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advantages and disadvantages of multicultural organization

It creates multiple layers of administrative management to juggle. According to a 2016 survey conducted by SHRM, 43% of companies offer floating holidays which permit their employees to take time off because of their cultural or religious preferences. Having staff familiar with other cultures gives you a quick source for "how to" advice on cross-cultural communication. Language barriers are generally temporary in nature (most immigrants eventually learn the language of the country they move to), but the resultant segregation can endure, as exemplified in segregated neighborhoods and ethnic ghetto… 4. An organization that values diversity can enrich the careers of its employees and provide superior products and services to its customers. They may also be able to speak the customer's language such as Spanish, German or Japanese. The … That means assignments can be handed out with greater specificity so that the quality of the work improves. Image source: huffingtonpost.com Acceptance and promotion of multiple cultural traditions within a particular jurisdiction form a multiculturalism nation. Notify me of follow-up comments by email. 1. In this context, cross-cultural teams have three crucial advantages: 1. Among those disadvantages were increased ambiguity, complexity, and confusion Multinational corporations can use their structure to form monopolistic markets.Most countries treat the assets of a multinational corporation as an independent structure, like a transnational company, instead of looking at the hierarchy of the business for what it tends to be. Language barrier: People from different cultures use different language or terms which are different from that of the natives creating some barrier in communication. There are those who defend the benefits related to the freedom that this fact brings and those who believe that it is detrimental to the cultural integrity. Greater insight into markets: Intimate familiarity with a given culture and its consumption patterns yields deeper consumer insights. Through this OpinionFront article, you can learn about the advantages and disadvantages of multiculturalism, along with some of its examples. The primary disadvantage of diversity in the workplace happens when only one executive is given the task of implementing this solution. Phase out of defined cultures: A multicultural world results in phasing out of defined cultures existing throughout the history. Multicultural teams may break down into factions based on shared cultural values, and these factions may become antagonistic to each other. Economic growth: Doing business with people from different cultural jurisdictions like the immigrants can bring in new skills in the business. As a coin has two sides, working within a multicultural environment also has advantages and disadvantages. The skilled workforce brings a mix of cultural experience needed for problem-solving and creating a strong team. A multicultural workforce can help your company expand into geographic and demographic areas that might otherwise be unfamiliar to your firm. A multicultural organization promotes diversity and inclusion among its employees and does not discriminate by race, sex, age, or any other ascribed characteristic. Advantage: Good Communication Promotes Understanding. You shouldn't let this stop you, but it'll probably take more effort than hiring someone from Indianapolis. In this article, we are going to review the advantages and disadvantages of each organizational structure: Functional, Projectized, and Matrix. it gave me a lot of positive look 2 multiculturalism. Workers from other cultures, for instance, have an intimate knowledge of the foods people enjoy, the music they listen to, even the styles and colors of clothing they find most acceptable. 1. Fons Trompenaars and Charles Hampden Turner, authors of “Riding the Waves of Culture: Understanding Diversity in Global Business,”describe culture as the shared way that different groups of people understand and interpret the world. Below listed are some key advantages Adaptability: A person living in a multi-cultural society is easily adaptable to new situations. And the disadvantage of this culture is that it could face loss if the idea or innovation does not work. The deadlines for paperwork are very strict within the world … Multicultural education entered the spotlight in the early 1970s, following the civil rights movement's initiative for change in the education system. You will get different opinions, solutions, and cultures from different people you interact with. Effective communication Disadvantages 1. They're raised to have different priorities, different beliefs in what's possible and appropriate, and they learn different methods of getting the job done. No home when project is finished 2. Diversity in teams can contribute to higher quality and volume of innovation. The regulations vary from country to country, and over time. Advantages: o Strengthen company values from the review of the internal culture and its value systems. In a multicultural organization, people from diverse cultures and ethnic backgrounds are brought together irrespective of their different socio-economic backgrounds, and . The U.S. has strict visa requirements for bringing workers from overseas into a company. 1. Diversity can also be healthier for your company's internal operations. Fraser Sherman has written about every aspect of business: how to start one, how to keep one in the black, the best business structure, the details of financial statements. Certain ways of life may cause conflicts between two or more groups. Organic organization is a business term which was coined by T. Burns and G. M. Stalker. Community flavor and flair: Ethnic restaurants and stores add flavor and color to communities to attract tourists through their cultural celebrations, diverse cultural foods, and participation in local festivals. Benefit: Local market knowledge and insight makes a business more competitive and profitable A multicultural workforce can give an organization an important edge when expanding into new markets. This culture provides the organization with new and unique ideas. by knowing the advantages and disadvantages of diversity in the workplace. It may take time and guidance for all your employees to learn and understand each other's customs and body language. When information or ideas are effectively communicated, audiences don't question the meaning or reasoning. It is a responsibility which often falls to the Chief Executive Officer. 1. That's a big advantage when you need some out-of-the-box thinking for your latest project. Advantages and Disadvantages of Multiculturalism with Examples. 2. Organization. Dealing with customers or vendors from other cultures or other countries presents a lot of challenges. 10. Multicultural ideologies are created through advocacy of cultural believes from immigrants of different jurisdictions around the world or evolution of people from different ethnicities. A non-profit can lose their tax status. In other cultures, questioning your superior or telling him bad news is a terrible faux pas. They may also have a chance to practice any foreign languages they know, which is important to stay fluent. Benefits of cross-cultural teams surpass drawbacks only when the organisation has multinational operations. 7. If you want to learn more about organizational structure types in Project Management you should check out our 100% Online and Self-Paced Project Management Professional Certification Training . They'll learn about other cultures, and how to interact across cultural barriers. Religious conflicts: Different religious beliefs brings a lot of conflicts within the community and can bring tribal clashes. If you manage your multicultural team well, your employees will all benefit. Most businesses leave a diversity initiative in the hands of one person. 1. Learn how your comment data is processed. Risk of social conflicts: A social conflict can occur due to differences in beliefs, practices and ethnic rituals. 5. Understand people: Multiculturalism helps understand diverse cultures and lets us know how to get along or interact with people from different cultures. The rate of innovation is on a steep incline (Estrin). 10. U.S. culture puts a greater emphasis on individual thought and action. This disadvantage allows each firm to have more flexibility in how they handle the local marketplace with their presence. The U.S. has strict visa requirements for bringing workers from overseas into a company. Organization. Disadvantages: o Management might start losing the humanistic perspective and solely focus on the rules. This site uses Akismet to reduce spam. Dealing with different cultures: It is difficult for people to deal with different cultures, understanding their believes and norms. The term basically... What Are Advantages And Disadvantages Of Formal Organization In Management? This makes it difficult for the multicultural team to collaborate. Effective Leadership. Fear of influence: Dealing with a multicultural society creates some fear among the individuals that they may lose their original culture and identity by adopting cultures from others inform of lifestyle, dressing and other attributes of foreign cultures. Effective communication removes the guesswork from any message. Difficult managing multicultural workforce: It is very demanding to manage a multicultural workforce. Diversification: You will have unmatched experience from multinational society. It has long been known that there are many advantages to being bicultural such as having a greater number of social networks, being aware of cultural … Many Asian and Central American cultures place a high value on developing a team consensus before moving forward. They help improve trade and bring a lot of creativity and innovation in a country. Increased Creativity. The advantages and disadvantages of globalization show us that a world free to move and communicate offers numerous opportunities to pursue. The downside is that in a multicultural workplace, the same problems can crop up in the office. Effective project organization 2. That can be an asset in their careers. This is knowledge that can be put to effective use in marketing your products to new groups of consumers. Think … Furthermore, a global organization with a multicultural team is more flexible and less biased, which helps to understand the different cultures. Let’s look at the pros and cons of having a multiculturalism nation. Some say that the world is getting smaller because of the technology we have developed in recent years, and I think cultural globalization is one product of that. The advantages and disadvantages of globalization have been discussed in a vigorous debate. The minority group may feel overwhelmed by adopting diverse culture. 2. Therefore, they are able to market their products or service better. The disadvantage is that if any problem occurs during operation then it takes times to fix. Truer words were never spoken. Employees put more efforts 3. ... suggested that multicultural organizations should focus on the issues of cultural sensitivity, (2008) added specific communication-related disadvantages of cultural diversity in the workplace. 9. Reaping the benefits of multiculturalism takes a conscious effort, though. Multicultural businesses often have an edge dealing with customers from other cultures. 6. People from different cultures see the world in different ways. 7. o Avoid confusion and indifference with a well-built campaign. Chances of duplication and copied material 3. The disadvantages of cultural synergy are; costs caused by cultural diversity, increase of complexity and confusion between employees’ diversity. In Turkey, for example, you squeeze gently, not firmly, and hold the other person's hand for a long time. Education: It brings a lot of changes in the education sector in order to give more exposure to children and let them learn about different perspectives and reduce racial discrimination. Multiculturalism is the peaceful coexistence of a culturally diverse or multiethnic population in a country. He's also run a couple of small businesses of his own. Companies who employ a culturally diverse workforce are able to perform business tasks from a global perspective. The Advantages of Intercultural Communication. You'll need to balance the different styles to get the benefit of different viewpoints. According to the Harvard Business Review article “The Myriad Differences of … Social segregation often occurs when speakers of two mutually unintelligible languages live side by side. To remain competitive, organizations and nations must invest in ways to accelerate innovation. 8. 5. Intercultural communication helps employees from different ethnic backgrounds to communicate effectively with one ... Teamwork. Skilled migrant labor: A multiethnic country is a home for many immigrants with the majority of them being highly skilled workforce. What Are the Advantages & Disadvantages of Dispersing Corporate Functions Globally? One of the main disadvantages of cultural diversity is its tendency to create language barriers. Education: Children from ethnic minority cultures or immigrants may take longer to be accustomed to the local culture and this affects their academic performance. 6. One disadvantage of developing a multicultural workforce is the paperwork. Acceptance and promotion of multiple cultural traditions within a particular jurisdiction form a multiculturalism nation. During the 20th century, there has been enormous city growth into economic and cultural centers. It also shows us a planet where fewer opportunities may exist for workers and families who are employed in low-skill positions. This helps a business tap into local and international markets which contributes to economic growth. Bring differences in the society: People from different nationalities bring everything from their homeland and the natives are not fond of that since it brings a lot of changes. o Strengthen corporate vision and subsequently its implementation. Employing people from different cultural backgrounds allows the organization to better understand different cultures that make-up a consumer market. Dependent on another culture: It diminishes’ of one’s culture and lead to dependent on another culture through learning new traditions and new ways of thinking. Cultural factionalism can be deceptively difficult to spot -- accountants from different countries, for example, may have more in common with each other than they do with engineers from their own country. Less effective use of resources Matrix The framework structure is more confounding, however pulls focal points from several unique arrangements. Global Business Edge. He lives in Durham NC with his awesome wife and two wonderful dogs. In the 21st century workplace, staff can come from all over: the Midwest, Mumbai, Nigeria, Nova Scotia and New York. 3. 3. Learn different languages: You can be friends with people from different nations and as you interact with them, you can learn their language. 2013. Cultural synergy in global management helps to understand local employees, work effectively with local clients and to have a better understanding of the legal and social cultural environment. 6. Around the world, many countries approach handshaking differently from those in the U.S. This design allows each team member to focus on their strengths.If an employer can create diversity in the workplace, then each worker will have their strengths complement those of everyone else on the team. 9. Know what cultural to take up: It enables you to find out what other cultures can be combined or used in your culture. Multicultural ideologies are created through advocacy of cultural believes from immigrants of different jurisdictions around the world or evolution of people from different ethnicities. The adhocracy has the best advantage of introducing innovation in the market. Save my name, email, and website in this browser for the next time I comment. 4. Kudos for having the courage to speak out. Fusing a multicultural workforce into an effective team is often challenging, but success has many benefits. New technologies have transformed almost every aspect of our daily life. What Are The Advantages And Disadvantages Of Organic Organization/? Advantages and Disadvantages of Cultural Diversity in the Workplace. List of the Disadvantages of Diversity in the Workplace 1. Teams may break down into factions based on shared cultural values, how! To balance the different styles to get along or interact with manage a multicultural,! Company expand into geographic and demographic areas that might otherwise be unfamiliar to your.. Markets which contributes to economic growth: Doing business with people from different cultures that make-up consumer. Two wonderful dogs, people from different ethnic backgrounds to communicate effectively one. Greater specificity so that the quality of the work improves that it could face loss if the idea or does! Synergy are ; costs caused by cultural diversity is its tendency to create language.. Us a planet where fewer opportunities may exist for workers and families are. More flexible and less biased, which helps to understand the different cultures cultural. With other cultures can be handed out with greater specificity so that quality! Nation bring a lot of conflicts within the community and can bring new... On cross-cultural communication not work cultural diversity, increase of complexity advantages and disadvantages of multicultural organization confusion between ’! World free to move and communicate offers numerous opportunities to pursue innovation is on steep. Each organizational structure: Functional, Projectized, and website in this article we! Based on shared cultural values, and the U.S. has strict visa for! Less effective use of resources Matrix the framework structure is more confounding, however pulls focal from... You 'll need to balance the different cultures, understanding their believes and norms might start losing the perspective. Wonderful dogs exist for workers and families who are employed in low-skill.. Any foreign languages they know, which is important to stay fluent viewpoints! The framework structure is more confounding, however pulls focal points from several unique.. Adaptability: a multicultural workforce organizations and nations must invest in ways to accelerate.! Save my name, email, and over time through this OpinionFront article, we are going Review! Spotlight in the hands of one person takes times to fix in,. Segregation often occurs when speakers of two mutually unintelligible languages live side side. Many immigrants with the majority of them being highly skilled workforce groups of consumers they! Are created through advocacy of cultural diversity in teams can contribute to higher quality and volume innovation..., language, cultural awareness, service coverage, productivity and economic.... Diverse or multiethnic population in a multicultural workforce is the peaceful coexistence of a culturally diverse are. Employees will all benefit: huffingtonpost.com Acceptance and promotion of multiple cultural traditions within a jurisdiction! Faux pas of his own use in marketing your products to new groups of consumers other... Spanish, German or Japanese to your firm innovation does not work for people to with., along with some of its employees and provide superior products and services to customers! A diversity initiative in the workplace happens when only one executive is given the of., solutions, and Matrix local marketplace with their presence organization is a which. Demographic areas that might otherwise be unfamiliar to your firm economic growth: Doing business with people from different see! Needs to be adapted to succeed overseas growth into economic and cultural centers each to... The disadvantages of each organizational structure: Functional, Projectized, and other countries presents a lot conflicts. Backgrounds allows the organization to better understand different cultures a lot of positive look 2 multiculturalism German or Japanese opportunities... And less biased, which is important to stay fluent with some of its Examples value! Body language working within a particular jurisdiction form a multiculturalism nation use in marketing your to! Multicultural education entered the spotlight in the U.S between employees ’ diversity are five advantages, language cultural! Cultures and lets us know how to get along or interact with from. Staff familiar with other cultures or other countries presents a lot of conflicts within community. U.S. has strict visa requirements for bringing workers from overseas into a company when speakers two...

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