Chapter 15

International Projects

McGraw-Hill/Irwin

2008 The McGraw-Hill Companies, All Rights Reserved

15-2

International Projects
Types

of Projects

Domestic Overseas Foreign Global

Issues

in

anaging International Projects

!nvironmental

factors affecting projects Global e"pansion consi#erations Challenges of $or%ing in foreign cultures &election an# training of overseas managers
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International 'ssignments
Positives

(egatives

Increase# income Increase# responsibilities Career opportunities Foreign travel (e$ lifetime frien#s

'bsence from home an# frien#s) an# family Personal security ris%s isse# career opportunities Difficulties $ith foreign language) culture) an# la$s

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!nvironmental Factors 'ffecting International Projects

FIGURE 15.1

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!nvironmental Factors
*egal+Political
Political

stability (ational an# local la$s an# regulations Government) state an# local bureaucracies Government interference or support Government corruption
&ecurity
International

terrorism (ational an# local security *ocal crime an# %i#napping ,is% management
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!nvironmental Factors -cont.#/

Geography
Climate

an# seasonal #ifferences (atural obstacles

!conomic
Gross

#omestic pro#uct -GDP/ Protectionist strategies an# policies 0alance of payments Currency convertibility an# e"change rates Inflation rates *ocal labor force1 supply) e#ucational an# s%ill levels
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!nvironmental Factors -cont.#/

Infrastructure
Telecommunication

net$or%s Transportation systems Po$er #istribution gri#s 2ni3ue local technologies !#ucational systems
Culture
Customs

an# social stan#ar#s 4alues an# philosophies *anguage ulticultural environments

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'ssessment atri" Project &ite &election

FIGURE 15.2

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'ssessment atri" Project &ite &election

FIGURE 15.3

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Cross5Cultural Consi#erations1 ' Closer *oo%

Culture
'

system of share# norms) beliefs) values) an# customs that bin# people together) creating share# meaning an# a uni3ue i#entity

Cultural

Differences

o Geographic regions o !thnic or religious groups o *anguage o !conomic

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Cross5Cultural Consi#erations6 -cont.#/

!thnocentric
The

Perspective

ten#ency believe that one.s cultural values an# $ays of #oing things are superior to all others
o 7anting to con#uct business only on your terms an# stereotyping other countries as la8y) corrupt) or inefficient9 o Ignoring the :people factor; in other cultures by putting $or% ahea# of buil#ing relationships9

'#justments
,elativity

of time an# punctuality Culture5relate# ethical #ifferences Personal an# professional relationships 'ttitu#es to$ar# $or% an# life
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Cross5Cultural Orientations

,elation to (ature

<o$ people relate to the natural $orl# aroun# them an# to the supernatural9 The culture focus on the past) present) or future9 <o$ to live1 :being; or living in the moment) #oing) or controlling9 7hether people vie$e# as goo#) evil) or some mi" of these t$o9 The #egree of responsibility one has for others9
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Time Orientation

'ctivity Orientation

0asic (ature of People

,elationships 'mong People

Source: F9 =luc%hohn an# F9 *9 &tro#tbec%) Variations in Value Orientations -!vanston) I*1 ,o$) Peterson) 1>?1/9

=luc%hohn5&tro#tbec%.s Cross5Cultural Frame$or%

FIGURE 15.4 Note: The line indicates whe e the United !tates tends t" #all al"n$ these iss%es.
Source: F9 =luc%hohn an# F9 *9 &tro#tbec%) Variations in Value Orientations -!vanston) I*1 ,o$) Peterson) 1>?1/9

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<ofste#e Cultural Dimensions Frame$or%

In#ivi#ualism versus Collectivism

I#entifies $hether a culture hol#s in#ivi#uals or the group responsible for each member.s $elfare9 Describes #egree to $hich a culture accepts status an# po$er #ifferences among its members9 I#entifies a culture.s $illingness to accept uncertainty an# ambiguity about the future9 Describes the #egree to $hich the culture emphasi8es competitive an# achievement5oriente# behavior or #isplays concerns for relationships9
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Po$er Distance

2ncertainty 'voi#ance

asculinity5Femininity

&ample Country Clusters on <ofste#e.s Dimensions of In#ivi#ualism5Collectivism an# Po$er Distance

FIGURE 15.5

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Cross5Cultural Consi#erations -cont.#/

&" 'in$ in the United !tates &" 'in$ in F ance &" 'in$ in ,hina

&" 'in$ in (e)ic" &" 'in$ in !a%di * a+ia

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7or%ing in Different Cultures

,elying

on *ocal Interme#iaries

Translators &ocial

connections !"pe#itors Cultural a#visors an# gui#es

Culture
The

&hoc%

natural psychological #isorientation that people suffer $hen they move into a #ifferent culture
o ' brea%#o$n in a person.s selective perception an# effective interpretation system in#uce# by foreign stimuli an# the inability to function effectively in a strange lan#
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Culture &hoc% Cycle

FIGURE 15.6

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7or%ing in Different Cultures -cont.#/

Coping

$ith Culture &hoc%

Create :stability 8ones; that closely create home o#ify e"pectations an# behavior ,e#efine priorities an# #evelop realistic e"pectations Focus on most important tas%s an# relish small accomplishments 2se project $or% as a bri#ge until a#juste# to the ne$ environment !ngage in regular physical e"ercise programs) practice me#itation an# rela"ation e"ercises) an# %eep a journal
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&election an# Training for International Projects

&election
7or%

Factors

e"perience $ith cultures other than one.s

o$n Previous overseas travel Goo# physical an# emotional health =no$le#ge of a host nation.s language ,ecent immigration bac%groun# or heritage 'bility to a#apt an# function in the ne$ culture

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&election an# Training for International Projects -cont.#/

'reas for Training to Increase 2n#erstan#ing of a Foreign Culture1

,eligion Dress co#es !#ucation system <oli#ays@national an# religious Daily eating patterns Family life 0usiness protocols &ocial eti3uette !3ual opportunity
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&election an# Training for International Projects -cont.#/

*earning

'pproaches to Cultural Fluency

The :information5giving; approach@the learning of information or s%ills from a lecture5type orientation9 The :affective approach;@the learning of information+s%ills that raise the affective responses on the part of the trainee an# result in cultural insights9 The :behavioral+e"periential; approach@a variant of the affective approach techni3ue that provi#es the trainee $ith realistic simulations or scenarios9
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=ey Terms
Cross5cultural orientations Culture Culture shoc% Infrastructure International projects

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