Overview

This case model is being written in order to get an insight into the cultural differences that can be encountered at a workplace. An interview has been conducted to collect information from an experienced and skilled employee. The interviewee has provided us with valuable information about the international ambience at the office.

The company that has been examined is originally from the USA. However, the interviewee works at an office located in Mexico. Therefore, in this case study an American company will be discussed from a Mexican perspective. It is also important to mention that the company has a big number of international employees and sells its products all over the world.

In this case model we will discuss cultural differences that occurred or may occur within a company by using Hofstede dimensions. Moreover, the problems that arise as a result of the diversity in the office will be examined.  Finally, a possible solution will be proposed.

Hofstede Dimensions

The company was established in the United States of America. Today it is a big company with approximately 7000 employees that sells its high-quality technological goods worldwide. As for the case that is being discussed, the office in Mexico has employees from USA, Mexico, China, Japan, Europe, India, etc. It is believed that to have a successful international company it is vital to be able to adapt to the different cultures that this company faces. An analysis will be conducted to evaluate the company’s approach to this issue. Moreover, Mexico, the United States and the Netherlands will be compared and illustrated using the Hofstede cultural bridges tool.

Power distance index

The company has 1:1 Meetings which are meetings between the manager and engineer, for example, that are aimed to help understanding a little more the culture of both parties. Furthermore, every part will present their challenges and clarify any possible miscommunication. This indicates that power distance within the company is fairly low as employees of any hierarchical level can easily express their thoughts and doubts to each other.

Individualism vs collectivism

Everyone in the company is equal and is treated with respect. For instance, regular meetings, so-called “All hands meetings”, with all the organizational units and regions are held within the company. These meetings are divided into 2 or 3 sessions making it possible for any person around the globe to attend the meeting at the time that better adjusts to their region or schedule. Moreover, information is shared at every meeting all in English. On the one hand, the care each employee shows towards another can be explained by the collectivistic society that is very common in Mexico. On the other hand, respect for equal rights is a trait of the individualistic society which is inherent in the USA.

Uncertainty avoidance Index

The interviewee stated that the company is always happy to celebrate each culture. In order to learn about each region, the company invites its members to celebrate the main holidays of each location. For example, Dia de Muertos (Mexico), Thanksgiving (USA), Diwali celebration (India), etc. This illustrates that the company has a very low uncertainty avoidance index as everyone is eager to accept traditions of one another.

Masculinity vs femininity

The company is described as a feminine one by the interviewee. Everyone within the company everyone cares for each other. Moreover, every employee seems to enjoy his work and is always eager to offer his help if needed. Interestingly, an originally American company situated in Mexico seems to have a masculinity rate closer to the one of the Netherlands (14) while its home countries have a relatively high rate of 62 and 69, respectively.

Long-term orientation vs. short-term orientation

The interviewee believes that the company intends to grow and develop so that it can expand to even more countries and increase its global market share. The company prioritizes long-term goals. Its employees can easily adapt to new settings and situations all for the sake of achieving valuable goals.

Outcome

The business has a lot of diversity, but it also has some problems that need to be fixed. In summary, a review of the company’s approach to cultural diversity using Hofstede’s dimensions reveals that it has a low power distance index, a mix of individualistic and collectivistic values, a low uncertainty avoidance index, a feminine culture, and a long-term oriented mindset. These cultural qualities represent the employees’ broad backgrounds as well as the company’s efforts to adapt to other cultures. The company’s commitment to cultural diversity, as well as its emphasis on long-term goals, contribute to its success in an international market.

The following concerns may need to be addressed in order to improve the company’s approach to cultural diversity:

Communication hurdles
When working with employees from diverse backgrounds and cultures, language limitations and cultural differences can make communication and understanding challenging (Gudykunst, 2005). To overcome these limitations, the organization may need to deploy methods such as language classes or translation services.

Employees may have unconscious biases that affect their interactions with colleagues from other cultures (Dovidio, Hewstone, Glick, & Esses, 2005). To help employees detect and confront these biases, the organization may need to provide training.

Inclusion and diversity
The organization may need to prioritize developing a diverse and inclusive work environment (Jackson & Ruderman, 2011). This includes ensuring that all employees, regardless of cultural background, feel valued and respected.

Adapting to other cultures
Because the organization operates in multiple nations, it may need to adjust to each location’s cultural conventions and values (Hofstede, 2011). Understanding and honoring local customs and traditions, as well as modifying products and services to match local demands, are examples of this.

Assessing strategy efficacy
The organization should constantly analyze the effectiveness of its cultural diversity initiatives and make adjustments as needed to ensure that it is meeting the needs of its varied workforce (Welch & Jackson, 2007). 

Possible solutions

Several practical techniques can be implemented to improve the company’s attitude toward cultural diversity. To begin, cross-cultural training programs for employees can be provided in order for them to gain a greater understanding and appreciation of other cultures, customs, and beliefs. Language education and cultural sensitivity training may be provided to assist in bridging any communication gaps (Gudykunst, 2005). Language obstacles and cultural differences can also be overcome via communication strategies. Translation services, bilingual communication channels, and other measures to encourage effective internal communication can be incorporated (Gudykunst, 2005).

In order to build an inclusive and diverse work environment, inclusion and diversity programs such as employee resource groups, mentoring programs, and diversity and inclusion training can be developed (Riordan, 2008). This will contribute to the development of a culture that values and respects all employees, regardless of their cultural origin. Furthermore, by knowing and respecting local customs and traditions, as well as adjusting products and services to satisfy local needs, the corporation may adapt to local cultures (Gudykunst, 2005). This can be accomplished through market research and consultation with local specialists.

Regularly analyzing the effectiveness of the company’s cultural diversity strategies and making required improvements is also possible (Riordan, 2008). Staff surveys, focus groups, and indicators such as employee retention and turnover can all be part of this. It is also beneficial to encourage cultural exchange among personnel (Gudykunst, 2005). This can be accomplished through cultural events, the exchange of cultural practices, and the encouragement of staff to participate in cultural activities. Finally, leadership involvement is critical in encouraging cultural diversity and inclusion (Riordan, 2008). Leaders should be completely committed to these activities and set clear goals and expectations for cultural diversity and inclusion, as well as hold leaders accountable for attaining those goals.

Conclusion

After analyzing the case carried out on this international company dedicated to sound and audio, we can conclude that they have a healthy culture suitable for everyone, since we observe that there is no inequality in the company, respect is promoted among employees. Moreover, something that seemed very important to us is the low power distance index, as we believe that this gives employees a lot of confidence and security to grow. Another point that we would like to highlight is the concern of the company in caring about all cultures that exist within it. Furthermore, the company wants its employees to feel at home in the office despite their different nationalities. The case also showed how much this organization values internal culture, which leads to good relationships among employees, as well as no problems with inequality. Therefore, we believe that this company is doing a great job and definitely feels creating a good environment for each of its collaborators.

Authors

Diana Finkel (LinkedIn)
Student: International Business Amsterdam University of Applied Sciences, Amsterdam, Netherlands.
Block 2, Semester 1, 2023

Diba Rastegar Biji (LinkedIn)
Student: International Business Amsterdam University of Applied Sciences, Amsterdam, Netherlands.
Block 2, Semester 1, 2023

Justina Slawinska (LinkedIn)
Student: Financial Management Kozminski University, Warsaw, Poland.
Block 2, Semester 1, 2023

Sofia Melendez Maraveles (LinkedIn)
Student: Marketing Tecnologico de Monterrey, Sinaloa, Mexico.
Block 2, Semester 1, 2023