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You are to pick a medium or large sized organisation, preferably a multi national company.
You are to write a report that analyses and evaluates the organisations diversity and inclusion policies and practices and their considerations in organisational cross cultural management. Your report should answer the following questions:
*What are the critical differences in communication amongst diverse employees and how is this catered for?
*How does the leadership address/promote effective organisational cross cultural management?
*How does the organisation cater for the differing needs of employees?
*Why is 'sound' cross cultural management important for the organisations sustainability and overall success?
*What recommendations based on current theory and best practice would you make?
You may interview a manager and obtain secondary research in order to complete your report.
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As the years pass by, the complexities of global businesses are on a rise. Each company wants to expand its market and build a bigger and better image for itself. For companies operating in multiple countries, it is absolutely essential to work with their sensitivity towards the countries' culture. Multinational companies give a lot of emphasis on cross-cultural management within the organization. The training process in such organizations incorporates cross-cultural understanding and etiquettes as part and parcel. This is important because as organizations grow and expand, it is not just the financial and strategic aspects that are challenging, but also the cultural aspects of the business. (Okoro 2013)There have been numerous arguments on the fact that, the success of global managers on multinational assignments it largely attributed to their ability to bridge cross-cultural barriers and have effective communication.
Walmart was founded by Sam Walton with very strong conviction that retail is not just about making sales, but it is also about helping customers make better choices and save money. After nearly four decades of operation, Walmart continues to enjoy its glorious position because it has managed to still retain the strong values and rich cultural elements that it had when it had just started. Employees at Walmart are given importance and the company does not shy away from its social responsibilities. Yet, when we hear the words culture and Walmart, the first thing that comes to our mind is the whole Walmart-Germany ordeal. With over 8500 stores in 15 countries, this American company has a huge pool of diverse employees and cultures. The journey has been long and full of lessons.
Communication is very important to build healthy relationships. Especially in companies such as Walmart where cross cultural management is crucial, effective communication acts as the key to success. Walmart saw success in its operations in countries such as Mexico, Brazil, and Canada. In the Walmart culture, the employees were taught to be warm and open towards each other. The morning greeting holds a lot of significance in the Walmart Culture. They not only greet each other but the customers at the store as well. While this may be seen as a very warm gesture in most countries, it was one of the causes of major failure in Germany because the Germans are reserved people. Walmart also teaches it, employees, to be hospitable and friendly towards customers. At Walmart stores, employees take the task of baggers as well. The company has an ethics manual in which all the basic codes of conduct are jotted down. Failure to abide by the rules often results in loss of a job because it has a direct impact on customer relationship. While gifting is seen as a friendly gesture, Walmart has a strict policy against accepting gifts from suppliers. Romantic relationships at workplace between employees are also forbidden. This is to ensure that the primary objective of the organization does not suffer. The main issue with a fixed set of ethics is that not all cultures willingly abide. For Example, in Germany, these rules were considered as an intrusion into their privacy. The rules were even translated into the local language there but it failed to act in favor of the American firm. Eventually, Walmart Germany had to shut down.
One very remarkable thing that Walmart does every month is that it shares the company's confidential Profit and Loss statement with its employees every month. The idea behind this is that employees cannot help to drive profitability unless they understand the numbers involved. Daily standup meetings, bulletin boards, and other means facilitate this communication in the organization and at the stores. There was a major concern that this data could fall into the hands of competitors, but the management firmly believes that the benefits of such communication definitely outweighs the risk of such information is available to competitors. This alone speaks volumes of the value of communication in Walmart. (Matthews 2013)