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• Culture

• Culture refers to a set of beliefs, norms, values, behaviors and objects that members of a certain social group
or society share, or have in common with each other. A type of culture for instance, can be western culture,
which is typically characterized by individuality, modern and developed infrastructure, high literacy levels,
etc.The golbal companies require understanding different cultures, what motivates people from different
societies, and how they are reflected in the structure of international assignments.
• Interpret Culture
• Culture refers to a set of beliefs, norms, values, behaviors and objects
that members of a certain social group or society share, or have in
common with each other. A type of culture for instance, can be
western culture, which is typically characterized by individuality,
modern and developed infrastructure, high literacy levels, etc.The
golbal companies require understanding different cultures, what
motivates people from different societies, and how they are reflected
in the structure of international assignments.
• impotance of cultural sensitivity
• It implies the consciousness and understanding of the morals,
standards, and principles of a specific culture, society, ethnic group or race,
joined by a motivation to adopt to it . Cultural sensitivity is highly important
when visiting a foreign country for the first time. ultural sensitivity means
that you are aware and accepting of cultural differences. It implies that you
withhold judgment of cross-cultural practices, and that you can deal
effectively with these differences.Cultural sensitivity is integral in any cross-
cultural relationship. But it is critical in international working relations, such
as in business or government jobs. For example, some studies show that
workers at all levels are more effective and are more competent at
negotiation when they are culturally sensitive.
• What is Hofstede’s Cross-Cultural Dimensions?

• Hofstede identified six categories that define culture:Power Distance Index Collectivism vs. Individualism;
Uncertainty Avoidance Index; Femininity vs. Masculinity; Short-Term vs. Long-Term Orientation ; Restraint vs.
Indulgence; Power Distance Index
• Hofstede’s Cultural Dimensions Theory
• Hofstede identified six categories that define culture:
1.Power Distance Index
2.Collectivism vs. Individualism
3.Uncertainty Avoidance Index
4.Femininity vs. Masculinity
5.Short-Term vs. Long-Term Orientation
6.Restraint vs. Indulgence
• Power Distance Index
• The power distance index considers the extent to which inequality and power are
tolerated.

• A high-power distance index indicates that a culture accepts inequity and power
differences, encourages bureaucracy, and shows high respect for rank and authority.
• A low power distance index indicates that a culture encourages flat organizational
structures that feature decentralized decision-making responsibility, a participative
management style, and emphasis on power distribution.
• For example, in countries with high power distance, parents may expect children to obey
without questioning their authority. Conversely in countries with low power distance
there tends to be more equality between parents and children, with parents more likely
to accept children arguing or challenging their authority.
• Individualism vs. Collectivism
• The individualism vs. collectivism dimension considers the degree to which
societies are integrated into groups and their perceived obligations and
dependence on groups.

• In individualistic societies, the emphasis lies on personal achievement and


rights, prioritizing needs of oneself and one’s immediate family.
• Collectivism indicates that there is a greater importance placed on the goals
and well-being of the group. A person’s self-image in this category is defined as
“We” and individuals from collectivist backgrounds often prioritize relationships
and loyalty more prominently than those in individualistic cultures.
• Uncertainty Avoidance Index
• This dimension considers how unknown situations, uncertainty and unexpected
events are dealt with.
• A high uncertainty avoidance index indicates a low tolerance for uncertainty,
ambiguity, and risk-taking. The unknown is minimized through strict rules,
regulations, etc. Both the institutions and the individuals in these societies strive to
reduce uncertainty by employing vigorous rules, regulations, and similar measures.
• A low uncertainty avoidance index indicates a high tolerance for uncertainty and
ambiguity. The unknown is more openly accepted, and there are lax rules,
regulations, etc. Individuals and cultures with low uncertainty avoidance embrace
and feel at ease in situations lacking structure or in fluctuating environments.
• Masculinity vs. Femininity

• The masculinity vs. femininity dimension is often referred to as gender role differentiation and examines
the extent to which a society values traditional masculine and feminine roles.

• Masculinity includes the following characteristics: distinct gender roles, an appreciation of assertiveness,
courage, strength and competition.
• Femininity includes characteristics such as: fluid gender roles, modest, nurturing, and concerned with the
quality of life.
• A high femininity score suggests that traditional feminine gender roles hold significant value within that
society and for example, a country with a high rating would probably offer improved maternity benefits and
more accessible childcare services.

• On the other hand, a country with a lower femininity score is likely to highlight increased female
representation in leadership roles and a higher prevalence of female entrepreneurship.
• Long-Term Orientation vs. Short-Term Orientation
• The long-term orientation vs. short-term orientation dimension considers the
extent to which society views its time horizon.

• Societies that emphasize long-term orientation prioritize future outcomes,


postponing immediate success for achievements over the long term. In these
cultures, values like persistence, endurance, frugality, savings, sustained growth
and adaptability take centre stage.
• Short-term orientation shows focus on the near future, involve delivering short-
term success or gratification, and place a stronger emphasis on the present than
the future. Short-term orientation emphasizes quick results and respect for
tradition.
• Indulgence vs. Restraint
• The indulgence vs. restraint dimension considers the extent and tendency for a society to
fulfill its desires. In other words, this dimension revolves around how societies can control
their impulses and desires.

• Indulgence indicates that society allows relatively free gratification related to enjoying life
and having fun.
• Restraint indicates that society suppresses gratification of needs and regulates it through
social norms.
• In a society characterized by high indulgence, you may see individuals allocating more
funds to luxuries and relishing greater freedom in their leisure pursuits. Conversely within
a restrained society, the inclination leans towards thrift, savings, and practical necessities.
• For many years, Dr. Ranker has used the “Global Mindset” phrase to
indicate an orientation of openness towards other cultures, other
people, and other ways of doing things. The “Global Mindset
Definition” has many different meanings depending on who do you
ask, e.g. The journal of international business studies. Yet all agree
that leaders of global organizations need to be able to adapt and use
the style that is most acceptable and gets the job done, depending on
the country, culture, and people with whom they are interacting.
• For the research discussed in his latest book Global Mindset Coaching, one of the
questions Dr. Ranker asked was: “what are the most important aspects of a Global
Mindset?”. The results were clear, executives that answered the survey identified
several of the components that should be included in the Global Mindset Definition.
• 1. Openness to learning
• 2. Adapt to new cultures
• 3. Manage different cultures
• 4. No one correct way
• 5. Interest and curiosity
• 6. Proactive use of diversity
• 7. Not bound by local
• Taking into consideration the results of his findings and his own
experience, he has validated and updated his Global Mindset
Definition as follows:
• “It is the ability to step outside one’s base culture and to understand
there is no universally correct way to do things”.
• This Global Mindset Definition, although accurate, oversimplifies the
concept and its importance. To truly understand it, let us break down
the definition into its two main components.
• ' Global Mindset’ & usefulness of developing global mindset in global
working.
• Characteristics :1. Association of Employees: A trade union is simply
an organisation of workers who are members of a specific class of job,
profession, trade, or business.2Permanent: Trade unions are typically
considered permanent bodies. Members may join and leave, yet the
union is still in place.;4.Group Action: When a single employee
complains about a particular management decision, the trade union
will step in to help resolve the issue.
• 1 – The ability to step outside one’s base culture
• At the core of this belief is the willingness of the individual to take risks, to explore, to learn and to adapt.

• Taking risks – Letting go of the fear that comes from stepping out of what is known, letting go of an ethnocentric
attitude to adopt a more inclusive mindset, a learning mindset.

• To explore – Being open to step out of your comfort zone with the purpose of exploring and learning about a new culture
in a way that goes beyond being tolerant, but rather proactively looking for the opportunity to utilize those learnings.

• To Learn – To be able to combine openness and awareness of diversity across cultures and embrace such
differences. Imitating a foreigner can be viewed as tolerance and acceptance, but the goal should be understanding what
drives the behavior/custom, etc. Learning and understanding common patterns across cultures, countries, and
markets.

• To adapt – It is important to be able to navigate the various customs and cultural differences, geopolitical and
economical climates, cultural conditions and expectations. This will make possible decisions in a way that is culturally
sensitive and takes advantage of the potential opportunities that these differences bring.
• 2- There is no universally correct way to do things.
• At the core of this concept, there are two main principles. Global Mindset leadership is situational and
cultural differences, and similarities are neither positive nor negative.
• Global Mindset leadership is Situational
• Some cultures encourage entrepreneurship; some cultures encourage teamwork in meeting goals;
some support a strong central leadership; others encourage dissent or discussion. Since talent in a
global organization can be drawn from many parts of the world, leaders need to be more situational in
their style, more aware of individual persons, and of timing and cultural context.
• Cultural differences and similarities are not positive or negative
• Awareness and openness is a way to appreciate global trends and sensitivity when making decisions.
The idea that cultural differences aren’t positive or negative gives leaders an ability to connect with
people from other cultures intellectually and emotionally. Cultures influence and sometimes dictates
the way we dress, what and how we eat, the stories we tell. This awareness helps us connect with
others because of those differences, rather than in spite of them.
• Dr. Ranker believes that Global Mindset is the most important characteristic for managers and leaders
to cultivate today because it enables them to connect with others and thrive in a VUCA environment
typical of many global business situations.
• In the future, the successful company will have a Global Mindset as a core characteristic of
its leadership. Valuing diversity, and the different ways people communicate and interact will be
manifest in all forms of communication, and in its customers’ perspective. However, one of the
biggest challenges of globalization of business today is preparing global leaders.
• Bringing a Global Mindset to how leaders behave might take many forms, for example, they might
consider the cultural differences in dominant or passive conversational styles when conducting
mixed team meetings. Or, they might consider the importance of relationships when doing business
in some countries more than others. For example, in Asia the relationship comes first, and only after
a relationship is established can business be discussed this can only be appreciated and successfully
used by a Global Mindset Leader.
• In short, the Global Mindset Definition is simple. This simplicity is what makes Dr. Gary
Ranker’s coaching of global leaders so effective and powerful.
• The ability to step outside one’s base culture, and to understand there is no universally correct
way to do things
• the need for developing global mindset Developing a Global
Mindset will allow any leader to take advantage of those differences
to manage in a way that is sensitive and effective. They become
more effective because of those differences, rather than in spite of
them.
• culture importance
• Cross culture in the business world refers to a company's
efforts to ensure that its employees interact effectively with
professionals from other backgrounds. Like the adjective cross-
cultural, it implies a recognition of national, regional, and ethnic
differences in manners and methods and a desire to bridge them
• objectives of IHRM? It helps HR managers and employees to
improve their managerial skills,organizational knowledge as well as
their technical abilities; second, it allows them to develop abetter
grasp of global business operations; third, it helps them to manage
and secure theiremployees' performance, compensation, and career
path; and fourth, it allows them to organize

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