Cultural Dimensions of Hofstede and Their Impact on Organizational

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Cultural Dimensions of Hofstede and Their Impact on Organizational Imperial Journal of Interdisciplinary Research (IJIR) Vol-2, Issue-10, 2016 ISSN: 2454-1362, http://www.onlinejournal.in Cultural Dimensions of Hofstede and Their Impact on Organizational Performance in Sri Lanka Mohamed Ibrahim Mohamed Irfan Lecturer, Faculty of Islamic Studies and Arabic Language, South Eastern University of Sri Lanka Abstract: This study examines the role of others” (Hofstede 2010:6). He reconciling the Hofstede’s cultural dimensions and their potential biological, philosophical, historical, social impact on the success of organizational scientific and anthropological explanations, he performance in Sri Lanka. Hofstede’s four offered for the existence of the cultural dimensions dimensions: power distance, masculinity- of work related values. This study discusses about femininity, individualism-collectivism, and the impact on organizational performance along the uncertainty avoidance has been used to analysis Hofstede’s first four cultural dimensions such as the organizational performance. This study power distance, uncertainty avoidance, analyzes how these cultural dimensions may help in individualism-collectivism, and masculinity- the organizational performance in Sri Lanka. This feminine. As well as, how these cultural study is a qualitative research and data were dimensions may help in the organizational collected mainly from secondary sources such as performance in Sri Lanka. books, journals, news papers, internet articles and relevant research articles. Sri Lanka’s extremely Organizational performance is important in the low masculine (Feminine County), moderately in context of the effective development in the nation. collectivism, significantly high power distance and Organizational performance relates to how moderately low uncertainty avoidance are successfully an organized group of people with a contributing the success of organization particular purpose perform a function (What is performance. However, the organization Organizational Performance? 2012), which means performance is low in Sri Lanka due to highly that includes the actual organizational performance centralized, family ruled, low salary and high wage and achievement of successful outcomes. salary, corruption, nepotism, centralization Organizational culture is predictive of hierarchy and inequality in society. Results from organizational performance. An efficient this study the practical understanding of the organizational culture can be recognized as one Hofstede’s cultural dimensions and their potential factor that always seems to be associated with impact on the success of organization performance. successful organizations. The difference in cultural Positive organization cultures, good vision and dimension had a significant effect on mission, performance and service oriented organizational performance, therefore this study to managerial style, autonomy in personnel matters, examine the relationship of organizational culture higher salary scale, equity, and sustain democratic dimensions and organizational performance in Sri political system are can be improving Lanka. Organizations always expect high organizational performance in Sri Lanka. performance from their employees, in order to achieve organizational targets. Low performance Keywords: Sri Lanka, Organizational will be a cause for poor organizational performance Performance, Hofstede’s dimensions and inefficiency in the organization. In present context, most organizations in apparel sector are 1. Introduction unable to achieve their organizational targets (Weerarathna & Geeganage 2014). This study focuses on the role of Hofstede’s cultural dimensions and their potential impact on Major objective is to examine the role of the success of organizational performance in Sri Hofstede’s cultural dimensions and their potential Lanka. Hofstede defines culture as the “collective impact on the success of organizational programming of the mind that distinguishes the performance in Sri Lanka, core objectives are: to members of one group or category of people from identify the barrier and practical challenges of the organization performance; to analyze the culture Imperial Journal of Interdisciplinary Research (IJIR) Page 1160 Imperial Journal of Interdisciplinary Research (IJIR) Vol-2, Issue-10, 2016 ISSN: 2454-1362, http://www.onlinejournal.in impact on organizational process and how social organization culture. Therefore, this study focuses culture influences affect that cultural dimensions. on the debate regarding the organizational Hofstede has been involved in an extensive study performance along with cultural dimensions. (large questionnaire survey) of IBM employees and managers working in 40 different countries, he The first four cultural dimensions identified identifies basic differences in the way people in and described by Hofstede are as follows: (1) various countries distinguish and understand their Power distance – the degree to which unequal worlds. He identified six national cultural distribution of power is socially accepted within a dimensions such as (1) Power Distance, (2) society, (2) Individualism-collectivism – the degree Individualism-Collectivism, (3) Masculinity- to which members of a society are expected to be Femininity, and (4) Uncertainty Avoidance, (5) responsible for others, (3) Masculinity-femininity – Long versus short-term Orientation, and (6) the degree to which members of a society value Indulgence-Restraint (Hofstede 2010). The achievement, material success, assertiveness over identification of the first four dimensions of relationships, quality of life and modesty, and (4) national culture is probably the most significant Uncertainty avoidance – the degree to which a contribution of Hofstede. So, this study especially society protects conformity to counter ambiguity examines on first four dimensions. (Hofstede 2010). 2. Theoretical Discussion 3. Result and Discussion The word ‘culture’ derive from a Latin word 3.1 Power Distance and Organizational ‘colere’, which means to tend to the ‘earth and Performance in Sri Lanka grow, or cultivation and nurture’ (Zimmermann 2015). A culture is a way of life of a group of The term of power distance was used as people the behaviors, beliefs, values, way of far as know for first time in 1960s by Dutch social thinking, feeling, reacting, dressing, eating, psychologist Maccalder, he did experiment with greeting, and so on. It is refers to the increasing individual and he gave difference power deposit of knowledge, experience, attitudes, relationship. 1970s Hofstede was barrowed term of meanings, hierarchies, religion, society, roles, power distance and described difference between spatial relations. Culture is always a collective national societies (10 Minutes with Geert Hofstede phenomenon, because it is at least partly shared 2014). When we talk about power distance with people who live or lived within the same inequality in society is very important aspect of social environment, which is where it was learned national culture. For example, Sweden (PDI 31) (Hofstede 2010). Hofstede reconciling the differs from France (PDI 68) is the way society biological, philosophical, historical, social handles inequality, there inequality in any society. scientific and anthropological explanations, he Even in the hunter-gatherer band peoples also offered for the existence of the cultural dimensions followed inequality, power distance and hierarchy of work related values. So, Cultures have (Hofstede 2010). penetrated in every corner of our community, religious group, ethnic group and societies. According to Hofstede, inequality within a society is visible in the existence of different social In the world, cultures differ from region, classes such as high level, middle level, and lower nations, ethnicity and regions. Hofstede (2010) level (Hofstede 2010). In Sri Lanka, people are argue that elaborate the cultural differences or very unequal comparison with the South Asian diversity between nations from different region, because there are divided to hierarchical dimensions, based on empirical researches through arrangements on the based on ethnicity (Sinhalies, the cultural dimensions (Hofstede 2010). Tamil, Muslim), language (Sinhalam and Tamil), Moreover, Hofstede’s cultural dimension modal regions (Northern, Eastern, other region), symbolic involves the administrative culture in the global group identity and social class such as: Kandiyan world. Administrative culture indicates the Sinhalese (Goyigama) Southern Sinhalese (Karave, perception, analysis, norms, value and Durava & Salagama) Northern Tamil (High level), interpretation of the behaviour of public servants. Eastern Tamils (Low level), Indian Tamils, Behavioural patterns are evident among colleagues, Muslims, java Muslims, Indigenous Peoples, internal organizational units, relations to superiors, Burghers, Malay, Sri Lankan Chetty, Bharatha, and other bodies, to politics, citizens, and the media. In others. this Hofstede research did not focus on Sri Lankan context, in later the Hofstede centre was added Sri Sri Lankan society always follows the Lanka. This centre data is impact to the Sri Lankan different social classes in religion and between the Imperial Journal of Interdisciplinary Research (IJIR) Page 1161 Imperial Journal of Interdisciplinary Research (IJIR) Vol-2, Issue-10, 2016 ISSN: 2454-1362, http://www.onlinejournal.in religions: Kandian Sinhalese is up country and Southern Sinhalies is low country, as well as According to Hofstede’s power distance Northern
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