Cross Cultural Management In Samsung Case Study

Cross Cultural Management In Samsung Case Study

It is an indisputable claim that Samsung has established itself as one of the most successful multinational Company, operating at a highly sustainable level globally. The Samsung brand is recognizable in the appliance market, doing exemplarily well. But perhaps the most crucial aspect behind its popularity and prowess in global market dominance is the underlying factor that has brought about success. The ability of any organization to operate on a large scale largely depends on the adopted business culture and the ability to shield off limitations that come from the global economy. The regional expansion calls for an elaborate well-laid plan in developing the appropriate human resource. Operating at a multinational level successfully necessitates the employment of proper and most efficient skills in the management and development of human resources (Chang, 2012). The aspect mentioned above is essential considering the variation of culture that exists in different regions, yet the vision and the objective need to align amidst the diversity. Rani et al. (2012) notes that Samsung had adopted a precise business culture, a concept that significantly propelled the organization on the dawn of the globalization era. Based on a case study on the Samsung corporate culture, the paper discusses the benefits of the application of a cross-cultural system towards the achievement of a common goal.

The history of Samsung can be traced back to  1938 when it was being founded near Daegu, Korea. Similar to most startups, the Company had countable employees, given the Company was in its nursery stage, that was enough at least. The discussion on impacting the best cultural norms that propelled the corporation is the “Frankfurt Declaration” of 1993 made by the Samsung Chairman at the time, Lee Hun Hee. He greatly lectured the employees on changing everything they could; the target audience was all employees regardless of the level they occupied. He proceeded to draft principles on how he envisioned the Company to operate. The result was the revolution of the Samsung culture, through revolutionized ideas among the employees.

Culture is subjective, an implication that there is no specific definition of what is considered either right or wrong. The overall concept is based on the desired result. The above gives relevance to why different regions display varying cultural practices. Culture is the amalgamation of behavior, perception, and speech. Culture is itself a definition of shared operational norms within a specified environment. Given the inevitability of cultural diversification, the variation is a known drawback in a global business setting. The existence of heterogeneity in culture greatly hampers communication. Using the illustration of Samsung as a multinational company, the above is a glaring shortcoming to both its operation and niche among its close competitors (Chang, 2012). However, Samsung has successfully adopted successful cross-cultural management to its advantage. Operating globally implies that the Company has access to a large pool of human resource; owing to the above, Samsung has adopted an innovation centered organizational culture. The setup emphasizes the individual skills innovation in line with the Company’s mission and vision statement (Rani et al., 2012). The focus herein is the shared common focal point between the employer and the employed. Some of the benefits of the adoption of this culture are the feeling of belonging, which in turn acts as a motivating factor for an employee brought about by the feeling contentment. The culture of innovation-based technique has been a lethal weapon Samsung has always deployed to keep itself afloat amidst the turbulent global market. It has resulted in the production of the brand’s high range of superior technological gadgets. The characteristic of the culture above can be described to be individualistic; it gives every employee the opportunity to propagate the Samsung brand and hence active participant in the success story. Consequently, the inclusivity aspect in the business culture has enabled the Company to break into new regional barriers previously considered harsh by close rivals.

Taking a closer look at Samsung’s adopted culture, numerous benefits are as a result of the culture. Firstly, the culture can be described as a one-cut fit all type of system. The above implies that the self-centered innovation practice has proved desirable cross borders. After its inception in Korea where the Company first began, efforts were thereafter made through a collaboration with the Chinese authorities to a partnership deal that oversaw its expansion. The above move was the first major cross-cultural application of Samsung’s unique corporate culture (Chang, 2012). The successful establishment cross borders of the similar values held at the home country of Korea convinced the Company the efficiency of the culture as a unique weapon to expand further.

The successful implementation of innovation centered organization culture is the impact it has brought on career development. Every employee’s effort is recognized under the system. Furthermore, the adopted culture seeks to remove the heterogeneity trait that is existence in a multicultural setup. All employees are equal in the judging by their ability to contribute towards the common goal. There is the creation of a fair opportunistic environment which is also non-discriminatory in nature. The innovation-based technique has generated a passion for excellence. Innovators feel a high sense of motivation towards the shared objective. Their efforts are secure from discriminatory attacks and limitations brought about by employees whose values differ from theirs.

In conclusion, the adopted cultural practice by Samsung ensures prosperity for all members of the community within which it has established itself. The individual cultural differences are not dismissed but instead are applied towards innovation and self-motivation. Hence, the innovation is largely backed by society, therefore, acting as avenues of solving problems faced by all members of the same community. As a result, the multinational has enjoyed global support in almost entirely all regions it has ventured into.

References

Chang, S. I. (2012). Study on human resource management in Korea’s chaebol enterprise: a case study of Samsung Electronics. The International Journal of Human Resource Management, 23(7), 1436-1461.

Rani, H. M. N. S., Zuber, F., Yusoof, M. S., Zamziba, M. N., & Toriry, S. (2016). Managing cross-cultural environment in Samsung company: Strategy in global business. International Journal of Academic Research in Business and Social Sciences, 6(11), 605-613.