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Global CEO Magazine:
Challenges of Managing Cross-cultural Teams
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Multicultural teams are being used by several organizations to accomplish work. This is a new trend that the organizations are adopting nowadays. Since many organizations are spreading their wings across their national borders, managing the multicultural teams has become an essential requirement. This article introduces the reader to the challenges that multicultural teams face and suggests measures for high performance.

 
 
 

The globalization of business, increased mobility of labor across geographic borders is leading to multiculturalism among several countries. For instance, in countries such as Canada, US, UK, and Australia, multiculturalism is increasingly becoming an integral part of the national identity. In addition, cross-border mergers and acquisitions (eg. ArcelorMittal) and deployment of teams for certain projects, require organizations to draw from a pool of human resources from different countries. Royal Dutch Shell deploys multicultural teams to discover oil in remote locations. These projects require specialist skills and the company draws from its pool of multicultural workforce spread across different countries. Therefore, organizations have to pay due attention to the management of a diverse workforce and development of multicultural teams. This implies equipping employees with basic skills pertaining to cross-cultural awareness and competence to deal with cultural issues.

In the competitive business environment, fostering teams within organizations is gaining importance for organizational leaders. Michael Dell, CEO of Dell Computers, believes that business is all about building teams and talent in the organization. In several organizations, a number of challenging tasks are accomplished through teamwork. Organizations are working across national borders to reach and maintain market leadership. Leaders also have to motivate and develop people from different cultural backgrounds, experiences, and working styles to collaborate effectively across time zones. This is becoming a common phenomenon across several organizations. While earlier, teams used to predominantly comprise members from the same culture, these days they are multicultural in nature. A multicultural team is a distinct entity made up of various ethnic, national and business cultures.

 
 
 

Challenges of Managing Cross-cultural Teams, Multicultural teams, Mergers and acquisitions, Business environment, Market leadership, Cross-cultural awareness,Cross cultural team building, Team based management techniques, Cultural diversity,Information sharing.