
We live and work in a global economy. According to an article published in USA Today, U.S. companies added 1.4 million jobs overseas in 2010, and less than 1 million jobs in the U.S. In addition, 39% of U.S. companies plan to increase overseas staff levels over the next 5 years. Outsourcing, immigration, technology and foreign direct investment are all factors driving this globalization of the workforce.
For those of us tasked with managing talent, this new global workforce poses some interesting questions.
Juan-Luis Goujon, President & CEO, BPI group, N.A. was recently invited to speak on the subject at the Georgia Institute for Technology’s conference on “Models for Preparing the Global Workforce.” Click here to read a write-up of the presentation at globalatlanta.com. Read below for some key takeaways.
A global workforce means working in culturally-diverse teams. How does cultural diversity impact team performance?
A study published by the Academy of Management Journal confirms that initially, culturally diverse teams have lower performance than homogenous teams. Among other challenges, culturally diverse teams have to overcome language barriers, differing customs and divergent business philosophies.
Over time, however, performance equalizes among diverse and homogenous teams, and diverse teams actually exhibit more creativity and innovation. The payoff doesn’t come without actively managing diverse teams, though, which leads us to the next key question.
How do we build cross-cultural team performance?
The key to succeeding in today’s global workforce lies in building cultural competence – defined as “the ability to interact effectively with people from different cultures,” in an article published by the Academy of Management Learning & Education.
As individuals, you can start building cultural competence by being open-minded, learning additional languages, traveling or working abroad. According to a report by the Economist Intelligence Unit, 80% of executives believe overseas experience improves chances of career progression.
As an organization, you can develop a culturally competent workforce by accepting various ways of thinking and behaving, providing multicultural training for managers and building an inclusive culture. For more suggestions, read this article at diversityresources.com.
Interested in learning more about how you can build team performance within your organization? Contact us at info@bpigroupus.com or +1.800.323.0206.