SME - HHS Asimba SSO
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The context of HRM
in the e-worlds
David Weir
Presented at the e-HRM symposium
Cultural Dynamics at the Virtual Workplace
Haagse Hogeschool
September 2005
IMPORTANCE OF CULTURALLY-RELEVANT KNOWLEDGE
• Knowledge of new markets should be in line with
the priorities, and socio-cultural preferences of
developing countries
• Observable workplace behavior is strongly
influenced by latent, unobservable social attitudes–
which can aid or hinder the transfer of knowledge
• This is even more true of the Virtual domain
• Effective knowledge transfer hinges on the
harmonizing of indigenous cultures and corporate
culture
• Each excursion into virtual territory is a “raid into the
unknown” (TS Eliot)
Relevant for
current and
future situations
in Asia, Southern
Africa and the
Middle World of
Arab heartland
and Islamicinfluenced
regions
1
Sources of Virtual Domain Behaviour
Culture
Basic Values
and Beliefs
Philosophical
Thought
Social
Attitudes
Virtual
domain
behavior
Religion
2
KEY TO UNDERSTANDING LOCAL CULTURE
Beliefs
Systems
Seniority in
leadership
and age
The way
individuals
relate with
others
Manifestations
of
Underlying values
Access to
technology
Language
used
Decision
Making
Process
Attitude
toward time
3
For example, comparing the Arab world and Southern Africa
The way
people
relate with
others
Language
and
Communication
Decisionmaking
Process
Attitude toward
time
MANIFESTATIONS OF UBUNTU and ARAB MANAGEMENT
• Emphasis on the unity of the whole
• Individual is a member of extended family or clan
• Considers kinship ties within the organization to be +
• Language establishes a sense of community,
• The social effect of conversation is emphasized
• Unity/understanding valued above efficiency/accuracy
• A premium is placed on personal rapport
• The goal is to preserve harmony and achieve
consensus
• The decision-making proceeds at a deliberate speed
• Diversity of vision is protected and encouraged
• Time is a unifying and integrating construct
• It is not experienced only in the present
• It heals past experiences and allows for reflection
4
MANIFESTATIONS (contd.)
Productivity
and
efficiency
Seniority in
leadership
and age
Belief systems
• Emphasis - social well being vs. technical rationality
• The objective is optimization vs. maximization
• Focus on the numerator vs. denominator in productivity
• Burden must be shared by all during hard times
• Leadership is easier to accept from a more
experienced
• Ceteris paribus, the scales tip in favor of seniority
(chronological age, service, or experience)
Islam as a Unifying value-system
Common Language/Ownership of Culture
Value of Education, Learning, Wisdom
Long Time span of Expectations
Questioning/Anxiety
Islamic Banking Systems based on respect for Wealth
Family structures as basis for capital accumulation
Respect for Authority
Acceptance of Responsibility for Systems/Outcomes
5
Master filters EG
ISLAM/ MIDDLE WORLD - THE “FOURTH PARADIGM”
There are at least four fundamental paradigms of management practice competing for
attention in the global economy
Key factors to
business and
society in the Asian
and Arab Worlds
American
1. The significance of
social networking
European
Management
Practice
2. Based on the
Arab/Islamic
expectation that
good practice of
Islam is what all
Muslims do
3. Universality of the
Asian
family as the basis
of social order
4. Strong belief in
technology as
driver of
modernisation
6
WASTA: SIGNIFICANCE OF SOCIAL NETWORKING
Wasta is a social network of interpersonal connections rooted in family and
kinship ties
Wasta is intrinsic to the operation of many valuable social processes, central
to the transmission of knowledge, and the creation of opportunity
Wasta’s main goal is intercession, involving the exercise of power, influence
and information-sharing through social and politico-business networks
Business in the Arab World involves establishing a relationship first, building
connections, and then coming to the heart of the intended business at a
later meeting
But technology is very advanced: mobile phone penetration is high
New is good
7
KEYS TO BUSINESS AND SOCIETY IN THE ARAB WORLD
•
PHILOSOPHY OF
ISLAM: MUSLIMS
PARTICIPATE IN THE
GOOD PRACTICE
OF ISLAM
•
•
•
•
•
•
•
FAMILY AS
THE BASIS OF
SOCIAL ORDER
•
•
Islam has great influence within the Arab world and wherever Arabs
are
Wasta needs a supportive framework (e.g. Islam) of generally
honorable dealing to be effective
Islam consists of certain behaviors and beliefs which affect the way
believers, the Ummah, live their lives which can in turn affect their
business life
Behaviors that are incompatible with these beliefs are unworthy, or
Haram, and will not survive long
Western style sales techniques emphasising “dating-behaviour” may
be suspect
In the Arab world, family forms the basis of organization
Wasta relationships include the broader community of friends
The most significant cultural practices are those associated with the
“Diwan,” which is a room to make decisions
In the diwan, decisions are the outcomes of processes of information
exchange, questioning and confirmation of informal & formal meanings
So, entry to a virtual network will operate on diwan principles
8
Ubuntu (Southern Africa), the West, and the Fourth Paradigm
UBUNTU
WESTERN
MIDDLE WORLD
Relationships with
Others
Relationships are reciprocal
Relationships are contractual;
focus on individual
Reciprocal; family based
model
Language
Words depend on context
Words have precise meaning
Implication and metaphor
highly prized
Decision Making
Decisions arrived by
consensus
Usually by majority
Autocratic-consultative
Time
Not a finite commodity, it is the Time is money, a strategic
healer, allow enough of
commodity to be used frugally
it for important issues before
arriving at a decision
Cyclical and evolving; the
right decision will
emerge in the right.
Productivity
Must be optimized; Good if
it enhances social harmony
Must be maximized; Individual
rewards
The right action is that
which maximizes and
preserves wealth
Leadership and
Age
Age is an ongoing process of
maturing and acquiring
wisdom
Age beyond a certain point
becomes a negative
Seniority is highly regarded
Belief Systems
Belief in meso-cosmos or
Protestant-catholic Christian
spiritual realm
belief system dominant; Some
occupied by ancestors;
circular
Important role of the traditional
healer, isangoma
Universal applicability of
Islam as a religion of
practice not of dogma
9
China Economic Facts
Population (July 2004E): 1.3 billion
Languages: Mandarin, many local dialects
Ethnic Groups: Han (91.6%); The non-Han population
includes 55 ethnic minorities, major groups are the Zhuang,
Manchu, Hui, Miao, Uygur, Yi, Tujia, Mongolian, and Tibetan
Religion: religious worshippers is estimated at well over 100
million, most of whom follow Buddhism. Other major religions
are Daoism, Islam and Christianity in both its Catholic and
Protestant forms.
10
Chinese business and social culture
Culture based on relationships
Business and social networking
Face
Guanxi as Social Capital
Trust
Mutual obligation
Shared experiences
11
Trends in % of web pages originated in selected languages
English
German
French
Japanese
Spanish
Chinese
LANGUAGE
82
4
1.4
1.5
1.6
>.1
Web
Pages
1997
56
8
3
5
3
2
Web
Pages
2002
38
11
9
7
6
2
PDF pages 2002
12
% Internet penetration in terms of first language of internet users (2004)
Major languages
English
German
French
Japanese
Spanish
Chinese
Italian
Dutch
Russian
Korean
59
72
68
53
24
25
74
73
4
63
13
% Internet penetration in terms of first language of internet users (2004)
Minor languages
Portuguese
Swedish
Polish
Danish
Czech
Turkish
Hungarian
Greek
22
74
23
62
26
4
7
15
14
Subtle trends
As the market deepens, the % of pages originating in native languages
increases
Even in developed markets like Netherlands
Even in language domains where English is already well understood
Web usage increases native language use
Some markets are growing on basis of other “universal” languages
EG Arabic, Chinese, Spanish
In Absolute English dominates
In Mature
In relative penetration, “native” languages are growing
In developing market
15
CONCLUSION
• To be effective, management principles and practices
must embrace their host cultures and their client
cultures
• Management must harness and coordinate both
indigenous and traditional corporate cultures
• The challenge:
• For management to become aware of these values and
incorporate them in organizational policies
• Researchers to chart a new research agenda that allows
future managers to be fully cognizant of this source of
sustainable competitive advantage
• Practitioners need to be aware that market trends can
encourage linguistic and cultural diversity
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