Carpet capital culture clash.

Helms, Marilyn M. ; Weber, Judith E.

CASE DESCRIPTION

The primary subject matter of this case concerns the issues faced in a U.S. company with a large percentage of immigrant Latino workers and the resulting interactions with their original Anglo workforce. The case is appropriate for junior and senior-level business courses. The case is designed to be taught in two class hours and is expected to require one-to-three hours of outside preparation by students.

CASE SYNOPSIS

Teaching culture to business students is important, but often challenging. The authors developed this case study to describe the cultural issues and challenges encountered between an Anglo and Latino workforce in the U.S. This case is different from traditional cases that discuss culture in a new or "foreign" environment because this case is a domestic-based cultural case. This case profiles Dalton, GA home of the world's carpet and flooring producers. The industry, struggling for labor, actively recruited an able workforce from Mexico and Latin America to augment its local, Anglo workforce. Yet after years of working side-by-side, the Americans are puzzled over the behavior of a large group of Mexican workers in their midst. Specific situations outline the various encounters and behaviors that seem puzzling to both the Anglo and Latino employees. When viewed in the cultural context of the U.S., these exhibited behaviors violate cultural and social norms as well as common business practices. The case issues become understandable when viewed within the cultural norms of each group as presented in this Teaching Note.

The Human Resources Department is unclear how to address the issue facing the company. Students are asked to consider ways to educate the employees in the cultural norms and business practices of each group to improve morale and workplace functioning. Use of this case in various undergraduate international business classes can aid students in understanding the challenges of managing employees form several cultures. The issues of cultural misunderstandings should be generalizable to similar situations with other groups of mixed nationalities. The Latino culture was chosen for this case because it became a growing issue to the community of Dalton, Georgia and was and is experienced in a number of towns in the U.S., particularly along the U.S. Mexican border, in Arizona, Texas, and New Mexico.

INSTRUCTORS' NOTES

Recommendations for Teaching Approaches

There are three significant learning objective dimensions to the case:

1. It allows students to clearly identify cultural challenges that arise with an international workforce, providing a general level of sensitivity to culture and an in-depth cognitive understanding which should foster their ability to act effectively in similar situations.

2. It features actual examples of challenges for students to assess.

3. It highlights the unique situation of the growing number of companies in the U.S. and abroad that face challenges of merging multiple cultures in a high performing work group.

Learning Objectives

The learning objectives of this case are:

1. To introduce students to the concept of culture and how cultural differences manifest in workplace behaviors, even within the U.S.

2. To conduct an assessment of why such challenges exist and the use outside Internet and/or library research on the topic.

3. To understand the critical role of education on the part of all ethnic groups.

4. To create policies, procedures, and programs to address and to continue to educate workers on cultural differences.

Level Appropriateness

This case is appropriate for the following undergraduate-level classes:

* International business, particularly in the coverage of cultural differences

* Human resources, focusing on ways to manage and indoctrinate international employees to the company culture and/or the predominant culture of the area

* International management, focusing on ways to manage employees from a number of cultural backgrounds and ways to enforce policies and procedures that may not be well understood by the parties involved

Format Appropriateness

This case is appropriate for the following formats:

* case discussion at the end of a chapter in a textbook to reinforce international business/culture chapter concepts

* class discussion of the issues involved in managing a multi-national workforce

* homework case for international business

* team assignment for short written or oral presentation to research trends and customs for both Anglo and Latino cultures

TEACHING CULTURAL AWARENESS

While experts disagree about the best ways to prepare managers and students to operate in another culture or even learn about another culture, this task remains a major concern confronting corporations. Park and Harrison (1993) found that within the corporate setting, the application of cross-cultural training is practically non-existent and even cite the high percentage of U.S. expatriates that are reassigned to other cultures without any training and often fail in their assignments.

While teaching culture to business students has been well documented as a needed part of the business curriculum, it is often challenging to find the best way to approach the internationalization. Even with the language training often required of business majors, most lack cultural knowledge in actual business settings (Hong, 1999). Many student lack international experience and thus the professor must rely on textbooks, cases, and outside materials to help students become effective business practitioners in an intercultural or international framework. Harrison (1992) in a study of cross-cultural management training found a combination of role play (experiential) and a cognitive program was the best approach while Jacobson (1996) in his study of learning culture found cultural knowledge is best understood in terms of situated cognition.

Peralta and Kleiner (1994) specifically recognized the challenges in managing the Mexican employees in early 1994 and explained management is not easy and the art of management is further complicated when trying to effectively manage individuals from other cultures. They agree the immigrant work force migrating to the U.S. presents a special dilemma. They stress because of the different needs and problems brought on with such a diverse work force, managers need to understand their culturally different workforce in order to effectively manage their plants.

Mallinger and Rossy (2003) agree while teaching culture is intrinsically rewarding, the complexity can create a challenge for faculty. Bird, Osland, Mendenhall, and Schneider (1999) agree international management textbooks treat the coverage of culture as simple and superficial and agree it often bears little resemblance to the complexity most managers will confront in domestic and/or international situations. Most textbooks, the authors agree, cover Hofstede's (1980) work-related values dimensions on which cultures can be differentiated and only a few texts provide a limited analysis of culture and the challenges of working across cultures. Sokuvitz and George (2003) suggest strategies including case studies that professors can use to augment the teaching of culture. To address these deficiencies, the authors developed this case study to introduce students to cultural challenges involved in working with Latino employees in the U.S.

END OF CASE QUESTIONS

1. List examples of cultural misunderstandings you have encountered. Why did they exist?

Student examples will vary. If students are not diverse or have not traveled significantly abroad, consider inviting a foreign faculty member or foreign national as a classroom guest to share their experiences.

If possible, invite a Peace Corps representative or other individual (Rotary International Scholar, missionary, international business owner, etc.) with specific training on the issue and experience of living in a foreign land to class to discuss the acculturation process and international business differences. If there are multinational students in class, draw parallels and discuss similar issues they have faced both at home and abroad.

2. Research the history and culture of Mexico. Assess the probable reasons for the unusual behaviors Sam Haws' human resources directors observed.

Sanitation.

Sanitation issues differ in Latin America. Typically sewer systems can't handle paper products, particularly in the smaller cities and farms. Ironically, while ancient Mexican city of Teotihuacan boasted water and sewer lines (at least that's the guess of today's archeologists) from 600 A.D., modern Mexico is having major sanitation problems and this is a key issue as an OECD (Organization for Economic Cooperation and Development) country. The Mexican populations are from largely rural, agrarian communities. Sanitary sewers are primitive and their infrastructures frequently become clogged and overflow when toilet paper is introduced into the system. In Mexico's smaller communities, toilet paper is disposed of in trash cans located inside the restrooms stalls. Lacking such disposal containers in U.S. facilities and with no knowledge of the U.S. sewer system, the Mexicans place their used waste paper on the restroom floor when they don't see a trash can. They are just acting normally according to their culture and exhibiting classical ethnocentric behavior. Would U.S. visitors to small Mexican community flush their waste paper; of course, because that's how they do it at home. Is it any wonder that some of the approximately 40,000 Mexicans, residing in the Dalton area, who move to Dalton for decent manufacturing jobs, have problems using our plumbing system? Wouldn't a Hispanic person think an Anglo visitor to their town as "nasty" too if they clogged their toilets and sewer system with paper?

Group and Team Behavior.

The period between A.D. 900 and 1521 is named "postclassical Mesoamerica", for the replacement of kingdoms by tribal councils in Mexico, but continuing warfare and ritual sacrifice. Many of the Chichimec-Toltec tribes migrated south and established settlements, like the cultural center Thule. An important tribe was the Mexica, or Aztecs, who left Aztlan ("place of heroes") and founded their new cities with impressive buildings and temples and developed cultural centers, like Tenochtitlan, which became today's Mexico City, the largest metropolitan area in the world.

Throughout these times ritual sacrifices took place in entire Mesoamerica. For rain, for better crops, for triumph in warfare thousands of people were sacrificed, including children. Ball games also developed, played first by individuals, later by teams, representing their tribes and the loser ending up as sacrifice. These pre-Hispanic ball games were played with a rubber ball in a rectangular court and became a spectator sport, reminding us on today's soccer games and their fans. The tribal culture, the ball-playing in teams all had a significant effect on the group culture, we can observe at the workforce in the carpet factories. The workers in these modern environments still hold onto old customs, preferring to be "team-players" and not "leaders". In their group-based culture, family is the first priority. Friends are extremely important. Mexicans visit in large groups, prefer to act as a group, and work better in groups.

Ogden (2005) agrees unifying factors in the Hispanic market are group orientation, respect for authority, class distinction, faith, and belief in both fate and family. However these values often change in second and subsequent generations of living in the U.S. culture. Mexicans emphasize quality of life and enjoyment and there are group oriented. They place emphasis on groups and group goals, which is often in opposition to the highly individualistic U.S. culture. Hispanics see Anglos as individualistic, selfish and to some degree hypocritical because they espouse self denial (from their largely Protestant faith) and often act just the opposite with their materialistic purchases and seeming lack of attention to their family.

Perceptions of Time.

The underlying common denominator for all the different tribes and cultures in Mexican history was agriculture, hence the interest in mathematics and astronomy, the worship of the rain god. It is also a common thread in the culture of modern Mexico that the perception and importance of time is vastly different from the industrialized, "Western" countries and the United States, where "time is of the essence". It will take time for the newcomers in the region's factories to adjust to this faster rhythm of production life, while the pace of work and life is growing faster for all of us. Most of the immigrant labor from Mexico who comes to the U.S. is from small Mexican towns where little work is available; they are historically lower-skilled. Most of their motivation is economic and the few jobs available in the smaller towns of their homeland are farming, working in small stores, tending a bar, caring for animals or making products at home to sell in the streets (Peralta and Kleiner, 1994). The Hispanic worker's conception of time and punctuality is different. Many Mexican workers in this country are former rural workers accustomed to rising and retiring with the sun. Clock time and punctuality are learned behaviors along with the seriousness of absenteeism. In some cultures, including Central and South America, it is even considered improper or rude to be on time. This is in extreme contrast to the Anglo culture and particularly the assembly-line culture that demands all employees be on-time before their work can begin.

Gender Roles.

DeForest (1988) agrees women have a special place in the Hispanic culture and in Mexico; Mother's Day is a national holiday. The wife is the boss at home and it is freely accepted that she managers the children and often holds a firm rein on her husband.

Why marriage and family are more important than success, career, and "making money" for many of the first generation of Mexican immigrants, might have to do with the teachings of the church, which also prefers keeping women at the home, instead of throwing them into the "rat race". Women in the Mexican culture are associated with home and family. Girls participate in the "quincan?era" or 15th year celebration and according to the largely Catholic culture; these 15 year olds are preparing for marriage and child rearing duties. Also in Mexico few girls can afford or are encouraged to participate in higher education. Thus the lagging enrollment of women in the local college can be explained. As future and subsequent generations live in America, the number of women entering college and supervisory positions will increase. Latino males, however, are not traditionally used to working with or working for female managers.

Mexicans have more traditional gender roles and most are well defined. The husband tends to be dominant and focuses on decisions regarding major household purchases. Because Latinos are slower to acculturate than other immigrant groups, they tend to retain their original gender roles (Valencia, 1989 and Valdes and Seoane, 1995).

Translation without Information.

In the business environment, orientation in area companies is conducted by the human resources department. Bi-lingual employee explained the two week vacation period as a job perquisite but didn't explain to workers they had to fill out vacation authorization forms and get management approval for their selected two weeks. Workers just assumed they could take the two weeks anytime and didn't inform anyone. While the employees speak Spanish there may still be a language barrier, even with correctly translated materials. Research also points out that Mexicans often think their stay in the U.S. is temporary and to earn money and they may not bother to learn English or understand business practices and norms. Also many lack the educational backgrounds that would make learning a new language easy. Their heavy work schedule and possible undocumented status may make participation in language classes difficult (Paralta and Kleiner, 1994). While local translators in the workplace may know Spanish, if they were born in the US, these translators will not understand the cultural differences. Hispanics too feel skeptical about translators because they are usually "Chicanos" or individuals with Hispanic parents but born in the U.S. Chicanos are usually ignorant about the Hispanic culture because they prefer to be seen as "Americans."

Work Policies and Work Ethic.

Working long hours and embracing overtime is due to their poor economic conditions in Mexico and desire to pursue both the American dream and to send funds home to family in Mexico and to better their situation. Americans tend to be defined by their work or job. Mexicans believe their job is only a part of their lives and are more fatalistic and don't often set goals. This is a concept that must be taught. Traditions die hard.

DeForest (1981) points out that management of Mexican workers is difficult because of personnel policies that have been established by management to mirror their own perceptions and values. Anglo managers often think of a job in terms of the chance it offers to use one's talents and skills and as an opportunity for advancement. Mexicans, however, in large part regard this practice as unusual since their main concerns are pay, fringe benefits the supervisor and mainly having a job, any job. Upward mobility is valued but believed not to be attainable. The Mexican thinks of getting ahead in personal terms rather than in career terms. The social and familial culture stresses cooperation and competition. Mexicans, in general, are reluctant to supervise peers.

Respect for Authority.

Mexicans are not taught to question authority as Americans are. Authority figures, including teachers and managers, are more respected and Mexicans believe authority should tell them what to do and they take orders from them. Eye contact is also a big difference between the two cultures. In America, we've been taught someone who doesn't maintain eye contact is shifty or deceptive but in other cultures, looking someone in the eye, particularly when it is someone of authority, is disrespectful.

Distrust of Banks.

Some immigrants distrust banks because of the history of currency devaluations in their homelands. Others simply dislike an officious manner that smacks too much of the U.S. government, or worse, a U.S. immigration agent. Too many Mexican consumers think that if they go to the bank and suggest or disclose that they are in the U.S. illegally, they will be reported to immigration authorities, says Mr. Garcia, the Dallas Mexican Consul. "The people don't understand what happens behind the window," he says. "They think that if the employees discover they are undocumented, they will be taken and deported."

3. Gather facts on the number of Hispanics in America. What trends to the data predict?

The U.S. Census defined Hispanics as people who originate from Spanish-speaking countries or regions and estimates the group to be the nation's largest race or ethnic minority at 39.1 million which is 13.7 percent of the U.S. total population not including Puerto Rico. By the year 2050, the projected Hispanic population of the U.S. will be 102.6 million or 24% of the nation's total population on that date. Nearly 67 million Hispanic people would have been added to the U.S.'s population between 2000 and 2050, according to this projection (http://print.infoplease.com/spot/hhmcensus1.html). In fact, some 40% of the Hispanic population in the U.S. was foreign-born in 2002 and 52% of this group entered the U.S. between 1990 and 2002. Latinos are not a homogeneous culture and all the population working in the area are not Mexican.

Out of the 6.1 billion of the world's population, there are 175 million people, who reside in a country not of their birth. Ever since the 1970s, when a new, "borderless economy" was advocated for economic integration of the earth, a migration of the world's populace took shape in unexpected and ever growing size. In several developed countries with an aging population and decline of the productive workforce is taking place, while worry, even opposition of the citizens is getting more pronounced about immigration's increasing social costs and its threat to the original culture. These opposing issues: the need for more workers, yet fear of the social and cultural costs of immigration are further complicated in the United States. In this country, a true "melting pot" of all the varieties of mankind, the earlier immigrants were eager to assimilate, to become Americans, with all the duties and privileges--and never look back. "The current wave of immigration to the US today is an endless stream, much of it illegal, which the US never had before. And it is overwhelmingly Hispanic, and within that overwhelmingly Mexican" (Huntington, 2001).

Hispanics are the largest minority group in the United States, making up 13.5 percent of the U.S. population. In addition, the Latino population's high fertility and immigration rates make this the fastest growing racial/ethnic group in the country. Latinos are also relatively young and the median age is 26.1 compared to 35.0 for the general population. Latino poverty rates are also severe with 31% living below the poverty line as compared to 13.5% of the general population (Martinez-Ebers, Fraga, Lopez, and Vega, 2000).

4. Develop proposals to effectively deal with the situations presented. Assume the role of the HR director as your plan your implementation. What programs would you develop for Latinos? What programs would you recommend for your Anglo workforce? Include an implementation plan and time-frame for this cultural change.

Although Hispanic workers are increasing in great number, many American managers have learned seemingly little about how to manage such a work force for the best results. As a consequence many companies have not educated middle management and shop floor managers about how to manage employees of Hispanic culture and psychology (DeForest, 1988).

Effectively managing others is a difficult task and this if further complicated when trying to manage individuals from other cultures. Programs on understanding cultural differences for employees are needed to explain differences in the various issues presented here (time, role of men and women, supervision and authority, etc.). All employees and managers need to attend the training and it should be offered to all new employees. Anglo workers and managers in particularly may need an advanced course on culture. Latino workers may need additional information on various U.S. customs and workplace norms. A consultant with experience in linking multiple cultures can assist as well. The training programs should begin immediately and continue until changes are seen on the shop-floor. The programs should be on-going as long as improvements in awareness and workplace functioning is seen. With high worker turnover or employment growth, the training should be repeated for new groups joining the workforce.

Have students develop potential training programs along with policy issues for workplace rules and standards of conduct. Use signs and posters with both or multiple languages to explain proper conduct, how to request and schedule a vacation, or proper waste paper disposal. Add trash cans to restroom stalls with signs in Spanish.

Develop as part of the employee handbook, modules on business culture, corporate culture, and daily workplace norms. Have a bi-lingual employee from Mexico review or create the materials to ensure accuracy and ease of understanding. Institute an ambassador or liaison to explain problems/issues to new employees as well as to existing employees. This employee can identify problems experienced by all cultures employed and bring issues and solutions/training programs to top management.

5. Is the Mexican workforce in Dalton, Georgia a diaspora, meaning homogeneous ethnic minority groups of migrant origins residing and acting in host countries but maintaining strong sentimental and material links with their countries of origin or homeland, typically maintaining their own language and culture?

Initially it appears the workforce maintained all their unique cultural norms and migrated to the area to follow the carpet industry jobs. It appears, however, that with the workers buying homes and staying in the area, they are no longer totally a diaspora but are slowly adapting to the U.S. culture while still maintaining features of their own culture and heritage. The second and subsequent generations of immigrants appear to be adapting more to the new culture and the process of acculturation is faster.

CLOSING STATEMENT

Remind students to be sensitive and cautious to the feelings of individuals from other cultures as the class discussion and case analysis progresses. This case, while sensitive, is a good mechanism to raise this important issue to students and has proved to be efficacious in the various classes in which it has been pilot tested.

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Marilyn M. Helms, Dalton State College

Judith E. Weber, Dalton State College