1. Shared mental programs that condition individual 10.

Communication complexity: low  high

responses to environments (Hofstede) 11. Nature of Persuasion: Direct experience, logic, tradition, dogma, emotion,
2. Customary beliefs, social norms, and material traits of a intuition
racial, religious or social group (Webster Dictionary) Outcome
Cultural Intelligence
Defined: the capability to interact effectively with people from 12. Form of agreement: contractual implicit
different cultural backgrounds (Thomson & Inkson, 2003) Low Familiarity with Counterpart’s Culture Moderate Familiarity
Involves development of 3 areas: with Counterpart’s Culture High Familiarity with Counterpart’s
1. Knowledge: what culture is, how cultures vary, how culture Culture
affects behaviour Embrace the Counterpart’s Script: Improvise an approach: Effect
2. Mindfulness: paying attention to cultural cues Symphony:
3. Behavioural skills: adapting behaviour appropriately; i.e.
how you react to given cultures Q. List cross-cultural problems in this negotiation.
Characteristics of Cultures - Communication (direct/indirect) and trust
- Shared: within ‘in-group’ - Age/status of negotiating team
- Learned and enduring: - Non-confrontational/non-compliance v direct/transactional
- Influences behaviour: approach
- Systematic and organised: - Synchronous (multi-task) v sequential (punctual)
- Invisible: great deal is invisible, underlying – “iceberg o Linear, 1 issue at a time
analogy” o Circular, multi-tasking
- May be tight or loose: - Holistic v linear views to negotiation
Kluckhohn & Strodtbeck (1960s) - Short-term v long-term perspective
Klckhohn and Strodtbeck’s variations in vales orientations
Q. Why did those problems occur?
• Relation to nature- Time orientation Basic human nature - not culturally intelligent
• Activity orientation Relationships among people Space orientation - failure on either party to make concessions
Schwartz value survey - competing objectives in running business
Argues values reflect the basic problems societies confront in order to regulate social - lack of communication – withholding information
activities - making incorrect assumptions about counter-party
Dimensions based on 3 issues: - different social, political and governmental backgrounds
- Nature of relationship between individual and group - clash of culture
- How to guarantee responsible behaviour Lecture: Cross-Cultural Leadership 8/31
- How to regulate the relation of people to natural and social world Management Dimensions of Culture (Rugman & Collinson)
Weber’s Theory of Leader Legitimacy:
1. Embeddedness versus autonomy Traditional:. “I follow you because that’s what I’m supposed to do.”
2. Hierarchy versus egalitarianism Rational: “I follow you because it is reasonable to do so.”
3. Mastery versus harmony Charismatic: “I follow you because I like you and you inspire me.”
Trompenaars’ dimensions of culture
Developed framework for examining cultural differences using Kluckhohn and EXAM!!! Ban-Ki Moon- Secretary General of UN (talking about his
Stodtbeck’s theory leadership style) Misunderstandings of his leadership style:
• Universalism versus particularism • Criticisms (by Norwegian Deputy Ambassador):
• Individualism versus communitarianism – Passive observer – “keeping head down in Gaza”
• Specificity versus diffusion – Weak handler of international matters
• Achieved status versus ascribed status • Response (by Moon):
• Inner direction versus outer direction – Misunderstandings of Moon’s diplomatic style
• Sequential time versus synchronous time • Softly spoken on smaller issues and vocal
Ronen and Shenkar’s country clusters on “real situations”
Countries clustered based on similar work values or goals- usually have similar • His style is contingent upon
locations, language and religion, some independent countries. Clustering give managers • Offending Chinese leaders & Sudan
understanding of similarities and differences between countries, to help select right • Better to speak to leaders in private way
employees for international assignment. Results from research in one country may be for certain sensitive political issues
applied to another similar country. Transformational leadership:
The world values survey Culturally intelligent leadership
Long term, large scale study of socio-cultural and political change investigating basic
values and beliefs. Data reveals that values in societies relate to economic development Common Cultural Dimensions
and cultural tradition 1. Performance orientation Assertiveness
2 important dimensions:
Future orientation
• Traditional versus secular-rational orientation towards authority
• Survival versus self-expression values 2. Humane orientation Institutional collectivism In-
• The cultural map of these 2 dimensions indicate that cultural heritage and group collectivism
economic development influence values. There are also generational 3. Gender Egalitarianism Power Distance
differences within countries. Uncertainty Avoidance
Layers of Culture
Outer layer: explicit products Middle layers: norms and values Lecture: Managing Conflict/Stereotyping
Core layer: assumptions about existence 9/7
Lecture: Cross-Cultural Negotiations 8/24 • Managing Conflict: When upset, reasoning ability (L-mode
• Underestimation: Overestimation: communication) is dominated by visual imagery and sensations (R-mode),
-Tactics for Cross-Cultural Negotiation which may impede ability to find words. In multinational teams, there are
Cultural Characteristics of Negotiation several factors that may hinder the ability to “talk things through,”
1. Basic Concept of Process: Distributive Bargaining, Joint Problem-Solving, including: Language issues, Non-verbal and verbal contextualization, Views
Debate, Contingency bargaining, Nondirective Discussion of conflict and proper conflict management, Potential effectiveness of
“talk”, Intensity of emotional conflict among members. Managers should be
2. Most Significant Type of Issue: Substantive, relationship-based, procedural, aware of appropriateness and potential effectiveness of talk.
personal-internal • Development of empathy = important. Consider alternatives to “talk”.
Role of the Individual: Group resolution
3. Selection of Negotiators: knowledge, experience, personal attributes, status • Individual (private) resolution But maybe not appropriate for collectivist
4. Individual’s aspirations: individual  community cultures
5. Decision Making in Groups: Authoritative  consensual • Hierarchical resolution Appropriate for collectivist cultures
Interactions: Dispositions • Formal written resolution process Appropriate for low-context cultures
6. Orientation towards time: monochromic  polychromic • Non-verbal resolution E.g. singing, ignore issue and come to solution, etc
7. Risk-taking propensity: high low • Possibility of Conflict  Increases with virtual communication.
8. Bases of trust: external sanctions, reputation, intuition, shared experiences Communication becomes more uni-contextual, so communicators are
Interaction: Process without the benefit of NVC
• E.g. Misinterpreting jokes in emails, assuming that capital letters = anger, or
9. Concern with protocol: informal  formal that text abbreviations = less formality, and thus less respect, etc
 • Most important to remember high/low context communication differences
in virtual communication!
• The propositions and relationships lead to 4 conclusions:
Concl 1: Emotional conflict may be inevitable in MCTs
Concl 2: Talk may not be an effective conflict management
strategy
Concl 3: Alternatives to talk may include aesthetic
approaches
Concl 4: Shift towards supplementing L-mode and R-mode
with non-talk alternatives (aesthetics)
• Stereotypes: can be helpful or harmful depending on how
we use them; effective stereotyping occurs when it is:
 Consciously held. “Group norm” not characteristics
of “specific individual”
 Descriptive rather than evaluative. What group will
probably be like not whether people are good or
bad
 Accurate.
 The first best guess. Do so before acquiring info
about specific person or persons involved
 Modified. Modify guess based on continuing
observation and experience with actual people and
situations
Lecture: Decision-Making/Cross-Cultural Ethics 9/14
• Intra-Cultural Problems: In practice, managers often have
difficulties following the rational model of decision making
perfectly. They may:
Groupthink: Groupthink is faulty decision making, by a group,
caused by group pressure to conform
- All alternatives are not considered. Unanimity prevails over
quality of decision
- Some causes of groupthink:
- Belief in moral superiority of group, Sense of invulnerability,
Group members not expressing true feelings, Group
pressure to self-censor, Wilful ignorance of
negative/alternative information, Lack of
originality/creativity*
- To avoid groupthink:
Ethical Theories:
• Ethical Relativism: Absolutism/Idealism: Moral
universalism: all
• Ethnocentric approach:
Rational Model
Problems with Rational Model:
• Assumes clarity of criteria
• Assumes ability to identify and define problem
• Assumes ability to accurately generate range of solutions
• Assumes unbiased decision makers
X-cultural problems:
• Incremental decisions, rather than 1 large analysis
• Create heuristics (i.e. “rules of thumb”) which have no
rational basis
• “Satisfice” (i.e. choose 1st decent option which pops up in
their head)
• Procrastinate
3 Approaches to Ethics:
(i) Utilitarian model. Greatest good for greatest no. of people
(ii) Kantian model. Same rules apply to everyone; treat people
as “ends, not as the means”
(iii) Rossian Perspective. Set of duties that apply to everyone;
attached weights depending on context
(iv) Friedman Doctrine. Primary role of business is to make
money; it is not to treat people well, to be charitable etc
***
Core Ethical Values: Thomas Donaldson’s core human values:
• Respect for human dignity. Do not treat others simply as
tools
• Respect for basic rights. Treat people in ways that respect
people’s basic rights
• Good citizenship. Community must work together to support
and improve institutions on which community depends
Lecture: Gender Issues in Cross-Cultural Management
9/21
2 aspects of gender stereotypes: descriptive & prescriptive.
• Descriptive: Prescriptive:
Conditions that Facilitate the Devaluation of Women’s Performance
1. Ambiguity in evaluation criteria: vague and non-specific;
2. Lack of structure in evaluation processes: room for cognitive
distortion.
3. Denying credit to women for their successes;
Conditions that Facilitate the Denial of Credit for Success
1. Ambiguity about the source of successful performance: placing
responsibility for success elsewhere than on the woman. Success
does not necessitate seeing the woman as competent.
2. Ambiguity about the reason for successful upward mobility:
much talk of affirmative action etc. – only successful due to
membership of privileged group.
Summary. More likely to suffer sexual assault when under high power
distance; low individualism countries.
Lecture: Managing Multinational Teams – 10/12
Culturally Intelligent Team
1. Managing group environment Management support,
rewards, group status, self management
1. Allow culturally diverse groups to develop* (see next slide)
2. Foster cultural intelligence in group (CQ)
“mapping”: process of understanding differences/similarities
among group members; give feedback to members of group
Group development: Five-Stage Model (Tuckman & Jensen, 1977)
EXAM!!!
1. Forming – team members get acquainted
2. Storming – go through inevitable conflicts that arise about
who is doing what and how to go about things
3. Norming – developing rules, expectations of each other
(process)
4. Performing – work cohesively and effectively together (task
focus)
5. Adjourning* – disbanding of a group
TASK = activities toward accomplishing end goal (WHAT)
PROCESS = activities directed at improving HOW group/team goes
about accomplishing this task (HOW)
– Effect of process on group performance: key task of
manger is to maximise process gains, minimise
process losses
– To do this: manager must facilitate cultural synergy
(getting benefits of cultural differences in the
groups) and overcoming cultural conflict/difference
Challenges of multi-cultural teams
1. Communication style (direct v indirect; high v low context)
2. Linguistic challenges (fluency, accents)
3. Differing attitudes toward hierarchy and authority – i.e.
power distance
4. Conflicting norms for decision making
Strategies
1. Adaptation: adjust and try and create your
own culture surrounding team
2. Structural intervention: tasks can be
subdivided
3. Managerial intervention: bring in outside
manager
4. Exit : arise where emotions are beyond
point of intervention so just need to leave;
but note talent and training costs are lost
Best practices
1. Create unique organisational culture for team to bring disparate
members together (i.e. Dialectic)
2. Vary meeting locations (if members are geographically dispersed)
3. Rotate team leadership
4. Link rewards to team performance
5. Encourage social networking among members (i.e. To get to know
each other outside team/work environment)
Challenges of Global Virtual Teams
1. Geographic dispersal
2. Cultural differences
3. Language and communication
4. Technology – e.g. Different internet speeds; video
conferencing
• Strategy: same as non-virtual + give team members
multiple opportunities to develop successful
organisational culture. Virtual teams take longer to develop
cohesiveness; plan for that time factor.
Lecture 10/26: Culture Shock/Repatriation
U-Curve of X-cultural adjustment: Honeymoon period  culture shock  adjustment
 mastery
Collectivists may interpret independence from the in-group as disrespect for the in-
group.
• Individualists may interpret that same behaviour as maturity and self-
reliance.
• People from a high power distance culture may interpret actions in a low
P.D. culture as being rude, disrespectful and unsympathetic.
• People from a low PD culture may interpret actions in a high P.D. culture as
 being overly-formal, childish, and frustratingly inefficient.
• Paradox of CI  In order to acquire CI, you must work with culturally
different people…
• BUT In order to work effectively with culturally different people, you must
first acquire CI.
• So…how to do this? Do both at same time—be culturally open.
• Why do Expats leave early? Poor adjustment by their families/spouses
(main reason), Inability (of employee or family) to get beyond culture shock
Lack of attention/resources spent preparing and supporting family members, Age, Life
situation, Poor training of employee to deal with different cultures
• Replacement costs for 1 expat employee, just to replace them, not to pay
their replacement, exceed US$300,000.)
• Shaffer and Harrison’s Study: 3 dimensions of spouse (expat) adjustment:
1. Ability to build relationships w/ host country nationals
2. Adjustment to local customs and culture in general
3. Feeling of being at home in foreign country
Selecting Expats: (Black & Grefersen, 1999)
1. Firms that successfully manage expats focus on knowledge creation and
global leadership development when making overseas assignments
2. They send expats whose technical skills are matched, or exceeded, by their
x-cultural abilities
3. They end expat assignment with a deliberate repatriate process
Characteristics of a successful Expat:
1. Drive to communicate
2. Broad-based sociability – ie charismatic leader
3. Cultural flexibility
4. Cosmopolitan orientation – interesting mindset of diversity
5. Collaborative negotiation style
Repatriation Issues: reverse culture shock, unrealistic expectations, role in company
(career issues). Treated with suspicion, ‘warehoused’ with no job, easy-ride.
Alienation and Reversion.
Best Practices in Managing Repatriation
• Plan for repatriation
• Review job openings; find a good match for returning employee based
upon new skills employee has gained overseas
• Debriefing programs for returning employees and their families (covering
reverse culture shock; update on home culture; changes in company and
industry; financial planning (salary will be more overseas); update on
education for children; spouse issues
• * Repatriation courses, Assistance to spouses/family, Clarify/revise own
expectations, Re-establish links with contacts, Become active in
community, Be familiar with home county branch’s affairs/issues.