Snapshot

One of the benefits of global organizations is their ability to offer a seamless service to customers around the world. They can also benefit from the ideas and learning opportunities generated by a diverse workforce. Yet, knowledge-related initiatives designed to achieve these objectives by “joining up” knowledge flows across national boundaries can be difficult to implement successfully. Part of the reason is that deeply embedded cultural preferences condition assumptions about how to do things and affect people’s responses to what they are being asked to do.

Here we identify six factors that need to be taken into account when rolling out knowledge-related initiatives around the world: KM triggers and blockages; building relationships and networks; introducing structures, systems, and technology; performance management; introducing change; and communication. A series of questions have been created to help you understand how to tailor an implementation plan for an international knowledge initiative so that it is as effective as possible.

The research looked in detail at what these factors mean in Brazil, China, France, the United Kingdom, and the United States.

The implications of national cultural characteristics for key aspects of knowledge-related activities (such as the type of knowledge that is most easily shared, engagement with communities of practice, and how best to encourage knowledge sharing) are also considered.

Why this Matters

Businesses are becoming increasingly global. They potentially gain from the opportunity this offers to access a larger pool of knowledge that everyone can benefit from. They can also serve global customers seamlessly – providing consistent quality and responsiveness wherever the customer is in the world. Yet, customers increasingly expect everyone in the organization to have the same information at their fingertips and the same knowledge about how to shape solutions to their problems. Frequently, organizations find it a struggle to share knowledge within a single country and culture. The difficulties are magnified significantly when attempting it across widely different cultures and distant geographies.

Physical separation, language, and time zone all affect how well people connect with each other for business purposes. The tacit element of knowledge, which is hard enough to share in a face-to-face situation, can be even more difficult when using email, phone, video, and other message forms. National culture adds another dimension to the problem because it introduces different personal preferences about aspects of knowledge practices, such as making use of knowledge that is already available, creating new knowledge, or sharing what we know with relative strangers.

Understanding the different dynamics and orientations that are part of each country’s deep seated preferences means that we need to pay attention to different aspects of implementation, rather than assuming that a “one size fits all” approach is likely to be sufficient. Research recognizes some predictable patterns related to cultural preferences, but caution is required in using them. Understanding should not be allowed to degenerate into stereotyping; stereotypes are neither helpful nor accurate. Rather, the aim should be to improve understanding of the biases that could be encountered by managers seeking to extend knowledge-related initiatives across multi-national organizations.

What this Means for Your Organization

The business advantage of a diverse global workforce is significant. It increases opportunity to distinguish the organization. Creative new solutions to existing problems, as well as more radical innovation, are all helped by bringing together knowledgeable people from around the world. Knowledge initiatives underpin the delivery of these opportunities, so it is worth spending time thinking about how to implement them as effectively as possible.

If knowledge-related initiatives are created in one part of the organization, how do you roll them out to other country operations? Organizations headquartered in one part of the world may feel they have taken a global overview in designing initiatives and programmes and therefore hope that country operations will be happy to receive them. However, the ease with which they will be accepted, adopted, and embedded into everyday practice could vary significantly. One of the main intentions of knowledge-related initiatives is to “join up” siloed knowledge bases and stimulate new thinking – yet if the implementation approach doesn’t reflect the characteristics of the culture, this intention may never be achieved.

National culture has various general implications for knowledge-related initiatives. Being aware of them helps prepare better. Some of these are outlined below.

• The starting point for knowledge initiatives is likely to be different in each country. It may be a matter of engaging individuals or groups depending on cultural authority preferences, it may be a question of adopting a structured approach or a flexible one, emphasizing innovation or efficiency, it depends on what is valued most in the culture. Tapping into the local cultural dynamics may result in greater success in the long run.
• The way knowledge initiatives are positioned and communicated also needs to vary. Senior management commitment and endorsement is always likely to be relevant, but in some countries it is essential. Different communication methods will also be more or less likely to be effective. Formal and informal approaches are received differently according to culture.
• Communities of practice must be approached differently in each cultural setting (see Chapter 10 to find out more about communities of practice initiatives). It may not be reasonable to expect close relationships between people to form in the workplace in all countries. In countries where this is the case, communities of practices may only ever be vehicles for information and explicit knowledge exchange, rather than more meaningful tacit knowledge exchange, which requires deeper trust.
• People need to be motivated differently to engage in knowledge-related activities. The whole range of explicit and intrinsic motivation tools should be considered. Simply including knowledge sharing in a management by objectives system may be fine for one country, yet in another it may not be particularly helpful.

National culture can also affect the organizational processes of knowledge creation, transfer, and utilization. Table 18.1 below summarizes some broad principles: those cultures with the identified tendencies are more likely to be successful in implementing the associated knowledge-related initiatives. Conversely if those tendencies are not inherent in a local culture, it suggests that managers need to pay more attention to encouraging and developing those behaviours when implementing locally.

Table 18.1: Relating national characteristics to knowledge objectives

Similarly, it may also be possible to map the type of knowledge being transferred against certain national characteristics. Tacit knowledge exchange is more likely in cultures that emphasize the importance of trusting relationships and the contextualization of knowledge. People are willing to spend time building sufficient common understanding that complex ideas can be shared. In contrast, more individualistic cultures in which close personal relationships are less prevalent in the workplace will probably be better at transferring explicit knowledge rather than tacit knowledge, probably adopting relatively depersonalized technology solutions more readily.

Creating an Action Plan

There are six factors that need particular attention when rolling out knowledge-related initiatives across national cultural boundaries. The managers responsible for the initiatives need to find out what these involve in each national culture by interviewing local managers and employees. Use the following as interview topics to help with this.

KM Triggers and Blockages

This relates to attitudes to important aspects of Knowledge Management, including individual and collective approaches to work, willingness to find new ways of doing things and the extent to which thinking and reflection are valued. Find out whether people:

• are expected to be independent thinkers and problem solvers;
• are receptive to change and willing to experiment and whether they are encouraged to take risks and experiment;
• are exposed to a lot of different ideas as a matter of course;
• are happy to adopt good practices from elsewhere;
• are allowed to make mistakes and learn from them.

Building Relationships and Networks

Deeper and more meaningful knowledge can be shared in closer relationships. It is therefore helpful to understand the extent to which trust and personal relationships underpin workplace activity. Find out whether there are:

• processes for reflecting on experience together;
• different ways for people to connect with colleagues around the organizations;
• spaces for social interaction and time allowed for it;
• activities that encourage networking and relationship building.

Introducing Structures, Systems, and Technology

In a global organization, structures, systems and technology are necessary to join up operations around the world – creating the infrastructure that supports knowledge sharing. Yet, national cultures have different responses to standards, controls and procedures as well as to the adoption of new technologies. Find out whether:

• common practices are standardized to ease collaboration between different groups;
• people are trained in good practices and therefore have the skills needed to follow them;
• people participate in initiatives to continuously improve how things are done;
• people tend to use all the functionality of available technology;
• there is support for re-using solutions that have already been created, or a desire to produce something new.

Performance Management

Finding the best way to encourage people to participate in the knowledge-related initiatives means understanding the cultural response to performance management options. Find out:

• the kinds of achievements that are recognized and rewarded;
• whether people and their achievements are publicly or privately recognized;
• the role that incentives play – financial incentives and incentive scheme gifts beyond usual salary payments;
• the extent to which objective setting is valued and used to manage performance;
• whether exposure to training opportunities is viewed as a reward.

Introducing Change

First impressions count, so it is necessary to identify the most effective ways that knowledge-related initiatives should be introduced to a culture. What is the climate for change? It is important to know the level of awareness of external drivers for change, whether change tends to be driven from the top, and whether there is receptivity to new ways of working. Find out:

• whether there is a sense of urgency and challenge to do things differently;
• the extent to which there is a general understanding of the vision and objectives of the business;
• whether there is evidence of receptiveness to change and willingness to experiment;
• whether employees are expected to contribute to finding new approaches;
• whether new thinking from people outside the organization with different backgrounds is actively sought.

Communication

An important aspect of any change programme is communication. Hence, thinking about the cultural influences on effective communication is needed before moving forward with knowledge-related initiatives. Issues to think about include the channels for communication that tend to be preferred and the extent to which there is transparency about what is happening and why across all levels of the organization. Find out whether:

• there is widespread consistent understanding of the purpose, vision, and objectives of the organization;
• structured or unstructured communications are preferred. This includes whether certain technologies (such as email or the intranet) are used, and whether written or verbal communication is most effective;
• managers tend to communicate success stories and processes are in place to communicate lessons learnt to those who may need them in the future;
• there are preferences for hearing news from particular sources, for example, senior managers, local managers, trusted experts, or colleagues;
• whether translation into local languages is valued, or whether the corporate language is acceptable.

Real Life Stories

What the six factors mean in Brazil, China, France, the UK, and the USA is summarized in Table 18.2. These five countries were chosen because they were expected to exhibit considerable differences in bias towards knowledge initiatives as a result of distinct national cultural characteristics.

Table 18.2: What to consider in implementing knowledge initiatives in five countries (note “KM” stands for all knowledge-related initiatives and activities)

Top Tips

The Research and the Team Involved

This research was carried out during 2003 and 2004 by a working group of members of the Henley KM Forum. Following a review of the literature, 20 interviews were carried out with line managers in five countries to find out their perceptions of various factors and issues relating to Knowledge Management. The managers were drawn from six multi-national companies. As a result of detailed content analysis of the interviews, patterns were identified that were derived from national cultural traits that managers need to take into account in implementing knowledge strategies in the countries concerned. These practitioner guidance recommendations were reviewed and endorsed by KM practitioners and CKOs with global responsibilities. It was suggested that this research should be used as a template for future studies of other countries. However, it should be emphasized that there was no opportunity to test these recommendations directly in any organizations. They should therefore not be seen as prescriptive and should only be used as the basis for challenging thinking and preconceptions.

The Project was co-championed by Professor Emilio Herbolzheimer of Henley Business School and David Tullett of CGE&Y then Kevin Lehane of Orange. Working group members included representatives from:

Research support was provided by Dr Roger Darby of Cranfield University and Dr Christine van Winkelen of Henley Business School.

Additional invited associates were: Andy Millward of Chestnut Consultants and John Burrows (formerly Buckman Laboratories).

Final Reflections from the Research

It is helpful to separate business culture from national cultural influences. Many large organizations have worked hard to develop a global business culture that reaches across operations located around the world. Putting effort into communicating corporate values and vision across the world creates a common language and focus that can help overcome other barriers. Adopting common systems, standards, and procedures to help manage the business has a direct impact on the deployment of knowledge-related initiatives. Corporate-wide information systems and a coordinated approach to training can be particularly helpful. Recruitment policy can also make a difference: multi-nationals seem to attract people with previous international experience. These employees are more willing to learn and adapt to the multi-national way of working. Overall, strong identification with the business culture can reduce the difficulties that could arise from national culture differences.