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A Cross-cultural Perspective on Managing Diversity

A Cross-cultural Perspective on Managing Diversity. Alan Li Duong Hua Jing Ting Liang Maciej Malinowski. Global Context . Mature Market Economies and System: NAFTA—North American free Trade Agreement. US, Canada, Mexicao Pacific Asia—a market system located in Southeast Asia.

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A Cross-cultural Perspective on Managing Diversity

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  1. A Cross-cultural Perspective on Managing Diversity Alan Li Duong Hua Jing Ting Liang Maciej Malinowski

  2. Global Context • Mature Market Economies and System: • NAFTA—North American free Trade Agreement. • US, Canada, Mexicao • Pacific Asia—a market system located in Southeast Asia. • China, Japan, Thailand, Malaysia, Singapore, Indonesia, South Korea, Taiwan, Philippines, and Australia.

  3. Global Context [cont.] • High Potential / High Growth Economies: • relatively underdeveloped and immature • weak industry, weak currency, and relatively poor consumers. • Government: opening doors and promoting international trade. • Representative: China is largely underdeveloped.

  4. Definitions • Diversity: is a range of difference, including gender, race, ethnicity, and age—characteristics that might be apparent from looking at someone. • Multiculturalism: the broad issues associated with differences in values, beliefs, behaviors, customs, and attitudes held by people in different cultures.

  5. Environmental Challenges • The Economic Environment • Economic System, Natural Resources, Infrastructure • The Political / Legal Environment • Government Stability, Incentives for International Trade, Controls on International Trade, Economic Communities • The Cultural Environment • Values, Symbols, Beliefs, and Language

  6. By 2025, more than one-third of the population will be over age 50: 21.4% Under 15 20.1% 13.9% 15 to 24 13.1% 14% 25 to 34 12.9% 23.5% 35 to 49 18.2% 14.6% 50 to 64 17.2% 12.7% 65 or older 18.5% 1999 2025 Dimensions of Diversity and Multiculturalism • Age Distributions • Gender

  7. Dimensions of Diversity and Multiculturalism [cont.] • Age Distribution in China

  8. By 2025, Hispanics will be the largest minority group in the United States. The share of the population of each group now and projected in 2025 1 9 9 9 2 0 2 5 72% 62.4% 28% 37.6% Racial or ethnic breakdown Racial or ethnic breakdown Hispanics 11.5% Hispanics 17.6% Blacks 12.1% Blacks 13% Asians 3.7% Asians 6.2% Native Americans 0.7% Native Americans 0.8% W h i t e t h e r r i l r t h n i c r o O a c a o e g u p Dimensions of Diversity and Multiculturalism [cont.] • Ethnicity

  9. Dimensions of Diversity and Multiculturalism [cont.] • Han Chinese 91.9%, Zhuang, Uygur, Hui, Yi, Tibetan, Miao, Manchu, Mongol, Buyi, Korean, and other nationalities 8.1%

  10. Dimensions of Diversity and Multiculturalism [cont.] • Other Dimensions • Disabilities; Single Parent; Dual-career Couple; Gays and Lesbians. • Multicultural Differences between China and US • Environment • Time • Action • Communication

  11. Changing Legislation and demographics in legal action the labor force Increasing diversity and multiculturalism in organizations Increased aware- ness that diversity The globalization improves the quality movement of the workforce Reasons for Increasing Diversity and Multiculturalism

  12. Multiculturalism and Conflicts [cont.] • Therefore, it is important that mangers respond appropriately when problems occur. • Cases: Shoney’s Inc; Danny’s; Smith Barney. • Program to eliminate such problems…..

  13. Managing Diversity in Organization • Individual Strategies: • Understanding • Empathy • Tolerance • Willingness to Communicate

  14. Managing Diversity in Organization [cont.] • Organizational Approaches: • Organizational Policies • Organizational Practices, • Diversity and Multicultural Training • Organizational Culture.

  15. Techniques for Managing Diversity • Managing Diversity Training Program • Core Groups • Multicultural Team • Senior Managers of Diversity • Other Approaches

  16. Global Manager Prospective • Knowledge • Flexibility • Sensitivity • Judgment • Reflection

  17. Case Study • IBM—A World Diversity At IBM • Is Big Blue Thinking Big Enough? • Is Diversity Working? • Valuing Diversity: An Ongoing Commitment

  18. Multiculturalism and Competitive Advantage: • Cost argument • Resource Acquisition Argument • Marketing Argument • Creativity Argument • Systems Flexibility Argument

  19. Conclusion • Forces For Convergence • Forces For Divergence • Effective International Management

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