Globalization of the Economy and the Organization

1. Globalization of the Economy and the Organization • The global economy • International trade • Multinational organizations • Economic interdependence

2. Dynamics of Culture • Culture shock • Cultural convergence • Cultural divergence

3. Hofstede’s Dimensions of Culture Individualistic Collectivist High power distance Low power distance High uncertainty avoidance Low uncertainty avoidance Nurturing Achieving

4. Manufacturing & Globalization Raw Materials Manufacturing & Assembly Distribution

5. International Divisional Structure

6. Global Structure

7. Global Matrix Headquarters Region 1 Region 2 Product Group A Product Group B Foreign Subsidiary

8. Organizational Behavior & Globalization • Individual processes • Perception and attitudes • Learning and motivation • Group processes • Leadership • Communication

9. Globalization & Management • Understand the business environment from a global perspective • Learn the country’s culture • Interact with foreign colleagues as equals

10. A Synopsis of Organizational Behavior Strategy Structure Culture Environ- ment Group Processes Individual Processes

11. Continuing Issues • Importance of learning and knowledge • Impact of technology • Managing the remote work force