Table of Contents Preface 5 Acknowledgements 6 Table of Figures 13 1 Introduction and Overview Strategic International Management 19 1.1 Introduction 20 1.1.1 How to Use This Book 20 1.1.2 From Gradual Globalisation to Transnational Organisations 21 VIPs 26 1.2 The U se of Holistic Management Models 27 VIPs 29 1.3 The Approach of the EFQM Excellence Model 30 1.3.1 Background Information: The EFQM and its Model 30 1.3.2 The Fundamental Concepts of Excellence 30 1.3.3 The EFQM Excellence Model Framework 2013 33 1.3.4 The EFQM RADAR Logic 36 VIPs 38 1.4 Process Model "Managing Internationalisation" 38 1.5 Citations & Notes 39 2 Key Issue: Developing Cross-Cultural Competence 41 2.1 The Importance of Intercultural Understanding for International Business Issues 42 2.2 Hofstede's Framework: Cultures and Organisations 44 2.2.1 Culture as a Part of Human Mental Programming 44 VIPs 45 2.2.2 An Introduction to Hofstede's Dimensions 46 2.2.3 Power Distance 47 2.2.4 Individualism/Collectivism 50 2.2.5 Masculinity/Femininity 51 2.2.6 Uncertainty Avoidance 53 http://d-nb.info/1061212068
8 Table of Contents 2.2.7 Long-Term Orientation 54 2.2.8 Establishing Country Clusters 56 2.2.9 Adding a New Dimension: Indulgence versus Restraint 58 VIPs 59 2.3 The Dilemma Approach of Trompenaars & Hampden-Turner 60 2.3.1 A View of Culture Based on Dilemmas 60 VIPs 61 2.3.2 Universalism versus Particularism 61 2.3.3 Individualism versus Communitarianism 63 2.3.4 Neutrality versus Affection 63 2.3.5 Specificity versus Diffusion 64 2.3.6 Achieved versus Ascribed Status 65 2.3.7 The Concept of Time 66 2.3.8 Inner versus Outer Direction 68 2.3.9 Reconciling Dilemmas 69 VIPs 71 2.4 Globe Study: More Issues Arising 71 VIPs 73 2.5 Critical Acclaim 73 2.5.1 Typical Problems of Cross-Cultural Research 73 2.5.2 Critical Acclaim of Hofstede's Dimensions 74 2.5.3 Critical Acclaim of Trompenaars & Hampden-Turner's Dilemmas 75 2.5.4 Critical Acclaim of the GLOBE Study 76 2.6 Citations & Notes 77 3 Leading the Internationalisation Process 81 3.1 Good Leadership 82 3.1.1 The Coherent Leadership Approach 82 VIPs 88 3.1.2 Excellent Leaders: EFQM Criterion 1 88 3.2 Developing the Mission, Vision, Values and Ethics 89 3.2.1 Defining and Communicating the Core Purpose of an Organisation 89 VIPs 92 1/1
Table of Contents 9 3.2.2 Acting as Role Models for Ethical Behaviour 92 3.2.2.1 Corporate Ethics and Social Responsibility 92 3.2.2.2 Ethical Behaviour in International Business 93 VIPs 96 3.2.3 Communicating Direction and Uniting the Organisation's People 96 3.2.5 Developing and Reviewing Leadership Culture 97 3.2.5.1 Developing and Supporting a Shared Leadership Culture 97 3.2.5.2 Reviewing and Improving Leadership Behaviour 99 VIPs 101 3.3 Driving Performance and Engaging with External Stakeholders 101 3.4 Reinforcing a Culture of Excellence 102 3.4.1 Developing an Excellent Organisational Culture 102 3.4.2 Promoting and Encouraging Diversity 104 VIPs 107 3.5 Managing Change 107 VIPs Ill 3.6 Citations & Notes Ill 4 Defining and Delivering an International Strategy 115 4.1 Strategy and the Strategy Management Process 116 4.1.1 Popular Strategy Definitions 116 4.1.2 Comprehensive Strategy Management Processes: EFQM Criterion 2 116 4.2 Scanning the Environment 118 4.2.1 Understanding the Needs and Expectations of Stakeholders 118 4.2.2 Analysing Industry and Markets 119 4.2.3 Identifying and Understanding Environmental Key Trends 122 4.2.4 Predicting Future Developments and Changes 126 VIPs 128 4.3 Analysing Internal Performance 129 4.3.1 Understanding Operational Performance and Capabilities 129 4.3.2 Determining Competencies of Partners and Potential Impacts of Changes. 132 4.3.3 Bringing It All Together: Portfolios 132 VIPs 135
10 Table of Contents 4.4 Developing the Strategy 136 4.4.1 Strategy Levels 136 4.4.2 Generating a Sustainable Business Model 137 4.4.3 Business Model Choices 140 4.4.4 Establishing a Strategy Development Process 143 VIPs 145 4.5 Communicating and Implementing the Strategy 146 4.6 Citations & Notes 147 5 Deploying Strategy through People 151 5.1 International Human Resource Management 152 5.1.1 The International HRM Function 152 5.1.2 Managing People: EFQM Criterion 3 154 5.2 Supporting the Strategy through People Plans 154 5.2.1 Steering Human Resource Management Strategically 154 VIPs 156 5.2.2 Planning Global Mobility 156 VIPs 162 5.2.3 Closing the Loop: People Feedback 162 VIPs 167 5.3 Developing People and Their Performance 167 5.3.1 Developing People's Skills and Competencies 167 VIPs 170 5.3.2 Helping People to Improve Their Performance 170 VIPs 177 5.3.3 Appraising Performance Systematically 177 5.3.4 Empowering and Involving People 181 VIPs 184 5.4 Communicating Effectively 185 VIPs 189 5.5 Recognising People 189 VIPs 193 Citations & Notes 194-1 "
Table of Contents 11 6 Managing International Partners and Resources 197 6.1 A Broad View on Resources: EFQM Criterion 4 198 6.2 Establishing International Partnerships for Mutual Benefit 199 6.2.1 Selecting an Appropriate Foreign Operation Mode 199 6.2.1.1 Cross-Border Strategic Alliances 200 VIPs 202 6.2.1.2 Contractual Agreements in International Operations 202 6.2.1.3 International Joint Ventures 204 6.2.1.4 Mergers & Acquisitions across Borders and Cultures 206 6.2.2 Managing International Partners 210 VIPs 212 6.3 Managing Finance and Governance Processes 213 6.3.1 Optimising Organisational Financial Management 213 VIPs 218 6.3.2 Ensuring Compliance 219 VIPs 225 6.3.3 Managing Risks 225 VIPs 230 6.4 Managing Knowledge and Information 230 6.4.1 Managing Knowledge Systematically 230 VIPs 236 6.4.2 Establishing Integrated (Management) Information Systems 237 6.5 Citations & Notes 239 7 Managing Processes and Products Globally 243 7.1 Delivering Stakeholder Value: EFQM Criterion 5 244 7.2 Managing Processes 244 VIPs 250 7.3 Managing Products and Sendees Based on ISO 9001 251 7.3.1 Introducing a Certifiable Quality Management System 251 VIPs 254 7.3.2 Managing Products and Services Globally 254 VIPs 261
12 Table of Contents 7.3.3 Enhancing Customer Relationships 261 7.4 Citations & Notes 264 8 Achieving and Monitoring Balanced Results 267 8.1 EFQM Results Criteria 268 8.2 Introducing the Balanced Scorecard Concept 272 VIPs 275 8.3 Monitoring Achievements by Designing Meaningful Dashboards 275 VIPs 279 8.4 Citations & Notes 279 9 Assessing the Organisation's Management Model 281 9.1 Establishing Strategy Reviews for Continuous Improvement 282 VIPs 284 9.2 Implementing Self-Assessments 284 9.2.1 Introducing Self-Assessment Tools 284 VIPs 288 9.2.2 Conducting a Simulated Award Assessment 289 VIPs 294 9.3 Achieving External Recognition and Winning Excellence Awards 295 VIPs 298 9.4 Citations & Notes 298 References 301 List of Abbreviations 323 Glossary 329 Index 359