Hofstedes 5 dimension

Hofstede's 5 dimensions theory is a framework for cross-cultural

communication. There are five elements in this dimension, which are
power distance, individualism versus collectivism, masculinity versus
femininity, uncertainty avoidance and short term versus long term
orientation.
First dimension is power distance. Power distance refers to the
degree of inequality that exists and is accepted among people with and
without power. A high PD score indicates that society accepts an unequal
distribution of power, and that people understand "their place" in the
system. Low PD means that power is shared and well dispersed. It also
means that society members view themselves as equals. For example,
Indonesia scores high in this dimension which means Indonesian being
dependent on hierarchy, unequal rights between power holders and non
power holders, leaders are directive, management controls and delegates.
Power is centralized and managers count on the obedience of their team
members.
Second is individualism versus collectivism. In individualistic
cultures people are expected to portray themselves as individuals, who
seek to accomplish individual goals and needs. In collectivistic cultures,
people have greater emphasis on the welfare of the entire group to which
the individual belongs, where individual wants, needs and dreams are
often set aside for the common good.For example, Indonesia, with a low
score of individualism which mean is a Collectivist society. This means
there is a high preference for a strongly defined social framework in
which individuals are expected to conform to the ideals of the society and
the in-groups to which they belong.
Third is masculinity versus femininity. This refers to how much a
society sticks with values, traditional male and female roles. High MAS
scores are found in countries where men are expected to be "tough," to be
the provider, and to be assertive. If women work outside the home, they
tend to have separate professions from men. Low MAS scores do not
reverse the gender roles. In a low MAS society, the roles are simply
blurred. This means women and men working together equally across
many professions. For example, if open an office in Japan, you might
have greater success if you appointed a male employee to lead the team
and had a strong male contingent on the team. It is because Japan is high
masculinity.

Next is uncertainty avoidance. This relates to the degree of anxiety

that society members feel when in uncertain or unknown situations. High
UAI-scoring nations try to avoid ambiguous situations whenever
possible. Low UAI scores indicate that the society enjoys novel events
and values differences. For example, Indonesia has a low preference for
avoiding uncertainty. This means that there is a strong preference in
Indonesia toward the Javanese culture of separation of internal self from
external self.
Last is short term versus long term orientation. This dimension
describes how every society has to maintain some links with its own past
while dealing with the challenges of the present and future. Values
associated with Long Term Orientation are thrift and perseverance.
Values associated with Short Term Orientation are respect for tradition,
fulfilling social obligations, and protecting one's 'face'. For
example,Indonesia having long-term orientation which indicates that it
has a pragmatic culture. In societies with a pragmatic orientation, people
believe that truth depends very much on situation, context and time.
The advantages of knowing Hofstede five dimensions are:
Hofstede provided a definition of culture and how culture can be
measured. His research showed that cultural differences matter. For
example, Managers in international organisations able operate according
to their country's values, rather than to the organisation's culture.
Hofstede's model provides managers of cross-cultural relations a
tool to help them understand differences in value sets and behaviour. For
example, employees from related national cultures work in similar
fashions, thereby reducing the chance of conflicts.
The model negates that one set of principles is universally applicable
by confirming that there are multiple ways of structuring organisations
and institutions. An organisation's wider social and cultural environment
plus its technology determines the level of bureaucracy and centralisation
(Scott, Hofstede).
Managerial Implications: Managerial Functions
Planning
The planning function of management controls all the planning that
allows the organization to run smoothly. Planning involves defining a

goal and determining the most effective course of action needed to reach
that goal. Typically, planning involves flexibility, as the planner must
coordinate with all levels of management and leadership in the
organization. Planning also involves knowledge of the companys
resources and the future objectives of the business.
Organizing
The organizing function of leadership controls the overall structure of the
company. The organizational structure is the foundation of a company;
without this structure, the day-to-day operation of the business becomes
difficult and unsuccessful. Organizing involves designating tasks and
responsibilities to employees with the specific skill sets needed to
complete the tasks. Organizing also involves developing the
organizational structure and chain of command within the company.
Staffing
The staffing function of management controls all recruitment and
personnel needs of the organization. The main purpose of staffing is to
hire the right people for the right jobs to achieve the objectives of the
organization. Staffing involves more than just recruitment; staffing also
encompasses training and development, performance appraisals,
promotions and transfers. Without the staffing function, the business
would fail because the business would not be properly staffed to meet its
goals.
Coordinating
The coordinating function of leadership controls all the organizing,
planning and staffing activities of the company and ensures all activities
function together for the good of the organization. Coordinating typically
takes place in meetings and other planning sessions with the department
heads of the company to ensure all departments are on the same page in
terms of objectives and goals. Coordinating involves communication,
supervision and direction by management.
Controlling
The controlling function of management is useful for ensuring all other
functions of the organization are in place and are operating successfully.
Controlling involves establishing performance standards and monitoring
the output of employees to ensure each employees performance meets
those standards. The controlling process often leads to the identification

of situations and problems that need to be addressed by creating new

performance standards. The level of performance affects the success of all
aspects of the organization.