GM - Chapter 6 - Organizational Cultures and Diversity Flashcards
Organizational culture:
Shared values and beliefs enabling members to understand their roles and the norms of the organization, including:
- Observed behavioral regularities, typified by common language, terminology, rituals
- Norms, reflected by things such as amount of work to do and degree of cooperation between management and employees
- Dominant values organization advocates and expected participants to share (e.g., low absenteeism, high efficiency)
- Philosophy set forth regarding how to treat employees and customers
- Rules dictating do’s and don’ts of employee behavior pertaining to productivity intergroup cooperation…
- Organizational climate as reflected by way participants interact with each other, treat customers, and feel about how treated by senior level management
Interaction betweenNational and Organizational Culture
- National cultural values of employees may significantly impact their organizational performance
- Cultural values employees bring to workplace are not easily changed by organization
Organizational Cultures in MNCs
- Shaped by numerous factors including cultural preferences of leaders and employees
- Some MNCs have subsidiaries that (aside from logo and reporting procedures) wouldn’t be easily recognizable as belonging to same MNC
Four steps in integration of organizational cultures resulting from international expansion via mergers/acquisitions:
1) Two groups establish purpose, goals, and focus of merger
2) Develop mechanisms to identify most important structures and manager roles
3) Determine who has authority over resources
4) Identify expectations of all involved participates and facilitate communication between departments and individuals
Four Cultural Types
(Grid box: Equity - top, Hierarchy - bottom, Persom emphasis- left, task oriented -right)
Incubator - (top left box) fullfillment oriented culture
Guided Missile - (top right box) project-oriented
Family (bottom left) family oriented
Eiffel Tower (bottom right) role-oriented
Family Culture:
- Strong emphasis on hierarchy and orientation to persons
- Power oriented, headed by leader regarded as caring parent
- Management takes care of employees, ensures they’re treated well, and have continued employment
- Catalyze and multiply energies of personnel or end up supporting leader who is ineffective and drains energy and loyalties
- South Korea, India
Eiffel Tower:
- Strong emphasis on hierarchy and orientation to task
- Jobs well defined; coordination from top
- Culture narrow at top; broad at base
- Relationships specific and status remains with job
- Few off-the-job relationships between manager and employee
- Formal hierarchy is impersonal and efficient
- Hungary, Germany
Guided Missile:
- Strong emphasis on equality in workplace
and in task - Culture oriented to work
- Work undertaken by teams or project groups
- All team members equal
- Treat each other with respect
- Egalitarian and task-driven organizational culture
- US, Norway,
Incubator Culture:
- Strong emphasis on equality and personal orientation
- Organization as incubator for self-expression and self-fulfillment
- Little formal structure
- Participants confirm, criticize, develop, find resources for, or help complete development of innovative product or service
- Denmark, Canada
Managing Multiculturalism and Diversity
Both domestically and internationally, organizations lead workforces with a variety of cultures consisting of largely diverse populations:
- Women and Men
- Young and Old
- Black, White, Latin, Asian, Arab, Indian
- Many others.
Domestic Multiculturalism
- Multicultural and diverse workforce operating in MNC home country
- Group Multiculturalism
Homogenous groups
Token groups
Bicultural groups
Multicultural groups
Potential Problems Associated with Diversity
1) Perceptual problems - When cultural diverse groups come together, often bring preconceived, erroneous stereotypes with them
2) Inaccurate biases
3) Inaccurate communication
4) Attitudinal problems - May cause lack of cohesion resulting in unit’s inability to take concerted action or be productive
Advantages of Diversity
- Enhance creativity
- Lead to better decisions
- More effective/productive results
- Prevent groupthink
- Can facilitate highly effective teams under right conditions
Managing Multicultural Teams
1) Select team members for task-related abilities, not solely based on ethnicity
2) Team members must recognize and prepare to deal with their differences
3) Team leader must help identify/define overall goal
4) Mutual respect among members is critical
5) Managers must give team positive feedback on process and output
