Chapter 15

Cultural Diversity and International Organizational Behavior

Fundamentals of Organizational Behavior 2e

Andrew J. DuBrin
PowerPoint Presentation by Charlie Cook

Learning Objectives
1. Understand the scope, competitive advantages, and success factors associated with cultural diversity. 2. Identify and explain key dimensions of cultural differences. 3. Describe what is required for managers and organizations to become multicultural. 4. Be more aware of barriers to good cross-cultural crossrelations. 5. Explain how motivation, ethics, conflict resolution, and skills needed for negotiation can vary across cultures. 6. Appreciate the nature of diversity training and cultural training.
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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Cultural Diversity: Scope

The Scope of Cultural Diversity
 Valuing diversity means to respect and enjoy a wide range

of cultural and individual differences.  Scientifically measuring diversity is fairly easy; in practice, diversity may not be visible or manifest itself readily.  The goal of a diverse organization is for persons of all cultural backgrounds to achieve their full potential.

A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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The Diversity Umbrella (condensed)

Race Sex or gender Religion Age (young, middlemiddleaged, and old) Generation differences Ethnicity Education Abilities Mental disabilities Physical disabilities Values and motivation Sexual orientation Marital status Family status Personality traits Functional background Technology interest Weight status Hair status Style of clothing and appearance Tobacco status

EXHIBIT 15-1
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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The Competitive Advantage of Diversity

1. Managing diversity well offers a marketing advantage, including increased sales and profits. 2. Effective management of diversity reduces costs of absenteeism and turnover through increased job satisfaction and helps avoid age, race, and discrimination lawsuits. 3. Companies with a favorable diversity reputation will attract more diversity applicants. 4. Workforce diversity can provide a company with useful ideas for favorable publicity and advertising. 5. Workforce heterogeneity may also offer a company a creativity advantage.
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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Factors Associated with Diversity Success

1. 2. 3. 4. 5. CEO Initiation and Support Human Resources Initiatives Organizational Communication Corporate Philosophy Measures of Company Success

A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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The Diversity Index at Allstate

1. To what extent does our company deliver quality services to customers? 2. To what extent are you treated with respect and dignity at work? 3. To what extent does your immediate manager/team leader seek out and utilize diverse backgrounds a nd perspectives? 4. How often do you observe insensitive behaviors at work, for example: inappropriate comments or jokes? 5. To what extent do you work in a n environment of trust?
Source: Courtesy of Alls tate Insura nce Co.

EXHIBIT 15-2
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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CrossCross-Cultural Values
Key Dimensions of Differences in Cultural Values:
1. 2. 3. 4. 5. 6. 7. Individualism versus collectivism Power distance Uncertainty avoidance Materialism versus concern for others Long-run versus short-run orientation LongshortFormality versus informality Urgent time orientation versus casual time orientation 8. High context versus low context cultures
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A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

Culturally Based Differences in Management Style

Culture provides values that guide acceptable managerial behavior and leadership styles. Transplanted managers may need to adopt some of the characteristics of the national stereotype of an effective leader in the local culture.
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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Culturally Based Differences in Management Style: Stereotypes

United States Emotional, egalitarians China LowLow-profile, tough negotiators

Germany Technically expert, authoritarians

Japan Formal, consensus seekers

France Elitist, authoritarians

A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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Multicultural Managers and Organizations

The Multicultural Manager
 Has the skills and attitudes to relate effectively to and

motivate people across race, gender, age, social attitudes, and lifestyles. Respects and values the cultural differences.  Has the ability (e.g., is bilingual) to conduct business in a diverse, international environment.  Has a cultural sensitivity in being aware and interested in why people of other culture act as they do.  Is not parochial in assuming that the ways of ones culture are the only ways things should be done.  Is not ethnocentric in assuming that the superiority of ones culture over that of another culture.
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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Protocol Do s and Don t s in Several Countries

Great Britain
DO say please and thank you often. DO arrive prom ptly. DONT ask personal questions because the Briti sh protect their privacy. DONT gossip about British royalty.

France
DO shake hands when greeting. Only close friends give light, brushing kisses on cheeks. DO dress more form ally than in the United States. Elegant dress is highly valued. DONT expect to complete any work during the French two-hour lunch. DONT chew gum in a w ork setting.

Italy
DO write business correspondence in Italian for priority attention. DO m ake appointments between 10:00 A.M. and 11:00 or after 3:00 P.M. DONT eat too much pasta, as it is not the m ain course. DONT hand out business cards too freely. Italians use them infrequently.

EXHIBIT 15-3a
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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Protocol Do s and Don t s in Several Countries

Greece
DO distribute business cards freely so people will know how to spell your nam e. DO be prompt even i f your ho sts are not. DONT expect to meet deadlines. A project takes as long as the Greeks thi nk is necessary. DONT address people by formal or professional titles. The Greeks want m ore informality.

Japan
DO present your business cards with both hands and a slight bow as a gesture of respect. DO present gifts, American-m ade and w rapped. DONT knock competitors. DONT present the same gift to everyone, unless all mem bers are the same organizational rank.

EXHIBIT 15-3b
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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Multicultural Managers and Organizations

The Multicultural Organization
 Values cultural diversity and is willing to

encourage and even capitalize on such diversity.

Benefits of a Multicultural Organization

 Achieves the benefits of valuing diversity.  Avoids the problems of not managing

for diversity:
  

increased turnover interpersonal conflict communication breakdowns

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A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

Developmental Stages for the Multicultural Organization

Monocultural
Exclusion of minorities and women from power

Nondiscrimination
Unfair advantage of majority group removed, but no culture change

Multicultural
Shares power and influence with all; major culture change

EXHIBIT 15-4
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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Barriers to Good Cross-Cultural Relations CrossPerceptual expectations

 Predispositions about the appropriate appearance and

physical characteristics of individuals.

Ethnocentrism
 A belief that ones culture is the best and judging other

cultures by how closely they resemble ones own culture.

Intergroup rather than interpersonal relations

 Stereotyping individuals based on their group membership

Stereotypes in intergroup relations

 Assuming an individuals personal characteristics based on

their group membership.

A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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CrossCross-Cultural Processes: Motivation

In order to use motivational concepts across cultures, managers must know two key factors:
 Which needs the people are seeking to satisfy.  Which rewards will satisfy those needs.

Research findings:
 A motivational concept that

has a good cultural fit with a culture can be successfully applied to that culture.

A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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CrossCross-Cultural Processes: Ethics

Global business practices and behaviors create ethical and legal dilemmas for managers:
 The choice of which cultures code of ethics to follow.  Conflicts between individual and organizational

responsibilities for ethical behavior.  The ethics of outsourcing when doing so may create a human health or environmental safety hazard in another culture.

A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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CrossCross-Cultural Processes: Negotiations Suggestions for negotiating abroad:

Use a team approach. Do not push for informality. Be patient. Learn to tolerate less than full disclosure of information. Accept silence as part of negotiating. Take no for an answer sometimes. Be adaptable.
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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CrossCross-Cultural Processes: Conflict Resolution

National cultures influence which method of conflict resolution a manager will choose. Tinsleys models of conflict resolution:
Conflict Resolution Model Deferring to status power Applying regulations Integrating interests Cultural Group Membership Japanese Germans Americans

A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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Diversity Training and Cultural Training

Diversity Training
 Attempts to bring about workplace harmony by teaching

people how to get along better with diverse coworkers.  Objectives of diversity training:
 Fostering

awareness and acceptance of individual differences.  Helping participants understand their own feelings and attitudes about people who are different.  Exploring how differences might be tapped as assets in the workplace.  Enhancing work relations between people who are different from each other.
A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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Diversity Training and Cultural Training

Training in Cross-Cultural Relations Cross Cultural training
A

set of learning experiences (e.g., mastering a foreign language) designed to help employees understand the customs, traditions, and beliefs of another culture.

 Culture shock
 The

physical and psychological symptoms that can develop when a person is abruptly placed in another culture.  Cultural training is designed to help expatriates avoid culture shock, which is a major contributor to the high failure rate of overseas assignments.

A. J. DuBrin, Fundamentals of Organizational Behavior, Second Edition. Copyright 2002 by South-Western.

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