LECTURE 1

Introduction to Cross-Cultural
Management

Ms Irene Ong Pooi Fong

 Globalization has resulted:

Growing economic interconnectedness (e.g. trade
agreements, global production, mergers,
acquisitions, strategic alliances)
Increased use and sophistication of information
technology (breaking through geographical and
time boundaries e.g. virtual teams/organisations)
More and different players on the global stage (new
entrants into the international business arena e.g.
China, India, Indo-china, Africa)
More complex and dynamic work environment (e.g.
outsourcing, virtual teams/organisations, migration
of both unskilled and skilled workers, global teams)

David C. Thomas, 2008, Cross-Cultural Management, Sage, pg. 4-

Cross-cultural management
Explains the behaviour of people in organisations
around the world
Describes and compares organisational behaviour
across countries and cultures
Seeks to understand and improve the interaction
of : co-workers, managers, executives, clients,
suppliers and alliance partners
(Adler, 2002)

What culture is?/is not?

Culture is a code of attitudes, norms and
values, the way of thinking...
Culture determines:
How we see ourselves
How we see the world

Culture is not right or wrong, inherited, about

individual behaviour...
Next questionWhy culture is important?

Woman are feminine and not capable. So, he

does not respect her position as his boss. He
is uncooperative, unwilling & dissatisfied.
Thus, he becomes a difficult worker.

EMPLOYEE A

THE BOSS

EMPLOYEE B

Women are at par with the men in their

work. They can become good leaders.
So, he shows respect, trust & is
cooperative. Thus, he becomes a good
subordinate.

 In organisations, culture affects the way:

strategy is determined
goals are established
how the organisation operates

The personnel of the organisation:

are influenced by their cultural
backgrounds
share their own values and perceptions
(Schein, 1999)

 Corporate culture is a combination of:

Organisational culture
National/regional culture

Internal factors play an important role, in

particular the extent of cultural control

 Elements that contribute to the creation of

a national culture:
Physical environment
History of the nation

Institutions that contribute to the

establishment of a national culture
Family/Religion/Education
Mass communication media
The multinational company as culture-building
institution (e.g. its products, operations)
(Tabey, 2003)

 To gain sound understanding of concepts and

theories in the area of cross cultural management
To be able to arrive at workable and effective
solutions in the context of cross cultural
management after a comprehensive problem
analysis.
To create awareness of and sensitivity to cross
cultural differences
To develope a framework for managing work in
cross cultural context.

M.J. Browaeys and R. Price, Understanding CrossCultural Management (2nd Edition), 2011, Prentice Hall

Dimensions of culture in business

Comparing business cultures
Business cultures & ethics
Culture & styles of management
Culture & corporate structures
Culture, motivation & leadership
Culture & corporate strategy
Cultural change in organisations
Business communication across
cultures
Working with international teams
Conflicts and cultural differences

 Bring your Module Information Booklet

for briefing on your assessments