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LD7168
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Abstract
The research’s the primary aim was to compare the people management practices used in
international project teams in the UK and Finland. The study had three core objectives: critically
reviewing and reflecting on key theories, models and tools associated with individuals, groups,
teams, leadership, and management within an international project-orientated context. By
analysing previous literature, it was discovered that the UK and Finland have several comparable
people management practices concerning international project teams. They both prioritize
teamwork, efficient communication, and leadership. However, there are noticeable differences
between these two countries concerning their tactics for navigating cultural diversity,
communication styles, and leadership methods. For instance, the UK tends to adopt an
individualistic approach with a hierarchical structure while Finland is more egalitarian with a
strong emphasis on consensus-building and participative decision-making. In managing people
within international project teams, being self-aware along with recognizing psychological, social
as well as cultural factors is essential. The analysis indicates that many times cultural differences
lead to disputes among the members concerning communication or interpretations; ultimately
affecting the team's overall performance. It is suggested that organizations devote resources to
fostering cross-cultural education and communication skills enhancement measures to enhance
team dynamics, trust, and associated success levels for global projects. The findings make a
valuable contribution to existing literature on people management approaches in such groups, as
well as provides practical recommendations for effectively leading varied project teams.
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Table of Contents
Abstract............................................................................................................................................2
I. Introduction..................................................................................................................................4
Background information..............................................................................................................4
Purpose of the assignment...........................................................................................................4
II. Key Theories, Models, and Tools for People Management in International Project Teams......5
III. Self-Awareness and Sensitivity to Psychological, Social, and Cultural Factors in International
Project Teams..................................................................................................................................8
Overview of Self-awareness and Sensitivity in Project Teams...................................................8
Analysis of the impact of these factors on project teams within an international focus.............9
Comparison of the UK and Finland...........................................................................................10
IV. Evaluation of Options to Improve Teamwork in International Projects (Case of UK and
Finland)..........................................................................................................................................11
Overview of options available to improve teamwork in international projects.........................11
Critical evaluation of these options...........................................................................................12
Recommendation of options......................................................................................................12
Evaluation Case Examples of Projects in the UK and Finland.................................................13
VI. Conclusion...............................................................................................................................16
References......................................................................................................................................17
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I. Introduction
Background information
As businesses operate increasingly globally, effective people management has grown
particularly important. Managing project teams across borders and cultures requires
comprehensively comprehending cultural norms, leadership styles, and communication practices.
This task will compare people management within international project teams based in the UK
and Finland. The United Kingdom's society is more individualistic than Finland's collectivist
culture. To achieve desirable outcomes during projects undertaken by international teams, it is
vital to understand how these cultural variations affect team dynamics and leadership strategies
(Van Der Lippe & Lippényi, 2020). This assignment will delve deeper into the influence of self-
awareness and sensitivity to psychological, social, and cultural factors on the behaviour of both
one and others in project teams with an international focus. It aims to evaluate various strategies
for improving teamwork in projects by identifying ways to enhance team dynamics, build trust,
and ultimately improve success rates within international projects.
Purpose of the assignment
This project aims to compare people management practices in the UK and Finland,
focusing on their effectiveness in international project teams. Given the growing trend of
globalization, managers strive to lead multicultural teams with different backgrounds and work
ethics. The resulting clashes can be avoided by incorporating an understanding of cultural
differences into team management strategy. Thus, by analysing and evaluating contrasting
approaches these countries take, this assignment provides practical recommendations for
fostering better team dynamics.
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II. Key Theories, Models, and Tools for People Management in
International Project Teams
Hofstede's and Trompenaars Models
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within international project teams, these models assist project managers in navigating and
understanding cross-cultural differences.
While the UK tends to prioritize individualism in managing international project teams,
Finland is characterized by a lower power distance score, reflecting a more egalitarian outlook
towards power distribution in society. Boxall and Purcell (2022) noted that this might lead to
differences in how team members prioritize their goals and interests within group collaboration.
Effective people management in international project teams demands self-awareness and
sensitivity to psychological, social, and cultural factors. Project managers must possess
emotional intelligence, cultural competence, and intercultural communication skills to navigate
the impact of divergent cultural values on collaboration between team members from diverse
countries such as the UK and Finland. While a relatively homogenous population is one of the
strengths of Finland, this has attracted criticism for its alleged lack of diversity and inclusiveness
in the workplace, according to Boniotti (2023).
Tuckman's Team Development Model
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development is crucial since the forming stage may involve team members establishing roles and
responsibilities while navigating communication breakdowns arising from cultural disparities. To
create a more cohesive and productive team, project managers can address anticipated
challenges, states Van Der Lippe and Lippényi (2020). The storming stage involves conflicts and
disagreements as team members compete for influence and leadership roles, which is particularly
difficult in international project teams. In cases like the UK and Finland where cultural
differences such as communication styles or attitudes towards authority may intensify this stage
further. The challenges at hand require that project managers take charge by creating an
atmosphere where their team members feel empowered to communicate candidly while keeping
an open mind. Such measures can nip disagreements and pave the way for increased
collaboration and productivity.
The GLOBE Leadership Model
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Saeed et al. (2019), among others. In the UK, the model could predict leadership behaviour
accurately, while in Finland, it aided in comprehending leadership styles. The diversity of
settings wherein the model has been applied further affirms its effectiveness - including
multinational corporations (Song et al., 2019; Ye et al., 2019), higher education institutions
(Thompson, 2021), and public organizations (Riccucci, 2021). In examining the GLOBE
Leadership Model, it is evident that this tool can facilitate cross-cultural understanding and
promote competent leadership practices in international project teams. However, given its
tendency to primarily focus on national cultural differences, there are limitations to its
applicability in capturing the diversity of cultural identities within such teams (Van Der Lippe
and Lippényi, 2020).
Furthermore, Zaim et al.'s research findings suggest that even with the use of this model
as a guide for leaders' behaviours and attitudes, there is still a need for comprehensive training
programs to enhance intercultural communication skills. According to the most recent study
(2021), there is a potential limitation in the model that may result in an excessive focus on
leadership behaviour as a crucial factor influencing team performance while ignoring other
essential factors. These neglected aspects include team composition and task characteristics.
Various options to improve teamwork in international projects, such as cross-cultural
training, team-building activities, and conflict-resolution strategies (Daft, 2022). Cross-cultural
training helps project team members develop cultural competence and intercultural
communication skills while team-building activities help build trust and foster collaboration.
Conflict resolution strategies can help project teams effectively manage and resolve conflicts
arising from cultural differences. Research has shown that cross-cultural competencies and
intercultural communication skills are essential for effective people management in international
project teams (Díaz-Fernández, González-Rodríguez and Simonetti, 2020). The UK and Finland
have different cultural dimensions, as reflected in Hofstede's cultural dimensions framework. For
example, the UK is a low power distance society, where hierarchy is not emphasized, and
individuals value autonomy and independence (Lee, 2021). In contrast, Finland is a high-power
distance society where hierarchy is respected, and individuals value social harmony and
consensus (Hawkins, 2021). These cultural differences can impact project teams' leadership
styles, decision-making, and communication practices.
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Given the complexity of international project teams, effective people management
requires an in-depth understanding of the psychological factors that influence behaviour. As
research has shown, critical for managing diversity and inclusion in such teams are emotional
intelligence, cultural competence, and intercultural sensitivity (Jensen, Potočnik & Chaudhry,
2020). The UK currently focuses on developing workplace emotional intelligence and soft skills
to enhance team effectiveness (Ellis, 2021). Finland emphasizes promoting work-life balance
and well-being, which can affect team dynamics and motivation (Le Blanc, González-Romá and
Wang, 2021). To enhance team dynamics, trust, and overall success in international project
teams, it is recommended to invest in cross-cultural training for team members, implement
diversity and inclusion initiatives, and foster intercultural communication and collaboration.
According to Bashar, Hasin and Jahangir (2022), these recommendations can aid project
managers in creating more efficient and inclusive project teams.
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III. Self-Awareness and Sensitivity to Psychological, Social, and
Cultural Factors in International Project Teams
Overview of Self-awareness and Sensitivity in Project Teams
The efficacy of people management in international project teams relies heavily on self-
awareness and sensitivity to psychological, social, and cultural factors. According to Díaz-
Fernández, González-Rodríguez, and Simonetti (2020), emotional intelligence plays a significant
role in managing cross-cultural teams as it aids team members in comprehending the emotions of
others and responding appropriately. For successful collaboration within international project
teams, being culturally competent is also crucial; this involves the ability to conform to different
cultural contexts (Digirolamo and Tkach, 2019). Effective intercultural communication skills are
crucial for project managers to prevent misunderstandings in a cross-cultural team, as noted by
Ellis (2021). Despite sharing individualistic cultural traits, there are distinctive differences in
how the UK and Finland incorporate social and cultural factors into their project management.
With its diverse workforce, the UK emphasizes inclusiveness to support all employees within the
organization, according to Hawkins (2021). Conversely, Finland's relatively homogenous
population may pose challenges in managing a diverse team of projects (Homan et al., 2020).
According to the argument presented by Jensen, Potočnik, and Chaudhry (2020), the Finnish
culture's emphasis on egalitarianism can potentially hinder effective communication due to a
reluctance to recognize or address cultural disparities.
Cross-cultural training and team-building activities are two effective strategies that
project managers in the UK, and Finland can use to overcome challenges in international project
teams, argue Psychogios and Prouska (2019). According to them, cross-cultural training helps
team members develop intercultural competence, improving communication and collaboration.
Le Blanc, González-Romá, and Wang (2021) also suggest that team-building activities create a
sense of unity and trust among team members from diverse cultural backgrounds. Despite the
potential benefits of implementing certain management strategies, it is important to acknowledge
that such approaches may not yield identical results for all project teams. In their research article,
Pellegrini et al. (2020) assert that project managers must align their methodology to each
individual team's specific demands and attributes. Additionally, Lee (2021) suggests that
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adopting a flexible leadership framework has proven advantageous for fostering collaboration in
diverse international projects.
Analysis of the impact of these factors on project teams within an international focus
The behaviour of self and others in project teams within an international focus can
potentially encounter various challenges impacted by psychological, social, and cultural factors
such as miscommunication, misunderstandings, and conflict. In the UK, prioritizing personal
goals over team goals due to their cultural value of individualism may create conflicts within
international project teams. Furthermore, indirect communication styles in the UK can result in
ambiguity and lack of clarity regarding project goals (Rasool et al., 2019). While collectivism is
a cultural value in Finland, it can create conflicts with individualistic team members from other
countries due to its focus on team goals over individual goals. Moreover, direct, straightforward
communication styles in Finland may lead to misunderstandings with team members accustomed
to indirect communication (Song et al., 2019). Given the international scope of project teams,
self-awareness and sensitivity to psychological, social, and cultural factors are crucial for
building effective teams. As organizations worldwide continue to embrace diversity and
inclusion, emotional intelligence is increasingly relevant in project management practices within
the UK (Stewart and Brown, 2019). Similarly, Finland's transformation into a multicultural and
international hub has increased the demand for intercultural communication skills.
In international projects, various options can improve teamwork, including cross-cultural
training, team-building activities, and conflict-resolution strategies. Researchers have found that
employing cross-cultural training in the UK can be particularly helpful in building cultural
competence and enhancing communication between individuals from different cultures
(Riccucci, 2021). Moreover, team-building activities have established trust among team
members and improved overall group dynamics for international project teams (Thompson,
2021). To enhance trust and promote team success in international projects, assessing various
options and challenges facing project teams is crucial. With UK-based organizations, cultural
competence development and communication improvement with diverse team members can be
achieved through cross-cultural training initiatives and teamwork-focused activities. Another
important aspect to consider is enhancing emotional intelligence skills among project managers
and team members, leading to a better grasp of the psychological, social, and cultural factors that
impact team dynamics (Wirtz and Lovelock, 2021). The development of intercultural
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communication skills and conflict resolution strategies should be the focus of organizations in
Finland to effectively address potential conflicts that may arise due to cultural differences.
Comparison of the UK and Finland
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IV. Evaluation of Options to Improve Teamwork in International
Projects (Case of UK and Finland)
Overview of options available to improve teamwork in international projects
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Critical evaluation of these options
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factors affecting personnel management in international project teams warrant scrutiny. Bashar,
Hasin & Jahangir (2022) emphasize the significance of comprehending cultural differences that
lead to cross-cultural competencies and foster team efficacy. Bhaduri (2019) asserts that efficient
leadership and communication enable fruitful collaboration among global teams. To tackle the
challenges, various strategies can be employed. For instance, Boniotti (2023) advocates using
virtual team-building activities to promote trust and collaboration among team members. Boone
et al. (2019) propose intercultural training as an effective method for improving cross-cultural
communication and minimizing misunderstandings. Another option, suggested by Boxall &
Purcell (2022), is to create a shared vision and common goals to enhance motivation and unity
within the team.
For fostering better team dynamics, leadership development can be an effective
investment. As suggested by Clutterbuck (2020), it is crucial to equip team members with
effective leadership skills to manage international project teams successfully. Addressing the
cultural context of team interactions, Cortellazzo, Bruni and Zampieri (2019) support using
transformational leadership that encourages creativity and innovation among team members.
Moreover, psychological, and social factors must be considered to improve international project
teams' overall performance. According to Daft (2022), enhancing emotional intelligence and
fostering psychological safety can lead to enhanced team communication and improved decision-
making. Díaz-Fernández, González-Rodríguez and Simonetti (2020) encourage the use of
conflict resolution techniques to address disagreements and ensure positive team dynamics.
Evaluation Case Examples of Projects in the UK and Finland
For instance, the London 2012 Olympic and Paralympic Games presented a massive
international undertaking that necessitated merging people from various cultures and
backgrounds. The fundamental objective was to ensure the successful delivery of the event while
emphasizing inclusivity, diversity, and sustainability. In managing this project, however,
numerous challenges emerged in coordinating different stakeholders and managing an inclusive
workforce. According to Boxall and Purcell (2022), individualism forms part of the UK's societal
culture - this cultural aspect emphasizes independent achievement. Consequently, the
management team tasked with organizing the ambitious project had to delicately balance every
stakeholder's unique interest while maintaining focus on achieving the project's overall success.
The Helsinki Central Library Oodi project, in contrast to its predecessor, sought to create a
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modern library and cultural centre for the citizens of Helsinki. It was designed with Finnish
democracy, innovation, and openness as its foundations. According to Boniotti (2023), Finland’s
collective culture prioritizes group over self-interest. Consequently, the project management
team tried to foster teamwork, facilitate open communication channels, and promote cooperative
actions among stakeholders. The project successfully achieved all its objectives, establishing
itself as a popular attraction for locals and tourists.
The London 2012 Olympic and Paralympic Games and Helsinki Central Library Oodi
projects illustrate the significance of cultural sensitivity and awareness in people management.
Cortellazzo, Bruni, and Zampieri (2019) emphasize that communication styles, leadership
methods, and teamwork can all be affected by cultural differences between nations. Therefore,
managing global project teams requires cross-cultural competencies to manoeuvre effectively.
Lee (2021) argues that the UK's leadership style tends to be more hierarchical than most
countries. The management styles adopted in the London 2012 Olympic and Paralympic Games
and Helsinki Central Library Oodi projects differ significantly, with Finland prioritizing
consensus-building and participative decision-making, while the UK focused on expediting
decisions efficiently. This divergence reflects the more egalitarian decision-making approach
often observed in Finnish organizations.
Regarding the human resource management practices employed in the London 2012
Olympic and Paralympic Games, stark contrasts are evident compared to those implemented
during the Helsinki Central Library Oodi project. While the former project had a complicated
organizational hierarchy comprising various stakeholders and an extensive workforce, including
volunteers, employees, and contractors, challenges were encountered when managing these
parties with their diverse backgrounds. The priority for the team was ensuring everyone involved
comprehended project goals while facilitating clear-cut roles and responsibilities. To maintain
competency amongst this varied workforce, a blend of leadership approaches, including
transactional and transformational styles, was utilized (Boxall and Purcell, 2022). Despite having
a simpler organizational structure and smaller team, the Helsinki Central Library Oodi project
focused on building a strong team spirit, promoting collaboration, and fostering open
communication among its management team. Difficulties arose in accommodating the differing
requirements of numerous stakeholders, such as architects, engineers, and the public. The
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Finnish team employed a participative leadership style centred around dialogue and achieving
consensus in decision-making (Boniotti, 2023).
While the people management practices of the two projects differed in some respects,
both projects shared similar approaches. For instance, cultural awareness and sensitivity were
critical for people management in both projects. As a result, the management teams had to adapt
to diverse cultures and develop essential cross-cultural competencies necessary for effectively
leading international project teams. Moreover, the two projects' leadership teams emphasized
communication effectiveness and teamwork. Regular meetings, feedback sessions, and team-
building activities were typical practices that built strong team dynamics (Cortellazzo, Bruni and
Zampieri, 2019). The London 2012 Olympic and Paralympic Games project was managed with a
hierarchical leadership style, centralized decision-making and relied on authoritative structures.
Conversely, the Finnish management team behind the Helsinki Central Library Oodi project
adopted an egalitarian approach towards leadership in which decisions were participative and
based on consensus. Nevertheless, both projects displayed effective leadership teams that could
inspire and direct their teams to achieve successful outcomes.
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VI. Conclusion
In conclusion, the analysis of two case examples from the UK and Finland underscores
the importance of understanding cultural differences in international project teams. Both cases
show how cultural variations can affect various aspects of projects, such as project management
techniques, leadership styles, communication protocols, and team dynamics. Using effective
people management practices helped overcome these challenges efficiently. Furthermore,
individuals within project teams must possess self-awareness and sensitivity toward
psychological, social, and cultural factors when working internationally. These results have
meaningful consequences for research initiatives and practical methods global businesses utilize.
Efforts to explore the efficacy of distinct people management methodologies must be undertaken
to address cultural disparities and foster cross-cultural competence in global project groups.
Furthermore, enacting the recommendations outlined in this examination can enhance team
synergy, reliance, and success in international ventures within the real-world context. Companies
adopting such recommended practices will reap benefits and support their human resource
management endeavours to tackle difficulties encountered within international project teams.
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