Question: Case: Multinational and Multicultural Teams at IBM When many people think of a well - established, traditional company, they think of IBM. This organization is
Case: Multinational and Multicultural Teams at IBM When many people think of a wellestablished, traditional company, they think of IBM. This organization is renowned for its written and unspoken rules, such as its nolayoff policy, its focus on promotions and individual achievements, its expectation of vital service to the company, and its requirement to wear a suit and white shirt at work. The company served as a pillar of the "man in a grey wool suit" corporate culture in the United States. Since then, times have changed. IBM has clients in countries and now conducts twothirds of its business outside the United States. As a result, it has changed virtually every aspect of its former culture. One of its relatively new approaches is teamwork. While IBM uses teams extensively, like all large organizations, the way it does so is unique. To foster recognition of cultures and open emerging markets, IBM sends hundreds of its employees as volunteers on monthlong team projects to regions of the world where most large companies don't do business. Al Chakra, a software development manager living in Raleigh, North Carolina, was deployed with GreenForest, a furnituremaking team in Timioara Romania. Chakra integrated with IBM employees from five other countries. Together, the team helped GreenForest increase its computer skills to improve its business. GreenForest did not have to pay for the IBM team's advice. This is hardly altruism. IBM firmly believes that multinational and multicultural teams are a good investment. First, they help lay the groundwork for business development in emerging economies, many of which are expected to grow more rapidly than mature markets in the future. Stanley Litow, the IBM vice president overseeing the program, also believes will help employees develop multicultural team skills and understand local markets. Litow notes: We want to create a group of leaders who know these places and also learn how to exchange their culture and diverse skills." Some of the countries where IBM has sent its multicultural teams include Turkey, Tanzania, Vietnam, Ghana, and the Philippines. As for Chakra, he was thrilled to be selected for the team. "I felt like I won the lottery," he acknowledged.
Questions:
If you calculate the manhours spent on projects on IBM teams, it adds up to more than hours of managerial time annually. Do you think this is a wise investment of IBM's human resources? Why?
Why do you think IBM's culture has shifted from formal, stable, and individualistic to informal, transient, and teamoriented?
Would you like to work on one of IBM's multinational and multicultural project teams?
Multicultural team projects often face challenges with communication, expectations, and values. How do you think these challenges could be overcome?
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