Working in an international market is a way complicated and difficult than working in a domestic market. International organization faces several challenges while managing global teams. Global teams are made of people belonging from various cultural backgrounds with different language preferences, understanding, different methods of doing works are so on. The organizations that are working in a global level have to managing operations, human resources and some others are functions in a very complicated manner.
In order to manage global operations in an effective manner and manage global teams, it is essential to have proper understanding of the challenges that the organizations are facing or may have to face while entering to the global market. The following study would unfurl the challenges faced by organizations in managing global teams. It would review some literatures in order to have a proper understanding of the challenges and the possible ways to mitigate challenges.
Project Objective
The main objective of this project is to understand the challenges faced by global teams and to find out mitigating strategies that can be beneficial for dealing with such issues.
Project Scope
The project offers a wide range of scope that would give the readers an insight into the challenges faced by organizations while managing global teams. The scope of the project includes information regarding global teams. The way such teams operates. Due to the increasing competition in each industry organizations are facing the need to have global mark and international existence. The need for creating global organizations has created the need for managing global teams (Shea et al.,2011). In most of the cases, operating in a global level requires better communication among the employees, effective management, cooperation among employees from diverse background (Ang and Van, 2015). This project would provide understanding of how such organizations works in a global level. This would help in identifying risks and challenges and strategies.
Literature Review
In the present scenario, globalization mainly influences the business organization to develop the trade and business in the international market. Globalization mainly helps the organizations to improve the efficiency level in the global market and additionally, it helps to lower down the cost for the organizations (Colomo-Palacios et al., 2014). It directly helps the organization to focus much on innovation and performance, which helps them to perform in the global market. Global teams are the teams which are mainly formed in different geographical areas and cultural boundaries. This mainly helps to achieve wide knowledge and understanding.
On the other hand, it also helps the business organizations to lower down the cost and motivates them to manage the teams in a local level. The manager needs to manage the teams at different level, which creates a burden for them. Most of the team members operate from remote areas, which create lack of awareness among them. The different teams contribute of their own at local level. However, they fail to understand the mutual benefits of different teams.
Therefore, it can be said that internalization of the business mainly helps to bring new innovation and reality in the corporate world. It has been found that cultural difference in between the societies and governments mainly brings different challenges which create several barriers for the organizations to manage the business in the global teams (Wendling et al., 2013).
In hofstede cultural dimension theory, there are mainly four dimensions which are namely power distance index, individualism versus collectivism, masculinity verses femininity and uncertainty avoidance. These dimensions mainly help to create difference between national cultures. Mainly different indexes help to bring difference in the perceptions and processes (Daim et al., 2012). It can be said that different situations can be handled based on country’s wellbeing and quality. Culture and work pattern has been studied more than 50 countries. Therefore, it can be said that different cultures can directly affect the work pattern.
In any business organization the manager plays of the effective roles. Manager mainly manages different teams at different locations. In order to retain the large number of employees the management needs to look after needs and benefits of the employees. It helps the business organizations to get efficient employees, who can easily manage different situations and complexities (Reiche etal., 2016). Additionally, it can create different barriers and challenges for the different business organizations. Presently, all the businesses are much willing to develop and use the human resource globally. Decision making can be considered as one of the major challenges that are being faced by the companies as there is no such coordination among team decisions. Due to ineffective time management, it becomes much difficult for teams to develop their business decisions (Lilian, 2014).
Language can be considered as one of the barriers as teams are located in different geographical areas. Due to mismanagement most of the important data gets lost. Most of the team members find it difficult to adopt the different cultures of different countries. This directly affects the team work and highly affects the final outcome. However, it can be said that success and failure of any business is highly depended on communication (Zander et al., 2012). With the advent of technology, most of the companies are trying to grab new opportunities in the internal market. This is helping the companies to get success in the global market. In order to manage the global teams, the companies need to select the right and most effective mode of communication. Both misunderstanding and ineffective communication can create huge barrier in managing the global teams.
Culture can be considered as another major barrier. Cultural differences can create huge gap in the thinking as well as interpretation process. Cultural differences can also create huge barrier in the communication, which affects the team work. The project manager of different companies needs to focus much on the intercultural competence so that they can easily manage the challenges in the right way. This will directly help the companies to manage the global teams. Based on the organizational needs the management should adopt the right leadership style. This will help to increase the productivity as well as the performance level (Shaffer et al., 2012).
Different time zones can be considered as of other challenge. Availability of different time zones, teams involved in working at various geographical locations obtain limited time in order to communicate and get in touch with each other. This disturbs the important projects of the organization in which delays could not be accepted (Gibbs and Boyraz, 2015). The development of technologies have made it more easy for the working teams in order to communicate but again, time holds the most significant place. On the other hand, the timing of communication delivery is significant for the effective communication among teams.
According to Peltoniemi (2015), individuals from varied cultures makes a challenge for the existing teams. This is one of the main responsibilities of the project manager in order bring down the challenges as well as to make a business environment between different teams that helps them in communicating with everyone. There must be a common organizational culture that is to be followed through the teams at different geographical locations along with in various departments of the same companies. The common organizational culture created in the organization would assist departments of the same companies (Bolmanm and Deal, 2017). The same culture has been created in the organization would help the workers to manage in the company’s environment as soon as could.
Organizational manager is considered as the focal figure in each project as well as it depends on the manager’s capabilities that in which way the teams would be managed to get the most out of the hard works given by the team members. The higher manager should set the apparent criteria of the organizational performance that should be uniform for all the working teams (Harper, 2015). This helps in reporting the outcomes of the team efforts. This is very precious ton have a right personal mind-set in order to manage the multicultural teams.
According to Moser and Kalton (2017), a survey has been conducted in various countries that helped in evaluating the difficulties and odds faced by the teams in various countries. The investigation was conducted on the perception that the consumer is from an automobile organization from America and the technological design partner is from Germany. The production is held in China and project manager is in States. As per the outcomes, it was a clear assumption that the local work policies and processes of each country deliver a main role in the project execution and application. A varied working philosophy of each is followed at the time of completing the project.
This is very much challenging to change the local understanding of the individuals. For example, Chinese divided the entire project in separate parts and move forward in steps. They have generally followed autocratic leadership style and are hard working. On the other side, it could be said that Germans understood their works according to their understanding (Kaplan, 2017). They work according the schedule and follow the working progress very cautiously. On the other hand, Americans could be considered of both Chinese and Germans. They with synchronization move forward after evaluating the main objectives of the project and after that take steps in order to move further.
Organizational managers need to underline these difficulties and ensure that the involve teams could feel to be part of the same organizational culture as well as standards that would make them feel valued by the organizational management. This is seem that the ethnically aware f the management and cross cultural communication process among the organizational teams that could lead to better management of the organizations along with their projects.
The employees should be encouraged to participate equally in the projects. A common platform should be established for effective communication. Virtual teams have proved to be one of the major ways to resolve dilemma. Cultures of each individuals has to be respected and appreciated.
Conclusion
From the above discussion, it is understood that, organizations in a global level faces major challenges. International organizations face challenges in order to maintain coordination among the team members in a global level. The major challenges face by the organizations in global level is communication issues, cultural gap, gap in time zone and difference in understanding. It is also observed that language gap is also another major gap.
Different nations have different accents and this is one of the main reasons that create communication barriers. Virtual teams are becoming popular days by day such teams are able to overcome barrier of physical distance. However the issues are also prevalent in the case of such teams as wheel. Teams belonging from different counties face dilemma as they have different language and time zone. The above study establishes some of such issues and provides brief understanding of how such situations can be dealt.
Reference list
Ang, S. and Van Dyne, L., 2015. Handbook of cultural intelligence. Routledge.
Bolman, L.G. and Deal, T.E., 2017. Reframing organizations: Artistry, choice, and leadership. John Wiley & Sons.
Colomo-Palacios, R., Casado-Lumbreras, C., Soto-Acosta, P., García-Peñalvo, F.J. and Tovar, E., 2014. Project managers in global software development teams: a study of the effects on productivity and performance. Software Quality Journal, 22(1), pp.3-19.
Daim, T.U., Ha, A., Reutiman, S., Hughes, B., Pathak, U., Bynum, W. and Bhatla, A., 2012. Exploring the communication breakdown in global virtual teams. International Journal of Project Management, 30(2), pp.199-212.
Gibbs, J.L. and Boyraz, M., 2015. International HRM’s role in managing global teams. The Routledge companion to international human resource management, pp.532-551.
Harper, C., 2015. Organizations: Structures, processes and outcomes. Routledge.
Kaplan, A., 2017. The conduct of inquiry: Methodology for behavioural science. Routledge.
Lilian, S.C., 2014. Virtual teams: Opportunities and challenges for e-leaders. Procedia-Social and Behavioral Sciences, 110, pp.1251-1261.
Moser, C.A. and Kalton, G., 2017. Survey methods in social investigation. Routledge.
Peltoniemi, M., 2015. Cultural industries: Product–market characteristics, management challenges and industry dynamics. International journal of management reviews, 17(1), pp.41-68.
Reiche, B.S., Stahl, G.K., Mendenhall, M.E. and Oddou, G.R. eds., 2016. Readings and cases in international human resource management. Taylor & Francis.
Shaffer, M.A., Kraimer, M.L., Chen, Y.P. and Bolino, M.C., 2012. Choices, challenges, and career consequences of global work experiences: A review and future agenda. Journal of Management, 38(4), pp.1282-1327.
Shea, T.P., Sherer, P.D., Quilling, R.D. and Blewett, C.N., 2011. Managing global virtual teams across classrooms, students and faculty. Journal of Teaching in International Business, 22(4), pp.300-313.
Wendling, M., Oliveira, M. and Carlos Gastaud Maçada, A., 2013. Knowledge sharing barriers in global teams. Journal of Systems and Information Technology, 15(3), pp.239-253.
Zander, L., Mockaitis, A.I. and Butler, C.L., 2012. Leading global teams. Journal of World Business, 47(4), pp.592-603.
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