Developing Cross-Cultural Capability: Oman
Executive Summary
Omani is a country that is considered as Middle Eastern country. Like other countries, Omani is also starting to build their strong relationship with other countries in the Middle East, Asia as well as the Western countries in terms of business. Like other countries, the country is also facing the primary problem of multinational countries, the cultural differences.
This paper will show the cultural differences of Oman against the culture of other countries that might affect the overall relationship of the country with the international market. In addition to that, it will also show solutions or strategy that might help to develop a healthy relationship between the country and the foreign companies.
Introduction
Globalization, together with different technologies and the Internet are considered as the primary factors that affected the overall relation and connection of different companies and its important entities in the global market. Due to the said phenomenon, and the growing numbers of international and multinational companies, the need for international management is important. In addition to that, the role of a manager had emerged into the international responsibilities (Thomas 2002, p. xv). The responsibilities of the manager are becoming standard than the exclusion. Another important factor is that, managers are more prone in encountering different cultures (Thomas 2002, p. xv).
The field of international management is no longer restricted to the jet-setting corporate troubleshooters or even the experienced and veteran emigrant managers (Thomas 2002, p. 3). This is due to the fact that majority of businesses nowadays are considered as global business. That is why it is now hard to identify if a certain product or service is affected by the cross-boarder (Thomas 2002, p. 3).
Another important thing is that due to the remarkable change in terms of local and international aspect of economics, politics as well as the technology. All of the said aspects had helped to change and shape the roles and responsibilities of the international manager (Thomas 2002, pp. 3 – 4).
International Management
There are different factors that had opened to the use of international management. Primarily, the disappearance of boundaries is one of the most important reasons. This has been the product of the free-trade system. It had resulted to the increasing numbers of the multinational corporations or the MNCs. The MNCs are operating their different activities such as production, sales and marketing as well as distribution in different headquarters in different countries. The said strategy is being done in order to take advantage of the different resources that can be used in convenience (Thomas 2002, p. 5). Example of this is the strategy of most of the companies to establish their branch or partner company in China, in order to take advantage of the low labor cost.
Introduction of different teams in the multicultural workplaces is in great need of change in the work methods, compensation system, level of employee involvement, the role of the first line managers as well as the leadership styles (Thomas 2002, p. 5).
Another important factor that had affected the international management is the impact of Information Technology of the IT. IT, together with the different technologies, that is related to it like the database, the Internet and the use of front-end programming language. It had helped many companies to centralize and standardize their processing of data. Furthermore, it had also helped many companies to control their data and information even with the presence of geographical gap.
Cultural Implications of Oman
In the past 35 years, Oman has altered itself from a closed society to a progressive sultanate that benefit from a good relationship with the Arab nations as well as the West. Its 2.6 million inhabitants have a per capita of ,200, together with the reservation of crude oil of about 5.5 billion barrels. The said country is considered as a home of mostly Ibadhi Muslims, a sect that is traditional but open-minded (Moran & Harris 2007, p. 336).
Just like any country in the Arab World, Oman is also open for global or international relationship. Cultural differences are considered as one of the most important factor as well as dilemma that must be considered by any companies that are operating in the global market. That is the primary reason why most of the companies are implementing their thinking global and acting local strategies just like the Procter and Gamble. If a company goes into a business into another country and makes decisions and plan based on the operation of the mother company in the home country, then there is a big chance that it will create a bad decision and decrease the level of performance of the company in the global market (itim International 2003).
The Middle Eastern countries have a huge difference with the Western countries when it comes to business and organizational countries. Primarily, in Western countries, when they are negotiating, their main objective is to work toward a target mutual understanding as well as agreement. It will eventually lead to a shake-hand after reaching the mutual agreement. Shake-hand is the symbol for the end of the negotiation and the start of the process of working together. This is different from that of the Middle Eastern countries, negotiation takes place into an agreement that is symbolizes by shake-hand. But the deal is not yet over and completed, shake-hands is the cultural sign that the serious negotiation is just beginning (itim International 2003).
Geert Hoftede Cultural Dimensions
Oman is part of the Arab World, together with other countries such as Egypt, Iraq, Kuwait, Lebanon etc. According to the result of the study of the itim International about the cultural characteristics of the Arab countries, the LPD and the UAI are considered as the most dominant dimension of the Hofstede. In general it’s Power Distance Index or PDI (80) and the Uncertainty Avoidance Index or UAI (68). The reason behind the result is that the countries that are belonging to the group are following their caste system that does not allow significant upward mobility of its citizens. They are also highly rule-oriented with the different laws, rules, regulations as well as the controls that helped them to reduce the amount of uncertainty, while inequalities of power and wealth have been allowed to grow within the society (itim International 2003).
In addition to that, the combination of the two said dimension had enabled to create a situation that helped the leaders to have an ultimate as well as strong authority with the help of different rules, laws as well as regulations. All of those aspects are developed via the reinforcement of their own leadership as well as control. That is why it is not extraordinary for a new headship to happen from an armed revolution using the definitive power, rather than using the political or the independent way of change (itim International 2003).
The ranking of the PDI indicates that it the country has a high level of inequality of power as well as wealth within the society. In addition to that, the citizens from the said countries have their expectation as well as acceptance that their leaders will be separating themselves from the group. Moreover, their condition is not necessarily threatened or weakened ahead the population, but they are considering it as part of their societal and cultural heritage (itim International 2003).
The Uncertainty Avoidance Index of the said country ranks to 68. It indicates that the society has a low tolerance for the different uncertainty. This is due to the fact that the government is doing their different rules, laws, policies as well as regulations that will help them to minimize or reduce the level of uncertainties of their citizens. The said effort had resulted into the high UAI characteristics. It only means that the society is not that ready to accept any change or risky adverse (itim International 2003).
In addition to that the Masculine index or the MAS also shows as the third highest among the Hoftede Dimension (52). This shows that the rights of the Arab women are somewhat limited. This can be explained via the influence of their religion (itim International 2003).
In terms of the Individualism, it had ranked at 38. It only means that the country is more of a collectivist rather than the individualist culture that is characterized by having a close and long-term commitment to the group such as family, extended family as well as other extended relationship. It also signifies that loyalty is a dominant in their culture and it is one of the most important factors in creating and establishing their different societal rules and policies (itim International 2003).
Cultural Differences between Omani Organizations and Other Countries
Individualism and Collectivism
Individualism is a cultural orientation that enables people to be belonged to the loose or free social framework. It also urges the people to think about their selves and their families. On the other hand the collectivism is the cultural orientation that enables the people to be involved in a tightly knit social framework. Primarily, these frameworks push the people to be dependent on their large as well as extended families or their clan (Nelson & Quick 2006, p. 40).
Omani organizations use the framework of collectivism as their primary strategy in managing as well as controlling their people. Like the collectivist managers from Japan as well as Columbia, Omani managers are also into the use of strategy in seeking different activities that will fit into the harmony and strong relationship of the group (Nelson & Quick 2006, p. 40). In addition to that, it also shows that the relationship between the employees and the employer is seen as family relationship. It encourages a strong loyalty on the part of the employee that is connected to the commitment of the employers to the security as well as the protection of their employees. In addition to that, loyalty of the employees serve as an unwritten agreement that requires the employees to be faithful to the organization, their managers as well as their coworker and meet the expectations of the company by bringing out their best of ability (Mor-Barak 2005, p. 172). According to the study of 365 employees from different countries: Saudi Arabia, Kuwait and Oman; collectivist participatory is related with the strong group commitment and the belief about a common work ethics (cited in Mor-Barak 2005, p. 172).
The said mentality is somewhat different that of North American and British culture where in individualistic is being practice (Nelson & Quick 2006, p. 40). In addition to that, individualistic believe in individual reward system that will help to drive initiative and effort, while the collectivist believe in rewarding their employees by their group or team effort (cited in Mor-Barak 2005, p. 172).
Men vs. Women
The Arabian Gulf society, where in Oman is included has been considered as the fortress of patriarchy and male chauvinism. The mentality of the Arabian countries or the Middle Eastern countries about their treatment and their allocation of rights for the woman had been affected by their religion (Al-Lamky 2007). This culture is somewhat different from other countries in West as well as Asia that considered men and women as equal.
Although, the country is now considered as one of those countries that are beginning to accept the role of the women in their business world, the statistics of their working women in their government positions shows that the rights between the two sexes is not that equal (see appendix C). But the government is doing their effort in order to give their women citizens the equal rights with men. Omani women can participate with different public affairs, gather and form different associations as well as work in public offices (Al-Lamky 2007).
The issue about the sexuality is always one of the most talked subjects when it comes to the cultural differences. This is due to the fact that most of the American and European countries are open in putting female employees in higher position. This may create a conflict between the male employees in Oman if they will be handled by their female supervisor or manager.
Management Style
The management styles that used by most of the Arab managers are the authoritarian and consultative. The authoritarian management style is somewhat not applicable for the American and European. But it is somewhat applicable for the Asian, due to the fact that their cultures are suitable for the authoritarian style. That is the primary reason why those employers from the Arabian Gulf prefer to have their Asian workers due to the fact that they are frequently reported as obedient to their superiors (Atiyyah 1996, p. 43).
Cultural Intelligence
Cultural intelligence is an important program that must be done by different companies in order to ensure that the cultural differences between their employees’ different nationality will not serve as a hindrance to the overall improvement of their performance.
Cross-cultural Communication
Primarily, it is important to take a focus to the religion or the belief of their employees. This is due to the fact that lack of information or knowledge about the belief and tradition of a certain individual can be a cause of misunderstanding. A clear channel or mean of communication is important but it is also important to consider the non-verbal cues or the paralinguistic aspect of communication (cited in Earley & Ang 2003, p. 173). It pertains to the verbal behavior that is related to the beliefs, attitudes as well as the values of a person to another (Earley & Ang 2003p. 173).
Role of Women
With accordance to the role of the women in an organization, it is important for the government to pursue more law that will totally give women their freedom in having a position in any government as well as private organization. In addition to that, each and every organization must also implement their different program that will ensure that their male workers will not make their female coworker to feel that they are being discriminated. In addition to that, they must also follow the orders of their female superiors.
It can be done by following the emotional or motivational level of cultural intelligence, where in the country must be able to follow the culture of other countries’ organization. This is due to the fact that most of the countries, more particularly from the Western countries, are not into the issue about sexes. Another thing is that the role of women in the international business had been one of the most important and the number of their success story had been growing.
Collectivism and Individualism
In terms of collectivism and individualism, although the said management style or framework is considered as different, both of it has its own different applications. It means that there are particular case or scenario where in the collectivism will be helpful, so as the individualism.
The physical level of cultural intelligence will be helpful in improving the relationship of the country’s organization to another. It is important for the country’s organization to know the culture of other countries when it comes to their framework of leadership by applying it to their daily operations up to their decision-making. In addition to that, the use of the framework will be based on the people and their acceptance to the specific framework. It is important to make sure that different nation prefer different framework of leadership.
Management Style
In the management style, it is important to take the cognitive level, where in the organization will be able to learn different information about the beliefs, customs as well as the taboos of the different foreign culture. By doing this, it will be able to prepare an employee to handle different situation that pertains to the cultural differences.
In addition to that Omani organization must be able to understand the difference between their management styles with the other countries’ organization. It is also important to make sure that the management style that will be implemented will be suitable to the culture of their employees. The management style that is being used for the locals must not be used in order to maintain their motivation and enthusiasm. On the other hand, in order to make sure that organizations are working local, they must be able to handle their human resource based on their culture.
Conclusion
Culture differences are an important factor in every organization in the world. It is also considered as one of the most important issue that is being faced by many of human resource management of every company. Working in a multi-cultural company is not an easy activity due to the fact that it can affect their working environment as well as the overall performance of each and every employee. In addition to that culture differences can also create an awkward environment that will affect the performance of an employee.
In addition to that culture details are important in decision-making in different areas of human resource management such as hiring and selection, controlling, as well as other motivation-driver aspect of HRM such as compensation and benefits. On the other hand, it can also help in policy-making and in making important rules and regulations, limitations as well as law that will govern the different parts or aspects as well as department of an organization.
In Oman, the three primary cultural issues is the management style, role of women in the business as well as in the society as well as the difference between the management and motivation framework. All of the said issues have a huge difference between cultures of organizations in other countries. All of the said issues can be prevented and resolved by implementing a clear and open means or channel of communication that will enable the different cultures to interact and know each other, therefore will create an understanding. The said solution will be able to maintain harmony and peace inside an organization that will eventually reflect to the overall performance of an organization that will helped to maintain its position in the global market.
References
Al-Lamky, A 2007, ‘Feminizing Leadership in Arab Societies: The Perspective of Omani Female Leaders’, Women in Management Review, vol. 22, no. 1, pp. 46-67
Atiyyah, H 1996, ‘Expatriate Acculturation in Arab Gulf Countries’, Journal of Management Development, vol. 16, no. 5, pp. 37 – 47
Earley, C & Ang, S 2003, Cultural Intelligence: Individual Interactions Across Cultures, Stanford University Press
Geert Hofstede Cultural Dimensions 2003, itim International, viewed 31 March 2008, <http://www.geert-hofstede.com/>
Moran, R, Harris, P, & Moran, S 2007, Managing Cultural Differences: Global Leadership for Strategies for the 21st Century, Butterworth-Heinemann
Mor-Barak, M 2005, Managing Diversity: Toward a Globally Inclusive Workplace, SAGE
Nelson, D & Quick, J 2006, Organizational Behavior: Foundations, Realities and Challenges, Thomson South-Western
Thomas, D. 2002, Essentials of International Management: A Cross-Cultural Perspective, SAGE
UAE-Oman Seminar 2007, International Enterprise Singapore, viewed 31 March 2008, <http://activities.iesingapore.gov.sg/TFM/TFMEvents.nsf/f0cfbb2bb 63dd6df482570ce002f5d3c/48256eb700163e46482573920025ff16/$FILE/ATTYO04R/UAE%20Oman%20Sem.pdf>
US Department of Commerce 1993, International Business Practice, Diane Publishing
Appendices
Appendix A: Different Dimension of Geert Hofstede
Power Distance Index (PDI) that is the extent to which the less powerful members of organizations and institutions (like the family) accept and expect that power is distributed unequally. This represents inequality (more versus less), but defined from below, not from above. It suggests that a society’s level of inequality is endorsed by the followers as much as by the leaders. Power and inequality, of course, are extremely fundamental facts of any society and anybody with some international experience will be aware that ‘all societies are unequal, but some are more unequal than others’.
Individualism (IDV) on the one side versus its opposite, collectivism, that is the degree to which individuals are inte-grated into groups. On the individualist side we find societies in which the ties between individuals are loose: everyone is expected to look after him/herself and his/her immediate family. On the collectivist side, we find societies in which people from birth onwards are integrated into strong, cohesive in-groups, often extended families (with uncles, aunts and grandparents) which continue protecting them in exchange for unquestioning loyalty. The word ‘collectivism’ in this sense has no political meaning: it refers to the group, not to the state. Again, the issue addressed by this dimension is an extremely fundamental one, regarding all societies in the world.
Masculinity (MAS) versus its opposite, femininity refers to the distribution of roles between the genders which is another fundamental issue for any society to which a range of solutions are found. The IBM studies revealed that (a) women’s values differ less among societies than men’s values; (b) men’s values from one country to another contain a dimension from very assertive and competitive and maximally different from women’s values on the one side, to modest and caring and similar to women’s values on the other. The assertive pole has been called ‘masculine’ and the modest, caring pole ‘feminine’. The women in feminine countries have the same modest, caring values as the men; in the masculine countries they are somewhat assertive and competitive, but not as much as the men, so that these countries show a gap between men’s values and women’s values.
Uncertainty Avoidance Index (UAI) deals with a society’s tolerance for uncertainty and ambiguity; it ultimately refers to man’s search for Truth. It indicates to what extent a culture programs its members to feel either uncomfortable or comfortable in unstructured situations. Unstructured situations are novel, unknown, surprising, different from usual. Uncertainty avoiding cultures try to minimize the possibility of such situations by strict laws and rules, safety and security measures, and on the philosophical and religious level by a belief in absolute Truth; ‘there can only be one Truth and we have it’. People in uncertainty avoiding countries are also more emotional, and motivated by inner nervous energy. The opposite type, uncertainty accepting cultures, are more tolerant of opinions different from what they are used to; they try to have as few rules as possible, and on the philosophical and religious level they are relativist and allow many currents to flow side by side. People within these cultures are more phlegmatic and contemplative, and not expected by their environment to express emotions.
Long-Term Orientation (LTO) versus short-term orientation: this fifth dimension was found in a study among students in 23 countries around the world, using a questionnaire designed by Chinese scholars It can be said to deal with Virtue regardless of Truth. Values associated with Long Term Orientation are thrift and perseverance; values associated with Short Term Orientation are respect for tradition, fulfilling social obligations, and protecting one’s ‘face’. Both the positively and the negatively rated values of this dimension are found in the teachings of Confucius, the most influential Chinese philosopher who lived around 500 B.C.; however, the dimension also applies to countries without a Confucian heritage.
Source: (itim International 2003)
Appendix B: Female and Male in the Sultanate of Oman: A Statistical Portrait
Occupation
No. of Females
No. of Males
Percentage of Females to Total
Undersecretary
3
28
9.7
Secretary General
0
11
0
Ambassador
1
28
3.4
Majilis A’Shara
2
80
2.4
Majis A’Dawla
5
37
11.9
Advisor
4
117
3.3
Director General
10
154
6.1
Total
25
455
5.2
Adapted from (cited in Al-Lamky 2007)
Credit:ivythesis.typepad.com
0 comments:
Post a Comment