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Commonwealth of Australia: Leadership Capability- Article Review Assignment Solution

June 25, 2017
Author : Kristy

Solution Code: 1JAJA

Question: Commonwealth of Australia Article

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Commonwealth of Australia

Business writing critical review

Compare and critically review two academic business articles (which are provided in vUWS and itemised below). You should use headings and clearly cover the four (4) key sections below:

  • Outline the most important arguments in each article giving an example of what is recommended and why that is recommended.
  • Critically evaluate how the two articles differ, particularly in terms of the evidence provided to support the main arguments.
  • Sum up your understanding of the importance of ‘cross-cultural communication’ in different contexts and outline the key implications for business practice.
  • Based on your own library research (using scholarly sources to be cited in-text and end-text) recommend one other important area (not considered in the two articles) that should be considered when building effective cross-cultural communication in a business. Ensure you clearly justify why you have chosen that area and how and why it will contribute to improved business practice.
  • Article 1:

    Yoo, Y., Kim, K., (2015). How Samsung became a design powerhouse? Harvard Business Review. September 2015.

    Article 2:

    Firdaus, A.; Teguh Basuki, Y (2015). Does An Innovation Culture Improve Company Performance? Links to Dynamic Capabilities and Leadership Capability. Advanced Science Letters – American Scientific Publishers, Volume 21, Number 6, June 2015, pp.1676-1680(5).

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Solution: Commonwealth of Australia- Article

Commonwealth of Australia

The two articles are based on different arguments. The article “does an Innovation Culture Improve Company Performance? Links to Dynamic Capabilities and Leadership Capability” by Firdaus Alamsyah and Yerki Teguh Basuki is a research on Indonesian food and beverage companies that tries to find out the relevance of innovative culture in an organization. They have also linked their research to dynamic capability and leadership capability. They argue that in an organization innovative culture does not directly improve the performance of the companies. The statement makes it very clear that innovative culture is not causing much impact on the performance improvement of the organization. They have recommended n their research that at the time of external environmental pressure the dynamic capabilities play a more dominant role that that of innovation culture and leadership. It is recommended on the basis of a survey on 190 companies.

Another article that is “how Samsung became a design powerhouse” by Youngjin Yoo and Kyungmook Kim captures the cultural issues very tactically. In a big multinational like Samsung, there were many issues related to innovation culture. This is the most important reason why Samsung took huge time to become a top brand (Carbaugh, 2012). The paper argues that shifting towards an innovative culture is very vital for the Samsung to become a top brand and increase its market share. The paper also argues that an early decision making culture could have saved Samsung from many failures. At the same time this article also focused on impact of leadership in problem solving. The article recommends that remaining innovative is very important for Samsung to survive and get support from employees. It is recommended because of the reason that due to the lack of innovative culture Samsung was not able to design an apt model and because of that company’s shares were also decreasing and customers did not like the product. Thus the central argument of the article “does an Innovation Culture Improve Company Performance? Links to

Dynamic Capabilities and Leadership Capability” by Firdaus Alamsyah and Yerki Teguh Basuki revolves around innovative culture, leadership culture and dynamicity of culture. The article that is “how Samsung became a design powerhouse” by Youngjin Yoo and Kyungmook Kim revolves around the theme that world-class innovation culture and strategic culture are very vital for a company.

The main arguments of the two articles basically revolve around the issues related to cultural aspects in the company .In the article “does an Innovation Culture Improve Company Performance? Links to Dynamic Capabilities and Leadership Capability” the author has analyzed that performance of employees is not getting affected by innovative culture. The results of the study reveal that employees’ performance in the organization increased due to sound leadership culture and dynamicity. An organization shall not focus on creating an innovative culture rather it should focus on creating leadership culture and dynamic culture; this is something that this article suggests. It is not true in business context. With the help of innovative culture it becomes very easy to manage intercultural aspects. This article is different from another article in terms that it is not giving much stress to innovative culture and it considers this constraint as a neutral constraint. While talking about the article that is “how Samsung became a design powerhouse”, the author has focused on innovative culture. The author argued that innovative culture is something that will help Samsung in coming to top position and in this way other constraints are being ignored to a very great extent. It is not only innovative culture which would make a company successful and this is something that is the most critical part of this article.

The major differences between these two articles are based on the points of approach, grounds, constraints and objectives. The approach of the author has used research approach of “Does an Innovation Culture Improve Company Performance? Links to Dynamic Capabilities and Leadership Capability” is primary data collection from companies regarding cultural aspects whereas another article is based on secondary data from the company to study the cultural aspects. The ground of the “Does an Innovation Culture Improve Company Performance? Links to Dynamic Capabilities and Leadership Capability” study is that innovation culture does not have an impact on the performance

of the business. The ground of another study is that innovation culture is the most significant aspect of getting success in business. The constraints of “Does an Innovation Culture Improve Company Performance? Links to Dynamic Capabilities and Leadership Capability” study is dynamic culture, innovative culture and leadership culture. The constraint of another study is only innovative culture. The objective of first study is to address the problems in Indonesian manufacturing organization by looking at cross-cultural business communication. The objective of “how Samsung became a design powerhouse” study is to focus on improvement of business of Samsung by focusing at designs and innovative culture. In this way both the articles are totally different from each other in terms of inter-cultural communication.

Cross-cultural communication is affected by several aspects such as cultural attitudes, self-concept, bias and professional practice of an individual. The communication gets affected to a very great extent because of the cultural attitude of an individual. If an individual works with the attitude that his culture is superior to that of the culture of another party then things would never work (Holmes, 2014). It has also been observed that people become biased towards an individual belonging to a different culture while communicating to them. People judge an individual on the basis of their culture and due to that there are high chances of miscommunication. In the article “how Samsung became a design powerhouse” it has been observed that there is a glimpse of self-concept. The supporting fact here is that when an engineer would go to the superior to pass the design they reject it even after it was pretty good. Here the only reason that could be blamed is self-concept (Martin & Nakayama, 2015).

Self-concept has several factors such as self-knowledge and self-awareness. These are the two factors that determine the level cross-cultural communication in an organization. Companies are rapidly going multinational and for them it becomes a big challenge to make the cross-cultural communication process effective. It is very important for a business to get rid of these factors to enhance cross- cultural communication within the organization and become successful. The business practices shall be such that there is no bias in intercultural communication. In this way cross-cultural communication has a very big role to play in making business practices smooth. The articles compared here also suggest the importance of culture and how it becomes crucial to manage the cross-cultural practices in a work setting (Nguyen & Fussell, 2013). The articles also suggest that every organization is different and sue to that the cross-cultural issues faced by them are also different. Managing these cross-cultural issues effectively is indeed the most significant and crucial task for an organization. Thus, implications of cross-cultural issues in business practices are worth taking a note so as to improve them.

To build an effective cross-cultural communication in a business there are many approaches that can help. The most significant approach is the Peace Corps approach. Many researchers have found out that informal approach to cross-cultural communication works the best in a business set-up (Kinloch & Metge, 2014).Tackling this issue in a formal manner has not been successful. When cross-cultural issues are taken formally they become an immense pressure for the employees and many employees are not able to cope up with it. The Peace Corps approach is a midway. It is not so formal and at the same time it is not totally informal (Toomey & Chung, 2012). This is the most significant area that can be focused for improving cross-cultural communication. This is a combination of cultural immersion and intensive language training in an informal way.

Generally what organizations do is to provide trainings in a very formal way and this becomes a burden for everyone involved in the training (Kiesling, 2015). This approach was used by US Peace Corps to train their Volunteers so that they can serve better. There are different methods that are used in Peace Corps Approach. This approach involves interaction among all the employees in the workplace so that they can get to know each other. It has several activities that help employees to know about one another and their respective cultures. This approach helps in creating a healthy environment at workplace. This further helps in improving the performance of employees in an organization (Fall & et.al, 2013). In this way using an informal approach proves to be very beneficial in engaging people from different culture and establishing an effective communication process among them. Many organizations in the world have tried this approach to enhance cross-cultural communication among employees to improve the performance of employees. This approach not only increases productivity but also creates stability within the organsiation.

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