Decision making styles for organizations in China and Germany

Organizational Behavior

Decision Making Styles

Decision making styles depend on numerous factors such as an individual's personal skills, perceptions, the organizational culture in which he or she operates and more importantly, the overall culture of the country. In general, there are four kinds of styles and they are directive, analytical, conceptual and behavioral. This paper will focus on the right kind of decision making style for each organization that operates in different cultures.

Decision making styles used by the company in China

The current decision-making style used in the company is analytical. In this case, the manager analyzes all possible options and does a thorough research before deciding. They are autocratic in every sense and the leader or manager maintains complete control over all aspects of decision-making. There is little involvement from the co-workers and the leader becomes solely responsible for the consequences of the decision.

This decision-making style has worked well for my company because it ensures that decisions are made fast and this can be critical in a construction company. For example, when the supplier of a particular raw materials has a delay in sending shipment, quick decision-making becomes crucial. The manager makes an analysis of other available suppliers and their rates and based on this information, he decides to procure it from someone else to ensure that the work is not delayed. Thus, the problem is resolved after a fair amount of analysis and the employees can continue with their work because they have no say in the decision-making process.

However, the downside is that these decisions are based on the perceptions and ideas of one individual and this may not always augur well for the organization. Moreover, when any decision backfires, it can affect the career path and sometimes, even the job of the leader.

Decisions styles based on the cultural analysis and their differences

Based on an analysis of the culture using the Hofstede Model, it can be concluded that the directive style of decision making would work well for the company's operations in China. This is because this style revolves simply around the routine and practicality. The employees are used to a regimented Government and culture and are comfortable following instructions. For such employees, this style works best because it is action-oriented and the quickest. Though there is a higher possibility to make mistakes, the quickness makes it worth the risk. They are autocratic in many ways and still continue to provide quick results needed and this style is the best for this company primarily because the tasks are routine and do not require a lot of decision-making from time to time.

The behavior style is best for German companies and there is no need to make a change to that style. The emphasis on social groups, collective responsibilities and shared common goals make this the perfect choice.

The differences in culture is evident from the styles that will work best in each of these cultures. While the Chinese are used to a regimented and routine work, Germans want to have more say in the decision-making process and are constantly looking to innovate. This difference necessitates different leadership styles and so, the directive style of decision-making would work well for Chinese operations while for the German operations, the company has to shift to the behavioral style of decision-making.

Conclusion

In short, the culture of a country determines to a large extent the decision-making style that has to be put in place by the company. The managers and leaders need to imbibe the required decision-making style to ensure that the operations are successful in different cultures. The above mentioned differences in Chinese and German operations of the same company are good examples of how globalization has necessitated companies to embrace different approaches for the successful operations of the company across different countries and cultures.