HBR's 10 Must Reads on Managing Across Cultures (with featured article "Cultural Intelligence" by P. Christopher Earley and Elaine Mosakowski). Harvard Business Review

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HBR's 10 Must Reads on Managing Across Cultures (with featured article

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behavior consistent with that of everyone around him. And third, when he recognized that the arrangement wasn’t working, he became disheartened.

      Peter’s three difficulties correspond to the three components of cultural intelligence: the cognitive; the physical; and the emotional/motivational. Cultural intelligence resides in the body and the heart, as well as the head. Although most managers are not equally strong in all three areas, each faculty is seriously hampered without the other two.

      Head

      Rote learning about the beliefs, customs, and taboos of foreign cultures, the approach corporate training programs tend to favor, will never prepare a person for every situation that arises, nor will it prevent terrible gaffes. However, inquiring about the meaning of some custom will often prove unavailing because natives may be reticent about explaining themselves to strangers, or they may have little practice looking at their own culture analytically.

      Instead, a newcomer needs to devise what we call learning strategies. Although most people find it difficult to discover a point of entry into alien cultures, whose very coherence can make them seem like separate, parallel worlds, an individual with high cognitive CQ notices clues to a culture’s shared understandings. These can appear in any form and any context but somehow indicate a line of interpretation worth pursuing.

      An Irish manager at an international advertising firm was working with a new client, a German construction and engineering company. Devin’s experience with executives in the German retail clothing industry was that they were reasonably flexible about deadlines and receptive to highly imaginative proposals for an advertising campaign. He had also worked with executives of a British construction and engineering company, whom he found to be strict about deadlines and intent on a media campaign that stressed the firm’s technical expertise and the cost savings it offered.

      Devin was unsure how to proceed. Should he assume that the German construction company would take after the German clothing retailer or, instead, the British construction company? He resolved to observe the new client’s representative closely and draw general conclusions about the firm and its culture from his behavior, just as he had done in the other two cases. Unfortunately, the client sent a new representative to every meeting. Many came from different business units and had grown up in different countries. Instead of equating the first representative’s behavior with the client’s corporate culture, Devin looked for consistencies in the various individuals’ traits. Eventually he determined that they were all punctual, deadline-oriented, and tolerant of unconventional advertising messages. From that, he was able to infer much about the character of their employer.

      Body

      You will not disarm your foreign hosts, guests, or colleagues simply by showing you understand their culture; your actions and demeanor must prove that you have already to some extent entered their world. Whether it’s the way you shake hands or order a coffee, evidence of an ability to mirror the customs and gestures of the people around you will prove that you esteem them well enough to want to be like them. By adopting people’s habits and mannerisms, you eventually come to understand in the most elemental way what it is like to be them. They, in turn, become more trusting and open. University of Michigan professor Jeffrey Sanchez-Burks’s research on cultural barriers in business found that job candidates who adopted some of the mannerisms of recruiters with cultural backgrounds different from their own were more likely to be made an offer.

      This won’t happen if a person suffers from a deep-seated reservation about the called-for behavior or lacks the physical poise to pull it off. Henri, a French manager at Aegis, a media corporation, followed the national custom of greeting his female clients with a hug and a kiss on both cheeks. Although Melanie, a British aerospace manager, understood that in France such familiarity was de rigueur in a professional setting, she couldn’t suppress her discomfort when it happened to her, and she recoiled. Inability to receive and reciprocate gestures that are culturally characteristic reflects a low level of cultural intelligence’s physical component.

      In another instance, a Hispanic community leader in Los Angeles and an Anglo-American businessman fell into conversation at a charity event. As the former moved closer, the latter backed away. It took nearly 30 minutes of waltzing around the room for the community leader to realize that “Anglos” were not comfortable standing in such close physical proximity.

      Heart

      Adapting to a new culture involves overcoming obstacles and setbacks. People can do that only if they believe in their own efficacy. If they persevered in the face of challenging situations in the past, their confidence grew. Confidence is always rooted in mastery of a particular task or set of circumstances.

      A person who doesn’t believe herself capable of understanding people from unfamiliar cultures will often give up after her efforts meet with hostility or incomprehension. By contrast, a person with high motivation will, upon confronting obstacles, setbacks, or even failure, reengage with greater vigor. To stay motivated, highly efficacious people do not depend on obtaining rewards, which may be unconventional or long delayed.

      Hyong Moon had experience leading racially mixed teams of designers at GM, but when he headed up a product design and development team that included representatives from the sales, production, marketing, R&D, engineering, and finance departments, things did not go smoothly. The sales manager, for example, objected to the safety engineer’s attempt to add features such as side-impact air bags because they would boost the car’s price excessively. The conflict became so intense and so public that a senior manager had to intervene. Although many managers would have felt chastened after that, Moon struggled even harder to gain control, which he eventually did by convincing the sales manager that the air bags could make the car more marketable. Although he had no experience with cross-functional teams, his successes with single-function teams had given him the confidence to persevere. He commented, “I’d seen these types of disagreements in other teams, and I’d been able to help team members overcome their differences, so I knew I could do it again.”

      How Head, Body, and Heart Work Together

      At the end of 1997, U.S.-based Merrill Lynch acquired UK-based Mercury Asset Management. At the time of the merger, Mercury was a decorous, understated, hierarchical company known for doing business in the manner of an earlier generation. Merrill, by contrast, was informal, fast-paced, aggressive, and entrepreneurial. Both companies had employees of many nationalities. Visiting Mercury about six months after the merger announcement, we were greeted by Chris, a Mercury personnel manager dressed in khakis and a knit shirt. Surprised by the deviation from his usual uniform of gray or navy pinstripes, we asked him what had happened. He told us that Merrill had instituted casual Fridays in its own offices and then extended the policy on a volunteer basis to its UK sites.

      Diagnosing Your Cultural Intelligence

      THESE STATEMENTS REFLECT DIFFERENT facets of cultural intelligence. For each set, add up your scores and divide by four to produce an average. Our work with large groups of managers shows that for purposes of your own development, it is most useful to think about your three scores in comparison to one another. Generally, an average of less than 3 would indicate an area calling for improvement, while an average of greater than 4.5 reflects a true CQ strength.

      Rate the extent to which you agree with each statement, using the scale:

      1 = strongly disagree, 2 = disagree, 3 = neutral, 4 = agree, 5 = strongly agree.

______Before I interact with people from a new culture, I ask myself what I hope to achieve.
______If I encounter something unexpected

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