Ecl Case Study Essay Example

of them would have preferred to find short-cuts to solve problems…” (Ho, 2001, pg. 3). Conflict was evident with the Chinese since cultural differences in business practices created barriers in which to overcome. Conflicts arise because of problems such as protecting ‘face’ of an employee by not providing direct feedback as mentioned as a problem in communication skills. …a manager who criticized his subordinate or colleague could cause that person to lose face, especially if this was done in the presence of others” (Ho, 2001, pg. 3). In terms of legal issues, there is conflict in resolving conflict. “In here, you don’t go by the contract word for word directly at first…You first establish relationship – get to know the person…it may be time consuming and from the US stand, it’s not efficient. Situation Analysis

Communication skills in ECL China are attributed to the display of a combination of a high-context culture; where people express their feelings and emotions through body language and a collectivist culture. “In high-context cultures, meaning is also conveyed through status (age, gender, education, family background, title, and affiliations) and through an individual’s informal network of friends and associates” (Engleberg & Wynn, 2010, pg. 90). America is a low-context culture where “…people are more dependent on language to express what they mean” (Englegberg & Wynn, 2010, pg. 90).

When ECL China established expatriate managers at the start-up of the company, they uncovered communicating with the Chinese served challenging. “…saying “no” to a Chinese partner could have a negative impact on their personal relationship…” (Ho, 2001, pg. 2). This is an indication that unlike America, China is regarded as a

collectivist culture. As defined by Engleberg & Wynn, a collectivist culture is where “…. members share similar attitudes, beliefs, and values…everyone gets the meaning by understanding the context, the person’s nonverbal behavior, and the significance of the communicator’s relationships with others” (2010, pg. 90).

Unlike America where managers are guided to provide constructive criticism to employees, China sees this as losing face, or one’s dignity and self-respect. “…face is the positive image you wish to create or preserve” (Engleberg & Wynn, 2010, pg. 225). Even though this is an individualist trait, the Chinese continue to cultivate a collectivist aspect. Team building was not shown as a positive strength with the ECL China team. Expatriates explained that it can be attributed to the Chinese education system because “…the system places more emphasis on testing individual ability” rather than interaction with in a team environment (Ho, 2001, pg. ). Being a collectivist culture plays a part in team building. Thompson mentions “…collectivist cultures are more concerned with maintaining harmony in interpersonal relationships with the in-group than are individualistic cultures” such as American culture (Thompson, 2009, pg. 263). China practices a top down management style, placing stress on personal growth. Engleberg and Wynn describes this as high power distance where “…individuals accept major differences in power as normal, assuming that all people are not created equal” (2010, pg. 88).

Since the Chinese education system put extreme emphasis on individual ability, in a team setting, this can create what Thompson describes as in-group favoritism. “Members of collectivist cultures display more in-group favoritism than members of individualistic cultures…become more competitive when they perceive their group to be the

minority” (Thompson, 2009, pg. 267). This follows suit with their communication style that they are concerned with personal relationships and how they need to save face. Thompson goes on to explain this as social striving. …collectivist concerns for the welfare of the group – increased people’s motivation and performance” (Thompson, 2009, pg. 267). This attribute is evident in how the Chinese are trained and tested on their technological ability, their individual capabilities whereas with American culture, it is placed on personal development. Conflict arose out of the requirement for the Chinese staff to follow process and procedures as defined by the American expatriate’s management. The Chinese preferred working out their differences with the individual before mentioning it to their supervisor or manager. Chinese perception was that close personal relationships cold promote more open and frank communication between managers and their subordinates and colleagues…the Chinese depended more on guanxi to prevent difficulties and solve problems” (Ho, 2001, pg. 3). Unlike the American management style, this was ineffective and did not foster a well-defined system. One conflict resolution style in terms of teamwork would be what is identified as a collaboration conflict style. Since the Chinese comes from a collectivist and high-context culture, this type of conflict style fits. The collaboration conflict style searches for new solutions that will achieve both the individual goals of group members and the goals of the group” (Engleberg & Wynn, 2010, pg. 218). Chinese are highly concerned with losing face whether it is on an individual or group level. Recommendations The underlying issue that ECL needs to address is should they adapt to the Chinese culture and management style or should

they establish their Western culture management style within ECL China. Communication is key for both cultures but it is viewed differently in China.

ECL established the management philosophy of “constant respect for people”, allowing it to flow down to the internal promotion effort. “Promoting from within therefore provided stability and guaranteed that the company’s culture would remain unchanged” (Ho, 2001, pg. 4). The Chinese highly value personal relationships and see it as a means to resolve conflict as opposed to following processes and procedure. ECL management should embrace this and adapt it to Western methodologies. Umlas’ statement on acknowledging employees calls this out as something that should be valued regardless of the risk being taken. We never know how much an acknowledgement will mean to another, and what a difference it will make in their lives and spirits. That’s why it’s worth the possible embarrassment or risk of being seen as inappropriate – as long as it is honest and real” (Umlas, 2006, pg. 68). Understanding the Chinese culture and how they communicate more through body language, and non-verbal gestures should all be placed in a communication plan. How management will support and manage stakeholder expectations is critical to continuing a positive working atmosphere. Interpersonal skills such as “Building trust, resolving conflict, active listening, and vercoming resistance to change” should be addressed within the communication plan (PMBOK, 2008, pg. 264). Even though the Chinese feel that process and procedures delay the end result, they are critical to company success. Developing an organizational process that includes how and why policy and procedures are going to be used will smooth out possible conflict that may arise.