- 2 1 McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved.

2 Environmental Context: Information Technology and Globalization

- 2 3 McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. Learning Objectives  Examine the role that information technology plays in today’s organizations.  Present the developments in knowledge management and human capital/intelligence.  Discuss the impact of globalization as an environmental context for organizational behavior.  Describe the meaning, role, and dimensions of culture as a context for international organizational behavior.

- 2 4 McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. Starting with Best-Practice Leader’s Advice  Intel’s Andy Grove on the Impact of Information Technology and Globalization  Most qualified commentator on this topic  E-commerce  Globalization equals Americanization of other countries  Healthy global economy  Impact on global economy

- 2 5 McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. The Role of Information Technology  E-Business  Intranets  Knowledge Management  KM as Acquiring and Storing Information  KM as Sharing and Leveraging Information  Human/Intellectual Capital

- 2 6 McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. Globalization Besides information technology, the other major environmental context impacting organizational behavior is globalization. Today, well-known U.S.-based multinational corporations have more than half their assets overseas. With trends toward similar clothes, entertainment, material possessions, and recognition that English is the international business language, people around the world still think and behave in different ways. The starting point of how the globalization environment affects and is affected by organizational behavior is culture.

- 2 7 McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. The Impact of Culture on International Organizational Behavior  How do Cultures Vary?  How People See Themselves  People’s Relationship to Their World  Individualism versus Collectivism  The Time Dimension  Public and Private Space

- 2 8 McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. The Impact of Culture on International Organizational Behavior  Hofstede’s Cultural Dimensions  Individualism/Collectivism and Power Distance  Uncertainty Avoidance  Masculinity/Feminity (Continued)

- 2 9 McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. The Impact of Culture on International Organizational Behavior (Continued)

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. The Impact of Culture on International Organizational Behavior (Continued)

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. The Impact of Culture on International Organizational Behavior (Continued)

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. The Impact of Culture on International Organizational Behavior  Trompenaars’s Cultural Dimensions  Universalism versus Particularism  Individualism versus Collectivism  Neutral versus Affective  Specific versus Diffuse  Achievement versus Ascription (Continued)

McGraw-Hill © 2005 The McGraw-Hill Companies, Inc. All rights reserved. Questions