Margaret Byrne - 2015 AICD Conference - Learning about Asia to Succeed in Asia

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Australian Institute of Company Directors

This document discusses cultural competence in business between Australia and Asia. It notes that cultural differences can complicate business and damage trust if not managed properly. The presentation aims to help businesspeople understand key cultural differences in areas like communication style that exist between Australia and countries in Southeast Asia. It provides an analysis of cultural dimensions like individualism and power distance and gives practical tips businesspeople can follow to improve their cultural competence when working in Asia.

Business

Click to edit Master title styleClick to edit Master title style
Learning About Asia to
Succeed in Asia: Culture as a
Risk factor
© UGM Consulting 2015
Beyond 2020
Kuala Lumpur, Malaysia
20th May 2015
Dr Margaret Byrne
UGM Consulting

Click to edit Master title styleClick to edit Master title styleFocus of this session
Cultural
Competence
B
C
Behavioural
A

Click to edit Master title styleClick to edit Master title styleCultural differences make business more complicated

Click to edit Master title styleClick to edit Master title styleCultural risks in many common business activities

Click to edit Master title styleClick to edit Master title style
Good /neutral relations
Behaviour wrongly
explained
Negative
evaluation
Stereotypes
activated
Trust
eroded
Motivation
falls
Intolerance of
small errors
Relationships,
reputation and
results all
jeopardised
Low cultural competence damages trust

Click to edit Master title styleClick to edit Master title styleChallenge and opportunity
Culture adds complexity
and risk.
Competence manages
complexity and reduces
risk.

Click to edit Master title styleClick to edit Master title styleUGM Cultural Risk Mitigation Tool

Click to edit Master title styleClick to edit Master title styleFor business success, you need to …
Understand
Australian cultural
preferences
Understand
ASEAN cultural
preferences
Bridge the gap
between the two
8

Click to edit Master title styleClick to edit Master title styleIceberg analogy
visible
values
communication
preferences

Click to edit Master title styleClick to edit Master title styleIndividual……Group
0
20
40
60
80
100
Individualism
90
20 14
26 32
20 20 20
27
43
Aus China Indonesia Malaysia Philippines
Singapore Thailand Vietnam Asian Avg. Global Avg.

Click to edit Master title styleClick to edit Master title styleEquality……Hierarchy
0
20
40
60
80
100
120
Hierarchy
36
80 78
104
94
74
64
70 73
55
Aus China Indonesia Malaysia Philippines
Singapore Thailand Vietnam Asian Avg. Global Avg.

Click to edit Master title styleClick to edit Master title styleAustralian thinking: anti-deference
12
• Direct, familiar language
even to senior people

Click to edit Master title styleClick to edit Master title styleAustralian English reflects the culture
13
• Australian
English
• Use of
abbreviations
• Australian
humour

Click to edit Master title styleClick to edit Master title stylePart of the cultural legacy
14
Behaviour
fairly similar
across most
situations

Click to edit Master title styleClick to edit Master title styleBeing indirect can serve useful purposes

Click to edit Master title styleClick to edit Master title stylePutting options forward
START START
END END

Click to edit Master title styleClick to edit Master title styleProblem-solving approach

Click to edit Master title styleClick to edit Master title styleAnger, annoyance

Click to edit Master title styleClick to edit Master title styleDifferent perspectives, different strengths
Australian approach Asian approach
Direct Indirect
Truth Harmony
Independent Reciprocal

Click to edit Master title styleClick to edit Master title styleDefining cultural competence
Success =
making
adjustments
that are:
practical
realistic
appropriate
effective
(even
partially)
20

Click to edit Master title styleClick to edit Master title styleSome common challenges for Australians
What is NOT said
Implying and inferring
Absence of ‘yes’ and the ‘casual yes’
Avoiding questions

Click to edit Master title styleClick to edit Master title style6 practical things you can do
1 • Listen more
2 • Practise picking up hints, inferences
3 • Focus on rapport and trust
4 • Clarify meaning
5 • Share intentions
6 • Strike a balance: be yourself & adjust!

Click to edit Master title styleClick to edit Master title style
abbeys.com.au
Amazon
margaret@ugmconsulting.com

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Margaret Byrne - 2015 AICD Conference - Learning about Asia to Succeed in Asia

1. Click to edit Master title styleClick to edit Master title style Learning About Asia to Succeed in Asia: Culture as a Risk factor © UGM Consulting 2015 Beyond 2020 Kuala Lumpur, Malaysia 20th May 2015 Dr Margaret Byrne UGM Consulting

2. Click to edit Master title styleClick to edit Master title styleFocus of this session Cultural Competence B C Behavioural A

3. Click to edit Master title styleClick to edit Master title styleCultural differences make business more complicated

4. Click to edit Master title styleClick to edit Master title styleCultural risks in many common business activities

5. Click to edit Master title styleClick to edit Master title style Good /neutral relations Behaviour wrongly explained Negative evaluation Stereotypes activated Trust eroded Motivation falls Intolerance of small errors Relationships, reputation and results all jeopardised Low cultural competence damages trust

6. Click to edit Master title styleClick to edit Master title styleChallenge and opportunity Culture adds complexity and risk. Competence manages complexity and reduces risk.

7. Click to edit Master title styleClick to edit Master title styleUGM Cultural Risk Mitigation Tool

8. Click to edit Master title styleClick to edit Master title styleFor business success, you need to … Understand Australian cultural preferences Understand ASEAN cultural preferences Bridge the gap between the two 8

9. Click to edit Master title styleClick to edit Master title styleIceberg analogy visible values communication preferences

10. Click to edit Master title styleClick to edit Master title styleIndividual……Group 0 20 40 60 80 100 Individualism 90 20 14 26 32 20 20 20 27 43 Aus China Indonesia Malaysia Philippines Singapore Thailand Vietnam Asian Avg. Global Avg.

11. Click to edit Master title styleClick to edit Master title styleEquality……Hierarchy 0 20 40 60 80 100 120 Hierarchy 36 80 78 104 94 74 64 70 73 55 Aus China Indonesia Malaysia Philippines Singapore Thailand Vietnam Asian Avg. Global Avg.

12. Click to edit Master title styleClick to edit Master title styleAustralian thinking: anti-deference 12 • Direct, familiar language even to senior people

13. Click to edit Master title styleClick to edit Master title styleAustralian English reflects the culture 13 • Australian English • Use of abbreviations • Australian humour

14. Click to edit Master title styleClick to edit Master title stylePart of the cultural legacy 14 Behaviour fairly similar across most situations

15. Click to edit Master title styleClick to edit Master title styleBeing indirect can serve useful purposes

16. Click to edit Master title styleClick to edit Master title stylePutting options forward START START END END

17. Click to edit Master title styleClick to edit Master title styleProblem-solving approach

18. Click to edit Master title styleClick to edit Master title styleAnger, annoyance

19. Click to edit Master title styleClick to edit Master title styleDifferent perspectives, different strengths Australian approach Asian approach Direct Indirect Truth Harmony Independent Reciprocal

20. Click to edit Master title styleClick to edit Master title styleDefining cultural competence Success = making adjustments that are: practical realistic appropriate effective (even partially) 20

21. Click to edit Master title styleClick to edit Master title styleSome common challenges for Australians What is NOT said Implying and inferring Absence of ‘yes’ and the ‘casual yes’ Avoiding questions

22. Click to edit Master title styleClick to edit Master title style6 practical things you can do 1 • Listen more 2 • Practise picking up hints, inferences 3 • Focus on rapport and trust 4 • Clarify meaning 5 • Share intentions 6 • Strike a balance: be yourself & adjust!

23. Click to edit Master title styleClick to edit Master title style abbeys.com.au Amazon margaret@ugmconsulting.com

Margaret Byrne - 2015 AICD Conference - Learning about Asia to Succeed in Asia

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