Daimler AG is a German international automotive engineering company whose headquarters are in Stuttgart. The group dates back to 1926 when Karl Benz and Gottlieb Daimler, who were two pioneers of the automobile industry, being some of the first people to design and manufacture fuel powered engines. After the two companies joined together their engineers worked together to make the first diesel-equipped vehicles. During World War II the German army’s tanks and planes used their engines although Daimler’s manufacturing plants would nearly all be destroyed by the end. Later in the 20th century they would be aggressively expanding their size and technological capacities by acquiring Chrysler in 1998 and AEG AG (Electrical systems and turbine engines manufacturer) and several other aerospace/aircraft engineering companies. Daimler have always been at the forefront of the motor vehicle industry and have maintained a focus on the future over their entire history. They work in the production and distribution of engines and motor vehicles. Daimler AG is a parent company to many other organizations and is publically traded, if you wish to invest in one of its companies for example, Mercedes Benz you would have to be a shareholder in the parent company. Within the company they have “business units” or segments. Which are Mercedes Benz cars, Daimler trucks and buses, and Daimler Financial Services. Smart cars are also under the banner of Daimler. Daimler Financial Services provide large ranges of financial services for dealerships, fleet management and other logistic services; furthermore, Daimler Financial Services is in charge of Car2Go which is as of now the largest car sharing company in the world with an excess of 2,000,000 members. Daimler Financial also works in the Leasing, Renting Insurance and Financing of automobiles to consumers. The current CEO of Daimler AG is Dieter Zetsche and the company is governed by a Board of management which consists of representatives from every section of Daimler, legal affairs, marketing, finance and human resources representatives. Daimler also has a Supervisory Board which according to German law has 10 members which are elected by shareholders and 10 members which represent employees, they are in charge of appoints to the Board of Management and new plans for operations as well as any corporate decisions. Daimler employs 284,015 (2015 figure, according to Fortune Global 500). With the world trying to move away from fossil fuels and other materials which hurt the environment, Daimler is at the forefront of the automotive companies working towards self-driving cars, and are heavily invested in lithium ion batteries so as to expand its capacity in electric and hybrid vehicles. Daimler is planning for the future by having gotten a head start and now leading the change from regular gas powered cars to electric cars. A trend which we will likely see render fuel necessary cars obsolete within the next century. Being the parent company of Mercedes Benz Daimler is part of the top tier of quality and quantity of production of automobiles. In 2015 Daimler was the third largest Auto company in the world according to Forbes, only being beaten out by Volkswagen and Toyota. Daimler have been around since the early 1900’s and are the leaders of the auto industry and set standards for the rest of their competition. Daimler has production facilities in 19 countries worldwide and has over 8,500 sales center worldwide. It is this use of global networks for manufacturing and sales that they have a foothold in distribution on an international stage, while also facilitating growth and expansion of the company. From 2014 to 2015 the company experienced a 19% increase in net profit and from 7.29 billion to 8.711 billion; furthermore, they recorded record sales in 2015. Their strong increase in revenue from 2014-2015 also allowed them to increase their dividend per share from 2.45 to 3.25 euros. Currently one of the most profitable auto companies in the world and one of the highest producers of vehicles Daimler AG is in a very good place financially and plan to keep expanding their market share and profits. Furthermore they own luxury brand Mercedes Benz and the largest car sharing service Car2Go in the world, Daimler is focused on success and knows how to be successful.
Power distance than Germany; however, both countries has relatively low scores. Canada has a 39 where Germany has a 35, this means that in both countries there is a value in the idea of egalitarianism. Furthermore, business in both countries involves management relying on the experience and work of their employees and teams. The managerial system is far more open and employees are seen as valued members of the group rather than subordinates. This shows that both countries are very capitalist societies. Where the government stays away from business in a fairly “laissez-faire” manner as well as very open systems within corporate hierarchies compared to countries where the governments rule with “iron fists”. Canada is also a highly individualist society, more so than Germany. This means that in society people are not expected to be heavily interdependent, you are expected to be responsible for the yourself and your close family in this “loosely-knit” society where employees are expected to show their own initiative and Germany is also an individualist society comparing its score of 67 with Canada’s 80. In Germany; however, the employee/employer relationship is characterized by honest communication in letting your workers know the mistakes they’ve made. The individualist quality in both Canada and Germany further proves that both countries are more capitalist societies rather than socialist or dictatorial because business and the daily routines of people in both societies are revolved around how they can further their own interest or better the lives of their own families over more broad goals. The individualism of both countries highlights the fact that both are highly capitalist societies. Canada is a moderately masculine society, meaning that competition and strong work ethics are part of the work culture; however, the need for work-life balance in rooted in how Canadians go about their long-term desires in the job market. Although the need to have high-performance and work hard is part of the culture of how people go about their jobs, people value family time and the fact that the money they make at work is going to go towards bettering the family and/or providing more opportunities to go on vacations or spend more time together. Work is more so a means to bettering family life as opposed to the German culture which is more “Masculine” scoring a 66 over Canada’s 52. German children are told from school to that hard work is valued and the German education system shows that because students are separated into different types of schools from a young age. Opposite of how Canadians may use work as a means to bettering their family lives, Germans simply love to work and “live to work” and the amount of work they put in is shown by material goods. The German workplace tends to have more assertive managers as opposed to friendly ones. Consistent with the individualism of their society which involves managers’ honesty no matter what type of policy leaders will implement their ideas to achieve their goals. Planning and Controlling in Germany is more prominent; whereas, in Canadian business leading your team is more working as a unit and inspiring your employees while making them feel almost equal. Canada is much more free-spirited country than Germany on the scale of uncertainty avoidance they score a 48 which means we are a country which is quite open to new ideas in business, technology and culture. Canada is known to be a “Cultural Mosaic” meaning people of any culture are free to come to this country and express themselves in the same way they could if they were at home. As opposed to the U.S for example who are more of a “Melting Pot” which is a system in which immigrants have to adapt to the lifestyle and culture of the U.S. Germany scored 65 on the scale and are one of the more adverse countries on this scale. German business matters require full overviews or “game plans” in order to proceed. Canada’s uncertainty avoidance vs Germany’s are on opposing sides of the scale, Canada being a more relaxed country and Germany being sticklers for the rules. These qualities are key points of both countries business proceedings. In line with the masculinity factor of both countries. The Uncertainty Avoidance of both countries also tells us how the long-term orientation would end up. Germany being a much more averse to uncertainty than Canada is also shown in the fact that their long-term orientation is 83; whereas , Canada has a score of 36. This means Germans in politics and in business like to plan ahead and make sure everything sticks to the script while Canadians don’t mind the unknown and have more of a short-term mentality when it comes to problem solving and planning. Lastly, Canada is a much more “indulgent” country than Germany. This means that Canadian culture is classified by the fact that we are very willing to let loose and have fun and realise our indulgences. Much like how when we measure the masculinity of Canada, we use work as a means to something else, we use are our work as a way of getting money so that we can indulge. However, Germany has a significantly lower score for indulgence which implies that they are a society in which they do not participate in leisure and they “Control the gratification of their desires”.
Through Geert Hofstede’s cultural analysis, we see that Canada is much more free spirit and open to new ideas type of country; whereas, in general Germany tend to stick to stick to what is normal and find pleasure or leisure in their work. Germans are very much in line with their stereotypic image of a work oriented “robotic” type of society who “live to work”. The results of the cultural analysis are very apparent in the business world of both countries.
Being a German company and considering the cultural analysis using Geert Hofstede’s work, the Bureaucratic Organization theory fits the bill for what a German organization would practice. Bureaucracy is defined as: A rational and efficient form of organization founded on logic, order and legitimate authority. It was developed by a fellow German Max Weber and he believed that organizations were not reaching full potential. His main problem was with the way leaders would be validated by social status over work skills. German culture does favor the rich; however, he believed that merit was more important and that logic, order and legitimate authority were key factors in what made a successful company. The form of organization he thought of bureaucracy and the main points which fall under it are: 1. Clear division of labour: Where your job title is defined and you stick to the role in which you are assigned. Eventually specializing in that area. You follow the game plan and you live to work in that system. 2. Clear hierarchy of authority: This is where authority is clearly defined and who is in the leadership position is known. This may vary with every division of the company but there exists an authority in every section and every sections leader must report to someone who stands at the top of the pyramid. 3. Formal rules and procedures: Written guidelines are the standards for decisions in and behaviour in jobs and the requirements from every member of the team. You enter your job, meetings and new ventures knowing what is expected of you and what is required of you to enhance your job and so you do not trip over the actions of another member of the company. Your rules are set for you. 4. Impersonality: Rules and procedures are impartially and uniformly applied with no special treatment. Employees in the workplace are not defined by their personality or their culture or their life, you are defined by the work you put in and the entire system is pre-set so management knows where they want to be in the economy and how their system is going to function, if someone does not like it or does not wish to abide by the rules and regulations set then they are not needed and can be replaced with another who will simply be paid to do the job they are asked to do as efficiently as possible. The German culture is one in which your status is very much revolved around material and monetary possessions, the way to get to that point is to simply work to the top and take pride in the work no matter what. 5.Careers based on merit: Weber was very displeased with the fact that company leaders were chosen based on a status which they may not have even earned (i.e Affluent parents) and his system demands that you only advance in the company if you deserve and if you are willing to work like a dog to show that you know what your doing and can lead. German culture reflects this system to the last point. It is an organizational system which demands the highest degree of efficiency in a “purely technical point of view”. When analyzing the Masculinity factor of Germany it was apparent that German employees take much pleasure in their work and want to work hard every time they are in the office. The goal is to achieve the task you are set out which leads into the Uncertainty Avoidance score which was also quite low in line with Bureaucracy, you are set out what your job description is and you must stick to it. Furthermore you are given strict rules and procedures which you must follow so employees are fully aware of what to expect and what is expected of them in the workplace.
Canadian companies follow more into the managerial theories of Hawthornes studies. Hawthorne’s research brought to the attention that management needed a more interpersonal aspect and human needs as a necessity to be successful.The Hawthorne studies were key in the Human relations movement which is defined as “Suggesting that managers using good Human relations will achieve productivity”. As opposed to Weber’s ideals which were purely technical and used beliefs that organization were more like machines, Hawthorne\'s studies follow the need for managers to understand employee needs and the pros of group work. Very much in line with the way North American companies seem to be conducting themselves especially in the last 30 or so years. For example many North American organizations use “wall less” offices to keep employees feeling like they work in a more personal environment rather than the way Germans ideals that each employee is just like another gear in the engine. Hawthorne brought to light the way which chemistry amongst co-workers and leaders affects performance and the need for managers to make the employees feel valued beyond the boundaries of their work. Managerial practices can be identified by Geert-Hofstede’s “Masculinity” factor and Germany had a much higher one that Canada, although still a moderately masculine society the need for incentives and attention in the workplace is required more amongst Canadian employees than Germans. Germans incentives is coming home from a day on the job and knowing they worked hard on whatever task was assigned to them. Canadians ask a little more of their managers, whether it be being a team member more than a team leader, or making the employee feel valued on an emotional level. Interpersonal relationships yield more productivity as opposed to the German culture of efficiency in the most technical way is more valued in management.
Planning is the first step in the management process (planning, organizing, leading and controlling) because it sets the company objectives and the desired process which to achieve those goals. Planning is meant to set the stage for the rest of managerial process because you do need organizing, leading and controlling in order to achieve whatever was set out in goal setting process. Goal setting targets problems from the beginning and makes a company able to solve and attack these problems before they become epidemic. Goal setting usually involves identifying future problems and working to make sure you never have to deal with or make sure when they occur you are ready. Or they prioritise the top issues facing an organization and make sure they are dealt with as the top goal. Goals that a company sets are usually (Specific, Measurable, Attainable, Referred to regularly and Timely). This makes ure that the goal can be achieved in a certain time frame. If a company can plan properly they will be able to be efficient in resource management, achieve top priorities and always work with the goal accomplishment in mind. Geert Hofstede’s Long-Term orientation analyzation of countries aids in bringing to light the way in which organizations in those countries would plan. Germany is averse to the unknown and a very long-term oriented country. When looking over Daimler’s history we can see that from the beginning they have been planning for the future, given that Karl Benz and Gottlieb Daimler are two of the main pioneers of the automobile, Daimler where the first company to manufacture diesel engines. In The 90’s they bought Chrysler and several other companies in order to expand and work towards the future of technology. And even to this day Daimler is a leading company in the movement towards electric and hybrid vehicles. All of Daimler’s work validates that German culture is always moving towards the future and long-term planning. German business culture suggests that companies are more likely to use Strategic/tactical plans as well as contingency planning as the main planning methods. Strategic planning “Identifies long term directions for the organization”. Tactical Plans are how companies identify and implement all aspects which will bring the strategic plan to reality. Contingency and scenario planning are used in long-term planning to identify how future problems will be dealt with if and when the time comes. Strategic plans start off with a vision of where the organization hopes to be in the future. The Board of Management and Supervisory board at Daimler are set up in a way in which every section under their banner are represented. The supervisory board have shareholder representatives and employee representatives ; whereas, the Board of Management has HR, marketing, finance amongst others represented. Strategic planning involves exactly this, a key factor of strategic plans are making sure every part of operations are being guided in the direction of advancing overall strategy of the organization. Canada is very short-term orientated and welcomes uncertainty much more than Germany, Operational Planning is fits the bill more for a planning style which would be used by a Canadian organization. Operational Planning “Describes what needs to be done in the short term as a response to different situations”, it is a short-term planning method which involves many one time use solutions to immediate problems. Key practices of operational planning involve implementing new policies and procedures, which are guidelines and rules for what type of action should be taken in specific situations. Policies, rules and regulations are lists made when a company starts up and they are ratified as time goes on to deal with specific situations as they may come, and are used over and over again. Such as procedures for hiring, firing or general office rules. Budgets are a key practice of operational planning which works generally in the short term. Budgets are allocated from higher levels of the hierarchy to the leaders of lower down units. These are allocated to them for a specific time period, performance goals become set and must be accomplished within the given budget. Although this planning method does not fit Canadian Culture in its uncertainty avoidance factor, budgets are a generally short-term form of planning which can be quite flexible and wait for circumstance to dictate the amounts needed by the work units.
The German culture and examples pulled from Daimler AG show that long-term planning and making sure everything goes to script are dominant in the planning practices in Germany. Whereas, Canadian companies being in a country that thinks more in the short-term and accepts the unknown and are likely to be using planning in the short term and budgets to accomplish certain tasks or complete projects as the needs of the company may see fit.
Organizing is very simply defined as the way a company arranges people and resources to work towards a goal. It is what happens after a manager or a company has gone through the planning process of say the goals which are to be met and under what time frame. Organizing is when operations have actually begun, and the allocation of resources and people becomes reality rather than just a plan. Circumstances may change and companies have to change how they arrange their resources to still reach their goals. Most companies, especially in larger economies like Canada and Germany will have formal structures which are charts that show the official organizational structure of a company. All official communication channels, subunits, division of labour and the official corporate hierarchy. Along with formal structures, most companies also have informal structures which are all the unofficial relationships among the members of the organization. It involves any which way company members are linked if they are in a relationship outside the boundaries of their job titles. In times which the formal structure’s relationships do not provide a solution to any number of problems facing the organization, informal structure generally can get the job done. They allow for communication channels especially to change and cut through boundaries set by the formal chart. Some of these connections which are made through the informal structure of the company could prove essential to accomplishing company goals and getting through day to day obstacles. German companies are much less likely to have extensive informal relationships spanning across the entire organization because the interpersonal aspect of business is less important there than in Canada. German companies work more like machines; however, Canadian companies are very likely to have very complicated informal relationships because employee interactions are also morale boosters and a part of how Canadian companies function.
German companies are very likely to use functional structure’s of organization. A functional structure “groups together people with similar skills who perform similar tasks”. Members of a functional structure work on what they are assigned and only those groups work on those tasks. You work in your area because you are the expert in that field. German businesses work like machines and functional structures group people like gears in a machine. If each gear is working properly than the business as a whole is doing well. If you are hired into marketing, you only deal with marketing projects and are only responsible for solving problems which occur within your realm. Functional structures fit German business culture very well. Some of the key points of functional structures are Economies of scale, task assignments consistent with expertise and training, high quality technical problem solving, in-depth training and skill development, clear paths within functions. This form of organization follows German culture very well, it is designed to solve problems in a very technical manner and to have teams which work specifically projects which pertain to their field; furthermore, it is meant to be an efficient way of accomplishing tasks because all people who work in a given area are there because they have expertise in what their doing. Functional structures fit the German culture very well and can be expected to be the dominant organizational structure used by German companies.
other main organizational structures are Divisional, Matrix, Team, Network and Boundaryless structures. A team structure involves “permanent and temporary teams which are brought together to solve problems, complete special projects and accomplish day-to-day tasks”. When the special projects are finished the teams are disbanded; however, the permanent teams consist of members who come from different sections of the company and are responsible for short-term obstacles and day-day tasks. The Team structure is a perfect fit for Canadian business culture because of Canada’s acceptance of uncertainty and their low long-term orientation. The project teams who convene for specific tasks are there to deal with whatever they are needed for and then once the tasks has been completed are no longer part of a team, this is a very short-term “deal with it as it happens” type of system. The use of cross-sectional members allows for all bases to be covered and for projects to be attacked using expertise from all parts of the organization rather proves that Canada is more open to uncertainty in a job, the German culture however would never allow for such an organizational system to be implemented because an employee’s day to day job would change everyday and would welcome uncertainty.
Leadership, “is the process of inspiring others to work hard to accomplish important tasks”. It is the part of the management process that keeps the workforce motivated and enthusiastic about accomplishing tasks and makes sure everything is going smoothly. One is put in the position of leadership because they have power, because the success of a leader depends upon his/her ability to achieve results. The influence of a manager depends on how he may use his power, for example he may assert power by being able to offer something of value in exchange for well done work, this is called Reward power. Or they may use Coercive power, which is when managers threaten subordinates with negative outcomes. Depending on the staff and the culture of the country, different leadership methods may work better with different people. Germany is a highly masculine society which encourages that managers assert themselves as leaders not co-workers. Canadian culture is similar; however, managers in western societies work with their employees and are more friendly with them as opposed to German culture in which managers critique their employees from a position of authority. The autocratic style of leadership would be likely used my Daimler who are very in touch with German culture. Autocratic leadership emphasizes the accomplishment of tasks over the people who are responsible for the completion of those tasks. In the Leadership Grid of Robert Blake and Jane Mouton, a manager who is autocratic is known as an “Authority-Obedience Manager”. They have a very high “Concern for Production” and a very low “Concern for People” these managers are focused on the efficiency of tasks and operations. German managers do not necessarily have low concern for the morale of their staff, in fact it is more that human relations is not a big deal to the employees. Employees in German culture generally just go to work for the purpose of completing their tasks and do not bring emotions into the workplace. Therefore, managers do not need to use up time making sure their employees are happy and are able to use their time towards being as efficient in the manufacturing and selling of products. Canadian companies, especially in the auto industry have to worry about the morale of workers much more because of conditions in manufacturing plants. Among other company sectors which in Canada would have to try and balance efficiency and keeping employees happy. In Canada employees are not as happy with their work and need managers to put in an effort into making them feel at home even at work. A manager in Canada would need follow House’s Path-Goal theory because managers can be the best of both types of managers, those who are solely concerned with employee morale and those who are solely concerned with getting results. The staples of the Path-Goal theory are: Directive leadership: Making sure the leader’s role in the group is clear, setting definite standards of performance, scheduling work to be done, giving direction on what to do and how to do it. Supportive leadership: Involves doing things to make work more pleasant for your employees. Making sure your employees feel at more and more like equals than subordinates. Achievement orientated: Setting challenging goals, expecting the highest levels of performance, and emphasizing continuous improvement. Participative leadership: Involving subordinates in decision-making, consulting with employees, asking for suggestions from subordinates, using these suggestions when a company decisions. The members of the team feel like their input is valued.
Canadian and German auto companies may be very similar in the products which they make; however, the leadership/management requirements of both cultures are very different.
Communication is the process of sending and receiving symbols with meanings attached. It occurs anytime someone in the company has to convey a message to another member of the company. It may be about new company policy, procedures, structures etc… German managers are very open with their subordinates no matter what the content is. In a way which if a mistake is made then they make sure it does not happen again. These sorts of messages would be
explained in a very verbal manner to ensure these infractions do not re-occur. Body language is a nonverbal form of communication which usually would stress the importance a verbal message. Nonverbal communication happens whether you mean it to happen or not. However Canadian companies are more likely to purposefully convey messages in a nonverbal way. However, in Canadian culture managers also need to be good listeners and need to practice “active listening” when their employees are trying to convey a message managers need to meet them halfway and make sure the message is understood properly.
Power is the ability to show that you have some sort of advantage over your employees and are able to influence them into completing tasks. This may come in a more positive way or negative where managers either threaten or offer something in return for a job well done. Leadership is the way that someone can use that power to get results and achieve goals. German culture asks that managers are more assertive and make sure goals are met in the most efficient and least personal way. Canadians however, ask for a more personal touch as well as goal achievement from their managers. Different from Germans who give descriptive feedback: describing exactly what the problem is, Canadians are more likely to offer constructive feedback which tries to tell employees in a more positive way what they did to make sure they accept it and whatever the mistake was, never happens again. And these orders are conveyed using verbal and nonverbal communication. Body language is larger in Canadian business culture; whereas, Germans are very upfront and want to verbally communicate what their expectations are and they only want to have to say it once.
Controlling is the process of measuring performance and taking action to ensure desired results. Controlling makes sure that results are being achieved and is an integral part of leadership. CIt is keeping an eye on how resources are being spread out and if they being spread out appropriately so goals are achieved. This happens in the form of Feedforward, concurrent and feedback controls. Feedforward organizes the resources before work actually starts and are made to ensure that any potential problems are dealt with pre-emptively. Concurrent controls happen as work process is happening, they make sure as the day or process is going on that everything is happening according to plan. These are meant to solve whatever problems as they occur. Then there are Feedback controls which occur after work has been completed and focus more on if the goals were achieved and not as much how. The goal of Feedback controls are to make sure problems do not re-occur. They are a census type of control which analyze all activities of the job and help managers to learn from their mistakes. Germans are very likely to be using Feedforward controls because as a culture they are very long-term orientated and try to avoid uncertainty. So a company like Daimler would organize and plan all of their resources and the way to execute work before the work starts to make sure no surprises happen during manufacturing. Canadian auto companies however, would be more likely to be controlling concurrently meaning they are squashing problems as they happen and are shifting resources throughout the day to make sure goals are accomplished. Canadian culture allows uncertainty and is much more short-term orientated so concurrent controlling is a reasonable control method for them. There exist also internal and external controls. Self-controls are the main internal form of controls which are when people in the organization learn from mistakes or are influenced by self-discipline. There are also external controls such as bureaucratic, clan and market control. Bureaucratic expresses influence on employees through company policies, procedures and job descriptions. These aim to make sure people are aware of expectations as written controls. Clan controls aim to control and influence employees by using organizational norms and expectations, clan control makes people aware of what is expected of them by making the company standards known through all its employees. The idea for the members to share and have common values which keep their actions consistent with each other and control them in a more psychological way. Market control is the way the market and all of an organization’s competition influence the organization and its member’s behaviours.The success or failure of other companies in competition will influence the amount of people the company hires, pricing and promotions. Customer feedback and HR could have influence on company practices. All of these controls have their place in almost any company in the world. These would all be present in some way or another in Daimler and any similar Canadian company, being capitalist countries you cannot control the fact that the market has a huge influence on their behaviours. However bureaucratic controls seem to be more relevant in German society, influencing your workers with rules and policies of the company. However, any successful organization should be using Self-control, market control, clan control and bureaucratic control if they wish to be successful, especially a company of the magnitude of Daimler would be using all four. German employees are likely to use self-control religiously as they are very hard workers who themselves do not want to fall out of line with the company, market control is unavoidable in capitalism and clan control exists because of German cultural norms which most employees likely follow keep influencing each other to be hard workers and to follow the status-quo of all the other employees.
Organizational change is the way business culture, management process and structures change over time. For example Sobey’s, whose expansion came from buying smaller companies until they became the second largest grocery chain in Canada. This put thousands of people who never worked together under one roof and the management structures had to change to be able to bring everyone together. Planned change occurs when management decides that it is time for a change in the company, usually with the goal of enhanced performance results in mind. This occurs in the form of top-down change: which happens when managers initiate change so from the top of the organization. Bottom up change which comes from all levels of the organization. Planned change no matter in which form is meant to make sure the company is ready to deal with future expectations. Incremental change simply tweeks company procedures and existing systems to adjust for the future; whereas, transformational change is a full redirection of the organization. Organizational change comes in parts: Unfreezing: Which is the process of readying the organization for change by getting the organization out of its habits. This requires establishing good connections with those who have to experience the change. Changing: Which is when the planned change is in motion and best courses of action are planned out. Refreezing: This is when the new change has to settle and made into the norm. This can also be called stabilizing. Unplanned change occurs as a result of usually uncontrollable external factors. Such as globalization, technology and corporate social responsibility, these have large effects on organizations and cannot be avoided. Structural inertia is when the organization refuses or won’t change. It is when organization chose to stay in their ways rather than adjust to new cultures. Structural is likely common in German societies because German is not very welcoming of new things which are not planned out properly. New culture is generally not very welcomed and uncertainty especially is not. Limited focus of change is when organizations are created with subunits that rely on each other and so to change one is to change all of them. Group inertia occurs when the norms of the crowd you are in prevent change. Threat of expertise means that those who are very experience in a certain field might be hindered in their work as a result of change. Threat to established long-term relationships is the threat that organizational change has over long standing bonds which may have proved very beneficial to the organization. Threat to resource allocation occurs when groups within the organization are opposed to change because it may affect the allocation of sometimes very large resources that they are in charge of. Structural inertia is the most likely resistance of all of these because the system in German is in such a way that change is not very welcomed. New technology maybe; however, in a cultural in the structure of the workplace is seen as something negative. If I am to implement change and have to deal with structural inertia I would make sure to be planning far ahead and let everybody in the organization be aware of what is happening. It would have to provide step by step what the course of action would be and have to make sure that the employees are aware of the change. German managers seem to have to rule with a heavy hand so maybe a more threatening approach would also have to be taken to make the sure the message comes through properly. Canadian culture welcomes uncertainty and change more so I would still be trying to prepare the company for change but improvisational change can be very effective in Canada because it makes continuous adjustments to make sure everything is going to plan. Germans would likely end up dealing with the change well if they are prepared and the right effort is made by the manager to make sure it goes well, Canadians can do with more day-to-day efforts to make sure all goes smoothly during large organizational change.
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