Corporate Structure, Cross culture awareness and Ethics in Global Business
Corporate Structure
Activity 1
Looking at a hierarchical (vertical), flat (horizontal) and matrix structure, which do you think you would prefer to work in and why?
Hierarchical structure
Flat or horizontal structure
Matrix structure
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Cross Cultural Awareness
Activity 2
Using the website: https://www.hofstede-insights.com/product/compare-countries look up the cultural dimensions of your country.(China) How does your personal cultural result compare with the average for your compatriots. Does this result surprise you?
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Activity 3
A CEO of a $600 million subsidiary called a consultant on a Sunday evening, apologised for the interruption but told the consultant he needed some urgent advice.
He was having a meeting the next morning with the Sales Director and HR Director.
The former was requesting a reprimand for a district manager, and the latter wanted him fired.
It seems that a salesperson purchased an iPad expressly because the clients in her territory frequently had to send her equipment plans to review and needed a quick turnaround. The device allowed her to rapidly respond, keep an archive of past plans and not have to tote around a laptop.
Her district manager learned of this when she casually mentioned that she had that capability if he needed to contact her in a similar fashion. He told her that she was very innovative and should not have to bear that expense and to reimburse herself by charging a fictitious client lunch once a week until the iPad was paid off. At a regional meeting the salesperson mentioned the arrangement to a colleague, who then asked his district manager for the same arrangement, and that manager said no.
The CEO asked the consultant (i.e. YOU) for advice. Here’s what they established from the case:
· There was no personal gain or attempt for personal gain
· The company had no reimbursement policy for these devices
· The district manager had initiated the unethical procedure
· The salesperson could have refused but did not
· A clear message had to be sent since this was now public knowledge
· The district manager and the salesperson had excellent track records.
Thus, the sales director wanted a slap on the wrist, and the HR director wanted a termination.
What advice would you give to the CEO?
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