MANAGEMENT

How Do Mnc's and Local Chains in UAE Deal with Uncertainty Avoidance to Maintain Good Communication and Performance

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How Do Mnc's and Local Chains in UAE Deal with Uncertainty Avoidance to Maintain Good Communication and Performance

CHAPTER I: INTRODUCTION

All around the world in all cultures of the globe facts such as creativity, bureaucracy, authority and accountability are handled in a distinct manner. The external and internal environment of a company renders influence on the manner in which human resources are managed. Moreover, it is the very culture of the organization that requires an understanding of impact of the external and internal influences of the organization. Organizational culture serves as a foundation for the internal environment in any corporation. As for the external environment, ownership is regarded as one of the leading issues.

Multinational corporations belonging to a certain state with presence in the United Arab Emirates, the culture of the gulf state would have an association with the stakeholders and shareholders of the company. This is due to the rules and regulations of the country that require the company to abide by the legislation of the land. Similarly, there would be difference in the outlook of the overall industry, the availability of resources and traits of the national economy. The socio-cultural environment of the country such as paternalism, and power distance also has an impact of the policies of the organization. However, as the world comes closer due to globalization, there will be a global organizational culture that would render the job of managers as being simpler than before. Globalization has been able to integrate economies and provides options in which business can be conducted (Du Plessis et al. 2006, 69).

Performance Management in UAE

When discussing the issue of performance management, the style of management in the UAE is unique in that it includes substantial amount of supervision and leads to the creation of a number of relationship between superiors and subordinates in any company. The supervisory style is regarded as one that exudes individualism and high power distance. Tactical decision making in the UAE is associated with a number of activities within the company look to accomplish goals and influencing outcomes by maintaining a formal and centralized hierarchy.

Organizations in the UAE have higher barriers when it comes to communicating within the organizational structure. The flow of communication draws influence from the high power distance and individualism in the national fabric of the society. When we take into account the mechanism of control in the country, which includes conducted various organizational operations and checks; there is a high degree of control that supervisors enjoy over their subordinates. In terms of paternalistic orientation in organizations in the UAE, there is a low level of supervision. The management does not seem concerned about the social or personal life of the employees. Relationships between departments in organizations, there is also a high level of individualism and distance that prevents departments from interfering with the others duties (Lebas, 1995, 23).

Therefore, it would ...