Cultures and Organizations:

Software of the Mind

By Geert HofstedePresented by:

Natalie Balaziuk, Beth Roszkowski, Michelle Yeager

Hofstede’s Background Born in Netherlands in

1928 Founded and managed

the Personnel Research Department of IBM Europe

Co-founder of IRIC (Institute for Research on Intercultural Cooperation

Most cited non-American in the field of Management in the US Social Sciences Citation Index

Software of the Mind 101 Hofstede’s intent Mental Programs: Software of the

Mind Three levels of Mental Programs What does this mean? Memory and Forgetting

(Knowledge Structures)

StudiesIBM Study

Conducted in 1974

IBM employees-50 countries and 3 multicountry regions

National Cultures Dimensions

IRIC Study Conducted 1985-

1987 20 organizational

units in 2 countries

Organizational Culture

Dimensions

Dimensions of National Culture Power Distance Individualism vs. Collectivism Masculinity vs. Femininity Uncertainty Avoidance Confucian Dynamism (Long-term

orientation vs. Short-term orientation)

Power Distance

Large Power Distance

Employees afraid of bosses

Depend on their bosses

Large emotional distance

Small Power Distance

Approach and challenge bosses

Bosses consult with staff

Small emotional distance

Individualism vs. Collectivism

Individualism Interests of the

individual outweigh the interests of the group

Individual is independent

One must look after himself/herself

Collectivism Interests of the

group outweigh the interests of the individual

Group is one’s identity

Group=protection

Individualism vs. Collectivism (Ranking)

Individualism Personal time Freedom Challenge

Collectivism Training Physical

conditions Use of skills

Masculinity vs. Femininity

Masculinity Social gender roles

are defined Men are assertive &

tough Women are modest

& concerned with quality of life

High difference between the genders

Femininity Social gender roles

overlap Men and women are

both modest & concerned with quality of life

Little difference between genders

Masculinity vs. Femininity (Ranking)

Masculinity Earnings Recognition Advancement Challenge

Femininity Manager Cooperation Living area Employment

security

Uncertainty Avoidance

Strong uncertainty avoidance vs. Weak uncertainty avoidance

Uncertainty avoidance Risk avoidance

Unique coping mechanisms Stress among men and women

Confucian Dynamism AKA- long-term vs. short-term

orientation 5th dimension revealed through

another study- Chinese value survey (CVS)

Administered to 100 students in 23 countries

Findings of study Related to economic growth

Confucian Dynamism (Ratings)Long-term orientation Persistence Ordering relationships

by status and observing this order

Thrift Having a sense of

shame =High economic

growth

Short-term orientation Personal steadiness

and stability Protecting one’s “face” Respect for tradition Reciprocation of

greetings, favors, and gifts

=Less economic growth

IRIC Study IBM vs. IRIC National Values vs. Organizational

Practices Organizational Practices as

“Communities of Practice”

Dimensions of Organizational Practice

Process-Oriented vs. Results-Oriented

Employee-Oriented vs. Job-Oriented Parochial vs. Professional Open System vs. Closed System Loose Control vs. Tight Control Pragmatic vs. Normative

Practical Implications of IRIC Findings

Structural Changes Process Changes Personnel Changes Cultural Training

Critiques

Positive Well reviewed Hofstede

succeeds in his main goal

Timely publication of Culture’s Consequences

Negative Limits of study Sweeping

generalizations Western bias IRIC study-

criticisms

Discussion Where do you think the United States ranks

among the five dimensions of national culture? Do you think national values can change over

time? What are the practical implications of these

findings? Do you think that increasing globalization and

advancements in technology will lead to a narrower spectrum of national values?

Is it possible for someone to identify with more than one national culture?

Sources Consulted:Bing, John W. (2004). Hofstede’s consequences: The impact of his work on

consulting and business practices. Academy of Management Executive, 18 (1), 80-87.

 Hofstede, Geert. (1991). Cultures & organizations: Software of the mind:

Intercultural cooperation and its importance for survival. New York: McGraw-Hill.

 Hofstede, Geert. Geert Hofstede about himself. (n.d.) Retrieved November

2004 from http://spitswww.uvt.nl/web/iric/hofstede/index.htm Hoppe, Michael H. (2004). An interview with Geert Hofstede. Academy of

Management Executive, 18 (1), 75-79. International Business Center. Geert Hofstede. (n.d.) Retrieve November

2004 from http://geert-hofstede.international-business-center.com/

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Business Studies, 23 (2), 362-366.

 Mumford, Alice. (1992). Cultures and organizations. Industrial & Commercial

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