Comprehensive Analysis of Hofstede Cultural Model Report

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This report provides an in-depth analysis of the Hofstede cultural model, a framework used for cross-cultural communication. It explores key dimensions such as the power distance index, individualism/collectivism, and uncertainty avoidance. The report details the author's agreement with the power distance index, highlighting its role in measuring power dynamics and promoting democratic relations within organizations. Conversely, the author disagrees with the individualism model, citing its potential to hinder organizational growth. The report suggests incorporating uncertainty avoidance alongside the power distance index to foster risk-taking and innovation. The conclusion summarizes the report's key findings, emphasizing the model's impact on understanding cultural differences and adapting to uncertainty. References to relevant books and journals are included.
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Table of Contents
INTRODUCTION...........................................................................................................................1
Main body ..................................................................................................................................1
CONCLUSION ...............................................................................................................................3
REFERENCES ...............................................................................................................................4
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INTRODUCTION
In these report it covers the Hofstede cultural model which explain the behaviour of the
individual. Also, it will cover the dimension of the model such as distance power index,
uncertainty avoidance and individualism and collectivism. And it will cover that what dimension
I agree and what I disagree and as well as the suggestion of the dimension that the organisation
must adopt in there working.
Main body
Question 1
Hofstede cultural dimension – Hofstede's culture dimension is a framework for cross cultural
communication. This model is based on three dimensions such as individualism / collectivism,
Power distance index and uncertainty avoidance. It was developed by Geert Hofstede. It helps to
learn about the different culture in the organisation and society. The various dimension explain
are explain below -
Power distance index – It helps to measure the power and wealth between the individuals and
society and firm. It also deals with the fact that all individual in the society are not equal. If the
PDI is low then there will be more democratic relation between subordinate and the superior.
Example of countries with low PDI is United state, United kingdom etc.
If there is higher PDI culture then the power relation are autocratic that is the power
remains with one person only. In this the subordinates are more dependent upon the superior.
Examples are Arab countries, France etc. (Beugelsdijk Kostova and Roth, 2017).
Individualism culture – This dimension concentrate upon the or give more priority of the
individual as compare to entire group. If there is low power degree individualism then there will
be positive environment in the organisation. It gives more importance to “we”.
And in high individualism reflects that there is great inequality in society and also have lack of
inter personnel connection and very little connection of responsibility.
Uncertainty avoidance – This is the third dimension which refers to the degree of tolerance of
people in uncertain situation. If there is high level of uncertainty reflects guideline , rules and
also people are not comfortable to face the uncertain situation.
The second one when there is low degree in index shows that there is more acceptance of ideas
and also people are more comfortable in facing risky situation (Qu and Yang, 2015).
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Question 2
Agree
Out of the three dimension I agree with the power distance index which measure the power
between the individuals and the society and organisation. Also, it measures the inequality level
and also it is the most important dimension of the model. In power distance index there are two
concepts that is lower PDI culture and higher PDI culture. In lower PDI culture there is more
democratic rule between the superior and subordinate. There is low equality in the organisation .
It follows open door policy people are free to share there innovative ideas with there superior and
also the top management is more willing to listen the subordinates and also give challenge or
suggestion to the employees. In these the flat management is very common where there is no
layer of management and every subordinated is free to communicate with other. These
dimension will help the organisation in decision making and also there will be less conflict. For
example if the subordinate wants to convey or share ideas then he or she is free to do so. And
also there will be independence in the organisation that is people are not dependent upon there
superior as there is no power holder in the system (Oloko and Ogutu, 2017).
Disagree
From the above Hofstede cultural dimension I disagree with Individualism model as if there is
higher individualist culture it believes that people take care of themselves that is it give more
importance or more priority to the individual as compare to the entire group. In this “we” is
replaced to “I”. And also they are more concern with the personnel achievement rather than the
whole group success. The decision are made I individualism is based on the need of the
individual not by the collective group. In these people are more self oriented they think about
themselves and this dimension doesn't work in the organisation and also it hinders the growth of
the organisation as decision became difficult and people started losing interest “I” the
organisation (Ollier-Malaterre and Foucreault, 2017).
Question 3
Suggestion
The organisation should also use Uncertainty avoidance with Power distance index because
uncertainty avoidance is the measure the degree at which people can tolerate the uncertain
situation and willing to work in the uncomfortable situation. In lower level of uncertainty people
take more risk and also they feel less stress and can work in uncomfortable situation. And also
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new ideas and innovating methods are more welcome in the organisation. And also people
follow the rules so that it help to minimise the risk and also the responsibility in the organisation
and clear and also it has fewer chances of confusion and it has proper coordination and
organisation achieve maximum profit because people are more willing to take more risk. And
thus by all the characteristics it is beneficial for the organisation for adopting this dimension
(Khlif, 2016).
CONCLUSION
The above report is on Hofstede cultural dimension is a model base on cross cultural
communication and also focus on how culture adopt changes and cope with uncertainty. This
report has covers three dimension of Hofstede that are individualism, power distance index and
third one is uncertainty avoidance. And also I agreed with power distance index as it is more
democratic and have flexibility in rules and regulation and improve the decision making power.
Further I have disagreed with Individualism as it is self oriented and it focuses on individual
rather than the entire group. And I also suggested the uncertainty avoidance to use in the
organisation so that people take more risk and willing to work in uncomfortable environment.
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REFERENCES
Books and Journals
Khlif, H., 2016. Hofstede’s cultural dimensions in accounting research: a
review. Meditari Accountancy Research.24(4).pp.545-573.
Beugelsdijk, S., Kostova, T. and Roth, K., 2017. An overview of Hofstede-
inspired country-level culture research in international business since
2006. Journal of International Business Studies.48(1). pp.30-47.
Oloko, M. and Ogutu, M., 2017. Influence of power distance on employee
empowerment and MNC performance: a study of multinational
corporations in Kenya.
Ollier-Malaterre, A. and Foucreault, A., 2017. Cross-national work-life
research: Cultural and structural impacts for individuals and
organizations. Journal of Management.43(1). pp.111-136.
Qu, W.G. and Yang, Z., 2015. The effect of uncertainty avoidance and social
trust on supply chain collaboration. Journal of Business
Research.68(5).pp.911-918.
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