Negotiating Across Cultures in International Human Resource Management

CLASS :- M. COM FINAL SEMESTER 4TH SUBJECT :- INTERNATIONAL HUMAN RESOURCE MANAGEMENT TOPIC:- NEGOTIATING ACROSS CULTURES DEPARTMENT :- COMMERCE COLLEGE :- I.B. (PG) COLLEGE, PANIPAT AFFILIATED TO KURUKSHETRA UNIVERSITY KURUKSHETRA BY :- PROFESSOR SAKSHI MUNJAL

Meaning of Negotiation The process of verbal and non verbal exchange between two or more parties with the goal of reaching a mutually satisfactory agreement. Negotiations are rarely easy, mainly because they tend to consist of two sides trying to beat the other. The use of negotiations is mainly to resolve disputes or to achieve goals.

Cross Cultural Communication Communication is the act of transmitting messages, including information about the nature of the relationship, to another person who interprets these messages and gives the meaning. Cultural field Cultural field Sender -> Encoding -> Channel -> Decoding -> Receiver

Ways of Cross Cultural Communication Language : Symbolic code consisting of set of sounds with understood meaning and a set of rules for constructing messages. Other Language Consideration : Jargon: Informal language consisting of words and expression Idioms: Unique ways of combining word to express a particular thought. Language Pragmatics: Social language skill used in daily interactions. Language Accommodation : Shifting one s speech patterns to achieve greater language similarity . Stylistic Accommodation : Idea that adopting one s communication style to that of others. 1. 2. 1. 2.

Problems in Cross Cultural Negotiation Cultural differences causes 4 kind of problems in international business negotiation: Non Verbal Behaviour: It basically includes :- Facial expressions Physical contact Silence Eye contact Sound Gestures 1. 2. 3. 4. 5. 6.

Problems in Cross Cultural Negotiation Values: It includes honesty, loyalty, efficiency includes in values that affect the cross cultural negotiation. Decision Making : It is a mental activity which is an integral part of planning and action taking in a variety of levels. Language : Misuse of language or using wrong command.

Impact of Culture on Negotiation Direct or Indirect Communication : Direct communication is used for good or routine communication ; indirect approach is used for persuasiveness or bad news deliver in non verbal language. Formality vs Informality Negotiating goal: Contract or relationship? 74% of Spanish respondents claimed their goal is contract, vs 33% of Indian executives. Relationship is goal:- Requires investment in getting to know each other and building trust. Contract is goal:- Efforts are focus on developing the contract terms.

Impact of Culture on Negotiation Emotion : In western or individualistic culture, high arousal emotions are valued and promoted more than low arousal emotion. Time : Time is money. One leader vs group consensus : Group : may anticipate and solve problems before they become emergencies with the help of internal department. One Leader : may solve any problem faster. Dealing with Risk : Share information, try new methods, tolerate uncertainty, build relationship and trust, move step-by-step not all at once.

Impact of Culture on Negotiation Top-down or bottom-up negotiation Win Lose or Win-Win: Hundred percent of the Japanese respondents claimed that they approached as a win-win process, only 33% of the Spanish executives took that view. Agreement

Conclusion Effective communication is an important and obvious mean in multi cultural environment. For management of multi cultural work force , globalization in international market, technology advancement that occur due to cultural differences, there should be effective negotiation which manager can do, so as to call managers are negotiators.

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