Sustaining Organizational Culture In The Wake Of Globalization

by Business Watch Team
KTDA

Syprose Nzilizani had worked diligently for Gain, the technology behemoth, for the past 25 or so years. Her work ethic, which had hitherto remained unquestioned, had led to her multiple promotions after every few years, enabling her to attain her current role as Executive Personal Assistant to the Country Chief Executive Officer of Gain in Bunia, a role she thoroughly enjoyed.

Having successfully served 3 former CEOs, Syprose was regarded as one of the most knowledgeable employees in the Organization. In public, she vehemently denied this fact, yet, privately, she entertained furtive smiles at the very thought. She was a proud Gainer at heart.

The recent acquisition of Gain by the UK-based Ex telecoms Inc had hit many employees hard, though. The new owners from Europe had landed with pomp and bravado. There was a day-long Town Hall meeting where the new CEO, Mr Garry explained the new company Vision, Mission, to employees. It was ‘death by PowerPoint’. At the end of the day, employees could hardly hide their exhaustion. It didn’t look like a great start.

About 2 months into the new arrangement, an aura of sadness was everywhere. Employees reminisced about the ‘good old days. Mr. Garry would boast about his rich country while deriding the poverty in Africa. He had particularly mean comments about the employees, the government, and what he termed ‘inferior African leadership’. When, on that fine Monday morning, Garry shouted at Syprose, calling her actions typical Bunian Women’s laziness, Syprose had had it.

“If your country is so nice, what brings you to our country?” Syprose dared.

What followed was a pin-drop silence.

Is it to me that you speak like that? Do you know who I am? I am the CEO for Chrissake! Garry was red with fury. He swore. He paced. He threatened. Unknown to him, Syprose, who was highly respected by her former colleagues at Immigration, had placed an important call. By the time the immigration police came for Mr. Garry, he was still in a rage. In under 24 hours, Gary was back in his home country. It was a short Stint in Bunia, Africa.

Globalization, often hailed as the harbinger of economic expansion and innovation, has also emerged as a central force reshaping organizational culture. As businesses transcend borders, the amalgamation of diverse cultures within organizations has led to both enriching synergies and challenging frictions.

One of the most positive effects of globalization on organizational culture is the confluence of diverse perspectives, ideas, and experiences. When nurtured well, this cultural melting pot breeds innovation. Employees bring unique problem-solving approaches, creativity, and insights that result in growth and success. The cross-pollination of ideas may lead to groundbreaking products and services that cater to a global market.

For instance, multinational tech giants like Google and Microsoft have harnessed the power of diverse teams to drive innovation. By creating inclusive workspaces that celebrate cultural differences, these organizations have cultivated a sense of belonging among their employees, which in turn enhances job satisfaction and productivity. The resultant collaborative ethos is a testament to the positive influence of globalization on organizational culture.

However, the influx of diverse cultures into organizations is not without its challenges. Cultural clashes can arise when differing values, communication styles, and work ethics come into play. These conflicts can hinder collaboration, leading to misunderstandings and decreased morale. Therefore, organizations must foster cultural sensitivity and provide training to help employees sail across these differences effectively. In the anecdote above, which is a true story save for the people’s names and places that have been changed, there was a clear lack of cultural sensitivity. The speed of execution, choice of words, etc, can vary considerably across cultures.

One notable example of cultural misalignment is the 2015 merger between Kraft Foods and Heinz. The contrasting corporate cultures of the two companies led to significant integration challenges, with employees struggling to adapt to differing management styles and operational practices. This underscores the importance of addressing cultural integration proactively to ensure a smooth transition in the wake of globalization-driven mergers and acquisitions.

Globalization has also given rise to the phenomenon of hybrid organizational cultures, where elements of various cultures are amalgamated to create a cohesive and inclusive environment. This hybridization often involves blending local cultural nuances with global best practices, resulting in a unique organizational identity that resonates with a diverse workforce.

Leadership plays a crucial role in shaping and sustaining a globalized organizational culture. Effective leaders encourage open communication, mutual respect, and a collaborative spirit, which are essential for harnessing the benefits of globalization. They are adept at managing cultural differences and fostering a sense of belonging among employees. By embracing cultural diversity and demonstrating cultural intelligence, leaders can create an environment where employees feel valued and empowered to contribute their unique perspectives. This improves organizational performance and strengthens the company’s global reputation.

Moreover, the role of technology in facilitating globalization cannot be gainsaid. Digital communication tools and platforms have enabled seamless collaboration across time zones and geographical boundaries. Virtual meetings, cloud-based project management, and instant messaging have become integral to maintaining the cohesion of globally dispersed teams. These technological advancements have further amplified the impact of globalization on organizational culture by enabling real-time interaction.

Ultimately, globalization has undeniably transformed organizational culture, ushering in a new era of diversity and inclusivity. While it brings about significant benefits, such as innovation and hybrid cultural identities, it also presents challenges that require careful navigation. Organizations must strive to nurture cultural sensitivity, embrace hybridization, and cultivate inclusive leadership to truly harness the potential of globalization.

As businesses continue to expand their global footprint, the ability to adapt and thrive in a culturally diverse environment will be a key determinant of success. By embracing the globalization wave with open arms and a mindful approach, organizations can flourish in our interconnected world.

Related Content: How To Achieve Organizational Culture Transformation

The writer, Dr. Fred Nyawade, is the Group Head of People and Culture (Siginon), A Practitioner, Speaker, and Author on Organizational Culture, Leadership, Innovation, and Performance. He is also a certified Executive Coach.

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