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MGHB02H3 (268)
Chapter 4

ch.4 for MGTB23

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University of Toronto Scarborough
Management (MGH)
Samantha Montes

WHAT ARE VALUES? Values is a broad tendency to prefer certain states of affairs over others o They are motivational o They are general o Classify values into several categories Intellectual Economic Aesthetic Social Political Religious Occupational Differences in Values Members of different groups support different values Differences can cause conflict between organizations and within organizations when members of different occupations are required to interact with each other A good fit of values between supervisor and employees promotes employee satisfaction and commitment People choose occupations that correspond to their values Values across Cultures A lengthy history of failed business negotiations is attributable to a lack of understanding of cross-cultural differences o At the root is a lack of appreciation of basic differences in work-related values across cultures Work Centrality o Work itself is valued differently across cultures o Those with more central interest in work were more likely to report that they would continue working despite winning the lottery o People whom work was a central life interest tended to work more hours o Japan topped the list, with very high work centrality Hofstedes Study o Discovered four basic dimensions along which work-related values differed across cultures: power distance, uncertainty avoidance, masculinity/femininity, and individual/collectivism Power Distance refers to the extent to which society members accept an unequal distribution of power, including those who hold more power and those who hold less Small power distance societies include Denmark, Israel, and Austria o Inequality is minimized, superiors are accessible, and power distances are downplayed www.notesolution.com Large power distance societies include Mexico, Philippines and Venezuela o Inequality is accepted as natural, superiors are inaccessible, and power differences are highlighted Canada and United States fall on the low power distance side of the average Uncertainty avoidance refers to the extent to which people are uncomfortable with uncertain and ambiguous situations Strong uncertainty avoidance cultures include Japan, Greece and Portugal o Stress rules and regulations, hard work, conformity and security Weak uncertainty avoidance cultures include Singapore, Denmark, and Sweden o Less concerned with rules and regulations, conformity and security, and hard work is not seen as a virtue Masculinity/Femininity Masculine societies include Japan, Austria, Mexico and Venezuela o They clearly differentiate gender roles, support male dominance and stress economic performance Feminine societies include the Scandinavian countries o They accept fluid gender roles, stress sexual equality, and stress quality of life Individualism/Collectivism Individualistic societies tend to stress independence, individual initiative, and privacy o United States, Australia, Canada, and Great Britain Collective societies favour interdependence, and loyalty to ones family or clan o Venezuela, Columbia, and Pakistan Long-term/short term orientation Culture with long-term orientation tend to stress persistence, perseverance, thrift, and close attention to status differences o China, Hong Kong, Taiwan, Japan and South Korea Cultures with short-term orientation tend to stress personal steadiness and stability, face saving, and society niceties o United States, Canada, Great Britain, Zimbabwe, and Nigeria Implications of Culture Variation Exporting OB Theories o Organizational behaviour theories, research and practices from North America might not translate well to other societies o A good fit between company practices and the host culture is important www.notesolution.como The basic questions to how to manage remains the same, but the answers differ, depending on the type of different society you are going in Importing OB Theories o Not all theories and practices that concern organizational behaviour are designed in North America or even in the West o Many problems stem from basic values differences between two cultures o Understanding cultural value differences can enable organizations to successfully import management practices by tailoring the practice to the home cultures concerns Appreciating Global Customers o An appreciation of cross-cultural differences in values is essential to understanding the needs and tastes of customers or clients around the world o Appreciating the values of global customers is also important when the customers enter your own culture Developing Global Employees o Success in translating management practices to other cultures, importing practices developed elsewhere, and appreciating global customers are not things that happen by accident o Companies need to select, train, and develop employees that have a much better appreciation of differences in c
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