Why Intercultural Training is Essential
Posted on August 02, 2021 by Renata Urban, One of Thousands of Executive Coaches on Noomii.
Intercultural training opens doors to new markets, increases your bottom line, and creates international teams that run like clockwork.
I have worked in the field of training and development for more than two decades. Having been involved in training as the organizer, creator, coach and trainer, evaluator, administrator, sales consultant, and as a participant has given me very different perspectives on intercultural training, why we need it, and why there is often a reluctance to do intercultural training.
As the Global Training Center Manager at adidas in Germany many years ago, I witnessed how easy it was to get a budget for what was deemed indispensable training and how receptive managers were to sending team members on training courses such as learning how to use a specific computer program they needed for work, polishing their presentation skills before an important PR event, or managing direct reports for department heads. Yet, whenever it came to more intangible skills such as ‘Improving Teamwork’, ‘How to Achieve Work-Life-Balance’, or – you guessed it – ‘Intercultural Awareness and Communication Skills’, it took a lot more convincing that these skills were equally necessary and beneficial.
Later on, when working at Linguarama in England some time ago, I also experienced different perceptions of training. As a training consultant, I was tailoring training packages to my clients’ needs. While language courses were high in demand, the need for intercultural training did not resonate with Training Managers that much. Their perception was that managers and specialists needed to speak better English in order to do business internationally, and that understanding foreign cultures was a ‘nice to have’ rather than a basic necessity.
These are all interesting observations, but why do people have such different perceptions on the value of different kinds of training, and why does intercultural training often fall by the wayside? Why is it often dismissed as ‘nice to have’ rather than essential? What if intercultural training were the most important training for your international business? Still not convinced – let me introduce you to my main three reasons why intercultural training is in fact crucial:
TO DO OR NOT TO DO BUSINESS – THAT IS THE QUESTION
First of all, having acquired intercultural competencies, being aware of your own culture, and having learned something about the other culture you are dealing with can be the decisive factor whether you are doing business with a foreign client or partner at all. Thinking that business is business everywhere can easily prevent you from even being considered by a potential foreign client or partner. For example, if a US American manufacturer wanted to enter into a partnership with a Chinese factory to have their products made there, they may have a certain procedure and timeline in mind regarding negotiations, agreements, and code of conduct. However, if the US Americans do not understand Chinese culture, are too pushy, are not spending enough time on relationship building, do not make an effort to show their commitment, are too aggressive, are oblivious to the need to save their counterparts’ face, and are not patient and flexible enough, they are very likely to lose the opportunity to form a partnership with this manufacturer. Being culturally aware, having build intercultural competence, and having acquired culture-specific knowledge will increase your chances of being at least considered, whereas inflicting your own culture on others will just slam a potential door shut and it will remain shut unless you try to understand why and change your behavior, communication style, and strategies accordingly.
INCREASE THE BOTTOM LINE AND AVOID LOSSES
Not only do intercultural competencies open up opportunities and secure more business, a better return on investment, and a higher profit but also help you avoid catastrophic losses. For example, Wal-Mart had an incredible opportunity to take Europe by storm, but they failed because of a lack of understanding of European cultures. While US Americans love driving to the supermarket and shopping in bulk, Europeans highly appreciate their smaller supermarkets and corner grocery stores that are within walking distance of their home or office. Neither did the US American managers understand German culture, for example the fact that Germans are less likely to buy packaged meat but prefer a fresh meat counter with a specifically trained butcher. Also, the Wal-Mart greeter by the entrance was perceived as annoying, intrusive, and sometimes offensive. Men even thought that a female greeter smiling and saying, “Good morning, how are you?” was trying to flirt with them. This is just not common in German culture, like many other things, which cost Wal-Mart millions of Dollars as it had to pull out of Germany in 2006. Even worse, by failing, Wal-Mart had to abandon a then $370 billion retail market. Hence, a couple of thousand Dollars invested in intercultural training would have been well worth it!
INTERNATIONAL TEAMS RUNNING LIKE CLOCKWORK
Finally, what many companies fail to comprehend is that misunderstandings between colleagues due to cultural differences can lead to friction, delayed projects, misimplemented strategies, frustration, and even failed business ventures. Not understanding their colleagues’ attitudes to time, rules, or decision making and a lack of trust can not only cost a business a pretty penny but also lead to an eroding company culture that prevents growth and expansion abroad. The truly successful multi-national companies in this world, such as Siemens, ABB, or American Express have long learned that international teams running like clockwork are the backbone of their business and that providing intercultural training and resources as well as intercultural teambuilding events contribute considerably to a harmonious working environment, more efficient processes, and happier employees, which directly translates into international success.
Overall, if these reasons are not enough, add increased knowledge, self-development opportunities, and personal development of your staff to the list. All good reasons to start thinking about intercultural training and teambuilding. Investing in training is investing in the future of your business. Let an expert guide you to safely navigate the waters of intercultural communication, relocation, and working in international teams.