Quarter 2 2025 - Volume 30, ISSUE 2

In a continuously expanding global economy, more U.S. based employees are regularly engaging with colleagues from diverse regions around the globe. Some of the most common partners include India, Mexico, and the United Kingdom, amongst many others, bringing their own distinct cultural values into the workplace.¹ As many companies continue to expand their global reach, employees may collaborate with colleagues from various cultural backgrounds, each bringing unique perspectives, work habits, and communication styles to the table. 

A merger of cultural differences can enhance or, if not understood, valued, and respected, destroy workplace culture, productivity, and morale. One component of these differences is indicative of the employee’s country of origin, which can influence everything from how authority is perceived, to how team collaboration is approached. Navigating these cultural variations is vital for organizations that wish to build innovative, productive, and harmonious teams. Geert Hofstede, a Dutch management researcher known for his work on cross-cultural communication and organizational behavior, becomes particularly relevant in this area. Hofstede focused his research on understanding how workplaces are influenced by cultural differences, eventually leading to the development of Hofstede’s cultural dimensions theory, which explores six key dimensions of culture:

• Power Distance: Reflects how much a society accepts and expects power to be distributed unequally.
• Individualism vs. Collectivism: Looks at whether people prioritize personal freedom and individual rights or emphasize loyalty and responsibilities to the team.
• Masculinity vs. Femininity: Contrasts cultures valuing competition and achievement with those prioritizing care and quality of life.
• Uncertainty Avoidance: Measures how comfortable a culture is with uncertainty and ambiguity.
• Long-term vs. Short-term Orientation: Explores whether a culture focuses more on long-term goals and future rewards or emphasizes quick results and respect for traditions.
• Indulgence vs. Restraint: Shows whether a culture encourages the free expression of enjoyment or tends to control and regulate such impulses.

Hofstede’s model provides insight into how cultural dimensions shape behavior in the workplace and can be used as an essential tool for gaining a deeper understanding of the ways cultural differences influence today’s workforce. Within each of these dimensions, the common trait remains the same – people are different. They have different motivators, stressors, goals, and communication styles. When embraced, this diversity can become a source of strength and innovation, leading to better communication and a more collaborative atmosphere. However, significant business challenges can arise when a group of culturally diverse individuals works together; it can cause misunderstandings, miscommunication, tension, and potentially lead to workplace conflicts.

For example, in countries like Japan or India, communication tends to be indirect, and much meaning is conveyed through non-verbal cues, tone, and context. In contrast, cultures like the United States or Germany may value clear, direct, and explicit communication. In these interactions, it is common for the intention behind a message to be misinterpreted. When team members from these contrasting cultures interact, an employee from a culture where communication is characteristically indirect may interpret direct comments as rude or confrontational, while a direct communicator might view indirect communication as evasive or unclear. Similarly, employees can be strongly influenced by cultural dimensions such as individualism vs. collectivism, which help shape how employees approach teamwork, loyalty, and personal goals, for example. In more individualistic cultures, like the United States or the United Kingdom, employees tend to prioritize autonomy and individual achievements, whereas even in teams, employees are more likely to compete with each other for recognition and advancement. In contrast, cultures with a more collectivist approach, like Mexico or China, emphasize the importance of shared responsibilities and loyalty to the team, where the needs of the team are often put ahead of personal ambitions, leading to a different approach towards collaboration.

One pivotal way businesses can harness the power of cultural understanding is by implementing cultural awareness training. Sharing knowledge with employees plays a key role in reducing misunderstandings and potential conflicts that may arise from cultural differences. Teaching employees how to navigate and appreciate diverse perspectives begets a more inclusive workplace, allowing individuals to feel valued and understood. Neal Goodman, President of Global Dynamics Inc., says that in cultural awareness training, organizations “have got to provide the skills necessary to lead in a culturally diverse and geographically diverse workforce, workplace and marketplace. Without the ability to see the same situations from multiple perspectives simultaneously, none of us will ever be successful.”² 

To effectively conduct cultural awareness training, the focus should be on providing practical tools that employees can apply in real-world scenarios. This training should include introducing key concepts, such as cultural dimensions, communication styles, and the impact of cultural misunderstandings, to help employees understand how cultural differences can manifest themselves in everyday work situations, enabling them to practice communicating with empathy and respect. It is crucial that this training encourages open dialogue, allowing employees to share their personal experiences, and ask questions without judgment.  

Cultural awareness training is not just a one-stop shop. It is important to offer ongoing learning opportunities, such as workshops and webinars, to keep cultural awareness a continuous part of the organizational culture. While cultural misunderstandings can induce irrefutable harm to a company, a focus on creating a safe, supportive learning environment equips businesses with the tools to navigate and appreciate diversity in the workplace, where mutual respect and collaboration drive business objectives forward.

As workforces continue to diversify, understanding and respecting cultural differences in the workplace is no longer optional – it is essential. This understanding becomes a key factor in shaping a workplace that is both adaptive and resilient. By recognizing the various cultural dimensions that shape behavior and communication styles, businesses can create a more inclusive, collaborative, and productive work environment and experience. The ongoing commitment to navigating cultural understanding not only enhances team cohesion but also strengthens the organization's ability to adapt and thrive globally. Ultimately, embracing cultural diversity is not only about avoiding communication mishaps, but is also about leveraging the unique strengths that different perspectives bring, driving both individual growth and collective success within the workplace. 

Cristina L. Amyot is the President and CEO of EnformHR, LLC, a human resources consulting firm based out of Holmdel, New Jersey. Ms. Amyot and her team of HR Business Partners provide a full range of customized HR services, helping companies protect and grow their businesses, including HR outsourcing, investigations, training & development, payroll & benefits administration, recruiting, compliance audits, and strategic partnering. In addition to conducting seminars for clients on topics such as non-harassment/discrimination, interviewing and hiring top talent, and building high performance teams, Ms. Amyot speaks publicly to industry associations on a variety of HR topics.

Michael Kairios is an HR Business Partner with EnformHR. He brings more than 15 years of extensive experience in aligning human resources strategies with organizational goals, training and development, and people management, providing clients a unique perspective on optimizing workplace cultures and improving employee engagement. As a passionate advocate for professional development, Mr. Kairios works closely with clients to design and implement HR strategies to drive performance and enhance team dynamics.

References

¹ BEA. (2022). Activities of U.S. Multinational Enterprises, 2022. U.S. Bureau of Economic Analysis. https://www.bea.gov/news/ 2024/activities-us-multinational-enterprises-2022

² Meinert, D. (2015, October 8). Cultural Competency Training: How to do it Well. SHRM. https://www.shrm.org/topics-tools/news/organizational-employee-development/cultural-competency-training-how-to-well