maximizes the full potential of all, in a cultural context where everyone benefits. Multiculturalism, as the art of managing diversity, is an inclusive process where no one is left out. In an age of cultural pluralism, multiculturalism is needed to manage diversity effectively. In essence, then, multiculturalism is nothing more than the art of managing diversity in a total quality manner. One area regarding managing diversity in which I am most strong is the focus on the individual, concerned with embracing and valuing differences. This area is of tremendous importance, since staff and administration that do not get along, nor understand each other, are not able to maximize their greatest potential for optimal excellence. Here is where workshops on prejudice, cultural awareness, cross-cultural communication and conflict resolution are most helpful. (Lorde, 1993) The purpose of valuing diversity and appreciating differences is not simply...
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...Cultural diversity in organizations A study on the view and management on cultural diversity Authors: Supervisor: Dhakshayene Holmgren Anneli Jonsson Maj- Britt Johansson- Lindfors Student Umeå School of Business and Economics Spring semester 2013 Master thesis, two-year, 15 hp ABSTRACT Cultural diversity is a subject that has been getting growing attention not just internationally but also in Sweden in the 21st century. The globalization of economies and the migration has dramatically increased opportunities while also affecting organizations in a manner that it requires it to be more open and accommodative towards a heterogeneous working environment. Unfortunately many companies do not see the advantages that cultural diversity could bring and how a well managed cultural diversity could essentially achieve competitive edge in the market. Therefore there is little is to be found regarding how organizations today view and manage a culturally diverse workforce, especially in a Swedish working environment. The lack of this type of research in a Swedish context creates a possible research gap and leads to this study in investigating the organizations in Västerbotten and their view and management of cultural diversity. Thus the research question: How do Swedish organizations view and manage cultural diversity? In order to gain insights in to this question, previous research has been investigated and some main theories have been selected. Through this it has been found...
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...Managing Diversity in the Workplace – Understanding Cultural Differences: Part 1 A smart business person understands the importance of a productive and efficient workforce. Business experts insist that your employees are your biggest investment. If you are a manager of a culturally diverse workforce you will have to make an effort to understand what motivates your employees and makes them happy. This requires an understanding of cultural differences; your employees will have many different values and traditions. A culturally diverse workplace could include people from many different Asian and Latino cultures. I use these two examples only because they represent large numbers of immigrant workers. The following advice can be applied in most situations. 1. Do not assume: Do not assume that Spanish speaking people are the same. Latin America has a diverse collection of cultures and traditions. And they have different ways of looking at things. Managing diversity in the workplace means taking the time to find out your employees nationalities and do some research about their homeland. Then share your knowledge with them and ask questions about them personally. In many cultures that personal connection means a lot more than meeting production deadlines. 2. Give some instruction: It is also a good idea for your employees to be given some instruction in American values and traditions. Don’t forget that your employees also have to function in our society when they are not at work...
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...------------------------------------------------- WORKPLACE DIVERSITY ------------------------------------------------- (CULTURAL DIVERSITY) SAZIA KHAN SANJA GM410: FOUNDATION OF PROFESSIONAL COMMUNICATION. INSTRUCTION: ROBERT WOODS Keller Graduate School of Management Introduction: The social composition of the world is changing. And the increasing of the globalization demands more interaction with people from diverse cultures religion and background ever before. As a result of that the demography of the world is changing. The word becomes a single market place. Anyone with a cell phone or access to the internet is a potential customer. In today’s global economy traditional barrier are disappear. So being increasing the opportunity as well as competition if the company wants to compete effectively and globally, Todays Companies need to realize that they longer have choice.it is now essential to be knowledgeable about and be able to communicate with people of different nationalities cultures and religions. Corporation realizes that they must embrace that diversity in the workplace brings. What is Work place Diversity Workplace diversity refers to the variety of differences between people in an organization. That means diversity encompasses race, gender, culture, ethnic group, age, personality, cognitive style, tenure, organizational function, education, background and more. Diversity not only involves how people perceive themselves, but how they perceive others...
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...Leading Culturally Diverse Groups Dave Park Leadership is important in managing and organizing the structure of the organization while trying to maintain a profitable company that takes into consideration employees, shareholders, customers and board of directors, etc. Another attribute of a great leader is managing diversity in the workplace. However, diversity includes many different issues and needs to be managed and if done properly can lead to competitive advantages for the company. Thomas A. Kochan, professor at MIT, stated “Diversity can enhance business performance only if the proper training is provided and the organizational culture supports diversity (Dubrin, 2010). Managing Cultural Diversity: Managing cultural diversity is not an easy task, however, when incorporated into the organizations core values, is makes it easier to incorporate (Dubrin, 2010). Below is a diagram that provides a breakdown of areas or issues that may need to be looked at to evaluate the possibility of creating and leading a culturally diverse organization. These areas may help to identify areas where a competitive advantage may be available in the organization. In such a culturally diverse world and as the organization makes decisions that will impact them globally, these discussions are vital for the success of the company. Whether not decisions are made to implement or not to implement decisions based on diversity within the organization, these ideas, may identify some of the...
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...Leadership is important in managing and organizing the structure of the organization while trying to maintain a profitable company that takes into consideration employees, shareholders, customers and board of directors, etc. Another attribute of a great leader is managing diversity in the workplace. However, diversity includes many different issues and needs to be managed and if done properly can lead to competitive advantages for the company. Thomas A. Kochan, professor at MIT, stated “Diversity can enhance business performance only if the proper training is provided and the organizational culture supports diversity (Dubrin, 2010). Managing Cultural Diversity: Managing cultural diversity is not an easy task, however, when incorporated into the organizations core values, is makes it easier to incorporate (Dubrin, 2010). Below is a diagram that provides a breakdown of areas or issues that may need to be looked at to evaluate the possibility of creating and leading a culturally diverse organization. These areas may help to identify areas where a competitive advantage may be available in the organization. In such a culturally diverse world and as the organization makes decisions that will impact them globally, these discussions are vital for the success of the company. Whether not decisions are made to implement or not to implement decisions based on diversity within the organization, these ideas, may identify some of the organizations strengths and weaknesses. (Cox...
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...Chapter 7 Cultural Diversity in Cross-Border Alliances Susan E . Jackson Randall S . Schuler Introduction Increasingly, firms are using cross-border alliances to strengthen and maintain their position in the market place . Although often seen as a relatively fast and efficient way to expand into new markets and incorporate new technologies, the success of cross-border alliances is by no means assured . To the contrary, such alliances often fall short of their stated goals and objectives . While some failures can be explained by financial and market factors, the failure of others can be traced to neglected human resource issues and activities associated with managing the cultural diversity present in these organizations . This chapter describes the special challenges that cultural diversity creates for effectively managing human resources within cross-border alliances . Drawing upon the extensive literature regarding the management of domestic alliances and domestic diversity, we offer suggestions for how human resource management practices might be used to improve the success of cross-border alliances . Regardless of industry, it appears that it has become all but impossible in our global environment for firms to successfully compete without growing and expanding through deals that result in cross-border alliances (CBAs) (Lucenko, 2000) . In some industries, e .g., insurance, cross-border alliances provide a means for moving into new markets . In other...
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... How International Business Affected HRM Introduction Changing trends within globalization, technology, and e-business has caused for diversity to have an impactful effect on each & every aspect of business involving human resource management. Furthermore, there has been the enhancing demand for organizational flexibility. Human resource management has been very challenging within international regard. This has been the discipline, which trusts totally on the people, and its behavior has been decided through shared values. As values change from one generation to the next, from one country to another, and from one culture to the next, rules of human resource management have been regularly altered ("Going Global: Managing the HR Function across Countries and Cultures.," 2009). The effect of globalization combined with internationalization within increasingly competitive business arenas is required to be evaluated. This particular paper will give insight to how human resource management fits in along with contributes towards companies international business strategy, as well as discussing important factors that influence international human resource management with regards to globalization. • How has the growth in international business affected human resource management? A major outcome to internationalization is that organizations should increasingly be managed worldwide. However, this confronts managers creating many challenges (Perks, 2004). Market...
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