The Business Case For Cultural
Competency
Ila Gandhi
TMC | A Berlitz Company
4/28/20152015 TMC | A Berlitz Company. All
rights reserved1
Agenda
• Global business and workforce trends • The business case for cultural competence
– What is cultural competence– What gets in the way of Cultural Competence– Developing cultural competence
• A framework to reskill and retool employees– The model– Practical application– HR’s role in driving cultural competence– TMC: Who we are and how we help our clients
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3
Increasing globalization represents one of the most powerful levers available for boosting growth – yet the world is generally less globalized than often assumed.
www.ghemawat.com – Depth Index of Globalization 2013
The Impact of Globalization
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2050 (est)
2013
1950
Estimated Population Growth by Region (based on top 10 countries)
Asia
Europe
LatAm
N. Amer
Africa
Population
estimate in 2050
is 9.6B,
previously 7.2B
Faces of the Future, The Economist, June 2013
• A flat world demands cultural competence Markets globalized
Multicultural teams
European culture no longer dominant
Africa and Asia dominate population growth4/28/2015 2015 TMC | A Berlitz Company. All rights reserved 4
Culture 2020 Defined
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Cultural spectrum, by Goldman Sachs, illustrates the complex workforce. This structure was designed over one year by an internal task force termed “Asians in Asia”. The
project scope was to help untangle the complex cultural spectrum present in the region to further inform its people
process (talent management) in Asia.
Values Drive Behavior
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Observable Behaviors
Beliefs
Unobservable
(Underlying Values)
Subjective Culture
Objective Culture
Definitions and Characteristics of Culture
Values
Beliefs and Assumptions
Emotions
Behavior
Norms
Context/Situation
Definition:The complex pattern of ideas, emotions and observable manifestations “Behaviors and/or symbols” that tend to be expected, reinforced and rewarded by and within a particular group. -TMC
Culture is:
• Collective • Learned• Dynamic
• Situational• Complex• Contradictory
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Individual Culture
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Team CultureNational / Societal
Culture
Functional Culture
Identity Group
Culture
Organizational
Culture
Culture is Complex
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Why Cultural Competence
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Diversity
Inclusion
Intercultural Competence
The Who
The What
The How
Stages of Development
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Ethnocentrism / Mono-Culturalism
Denial
Defense
Minimization
Acceptance
Adaptation
Integration
Ethnorelativism / Multi-Culturalism
DMIS Model by Milton Bennett
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o The dangers of stereotyping
o Personal bias and prejudices
o The dynamics of differences
o Insider Outsider Dynamics
What Get’s in the Way of an Intercultural Mindset
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Connection Between Culture and Preferences
Values
Beliefs and Assumptions
Emotions
Behavior
Norms
Context/Situation
Interaction Style
Orientations that impact how
we communicate and engage
others.
Thinking Style
Orientations that impact
how we process
information.
Sense of Self
Orientations that define how we
view our “self” and are
motivated.
The connection between behaviors, beliefs, and emotions that are expected,
reinforced and rewarded by and within a particular group. 4/28/2015 2015 TMC | A Berlitz Company. All rights reserved 13
The Cultural Orientations Model
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A neutral framework for describing and understanding cultural differences.
Interaction Style Thinking Style Sense of Self
How people tend to communicate and engage with others in work situations.
How people tend to process information in work situations.
How people tend to view identity and motivation in work situations.
fixed-fluidbeing-doingdirect-indirectexpressive – instrumentalformal-informaluniversalistic-particularistic
single-multi focuslow-high contextlinear-systemic inductive-deductivepast-future
control- constraintprivate-publichierarchy-equalitycollectivistic-individualisticcooperative-competitiveflexibility-order
Open attitude is a
prerequisite for
engaging in the
continuous learning
process of developing
cross-cultural
effectiveness
Self-awareness
facilitates
awareness of
others
Cultural knowledge,
in turn must be
translated into cross-
cultural skills to
achieve cross-cultural
effectiveness
To become useful self-
and other-awareness
must be grounded in
cross-cultural
knowledge
Cultural Perspectives
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Cultural Skills
Cultural Due DiligenceAssessing and preparing for the
possible impact of culture and cultural difference
Is it reasonable or feasible for my counterpart(s) to change?
Style-SwitchingUsing a different behavioral
approach to accomplish
one’s goals
Cultural MentoringHelping others with cultural
adaptation and integration
YES NO
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Cultural DialogueExploring cultural
differences and negotiating
mutual adaptations
Hierarchy Equality
Power
How individuals view differential power relationships.
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A Cultural Continua
• Attended a course on Understanding the American culture (Cultural Due Diligence)
• Made an effort to break the ice by saying something at the beginning of the meeting (Style-Switching)
• Validation: It’s okay to speak up – your opinion matters (Style-Switching)
• Volunteered for assignments provided the opportunity to build relationships (Style Switching)
• Leveraged my Cultural Mentor (Cultural Mentoring and Cultural Due Diligence)
• Raised in a traditional Indian family environment
• Women do not speak up and share their thoughts
• Family Elders make the decisions for you and the family
• Individualistic behavior was considered selfish and disrespectful
Influencers / Experiences
Scenario Development Plan
In my first job in the United States I was miserable at work.
• I would never speak up in meetings since I was always waiting for complete silence before speaking
• Felt awkward and uncomfortable at work since I assumed my co-workers perceived me as being arrogant and/or aloof
• Was reluctant to take on any responsibility – not because I did not want to but, I thought I did not have the permission nor title to do so.
My Personal Journey to Cultural Competence
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Your role as HR Leaders
FROM:
Raising
awareness
and
knowledge
TO:
Spreading
Cultural
Competence
into the
organization
Group Individual Team Organization
Goal: Enhance individual performance
Improve team performance Enable system wide change
Focus Areas:
• Cultural Transitions• Relocations• On boarding new hires• Developing Leaders• Working with diverse
colleagues• Building cross-functional
relationships
• Identify gaps between team members
• Establish team operating principals based on gaps and personal preferences
• Maximize impact of virtual teams
• Moderate cultural integration discussions
• Coach project teams entering new markets
• Drive collaboration in mergers and acquisitions
• Work with Employee Resources Groups
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• We help companies execute their global business strategiesthrough training, web tools and consultative solutions.
• We employ a blended learning approach that supports skill development at the organizational, team and individual levels
• We help facilitate the development of global leadership skills of leadership, communication and cultural agility across the organization, enabling the firm to achieve its business goals and maximize performance.
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TMC – Who we are