Category Archives: Business communications

#P2T2 MOOC wins Big Chip Little Chip Award 2014

Big Chip Awards 2014 Winner
Big Chip Awards Winner

Passport to Trade 2.0 success with digital enterprise continued this summer with winning the Little Chip Student Award 2014. It was one of the two Salford Business School’s projects short-listed for the Big Chip 2014 Awards.

The Big Chips are far and away the biggest digital awards outside of London and the longest running in the UK in their 16th year. They are organised by trade association, Manchester Digital for all things digital – from mobile apps to social media, from animation to websites to digital brand.

Salford Business School’s Centre for Digital Business submitted two projects, one a student Live Project – the MOOC and Passport to Trade 2.0 project itself.

Continue reading #P2T2 MOOC wins Big Chip Little Chip Award 2014 →

Business Meeting Protocol and Etiquette in Russia

Moscow-Russia

Image (CC) by Rufus Walabee – One night in Moscow

Key values in your Russian business meeting

Russia is a country of cultural contradictions. Not only is it a very big country, covering nine time zones, the upheavals of the 1990s have created a very pronounced generational gap. Generally, the older generations are marked by a tendency towards conservatism and have a group mentality. The younger generations are much more dynamic and progressive, with a more individualist approach.

There is a general sense of pessimism not only about the future but also about the present as well. Russia is a country that considers itself isolated from the rest of the world, surrounded by neighbours who want to take advantage of it. This has created a fortress mentality – outsiders are not trusted. This is in contrast to the extensive hospitality normally shown to visitors.

Russians are often very closed and formal in public, but open, warm and informal in private. In communication, Russians tend to be direct and do not avoid confrontation. They can be extremely emotional and yet reserved in the same meeting.

Russians generally consider themselves to be culturally rich in terms of art and literature. Dusha (soul) is an important consideration – this means that intellectual, abstract discussions are common. Knowledge of “high culture” is valued, and the ability to talk about works of art and literature is appreciated.

Russia is a meeting of Europe and Asia, and their cultural portrait reflects this.

Time, ‘before and after’ your business meeting

russian-airplain

Image (CC) by Aleksander Markin – Russia State Transport Company Ilyushin Il-96-300PU RA-96016

Russians are traditionally very punctual, especially when meeting foreigners. This is beginning to change, especially among senior directors in new businesses who like to demonstrate their power by keeping visitors waiting. For a meeting of equals expect punctuality: meetings will start on time but will continue until all points are covered.

If you have meetings with local officials you will wait a long time, even if you have an appointment: processes are slow so it may not be a deliberate ploy. You should expect meetings to take up more of your time than planned.

Before a meeting you should re-confirm by phone, both with the person and with his/her secretary. Russians prefer direct contact to emails or letters – the postal service is famously unreliable, so make sure you speak in person. Russians do not generally adhere to formal agendas, as the most senior person will dictate the topics and length of discussions. It is worth clarifying who will be present in advance if possible and ensuring that your party contains people of equivalent status. This will increase the chances of you being able to influence the meeting.

When you are considered an “honoured guest” it is very common to combine meetings with food and drink. Russians can be very hospitable and are keen to demonstrate their generosity. They are aware of their reputation for heavy drinking and may use that to gain advantage.

business-relationship

Image (CC) by marsmettt tallahassee

“Banquets” can last late into the night – you should expect to stay late as well. It is worth noting that the next day will start at the usual time, regardless of when the banquet finished.

Hierarchy and status in a business meeting

Konstantin Zamkov - business meeting Russia

Ironically the ideologically egalitarian policies of communism have bred an extremely hierarchical structure in private and public organisations in Russia.

The boss is a very distant, powerful figure, and is surrounded by visible demonstrations of his/her position. Wealth and status are demonstrated openly and emphasise the difference in authority. Promotions are rewarded not just financially but with a bigger office, better car and other visible privileges. Junior team members are expected to respond immediately to any request by their boss, regardless of any other duties they may have to perform.

It is also expected that those in authority will be obvious in their exercise of power. Russian managers are comfortable criticising openly and making impulsive decisions. In the same way, rewards and positive feedback are given publicly. This can mean that the boss may use a meeting as an opportunity to address an individual’s performance. This is uncommon when outsiders are present, but not unheard of.

Decisions, discussions and disagreeing

As is expected in hierarchical societies, decisions are usually made at the most senior level. The boss is advised by heads of department, but will make the final decision alone, although s/he may not heed the advice given. Decision-making can therefore take a long time as each “boss” at each stage will decide whether or not to pass the recommendation up to the next level.

Individuals may be invited to contribute to decisions, but these are not discussions or debates. In meetings which involve negotiations, Russians will often withdraw from the meeting to consult, allowing the senior person to make the decision alone. Disagreement with a senior person is very rarely expressed in public.

It is not uncommon for the senior person to be quite confrontational in a meeting if s/he is not getting their own way. It is appropriate to ask for a break to reconsider your position before continuing the meeting.

Task vs. Relationship

Russians consider both relationship and task to be important. They traditionally have extensive networks and rely on mutual influence to bypass bureaucracy. They are more comfortable doing business with people they know well. However, business relationships are measured by the success of a task – the relationship may not survive a bad experience or a failure.

Loyalty is to a person rather than an organisation and you must re-establish a relationship each time your contact moves on. When a team leader is promoted, it is common for him/her to promote members of the old team as a reward for their support.

Among younger leaders and businesses the balance is tending towards a greater focus on task, and business relationships are increasingly transactional. When making proposals it may be beneficial to demonstrate the ways this will improve a person’s standing in their organisation and how they will benefit individually.

Key values

  • Emotional
  • Fatalistic
  • Pessimistic
  • Inward facing
  • Fortress mentality
  • Direct
  • Dusha (soul)

Time, “before and after”

  • Punctuality valued
  • New businesses and bureaucrats may keep you waiting longer
  • Business entertainment can be very long
  • Meetings continue to a decision

Hierarchy and status

  • Steep hierarchy
  • Visible demonstrations of status
  • Power is emphasised and used

 Structure and formality

  • Meetings are always formal
  • Structure of meetings is dependent on the host/senior person present
  • Communication is formal at meetings, even if less formal before and after
  • Use professional/academic titles and surname or name and patronymic

Decisions, discussions and disagreeing

  • Decisions made by boss alone
  • Discussions done in private not at meetings
  • Disagreeing with the senior person is done in private if at all

Task vs. relationship

  • Relationships and “blat’” (network) are crucial
  • Loyalty to a person rather than organisation
  • Task is still very important – Russians want actions

This blog post is written by Declan Mulkeen is Marketing Director at Communicaid a culture and business communication skills consultancy which offers cultural awareness training.

Six lessons in Italian Business Culture

Economic fluctuations and political controversy aside, the remaining truth is that Italy offers unbeaten culture. Simon Ball has run an Italian property rental business from London, for over 25 years. He now shares his experiences of business culture in Italy; the challenges, differences and route to success.

Tuscany Now
Image from Tuscany Now

The story

The business was born out of a frustrating personal experience when Simon and his family began as homeowners in Tuscany. Keen to rent the property out, they quickly found that disjointed communication between Italian and English agencies meant that there was double commission, making profits on the house much lower than hoped.

Beginning with a handful of houses to market, Simon took business in to his own hands, applying his own experience as a homeowner to a direct rental service for others. Two decades later, Tuscany Now has a team of full-time employees offering an array of 170 homes around Italy to a global customer base.

1. Business relies on trust

“In the UK, business is very much linear and professional. It is impersonal and simply relies on efficiency and agreements. In Italian business culture, a business relationship is an emotional one based on mutual trust. You give your time and input and trust is earned through evidence. Recommendations are important, so I introduce current homeowners to prospective homeowners so that they can get an independent recommendation of me and my business”.

2. You get back what you put in

“What works, is quality not quantity, you cannot compete cheaply. Invest in your staff, in time, effort and knowledge. People want to be sure and they will pay for knowledge. I will help homeowners with everything from legalities to furnishings and have ensured that the number of homes we work with is compatible with our constant attention. Where in the UK your service is only that which you offer, in Italy, you invest all that you can to help each other and to ensure a successful partnership”

3. Communicate by phone or face-to-face

“In the UK, the internet is everything. B2B contact, ecommerce and recommendations all exist online. In Italian business culture, ecommerce remains low and this extends to the use of the internet for communication. Using the phone or physically meeting is the way to do business.

The team is all available to contact on mobile numbers and one of the team will always be on Italian ground at any one time. If a homeowner calls at midnight on a Sunday, we will be available. Equally, we are all Italian-speaking, which is a necessity in practicing business in Italy – some homeowners cannot speak any English. Be prepared to speak the language directly, on a daily basis!”

4. Industry legislation

“In the UK, tax and legislative changes are relatively scheduled, meaning that misunderstanding and surprises are unlikely. Tax laws and legislation in Italy can change throughout the year. You must invest time in understanding how these affect your business.

Tuscany Now has a law office and accountant in Florence, who specialise in local legislation and taxes. We will be informed of anything major, for example the Tourist Tax, which altered the laws on publicly available property. When it comes to charges, taxes can make costs difficult to be sure of, so this is why staying updated is so important.”

5. Understand the market

“Investing in Italy, is investing in its culture. Though tourism as a whole has shrunk, the high-end market is healthy, especially when marketed to the Anglo-Saxon consumer. Our success lies in the UK, US, Canada and even Russia. This customer base is happy to spend for certainty and assurance.

Therefore, what works is quality and knowledge. Tuscany Now’s familiarity with Tuscany specifically is our niche and we can offer expertise and advice. Italy’ss pull has been and will continue to be its rich culture, so finding a niche for a high-end market is where there is room for business investment”.

6. Expect the unexpected

“Whilst in the UK planning can be done with relative accuracy, in Italy, there is much uncertainty. Italy’s economic future is determined by the continuation of the Euro. It is important to understand the risks involved if planning to invest in the country.

Whilst economic changes can’t be predetermined, the one constant is culture. The Italian quality of life will hold its appeal”

UK - Italy business culture comparison
UK – Italy business culture comparison

 

This case study displays the real potential of European business. No matter the country a business hopes to expand or invest in, understanding its cultural identity and business climate must come first. Keep informed, involved and open to change.

 

Working together adjusting to change

Sue Lister
Sue Lister

What happens when you introduce change to a multinational company which has individuals from 16 different countries? Working together in an online environment and adjusting to change is a challenge. I’ve been looking back at the time I worked with European colleagues for a French company.

We managed an international web project from Europe and India and in doing so learnt a lot about the different cultures in each other other’s countries.

The company provided IT and business services to their clients who were large organisations in the public and private sectors. Day to day, the people they employed looked after clients’ computer systems and administered the processes that enabled business to be done. The head office – which we referred to as Group – was based in France – Paris.

Adjusting to change: From Independence to Centralisation

Sixteen of us made up the project team, led by the Group Digital Manager. We were each the web manager for our country, brought together by a project to rebuild the company’s website. Sixteen countries’ websites were to become one.

We all had managers in our own countries. I worked on the UK Marketing Team who were based in Hertfordshire. My office base was Manchester and like many of my UK colleagues I worked from home.

Working together: Meeting Customers’ and Prospects’ Needs

Country marketing teams worried that when the sites became one they’d lose visitors. Centrally, it was felt that cross-selling opportunities would be easier from a single site. This sparked some interesting debates amongst the 16 web managers and also amongst each country’s team.

Working together: New website, new ways of working

With the new website came change. Changes included centrally authorising content for publication on the new site. Decisions previously made by each country’s Marketing Manager were now made by the Group Digital Manager.

Most of the decision making discussions took place during teleconferences. Our weekly calls focused on sharing ideas and expertise as well as project control. It wasn’t possible for the whole project team to meet face to face so we’d become accustomed to dispersed ways of working.

There was a good mix of web skills throughout the countries and everyone was encouraged to express ideas and escalate issues. Everyone’s commitment to the project helped overcome any barriers that might have been caused by the sometimes impersonal nature of group telephone calls.

Adjusting to change: Punctuality and socialising

Eventually we got to meet some of our colleagues face to face at the Paris head office. Two differences stood out: punctuality and social breaks.

The meeting started 15 minutes late and no-one commented. As suggested by the French business etiquette guide 10 minutes late is acceptable. In the UK being just one minute late for a call or meeting could be frowned upon. This is where I feel that the UK business etiquette guide is a bit too generous suggesting 5 minutes late as being “OK” and I would recommend to start on time. There would be anger and restlessness at the wasted time.

12 noon arrived and a colleague left saying, “I’m off to a birthday lunch.” The social event took priority and that was OK.

I’m sure that, like me, you will find in businessculture.org a valuable source of information when faced with situations like those I’ve described here.

Sue Lister

Owner at Tresil Web Solutions Ltd