Aitana Bonneau, Stephanie Dinca, Nathan Doering, Selena Tapia, Aidan Thain

Intro

Many countries conduct business outside of their country of origin, but how exactly is this achieved? How do managers eliminate ethnocentrism when interacting with employees and other external team members? In other words: how do managers avoid judging culture values and prejudices because of differences?

It is very common for people to be raised into believing that their culture is the best, whether it be country, race, religion, etc. Think of IKEA for example; some of their suppliers in India use child labor. Being that they are more athletic and have more energy to do tasks, they are considered better or more efficient workers (Luce, 2014). In many countries, child labor is illegal and has a negative connotation. However, to some cultures, such as in India, it is normal for children to work; to support their families who may not make enough money or do not have able bodied adults in their family who can join the labor force. IKEA had to make a difficult decision; either add a clause in their contracts to prevent child labor or continue to use these suppliers and make efforts to help the families of these children that have to work. If IKEA’s managers and CEO’s had taken an ethnocentric view of the situation, they could have put those children out of jobs due to lack of awareness of different cultures, leading to their families not having the income necessary to afford food and otherwise support themselves.

The focus of this blog is to explore the ways in which managers combat ethnocentrism, and the importance within the business world to be able to work with other cultures. This will be done by first defining what ethnocentrism is and why it is important in the workplace. Then, why it is helpful for managers to be able to limit ethnocentrism, and finally how they may be able to limit it in practice.

Problem

Ethnocentrism is conscious or unconscious bias favoring your own cultural norms in comparison to others. Everyone has their own preconceptions based on how they were raised. These preconceptions often lead to misconceptions that an individual may not even be aware of having. This tendency for unconscious biases is why managers in multicultural organizations need to be highly conscious of avoiding ethnocentrism in their workplace.

Ethnocentrism in managers can cause turmoil within a business. Things like making a decision based on a bias and promoting somebody based off of their race over a person of a different race is surprisingly not unheard of in organizations. However, actions like these from managers show favoritism and are much more likely to lead to disagreements, a lack of diversity in the workplace, and exclusions (Moon, 2000).

Many times conflict also stems from misunderstandings or lack of trust (Yoonhyeung & Cameron, 2005). There may be distrust among different cultural groups in the workplace if cultural norms are not voiced from the start and cliques are formed based on feeling comfortable with others who have similar values.

Miscommunication is very common between people from different cultures. People from different cultures or upbringings could say the same thing but mean two entirely different things (Isotalus & Kakkuri-Knuuttila, 2018). Failure to communicate through cultural barriers results in poor relations between employees and inefficient productivity in a company.

Solutions

When navigating within a business environment where there is constant contact with employees and clients of all different cultural backgrounds, managers especially must keep ethnocentrism at bay. If conflict arises within the work environment, not only is clear performance and productivity at stake, but also the overall employee/client sentiments and personal feelings can very well become negatively affected, along with the greater company morale.

There are possible solutions however, that can help guide managers in the field away from this mistake. Though it may seem obvious, a key solution for a manager is to have open channels of communication between all employees and clients. Both employees of the company and prospective clients must feel safe to bring up concerns and have the security that a listening ear will attempt to make any wrongdoings right. This is why creating a company culture where employees feel comfortable and safe to express themselves is essential.

Managers may also find it useful to better understand national cultures by becoming familiar with the popular findings and research of Gert Hofstede, Fons Trompenaars, and Charles Hampden-Turner on the topic of cultural dimensions and differences. Though the research of these notable authors vastly generalize the characteristics of cultures and parts of the world, it’s important to take note of these differences to form a conception of how common business practices may translate in other cultures (Demuijnck, 2015). Understanding even the general differences of practices within cultures, especially the ones being interacted with, greatly minimizes the misunderstandings and shock that can initially occur when an individual imposes their own culture’s judgement. With these cultural dimension theories in mind, it allows a manager to take a step back from their own initial judgements and see the situation with a different perspective from the other side.

Another crucial solution to avoiding ethnocentrism is often rewriting the structure and backbone of a company’s foundation and mission. When hiring new employees, many companies mandate  proper training to instill cultural sensitivity and company values within them to create employees who are ready to tackle both a diverse workplace and clientele (Snaiderbaur, 2012). Providing essential and updated teachings to employees will further allow for a more objectified angle of approach to serving their clientele, and of course, depending on the company, certain teachings could also include a section of how to best listen and lend empathy. By equipping employees with a proper skillset catered in direct contact with the company’s values and mission, any infiltrated ethnocentrism can be curbed at the door. Managers can then flourish in a multicultural environment by embracing cultural differences and overcoming their biases.

Conclusion

People’s different histories, beliefs, and experiences all contribute to their different cultures. Having these differing cultures and beliefs in the workplace can often result in people having different interpretations of situations, as well as different solutions. This can therefore lead to conflicts or miscommunications because of differing values, and biases toward or against individuals who have similar or differing beliefs. In order to avoid ethnocentrism, managers in the global business environment need to know how to operate efficiently around this issue. The solutions for eliminating ethnocentrism are many, but it is ideal to have a foundation of clear communication and trust ingrained into the company culture in order for the employees and manager to operate efficiently with each other. From the start, managers must instill a welcoming and understanding company culture so that these biases and misunderstandings can be avoided. Whether it be through meetings or workshops, training employees to be equipped with a skillset to properly work in a diverse workplace is essential, and should be instilled in them as early as possible. If a manager focuses on establishing these solutions before any problems even arise, any inefficiency and stunts on productivity will not be hindered by issues that can be easily avoided through things as simple as proper communication, and instilled trust and sympathy between employees.

Reference List

Demuijnck, G. (2015). Universal Values and Virtues in Management Versus Cross-Cultural

Moral Relativism: An Educational Strategy to Clear the Ground for Business Ethics. Journal of Business Ethics, 128(4), 817–835.

Isotalus, E. & Kakkuri-Knuuttila, M. (2018). Ethics and Intercultural Communication in Diversity Management

Emerald Insight: Equality Diversity and Inclusion.ISSN: 2040-7149

Luce, E. (2004, September 14). Financial Times Ikea’s grown up plan to tackle child labour.

Moon, C. (2000). Managing Cross Cultural Business Ethics. United Kingdom;Anglia Business

School, Anglia Polytechnic University.

Snaiderbaur, S. (2012). Symphonic Leadership: A Model for the Global Business Environment.

ISM Journal of International Business, 1-17.

Yoonhyeung Choi, & Cameron, G. T. (2005). Overcoming Ethnocentrism: The Role of Identity in Contingent Practice of International Public Relations.

Journal of Public Relations Research, 17(2), 171–189.