A Comparative Study of Attitutes and Core Values

8/13/2019 A Comparative Study of Attitutes and Core Values

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NAMEGaz M onteath

MODULE NUMBERM BA 12

INDIVIDUAL RESEARCH PROJECTAspects of Japanese Business Cult ure, and Impli cati ons for A nglo -Japanese

Business: A Comparati ve Study of A tt it udes and Core Values

SUPERVISORD r. Charles H ampden-Turner

HAND-IN DATEM onday 1stSeptember, 2003

WORD COUNT11,989

(Excluding Bibliography and Appendices)


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Aspects of Japanese Business Culture, and

Implications for Anglo-Japanese Business:

A Comparative Study

of Attitudes and Core Values


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Acknowledgements

My sincere thanks go to Dr Charles Hampden-Turner, Senior Research

Associate (International and Strategic Management) at the Judge

Institute of Management Studies, University of Cambridge, for his

supervision of this project.

In addition, this project would not have been possible without the

advice of PhD candidate, Vesa Kangaslahti, also at the Judge Institute

of Management Studies.

Many of the data presented here are reproduced with the kindpermission of INTEC Japan Inc. My thanks go to Sato Tsutomu, Robert

Hilke, Andrew Homer, and Sato Shiori.

I am also grateful to everyone who gave up time to answer

questionnaires, give interviews, and play devils advocate.


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Abstract

There are presently more than 1,400 offices of Japanese companies in

the United Kingdom, with Japanese manufacturers alone employing

almost 65,000 people.1

As a result, in addition to the significant

amount of import/export trade and foreign direct investment between

the United Kingdom and Japan, there is also an increasing amount of

cultural exchange. Yet, at the same time, certain differences in

business and communication styles, along with divergences in

underlying value systems, mean that opportunities for optimising

these exchanges are being missed.


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Ab s t r a c t

1

Tab l e of Con t en t s

4

I n t r o d u c t i o n

5

Me t h odo l o g y

13L i t er a t u r e Rev i ew

20

F i n d i n g s

39

An a l y s i s


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Introduction

magine making your way through a crowded city in order to keep an

appointment. People walking in front of you may stop to chat to a

passer-by they recognise, turn suddenly to enter a shop, or spin

around and walk in the opposite direction. Their actions will

sometimes be unpredictable; however, when you are in your hometown,

the pace and behaviour of passers-by are broadly familiar, and you can

synchronise your own actions appropriately. Yet even when you are in

a new city in your own country, some degree of cultural

unpredictability may arise, albeit likely in a mild form. Ultimately, it

d d h i l l h lki f f

I


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In business, on a day-to-day basis, we are dealing with other

individuals, rather than with large groups or aggregates. However,

these individuals bear the inevitable stamp of their environment. For

example, signing a contract in Australia or Germany would almost

certainly signal resolution, but in Nigeria or Saudi Arabia, it might only

show that sufficient trust had been established to enter into

subsequent negotiations. As Fells (2000) notes, [t]he real difficulty in

working through the phases lies in the situation where the negotiators

can not read the general progress of the negotiation and so get out of

phase with each other one trying to find out more information while

h h i l i h l i


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The United Kingdom is often used by Japanese companies as a base

within the European Union. According to the Annual Report of

Statistics on Japanese Nationals Overseasissued by the Consular and

Migration Affairs Department in Japan, there were 51,896 Japanese

nationals living in the UK in 2001. 1 As described below, sending

Japanese businesspeople to work in the United Kingdom presents

everyone involved with management challenges. One way of addressing

this is to give assignees and their families training prior to departure

and after arrival, as well as support when they return to Japan. As

Hampden-Turner and Trompenaars (1998, page 201) note, one of the

k l f h i i i l l h f h h


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number of assignees who return early from their overseas postings).

Rates appear to be lower for Japanese and European expatriates than

for Americans2 ; however, this metric fails to account for a worse

scenario: a manager who is survives his tour of duty, but who damages

morale and relations at the subsidiary or joint venture.

Although the existence of cultural flashpoints and mutual aggravation

was borne out by the literature, there appears from the primary

research data to be less friction than might be expected from a

theoretical examination. Not only did the Japanese interviewees living

h h f f l f f l l fl b


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down to personality clashes. It may be, then, that the Japanese

respondents were in the minimization stage described below by

Elaine Phillips (adapted from the work of Janet and Milton Bennett on

acculturation):

In denial, learners believe that there are no real differences in

cultures: Tokyo is basically just like New York City. The level

of defense follows in which the learner lives in a dualistic

world where differences are perceived as bad. The C1 [own

culture] is exalted; the C2 [second culture] is denigrated. In

the stage of minimization, the learner accepts that there are


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Potential flashpoints and comfort zones must therefore be made

explicit. This is what the consultancy Trompenaars Hampden-Turner

recently termed Cultural Due Diligence. According to Trompenaars

and Woolliams (2000), [t]his provides an operational framework

intended to be facilitated by the HR directorate to make these cultural

differences tangible so that their consequences can be made explicit

and thereby reconciled to ensure benefit delivery. It is based on the

three Rs: Recognition, Respect and Reconciliation.

Although the concept of culture itself is controversial, even the


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heritage...At every level, culture profoundly influences the behavior of

organizations as well as the behavior of people within organizations."

Culture, then, is a critical factor when Japanese work or do business

with Britons, and a more objective understanding of cultural (and

personal) assumptions and attitudes is important.

However, Hampden-Turner and Trompenaars point out that a cultural

analysis runs the risk of describing static points on scales; it must

overcome this to reflect the dynamic, and sometimes even apparently

contradictory nature of culture. Scales affect one another, and at the


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pages run the risk of being static and two-dimensional. However, they

should provide a good base for anyone interested in the potential and

actual impact of culture on Anglo-Japanese business, and they should

also be a starting point for recognition, respect, and reconciliation.


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Methodology

he primary and secondary research for this report was carried

out between June and August, 2003 in the United Kingdom and

Japan. The report is based on three main strands:

1. A review of relevant literature, in particular the work of

Hampden-Turner and Trompenaars, Hall, and Hofstede

2. Primary research conducted by the author, including interviews

and questionnaires administered in both Japan and the United

Kingdom (see Findings, Appendix A, and Appendix C)

3. Analysis of data provided by INTEC Japan Inc. (Appendix E)


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decided by the researcher (page 59).

Easterby-Smith, Thorpe, and Lowe (2002), on the other hand, might

argue that the hypothesis-testing approach used here has drawbacks.

Although its advantages include a certain clarity of purpose and

method, the disadvantages are that its contribution may be quite

trivial: confirming what is already known. And if the results are

inconclusive or negative, the approach can give little guidance on why

this is so (page 47). They argue for use of the grounded approach,

which means looking at the same event or process in different settings

or situations (page 46).


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Trompenaars, co-founders of Trompenaars Hampden-Turner, a firm

specialising in cross-cultural consulting services (http://

www.thtconsulting.com/). It also draws on the work of Geert Hofstede,

the most widely quoted writer on intercultural business, and Edward T

Hall, regarded by many as being the godfather of intercultural

communication. In addition, other sources have been cited.

Primary Research

The primary research contained in this report falls into four categories:

1. Interviews with Japanese businesspeople living in the UK,

including their assessment of their Japanese and British


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In addition to the more theoretical concerns of writers such as

Alvesson and Easterby-Smith, there are potential practical problems

with the primary research methodology as outlined above.

Nevertheless, the data point to some interesting differences between

the Japanese and British, and many of these are consistent with the

literature.

One possible objection is that only six Japanese people living the UK

were interviewed for this research project. None had prior familiarity

with the seven dimensions. However, the author took care to explain

the dimensions so that each interviewee understood their application


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Analysis of Third Party Data

As noted above, the data in Appendix E come from a third party, INTEC

Japan Inc. INTEC is a Japanese firm which specialises in intercultural

communication training and consultancy. Its clients include major

Japanese corporations from the automobile, electronics,

pharmaceuticals, chemicals, and food services sectors. Increasingly, it

also deals with Japanese subsidiaries of foreign firms (gaishikei) in

Japan, and overseas subsidiaries of Japanese firms (genchi houjin).

The data reproduced in this report were collected at seminars and

lectures from Japanese businesspeople, the great majority of whom


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However, despite the limitations of the research methods and size of

the sample sizes, the data still have value in that they not only point to

differences between British and Japanese white collar workers, but

they also suggest areas in which more research is needed.


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Literature Review

ccording to Martinko (1999), in the early 1990s, Robert March

estimated that 70% of senior and middle management

personnel employed by Japanese firms outside Japan were Japanese.

While there has been only limited research into the failure rate of

Japanese expatriates, and the cost of ineffective management and

cultural incompatibilities, more detailed data exist for American firms.

Hogan and Goodson (1990) put the failure rate for American

expatriates at almost 40%, while others (see Forster, 1997) have

claimed around 10%. Martinko (1999) quotes Naumann in saying that

the estimated direct cost for each U.S. multinational expatriate who

A


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integrate, or reconcile, such contrasts is at the core of what

Hampden-Turner and Trompenaars (2003) have termed

trans-cultural competence.

A review of the literature suggests that there are many significant

cultural differences between the Japanese and British. Here the author

has used the Seven Dimensions of Difference presented by

Hampden-Turner and Trompenaars. In addition, the author has used

Halls low context/high context and monochronic/polychronic scales,

as well as Hofstedes Power Distance Index.


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touches more lightly on the other four scales.

The first of these dimensions, universalismparticularism, contrasts

the unswerving application of (the most relevant) rules to situations

with a case-by-case consideration of, and response to, the situation.

For example, at one large shipping company in Tokyo, smoking was

banned in meeting rooms starting in 1999. However, at some meetings

in which the most senior participants were smokers, one of the junior

members would take an ashtray from the telephone table unit in one

corner of the room, and then turn on the air purifier in the opposite

corner. This practice came to an end in March, 2003 when the


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member, but he did feel that he was in a position to contribute to the

communitys welfare.

Next come specificity and diffusion, with the former representing the

tendency to reduce phenomena to specific data points, and the latter

referring to the tendency to find diffuse relationships and patterns. In

negotiations, British businesspeople sometimes complain that

Japanese are unable to deal with each issue separately, but instead

jump around between issues, even revisiting those that the British

think have already been settled. Some Japanese, on the other hand,

report that the British are too rigid and linear, and that they miss


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signs of emotional disturbance very seriously indeed and pride

themselves on being attuned to one another. On the other hand,

Japanese clients can be quite affective, and expect a flood of apologies

when they feel that they have been wronged, e ven if only in some trivial

way.

The fifth scale is achievementascription. In an achievement culture, it

is peoples recent results that matter most, whereas in an ascription

culture, it is their history, including education, family, job title, and

track record. For example, in Japan actual academic results while at

university are less important than the rank of the university itself, and


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regardless of the university.

The penultimate Hampden-Turner and Trompenaars scale is inner-

versus outer-directedness. For the former, sense of responsibility is

focused on the person herself, while with the latter, far more credit is

given to factors such as fate and the environment. For example,

Hampden-Turner and Trompenaars have shown in their research

(1998, page 148) that 77% of British businesspeople feel that they

control what happens to them, while only 63% of Japanese and 39% of

Chinese responded in this way. With the continued poor performance

of the Japanese economy and increasing M&A (particularly involving


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flexibility. After all, in a changing world, plans must also change.

Toyotas just-in-time system appears to combine both, as parts are

pulled through the system and staged tasks undertaken as necessary,

while at the same time, each staged task is carefully timed in a linear

fashion, with markers on the floor of the factory showing the worker

how far along he should be with the task.

In addition to the seven dimensions described above, the author has

applied two scales created by Hall (low context/high context and

monochronic/polychronic 1 ), as well as one from Hofstede (power

distance2). As Table 1 below shows, to some extent these map on to the


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Contexting and (mono-/poly-) chronicity are both extremely powerful

models for explaining communication and business attitudes in Japan.

The former refers to the amount of information that is made verbally

and literally explicit in communication. According to Hall (1990, page

7), the elements that combine to produce a given meaning events

and context are in different proportions depending on the culture.

Under his classification, Japanese, Arabs and Mediterranean people,

who have extensive information networks among family, friends,

colleagues, and clients and who are involved in close personal

relationships, are high-context (page 6). On the other hand,

"[l]ow-context people include Americans, Germans, Swiss,


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with US managers, agreements were sub-optimal. The Japanese

understood the direct approach of the Americans, and tried to adapt,

but their efforts were ineffective. Japanese who have not had training

experience something similar when doing business in the UK.

The second scale borrowed from Hall is chronicity. In monochronic

cultures, time is experienced and used in a linear wayMonochronic

time is divided quite naturally into segments; it is scheduled and

compartmentalized, making it possible for a person to concentrate on

one thing at a time. In a monochronic system, the schedule may take

priority above all else and be treated as sacred and unalterable


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human transactions than on holding to schedules (page 14). Business

in Japan is still dominated by human relationships and great

involvement with people.

The third of the additional scales is the Power Distance Index (PDI).

Adler (2002, pages 56-57) defined power distance as follows. How

willing are employees to accept that their boss has more power than

they have? Is the boss right because he or she is the boss (high power

distance) or only when he or she knows the correct answer (low power

distance)? Do employees do their work in a particular way because the

boss wants it that way (high power distance) or because they


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Country II Level (Rank) Country PDI Level

USA 91 (1st) Malaysia 104

Australia 90 (2nd) Japan 54

Great Britain 89 (3rd) USA 40

Japan 46 (=22nd) Great Britain 35

Guatemala 6 (53rd) Austria 11

Table 2: Individual Index and Power Distance Index (Hofstede; abridged)

It is perhaps not surprising that there are differences between white

and blue collar workers within cultures, and this has ramifications for

the findings of this report, as all those interviewed were white collar


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Some of the results of his study are represented in Graph 1 below.

Once again, Japan scores more highly than the United Kingdom. This

has important implications for the role of the boss in two countries.

British subordinates might feel that their Japanese superior is

interfering, while Japanese subordinates might see their British boss

as cold or incapable.

34%

43%

50%

70%

83%

40%

50%

60%

70%

80%

90%

Agreement with Laurent's Statement about Hierarchy


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The following classification (Table 3) is one tool for helping Japanese

and British managers to gain the necessary level of objectivity, as they

can gauge where they lie in comparison with others.

Scale Japan UK

UniversalistParticularist Particularist Universalist

IndividualistCommunitarian Communitarian Individualist

SpecificDiffuse Diffuse Specific

NeutralAffective Neutral* Neutral

Achievement-OrientedAscriptive Ascriptive Achievement-Oriented

Inner-DirectedOuter-Directed Outer-Directed Inner-Directed

SequentialSynchronous Synchronous Sequential

Low ContextHigh Context High Context Medium Context

MonochronicPolychronic Polychronic Monochronic

Low PDIHigh PDI Medium PDI Low PDI


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Similarities

?? Space: In both cultures, there is little haptic behaviour:

Haptics deals with touching behavior in different societies.

While haptics can be hostile (kicking), more often haptic

behavior is used to indicate the degree of intimacy.3Proxemics

are equivalent, too, with people standing about 75 centimetres

from one another when speaking. However, there is more

private office space in the UK than in Japan, perhaps because

British business people need to shut out the world in order to

concentrate on the task at hand, as they tend to have a single

focus time orientation (see below).


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message, as well as in the words; in essence, the words can be

semantically superseded by other non-verbal elements, including

shared knowledge. However, the British are less diffuse than the

Japanese, who go from the general to the specific. Both cultures

are quite formal, with a lot of attention being paid to customs and

protocols.

?? Inner-/Outer-Direction: The British tend to believe that the

environment can be shaped and controlled. The Japanese, on the

other hand, are less certain. Although they have poured concrete

over mountainsides and riverbanks throughout the country, and

worked hard to limit earthquake and typhoon damage with flexible


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and Trompenaars, 1998, page 130). Finally, the British are quite

short-term. By contrast, the Japanese are synchronic: they are

comfortable performing various tasks simultaneously, and they

are more likely than the British to place the needs of the schedule

behind those of their clients or in-group. The Japanese are

therefore more flexible, and they have a present and future

orientation (both present and future overlap with the past,

however). The Japanese are also more long-term.

?? Action: The British have a doing orientation (i.e., they place

importance on achievements and action), whilst the Japanese have

more of a beingtendency (in other words, they look for satisfaction


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stick their neck out. The management structures and

decision-making processes reflect this.

??Thinking: The Japanese are inductive and holistic (or systemic)

thinkers, whereas the British are more deductive and linear.

What are the implications for business? For one thing, British and

Japanese business people tend to deal with the dilemma of schedule

versus situation differently, and this can cause friction. As

Hampden-Turner and Trompenaars (1998, page 123) note, [I]f only

because managers need to coordinate their business activities, they

require some kind of shared expectations about time. In addition, the


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ago, employees at major Japanese companies still expect to work for

the same firm until retirement, believing that if they demonstrate their

loyalty to the company, the company willreciprocate. It is these large

firms that are most likely to send personnel overseas; in Britain,

Japanese overseas assignees will find counterparts who expect to job

hop four or five times during their career. Levels of loyalty, a sense of

shared responsibility, and the effort made to fit in may therefore all

differ and so be a source of conflict.

Another flashpoint could be power distance. As PDI is higher in Japan

than in the UK, Japanese may be reticent about correcting a superior


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in response to the question (asked in Japanese), Is this dish

delicious?, a Japanese waitress told the author, Well, its very

popular with our other customers. When the same question was

repeated to her (I see, but is it delicious?), she answered, Its selling

very well. These responses seem consistent with the question to

Japanese, but not so to many Britons.


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Findings

ased on the primary research carried out for this report,

Japanese and British business cultures have the following

characteristics:

Scale Japan UK

UniversalistParticularist Particularist (Mildly) Universalist

IndividualistCommunitarian Communitarian (Mildly) Individualist

SpecificDiffuse Diffuse (Mildly) Specific

NeutralAffective No Results No Results

Achievement-OrientedAscriptive No Results No Results

Inner-DirectedOuter-Directed Outer-Directed Inner-Directed

SequentialSynchronous Synchronous Sequential

Low ContextHigh Context High Context Medium-Low Context

B


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Many of these observations match those in the literature. As expected,

there are gaps between the two cultures, and yet there is little evidence

from the interviews conducted for this report of significant conflict

between Japanese working in the UK and the local workforce.

One reason for this is that the distance between the two cultures on

each of the scales may not be as large as the contrasting words suggest

(hence the qualifications in Table 4). In fact, although the United States

has a similar profile to that of the UK, its cultural gap with Japan is

significantly larger. It would therefore be helpful to assign a level to

each of the cultures and represent them on a scale in order to give a


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Japanese at the operations investigated was small.

On the other hand, the Japanese subjects may in fact have been

skillful at resolving the contrasts. All of those interviewed had

undertaken some kind of orientation prior to departure, after all.

Trompenaars (2003, page 31) describes the importance of reconciling

differences. This involves the understanding of differences, and also

flexibility and adaptation to change by these different cultures, without

compromising values and beliefs. He gives as an example the ability

shown by Dell Computers to integrate high quality with a low price

using powerful customer databases, mass customization, and


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Japanese company.

The company in question handles imports into Japan, mainly from

Europe, as well as some exports, also largely to Europe. It deals with

close to 100 principals (typically producers of the products themselves).

According to research carried about by the firm, the longer the

relationship with an overseas principal, the greater the income from

sales of that principals products. This suggests that it takes a long

time to gain the trust of clients in Japan, but that once that trust has

been won, the pay-off is good.

Development of Principals


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This emphasis on relationships and trust is in contrast with cultures in

which the schedule takes precedence. For the Japanese, the schedule

is less important than preserving relationships and dealing with

changing circumstances. For many Japanese businesspeople, the

schedule is a framework, a goal to be achieved if the situation allows.

For example, we can see from Graph 2 below that section meetings

usually begin on time1.

Do Your Section Meetings Start on Time?

Never7%

Sometimes13%

Always3%


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Graph 4: Meeting Ending Time (Japan)

The reason often give by Japanese for not finishing meetings on time is

Do Your Section Meetings End on Time?

Never5%

Sometimes33%

50/5037%

Usually23%

Always2%


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The storyteller was sent on a business trip to have meetings

with the sales division of the German subsidiary. Due to

tailbacks resulting from a traffic accident, it became clear to

him that his taxi would not arrive in time for an important

afternoon meeting. He therefore called the subsidiary, telling

the receptionist he would be ten minutes late. Her response

was immediate. She told him that she understood the problem,

thanked him politely for his call, and said she would rearrange

the meeting for a later date after she had checked everyones

schedule. The Japanese man was flabbergasted he had

expected to be told that the meeting participants would wait for


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A corollary of this is that many Japanese businesspeople will make

adjustments to reflect the reality of a business relationship. When the

research results shown in Graph 5 below are taken in tandem with

INTEC Japan Inc.s data in Appendix E (Graph 36), it is clear that

attitudes are different in the UK; this is still a source of potential

mutual misunderstanding, particularly when the two companies

involved are Japanese to non-Japanese, changing the contract may

appear to be cronyism, when really it is a question of trust.

Are You Willing to Change a Contract to Help Another Company?

Contract CannotWill Do Best to

Help


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Research results shown below give further proof of the importance of

personal relationships in Japanese business. When 61 Japanese from

three firms were asked whether they preferred to work with (as a

colleague or client/supplier) someone with whom they had a good

personal relationship, the Japanese answered as per Graph 6. The

contrast with the British is clear, as more than half of the Britons

answered either that it really made no difference (33%), or that the

difference was minimal (20%). This is not surprisingly when working

hours are shorter in the UK, and colleagues drink and eat together

outside work infrequently.

Working with Clients and Colleagues


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One Japanese respondent working in the UK for a multinational oil and

gas company made the point that the system in the UK encourages

workers to take their annual leave, but not to work overtime, while that

in Japan is almost the opposite. This is one reason, perhaps, why

Japanese put in so many more hours than the British, and also why

they take less annual leave.

In the UK, companies are forced to compensate [white collar]

employees for unused leave, but they do not have to pay for

overtime. But in Japan, while people can claim overtime, they

need to drop unused leave beyond an agreed portion which

they can carry over.


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department (61 people from three firms), company (86 people from four

firms), and Japan (79 people from four firms) were monochronic or

polychronic. There are, unfortunately, no comparative data for the

British. As we have seen, these terms, borrowed from the work of Hall,

map to some extent on to specific/diffuse and sequential/synchronic.

They stress the dilemma caused by balancing a schedule with dynamic

human relationships and dynamic situations.

Is Your Section/Department Monochronic or Polychronic?

Monochronic5%

Basically

Monochronic7%

Both AspectsPolychronic

36%


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Graph 8: Company and Chronicity (Japan)

Is Your Company Monochronic or Polychronic?

Monochronic

0%

Basically

Monochronic16%

Both Aspects37%

BasicallyPolychronic

27%

Polychronic

20%


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There are, then, clear differences here between Japan and the UK.

Although no specific research was conducted for this report with

British businesspeople, it is reasonable to expect that the majority of

British people see themselves as being monochronic, working to a

schedule and being careful to maintain an arms length approach to

clients and colleagues alike.

To make the contrast clearer, the author asked Japanese

businesspeople to imagine the following situations:

1. You are on a five-day vacation. Your boss calls you and asks

you to return to the office to help with an emergency.


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Graph 10: Called Back from Vacation (Japan)

The responses in Japan to number two (16 people from the same

company) are shown here in Graph 11, and differ from the UK data

0.0% 10.0% 20.0% 30.0% 40.0% 50.0%

No Way!

Very Unlikely to Return

Consideration Necessary

Return Possible

Return Inevitable

Your Boss Asks You to Return from Vacation for an Emergency

Response 6.3% 12.5% 50.0% 31.3% 0.0%

No Way!Very Unlikely to

ReturnConsideration

NecessaryReturn Possible

ReturnInevitable


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Power Distance Index/Specificity-Diffusion

The PDI scale was created by Geert Hofstede. Japan ranks in the

middle of the PDI scale, with the UK in lower half. There is some

overlap with Hampden-Turner and Trompenaarss Specific-Diffuse

scale, since in that model the power and prestige of a superior at work

both carry over into arenas not related to work.

For the purposes of this research, the author asked 17 Japanese

businesspeople to imagine that their boss was about to move house,

and asked them two weeks in advance to help. Would they refuse or

agree? As the graph shows, the majority would consider it carefully.


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Part of the reason for this might be Japans PDI ranking; crucially,

though, this is further proof of the importance of human relationships

in Japan. Some of those surveyed even commented that they would

help their own staff in the same way. For some people, the question in

the UK would elicit the response, Here are the Yellow Pages. Good luck

finding a decent moving company. Others might offer to ask around to

get a recommendation for a trustworthy company. As the results in

Appendix C show, though, a surprisingly large percentage of those

asked might, or probably would, help (60% in total).

Next, the Japanese groups were asked to imagine that their bosss boss


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Contexting, Universalism/Particularism, and Specificity/Diffusion

It is evident from conversations with 29 top managers at a major

Japanese catering firm that senior Japanese managers feel a

contexting gap with their juniors (kohai).

Do You Feel Your Juniors are Lower Context Than You?

3%

0%

24%

31%

42%Same Level

Marginal Difference

Some Difference

Clearly Lower

Much Lower; It's a Problem


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the ability to communicate in a high context way, it is necessary to

spend time together. Perhaps for this reason, Japanese people report

that they go to meetings without knowing either the specific purpose of

the meeting or their role (survey of 38 Japanese middle managers from

three different companies). This seems like a waste of time and

resources to the British. After all, meetings are expensive, as they

entail opportunity cost, salaries, depreciation, and many other

Do You Go to Meetings and not Know the Purpose of the Meeting andYour Role?

18.4%

7.9%

Often

Always


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citizens to participate in trial processes since the Japanese jury law

was suspended in 1943.2In addition, Judges are expected to bring

outside knowledge to the case in reaching a decision, whereas in the

UK, verdicts must be made in the context of the specific and allowable

evidence of that case.

Table 5 here shows the graphs in this report and their relation to the

various dimensions.

Graph Page Notes

1: Hierarchy/

Authority

30 Japan as medium power distance (also

ascription), the UK as lower (also achievement)

2: Development of 39 Japan as a polychronic culture in which


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than country

10, 28: Recall from

Vac-ation (Japan, UK)

52, 90 No great difference apparent, and suggestion for

both cultures medium PDI and Individualism

11, 29: Honeymoon

Re-call (Japan, UK)

52, 90 Japanese slightly more likely to return than

Britons, but majority of both answered No way!

12, 30, 38: Helping Boss

Move (Japan, UK)

53, 91 Japanese much more likely to help than Britons,

showing diffuse nature (and perhaps higher PDI)

13, 31, 39: Correcting

Bosss Boss (Japan, UK)

54, 91 Britons much more likely to speak up, showing

greater Individualism and lower PDI

14: Contexting Gap

(Japan)

55 Generation gap perceived in this respect by

senior Japanese managers

15, 25: Attendance at

Meetings (Japan, UK)

56, 88 Japanese much more likely to go regardless,

suggesting higher PDI and higher context

16-22: 7 Dimensions

(Japanese in the UK)

80-83 Inconclusive overall, but strong suggestion of

Japanese communitarianism and British

indi-vidualism;


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Hampden-Turner and Trompenaars talk of a helix that spirals up to

reach a temporarily optimal resolution of any given dilemma. It is

temporary because the resolution will inevitably lead to a new dilemma

in a never-ending story of adjustment, ideally even progress. The

various scales in this paper are necessary starting points to be able to

understand the construction and operation of the helix. Ultimately, it

is the helix, the dynamic representation of the symbiotic relation

between an entity and its environment, which provides us with the best

insight into the impact of culture on our daily lives and business.


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Analysis

he literature, then, suggests that there are significant differences

between stereotypical British and Japanese business cultures.

This is borne out to some extent by the primary data, although the

contrast is less clear than was expected. Nonetheless, it still suggests

that there are gaps in assumptions and values that will cause

problems for Japanese and Britons working together, particularly if

those assumptions and values are not explicitly recognized and

respected, and some reconciliation sought.

Comments made in an interview with the author by the managing


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secret society (even if they are just talking about the

drinking session last night!).

4. An ability to say "I do not know, but I will find out.

There is no loss of face so long as a sincere effort is

made.

5. People not to say yes when they mean no. It will be

resented later by customers and staff.

6. Japanese people not to have one policy for Japanese

staff and another for Europeans. If there must be two

policies, then do not make it obvious.


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Japanese and British in terms of the so-called illusion of equality,1

and perhaps also by the language barrier. The linguistic gap helps to

explain the third comment, too.

Face, of course, is an important issue that is often used to explain

differences between Occidental and Oriental cultures, and it covers the

fourth point. It is also partially explains why the question and answer

session of a Japanese business presentation is typically less than 10%

of the total time taken. Another reason for the fourth point is the

Japanese education system, which follows a Confucian pattern of the

teacher (or presenter) having all the necessary information and then


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and therefore unsuccessful, and this involves a loss of face on the part

of the presenter. On the other hand, Britons are more likely to expect,

and plan for, a significant number of questions after a presentation,

and this is often construed as evidence that the content and delivery of

the presentation were good enough to stimulate a wider discussion.

The fifth point can be understood in the light of the contexting model.

Although the word is yes, the intended meaning could be no, and

another Japanese would pick up on this. For example, the Japanese

word muzukashii is translated into English as difficult, and yet it

often means impossible, depending on the context in which it is used


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hiring more managers locally, and this may ease tensions.

Overall, it is clear that the Japanese are high context, particularistic,

communitarian, polychronic, and diffuse. They have a synchronous,

long-term time sense and place a lot of emphasis on maintaining and

developing personal relationships. This is apparent from the case of the

Australian-Japanese sugar contract dispute in the late 1970s (see

Trompenaars and Hampden-Turner, 2003). The story is summarised

here because the British and Australians have a similar profile,

although the extent and relative impact of each tendency is different.


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contract should be respected regardless. The Japanese had

given their word. Fluctuations in the world price of sugar were

not unusual. All business involved risks. Had the price risen,

not fallen, the Australian growers would have been the losers

(source as above).

The roots to this dispute lay in key cultural value contrasts. The

Australians saw the contract, the letter of the law, and the universal

rule, whereas the Japanese were concerned with the relationship

between the parties, the spirit of the agreement, and an unfortunate

but critical exception to the rule. In terms of the seven dimensions, the


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1. Processing (i.e., seeing values as processes rather than things, a

stream rather than a stone)

2. Framing and Contextualising (i.e., placing each process in the

frame of its purpose and meaning)

3. Sequencing (i.e., not choosing between apparent contradictions,

but instead doing one after the other)

4. Cycling (i.e., creating a learning loop)

5. Synergising (i.e., creating the right circumstances for the opposite

ends of the dilemma to be mutually optimizing)

As the first step, contracting, legislating, making exceptions, and


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contracting t h r o u g h better relating).2

Although the Japanese work hard to understand the people with whom

they do business, particularly Oubeijin (European-American people),

the literature and the primary research conducted for this report show

that they are not always successful, as the following story told by an

engineer at an imaging company demonstrates:

16 years ago, that was my first experience working with a

small American venture company. My project had been delayed

due to some problems on the American side, so I made a trip to


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said, I have to leave here next Friday or I will not be able to

prepare for my own wedding. After 3 seconds of long silence

during which they stared at me, I felt that everything started to

move 100 times faster than before. Also, they became more

friendly than before. I could not understand why their attitude

had changed. I had had an infantile stereotype, namely that

business is business in America.

Most of the problems were fixed in that week, so I was able to

leave LAX on Saturday, and arrive at Narita Airport on Sunday

(just one week before my wedding). Of course, I was in time for


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would likely have been able to do the same.

Another interpretation might be that as employees of a small start-up,

the Americans tended towards the polychronic end of the scale.

However, the fact that they were trying to work out the precise

boundaries of responsibility for each side in the negotiation suggests a

monochronic approach to problem-solving they put the task before

the people involved, but in the end, were able to resolve the problem by

combining concern for people with concern for task.

It is clear, then, that the Japanese and British are separated by value


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Conclusion

t is apparent that there are some significant differences between

Japanese and British business cultures. However, not all Japanese

people living or working in the UK notice these differences, suggesting

that they lack sufficient objectivity and training. As a result, it may well

be that they fail to achieve their potential while in Britain; to confirm

this, more research could be conducted in British host organisations to

try to measure results and canvass opinions.

In order to mitigate potential problems, firms need to implement

training for assignees, their families, and hosts. Prior to departure, the

I


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to help them deal with reverse culture shock.1

In addition, firms need to share information throughout the overseas

host organisation in order to shape expectations. Part of that may be to

show that foreign cultures are not arbitrarily or randomly different

from one another. They are instead mirror imagesof one anothers

values, reversals of the order and sequence of looking and learning

(Trompenaars and Hampden-Turner, 2000, page 1; original authors

italics).

The theoretical arguments for training need to be supported by


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indicate success. This danger may be larger for Japanese assignees

than American or European ones, as the stigma of failure and impact

on future career may both be greater in Japan, where there is less

job-hopping between companies.

One further way of measuring the impact of global managers is to look

at their potential achievement of performance-related goals before

training, and then to compare it with outcomes during and after

training. Once again, this is qualitative, but if used with other metrics,

it can still provide a useful indication.


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A key issue therefore, is the development of global managers through

dedicated programmes. It is apparent that the company should work

with a trusted partner to create, refine, and continue to develop the

best intercultural business training for its personnel. These

programmes must be clearly linked with the strategy of the firm.

The following steps can be taken by Japanese companies:

? Confirm strategy and competitive advantage with senior

management

? Develop a list of competencies that complement the strategy, and

distinguish between base competencies that are a prerequisite for


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materials (including company- and country-specific case studies)

? Start the programme, and monitor outcomes in various ways

(including participant satisfaction, performance improvement,

impact on general morale, resolution of dilemmas, and relations

with foreign counterparts and clients)

? Revise the programme as necessary (kaizen) and start the process

again for a new batch of global managers

? Keep graduates of the training in touch so that they can share

experiences, information, and ideas, including how they have

resolved company- and country-specific dilemmas


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Bibliography

Adler, Nancy J (2002). International Dimensions of Organizational

Behaviour. 4th Edition. Ohio: South-Western.

Adler, Nancy J. & Bartholomew, Susan (August 1992). Managing

Culturally Competent People. Academy of Management Executive. Vol.

6 Issue 3.

Alvesson, Mats & Deetz, Stanley A (2000). Doing critical management

research. Thousand Oaks, California; London: Sage.


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Fells, Ray (2000). Negotiating Strategically. From Travaglione, A and

Marshall, V. Human Resources Strategies; An Applied Approach.

Sydney: McGraw-Hill. pp.81-116.

Forster, Nick (August, 1997). The persistent myth of high expatriate

failure rates: a reappraisal. International Journal of Human Resource

Management, Vol. 8 Issue 4, pp.414-433.

Hall, Edward T, & Hall, Mildred Reed (1990). Understanding Cultural

Differences. Maine: Intercultural Press Inc.


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Hogan, Gary & Goodson, Jane (January, 1990). The Key to Expatriate

Success. Training & Development Journal, Vol. 44 Issue 1, pp.50-52.

Martinko, Mark & Douglas, Scott C (July, 1999). Culture and

Expatriate Failure: An Attributional Explication. Journal of

Organizational Analysis, Vol. 7 Issue 3, pp.265-282

Mendenhall, Mark E & Oddou, Gary (September/October, 1988). The

Overseas Assignment: A Practical Look. Business Horizons, Vol. 31

Issue 5, pp.78-85.


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Trompenaars, Fons & Hampden-Turner, Charles (1998). Riding the

Waves of Culture. 2ndEdition. New York: McGraw-Hill.

Trompenaars, Fons & Hampden-Turner, Charles (Late 2003). Human

Resource Management Across Cultures.London: Capstone/Wiley.

Trompenaars, Fons & Woolliams, Peter (2000). When Two Worlds

Collide.THT.

Tung, Rosalie L (1982). Selection and Training Procedures of U.S.,

European, and Japanese Multinationals. California Management

Review, Vol. 25 Issue 1, pp.57-71.


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Appendix A

Survey of Japanese in the UK (Seven Dimensions)

he following graphs show the answers of six Japanese

businesspeople residing in the UK. After an explanation of each

of the seven dimensions, the surveyees rated themselves, their

Japanese organisation, and their British host organisation on a

one-to-ten scale, with the first of the two labels being 1, and the

second being 2. For example, a rating of 7 for the Japanese

organisation the Neutrality-Affectiveness scale shows that the

respondent thought it leaned towards the affective side of the scale.


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Graph 17: Individualism-Communitarianism

Individualism-Communitarianism

1

2

3

4

5

6

7

8

9

10

Respondents

Assessment

Self

Japanese Co.

British Co.


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Graph 19: Specificity-Diffuseness

Specific-Diffuse

1

2

3

4

5

6

7

8

9

10

Respondents

Assessment

Self

Japanese Co.

British Co.


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Graph 21: Sequential-Synchronous Time

Sequential-Synchronous Time

1

2

3

4

5

6

7

8

9

10

Respondent

Assessment

Self

Japanese Co.

British Co.


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Appendix B: THTs Scales

The following dimensions introduced by Trompenaars and

Hampden-Turner in a number of books, including Riding the Waves of

Culture, Seven Cultures of Capitalism, and Building Cross-Cultural

Competency. Read the brief description for each one, and place Japan

and the UK on the scale. Each uses a simple one-to-ten gradation.

Universal Particular

1 2 3 4 5 6 7 8 9 10

A universalistic culture creates and applies rules that always hold,

whereas a particularistic culture will consider each situation on its


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Neutral Affective

1 2 3 4 5 6 7 8 9 10

In a neutral culture, people will disguise their feelings, but in an

affective culture, feelings play an important role in society and

business.

Specific Diffuse

1 2 3 4 5 6 7 8 9 10

People from a specific culture put things into mental boxes to the

extent that public and private, business and pleasure, do not overlap.


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Sequential Synchronic

1 2 3 4 5 6 7 8 9 10

In a sequential time system, plans are made and carried out

chronologically. Punctuality is vital. By contrast, a synchronic system

allows activities to happen in parallel, and punctuality may suffer as

circumstances change.

Inner- Outer-Directed

1 2 3 4 5 6 7 8 9 10

Inner-directed people are confident that they can shape their


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Appendix C

Survey of British Businesspeople

he following research was conducted in July, 2003 by asking

British businesspeople to answer a questionnaire (see Appendix

D) using a one-to-five scale to indicate what they would do in a series of

situations. The same questions were put to Japanese businesspeople

during interviews and intercultural communication training sessions

during June and July, 2003 (see Findings for those results).

Do the Meetings in Your Section/Department Begin on Time?


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Graph 24: End of Meetings

Do the Meetings in Your Section/Department End on Time?

0%

30%

30%

40%

0%

Never

Not so often

50/50Usually

Always

Do You Go to Meetings and not Know the Purpose of the Meeting and


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Graph 26: Changing a Contract Mid-Term

Do You Prefer to Work (as a Colleague, Client, or Supplier) withF i d?

Are You Willing to Change a Contract Mid-Term to Help AnotherCompany?

20%

40%

30%

0% 10%Contract Cannot BeChanged

Revision Very RarelyPossible

It Depends

Some Effort Necessary

Do Best to Help


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Graph 28: Return from Domestic Vacation

Your Boss Asks You to Return from Domestic Vacation for anEmergency. Do You?

0%

50%

20%

30%

0%

No Way!

Very Unlikely to Return

Consideration Necessary

Return Possible

Return Inevitable

Your Boss Asks You to Return from Your Domestic Honeymoon for an

Emergency Do You?


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Graph 30: Helping Boss to Move House

Your Boss Asks You to Help Him Move next Weekend. Do You?

20 %

20 %

50 %

10 % 0%

Definitely Not

Probably Not

Maybe

Probably

Definitely

Would You Correct Your Boss Directly in a Meeting with Others

Present?


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Appendix D: Questionnaire for UK British Isles1. Do the meetings in your section or department start on time?

2. Do the meetings in your section or department end on time?

?? Never

?? Not so often

?? 50/50?? Usually

?? Always

3. Do You Go to Meetings and not Know the Purpose of the Meeting and

Your Role??? Never

?? Rarely

?? 50/50

?? Often


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?? A friend is sometimes better?? A friend is better

?? A friend is best

6. Your Boss Asks You to Return from Domestic Vacation for an

Emergency. Do You?7. Your Boss Asks You to Return from Your Domestic Honeymoon for an

Emergency. Do You?

?? No way!

?? Very unlikely to return

??Consideration necessary

?? Return possible

?? Return inevitable

8. Your Boss Asks You to Help Him Move Next Weekend. Do You?


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INTEC JAPAN INC.

Appendix E: Survey of Japanese Businesspeople

The following data were gathered from Japanese businesspeople during

training seminars in Japan by the firm INTEC Japan Inc., a Tokyo-based

consultancy specialising in intercultural communication. They are

reproduced here by kind permission of the INTEC management, but

remain the intellectual property of that company, and may not be further

reproduced without written consent.

List of Graphs

A) Do You Like English? 1072 respondents

B) Is English Important for You and Your Career? 1060 respondents

C) Do Your Sections/Departments Meetings Start on Time? 822

respondents

Do You Like English?


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95

Graph 32: Enjoyment of English

Survey of 1072 Japanese businesspeople; data from INTEC Japan Inc. (2003)

4%

25%

45%

22%

4%

Not at all

Dislike

Neutral

Like

Very much

Do Your Section's/Department's Meetings Start on Time?


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97

Graph 34: Start of Meetings

INTEC Japan Inc. survey of 822 Japanese businesspeople (2002-2003)

3%

14%

32%

45%

5%

Never

Not so often

50/50

Usually

Always

Do Your Section's/Department's Meetings Finish on

Time?


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98

Graph 35: End of Meetings


8%

40%

41%

10%1%

Never

Not so often

50/50

Usually

Always

Are You Willing to Change a Contract to Help Another Company?


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99

Graph 36: Changing Contract Mid-Term

Survey of 927 Japanese businesspeople; data from INTEC Japan Inc. (2002-2003)

5%

20%

45%

24%

6%

Contract Cannot Be Changed

Revision Very Rarely Possible

It Depends

Some Effort Necessary

Will Do Best to Help

Working with Colleagues and Clients


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100

Graph 37: Preference for Good Personal Relationships in Business

Survey of 927 Japanese businesspeople; data from INTEC Japan Inc. (2002-2003)

5%

20%

45%

24%

6%

It Doesn't Matter EitherWay

It Depends to a LimitedExtent

A Friend is SometimesBetter

A Friend is Better

A Friend is Best

Your Boss Asks You to Help Him Move Next Weekend. Do You?


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101

Graph 38: Helping Boss Move

Survey of 288 Japanese businesspeople; data from INTEC Japan Inc. (2003)

10.6%

19.2%

20.8%

30.6%

18.8%

Definitely not

Probably not

Maybe

Probably

Definitely

Would You Correct Your Boss in a Meeting?


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102

Graph 39: Correcting Boss


18.5%

23.3%

22.0%

25.4%

10.8%

Say Nothing Directly

Rarely Say Anything

Sometimes Say Something

Often Say Something

Always Say Something

A Comparative Study of Attitutes and Core Values

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