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Organizational Cultures and Diversity. The specific objectives of this chapter are:EXAMINE some of the major ethical issues and problems confronting MNCs in selected countries.DISCUSS some of the pressures on and action being taken by selected industrialized countries and companies to be more socially responsive to world problems..
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2. Organizational Cultures and Diversity The specific objectives of this chapter are:
EXAMINE some of the major ethical issues and problems confronting MNCs in selected countries.
DISCUSS some of the pressures on and action being taken by selected industrialized countries and companies to be more socially responsive to world problems.
3. The Nature of Organizational Culture Shared values and beliefs that enable members to understand their roles and the norms of the organization, including
Observed behavioral regularities, as typified by common language, terminology, and rituals.
Norms, as reflected by things such as the amount of work to be done and the degree of cooperation between management and employees.
Dominant values that the organization advocates and expects participants to share, such as high product and service quality, low absenteeism, and high efficiency.
4. The Nature of Organizational Culture A philosophy that is set forth in the MNC’s beliefs regarding how employees and customers should be treated.
Rules that dictate the do’s and don’ts of employee behavior relating to areas such as productivity, customer relations, and intergroup cooperation.
Organizational climate, or the overall atmosphere of the enterprise as reflected by the way that participants interact with each other, conduct themselves with customers, and feel about the way they are treated by higher-level management
5. Interaction Between National and Organizational Cultures National cultural values of employees may have a significant impact on their organizational performance
Cultural values employees bring to the workplace with them are not easily changed by the organization
6. Cultural Variations
7. Cultural Variations
8. Cultural Variations
9. European’s Perceptions of Cultural Dimensions of U.S. Operations/Same MNC
10. European’s Perceptions of Cultural Dimensions of European Operations/Same MNC
11. European Management Characteristics
12. European Management Characteristics
13. Organizational Cultures in MNCs There are four steps in the integration of organizational cultures in international expansions that result from mergers or acquisition
The two groups have to establish the purpose, goal, and focus of their merger
They have to develop mechanisms to identify the most important organizational structures and management roles
They have to determine who has authority over the resources needed for getting things done
They have to identify the expectations of all involved parties and facilitate communication between both departments and individuals in the structure
14. Organizational Cultures in MNCs Three aspects of organizational functioning that are important in determining MNC organizational culture
The general relationship between the employees and their organization
The hierarchical system of authority that defines the roles of managers and subordinates
The general views that employees hold about the MNC’s purpose, destiny, goals, and their places in them.
15. Organizational Cultures in MNCs
16. Organizational Cultures in MNCs Family culture
Strong emphasis on hierarchy and orientation to the person
Family-type environment that is power oriented and headed by a leader who is regarded as a caring parent
17. Organizational Cultures in MNCs Eiffel Tower
Strong emphasis on hierarchy and orientation to the task
Jobs are well defined, and everything is coordinated from the top
This culture is narrow at the top, and broad at the base
18. Organizational Cultures in MNCs Guided missile
Strong emphasis on equality in the workplace and orientation to the task
This culture is oriented to work
Work typically is undertaken by teams or project groups
19. Organizational Cultures in MNCs Incubator
Strong emphasis on equality and personaI orientation
Based on the premise that organizations serve as incubators for the self-expression and self-fulfillment of their members
20. Four Corporate Cultures
21. Four Corporate Cultures
22. Four Corporate Cultures
23. Phases of Multicultural Development
24. Phases of Multicultural Development
25. Phases of Multicultural Development
26. Phases of Multicultural Development
27. International Culture Diversity Focus
28. Types of Multiculturalism Domestic multiculturalism
Multicultural and diverse workforce that operates in the MNC’s home country
Group multiculturalism
Homogeneous groups
Token groups
Bicultural groups
Multicultural groups
29. Potential Problems Associated with Diversity Attitudinal problems
May cause a lack of cohesion that results in the unit’s inability to take concerted action or to be productive
Perceptual problems
When culturally diverse groups come together, they often bring preconceived, erroneous stereotypes with them
Inaccurate biases.
Inaccurate communication
30. Advantages of Diversity Can enhance creativity, lead to better decisions, and result in more effective and productive performance
Can prevent groupthink
Social conformity and pressures on individual members of a group to conform and reach consensus
Can be very effective team under right conditions
Tasks requiring innovativeness
Activities must be determined by the stage of team development
31. Understanding the Conditions for Effectiveness
32. Guidelines for Effectively Managing Culturally Diverse Groups Select team members for their task-related abilities
Team members must recognize and be prepared to deal with their differences
Team leader must help the group to identify and define its overall goal
Members must have equal power so that everyone can participate in the process
All members must have mutual respect for each other.
Managers must give teams positive feedback on their process and output
