DB Replies - Elprofessori
b_michelle817
student_3_-_v.docxValues
Definition
Mc Shane and Von Glinow state that “Values are relatively stable, evaluative beliefs that guide our preferences for outcomes or courses of action in a variety of situations.” (2008, p. 15).
Summary
In the article titled “Managing Across Cultures”, Carlos Ghosn (2005) discuss the solution to globalization and corporate mergers and acquisitions. The president and CEO of Nissan and Renault states that establishing a strong organizational culture is the solution to successfully merging two companies (Ghosn, 2005). To succeed in such a feat, the culture of the individual companies must be recognized, in order to yield a great value system. Ghosn used the successes of the Renault and Nissan merger that occurred in 1999 to support his theory. The French and Japanese companies were successfully merged due to the fact that the strengths and values of both cultures and the corporations were recognized and retained (Ghosn, 2005).
Discussion
Globalization unites people, socially, economically or culturally in various parts of the world (McShane & Von Glinow, 2008, p. 18). Establishing a value congruence amongst the two companies increases the chances of the employees from each company to comply with the new core values that are established (McShane & Von Glinow, 2008, p. 47). Person- organization values congruence is especially important to get the employee’s buy in (McShane & Von Glinow, 2008, p. 47). This is often a conscientious process that requires research into both parties involved. This was evident in the article as it related to Nissan and Renault.
Although it has become very appealing to merge with transnational competitors, it is not always a seamless task (Ghosn, 2005). In any merger it is crucial to view the existing value system and explore the cultural differences (Ghosn, 2005). Once the strengths are established, the parent company can then decide what is a value add to the new company. The leaders should establish a framework and guiding principles in which they would like the employees from both companies to adhere to (Norman, 2016). “Now then we are ambassadors for Christ, as though God were pleading through us” (2 Corinthian 5:20, NIV). Organizations require that their employees live out their values system, but ultimately we are all ambassadors for Christ.
There is a price to value (Satell, 2015). Unfortunately, all companies do not follow Ghosn’s theory. Mergers and acquisitions occur often without any consideration to their employees. Taking culture, race, gender and customs into consideration is very important and allow stakeholders to feel included and establish a sense of patriotism and loyalty (Ghosn, 2005).
Do you think that companies would be able to retain their employees if they utilized the Nissan-Renault model? If companies established their own culture, taking employee’s cultures into consideration would companies be more productive? Do you believe that companies would experience greater loyalty from their employees if they focused more on deeper level diversity, rather than surface level diversity? I believe the answer to all of these answers is yes. I believe companies would experience more positive outcomes if they focused more on the human service and employee needs, rather than the company needs.
References
http://smallbusiness.chron.com/organizational-value-statement-23848.html http://www.economist.com/node/5156760
McShane, S., & Von Glinow, M. (2015). Organizational behavior (7th ed.). Boston, MA: McGraw-Hill
