Kumar and Patriotta (2011) offer
some interesting insight on the role that culture plays on sensemaking during
alliance negotiations. Examining the potential impact that culture is
noteworthy when evaluating international alliances. Kumar and Patriotta (2011)
note that the majority of “this research has not explicitly assessed the impact
of culture in the context of international alliance negotiations” (p.512). I
found this to be particularly interesting as it also crossed over with my
previous learning on international communication.
Sensemaking is key to the
negotiation process as it “enables individuals to identify problems and form
explanations” (Kumar & Patriotta, 2011, p. 514). This particular article
narrows in on how task ambiguity as well as cultural ambiguity is managed through
the sensemaking process. According to Kumar and Patriotta (2011), “depending on
the degree of task and cultural ambiguity, international alliance negotiations
will require different types of sensemaking with correspondingly different implications
for how the negotiation process might unfold” (p. 521). I appreciate the
flexibility of this design, as multiple ways to address each constraint and
approaches to manage a combination of the two are mentioned.
Cultural ambiguity comes into
play when cultural barriers are hidden; therefore, it is difficult to gauge the
other partner’s intention (Kumar & Patriotta, 2011, p. 524). This
discussion leads to a short discussion on trust, as there is a lack of it in
the assessment of the partner. This notion ties into Barney and Hansen’s (1994)
discussion on how to recognize a strong form trustworthy partner. I found
myself considering the difference in cultures can affect one’s ability to judge
whether a organization is trustworthy. As Barney and Hansen (1994) note, “an organization’s
culture, and associated control systems, may be difficult to observe, and their
implications for individual behavior ambiguous- at least to those not deeply
embedded in this culture” (p. 186). This
carries over to cultural ambiguity, as the same concepts apply. In fact, an
organizations culture is often times influenced by the country’s dominant
culture.
A proposed solution for managing
cultural ambiguity by Kumar and Patriotta (2011) is “affective intermediation”
(p. 524). Essentially, this is a cultural mediator that attempts to align the
two entities by assisting in the “recalibration (of) their perceptions,
emotions, and attitudes about their partner” (Kumar & Patriotta, 2012, p.
524). While this can aid in the sensemaking process of the negotiation, it can
also assist in identifying a strong form trustworthy partner (Barney &
Hansen, 1994). Barney and Hansen (1994) state that “one would expect to see
strong form trustworthy firms and individuals to be very open to outside
auditors chosen by outside exchange partners” (p. 187). This is because these
types are also interested in bringing clarity to the situation as well as the
fact that they don’t have anything to hide. “The more ambiguous the negotiating
situation the greater the necessity of sensemaking” (Kumar & Patriotta,
2012, p. 529). With international alliances on the rise and reaching to new
countries, more attention should be paid to evaluating the culture
discrepancies as well as utilizing (or creating) strategies to minimize the ambiguity
in these new relationships.
Barney, J. & Hansen, M.
(1994). Trustworthness as a Competitive Advantage. Strategic Management Journal, Vol. 15, p. 186-187
Kumar, R., & Patriotta, G. (2011). Culture and
international alliance negotiations: A sensemaking perspective. International Negotiation, 16(3), 511-533.
Shanah, it’s interesting that you found an article that discusses sensemaking. This is a famous concept from the organizational theory literature that was introduced by the scholar Karl Weick (kinda of a ‘superstar’ in the academic world). Do Kumar and Patriotta provide an explanation of what sensemaking is? You note that they discuss different types of sensemaking. It would be interesting to hear more about this point.
ReplyDeleteI think you raise a very interesting point with respect to the role that cultural differences play in the formation of trust. What do you think the process of “affective intermediation” looks like? For example, for a partnership between a US company and a Chinese company, what sorts of recalibrations might need to occurs.
Jessica, sensemaking is defined by Kumar and Patriotta as “one of the central cognitive functions that people must perform in organizational settings in order to enhance their grasp of what is happening”. Basically, it allows individuals to identify problems, form explanations, and guides their subsequent actions (Kumar&Patriotta, 2011, p. 514).
ReplyDeleteIn regards to the ‘affective intermediation” process, I think that several cultural calibrations would need to be addressed. For starters, I would highlight the inherit differences between the American individualist society and China’s collectivistic society. Kumar and Patriotta (2011) give the example of Alpha Gearing Systems (AGS) and Shangai Co Ltd where the task ambiguity was low but the cultural ambiguity was high. A few of the cultural differences Kumar and Patriotta (2011) noted are below:
1. Individualists “focus on goals whereas collectivists emphasize process” (p. 525).
2. “The communicative style of the individualists is direct whereas the collectives are indirect” (p. 525).
3. Collectivists are concerned with “affect based trust” which is formed on relationship development and individualist “oriented towards cognitive trust” which is based on predictability (p. 525).
4. Face management is much more important to collectivists (p. 525).
In this particular scenario, ineffective management of (cultural ambiguity) had severe consequences” (Kumar & Patriotta, 2011, p. 525). I think it is important to note it is necessary to have a mediator that is grounded in both cultures that are present in the partnership. That would seem obvious to most, but under these circumstances being able to mitigate culture perceptions is key. I think the key to these mediations is to assist the sensemaking process by providing groundwork to the basis of the expectations and/or actions.