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Concept of cultural management

Concept of changing international business

Cultural synergy

Work culture

These, combined with intellectuality, make the manager truly global.

Each of individuals is faced with the problem of integration into unfamiliar culture. They must learn the accepted cultural behavior in a unique organizational environment that will ensure their entry, acceptance, and effectiveness in that setting. Whether one is a recruit in the organization, transferred within the company domestically or internationally, or an employee of a subsidiary owned by a larger entity, each must learn to cope with a unique subculture.

Culture gives people a sense of who they are, of belonging, of how they should behave, and of what they should be doing. Culture has a great effect on HRM. If managers are to be effective leaders, they need not only to understand the influence of culture upon organization, but also utilize that culture to improve performance and productivity. Organization creates culture. The organizational culture is a set of coping skills, adaptive strategies used by members in and out of the system. The organization’s culture has a powerful impact on the worker’s or member’s morale and productivity. It even influences the organization’s image of itself which, in turn, is communicated to its public. The different cultures of managers in Joint ventures represented by differences in languages, interactions, perceptions and mentalities leads to problems in communication, working together, problems solving and team sense. The tendency of people within a certain culture to perceive the others as belonging to a single class or category is different to that in the other cultures, which is called stereotype. Stereotypes can affect the actions, coordinations, and corporation of people from different cultures. Values within a culture are the basic convictions that people have regarding what is right or wrong, good or bad, important or unimportant. They help direct the person’s behavior. And differences in cultural values often result in varying management practices.

Different cultures will affect differently the thinking and doing of people, therefore, they could be the source of conflicts in HRM operation of joint ventures, between managers having different cultural backgrounds.

The figure in the next page illustrates many aspects of organizational culture. There are aspects of an organization’s culture that are formal, explicit, and overt, just as there are dimensions that are informal, implicit and covert. In attempting to achieve its goals and missions, the organizational culture is further influenced by leadership practices, norms and standards, rules and regulations, attitudes and principles, ethics and values, polices and practices, structures and technologies, products and services, roles and relationships.

In summary, the following factors affect Human Resource management in international joint venture:

Organization structure

Communication process and language

Responsibility and authority structure

Employee participation and loyalty of the employees

Job design

Compensation and reward system

Training and development

Fair competition among employee and

Organizational culture

Level of team maturity

Flexibility and strictness

Cultural differences

So for human resource manager the following steps are very important and these has to be fulfilled to ensure smooth and efficient operation of the joint venture

Establish people’s participate

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