Hofstede Analysis

Discussion Board Forum 5

Troy G. Reeves

Liberty University

BMAL 604

Hofstede’s Analysis

Norway, Belgium & Malta

Section 1: Dimensions of Management Culture Comparison

Hofstede’s Dimensions of Management Cultural Comparison Chart.

Section 2: Analysis 

How do the dimensions of management culture of the 3 foreign nations differ from each other?

After reviewing the Hofstede’s Dimensions of Management Cultural Comparison Chart for the countries Norway, Belgium, and Malta, the author was able to conclude how the countries differed and compared to each other on diverse dimensions. Regarding power distance (PDI), Belgium and Malta have a hierarchical society, Norway, on the other hand, believes in being independent, hierarchy for convenience only, equal rights, superiors accessible, coaching leader, management facilitates and authorizations. Individualism (IDV), is low with Malta which indicates there is a high preference for a flexible social structure in which individuals are expected to take care of themselves and their immediate families only, Norway and Belgium score higher on the IDV which means they favor individual and private opinions, taking care of themselves and immediate family rather than belonging to a group.

A noticeable difference between the countries is the masculinity index (MAS), as Norway scores 8 and is considered the second most feminine society. This means that the softer aspects of culture are valued and encouraged such as leveling with others, consensus, independent cooperation and sympathy. Belgium and Malta show no clear cultural tendency is shown based upon their intermediate level scoring. Belgium and Malta score highly in regards to uncertainty avoidance (UAI), therefore planning is favored, some level of expertise welcome, when change policies on the other hand are considered stressful. Malta scores 96 on this dimension and thus has a preference for avoiding uncertainty while Norway is considered neutral with a score of 50 and thus does not indicate a preference on this dimension. Lastly, long term orientation (LTO), is high with Belgium classifying them as a pragmatic culture. With a relatively low score of 35, Norwegian culture is more normative than pragmatic. People in such societies have a strong concern with establishing the absolute truth.

How do the dimensions of management culture of the 3 foreign nations differ from the USA?

Comparison to the other three countries and the United States, the United States rates lower on the PDI just slightly above Norway. Compared to the other three countries, the US is very much an individualist’s society based upon the score of 91. In the US, people can think and speak on their behalf and make decisions for themselves, whereas other countries do not have that option. The MAS is high compared to the other countries which indicate that the society will be driven by competition, achievement and success, with success being defined by the winner. The US scores below average, with a low score of 46, on the UAI dimension. As a consequence, the perceived context in which Americans find themselves will impact their behavior more than if the culture would have either scored higher or lower. The United States scores normative on the fifth dimension LTO with a low score of 26 as Americans are prone to evaluate new information to determine validity.

How are the dimensions of management culture of the 3 foreign nations similar to each other?

Belgium and Malta score 65 and 56 revealing that two of the three countries are similar in position of PDI which means that it is a hierarchical society. This means that people accept a hierarchical order in which everybody has a place and which needs no further justification. The evaluation of these countries in the dimension of individualism shows that all three of these countries scored high. Malta with the lowest IDV score represents there is a high preference for a flexible social structure in which individuals are expected to take care of themselves and their immediate families only. Norway also with a score of 69 is considered an individualist society. Belgium and Malta score similarly in the UAI index therefore there is preference for avoiding uncertainty and planning is favored, some level of expertise welcome, when change policies on the other hand are considered stressful.

How are the dimensions of management culture of the 3 foreign nations similar to the USA?

Utilizing Hofstede’s Dimensions of Management Cultural Comparison Chart to compare these three countries to the USA reveals similarities. In the dimension of IDV all four countries were similar in score. This revealed that on average they favor an individualistic society versus a collectivistic society. Though, in the other dimensions there were greater differences, the similarities are fragmented and even then only were similar in a couple of sections such as UAI where the US and Norway are similarly neutral. The LTO of all these nations except for Belgium, have similar score averages to the USA which indicates Belgians show an ability to adapt traditions easily to changed conditions, a strong propensity to save and invest, thriftiness, and perseverance in achieving results.