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National Culture. Australia’s trading partners. Cross-cultural competencies. Switzerland Singapore Netherlands Hong Kong Malaysia Belgium/Luxembourg Denmark Sweden Chile Canada Based on a survey of 3292 executives on how well “intercultural

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national culture

National Culture

Copyright 2003-2006, Chris Chan

australia s trading partners
Australia’s trading partners

Copyright 2003-2006, Chris Chan

cross cultural competencies
Cross-cultural competencies
  • Switzerland
  • Singapore
  • Netherlands
  • Hong Kong
  • Malaysia
  • Belgium/Luxembourg
  • Denmark
  • Sweden
  • Chile
  • Canada

Based on a survey of 3292 executives on how well “intercultural

understanding” is prevalent in their business communities

Copyright 2003-2006, Chris Chan

a look at culture
A look at culture
  • “Knowledge, belief, art, morals, law, custom, and any other capabilities and habits acquired by man as a member of society” – Sir Edward Taylor, English anthropologist, 1832-1917
  • “A set of distinctive spiritual, material, intellectual and emotional features of society or a social group” & includes art and literature, lifestyles, ways of living together, value systems, traditions and beliefs – UNESCO 2002
  • Collective programming of the minds – Geert Hofstede

Copyright 2003-2006, Chris Chan

focusing on culture
Focusing on culture
  • Values, beliefs, way of life and customs
  • National vs Organizational
  • National vs Sub-Cultures
  • Cultural change through:
      • Diffusion
      • Acculturation
      • Independent invention
      • Convergent cultural revolution/Transculturation
  • E.g. gender equality and same-sex couples

Copyright 2003-2006, Chris Chan

geert hofstede and michael bond
Geert Hofstede and Michael Bond
  • Individualism vs Collectivism
  • Power distance
  • Masculinity (Quantity of Life) vs Femininity (Quality of Life)
  • Uncertainty avoidance
  • Confucian dynamism

Copyright 2003-2006, Chris Chan

fons trompenaars charles hampden turner
Fons Trompenaars & Charles Hampden-Turner
  • Universalism vs Particularism (What is important? Rules or relationships?)
  • Neutral vs Affective Relationships (How do we show our emotions?)
  • Individualism vs Communitarianism (Do we prefer to work individually or in a group?)
  • Specific vs Diffuse Relationships (How far do we get involved?)
  • Achieved status vs Ascribed status (Do we work to get where we are or is prestige/status given?)
  • Time orientation
  • Internal vs External orientation (Do we control the environment or leave it to fate/destiny?)

Copyright 2003-2006, Chris Chan

richard gesteland
Richard Gesteland
  • Deal focus vs Relationship focus cultures
  • Informal vs Formal cultures
  • Rigid-time (monochronic) vs Fluid-time (polychronic) cultures
  • Expressive vs Reserved cultures

Gesteland, R. R. 1999. Cross-Cultural Business Behavior: Marketing, Negotiating and Managing across Cultures. Copenhagen: Copenhagen Business School Press.

Copyright 2003-2006, Chris Chan

where do different countries fit into gesteland s model
Where do different countries fit into Gesteland’s model?
  • Deal focused e.g. US, UK, Australia
  • Relationship focused e.g. Asia, Middle East
  • Informal e.g. Canada
  • Formal e.g. Asia, Middle East and Europe

Copyright 2003-2006, Chris Chan

where do different countries fit into gesteland s model10
Where do different countries fit into Gesteland’s model?
  • Rigid-time e.g. US, South Korea,
  • Fluid-time e.g. Indonesia, Eastern Europe
  • Expressive e.g. Brazil,
  • Reserved e.g. Malaysia, Thailand & other Asian countries, Germany, Netherlands, Czech Rep.

Copyright 2003-2006, Chris Chan

culture and knowledge sharing
Culture and Knowledge Sharing
  • Cultural attributes: Confucian dynamism, face and ingroup/outgroup
  • Do you think that Chinese employees are more willing to bring up cost-estimation errors than their American counterparts?
  • ANSWER: YES! (effects of collectivism and Confucian dynamism)
  • Which group (Chinese or Americans) are less willing to share information to people not in the ingroup?
  • ANSWER: Chinese (group dynamics, uncertainty avoidance)

Chow, C. W., F. J. Deng and J. L. Ho. (2000). The openness of knowledge sharing within organizations: A comparative study of the United States and The People\'s Republic of China. Journal of Management Accounting Research,12, 65-95.

Copyright 2003-2006, Chris Chan

how national culture affect organizations
How national culture affect organizations
  • Individualistic  meet less frequently; No need for explicit mission statement on customer orientation – HK execs (Cheryl Nakata, University of Illinois, Chicago)
  • A Japanese sees mentoring (senpai kohai) as relationship building, an American sees mentoring as a strategy; informal, mutually beneficial, feeling of obligation to mentor and be mentored (Bright, M. I. 2005, Can Japanese mentoring enhance understanding of Western mentoring, Employee Relations, 27, 325-339)

Copyright 2003-2006, Chris Chan

national culture making a difference between success failure in mentoring strategy implementation
National culture: Making a difference between success/failure in mentoring strategy implementation
  • Continuity/long-term focus
  • Obligation and duty
  • Respect for elders/authority
  • Paternalistic behavior
  • Personal bond over contractual agreement
  • Racial and gender congruence

(Bright, M. I. 2005, Can Japanese mentoring enhance understanding of Western mentoring, Employee

Relations, 27, 325-339)

Copyright 2003-2006, Chris Chan

caveat
Caveat
  • Over generalization or over stereotype
  • Sub-cultures
  • Personality-Cultural debate

Copyright 2003-2006, Chris Chan

summary
Summary
  • Why is it important to understand culture and the relevance of culture to IHRM?
  • Appreciate the different models of understanding cultures
  • How does national culture affect HR practices?

Copyright 2003-2006, Chris Chan

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