The International Journal of Organizational Analysis
GAINING A PERSPECTIVE ON INDIAN VALUE ORIENTATIONS: IMPLICATIONS FOR
EXPATRIATE MANAGERS
Suresh Gopalan Joan B. Rivera

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Suresh Gopalan Joan B. Rivera, (1997),"GAINING A PERSPECTIVE ON INDIAN VALUE
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Organizational Analysis, Vol. 5 Iss 2 pp. 156 - 179
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GAINING A PERSPECTIVE ON
INDIAN VALUE ORIENTATIONS:
IMPLICATIONS FOR EXPATRIATE MANAGERS
Suresh Gopalan
Joan B. Rivera
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West Texas A&M University
India's emergence in the international business arena presents challenges to Western-trained expatriate managers assigned there. These expatriates are familiar with management theories and practices based on value orientations very different from those in India. Kluckhohn and
Strodtbeck's Value Orientations Framework is used to provide an overview of the different types of cultural values an expatriate manager will confront in Indian society. The impact of Indian values on various management practices, including team composition, leadership, motivation, and human resource management functions is also discussed It is hoped that this examination of the dominant value orientations of
Indian employees will facilitate the successful transfer of Western expatriates to India.
Over the last two decades, the Pacific Rim countries of Japan, South Korea,
Taiwan, China, and Southeast Asian countries of Thailand, Malaysia, Hong Kong and Singapore have achieved tremendous economic success (Adler, 1994; Foster,
1995). A relative newcomer to this group of countries is India, which is emerging as an industrial power to be reckoned with. As a consequence of the free market reforms and economic liberalization programs pursued by the Narasimha Rao administration since 1991, there has been a steady increase in foreign investment, joint ventures, partnerships, and direct ownership by American, Japanese, and
European businesses. With a growth rate ranging from 5-6 percent since 1991,
India's economy is currently the fifth largest in the world and is designated by the
Clinton administration as one of the world's 10 big emerging markets
("Presidential Mission," 1995; MacClure, 1995). India is viewed as (a) a favorable location for establishing low-wage manufacturing units, (b) an inexpensive source of developing sophisticated world-class software, and (c) an attractive market for banking, chemicals, telecommunications, entertainment services, automobiles, and power generation industries (MacClure, 1995; Michaels, 1995; Phillips, 1992).
These economic activities suggest an increased presence of international
(particularly Western) managers in India, resulting in greater interaction between
Indian employees and Western managers.

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Cross-cultural researchers have long emphasized the importance of gaining an understanding of a host country's national culture for managerial success in overseas business operations, as managers socialized by their own national culture tend to develop values, beliefs, behaviors and practices that are compatible with the main features of that national culture (Alder & Jelinek, 1986; Hofstede, 1993;
Laurent, 1983). Differences in the cultural values and attitudes held by people from different nations lead to different work-related values and attitudes (Hofstede,
1980a; Laurent, 1983; Thornhill, 1993).
For example, based on a cross-national study of U.S. and Indian salespersons,
Agarwal (1993) concluded that U.S. salespersons react negatively to organizational formalization and bureaucratic structures, whereas Indian salespersons react favor­ ably to organizational formalization and control by demonstrating a higher level of work commitment and reduced work alienation. Agarwal (1993) theorizes that dif­ ferences in the socialization process cause variations between U.S. and Indian salespersons. American salespersons are socialized in a culture characterized by low power distance and a high degree of individualism—they dislike authority, conformity and close supervision. Indian salespersons are raised in an environment emphasizing high degrees of collectivism, dependence, and power distance
(Kanungo & Jaeger, 1990)—they respond favorably to tighter control and supervi­ sion. Consequently, management theories and practices that are successful in
Western nations may be ill suited if transplanted in developing countries where socio-cultural factors are significantly different from the cultural context in which such theories and practices originated (Hofstede, 1993; Thomhill, 1993; Trompenaars, 1993). Wholesale transfer and/or application of Western management thoughts and practices in India results in organizational inefficiency and ineffec­ tiveness, as such ideologies and practices are incompatible with local cultural con­ ditions (Hofstede 1980b; Jaeger, 1990; Kanungo & Jaeger, 1990; Sinha, 1992).
Expatriate managers from Western nations should obtain a better understanding of the relationship between Indian value orientations and their impact on various organizational and management practices. Such an understanding will significantly increase expatriates' chances of success and effectiveness and will help them avoid critical mistakes when operating in developing countries like India (Lobel, 1990;
Shilling, 1993).
Our objectives in this paper are twofold. The first objective is aimed at enabling Western expatriate managers working with Indian managers and/or with
Indian employees to gain an understanding of the dominant value orientations with which the national population has been socialized. The second objective is to dis­ cuss the impact of value orientations on Indian organizational and management practices. National cultural values affect organizational behavior and polices in several ways. These include the manner in which people relate to one another in teams and groups (Gopalan & Dixon, 1996), leadership styles and motivational theories (Hofstede, 1980b), gift giving and other patterns of societal exchanges
(Sinha, 1978), and human resource management (Adler & Jelinek, 1986; SchneiThe International Journal of Organizational Analysis, Vol. 5, No. 2, April 1997

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GAINING A PERSPECTIVE ON INDIAN VALUE ORIENTATIONS

der, 1988), among other areas. By becoming better acquainted with Indian value systems, Western expatriate managers will be able to reduce potential for conflict and become more attentive to developing culturally consistent management styles and practices for the Indian business environment. Therefore, we offer a compre­ hensive discussion of these above mentioned topics for the benefit of expatriate managers who may be operating in India.

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Defining Culture: Using the Kluckhohn and Strodtbeck Framework
Developing an operational definition for culture is challenging. Multiple cul­ tural definitions given by anthropologists, sociologists, psychologists, and organi­ zational researchers create difficulty in reaching a consensus on defining, measur­ ing and operationalizing culture. Sekaran (1983) points out that one of the criti­ cisms of cross-cultural research is the failure to operationalize the concept of
"culture."
While recognizing that culture is multi-layered and composed of many ele­ ments, values are generally considered to represent the nucleus of culture. Scholars from several disciplines conclude that culture is best defined with reference to shared value systems within a unit (Hofstede, 1980a; Kluckhohn & Strodtbeck,
1961; Lachman, Nedd, & Hinings, 1994; Martin & Siehl, 1983; Van Maanen &
Schein, 1979; Weiner, 1988)
Values are defined as "desired end states" (Guth & Tagiuri, 1965, p. 125) which "guide actions and judgements across specific objects and situations"
(Rokeach, 1968, p. 160). Values shape behavior, interactions, and all aspects of human thought. While every nation has a diverse set of values, not all are "equally potent and of equal strength" (Sinha & Kao, 1988, p. 23). There is a core set of values that are basic, deep-rooted and subscribed to by a majority of the population
(Sinha & Kao, 1988). These core values represent the main features of a nation's culture and shape its personality and ethos, giving it an identity that differentiates it from other nations (Adler, 1986; Harris & Moran, 1979; Hofstede, 1980a; Kluck­ hohn & Strodtbeck, 1961; Sinha, 1988). The core set of values is represented in the dominant value orientations of a nation (Adler, 1986; Kluckhohn & Strodtbeck,
1961). Kluckhohn and Strodtbeck (1961, p. 10), define value orientations as: complex but definitely patterned (task ordered) principles, resulting from the transactional interplay of three analytically distinguishable elements of the valuative process—the cognitive, the affective, and the directive elements— which give order and solution of common human problems (emphasis added)
As a consequence of developing solutions for these common human problems, five categories of value orientations emerge that are found in all societies (Kluckhohn
& Strodtbeck, 1961). These are:
1. Human nature orientation ["What is the character of innate human nature?"] The International Journal of Organizational Analysis, Vol. 5, No. 2, April 1997

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2. Man-nature orientation ["What is the relation of man to nature (and supernature)?"]
3. Time orientation ["What is the temporal focus of human life?"]
4. Activity orientation ["What is the modality of human activity?"]
5. Relational orientation ["What is the modality of man's relationship to other men?"] A comprehensive cultural profile can be developed for any nation by asking and answering questions that yield insights about the dominant value orientations for the five areas mentioned earlier (see Table 1). By developing cultural profiles based on the five values orientations, we can draw inferences about the salient val­ ues for each country and use such knowledge to make assessments about the degree of similarity or cultural differences between nations.
Table 1
Value Orientations Framework Proposed by Kluckhohn and Strodtbeck
Value
Orientations
Human Nature
Orientation
Man-Nature
Orientation
Time
Orientation
Activity
Relational
Orientation

Choices or alternatives for these value orientations
*Evil

* Evil and Good

*Good

Mastery-over-nature

Harmony with nature

Subjugation to nature

Future

Present

Past

Doing
Orientation
Individualistic

Being

Being-in-becoming

Laterally extended groups Hierarchical groups

Note: Format for the table is based on Adler, 1986, p. 12.
*Each of these cells has two sub-categories. Individuals in each of these cells either believe that human nature is changeable or unchangeable.
In the next section we develop a cultural profile on India using the value ori­ entations framework developed by Kluckhohn and Strodtbeck. We chose the
Kluckhohn and Strodtbeck framework over that developed by Hofstede for several reasons. First, issues pertaining to time, human nature, and relationship to nature are not addressed by Hofstede. These national orientations have important conse­ quences for business and management practices and are included in the Kluckhohn and Strodtbeck framework. Second, Hofstede's model is based on results obtained from a study of IBM managers—in other words the results are based on a sample confined to one multinational corporation from a single industry. We felt that we may be limited in our ability to draw accurate generalizations about a nation's cul­ ture based on a sample of employees drawn from a single organization and from a
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GAINING A PERSPECTIVE ON INDIAN VALUE ORIENTATIONS

selected occupational and industry group. Additionally, the Masculinity/Femininity and Individualism/Collectivism dimensions have been interpreted differently across several countries (Mead, 1994). In an interview with Hodgetts (1993) Hofstede expressed his reservations about how the four dimensions he developed were being indiscriminately used as concrete entities instead of as the tools for analysis that he intended.
While acknowledging the importance of Hofstede's contribution, we felt that the Kluckhohn and Strodtbeck model was better suited for this paper's objectives.
Although the Kluckhohn and Strodtbeck model has its roots in anthropology, it has gained increased acceptance among many cross-cultural management researchers as the preferred framework for describing a nation's culture (Adler, 1986; Adler &
Jelinck, 1986). This model is wholesome, comprehensive, and includes a broader range of value variables and alternatives than other cross-cultural models.
Indian Cultural Orientation
Human Nature Orientation
The majority of individuals are socialized in the belief that basic and fundamental changes in one's personality and socio-economic status cannot be accomplished in this lifetime (in other words, human nature is unchangeable).
Human nature is viewed as untrustworthy and which must be controlled.
After an extensive review of ancient India texts and epics such as the
Manusmriti, the Arthasastra, and the Mahabharata, Saha (1992) concludes that over the centuries, Indians have viewed human nature as bad, evil, and wicked.
Consequently, socialization practices favor coercion and punishment as a means of maintaining social control. These traditional patterns of thought were further rein­ forced when India was a British colony for over two hundred and fifty years. The
English authorities treated Indians as if they possessed a human nature resembling a "half-devil and half-child" (Kipling's description mentioned in Kakar, 1971, p.
301). This perspective was adopted by Indian managers and supervisors towards their subordinates and is widely prevalent.
Most Indians are socialized to believe their present nature and current state of affairs are unchangeable and result from their actions and lifestyles in previous births (this is called the theory of karma). The doctrine of karma "psychologically conditions the average person to accept pain without complaint" (Saha, 1992, p. 6).
Social customs reinforced over hundreds of years support the idea that quali­ ties and personality traits possessed by individuals are ascribed to the particular caste that they are bom into. Members of higher castes are considered to possess
"noble" and "good" qualities, while members of lower castes are viewed as "evil" and "perverted." Being born into a "higher" or "lower" caste is based on actions in previous births. Individuals are reborn into higher castes if they have fulfilled their duties in an appropriate manner. Individuals belonging to higher castes who had neglected their duties are reborn into lower castes (Ghurye, 1969; Husain, 1961;
Majumdar, 1961).
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Therefore, Indians believe that an individual's personality and current socio­ economic status are largely determined by acts and behaviors committed in previ­ ous lives and that fundamental changes in one's present life are not possible and can only be accomplished in the next life. Such an orientation has resulted in a general lack of concern, widespread fatalism and an overall lower degree of empathy relative to other cultures. Contrary to American beliefs that change is pos­ sible and desirable and that charitable endeavors can play an important role in alle­ viating human suffering and misery, the Indian value orientation causes most indi­ viduals to adopt a passive and cynical outlook towards life. Consequently, less effort is expended to improve one's present situation relative to Western cultures.
Pain, suffering, and poverty are accepted with a certain impassive and impersonal outlook (Adler, 1986; Saha, 1992).
Man-Nature Orientation
Natural forces and objects along with other life forms are held in esteem.
Additionally, a widespread belief is prevalent that life's events are predetermined and controlled by supernatural forces external to an individual. Consequently, most
Indians tend to have an external locus of control and subjugate themselves to nature. Indian traditions include worshiping Mother Earth, ponds, wells, rivers, trees, mountains, demons, spirits, and natural elements such as the wind, sky, and fire
(Husain, 1961; Tripathi, 1988). Ramakrishnan (1979, p. 107) further observes that
Hinduism is characterized by a "vast and growing mythology," as well as "the association of deities and epic heroes with local spots." These objects and forces of nature are seen as having consciousness and life similar to human beings. A selec­ tive list of animals and birds is also accorded special status in Indian tradition.
For example, one of most revered gods in the Hindu religion is "Ganesh," who has an elephant's head transposed on a human body. The water from the
Ganges River is considered to be "sanctified" by the vast majority of Indians and millions converge upon the river's banks during religious festivals to spiritually cleanse themselves. Indian children are socialized to respect all forms of life including birds, animals, and insects.
Subjugation to nature is further reinforced by the doctrine of ahimsa or
"nonviolence" advocated by the religions of Buddhism and Jainism, which dis­ courage bloodshed and killing of any kind. The doctrine of ahimsa "implies not only the negative act of abstention from all injury to life, but positive kindness to all creation" (Husain, 1961, p. 51). Consequently, although over 10 percent of agri­ cultural crops are lost each year to rodents, birds, and other animals, there has been little effort to exterminate them.
The doctrine of karma advocates that incidents occurring in one's life are pre­ ordained and not subject to human control. Unlike Americans, who believe that they have mastery over nature and that they control their destiny, Indians believe that the future is largely uncertain and subject to the vagaries of natural forces over

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which they have no dominance. Such a disposition adversely impacts overall levels of persistence, ambition and work ethic found in the country.
Time Orientation
Indians are oriented towards the past and view time as an infinite entity that is part of the vast cosmic cycle. Traditional practices such as astrology play an important part in people's lives.
Indian tradition considers time as divided into four periods of several hundred thousand years each in duration and arranged in order of gradual decline (Saha,
1992, p. 5). The present time period designated as the "Kali Age" is considered as the worst, where evil and immorality predominate, in contrast to the three earlier time periods where purity and goodness were considered to be present in greater proportion among the population. Two important implications can be made from this information. First, the temporal notion serves to reinforce the pessimistic and cynical view that most Indians have of human nature. Second, most chroniclers of
Indian civilization consider the mythological accounts of the three pre-Kali periods as the "golden age" of Indian civilization and consider historical periods over the past few thousand years (representing the Kali age) as "unworthy of chronicling."
Such a cultural ideology causes Indians to turn to their past and ancient heritage for inspiration. Saha (1992) notes that traditional views of time which revere the past and consider the future with skepticism are shared by several influential contempo­ rary Indian philosophers.
Additionally, Indian time orientation is influenced by the doctrine of karma, which emphasizes the notion of the "cycle of rebirth." The concept of time is not confined to behaviors and actions in one's present life, but includes those commit­ ted in previous births. Time is viewed as a vast cosmic cycle wherein unfinished transactions in one's present life are considered to extend into one's future life.
Consequently, the preference for planning, compartmentalizing, scheduling time, and a sense of urgency that are characteristic of future-oriented societies such as the U.S. tend to be unemphasized in India due to a different time orientation.
Past time orientation causes tremendous pressure to conform to traditional practices and beliefs. For example, the ancient custom of astrology is widely prac­ ticed in India. The vast majority of Indians believe that planetary movements impact their lives. Tradition dictates that no auspicious activity should be under­ taken during two time periods, rahu galam and yama gantam. These time periods are determined by an astrological chart called the panchangam. All social and business activities are undertaken based on astrological predictions. Weddings, engagements, business meetings, vacations, trips and all other important personal and professional activities are not scheduled or undertaken during the rahu galam and yama gantam time periods (Gopalan, 1991).
Activity Orientation
Indian culture emphasizes a 'being-in-becoming' orientation in which the ultimate objective is to seek salvation. Tradition dictates that salvation can be
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attained by displaying an (a) ascetic non-worldly lifestyle and by (b) performing appropriate activities consistent with one's role in life.
The ultimate end goal for an individual is to unite him/herself (the Atman) with that of the infinite (the Brahman), which results in salvation or moksha whereby an individual escapes the endless cycle of rebirth (Saha, 1992; Sinha,
1988). Pursuit of economic objectives and involvement with the material world are discouraged as they are considered distractions that could detract an individual from attaining salvation. In such a context, asceticism and rejection of worldly pleasures are valued over accumulation of wealth (Saha, 1992). Consequently, over the centuries, not much emphasis was placed on social, technological, and eco­ nomic progress in India to satisfy human needs and wants, as the bulk of attention was focused on "after-life." Work (especially of a physically demanding nature) was regarded with disdain and leisure valued—a trend which continues to the pre­ sent day (Agarwal & Misra, 1993).
With the emphasis on seeking salvation taking precedence over all other earthly needs, Indian culture bestows greater respect to the "thinkers,"
"contemplators," and "mediators" than to the "doers" (Gopalan, 1991). "Action is ranked inferior to knowledge" and behaviors seeking truth, harmony, and unity are given priority over focusing on practicality and reality (Husain, 1961, p. 56).
Although asceticism is valued in a normative sense, most Indians find it hard to practice in their daily lives. Therefore, they experience a "guilt complex" when traditional ascetic values contradict the material ideologies and lifestyles of mod­ ern urban living (Saha, 1992).
The concept of dharma refers to prescribed duties that are to be performed by individuals based on their particular role in life (Sinha, 1978). The range, scope, and type of work undertaken by an individual are determined by their particular role. Householders (individuals with families), are allowed to pursue wealth and material possession, not for satisfying personal needs, but for meeting the needs and requirements of their family. Activities engaged in the pursuit and accumula­ tion of wealth are discouraged if an individual is not considered a householder.
Towards the later stages of one's life, an individual is expected to renounce all worldly activities. Hinduism advocates that all claims of wealth and pleasure are to be subordinated by the doctrine of dharma (Gopalan, 1991).
With the exception of the Grihasta or the householder stage in his/her life­ time, the average Indian may be constrained by his/her dharma not to engage in any form of activity leading to the accumulation of wealth and material goods.
Therefore, work in a traditional Indian context is viewed as a means to an end and not the end objective itself.
While some researchers such as Myrdal (1968), Nair (1962), and Weber
(1958) consider traditional Indian values as antithetical to change and develop­ ment, others such as Srinivas (1972) argue that such conclusions are erroneous.
The authors in the latter camp point out that individuals with families are encour­ aged to be diligent and to pursue vocations that result in economic success. Such
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activities can be pursued for many years in an individual's life as long as there are unmet family responsibilities and commitments.
However, there is a fundamental difference between the Indian and American activity orientation. The Indian work ethic, influenced by the Hindu religion, encourages people to work primarily for satisfying family needs and wants. Work in an American context (referred to as the doing orientation) is based on the
Protestant ethic and is considered to be intrinsic, lifelong, and a calling from God
(Kanungo, 1983). Societies characterized by the doing orientation give importance to achievement, accomplishment, accumulation of material wealth and economic activity, objectives that are not found in societies with a being-in-becoming activ­ ity orientation (Cavanagh, 1990; Stewart, 1972).
Relational Orientation
Most Indians tend to exhibit behaviors that indicate a preference for structural inequality in relationships. This may be a consequence of the caste system and child-rearing practices characteristic of the joint family system.
The caste system and the joint family system influence Indian relational ori­ entation; they are the basis of social life in India (Saha, 1993). An individual's social position, identity and status are determined by the hierarchy of his/her caste and family membership.
The Indian population is traditionally categorized into four main castes along with several subcastes (Basham, 1967; Ghurye, 1969; Majumdar, 1961). Brahmins
(priests, poets, and intellectuals) occupied the highest position in the hierarchy, followed by the Kshatriyas (warriors, rulers, and statesmen), the Vaishyas (traders, merchants, bankers, and artisans) and the Shudras (laborers and menials). Based on this hierarchy, Brahmins were accorded the highest status and Shudras the lowest.
Occupations were hereditary and marriages took place within the same caste (Saha,
1993). Personal and social interactions between members belonging to different castes were severely discouraged and limited (Srinivas, 1972). This arrangement persisted for many centuries and was reinforced by the British colonization of
India.
The British made no effort to dismantle the caste system; instead their actions reinforced the traditional hierarchical structure. They actively sought and promoted members of upper castes to work in government positions, reinforcing the hierar­ chical gap that existed between high and low castes. Recent attempts on the part of the Indian Government to correct the lopsided effects of the caste system by insti­ tuting a system of quotas favoring members of the "lower castes" have only served to exacerbate the long-standing animosities between the different castes (Blank,
1995).
Kinship ties are extended to relatives and members of the same caste and are strengthened by arranged marriages whereby parents play a prominent role in selecting spouses for their children; typically the choice of spouses is restricted to members hailing from the same caste. Over a period of time, the practice of mar­ rying and fraternization within the same caste created an intricate framework
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wherein a sharp distinction has evolved between the in-group (family members and individuals from the same caste) and the out-group (non-family members and those from other castes). Attitudes towards members of the out-group range from suspi­ cion to outright hostility, and violent clashes frequently erupt between members of different castes.
Since trade and economic activity was the traditional domain of members belonging to the Vaishya caste, the proportion of entrepreneurs who come from this caste is disproportionately large compared to their number in the population.
According to Timberg (1978), a small number of Indian businessmen hailing from trading communities such as the Marwaris and the Parsis own a large number of private corporations. A strong degree of mutual support and collusion based on caste membership ensures monopoly and dominance by a select few in many industries and continues to the present day.
Despite increasing urbanization and the emergence of a larger number of nuclear families, the joint family system is the most popular structure for more than 80 percent of India's population (Ganguly, 1977; Singh, 1977). Socialization for the majority of Indians takes place in this highly rigid and structured family environment where obedience and respect for authority are instilled at a very young age. Behaviors displaying conformity, dependence, and seeking approval are valued and rewarded over those showing initiative, creativity and indepen­ dence. An individual is expected to subordinate his/her wants, needs, desires, and aspirations to those of the family. The family, not the individual, is considered as the unit of the social system (Sinha, 1988; Tripathi, 1988).
The results of this discussion are summarized in Table 2. Each of the five value orientations for India, along with their impact on beliefs and attitudes in the socio-cultural context, is presented.
Impact of Indian Value Orientations on
Management Theories and Practices
The value orientations discussed above impact various management practices and ideologies. As space does not permit a comprehensive discussion of all theo­ ries and practices, an attempt is made to focus on some of the salient issues that expatriate managers should consider when dealing with Indian employees in an
Indian environment.
Impact of Caste System on Team Composition and Groups
As discussed in the preceding section on relational orientation, because of the dominant role of the caste system in India, Indian employees tend to bring castebased feelings and beliefs to organizational settings. Therefore, U.S., and other
Western managers operating in India should be aware of existing social and caste relationships when assigning individuals to teams and group projects (Gopalan &
Dixon, 1996). Sinha (1990a) observes that Indian employees extend cooperation and exhibit feelings of affective reciprocity primarily to family members and indi­ viduals who are perceived to be members of the same caste (called the in-group).
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Behavioral patterns are strikingly different towards members who are considered to belong to the out-group (non-family members and those from other castes), who are treated as adversaries—relationships are fraught with distrust, friction, and con­ flict (Saha, 1993). Thus, the expatriate manager in India is encouraged not only to factor in task and occupational requirements when determining team composition but also to include caste affiliations of employees (Shah & Kleiner, 1995). While employees in urban areas may not display a preference for being associated with same-caste members on a team, employees in rural areas may display a strong preference for such team composition.
Table 2
Dominant Value Orientations of India Based on the
Kluckhohn and Strodtbeck Framework
Value
orientation

Dominant Indian value orientation Impact of value orientations on beliefs and attitudes in the
Indian socio-cultural context

Human nature orientation

Human nature is evil and unchangeable. Events in past life shape one's personality and socio-economic status in present life.

Man-nature orientation Events in life are predetermined and controlled by forces external to an individual resulting in subjugation to nature.
Past time orientation with strict adherence to traditional practices such as astrology

A strong sense of fatalism resulting in low degree of effort and persistence
Belief in using punishments and coercion
Distrust
Low empathy
External locus of control
Passive and resigned outlook
Lower levels of ambition relative to Western cultures
Lack of urgency
Laid back approach to time
Low degree of planning
Belief in supernatural forces controlling outcomes of events
Lack of focus on satisfying economic needs and desires
Ambivalent and contradictory feelings towards material possessions A tendency to equate thoughts with deeds
A soft work ethic
Acceptance of and preference for status inequality
High degree of obedience and dependence
Individual needs are sacrificed for group goals and needs
High degree of factionalism

Time orientation Activity orientation A being-in-becoming orientation focuses on salvation as the primary goal and encourages ascetic and non-material behaviors as ways of achieving it.

Relational orientation Caste system and child-rearing practices socialize people to prefer collectivism, hierarchy, and ascendancy of group goals over individual goals.

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Appropriate Leadership Styles
The joint family system and the caste system also socialize Indians to prefer hierarchically based superior-subordinate roles [relational orientation]. According to Kakar (1971), Indian employees attach greater importance and are more sensi­ tive to the superior-subordinate relationships than to work goals and productivity.
Therefore, leadership styles accentuating an impersonal, distant, and contractual relationship may be ineffective in an Indian work environment. Expatriates in India are urged to create a family-oriented atmosphere by cultivating a personalized and nurturant relationship with their subordinates, by participating in community func­ tions, weddings, funerals, etc. (Khandwalla, 1990), so as to create a sense of mutual obligation and loyalty resulting in greater commitment and loyalty from
Indian employees.
After reviewing over forty field and experimental studies of Indian organiza­ tions, Sinha (1988), considers the "nurturant-task (NT)" leadership style as highly suitable for an Indian work environment. A nurturant-task leader is one who "cares for his subordinates, shows affection, takes personal interest in their well being and above all is committed to their growth" (Sinha, 1990b, p. 252). But in order to be effective, the same leader makes his/her nurturance contingent upon high levels of subordinate task accomplishment and productivity. Subordinates who meet organi­ zational goals are rewarded by warmth, affection, and closerelationshipswith their leaders—those who consistently fail are shunned and ostracized. Sinha (1978,
1988) considers the nurturant-task (NT) leadership style as most effective if it is initiated in the beginning of a long-term relationship. Later the leader may progress to a more participatory style called NT/P (nurturant task along with a degree of participation), as subordinates display higher levels of self-confidence and jobrelated skills. In making a transition to an NT/P leadership style, managers exercise less structure, guidance, and supervision but maintain similar levels of warmth and personal care in their relationships with subordinates.
Managers from the U.S. and other Western nations who are socialized in cultures characterized by low power distance tend to solicit work-related ideas and suggestions from their employees as part of a "democratic" leadership style. Such an invitation may be viewed by some Indian workers as a sign of managerial weakness and incompetence. Consistent with the relational orientation and its emphasis on hierarchy, Indian employees are socialized to be dependent and con­ scious of their lower status relative to management (Agarwal & Misra, 1993). They tend to prefer a more assertive style of leadership wherein direction and policy flow from authority figures in the organization (Sinha, 1976; Tripathi, 1994). Indi­ vidualistic societies like the U.S. view dependence negatively; being dependent is considered as being weak and immature. On the other hand, hierarchical and sta­ tus-conscious societies like India view dependence as a positive quality; individu­ als obtain a sense of strength and security from power coming from higher man­ agerial ranks (Kakar, 1971). Therefore, the preference for dependency and hierar-

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chy of Indian employees may limit the ability of Western managers to implement group or participation-based decision making (Sinha, 1978).
A brief mention of goal setting, particularly Management by Objectives
(MBO) is appropriate in this discussion on leadership. If introduced abruptly,
MBO may have limited appeal in an Indian work environment. Implicit assump­ tions that serve as a foundation for MBO are that (a) subordinates can sit down with their superiors and have meaningful negotiations on future job performance,
i.e., low power distance is present, (b) individuals have a future time orientation and emphasis is given to meeting schedules and deadlines, and (c) a belief that progress and improvement are possible and can be accomplished by an individual's efforts. These assumptions which are well rooted in American culture may have lim­ ited application in India due to the large psychological distance between superiors and subordinates, a past time orientation, and external locus of control (based on man-nature orientation) held by the majority of the population. In situations where the expatriate manager has established (a) a long-term and intimate relationship with his/her employees, and where (b) a progression can be made from a NT
(Nurturant Task leadership style) to a NT/P style (Nurturant Task + Participative leadership style), it may be possible to apply MBO and related goal-setting tech­ niques. Dealing With Gifts, Personal Favors, and Employee Ingratiation
Expatriate managers may find Indian employees displaying a high amount of ingratiation and dependence and consequently may interpret such behavior as having a hidden agenda for seeking favors. They may also encounter subordinates willing to perform personal favors that are unrelated to and beyond the scope of the organizational relationship, or they may be greeted by subordinates laden with baskets of fruits, flowers, and other gifts on New Year's Day and other religious holidays. Managers, particularly Westerners, may find such employee behaviors irksome, unethical, and/or unprofessional.
These employee behaviors have to be viewed within the context of Indian culture (i.e., relational orientation with an emphasis on hierarchy) and rituals per­ taining to the Hindu religion. It is customary in Hindu religion to take an "offering" of fruits and/or flowers when going to worship in a temple. Offering a gift is both a tacit acceptance of one's lower position relative to God and the need to ingratiate oneself with a higher spiritual being for continued prosperity and sustenance
(subjugation to a supernatural force characteristic of man-nature orientation in
India). The religious ritual is acted out in organizational life wherein subordinates show reverence and respect for their superiors by giving gifts and doing personal favors. In return, the subordinates expect unwavering support and protection from their immediate superiors.
Additionally, in India the act of giving is considered to provide the donor an equivalent or larger return, not from the recipient, but from nature itself. The recipient obliges the donor by accepting the gift or personal favor (Sinha, 1978).
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Therefore, giving gifts and performing favors in the Indian cultural context may not be motivated by a hidden agenda for seeking personal favors in an organiza­ tional context. This is totally contrary to Western thought, which is primarily exchange-oriented and views accepting gifts as being obligated to return an equal or greater favor (Blau, 1964).
Western expatriate managers are urged to display much tact and diplomacy if they decide to refuse gifts or personal favors from Indian employees who may interpret such rejection as a personal snub. While some cases of gift-giving behaviors may have an ulterior motive behind them, the vast majority may simply reflect employee regard and consideration.
Motivational Aspects of Intrinsic Versus Extrinsic Work Rewards
Western (particularly American) organizational behavior (OB) theories have stressed the value of intrinsic over extrinsic aspects of work (Herzberg, 1968).
Implicit in these theories is the notion that employees are motivated when they are given a greater degree of autonomy, responsibility, and control over their work, and they experience work alienation and loss of motivation when they work in a highly bureaucratic, structured, and controlled environment. Other theories assert that individual needs for esteem and self-actualization rank above safety and social needs (Maslow, 1970). It should be noted that these theories originate in cultures that are highly individualistic and are influenced by the Protestant work ethic
(Kanungo, 1983).
In collectivistic hierarchical societies like India, work is considered to be a duty that is performed as a service to one's family, friends, and relatives; virtues such as self-sacrifice are valued over personal achievement (Kanungo, 1983).
Safety and social needs are stressed over individual needs. Expatriates may find
Indian employees working in highly repetitive and routinized jobs (characteristic of assembly line and large manufacturing processes), and those working in highly formalized organizations continuing to exhibit high levels of organizational com­ mitment, job satisfaction, and productivity as long as they are able to provide for the needs of their kith and kin (Agarwal, 1993; Inkeles & Smith, 1974). Extrinsic factors such as pay, promotion, relationships with one's superiors and peers, working conditions, and job security will play an important role in motivating
Indian employees, but may have limited appeal as they get older. Older employees may have fulfilled their familial obligations and may be motivated instead by intrinsic measures like recognition and autonomy.
Vroom's (1964) expectancy theory of motivation posits that if workers are given adequate training, education, and development, their skills can be improved and their behavior modified, resulting in the right kind of job performance. Such thinking is reflective of cultures that believe that change in human nature is possi­ ble and desirable. It may have limited appeal in an Indian cultural context, where most of the population believes that change in human nature cannot be accom­ plished in this lifetime (as discussed in human-nature, man-nature, and time value orientations of India). The second part of Vroom's theory posits that if individuals
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are able to demonstrate the appropriate on-the-job performance, they will be rewarded. Implicit in such a statement are the assumptions that (a) performance can and should be measured, (b) performance criteria should be objective and reflect job-related criteria, and (c) the system is designed to treat everyone fairly and impartially.
Again, these ideas are based on the Protestant work ethic and related social conditions (Weber, 1958). In countries like India where life is organized around caste and family and where sharp distinctions are made between "insiders" and
"outsiders" (relational orientation), impartiality and objectivity in rating and rewarding employees have not been traditionally practiced. Past organizational practices have tended to favor those employees who are family members and members of the same caste regardless of their performance (Saha, 1993); incentive systems have tended to reward everyone regardless of their performance; and there is widespread practice of promoting employees based on seniority (especially in the public sector) regardless of the quality of performance (Agarwal & Misra,
1993). (These differences also have implications for human resource management practices discussed in the next section.) Expatriate managers need to expend con­ siderable effort to demonstrate their fairness and objectivity to a rather skeptical
Indian workforce.
The final element of Vroom's theory suggests that employees are motivated by the value of the job's outcome or reward. As suggested earlier, collective hierar­ chical cultures ascribe more importance to family goals and objectives than do individualistic cultures. Monetary forms of compensation and job security are given a high priority in India over other types of rewards.
Western expatriate managers will find that motivational theories which work well in their home countries will have to be substantially modified to be effective in an Indian setting. They also have to spend time discovering those culture-specific work outcomes that are valued in the Indian environment.
Human Resource Management Practices
The preceding discussion highlights some of the cultural differences between
Indian and Western values that have implications for Western-trained expatriates managing in India. Values and attitudes in the socio-cultural environment which influence OB concepts like leadership and motivation also pose challenges for human resource management (HRM) (Kanungo & Jaeger, 1990), including recruitment, selection, training, performance appraisal, compensation, and employee/labor relations activities.
Personnel management in India is described as "neglected" (Saha, 1992). This is in contrast to its importance in the U.S., having evolved over the past 200 years into a profession with a vast amount of literature, specialized academic training, and extensive government regulation. Whereas the political environment impacts the effective functioning of organizations via its human resource management practices (Kanungo & Jaeger, 1990), in terms of international management, a country's political space is restricted to its national boundaries (Adler, 1995). This
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situation poses challenges for the expatriate manager familiar with U.S. equal employment opportunity (EEO) legislation in the workplace and its jurisdiction over foreign subsidiaries of American organizations employing U.S. citizens abroad. While the American expatriate must abide by anti-discrimination laws insofar as fellow expatriates are American citizens, he/she must become familiar with Indian regulations, if any exist, concerning local nationals.
Recruitment and Selection. The expatriate manager who may be accus­ tomed to using objective selection criteria at home, like test scores and years of education or experience (often due to EEO requirements), faces a new challenge in
India, where hiring typically occurs via a "known circle" of relatives and friends.
Just as upper-level management positions are occupied by members of a particular caste (Saha, 1993), so too are industrial or blue collar workers recruited from the same caste.
Although external recruitment sources like employment agencies and news­ paper ads are available, the expatriate manager in India needs to be sensitive to caste considerations, particularly when recruiting outside the local labor market.
Knowledge of one's caste occurs in subtle ways, and it may be difficult to deter­ mine the caste of applicants from different geographic areas within India. Back­ ground characteristics based on caste are given importance along with work quali­ fications based on education and experience during hiring decisions. Because the relational orientation in India is influenced by the caste system, quotas are used—particularly in public sector organizations—to achieve a balance between high and low castes, to the benefit of the low ones. This is not unlike affirmative action in the U.S., a topic of continuing debate.
Training and Development. Western management training commonly focuses on experiential courses in critical interpersonal skills (Whetten &
Cameron, 1995), which assumes that behavior can change for the better. However, as mentioned earlier, the theory of karma may constrain the belief that change is possible (human nature orientation). At first glance it appears that Western man­ agement training will not readily transfer to India, where the time orientation emphasizes conformity over innovation. On the other hand, India's activity orien­ tation affords more respect to thinkers than doers, something that may be of value in creative problem solving, a topic often included in Western management skills training. There may be other circumstances where Western training and development may transfer to India. For example, large numbers of urban Indians are educated in schools and colleges where English is the language of instruction. Additionally, large numbers of Indians who are educated overseas (primarily in American uni­ versities) return to India and assume responsible positions in organizations. This segment of the Indian population which is exposed to Western thinking and educa­ tional methods may be more inclined to relate to and accept Western forms of training and development. For example, an experiential learning exercise such as
"The Looking Glass" behavioral simulation which was successfully used to enhance interpersonal communication and decision making skills with interna­
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tional MBA students in developing countries such as Slovenia may be well received in India (Ronchetto & Johnson, 1995). If training of this type is to be applied in cultures like India, it should begin with an examination of the values underlying the material being taught (Long, 1995), which we have attempted to provide in this paper. Furthermore, any training that is administered needs to be adapted to local conditions.
Performance Appraisal and Compensation. In India job performance is viewed as a matter of duty, and productivity is low as a result (Saha, 1992). An individual's behavior is judged based on its nurturant and moral stand to serve interpersonal well-being, rather than its entrepreneurship. Paternalism and depen­ dence are valued in India's high power distance culture (Kanungo & Jaeger, 1990).
As mentioned earlier in the context of leadership, MBO may be less effective as a method of performance appraisal in a developing nation like India; MBO tends to create mistrust in cultures with low power distance, low uncertainty avoidance, and high masculinity (Hofstede, 1980b).
Performance appraisal in India may include variables that are not commonly considered in Western organizations. For example, loyalty to and dependence on one's superiors may factor into a favorable performance rating. Because American
EEO legislation does not apply to local national employees in India, legal problems associated with evaluating Indian employees and the potential for discrimination are minimized.
Compensation in Western organizations is often closely related to perfor­ mance appraisal, as pay for performance is advocated and compensation decisions are often directly related to employees' performance reviews. In India, however, pay tends to be time-based and related more to seniority than to effort or skill
(Agarwal & Misra, 1993; Saha, 1992). Khandwalla (1990) observes that for some job categories, the pay norms established by the government are so low that many organizations are unable to attract the best managers for the job. Additionally, compensation in India's labor-intensive manufacturing sector is relatively low.
Employee and Labor Relations. Although the threat of penalty is a more effective motivator than the promise of reward, disciplinary procedures used in
Western organizations will have to be modified in Indian subsidiaries. When deal­ ing with deviant employees, expatriate managers are encouraged to let personal dynamics dictate the appropriate response in any given situation. Unlike in the
U.S., where punishment for inappropriate or illegal employee behavior is based on a rigid, contractual, and legalistic process, a patriarchal leadership style (which is characteristic of a hierarchical relational orientation) allows greater flexibility for managers in choosing an appropriate response in the Indian work context (Gopalan
& Dixon, 1996). In the case of employee dismissal, Indian laws share a similarity with laws in the U.S. which protect employees against wrongful termination; in
India, laws permit discharge only in cases of criminal behavior.
The American concept of employment-at-will may not be effective in India for a variety of reasons. First, since there is no government legislation providing for unemployment benefits or for welfare assistance for displaced (unemployed)
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workers, most Indian employees have come to expect the job security that their
American counterparts lack. Second, the vast majority of Indian employees are affiliated with trade unions which enjoy strong political support. In cases of indus­ trial disputes, it is not uncommon for politicians to intervene on labor's behalf; expatriates should be prepared to negotiate with political leaders as well as with unions. Last, laying off employees for profit reasons is considered to be an unethi­ cal management practice (Shah & Kleiner, 1995). According to a senior Indian executive Russi Mody, "While an American company can fire 40,000 people overnight, in India it takes five years to do so through attrition and natural pro­ cesses" (Bedi, 1995, p. 47). Downsizing, as American managers know it, may be very difficult to implement in India.
Union-management relations in India and the West (specifically, the U.S.) share some similarities. Indian unions' demands for compensation are linked not to productivity but to thefirm'sability to pay and the union's bargaining power (Saha,
1992). However, compensation in India's labor-intensive manufacturing sector is relatively low, and strikes are plentiful across many industries; they tend to be long drawn-out affairs. Unlike in the U.S., trade unions in India enjoy explicit and covert political patronage and support. Oftentimes, employees have memberships in rival trade unions causing inter-union rivalry, adversely affecting an organiza­ tion's performance (Shah & Kleiner, 1995).
A summary of this discussion on differences between American and Indian management practices is provided in Table 3. Issues related to teams, leadership, gifts, motivation, and human resource management are recapped for each culture.
Table 3
Differences between American and Indian Management Practices
Organizational
or Management
Practice

U.S.A.

India

Team composition Primarily based on task requirements and educational skills and other abilities of team members.

Leadership styles and practices A cultural predisposition to favor a participative management style where subordinates' opinions and input are solicited.
However, organizational

Along with task and skill requirements, caste memberships of various team members have to be considered. [Affected by relational orientation] Organizational leaders display a high level of personal involvement with their subordinates extending even into their personal lives.
Leaders provide nurturance

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Table 3 (continued)

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Organizational or Management
Practice

Gift giving and personal favors from employees to their superiors U.S.A.

India

relationships remain at an impersonal level and leaders do not get involved in the personal and family matters of their employees.
Considered as unethical in the U.S. as such behaviors are indicative of bribes, kickbacks, or having an ulterior motive to "curry" favor.

contingent upon the subordinate's task accomplishment. [Affected by human nature
& relational orientations]
Deemed to be perfectly normal in most cases, as it indicates a sign of respect and consideration displayed by a subordinate to his/her superior.
Declining gifts may cause
"loss of face" to the employee. [Affected by relational & man-nature orientation]
Work is viewed as a means to an end, i.e., work is approached for the sake of satisfying family needs.
Consequently, individuals prefer money and other forms of monetary compensation to intrinsic attributes. [Affected by activity, man-nature, and relational orientations]
Nepotism and caste considerations affect selection and compensation.
Training may be unemphasized due to the pessimistic view of human nature. Discipline is flexible. Layoffs are considered to be unethical.
[Affected by relational, activity, and man-nature orientations] Motivational aspects of intrinsic versus extrinsic rewards

Work is viewed as an end itself. Intrinsic rewards such as job rotation, enrichment, and autonomy are considered to motivate workers.

Human resource management practices

Objective selection criteria are used.
Training programs are common, as are MBO, pay for performance, and downsizing.
Discipline should be applied consistently.

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Concluding Comments
India's emergence as an industrial power is economically attractive to inter­ national managers. While the Western manager can expect to encounter similari­ ties as well as differences managing in India, the differences far outweigh the sim­ ilarities. As a result, it is best to assume difference until similarity is discovered
(Adler, 1986).
As the majority of management models and practices have their own origins in a Western socio-cultural context, their application and relevance tend to be lim­ ited in the context of developing countries like India whose socio-cultural envi­ ronments are vastly different from advanced Western nations. International man­ agers are advised to gain an understanding of the core values prevalent in India that will enhance their knowledge of "indigenous management" and increase their suc­ cess rate when dealing with Indian employees and subordinates in both urban and rural settings.
This paper has attempted to familiarize expatriate managers with the primary value orientations that characterize Indian culture and affect workplace policies and practices. Developing a value profile for a country like India with a long his­ tory, ancient culture, and diverse sub-cultures is a very challenging task. Therefore, we found it useful to integrate Kluckhohn and Strodtbeck's (1961) framework into our discussion because it includes important dimensions not addressed by Hofstede, like time, view of human nature, and relationship to nature.
Besides highlighting the limitations of wholesale application and/or transfer of Western management practices and policies to India, we have also described management practices on team building, leadership styles, motivation, gift-giving and personal favors, as well as human resource management, that will be effective in India. Hopefully this analysis will aid in the success of expatriate managers assigned to India and will encourage further cross-cultural management research and the development of similar profiles for other countries. We would also recom­ mend additional research to more thoroughly explore the effects of colonization and urbanization on a country's values.
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179

Biographical Note
Suresh Gopalan
T. Boone Pickens College of Business
West Texas A&M University
Canyon, TX 79016
Phone/Fax: 806-656-2497/656-2488
E-mail: sgopalan@faculty.wtamu.edu

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Dr. Gopalan is an Associate Professor of Management and Director, Center for Cross-Cultural Studies, at West Texas A&M University. His research interests are in the areas of cross-cultural management, organizational culture, and strategic management.
Joan B. Rivera is an Assistant Professor of Management at West Texas A&M University.
Her research interests are in the areas of workplace diversity, cross-cultural management issues, and management education and development.
Received: June 18, 1996
Accepted after a revision: April 25, 1997
♥

The International Journal of Organizational Analysts, Vol. 5, No, 2, April 1997

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