Cultural Intelligence and Emotional Intelligence in Business

This assignment examines the significance of both cultural intelligence (CQ) and emotional intelligence (EI) within modern business contexts. It delves into how these concepts influence workplace dynamics, leadership effectiveness, teamwork, customer relationships, and overall organizational success. The document also highlights practical strategies for developing and nurturing both CQ and EI in individuals and organizations.

Running Head: Emotional Intelligence
Emotional Intelligence

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Contents
Executive summary.....................................................................................................................................2
Introduction.................................................................................................................................................3
Policy recommendation for multicultural issues in management of the company.....................................3
Summary of McDonalds Company..............................................................................................................4
Summary of Coca-Cola Company................................................................................................................5
Analysis and justification of strategies........................................................................................................6
Recommendations.......................................................................................................................................7
Conclusion...................................................................................................................................................7
References...................................................................................................................................................9
Appendices................................................................................................................................................10

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Executive summary
The aim of this task to provide knowledge about the importance of cultural intelligence,
emotional intelligence and diversity in a business. The multi-cultural workplace tension leads to
demotivating the employees of the organization due to which the growth of company decreases.
Apart from that different strategies shall be defined in order to solve the issues caused in
workplace ad increase the efficiency of the organization. Lastly, the report provides a brief
summary of McDonalds and Coca-Cola Company and its activities to support emotional
intelligence in organization. Further details of the task are discussed below.

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Introduction
In today’s growing era, it is important for the business process to gain the competitive edge in
the market. So in order to expand the market, the company needs to focus on all the internal and
external aspects present in global business environment. Apart from attainment of organizational
objective financial, a business process shall also consider the environment of the organization.
The report further provides an overview of the policies which the company can adopt in order to
solve the multicultural tension present in the management system of the organization (Goleman,
Boyatzis, and McKee 2013). It also provides the summary of two organizations from the
presentation. Lastly, the report analyses the firm’s weakness to manage the multicultural issues
and justified strategies which can help the organization to gain competence.
Policy recommendation for multicultural issues in management of the
company
Multicultural issues refer to those issues which are faced in a company when they hold their
business activities with other companies outside their geographical boundaries. Such issues are
faced by the management of the organization when they collaborate with companies of foreign
countries. Due to these issues the internal environment of the organization is disturbed resulting
in negatively affecting the growth of the company. Workplace issues like high employee
turnover, low productivity and low morale among employees are attracted with the company
(Serrat 2017). As there is major difference between the culture of Australia and India, due to
which many times the organization is unable to satisfy the employees of the both the unit due to
which such problems occurs (appendices 1). It can also be regarded as the inefficiency of the
company to adequately satisfy the requirement of all the employees of the company. Thus, the
organization shall apply the below mentioned policies to solve the multicultural issues of
workplace (Druskat, Mount, and Sala 2013).
 Communication: The major problems of the company can solved through efficient
communication in the organization. Communication is the best way to keep the employee
interested in the workings of the organization. Apart from that the leader will easily get to
know the issues which the employees are facing in the internal environment. Proper

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communication will also help people to create a friendly environment and adapt cultural
differences as well (Dong, Seo, and Bartol 2014).
 Cross-cultural programs: cross-cultural programs help the employee to under the
different community. With the help of his training they are abled too easily adopt the
culture of other country in which they are working. This process also helps in learning the
culture and language of different countries which helpss in initiating good
communication as well.
 Pay for performance scheme: pay for performance or reward scheme shall be
implemented in the company s that low morale and high employee turnover issues get
dissolved. With the aid of this scheme employees gets to earn according to the work
which they perform, if an employee perform better then they will get paid better or vice
versa. The management shall adopt this technique to resolve the issues.
 Informal group activities: the company shall hold informal parties with its employees so
that they get easily settled in the different environment and they don’t feel homesick.
Union-management bond also initiates formal communication as well.
 Promote appreciation of cultural differences: with the aid of this process, it gets easy for
the employees to sustain in the current environment in which they are working. Also
appreciation will motivate the employees to work more resulting to increase in level of
productivity of the organization (Ciarrochi, and Mayer 2013).
Summary of McDonalds Company
Cultural intelligence refers to the capability of an organization to relate with work and culture
efficiently. This aspect helps an organization to initiate implementation of the objectives of the
organization by fulfilling the cultural ethics as well. For an organization, cultural intelligence
refers to the capabilities of the management to be intelligent enough to create a culture at the
workplace which motivates the people and help them to achieve the targets (Legree, Mullins, and
Psotka 2016).
Talking about the company McDonalds, the company was originated in the year 1940 by
Richard and Mauricee as a barbeque restraint. Later on they organized their company as a

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hamburger stand in 1948. In the current era McDonalds owns the market by serving 69 million
customers per day. The company cultural promise is to initiate diversity in the workplace.
Emotion intelligence along with organizational engagement is regarded as best for the growth of
an organization as it improves both employee and organizational performance. Applying
emotional intelligence in McDonalds, the company adequately integrated the emotional
intelligence with the leadership skills of the organization. The company also identified the issues
which caused low productivity and prioritized them according to their focus. McDonalds
increased the emotional engagement by creating a people profit chain and fusion in different
activities of the company. Also one of the major cultural issues is incivility which leads to loss of
customers in the company. So lastly, it is suggested to McDonald that they shall focus on the soft
skill training which will implement generation of greater productivity and less workplaces issues
in the organization.
Summary of Coca-Cola Company
Emotional intelligence refers to the capability of the organization to analyze the requirements of
the organization and then act accordingly. Adoption of emotional intelligence in an organization
helps then to create goodwill in the target market (Mayer, Caruso, and Salovey 2016). Further
talking about the coca cola company and emotional intelligence, the company engages in
activities which make use of emotional intelligence at high level, also the company share
happiness and satisfaction with their product in the market. Another aspect focused by the
company is diversity, Coca-Cola adequately supplied their products in the market and recruited
diversified workforce in their organization as well.
Further it shall be taken into accounts that the three aspects that are cultural diversity, emotional
intelligence and diversity affect the growth of the business in the global market. The Coco-cola is
adequately serving its product in the market because the company offers its products according
to cultural diversity resent in the market. Apart from that they also understand the emotions of
the customers attracted with the product due to which they adequately satisfy the requirements of
the customers. Diversity is also one of the factor due to which human resource management of
the company is growing and providing efficient services in the market. People with different
cultural values come together and initiate innovation in the product due to which Coke (product

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of coca cola) is highly demanded in the market. But diversity attracts a few drawbacks a well.
Thus, the fact shall be taken into account that cultural intelligence, emotional intelligence and
diversity are three factors which can both positively and negatively affect the growth of the
company in the global market (appendices 2).
Analysis and justification of strategies
The issue analyzed in the case is related to workforce management issues. Low morale of
employees results to increase in high employee turnover and less productivity as well. Focusing
on the core issue of the task, it shall be noticed that as the company has collaborated with many
other companies around the global due to which they need to expand their customer base and
employee base as well. Due to large and diversified human resource the company was unable to
manage the workplace management in the system of the organization. Further the company shall
implement the above mentioned strategies in the organization so that excellence is achieved by
the company and issues are solved easily (Carson, Carson, and Birkenmeier 2016).
From the analysis of the multicultural issue attracted with the company its company shall be
solved with the use of adequate technological managerial measures so that the company achieves
competence in the market. As recommended for the McDonalds the company, this company
shall apply such tools in their organizational process so that growth is achieved (Schroeder, et.
al., 2016).
Initially the management shall segregate different tasks in groups and then align the duties to
managers and employees of the organization. This will help the company to develop soft skill
qualities in their process, apart from that aspect are neglected by the management many times
can be considered under the soft skill process of the company (Gardiner, Baranski, and Funder
2016). This aspect looks at the multicultural issues which he organization faces, and make sure
to solve them so that employee satisfaction in remain in place. Another strategy learned from the
implementation of such strategy is the emotional intelligence; it is one or the major aspect due to
which the growth of the organization is possible (Prada, et. al. 2016).
Thus, this fact is justified that acceptance of the above mention two strategies can helps the
employees of the organization to generate sustainability in the organization. With the initiation of

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soft skill training process all the issues related to employee turnover and retention can be solved
by initiating higher satisfaction among them. Also the soft skill helps the company to focus on all
the aspect relating to employees of the organization (appendices 3). This factor also motivates
and involves the employees in the activities of the business process. Soft skills help in the
company in forward to the technological changes of the organization as well (Sheldon, et. al.,
2017).
Lastly, it shall be said that the activities opt the management of the company is justified as it can
adequately assist the company in archiving the target in the global business environment also it
will help the company to remove the multicultural tension and issue related to communication
gap a well (Khan, Pitts, and Williams 2016).
Recommendations
It is recommended to the company all the multinational companies to work in accordance to the
cultural and emotional intelligence aspects present in the environment as they help to understand
the market in a better way. Apart from that it also helps to keep the employees of the
organization motivated. Also emotional intelligence is the best way through which an
organization can understand the feelings of other country as well. This will help the company to
maintain their activities in other countries and eliminate the cultural differences as well.
Conclusion
In the limelight of above mentioned events the fact that shall be taken in accounts is that multi-
cultural tension is an important issue in the organization which shall be resolved by the
management of the company on highest priority. Such issue affects the satisfaction level of the
employees of the company due to which the efficiency level of organization is affect (Bleidorn,
et. al., 2016). Thus, proper measure shall be taken in the organization to avoid such issues. Apart
from that emotional intelligence plays a significant role in shaping future of the organization. So,
concluding to all statement it shall be said that the organization need to adequately analyze the
problem occurring in the internal and external environment of the organization and apply
measures to solves them with the help of emotional intelligence then only they can achieve
competence in the market.

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References
Bleidorn, W., Arslan, R.C., Denissen, J.J., Rentfrow, P.J., Gebauer, J.E., Potter, J. and
Gosling, S.D., 2016. Age and gender differences in self-esteem—A cross-cultural window.
Journal of personality and social psychology, 111(3), p.396.
Carson, K.D., Carson, P.P. and Birkenmeier, B.J., 2016. Measuring emotional intelligence:
Development and validation of an instrument. Journal of Behavioral and applied
Management, 2(1).
Ciarrochi, J. and Mayer, J.D., 2013. Applying emotional intelligence: A practitioner's guide.
Psychology Press.
Dong, Y., Seo, M.G. and Bartol, K.M., 2014. No pain, no gain: An affect-based model of
developmental job experience and the buffering effects of emotional intelligence. Academy of
Management Journal, 57(4), pp.1056-1077.
Druskat, V.U., Mount, G. and Sala, F., 2013. Linking emotional intelligence and
performance at work: Current research evidence with individuals and groups. Psychology
Press.
Gardiner, G., Baranski, E. and Funder, D., 2016. Cross-cultural Differences in Average Daily
Behavior. International Journal of Psychology, 51, p.328.
Goleman, D., Boyatzis, R.E. and McKee, A., 2013. Primal leadership: Unleashing the power
of emotional intelligence. Harvard Business Press.
Khan, T., Pitts, M. and Williams, M.A., 2016. Cross-cultural differences in automotive HMI
design: a comparative study between UK and Indian users' design preferences. Journal of
Usability Studies, 11(2), pp.45-65.
Legree, P.J., Mullins, H.M. and Psotka, J., 2016. Comment: The ability model of emotional
intelligence: Consistency with intelligence theory. Emotion Review, 8(4), pp.301-302.

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Mayer, J.D., Caruso, D.R. and Salovey, P., 2016. The ability model of emotional
intelligence: Principles and updates. Emotion Review, 8(4), pp.290-300.
Prada, M.R., Guzman, N.A., Celis, S., Huerfano, L.M. and Gallo, D., 2016. Differences in
Perception of Health-Related Quality of Life Associates to Socioeconomic, Cultural and
Housing Factors: Multilevel Analysis. Value in Health, 19(7), p.A361.
Schroeder, A., Pennington-Gray, L., Donohoe, H., Kiousis, S. and Mandala, L., 2016. Do
Cultural Differences Influence Tourists’ Likelihood to Seek Information Via Social Media in
the Event of a Crisis?.
Serrat, O., 2017. Understanding and developing emotional intelligence. In Knowledge
Solutions (pp. 329-339). Springer Singapore.
Sheldon, P., Rauschnabel, P.A., Antony, M.G. and Car, S., 2017. A cross-cultural
comparison of Croatian and American social network sites: Exploring cultural differences in
motives for Instagram use. Computers in Human Behavior, 75, pp.643-651.
Appendices
Appendices 1
Emotional intelligence at work is about how people and relationships function:
 relationships between colleagues, between directors and staff;
 Relationships between the organization and its customers, stakeholders, suppliers,
competitors, networking contacts, everyone.
It is about leadership, teamwork, management skills and partnership. Founded on excellent
practice and understanding of communication, the emotionally intelligent business consistently
excels in all these areas and has insight into how this happens.
An organization which is emotionally intelligent has staff that is:
 motivated, productive, efficient, aligned with the business, and committed;
 Effective, confident, likable, happy, and rewarded.

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Appendices 2
As globalization has rendered the business environment more complex, dynamic, and
competitive, the ability to function effectively in different cultural contexts, called Cultural
Intelligence (CQ), has never been more important for organizations.
Employees who possess a high level of cultural intelligence play an important role in bridging
divides and knowledge gaps in an organization: educating their peers about different cultures;
transferring knowledge between otherwise disparate groups; helping to build interpersonal
connections and smooth the interpersonal processes in a multicultural workforce. Culturally
intelligent employees also possess the potential to drive up innovation and creativity, due to their
ability to integrate diverse resources and help the business make best use of the multiple
perspectives that a multicultural workforce brings to the workplace.
Appendices 3
Top companies make assessing and evaluating their diversity process an integral part of their
management system. A customizable employee satisfaction survey can accomplish this
assessment for your company efficiently and conveniently. It can help your management team
determine which challenges and obstacles to diversity are present in your workplace and which
policies need to be added or eliminated. Reassessment can then determine the success of you
diversity in the workplace plan implementation.