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Globalization Management Academy

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GlobalizationManagement Academy

What is Globalization?What is Globalization?

“ “Globalization is defined as the process of Globalization is defined as the process of increasing the connectivity and interdependence increasing the connectivity and interdependence of the worlds nations in economic, social and of the worlds nations in economic, social and political areas.”political areas.”

Aydin, C. H. & McIsaac, M. S. (2004)Aydin, C. H. & McIsaac, M. S. (2004)

Next Up: ChrisNext Up: Chris

First, Everyone Up!

http://www.youtube.com/watch?v=Q2RMMQkmiRs

Radio calisthenicsRadio calisthenics ( (ラジオ体操ラジオ体操 , , rajio taisōrajio taisō??, literally, , literally, "radio exercises") refers to warm-up calisthenics "radio exercises") refers to warm-up calisthenics popular in Japan, which are broadcast to music on popular in Japan, which are broadcast to music on public NHK radio early in the morning.public NHK radio early in the morning.

Globalization 2011

Thomas Friedman, author Thomas Friedman, author “The World is Flat”, foreign “The World is Flat”, foreign affairs correspondent for the affairs correspondent for the New York TimesNew York Times, 3 times , 3 times Pulitzer Prize winnerPulitzer Prize winner

Pietra Rivoli, Author “The Pietra Rivoli, Author “The Travels of a T-Shirt in the Travels of a T-Shirt in the Global Economy”, the book Global Economy”, the book has become a standard has become a standard business school standard business school standard world wideworld wide

Example of all boats rising in Example of all boats rising in her bookher book

Globalization 1.0-3.0according to Thomas Friedman

Globalization 3.0Era of the Individual

In 1992, when Bill Clinton was In 1992, when Bill Clinton was elected president, no one elected president, no one outside of government had outside of government had Email.Email.

In 1998, the Internet and In 1998, the Internet and e-commerce just got startede-commerce just got started

2000, Globalization meant the 2000, Globalization meant the individual competed against individual competed against other individuals, but also to other individuals, but also to work work with with themthem

Example of Egypt situationExample of Egypt situation

Globalization 3.0

Globalization 3.0 means that individuals Globalization 3.0 means that individuals compete against other individuals, but compete against other individuals, but also gives us the ability to work also gives us the ability to work with with other individuals, and for small/medium other individuals, and for small/medium companies use this collaborationcompanies use this collaboration

In the process, the effect is that they are In the process, the effect is that they are racing us to the topracing us to the top

Reuters News Service, outsources news Reuters News Service, outsources news reportersreporters

CAT Scans and “Nighthawks”CAT Scans and “Nighthawks”

Dr. Dale Alverson, UNM Center for Dr. Dale Alverson, UNM Center for Telehealth and CybermedicineTelehealth and Cybermedicine

The Travels Begin

So Where was Pietra’s So Where was Pietra’s T-Shirt made?T-Shirt made?

And was the woman And was the woman protester at Georgetown protester at Georgetown

University correct?University correct?

Does everyone assume Does everyone assume the cotton was grown the cotton was grown

overseas?overseas?

So Where was Pietra’s So Where was Pietra’s T-Shirt made?T-Shirt made?

And was the woman And was the woman protester at Georgetown protester at Georgetown

University correct?University correct?

Does everyone assume Does everyone assume the cotton was grown the cotton was grown

overseas?overseas?

First, who grew the cotton?First, who grew the cotton?

Nelson and Ruth Reinsch at Their Farm in Smyer, Texas. (Photo Courtesy of Dwade Reinsch and Colleen Phillips.)

Well, if they grew the cotton, who made the T-Shirt?Well, if they grew the cotton, who made the T-Shirt?

(Photo Courtesy of Wiley Publishing)

Well, if she made the T-Shirt, how did it get to the US?(and is it complicated?), yes it is.

Well, if she made the T-Shirt, how did it get to the US?(and is it complicated?), yes it is.

Next up: RaneyNext up: Raney

Management & Organizational Culture

United States

Organizational CultureOrganizational Culture

-- Individualistic & egocentric -loyalty to self over organizationIndividualistic & egocentric -loyalty to self over organization

-- Motivated by ambition, promotion, very competitiveMotivated by ambition, promotion, very competitive

-- Focus on immediate outcomeFocus on immediate outcome

Management/Leadership CharacteristicsManagement/Leadership Characteristics

-- Democratic -clear areas of responsibility vs. accountabilityDemocratic -clear areas of responsibility vs. accountability

-- Confusing titles, poor reflection of powerConfusing titles, poor reflection of power

• Prepared for our Global Environment?Prepared for our Global Environment?

-- Innovative, risk taking, competitive, flexible, technologyInnovative, risk taking, competitive, flexible, technology

-- BUT low to medium cultural sensitivityBUT low to medium cultural sensitivity

Management & Organizational Culture

Japan

KarōshiKarōshi ( ( 過労死過労死 ), translated literally from ), translated literally from Japanese as "Japanese as "death from overworkdeath from overwork", is ", is occupational sudden death. The term was occupational sudden death. The term was developed in the 70’s after significant numbers of developed in the 70’s after significant numbers of Japanese executives died suddenly of heart Japanese executives died suddenly of heart attack and stroke reportedly due to stress.attack and stroke reportedly due to stress.

Management & Organizational Culture

Japan

Organizational CultureOrganizational Culture

-- Collectivist: high morale, motivation, productivityCollectivist: high morale, motivation, productivity

-- Permanent employees, generalists vs. specialists, job rotationPermanent employees, generalists vs. specialists, job rotation

-- Promotion based on seniority, highly predictablePromotion based on seniority, highly predictable

Management/Leadership CharacteristicsManagement/Leadership Characteristics

-- Paternalistic -focus on employee satisfaction & loyalty, consensusPaternalistic -focus on employee satisfaction & loyalty, consensus

-- Long hours, strong devotionLong hours, strong devotion

• Preparedness for our Global Environment?Preparedness for our Global Environment?

-- Skilled at negotiation, highly productive, innovative, high Skilled at negotiation, highly productive, innovative, high standards, ahead of the game technologicallystandards, ahead of the game technologically

Management & Organizational Culture

India

Organizational CultureOrganizational Culture

-- Collectivist: work/life balance, harmonyCollectivist: work/life balance, harmony

-- Based on Caste structure, distinct rolesBased on Caste structure, distinct roles

-- Honor and reputation very important, no one is shamedHonor and reputation very important, no one is shamed

Management/Leadership CharacteristicsManagement/Leadership Characteristics

-- Paternalistic: focused on harmonyPaternalistic: focused on harmony

-- Management will not do tasks “beneath” their positionManagement will not do tasks “beneath” their position

• Preparedness for our Global EnvironmentPreparedness for our Global Environment

-- Cultural adaptability, Cultural adaptability, readiness for change is readiness for change is highly developed highly developed

Management & Organization Culture

Mexico

Organizational CultureOrganizational Culture

-- Loyal to superior, person rather than organizationLoyal to superior, person rather than organization

-- Favors harmony, competition is discouragedFavors harmony, competition is discouraged

-- Work/life balance, siestas commonWork/life balance, siestas common

Management/Leadership CharacteristicsManagement/Leadership Characteristics

-- Autocratic -subordinates assigned tasks, not authorityAutocratic -subordinates assigned tasks, not authority

-- Trustworthiness highly valued, family & friends often hiredTrustworthiness highly valued, family & friends often hired

• Preparedness for our Global Environment?Preparedness for our Global Environment?

-- Slow to adapt, behind the game technologicallySlow to adapt, behind the game technologically

Management & Organizational Culture

Germany

Organizational CultureOrganizational Culture

-- Rule-oriented, task oriented, aversion to riskRule-oriented, task oriented, aversion to risk

-- Collections of highly specialized teams with well-defined jobsCollections of highly specialized teams with well-defined jobs

-- Commitment to greater whole, specifically to German organizationCommitment to greater whole, specifically to German organization

Management/Leadership CharacteristicsManagement/Leadership Characteristics

-- Autocratic -subordinates assigned tasks, not authorityAutocratic -subordinates assigned tasks, not authority

Preparedness for our Global Environment ?Preparedness for our Global Environment ?

-- Perfection may not lend to adaptabilityPerfection may not lend to adaptability

Next Up: EliotNext Up: Eliot

What is Culture?““The collective programming of the mind The collective programming of the mind which distinguishes the members of one which distinguishes the members of one group or category of people from group or category of people from another.” another.” Hofstede, G. (1991)Hofstede, G. (1991)

Model of Cultural Dimensions

Power DistancePower Distance

Individualism-CollectivismIndividualism-Collectivism

Masculinity-FemininityMasculinity-Femininity

Uncertainty AvoidanceUncertainty Avoidance

Long Term-OrientationLong Term-Orientation

Internet Culture

Collectivist Culture Collectivist Culture becoming more becoming more Individualistic (mixed)Individualistic (mixed)

Feminine becoming mixedFeminine becoming mixed

Low Power Distance Low Power Distance

Low Uncertainty AvoidanceLow Uncertainty Avoidance

Think about what stereotypes exist about your Think about what stereotypes exist about your own cultureown culture

Be flexible when facing different values – try to Be flexible when facing different values – try to understand what reasons lie behind other ways understand what reasons lie behind other ways of thinkingof thinking

Internet Cultural Skills

Most used language onlineMost used language online

Age of average Internet userAge of average Internet user

Average Internet user’s genderAverage Internet user’s gender

Favorite Favorite onlineonline activity activity

Internet users generally have Internet users generally have a higher education levela higher education level

Internet Culture

Next Up: JacquelineNext Up: Jacqueline

CompetitionCompetition

Competition

Income in the U.S. has fallen and is expected to continue Income in the U.S. has fallen and is expected to continue declining due to global competition.declining due to global competition.

Increased competition for Universities in the U.S. to raise Increased competition for Universities in the U.S. to raise education standardseducation standards

Competition in Higher Education

Private EducationPrivate Education

Online EducationOnline Education

- Formal Entities- Formal Entities

- Informal Education Alternatives- Informal Education Alternatives

Universities Seeking a good ReputationUniversities Seeking a good Reputation

Ranking ListWorld’s Best Universities

Ranking ListRanking ListU.S. Top Three SchoolsU.S. Top Three Schools

New Mexico’s Rankings based on America’s Best Colleges

Collaborations

Collaboration ArrangementsCollaboration Arrangements

Used to maintain or gain a visible Used to maintain or gain a visible international profileinternational profile

To attract talented studentsTo attract talented students

Research CollaborationsResearch Collaborations

May permit the exchange of May permit the exchange of researchers, both faculty and students. researchers, both faculty and students.

Collaborations provide institutions with Collaborations provide institutions with additional sources of funding.additional sources of funding.

Next Up: AnaNext Up: Ana

Globalization: Managing Cultural Diversity

Organizations wishing to maximize the Organizations wishing to maximize the benefits and minimize the drawbacks benefits and minimize the drawbacks

of diversity, in terms of workgroup of diversity, in terms of workgroup cohesiveness, interpersonal conflict, cohesiveness, interpersonal conflict,

turnover, and coherent action on major turnover, and coherent action on major organizational goals, must create organizational goals, must create

“multicultural” organizations.“multicultural” organizations.

Five key components needed to transform Five key components needed to transform traditional organizations into multicultural traditional organizations into multicultural

ones:ones:

LeadershipLeadership

TrainingTraining

ResearchResearch

Analysis and change of culture and human Analysis and change of culture and human resource management systemsresource management systems

Follow UpFollow Up

LeadershipLeadership

Management MustManagement Must

Commit to cultural diversityCommit to cultural diversity

Managers take a personal stand on the need to Managers take a personal stand on the need to changechange

Assist in moving the Assist in moving the organization forwardorganization forward

TrainingTraining

Managing and valuing diversity training is the Managing and valuing diversity training is the most prevalent starting point for managing most prevalent starting point for managing diversity. diversity.

ResearchResearch

Identifying issues to be addressed in the Identifying issues to be addressed in the education processeducation process

Helps identify areas where changes are neededHelps identify areas where changes are needed

Provides clues about how to make themProvides clues about how to make them

Culture/Management Systems AuditCulture/Management Systems Audit

Analysis of the OrganizationAnalysis of the Organization

RecruitmentRecruitment

Performance AppraisalPerformance Appraisal

CompensationCompensation

Objectives of the AuditObjectives of the Audit

Uncover Potential BiasUncover Potential Bias

Identify Ways the Culture puts Identify Ways the Culture puts Members at a DisadvantageMembers at a Disadvantage

Follow UpFollow Up

Monitoring ChangeMonitoring Change

Evaluating ResultsEvaluating Results

Institutionalizing as Part of the ProcessInstitutionalizing as Part of the Process

Conclusion

Ability to attract, retain and motivate workersAbility to attract, retain and motivate workers

May lead to a competitive advantageMay lead to a competitive advantage

Maintain highest quality Human ResourcesMaintain highest quality Human Resources

And, finally…