Global Journal of Management and Business Research: A Administration and Management Volume 14 Issue 6 Version 1.0 Year 2014 Type: Double Blind Peer Reviewed International Research Journal Publisher: Global Journals Inc. (USA) Online ISSN: 2249-4588 & Print ISSN: 0975-5853 The Relationship between Cultural Diversity and Workplace Bullying in Multinational Enterprises By Chua Zi Leng & Dr. Rashad Yazdanifard Upper IOWA University, Malaysia Abstract - Workplace bullying has become a prevalent phenomenon for employees in multinational enterprises. As a result, employees’ job performance and mental health would be affected significantly. It is important for top management team to neutralize and reduce bullying among cross-cultural employees. This paper will focus on the relationship between cultural diversity and workplace bullying in multinational enterprises. Keywords: cultural diversity, workplace bullying, negative consequences, performance. GJMBR-A Classification : JEL Code: P12 TheRelationshipbetweenCulturalDiversityandWorkplaceBullyinginMultinationalEnterprises Strictly as per the compliance and regulations of: © 2014. Chua Zi Leng & Dr. Rashad Yazdanifard. This is a research/review paper, distributed under the terms of the Creative Commons Attribution-Noncommercial 3.0 Unported License http://creativecommons.org/licenses/by-nc/3.0/), permitting all non- commercial use, distribution, and reproduction in any medium, provided the original work is properly cited. The Relationship between Cultural Diversity and Workplace Bullying in Multinational Enterprises Chua Zi Leng α & Dr. Rashad Yazdanifard σ Abstract- Workplace bullying has become a prevalent and interpretations and meanings of significant events phenomenon for employees in multinational enterprises. As a that result from common experiences” (Power JL, 2011). result, employees’ job performance and mental health would Multinational companies are comprised of cross-cultural be affected significantly. It is important for top management workers from different countries. Cultural differences team to neutralize and reduce bullying among cross-cultural 2014 have brought many problems to the company either employees. This paper will focus on the relationship between through the relationship between employees and emplo- cultural diversity and workplace bullying in multinational ear enterprises. yers or performance of job. It is important to understand Y the cultural differences among employees that from Keywords: cultural diversity, workplace bullying, negative 133 consequences, performance. different nationality so that they can work under a good working condition and facilitate the organization opera- I. Introduction tion smoothly. The cultural differences are distinguished into collectivism and individualism, acceptability of work- orkplace bullying is mistreatment of behavior by place bullying, gender, age, and disability. For example, managers or co-workers in the workplace. Asian and Southern American culture are more toward Leymann studied that bullying may be related W fully devote themselves to the company where as to poor management and work condition (Tambur & Western countries like America and British culture emph- Vadi, 2012). Working bullying is divided into two groups; asize on working balance (Dimitrov, 2012). Thus, top which are work related bullying (WRB) and physically management team play an important role in managing intimating bullying (PIB) (Power, 2011). WRB is giving cultural diversity in multinational company. unlimited workload and overtime from the manager whereas PIB is not respecting, and shouting at employ- III. Acceptability of Workplace ees. People from different culture and background ) Bullying A would have different degree of acceptability to the ( workplace bullying, especially multinational enterprises. There are three orientations that showed that According to Lutgen-Sandvik et al. (2007), 5-28 percent different cultures have different level of acceptability of of workers in western countries have been bullied workplace bullying. Humane orientation pursues of (Cooper-Thomas, Gardner, O’Driscoll, Catley, Bentley, & compassionate and concerns of living life of workers. Trenberth, 2013). Multinational enterprises consist of People that from humane orientation culture believed employees that come from different culture which shape that compassionate and concern to workers are import- cultural diversity in cross-cultural organizations. Today, ant in workplace. Workplace bullying usually would not cultural diversity also encompassed race, ethnicity, nati- happen with people that are human orientation. Perform- onal origin, thinking style, and position in organization ance orientation emphasizes more on ability to work hierarchy. Workplace bullying is one of the factors that rather than relationship with people. Employers would contribute to low productivity and performance of an exert higher pressure or shout to the employees so that organization. This would lead to a few negative conseq- they can complete their works effectively and improve in uences such as high absenteeism, decreased job job performance. Therefore, they could accept workpla- satisfaction, great turnover, low productivity, or quit of ce bullying as well as their goals are achieved. Future job (Dumay & Marini, 2012). Thus, management has the orientation focused on long-term view where gathering responsibility to neutralize workplace bullying between and interaction can improve relationship with employees cross-cultural workers. regardless of race, age, or culture. Employer would reward employees frequently if they achieved the goals II. Cultural Diversity by giving holidays, presents or gathering (Power JL, Global Journal of Management and Business Research Volume XIV Issue VI Version I According to Global Leadership and Organ- 2011). izational Behavior Effectiveness (GLOBE), culture is IV. Collectivism and Individualism defined as “shared motives, values, beliefs, identities, Collectivism and individualism also contributes Author α σ : American Degree Program, Upper IOWA University, to workplace bullying. Workers that are collectivists tend Malaysia. e-mails: [email protected], [email protected] to work in groups and promote in cohesion of social ©20014 Global Journals Inc. (US) The Relationship Between Cultural Diversity and Workplace Bullying in Multinational Enterprises groups. On the other hand, individualism emphasized using their native language which indirectly forms on independence and achieve one’s goal that is oppo- bullying that isolated other co-workers (Beirne & Hunter, site from collectivism. Workers that are individualistic 2013). found boundaries with collectivist workers that tend to Workplace bullying also associated with gender work together and their common language, beliefs, and discrimination. Women generally have lower position perspectives. Additionally, power distance is common in and power than men in their workplace as most of the Asian countries than western countries. Workers that do men underestimate the working ability of women not agree with unequal power distribution would like to (MacIntosh, O'Donnell, Wuest, & Merritt-Gray, 2011). react negatively to the hierarchy structure of the firm. According to a study, men managers have more control Western workers are more tolerate with ambiguity and over the working environment compared to women work with risk. On the contrary, Asian workers prefer to managers in Malaysia managerial workforce. Besides be uncertainty avoidance with clear decisions and the ability to work, women have the family burden that consensus (Loh, Restubog, & Gallois, 2009). they need to take care of family and work equally. 2014 Therefore, men thought that women cannot pay full ear V. Gender Differences attention to the works. (Ismail & Ibrahim, 2008). As a Y result, women always are the target of bullying in the Most of the organizations are managed in workplace. On the other hand, studies also discovered 142 masculine style where top management teams are that more men are reported as the victims in workplace mostly men. Since long time ago, men are having higher bullying than women. Men typically hold a higher privilege and labeled as the one who have higher ability position such as managerial position, face more work- to manage company compared to women. It is because related stress and social manipulation from managers male and female have different characteristic in manag- and co-workers (Salin & Hoel, 2013). ement style. Men are more toward aggressiveness, independence, risk taking, and higher control over work- VII. Organization Structure of ing environment (Syed & Murray, 2008). On the other Multinational Companies hand, women are view as emotional, risk adverse, and emphasize on relationship. According to Fischer and Multinational company is a large and complex Glejim (1992), communication style of gender is disti- company that distributed in around the world and nation nguished as women would like to improve relationship with different national origin, race, skin color, religion, through communication while men are straight forward disabilities and age (Kapoor & Sherif, 2012). Manage- into what they want. Men would speak firmly in the ment is crucial to integrate all departments in order to () meeting so that everyone is under his control and facilitate the structure of organization. However, it is also women perceptions are mostly undervalued and less important to emphasize on different national