CHAPTER 3

Global Dimensions of
Organizational Behavior

Ms. K-an R. Sol

Instructor
Globalization
- process of interaction and integration among the people,
companies, and governments of different nations, a process driven
by international trade and investment and aided by information technology
- Global expansion of companys operations including workforce
- Companies that want to grow often need to tap international
markets, where incomes is rising and demand is increasing
- Globalization means that a companys talent can come from
anywhere workforce diversity
 Global Managers
- Someone who has the international
awareness and cultural sensitivity needed
to work well across national borders
- Often multilingual and thinks of a world
view; appreciates diverse beliefs, values,
behaviours and practices, and is able to
map strategy accordingly.
Attributes of a Global Manager
Adapts well to different business environments
Respects different beliefs, values and practices
Solves problems quickly in new circumstances
Communicates well with people from different
cultures
Speaks more than one language
Understands different government and political
system
Conveys respect and enthusiasm when dealing
with others
Possesses high technical expertise for a job
 Cultures and Cultural Diversity

Culture
- the learned and shared way of thinking and
acting among a group of people or society
- software of the mind
The hardware of the mind is universal but the
software of culture takes many different forms
 Dimensions of Culture
Language
- the vocabulary and
structure of a
language reflect the
history of a society
and can also reveal
how members relate
to the environment
Time Orientation
- peoples view of time

Polychronic Cultures peoples view of time is

cyclical
Monochronic Cultures people view time as a
straight line
Use of Space
Religion
- Proxemics the study
of how people use - more visible
space to communicate manifestation of
- Personal space vary culture
from one culture to
another
Geert Hofstedes Dimensions of
National Culture
Geert Hofstede
- a Dutch social
psychologist who
did a pioneering
study of cultures
across modern
nations
Individualism-Collectivism
Individualistic cultures - cultures in
which people define themselves as an
individual and form looser ties with their
groups
Collectivistic cultures - are cultures
where people have stronger bonds to their
groups and group membership forms a
persons self identity
Power Distance
- degree to which the society views an
unequal distribution of power as
acceptable . In low power distance
cultures, egalitarianism is the norm. In
high power distance cultures, people
occupying more powerful positions are
viewed as more powerful and deserving a
higher level of respect.
Uncertainty Avoidance
- degree to which the people feel
threatened by ambiguous, risky, or
unstructured situations. Cultures high in
uncertainty avoidance prefer predictable
situations and have low tolerance for
ambiguity. Employees in these cultures
expect a clear set of instructions and clarity in
expectations
Masculinity-Femininity
Masculine Cultures - cultures that value
achievement, competitiveness, and
acquisition of money and other material
Feminine Cultures - are
cultures that value
maintaining good
relationships, caring for the
weak, and emphasizing
quality of life.
 Understanding cultural differences
What can organizations do to manage
cultural diversity?

1. Help employees build a cultural intelligence

Cultural Intelligence - a persons capability
to understand how a persons cultural
background influences ones behavior

2. Avoid ethnocentrism
Ethnocentrism - belief that ones own
culture is superior to other cultures one
comes across
3. Listen to locals
When doing cross-cultural business, locals
are a key source of information
4. Recognize the culture changes
- cultures are not static they evolve over
the years
5. Do not always assume that culture is the
problem
- enlarges cultural gap
Globalization and People at Work
Multinational corporation
- business with extensive
international operations
in more than one country

Multicultural Workforces
- styles of leadership, motivation,
decision making, planning,
organizing, leading and controlling
vary from country to country
Expatriates
- People who work and live abroad for
extended periods of time are referred to as
expatriates
Three phases of adjustment to the new
country:
a. Tourist Stage
b. Disillusionment Stage
c. Culture Shock
Ethical Behavior Across Cultures
Special ethical challenges arise as a
result of cultural diversity and the variation
in governments and legal system that
characterize our world.

Sweatshop organizations that force

workers to labor under adverse conditions
that may include long work days, unsafe
conditions, and even the use of child labor
Cultural Relativism suggests that
ethical behavior is determined by its
cultural context

Ethical Absolutism
assumes that a
single moral
standard applies to
all cultures
Are management theories universal?

No at least not without careful

consideration of cultural influences.
Culture can influence both the
development of a theory or concept and its
application.
 The Filipino Culture in the
Organization
1. Bahala Na
- came from the concept BATHALA or
God will provide everything we need
2. Pakikisama in the workplace and social
setting
3. Palakasan System
4. Palusot System
5. Mamaya na Syndrome
References:
http://learn.org/articles/What_is_Global_Ma
nagement.html
http://www.global-strategy.net/what-is-
global-management/