Question:
Discuss about the Cultural Dimensions in Management and Planning.
The following report is going to illustrate and comment on the news story pertaining to the decision taken by Uber Australia and its unfair job cut to the drivers. it has been noticed that the drivers in Uber are not considered to be their employees and they are hardly regarded as the valuable internal stakeholders of the organization. These unfair dismissals have raised controversies in the global business plinth. According to the news story published in the Business Insider, the contractor relationship has been worsened by the company in deliberate manner. This has raised questions pertaining to the longevity of the career in Uber by innumerable drivers. This is how they have knocked the door of Fair Work Commission thus talking about their professional rights.
The report is thus going to address and identify the issues related to international human resource practices thus focusing on the basic structure of the entire case that was highly effective for its different understanding of the cases in relation to cross cultural and multidimensional human resource issues (Hofstede,1984). In this case this has been taken into certain consideration pertaining to the effective understanding of the cases that has been taken into serious concern with specific reference to the selected news story.
It has been found that Uber, an international private hire company headquartered in the United States of America has been popping up in the headlines due to its unfair business relations with the “employees”- to be specific, the drivers. In this context, it has been taken into certain consideration pertaining to the effective understanding of how the business process of the company is driven through the utter success.
According to the news article published in the Business Insider, dated June 30, 2017, several drivers in collaboration with Rideshare Drivers Association have filed a case related to Unfair Dismissal against Uber Australia. the main issue and agitation among the drivers is that the company does not classify the drivers as the employees. In this context, the relationship between the employees and the employer is seen to be at stake. As a matter of fact, this has been taken into certain consideration pertaining to the acceptance of the greater number of the drivers who have been a significant part of the rideshare giant. In this context, it can be stated that in most of the cases the basic understanding of the process pertaining to the entire criteria of the issues have been taken into certain consideration because of thorough negligence towards the drivers by the company. As a matter of fact, this has to be studied through the effective understanding of the process where the business effect is highly channelized by core human resource management process. The term “driver-partners” undoubtedly rejects the drivers to be accepted as employees of the company. Hence the drivers feel extremely insecure that they are not going to be handled seriously as the employees of an organization are regarded. On top of that Uber, according Business Insider, has not even responded and reacted to the case that has been filed against them. Thus it becomes evident that the company accepts the fact that the drivers are not the employees.
Considering the human resource acceptance of any company a logical consideration is going to be developed with the help of international human resource practices and its related theoretical approaches (Sparrow, Brewster & Chung, 2016).
At the basic of the human resource management practices, the security issues of the employees becomes the most important concern for each and every working individual and the organization (Baum, 2016). Rudimentarily, the monetary benefits and organization dignity is going to be the most important factor for the retention of the most of the employees. So far the concept of employee retention is concerned; in international business, there are different understandings of the process. It actually varies from the cultural concept. Two different theories have been incorporated while discussing the aforementioned problem. Moreover, the identification of the problem has also focus on the basic changes pertaining to the basic understanding of the process. Two of the most important theories have been taken into account for the further illustration and analysis of the issues. These are:
According to the cultural dimension model propelled by Hofstede, an effective difference in the mode of communication would be quite impactful in determining the human resource management practices for international business. he has talked About sex different dimensions. These are:
It has been identified through detailed study that in Australia, most of the taxi drivers are from India and Bangladesh. According an article of NEWS.COM, the Indian born taxi drivers have almost outnumbered the native Australian workers. Hence, the process of addressing is stringently the native Indian or Bangladeshi style. According to ABS Census report more than 4000 drivers are Indian-born. This number is effectively concentrated in South Australia and Victoria. Hence, it can be stated that the drivers working under Uber are mostly Indians. In this case, the cultural dimension has different conception in relation with an American company such as Uber. Uber being an American company has been doing business in different countries with its native mindset. This has been the major setback for the company because it has actually failed to understand the mindset of the Indian born drivers in Australian scenario. In this context, this has been taken into certain consideration pertaining to the fact that the basic changes in the mode of the differentiation of the process has been kept within the organizational perspectives. The Indians are much more family oriented than the Australian born individuals. Hence, it becomes important for the companies to become responsible for the security issues of the employees. In this case, UAI or Uncertainty Avoidance Index of Hofstede’s cultural dimension is going to be taken into consideration. Since USA is stringently individual in sense, there has been a thorough problem for considering collective workforce.
Trompenaar has focused on the national cultural differences as an impacting force upon the human resource management decisions. While illustrating the issues associated with the Uber drivers in Australia, the concept of universalism and particularism has been taken into account (Ferraro & Briody, 2017). The national culture in Australia is specifically different from that of the United States. In this specific case, there is an intra-national difference associated with the labor market structure. Since the drivers are mostly Asian in culture, they somehow take more time to cope-up with the Australian culture. However, in order to take the drivers’ mentality into the US procedure, Uber has actually problematically dealt with the issues.
Since most of the Uber drivers in Australia are Asian, they look forward to the job as their career. It needs to be taken into account that the Asians, in terms of job responsibility are highly and stringently associated with their family. Their family values are prioritized and they are extremely responsive to their family orientations. In this case, the drivers and their families are highly dependent upon the work they do with the organization. Here comes the conflict of individualism with collectivism. In this context, it can be stated that the basic concept regarding the factor has been taken into certain understanding of the factor that was highly comparative for the basic changes in the global issues.
Conclusion:
It is to be noted that the Uber drivers in the United Kingdom are now considered as the employees of the company (Osborne, 2017). They are no more self-employed. The self-employed Uber drivers are actually deprived of holiday pay, pensions and the other workers’ rights. There has been a huge lacuna of communication between the management and the independent drivers or to be specific, “independent contractors”. In terms of international consideration of the drivers, some of the national courts have agreed to the fact and some of the courts have opted not to support the company in legitimate manner because the drivers, being tagged as independent do not receive security assurance. This is the major setback for the company because it has actually failed to understand the mindset of the Indian born drivers in Australian scenario. In this context, this has been taken into certain consideration pertaining to the fact that the basic changes in the mode of the differentiation of the process has been kept within the organizational perspectives. The Indians are much more family oriented than the Australian born individuals. Hence, it becomes important for the companies to become responsible for the security issues of the employees.
It can thus be concluded that the company needs to focus on workforce diversities where there are different people working in various countries. The index needs to b e identified and it has to be taken into certain consideration pertaining to the effective work culture.
Reference:
Baum, T. (Ed.). (2016). Human resource issues in international tourism. Elsevier.
Budhwar, P. S., & Debrah, Y. A. (Eds.). (2013). Human resource management in developing countries. Routledge.
Ferraro, G. P., & Briody, E. K. (2017). The cultural dimension of global business. Taylor & Francis.
Hofstede, G. (1984). Cultural dimensions in management and planning. Asia Pacific journal of management, 1(2), 81-99.
Osborne, H. (2017). Uber loses right to classify UK drivers as self-employed. the Guardian. Retrieved 5 October 2017, from https://www.theguardian.com/technology/2016/oct/28/uber-uk-tribunal-self-employed-status
Snell, S. A., Morris, S., & Bohlander, G. W. (2015). Managing human resources. Nelson Education.
Sparrow, P., Brewster, C., & Chung, C. (2016). Globalizing human resource management. Routledge.
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