Due to the lack of leadership in the early stages of the joint venture, there will be less cooperation between the partners. The partners will have to manage the things with lesser resources that are well aware of the processes and operations of the joint venture. This will reduce the productivity of the organization in the earlier stages and thus the company has to face losses. Also, the lack of expertise in certain areas of the joint venture will reduce the overall performance of the employees as well as the organization.
Different mind sets of the people Due to the cultural variations, the employees of both the organizations will have different mind sets and thus there will be chance that the employees will not cooperate with each other. The qualities of the employees like the egoism, lack of expertise, unwillingness and the non cooperation will hinder the progress of the organization. 4. Analysis of the situation The problems that are existent in the current scenario are analyzed based upon the cultural theory proposed by Trompenaars and Hampden-Turner.This theory will highlight the problems that are hindering the growth process of the joint venture and the mindset of the employees who are responsible. The effective analysis will clearly recommend the solutions for the prevailing problems. Universalism vs. Particularism The joint venture is following the particularism as it is in the early stages of operations.
The employees are not following the rules that are designed by the organization instead working with their own mind sets to resolve any problems.Few employees are not even cooperating with the other employees as well as the managers as they think that they are the senior people. This is hindering the output progress of the organization. Communitarianism vs. individualism The employees are in the mood of individualism as they are not adapted to the company’s new work culture. The employees of the joint venture are not cooperating with the other batch of people. This is due to the lack of communication and good relationship among them.Though the management is treating the employees equally based upon their talent, the employees have not come out of the mind of the individualism.
Analyzing vs. Integrating The joint venture has given utmost priority to build relationships among the employees as well as the managers through the integration. Since the joint venture has the employees of both the organizations, the integration is needed to make the employees to interact with each other and thus maintain good relations with them.But this will take time as their cultural backgrounds are different and hence they are unable to mingle with each other.
Inner-directed vs. Outer-directed The employees in the organization are encouraged to make use of the real time experience to implement the best possible solutions in case of dilemma. However, the managers as well as the employees are implementing their own decisions in the work place and thus this is degrading the performance of the organization. The outer directed approach will help the company as well as the employees to better the processes and thus improve the productivity.However there had been no chances of improvements until they are educated about the problems of inner directed approach. Time as sequence vs. Time as synchronization The employees are allowed to manage the processes in parallel rather based upon the sequential time consuming time a sequence approach.
But due to the lack of the cooperation among few employees, the synchronization is not possible for the betterment of the processes. The sequential processes will consume more time to complete the processes and hence will reduce the efficiency of the company and the employees.The company should encourage the synchronization in the processes to taste short term wins of the joint venture which will increase the motivation of the people. Achievement vs. ascription All the employees in the joint venture are treated with equality irrespective of their culture, race or nationality. They will be promoted and given hikes according to their performance, though the seniority is also taken into consideration. The cultural differences will not be considered when the employees are promoted to the higher levels. The better performing employee will always be considered as an asset to the company.
Though the company is treating the employees equally still there are variations due to the managerial partiality. Equality vs. Hierarchy The employees who are performing well will be given additional responsibilities and they will be promoted according to their level of expertise. Whether an employee is at the manufacturing unit or in the managerial role, he or she will be given the same priority if performing well. The hierarchy won’t be considered when they are promoted.
Some loopholes exist in the system because of the partial managers who are giving priority to their own group of people.