Monday, September 25, 2006

Culture and Decision Making

One of the most common errors that business leaders make is to take North American sound bites into a different culture. While some the dynamics of corporate culture are universal, many times it is not.

An example is that of the popular western approach to self-directed management. In the U.S. the culture is generally individualistic, resistant to restraints and the desire for everyone to feel like they are their own bosses, even if their job is at the bottom of the company hierarchy.

In many countries of Asia, Eastern Europe and much of Western Europe, hierarchical management drives the corporation. “Self” is not only discouraged, it is condemned.

A U.S. corporate coach outlined the differences between a coaching culture (inefficient and ineffective, in his estimation versus non-coaching culture (which he deemed superior).


In a non-coaching culture:

* Leaders tell others what to do and how to do it.

* Companies establish rules, structures and procedures to maintain control.

* Managers delegate responsibility with specific instructions and expectations.

* Bosses make decisions to be carried out by employees.

* Supervisors are judged by how much they know.

* Employees are expected to perform their work without question or feedback.

In a coaching culture:

* Leaders create visions, engage in dialogue and empower people to think critically, take risks and come up with their own solutions.

* Companies establish rules, structures and procedures through collaboration to enhance productivity.

* Managers allow freedom and creativity in carrying out assignments, with workers accountable for results, not the way they achieve those results.

* Bosses and workers make decisions together to attain goals in both the short term and the long term.

* Supervisors are judged by how effective their teams are.

* Employees are valued and encouraged to participate in the process, strategize and find solutions.

So which is better? One can make an argument for both sides, but that’s not the point. The issue is that corporation’s work differently based on their cultural rules. If a business does tries to impose their standard of operation on others they will fail every time. Learning culture means understanding how their systems work and make it better within their social work environment. Not to make them like us.

Monday, September 18, 2006

Anthropology and Business

The word on the street is understand corporate culture. What does that mean? What is culture and why is it important in business?

Culture is a combination of things: Language, Behavior, Values and Symbols. Every organization talks a certain language (not English or Japanese but language that is particular to the specialty of that company). Did you know that the same behavior greeting that is honorable in Korea is an offense in Russia? In Texas a company may value efficiency above relationships, whereas in Cambodia there is no higher value than interpersonal harmony. Man is a walking symbol and every business defines what are the appropriate (and inappropriate) symbols.

Anthropology is the study of man. Physical anthropologist dig up bones, cultural anthropologist dig up behavior. So what role does a cultural anthropologist have in business? Ask Microsoft, which has, at last count, seven on payroll. Intel, Pitney Bowes Inc., also have anthropologist on staff.

In cross-cultural studies not only does the anthropologist analyze corporate behavior, they help companies talk to other cultures. Most companies have a host of cross-cultural issues both inside their own business and certainly when dealing with other companies in a different country. The key to success is two fold: (1) Learn corporate culture, (2) Communicate cross-culturally.