Instructor: Mary Seel
19 December 2014
Managing Culture Clashes in Global Economy
Nowadays in terms of globalization processes people and organizations tend to unite and create the alliances in order to achieve some common goals, make much more effective performance due to synergy effect and solve the vital world problems. To act together in a harmonious and effective way, to make the world one single whole and take all the advantages from the globalization people need to understand each others’ values, beliefs and norms, view time and space in various ways, see different ways of organization etc. – in other words, people need and even have to understand each others’ cultures. Culture is the base for everything in our lives, from greetings to company structure and the way of manufacturing. Of course, culture has great influence on economy and business, which are effected by globalization most of all. The effect of economic globalization is shown by increasing number of international corporations, expanding international markets and their importance for national economics. So the key to success and prosperity for companies and countries is in international business; however, managing an international company is the extremely difficult process as it means to rule and control people with different attitude to work, time, responsibility, titles etc. at the same time. Any international corporation needs a specialist who would be competent to understand all the nuances of various cultures in company and design different strategies of managing the company to improve its international performance. This particular specialist is a cross-culture manager, a person who removes misunderstanding and creates the harmony.
As it is stated in the manual “Understanding Cross – Cultural Management” by Browayes and Price, cross cultural management is the new, developing professional field; according to Chandra Vennapoosa, B.S Arch Graduate, Managing Director of Exforsys Inc, founder of exforsys.com and geekinterview.com., and her article “Cross Cultural Management” it has appeared due to globalization to serve as a guide for organizations involving employees of diverse cultural traits and values. First of all, the job of cross cultural manager is the kind of job for the specialist in World Economy and it involves organizing and managing the work teams in such a way that preferences, practices and cultures in a international or global business context. According to the article “Cross Culture Management” by Vennapoosa, the job of cross culture manager means “the ability to deal with or handle cultural diversities in the workplace which greatly affect the ideas, values, and behaviors of employees with a goal of creating a harmonious and productive work environment”. During the research I have found that cross culture managers solve the following tasks: Eliminating misunderstanding of workers’ cultural etiquettes, values, and behaviors and discrimination caused by poor communication and employee alienation; Creating proper workplace and work environment according to employee’s cultures in order to achieve the most productive and effective work performance; Designing market and other business strategies for foreign outlets of companies for its successful expanding to the overseas markets; Conducting negations and signing contracts with foreign partners in a proper way to establish good business relationships
Regulating culture conflicts in business in order to improve relationships and production processes Based on my personal knowledge of the field, I can state that all the sphere of cross-culture management and its specialists are divided into two major groups: 1) Specialists who are involved into science and theory. They do various research about cultures and its factors, reveal the relations and correlation, study some psychological issues, classify...
Cited: Browayes, M.J.,Price, R. Understanding Cross – Cultural Management. Second edition. Harlow: Pearson Education Limited, 2011.
Novosibirsk State University of Economics and Management. Russian-American Dual Programme. Comparing Payment for Education in Russian Federation and United States. Web. August 20, 2011
Russian Federation. Federal Statistics Service. Official statistics. Labor market, employment and wages. December 2, 2014
United States. Bureau of Labor Statistics. "Accountants." Occupational Outlook Handbook. Business and Financial. December 4, 2014
United States. Bureau of Labor Statistics. "Accountants." Occupational Outlook Handbook. Life, Physical, and Social Science Occupation. January 8, 2014
United States. Bureau of Labor Statistics. "Accountants." Occupational Outlook Handbook. Fastest Growing Occupations. January 8, 2014
United States. Bureau of Labor Statistics. "Accountants." Occupational Outlook Handbook. Highest Paying Occupations. January 8, 2014
Vennapoosa, Chandra. “Cross Cultural Management” Web. July 17, 2012
Vennapoosa, Chandra. “Cross Cultural Competence in International Business” Web. July 21, 2012
Please join StudyMode to read the full document