Term culture:

advertisement

QUESTION # 1

(PART A)

Define term culture and discuss some of the comparative ways of differencing culture

?

Term culture:

Culture is a term that has various meanings. For example, in 1952, Alfred

Kroeber and Clyde Kluckhohn compiled a list of 164 definitions of "culture" inCulture:, the word "culture" is most commonly used in three basic senses:

Excellence of taste in the fine arts and humanities, also known as high culture

An integrated pattern of human knowledge, belief, and behavior that depends upon the capacity for symbolic thought and social learning

The set of shared attitudes, values, goals, and practices that characterizes an institution, organization or group.

Comparative ways of different culture:

there is some points in which u understand the differene ways of culture.

Culture as stabilizing mechanism :

Modern theorists conclude that culture is derived from stabilization tendencies that are a natural product of evolutionary pressures toward self-cognition and –similarity.

Cultural change:

Cultures, by their very nature, embrace and resist change. Cultural change can arise from environment, due to inventions and other influences, or as a result of contact with other cultures. In diffusion, a physical form is transferred to another culture without the meaning being transferred. For example, when hamburgers reached Asia, they were considered an exotic food. The diffusions of innovations theory explains why cultures adopt new practices, ideas and products. And a bleak example of acculturation can be seen in the story of the American Indians, who were forced to be home-dwellers when their entire cultures were based on their nomadic traits.

When a person adapts to a new culture, it is called assimilation. Cultural change, for the individual or an entire society, is one of the most stressful of all human experiences. This underscores how pivitol culture really is to our personal identities and psychological foundation.

Symbolism:

Scientists distinguish between symbolic culture and material culture, noticing that different cultures define themselves under distinct patterns that may heavily weigh on one level or the other. The different types of cultural activity and definition require different methodologies to study. This set of beliefs led to what is known as cultural relativism, the belief that to understand one’s actions and intentions, one must consider them in the context of one’s culture. This is true of individual actions, as well as cultural artifacts

(e.g. rituals), where people must analyze the greater symbolic system in order to make sense of the artifact.

Products and activities:

it is believed that most people, despite differences in age, gender and so on, basically fell under the same cultural hub. However, in larger areas, race, ethnicity and class came into play, creating subcultures in a society. Sometimes, all these societies come together to define the larger culture, e.g. the melting pot culture of the US. There are even distinct cultures based on trade and work environment, such as the celebrity culture, or the corporate culture.

Of course, migration has influenced world cultures to a tremendous degree, starting with prehistoric migration, then slavery, colonial expansion, Columbus and other explorers.

Multiculturalism is a phenomenon that has arisen from the co-mingling of very different cultures in close proximity.

Cultural Approaches to Negotiation

In this section, various ways of analyzing cultural differences will be discussed as they relate to negotiation. The analytical tools come from the work of several well-known intercultural experts, including Hofstede, Hall, Kluckholn, Strodtbeck, and Carbaugh.[3]

It must be emphasized that there is no one right approach to negotiations. There are only effective and less effective approaches, and these vary according to many contextual factors (See Culture and Conflict Resolution, Cultural and Worldview Frames, Cross-

Cultural Communication, and/orCommunication Tools for Understanding Cultural

Differences). As negotiators understand that their counterparts may be seeing things very differently, they will be less likely to make negative judgments and more likely to make progress in negotiations.

Certain cultures, including Mediterranean, Arab, and Latin American, are more tactile and allow more touching. Asian, indigenous American, Canadian, and U.S. cultures tend to discourage touching outside of intimate situations. Certain cultures allow cross-gender touching, including the United States, while same-gender touching is less acceptable.

These rules change in Japan, where women are frequently seen holding hands, but not men. In the Mediterranean, it is common to see men holding hands or touching in public, but not women. Greeting rituals fit with these patterns, so awareness of local norms is important for negotiators.

Cross-Cultural Negotiations

It is difficult to track the myriad starting points used by negotiators from different national settings, especially as cultures are in constant flux, and context influences behavior in multiple ways. Another complication is that much of the cross-cultural negotiation literature comes from the organizational area. While it cannot be applied wholesale to the realm of intractable conflicts, this literature may provide some hints about approaches to negotiation in various national settings. Dr. Nancy Adler compares key indicators of success as reported by negotiators from four national backgrounds.[8]

Her table is reproduced here, ranking characteristics of negotiators in order of importance as reported by managers…

PART (B)

Describe the concept of cultural values and relate some of similarities and changes occurring in terms both work an managerial values:

Values and relate norms of culture:

Another view of culture includes the three elements, values, norms and artifacts. Values reflect ideas on what is important in life. They are the foundation for all else in a cultureNorms are the expected and accepted ways that people behave in a culture, and sanctions enforce norms. Artifacts are a culture’s material items, generally studied by archeologists.

Strong or weak culture:

Strong culture is said to exist where staff respond to stimulus because of their alignment to organizational values. In such environments, strong cultures help firms operate like well-oiled machines, cruising along with outstanding execution and perhaps minor tweaking of existing procedures here and there.

Conversely, there is weak culture where there is little alignment with organizational values and control must be exercised through extensive procedures and bureaucracy.

Research shows that organizations that foster strong cultures have clear values that give employees a reason to embrace the culture. A "strong" culture may be especially beneficial to firms operating in the service sector since members of these organizations are responsible for delivering the service and for evaluations important constituents make about firms. Research indicates that organizations may derive the following benefits from developing strong and productive cultures:

Better aligning the company towards achieving its vision, mission, and goals

High employee motivation and loyalty

Increased team cohesiveness among the company’s various departments and divisions

Promoting consistency and encouraging coordination and control within the company

 Shaping employee behavior at work, enabling the organization to be more efficient

Where culture is strong—people do things because they believe it is the right thing to do—there is a risk of another phenomenon, Groupthink. "Groupthink" was described by

Irving L. Janis. He defined it as "...a quick and easy way to refer to a mode of thinking that people engage when they are deeply involved in a cohesive in-group, when members' strive for unanimity override their motivation to realistically appraise alternatives of action." This is a state where people, even if they have different ideas, do not challenge organizational thinking, and therefore there is a reduced capacity for innovative thoughts.

This could occur, for example, where there is heavy reliance on a central charismatic figure in the organization, or where there is an evangelical belief in the organization’s values, or also in groups where a friendly climate is at the base of their identity

(avoidance of conflict). In fact group think is very common, it happens all the time, in almost every group. Members that are defiant are often turned down or seen as a negative influence by the rest of the group, because they bring conflict.

Innovative organizations need individuals who are prepared to challenge the status quo— be it group-think or bureaucracy, and also need procedures to implement new ideas effectively

Value Differences and Similarities Across Cultures

focus of numerous intercultural studies. In general, the findings show both differencesand similarities between the work values and managerial values of different culturalgroups.

For example, one study found differences in work values between Western-oriented and tribal-oriented black employees in South Africa.8 The Western-oriented groupaccepted most of the tenets of the Protestant work ethic, but the tribal-oriented group didnot. The results were explained in terms of the differences of the cultural backgrounds ofthe two groups.

Differences in work values also have been found to reflect culture and industrialization. Researchers gave a personal-values questionnaire to over 2,000 managers in five countries: Australia India, Japan , South Korea (and the United States 9 The PVQ consisted of 66 concepts related to business goals, personal goals, ideas associated with people and groups of people, and ideas about general topics. Ideological and philosophic concepts were included to represent major value systems of all groups. The results showed some significant differences between the managers in each group. U.S. managers placed high value on the tactful acquisition of influence and on regard for others. Japanese managers placed high value on deference to superiors, on com-pany commitment, and on the cautious use of aggressiveness and control. Korean managers placed high value on personal forcefulness and aggressiveness and low value on recognition of others. Indian

managers put high value on the no aggressive pursuit of objectives. Australian managers placed major importance on values reflecting a low-key approach to management .

Part (C)

Identify the major dimension of culture relevant to work settings and discuss their effect our behavior in an international environment:

THE MEANINGS AND DIMENSIONS OF CULTURE :

A major challenge of doing business internationally is to adapt effectively to different cultures. Such adaptation requires an understanding of cultural diversity, perceptions, stereotypes, and values. In recent years, a great deal of research has been conducted on cultural dimensions and attitudes, and the findings have proved useful in providing integrative profiles of international cultures. However, a word of caution must be given when discussing these country profiles. It must be remembered that stereotypes and overgeneralizations should be avoided; there are always individual differences and even subcultures within every country. This chapter examines the meaning of culture as it applies to international management, reviews some of the value differences and similarities of various national groups, studies important dimensions of culture and their impact on behavior, and examines attitudinal dimensions and country clusters. The specific objectives of this chapter are: 1. DEFINE the term culture, and discuss some of the comparative ways of differentiating cultures. 2. DESCRIBE the concept of cultural values, and relate some of the international differences, similarities, and changes occurring in terms of both work and managerial values. 3. IDENTIFY the major dimensions of culture relevant to work settings, and discuss their effect on behavior in an international environment. 4. DISCUSS the value of country cluster analysis and relational orientations in developing effective international management practices.

C u l t u r a l D i m e n s i o n s : researchers have attempted to provide a composite picture of culture by examiningits subparts, or dimensions. In particular, Dutch researcher Geert Hofstede found there arefour dimensions of culture that help to explain how and why people from various culturesbehave as they do.18 His initial data were gathered from two questionnaire surveys withover 116,000 respondents from over 70 different countries around the world—making it thelargest organizationally based study ever conducted. The individuals in these studies allworked in the local subsidiaries of IBM. As a result, Hofstede’s research has been criticizedbecause of its focus on just one company; however, he has countered this criticism.Hofstede is well aware of the amazement of some people about how employees of a very specific corporation likeIBM can serve as a sample for discovering something about the culture of their countries atlarge. “We know IBMers,” they say, “they are very special people, always in a white shirtand tie, and not at all representative of our country.” The people who say this are

quite right.IBMers do not form representative samples from national populations. . . . However, samplesfor cross-national comparison need not be representative, as long as they are functionallyequivalent. IBM employees are a narrow sample, but very well matched. Employees of multi-national companies in general and of

IBM in particular form attractive sources of informationfor comparing national traits, because they are so similar in respects other than nationality: theiremployers . . . , their kind of work, and—for matched occupations—their level of education.The only thing that can account for systematic and consistent differences between nationalgroupswithin such a homogenous multinational population is nationality itself. The nationalenvironment in which people were brought upb e f o re they joined this employer. ComparingIBM subsidiaries therefore shows national culture differences with unusual clarity.

Integrating the Dimensions

:

A description of the four dimensions of culture is useful in helping to explain the differences between various countries, and Hofstede’s research has extended beyond this focusand shown how countries can be described in terms of pairs of dimensions. Figure

4–5,which incorporates power distance and individualism, provides an example.

In Figure 4–5, the United States is located in the lower left-hand quadrant.

Americanshave very high individualism and relatively low power distance. They prefer to do thingsfor themselves and are not upset when others have more power than they do. In fact,Americans are taught to believe that everyone is equal, so they are not overly impressed byindividuals with important titles or jobs. Australians, Canadians, British,

Dutch, and NewZealanders have the same basic values. Conversely, many of the underdeveloped or newlyindustrialized countries, such as Colombia, Hong Kong,

Portugal, and Singapore, are char-acterized by large power distance and low individualism. These nations tend to be collec-tivist in their approach.

Figure 4–6 plots the uncertainty-avoidance index for the 53 countries against the power-distance index. Once again, there are clusters of countries. Many of the Anglo nations tend to be in the upper left-hand quadrant, which is characterized by small power distance and weak uncertainty avoidance (they do not try to avoid uncertainty). These coun-tries tend to be moderately unconcerned with power distance, and they are able to accept conditions of uncertainty. In contrast, many Latin countries (in both Europe and the

West-ern Hemisphere), Mediterranean countries, and Asian nations (e.g., Japan and Korea) arecharacterized by high power distance and strong uncertainty avoidance. Most other

Asiancountries are characterized by large power distance and weak uncertainty avoidance.

their effect our behavior in an international environment:

environment and technology:

The ways in which people use the resources available to them often shifts drastically from culture to culture. Culturally-engrained biases regarding the natural and technological environment can create communication barriers.

Most people are accustomed to ways of looking at the environment and the use of technology particular to their own culture. This, in turn, may make it difficult to accept or even to understand those views held by other cultures.

ISSUES OF ENVIRONMENT.

Five major areas of attitudes toward a nation's physical characteristics and natural resources are likely to result in cultural environmental presuppositions. These are:

1.

climate

2.

topography

3.

population size

4.

population density

5.

the relative availability of natural resources

These five sources of environmental differences surface when people communicate on a wide spectrum of business-related subjects. Notions of transportation and logistics, settlement, and territorial organization are affected by topography and climate. For example, transportation and logistics in one culture may seem patently absurd in another.

The manager of a Canadian company doing business in South America might never think to ship goods from Chile to neighboring Argentina by the circuitous route of the Panama

Canal. Because Canada is relatively flat and has an excellent network of railroads and highways, the Canadian manager might assume that the easiest way to transport goods for any short distance would be overland. This preference would be reinforced by the fact that many Canadian waterways freeze over due to its harsh climate. As a result, the

Canadian might well assume or even specify a preference for overland transport in any relevant business communication. What the Canadian might not understand in such a situation is that the rugged physical environment of the Andean terrain and the related absence of cross-Andean railroads and freeways would make such an option

unreasonably expensive or even impossible. By contrast, warm water ports and relatively easy access to the Panama Canal or other waterways would reinforce the option of water routes even for such relatively short overland distances.

Population size and the availability of natural resources influence each nation's view toward export or domestic markets. The United States and China, for example, both have gigantic domestic markets and are rich in natural resources. Both nations export out of choice, and have a tendency to internalize their views of foreign markets. Foreign markets in such countries may be culturally reinforced as being secondary markets as a result, with a cultural emphasis on domestic markets. By contrast, Switzerland, with neither a large domestic population nor abundant natural resources, is culturally oriented toward export with foreign markets viewed as their primary markets and the domestic

Swiss market as a comparatively negligible secondary market.

Population density and space usage influence the development of different cultural perceptions of how space and materials are used. Thus, how people lay out or use office space, domestic housing, and buildings in general shifts from nation to nation. For example, in many nations the size, layout, and furnishings of a business office communicate a message. The message communicated, however, varies from nation to nation.

Such differences may be subtle or overt. For example, the distinctions between the U.S. and French upper-level executive's office may be quite subtle. In both France and the

United States, the size of an office, plushness of its furnishings, and location in the building (corner office or top floor of the building) reflect the status of the office's owner.

In France, however, the individual aesthetics of the office decor convey an important statement about the office owner while in the U.S. office the wall decorations and furnishings are often selected by a designer with little input from the office's occupant.

Non verbal communication :

Among the most markedly varying dimensions of intercultural communication is nonverbal behavior. Knowledge of a culture conveyed through what a person says

represents only a portion of what that person has communicated. Much of nonverbal communication may be broken down into six areas: dress; kinesics, or body language; oculesics, or eye contact; haptics, or touching behavior; proxemics, or the use of body space; and paralanguage. Any one of these areas communicates significant information nonverbally in any given culture.

Just as importantly, people often bring to a crosscultural meeting ethnocentric prejudices regarding what they believe to be proper dress. Thus, a European or American may condemn as somehow less than civilized a Saudi or Iranian in traditional garb.

Conversely, a Saudi or Iranian may well consider as flagrantly immoral the bare face, arms, and legs of a European or American woman in business attire.

Some kinesic behavior may carry distinctly different meanings in more than one culture.

In such cases, all parties recognize the gesture, but interpret it differently. During George

Bush's visit to Australia while he was president, he held up two fingers in a V sign. In both countries the symbol is widely understood, but in the United States the "V" emblem is a sign of good will, victory, and solidarity, while in Australia it carries a lewd, sexual meaning.

.

The United States itself is a fairly nonhaptic society, particularly between men. In many cultures that behave more haptically, men often walk with arms interlinked or hold hands which to U.S. males might appear effeminate or overly intimate.

Finally, proxemics or how far apart people stand when speaking or how far apart they sit in meetings carries significant information to people who share the same culture. Here, too, as with other nonverbal behavior, such information is likely to be garbled across cultures. Personal space is culturally determined. In the United States, for instance, people tend to feel most comfortable in business settings when speaking at approximately arm's length apart from each other.

In many Latin American, southern European, central African and Middle Eastern cultures, however, a comfortable conversational distance would be much closer. Indeed,

in many parts of the world, friendly or serious conversations are conducted close enough to feel the breath of the speaker on one's face. The U.S. or northern European communicator unaware of this may face a very discomforting situation, with the speaker

PART(D)

Discuss the value of country cluster analysis and relational oriental in developing effective international management practice:

Cultural analysis:

As a discipline, cultural analysis is based on using qualitative research methods of the social sciences, in particular ethnography and anthropology, to collect data on cultural phenomena; in an effort to gain new knowledge or understanding through analysis of that data. This is particularly useful for understanding and mapping trends, influences, effects, and affects within cultures.

There are four themes to cultural analysis:

1. Adaptation and Change

This refers to how well a certain culture adapts to its surroundings through the use of its culture. Some examples of this are foods, tools, home, surroundings, art, etc. that show how the given culture adapted. Also, this aspect aims to show how the given culture makes the environment more accommodating.

2. How culture is used to survive

How the given culture helps its members survive the environment.

3. Holism, Specifity

The ability to put the observations into a single collection, and presenting it in a coherent manner.

4. Expressions

This focuses on studying the expressions and performance of everyday culture economic culture:

The correlation between cultural systems and economic systems does not, of course, solve the question of the direction of causality. Unfortunately, investigation of these issues is hampered by the lack of reliable long-term evidence on changes of either

cultural or economic systems.The organization of the analysis is straightforward. The first steps are defining several key terms such as "culture," explaining the key statistical technique of cluster analysis,.

A. Cluster Analysis:

Cluster analysis is a pattern-recognition technique used to discover which values of variables appear together in multidimensional space. (1) In this study, I start with a multidimensional space, with each dimension corresponding to a single cultural characteristic (in the case of the analysis of values) or single economic institution (in the case of the analysis of economic systems). According to its characteristics, each country is placed as a point in this space; the program then tries to group those countries whose points are closest to each other, given a prespecified number of clusters. This involves minimizing the distance between countries in a given cluster, which is another way of saying that the total sample variance explained by the clusters themselves is maximized.

The clustering relies on an algorithm with a random component to determine the starting point and then uses an iterative technique of calculation. (2) As a result, it does not always produce the same results on each run. Moreover, it takes a number of iterations for the results from the iterative process to settle down in a stable pattern. To meet these difficulties, I took a standard approach; namely, for all cluster estimates, I specified 200 iterations so as to be sure that the iterations had settled down and then took the average of different 100-cluster runs to minimize problems arising from the random choice of starting points for the iteration. I carried out this procedure 10 times and note with a question mark any country that does not appear in the same cluster at least 70 percent of the time.

The most difficult problem arising in using this technique is selecting the number of clusters to be calculated. For this purpose, this study starts with the "minimum description length" (MDL). This was originally defined by Jorma Rissanen (1989), who used a "stochastic information-theoretic" approach. More specifically, the MDL combines the positive value of additional information gained from increasing the number of clusters with the negative value of the resulting greater theoretical complexity. The optimal number of clusters is specified where these two quantities balance. (3) Using these considerations, the MDL analysis discussed below tells us that five is the optimal clustering for the cultural characteristics and four is the optimal clustering for the institutional characteristics. I have chosen to calculate five clusters of economic systems to avoid the necessity of lumping two cultural clusters together, so that the grouping of nations in the cultural and economic systems can be compared.

Supply Strategy:

Strategy involves understanding the external environment such as increasing competitive dynamics and diversity, and understanding how to match these opportunities with organizational strengths and weaknesses. Strategy is the move managers make to achieve

sustained competitive advantage (Marcus 2005). It is the action that organizations take to attain one or more of their goals. Without appropriate strategies organizations lack the capacity to position themselves in the marketplace or gain competitive.

Competitive strategies should be linked to organizational goals and flow throughout the entire organization. For example, at the functional level, supply management strategies are aimed at improving the effectiveness of a company's operations (Hill and Jones

2004). However, in order for supply strategy to be effective, it must be tied to competitive strategies and overall organizational goals and be flexible enough to respond to changing external forces.

Organizations are seeking to create corporate advantage by linking purchasing to the corporation's long-term objectives and strategies rather than viewing purchasing as a stand-alone activity within the supply chain. Purchasing has become a more strategically oriented business activity, and thus purchasing managers are realizing how to leverage this enhanced clout to effect firm performance and long-term organizational success

(Chen et al. 2004). Correspondingly, the scope of purchasing managers' responsibility has broadened considerably. This strategic posture facilitates a more active role at the top levels of organizations (Watts et al. 1995). One key component of the heightened role and visibility of supply is to assist in establishing priorities in responding appropriately to opportunities and challenges of increased diversity in both the upstream and downstream marketplaces.

Supply strategy often focuses on competitive strength by implementing an effective, integrated purchasing system (Rajagopal and Bernard 1993). For example, firms can integrate information with tasks, develop purchasing strategies and integrate suppliers with long-term goals. Supply strategy also calls for the realization that competitive market environments are changing and adapting to these new market conditions is critical for long-term survival. However, when major differences in culture and structure exist across business units, integrating the purchasing function poses a significant challenge

(Rozemeijer 2003). Developing and implementing an integrated supply strategy is often reliant upon an appropriate organizational culture

The Practice of Supplier Diversity:

Purchasing managers have clearly demonstrated an interest in supplier diversity. For example, over 60 articles on supplier diversity have been published in Purchasing Today in the last 10 years. Many of these practitioner-oriented articles have focused on best practices, program development, effectiveness, mentoring, corporate solutions and competitive advantages (Dozbaba Siegfried 2000; Duffy 2003, 2004; Whit field 2003;

Yuva 2003; Morgan 2005). Buying professionals have identified commitment, communication and process integration (coordinating activities that relate to supplier diversity across functional areas) as key elements to supplier diversity. Continued growth in the minority population in the coming years will likely keep practitioner interest in supplier diversity high. Managers will need to have a better understanding of the multicultural business world and firms will need to make fundamental cultural.

INTRODUCTION:

The fundamental nature of business competition is changing, thus intensifying the pressures to remain competitive. External forces such as changing demographics, globalization and technology are requiring managers to rapidly rethink and retool their strategies. Diversity, more specifically, is having a momentous impact on the business environment. For example, minority-owned businesses have become a fast-growing segment of the U.S. economy, growing from less than 7 percent of businesses in the

United States in 1992 to almost 15 percent by 1997 (U.S. Small Business Administration

2001). In fact, growth rates in both numbers and gross receipts of minority-owned firms exceeded those of nonminority firms between 1992 and 1997 (U.S. Department of

Commerce 2004). According to the most recent available Census data, there are approximately 3.9 million minority-owned businesses that generate $637 billion in sales revenue and employ 4.5 million people. There are approximately 6.5 million womenowned businesses, with $940 billion in sales that employ 7.2 million people (U.S. Census

Bureau 2002).

Diversity in organizations is one of many challenges confronting firms in dynamic business environments. Adroitly managing diversity has become a prominent issue in management theory and business practice (Pless and Maak 2004). According to a study facilitated by Fortune magazine and the Society for Human Resource Management, more than 75 percent of surveyed organizations have engaged in some type of diversity activity

or initiative (Holmes 2005). Organizations are beginning to emphasize diversity as a core element in their business strategy and practices.

In the field of supply management, many companies have responded to changing demographics and minority business growth rates by establishing supplier diversity initiatives. Supplier diversity is a proactive business process that seeks to provide suppliers equal access to supply management opportunities (NAPM InfoEdge 2001).

Partnering with a diverse supply base can mean access to new markets and innovative ideas with which to compete. Research has shown that having minority and women suppliers makes good business sense. In fact, 43 percent of companies that rated themselves as having a good supplier diversity program say their company's rationale for doing business with women and minority-owned establishments is that these firms offer competitive prices and quality products and services (Center for Women's Business

Research 2003).

The article begins with a literature review of supply management, supply strategy, supplier diversity and organizational culture. The supplier diversity effectiveness model is described along with an explanation of the research methodology. Finally, the results are discussed with a focus on managerial implications and ideas for future research.

Supplier Management:

Proper management of supplier relationships is an essential element of supply chain success. Managing supplier relationships involves three important components: supplier selection, supplier development and supplier evaluation. Supplier selection has become even more critical due to the increased emphasis on supply base reduction. Many supply

Research has shown that many firms have formal evaluation processes in place and seek to better understand their effectiveness (Narasimhan et al. 2001; Simpson et al. 2002;

Siguaw and Simpson 2004). Historically, firms have used criteria such as cost, quality and delivery for evaluating suppliers. Current performance and capabilities are important, but in which a buying organization and a small number of suppliers work closely together, sharing the risks and rewards of a cooperative relationship that focuses on continuous improvement (Ellram and Edis 1996). Partnership sourcing leads to superior performance because it creates long-term collaboration based on trust between the buyer and the supplier. However, for organizations to realize the benefits associated with partnership sourcing, fundamental change must occur in organizational culture, structure

and behaviors. The need to approach supplier relationships as a cooperative partnership rather than as an adversarial relationship demonstrates that the competitive marketplace is changing and adapting to new environments is critical to survival (McIvor and McHugh

2000). As such, partnership sourcing can be especially useful for maximizing the new opportunities presented by supplier diversity.

Supply Strategy:

Strategy involves understanding the external environment such as increasing competitive dynamics and diversity, and understanding how to match these opportunities with.

Competitive strategies should be linked to organizational goals and flow throughout the entire organization. For example, at the functional level, supply management strategies are aimed at improving the effectiveness of a company's operations (Hill and Jones

2004). However, in order for supply strategy to be effective, it must be tied to competitive strategies and overall organizational goals and be flexible enough to respond to changing external forces.

Organizations are seeking to create corporate advantage by linking purchasing to the corporation's long-term objectives and strategies rather than viewing purchasing as a stand-alone activity within the supply chain. Purchasing has become a more strategically oriented business activity, and thus purchasing managers are realizing how to leverage this enhanced clout to effect firm performance and long-term organizational success .

One key component of the heightened role and visibility of supply is to assist in establishing priorities in responding appropriately to opportunities and challenges of increased diversity in both the upstream and downstream marketplaces.

Supply strategy often focuses on competitive strength by implementing an effective, integrated purchasing system (Rajagopal and Bernard 1993). For example, firms can integrate information with tasks, develop purchasing strategies and integrate suppliers with long-term goals. Supply strategy also calls for the realization that competitive market environments are changing and adapting to these new market conditions is critical for long-term survival. However, when major differences in culture and structure exist across business units, integrating the purchasing function poses a significant challenge

(Rozemeijer 2003). Developing and implementing an integrated supply strategy is often reliant upon an appropriate organizational culture.

.

Diversity/Supplier Diversity:

Diversity is a business phenomenon with long-lasting implications for managers, organizations and markets. The significance of diversity is being studied by scholars from an array of disciplines including law, business ethics, organizational behavior and information systems. Scholars are seeking to better understand diversity and how organizations can capitalize on it as a valuable resource, as evidenced by the rise of empirical research in this area.

For example, a longitudinal study conducted in the field of law A recent organizational behavior study investigated attitudes related to workplace diversity initiatives and employees' intentions to engage in diversity-related behavior. The study found a triple interaction among supervisor race, employee race and employee ethnic identity achievement. Specifically, among people of color with high ethnic identity achievement, having a supervisor of color was associated with inclusive behavior, understanding others and treating others with respect

In the field of psychology, a study found moderating effects of age, gender, race and religiosity on attitudes about diversity. Age, gender and race were found to interact with values to predict attitudes about diversity

Interestingly, researchers are realizing that focusing on workforce diversity is not enough.

For optimal benefit, an organization must adopt and implement diversity initiatives that are integrated throughout the organization (Stalinski 2004). This need for integration makes it imperative that supply chain managers take advantage of the opportunities presented by supplier diversity. Many organizations have already established supplier

The Practice of Supplier Diversity:

communication and process integration (coordinating activities that relate to supplier diversity across functional areas) as key elements to supplier diversity. Continued growth in the minority population in the coming years will likely keep practitioner interest in supplier diversity high. Managers will need to have a better understanding of the multicultural business world and firms will need to make fundamental cultural shifts in order to compete effectively (Joint Center for Political and Economic Studies 2000).

Supplier Diversity Research:

Only recently have researchers begun to recognize that organizational culture is a key success factor for supplier diversity (Min 1999). Min identified culture as a potential obstacle in implementing supplier diversity and indicated that unless supplier diversity is aligned with corporate culture and business strategy, it can pose problems. The results of the research suggested that corporate culture should encourage buyers to view supplier diversity as an ingrained way of doing business. Interestingly, results from early research pointed to the importance of culture as well. Research in 1991 ranked negative climate as the number one impediment to supplier diversity initiatives by both minority suppliers and corporate buyers.

Supplier Diversity Effectiveness as developing:

Supplier diversity effectiveness culture by ranking spending levels at the individual buying units. Culture interviews and archival research was conducted to determine the diversity spending levels within the 12 buying units. Culture research involves reviewing documents and files to uncover relevant data. In this instance, culture organization provided files that contained supplier diversity spending data.

.:

QUESTION #2

PART#1

Examine the strategic disposition that characteristic response to different cultures

Strategic culture

“Strategic culture is that set of shared beliefs, assumptions, and modes of behaviour, derived from common experiences and accepted narratives.

This definition identifies the concept as shared cultural values that shape

Explanation: identity relative to others and influence security choices. The concept of „shared values

‟ as presented in this definition, however, have no basis for reliable measurement. They are dependant on „common experience ‟

for definitional clarity, but there are no qualifiers included in the definition to specify a consistent basis for identifying and measuring that common experience. The definition concludes that these „shared values ‟

based on

„common experience ‟

will shape „appropriate ends and means

to achieve security objectives. There remains, however, the problem of reliable measurement of a concept within the definition that can provide a basis for consistently identifying the source of

„shared values ‟

and „common experience

as they relate to collective security preferences.

Extra define:

"Strategic Culture is the culturally embedded social, economic, and political organization and ordering of a society as historically shaped by successful interaction with and adaptation to their prevailing physical and strategic environment.

Disposition and different type of characteristics of cultures .

Intercultural Issues

Cultural differences are an added complexity to an already difficult communication situation. There are 3 main risks involved in allowing pharmacists with no training in cultural diversity to deliver pharmaceutical care to diverse populations. First, because the pharmacist does not understand the patients’ perceptions concerning the meaning of becoming sick and the response to therapy, services to that population are compromised.

Second, differing beliefs and expectations of the patient and pharmacist may lead to hostility, misunderstanding, and confusion. Finally, not understanding the influences of ethnicity on biological variation in drug metabolism, response, and sensitivity can lead to suboptimal responses to drug therapy.

10 Being sensitive to the beliefs of others and understanding and respecting their culture are critical to the process of acquiring patient trust and satisfaction.

Historically, health care providers have taken a “generic” approach to their ethnically diverse patients and this has often caused poor provider-patient communication and noncompliance with drug therapy.

Disposition of management of culture:

The alliance's failure really depends on the elements used for its design, including the selection of the most appropriate partner, and on the executives' daily management of common operations: formulating strategies, co-ordinating partners' activities, sorting Out conflicts, etc. Precisely in the moments in which the cooperation strategy takes place, the processes of management and leadership, corporate culture, and human resources acquire a special relevance. Let us analyze, then, the role these factors may play in the design and implementation, and therefore in the success, of a cooperation agreement.

Small differences in management style and culture between the cooperating firms may become serious problems that make it difficult to create synergies, which ultimately leads

to poor financial performance. Some of these differences might relate to the type of organization involved, such as in the size and structural design of the cooperating firms, or their belonging to different sectors But many characteristics (honesty, positive disposition, efficacy, etc.) are, in principle, considered as basic, and can only be appreciated after several years into the relationship.

Given the difficulty of identifying, a priori, the organizational compatibility between two firms, it can be convenient to use some specific procedures to predict whether the relationship might work. One might assess whether each company's personnel feel at ease in mutual discussions during the negotiation stage. Working informally with another company before formalizing a strategic alliance, normally for nonrelated products or markets in which there is no direct competition, can also represent a good way to assess the level of compatibility and its potential evolution. With daily contact, each partner's habits and trends can be discovered (Lei, 1993, p. 40; Parkhe, 1991, p. 589).

Toward Advancing Strategic Culture Analysis:

First, substantial progress has been made in terms of rigor. This is especially true in Iain

Johnston’s research. He has been particularly good at laying out relatively clear definitions, explicit methodology, and operationalizing his concepts. Johnston, for example, makes good use of cognitive mapping.[ 5 ] These efforts permit others to replicate his results relatively easily. But Johnston’s definitions and research design are not totally flawless and scholars have identified some methodological problems.[ 6 ] On the matter of definition, Johnston specifies the “what” but omits the “who.” This writer has sought to improve on Johnston’s laudable effort and define strategic culture as “the set of fundamental and enduring assumptions about the role of war in human affairs and the efficacy of applying force held by a country’s political and military elites .”[

7 ]

Second, the scholarship on strategic culture has become more sophisticated thanks to the advances made by researchers studying China. Many analysts have tended to invoke the words “strategic culture” or an explicitly cultural approach and proceed to engage in blanket stereotyping about a particular country or society.This approach is similar to the

“national character” approach which, when applied to China, might be summarized as follows: “Chinese tend to emphasize stratagem over brute force.” Such statements are often supported by making reference to Confucianism or quoting Sun Tzu.[ 8 ] At worst, sloppy scholarship gives cultural approaches a bad name; at best this type of work tends to engage in dead end circular logic. Again, if applied to China, the assertion would be along the following lines: ”Chinese act like this because this is how Chinese act.” In short, often the simplistic assumption was that a country possesses a single unified strategic culture.

One of Iain Johnston’s the most important findings has been to identify the existence of two strands of Chinese strategic culture: a “Parabellum" (or Realpolitik) one and a

“Confucian-Mencian” one. Still, the significance of this breakthrough was weakened by

Johnston’s conclusion that while two strands existed, only one—the Parabellum strand— was operative and the other was purely for “idealized discourse.”[ 9

] The present writer’s own research also discerns the existence of two strands of Chinese strategic culture but, unlike Johnston, Scobell argues that BOTH the Realpolitik and Confucian-Mencian strands are operative. In fact, this writer contends that the two strands interact in a dialectic fashion to produce a distinctive “Chinese Cult of Defense

Expected roles disposition and required skills and competencies:

Employees are deployed abroad to the disposition to fulfill corporate objectives including developing their own abilities, transferring technology and managing local staff. Approaches to staff selection and personnel management differ depending on the circumstances. Broadly speaking, expatriates may be classified into three categories: a) executive management of local operations, middle management and highly skilled engineers, and young employees, who are sent abroad for the purpose of training.

In particular, there will be a greater demand for sophisticating roles of middle management and highly skilled engineers given the growing tendency toward localization and the ever decreasing number of Japanese to be sent abroad.

In this report focus is given on middle management and skilled engineers in an attempt to map out the competencies required of them to carry out their expected roles.

Empirical Refinements of the Concept "The Disposition Toward CT:

Considerations of the disposition toward CT have remained largely within the realm of theoretical speculations, working assumptions, anecdotal observations, and pedagogical discussions, rather than thesubject of scientific investigations. Few have taken an empirical approach to exploring the overalldisposition to value and utilize CT, nor has empiricism been used to study the relationship between thatdisposition and the attainment of CT skills. Exploration of this phenomenon, or any other phenomena ofinterest related to CT for that matter, has been constrained by a dearth of instruments designed to measure the disposition toward CT. The California Critical Thinking Disposition

Inventory (CCTDI)which derives its conceptualization of the disposition toward CT from theAPA Delphi Report, is the first such instrument. Building on the power of a relatively rare occurrence inresearch, a cross-disciplinary consensus on the dispositional descriptionof the critical thinker, iterativeempirical methods were utilized to derive a measure of the construct (Facione, 1992; Facione & Facione,

1992). The CCTDI contains 75 likert style items and reports eight scores: a score on each of the sevenscales (Inquisitiveness, Open-mindedness, Systematicity, Analyticity,

Truth-seeking, CTSelf-confidence,and Maturity) and an overall score of CT Disposition

(derived from mathematically equal contributionsfrom each scale). A score of 30 and below on any of the scales indicates consistent opposition or weakness in relation to the given attribute or characteristic, a score of 40 indicates minimal endorsement.

The Disposition Toward CT and Related Psychological Characteristics:

Ct(critical thinking) as different culture.

The disposition towards CT has begun to draw the interest of psychologists who study personality attributes in relation to motivations and cognitive strategies in problem solving and decision-making (Cantor& Kihlstrom, 1987; Healy, 1989; NorAm, 1989).

Initial psychological research suggests that significant relationships could be predicted to exist between the disposition toward CT and the constructs "opennessto experience" (Costa & McCrae, 1985) and "ego-resiliency" (Block

& Block, 1980). Openness to experience, which has been identified as one of the Big-

Five factors of human personality (Costa

&McCrae, 1985, 1992), is defined as "a broad dimension of personality manifested in arich fantasy life, aesthetic sensitivity, awareness of inner feelings, need for variety in actions, intellectual curiosity, andliberal value systems" (McCrae & Costa, 1987, p.145).

As predicted, five of the seven scales of thCCTDI were found to share significant correlations with the openness to experience construct: Truth-Seeking (r=.27, p<.001),

Open-mindedness (r=.33, p<.001), CT Self-Confidence (r=.25, p<.004),

Inquisitiveness (r=.37, p<.001), and Cognitive Maturity (r=.30, p<.001) (Sánchez, 1993).

The disposition toward CT, as measured by the CCTDI scales, was also found to be significantly related to ego-resiliency, which refers to a person's ability to alter their modal perceptual and behavioral.

QUESTION #2

PART(B)

Review culture difference and select country and region and note some of the important strategic guidance for business in each.?

So I will tell about the culture in ethic u understand some important strategic for the business.

The global virtual team (GVT ) has become a common business practice for multinational companies. The boundaries of the workplace have expanded across countries and continents, enabling multinational companies to leverage the skills and expertise of a diverse workforce in order to remain competitive on the global stage. These virtual teams consist of members who are geographically distributed, yet are expected to interact to accomplish the business goals of their shared employer. Often, their interdependent tasks and responsibilities are limited to electronic resources.

The price to pay for having GVTs is steep if companies do not effectively manage the factors that can make or break success: cultural differences, conflict resolution, communication, trust, technology, leading, motivation and recruitment of globallyminded people. Effectively managing GVTs also requires a hands-on collaboration from human resource professionals to provide strategic training, performance management and incentives.

Global teams began to increase in prominence following the September 11 attacks. Most business people were leery about flying and companies were looking for more costeffective solutions to conduct business. Change always introduces fresh challenges. The most significant challenge and possibly the catalyst for the other challenges, is cultural differences.

First, we must recognize that differences between cultures, whether it is with companies, professions or countries, will always exist. The goal for a company and its human resources department is not to change the diverse culture within GVTs, but to find effective ways to synergize the differences. Cultural differences are a good thing and often can be used to balance the strengths and weaknesses of the team.

. In order to create synergy, each team member will have to adopt new behavior patterns that are different from their own, and that best fit the needs of the team as a whole.

Communication is paramount to effectively managing GVTs. The certain communication challenge is the language barriers because team members are accustomed to speaking their native language..

. Face-to-face meetings help to foster trust and positive interpersonal relationships among team members.

Following Protocol:

Establishing email and voicemail protocols at the onset of team formation also eliminates unexpected confusion. The goal is to select the proper tool for the message that needs to be communicated. Team members must clearly define their objective for communicating and follow the established rules. For example, voicemail messages should include what to do if there is a misunderstanding; when to respond; and, what to do if a team member is unable to provide the information requested in the voicemail, or within the requested timeframe.

.

Do you know what I am saying?

Companies not only must consider these electronic tools, but also the communication behaviors that differ from country to country. For example, the physical gesture of shaking one's head means "no" in the Western culture. However, this gesture is interpreted to mean "yes" in Bulgaria. This challenges companies to provide consistent communication so that everyone receives the same message according to their culture.

Employees should not be required to "get it" the same way that someone in a different country does.

Effective use of communications tools:

Multinational companies have various technology tools to help facilitate global team communications. Each tool has its own individual advantages and disadvantages, but when used collectively, these tools are an integral function for effective team collaboration. Companies are encouraged to consider five interdependent factors related to technology: availability, reliability, capability, supportability and individual ability to master the tool.

This enables multinational companies to leverage its global workforce through the use of technology for communication and training purposes. Email accounts, instant messaging, and a collaboration tool are apt examples. Making rotund use of these technologies through the Internet helps supervisors communicate with employees anywhere in the world. Additionally, a talent management system can be used for tracking global training and succession planning.

Examples of communications tools:

Telephone conferences are the least expensive and easiest communication tool for GVTs.

However, landline telephone conversations do not provide visual contact and team members cannot collaborate on a single document. Most multinationals use online instant messaging to get quick turnaround in responses and to instantly communicate with several people at the same time. Unfortunately, instant messaging may also hinder team collaboration and people may respond sooner than a expect is asked.

Multinational companies that are equipped with video conferencing facilities can use software such as Smartboard, an interactive digital whiteboard, where all team members can edit simultaneously. on a project. Trust and team relationship building is also strengthened through information sharing and group discussions.

What multinationals are doing to remain relevant:

Shell International Exploration and Production has a dedicated intranet for discussion groups consisting of "communities of expertise." A challenge for shared, web-based discussion groups is having disciplined team members who are willing to keep the information fresh and relevant.

The importance of effective leadership and human resources management should not be underestimated. Both are a critical part of the infrastructure for a successful global company. Human resources must adapt some of its traditional practices and policies to the global environment by respecting local differences. Line managers and team leaders

must gain a sense of unity within GVTs through trust and start communication. Leaders must articulate the vision and purpose of the team with the guidelines for how the project will be executed.

Multinational companies must have local human resource representatives within each country or region where they conduct business. types of training and benefits packages that are offered. Standardized benefits no longer exist to retain top talent.

GVTs are drastically different from local teams in terms of time zones, geography and culture norms. Creating a seamless workforce is engrossing under most circumstances, not to mention a global workforce. However, a collective commitment from line managers, HR and employees can bring harmony and success.

These are the point which u understand that how to create business in difference culture:

Asia consists of many ancient cultures with diverse religions and philosophies. Despite the definite variations, there are some broad similarities among these interesting peoples that carry (more or less) throughout the Asia region. The same can be said of the western region comprising Europe and North America.

While human beings in both the east and west share many attributes but there are also some broad differences. Some of the more noticeable of these from a business perspective are listed below.

Difference 1:

Giving Instructions

Westerners - try to be direct and clear in their instructions and comments to others.

Asians - often suggest their ideas and directives with subtle inferences and commonly use non-verbal clues about their opinions.

Difference 2:

Asking Questions

Westerners - underlings are expected to ask questions that are explicit and even challenging of their superior’s instructions and purposes.

Asians – subordinates often consider posing clarifying questions to be intimidating because it might be seen to challenge an authority figure’s command of a situation and risks loss-of-face.

Difference 3:

Dealing with Challenges

Westerners - think it is best to solve problems directly and quickly with as little emotional fuss as possible even if it means disrupting others.

Asians – believe the feelings of others are of great importance and spend a lot of time seeming to talk in circles about problems while trying to find a consensual solution that does not offend anyone.

Difference 4:

Authority

Westerners managers - often consider themselves part of the team but just happen to be the ones in charge because of specialized skills and greater experience. (Note:

Management styles can vary tremendously among individuals.)

Traditional Asian managers - consider themselves a secondary father figures to their employees. They give guidance and personal support to employees and expect loyalty and obedience in return.

Difference 5:

Office Relationships

Westerners – believe that professional relationships with colleagues at work should not become overly personal.

Asians - desire to form close relationships with people they work with and often feel offended if others do not reciprocate.

Difference 6:

Punctuality

Westerners - try to arrive at the designated time and to start meetings without much delay.

Asians - commonly arrive 5 minutes after a meeting is to begin and then desire to spend another 5 to 10 minutes warming up to the others in the meeting through non-business related conversation.

Difference 7:

Meaning of YES

Westerners - understand “YES” to mean that there is an agreement between people or a commitment to do something.

Asians - often use the word “YES” to acknowledge that they are listening to what is being said. It does not necessarily mean an agreement has been made or something will

get done.

Difference 8:

Hierarchies

Western society - felt to have a more flattened socio-economic structure with fewer hierarchical levels. Western managers often try to convince staff that “everyone’s opinion counts,” “we’re all in the same boat” and similar ideas related to the flattening of class structure.

Asian society - felt to have a well defined class structure and everyone needs to understand their place within the hierarchy so harmony can be maintained. (Foreigners usually are given a special and somewhat exalted status and can get away with much more than locals.)

Difference 9:

Reprimanding Staff

Western managers - feel there could be appropriate times when it is necessary to criticize an employee or supplier in public.

Asian managers - rarely scold their staff or people associated with their business in front of others.

Difference 10:

Privacy

Westerners – profess that information deemed confidential should remain so under most circumstances.

Asians - consider it rude and disrespectful if colleagues and friends have secrets that are not shared with the group.

Difference 11:

Accepting of Others

Westerners - often become distressed and angry if commitments are not upheld.

Asians - are generally more accepting of the imperfections of others -- including those of foreigners.

Difference 12:

Personal Status

Westerners - publicly claim that worrying about one’s standing in the social pecking

order is akin to showing-off and is not important to them.

Asians - recognize that one’s ranking on the socioeconomic ladder is critical to a person’s career and life advancement.

QUESTION#3

PART(A)

Define exactly what is meant by organization culture, and discuss the interation of national and mnc culture organization culture: s an idea in the field of organizational studies and management which describes the psychology, attitudes, experiences, beliefs and values (personal and cultural values) of an organization.

Explanation:

This definition continues to explain organizational values , described as "beliefs and ideas about what kinds of goals members of an organization should pursue and ideas about the appropriate kinds or standards of behavior organizational members should use to achieve these goals. From organizational values develop organizational norms, guidelines, or expectations that prescribe appropriate kinds of behavior by employees in particular situations and control the behavior of organizational members towards one another.

Organization characterize:

Organizations should strive for what is considered a “healthy” organizational culture in order to increase productivity, growth, efficiency and reduce employee turnover and other counterproductive behavior. A variety of characteristics describe a healthy culture, including:

Acceptance and appreciation for diversity

Regard for and fair treatment of each employee as well as respect for each employee’s contribution to the company

Employee pride and enthusiasm for the organization and the work performed

Equal opportunity for each employee to realize their full potential within the company

Strong communication with all employees regarding policies and company issues

Strong company leaders with a strong sense of direction and purpose

Ability to compete in industry innovation and customer service, as well as price

Lower than average turnover rates (perpetuated by a healthy culture)

Investment in learning, training, and employee knowledge

Additionally, performance oriented cultures have been shown to possess statistically better financial growth. Such cultures possess high employee involvement, strong internal communications and an acceptance and encouragement of a healthy level of risk-taking in order to achieve innovation. Additionally, organizational cultures that explicitly emphasize factors related to the demands placed on them by industry technology and growth will be better performers in their industries.

According to Kotter and Heskett (1992), organizations with adaptive cultures perform much better than organizations with unadaptive cultures. An adaptive culture translates into organizational success; it is characterized by managers paying close attention to all of their constituencies, especially customers, initiating change when needed, and taking risks. An unadaptive culture can significantly reduce a firm's effectiveness, disabling the firm from pursuing all its competitive/operational options.

A key current academic debate is the interaction between multinationals companies and national business systems, both the parent-country system in which they are embedded, and the host systems in which they operate. This article presents evidence from recent case-study research on German multinationals operating in Britain and Spain. It argues, first, that there are pressures on these companies to adopt many standard 'Anglo-Saxon' business practices in human resources and industrial relations (HR/IR), such as standardized international policies on appraisal, performance, management development, and an explicit, formalized corporate 'culture'. Second, however, significant manifestations of the influence of the Germnan business system persist, including a longtermist orientation, and a management approach based on co-operation. 'Anglo-Saxon' practices are absorbed into this prevailing German managerial culture, and as a result operate in a distinctively 'German' way. Third, the country-of-origin effect is mediated by the institutional constraints of different national host environments. But even in highly regulated contexts, such as Spain, companies were able to create sufficient flexibility to preserve elements of a German style.

A central issue in recent debates concerning multinational companies (MNCs) is the extent to which MNCs reflect the characteristics of the national business systems in which they originate. The proponents of globalization and the 'borderless world' would argue that the question makes little sense: first, because the international dynamics of economic development are making national boundaries increasingly meaningless; and second, because even where national economies remain significant reference points,

MNCs have increasingly managed to disengage themselves from national constraints

(Ohmae, 1990). A variant of the argument is the claim that even where national differences persist, to focus on them is to miss the wood for the trees: to overlook the overwhelmingly common features of a particular phase of capitalist development driven by common technological and market pressures (Strange, 1997). The counterarguments are equally forcefully put: despite the pressures for convergence, national economies remain distinctive. This is because economic activity is embedded in nationally distinctive institutional arrangements--the role of the state in the economy, the nature of product, labor and capital markets, corporate governance systems, the pattern of skills, the mechanisms governing employment relations in firms. These institutions are the outcome of specific historical pathways, they are interlinked in a complex whole, they persist over time, and they have a critical impact on the behavior of organizations (Berger

& Dore, 1996; Lane, 1995; Whitley, 1992). Moreover, MNCs--in many ways the key actors of globalization--are deeply embedded in national configurations of economic institutions (Porter, 1990; Hu, 1992) and their behavior is strongly colored by their national origins.

A considerable body of research has identified a 'country-of-origin' effect showing that

MNCs from different home countries behave in distinctive ways in managing HR/IR and more generally (Child et al., 1997; Harzing, 1999). However, few have attempted to explore the reasons for such variation by tracing linkages between national business institutions and patterns of MNC behavior.

This article presents recent research on the national 'embeddedness' of German MNCs.

The research aimed to see whether the distinctive features of the German business systems influenced how these companies manage HR/IR. It also explored whether they In some cases it may be expected that the host-country effect will override any parentcountry effect on the management of HR/IR. Nonetheless, there is also some evidence

(Royle, 1998) that even within the most highly regulated host countries MNCs are able to exert a distinctive country-of-origin influence on local HR/IR policy. The research therefore compares findings on German MNCs in Britain and in Spain to assess the variability of 'Germanness' in different business systems

QUESTION#3

PART(B)

Discuss common guidelines and principles that are used in building multi cultural effectiveness at the team and organizational levels

Common guidelines culture: cultural forms that are shared between all members of a community, and are one of the things which define them as such.

Collecting Cultural Material: Principles for best practice

Australia's collecting institutions vary and include large government funded agencies, as well as small volunteer run community organisations. However, they share common objectives of collecting, researching, preserving, and exhibiting cultural material from

Australia and around the world.

They also share a concern that their collections are acquired in a manner that meets the highest standards of legal, ethical and professional practice. These guidelines are intended to assist cultural institutions within established legal and ethical frameworks.

The Principles may also be of interest to members of the broader collecting institution sector to assist them in their roles as custodians of our culture.

These Principles are designed as guidelines for institutions acquiring cultural material.

They are not intended as regulations to be complied with in every individual acquisition made.

Institutions are encouraged to refer to their own collections and risk management practices when deciding whether further provenance research should be undertaken

Effectiveness of mnc culture/;

1. WORKSHOP OUTCOMES

These will be adjusted to suit your organisational needs

By attending this workshop you will:

Master trans-cultural skills vital for business success

Become aware of your own culture values and where they come from

Understand the mind of your Asian/Western partner

Learn to reconcile cultural differences

Clarify the key differences between Asian and Western values and their impact on business

Improve teamwork between staff from different cultures

Understand how to select and develop Asian staff for Western settings

Understand how to select and develop Western staff for Asian settings

Gain insight into how culture affects technology transfer

Understand cultures’ influence on national economic development

Understand country “image” and its impact on Global success

Understand protocol of working in Asia

Understand the dynamics of culture shock and how to avoid it

Receive a personal cultural profile based on the THT culture model

2. WORKSHOP RATIONAL

Working with people from different cultures is commonplace in today’s international business world. Joint ventures, inter-departmental teams, project teams, task teams, virtual teams – all depend on effective co-operation between people from different cultures for their success. Hence, it is vitally important that executives involved in these teams develop a high level of multi-cultural skills. Audits are regularly done to identify technical and financial problems when they occur; yet we seldom audit people and cultural issues that can have an enormous impact on business effectiveness and profitability. The workshop will enable participants to develop expertise in PMCG’s 4 skills – “DETECT”, “AUDIT”, and “RECONCILE” cultural issues, as well as develop expertise in face-to-face “CONNECTOR” skills. a. CULTURAL “DETECTIVE” investigating relationship, team, project and organisational issues b. CULTURAL “AUDITOR” identifying and analysing cultural patterns influencing projects c. CULTURAL “RECONCILER” developing skills to integrate, reconcile and improve cultural issues within teams and organisations d. CULTURAL “CONNECTOR” improving “face to face” cultural connecting skills

Numerous case studies drawn from workshop leader Philip Merry’s 37 years consulting experience in 50 countries. A mixture of content input and interactive/experiential exercises, will enable participants to gain a real appreciation of culture’s influence on communication and the ability to apply the learning to their business. The culture audit for the workshop is based on the work of Dr. Fons Trompenaars & Dr Charles Hampden

Turner (THT) authors of the award winning best seller “Riding the Waves of Culture” – the number one culture model used in business today.

Organization development :

Organizations are not just a static series of organization charts, but rather are living breathing systems that change and evolve over time. Top companies are very deliberate about how they evolve, and they strive to influence these directions and adjustments in order to optimize their competitive position.

We help you clarify your aspired future state, prepare for and implement needed change, and otherwise cultivate and shape an ideal culture and work environment for addressing the top priorities of your business

Our Organization Development Services include the following :

Culture Change - Laying the groundwork so that large scale organization change can gain early traction and realize sustained impact.

Cross Cultural Business Skills - Equipping Leaders with the knowledge and skills they need for leading and working effectively in multicultural environment.

Curriculam Design - Conceptualizing and supporting the full range of leadership experiences needed to accelerate learning and performance improvement.

Group Facilitation - Designing and facilitating key meetings, from small group offsites to executive retreats.

Mission, Vision, Values - Identifying and articulating those high-level themes that align people around a higher purpose and organization success.

Strategic Planning & Execution - Translating high-level business themes into action plans and concrete commitments for more effective implementation.

Team Effectiveness - Helping teams understand and apply concepts that improve team effectiveness and are characteristic of high performing work teams.

Team Building at the United Nations Industrial Development Organization:

This team-building program was presented to the managers operating within the United

Nations Industrial Development Organization (UNIDO) headquarters in Vienna. The program, therefore, has complex and many-layered levels of cultures both as the context of the program and as representative of participants in the program. Of the 100 national cultures represented in UNIDO, there are typically more than 10 national cultures represented in each team building program. This presents special challenges, especially when many of the participants?often veterans of UN and other international service?have lived and worked in many countries and thus may claim more than one culture. It is for this reason, among others, that we have chosen a cultural assessment questionnaire to provide each participant with his or her own cultural profile (as distinct from using national cultural generalizations).

Organizational Culture

An equal force in the workings of these teams is the organizational culture. UN organizations differ significantly, by history, structure and purpose, from the private sector. There is no profit motive and consensus building on such typical business concerns as the 'market' and the 'customer' is limited. Rather there is the ethos of UN organizations as providing international service of various kinds.

Teams within UNIDO

The concept of teams within UNIDO is relatively new. Before a recent reorganization, there were five divisions and, although three were occasionally cross-functional teams operating within the agency, they acted less in the sense of coordinating teams than as collections of representatives of the division?that is, as individuals representing more their divisional interest than team interests. Hierarchical structures and centrally-

controlled organizations are being replaced by a flat matrix structure with multiple information networks and more participation by the employees in decision making.

Team-building integrates these concepts.

Program Design and Development

The goal of developing and implementing a team-building program at the United Nations

Industrial Development Organization is to improve overall organizational performance at a time of restructuring. The program has been designed to help participants visualize the interrelation of the main components of a team-performance improvement process.

QUESTION#4

PART(A)

Define the term communication examine some example of verbal communication styles, and explain the importance of message interpretation. term communication: he definition of communication is shared in the Webster's Dictionary as "sending, giving, or exchanging information and ideas," which is often expressed nonverbally and verbally.

Cross-Cultural Communication

All communication is cultural -- it draws on ways we have learned to speak and give nonverbal messages. We do not always communicate the same way from day to day, since factors like context, individual personality, and mood interact with the variety of cultural influences we have internalized that influence our choices. Communication is interactive, so an important influence on its effectiveness is our relationship with others

In this module, cross-cultural communication will be outlined and demonstrated by examples of ideas, attitudes, and behaviors involving four variables:

Time and Space

 Fate and Personal Responsibility

Face and Face-Saving

 Nonverbal Communication

Fate and Personal Responsibility

Another important variable affecting communication across cultures is fate and personal responsibility. This refers to the degree to which we feel ourselves the masters of our

lives, versus the degree to which we see ourselves as subject to things outside our control.

Another way to look at this is to ask how much we see ourselves able to change and maneuver, to choose the course of our lives and relationships. Some have drawn a parallel between the emphasis on personal responsibility in North American settings and the landscape itself.[4] The North American landscape is vast, with large spaces of unpopulated territory. The frontier mentality of "conquering" the wilderness, and the expansiveness of the land stretching huge distances, may relate to generally high levels of confidence in the ability to shape and choose our destinies.

Face and Face-Saving

Another important cultural variable relates to face and face-saving. Face is important across cultures, yet the dynamics of face and face-saving play out differently. Face is defined in many different ways in the cross-cultural communication literature. Novinger says it is "the value or standing a person has in the eyes of others...and that it relate[s] to pride or self-respect."[5] Others have defined it as "the negotiated public image, mutually granted each other by participants in [communication]."[6] In this broader definition, face includes ideas of status, power, courtesy, insider and outsider relations, humor, and respect. In many cultures, maiNonverbal Communication

Nonverbal communication is hugely important in any interaction with others; its importance is multiplied across cultures. This is because we tend to look for nonverbal cues when verbal messages are unclear or ambiguous, as they are more likely to be across cultures (especially when different languages are being used). Since nonverbal behavior arises from our cultural common sense -- our ideas about what is appropriate, normal, and effective as communication in relationships -- we use different systems of understanding gestures, posture, silence, spacial relations, emotional expression, touch, physical appearance, and other nonverbal cues. Cultures also attribute different degrees of importance to verbal and nonverbal behavior. ntaining face is of great importance, though ideas of how to do this vary.

Verbal Communication

Verbal communications in business take place over the phone or in person. The medium of the Message is oral

. Let’s return to our printer cartridge example. This time, the

Message is being conveyed from the Sender (the Manager) to the Receiver (an employee named Bill) by telephone. We’ve already seen how the Manager’s request to Bill (“We need to buy more printer toner cartridges”) can go awry. Now let’s look at how the same

Message can travel successfully from Sender to Receiver.

Storytelling

Storytelling has been shown to be an effective form of verbal communication; it serves an important organizational function by helping to construct common meanings for individuals within the organization. Stories can help clarify key values and help demonstrate how things are done within an organization, and story frequency, strength, and tone are related to higher organizational commitment.

[ 566 ]

The quality of the stories entrepreneurs tell is related to their ability to secure capital for their firms.

[ 567 ] Stories can serve to reinforce and perpetuate an organization’s culture, part of the organizing P-O-L-

C function.

Crucial Conversations

While the process may be the same, high-stakes communications require more planning, reflection, and skill than normal day-to-day interactions at work. Examples of high-stakes communication events include asking for a raise or presenting a business plan to a venture capitalist. In addition to these events, there are also many times in our professional lives when we have crucial conversations

—discussions where not only the stakes are high but also where opinions vary and emotions run strong

Written Communication

In contrast to verbal communications, written business communications are printed messages . Examples of written communications include memos, proposals, e-mails, letters, training manuals, and operating policies. They may be printed on paper, handwritten, or appear on the screen. Normally, a verbal communication takes place in real time. Written communication, by contrast, can be constructed over a longer period of time. Written communication is often asynchronous (occurring at different times).

Changing your tone can dramatically change your meaning.

EXAMPLES:

For an example of the importance of nonverbal communication, imagine that you’re a customer interested in opening a new bank account. At one bank, the bank officer is dressed neatly. She looks you in the eye when she speaks. Her tone is friendly

Here are a few examples of nonverbal cues that can support or detract from a Sender’s

Message.

Body Language

A simple rule of thumb is that simplicity, directness, and warmth convey sincerity. And sincerity is key to effective communication. A firm handshake, given with a warm, dry hand, is a great way to establish trust. A weak, clammy handshake conveys a lack of trustworthiness. Gnawing one’s lip conveys uncertainty. A direct smile conveys confidence.

Eye Contact

In business, the style and duration of eye contact considered appropriate vary greatly across cultures. In the United States, looking someone in the eye (for about a second) is considered a sign of trustworthiness.

Facial Expressions

The human face can produce thousands of different expressions. These expressions have been decoded by experts as corresponding to hundreds of different emotional states.

Posture

The position of our body relative to a chair or another person is another powerful silent messenger that conveys interest, aloofness, , experts advise mirroring an interviewer’s tendency to lean in and settle back in her seat. The subtle repetition of the other person’s posture conveys that we are listening and responding.

Touch

The meaning of a simple touch differs between individuals, genders, and cultures. In

Mexico, when doing business, men may find themselves being grasped on the arm by another man.

Space

Anthropologist Edward T. Hall coined the term proxemics to denote the different kinds of distance that occur between people. These distances vary between cultures

Summary

Each of the variables discussed in this module -- time and space, personal responsibility and fate, face and face-saving, and nonverbal communication -- are much more complex than it is possible to convey. Each of them influences the course of communications, and can be responsible for conflict or the escalation of conflict when it leads to

miscommunication or misinterpretation. A culturally-fluent approach to conflict means working over time to understand these and other ways communication varies across cultures, and applying these understandings in order to enhance relationships across differences.

QUESTION#4

PART(B)

Review different negotiating and bar gaining behavior that many improve negotiations out comer

What is Negotiation?

Negotiation is a form of decision making. It is one of the several options you have when you are attempting to make a decision with another person. It is an exchange of series of offers by two or more people/groups of people. It is a bargaining, deal-making process.

Negotiation is the process through which the activity of trading and exchanging tangible or intangible things between negotiators. The process of conferring among two or more interdependent parties to arrive at agreements about some matter over which they are in conflict. It includes the mutual dependence of each negotiator on the other. It usually involves you getting something, tangible or intangible, in return for your consent. But if you have nothing to trade then negotiation is unlikely. You can become competent in negotiation without compromising your sense of ethical conduct.

Negotiations do not always end in an agreement. Those making a decision by negotiation usually have the option of choosing some other solution, of saying 'no', of walking away, of minding their own business.

Why we negotiate?

People negotiate to resolve disputes and to make decisions in teams. When negotiators reach an agreement, resources are always distributed but the amount of resources available for distribution is not necessarily fixed. We negotiate because our decisions affect others and their decisions affect us. Individuals do not wish to leave decisions that affect them to the whim and fancy, not to mention material benefit, of somebody else. People's goals are incompatible. People are inter-dependent, but in conflict. They naturally negotiate to try to deal with the conflict.

Preparation for negotiation

The activity of preparation reduces wasted effort and time, identifies gaps in the information needed to make decisions by trading, and establishing the criteria for judging the merits of possible traded solutions.

It allows you to anticipate likely stances and demands, and to focus your attention on the potential for trade and potential solution, which increases your effectiveness as negotiation. If we left preparation t our good intentions we would never get it done.

Cross culture negotiating:

Cross cultural negotiation is one of many specialized areas within the wider field of cross cultural communications. By taking cross cultural negotiation training, negotiators and sales personnel give themselves an advantage over competitors.

There are two negotiators dealing with the same potential client in the Middle East. Both have identical proposals and packages. One ignores the importance of cross cultural negotiation training believing the proposal will speak for itself. The other undertakes some cross cultural training. He/she learns about the culture, values, beliefs, etiquette and approaches to business, meetings and negotiations. Nine times out of ten the latter will succeed over the rival. This is because 1) it is likely they would have endeared themselves more to the host negotiation team and 2) they would be able to tailor their approach to the negotiations in a way that maximises the potential of a positive outcome.

Cross cultural negotiations is about more than just how foreigners close deals. It involves looking at all factors that can influence the proceedings. By way of highlighting this, a few brief examples of topics covered in cross cultural negotiation training shall be offered.

Eye Contact : In the US, UK and much of northern Europe, strong, direct eye contact conveys confidence and sincerity. In South America it is a sign of trustworthiness.

However, in some cultures such as the Japanese, prolonged eye contact is considered rude and is generally avoided.

Personal Space & Touch: In Europe and North America, business people will usually leave a certain amount of distance between themselves when interacting. Touching only takes place between friends. In South America or the Middle East, business people are tactile and like to get up close. In Japan or China, it is not uncommon for people to leave a gap of four feet when conversing. Touching only takes place between close friends and family members.

Time: Western societies are very 'clock conscious'. Time is money and punctuality is crucial. This is also the case in countries such as Japan or China where being late would be taken as an insult. However, in South America, southern Europe and the Middle East, being on time for a meeting does not carry the same sense of urgency.

Meeting & Greeting: most international business people meet with a handshake. In some countries this is not appropriate between genders. Some may view a weak handshake as sign of weakness whereas others would perceive a firm handshake as

aggressive. How should people be addressed? Is it by first name, surname or title? Is small talk part of the proceedings or not?

Gift-Giving: In Japan and China gift-giving is an integral part of business protocol however in the US or UK, it has negative connotations. Where gifts are exchanged should one give lavish gifts? Are they always reciprocated? Should they be wrapped? Are there numbers or colours that should be avoided?

All the above in one way or another will impact cross cultural negotiation and can only be learnt through cross cultural training. Doing or saying the wrong thing at the wrong time, poor communication and cross cultural misunderstandings can all have harmful consequences.

Cross cultural negotiation training builds its foundations upon understanding etiquettes and approaches to business abroad before focusing on cross cultural differences in negotiation styles and techniques.

There are three interconnected aspects that need to be considered before entering into cross cultural negotiation.

The Basis of the Relationship: in much of Europe and North America, business is contractual in nature. Personal relationships are seen as unhealthy as they can cloud objectivity and lead to complications. In South America and much of Asia, business is personal. Partnerships will only be made with those they know, trust and feel comfortable with. It is therefore necessary to invest in relationship building before conducting business.

Information at Negotiations: Western business culture places emphasis on clearly presented and rationally argued business proposals using statistics and facts. Other business cultures rely on similar information but with differences. For example, visual and oral communicators such as the South Americans may prefer information presented through speech or using maps, graphs and charts.

Negotiation Styles: the way in which we approach negotiation differs across cultures.

For example, in the Middle East rather than approaching topics sequentially negotiators may discuss issues simultaneously. South Americans can become quite vocal and animated. The Japanese will negotiate in teams and decisions will be based upon consensual agreement. In Asia, decisions are usually made by the most senior figure or head of a family. In China, negotiators are highly trained in the art of gaining concessions. In Germany, decisions can take a long time due to the need to analyse information and statistics in great depth. In the UK, pressure tactics and imposing deadlines are ways of closing deals whilst in Greece this would backfire.

Types of Negotiation

Some of the important forms of negation are briefly discussed below;

* Deal-making negotiations

* Decision-making negotiations

* Dispute-resolution negotiations

* Value-claiming negotiations

* Value-creation negotiations

Deal-making negotiations are negotiations to buy and sell.

Decision-making negotiations: The process of arriving at an agreement when there is multiple potential and conflicting choices; it is the process by which multi-cultural teams reach an agreement.Dispute-resolution negotiations are negotiations to resolve conflict resulting from a claim being made and rejected.

Value-claiming negotiation : It is a negotiation to reach a Distributive agreement

- It is about claiming value

- How much a set of resources you are going to get and how much the other party gets.

Value-creating negotiation : It is a negotiation to reach a integrative agreement

- It is about creating value

- How you and the other party can increase the resources available to divide.

Culture and Negotiation

When two parties negotiate both bring culture to the table with their

* Interests and priorities

* Negotiation strategies

Interests are the needs or reasons underlying the negotiator's positions.

Priorities reflect the relative importance of various interests or positions.

A negotiation strategy is an integrated set of behaviors chosen because they are thought to be the means of accomplishing the goal of negotiating.

All the negotiators have interests, priorities and strategies. These are affected by culture.

Culture is the unique character of a social group, including the values and norms shared by members of the group and the group's social, economic, political and other institutions. Cultural values direct the attention of the negotiator to the issues that are more important and influence the negotiators' interests and priorities. Cultural norms define the behaviors that are appropriate and inappropriate in negotiation and influence the negotiators' strategies.

Effects of Culture on Interests and Priorities

* Economic Development

* Preferences for Tradition over Development

* Cultural Blinders

Cultural values may reveal the interests of the negotiators. Negotiators from cultures that value Tradition over change may be less enthusiastic about Economic Development. This was the situation in which Disney found itself after purchasing a large tract of land south of Paris to construct EuroDisney. Although EuroDisney promised jobs and economic development to an area that had high unemployment had few non-farm jobs for youth the local populace valued its traditional agricultural style. EuroDisney management with its

American culture had difficulty reconciling the local population's preferences for tradition over development.

Negotiators from one Culture expecting preferences to be compatible can not understand the rationality of negotiators from another culture. It is generally unwise in negotiation to label the other party as irrational. Cultural differences in preferences may also act as cultural blinders.

How Culture affects Negotiation Strategies

When people negotiate, their behaviors are strategic and their strategies may be culturally based. Not only are there differences in strategic behavior between cultures, but also within cultures and overlap between the cultures. With the result, some members of a culture may negotiate less like their own cultural prototype and more like the prototype of the another culture.

Negotiation Strategies are linked with culture because cultures evolve norms to facilitate social interaction. Norms are functional because they reduce the number of choices a person has to make, about how to behave and how others in the culture will behave.

Culture may also affect the strategies that the negotiators bring to the table – for example, the way they go about negotiating, whether they confront directly or indirectly, their motivations, and the way they use the information and influence.

* Confrontation

* Motivation

* Influence

* Information

Confrontation is a meeting between negotiators, either directly (face to face or electronically), or indirectly (via third party or non-verbal behavior). People from different cultures vary in their preferences for confrontation in negotiation. Western cultures are characterized by direct confrontation where as the Asian cultures by indirect confrontation.

Motivation is the factor or factors urging a person to act. It is all about negotiators' interests. Negotiators may be concerned about self-interests, about the interests of the other party at the table, or about the collective interests. The relative importance varies by culture. Western cultures prefer self-interests whereas the Asian cultures prefer collective interests.

Influence: Trying to produce a desired effects in another person, usually an attempt to obtain a concession. Power is the ability to influence the other party to accede to your wishes. Negotiators try to influence each other to make concessions by talking about their power.

Influence strategies may be direct or indirect. Direct influence strategies include persuasion, argument, substantiation and threats. Indirect influence strategies include appeals to sympathy, references to personal stakes in the negotiation and references to status. A direct influence strategy focuses on the other party's interests, whereas the indirect influence strategy focuses on you.

Information: It is the knowledge or intelligence that is communicated. Information is the currency of negotiation. Negotiated agreements are constructed from information.

Negotiators want full information about the other party's interests and priorities and reservation price, but they do not want to reveal the same information about themselves.

Sharing information in negotiation makes you vulnerable. When you share information about your interests and priorities, the other party knows what you are willing to give up and what you must have. Negotiators can share information directly or indirectly. Direct information sharing could be a series of questions and answers, comments on mutual interests and differences, or feedback about the correctness of negotiator's influence.

Indirect information sharing is a series of proposals and counter proposals, particularly multi-issue proposals.

Why Culture affects Negotiation Strategy?

The behaviors that negotiators from a culture characteristically use to enact a negotiation strategy are related to other features of that culture including its values and norms. The following features of culture seem to be related to the variability in negotiation strategy across cultures:

* Individualism Vs Collectivism

* Egalitarianism Vs Hierarchy

* Low-Context Vs High-Context Communications

Individualism: A cultural value that promotes personal independence and gives selfinterest a high priority among important life values.

Collectivism: A cultural value that promotes the interdependence of individuals with the social groups to which they belong and supports collective interests over self-interests as the predominant life value.

Negotiators motivational orientations may also stem from their culture's values for individualism versus collectivism. This cultural value reflects a society's goal orientation.

Individualist cultures emphasize self-interests. Collectivist cultures emphasize collective interests.

Egalitarian Culture: A culture that aspires to social equality, especially in political, social and economic affairs.

Hierarchical Culture: A culture that accepts social inequality in political, social and economic affairs. It emphasizes differentiated social status that implies social power.

People in hierarchical cultures may be reluctant to confront directly in negotiation because confrontation implies a lack of respect for social status and may threaten social structures. The norm in such a culture is not to challenge higher-status members.

Low-context communication :

* People prefer to communicate directly

* Meaning is on the surface of the message

* Information is explicit, without nuance, and relatively context free.

High-context communication

* People prefer to communicate indirectly

* Meaning is embedded in the context of the message and must be inferred to be understood.

Resolving Disputes

There are three ways to resolve disputes, regardless of whether the confrontation is direct or indirect

* Interests and Culture

* Rights and Culture

* Power and Culture

You can uncover the interests underlying disputants' positions and integrate those interests.

You can determine who is right and who is wrong according to some standard of fairness, contract, and law or precedent. You can determine who is more powerful and therefore who should concede.

Interests: Wants needs or concerns of negotiator, company or the other party.

Rights and Standards: Explicit & implicit rules, procedures and regulations. A trend, traditions, conflicts, asking & telling.

Power Statements: Uncooperative statements to intimidate suggest negative consequences.

Procedures for Resolving Disputes .

* Direct Vs Indirect Confrontation and Culture

* Non-confrontation: Not really an Option

* Direct Confrontation: Negotiating the Resolution of Disputes.

* Indirect Confrontation without Third Parties.

* Indirect Confrontation and Third Party Procedures

Direct Confrontation is a face to face verbal interchange between principals. It is consistent with the action-oriented and solution-minded communication that is characteristic of low context cultures. Characteristics of Western cultures encourage the disputants to confront directly.

Indirect Confrontation is either nonverbal or conducted by agents such as lawyers or intermediaries, or through mediators (mediation skills). Characteristics of Asian cultures encourage disputants to deal with conflict indirectly (Indirect Confrontation).

Characteristics of Western Cultures

* Low-Context Communications

* Self Interests

* Egalitarian Power Distributions

Characteristics of Asian Cultures

* High-Context Communications

* Collective Interests

* Hierarchical Power Distributions

Non Confrontation

Deciding to take a direct or an indirect approach to dispute resolution presumes that unless dealt with somehow, the dispute will have dysfunctional consequences

Direct Confrontation: Negotiating the Resolution of Disputes

To be effective at resolving disputes across cultures, negotiators need to know:

* When to focus on Rights, Power, Facts and Interests.

* How to change the focus from Rights or Power to Interests.

* How to choose among different types of communication

When to focus on Interests, Rights and Power

When you think that you have a rights standard, the other party will recognize the weakness of its own position and come to an agreement.

When you want to make it clear that if the dispute cannot be resolved you will go to the third party.

How to change the focus from Rights or Power to Interests

* Do not reciprocate with an emotional outburst

* Declare the process ineffective

* Combine reciprocity with a change of focus

Choosing how to communicate

* Face to face negotiations

* Electronic negotiations

* Negotiating through agents

Indirect Confrontation without Third Parties

A claimant may use non-verbal behavior to express dismay at a claim's being rejected like slamming doors, pounding fists etc.

Another form of indirect confrontation is amassing information that you arrange to have delivered to the other party.

Indirect Confrontation and Third Party Procedures for Dispute Resolution.

Procedures with Authority

* Litigation

* Arbitration

* Hierarchy

Procedures without Authority

* Mediation

Download