Challenges of Managing Multicultural Term

CHALLENGES OF MANAGING MULTICULTURAL TERM

As a result of the increasingly global business environment many companies are building teams that cross-national borders and include members from different countries of origin. Although many of these teams are designed to pool resources and increase operational efficiencies, the cultural diversity of team members may create a longer learning curve for establishing effective processes than culturally homogeneous groups. (Gibson & Vermeulen 2003)

Managers and members of multicultural teams are therefore faced with the challenge of how to access and utilize individual's member's strengths, "while at the same time minimizing losses of resources, work styles, communication problems and misunderstandings" (Earley & Erez, 1997)

According to Sinha (2006), "diversity in human capital leads to increased creativity and efficiency in many cases and also adds a special richness, challenges in the work environment." He further explained that the failure to successfully integrate diverse workforces has negative implications for organizational performance and skills needed for managing people from diverse backgrounds at work or outside the workplace can be very different because they are a lot of cultural differences which create substantial obstacles to effective term work in the workplace. People tend to assume that challenges on multicultural teams arise from differing styles of communication. While this is true, Brett (2007) in an interview "outlined some challenges in managing multicultural terms that can create barriers to a term's ultimate success".

* Direct versus indirect communication

* Trouble with accents and fluency

Direct versus indirect communication

Communication in Western cultures is typically direct and explicit. This is not true in many other cultures, For example, Western negotiators get crucial information about the other party's preferences and priorities by asking direct questions, such as, "Do you prefer option A or B?." In cultures that use indirect communication, negotiators may have to infer preferences and priorities from changes in the other party's settlement proposal. In cross-cultural negotiations, the non-Westerner can understand the direct communications of the Westerner, but the Westerner has difficulty understanding the indirect communications of the non-Westerner.

The differences between direct and indirect communication can cause damage to relationship when projects run into problems.

Trouble with accents and fluency

Although the language of international business is English, misunderstanding or deep frustration may occur because of non- native speakers' accent, lack of fluency, or problems with translation or usage. This may also influence perceptions of status or competence.

Difficulty