MBA502: Cultural Intelligence, Emotional Intelligence & Diversity

This report examines the concepts of cultural intelligence, emotional intelligence, and diversity within global organizations, using McDonald's and Coca-Cola as case studies. It addresses multicultural tensions leading to turnover, low productivity, and morale issues, particularly in firms with global teams collaborating across diverse cultural backgrounds such as India, China, the US, and Mexico. Strategies for resolving these tensions include enhanced communication, cross-cultural programs, performance-based incentives, informal group activities, and promoting appreciation for cultural differences. The report emphasizes the importance of emotional intelligence in understanding and managing cultural differences, which can reduce employee turnover and increase job satisfaction. The ultimate goal is to provide recommendations for senior executives to implement policies that foster effective collaboration among multicultural teams and improve overall organizational performance. Desklib offers a wealth of similar resources for students.

CULTURAL INTELLIGENCE,
EMOTIONAL INTELLIGENCE
AND DIVERSITY

Cultural intelligence refers to the ability of an organization
to work effectively in the global market by providing
equivalent importance to all the cultures worldwide.
This act helps in improvement of internal performance of
the organization as the management takes care of the
culture prevailing.
Also it helps in increase the organizational efficiency by
motivating the employees of the organization.
The multi-cultural workplace issue gets resolved with this
process as employees get comfortable in the environment.
also this process improves the cross cultural competencies
of the organization in the global context.
WHAT IS CULTURAL
INTELLIGENCE

Emotional intelligence refers to the ability of a person to
understand the feelings and behavior of other person and
respond accordingly in the organization.
Emotional intelligence is a perfect way for the management
to solve the workplace issues. It is nothing just intelligence
of the management to act smartly so that all people
connected with the organization get satisfied.
Higher degree of emotional intelligence in organization
states greater job satisfaction, motivation and stability of
the organization in global market.
WHAT IS EMOTIONAL
INTELLIGENCE

Diversity refers to the process of recruiting people with
different culture and backgrounds. This increases the
multicultural aspect the organization.
Diversity acts as advantage and disadvantage both for the
organization. advantage in such a way that it increases the
activities of the business in global context.
And disadvantage in such a way that it becomes difficult for
management to manage the diversity among employees and
diverse culture as well.
Diversity also increases globalization which is a benefit to
the companies.
WHAT IS DIVERSITY

The McDonalds company was originated in the year 1940
by Richard and Mauricee as a barbeque restraint. Later on
they organized their company as a hamburger stand in
1948.
McDonalds identified the issues in the company which
caused low productivity, and then rectified t with the aid of
emotional intelligence and by motivating the employees of
the organization to work efficiently.
The company had cultural issue in the organization as well,
which were solved by understanding the importance of
culture and applying them in the activities of the business.
MCDONALDS COMPANY

Coca Cola 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.
As it is known that coca cola is a consumer brand, so it was
mandatory for the company to connect with the customers
so as to lead in the market, thus the company inherited the
practice of cultural intelligence to future growth in the
global market.
COCA-COLA 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.
The strategies to solve such issues are:
Communication, Cross-cultural programs, Pay for
performance scheme, Informal group activities, Promote
appreciation of cultural differences.
Use of these strategies in the organization will help to
resolve the workplace tension and boost up the morale of
employees as well.
STRATEGIES TO SOLVE
MULTICULTURAL TENSION

Multicultural issues decreases the morale of employees in the
organization due to which either they leave the job or they
loose their efficiency to work. so it is very important for a
global business to use the concepts of cultural and emotional
intelligence so that they can work properly in types of cultures.
Emotional intelligence is the best way through which an
organization can understand the feeling of other country as
well. This will help the company to maintain their activities in
other countries and eliminate the cultural differences as well.
Initiation of this process reduces employee turnover and
retention can be solved by initiating higher satisfaction among
them.
ANALYSIS OF STRATEGIES
AND JUSTIFICATION

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). Thus, proper measure shall be
taken in the organization to avoid such issues
CONCLUSION

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