Name lakshay dhamija

Enrol no-03019101717
Course-bbam6a
Subject-IBM by ms sonal ahuja

Explain with appropriate examples the cultural differences between India and USA. What
strategy should an HR manager follow in these 2 regions

Answer:

The usa and india are such vast and populous countries that drawing comparisons between
the two can put you in danger of making sweeping generalisations. A young, ambitious,
educated tech entrepreneur from New Delhi may have much in common with his or her
equivalent in Silicon Valley – certainly a lot more than a coconut farmer from Kerala would
with a factory worker from Detroit. There are, however, enough deep-seated traits in each
culture that make comparison a useful tool for smoothing the path of business.

1.The caste system and status

Although discrimination on the basis of caste is illegal in india, the ancient Hindu system
continues to prosper in society. Social mobility may be improving but parents still work
towards securing suitable marriages for their children. Arranged marriages are normal.
Marrying outside one’s caste is frowned upon, although the lines are far more blurred now in
business, education and friendships. The concept of hierarchy, though, is strong in business.
For example, Indians do not like to do jobs that they consider beneath them, or more suited to
a lower caste, whereas in the USA, it is completely normal to work as a waiter while studying
for a PhD, or for the chief executive to socialise with the factory floor in the interests of
bonding.

Both cultures enjoy what others may seem as over-inflated job titles; to an Indian, a fancy
title brings status to their family. To an American, it signifies personal success.

2. Family ties

Families in India are extremely close-knit. Young people tend to stay in the family home until
they marry. The constant approval of the matriarch is vital, whether it’s a job, an outfit or a
new partner. Parents will exert influence over their children throughout their lives. This
closeness is often reflected in business, where hierarchies are strict and nepotism rife. In
the USA, families tend to be much more widely dispersed. It is assumed that young people
will leave home when they go to university and be financially independent when they start
work. The family influence fades as young people achieve independence.

3. Goals and hierarchies

Americans tend to be highly goal-orientated, working to achieve profit as fast as possible.
Usually, this is achieved by efficient teamwork and by delegating responsibility, with each
individual responsible for their own decisions and actions. In India, the emphasis is more on
the hierarchy. Individuals lower down the hierarchy are not empowered to make decisions
and it could be argued that those further up the system are likely to make decisions with their
own interests in mind. Americans tend to regard the Indian system as inefficient.

4. Respect for elders

In India, the head of the family, or company makes decisions. Older people are respected and
deferred to, and addressed in a formal manner if they are not family members. Indians are
brought up to be dependent on the family, or group, for direction, rather than to think
independently. The culture in the US is almost the opposite; individuals are expected to fend
for themselves, and face the consequences of their actions. Older people are not venerated
because of their age, but for their achievements. Structures in business are flat and it is
normal to be on first name terms with one’s superiors. Americans also question and
contradict their superiors openly, within reason, while in India, this would be seen as
disrespectful and rude.

5. Time

Americans tend to be impatient. Life is lived in the fast lane, full of conveniences. Deadlines
in business are tight and are expected to be met. People will work long hours to achieve this
and there is little tolerance for delay. In India, life moves at a slower pace, despite the
apparently frantic buzz of the big cities. Time is viewed more as circular than linear and
relationships are more important than deadlines. Workers in a team may not even be aware of
a deadline on a project, as this is considered the responsibility of their supervisor.

Misunderstandings regarding time and deadlines can be overcome; Americans can be very

clear about deadlines and communicate their priorities better. Indians can learn to understand
different priorities and to respect the American need for rigid schedules.

6. Business relationships

To Indians, relationship building is important. Having an established relationship helps to put

the other person in context and smooths the path to clearer communication. In the USA,
business is much more task-focused. Small talk is considered a waste of time, which Indians
may find rude. Failure to understand either culture creates a risk of misunderstanding; Indians
may find Americans dismissive, or curt, while Americans consider Indian colleagues to be
time-wasters, or poor communicators.

7. Spirituality

Indian culture is steeped in religion and Indians are used to being introspective. Openly
bringing one’s beliefs and spiritual values into a business context is not uncommon. Many
Americans are religious (although far fewer as a percentage of the population than in India)
but bringing one’s faith to the workplace would be seen as imposing it on others. Americans,
very generally speaking, tend to be more materialistic than spiritual.

8. Face
Indians have a strong sense of face and will use indirect communication to preserve this.
Saying an outright ‘no’ to someone is considered rude, as it causes them to lose face; there’s
a tendency to say whatever the other person may want to hear. Criticising an individual in
front of their co-workers is taboo and will certainly cause them to lose face. Feedback should
be delivered in private instead. In the USA, the concept is different. Speech is much more
direct and in high-pressure work environments, shouting at subordinates is not unheard of.
Conflict is seen as constructive. Feedback is direct and critical, while in India, negative
feedback needs to be delivered more as constructive criticism

Select a cross-culturally competent team leader Leading a multicultural team successfully

requires competencies that go well beyond the technical knowledge and the leadership
qualities usually required. To be effective, leaders of multicultural teams need:
 A high level of cultural flexibility  Robust ambiguity tolerance  Low levels of
ethnocentrism
These intercultural competencies are best learned through cross-cultural training combined
with personal work experience (e.g., being a member of a diverse team, working in an
unfamiliar environment, having a mentor with a different cultural background).
Select the team members Next, a team leader who already has the necessary cross-cultural
proficiency selects the members based on specific criteria related to the team’s/project’s
target population. These selection criteria need to be clearly defined and transparently
communicated to all team members.
Make the kick-off phase personal Start any project or team kick-off phase with a team event
that gives members an opportunity to get to know each other personally, such as a shared
meal. And if for some reason the team can’t meet in person, at the very least a friendly
videoconference allowing for small talk is recommended.
Take the time to build relationships and trust Personal relationships and trust are a central
element of doing business in many cultures around the globe. Other cultures (e.g., the
Germans) prefer to approach negotiations and projects head-on without much time given to
relationship building. However, unless you are German and manage a team of Germans
(especially men), investing time to build trusting relationships is never wrong.
Learn about differences While team members might have similar education, professional
experience, and work in the same industry, there are still considerable differences to be found
between team members. It is those differences (e.g., career path, education, culture, hobbies,
social background) that will lead to creative and innovative ideas, and eventually will
influence the quality of team performance.
For example, a large American telecom company increased sales and retention of customers
calling to Brazil by listening to its South American team member. She explained that
Brazilians like to take their time talking to friends and family back home. As a result, the
company lowered the call rate, but still increased its profit because of the longer call times.

Communicate Choosing adequate communication channels and cooperating consistently are

essential for local and virtual teams. Which tools fit the team’s framework and work
methods? As we all know, communicating clearly and without conflict is challenging even in
our mother tongue. The difficulties multiply exponentially when different vocabularies are at
play such as in the case of interdisciplinary and/or international teams. Therefore, it becomes
even more important to apply the golden rules of communication:
 Communicate with a positive attitude  Be clear about who you are addressing  Be
descriptive  Avoid making value judgments  Rephrase what you heard  Give examples
 Speak only for yourself  Suggest changes that can be linked to behaviors
By working hard to create a team culture, communication and collaboration just might
become a pleasure and an inspiration instead of hard work.
Set and respect deadlines It is a well-known fact that time does not mean the same to
everybody; after all, who does not get annoyed by chronic latecomers? Time can be a
sensitive issue personally and culturally. To get everybody on the same page, communicate
the rules about time keeping and deadlines clearly. This is especially important if some of the
team members are not working in the same time zone and the common work hours are
limited. In this scenario, team members have to be even more flexible, as returning a phone
call might have to wait for the next day.
Be alert to signs of trouble Inconsistencies and delays might signal issues with team
collaboration. Don’t procrastinate when you become aware of deadlines not being met or
people avoiding direct contact. Helpful interventions to prevent trouble may include personal
talks, social gatherings, reminders of milestones achieved, or teambuilding events. When
considering any intervention, cultural intelligence and sensitivity are of utmost importance to
achieve the goal of better collaboration.
Assess the team’s work Of course, feedback about the team’s progress needs to be given. But
a majority of cultures consider public critique offensive and improper, and only allow for
indirect or private face-to-face critique. To work together successfully, it, thus, is necessary
to tailor any critique to the member’s cultural background. It might be helpful to call upon a
(cultural) facilitator/mediator if the issue involves more than one team member, as that is
usually a signal of a bigger issue.