Chapter 4
Managing
Within Cultural
Contexts
PowerPoint slides by
R. Dennis Middlemist
Colorado State University
Learning Objectives
After studying this chapter, you should be
able to:
2
Explain why a thorough understanding of
culture is important for all mangers.
Define culture.
Explain how culture affects managerial
behavior and practices.
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Learning Objectives
After studying this chapter, you should be
able to:
3
Describe the role of fundamental
assumptions in corporate, regional, or
national cultures.
Map aspects of culture in terms of the extent
to which they are deeply held and widely
shared.
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Learning Objectives
After studying this chapter, you should be
able to:
Describe the key strategies managers
can use to create and change culture.
Explain the differences between and
describe the implications of high‑ and
low‑context cultures.
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Definition of Culture
Culture
Learned set of assumptions, values, and
behaviors
Accepted as successful
Passed on to new comers
Culture begins when a group of people
faces a set of challenges
Culture evolves and changes with time
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Managerial Relevance of
Culture
Impact of Culture on Behavior
How people observe and interpret the
business world around them
Can lead to different beliefs about “right”
behaviors
Subordinates who identify with the culture of
a unit or company are likely to try harder to
make it successful
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Cultural Differences Among Managers
80%
“It is important for a
manager to have at hand
precise answers to most
of the questions his/her
subordinates may raise
about their work.” 38 44
70%
60%
50%
40%
30%
17
20%
10%
18
23
73
78
66
53
46
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10
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Adapted from Exhibit 4.1: Cultural Differences Among Managers
Managerial Relevance of
Culture
Cultural diversity in the workplace
Globalization
Increasingly culturally diverse U.S. workforce
Culture as a management tool
Once established, culture guides employee
behaviors without overt or constant
supervision
Managers must be careful what they instill as
the cultural values of the unit (organization)
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Levels of Culture
Artifacts: visible
manifestations of a culture
such as its art, clothing, food,
architecture, and customs
Values: enduring beliefs that
specific conduct or end states
which are personally or
socially preferred to others
Assumptions: the beliefs
about fundamental aspects of
life lying below the surface, but
supporting the culture
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Adapted from Exhibit 4.2: Managing Within Cultural Contexts
Levels of Culture
Cultural assumptions
Certain cultural values and
behaviors are only possible with Assumptions
(Hidden)
certain underlying cultural
assumptions
An understanding of assumptions is
necessary to understand, change, or even
create a new culture
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Basic Assumptions and Their
Managerial Assumptions
Specific
Assumptions
Specific
Assumptions
People must
coexist harmoniously with the
environment
Managerial
Implications
Firms should seek
positions that allow
them to coexist with
others
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Humans
and the
Environment
People are meant
to dominate the
environment
Managerial
Implications
Strategic plans
should be
developed to enable
the firm to dominate
its industry
Adapted from Exhibit 4.3: Basic Assumptions and Their Management Implications
Basic Assumptions and Their
Managerial Assumptions
Specific
Assumptions
Specific
Assumptions
Work is as natural
as play for people
Managerial
Implications
Provide people with
opportunities and
responsibilities and
encourage their
development
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Human
Nature
People are
generally lazy
Managerial
Implications
Implement systems
for monitoring behavior and establish
clear punishment for
undesired behavior
Adapted from Exhibit 4.3: Basic Assumptions and Their Management Implications
Basic Assumptions and Their
Managerial Assumptions
Specific
Assumptions
Specific
Assumptions
People exist
because of others
and owe an
obligation to them
Managerial
Implications
Cooperation with
and contributions to
the’ group should be
evaluated and
rewarded
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Human
Relationships
Individuals have
certain rights and
freedoms
Managerial
Implications
Individual
performance should
be measured and
rewarded
Adapted from Exhibit 4.3: Basic Assumptions and Their Management Implications
Basic Assumptions and Their
Managerial Assumptions
Specific
Assumptions
Specific
Assumptions
People should
react to and enjoy
whatever the
present provides
Managerial
Implications
Planning the future
only gets in the way
of enjoying the
present
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Human
Activity
People create their
own destinies and
must plan for the
future
Managerial
Implications
People who fail to
plan should plan to
fail
Adapted from Exhibit 4.3: Basic Assumptions and Their Management Implications
Basic Assumptions and Their
Managerial Assumptions
Specific
Assumptions
Specific
Assumptions
Truth is what is
socially accepted
Managerial
Implications
Opinion leaders are
how you influence
people and
decisions
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Truth and
Reality
Truth objectively
exists
Managerial
Implications
Facts and statistics
are how you
convince and
influence people
Adapted from Exhibit 4.3: Basic Assumptions and Their Management Implications
Basic Assumptions and Their
Managerial Assumptions
Specific
Assumptions
Specific
Assumptions
Time is like a lake,
what you don’t use
today will be there
tomorrow
Managerial
Implications
Taking advantage of
the moment is
valued. Arriving late
for appointments is
not a character flaw
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Time
Time is like a river,
what you don’t use
wisely today is
gone forever
Managerial
Implications
Time management is
a critical skill.
Appointments are
made well in
advance and
punctuality is valued
Adapted from Exhibit 4.3: Basic Assumptions and Their Management Implications
Levels of Culture
Cultural Values
Values
Enduring beliefs that specific
conduct or end states of existence
are personally and socially
preferred to others
Managerial values are enduring beliefs about
specific ways of managing and conducting
business that are deemed successful enough
to be passed on
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Questions to Get at Cultural
Assumptions
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Should we dominate the environment?
How right is logging, mining or building dams?
Humanity’s
Relationship to
the Environment
Are people basically good or evil?
Are workers basically self-motivated or lazy?
Nature of Human
Nature
Should people be treated as equals?
Are hierarchical and status difference right and
natural?
Are individuals more important than groups?
Should individual interests be subjected to those
of the group?
Humanity’s
Relationship to
the Environment
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Adapted from Exhibit 4.4: Questions to Get at Cultural Assumptions
Questions to Get at Cultural
Assumptions
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Is worth assessed through activity and
accomplishment?
Are inner states of mind and well-being more
important than outward deeds?
Nature of Human
Activity
Is truth objective or does it depend on the eye
of the beholder?
Are facts the way to persuade people?
Nature of Truth
Is time like a river and what you don’t use today
will be gone tomorrow?
Is time like a lake and what you don’t use today
will be there tomorrow?
Nature of Time
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Adapted from Exhibit 4.4: Questions to Get at Cultural Assumptions
Classification of Values
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Theoretical people
Value the discovery of truth. They are empirical,
critical, and rational, aiming to order and
systematize their knowledge.
Economic people
Value what is useful. They are interested in
practical affairs, especially those of business,
judging things by their usefulness
Aesthetic people
Value beauty and harmony. They are concerned
with grade and symmetry, finding fulfillment in
artistic experiences.
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Adapted from Exhibit 8.1: Types of Plans: Key Differences
Classification of Values
Social people
Value altruistic and philanthropic love. They are
kind, sympathetic, and unselfish, valuing other
people as ends in themselves.
Religious people
Value unity. They seek communication with the
cosmos, mystically relating to its wholeness.
Source: G. W. Allport, P. E. Vernon, and Q. Lindzey, A study of Values (Boston: Houghton Mifflin, 1966.
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Adapted from Exhibit 4.5: Classification of Values
Levels of Culture
Artifacts
(visible)
Cultural Artifacts and
Behavior
In modern organizations,
important artifacts include
Office
arrangements (individual offices for all
versus open offices with no walls)
Parking arrangements (reserved spaces for some
versus open spaces for all)
Clothing (individual suits versus uniforms)
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Culture and Managerial
Behaviors
Culture A
Plan for every possible
contingency.
Develop a plan jointly with
boss.
Structure department
strictly by hierarchy.
Communicate frequently
face to face and rarely use
e-mail.
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Managerial
Activity
Planning
Organizing
Culture B
Accept unexpected
surprises.
Develop a plan and then
seek boss’s approval
Organize department into
free-flowing teams.
Communicate infrequently
face to face and frequently
by e-mail.
Adapted from Exhibit 4.6: Culture and Managerial Behaviors
Culture and Managerial
Behaviors
Culture A
Inform subordinates of
decisions. Intervene when
there are disputes.
Closely monitor activities
and directly guide behavior.
Emphasize financial results
in evaluating performance.
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Managerial
Activity
Culture B
Leading
Involve subordinates in
decision process. Allow
subordinates to solve their
own problems.
Controlling
Evaluate and then reward
based on results. Focus
on customer satisfaction in
evaluations.
Adapted from Exhibit 4.6: Culture and Managerial Behaviors
Cultural Diversity
Diversity comes from two primary sources
Increased international activity of organizations
Greater diversity in the cultures of employees
Diversity includes differences in
Age, race, ethnicity, gender, physical abilities, and
sexual orientation
Work background, income, marital status, military
experience, religious beliefs, geographic location,
parental status, and education
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