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Challenges of Managers

Managing a diverse workforce Keeping up with technological change and implementing technology in the workplace Managing ethical behavior. Hofstede's cultural typology is based upon a study of 100,000 IBM employees. Power Distance is the extent to which hierarchical differences are accepted in society.

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Kiran Virk
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64 views40 pages

Challenges of Managers

Managing a diverse workforce Keeping up with technological change and implementing technology in the workplace Managing ethical behavior. Hofstede's cultural typology is based upon a study of 100,000 IBM employees. Power Distance is the extent to which hierarchical differences are accepted in society.

Uploaded by

Kiran Virk
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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TOPIC

Challenges for Managers

Remaining Competitive: Four Major Challenges to Managers


Globalizing the firms operations Managing a diverse workforce

Keeping up with technological change and implementing technology in the workplace Managing ethical behavior

Changing Business Perspectives


From International (which implies an individuals or organizations held nationality is strongly in consciousness)

To Globalization (which implies the world is free from national boundaries and that it is really a borderless world)

Changing Business Perspectives


From Multinational Organizations (in which the organization was recognized as doing business with other countries)

To Transnational Organizations (in which the global viewpoint supersedes national issues)

Changes in the Global Marketplace


Collapse of Eastern Europe Union of East and West Berlin Perestroika Expansion of business with China
Guanxi The Chinese practice of building networks for social exchange

Creation of the European Union Establishment of the North American Free Trade Agreement

Understanding Cultural Differences


Individualism High power distance High uncertainty avoidance Masculinity Long-term orientation Collectivism Low power distance Low uncertainty avoidance Femininity

Short-term orientation

Reprinted with permission of Academy of Management, PO Box 3020, Briar Cliff Manor, NY 10510-8020. Cultural Constraints in Management Theories (Figure), G. Hofstede, Academy of Management Executive 7, (1993). Reproduced by permission of the publisher via Copyright Clearance Center, Inc.

Hofstedes Dimensions of Culture


Geert Hofstedes cultural typology is the most often used. It is based upon a study of 100,000 IBM employees who work in IBM divisions throughout the world. Hofstedes survey revealed four underlying dimensions of culture:
Power Distance Uncertainty Avoidance Individualism/Collectivism Masculinity/Femininity Long-Term Orientation

Power Distance (PD)


Power Distance is the extent to which hierarchical differences are accepted in society and articulated in term of deference to higher and lower social and decision levels in organization. Artifacts of high PD:
Centralization # Org. Levels- Height # Supervisors Wage Differentials Values, White & Blue Collar Work

Power Distance (PD)


Exhibit 6-6: Power distance: country examples and organizational implications

Power Distance (PD)


Exhibit 6-7: Rank distinctions among the Japanese

Chapter 6: The Cultural Environment

Uncertainty Avoidance (UA)


Uncertainty Avoidance is the extent to which uncertainty and ambiguity are tolerated. Artifacts of high UA:
Standardization Structured activities Written rules Specialists No risk tolerance Ritualistic behavior
Chapter 6: The Cultural Environment

Uncertainty Avoidance (UA)


Exhibit 6-8: Uncertainty avoidance: country examples and organizational implications

Chapter 6: The Cultural Environment

Individualism/Collectivism (I/C)
I/C is the extent to which the self or the group constitutes the center point of identification for the individual. Individual self interest is pursued individually, or as a part of a group. Artifacts of I/C
Firm as family Utilitarian decision making Group performance

Individualism/Collectivism (I/C)
Exhibit 6-9: Individualism/collectivism: country examples and organizational implications

Masculinity-Femininity (M/F)
Refers to the extent to which traditional masculine values, like aggressiveness and assertiveness, are valued. Artifacts of M/F
Sex Roles Minimized More Women In Jobs Interpersonal Skills Rewarded Intuitive Skills Rewarded Social Rewards Valued

Masculinity-Femininity (M/F)
Exhibit 6-10: Masculinity/femininity: country examples and organizational implications

Long-Term Orientation (LTO)


Originally called Confucian Dynamism because of anchoring in the Confucian value system. Represents such values as thrift, persistence, and traditional respect of social obligations. Organizations likely to adopt longer planning horizon, with individuals ready to delay gratification.

Long-Term Orientation (LTO)

Schwartzs Classification
Three polar dimensions of culture:
Embeddedness versus Autonomy
Embeddedness emphasis on social relationships and tradition Autonomy finding meaning in ones own uniqueness

Hierarchy versus Egalitarianism


Hierarchy legitimacy of hierarchical role and resource allocation Egalitarianism transcendence of self-interests and promoting others welfare

Mastery versus Harmony


Mastery mastering the social environment via self-assertion Harmony being at peace with nature and society

Schwartzs Classification
Exhibit 6-13: Sample country rankings on Schwartzs dimensions

Trompenaars and Hampden-Turners Classification


Consists of seven dimensions:
1. Universalism versus particularism rules versus relationships 2. Communitarianism versus individualism the group versus the individual 3. Neutral versus emotional 4. Diffuse versus specific 5. Achievement versus ascription 6. Attitudes to time 7. Attitudes toward the environment

Where the U.S. Stands


Individualism High power distance High uncertainty avoidance Masculinity Long-term orientation Collectivism Low power distance
Low uncertainty avoidance

Femininity Short-term orientation

Reprinted with permission of Academy of Management, PO Box 3020, Briar Cliff Manor, NY 10510-8020. Cultural Constraints in Management Theories (Figure), G. Hofstede, Academy of Management Executive 7, (1993). Reproduced by permission of the publisher via Copyright Clearance Center, Inc.

Developing Cross-Cultural Sensitivity


Cultural sensitivity training Cross-cultural task forces/teams Global view of human resource functions
Planning Recruitment and Selection Compensation Training and Development

Diversity

All forms of individual differences, including culture, gender, age, ability, personality, religious affiliation, economic class, social status, military attachment, and sexual orientation

Diversity Statistics for the Workplace


Cultural 2020 Workforce: 68% white non-Hispanic
14% Hispanic 11% African-American 5% Asian

Gender 2020 Workforce: 50% male


50% female

Women and Obstacles at Work


Today, women make up over 60% of the workforce, earn 32% of all doctorates, 52% of masters degrees, and 50% of undergraduate degrees BUT Today, women hold less than 15.7% of Fortune 500 corporate officer positions, earn 78% of what their male counterparts do, and encounter the glass ceiling in the workplace

a transparent barrier that keeps women from rising above a certain level in organizations

Diversity Statistics Affecting the Workplace


Age

By 2030, there will be 70,000,000 older persons. People over 65 will comprise 20% of the population.

Ability

An estimated 50 million disabled live in the U.S.; their unemployment rate exceeds 50%.

Diversitys Benefits & Problems


BENEFITS PROBLEMS

Attracts & retains the best human talent Improves marketing efforts Promotes creativity and innovation Results in better problem solving Enhances organizational flexibility

Resistance to change Lack of cohesiveness Communication problems Interpersonal conflicts Slowed decision making

Ethical Theories

Rule-Based Theory an ethical theory that emphasizes the character of the act itself rather than its effects

Consequential Theory an ethical theory that emphasizes the consequences or results of behavior

Character Theory an ethical theory that emphasizes the character, personal virtues, and integrity of the individual

Employee Rights Issues


Computerized monitoring Drug testing Free speech Downsizing Layoffs Due process AIDS in the workplace

Sexual Harassment = Unwanted Sexual Attention


Gender Harassment crude comments; behaviors that convey hostility toward a particular gender Unwanted Sexual Attention unwanted touching, unwanted pressure for dates Sexual Coercion demands for sexual favors through job-related threats or promises

Harassment or Potential Romance?

Organizational Justice
Ex. Companies in Danger

vs.

CEO Salaries

Distributive Justice fairness of the outcomes that individuals receive in an organization Procedural Justice fairness by which the outcomes are allocated in an organization
Ex. Competence and Skill vs. Race and Gender

Individual and Organizational Responsibility


Whistle-Blower an employee who informs authorities of the wrongdoing of his or her company or coworkers Public Hero Vile Wretch Social Responsibility the obligation of an organization to behave ethically

Rotary Four-Way Test of What We Think, Say, or Do


1. Is it the TRUTH? 2. Is it FAIR to all concerned? 3. Will it build GOODWILL and better friendships? 4. Will it be BENEFICIAL to all concerned?

Technological Innovation
Examples Technology Internet integrates The intellectual and computer, cable, telecommunications mechanical processes technologies used by an Expert System computerbased application using a organization to representation of human transform inputs into expertise in a specialized products or services field of knowledge to solve problems that meet Robotics use of robots in organizational goals organizations

Alternative Work Arrangements


Telecommuting transmitting work from a home computer to the office using a modem
Employees Gain flexibility Save the commute to work Enjoy the comforts of home But, they Have distractions Lack socialization opportunities Lack interaction with supervisors Identify less with the organization

Additional Alternative Work Arrangements


Hoteling employees have mobile file cabinets/lockers for personal storage; work spaces are reserved, not assigned Satellite Offices large facilities broken into smaller workplaces near employees homes Virtual Office people work anytime, anywhere, with anyone

Technological Change Requires Managers to


Develop technical competence to gain workers respect Focus on helping workers manage the stress of their work Take advantage of the wealth of information available to motivate, coach, and counselnot to control

Help Employees Adjust by


Involving them in decision making regarding technological change Selecting technology that increases workers skill requirements Providing effective training Establishing support groups Encouraging reinvention (creative application of new technology)

Four Challenges to Organizations in the New Millennium


Globalization

Diversity Ethics
Technology

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