Managing diversity from
a cultural perspective
It is all about defining when diversity is functional
Egbert Schram
Managing Director Itim International
Linking professionals to success
Introduction Egbert Schram
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Dutch/Indonesian, living in Finland
Forester
Motor biker
Gardener
Goalkeeper
Traveler
 Managing Director of Itim International/The Hofstede Centre (Culture)
 CEO of FeedbackDialog (HR evaluation software)
 Chairman of the International Chapter at the Finnish HR Federation
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Who is itim?
Itim International is a cultural transformation expert group, enabling
managers to go beyond cultural awareness and enabling managers to use
culture as tool of management.
We do this by using a unique and proven framework (the Hofstede 6-D Model
and Multifocus model), which works independently of business and country so
that managers get reinsurance and guidance on how do to a better job and be
more effective by using their cultural assets.
Over 65 Culture & Management Consultants
in 30 countries draw on 29 years of experience
Founded by Bob Waisfisz and Prof. Dr. Geert Hofstede in 1985
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Diversity?
Education
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Race
Religion
Disabilities (mental/physical)
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Diversity?
Diversity as defined by most Western
personnel federations
Managing diversity means valuing everyone
as an individual – valuing people as
employees, customers and clients.
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Value everyone as an individual
Understand the way you look at others
And the way others look at you
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Why does it matter?
Let´s take Motivation
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Cultural
Understanding
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”
Culture is the collective programming of the human mind
with which one group distinguishes itself from another
Prof. Dr. Geert Hofstede
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The different levels of culture
Symbols
Heroes
Organizational Culture
The Multifocus Model
Rituals
Values
Practices
National Culture
6-Dimensional Model
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What is our cultural bias towards diversity?
When you’re a kid,
you don’t have
much variety of
experience
You live with your parents
and that’s all you know.
You grow up thinking
whatever they do is
“normal”
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Which culture is transferred and when
culture level
age
0
pre-puberty
10
post-puberty
20+
unconscious,
unchangeable
values
gender, national
social class,
occupational
conscious,
changeable business,
organizational
practices
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Why do we want diversity?
Angry Birds
Amusement parks
Police
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When is diversity useful?
+ Attracting a wider potential pool of employees
+ More creativity and innovation (design/marketing)
+ Better understanding of a diverse customer groups (if
that applies)
+ Increased understanding of colleagues
• peer support
• less sick-leave
better productivity
• less burn-out
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When is diversity less useful?
+ When you need to be able to interact quickly with
your colleague in a “life or death” situation
(police, war zone, ER)
+ When you need precision and efficiency
(production lines)
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A Social
Experiment
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”I don´t know, this is just the way get done around here”.....
Sounds familiar right?????
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Your role as leader of a diverse workforce
“WHAT Leaders do is the same the world over..”
“HOW They do it is embedded in their tradition and culture”
Peter Drucker
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Understanding the role of culture …..
Makes your job a lot easier!
Knowing how to use Culture …….
Will increase your chance of global success!
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How to achieve successful diversity programmes?
+ Behaviour is difficult to change
+ If your organisation does not have the same goals it is
impossible
+ Cultural differences might actively hinder diversity
programs because of:
National cultural influence
Organizational culture influence
Power distance
Goal orientation
Individualism
Loose vs strict culture
Pragmatism
Local culture vs professional culture
Approachability
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Dealing with hierarchy / Power Distance
The extent to which the less powerful
members of institutions and
organisations accept that power is
distributed unequally
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Dealing with hierarchy / Power Distance
Low Hierarchy
High hierarchy
+
+
+
+
+
+
+
+
Being independent
hierarchy is functional
initiative = desired behaviour
Superiors accessible
E.g. Finland, Estonia, USA,
Netherlands
Being dependent
hierarchy is existential
Obedience = desired behaviour
Privileges
E.g. Mexico, France, Russia
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Individualism
In Individualist societies people are supposed
to look after themselves and their direct
family only
In Collectivist societies people belong to ‘in
groups’ that take care of them in exchange for
loyalty
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Individualism
+
+
+
+
+
Collectivism
Individualism
IDV"We" cultures
IDV+
"I" cultures
the group: “We”
opinion of the group
strong teams possible
implicit communication
loss of ‘face’, shame
Mexico, China
+
+
+
+
+
the individual: “Self”
individual opinions
team-work difficult
explicit communication
loss of self-respect, guilt
E.g. UK, USA, Finland, Netherlands
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Pragmatic versus Normative (PRA)
The degree to which people try to explain the unexplainable
expressed by:
The extent to which society exhibits a pragmatic futureorientated perspective rather than a normative historic or near
term point of view
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Pragmatic versus Normative (PRA)
+
+
+
+
+
+
Normative
Pragmatic
PRA -
PRA +
Appeal of fundamentalism
Past or present orientation
Self-enhancement
Rights
Respect for traditions (nationalism)
Spending today as the future holds
no promise
E.g. Finland, USA
+ Appeal of pragmatism
+ Potential long term orientation
(Persistence)
+ Obligations and self-improvement
+ Obligations and humility
+ Learn from other countries
+ Thrift
E.g. Netherlands, Estonia
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Impact on organizations
Normative versus Pragmatic
Low PRA
High PRA
Why?
Coping with reality
How? What?
Short term
Planning
Long term
Normative
Attitudes
Pragmatic
Analyze
New information
Synthesize
Quick results
Investments
Long term
Emphasis on rights
Attitude towards
organization
Emphasis on
obligations
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Complete picture
Acceptance of Hierarchy
1
100
Dealing
with
natural
drives
80
6
60
Direction of
Loyalty
2
40
20
Finland
Russia
Estonia
0
5
3
Sources of
motivation
Handling Truth
4
Dealing with the
Unknown
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The different levels of culture
Symbols
Heroes
Organizational Culture
The Multifocus Model
Rituals
Values
Practices
National Culture
6-Dimensional Model
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D1
Means oriented
Goal oriented
Organisational Effectiveness
Safety
versus
In our own interest
versus
0
Identification with ‘how’
Monotone work
Promises are often broken
50
Productivity
In the interest of
our organization
100
Identification with ‘what’
Challenging work
Inspirational leader
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Goal orientation and diversity
“If you can agree on WHAT you are doing, the How becomes
automatically less important”
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D3
Easy going work discipline
Strict work discipline
Control
Innovation or being on call
0
Informal
versus
50
Efficiency
100
Meticulous
Lack of predictability
Punctual & cost conscious
Few work standards
Serious
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D4
Local
Focus
Professional
Loyalty towards
boss and own group
versus
A professional
and critical attitude
Just do it
versus
Think for yourself
0
50
Here and now
Identification with boss/department
Social control
100
Long term orientation
Identification with the profession/ content job
Critical
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D5
Open system
Approachability
Everybody is welcome
versus
Open door policy
0
versus
We tell the boss what we think
Secrets safe
Proof yourself
Secretive/exclusion
50
Those who fail are given the benefit of the
doubt
Everyone is informed
Closed system
100
It is here: sink or swim
The grapevine is all important
When in trouble we prefer to keep silent
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How to Implement diversity ?
Diversity management is about:
+ Changing the way the members of an organization
relate to each other
+ In comparison to other organizations
+ In such a way that those who look and behave differently
are accepted
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The promise in diversity
+ Diversity management can assist you in becoming more
+
+
+
+
Open
Creative
Innovative
Productive.
+ A cultural analysis will tell you where you stand.
Are we diverse enough?
Are we similar enough?
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www.geert-hofstede.com
www.itim.org/compass
Egbert Schram
+358 45 1375007
Egbert.schram@itim.org
Linking professionals to success