Course:

BA (Hons) International Business

Management

Module:
BLC6004
International Business and Cultural Diversity
Lesson Plan
Lesson Plan
Lesson 1: 20 Sep 2023 12:30-3:30pm Lesson 7: 13 Oct 2023 12:30-3:30pm
Introduction to the module Managing Cultural Differences at Work
Introduction to Culture Lesson 13: 10 Nov 2023 12:30-3:30pm
Lesson 8: 18 Oct 2023 12:30-3:30pm F2F The impact of culture on cross-cultural
Lesson 2: 22 Sep 2023 12:30-3:30pm F2F WRIT 1 review conflict resolution
Culture, national culture and its relevance to
cross-cultural management Lesson 9: 27 Oct 2023 12:30-3:30pm F2F Lesson 14: 15 Nov 2023 12:30-3:30pm F2F
Business activities affected and the impact Managing Strategic Alliance
Lesson 3: 25 Sep 2023 12:30-3:30pm
Globalisation of culture and cultural diversity Lesson 10: 1 Nov 2023 12:30-3:30pm F2F Lesson 15: 22 Nov 2023 12:30-3:30pm
WRIT 1 briefing Guest Lecture Governance
WRIT 2 briefing
Lesson 4: 29 Sep 2023 12:30-3:30pm F2F Lesson 16: 24 Nov 2023 12:30-3:30pm F2F
Cultural groups and levels / types of culture in Lesson 11 3 Nov 2023 12:30-3:30pm F2F WRIT 2 Review
organisations Cross-cultural management and the
emerging need for cultural
Lesson 5: 4 Oct 2023 12:30-3:30pm F2F agility and empathy
Cultural theories and how they apply (1)
Lesson 12: 8 Nov 2023 12:30-3:30pm F2F
Lesson 6: 11 Oct 2023 12:30-3:30pm F2F The impact of culture on cross-cultural
Cultural theories and how they apply (2) business negotiation: communication
breakdowns and barriers
L5 Cultural theories and how they
apply (1)
The Cultural web - Johnson and Scholes
The Interpretative view
‘The concept of the cultural web is a representation of the taken-for granted assumptions (or paradigm) of an
organisation and the behavioural manifestations of organisational culture’ (Johnson, Scholes and Whittington,
2005. p. 201).

• Stories – refers to past and present events and also people experiences inside and outside the company
• Rituals and routines - the everyday behaviour and actions of people that signal acceptable behaviour
• Symbols - the visual representations of the company- logos, office décor, formal or informal dress codes
• Organisational structure – defined by the structures outlined in the organisational chart, and the unwritten/
accepted lines of power and whose contributions are most valued
• Control systems - the ways the organisation is controlled by financial systems, quality systems, rewards, etc
• Power structures – Who has the greatest amount of influence on decisions, operations, and strategic
direction? Power in the company may be lie with one or two executives, or with a group of executives or a
department, or as opposed to a vertical structure, it may be more evenly distributed in a ‘flat’ organisational
structure.

Source: Johnson, Scholes and Whittington, 2005

Cultural Web - A-Z of business terminology
https://www.youtube.com/watch?v=qM0bVaY2bXE
The Cultural web - Johnson and Scholes
The Interpretative view

Source: Johnson and Scholes, 2005 p.203

Culture - Edgar H. Schein
It's All About Culture - What is Corporate Culture?
https://www.youtube.com/watch?v=sO2vNyBroco

9
Edgar Schein model
Edgar Schein model
Trompenaars typology - 4 types of organizational culture
Trompenaars typology - 4 types of organizational culture
Source: adapted from Luthans and Doh (2005. p179 - Chapter 6)

Variables Family Eiffel Tower Guided Missile Incubator

Relationship between Diffuse relationships to Specific role in mechanical Specific tasks in cybernetic Diffuse, spontaneous
organic whole to which one system of required system targeted upon relationships growing out
employees is bonded. interaction. shared objectives. of shared creative
process.

Attitudes toward Status is ascribed to parent Status is ascribed to Status is achieved by project Status is achieved by
figures who are close and superior roles, which are group members who individuals exemplifying
authority powerful. distant yet powerful. contribute to targeted goal. creativity and growth.

Ways of thinking and Intuitive, holistic, lateral, Logical, analytical, Problems centered, Process oriented, creative,
and error-correcting. vertical, and rationally professional, practical, cross- ad hoc, inspirational.
learning efficient. disciplinary.

Attitudes towards Family members Human resources Specialists and experts Co-creators
people
Ways of changing “Father” changes course Change rules and Shift aim as target moves. Improvise and attune
procedures.

Ways of motivating and Intrinsic satisfaction in Promote to greater Pay or credit for Participating in the
being loved and respected. position, larger role. performance and problems process of creating new
rewarding solved. realities.

Management style Management by subjectives Management by job Management by objectives Management by

description enthusiasm

Criticism and conflict Turn other cheeks, save Criticism is accusation of Constructive task-related Must improve creative
other’s face, do not lose irrationalism unless there only, then admit error fast idea, not negate it.
resolution power game. are procedures to and correct fast.
arbitrate conflicts.
Hofstede
Hofstede Cultural Framework | International Business| From A Business Professor#Hofstede
https://www.youtube.com/watch?v=TX0fUAhBAfc&t=401s
Cultures around the world are getting more and more interconnected and the business
world is becoming increasingly global. For managers this means that they should be able
to work with a large variety of people from different countries and cultural backgrounds.
However, since most people are so strongly immersed in their own culture, they often fail
to see how it affects their patterns of thinking or their behavior.

To overcome this, researchers suggest some kind of tools or mechanisms with which to
compare countries on cultural similarities and differences. A number of attempts have
been made to combine these cultural differences across borders (e.g. the GLOBE study,
Trompenaars’ cultural dimensions and Hall’s cultural dimensions). However, the most-
used and best-known framework for cultural differences is Geert Hofstede’s Cultural
Dimensions.

Over the years, his study led to six cultural dimensions on which countries can be
ranked: Power Distance, Individualism/Collectivism, Masculinity/Femininity, Uncertainty
Avoidance, Long-term/Short-term Orientation and Restraint/Indulgence. Each dimension will be
elaborated on below:
Power Distance
This dimension expresses the degree to which the less powerful members of a society
accept and expect that power is distributed unequally: beliefs about the appropriate
distribution of power in society. The fundamental issue here is how a society handles
inequalities among people. People in societies exhibiting a large degree of Power Distance
accept a hierarchical order in which everybody has a place and which needs no further
justification. In societies with low Power Distance, people strive to equalise the distribution
of power and demand justification for inequalities of power. China and Saudi Arabia are
countries with a high Power Distance index.
Individualism

The Individualism/Collectivism dimension is about the relative importance of

individual versus group interests. The high side of this dimension, called
individualism, can be defined as a preference for a loosely-knit social
framework in which individuals are expected to take care of only themselves
and their immediate families. Its opposite, collectivism, represents a
preference for a tightly-knit framework in society in which individuals can
expect their relatives or members of a particular in-group to look after them in
exchange for unquestioning loyalty. A society’s position on this dimension is
reflected in whether people’s self-image is defined in terms of “I” or “we.” The
USA is considered as one of the most individualistic countries in the world.
Masculinity

The Masculinity/Femininity dimension is about what values are considered

more important in a society. The Masculine side of this dimension represents
a preference in society for achievement, heroism, assertiveness and material
rewards for success. Society at large is more competitive. Its opposite,
femininity, stands for a preference for cooperation, modesty, caring for the
weak and quality of life. Society at large is more consensus-oriented. In the
business context Masculinity versus Femininity is sometimes also related to
as “tough versus tender” cultures. Japan is considered to be a very masculine
country, whereas Scandinavian countries such as Norway and Sweden are
considered highly feminine.
Uncertainty Avoidance
The Uncertainty Avoidance dimension expresses the degree to which the
members of a society feel uncomfortable with uncertainty and ambiguity. In
addition its impact on rule making is taken into account. The fundamental
issue here is how a society deals with the fact that the future can never be
known: should we try to control the future or just let it happen? Countries
exhibiting a high Uncertainty Avoidance maintain rigid codes of belief and
behaviour and are intolerant of unorthodox behaviour and ideas. These
countries often need many rules to constrain uncertainty. Countries with a low
Uncertainty Avoidance index maintain a more relaxed attitude in which
practice counts more than principles, tolerance for ambiguity is accepted and
the need for rules to constrain uncertainty is minimal. South American
countries such as Chile, Peru and Argentina are highly uncertainty avoiding
countries.
Time Orientation or Long Term Orientation
Every society has to maintain some links with its own past while dealing with the
challenges of the present and the future. Societies prioritize these two existential
goals differently. Countries that score low on this dimension, for example, prefer to
maintain time-honoured traditions and norms while viewing societal change with
suspicion. They are past and present oriented and value traditions and social
obligations. Countries with cultures that scores high on this dimension on the other
hand take a more pragmatic approach: they are future oriented and encourage thrift
and efforts in modern education as a way to prepare for the future. Asian countries
such as China and Japan are known for their long term orientation. Morocco is a
short term oriented country.
Indulgence
The Indulgence dimension is a relatively new dimension to the model. This
dimension is defined as the extent to which people try to control their desires
and impulses, based on the way they were raised. Relatively weak control is
called Indulgence and relatively strong control is called Restraint. Cultures
can, therefore, be described as Indulgent or Restrained. Indulgence stands
for a society that allows relatively free gratification of basic and natural human
drives related to enjoying life and having fun. Restraint stands for a society
that suppresses gratification of needs and regulates it by means of strict
social norms.
.
Produced by The Berkeley Electronic Press, 2011
Produced by The Berkeley Electronic Press, 2011
Produced by The Berkeley Electronic Press, 2011
Produced by The Berkeley Electronic Press, 2011
Produced by The Berkeley Electronic Press, 2011
Produced by The Berkeley Electronic Press, 2011
In summary

Produced by The Berkeley Electronic Press, 2011

 Hofstede and Waisfisz
Hofstede and Waisfisz - Organisational Culture Model

• Means oriented vs goal oriented - the extent to which goals (the ‘what’) or the means (the ‘how) of
conducting work tasks are prioritised. This may affect attitudes to taking risks or contributing discretionary
effort
• Internally driven vs externally driven - externally driven cultures will be more pragmatic, focusing
primarily on meeting the customer’s requirements, while internally driven cultures may exhibit stronger
values
• Loose vs tight control - tight control cultures run on a high level of discipline and control, while loose
control cultures tend towards more improvisation
• Local vs professional - the extent to which people identify with their immediate colleagues and conform
to the norms of this environment, or associate themselves with a wider group of people and practices
based on their role
• Open system vs closed system – the extent to which newcomers are accepted and the differences they
bring are welcomed
• Employee-oriented vs work-oriented – the extent to which the employee’s well-being is prioritised at the
expense of the task, or vice versa.
Source: https://www.culturesharp.com/CultureSharp-Chapter3.pdf
Hofstede and Waisfisz - 8 dimensions of organisational culture

Source: https://www.culturesharp.com/index.php/the-model/
Organizational Culture in summary

comprise the firm’s basic personality, or the essence of how its employees
communicate and carry out various processes required to achieve collective
goals. It is, nevertheless, an enigmatically complicated entity that keeps
surviving and evolving as a result of shifts in leadership, strategy, and several
other factors.

It can also be defined as the self-sustaining pattern of behaviour that

determines how things are done in an organization.
Organizational Culture in summary
comprise the firm’s basic personality, or the essence of how its employees
communicate and carry out various processes required to achieve collective goals. It is,
nevertheless, an enigmatically complicated entity that keeps surviving and evolving as a
result of shifts in leadership, strategy, and several other factors.

It can also be defined as the self-sustaining pattern of behaviour that determines how
things are done in an organization.

Culture is something that is difficult to define, yet everyone recognises it when they
experience it. Similar to how you can get a sense of someone's personality by looking at
them, you can determine the culture of an organization by looking at the arrangement
of furniture, what they brag about, what members wear, and so on.

Members of an organisation tend to pick up on the culture of that organisation sooner

than one can ever imagine.
Importance of having an Organizational Culture

1) Increases employee engagement levels

Employee engagement is defined as an employee's level of interest in, motivation for,
and connection to their work and company. And so, it's no surprise that high levels
of employee engagement are associated with winning business cultures.
2) Reflects your organization’s core values
Your company's values and beliefs, as well as the underlying assumptions held by
employees in your organization, form the foundation of your culture.
In a nutshell, your company's basic principles are brought to life through
your organisational culture.

3) Helps to increase employee satisfaction and productivity

Your organization’s culture has a bigger impact than you know, on employee satisfaction
and engagement. If your corporate culture values teamwork but a person prefers to
work alone, they are unlikely to be satisfied at your organisation.
While you won't be able to please everyone, you may attempt to create a
company culture that balances your employees' individual requirements while
also aligning with your organization's objectives. Thus, your staff will show their
appreciation by increasing their productivity and performance.

Hofstede 1998
Understanding and developing organizational culture

In most cases, leaders do have a strong awareness of their organization's culture.

However, they simply haven't made that sense conscious enough to be able to
learn from and lead within the culture effectively.

Diverse people within the same organisation may have different perspectives
about the company's culture. This is especially true when it comes to the
perspectives of the organization's top and bottom levels.

Here are four elements to understanding your company's culture, as well as the
criteria for determining whether it needs to change.
1) Recognize that your company does have a culture
Every firm, whether consciously or unintentionally created, has a culture. This
culture comprises
the set of values, goals, ethics, and expectations that guide and affect
employee conduct.

If you want to create a certain type of culture, it's not enough to just say so.
To build a roadmap to achieve those changes, you must first figure out what
present habits need to change. It is thus critical to first establish your current
corporate culture before attempting to change it.

2) Evaluate the Priorities of Your Business

It is crucial to analyze your company's priorities if you want to learn more
about your culture. These objectives and initiatives show what your
company values and what it does not ,both explicitly and implicitly.
3) Inquire about the culture of the company
The behaviours that are encouraged, tolerated, and discouraged in your
workplace make up your company culture. It's best to go straight to the source,
i.e., your employees. This will help you figure out what kind of people make up
your organization. Consider ways in which you can gather input on which
behaviours are now beneficial to the company and which should be avoided or
altered in order to elevate your firm.

4) Engage your teams wherever they work

Know your team strengths, gain actionable insights on employee engagement
drivers, and guide managers through meaningful 1:1 with the most holistic
employee engagement instrument.
Next lesson

L6 Cultural theories and how they apply (2)