HRM Cultural Impact on Management Efficiency

8/2/2019 HRM Cultural Impact on Management Efficiency

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INTRODUCTIONS

The management is defined as the process of getting activities completed efficiently and

effectively with through other people.

The number of external effects the management and internal factors such as-

Aesthetics

Attitude and belief

Religion

Material culture

Education

Language

Societal organization

These above-mentioned factors are discussed in this report that how these factors effect the

management efficiency and how we overcome these problems.


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WHAT IS CULTURE

We can define culture as, culture is some of total belief, rules, techniques, and artifacts that

characterize human population.

Now we discuss about the different type of cultures, so that we are able to understand thatwhat culture actually is?

TYPES OF CULTURE

There is two basic type of culture, that are

Strong Culture

Weak Culture

The differiansation between these above concepts are:

STRONG CULTURE

Strong cultural organization in which the key values are intensively held andwidely shared. The more those employees accept organization's key values and greater therecommitment to those values is called the strong culture.

For the further explanation we can say that the strong culture is that which is not changeable

and the employees of that organization strongly followed the rules and regulations of theorganization.

WEAK CULTURE

Weak culture is that which is easily change. Weak culture always looses the workefficiency in the organization. In the weak culture the employees are not strongly act upon the

rules and polices of the organization which is going toward decrease the productivity of theoverall organization.


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RULES FOR DOING BUSINESS ACROSS THE CULTURE

BE PREPARED

When ever you travel to any other country for the business. You must know aboutthe social and business history and the folklore, current affairs (including the current relationbetween your and that country), the cultural values, geography, sources of pride,( artists,musicians, sports), religion, political structure and the practical matters such as currency andhour of business of that country. Because it is necessary to know about these entire thing tobecome a good businessman.


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IMPORTANCE OF TIME

As we know that time is money in the world of business. In many countries, we

are seen to be rush, in other words, unfriendly, arrogant, and untrustworthy. Almost everywhere, we must learn to wait patiently.

ESTABLISH TRUST

In the business product quality, prices and clear contracts are not as important asthe personal relationship and trust that are developed carefully and sincerely overtime. The

marketer must be established as a simpatico, worthy of the business, and dependable in thelong run.

UNDERSTAND IMPORTANCE OF LANGUAGE

Language is important factor that involves the success of any organization.

Because in the multinational organization do business in the different countries. There forthey must know the language of that country. So we can say that management efficiencydepends upon the language.


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RESPECT THE CULTURE

Manners are important. The traveling sales representatives is the guest in the

country and must respect the host rules. As Saudi Arabian official state in one of going.

International firm, "Americans in the foreign countries have a tendency to treat the natives asforeigners and they forgot the actually it is they who they foreigners themselves".

CULTURE EFFECT ALL BUSINESS FUNCTIONS

Culture is important for any business organization. It effect the business performance.In marketing for example, the wide variation in the attitude and values prevent many firmsfrom using the same marketing mix in all markets.

In Japan Procter & Gambler use an advertisement for the company soap in which a manmeeting women for the first time compared her skin to that of fine poreiain doll.

This add was success in the America and Europe, it insulted Japanese. So it is badly failed inthe Japan. This proves that cultures effect all business functions. If the management of theorganization is good then it's prove the efficiency.


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CULTURAL SUCCESS AND FAILURE IN DISNEYLAND (Article)

Why is Disneyland Paris is having problem with failing attendance and losses while Tokyo

Disneyland has steadily increasing attendance and is the most profitable disney park? Themany experts who predicted that Tokyo Disneyland attendance would peak in the first yearand taper off were wrong; instead, it has increased unsteadily. Over 16 million people visitedthe park in the 1993 and spent an average of $85. Visitors to Disneyland in the Las Angelesand Disney World in the Florida spend between $60 and $70, while those going toDisneyland Paris spend only $45 average.

Unfortunately for the Disney, Tokyo Disneyland is wholly owned by Japanese firm, theoriental land co, which licenses Disney characters and the copyright material from theAmerican firm the park owes some of its success to its location in a metropolitan area of 30million people, but a cultural change is believed to the major reason for its success. Some

says that Walt Disney production has written a new chapter in the Japanese history bypopularizing the idea that family outing can be fun. Family now accounts for half of the parkvisitors. An executive of the park owners states, "Leisure was not always a part of theJapanese lifestyle. Father used to sea family outings as duty."

The staggering at a Disneyland Paris stem from the high interest cost and high over heads,many of which cause by cultural errors. To cover the projects $4 billion, Disney put up just$170 million for 49 percent of the operations and public shareholders paid $1 billion for the51 percent they own. The $2.9 billion balance was borrowed at the interest rates up to 11percent. Disney management expected to reduce the debt by selling the six big hotles it hadbuilt, but the $340 per night price it charge has kept about half ful, moreover, the guest hasnot been staying as longer or spending as much as Disney has calculated.

Disney executives believed, incorrectly, that they could change the french attitude of notwanting to take their children from school during the school year as American do or to takemore short breaks during the year instead of one long vacation during the month of August.This would been Euro Disney steady, high attendance all year rather than just for one month.

One reason that visitors have not spent more extremely high prices. Almost two year pastbefore Disney lowered them. Another reason that the guest have not spent more, even thoughin to his case they want to, is also due to cultural problem: the breakfast debacle.

Apparently, a decision involves in the million of dollors in the revenue was based notresearch but only on what some one told Disney. One executive said, we were told thatEuropean donot take breakfast and do not settle for just croissants and coffee; they wantedbacon and

eggs. Disney tried to serve 2,500 breakfasts in the hostel and restaurants seating 350 people.The Disney solution for the French public known world wise as connoisseurs of good eating:prepackaged breakfast delivered to the hotel rooms.


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As French bank put it, Euro Disney is good theme park married to bankrupt real estatecompany-an two can not be divorced.

Since 1995, Disneyland and Paris has been working to correct the culture and financial errorthat have kept attendance down and losses up. Under new management, the park has cut

admission prices by 22 percent and hotel rate by one third. In addition to origional expensive,sit restaurants that Disney mistakenly believed all European would demand, cheaper fast foodis available in the self service restaurants. Instead of marketing the park to Europe as it were asingle country, Disney land and Paris has offices in all main European capitals, and eachoffice tailors tour packages to fit it own market. As a result of these changing andrefinancing, for the first time, Euro Disney, the operator of the Disney land Paris, was able in1997 to pay of some of principal of its $2.6 billion debt.


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SOCIAL CULTURE

Asthetics

Attitude and beliefs

Religion

Material culture

Education

Language

Societal organization

Legal characteristics

Political structure


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AESTHETICS

Aesthetics pertains to culture's sense of beauty good and good taste and is expressed in

its art, drama, music folkore, and dance.

ART represent the culture. In art colors especially can be deceptive they mean differentthings to different culture. For exemply the color of morning is the black in united state andMexico, black and white in the for east.

MUSIC AND FOLKORE

Musical commercials are generally popular worldwide, but the marketer must know that

kind of music each market prefer because taste vary. Thus a commercial that use a ballad inAmerica might be better received to the turn of a boero in Mexico or a samba in brazil. Sothose who wish to steep them selves in a culture find it useful to study its folklore, which candisclose much about a society ways of life, for example associated a protect with cow boywould not be obtain the same result in Chile or Argentina as it done in the united statebecause in these countries cowboy is less romantic-- its just a job. Where the nationalisticfeelings are strong local firm have been able to compete successfully with foreign affiliate bymaking use of indigenous folklore in the form of the slogansand proverbs. Tables of folkloreare valuable in maintaining a sense of group unity.

ATTITUEDE AND BELIEFS

Every culture has set of attitude and belief that influence nearly all aspects of humanbehavior and help bringing order to society and its induals. The more managers learn aboutthe attitude and beliefs, the better prepared they will be understand why people behave asthey do, when their reaction differ from those that that the managers have learned to expectthe dealing with their own people. So we can say that the attitude and beliefs are great affecton the management efficiency, because if the behavior of the manager is good with the staffan the customer then the progress of work efficiency will low. So we can say that

management efficiency depends upon the beliefs and attitudes of the organizational staff.These include attitude toward time, toward the achievement of work, and toward change.

ATTITUDE TOWARD TIME

As we know that time is important in the business. So we can say that managementefficiency depends on the time. If the manager is not punctual in time. It shows that

organization is not working properly. We know that time is money.


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ATTITUDE TOWARD ACHIVEMENT AND WORK

Work is important for the success of the business. It say for the American that theylive for the work, but it I say for Germans that they work to live. So we can say that managerswill encounter sharp difference in the attitude toward the work an achievement in the otherculture compare to their own when they go overseas. However they must recruit thesubordinate with the need to progress, whatever the underlying motive. One good source ofsuch people is among relatively well educated member lower social class who work as aroute to the prestige and social acceptance that have been denied them due to their birth.


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HALL BUSINESS IN THE GLOBAL ECONOMY

CULTURAL DIFFERENCE IN SEX RULES-WOMEN'S CREDIBILITY IN

MALE(Article)

Dorothy irvine saw a opportunity to double her import-export company's annual $50000revenue when she learned that a small Japanese trading company was searching for an agentin the united state. She believed her firm, which was already trading with the japan, couldhandle the job. Irvine followed the Japanese customs of having a high level Japaneseexecutive introduce her to owner of trading company.

She made four special trips to Japan to meet with the owner. These cost her thousand ofdollars in thousand of dollar in travel expense three weeks of preparation time. However theman never took her seriously, Irvine claims, "It is almost as if they were leading me along

because I had been introduced by some body they respected." To corroborate her opinion,she asked an America business man to accompany her to meeting. They both agreed becausewas a women, she was not making any progress. "I would have loved to have the business, "said Irvine. "It was very frustrating."

RELIGION

Religion is important component of culture is responsible for many of attitude and beliefsaffecting human behavior. Management efficiency is affected by the religion. Now wediscuss about some religions and how they affect the management efficiency.

ASIA RELIGION

People from the western world will encounter some vary different notions about God,people, and reality in Asia religion.

In Asia religion, especially in the religion of India, the ideas of the reality are different. Thereis notion that this world is an illusion because nothing is permanent. Time is cyclical, soliving things including, human being are the constant process of birth, death, andreincarnation.

HINDUISM

This is the conglomeration religions, without a single founder or a central authority, that is

practice by the more than eighty percent population of the India. Most Hindus believes that


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every thing in the world is subject to an eternal process of death and birth and that indualssoul migrate from one body to another.

BUDDHISM

The religion began in India as a reform movement of Hinduism, at the age of 29, princeGhutama rejected his wife, son, and wealth and set out to solve the mysteries of misery, oldage, and death.

JAINISM

This religion was founded by contemporary of buddha. The jain doctrine teachers that

there is no creator, no GOD,and not absolute principle. Through right faith, correct conduct,and the right knowledge of the soul, jains can purify themselves become free of the samsura,and achieve nirvana.

SIKHISM

This is the religion of India ethnic group, a military brotherhood, and a political movementthat was founded by the Nanek, who sought a bright between Hinduism and Islam. Sikhs

believes that there is only one god but they also accept the Hindu concept of samsura, karma,and spituil liberation.

ISLAM

About 1.1 billion followers make this youngest faith the second largest after theChristianity which has two billion adherent, Islam accept as God's external words the Koran'scollection of Allah's (God's) revelations to Muhammad, the founder of Islam. Unlike thefounder of the major religions, Muhammad was not only the prophet of God but also the head

of state. Islam is divided in to two parts Sunnis and Shiites, but they both believed on Godand Muhammad.

AFFECT THE RELIGION ON CULTURE

In any organization people belong to the different religions. Therefore their different beliefsaffect on the management efficiency.


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For example a person come from the abroad and purchases a plant here in the Pakistan. Heassumes that daily consumption would be hundred units. When the work start after the sometime machine stopped suddenly. He thinks that machinery is failed but come to know that it istime of prayer and the Muslims offer prayer. So he decrease his assumption from 100 to 90units per day.

MATERIAL CULTURE

Material culture refers to all human made objects and is concerned that how people makethings (technology) and who make what and why (economies).

TECHNOLOGY

The technology of the society mix of the useable knowledge that the society apply anddirects toward the attainment of the culture and economic objective, it exist in some form inevery cultural organization. It is not wrong that if we say that success of any companydepends upon the technology. It is important for the companies because

It enables a firm to be competitive.

It can be embodied in the company's product.

It can give firm confidence to enter in the international market.

It can enable a company with only minority equity position to control a joint venture anpreserve it as a captive market.

CULTURAL ASPECT OF TECHNOLOGY

Technology not only includes application of science to production but also skills in themarket, finance and management. It s cultural aspects concerns govt. because their people

may not accept the cultural changes a new technology may bring. Technology culturalaspects are certainly important to international managers because new production methodsand new production often require people to change their beliefs and ways of living.


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DO NOT TRAVEL ----USE CYBERSPACE(ARTICLE)

Silver hammer a California production firm that provides cable network and television showwith graphics and promotional material get 30 percent of its business without leaving itoffice.

The companies found in 1996 were the Oprah Winfred show and the TV series dark skies. Anew TV network attach by the firm's success in the United States, asked silver hammer tocreate promotional spots for its debut. However there were concern about the two newcompanies could work together, being so for apart.

Silver hammer's solution? It set up on its web site some thing it called a "cyberin" that was

accessible by password only to a particular client. It posted storyboards, graphics scripts andcorrespondence those the client could see, comment on, and approved from computeranywhere in the world.

The cyberbin saved time by eliminating shipping delays of three days per package. The twocompanies took advantage of eight hour time difference between the California and theLondon in the same way of India software engineers and America software firms do. Worksilver hammer posted on the internet at the end of the business dayin the

Loa Angles was ready to be checked the first hour of the business day in the London.

The client could spent the entire day evaluation the material and send it commentary toCalifornia before the office opened in the morning.

Silver Hammer now uses the cyberbin to win other Europeans jobs. Sid CEO HollyDiefenderfer, this has been so effective for us to open door to other areas of marketplaces.


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EDUCATION

As we know that, management efficiency depends upon the education of employee. If

they are educated they know that how to deal different people in different situations. If themanagers are betterly trained then they give a good result. We can say that success of anyorganization depends upon the good, efficient, and effective management.

Brain drain facts:

Roughly 75 to 80 percent of foreign student remain in the united states after receiving theirdoctorates in science.

Five time more Japanese research scientists work in the united states than America workin Japan.

A US state department report stated that the value of expert labor power migrating to theUnited State in one year was equal to one billion dollar.

LANGUAGE

Probably the most apparent cultural distinction that the newcomer to international businessperceives is in the mean of communication.

Spoken Language:

Language is key to culture, and without it people finds they locked out of all but acultural perimeter. At the same time in

learning a language, people cannot understand the nuances, double meaning of the words, andthe slang unless they also learn the other aspect of the culture as we know that language varyfrom country to country.

Foreign Language:

When many spoken languages exist in a single country (India and many African nation)one foreign language usually serve as the principle vehicle for the communication across theculture.

English the Link Language of the business:


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We know that English is the international language for the communication in the worldof business. For the success of the organization it is necessary that employess of thatorganization must familiar with English.

Must Speak The Local Language:

To success in the business it is necessary that you must know about the local languageto survive in the local market.

Unspoken Language:

Non verbal communication or unspoken language can often tell business some thingthat the spoken language does not-- if they understand it.


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SOCIAL LANGUAGE

Every society has a structure or an organization that is patterned arrangement of therelationship defining and regulating the manner by which its member interface with oneanother. It is divided in to two classes of institution: those base on kinship( the family is basic

unit of the institution based on kinship) and those based on free association of the individual.

POLITICAL STRUCTURE:

In the organization culture the political issues are very important. According to our view thepolitics has two kinds positive and negative. Positive is in the favour of organization but thenegative is against. For the success of the organization in the world of the business, it is

necessary that the employee should avoid politics. The political structure should not be in theorganization culture's because it has negative effect on the employee work and theproductivity of work going toward decrease.


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EFFECT OF INVIRONMENT ON THE CULTURE

Out side institution or forces that potentially affect on the organizational performance is

called the environment.

TYPES OF ENVIRONMENT

There are two types of environment that affect the organizational performance.

GENERAL ENVIRONMENT

Every thing in the organization that affects the organization performance is called the

general environment.

The following elements affect on the organizational performance:

Political change

Economic polices

Social factors

SPECIFIC ENVIRONMENT

The part of environment that is directly relevant to achievement of the organizational iscalled the specific environment. It affects on the management efficiency.

Specific environment include:

Suppliers

Customers

Competitors

Government that can affect on the culture

CREATE A SUPORTIVE CULTURE FOR DIVERSITY(Article)


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We know that managing a diverse workforce is a key challenge today's executive. As thecomposition of work force change managers must take a long hard look at theirorganizational culture to see if the shared values and meanings that were appropriate for amore homogeneous employees base will support diverse views. How can manager create aculture that advocates and encourages diversity.

The old approach to managing diversity was to expect people who were different to hide oradopt their cultural differences so they fit into the organization' s dominant culture. Nowmanagers who accept diversity as a corporate asset recognize that its benefits the organizationby bringing in the broad range of viewpoint problem solving skills. An organizational culturethat nourishes and celebrate the diversity lets employees be themselves and encourage themto develop their own unique strength and present innovative ideas from their perspectives. Nolonger do diverse employee feel like they have to "play it safe" by hiding their differences.

Creating a culture that support and encourage the diversity is a major organizational effort.Manager throughout to organization at every level fundamentally accept that diversity is

valued and reflect this by what they say and do. An organization that truly wants to promotediversity must shape its culture to allow diversity to flourish. One way to do this formanagers to assimilate diverse perspectives while performing the managerial functions. Forexample at miller brewing company executive is firmly committed to diversity recruitmentand have establish a workforce diversity department to aid human resources planning andorganizing activities. At baster healthcare corporation a detail process of total corporatediversity management including assessment, implementation and evaluation serve tostrengthen the company belief that its investment in human capital is its most importantresource.

Beyond to day to day activities organizations should consider developing ways ofreinforcing employee behavior that embrace diversity. Some suggestions include encouragingindividuals values and defend diverse views creating traditions and ceremonies that celebratediversity, rewarding appropriate "heroes and heroines" who accept and diversity, andcommunication through formal and informal networks reports about employees whochampion diversity issues. For instance at Ortho biotech Johnson and Johnson subsidiaypresent Dennis Lonstreet has managing diversity a top priority numerous other have foundways to design polices and practice that allow diversity to the person and thrive. Theseorganizations do not see cultural or environmental changes as constraints but opportunitieswhich to profit.


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UNDERSTANDING NATION CULTURE

According to Greet Hofstede, a Danish psychologist interviewed thousand of employees in

67 countries. He found that differences their answers to 32 statement could be based on thefour dimensions:

INDIVIDUALISM VERSE COLLECTIVISM

According to hofstede people in collectivist culture belong to the group that are supposeto look after them in exchange for the loyalty, whereas people individualistic culture are only

supposed to look after themselves and immediate family. Therefor organization operation incollectivist culture are more likely to relay on group decision making than are those inindividualistic culture where the emphasis is on individual decision making.

LARGE VERSES SMALL POWER DISTNCE

Power distance is the extent to which members of society accept unequal distribution ofpower among induals. In large organizations employees believe their supervisors that they areright even when they are even when they are wrong, and the employees do not take andinitiative in making non routine decisions. On the other hand participate management style ofleadership is likely to be a productive for an organization in low power country.

STRONG VERSED WEAK UNCERTAINITY AVOIDANCE

This is the degree to which the members of society feel threatened by ambiguity and arereluctant take risk. Employees in high risk avoidance culture such as Japan Greece and thePortugal tend to stay with their organization for long time.

Those for low risk avoidance countries like United State, Singapore, however are moremobile.

MASCULINITY VERSUS FEMININITY


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This is the degree to which dominant values in a society emphases assertiveness,acquisition of money and status, achievement of visible and symbolic organizations rewards(masculinity) compare to degree to which they emphasis people relationships, concern ofothers, and over all quality of life.


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CONCLUSION

The conclusion or our report is that culture has great impact in the management

efficiency. The management efficiency will decrease or increase due to culture influence. Astrong culture has a great impact on the management efficiency. If there is positive strongculture then the productivity of work will increase. If negative then efficiency will decrease.Social culture has also great impact on the management efficiency. For example language issocial culture, first we know that the English is the business and universal and we must beaware to the local language where the business is running because it is medium of exchangethought which have great impact.

Environment has also strongly effect on the management efficiency.

Documents

HRM Cultural Impact on Management Efficiency