Managing Human Capital Entrepreneurship: A Case Study

Running Head: CASE STUDY
Case Study
Name of the Student
Name of the University
Author Note

1CASE STUDY
Topic- Managing Human Capital Entrepreneurship
As shown in the case of AGC, there are so many human capital management problems
that arise from the unawareness or not acknowledging the cultural differences at the global
subsidiaries that an organization faces. First of all, the biggest problem is in the field of
communication. According to Binder (2016), it is the most essential key for a successful business
venture. When the members of a particular organization cannot communicate among themselves,
it becomes next to impossible to discuss operational topics. Although it is true that, organizations
have increasingly opted to include other countries for the talent pool and expansion of business.
It is of course healthy for the business but along with it comes so many cultural differences.
These differences are in the fields of religion, opinions, language, perspectives and many others.
When an organization is unaware of these differences or even after being aware of it, does not
acknowledge it and act to reduce it, clashes start occurring within the members and the
management faces hurdles to unite them and make them work together as suggested by French,
(2015).
Solomon et al. (2014), claim that leadership styles have remarkable effects on the small
businesses but also on the largest corporations of the world. The leaders create a kind of
corporate culture that leaves impact on the organization and the performance. First of all, the
autocratic style or the authoritarian leadership defines the division between the workers and the
leaders. These leaders make their own decisions without any involvement of the employees. This
kind of leadership style is alright when it comes to making fast decisions. However, the
employees especially those who are in the global subsidiaries feel the most disconnected with
this leadership style. When the leaders stay in regular contact with the employees and take their
concern in most of the decisions, the cultural barriers can be reduced to some extents. Opposite