cross cultural management focus on thailand july 2013

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What is culture anyway ? WWW.ASIOCONSULTING.COM 1

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A presentation I shared at the workshop on cross cultural management organized by Dataconsult end July in Bangkok. Focus on how Thailand compares with other countries on the Hofstede dimensions.

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Page 1: Cross Cultural Management Focus on Thailand july 2013

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What is culture anyway ?

Page 2: Cross Cultural Management Focus on Thailand july 2013

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What is culture ?

“Culture is defined as the collective mental programming of the human mind which distinguishes one group of people from another.”

Prof. Geert Hofstede

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Geert Hofstede’s model

Studied how values in the workplace are influenced by culture

Started in IBM subsidiaries early 70s

Identified 4 “dimensions” (later extended to 6)

Studies extended to 93 countries

www.geert-hofstede.com

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Dimension #1: Power Distance (PDI)

“The degree to which the less powerful members of a society accept and expect that power is distributed unequally”

o distribution of power is equalized

o power inequalities need to be justified PDI

low high

o there is a hierarchy where everyone has a place

o this is accepted and there is no need for justification

Philippines (94)Russia (93)Mexico (81)

India (77)

Austria (11)Israel (13)

Sweden (31)Great Britain (35)

USA (40)

Thailand (64)

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Dimension #2: Individualism vs Collectivism (IDV)

“Degree to which people’s self-image is defined in terms of “I” or “we.””

o tightly-knit framework in society

o individuals expect relatives or members of a group to look after them

o loyalty to the group IDV

collectivism individualism

o loosely-knit framework in society

o individuals take care of themselves and their immediate families only

USA (91)Australia (90)

Great Britain (89)Canada (80)

Indonesia (14)Taiwan (17)

South-Korea (18)

Thailand (20)

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Dimension #3: Masculinity vs Femininity (MAS) or assertiveness vs modesty

“Degree to which society clearly distinguishes emotional gender roles.”

o focus on cooperation, modesty, caring for the weak, quality of life

o society is consensus-oriented MAS

feminine masculine

o focus on achievement, heroism, material reward, assertiveness

o society is competitive

Japan (95)Italy (69)

China (66)

Sweden (5)Netherlands (14)

Finland (26)

Thailand (34)

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Dimension #4: Uncertainty Avoidance (UAI)

“Degree to which the members of a society feel uncomfortable with uncertainty and ambiguity”

o relaxed attitudeo practice counts more

than principles UAI

low high

o rigid codes of belief and behavior

o intolerant of unorthodox behavior and ideas

Greece (112)Belgium (96)

Japan (92)France (86)

Singapore (8)Denmark (23)

Hong Kong (29)Vietnam (30)

Thailand (64)

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Dimension #5: Long vs Short Term Orientation (LTO)

“Degree to which society values the long term focus.”

LTO

low high

South Korea (100)Taiwan (93)Japan (88)China (87)

USA (25)Ireland (24)

Australia (21)Egypt (7)

Thailand (32)

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o quick resultso limited savings for future

o save and investo perseverance

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RESULTSBEHAVIORASSUMPTIONS

CULTURE & CULTURE’SDIMENSIONS

beliefs, values communicate, makingdecisions

Why is this important at work ?

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Example #1: Manager from high IDV in low IDV contexto tightly-knit framework in

society o individuals expect relatives or

members of a group to look after them

o loyalty to the group IDV

o loosely-knit framework in society

o individuals take care of themselves and their immediate families only

Thailand (20) USA (91)

USA Manager needs to …

- Understand subordinates have a responsibility over their family- Give praise to the team (as opposed to individuals)- Be aware that relationships can be more important than the task- Be aware decision making can be slow because of the need to

consult many people

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Example #2: Manager from low PDI in high PDI context

PDI

Austria (11) Thailand (64)

o distribution of power is equalized

o power inequalities need to be justified

o there is a hierarchy where everyone has a place

o this is accepted and there is no need for justification

Austrian Manager needs to …

- Give clear and explicit directions to subordinates- Be aware that not much initiative can be expected- Accept that his team puts him at a higher level- Show respect to those higher up in the hierarchy

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PDIThailand (64)

IDVcollectivism individualismThailand (20)

MASfeminine masculineThailand (34)

low high

UAIlow highThailand (64)

LTOlow highThailand (56)

UK (35)

UK (89)

UK (66)

UK (35)

UK (25)

France (68)

France (71)

France (43)

France (86)

France (39)

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www.geert-hofstede.com