Dispersed Team: Volvo IT Case Study
According to Wainhouse Reasearch (2011), from the year 2000, the United States Library of Congress has listed averagely 1000 publications on the issue of globalization every year (Phemawat 2011). The definition of globalization doubles from the international exchange of products and services to sharing the same regulations and cultures. Therefore, globalization has become the agenda of the managers of every institution (IBM, 2012). As stated by IBM 2012, managers face the challenges of lack of creativity among leaders, lack of collaboration and, inability to develop workforce skills and capabilities.
Globally dispersed teams are affected by several Issues (Anell et al. 2013). It may take longer than usual for dispersed teams to develop trust. Globally dispersed teams hardly recognize each other and may never meet. However, without trust, collaborating to work as a team causes problems in sharing experience and knowledge (Rosen et al. 2007). Moreover, coordination of the work process and environment primarily influences the success of dispersed teams. For instance, arranging meetings for employers and employees across time zones become a challenge. As a result, there is a delay in communication (Ebrahim et al. 2009).
In continuation, conflicts may arise due to problems establishing good relationships at work. There may be challenges due to lack of a common agenda which can lead to disagreements among teams, and different interests. The institutions leap into confusion, anxiety, and struggle (Rosen et al. 2007). Otherwise, the topic of culture is primary in a global setting. There is a need for a culturally different mentality for globalized teams. Dynamic cultures lead to dissimilarities in behavior, languages, and values (Rosen et al. 2007). There are also the differences in organizational behavior, roles and past experiences that affect the general communication within the company (Anell et al. 2013). Communications technology also affects the development of dispersed teams. This is since communication relies on the use of technology. Don't use plagiarised sources.Get your custom essay just from $11/page
Studies recommend how to set up a dispersed working team. There is an emphasis on the significance of organizing face to face meetings, particularly for entrants. Also, managers play the role of establishing trust and a common goal for the entire team (Hansen et al. 2012). During the organization of the group, there should be an effort to improve teamwork and technological skills among members of the organization. It is also essential to establish protocols for initiating thorough communication among members of the organization. In turn, the organization, in no small extent evades the issue of misunderstanding. As a result, there is an increase in efficiency among members of the team (Hansen et al. 2012).
The management of a dispersed team should formulate a clear mission statement for the whole team. There should also be guidelines stipulating the roles and responsibilities of every individual within the organization. Moreover, effort must be made towards objective, transparent and effective communication. The right form of communication should reach the right individual at the appropriate time. Members of the team should commit to giving feedback for every form of communication that concerns them (Ebrahim et al. 2009). Likely, an outline entailing the global culture of the organizations is essential for every of its member. As stated earlier, team members should have the knowledge and the technique of operating in a culturally diverse work environment (Hansen 2012).
Dispersed teams increase the development and flexibility of the organization. However, global organizations are not as effective when used as project teams. Most studies show that dispersed teams should be temporary. Contrary, the increasing globalization stipulates that there can be improved results if the teams are made permanent. Therefore, a significant opportunity for dispersed teams to stay competitive is through becoming a durable body. Similarly, organizations with dispersed teams should outsource and build a stronger network with their partners. A globalized organization seldom succeeds as a standalone. However, when appropriate partnerships surround the team, success is inevitable.
Additionally, there is also the opportunity for the organization to merge through mergers and acquire significant competitiveness across boundaries. Furthermore, it is also essential for organizations to improve quality and reduce the cost of the technologies used communication. For example, organizations were using emails for discussion since the 1990s (Wainhouse research LLC, 2010b). Technology as emails fails to provide for face to face communication. As a result, relying on the use of technology to communicate may lead to the wrong impression about the organization at first encounter (Hansen 2012). Communication technology also makes disagreements go for the most extended durations. Studies suggest that since there is no face to face communication among the members of the team, there is a gap created by the absence of body language, tone and facial expressions (Hansen 2012). Moreover, several pieces of researches prove that there is murky technology that is capable of duplicating communicating face to face. The available technology is instead unreliable incapable of enhancing face to face communication at an affordable cost for both the client, employee and the employer (Hansen 2012).
However, according to Wainhouse Research (2010b), there is a significant advancement in technology and network. Therefore, methods of connecting keep improving dramatically. The phenomenon is mainly due to the explosion of a set of communication applications. For instance, technocrats have come up with communication solutions such as videoconferencing, telepresence and immersive video solutions. There is also the concept of Unified Communications (UC). UC takes from the idea of presence. With its optimized User Interface, UC combines voice, video, and instant messaging. Therefore, if the organization can establish effective communication by using solutions as the UC at an affordable cost, there can be a significant increase in competitiveness.
Other opportunities that organizations could explore include involving the millennial generation. As studies indicate, they have skills performing several tasks at the same time. They have changed in behavior and are connected through the internet. Importantly, they can access various sources of knowledge and are well informed. This is important since they not only embrace the available technology but also quality and useful content from them (Meister and Willyerd, 2010).
Moreover, the modern generation is motivated and have mastery and purpose of fulfilling (Pink, 2011). The older generation face challenges in a global environment in contrast to their younger colleagues. Individuals have confessed to reverse mentoring. The younger generation continues to prove to be more useful and productive at work. Therefore, since they are also qualified, they are the best pick in establishing a competitive global economy for digital organizations.
The Cultural Fit Interview Procedures
When hiring, a company first ensure that the candidate has the skills they need, experience and appropriate education. Therefore, the company attempts if the individual will integrate with the structure of the organization (Marloes 2017). This is the point when every institution seeks to find out if an individual best fits the culture of the organization. Several organizations function by merging several departments. The departments, including individuals they comprise, need to integrate and support each other. So that it is essential to determine if an individual is a team player.
In continuation, organizations want to hire self-driven individuals. These kind of people sought after by companies are highly motivated and will work out to succeed. Determining the cause for motivation on the opportunity at hand is vital in understanding the source of motivation. Proof of hard work can be evident by asking the candidate to project what their accomplishments would be over specific durations (Willer and Berry, 2012).
For an organization to succeed, the environment should be kind and considerate. Therefore, individuals who interact with clients need to be empathic and caring. Candidates should also describe when and why they would have been pleased with their roles to test integrity, honesty, and accountability. Ambition and passion of an individual can be rated by past experiences and accomplishments. Therefore, organizations need to focus on essential issues when addressing culture.
According to Marloes et al. (2017), cultural fit means similarities among the employer and the candidate. Cultural fit is known by similar ambitions, norms and motivating factors. Several organizations use the phenomenon to determine whether or not there is any connection between the individual seeking for the job and the employer. Conceivably, a large percentage of jobseekers (about 95%) agree that they source for information about an organization and the employees of the organization. Most jobseekers do not consider wages at an early phase. Instead, they attempt to have an understanding of the setting of the organization their potential workmates.
However, in the case of a cultural mismatch, there is no much hope for the employee. Similarly, the employer is likely to opt out of the organization probably within eighteen months. The impact is consequential since the employee hope for the best while the employer invests in the recruitment process, selection, familiarization and training of the new members of the organization. When an employee leaves an organization due to cultural mismatch, there is demotivation and decrease in the general productivity of other employees. Approximately, the cost of a mismatch can be about 30000 sterling pound for every individual. Research by Haris mentioned that the cost of a mismatch can average to 45.000 euro in Germany, Netherland, and Belgium.
Therefore, the quality of hire is connected to the cultural fit of the candidate. Cultural fit is equally significant in rating a successful recruitment process. It is better if an organization, during its recruitment procedures, finds a hire with similar norms as those of the organization. As a result, an organization should conduct its recruitment in a way that the process cultivates positivity’s and train on skills.
Willer and Berry (2012) state that organizations see employees as bad hires because of attitude of the employee 89% of the time. Technical skills were not as important as a coachable, emotionally intelligent and temperament of an individual during hiring. Mark Murphy talks about hiring for attitude. His research was due to a survey by his organization for three years of 5,247 hiring managers from 322, public, private, healthcare organizations, who hired more than 20000 employees in total.
As suggested by studies, a cultural mismatch can make a relatively competitive individual. Notably, high caliber candidates search responsibilities to fulfil within organizations. They look up to succeed and thrive. Also, it is believed that candidates who are highly motivated asses the environment if it will allow them to scale up their career.
Training on Culture and Language as a HRM strategy
According to George and Scott (2012), training is the attempt by an organization to increase education among its employees. Development means the effort of the company to improve the skills of an employee for future roles. Organizations train their employees to improve performance and competence. However, the process of training is the responsibility of the Human Resource Management. Training and development leads to economic success. Therefore, throughout history, the HRM puts considerable resources to train and develop its employees. For example, managers fail if surrounded by inadequate skills, knowledge, ability, and competence. (SKAC) (Enga Engetou, 2017).
With globalization, companies compete with home markets while at the same time competing with need to stay relevant and competitive at the global economy. The different cultures due to international business require that companies become very sensitive on how they do business. There is a challenge to the Human Resources because of the interaction of employees and differences in cultures. Therefore, understanding the differences in cultures and language barriers is important for all the employees of such organizations.
Interacting in a new culture means adjusting to the new rules and becoming competent in the new environment. As an expatriate, an employee should prepare for the new culture. The employee need to respect the new culture and strike a balance between the new and the old. Therefore, the norms of the new culture should be understood without prejudice (Allan and M.D 2018). Also, the local employees and managers should respect the coming culture. The employees should be taught about the coming culture. Every member of the organization should be introduced to the new culture. The information they acquire should be seen in practice when the new culture arrives. This information imparted by the HRM concerning the coming culture should be about how much they understand.
Cross-cultural training and development is simply the process of removing conflicts of interests that could be caused by cultural differences. The objective is to realize effective cross-cultural management. The learning process involve decreasing cultural conflicts and making the expatriate comfortable (Allan and M.D, 2018). The expatriate should not be fearful of the new environment. Importantly, it makes strong the interpersonal relationship in the company. It also makes team spirit strong and encourage solidarity. Since culture influences the behavior of the employee, cultural training will influence the effectiveness of different norms and styles of management.
Communication is also vital to the management of an organization. Communication relies on a common language. Common language is seldom in global economic communities. A conversation may be done through a second language. However, those who participate in the conversation interpret in their language and according to their cultures. This may lead to a misunderstanding during the business process. Instead of fostering communication, the interpreted language become a major obstacle. Additionally, language training is important to help the individual adjust with communication appropriately. A study by Jan Selmer (2006) that discusses language ability and adjustment among western expatriates in China states that proficiency in Chinese among business expatriates increased adjustment to foreign businesses. This was because speaking Chinese improved one on one communication with the hosts. As a result, their interactions in English more effective.
According to Vilmante Kumpikaite (2013), there are different cultural and social circumstances. Also, there are variations in HRM developmental practices. Nadler (1991) came up with a model that involved training education and development (Vilamante, 2013). Cross-cultural preparation involves educating the employees and the members of their families. For business to success in a foreign country, employees should the business regulations and the cultural norms of that country.
HRM can develop training methods according to their skills. They can also align the training with available stipulated methods. Training may involve modern or traditional methods. Modern training methods may involve the use of technology such as computer based methods. The training technique can also be determined by the number of individuals to attend the training.
Individual training methods also known as Self learning methods give the trainees the option of facilitating their own training. This means that an individuals who opt for self-learning trains independently from others (Vilamante, 2013). One-to-one learning technique imply that the trainee interacts with other individuals through the process. Group learning approach comprise several participants. Group learning are the most preferred. They are described as the best learning approaches. However, there are several approaches including lectures, group projects, group projects, group discussions, and other traditional techniques. Modern methods comprise electronic learning and learning networks.
Apart from diversity in cultures, those who train must put into consideration the differences in languages. If an interpreter is to be used, a practice session evaluating the pace, material to be used, and other parameter is necessary. The trainer also need to know the training method preferred by the trainee.
The Process of Retaining Knowledge
Knowledge retention is becoming a major challenge for organizations. Currently, organizations have come to conclusions that knowledge and skills of their employees are a significant resource. However, managers are experiencing major challenge managing the knowledge and skills of the employees within their organizations (Mayiwar et al.2018). To sustain competitive advantage, organizations should be able to not only create but also exploit core competencies among their employees. It is also important for organizations to stay unique. This means that organizations should have resources identical to it that are almost impossible to imitate or replicate. For the above reasons, knowledge has become vital for organizations. Organizations view consider knowledge as significant for continued growth and competitive stability.
However, the economy that keeps on changing causes several employees within various organizations to often change jobs. Moreover, the rates at which individual changes jobs steadily increases due to globalization, competition and economic crisis. Therefore, there is concern within organizations that they lose knowledge when employees move from one organization to the another. However, this phenomenon only becomes so important for an organization when an employee leaves. Notably, the losing such vital knowledge can be costly and significantly detrimental to an organization (Christina Evans, 2003). As a result, organizations should come up with strategies that retain knowledge with other members of the organization before a member of an organization leaves.
The rates at which employees leaves an organization in particular durations vary. A study by the confederation of Swedish enterprise found in a research that the field of service delivery experienced the highest rate of employee turnover. The study found out that the highest turnover was among the workers in the service industry. The lowest rates of employee turnover was seen in the manufacturing industry. However, according to the Pricewatershousecoopers (PwC) found out in its study that almost all managers agreed for reform to their methods concerning developing and retaining workers. Other than the mere agreement, only a portion of the managers are handling the challenge. Since organizations spend enormous resources in training, developing and maintaining employees, organizations incur big losses due to worker turnover. Managers on the other hand do not know how to effectively handle this challenge. Studies criticize business processes that depend on the presence of an employee or a few people within an organization. These studies prefer depending on machines.
Knowledge retention is when an experienced leave an organization after significant duration. The knowledge that is lost creates a gap and leaves the organization with a long term challenge. The overall effect is realized since it leads to a reduction in the overall performance of the organization. This is because the employees who have left caries with them important information that is vital for the functioning of the organization. Since knowledge is not tangible, it is a challenge for organizations to retrieve or retain knowledge. Organizations are currently attempting to establish IT systems that will not be further affected by changes within organizations.
The PwC case study showed that the fastest growing challenge for organizations in Sweden is retaining the knowledge of employees. This is explained in the study to be due to the many employees and high number of employees who leave their organizations (Mayiwar et al. 2018).
However, according to a case study of several organizations by Christina Evans suggest that HRM should lead the management of knowledge. The HRM should therefore control the responsibility of ensuring knowledge retention. However, knowledge is acquired in many ways. Some of which include sharing, learning and transferring the acquired knowledge.
Learning within organizations gives companies the ability to process information and use it appropriately to increase the performance of the organizations. The organization then turns the knowledge into a commodity expanding the knowledge within the organization. The previous knowledge and experience of an individual form how they interpret and acquire the information (Rinekangas, 2017). Knowledge retention comprise the experience of an individual, general knowledge, daily routines, the processes and practices within the organization, and observing and playing roles in the cultures of the organization. Knowledge retention implies the use of knowledge that already exist within the organization. The knowledge is used in such manner that it can be used in the future.
Furthermore, the importance of the acquired knowledge depends on how the individual perceive the information that is new as either important or not. Organizations can retain through writing them, capturing or drawing them, or using computer programs to store the information. However, tacit knowledge is in the mind of the individual. Therefore, tacit knowledge can only be received or taken as described by the individual. There is also the belief that there is potential for easy transfer of knowledge in organizations with large populations because of frequent interactions among members of the organizations.
In continuation, the theory of creation of knowledge stipulates that knowledge creation is the process of is a continuous process that involves transforming the old knowledge of an employee into a new knowledge base. The process is a journey since it is dependent on the circumstance under which the individual is acquiring the information. Other members of the organization receive the knowledge through daily interaction with the individual (Christina Evans, 2003).
According to the SECI Model, organizational knowledge can be shared through interaction of explicit and tacit knowledge. The whole process is explained that tacit and explicit not only increase the base of knowledge but also enhance the quality and quantity of knowledge received. The process passes through the stages of socialization, externalization, combination and internalization. The composition of the knowledge is shared in the workplaces. Further, the whole process is abated by either old or new knowledge.
A study by Rauli Rinekangas discusses a case study on the management of knowledge in arts consultancy (Rinekangas, 2017). Tacit knowledge is subjective and owned by individuals who have acquired it through experience over a long duration. Therefore, it is personal and difficult to make formal and communicate. Tacit knowledge particularly requires an environment that is specific to the circumstance. Hands on application is the best routine of demonstrating tacit knowledge in use. Moreover, the process of sharing tacit knowledge is complexly dependent on the ability of the individual receiving the knowledge to apply it and use it accordingly.
Tacit knowledge also requires modifiability and mechanisms for transfer of knowledge for formality and prompt communication. The phenomenon is contrary to explicit knowledge which can be formalized, abstracted and transferred from one period to another and from across places. Transferring tacit knowledge is almost impossible since it is particularly action-oriented. It also involves the personality of an individual. Moreover, tacit knowledge requires close interaction, and a creation of understanding and trust among the individuals that interact (Rinekangas, 2017).
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