Meet Your New Customers: The Implications of a Globalized Economy

Meet Your New Customers: The Implications of a Globalized Economy

Our Speakers

Dr. Neal R. Goodman President Global Dynamics Inc.

[email protected]

www.global-dynamics.com

Jennifer Frazier Director, Enterprise & Education Solutions Rosetta Stone

[email protected]

www.rosettastone.com/business

What Are We Going to Do?

Identify the current global and domestic environment.

Engage in an exploration of the meaning

and benefits of a global-mindset, cultural intelligence,

and linguistic agility for you and your organization.

Have some fun.

The Future of Economic Growth

Percentage of growth expected

from developed and emerging

markets by 2030.

70% of world economic growth

over the next few years will come

from emerging markets.

Developed

Markets

Emerging

Markets

Source: Tracking Global Trends. Ernst & Young. 2011; Goldman Sachs Global Economics, Global Economics Paper No: 204, 2010

Domestic Emerging Market

Between 2010 and 2015, the buying power of minorities in the U.S.

will increase by more than $1 trillion.

Immigrants and their U.S. -born children will account for

of the country’s

population growth

over the next 40 years.

Source: Hispanic and Asian Buying Power Expected to Surge. UGA Selig Center. 2010; U.S. Population Projections: 2005 – 2050. Pew Research Center. 2008

Characteristics of a Global Mindset

Think Globally While Acting Locally

Leverage the Value of Cultural Diversity and Inclusion

Demonstrate Language Skills to Understand Clients

and Markets, and to Build Lasting Relationships

Build Trust-Based Multi-Cultural Partnerships

Foster a Corporate Culture of Global Innovation

Share Leadership and Empower Remote Workers

Source: Global Dynamics Inc©


Think Globally

While Acting Locally



Leverage the Value

of Cultural Diversity

and Inclusion



Demonstrate Language

Skills to Understand Clients

and Markets, and to Build

Lasting Relationships



Build Trust-Based

Multi-Cultural

Partnerships



Foster a Corporate

Culture of Global

Innovation



Share Leadership

and Empower

Remote Workers


Cultural Intelligence - What is Culture?

Attitudes, beliefs,

traditions and values

shared by members of

a social group

Influences perceptions

and behaviors

Culture ≠ instinct;

culture is learned

Water to fish


Your Cultural Programming

Which

Direction?

Cultural Intelligence

The Key to Global Success

“Cultural Intelligence: Understanding how

to leverage the diverse rules of the game

– of life and business – found around the

world for competitive advantage.”

Neal Goodman, Ph.D. President Global Dynamics, Inc.

The DIE Model to Promote Cultural Intelligence

ESCRIBE

Meaning: A description of what the person is doing or saying, etc. Neutral. Example: She doesn’t make eye contact with me.

NTERPRET

Meaning: Why you think the person is doing what he or she does. Ascribed motivation. Example: She is not interested in me.

VALUATION

Meaning: The opinion that is formed as a result of the interpretation. Is it good or bad? Example: She is rude.


Developing a Cross-Cultural Framework

Cultures consist of behavioral patterns

that can be identified and measured.

These patterns form a framework

for analyzing cultures.

You can use the framework to your

competitive advantage to promote

trust and predict how people will

respond to situations.


The GDI Cultural Tendencies Framework & Diagnostic Tool


Sample 2 of 14

Equality (everyone treated the same)

Risk Taking (quick decisions, less information)

Hierarchy (position in society defined

according to rank/status)

Low Risk Tolerance (need much more information

before making decisions)

The GDI Cultural Tendencies Framework & Diagnostic Tool

EGALITARIAN HIERARCHICAL


Top-down information flow

Promotes micromanagement

Titles, degrees and age are to be respected

The senior person speaks; others listen

Communications to peers or subordinates

Paternalistic leadership

Promotes empowerment

Titles , degrees and age are less important than demonstrated ability

All team members speak up

Communications across levels

Servant leader

Collaboration

The Power of Language

of executives say they plan to grow their

businesses in countries or market segments

that speak a different language than the

one they currently use.

Globally, of consumers are

more likely to buy a product with

information in their own language.

Source: Rosetta Stone Language Means Business. Booz & Company. 2013; Can't Read, Won't Buy: Why Language Matters on Global Websites. Common Sense

Advisory. 2006

The Gap

of 572 senior executives

surveyed think differences in

language and culture have

made it difficult to gain a

foothold in foreign markets.

of executives surveyed

believe their global network of

employees communicates

effectively in different

languages.

of executives rate their

colleagues' ability to

communicate internationally

as average or below.

Only

Source: Rosetta Stone Language Means Business. Booz & Company. 2013; Competing Across Borders: How Cultural and Communication Barriers Affect Business.

Economist Intelligence Unit. 2012

What if it Were Improved?

If their company's cross border

communications improved:

of executives believe

that profits would

improve.


that revenue would

improve.


that market share

would improve.

Source: Competing Across Borders: How Cultural and Communication Barriers Affect Business. Economist Intelligence Unit. 2012

Communicating Across Cultures

My Reality Receiver’s Reality

Message

Received

Message Sent


Strengthening Communications: Case Studies

A Spanish speaking patient is rushed into the emergency room in Chicago barely conscious. She had mistakenly taken a major overdose by following the instructions which said to take the medication “once a day.”

What happened?

Applying Global Mindset, Cultural Intelligence

and Linguistic Agility to Recruit, Retain and Promote a Diverse Workforce

Identify and attract a superior,

diverse workforce.

Develop and retain a ‘global’

talent pool.

Create an environment that encourages

cultural understanding and inclusion.


Applying What We Learned

How will you leverage the value of a global mindset, cultural

intelligence, and linguistic agility to succeed in the global and

multicultural workplace and marketplace?

YOUR TIME HAS COME!!!!

Key Components of a Solution

Single

Enterprise

Solution

Learning

Development

Plans

Robust List

of Languages

Asynchronous

Study

Mobile Device

Access

Robust

Administrative

Tool

Successful

Solution

The Impact of Language Training

Internal

Communication

Global

Mobility

Employer

of Choice

Customer

Service

Internal Communication

Language

Diversity Productivity

Workplace

Safety

Internal Communication - an Example

Improved communication

across global markets.

Enabled “on-the-go” learning.

ROI exceeded 75%.

Global Mobility

Meet

Region

Requirements

Expat

Preparation

Grow

Opportunities

Global Mobility - an Example

Meet regional business

requirements.

Build critical language skills

for long-term relocations.

ROI exceeded 20%.

Employer of Choice

Critical

Skills

Culture of

Excellence

Employee

Engagement

Employer of Choice - an Example

Enhanced training and

development.

Improved employee

satisfaction.

Improved customer

satisfaction and growth in

referrals.

Customer Service

Confidence

to Speak

Customer

Centric

Boost

Satisfaction

Customer Service - an Example

Enhanced communication.

Improved customer experience.

Growth in revenue.

Questions

Dr. Neal R. Goodman President Global Dynamics Inc.

[email protected]

www.global-dynamics.com

305.682.7883

Jennifer Frazier Director, Enterprise & Education Solutions Rosetta Stone

[email protected]

www.rosettastone.com/business