Cross Cultural Issues in Management of New Teams

Summative Assessment

Table of Contents
Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Discussion of cross cultural issues which could arise in terms of management of new
teams of employees as well as suggestions on HR managers to do for overcoming issues. 1
Discussion of how parent company could manage their international assignment more
effectively...................................................................................................................................6
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Cross culture refers to an effective and significant term that is used to respecting, and interacting
with those whose world, views, perception, communication style, customs, practices are different
than one own. In twenty first century economy is redefined the playing field where the global
companies are competing. It is very essential for business enterprise to have a cross culture
awareness because it is highly beneficial to eliminates the chances of making the poor decisions
and planning that also maximize the opportunity for an organisation to make more insightful and
prepare considerable decision. Therefore, having a knowledge regarding culture awareness helps
in developing relationship skill through the ability of informing correct policies and code of
conduct related to business etiquette (Grott, and et. al., 2019). It also helps in demonstrating
what is acceptable and unacceptable in several social situations and reason of following different
values and beliefs. This report includes the Salvatore Ferragamo Company that is a largest
multinational brand headquartered in Italy offers leather products and clothing to customers. This
company mainly specializes in producing leather goods, Swiss made time watches and ready to
wear men and women. This report involves the Hofstede culture model that is done between
India and Italy. In which Italy Company expand their business in India to reduce their overall
production cost and for this manager of an organisation need to understand Indian culture to
sustain in marketplace. It also includes several challenges that were faced by expatriate at the
time of managing teams. At last it demonstrates the how Italy company can manage the
international assignments more effectively by highly focus on expatriate selection, training and
rewards. Therefore, highly focus on the challenges and strategies that management of an
organisation follow by doing international business helps in gaining profitable and remarkable
outcomes that helps business enterprise to sustain in the marketplace for a longer period of time.
MAIN BODY
Discussion of cross cultural issues which could arise in terms of management of new teams
of employees as well as suggestions on HR managers to do for overcoming issues.
Hofstede cultural dimension theory it is a frame work for cross cultural communication that is
developed by Geert Hofstede. It includes the overall scenario of society culture on the values of
its members and how these values relate to behaviour and using a structure derived from factors
analysis (Pang, 2020). It includes the various dimension to know about the cultural dimension
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theory. It is considering as a framework for cross culture communication. It includes the power
distance index, it considers the extent to which inequality and power are tolerated. In this
dimensions, inequality and power are viewed from the viewpoint of the followers. High power
distance index indicates that a culture accepts inequity and power differences, encourages
bureaucracy and shows high respect for rank and authority. Low power distance index that
indicates that a culture encourages organizational structures that are flat and feature decentralized
decision making responsibility, participative style of management and place of emphasis on
power distribution. Uncertainty avoidance index, it considers the extent to which in certainty,
ambiguity, and risk taking the unknown is minimized by strict rules, regulations etc. a low
uncertainty avoidance index indicates a high tolerance for risk taking the unknown is more
openly accepted and there are lax rules, regulation etc. masculinity and femininity dimension is
also referred to as a tough vs tender and consider the presences of the society for achievement,
attitude towards sexuality equality behaviour etc. masculinity comes with the following character
tics distinct gender roles, assertive, and wealth building (Laguna, and et. al., 2017). Feminist
comes with the following characteristics, fluid gender roles, modest, nurturing and concerned
with the quality of life. it includes long term orientation and short term orientation show focus on
the near future, involves delivering short term success or gratification and places a stronger
emphasis on the present than the future. Short term orientation emphasizes quick outcomes and
respect for tradition. Indulgence vs restraint dimension consider the extent and tendency for a
society to full fill its desire. On the other side this dimension takes around how societies can
control their impulses and desires. Restraints indicates that a society suppress gratification of
needs and regulates it through social norms. Hofstede insights is a great resource to understand
the impact of culture on work and life. it can be accessed here to understand how the different
dimensions differ among countries or organization under the Hofstede cultural dimension theory.
The main purpose this theory developed by Geert Hofstede is a frame work used to understand
the differences in culture across countries and to discern the ways that commercial enterprise is
done across different cultures. It is very important on the basis of differences in values and
beliefs regarding work goals. Framework is especially useful because it gives essential
information about differences between countries and organization and how to manage such
differences. The individualism collectivism dimension it is the most essential dimension
separating cultures. These studies identified nine dimension that describes differences in national
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