D is for Decisions

Cultural differences in decision-making are very important to understand. Decisions in business are not made in the same way around the world. Of course, there are organisational value differences and various management styles, but there are also cultural influences on decision-making.

For example, I recently came across the Japanese process of “Ringi-sho.” This is where a proposal is initiated by the bottom level of employees (what we might call the frontline workers, or for those familiar with SAFe, the knowledge workers). The proposal is circulated, negotiated and agreed on or modified by every individual, manager and department it might impact, moving upwards through the management chain.

This circulation takes time, but by the time it reaches top management, there is consensus. Whilst Western-style cultures might be frustrated by taking this much time to make a decision, it means action can be taken very quickly, as all departments were aware and ready to implement. It also means managers do not have to be technical experts, as the idea was proposed by the knowledge workers.

These cultural differences in decision-making fascinate me. Think about every stage of a decision in business:

Negotiation > Decision > Communication of Decision > Action

There are cultural influences at play in each of these stages. Understanding them can have a significant impact on your leadership and ability to make and execute decisions across cultures.

Photo by Ludde Lorentz on Unsplash

A-Z of Cross-Cultural Awareness
This blog post is part of a series of short posts on cross-cultural awareness. Keep an eye out for the rest of the series.