And these three levels contain several sub-levels. From these sub-levels five of them are most important to the four international managers, which will give them a better understanding of my culture- Artefacts and behaviour: Architecture and design: It gives a hint at the fundamental assumptions regarding internal integration like bringing people together and external adaptation refers dominating nature. Towards the inside an organisation the most noticeable artefact is the architecture and the design of the building (Schneider 2003; Barsoux 2003).Open space office is popular in Australia which is more likely to be partitioned off by half walls. It is in the sense of privacy is established by not being able to see the others.
But it is not inevitably signalled in the similar technique. Open door policies are intended to encourage people to interact with people but closed door point to the wish of privacy. Forms of address: Schneider and Barsoux (2003) states the degree of formality in addressing business relations sends important signals that may not be intended, anything from respect, to friendliness, to disdain.It is a formality to using a last name. As example- addressing business corresponding person by their first name is acceptable in Australia. It is intended to generate a friendly atmosphere for discussion by being informal which is comparatively unwelcome by some of the Latin European country.
Because they used to put off first name for family members. By addressing some one by their first or last name help to make relationship easier and giving priority as well.Dress code: Dress code is one of the important artefacts for a culture and also differs in level of regulation for an organisation (Schneider 2003; Barsoux 2003). As managers from France and UK, they are well-known about the impotency of dress code. And it is not different in Australia. Because Australian believes dress code signals task orientation. Like rolled up shirt sleeves are considered relaxing which is similar to France culture. There is one more benefit to having a dress code which ends the style war between the colleagues.
And it’s manager’s duty to encourage their employees to do that.Beliefs and values: Criteria for success: The value of work is expressed through people, so the beliefs and values are significantly essential to success. National culture plays a big part in organisations success and it is followed by share holders, customers or employees. Every one needs to be creative and contribute to continual innovation. Continuous improvement of product quality and design can make a big difference to the customers. And technologically it should be upgraded because peoples are obsessed about technology in Australia.Finally everyone needs to believe “if the customers are successful, the company (GAP) will be successful”. Assumptions: External adaptation: External adaptation of a culture consist relationship with nature, nature of human activity and nature of truth and reality.
Manager needs to avoid uncertainty and risk which is society’s discomfort. They have to give impotency on scheduled, belief and responsibility. Only the manager who assumed that he got control over nature they are more likely to take action and these are based on their thinking and personality.
They are more valued regarding the relationship with the people. In the end the solutions to problems of external adaptation are revealed in assumptions regarding control over nature human activity, and how truth is established (Schneider 2003; Barsoux 2003). Task 6 There are numerous strategies for managing cultural differences. Pick FOUR of these to discuss, then chose one that you believe would be most effective in Gap’s expansion into your country. Provide a rationale for your choice of strategy.
Every multinational company have different strategies to manage cultural differences.It examines the cultural and organisational complexities which take place for the phase of mergers and acquisitions, joint ventures and alliances. With having a strategy of cultural differences some organisation ignore it for irrelevant for work, some think as a threat and some take it as an opportunity to have competitive advantage (Schneider 2003; Barsoux 2003). For the expansion GAP in my country we are going to discuss about four different strategies to managing cultural differences.These are as follows- Ignoring cultural differences: “Business is business” is the main theme whenever a company decide to ignore cultural differences.
Policies and practices are developed in the home country and readily transferable to the organisation (Schneider 2003; Barsoux 2003). By ignoring the cultural differences managers needs to be efficient and regulate their work. Having good communication in all levels of the employee it is easier to have a better decision. When people are under an umbrella (organisation) their thinking, and believes should be same to reach organisation’s goals.Minimizing cultural differences: This strategy refers cultural differences is important but needs to be minimizing its impact to become threat. To making a global corporate culture this strategy having a big impact. Subsidiaries relation with head quarter is polycentric or regiocentric.
It means company set up target for its subsidiary to meet and they got authorisation to do as they want to do. Some times regional manager visit the subsidiaries and local managers can consult with them about production and quality.Decision making process is decentralise and top down management system (Schneider 2003; Barsoux 2003). Utilising differences: This is the strategy who believes cultural differences are opportunities. Managers from different countries need to have skills of cultural and linguistics to operate throughout the country borders. Strategy for business or the decisions are made by HQ and subsidiary. Because subsidiary knows more about local culture and market demand. National conditions have a big impact on international competitive recompense which inspires innovation (Schneider 2003; Barsoux 2003).
Continuous learning and innovation by HQ and subsidiaries implement new ideas. MNC whoever believes the key to success is local passion, pride and ownership of brands which helps local manager to think global (Schneider 2003; Barsoux 2003). Because their corporate motto is “think global, act local” which require flexibility, humility and open mind-ness to develop. Creating culturally strategic alliances: Strategic alliances and joint ventures are recognized for most excellent form of managing diversity.Having alliance, the company act like political federations where they compete for globalisation. But with this companies become independence, avoiding antitrust regulations and retain local identity and keeping political ties (Schneider 2003; Barsoux 2003).
Actually with the alliance two or more companies work together, they make their strategy, culture, and operation plan according to the base company. Within the frame of joint venture or alliance companies needs to rely on local culture, beliefs and artefacts where cultural difference added value to competitive advantage.