Introduction
Nowadays, globalized international business is not a new socio-economic paradigm but a standard economic model that continues to permeate and tie industries large and small and other types of human activities together. The ongoing cross-cultural communication between business entities is increasing daily, creating a clear need for continuous improvement and new approaches to cross-cultural management. These are “essential for those companies that seek to have a diverse workforce or has a plan for conducting business in a competitive global environment,” simply put, those managerial frameworks are vital to the productive performance of any modern enterprise (Dass & Vinnakota, 2019, p. 38). The current global circumstances in the business sector, where many processes are slowed down or paused, provide a window of opportunity to implement new cross-cultural management strategies. This paper will propose specific cultural training for expatriate Coca-Cola employees and diversity training for other company employees.
Literature Review
Chang, E. H., Milkman, K. L., Gromet, D. M., Rebele, R. W., Massey, C., Duckworth, A. L., & Grant, A. (2019). The mixed effects of online diversity training. Proceedings of the National Academy of Sciences of the United States of America, 116(16), 7778-7783. Web.
Research by Chang and others evaluates the cultural impact of the gender diversity of training programs on workers within an international business entity. Interestingly, they conceptually differentiate the behavior and attitudes of employees who have completed the training program when assessing the outcomes of the intervention (Chang et al., 2019). Their primary conclusion is that the standalone intervention strategy of diversity training used by most personnel managers today can only have a limited desired effect..
Creating a culture of diversity, equity and inclusion. (n.d.). The Coca-Cola Company. Web.
This source is one of the informative web pages from the official website of The Coca-Cola Company. They describe in detail their corporate position and principles regarding international trade and internal intercultural communication (Diversity, equity and Inclusion, n.d.). This information segment provides data not only on the company’s corporate ethics but also on the internal structures that support and develop it. Although there is little textual information provided, Creating a Culture of diversity, equity and Inclusion are one of the most reliable sources in this research work.
Dass, D. M., & Vinnakota, D. S. (2019). Cross-cultural mistakes by renowned brands – Evaluating the success and failures of brands in host nations. International Journal of Trend in Scientific Research and Development, 3(2), 38-43.
This academic paper by Dass and Vinnakota describes various cross-cultural managerial strategies and tactics used by large global brands in foreign markets over the past four decades. They analyze successful and failed cross-cultural marketing approaches on foreign target audiences and markets (Dass & Vinnakota, 2019). The researchers primarily focus on the Coca-Cola Company and the triumphant adaptation strategy that has made them a global brand. This informational piece is why this scholarly article is included in this study.
Devine, P. G., & Ash, T. (2019). Diversity training goals, limitations, and promise: A review of the multidisciplinary literature. Annual Review of Psychology, 73, 403-429. Web.
In this work, Devine and Ash attempted to review and analyze a large body of literature dealing with diversity training. They note that there is neither a general consensus on universally effective practices nor direct and precise methods for testing their expected efficacy in this aspect of organizational management (Devine & Ash, 2019). The authors advise experts and enthusiasts of diversity training programs to unite and strengthen their cooperation within this scientific field (Devine & Ash, 2019). Devine and Ash also provide a systematic set of recommendations for improving the discipline.
Dobbin, F., & Kalev, A. (2018). Why doesn’t diversity training work? The challenge for industry and academia. Anthropology Now, 10(2), 48-55. Web.
In this short inquiry, Dobbin and Kalev explore why the current diversity training is not working as their developers and management intended. The professors conclude that the reason is the mandatory manner in which managers impose these multicultural training models on employees (Dobbin and Kalev, 2018). They advise organizational professionals to promote cultural acceptance as a secondary goal within other programs.
Gender diversity in the workplace increases sales, customers, and investment — and here’s the evidence. (n.d.). Everywoman. Web.
This source is a brief digital article written by the staff of the Everywoman website in which they show the various benefits of diversity, gender one in particular, for corporations. Many presented statistics prove that this socio-cultural element in the company’s organization is highly profitable in terms of money, new customers, and investments (Gender diversity in the workplace increases sales, n.d.). The authors clarify that this cultural-economic phenomenon occurs not only in women-dominated industries but also in men-dominated ones.
Hughes, C. (2018). Conclusion: Diversity intelligence as a core of diversity training and leadership development. Advances in Developing Human Resources, 20(3), 370-378. Web.
In this study, Hughes explores the impact of diversity intelligence on cross-culturally trained managers’ leadership qualities and learning abilities. The researcher concludes that diversity intelligence should become a central aspect of such training initiatives to improve leaders’ professional skills (Hughes, 2018). Such programs will also contribute to a greater representation and performance of vulnerable groups of employees.
Iancu, D., & Badea, D. (2020). Empirical analysis of the influence of culture in managerial processes based on the Hofstede model. International Conference Knowledge-Based Organization, 26(1), 205-210.
Iancu and Badea explore the applicability of the Hofstede model to organizational decision-making. The authors state that, nowadays, an element of diversity should be included in the design of every major decision a company makes and that interculturality contributes to strengthening internal relations and overall performance (Iancu & Badea, 2020). This paper is valuable because it provides an unusual example of the applicability of the Hofstede model in management and team building.
Kipnis, E., Demangeot, C., Pullig, C., Cross, S. N., Cui, C. C., Galalae, C., Kearney, S., Licsandru, T. C., Mari, C., Ruiz, V. M., Swanepoel, S., Vorster, L., & Williams, J. D. (2021). Institutionalizing diversity-and-inclusion-engaged marketing for multicultural marketplace well-being. Journal of Public Policy & Marketing, 40(2), 143-164.
A large group of interested researchers is analyzing the cultural elements of diversity and inclusion in marketing through the lens of related institutions. According to Kipnis et al. 2021, these are “research, education, and practice” (p. 143). Like many other psychologists, marketers, and sociologists whose works were included in this paper, they also provide valuable and scientifically supported recommendations and advice for other diversity field experts and beginners.
Lawson, S., & Shepherd, J. (2019). Utilizing the U-curve model to assess cross-cultural training programs for low-context expatriates working in a high-context culture. The Journal of Business Diversity, 19(1), 21-31.
In this scholarly article, the writers investigate the effectiveness and adequacy of cross-cultural training through the lens of the measuring tools of multicultural communication. Lawson and Shepherd (2019) apply not only the U-curve model but also the Hofstede theoretical framework in their research process. Their findings and reflections on the applications of the U-curve model served as inspirational drivers for choosing the measurement tools for this paper.
Migrant worker numbers rise by five million: ILO. (2021). UN News. Web.
It is a small online article from United Nations writers that looks more like a report that describes societal trends related to migrants and expatriate workers. The researchers briefly present a wealth of numerical and qualitative global data on migrant and expatriate professionals, the most populated and attractive industries, and countries (Migrant workers numbers, 2021). Sociological experts argue that the number of intercultural and interethnic intersections in the labor sector will continue to grow exponentially in the future.
Neblett, E. W. (2019). Diversity (psychological) science training: Challenges, tensions, and a call to action. Journal of Social Issues, 75(4), 1216-1239.
Just like previously mentioned by Devine and Ash, Neblett also devotes her paper to developing improvement strategies and measures for the area of diversity training. In their study work, the writer theorizes, proposes, and describes six big ideas that would advance progress in this psychological and managerial discipline (Neblett, 2019). Neblett also discusses the most challenging and problematic elements and aspects of cross-cultural management and diversity fields.
Noon, M. (2018). Pointless diversity training: Unconscious bias, new racism and agency. Work, Employment and Society, 32(1), 198-209. Web.
In this study paper, Mike Noon debunks popular myths and the common scientific consensus about training to break unconscious bias in employees. The author argues that this management model of reforming the collective behavior of the working team within the organization is useless and ineffective (Noon, 2018). Noon’s paper and his critical approach immensely helped in the design, development, implementation, and maintenance of the unique diversity training model described below.
Tahir, R., & Ertek, G. (2018). Cross-cultural training: A crucial approach to improve the success of expatriate assignment in the United Arab Emirates. Middle East Journal of Management, 5(1), 50-74. Web.
Tahir and Ertek explore the themes of cross-cultural training, global corporations, and cultural adaptation of expatriate employees in the context of the United Arab Emirates. Moreover, they describe in detail the processes of multicultural learning and accommodation from the point of view of an expatriate worker (Tahir and Ertek, 2018). Their complex multi-page work helped a lot in choosing the most appropriate and effective diversity training theoretical framework.
Findings
Cross-Cultural Management in Coca-Cola Company
For a long time, Coca-Cola Company has had a good record at being a prime example of one of the leaders among international business actors that apply cross-cultural managerial methods in managing human resources. Coca-Cola claims that “diversity, equity, and inclusion” are pillars of its cross-cultural management strategy and core company values (Diversity, equity and inclusion, n.d., para. 1). This strategy’s three significant goals help company managers turn their vision of effective and productive multicultural communication and interaction within the staff into reality. The first one is mirroring their markets, which involves diversifying their workforce and achieving gender equality within personnel and senior team (Diversity, equity and Inclusion, n.d.). The word “equity” means the achievement and constant maintenance of equal and unbiased treatment of all workers at all hierarchical levels of The Coca-Cola Company and the protection of their human rights (Diversity, equity and inclusion, n.d., para. 1). The last one implies maintaining an inclusive workplace environment and advocating for inclusion in the countries, communities, and places where the company operates (Diversity, equity and inclusion, n.d.). The corporation is very open about its staff management in terms of dealing with various cultures.
Responsible Structures
There are two personnel structures that exist within The Coca-Cola Company that aim to achieve the three ultimate goals of their cross-cultural management strategy. These are diversity leadership councils and employee inclusion networks. (Diversity, equity and inclusion, n.d.). The first ones develop, support, and promote “female and multicultural talent into roles of increasing responsibility” (Diversity, equity and inclusion, n.d., para. 10). The second ones focus on creating inclusive ideas in the organization, maintaining communication among multicultural employees, and providing and reallocating resources for cross-cultural initiatives (Diversity, equity and inclusion, n.d.). One can safely say that the brand recognition in different countries and their well-known stance on diversity and multiculturalism prove that their cross-cultural management strategy is effective. As one can see, a critical aspect of any effective cross-cultural company management is clear and well-designed goal-setting by responsible senior staff.
Recommendations
Building a Cross-Cultural Team
It is no secret that building a multicultural team of employees is a much more complex process than managing a monoculture one due to apparent differences in workers’ perceptions of priorities and goals in the workplace. The first step that the cross-cultural manager must take is to recognize and understand the cultural backgrounds, characteristics, and various manifestations of all of his diverse employees. To better understand the existing cultures in their workgroup, the manager can apply Geert Hofstede’s model, which covers six cultural dimensions or levels (Dass & Vinnakota, 2019). This model proved itself very helpful in “balancing these cultural elements in support of achieving the best possible organizational goals” in many organizations (Iancu & Badea, 2020, p. 207). Knowing the perceptions and perspectives of diverse employees makes it much easier for management persons to build an efficient and friendly work team.
The manager’s next step is to establish common work norms, standards, and concepts that all employees can easily understand. The most crucial standard here is the language of communication in the workplace. Top-down communication, collective decision-making, and conceptual synchronization in the workgroup directly depend on it (Iancu & Badea, 2020). The world languages are the only allowed ones, and for the Coca-Cola Company, it is English. The third step is creating an atmosphere that encourages frequent communication through multicultural training sessions and teamwork. Common and understandable norms and a single language of communication make it possible to introduce the company’s culture, its vision, and goals into the multicultural team. These aspects of the corporate organization contribute to the development of trust and mutual understanding, which enhances employees’ productivity.
Cross-Cultural Training for Expatriate Employees
Expatriate employees are becoming more common in globalized businesses, and the associated need for cross-cultural training is growing. According to Tahir and Ertek (2018), “expatriate training and development are progressively turning into a crucial human resource development issue for multinational corporations” (p. 3). For example, statisticians and analysts claim that “migrant workers made up one in 20 of the world’s workforce in 2019” (Migrant workers numbers, 2021, para. 1). Consequently, the demand for cross-cultural training for business employees is growing at a proportional rate. Tahir and Ertek (2018) say that its purpose “is to teach managers of one culture to interact successfully with the citizens of another culture and to support them in their progressive adjustment in their overseas assignments” (p. 4). Every practical cross-cultural training requires proper design and gradual implementation.
Designing a Good Cross-Cultural Training Program
Currently, three main categories of expatriate workers’ cross-cultural learning techniques exist. These are pre-departure, post-departure ones, and those that take place in both periods (Tahir and Ertek, 2018). One must note that this research paper’s third type of cross-cultural training is considered the most effective and desirable. The theoretical part of the training process would take place before departure. It includes learning about the fundamental cultural aspects of the host country’s society and business sphere and its history and language.
This pre-departure theoretical part of cross-cultural training would serve as prevention of risks. These include “social relations, financial risks, risks in career advancement, in addition to health and psychological risks” (Tahir & Ertek, 2018, p. 11). The practical part of the training process would take place in the host country. It includes periodic introspection and analysis of the work environment, linguistic and written communication with foreign colleagues, and cooperation and teamwork. Experts usually describe the post-departure practical part of cross-cultural training as the “adjustment and socialization” process, and this case is no exception (Tahir & Ertek, 2018, p. 12). One should remember that only direct implementation will show the real impact of the proposed cross-cultural training model.
Diversity Training for Employees
A significant problem exists in the field of diversity training and multicultural management. The fact is that many of them are ineffective, and managers are met with passive-aggressive attitudes and negative backlash from employees (Dobbin & Kalev, 2018). The desired impact of such interventions on the behavior and attitudes of target workers also varies considerably from zero effect to satisfying results (Chang et al., 2019). It is partly the fault of the lack of standard systematic implementation, evaluation, and analysis techniques in the discipline (Devine & Ash, 2019). Fortunately, new generations of diversity training researchers are starting to fight this negative pattern of lack of standards (Neblett, 2019). The central aspect of diversity training that causes rejection among employees is its mandatory and controlling nature (Dobbin & Kalev, 2018). According to specialists, “the key to improving the effects of training is to make it part of a wider program of change” (Dobbin & Kalev, 2018, p. 52). Another promising area for the development of impactful diverse training is a focus on diversity intelligence (Hughes, 2018). It is diversity intelligence that is the central element of the workplace diversity program, which will be described here. The diversity program will be presented to employees as skill development training to avoid their possible conscious and unconscious adverse reactions.
Design, Development, Implementation, and Maintenance of the Diversity Intelligence Skill Development Program
Design
The development of diversity intelligence and an understanding of the personal and collective benefits of diversity in the workplace employees are a central goal of the proposed training program and a guiding principle of its design. The needed ideological propaganda in employees will be achieved by teaching them a combination of conceptually related professional skills. It is noteworthy that these include leadership, collaboration, and communication (Hughes, 2018). These will contribute to the development of desired personal qualities related to cultural and diversity acceptance and accommodation.
Development
This diversity program will be disguised as a skill development one with respective skill and communication development courses, lectures, regular teamwork tasks, and group assignments. This blended theory and practice set will provide the proposed program with the necessary triple interdisciplinary core (Kipnis et al., 2021). Such an approach will ensure the building of mutual understanding, trust, inclusiveness, and a friendly atmosphere in the team of employees. These well-developed qualities will help eradicate the infamous subconscious or unconscious bias present in all employees in all industries and which many training programs of a mandatory nature still cannot eliminate (Noon, 2018). Moreover, it will increase their productivity due to the improved practical skills of each employee and the absence of internal conflicts and misunderstandings.
Implementation
The diversity program will be implemented in the same manner as most other training interventions. It includes reviewing employees’ work schedules and asking their opinions on workplace climate. Another necessary step in implementation is the ideological linkage of the organization’s vision and employees’ personal goals with the need for comprehensive skill development training. Ideological promotion will also help management hide the true purpose of the diversity program, allowing workers to overcome their interfering subconscious psychological resistance (Dobbin & Kalev, 2018). All employees will be divided into several diverse, multicultural groups attending lectures and performing various one-person and group tasks focusing on leadership, cooperation, and communication. There they will develop diversity intelligence and an understanding of the positive impact of workplace diversity.
Maintenance
The working mechanisms and impact of any diversity program, including this one, are highly dependent on the current cultural context in which it is applied. Therefore, it needs both constant updates, corrections, and situational paradigm shifts. The diversity program will be re-run and updated every time new employees reach 5-10%. A responsible cross-cultural manager will introduce adjustments and improvements that contribute to the most rapid and friendly adaptation and integration of newly arrived cultural representatives.
Measurement Tools
Cross-cultural management is a highly nuanced topic within the managerial realm that has only recently begun to expand. Few assessment methods measure such subjective parameters as cultural adaptability and awareness. The U-curve model is one of the few measurement tools that can be applied after implementing the proposed diversity intelligence training program to get some revealing findings (Lawson & Shepherd, 2019). The U-curve model will be the primary evaluation instrument in the data analysis of the following practical stage of this study.
Diversity Program and Support for Cross-cultural Customers
Open corporate multiculturalism is now a profitable marketing element that attracts both money and a diverse audience. A well-known fact is that firms and corporations with a diverse workforce attract more customers and drive better sales (Gender diversity in the workplace increases sales, n.d.). Some organizations, including The Coca-Cola Company, are taking advantage of it and making public announcements ahead of their new diversity training. The same will be done before starting the new diversity intelligence skill development program that has been conceptualized here. It will show cross-cultural customers, consumers, and business partners, that the Coca-Cola Company supports them, shares their values, and strongly promotes them.
Working with Multicultural Clients
Doing international business is now a highly complex process both from an economic and organizational perspective, and the cultural one is no exception. The worldwide success of The Coca-Cola Company shows that the principle of adaptation they use in foreign markets works well (Dass & Vinnakota, 2019). Customizing the brand, its products, and workplace is the right and profitable way to work with multicultural clients for the Coca-Cola Company’s foreign branches. The fundamental principle is that adjustments and changes should show that The Coca-Cola Company respects the cultural background of its consumers and is aware of their financial and social status. However, Coca-Cola is a globally known trend, so standardization is also a hypothetically working cross-cultural communication with diverse customers.
Conclusion
This research paper explains and analyses The Coca-Cola Company’s cross-cultural management diversity training approach for regular and expatriate employees. A new diversity intelligence skill development program was also proposed and described scrupulously on these pages. It is still too early to suggest any other improvements and adjustments to the proposed cross-cultural training model because it has only been theorized, not implemented. The younger generation lives and grows in a globalized, inclusive cultural paradigm, and new managerial specialists can bring a universal diversity training program.