© 2008The McGraw-Hill Companies, Inc. All rights reserved. International OB: Managing Across Cultures Copyright © 2010 by the McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

4-2 Ch. 4 Learning Objectives 1.Define the term culture, and explain how societal culture and organizational culture combine to influence on-the-job behavior. 2.Define ethnocentrism, and explain how to develop cultural intelligence. 3.Identify and describe the nine cultural dimensions from Project GLOBE. 4.Distinguish between individualistic and collectivist cultures, and explain the difference between monochronic and polychronic cultures.

4-3 Ch. 4 Learning Objectives 5.Specify the practical lesson from the Hofstede cross- cultural study. 6.Explain what Project GLOBE researchers discovered about leadership. 7.Explain why US managers have a comparatively high failure rate on foreign assignments. 8.Summarize the research findings about Northern American women on foreign assignments, and tell how to land a foreign assignment. 9.Identify four stages of the foreign assignment cycle and the OB trouble spot associated with each.

4-4 Culture Culture is: a set of beliefs and values about how people should and do act It involves “taken for granted assumptions” We do not understand that we do not understand

4-5 Cultural Influences on OB  Economic/technological setting  Political/legal setting  Ethnic background  Religion Societal Culture  Customs  Language  Personal values/ethics  Attitudes  Assumptions  Expectations Organizational culture Organizational behavior

4-6 Your Experience I have worked with people of other cultures at work or school. A=Yes, B=No I have experienced a conflict or been frustrated when working with people of other cultures. A = Yes, B=No

4-7 Your Experience The conflict I experienced was due to cultural differences. A=Yes, B=No, C= I don’t know Learning about different cultures is interesting to me. 1=Strongly Disagree, 3= Neutral, 5= Strongly Agree

4-8 Cultural Intelligence Cultural intelligence The ability to interpret ambiguous cross- cultural situations accurately. Involves: Recognizing different values and practices Understanding the meaning of others’ actions Perspective on one’s own ways

4-9 Ethnocentrism: A Cultural Roadblock Ethnocentrism is the belief that one’s native country, culture, language, and modes of behavior are superior to all others How do you overcome this?

4-10 Test Your Knowledge A high performing manager was chosen for a foreign assignment. She tells a colleague “I plan on just doing business the way I always do. Why change what works?” People in the new culture may perceive her to be…. a.Ethnocentric b.Culturally intelligent

4-11 High vs. Low Context Cultures High-Context Rely heavily on situational cues for meaning What characterizes high-context cultures? What countries have high-context cultures? Low-Context Meaning is derived from the written and spoken word What characterizes low- context cultures? What countries have low-context cultures?

4-12 Contrasting High-Context & Low-Context Cultures

4-13 Cultural Dimensions from the GLOBE Project Power Distance Uncertainty Avoidance Institutional Collectivism In-group Collectivism Gender Egalitarianism Assertiveness Future Orientation Performance Orientation Humane Orientation

4-14 Countries Ranking in GLOBE Dimensions

4-15 Individualism vs. Collectivism Individualistic “I” and “Me” cultures Priority given to individual freedom and choice Example countries? Collectivist “We” and “Us” cultures Rank shared goals higher than individual desires and goals Subordinate their own wishes and goals to those of the relevant social unit Example countries?

4-16 Cultural Perceptions of Time Monochronic Preference for doing one thing at a time because time is limited, precisely segmented, and schedule driven. What characterizes monochronic cultures? What countries have monochronic cultures? Polychronic Preferences for doing more than one thing at a time because time is flexible and multidimensional. What characterizes polychronic cultures? What countries have polychronic cultures?

4-17 Interpersonal Distance Zones US Interpersonal Zones (distance in feet) Public Social Personal Intimate ArabAsian + Latin American Cultures North American + Northern European

4-18 Test Your Knowledge Cultures in which people tend to get right to the point would be considered: a.Polychronic b.Proxemics c.High context d.Low context

4-19 Cultural Dimensions: Hofstede Study Does the person embrace stereotypically competitive, masculine traits or nurturing, feminine traits? Masculinity- Femininity How loosely or closely is the person socially bonded? Individualism- Collectivism How much do people expect inequality in social institutions? Power Distance How strongly does the person desire highly structured situations? Uncertainty Avoidance

4-20 Test Your Knowledge: How did the US score? A= True, B= False 1.The US scored relatively high in individualism. 2.The US scored high in femininity. 3.The US scored low on uncertainty avoidance.

4-21 Leadership Attributes - GLOBE

4-22 Foreign Assignments Would you consider taking a foreign assignment for a 6 months to 1 year duration? A=Yes, B=No Expatriates – Anyone living or working in a foreign country

4-23 Why U.S. Expatriates Fail on Foreign Assignments Personal and family adjustment problems Homesickness Lack of: Cultural adaptability Patience Flexibility and Tolerance for other’s beliefs

4-24 North American Women on Foreign Assignments Proportion of female expatriates has grown Barriers: Self- disqualification and assumption that women would not be welcomed Viewed as foreigners first, then as women

4-25 Tips for Landing a Foreign Assignment While in school, pursue foreign study opportunities and become fluent in one or more foreign languages From first interview, clearly state your desire for a foreign assignment Become very knowledgeable about foreign countries where you would like to work Network with expatriates in your company Be visible Stay informed about company’s international strategies and programs Polish your cross-cultural communication skills

4-26 The Foreign Assignment Cycle (with OB Trouble Spots) 1.Selection & training “unrealistic expectations” 2.Arrival & adjustment “culture shock” 3.Settling in & acculturating “lack of support” 4.Returning home & adjusting “reentry shock” Home Country Experiences Foreign Country Experiences Reassignment

4-27 Key Cross-Cultural Competencies

4-28 Test Your Knowledge When Peter becomes aware of practices different than his own, he tries to perceive things in a different cultural context. He also reminds himself to look at his own practices from the perspective of those from different cultures. Based on this vignette, is Peter demonstrating cross-cultural competence? A. Yes B. No