Principles Of Management - Culture & Multi Culture

8/3/2019 Principles Of Management - Culture & Multi Culture

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Chapter 7

CULTURE ANDMULTICULTURALISM



7-2

Definition and Characteristics

Culture: The complex mixture of

assumptions,behaviors,stories,myths,metaphors

and other ideas that fit together to define what itmeans to be a member of a particular society.

Organizational Culture: The set of importantundrstanding,such as norms, values, attitudes andbeliefs, shared by organizational members.

For ex,large Japanese firm’s culture, dress code at

IBM,employee oriented culture at park plazahotel,ahemedabad.



7-3

Organizational Culture Continued

– A philosophy regarding how employees andcustomers should be treated

– Rules that dictate the do’s and don’ts of employee

behavior relating to:productivity

customer relations



Three basic elements ofculture

Artifacts: are the things that “one sees, hears, and

feels when one encounters a new group with anunfamiliar culture". For ex,CEO’s dress code at two

different company,cultute at IIM and other collages.

Espoused values: The reasons given by anorganization for the way things are done:Ex,dardenschool has an espoused value of being a “teaching

school” .

Basic assumptions: The belief that are taken forgranted by the members of an organization.:Ex, atAT&T.Service available.

7-4



7-5

Organizational Cultures in MNCs

Aspects in determining MNC organizational

culture: The relationship between the employees and their organization

The hierarchical system of authority that defines the roles ofmanagers and subordinates

The general views that employees hold about the MNC’s purpose,destiny, goals, and their places in them

4 types of organizational cultures: Family

Eiffel Tower

Guided Missile

Incubator



7-6

Organizational Cultures

Equity

Fulfillment-oriented Project-oriented

culture culture

INCUBATOR GUIDED MISSILE

Person Task

FAMILY EIFFEL TOWER

Power-oriented Role-oriented

culture culture

Hierarchy



7-7

Family Culture

Strong emphasis on the hierarchyand orientation to the person

headed by a leader who is regarded as a caring parent

personnel look to leaders for both guidance and approval inexchange for looking after them

characterized by traditions, customs, and associations that bindtogether the personnel

and make it difficult for outsiders to become members EX.) Turkey, Venezuela, China, and Singapore



7-8

Eiffel Tower Culture

Strong emphasis on the hierarchy andorientation to the task -- impersonal andefficient

Jobs are well defined

everything is coordinated from the top.

Person holding top position could be replaced at any timewithout having an effect on the work being done

assessment centers, appraisal systems, training anddevelopment programs, and job rotation are common in

managing human resources. Ex.) North American and Northwest European countries



7-9

Guided Missile Culture

Strong emphasis on equality in the workplace and orientation to the task

Teams and project groups are common

Formal hierarchical considerations are given low priorityand individual expertise is of greater importance

360-degree feedback systems are common Change comes quickly

Ex.) United States and United Kingdom



7-10

Incubator Culture

Strong emphasis on equality and personalorientation

based on the concept that organizations are secondary to thefulfillment of the individuals within them

Little formal structure -- participants are there to perform roles

This culture is composed of creative work teams

Change is fast and spontaneous

Leadership is achieved, not gained by position

Ex.) entrepreneurial companies



7-11

Multiculturalism

As applied to the workplace, the view that are manydifferent cultural back-grounds and factors that areimportant in organizations, and that people fromdifferent back-grounds can coexist and flourishwithin an organization it refers to cultural factorssuch as ethnicity, race, gender, physical ability.

Gender issues in multiculturism:

Glass Ceiling syndrome

Stereotyping

• Racial and ethnic minority issues:Earning Gap

Revolving door syndrome

Other issues:

Ageism



Glass Ceiling

refers to "the unseen, yet unbreachable barrier that keepsminorities and women from rising to the upper rungs of the

corporate ladder, regardless of their qualifications orachievements."[Initially, the metaphor applied to barriers in thecareers of women but was quickly extended to refer to obstacles

hindering the advancement of minority men, as well as women.

7-12



7-13

Advantages of Diversity

Generation of more and betterideas

Prevents “groupthink”

Culturally diverse groups can

enhance creativity, lead to betterdecisions, and result in moreeffective and productiveperformance

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Principles Of Management - Culture & Multi Culture