In the 1960’s, Hofstede conducted one of the most comprehensive studies on how values in the workplace are influenced by culture. He began analysing a large database consisting of thousands of employees within IBM to collect employee value scores within 1967 and 1973. The data covered more than 70 countries, from which Hofstede first used the 40 countries with the largest database group of respondents and afterwards extended the analysis to 50 countries covering three regions. In the 2010 edition of the book, “Cultures and Organizations: Software of the Mind”, scores on the dimensions are listed for 76 countries, partly replications and extension of the IBM study on different international populations and by different scholars.
Hofstede’s (1984) dimensions are considered the most extensively utilised in many management and behaviour studies. For decades, Hofstede’s establishments have been considered a marker post for subsequent researcher (Smith, 2006). As of 2017, there were over more than 54,000 citations to his work. Hofstede (1984) originally identified four dimensions of culture, which are: individualism/collectivism (IDV), power distance (PDI), masculinity/femininity (MAS) and uncertainty avoidance (UAI). Later, he further collaborated with other researchers to identify the fifth dimension: long-term/short-term orientation (LTO) (Hofstede and Bond, 1988) and the sixth dimension: indulgence/restraint (IVR) (Hofstede, 2011). The national culture dimensions identified within his model are described in Table 1 below:
89 Table 1: Hofstede’s national culture dimensions
Dimension Description Low High
IDV In relation to the integration of individuals
into primary groups and the degree to which people are expected to stand for themselves, or
alternatively act predominantly as a
member of the organisation.
- Collective interests prevail over individual
interests;
- Stands for a preference for a tightly knit social
framework in which individuals can expect
their relatives, clan or other in-groups to look after them, in exchange
for unquestioning loyalty.
- Individual interests prevail over collective
interest; - Stands for a preference for a loosely knit social framework in society
in which individuals are supposed to take care of themselves and
their immediate families only. PDI The extent to which the
members of a society accept that power in
institution and organisations is distributed unequally. - Decentralised decision structures; - There is interdependence between less and more
powerful people; - All should have equal
right.
- Centralised decision structure; - Less powerful people
should be dependent on the more powerful;
- The powerful have privileges.
MAS The measure by which a culture values behaviour such as assertiveness, achievement, acquisition
of wealth or caring for others, social support and
quality of life.
- Societies in which social gender roles
overlap;
- Stands for a preference for relationships, modesty, caring for the weak, and the quality of
life;
- Even the men prefer modesty.
- Societies in which social gender roles are
clearly distinct; - Stands for a preference for achievement, heroism, assertiveness, and material success; - Even the women prefer assertiveness. UAI The extent to which the
members of a culture prefer structured over unstructured situation. Structured situations are
those in which there are clear rules as to how one
- People tend to show more easy-going energy;
- Flexible; - What is different is
curious.
- People tend to show more nervous energy;
- Rigid; - What is different is
90 should behave. The rules
can be written down, but also can be unwritten and
imposed by tradition. LTO - In relation to the choice
of focus for people's efforts: the future or the
present and past; - The degree of importance placed on the
future in contrast to the past and present. It describes a society’s time
horizon.
- Find values oriented towards past and
present.
- Finds values oriented towards the future
IVR - In relation to the gratification versus control of basic human
desires related to enjoying life; - The degree to which the
gratification is needed in contrast to the control of
basic human desires related to enjoying life.
- A perception of personal life control; - High importance of
leisure; - Saving is not very
important; - Freedom of speech is viewed as important; - Maintaining order in the nation is unimportant. - A perception of helplessness; - Low importance of leisure; - Saving is important; - Freedom of speech is not a primary concern; - Maintaining order in
the nation is important.
Source: Hofstede, G., & Hofstede, G. J. (2005). Organisationer och kulturer; Hofstede, G. (2008). A summary of my ideas about national culture differences. Retrieved May, 20, 2008;
and Hofstede, G. (2010). National culture dimensions. US Country.
Hofstede (2010) conceptualised national culture by treating it as implicit, an alternative conception of subjective. He stood firm to this view as he describes culture as “mental programming” and as “software of the mind”. Similarly, Rossi (1974) stated that culture speaks of the “unconscious infrastructure”, while Schein (1985b) describes it as “basic assumptions and belief … that operate unconsciously”. The notion is not merely the causal core of mental programming but also territorially unique. McSweeney (2002) further believed that national culture is not theorised as the only culture, or the totality of cultures,
91 within a nation, but by definition it culturally distinguishes the members of one nation from another.
The definition of culture by Hofstede can also be applied at the organisational level. Figure 4 shows the different levels of culture. In describing culture, Hofstede has made a division into four layers. The research by Hofstede et al. (1991) has shown that cultural differences between nations are especially found in the deepest level – the values. He defined values as broad preferences for one state of affairs over others to which strong emotions are attached and by which one group distinguishes itself from other groups. Essentially, values refer to such preferences like freedom over equality or equality over freedom.
Figure 4: The different levels of culture
Source: Hofstede, G., Hofstede, G. J., & Minkov, M. (1991). Cultures and organizations: Software of the mind (Vol. 2). London: McGraw-Hill, p. 8.
In comparing national culture with organisational culture, an organisation is less complex and less diffused than a nation. Most organisations have clear objectives and most of the activities within that organisation are aimed towards realising such objectives. Thus, for that matter, a definition of organisational culture can be more precise and specific than in the case of national culture. In comparison, cultural differences among organisations located within the national culture arena are especially identified on the level of practices. Practices
92 are more tangible compared to values, which require more specific characterisations. This complexity adds more challenges to studying this one.