Responding to

Globalisation

Presented by:
•Pratiksha Gupta
•Tamal Goswami
•Avijit Mitra
•Riddhi Mukherjee
•Ritwik Banerjee
•Raunak Bose
 Chapter 1

Increased foreign
assignments
 FOREIGN ASSIGNMENT
• DEFINATION
• OBJECTIVES
• THREATS
 CHALLENGES
• Foreign exchange rate volatility.
• Languages and culture differences.
• Protectionism.
• Global competitors
• High cost of global sourcing of
resources and global making of a
product.
 OPPORTUNITIES
• Cost minimum advantage.
• Use of new technology.
• Large investment in R&D.
• Insulation from fluctuation in
economy in one country due to
presence in many country.
 COMPARATIVE ADVANTAGE
TO DEVELOPED COUNTRY &

COMPARATIVE
DISADVANTAGE TO
DEVELOPING
• ADVANTAGE _COUNTRY
SURPLUS
BUDGET
• DISADVANTAGE _ DEFICIT
BUDGET
 CONFLICT OF INTEREST
BETWEEN DEVELOPED &
DEVELOPING NATION ABOUT
FOREIGN ASSIGNMENT

• FAILURE OF WTO CONFERENCES

 Chapter 2

Working with people from

different cultures
 UNDERSTANDING
BECOMING BECOMES
CULTURES AWARE ABOUT
VERY
OTHER CULTURES
IMPORTANT
• Culture is a pattern of behavior
related to values and beliefs that
were developed over a period of
time. Improving knowledge
• There areabout your co-workers
similarities,
cultures
overlapping improve the
and sometimes
clear distinction between
work experience.
attributes of different cultures.
• Not all cultures value the same
thing or in the same priority.
CULTURES INFLUENCE WORKING
STYLES
Cultural differences affect workplace
behavior and practices in the following
aspects:-

• Individualism and collectivism.

• Power distance.
• Uncertainty avoidance.
• Quantity vs quality of life.
COMMUNICATION- THE KEY TO
SUCCESS
• Make an effort to learn about your
co-workers’ cultures.
• Be neutral while communicating.
• Be clear with your ideas and goals
while interacting with employees
from other countries.
• Listen. It solves most of the problem.
HOW TO CREATE CONDUCIVE
ENVIRONMENT
• Diverse workforce creates
diverse thoughts and ideas.
• It helps in adapting to
fluctuating markets and
customer demands.
• Companies should encourage
diverse workforce.
• Companies should conduct
cultural awareness programs
for their employees.
Anti capitalist backlash:
A challenge of globalization.
 Why the backlash?

• Traditional Globalization flowed from developed markets to emerging

markets. Often dubbed, “Americanization.
• Americanization lead to Anti capitalism.
• In the eye of the storm: foreign Multinationals.
• Reasons for this backlash:
1. Inherent conflict between government point of view and the companies.
2. Criticisms on subjects of hiring and firing, transferring of technologies, moving funds,
deemed necessary by the company.
3. Footloose capability of the mncs to move production abroad to avoid giving in to labor
unions in the low cost emerging markets.
• The repercussions: Anti capitalist backlash.
From the view point of the protesters globalization
through MNCs,is robbing the host country of its
rich resources for increasing its own country’s
national product.
welfare of the host country not taken care of.
 Anti capitalist backlash, Where?
• The anti-capitalism backlash has occurred
extensively in the emerging markets that
embraced free-market capitalism the most.
• This disappointment has been most visible in
Latin America, where countries such as
Argentina and Venezuela have found that
the economic opening has not solved their
long-standing institutional weaknesses.
• It is also clearly visible in Central Europe, as
communists become more widely accepted as
political candidates, and especially as Russia
stagnates in the early twenty-first century.

• Exceptions to this situation in emerging

markets include Mexico, which has
advanced dramatically in living standards
since joining the USA and Canada in NAFTA,
and China, which remains under a nominally
communist government, but which is
accepting more and more capitalist activity,
with a resulting economic boom over the past
ten years.
 Meeting the challenge:
lets become the global leaders

A progressive country will capitalize on

the capabilities of its people, and not
merely prevent outside influences from
forcing growth in those capabilities.
• A very popular idea doing rounds in this
context is anti protectionism: A concern
over the drain of intellectual property,
innovation and jobs, to foreign lands.
• How Anti protectionism can
be put to use? Current scenario gives a very interesting insight
Anti capitalist cry has been almost drowned
• Antiprotectionism is an opposing force to under the emerging Indian global leaders.
anticapitalism.
• Encouraging growth and expansion of
domestic multinationals would set this
force into play. Then people will be more
concerned with keeping the jobs of
domestic MNCs within the country, rather
than concerning themselves with ousting
the foreign MNC’s.
Overseeing movement
Chapter 4
of jobs
to countries with low cost
labour
 Outsourcing
• Outsourcing became part of the
business lexicon during the 1980s.

• Outsourcing : Subcontracting a
service, such as product design or
manufacturing, to a third-party
company.
 •Information
Technology
•Real
What estate
can I outsource as a
management
manager
•Telemarketing
•Market research
•Designing
•Web development
•Cost savings
What are my Opportunities
•Improve quality
as a manager
•Capacity management
•Focus on Core Business
•Access to talent
 From the standpoint of
•Quality Risks
What are my challenges
labor within countries
In outsourcing offshore
on theargue
Quality
In the negative
area
Riskof end
iscall
the of
•Language skills Some
there that
is an issue the
of staff
as a manageroutsourcing
propensity
outsourcing
turnover
represent
in the
this
centers end-user-
for
ofajobs
or aservice
new
may
threat,
•Exploits the lower paid
product
experience
(particularly
outsourcer
contributing
defective,
to be of the
exploits
is deemed
companies
duetoto
lower
to be
off-shore)
quality
call centers lower paid
workers rampant workeris
operations-related
when a service
workers.
insecurity,
outsourced.and
issues
•Standpoint of labour reflective of the
general process of
•Staff turnover globalization
 Chapter 5

Managing people during war

and terror
 • Channel Energy Positively

• Take Care of Security and Safety

• Provide an Information Channel and Curtail 24/7
News Monitoring

• Accept the fact performance and productivity will drop

 • Be Authentic and Visible

•Educate managers and supervisors

 • Keep communication open • Help those in need first

•Activate crisis plans

 • Restrict negative behavior

Cultivate a calm, confident, and compassionate

leadership style.
Summing up
Thank you