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A Critical Review of Understanding Hofstedes Theory to Motivate Cross Cultural

Employees A Sampling of Indonesia

By Cicilia Pratama /016201400033
There are many companies in Indonesia are threatened with bankruptcy so the company
decided to bring in expatriate to rescue the company. Expatriates help companies in managing
the company. The underlying cultural differences make the theory of Hofstede is important to
learn to understand the characteristics of the employees in Muslim Indonesia, because
Indonesia's Muslim religion of inner. A good understanding of Hofstede's theory would have
made expatriate understands how to cope with and motivate Muslim employees to improve
performance and provide a good contribution for the company.

A basic problem in this article is how to improve the performance (motivating) Indonesia
employees. Pattern cultural patterns proposed by Hofstede is a theoretical perspective based
on his studies on the differences of orientation values related to the job. Hofstede has conducted
research over 88 thousand workers in the branches of multinational companies in 66 countries.
From the results of the research there were two fundamental differences between the
United States and Indonesia in providing reward to employees. The difference is based on the
type of reward, system and criteria. The United States gives a performance based reward such as
individual effort and contribution. According to Hofstede's analysis, Indonesia has a high level
of power distance. High levels of power distance gives the impact of unequal distribution of
power, inequality can occur in areas of wealth, prestige and power. Big nothingness reward
obtained a hierarchical structure based on indications from the non performance criteria such as
status, positions, age and seniority. There is a high respect for authority and loyalty based on
hierarchical structure.
Indonesia also has a high level of Uncertainty avoidance demonstrating the level of community
tolerance of Indonesia's low against the uncertainty that could hinder the corporate world.

Individuals with a high level of uncertainty are more difficult to accept the granting of
performance based reward because the votes will threaten future income and hamper to get the
reward. A combination of grant of reward based on UA and PD is done to avoid and reduce the
level of certainty of evasion is high.

The advantages of this article provide a good solution because it is supported by the results of
research that can be proven true. Structure and description of the article is well-organized and
presents useful information to learn. The importance of learning culture to advance the
company's Indonesia. Lack of this article difficult to understand because there are many words
that are difficult to understand and should be read over and over again.

As a solution to improve the performance of Muslim employees in Indonesia is with education
which directs a mindset oriented to best performance. The granting of the non performancebased reward will have a negative impact because of the small size of the reward given against a
person based on the person's position in the company. The presence of injustice when one is
given a high salary because it has a relationship with the leader of the company. The granting of
performance-based reward will motivate someone to contribute my best to the company so that
way it assessed more effectively to improve the performance of employees in Indonesia.