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Summary literature cultural diversity management

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this document contains all mandatory literature for the course cultural diversity management for human resource studies, labor law and employment relations and management of cultural diversity students. Conceptual models and hypothesis are added for the relevant articles. Passed the exam with a 9.1!

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culture
racism
discrimination
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autochtone
nationalism
cultural diversity management

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Stahl, G. K., Maznevski, M. L., Voigt, A., & Jonsen, K. (2010). Unravelling the effects of
cultural diversity in teams: A meta-analysis of research on multicultural work groups.
Journal of International Business Studies, 41(4): 690-709.

Previous research on the role of cultural diversity in teams is equivocal, suggesting that
cultural diversity's effect on teams is mediated by specific team processes, and moderated by
contextual variables. To reconcile conflicting perspectives and past results, we propose that
cultural diversity affects teams through process losses and gains associated with increased
divergence and decreased convergence. We examine whether the level (surface-level vs deep-
level) and type (cross-national vs intra-national) of cultural diversity affect these processes
differently. We hypothesize that task complexity and structural aspects of the team, such as
team size, team tenure, and team dispersion, moderate the effects of cultural diversity on
teams.

Most qualitative reviews of the field of diversity look at all dimensions of diversity, including
gender, age, and function, as well as culture and ethnicity. These reviews conclude that
studies’ results are inconsistent with each other; some show positive and some show negative
correlations between diversity and performance. Although the effects of diversity in teams
have typically been explained in terms of potential mediators, the actual evidence for the
input–process–output linkage is not strong. Contextual variables probably moderate the
relationship between diversity and team performance. However, there is little theoretical
clarity concerning how moderators influence the effects of diversity on team processes and
outcomes.

there is evidence that different types of diversity may influence team outcomes in different
ways. Cultural differences are often below the level of consciousness, so some of their effects
may not be recognized. At the same time, culture is a source of strong categorization and
stereotyping, so the effects of cultural diversity may be stronger than other sources.

Culture and cultural diversity
Culture consists of a commonly held body of beliefs and values that define the “shoulds” and
the “oughts” of life, and guide the meaning that people attach to aspects of the world around
themselves. Cultures provide a source of identity for their members.

Diversity, including cultural diversity, influences teams in three potentially opposing ways.
First, according to similarity-attraction theory, people are attracted to working with and
cooperating with those they find similar in terms of values, beliefs, and attitudes. Second,
according to social identity and social categorization theory, people tend to categorize
themselves into specific groups, and categorize others as outsiders or part of other groups.
People treat members of their own group with favoritism, and may judge “others” according
to group traits (e.g., stereotyping). These first two perspectives suggest that diversity's effect
on teams is negative, because it makes social processes more difficult. Third, according to
information-processing theory, diversity brings different contributions to teams. A diverse
team thus covers a broader territory of information, taps into a broader range of networks and
perspectives, and can have enhanced problem-solving, creativity, innovation, and adaptability.

Throughout history, nationality, race, and ethnicity have been among the most common social
categories by which to identify people, so social categorization of in-groups and out-groups
can be quick and long-lasting in multinational teams. Finally, culture is associated with such

,deep differences in perspectives and cognitive frameworks that people from different cultures
bring very different sources and means of information-processing to a team.

Cultural diversity and intermediate team outcomes
To clarify cultural diversity's effects on team performance, we propose a model that
categorizes these variables by whether they are associated with divergence or convergence,
and whether they lead to process losses or process gains.

- Cultural diversity tends to increase divergent processes. Divergent processes are those
that bring different values and ideas into the team and juxtapose them with each other.
Through the similarity-attraction and social categorization mechanisms, the
differences are likely to be recognized, rather than going unnoticed or ignored. Some
divergent processes contribute to the group performance positively – that is, they
create process gains. They are important in enabling the team to achieve more than
individual members could, working on their own. Examples include brainstorming and
creativity. Divergent processes can also decrease the group's performance, if the
differences are seen as detracting from the team's purpose or progress. A divergent
process that creates a process loss is conflict.
o Divergent- process gain: creativity= creativity is the consideration of a wide
variety of alternatives and criteria for evaluating alternatives, and the building
of novel and useful ideas that were not originally part of the consideration set.
Creativity is an important component of innovation, and can increase
performance. Creativity is clearly a divergent process, and the creative benefits
of heterogeneous team compositions have been supported by numerous
studies. Because cultural differences are associated with differences in mental
models, modes of perception, and approaches to problems, they are likely to
provide strong inputs for creativity.
o Divergent-process loss: conflict= Conflict is the expression of differences in
opinion or priority because of opposing needs or demands, and is therefore a
divergent process (although resolving conflict can be converging). There is
some evidence that task conflict may increase performance, and personal
conflict may decrease performance. As people with diverse backgrounds and
experiences hold different belief structures and values, which affect their
prioritization, interpretation and response to stimuli, group diversity inherently
increases the potential for conflicts.
- Cultural diversity tends to decrease convergent processes. Convergent processes are
those that align the team around common objectives, commitment, or conclusions.
Some convergent processes contribute positively to group performance, and help the
group achieve a single group outcome. These positive processes include
communication, or the sharing of common meaning, and social integration, or the
development of group cohesion, commitment, and identity. Other convergent
processes contribute negatively to group performance because they make the group
closed to dissent from within or new information from without, when the new
information is important to achieving a high-quality decision. One example is
groupthink.

, o Convergent- process gain: communication= Effective communication, or the
transmission of meaning from one person to another as it was intended, is an
important alignment process. Effective communication is associated with good
team performance, both directly and by impacting on other processes such as
conflict resolution and cohesiveness. Cultural differences can greatly interfere
with the communication process. Effective communication requires that
individuals have at least a minimum of shared language around which to align.
Different country-based cultures often have different languages, and even
when they use a shared language they may not always translate the same way.
The different values and norms among people from different cultures make it
difficult for them to find a shared platform or a common approach
o Convergent- process gain: satisfaction= Satisfaction is the feeling of having a
need adequately fulfilled. According to similarity-attraction theory,
interactions with people who are similar tend to be more satisfying. Moreover,
people are usually more satisfied the smoother the group operates, and
perceive that diversity influences the group dynamics in a negative way.
Cultures function in part to create a source of identity within the group, and in
part to create efficiency within the group. Both of these aspects of satisfaction
will be decreased when working across cultures.
o Convergent- process gain: social integration= Social integration is “the
attraction to the group, satisfaction with other members of the group, and
social interaction among group members”. It captures a set of dynamics
associated with general group functioning and collaboration, including
cohesion, morale and trust, and coordination. Because cultures develop in
order to facilitate social integration within the culture, it follows that social
integration will be lower when there are multiple cultures in a group. In
addition, cultural diversity's strong association with similarity-attraction and
social categorization imply that it will have a negative effect on social
integration.
Hypothesis 1a:
 Higher cultural diversity will be associated with more creativity.
Hypothesis 1b:
 Higher cultural diversity will be associated with more conflict.
Hypothesis 1c:
 Higher cultural diversity will be associated with less effective communication.
Hypothesis 1d:
 Higher cultural diversity will be associated with lower satisfaction.
Hypothesis 1e:
 Higher cultural diversity will be associated with lower social integration.

Surface-level and deep-level aspects of culture
Surface-level diversity is defined as differences among team members in overt demographic
characteristics, such as age or gender. For cultural diversity, the surface-level traits most
commonly examined in team research are racio-ethnicity and nationality. Deep-level diversity
refers to differences among team members’ psychological characteristics, including
personalities, values, and attitudes. For cultural diversity, the deep-level traits most commonly
measured are values or attitudes associated with culture.

Surface-level attributes such as race and ethnicity, because of their salience, are likely to
trigger immediate similarity-attraction and categorization processes, and may thus have an

, adverse impact on a variety of team outcomes. Deep-level cultural attributes, such as
differences in values, are also likely to affect team outcomes negatively, since value conflicts
normally imply that there is no common ground on which to collaborate and communicate.
However, deep-level attributes may also exert a positive influence on the team process. Deep-
level cultural differences are associated with information-processing effects owing to the
different cognitive perspectives.

Hypothesis 2a:
 Deep-level cultural diversity will be more strongly associated with enhanced creativity
than surface-level cultural diversity.
Hypothesis 2b:
 The level of diversity (deep-level vs surface-level) will moderate the relationship
between cultural diversity and conflict.
Hypothesis 2c:
 The level of diversity (deep-level vs surface-level) will moderate the relationship
between cultural diversity and communication effectiveness.
Hypothesis 2d:
 The level of diversity (deep-level vs surface-level) will moderate the relationship
between cultural diversity and satisfaction.
Hypothesis 2e:
 The level of diversity (deep-level vs surface-level) will moderate the relationship
between cultural diversity and social integration.

Cross-national and intra-national diversity
the effect of cultural diversity is likely to be greater in teams with people from several
different countries, as compared with teams composed of members from a single country.
Because of common educational and other institutional systems, individuals from the same
country hold relatively similar values and beliefs, and language and communication barriers
are less likely to pose problems. By contrast, in teams composed of individuals from different
countries, differences in values, norms of behavior, and communication styles are a frequent
source of irritation, misunderstandings, and conflict. Caveats in this argument:
- intra-national variations can be as significant as those between members of different
national cultures.
o there could be more similarities in perspectives and values between English-
speaking Canadians and Americans than between Anglophone and
Francophone Canadians
- some of the problems associated with cultural diversity may be amplified in a single-
country context, because they are less recognized intra-nationally.
o cultural differences create greater barriers to social integration in domestic than
in cross-border combinations, because managers and employees pay less
attention to cultural differences at the corporate level than at the national level,
and thus tend to underestimate the importance of cultural factors

Hypothesis 3a:
 Cross-national diversity will be more strongly associated with enhanced creativity
than intra-national diversity.
Hypothesis 3b:
 The type of diversity (cross-national vs intra-national) will moderate the relationship
between cultural diversity and conflict.
Hypothesis 3c:

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