comparative management

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Group#4 . Nouman Ali Mina Ali Sidra Shafqat Noshaba Nargis Aoun Muhammad Quart-ul- Ain Numeerah Yousaf

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Group#4.Nouman Ali

Mina AliSidra ShafqatNoshaba NargisAoun MuhammadQuart-ul-AinNumeerah Yousaf

AUSTRALIABusiness EntertainingBusiness lunches business and pleasure do not mix in Australia.They do not use social occasions Once a social relationship has been established, a businessperson may get frank with his/her contact.negotiationNegotiating means PersuadingFast and direct; will let negotiation partner know openly if they think that the outcome is unfavorable.

Dealings and contractApproach usedDirect, individualized, and solution orientedDeadlines and overtimeTask oriented, with realistic deadlines; Working overtime is the exception, not the norm. If overtime work is required, people want to be notified upfront.

Nature of contractsObjective, based on target and outcome.Completion rewardsKeeping a healthy work/life balance (work to live). Not necessarily motivated by monetary reward or promotion. Often prefer getting time off instead.Decision makingThey decide with consensusInput from subordinates to help form decisionsDecisions can be disputed if not deemed agreeable by constituency.Decision maker may concede without losing face and respect.

conflictSuperior/Subordinate Relationships

Differences are minimized and hierarchy not displayed openly.DiscriminationIn Australia, national and state laws cover equal employment opportunity and anti-discrimination in the workplace

Leadership

an authoritarian style of leadership is received very badly by most Australians.

Participative style is the most prevailing

Australian TeamAustralian do not try to make themselves better than their colleagues nor does anyone wishes to be successful at the expense of a colleague.

A competitive edge should be directed towards the other team (the competition) rather than being internally focused.CrossCultural Analysis

Specific Cultural Differences

Inequality of gender Conservative dress Relaxed about time Little nightlife Forbidden to eat pork Small gifts acceptable in business Friday holy day (day of rest) Ramadan and hajjSAUDI ARABIAAUSTRALIA Equality of gender Informal dress Punctuality expected Nightlife important part of culture Meat dishes popular Gift-giving uncommon Normal weekend Alcohol forbidden Alcohol very common No significant religious holidaysHigh and LowContext CulturesSAUDI ARABIAAUSTRALIAHigh Context CultureResponsibility for organisational error taken by highest levelPolychronic culture: everything in life must be dealt with in terms of its own time people able to multi-taskNegotiations are lengthyLow Context CultureResponsibility for organisational error pushed to lowest levelMonochronic culture: time is money time is linear people do one thing at a timeNegotiations proceed quickly

Source: Hall and Hall (1990)

Hofstedes Dimensions

Source: Hofstede (1980) - cited in Alexakis (2003)Power DistanceSAUDI ARABIAHigh Power Distance: - Autocratic management style- Acceptance of status differences- Hierarchical structures

AUSTRALIALow Power Distance:- Democratic management style:- Consultative relationships- Consensus-building philosophy

Source: Hofstede (1980) - cited in Alexakis (2003)Individualism / CollectivismSAUDI ARABIALow Individualism: - Collectivist, group-oriented culture - Close relationships between individuals

AUSTRALIAHigh Individualism: - Individualistic society - Loose relationships between individualsSource: Hofstede (1980) - cited in Alexakis (2003)

Masculinity / FemininityBoth countries are quite similar in respect of masculinity and have mid-ranking scores - Evidence of assertiveness, achievement-orientation, ambition, competitiveness and aggression, yet able and willing to compromise when required- Combination of people-oriented, task-oriented and process-oriented management practicesSource: Hofstede (1980) - cited in Alexakis (2003)

Uncertainty AvoidanceSAUDI ARABIAHigh Uncertainty Avoidance: - Low tolerance of risk and ambiguity - Rule-oriented society- People expected to conform

AUSTRALIAMedium Uncertainty Avoidance: - Uncertainty and ambiguity tolerated - Willingness to take some risks- Non-conformity acceptedSource: Hofstede (1980) - cited in Alexakis (2003)

Suggestions to work with AustraliansSuggestions cont..If you are a Manager try to develop a 'matey' relationship with colleagues. Take input into decision making process by everybody.While in Australia try to build teams but keep individual reference as well. only then Australian will try hard to play the role.Go for written contracts

Suggestions cont..Be punctual.Be informal, but courteous.Dont be afraid to use humor.Patience is another often-used Australian tactic.Suggestions cont..Make presentations detailed and factual.

Negotiations move quickly.

Keep your administrative requirements to a minimum.Suggestions cont..Stress the practical over the conceptual.Australian negotiators are pragmatic and profit-oriented.Make the opening offer fairly close to your desired final position.Australians do not tend to be blue-sky bargainers (haggling for long periods from very high initial offers).