As a graduate majoring at English, I certainly know culture difference has an impact on daily communication; but I had never thought culture is increasingly challenging global supply chain until I encounter the following event:
This is my friend’s complaint. Once a foreign client asked my friend to show him to her company factory; but since it was over 18:00, so my friend suggested having a dinner first. However, her client refused and directly went to the factory. When the visit came to an end, it was 23:00; therefore my friend had to empty her stomach and hurried back to her apartment.
When my friend complained, I told her “Fortunately, you had patience, or you would lose your client and more deals in the future.”
And also grateful for my friend’s experience, I begin to cast attention to culture difference in supply chain management. Currently, most effort to supply chain management usually focus on quality, procurement, logistics as well as common risks such as natural disaster, counterfeit, economic slowdown. However, driven by expanded globalization, culture difference is increasingly gaining traction.
In addition to the above reflection toward work, I will list some other facts which help show weak supply chain affected by cultural difference:
In Central America, workers may refuse to return to work until an exorcism has been performed in a warehouse they think may be haunted;
In Japan, since personal relationships are so important, a deal may fall through if a foreigner turns down an invitation to go on a “hashigo,” the Japanese version of a pub crawl;
The American and Dutch cultures get directly to the point in asking as well as in answering a question; while people in Southern Europe, Asia, and Japan tend to circle around the point;
Cultural difference abounds in cross-national deals; if not care, misunderstanding could results in loss of contracts. “We have to remember culture is a learned experience. It starts in our childhood, and we have to learn to work with people who behave differently,” says Ann Murray, a strategic director of a logistics provider.
To handle cultural difference, one must think and react with an open mind, which contributes a lot to Samsung’s success. In most people’s eyes, Samsung operation carries the shadow of imitating Japan. However, I find a kind of respect to culture difference in Samsung.
For instance, Samsung adds some unique functions in its cellphones, such as marking the orientation of Mecca in the Islamic region; setting five-time-a-day Sunday alarm clock; built-in music of the Koran… It is undeniable that these products are very popular among local customers.
Cultural issues is becoming more significant, people in one geographic area prefer their culture to others. Manufacturers and logistic providers should take culture difference into their supply chain risk. Luckily, this culture challenge is relatively stable, so multi-cultural teams or knowing of culture before the deal are good solutions.
Have you prepared your supply chain for this risk？
Tags：
culture difference, culture challenge, supply chain risk, supply chain management