Doing Business Globally:
Diversity and Global Etiquette
Mary Lynn Realff, VP, Center for Leadership & Diversity
marylynn.realff@mse.gatech.edu
Michael Michaud, ASME Managing Director, Global Alliances
michaudm@asme.org
Objectives & Outcomes
Session Objectives
1. Understand the meaning and value of diversity and
inclusion.
2. Learn to manage with a diverse lens.
3. Identify cultural biases in ourselves.
4. Recognize the importance of building cross-cultural
awareness in our professional lives.
5. Increase awareness of global etiquette.
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Session Outline
• Diversity 101
– What do “Diversity” and “Inclusion” mean?
– Why do we promote diversity?
– How do we manage diversity at ASME?
• Global Etiquette & Cultural Competency
– Why is global business etiquette important?
– How does culture affect behavior?
– How to be self-aware when communicating
and doing business cross-culturally?
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Defining Diversity & Inclusion
Diversity refers to differences such as age, gender,
ethnicity physical appearance, thought styles, religion,
nationality, socio-economic status, belief systems,
sexual orientation and education.
Inclusion refers to the creation of opportunities and the
elimination of barriers that allow all people to
participate in and contribute to ideation, planning,
projects, programs, processes, teams, organizations,
social activities, fun or any other opportunity that
helps achieve successful outcomes.
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Diversity @ ASME
ASME policy P-15.11
“Diversity and Inclusion”
“…ASME shall dedicate time and resources
to ensure the active participation as well
as leadership opportunities of talented
individuals from all segments of society.”
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Source: http://files.asme.org/asmeorg/Governance/7648.pdf
ASME Core Values
In performing its mission, ASME adheres to these core values:
• Embrace integrity and ethical conduct.
• Embrace diversity and respect the dignity and culture
of all people.
• Nurture and treasure the environment and our natural and
man- made resources.
• Facilitate the development, dissemination and application of
engineering knowledge.
• Promote the benefits of continuing education and of
engineering education.
• Respect and document engineering history while continually
embracing change.
• Promote the technical and societal contribution
of engineers.
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– Source: http://www.asme.org/about/Vision_Mission_Core_Values.cfm
Diversity as Strategy
• Strategic Diversity is the effective deployment of
strategies that leverage the strengths of a diverse
organization operating within a diverse marketplace
or society.
• Managing Diversity is the ability to effectively
“inspire” people to appropriately do what’s needed,
where needed, when needed, and make the most of
the resources available.
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Embracing and Leveraging Diversity
• Catering to a global workforce and engaging global
members leverages geographic and cultural diversity.
• Increasing female and under-represented minorities
within ASME leverages gender and ethnic diversity.
• Becoming indispensable to young engineers leverages
age diversity.
• Achieving a multidisciplinary approach leverages
technical knowledge diversity.
• Achieving a priority of enhanced industry-government
involvement leverages sector diversity.
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ASME’s Global Impact
GLOBAL IMPACT
one of ASME’s three strategic priorities
“In the area of Global Impact, ASME will deliver
locally relevant engineering resources to advance
public safety and quality of life throughout the
world.”
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Why is Global Business Etiquette
Important?
• With the “shrinking world” effect of globalization, a
critical element of success is the demonstration of
respect and appreciation for cultural difference.
• The ability to manage and do business with people
from different countries is no longer just a nice skill
to have; it is a necessity.
• ASME’s commitment to global impact comes with a
responsibility to ensure that our members are
prepared to work across cultural and geographic
differences.
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What is Etiquette?
• Code of behavior that delineates expectations for
social behavior according to contemporary
conventional norms within a society, social class, or
group
• The etiquette of business is the set of written and
unwritten rules of conduct that make social
interactions run more smoothly
• NOTE: etiquette is not recognized as one uniform set
of standards around the world!
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Time to play…
Who wants to be a Global
Millionaire?
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In all but one of the following countries it is expected that
you bring a gift to a business meeting. In which country is it
not expected?
50/50
A. China
C. Japan
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B. Czech Republic
D. Denmark
In all but one of the following countries it is expected that
you bring a gift to a business meeting. In which country is it
not expected?
50/50
B. Czech Republic
D. Denmark
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In all but one of the following countries it is expected that
you bring a gift to a business meeting. In which country is
not expected?
50/50
B. Czech Republic
D. Denmark
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In Saudi Arabia, which is considered a popular gesture of
friendship between men?
50/50
A. A high five
C. A hand shake
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B. Holding hands
while walking
D. A hug and kiss on
the cheek
In Saudi Arabia, which is considered a popular gesture of
friendship between men?
50/50
A. A high five
C. A hand shake
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B. Holding hands
while walking
D. A hug and kiss on
the cheek
In Great Britain, tapping your nose indicates that something is:
50/50
A. Confidential
C. Inappropriate
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B. Smelly
D. Very important
In Great Britain, tapping your nose indicates that something is:
50/50
A. Confidential
C. Inappropriate
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B. Smelly
D. Very important
Which of the following is associated with dead and should
not be given as a gift in the Chinese culture?
50/50
A. Clocks
C. Handkerchief
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B. Straw sandals
D. Crane
Which of the following is associated with dead and should
not be given as a gift in the Chinese culture?
50/50
A. Clocks
C. Handkerchief
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B. Straw sandals
D. Crane
When treating a client to a business meal in China or
Norway, the most appropriate tipping strategy would be:
50/50
A. 15% tip
C. No tip at all
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B. The more, the
better
D. 20% tip
When treating a client to a business meal in China or
Norway, the most appropriate tipping strategy would be:
50/50
A. 15% tip
C. No tip at all
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B. The more, the
better
D. 20% tip
When treating a client to a business meal in the U.S. the
most appropriate tipping strategy would be:
50/50
A. 15% tip
C. No tip at all
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B. The more, the
better
D. 20% tip
When treating a client to a business meal in the U.S. the
most appropriate tipping strategy would be:
50/50
A. 15% tip
C. No tip at all
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B. The more, the
better
D. 20% tip
Other Cultures – Other Worlds
• Culture is the dominant set of behaviors, values,
beliefs, and thinking patterns we learn as we grow
and develop in our social groups.
• Culture determines how we view ourselves and
others, how we behave and how we perceive the
world around us.
• We tend to believe that our way of viewing the world
is the only way, or at least the best.
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Environmental Variables Affecting Management Functions
Sociocultural Variables
National Variables
Economic System
Legal System
Political System
Physical Situation
Technological
know how
Religion
Education
Language
Cultural Variables
Values
Norms
Beliefs
Attitudes
Work
Time
Change
Materialism
Individualism
Individual and Group
Employee Job Behavior
Motivation
Productivity
Commitment
Ethics
International Management: Managing Across Cultures and Borders, 3rd Edition, Deresky, P. 106
Cultural Differences
• Some main indicators of cultural differences are:
– Behavioral patterns: appearance vs. reality
– Non-verbal behavior: Gestures, signs, mimics
– Distance behavior: personal space vs.
closeness
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Behavioral Pattern
• If we don’t know anything about other cultures,
we tend to use stereotypes as our knowledge
base – Is this a right approach?
• What are stereotypes?
– Negative labeling of a certain group or culture
based on the actions and/or appearances of a
few individuals.
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Non-Verbal Behavior
• Understood as the process of communication
through sending and receiving wordless messages.
• Language is not the only source of communication;
there are other means, including:
– Gestures and touch
– Body language or posture, facial expression and eye
contact
– Object communication such as clothing, hairstyles or even
architecture and symbols
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Non-Verbal Behavior
• Nonverbal communication plays an important
role on an emotional level.
• It constitutes a main part of intercultural
communications.
• Problems and conflicts can occur when expressing
gestures or facial expressions in other cultures –
messages can often be misinterpreted.
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What does this gesture mean?
50/50
A. Okay
C. Something is not
important
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B. Sexual
harassment
D. Money
What does this gesture mean?
50/50
A. Okay
C. Something is
not important
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B. Sexual
harassment
D. Money
What does this gesture mean?
50/50
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A. Okay – United
States
B. Sexual harassment –
Greece, Turkey
C. Something is not
important –
Belgium, France
D. Money - Japan
Distance Behavior
• The right personal distance when conducting
business shows respect and acceptance.
– Too much distance gives the impression of dislike and
discomfort.
– Too little will make the person draw back.
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Conclusions
• Rules of conduct and business etiquette exist in every
culture and help us to know how to behave in each
situation.
• We know how to behave in our culture of origin, but we
don’t know how to behave in a foreign culture – there are
no general international rules of etiquette.
• Global etiquette can make the difference between opening
or closing doors to business opportunities.
• We need to build cultural awareness and seek specific
knowledge of other cultures to navigate global business
and partnership opportunities.
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5 Keys to Doing Business Globally
1. Be aware of your own culture and its impact on you.
2. Don’t expect others to think the same way you do.
3. Accept local customs and norms and try to adapt
your behavior, but don’t try to imitate or act against
your own norms and values.
4. Be open, flexible, self critical, tolerant, sensitive and
show willingness to get involved in another culture.
5. Open your senses--be attentive and stay patient!
Listen, observe and try to understand before judging
and evaluating other behaviors.
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Credit: KeKCo - Kerstin Kühlborn Coaching & Consulting
Working on Cross-Cultural Teams
• Working with foreign colleagues should not be
regarded as a burden, but as an enrichment.
• Be helpful when recognizing language barriers, but
don’t be arrogant or correct every sentence.
• Take an interest in other cultures. Encourage
colleagues to share their unique experiences.
• Be careful not to mock or joke about culturally
sensitive issues. Humor is highly subjective and
varies widely across cultures.
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Credit: KeKCo - Kerstin Kühlborn Coaching & Consulting
Cultural Resources
• Kiss, Bow, or Shake Hand, The Bestselling Guide to Doing Business in
More than 60 Countries, Authors: Morrison, Conway
• Culturegrams.com
• CIA World Factbook - https://www.cia.gov/library/publications/the-world-factbook/
• Riding the Waves of Culture: Understanding Diversity in Global
Business,Trompenaars, Hampden-Turner
• International Management: Managing Across Cultures and Borders,
Third Edition, Deresky
• Managing Cultural Differences, Eighth Edition: Global Leadership
Strategies for Cross-Cultural Business Success, Moran, Harris, Moran
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Contact Information
• Contact Information:
– Dr. Mary Lynn Realff
<marylynn.realff@mse.gatech.edu>
– Michael Michaud
<michaudm@asme.org>
• This presentation will be posted on the
2011 LTC Web Site, at:
http://events.asme.org/ltc11/
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