How Cultural Change can Impact Global Business?

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Photo by Mimi Thian on Unsplash

One of the most crucial business topics of the year 2016 was CULTURE. Company professionals and leaders recognize that culture is indeed the reason that drives people’s innovation, behavior, and customer engagement. More than 3/4 of the survey respondents claim that if something stands as a potential competitive advantage. During times of change, culture can be useful to determine success or failure: Acquisitions, product cycles, Mergers, growth, and deal assignments can either succeed or collapse depending on the culture alignment with the direction of the business. Collaboration or engagement describes the way people feel about the work engagement flows, that brings in the awareness about the expectations, understandings, perception, and motivations of the two parties to the table. It informs the collaboration partners about the work environment, work ethics and principles, opportunities for growth and development, trust in leadership, and many more things. Different background brings a cultural shift that leads to the path of poor engagement. When these cultural differences are observed, employees feel insecure, uneasy, or uncommitted, that further results in high turnover, low-level performances and innovations, and disengagement with customers. Furthermore, it brings in various kinds of challenges that can broadly be categorized as:

1.Personal Challenges: The emotional challenged faced by individuals. The inability to identify and deal with cultural challenges pushes to revert with emotional response, say for example: distancing yourself with the challenge or problem at door or withdrawing yourself from a team discussion.

2.Pragmatic Challenges: The Practical challenges faced by the business. For example, eye contact while giving a presentation or a demonstration may be considered as a sign of confidence and engagement interaction while for the other the same can be considered as rude We the two contract dealers are unaware of this then it can lead to several consequences.

3.Cognitive Challenges: The psychological challenges faced by people. It particularly deals with the aspect of how a person thinks and processes information and so forth the way to view the world. Consider a simple example of being on time; punctuality. Time conscious professionals may see the lack of punctuality as unprofessional or even disrespectful, while in contrast, some others might consider it as a rigid and materialistic behavior; an overrated concept.

When a company’s culture is aligned with the strategy of the business, it attracts more people in a comfortable environment that in turn produces a high level of engagement. Conversely, programs, and workshops to improve engagement often encounter cultural issues and differences, forcing the company to question to changes its morales, programs, incentives, and structure. Both culture and engagement demand commitment and strong support from HR and each company professional.

Contributed By- Dolliejuneja, Content Writer@ Mitti Ke Rang

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