CROSS CULTURAL HUMAN RESOURCES MANAGEMENT

Cross Cultural Human Resources Management

Abstract

The workforce of the 21st century is increasingly diverse and multicultural. To effectively manage and lead in this environment, HR must be knowledgeable about cross-cultural factors-on both the domestic and global fronts-in human resource management. By promoting education in cross-cultural competencies throughout the organization, HR can better serve the company to successfully achieve its mission and goals.

Introduction

As a concept and as a reality, culture is broad and multifaceted. On a daily basis, culture influences who we are--as individuals, families, communities, professions, industries, organizations and nations--and how we interact with each other within and across regional and national borders. Defined as a set of values and beliefs with learned behaviors shared within a particular society, culture provides a sense of identity and belonging. (Bodley, 1999) From language, communication styles, history and religion to norms, values, symbolism and ways of being, "culture" is everywhere.

Human resource management is the formal structure within an

organization responsible for all decisions, strategies, factors,

principles, operations, practices, functions, activities and methods

related to the management of people. (Society for Human Resource Management, n.d)

In domestic and global workplace settings, people in organizations reflect their respective cultures. As shifting demographics bring together people of many cultural backgrounds, human resource management (HRM) must be thoughtfully examined--and sometimes altered--to support organizational goals. SHRM Special Expertise Panel members point out that for sustainability, organizational leaders must expand their perspectives from a local to a worldly view. (Society for Human Resource Management, 2007)

SHRM's 2008 Workplace Forecast highlights several trends in culture that will likely have a major impact on the workplace:

1) heightened awareness of cultural differences in domestic and global workplaces;

2) greater need for cross-cultural understanding/savvy in business settings;

3) managing talent globally;

4) greater emphasis on global leadership competencies; and 5) increased use of virtual global teams. (Society for Human Resource Management, 2008)

Thus, HR professionals experienced in workplace diversity and cross-cultural communication are well-positioned to develop and implement culturally appropriate HRM strategies, policies and practices. While not exhaustive, this Research Quarterly focuses on selected cross-cultural factors in HRM in today's workplace and provides insights for HR to better serve the needs of the organization.

Business Case for Cross-Cultural HRM

With the advent of globalization, research on cross-cultural organizational behavior has become a pathway to understand the dynamics of multicultural domestic and international workplaces. (5) In fact, successful organizations of the 21st century require leaders who understand culturally diverse work environments and can work effectively with different cultures that have varying work ethics, norms and business protocols. Yet, diverse cultures create HRM challenges. As Lisbeth Claus, Ph.D., SPHR, GPHR, associate professor of global HR at Willamette University, points out, "the HRM challenges lie between the various types of cultures--the cultures of emerging and developed countries and the growing heterogeneity of the workforce in terms of multiculturalism."

Gaining cross-cultural competence takes time, education, experience, openness and sensitivity. When people lack intercultural skills, miscommunications can damage business relationships, deadlines can be missed, projects may fail and talented ...