Based on india the GoTo Consulting group provide a breakdown of the cultural con

ID: 387475 • Letter: B

Question

Based on india the GoTo Consulting group provide a breakdown of the cultural considerations the new director will need to take into account when relocating and bringing on a staff made up of local nationals Should the director consider sourcing leaders from other divisions and taking them to the new location or focus on hiring local nationals as line managers, shift supervisors, and senior leaders Based on best practices and analysis of current cosmetic companies, how would the director best structure the team. Indicate how senior leadership will be divided (i.e. Assistant Division Director (ADD) of Operations, ADD Finance, ADD Marketing, ADD Sales, etc.) as well as the structure below them. Consider how Operations is divided. There will be Procurement of materials; manufacturing, distribution, etc. Finance will have to consider the different accounting processes such as Accounts Receivable, Accounts payable, and others. Marketing will focus on U.S. based marketing and global marketing and sales will need the same type of considerations. Don’t just use these exact examples, but use theses as a starting point and guide for your research.

Explanation / Answer

The Cultural differences are always one of the most critical aspects of organizational diversification mainly if diversification demands geographical spread. During acquisitions and mergers also culture plays crucial role in post acquisition/merger success. Here we are talking about setting up full overseas organisation at a new location, It is visible in case that parent country is India and new location is US. Eeven if the countries were different the Director must assess the similarity and dissimilarity in parent and host locations. This could be done through Hofstede’s cultural frame work. Under Hofstede’s frame work we assess the culture for similarity/dissimilarity on six dimensions that is : Collectivism/Individualism(Personal vs. group approach), Degree of Masculinity ( male more commanding than female), Open to uncertainty, degree of power/status inequality acceptable, importance to time frames (short term to long term perspective in planning and decision making) and degree of materialism vs. importance to social values prevalent in society On assessing if the difference between two locations is minimal then shifting as many employees that company wants to new location will not have problems especially enculturation related. However in case of high degree of cultural differences it is better to employ large number of local employees along with some parent organizations relocated employees. Parent organizations are needed to be mixed with host country employees to ensure transfer of core values and dominant culture of the organization.

The most suitable way to structure the organization is to follow Functional structuring. Here employees will be grouped based on their work and specialization. As mentioned in case we could have different functional divisions that are commonly followed in a cosmetic company. The information is to be obtained by student. However the most common functional divisions and the hierarchy are as follows:

Function

Research and Technology Development

Marketing

Human Resource Development

Finance

Production and Operations

Public Relations, Administration

Top

ADD – Research and Tech

ADD - Marketing

ADD - HRD

ADD –Fin.

ADD P&O

ADD PR

Middle

Research Officers/ Scientist

Managers for Product development/ Marketing Communication /Sales/Distribution channel/ Country Marketing/ Overseas Marketing

Managers for Recruitment/ Training/ Personnel services

Managers for Accounting/ Audit/ Legal services/ Finance & Reporting

Managers for Logistics and Transportation/ Stores & warehousing/ Purchasing/ Production

Manager Public relations/ Secretarial services & administration

Frontline

Officers and executives, clerical staff for jobs to be performed under the managers in varying numbers depending upon workload