expression and self-fulfillment of their members
• Participants confirm, criticize, develop, and find resources for, or to help complete, the
development of an innovation
• Typical in start-ups
• Creates an environment where participants thrive on an intense, emotional commitment
to the nature of work
• Changes are fast and spontaneous
• Motivation remains highly intrinsic and intense
• Leadership is achieved and not gained by position
Multiculturalism and Diversity – Adler’s 4 Phases
• The success of a MNE is determined by its ability to manage multiculturalism and
diversity which today are encountered domestically and internationally
• American professor Nancy Adler suggests a 4 Phase “international evolution” which
MNE’s go through in their development
➢
Phase I - Domestic corporations
➢
Phase II - International corporations
➢
Phase III - Multinational corporations
➢
Phase IV - Global corporations
➢
Domestic firms: cultural diversity does not affect firm’s organizational culture nor its
interaction with the outside (customer, etc.) only domestic multi- culturalism is in play
➢
International firms: exporting & producing abroad, use of home country management,
diversity focus is from the inside outward
➢
Multinational firms: personnel from all over the world, less attention to the outside,
focus on managing diversity inside the firm
➢
Global corporations: internal & external, everyone needs to develop cross- cultural skills
to work effectively with employees, customers, suppliers, etc.
Homogeneous groups:
members have similar backgrounds and generally perceive,
interpret and evaluate events in similar ways
Token groups:
all members but one has the same background.
Bicultural groups:
two or more members represent each of two distinct cultures.
Multicultural groups:
composed of individuals form three or more different ethnic
backgrounds.
Potential Problems of Diversity
• Erroneous perceptions caused by preconceived stereotypes
• Inaccurate biases
• Inaccurate communication or miscommunication
• Result of using unclear words, manner in which situations are interpreted, and
differences in perceptions of time
Advantages of diversity
• Enhances creativity, leads to better decisions, and results in more effective and
productive performance
• Helps generate more and better ideas
• Prevents groupthink
• Social conformity and pressures on individual members of a group to conform and reach
consensus
• Enhances relationships with customers
Multicultural Group (Team) Effectiveness
• Focus of attention must be determined by the stage of team development
• Entry stage - Focus on building trust and developing team cohesion
• Work stage - Focus is directed toward describing and analyzing the problem or task
that has been assigned
• Action stage - Focus shifts to decision making and implementation
Building trust
Swift trust/ passable trust
Knowledge: direct knowledge/ reflected knowledge
