Saturday, October 5, 2019
Managing in a global society Essay Example | Topics and Well Written Essays - 1250 words
Managing in a global society - Essay Example Hofstede (1980) refers to culture as a collective mental programming of a group of people belonging to one region, which is difficult to change; in such settings specific culture becomes institutionalized in their family and educational structures, religious organisations, government, law, literature and even scientific theories. This is highly apparent among people belonging to one nation, in the form of national culture, which manifests itself even in organisations. HofstedeÃ¢â¬â¢s and TrompenaarsÃ¢â¬â¢s dimensions explain how cultural differences impact management and leadership styles in different regions of the world; in addition, these analyses help in understanding why certain HRM practices and policies have differing impacts on employees of one multinational company operating from different regions of the world. House et al. (2004) have extensively studied cultural variations and their impact on societal functioning and leadership based on study conducted on 62 nations, r esulting in development of additional dimensions. This project emphasizes the need for effective international and cross-cultural communication, collaboration, and cooperation for effective practice of management and also betterment of human condition in order to thrive in the globalizing world markets and cultures. HofstedeÃ¢â¬â¢s work related to culture reveals that financial and management aspects related to an organization and nation are largely influenced by social values. Secondly, this study also revealed that corporate culture of an organization is largely influenced by its foundersÃ¢â¬â¢ national culture. (Rowley & Lewis, 1996). HofstedeÃ¢â¬â¢s (1980) project... Increased competition and globalization in recent years have challenged many organizations to look for new locations, new markets, and new ways of doing business. This has opened up many opportunities for the organizations in terms of business models, diversified workforce, and provided economies of scale.Extensive research work and evidences in the areas of human resource policies and practices with respect to approaches used in managing people are attributed to various determinants of cross-national similarities and variations. Management and leadership styles are greatly influenced by national and societal cultures. For multinational organizations to succeed, it is important that the management is well informed of these differences; further HRM practices with respect to motivation, performance management and leadership should be modified to suit the local cultures. In the present situation, it is necessary to acquire a thorough understanding of national cultures and societal pract ices would be required for any organization to set up subsidiaries at multinational locations. This will help in formulating human resource policies and practices that are aligned with similarities and variations of national and organisational cultures in order to achieve effective management. All the managers involved in setting up operations at new locations should be trained on these aspects of intercultural differences.