Context of Business: Trends

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Presentation transcript:

Global Business Conditions and Implications for the Management of Organizations and People

Context of Business: Trends More competition More complexity More uncertainty More interdependence Domestic: Task envir: customers, suppliers, regulatory agencies, labor unions General envir: political, social/cultural, economic, technological (and then multiply it by 5 or 10 or 20 when going international and global

Effects of the Contextual Trends on Business Strategy More emphasis on speed More emphasis on customer service More emphasis on entrepreneurial activity More emphasis on cost reduction More emphasis on technology integration More emphasis on global awareness/learning

Expected Effects of the New Strategies for Organizational Behavior and Structure More flexibility and decentralization More global sourcing for lower costs More motivation to understand foreign customers and foreign economies Better management practices for global human resources More techno-savvy employees

Actual Trends More promotion of empowerment and equality (horizontal management) More promotion of diversity More flexible work practices More emphasis on customer service More rewards for innovation More emphasis on team performance

What would you predict about High Context cultures? Empowerment Diversity Flexible work practices Customer service Innovation Team performance

What would you predict about Low Context cultures? Empowerment Diversity Flexible work practices Customer service Innovation Team performance

What would you predict about Individualistic cultures? Empowerment Diversity Flexible work practices Customer service Innovation Team performance

What would you predict about Collectivist cultures? Empowerment Diversity Flexible work practices Customer service Innovation Team performance

What would you predict about Uncertainty Avoidant cultures? Empowerment Diversity Flexible work practices Customer service Innovation Team performance

What would you predict about Uncertainty Tolerant cultures? Empowerment Diversity Flexible work practices Customer service Innovation Team performance

Preferences by Cultural Groups or Countries US/Anglo France Japan Korea Brazil/South America

US/Anglo More emphasis (than others) on empowerment, diversity, equality, flexible work practices, customer service and team-orientation Increased emphasis in all those areas Less emphasis (than others) on centralization

France More emphasis (than others) on centralization Increased emphasis on customer service Less emphasis (than others) on diversity, equality, flexible work practices

Japan More emphasis (than others) on customer service, team-orientation and centralization Less emphasis (than others) on diversity and equality, flexible work practices

Korea More emphasis (than others) on centralization and IT Increased emphasis on customer service

Brazil/South America More emphasis (than others) on centralization Increased emphasis on empowerment, using IT and some team orientation Less emphasis on flexible work practices