Tuesday, December 10, 2013

An Examination of the American and Indian COI Wheels

Jack Welch, the former CEO of GE, once shared -
 
The Jack Welch of the future cannot be me. I spent my entire career in the United States. The next head of General Electric will be somebody who spent time in Bombay, in Hong Kong, in Buenos Aires. We have to send our best and brightest overseas and make sure they have the training that will allow them to be the global leaders who will make GE flourish in the future.”
 
Welch knew that the best strategy for any MNC to develop its global management team would be to send that team all around the world and study its markets. You have to interact with your customers in their element and in their specific markets before you figure out know how to move your company's pawn forward. And that's where intercultural communication comes into play.

For instance, if the Walmart global team had properly studied the Indian market, the company wouldn't have burnt its fingers during its first entry. The Walmart way of bulk shopping will not gel with the Indian way of life, where groceries are bought everyday or every couple of days. The majority of Indians drive smaller cars for convenience. How would they bring their bulk shopping home? In their fast-paced lives, where would they have the time to spend a few hours every weekend just to do the groceries? If they can't spare the time, most Indians have their groceries delivered home.

Besides, the retail distribution network of family businesses in India is intricate. The neighborhood 'uncle' who owns the corner grocery will always cut his price lower than Walmart could. Even if Walmart can offer a good price due to volume sales, the retailers can always gang up and secure a better deal due to collective bargaining. Walmart would do well to distribute its shop brands via India's family retailers rather than spend on retail space. The gap here is not only in Walmart's team's skills, but also reflects its teams' inability (or unwillingness) to understand the Indian market.

Today, 90% of the 120 hitherto mixed and socialist economies have embraced free market reforms and capitalism (thought not all have accepted democracy). Therefore, it is all the more crucial to recognize that globalization is becoming the political economic network that links and uplifts nations (as per Ricardo's trade theory in 1817), and the necessity to negotiate intercultural communication.
 
The first step towards this is self-analysis and self-knowledge. Thus equipped, we can move forward and extend our hands towards the other culture we are interacting with, while being mindful of the communication gaps (verbal, physical, emotional, cultural). As the Bhagavad Geetha mentions, "Knowledge is power. It is a raft that can lead one to safety."
 
The focus of my lectures at a local college has been on intercultural communication between American and Indian engineers, in India. Here is the first step then, in self-knowledge - an examination of the American and Indian COI (Cultural Orientation Indicator) wheels...
 
As the COI wheel indicates, there are 3 dimensions of culture that help one define exactly where one stands in terms of the way in which one thinks, behaves, and acts in life. If you like, you can explore your own specific COI profile by visiting this website - www.culturalnavigator.com - and participating in an evaluative questionnaire for the same.
 
Given below are the COI profiles of Americans and Indians - a rather general picture of both. It is possible you may not strictly fit into these profiles, but it is equally possible that you would possess some core qualities (that might come as a surprise!). This analysis and comparison was a great process of self-discovery for me, because it revealed just how Indian I am, despite all my convictions of being modern, Westernized, and liberated!
 
I call Americans 'avocados' because while they are easy to work with and very friendly, one can never be sure of their true convictions, and if all their good cheer is only driven by business and socio-political considerations. Sometimes, I get very lonesome in the U.S.A. because even though I am grateful for and cherish my small circle of Indian and American friends, I still haven't 'cracked' my American buddies despite having intense, deep conversations with them. Should I be mixing with artsy-fartsy crazy creative types?...I don't know... 
 
Indians, on the other hand, are 'watermelons'. They are not hard to crack, like European 'coconuts'. Indians do maintain a friendly reserve, but once they get to know the real you and once trust has been established, they will be your friends for life! They are also very colorful, emotional, warm, ardent, creative people - just like the brilliant flesh of the watermelon that is full of sweet and plentiful juice...I am talking of my Indian friends in India, that is... 
 

The American COI Wheel – The Avocado

The Indian COI Wheel – The Watermelon




1.      Environment: (1) Control

2.      Time: (1) Single-focus,

                       (2) Fixed, and

                       (3) Present

3.      Action: (1) Doing

4.      Communication: (1) Low-context,

                                             (2) Direct,

                                             (3) Instrumental, and

                                             (4) Informal

5.      Space: (1) Private

6.      Power: (1) Equality

7.      Individualism: (1) Individualistic and

                                          (2) Universalistic

8.      Competitiveness: (1) Competitive

9.      Structure: (1) Flexibility

10.    Thinking: (1) Inductive,

                                (2) Linear

1.      Environment: (1) Harmony

2.      Time: (1) Multi-Focus,

                       (2) Fluid, and

                       (3) Present

3.      Action: (1) Being

4.      Communication: (1) High-context,

                                              (2) Indirect,

                                              (3) Expressive, and

                                              (4) Formal

5.      Space: (1) Public

6.      Power: (1) Hierarchy

7.      Individualism: (1) Collectivistic and

                                          (2) Universalistic

8.      Competitiveness: (1) Cooperative

9.      Structure: (1) Order

10.    Thinking: (1) Inductive,

                                (2) Linear

Americans are direct in speech and assume personal responsibility for their actions and environment.

Indians believe in the subtle approach and think of consequences before speaking. They will avoid conflict if possible, to the greatest extent.

Low-context speech. Little emphasis on non-verbal communication. 

High-context speech. Expressive and formal, more emotional and subtle.

Individualistic culture. Americans value personal gain and accept this life philosophy as part of their adventurous spirit. They are competitive.

Collectivistic culture is oriented with consensual decision-making.  Family/ religion/ spirituality are emphasized. Indians understand competition, but they value trust more. E.g., to an Indian, a work-life balance will matter more than an attractive pay only.

Equality and fairness are emphasized. Hard work is given merit.  

Relationships and caste/community ties are valued.

Rigidity towards task completion.

 

Multi-dimensional, and prefer to focus on simultaneous tasks. Fluid, do not strictly adhere to strict time frames.

Low power distance = structural flexibility and informality. 

High power distance =  hierarchy and order.  However, Indians tend to be much more cooperative in their interactions while Americans are competitive.

Americans draw on personal experiences and examples to solve problems. 

 

Indians also draw on experience and rely on examples for problem solving, but take a consensual approach as opposed to a “hands-on” American approach.

Believe that only hard work and dedication will bring success. You are in control of your destiny and can work hard to realize goals.

Overall, Indians value harmony – they want everyone to be heard. They place considerable value on communication, tradition, structure and order. They want to find their place in the big picture.

 
 
 

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