HR and Culture Part 1 Bb Version

8/8/2019 HR and Culture Part 1 Bb Version

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Human Resource (HR) Practices and

Cultural dimensionsPart 1

Paul Hill


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Objectives

To introduce the issue of the relationship

between culture and management

To analyse the issue of the relationshipbetween culture and human resource

management


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Management

Managers: Experts or Problem solvers ?

Links with Hofstedes dimensions and

Expectations of Hierarchical status in relationto this question linked to expectations of

subordinates

USA/Scandinavia- role of manager is to be a

problem solver (US- if they give all the

answers then stifles initiative of subordinate)


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Management

Indonesia/Japan- opposite of US- managers

should have precise answers to any

questions/problems arising

France- credibility of a manager is lost if they

dont show expertise

Overall- how organisations are viewed in

terms of hierarchy, politics and authority

differs by national culture


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Management

This can become problematical when nationalcultures interact in terms of effectiveness(cultural understanding/empathy/synergy?)

Laurent 1983

NB- This is not the only factor thatmanagement across cultures can be

compared/analysed- power , influence, trust,task orientation and issue of convergence ordivergence


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FrenchManagers

Elitism in action( Barsoux and Laurence1994

Hierarchy and authority:

Lack of humour (joking around) humour notmeant to facilitate bonding betweenmanagers and employees

Managers dont feel they can relax more asthey go up the hierarchy- authority isntsomething to be taken lightly


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FrenchManagers cont

Appearances matter- French executives less likely to

relax their dress or posture- this is a sign of

relaxation or not getting down to business

Personal life- French managers are less likely to

appreciate enquiries into their personal lives or

family or how they spent the weekend

Empowerment found not to be well received in

French companies- this makes subordinates

responsible for decisions previously taken by their

bosses . MNCs have found this difficult in France.


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French management

Trompenaars- Universalism/particularism-The

French are the most particularist country in our

study- does this mean that France is lawless? NO-

Why?:

French employees aspire not to the rules but to the

person in power ( their managers) and so respect the

ability of the manger to interpret the rules and

cascade them to subordinates- they are the most

skilled at bending without breaking the rules

(Trompenaars)


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Strategic decision making in contrasting

cultures (Warner,M)

Different cultures make for contrasting decision

styles

UK/Sweden comparison:

Control in British context is based les on formal rules

and more on reciprocal, personal trust

Sweden- Value placed on human rights and

democratic procedures exists in tension with vestingof ultimate power in the hands of top managers


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Human Resource Management (HRM)

Convergence or Divergence in HR best

practice?

Some signs of this- but to what extent to HRpractices reflect

Country of origin

Country of operation A hybrid?


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HRM

If we accept the view that HRM approachesare cultural artefacts reflecting the basicassumptions and values of the national

culture in which organisations are embedded(then) International HRMbecomes one of themost challenging corporate tasks inmultinational organisations HR Director of

Honeywell, Europe

(Laurent 1986)


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HRM

The role of the HR manager, the priest in whose

hands the companys ten commandments lie, is to

ensure the survival of its soul. Far from merely

providing a functional service determining salaryrises and fringe benefits, the hr function forms the

very heart of a company and its manager exists to

confirm the companys particular values and try to

apply them in practice (Michael Perez AppleComputer, Europe from Evans P 1986 INSEAD case)


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HRM

Convergence or Divergence?

Overall strategy and policy can determine anorganisations aspirations in HR

But cultural differences can mean the samepolicies can have different effects in differentcultural contexts

How to internationalise HRM?

..internationalising HRM may be too importantto leave to the HR department Honda


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Convergence or Divergence

So to make or break local rules?

Values core to the organisations global

reputation may mean breaking local practice-could even distinguish the organisation locally

On the other hand- pursuing a strong culture

for the sake of it? Out of touch with local

situations can alienate employees- impinging

on their freedom


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The Cultural Meaning of HRM

US- HRM roots in psychology, prime concern

being worker motivation with focus on the

individual- analysing employee needs,job

analysis, reward systems and performance

management

Europe- sociological roots-paying attention to

social systems, economic and politicalcontexts, and the nature of the relationships

between govts, unions and management


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Activities of Human Resource

Management

Employee Resourcing-(Human Resource

Planning, Recruitment and Selection)

Human Resource Development- ( Induction(socialisation), Training, Development)

Performance - (Managing

Performance/Appraisal; Employee Reward,

Pay )


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Activities of HRM - continued

Involvement-( Diversity Management,

Employee Relations, Health, Safety, Employee

Welfare; Grievance and Discipline of

employees)


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Activities of IHRM

Resourcing- mix of nationalities, experience

and language skills in senior and other key

positions, cross border business teams

HRD- Development programmes mixing

nationalities, Cross cultural training, language

skills, IT applications

Performance-Career ladders that reward

international experience, Pay that reflects

global and local issues


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Activities of IHRM cont

Involvement- Employee Relations-

Recognition (or not) of trade unions, otherwise

assessing employee adverse reactions toforeign/cultural infringements- distress,

frustration, alienation, demotivation

Overall strategically changing the mindsetof the

culture of the company to reflect changing

from domestic to international environment


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HRM activities in a cross cultural

environment

Socialisation (Induction)

Learning the company ropes

New members absorb the corporate cultureand become acquainted with the values and

behaviour expected of them

These may not be so accepted cross culturally


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Disney

Formal and informal socialisation procedures of alarge and well known (loved?) MNC

Enrolled at University of Disneyland- 40 hour

programme: use of language, section/area ofwork , appearance standards, dealing withcustomer questions, levels of motivation

Informally- where they work determines socialstatus, People are dismissed for taking too longbreaks, not wearing part of the uniform, orproviding longer than usual rides. Pranks canoccur but subject to scrutinisation/acceptability


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Socialisation

Work and Private life-

US- 7 am power breakfasts or weekend

company picnics or Friday night beer bustsmay not be so acceptable in say France or

Germany. Or taking on the boss in a tennis

competition supposed to be equal

competition? Or wearing swim suits or shorts-out of normal context?


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Socialisation

Work and Private life cont

Japan- young managers quickly learn thatworking long hours, drinking with the boss at

karaoke bars and playing golf at weekends are notentirely voluntary! And how about thosecompany songs etc how transferrable werethey to the UK and USA?

Alternatively wearing of same corporateuniform in Japanese UK sites were appreciated-seen as reducing class distinction betweenworkers and managers


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Socialisation

Mission cards issued to all staff and placed on

the walls of every office

Senior staff issued with personal items withcompany logos- Disney- ;mickey mouse

watches


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Assessment of culture in Mergers and

Acquisitions (M&As)

Cultural Due Diligence- to evaluate factors

that may influence the organisational fit, to

understand the future cultural dynamics as

the 2 organisations merge

Prepare a plan of how cultural issues

addressed if merger occurs


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Acquisitions (M&As)

Categories of audit include:

Broad Leadership:

Is the org result or process oriented?

Where is the power?

How are decisions made?

How does the org manage information? What counts in being a valuable employee?

Is the culture individual or team based?


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Acquisitions (M&As)

Human capital:

What unique skills do employees have?

What is Target organisations talent? Background of management team?

What happens if some mgt leave?

Compensation philosophy? Reporting relationships?

How are decisions made?


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Acquisitions (M&As)

Early information/assessment helps to

pinpoint potential risk factors and areas to

help overcome potential problems

HR and Culture Part 1 Bb Version

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