Is multiculturalism the new multinational?
January 16, 2022
Is multiculturalism the new multinational?
What is multiculturalism?
Multiculturalism is the co-existence of people from various cultures, races, colors, or religions in a harmonious manner. It conceptualizes a society where everyone has an equal voice and right. The world has experienced a digital revolution where there are no boundaries for anyone. Every person has the equal opportunity to work at a workplace at his will.
The full effect of globalization is yet not realized, but the companies are indeed adopting this trend. The workspace is now experiencing more cultural diversity. Cultural diversification has allowed the companies to better insight into the different cultures with a marketing perspective.
The advent of globalization and digitalization has allowed both big and small companies to outsource pieces of their operations to foreign labour. It has allowed the employers to cut out the cost and get their work done with money still in their wallets.
But the more significant challenge lies in the cross-cultural management of the business. Thus the handling of people with different beliefs and preventing conflicts is substantial for business management. Cross-cultural management aims to create a system in the business organization that would allow people from all around to work with a feasible structure of leadership.
Cultural Diversity in MNCs
The different organizations have been trying to penetrate the market share of foreign countries. It would allow them to have a more significant chunk of market share, get a workforce that is either cheap or more skilled. The expansion of these organizations forces the management to bring a change in the managerial outlook.
The giants like Google and Facebook are trying hard to excel in the regional languages to prove themselves an authority in the different cultures as well. A multi-national company may be active in several countries, but they do need to keep in track the management as per the cultural norms of that nation. Accepting the method of employees’ working method depending on his culture and beliefs is the first step to get the best out of that employee.
How is multiculturalism coming into play in multinational companies?
To manage the global workforce of multinational companies, the human resources department comes into play. Successful management reduces anxiety in the employees and improves the work calibre of the people. It increases obligations to the organization, creates a sense of job security, and enhances fellow employees’ relationships.
If we look at the optimistic scenario, cultural diversification also enhances market share and improves technologies. The world needs to stand together to combat any complications. Globalization has allowed candidates with a sharp mind to work with organizations that have resources.
Thus, it is helpful for both individuals as well as organizations. Individuals get to improve their skills, and the organizations get benefited from these skilled talents.
Organizational Socialization is how the employees learn to adapt to the work ethic and expectations within an organization. They get to know about the attitude, behaviour, skill sets, and knowledge needed to work harmoniously in the organization. Before joining the organization, the candidates get to know about the workspace’s core values and principles.
It is done to preserve cooperative behaviour within an organization. At the pre-joining stage, the employees get to know about the diversification of cultures they will be encountering at that place. It is beneficial to prepare oneself to experience the new scene.
After joining the workplace, the employees’ expectations may differ from their reality at the job. The socialization methods can be beneficial, which orients the new employee with the work orientation. A successful managerial overlook at the employee can increase the newcomer’s work productivity and overall personality at a multicultural workspace
The Advantages of Multiculturalism in the Workplace
The world has turned into a small village, thanks to globalization and improvements in technologies. Hence, it is very typical to work with people worldwide who may have a different perspective on this world.
Thus to live and work together more comfortably, we should know about their cultures. It is indeed fortunate to be a part of a multicultural organization, as it helps to have a broader perspective on this world. There are many advantages of multiculturalism in the workforce. It enables the organization to move forward at a tremendous pace and helps the employees in career advancements.
Here are the reasons why multiculturalism is so critical.
1. Increase in creativity of the work
It is well proven that if the workspace has people from different backgrounds, the team works more creatively to encounter any problem or issue. The various approaches in solving an obstacle create a sense of freshness in the organization.
Multiple employees have accepted that the different gestures and techniques used by people from diverse backgrounds to express themselves are very energizing. The different experiences and teachings of the people also play an essential role in creatively solving a problem. The new ideas often come from people who are culturally totally different from each other.
2. Being in touch with a global workforce
As the companies expand into different places, employees know how tiny and connected the world is. The primary thing to succeed in business is to keep oneself aligned with globalization. Communicating with a global audience helps in the business expansion and acquiring that more significant chunk of the market share.
The multiculturalism in the workspace also helps to know about that personal touch needed to irrigate a loyal customer base of a particular place. Also, working with a global workforce acts as the source of inspiration.
Multicultural working environments make it possible for people to know more about others’ cultures, which may initially look as incongruous. Therefore, individuals working at such places generally acquire a degree of knowledge that helps them perform their tasks better and learn about various work-ethics to gain expertise in their profession.
A multicultural business has the advantage of getting served by people from several corners of the world. This mutual understanding of the cultures catalyzes development, scaling individuals and organizational progress continually with time.
4. Reputation as a better employer
A company that hires people from a different cultural background tends to be seen as a better employer. The clients also generally feel safer in collaborating with these organizations as they expect a wide variety of people means more brainstorming.
The company or organization also understands the global customers’ needs more when they have an international workforce.
5. Improves the productivity level
When a wide variety of people who have a common goal works with different skills to achieve it, productivity increases drastically. Diversification exposes the employer to a wide range of people. Thus it is possible to get the best from the crowd.
Every single individual gets to have a different method of thinking, analyzing, and countering the problem. The companies with a wide range of people in their workspace also inspire the team members to give the best of their abilities.
The diverse mix of experiences makes every single piece of work more valuable.
Digital Marketing has globalized the world and removed distinctions between people based on color, culture or anything.
The world is digitalized and MNCs are ready to sell their products throughout the globe. The globalization has reduced the barriers and connected people. Now marketers market and sell their products to people of all race and culture.
The majority of the companies are accepting the trend of multiculturalism. It has proved its importance in many ways. The organization that has a workforce knowing Spanish tends to perform better in Spain. If the team is having people who know Mandarin, it will perform better in China to gain customer loyalty.
The companies could only build customer loyalty and brand awareness if they have a healthy workforce with experiences from all corners of the globe. A multinational company now understands the need for a multicultural environment. Thus, it won’t be wrong to say that a multicultural environment is the backbone of a successful multinational company.
Muskan Verma have always had a passion for writing and as a result, she is currently enrolled in a Masters program in English.