Another factor that determines performance management and is related to culture is the concept of individualism. In the US, there is a high sense of individualism. Individuals are driven to perform not only for the greater good but also for their individual glory. Individualism is highly expressed in the United States. In China, there is less individualism and more collectivism. Everyone is expected to take responsibility for the group (Denison & Mishra, 1995). There is less individual competitiveness as opposed to the United States.
Impact of Cultural Differences on Recruitment and Selection
The issue of recruitment and selection is a substantially important aspect to any organization. Recruitment is defined as the process of identifying and hiring the people that an organization needs to fill in certain roles in pursuit of its mission (Armstrong, 2011). Selection is the aspect of choosing the candidates or applicants that are the most suitable for the specific jobs (Ergun & Yilmaz, 2008). Recruitment is considered as a vital aspect in the growth and success of an organization. An organizations wellbeing in the short term and long term are highly dependent on the competence of its employees at their tasks (Wickramasinghe et al., 2006). Wickramasinghe et al. are of the opinion that the initial stage in securing the success of an organization is to ensure that employees have the right qualities (2006). Consequently, this implies that an effective recruitment process lessens employee turnover and increases the morale of employees since the most suited are selected for the tasks. This perspective demonstrates the need for effective recruitment and selection to assist in organizational profitability.
Kotter & Heskett are of the opinion that the culture of an organization impacts a lot on the human resource practices (2009). Ayoade (2000) too, agrees with Kotter & Heskett that subjective recruitment, selection, appointment and promotion are greatly affected by the organization's culture. Ayoade opines that at times, it leads to the hiring of incompetent individuals in the staff, which most likely leads to poor performance. The manner in which things are done cannot be separated from the cultural environment because as Ayoade observes, the culture can be broken down to mean the way things are done (2000). In most cases, the social, human, and environmental aspects of an organizations operation are as important as the financial decisions that inform decisions on how organizations recruit and select employees.
In the United States, there is little emphasis on training. However, in recruitment, companies try to attract the most suitable candidates for the job. Attracting the most suited candidates involves a variety of things that may range from adding a few words to an ad or describing specific individual characteristics. For instance, it is not uncommon for a company to make a funny recruitment ad, for example, Twitter. In China, they have dwelt on training and development. The Chinese are observed to spend a lot on staff development (Kandula, 2006). Also, the Chinese hire the most qualified based on paperwork due to their high reverence for academic qualifications.
In the United States, contract signing is a serious business aspect. Contracts are considered legally binding and handled carefully considering the ramifications of a breach of terms (Verbeteen, 2008). In China, a contract is regarded as the beginning of a relationship as opposed to a bond as prescribed by the law. Contract signing in China is regarded as a social event as opposed to a serious legal event. Concerning contracts, in the United States, long-term contracts are few as compared to China where most people are expected to stay at their jobs or careers for the rest of their lives. Employees in the United States can change jobs drastically and frequently, one can move from selling shoes to working at a pharmaceutical. However, in China, it is frowned upon to shift jobs drastically (Briscoe & Schuler, 2004).
Culture affects an organization in that it determines how decisions are made and how actions are carried out based on the decisions. Across the world, cultures differ, and some differ greatly. Organizations have to consider culture when carrying out their HR practices. This will enable them to create an accommodative environment for its employees to work in. Multinational Corporations have the biggest task of understanding cultures across borders and adapting their operations to suit these cultures since in culture; there is no "one fits all" solution.
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