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1 Cross-cultural Cross-cultural Communication Communication (Day-1) (Day-1) Prof. Djamaludin Ancok, Prof. Djamaludin Ancok, Ph.D Ph.D Teaching Material at Teaching Material at University of Innsbruck University of Innsbruck

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Page 1: 1 Cross-cultural Communication (Day-1) Prof. Djamaludin Ancok, Ph.D Teaching Material at University of Innsbruck

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Cross-cultural Cross-cultural CommunicationCommunication

(Day-1)(Day-1)Prof. Djamaludin Ancok, Ph.DProf. Djamaludin Ancok, Ph.D

Teaching Material atTeaching Material at

University of InnsbruckUniversity of Innsbruck

Page 2: 1 Cross-cultural Communication (Day-1) Prof. Djamaludin Ancok, Ph.D Teaching Material at University of Innsbruck

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Why we learn cross-Why we learn cross-cultural Communication?cultural Communication?

Globalization, where the boundaries between Globalization, where the boundaries between countries have been less solid, the interaction countries have been less solid, the interaction of people from one country to other is of people from one country to other is enhanced.enhanced.

So many multi-national corporations whose So many multi-national corporations whose employees and managements consists of employees and managements consists of people of from different cultures.people of from different cultures.

Composition of population in a country such Composition of population in a country such as USA for examples consists of many different as USA for examples consists of many different ethnic groups (European, African, Mexican, ethnic groups (European, African, Mexican, Chinese, Indian, Pakistanis, and Arab)Chinese, Indian, Pakistanis, and Arab)

Information Technology such as internet, and Information Technology such as internet, and cellular phone has been widely used for global cellular phone has been widely used for global communications, and change the economic communications, and change the economic theme into digital economy.theme into digital economy.

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Percent EntrantsPercent Entrants

2000-20102000-2010Percent DeparturesPercent Departures

2000-20102000-2010

TotalTotal

MenMen

WomenWomen

100.0100.0

49.649.6

50.450.4

100.0100.0

55.455.4

44.644.6

White Non-HispanicWhite Non-Hispanic 60.660.6 77.477.4

African-AmericanAfrican-American 13.713.7 11.811.8

HispanicHispanic 17.917.9 7.27.2

Asian and Other Asian and Other RacesRaces

7.87.8 3.63.6

US Workforce US Workforce DemographicsDemographics

Source Kreitner & Knicki, 2004

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Multinational Multinational CorporationsCorporations

Ford Motor CompanyFord Motor Company Produced in China & Europe and other countriesProduced in China & Europe and other countries Sell the car in more than 50 countries world- Sell the car in more than 50 countries world-

widewide Engines comes to Kansas City from Cleveland, Engines comes to Kansas City from Cleveland,

(USA), Chihuahua (Mexico) and Cologne (USA), Chihuahua (Mexico) and Cologne (Germany), Sweden, Spain, and Britain.(Germany), Sweden, Spain, and Britain.

Air conditioning comes from France Air conditioning comes from France Volvo (Sweden national pride) owned partly Volvo (Sweden national pride) owned partly

by Ford.by Ford. Mazda (Japanese Car) partly owned by Mazda (Japanese Car) partly owned by

Chrysler (USA).Chrysler (USA).

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The Impact of IT on The Impact of IT on EconomyEconomy

New Economic ThemesNew Economic Themes KnowledgeKnowledge DigitalizationDigitalization VirtualizationVirtualization MolecularizationMolecularization Integration / Integration /

InternetworkingInternetworking DisintermediationDisintermediation

ConvergenceConvergence InnovationInnovation ProsumptionProsumption ImmediacyImmediacy GlobalizationGlobalization

DiscordanceDiscordance

Source: Don Tapscott, The Digital Economy,1996:

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New Economic Theme (1)

Knowledge

Economy.There is a shift from brawn to brain. Knowledge becomes an

important element of product. The gap between consumers and producers blurs.

OrganizationKnowledge and work becomes the basis of value, revenue, and

profit. Knowledge is added throughout value chain.

Culture Impact:People of different background should work together and

shared their knowledge

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New Economic Theme (2)

Digitalization

EconomyHuman communication, delivery of government programs, execution of health care, business transactions, exchange of funds, etc, become

based on ones and zeros.

OrganizationInternal communication shifts from analog (memos, reports, meeting,

telephone calls, whiteboard drawings, blue prints, models, photog-graphs, designs, graphic arts, etc) to digital.

Culture Impact:Frequent misunderstanding and misperception about the

written information.

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New Economic Theme (3)

Virtualization

EconomyPhysical things can become virtual, changing the metabolism of the

economy, the types of institutions and relationships possible, and the nature of economic activity itself.

OrganizationVirtual corporations, teams, stockyards, government agencies,

jobs, etc .

Culture ImpactThe interaction of people from different countries, different

Cultures that may lead to communication disconnect.

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New Economic Theme (4)

Molecularization

EconomyReplacement of the mass media, mass production, monolithic government, by molecular media, production, governance, etc

OrganizationEnd of command-and-control hierarchy, shifting to team-based, molecular structures. Individual employees and work groups are

empowered or break free act and to create value

Culture ImpactsNot all culture can accept this type of organization,

In a paternalistic culture people wait for guidance from the boss.

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New Economic Theme (5)

Integration/Internetworking

EconomyThe new economy is a networked economy with deep, rich inter-

connections within and between organizations and institutions. Wealthcreation, commerce, and social existence are based on an ubiquitous

public infostructure.

OrganizationThe new enterprise is an interworked enterprise. Achievable in the pastonly through monolithic hierarchies, the new technology now enables

integration of modular, independent, organizational components -an integrated network services

Culture ImpactCulture ImpactMiscommunication in doing business may be at stake ifPeople do not understand their overseas partner culture.

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New Economic Theme (6)

Disintermediation

EconomyElimination of intermediaries in economic activity including agents,brokers, wholesalers, some retailers, broadcasters, record companies,

and anything that stands between producers and consumers.

OrganizationElimination of middle managers, internal agents, brokers, or anyone elsewho act as boosters for the signals that pass for communications in the

preknowledge organization.

Culture ImpactsIn the paternalistic culture, where people needs more directions from

their super-ordinate, this may cause confusion.

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New Economic Theme (7)

Convergence

EconomyConvergence of key economic sectors-computing, communications,

and content

OrganizationConvergence of organizational structures responsible for the tech-

nologies of computing, communications, and content.

Culture impactsPeople needs to be prepared for multi-tasks

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New Economic Theme (8)

InnovationEconomy

Innovation is the key driver of economic activity and business success.Rather than traditional drivers of success such as access to raw

materials, productivity, scale, and the cost of labor, human imaginationbecomes the main source of values.

OrganizationInnovation is the key driver of successful products, marketing strategies,

management approaches, organizational changes. Old rules and approaches fail quickly. The only sustainable advantage is

organizational learning

Culture ImpactsFor a high power distance culture, the innovation would beinhibited by seniority and waiting for the leader’s direction.

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New Economic Theme (9)

Prosumption

EconomyThe gap between consumers and producers blurs in a number of ways. For example, consumers

become involved in the actual production process as their knowledge, information, and ideas become part of the product specification process. Human collaboration on the Net becomes

a part of the international repository of knowledge.

OrganizationConsumers of information and technology become producers. Human collaboration on the Net

becomes part of the corporate multimedia information resource. Users become designers, creating new software applications themselves. Many responsibilities for technology purchasing

and implementation are dispersed.

Culture ImpactsIn a collectivistic culture the intermingled of producers and customers would be easy since

people see them selves as a part of wider community. For the individualistic cultureThe sharing ideas between consumers and producers needs more time to develop.

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New Economic Theme (10)

Immediacy

EconomyThe new economy is a real-time economy. Commerce becomes electronic as business transactions and communications occur at the speed of light rather

than of the post office.

OrganizationThe new enterprise is a -real-time enterprise- continuously and immediately

adjusting to changing business conditions. Product life cycles shorter.

Culture ImpactsIn the culture where the value of time as a economic resource is less

appreciated, then the real time business may become a problem.

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New Economic Theme (11)

GlobalizationEconomy

Knowledge knows no boundaries. As knowledge becomes the key resource, there isonly a world economy, even though the individual organization operates in a national,

regional, or local setting. New economic and political regions and structures (suchas the AFTA, NAFTA) are leading to a decline in the importance of the nation-state

and increasing the interdependencies among countries.

Organization

The new enterprise enables time and space independence; it redefines time and spacefor its employees and stakeholders. Work can be performed from a variety of locations, including employees’ homes. The network becomes a resipotary for the time-independent communications. Networks of business clusters cooperate

globally to achieve business objectives.

Culture Impacts

It is a must to understand other cultures if we want to succeed in doing business.

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New Economic Theme (12)

Discordance

EconomyMassive social contradictions are arising. New, highly paid employment versus the

inappropriateskills of laid-off workers. Gulfs are growing between haves and haves-nots, knowers and know-nots, those with access to the I-Way and those without it.

OrganizationProfound organizational contradictions are rising. For example, employees are told

to “work hard, create the corporation’s value, identify with the team and the enterprise.

Culture ImpactsThe company operation should care about the need of poor peoples in the

location where the company operates (corporate social responsibility)

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Source: Lane, H.W & DiStefano, J.J. International Management BehaviorBoston: PWS-KENT Publishing Co. 1992.

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Source: Verner, I & Bremer, L Intercultural Communication in the Global Workplace,New York: McGraw-Hiill , 2005

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Source: Hoecklin, L. Managing Cultural Differences. New York: Addison-Wesley Coy. 1995

Model of Cultural Model of Cultural AssumptionAssumption

and Organizational and Organizational StructureStructure

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Barriers to Cross-Barriers to Cross-Cultural Cultural

CommunicationCommunication Culture-- “All human beings are Culture-- “All human beings are captives of their culture”captives of their culture”

Perception—The value & inhibitors of Perception—The value & inhibitors of “stereotypes”“stereotypes”

Experience—variations in life Experience—variations in life experiences inhibit communication experiences inhibit communication e.g. housing, religion, education e.g. housing, religion, education system, eating habits, foods, …system, eating habits, foods, …

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Cross-Cultural Cross-Cultural Communication Communication

DifferencesDifferences

Language UsageLanguage Usage Verbal Communication StylesVerbal Communication Styles Nonverbal CommunicationNonverbal Communication

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Culture misunderstanding Culture misunderstanding may create a high costmay create a high cost

Two similar things may have a marked Two similar things may have a marked different meanings:different meanings: A case of Christmas crackers made in China, A case of Christmas crackers made in China,

where the put a picture of Panda with a where the put a picture of Panda with a swastika symbol and sell the product in Canada.swastika symbol and sell the product in Canada.

A case of name card in between Australian and A case of name card in between Australian and Balinese business.Balinese business.

To avoid this problems:To avoid this problems: We should learn the culture of customers, We should learn the culture of customers,

business partners, employees, and local business partners, employees, and local government.government.

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Signs of Culture ShockSigns of Culture Shock

Irritability, Irritability, moodinessmoodiness

Fluctuating Fluctuating appetiteappetite

Reduced sex driveReduced sex drive Disrupted sleep Disrupted sleep HomesicknessHomesickness Spending time Spending time

alonealone Avoiding the localsAvoiding the locals

Reading all dayReading all day Boredom, low Boredom, low

energyenergy Confusion, anxietyConfusion, anxiety Negativity, Negativity,

alienationalienation DepressionDepression Physical illnessPhysical illness StereotypingStereotyping

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Two Type of culturesTwo Type of cultures

On Stage Culture:On Stage Culture: Behaviors and rituals that people show when they Behaviors and rituals that people show when they

meet other people (such as shake hand, bowing, meet other people (such as shake hand, bowing, kissing, the distance while talking).kissing, the distance while talking).

Back Stage Culture:Back Stage Culture: The reasons behind a particular behavior. This is a The reasons behind a particular behavior. This is a

belief about something, for example. If you don’t belief about something, for example. If you don’t give a business-card in a business meeting give a business-card in a business meeting (because you forget to bring one) while your (because you forget to bring one) while your partner gives his or her card to you, it may mean partner gives his or her card to you, it may mean different thing. It can be insulted for a particular different thing. It can be insulted for a particular culture (e.g. Balinese).culture (e.g. Balinese).

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Culture definedCulture defined

There are hundreds of definitions of There are hundreds of definitions of culture. One of those:culture. One of those: Culture is the coherent, learned, shared Culture is the coherent, learned, shared

view of a group of people about life’s view of a group of people about life’s concerns that ranks what is important, concerns that ranks what is important, furnishes attitudes abut what things are furnishes attitudes abut what things are appropriate, and dictates behavior.appropriate, and dictates behavior.

Iris Varner & Linda Beamer: Intercultural CommunicationIn the Global Workplace, New Yor: McGraw-Hill, 2005, p.5

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Culture DefinedCulture Defined Tylor E. (1871). Tylor E. (1871). That complex whole which That complex whole which

includes knowledge, beliefs, art, morals, laws, includes knowledge, beliefs, art, morals, laws, customs and any other capabilities and habits customs and any other capabilities and habits acquired by man as a member of society.acquired by man as a member of society.

Herskovits M.J. (1948). Herskovits M.J. (1948). The man-made part of the The man-made part of the human environment. human environment. Kroeber A.L. and Kluckhohn Kroeber A.L. and Kluckhohn C. (1952). C. (1952). Transmitted patterns of values, ideas Transmitted patterns of values, ideas and other symbolic systems that shape behaviour.and other symbolic systems that shape behaviour.

van Maanen J. and Schein E.H. (1979). van Maanen J. and Schein E.H. (1979). Values, Values, beliefs and expectations that members come to beliefs and expectations that members come to share.share.

Schwartz M.C. and Jordon D.K (1980). Schwartz M.C. and Jordon D.K (1980). Pattern of Pattern of beliefs and expectations shared by members that beliefs and expectations shared by members that produce norms shaping behaviour. produce norms shaping behaviour.

Source: Hoecklin, L. Managing Cultural Differences. New York: Addison-Wesley Coy. 1995

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Culture DefinedCulture Defined Hofstede G.H. (1980). Hofstede G.H. (1980). The collective programming The collective programming

of the mind which distinguishes the members of of the mind which distinguishes the members of one human group from another.one human group from another.

Louis M. R. (1983). Louis M. R. (1983). Three aspects: (1) some content Three aspects: (1) some content (meaning and interpretation) (2) peculiar to (3) a (meaning and interpretation) (2) peculiar to (3) a group.group.

Hall E. T. and Hall M.R. (1987). Hall E. T. and Hall M.R. (1987). Primarily a system Primarily a system for creating, sending, storing and processing for creating, sending, storing and processing information.information.

Harris PR. and Moran R. T. (1987). A Harris PR. and Moran R. T. (1987). A distinctly distinctly human capacity for adapting to circumstances and human capacity for adapting to circumstances and transmitting this coping skill and knowledge to transmitting this coping skill and knowledge to subsequent generations.subsequent generations.

Becker and Geer (1970). Becker and Geer (1970). Set of common Set of common understandings expressed in language.understandings expressed in language.

Source: Hoecklin, L. Managing Cultural Differences. New York: Addison-Wesley Coy. 1995

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Culture is coherentCulture is coherent

Coherent means compact & Coherent means compact & complete. There are meanings of complete. There are meanings of every culture expression. To every culture expression. To exchange a business-card in a exchange a business-card in a business meeting means you respects business meeting means you respects your business partner. If you forget your business partner. If you forget to bring yours and do not give in to bring yours and do not give in return, your partner may be insulted.return, your partner may be insulted.

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Culture is learnedCulture is learned

We are not born with Culture. We We are not born with Culture. We learn from others (parent & learn from others (parent & community).community).

Nobody will be locked in one Nobody will be locked in one culture, if they interact with other culture, if they interact with other culture, they will learn new culture.culture, they will learn new culture.

Learning other culture is one factor Learning other culture is one factor among others that lead to success in among others that lead to success in doing business.doing business.

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Culture is the view of a Culture is the view of a Group of PeopleGroup of People

Member of a society learn the culture from Member of a society learn the culture from their grandparents, parents, teachers, their grandparents, parents, teachers, spiritual leaders, peers and representatives spiritual leaders, peers and representatives of legal, political and educational of legal, political and educational institutions. So they share what they learn, institutions. So they share what they learn, and they share the expression of culture and they share the expression of culture (symbol, language, other artifacts) and they (symbol, language, other artifacts) and they see them as valid see them as valid

A Sultan of Brunei shopped in one wealthy A Sultan of Brunei shopped in one wealthy store in UK, and paid with a credit card. store in UK, and paid with a credit card. When he made a purchase he was asked to When he made a purchase he was asked to show his ID Card, since he did not bring ID show his ID Card, since he did not bring ID Card, he showed the currency of Brunei Card, he showed the currency of Brunei where his picture is there. where his picture is there. Up to here

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Three Things Culture Three Things Culture DoesDoes

What Culture doesWhat Culture does Culture Ranks What is ImportantCulture Ranks What is Important Culture Furnishes AttitudeCulture Furnishes Attitude Culture Dictates How to BehaveCulture Dictates How to Behave

What Culture is notWhat Culture is not Right or wrongRight or wrong InheritedInherited About individual behaviorAbout individual behavior

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33Trompenarr, 1995

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Culture is Perceived as Culture is Perceived as StereotypeStereotype

Though a culture has similarities among Though a culture has similarities among nations, but people mostly focus their nations, but people mostly focus their attention to the extreme differences. attention to the extreme differences.

Stereotyping is using extreme, Stereotyping is using extreme, exaggerated forms of behavior.exaggerated forms of behavior.

Stereotype is a very limited view of the Stereotype is a very limited view of the average behavior in a certain environment.average behavior in a certain environment.

A behavior of a person from a particular A behavior of a person from a particular group, society, or nations tend to be group, society, or nations tend to be generalized to all members of the group, generalized to all members of the group, society or nation.society or nation.

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Source: Hoecklin, L. Managing Cultural Differences. New York: Addison-Wesley Coy. 1995