Cultural Aspects of
International Human
Resource
Management (IHRM)
Introduction
•Globalization has increased cross-
border workforce mobility
•IHRM deals with managing people
across different cultures
•Culture significantly influences
employee behavior and HR practices
•Understanding culture is critical for
global HR success
Meaning of Culture in
IHRM
•Culture refers to shared values, beliefs,
norms, and behaviors
•Defined by Hofstede as “collective
programming of the mind”
Culture operates at:
•National level
•Organizational level
•Professional level
•Community level
•Individual level
Culture shock refers
to the psychological,
emotional, and
behavioural
adjustment process
experienced by
individuals when
they encounter a new
and unfamiliar
cultural environment.
Psychological Common among Caused by
discomfort in a new expatriates and language, norms,
culture global managers work practices
HR Role in Managing
Culture Shock
Hofstede’s
Cultural Most widely used cultural framework
Dimensions –
Helps compare national cultures
Overview
Explains workplace behaviour across countries
Dimensions
• Power Distance Index (PDI)
• Individualism vs Collectivism (IDV)
• Masculinity vs Femininity (MAS)
• Uncertainty Avoidance Index (UAI)
• Long-Term Orientation (LTO)
• Indulgence vs Restraint (IVR)
GLOBE- Global Leadership and Organisation Behaviour
Effectiveness
GLOBE Cultural Clusters – Country Grouping (Table)
GLOBE Cluster Major Countries Included Typical Cultural Characteristics
Anglo USA, UK, Canada, Australia, New Zealand, Ireland High performance focus, direct communication, relatively low power
distance
Germanic Europe Germany, Austria, Switzerland Strong performance orientation, high planning & structure, task-focused
Nordic Europe Sweden, Norway, Denmark, Finland, Iceland Low hierarchy, high gender equality, high work-life balance
Latin Europe France, Italy, Spain, Portugal, Belgium More hierarchical, relationship-oriented, high uncertainty avoidance
Eastern Europe Russia, Poland, Hungary, Czech Republic, Slovakia Higher power distance, strong in-group loyalty, moderate assertiveness
Latin America Brazil, Mexico, Argentina, Chile, Colombia, Peru High family/group loyalty, emotional warmth, high power distance
Sub-Saharan Africa South Africa, Nigeria, Zimbabwe, Zambia, Namibia High humane orientation, community-driven culture, respect for group
values
Middle East Turkey, Egypt, Kuwait, Qatar, Morocco, Saudi Arabia Strong hierarchy, high in-group collectivism, high assertiveness
Southern Asia India, Pakistan, Bangladesh, Sri Lanka, Nepal High power distance, strong family ties, moderate humane orientation
Confucian Asia China, Japan, South Korea, Singapore, Taiwan, Hong Kong Strong future orientation, high performance focus, disciplined collectivism
Managing Cultural
Diversity
•Cultural awareness programs based
on cultural sensitivity
•Inclusive HR policies
•Multicultural teams
•Open communication
•Ethical global HR standards
Why Culture is Important in IHRM
Affects Impacts Determines
Influences
communication motivation and employee
leadership and
and decision- performance engagement
authority
making appraisal and retention
Case Study 2
Key Takeaways
Culture is a strategic factor in IHRM
Cultural models help predict
employee behavior
No one-size-fits-all HR practices
globally
Cultural intelligence is essential for
HR managers
Conclusion
•Effective IHRM balances global consistency
with local culture
•Cultural understanding leads to better
integration and performance
•Managing culture is key to global business
success