Professional Documents
Culture Documents
across cultures
Received: 18th February, 2003
Fons Trompenaars
is founder of the Centre for International Business Studies, Amsterdam, the Netherlands,
Director of THT Consulting and Van Russum Professor at the Solvay Business School,
Brussels, Belgium.
Peter Woolliams
is Professor of International Business, Ashcroft International Business School, Anglia
University, UK; Visiting Research Fellow at THT Consulting; and Faculty Member of
Management Centre Europe, Brussels, Belgium.
ABSTRACT A new paradigm for the management of change is proposed. Most existing
frameworks tend to want to discard the current situation in favour of a new corporate
culture, thus discarding the best of what already exists. The authors argue that changing an
organisation’s culture is a contradiction in terms. This is because cultures act to preserve
themselves and to protect their own living existence. So rather than seeing change as a
‘thing’ opposing continuity, it is considered as a difference. The authors believe organisations
seek change to preserve the company, profitability, market share and core competence. The
reason for changing certain aspects is to avoid changing in other respects. In short,
organisations must reconcile change with continuity in order to preserve an evolving identity.
The new methodology is centred on diagnosing the tensions between the current and ideal
corporate culture. These tensions manifest themselves as a series of dilemmas. The new
approach for the management of change is to reconcile these dilemmas. Compromise alone is
insufficient. The authors demonstrate with examples and offer a new conceptual framework
on how seemingly opposing values deriving from the tensions arising from change
imperatives can be integrated to achieve a ‘win-win’ outcome.
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across the world from a large number of methodology is neither simply throwing
diverse organisations. The authors believe away the past nor seeking to change a
that changing an organisation’s culture is well-embedded, resistant, self-preserving
a contradiction in terms. This is because corporate culture.
cultures act to preserve themselves and to
protect their own living existence. So
rather than seeing change as a ‘thing’ CONTEXT AND BACKGROUND
opposing continuity, the authors see it as As Senge (2001) noted, the word
a difference. The authors believe ‘change’ means several, often
organisations seek change to preserve the contradictory, things. Sometimes it
company, profitability, market share and refers to the external world of
core competence. The reason for technology, customers, competitors and
changing certain aspects is to avoid such like. Sometimes it refers to
changing in other respects. In short, internal changes such as practices, styles
organisations must reconcile change with and strategies. The authors will refer to
continuity in order to preserve an change as the changes in shared
evolving identity. assumptions, values and practices of
Thus the authors offer a new approach organisational actors as they are
to change. The overall core framework stimulated by changes in the
requires an assessment of the differences environment. Although executives often
between the current corporate culture and intervene because the pace of internal
some envisaged ‘ideal’ future corporate change is not keeping up with that of
culture. But established models for change the external world, it will not be
then develop a change strategy based on assumed that all change needs to be
transforming the organisation from the led from the top down. The authors
current to an ideal culture. In contrast, strongly believe that change processes
this approach considers the contrast where leaders are not involved are like
between these extremes. All organisations up-hill skiing: it is possible, but one
need stability and change, tradition and needs to be a very good athlete.
innovation, public and private interest, Because the focus is on cultural
planning and laissez-faire, order and change, the role of the leader is crucial
freedom, growth and decay. These are the because he or she is symbolising the
opposites that leaders wrestle with and put culture and is the main creator of
tensions into their world, sharpen their culture. The authors believe, like Peter
sensitivities and increase their Senge, however, that cultural change is
self-awareness. The problem of changing not simply the responsibility of the
from the ‘current’ to the ‘ideal’ situation ‘Hero-CEO’. It is striking how the
cannot be ‘solved’ in the sense of being Anglo-Saxon model of change has
eliminated but can be wisely transcended. dominated the world of change
Successful leaders get surges of energy management. It is based too often on
from the fusing of these opposites. a task-oriented culture and the idea
Thus these differences that generate that traditions need to be forgotten as
tensions are the source of a series of soon as possible. What is the
dilemmas. Managing change in this alternative? The approach needs to be
methodology is therefore about amended from a ‘what’ and a ‘why’
reconciling these dilemmas. In this way, process into a ‘through’ process which
the limitations of current change models takes the existing culture to be
can be overcome because this reconciled with the new culture.
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A new framework for managing change across cultures
This culture is like a leaderless team. This This task-oriented culture has a low degree of
person-oriented culture is characterised by a centralisation and a high degree of
low degree of both centralisation and formalisation. This rational culture is, in its
formalisation. In this culture, the ideal type, task and project oriented. ‘Getting
individualisation of all related individuals is one the job done’ with ‘the right man in the right
of the most important features. The place’ are favourite expressions. Organisational
organisation exists only to serve the needs of its relationships are very results oriented, based on
members. rational/instrumental considerations and limited
The organisation has no intrinsic values to specific functional aspects of the persons
beyond these goals. The organisation is an involved.
instrument for the specific needs of the Achievement and effectiveness are weighed
individuals in the organisation. Responsibilities above the demands of authority, procedures or
and tasks within this type of organisation are people. Authority and responsibility are placed
assigned primarily according to the member’s where the qualifications lie, and they may shift
own preference and needs. Structure is loose rapidly as the nature of the [task] changes.
and flexible control takes place through Everything in the Guided Missile culture is
persuasion and mutual concern for the needs subordinated to an all-encompassing goal.
and values of other members. The management of the organisation is
Its main characteristics are: predominantly seen as a continuous process of
— person oriented solving problems successfully. The manager is a
— power of the individual team leader, the commander of a commando
— self-realisation unit, in whose hands lie absolute authority. This
— commitment to oneself [task] oriented culture, because of its flexibility
— professional recognition and dynamism, is highly adaptive but at the
same time is difficult to manage. Decentralised
control and management contribute to the
shortness of channels of communication. The
task-oriented culture is designed for a rapid
reaction to extreme changes. Therefore, matrix
and project types of organisations are favourite
designs for the Guided Missile.
Its main characteristics are:
— task orientation
— power of knowledge/expertise
— commitment to (tasks)
— management by objectives
— pay for performance
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Current Ideal
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A new framework for managing change across cultures
Figure 1 The
change process Envisioned future
Current
organisational
culture
Implementing
new design and
define actions
Core values
Key purpose
Leadership
competence
Ideal
organisational
culture
Reconciliation Business dilemmas
process
have been collected, but they can be easily be challenged. In an ideal world,
clustered into a number of recurring the authors would go back and
dilemmas. The authors are therefore able challenge the implicit values behind
to review these aspects of the change each of these explicit constructs in
process based on what they have found order to check whether they were still
with actual clients. Each of the model the best way of delivering and
change scenarios discussed is an attempt reinforcing those values. When the
to generalise from real change processes products of culture become ‘sacred
from these clients and avoid issues of cows’, they can inhibit change. This is
confidence and ethics. especially important when importing
In each of the separate descriptions, sacred cows to new cultures.
particular steps are highlighted to provide As the culture of an organisation is
a good sense of how this works in often ‘owned’ and lived at the highest
consulting practice. Figure 1 is a level, managers can feel they have little
representation of the process, but the ability to influence or change the real
entry point one chooses is culturally culture of the organisation in a material
dependent. way without some top-down action.
In some respects, the pervasive These extremes might be summarised
nature of implicit culture can make it by saying:
difficult to change. Even at the explicit
level, traditional practices become ‘On the one hand, we need to change the
enshrined as ‘sacred cows’ that cannot corporate culture to be convergent with our
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new business mission. Or, on the other DEPARTURE FROM THE GUIDED
hand, to develop a new business mission that MISSILE
is compatible with our existing corporate The challenge is obviously what to do
culture.’ when the surrounding culture is not
compatible with this type of change
In their research and work with clients, logic. The authors remember an
the authors have found that the change American manager of Eastman Kodak
process of an organisation is the essence of who had launched a very successful
a leader’s raison d’être (discussed in change programme in Rochester, New
Trompenaars and Hampden-Turner, York, and after launching the formula in
2002). In the change process, a leader Europe, he cried on their shoulders. In
essentially is facing dilemmas he or she great despair, he said:
needs to reconcile in the areas of people,
time and nature. Successful leaders do not
change from one horn of the dilemma to ‘These French and Germans are unbelievably
inflexible. I have done a whole round in
its opposite horn. They are not trying to
Europe and within each of the countries
compromise between extremes of value
many seemed very much supporting our
orientations, from extreme individualism vision. Okay, the Germans had some
to teamwork, from universal rules to problems with the process. They wanted to
learning exceptions, from performance know all details of the procedures and how
expectations to the respect for seniority. they were connected to the envisioned
The leader with success tries to integrate change. The French, in turn, were so much
seemingly opposing orientations into a worried about the unions and how to keep
process that changes the qualities of each their people motivated. But good, we as
of the orientations. internal consultants and management have
left with the idea that we agreed on the
approach. When I came back some three
TYPICAL DILEMMA ORIGINATING months later to check how the
FROM THE QUEST FOR THE GUIDED implementation was going, I noticed in
France and Germany nothing had started
MISSILE
yet. Nothing! What a disappointment!’
It is striking how the Anglo-Saxon
model of change has dominated the
world of change management. A Anyone with a little sensitivity for
company formulates a set of new goals, cross-cultural affairs would have predicted
preferably in the context of a clear this.
vision, hires some managers for a The authors collected and analysed
marginal $300,000 a year (excluding the some 4,000 examples of such critical
bonus obviously) and dumps the ones incidents. The principal findings are
that do not believe in its clearly defined summarised in Table 3 in terms of the
goals. In this Guided Missile-driven frequently repeating dilemmas for
model, the organisation is interpreted as differing scenarios.
a task-oriented instrument at the disposal
of shareholders (remember, people who
never share) and where managers have THE NEW METHODOLOGY IN
an MBA and employees are called PRACTICE
human resources. With that name Irrespective of where one chooses to
brainwashing, it hurts less when one is start, the authors distinguish the
kicked out: ‘Gee, I was just a resource.’ following steps for a change intervention:
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A new framework for managing change across cultures
Typical dilemmas
Typical dilemmas
Typical dilemmas
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Trompenaars and Woolliams
Typical dilemmas
Typical dilemmas
Typical dilemmas
370 Journal of Change Management Vol. 3, 4, 361– 375 䉷 Henry Stewart Publications 1469-7017 (2003)
A new framework for managing change across cultures
Typical dilemmas
Typical dilemmas
Typical dilemmas
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Trompenaars and Woolliams
envisioned future and key purpose dilemmas their leader(s) are facing in
and between current and ideal business. So an Incubator culture is
corporate cultures often the result of a leader who strives
6. reconciling four or five major business for a core value of entrepreneurship
dilemmas and innovation while having an
7. diagnosing the current leadership envisioned future of becoming the
competence to reconcile major value most path-breaking organisation in the
dilemmas field of cross-cultural management
8. implementing new design and thinking and consulting. A Guided
defining concrete action points to be Missile culture is a much better-suited
taken as defined by the change agents. context for leaders who want to help
clients gain the highest return on their
The fifth step is crucial because it investments in the financial service
integrates business and cultural sector while holding a core value of
challenges. The authors do not believe integrity and transparency.
that a change process can be genuine But business environments and
if strategic business issues and cultural challenges are changing continuously.
values are disconnected. Unfortunately, Once an organisational culture has
this is often the case in change established itself, it creates new
practice. But the key proposition is dilemmas (or its changing environment
that, from the inputs of the envisioned will) on a higher level. For example, a
future, core values and key purpose, dominant Incubator culture can create
and between current and ideal a business environment where many
corporate cultures, all the ingredients innovative ideas are born but where
are available to stimulate management the management and commercialisation
to think about what basic dilemmas of these fails on aspects of a more
they need to resolve from their actual market-sensitive Guided Missile culture.
business to the desired one. Conversely, a dominant Guided Missile
The dilemmas are best phrased as culture can lead to an environment
‘on the one hand . . . on the other . . .’. where employees are so much guided
Participants are often invited to phrase by their market price that it needs a
the tensions they feel in actual business Family culture to create a necessary
life and then relate them to the longer-term vision and commitment.
tensions they feel between current and By asking leaders of organisations to
ideal cultures. So, for example, as an phrase the major tensions they feel as ‘on
actual business tension ‘I feel that our the one hand . . . on the other . . .’, the
organization is so much focused on authors linguistically programme them to
next quarter results, we don’t have see both sides of the equation. In order
enough time to be creative and come to facilitate this balance in the approach,
up with our next generation of as well as the link to business, a number
innovations’. This would be consistent of pro-formas are used to elicit the basic
with the scenario in which the current description of their current and ideal
corporate culture is a Guided Missile organisational culture profiles,
and the dominant espoused profile is components they want to retain and
an Incubator. discard, as in the basic framework shown
It is often found that a certain in Table 4.
organisational culture has developed It is ensured that the various lists
because the context best suits the main comprise those that are most crucial to
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On the one hand, we want more and/or keep the On the other hand, we need to develop the following
following values and behaviour of our current values and behaviour for supporting our envisioned
organisation: future and core values:
1. 1.
2. 2.
3. 3.
4. 4.
5. 5.
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Figure 2 The
basic dilemma
1/10
Value/behaviour
taken too far
I. In order to reconcile the first dilemma we need to be taking the following steps in the following areas of
attention:
The Market (think about what you could do in Structure and design (consider what could be
areas of customers, time-to-market response, done in areas of the design of your
flow of information from and to customers) organisation, both formally and informally, basic
flows of materials and information)
Human Resources (consider areas such as Strategy and Envisioned Future (review vision of
management development, staff planning, leaders, mission statements, goals, objectives,
appraisal and rewards) business plans and the like)
Business Systems (what can you do in areas of Core Values (think about action points that
IT systems, knowledge management, could enhance the clarity of values, how to
manufacturing information, quality systems etc) better translate them into behaviour and action
etc)
II. Who is taking action and carries responsibility III. How to monitor the change process (consider
(consider for each of the possible action points who is milestones and qualitative and quantitative measures
responsible for the outcome) of genuine change)
1. 1.
2. 2.
3. 3.
4. 4.
5. 5.
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behaviour by another. Be aware that the proactively to ‘fill the gaps’ in their
spiral starts at the side of the current enquiry. The extensive data from these
value/behaviour axis and goes through multiple sources serve to provide
the aspired value to an end somewhere triangulation to the evidence. The
at 10/10, where both values are authors can claim high reliability from
integrated on a higher reconciled state. the volume quantitative
Once this position has been achieved questionnaire-based studies and high
conceptually, it is time for the final validity from in-depth interviewing,
stages. consulting and coaching.
Once the leader or groups of relevant
leaders are in agreement on the dilemmas
that need to be reconciled, the action CONCLUSIONS
points to be taken evolve naturally. Very Through the above methodology, the
often, it is crucial to know the typical authors have helped many client
levers that need to be pulled in an organisations to reconcile such dilemmas.
organisation to increase the effective Of course, as soon as one is removed,
actions that need to be taken. This is another pops up. But in today’s rapidly
very often dependent on the type of changing ever oligopolistic world, it is the
organisational culture that the very essence of organisations. The aim has
organisation currently holds. In been to raise the debate for a new logic
family-oriented cultures, the function of for the management of change.
HR often plays a crucial role, while
marketing and finance dominate in the
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