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Week One Lecture Note

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Week One Lecture Note

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jsmith94034
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Week One Lecture Note

It is not the strongest or the most intelligent who will survive but those who can best
manage change.
--Charles Darwin

Changing Organizations-A Historic Perspective, the Nature of Change and Your


Role as a Manager in the Change Process

To get started, included is a note briefly reviewing the history of management and
organizations. Organizations have changed as the world shifted from rural economies
dependent on agriculture, to manufacturing and a move to more urban environments, to
the acceleration of new technologies with a focus on service and support industries.
Changing demographics, such as a more diverse and empowered workforce, changing
roles in organizations, the advent of contingent workers, also known as “gig workers,”
and increased competition in a global environment have all effected how organizations
have changed and in turn these changes have had an impact on the structure of
organizations, the role of the individual and especially the role of managers. The
changes to organizations have been further accelerated by disruptive technologies
related to the Internet that have caused shifts in commerce, communication and how
businesses operate in increasingly fast-paced and more complex environments. Simple
tasks once relegated to whole segments of an organization, today, are automated
through what is now commonly called Artificial Intelligence. “Artificial intelligence is not
new, it has been around since the mid-1950s and the term refers to any type of
computer software that engages in human like activities, including learning, planning
and problem-solving.” 1 Tasks that were once routine and time-consuming are now
automated; large data stores are collected and integrated across the various segments
of an organization, allowing for larger and more efficient organizations. Both large and
small organizations, however, benefit from these efficiencies. Segments of
organizations, such as human resources, accounting, finance, customer relationship
management, governance, supply chain management and logistics2 are coordinated
and managed by technology, resulting in still greater efficiencies and flexibility.3

What this means to organizations and managers is reflected in an interview with Gary
Boomer, a CPA and CEO of Boomer Consulting with Thomas L. Friedman in his book,
The World is Flat. Boomer noted, “The accounting profession is currently in
transformation. Those who get caught in the past and resist change will be forced
deeper into commoditization. Those who can create value through leadership,

1 https://www.techopedia.com/definition/190/artificial-intelligence-ai
2 https://news.sap.com/what-is-sap/
3 https://www.businessnewsdaily.com/9402-artificial-intelligence-business-trends.html

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relationships and creativity will transform the industry, as well as strengthen
relationships with their existing customers.” In a related interview with Jaithirth Rao,
Indian businessman and entrepreneur, Friedman commented “… no matter what your
profession--doctor, lawyer, architect, accountant—if you are an American, you better be
good at the touchy-feely service stuff, because anything that can be digitized can be
outsourced to either the smartest or cheapest producer, or both. Rao responded,
“Everyone has to focus on what exactly is their value-added.” 4 If this current view is
correct to achieve success and longevity in business, the focus of the individual is not
just on technical or “hard” skills, but on cultivating and developing the “softer” skills
needed for reciprocity, relationship building, and working within teams.

To illustrate the acceleration of change for yourself, try this exercise: Pick a company,
access copies of its annual reports, spaced apart by 10 years and by examining them,
make a list of the changes that you observe. For a review of some of the larger
companies and changes, there are several journals and websites that compile data
specific to these changes. “The most fundamental finding: 43 of the 100 companies on
top of today’s list were not there ten years ago. Some of the “new” entries, like Amazon
or Huawei, are to be expected – but other companies like Microsoft or Apple are more
surprising. In 2008, for example, Apple was ranked just #337 in global revenue, and in
2019 it is ranked in 4th place.”5

The rate of acceleration and change continues and this information will soon be out of
date as the impact of the shock to economies globally, caused by the current pandemic
plays out.6 These shocks to economies and other disruptive forces can be predicted to
some degree of accuracy using common analytical tools available to economists and
strategists. 7 Yet, in spite of these tools, in many cases individuals and institutions
cannot keep up with the pace of change. In his book, Future Shock8 9author, Alvin Toffler
identified a state where individuals and society are overwhelmed by the rate of technological
and social change that results in what he calls future shock. He describes this state as being
disconnected and suffering from "shattering stress and disorientation" and goes on to
hypothesize that this results in an inability to cope that affects not only individuals but institutions
and political systems that seem blind to these sweeping changes. 10

Why look at history? The answer is simple, looking at the past will help us to understand
how we got to where we are today, and in some case will help us to identify trends that
will help us be better managers. Setting context for the current environment will help to
make some sense of how we got here and help explain some of the practices that
persist (rightly or wrongly) in current business structures. While many of the practices
that remain still have value today, some perhaps, less so; our role is to learn and

4 The World is Flat (ISBN 1-59397-668-2), Thomas L. Friedman, pgs. 13-14


5 https://www.visualcapitalist.com/how-the-worlds-biggest-companies-have-changed-in-just-10-years/
6 https://www.visualcapitalist.com/how-the-worlds-biggest-companies-have-changed-in-just-10-years/
7 https://www.investopedia.com/terms/p/pest-analysis.asp
8 https://archive.org/details/FutureShock-Toffler
9 Future Shock, Toffler, Alvin, Random House, 1970, ISBN: 0-394-42586-3,1970
10 "Alvin Toffler: still shocking after all these years - Interview". New Scientist. 19 March 1994

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understand so that we can decide whether or not structures and processes that have
been put in place continue to be beneficial. In either case we will be better equipped to
reevaluate and make changes, if warranted. Looking at history will give us a broad
perspective on the field of management, how it evolved over time, and possibly even
insight into where it is going next.

Historical Schools of Thought in Business Organizations

1910s Scientific Management11 This school of management took a scientific approach


with the view that employees had specific responsibilities. It encouraged the selection of
roles using scientific data. The goal was to increase productivity for simple tasks related
to production and manufacturing.
1920s Classical School12 Prescribed to the notion of specialized work, the importance
of a top-down, chain of command that categorized the duty of the manager as planning,
organizing and commanding all activities and all employees. Activities and people would
come under the command and coordination of managers.
1920s Bureaucracy13 Emphasized order, consistency and uniformity in management
with the idea that equitable treatment of employees by management was critical. Roles
were assigned based on expertise and competence. Employees would be assigned to a
single supervisor to guarantee order and subordination to managers. Employees will
have rules set by managers to meet the criteria of being consistent, complete and
learnable.
1920s Human Relations14 Focused on the importance of the feelings and attitudes of
workers; informal roles and norms that would influence their performance were studied
and evaluated. Much of this school of thought was directly derived from the Hawthorne
Studies that began in 1924. These studies attempted to explain how changes in the
work environment resulted in improved morale and production. It importantly
recognized that informal groups developed among workers. The Hawthorne effect was
one of the first studies to indicate that the attitude of workers could significantly
influence their productivity.15

11 SWoodham, Jonathan (1997), Twentieth-Century Design, New York, NY, US and London, UK: Oxford University
Press, ISBN 0192842048, OCLC 35777427ci
12 https://www.reference.com/business-finance/classical-management-approach-63ef738a11276004
13 Weber, as translated in: Waters, Tony, and Dagmar Waters, trans. 2015. Weber's Rationalism and Modern

Society: New Translations for the 21st Century, edited by T. Waters and D. Waters. New York: Palgrave-Macmillan.
14 https://www.business.com/articles/human-relations-management-theory-basics/
15 Levitt, S. D.; List, J. A. (2011). "Was there really a Hawthorne effect at the Hawthorne plant? An analysis of the

original illumination experiments". American Economic Journal: Applied Economics. 3: 224–238.


doi:10.1257/app.3.1.224

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1940s Group Dynamics16 Studies and explains the importance and value of individual
participation in decision-making and evaluates group dynamics in achieving
performance.
1950s Decision Making Theory17 Asserts that individuals are most satisfied when they
make their own decisions.
1950s Leadership18 The role and importance of leadership in group dynamics, work
groups, various projects and tasks has a number of studies and ongoing
research attached to it. There are a numerous and diverse theories involving
leadership and the field continues to grow with a vast pool of studies, theories
and knowledge available.
1960s Systems Theory19 Favors an open system with input and feedback; there is an
emphasis on achieving equilibrium and equitable experience for stakeholders.
1980s Contingency Theory20 Studies the fit between organizational processes and the
organizations structure.
The earlier theories focused on the mechanics of mass production that fit the early
industrial age with its use of machinery and the need for its efficient operation to
produce an end product. The workforce was less skilled and this kind of work involved
repetitive and often tedious tasks, with no input from those performing the tasks. Later
theories began to take on a more holistic, organic approach to understanding
organizations (in their contemporary state), involving continuous processes of
technology, changing business environments, and the behavioral aspects of individuals.
Today, the question remains, how can managers meet not only today’s challenges but
the challenges of tomorrow. We will explore this further in next week’s lecture note
which will focus on critical thinking in regard to management and decision-making. This
is called the diagnostic approach to analysis and is used widely in business, the
sciences and the law.

Your Role as A Manager and Agent of Change

Your role as a member of an organization, a team and as a manager is an important


one and begins with self-awareness and self-knowledge. Where you come from and
your history is as important as the history of how organizations developed. We will take
16 Lewin, K. (1947). Frontiers in group dynamics: Concept, method and reality in social science; social equilibria and
social change. Human Relations, 1 (1), 5-41
17 http://scihi.org/simon-decision-making/
18 https://businessjargons.com/theories-of-leadership.html
19 1968, General System theory: Foundations, Development, Applications, New York: George Braziller, revised

edition 1976: ISBN 0-8076-0453-4


20 Fiedler, F. E. (1993). The contingency model: New directions for leadership utilization. In Matteson and

Ivancevich (Eds.), Management and Organizational Behavior Classics

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two diagnostics to expand on and broaden our existing knowledge of ourselves. The
Thomas Kilmann Conflict Assessment Tool, first published in 1974, has been widely
used and is available in multiple languages. It focuses on our reactions to conflict with
the intent of empowering us to improve our relationships in conflict inducing settings.
The second diagnostic we will take is the Myers-Briggs Type Indicator, which focuses
on our preferences in how we work, think and communicate.

The Thomas-Kilmann Conflict Mode Diagnostic

The Thomas-Kilmann Conflict Mode Diagnostic is meant to predict the reaction of an


individual to conflict within a group setting; it predicts five conflict – handling modes. 21

1. Competing is assertive and uncooperative—an individual pursues his own


concerns at the other person’s expense. This is a power-oriented mode in which
you use whatever power seems appropriate to win your own position—your
ability to argue, your rank, or economic sanctions. Competing means “standing
up for your rights,” defending a position which you believe is correct, or simply
trying to win. (Kilmann, TKI ® assessment)
2. Accommodating is unassertive and cooperative—the complete opposite of
competing. When accommodating, the individual neglects his own concerns to
satisfy the concerns of the other person; there is an element of self-sacrifice in
this mode. Accommodating might take the form of selfless generosity or charity,
obeying another person’s order when you would prefer not to, or yielding to
another’s point of view. (Kilmann, TKI ® assessment)
3. Avoiding is unassertive and uncooperative—the person neither pursues his own
concerns nor those of the other individual. Thus, he does not deal with the
conflict. Avoiding might take the form of diplomatically sidestepping an issue,
postponing an issue until a better time, or simply withdrawing from a threatening
situation. (Kilmann, TKI ® assessment)
4. Collaborating is both assertive and cooperative—the complete opposite of
avoiding. Collaborating involves an attempt to work with others to find some
solution that fully satisfies their concerns. It means digging into an issue to
pinpoint the underlying needs and wants of the two individuals. Collaborating
between two persons might take the form of exploring a disagreement to learn
from each other’s insights or trying to find a creative solution to an interpersonal
problem. (Kilmann, TKI ® assessment)
5. Compromising is moderate in both assertiveness and cooperativeness. The
objective is to find some expedient, mutually acceptable solution that partially
satisfies both parties. It falls intermediate between competing and
accommodating. Compromising gives up more than competing but less than
accommodating. Likewise, it addresses an issue more directly than avoiding, but
does not explore it in as much depth as collaborating. In some

21 https://kilmanndiagnostics.com/overview-thomas-kilmann-conflict-mode-instrument-tki/

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6. situations,compromising might mean splitting the difference between the two
positions, exchanging concessions, or seeking a quick middle-ground solution.
(Kilmann, TKI ® assessment)22

It is important to note that each of the five modes is present in all of us; and no one has
one single style of dealing with conflict. However, some people have a tendency to lean
towards one or another depending on the circumstances. Your knowledge of this
assessment should equip you with information to help you navigate conflict situations
and (hopefully) to avoid predictable pitfalls.

The Myers-Briggs Type Indicator (MBTI)

The Myers-Briggs Type Indicator (MBTI) is a diagnostic tool designed to identify your
preferences and how you work, alone and with others and how you communicate. Used
properly it fosters a better understanding of others and yourself and can lead to better
communication, more effective teamwork and fewer conflicts. It is based on the work of
Carl Jung,23 the noted analytical psychologist. Jung concluded that differences in
behavior result from inborn tendencies to use your mind in different ways and as we act
on these tendencies, we develop patterns of behavior. His research focused on the
normal differences between healthy people.
MBTI does not: Explain all human behavior; it does not measure intelligence; it does
not measure stress levels; it does not measure learning ability, and does not identify
psychological disorders. It is not a personality test. It tracks preferences related to how
we think and work. Whatever your score is, it is simply a reflection of the answers that
you gave in the diagnostic and is only as accurate as your answers. It is important to try
to answer the questions in the diagnostic as accurately as possible, not how you would
like to be but how you actually are. One Caveat, a particular score does not mean that
you are destined to behave in a particular way. It means that you have demonstrated
stronger preferences in some areas than others. This may be indicative of your comfort
level in various situations. You can use this information to determine where you are
most comfortable and most importantly perhaps why you may find yourself in situations
where you are not comfortable and take steps to overcome your natural tendencies to
stay within a comfort zone of behaviors that are familiar to you. It is a useful tool for
individuals to understand how they work and think and how they may react to others.
But beware, MBTI should never be used to try to diagnose others; is meant to be a tool
for you to use. Trying to “psych-out” others is a clear misuse and misunderstanding of
this diagnostic and should never be undertaken.

22 Ibid.
23 https://www.biography.com/scholar/carl-jung

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A Few Things to Keep in Mind as You Take the MBTI Diagnostic
• A person’s psychological type should be regarded as a working hypothesis; it Is
not an absolute.
• Everyone uses every preference. We favor, however, one preference over the
other on each of the four scales.
• MBTI scores should not be over interpreted. High scores do not indicate greater
skill, magnitude, or use of a preference. Scores indicate clarity of choice.
• Type can explain some human behavior—not all.
• Type should not be used as an excuse for doing or not doing something.
• Avoid stereotyping someone on the basis of his or her type.24

MBTI does help explain


• Where you focus your attention and energy
• How you acquire or gather information
• How you make decisions or judgments
• How you relate to the outer world
Your type consists of four letters that represent your four preferences25
1. E/I Extrovert/Introvert Attitude
Extroverts
• May have multiple friendships
• Have broader interests
• Thinks best when talking with people, verbalizing ideas and interacting with
others
• Action-oriented, prefer to act, then might reflect
• Direct energy outward toward people and things
• Prefer to be around others and tend to be easy to get to know
• Many interests
• E’s may seem shallow to I’s
(Gardner, W.L)

Introvert Types

• May have close relationships


• Have deeper interests
• Think best alone and then share when they are ideas have been carefully
thought out and clarified
24https://www.personalitypathways.com/personality-type/
25Gardner, W.L. and Martinko, M.J. Using the Myers Briggs Type Indicator to Study Managers: A Literature Review
and Research Agenda, Journal of Management 22 (1996) Pp 45-83

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• Prefer to reflect and then act
• tend to be reserved and difficult to get to know
• Direct energy inward toward ideas and concepts
• Interests have depth
• I’s may seem withdrawn to E’s

S / N: Sensing/Intuitive, Ways of Focusing Attention

Sensing Types

• Perceive and observe through the five senses: sight, sound, touch, taste and
smell
• Attention is focused on reality and what exists in the environment
• View relationship to an object based on the last experience with that object, that
is direct experiential observation.
• Attention to details, practicality, reality
• Prefer learned skills
• Precise, makes few factual errors
• Appreciate communication that is literal and concrete
• Focus on specific parts or pieces
• S’s may seem materialistic and literal-minded to N’s
Intuitive Types
• Focus on the possibilities, process information by way of “insight,” (sixth sense)
• Prefer adding new skills
• Look at the big picture, appreciate meaning, focus on patterns or relationships
• Patient with and enjoy complexity
• Anticipate and live for the future
• Have an imaginative or theoretical orientation
• Appreciate communication that is figurative and abstract
• N’s may seem fickle or impractical to S’s

T / F: Thinking/Feeling, Two Ways of Making Decisions


Thinking Function: How Decisions are Made
• Links ideas together by making logical and often impersonal connections that rely
on principles of cause and effect. Focus – logic of a situation, truth and principles
• Decides things objectively based on logic.
• Contributions – intellectual criticism, solutions to problems
• Decide with the head

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• Tend to excel in analytical ability
• Are concerned with acting objectively and on principles of justice or truth
• Are concerned with a decision’s logic
• Have consistent orientation to a situation based on time: past/present/future.
• Tend to critique ideas or others
• Tend to be questioning
• T’s may seem cold, condescending, defensive to F’s

Feeling Function: How Decisions Are Made


• Weighs relative values and merits of an issue based on personal feeling or
impact.
• Focus on human values and needs, people and harmony
• Relies on an understanding of personal and group values
• Decides things subjectively based on personal values.
• Empathetic to others and their feelings, concerned with a decision’s impact on
people
• Are concerned with understanding/ acting on personal and group values, seek
harmony
• Have a subjective orientation to a situation based on the perceived impact of a
decision on personal values or relationships
• Tend to appreciate strengths of ideas or others
• Tends to be accommodating
F’s may seem fuzzy-minded and emotional to T’s

J/P Judging and Perceiving Orientation

Judging

• Concerned with making decisions, seeking closure, planning operations, or


organizing activities.
• The judging lifestyle is decisive, planned and orderly.
• Attitude – decisive, planful, self-regimented, purposeful
• Focus on completing tasks, makes decisions quickly
• Are organized in attitude and action, live to organize, plan and decide
• Enjoy making decisions, coming to closure or reaching conclusions
• Handle deadlines/plans well in advance
• Are decisive in attitude and action -- like to have life under control
• Make lists, use planners, etc.

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• J’s may seem demanding, rigid and uptight to P’s

Perceiving

• Concerned with assimilating as much incoming information as possible and


postponing decision making.
• The perceiving lifestyle is flexible, adaptable and spontaneous.
• Attitude – curious, spontaneous, flexible, adaptable, tolerant
• Work Environment – focus on starting tasks, postpones decisions
• Live to experience, seek opportunities
• Enjoy being curious and keeping options open for as long as possible
• Meet deadlines by a last-minute rush
• Are adaptable in attitude -- Like to experience life as it happens
• Dislikes being overly organized, and regimented, hate lists, often late
• P’s may seem disorganized, messy or irresponsible to P’s

Tips for Working with Different Communication Styles

Sensing

• Keep information fact-based


• Demonstrate with data why an idea makes sense
• Provide proof of successful applications of an idea
• Work out and reduce risk factors

Thinking
• Be logical
• Be well organized, moving from point to point
• State clearly any principles involved
• List costs and benefits
• List pros and cons

Intuitive
• Give the big picture
• Create a sense of urgency
• Show confidence and enthusiasm
• Point out any challenges or pitfalls
• Point out benefits, especially future benefits

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Working with Opposite Types Has Rewards
It is beneficial to seek out those who are not like you, who can complement your
tendencies, talents and skills. The following will give you an idea of the benefits
of working with opposite types.
Intuitives Need Sensing Types: Sensing Types Need Intuitives:

To bring up pertinent facts To bring up new possibilities


To apply experience to problems To supply ingenuity on problems
To read the fine print in a contract To read the signs of coming change
To notice what needs attention now To see how to prepare for the future
To have patience To have enthusiasm
To keep track of essential details To watch for new essentials
To face difficulties with realsim To tackle difficulties with zest
To show that the joys of the present are To show that the joys of the furture are
important worth working for

Feeling Types Need Thinking Types: Thinking Types Need Feeling Types:

To analyze To persuade
To organize To conciliate
To find the flaws in advance To forecast how others will feel
To reform what needs reforming To arouse enthusiasm
To hold consistently to a policy To teach
To weigh “the law and the evidence” To sell
To fire people when necessary To advertise
To stand firm against opposition To appreciate the thinker

MBTI and Writing Styles by Type


Extroverts and Introverts
• E’s tend to have difficulty writing, prefer to write with little planning and benefit
from discussing their drafts.
I’s tend to have less difficulty writing, prefer to write alone and are often
reluctant to share their thoughts in draft form. (Gardner, W.L)

11
Sensing and Intuition
• S’s like to start with factual, verifiable data and what they have learned. Their
difficulty lies in sorting the irrelevant facts from the relevant.
• N’s like to start with their interpretation of the meaning of complex events. Their
difficulty may lie in having overlooked details essential to the reader’s
understanding.
Thinking and Feeling
• T’s are more likely to organize their writing into clear categories, and focus on
clarity to the point that they forget to interest the audience.
• F’s are less likely to follow such an organized approach, but are more likely to
overstate their points for emphasis.
Judgment and Perceptions
• J’s tend to set goals and deadlines for their material to which they rigidly adhere.
In writing, J’s may focus their efforts too soon (i.e., cut short the data collection
phase) or cut too much in a revision.
• P’s tend to gather information indefinitely and have trouble adhering to any
deadlines. In writing, P’s may produce lengthy drafts requiring focus and
consolidation for the final product.26
(Gardner, W.L)27

In addition to the Thomas Kilmann Assessment and MBTI, we will take a look at one
other theory that influences behavior and is related to an individual’s country of origin
and culture.

Hofstede’s Cultural Dimensions Theory

“Hofstede’s Cultural Dimensions Theory was created in 1980 by Dutch


management researcher, Geert Hofstede. The aim of the study was to determine
the dimensions in which cultures vary and the influence these differences have in
the workplace.”28

26 https://www.myersbriggs.org
27 27Gardner, W.L. and Martinko, M.J. Using the Myers Briggs Type Indicator to Study Managers: A Literature
Review and Research Agenda, Journal of Management 22 (1996) Pp 45-83
28 https://corporatefinanceinstitute.com/resources/knowledge/other/hofstedes-cultural-dimensions-theory/

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Hofstede Identified Six Categories that Define Power Distance Index

1. “Collectivism vs. Individualism


2. Uncertainty Avoidance Index
3. Femininity vs. Masculinity
4. Short-Term vs. Long-Term Orientation
5. Restraint vs. Indulgence” 29 (culturehttps://geerthofstede.com)

Below is one factor, the Scale of Collectivism vs. Individualism for the countries China,
Japan, Germany and the United States.30
Individualism
United States
Germany
Japan
China
Collectivism

Those who are strong on the Collectivist scale tend to:


1. Identify themselves by group membership
2. Give priority to group goals
3. Put more emphasis on harmonious relationships and have more socially-based
emotions. culturehttps://geerthofstede.com

We could continue our assessment of factors that differentiate us and our behavior in
organizations by observing a number of other theories and factors and likely spend an
entire course in this alone. I urge you to explore further each of the factors that we have
reviewed and add other areas that are of interest to you, such as the influence of the
different generations or that of gender on work, culture and values. We have touched on
a few important areas of influence that should serve as good start to increased self-
knowledge.
© 2021 Diane Vacarra

30 https://geerthofstede.com/culture-geert-hofstede-gert-jan-hofstede/6d-model-of-national-culture/

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