Reply to both discussions with 100 words
Mercedes-Benz, a leading automotive company with a strong global presence, faces various challenges in designing its organization for the international environment. One significant challenge is cultural diversity within its workforce. With operations in numerous countries, Mercedes-Benz encounters differences in language, communication styles, work ethics, and values among its employees. Managing this cultural diversity is crucial to ensure effective collaboration and synergy within the organization. According to a Business Horizons article, “By leveraging both mass production and distribution, leading cost-based multinationals have been able to perform in a superlative manner (Shanklin et al., 1996)”. Mercedes-Benz has implemented cross-cultural training programs for its employees to address this challenge. These programs aim to increase awareness and understanding of different cultural norms and practices. By promoting cultural sensitivity and inclusivity, the organization fosters a more harmonious work environment where employees from diverse backgrounds can collaborate effectively. Another challenge that Mercedes-Benz likely faces in global organizational design is ensuring consistency in brand image and product quality across various markets. Different countries have distinct regulations, customer preferences, and competitive landscapes, which can impact how the brand is perceived and the products are received. Maintaining a consistent brand image and delivering high-quality products worldwide is essential to uphold Mercedes- Benz’s reputation for excellence. To tackle this challenge, Mercedes-Benz has established global quality standards and strict brand guidelines that apply universally across all markets. By adhering to these standards and policies, the organization ensures that its products meet the same level of quality and that its brand message remains consistent worldwide. Additionally, Mercedes-Benz conducts market research and adapts its strategies to local preferences while staying true to its brand values. According to a Journal of Management in Engineering article, “Within the global design and construction industry, leaders have adopted total quality management (TQM) as the strategy to move closer to consistently satisfied clients and project profits—each job, each time, without exception (Hayden, 1996)”. Cultural diversity and maintaining consistency in brand image and product quality are two significant challenges that Mercedes-Benz likely encounters in global organizational design. Through initiatives such as cross-cultural training programs and global quality standards, the organization addresses these challenges effectively, ensuring a cohesive and successful international presence. According to the textbook, “Truly global companies no longer think of themselves as having a single home country and, indeed, have been called stateless
corporations (Daft, 2021)”. REFERENCES Daft, R. L. (2021). Organization theory & design (13th ed.). Cengage. Hayden Jr., W. M. (1996). Connecting Random Acts of Quality: Global System Standard. Journal of Management in Engineering, 12(3), 34. https://doi.org/10.1061/ (ASCE)0742-597X(1996)12:3(34) Shanklin, W. L., & Griffith, D. A. (1996). Crafting strategies for global marketing in the new millennium. Business Horizons, 39(5), 11. https://doi.org/10.1016/S0007-6813(96)90061-0
When it comes to doing international business, organizations realize that it’s an entirely different ball game. “They sometimes find that transferring their domestic success internationally requires a different approach” (Daft, 2020, p. 222). The product that I have selected to discuss is my 2008 Nissan Altima. Nissan is a car company based in Japan that manufactures cars all around the world. It’s hard to create a structure that fits all the manufacturing plants across the country. There are so many different issues that can be found on different levels. There are different markets and their demands. Multiple differences in culture can be found. Also, there are many different laws and regulations for all countries that are set in place. So the challenge arises when trying to find a healthy balance to constantly operate within each of these countries. Which requires constant work because these factors are constantly changing across the globe. It is also hard to manage each different manufacturing plant and find the right person in a real country. “Nissan found it difficult to attract and retain capable local persons at their overseas subsidiaries and find the optimum utilization of human resources on a global basis” (Furusawa, 2014, p. 168). Nissan must find the correct candidate to run each of the different locations, as well as check on the progress of the current business. The difference in culture and time zones can truly harm efficient work being done. It may lead to delays and not being
able to communicate efficiently. The organization addresses these two problems by conducting market analysis beforehand before even going into the market. Yet, as the market constantly changes, some problems Nissan can’t be proactive about. Simply put, international business is a gamble, and it’s never guaranteed success. References Daft, R. L. (2020). Organization Theory & Design (13th ed.). Cengage Learning US. https:// savantlearningsystems.vitalsource.com/books/9798214350042 Furusawa, M. (2014). Global talent management in Japanese multinational companies: The case of Nissan Motor Company. In Global talent management: Challenges, strategies, and opportunities (pp. 159-170). Cham: Springer International Publishing.
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