Advice points for working across cultures in Supply Chain
Written by Katherine King
1. Know when “yes” means yes, and “yes” means no
In some countries, saying no is downright rude. As a result, when people from those countries are asked yes or no questions like, “Can you get that done by Friday?” The only polite answer to that question is “yes.”
Knowing when it really means commitment is an art form, but a good starting point is to build context, for example, to know the organisational chart surrounding the individual and the relationships they have with other clients. If you are new on the scene or haven’t fostered the relationship side of the business, there is a good chance that “yes” really means “When I’ve taken care of my other responsibilities or longer standing relationships.”
2. Decide if you need to start with the task or the relationship
Developing your relationships before jumping to the task at hand may seem slower initially, but can yield long term gains. If you are from a task oriented culture (for example the US, UK, Germany) working with cultures that initially tend to focus on relationships (India, China, Mexico), a couple of dinners and a few nice comments at the beginning of an email are not going to do the trick. For relationship focused cultures, you need to understand your network’s network, getting to know the people to whom they have primary responsibility and getting a real idea of what success looks like to them. Not only will you have more tools to motivate, but you can manage your own scheduling commitments as well as be more strategic about finding solutions when issues arise.
3. Identify the communication style of your counterpart
Some people get right to the point, whereas others find this barbaric and uncivilised. Similarly, some people speak in niceties and deliver messages indirectly, while others find that untrustworthy and inefficient.
Regardless of your preference, knowing what mode of communication is being used is important in figuring out what messages are being delivered. Some people rely heavily on words to send and receive messages and miss important indirect messages (like whether or not a commitment will really be met). Others are so indirect that when they work with people who “say it as it is,” they find themselves disliking or avoiding them and miss key opportunities. By identifying communication style preferences you can be more deliberate in decision making because you are better able to “hear” messages that would otherwise be outside of your awareness.
4. Reserve judgment
There is very little solution making when stuck in states of judgment. Phrases like, ‘they’re slow’, ‘they’re loud,’ ‘they can’t be trusted’ or ‘they are unreliable,’ are all signs of an employee who is not being globally savvy in trying to determine what is actually going on. When you see something that offends you, it is a learning opportunity. The global leader reserves judgment and digs deeper as the chances are that people aren’t walking out of their house in the morning thinking, “I am going to frustrate one of my international colleagues today.” On the contrary, something in their culture is the reason for that behaviour – the trick is to figure out what it is.
5. Stick to descriptions
When working internationally, people have a natural tendency to interpret and evaluate the behaviours of others. Without knowing about the invisible sides of another’s culture such as their values, beliefs and assumptions it is likely that you could be jumping to incorrect conclusions.
In some cultures a firm hand-shake is considered disrespectful while in others it is the first opportunity to establish trust. By describing the action (that handshake was not firm), you are not interpreting the meaning (I can’t trust) or evaluating (that is bad) according to your own culture. Therefore, you should dig deeper into what the actual meaning is.
6. Know your cultural self
Cultural self-awareness is hard to come by until you gain experience either living or working overseas. If you don’t have that luxury while working with colleagues or suppliers internationally it is important to recognise that when you like or don’t like something about working with a particular nationality that it is saying as much about your cultural self as it is about the other party’s. “Culture hides much more than it reveals and, strangely enough, what it hides, it hides most effectively from its own participants.” – Edward T. Hall, Cultural Anthropologist
7. Familiarize yourself with peoples’ work style preferences
Work style preferences vary across cultures. In some cultures the predominant style is to gather 20% of information before launching a project and then correct along the way. In other cultures, that would be seen as irresponsible and the tendency is to gather 99% of information before moving forward. The former see the latter as slow and ineffective. The latter see the former as fast and ineffective. Some researchers believe they both get to the same place at the same time, just differently.
8. Identify the definition of a good manager
When working across cultures the definitions of what makes a good manager vary widely. Some people manage by objective, whilst others manage by process. While quality control programs provide a great bridge across these two cultural preferences styles, objective oriented employees may want less involvement of a manager (process oriented management = micro-managing = negative) while process-oriented employees may need more involvement (objective oriented = uninvolved = negative). Neither is bad, just different.
9. Develop qualities of good global leadership
Every employee who is working across different cultures requires basic global leadership skills in order to be effective. Often staff are given jobs that are impossible to accomplish because the time-lines don’t allow for the delays caused by cultural misunderstandings. By developing executives, managers and employees through coaching or training with the competencies associated with being a good global leader, organisations are better able to create strategies that are culturally appropriate and inspire their employees to embrace working across cultures rather than resent it.
10. Find a THIRD culture
In the end, working across cultures is not about good or bad, but identifying the differences as just that – differences. Once differences can be identified, the effective global executive, manager or employee can establish a third shared culture that incorporates the best of all worlds. By creating a unifying culture that doesn’t rely solely on the imposition of the client or headquarters cultures, but maximises local knowledge of international players, cultural differences can cease to be a barrier and emerge as an invaluable tool.
Top 10 air freight carriers
10. Cargolux Group
The Luxembourgish freight carrier Cargolux Group (comprised of Cargolux Airlines and Cargolux Italia, established in 2008) remained in the number 10 spot, with a total reported FTK (Freight Tonne Kilometer) equaling 7.45 bn, which represents a 7.7% expansion year-over-year. The carrier group currently operates a fleet of 30 aircraft (26 through Cargolux Airlines and an addition four through Cargolux Italia), primarily variants of the Boeing 747.
9. Korean Air
Headquartered in Seoul, Korean Air provides cargo and passenger services to over 100 destinations in 44 countries. The carrier fell from eighth place in the previous year’s rankings, with a total FTK of 7.66 bn, representing a 7.1% decrease year-over-year. Korean Air reported a net revenue of $10.7bn in 2017, also reporting a return to profitability for the first time in five years, according to Forbes.
8. Air France-KLM
The Air France-KLM freight carrier group was founded in 1947. The group is comprised of Air France, KLM, and Martinair, and is based in Paris, France. Falling from seventh place in the Freight 50 rankings, the carrier reported a total FTK of 8.13 bn, which represents a 9.2% decrease in traffic year-over-year. The group reported a net revenue of $29.08bn at the end of 2017 and is ranked #28 on Forbes Magazine’s list of Best Employers.
7. Qatar Airways
Qatar Airways, the nationally owned airline of the Kingdom of Qatar is based in Doha, and ascended two places in the Freight 50 rankings, with a total FTK of 9.22 bn, representing a 19.6% increase in comparison to the previous financial year. The carrier’s Cargo division recently launched facilities at its hub in Doha to provide a “Seamless Cool Chain”, comprised of a “2,470 square metres Climate Control Centre situated at the airside… equipped with segregated temperature-controlled sections for storing pharmaceuticals and perishables.” This end-to-end supply chain control is expected to further improve Qatar’s standing as a leader of Middle Eastern air freight.
6. Lufthansa Group
Based in Cologne, Germany, the Lufthansa Group (comprised of Lufthansa, Swiss, Austrian, and Brussels Airlines) fell from the fourth position in the Freight 50, with a combined FTK of 9.46 bn. While this represents a 1.6% increase in traffic, year-over-year, the carrier was forced down the list by drastic growth from other German freight company, DHL. According to Forbes, Lufthansa’s revenue and net profits ($41.5 bn and $2.78 bn, respectively) in 2017 are both the highest reported by the company over a ten-year period.
5. Cathay Group
The Cathay Group (composed of Cathay Pacific Airlines and Dragonair) is headquartered in Hong Kong and its Cargo division accounts for 21% of the airline’s total revenue. The company’s first dedicated cargo flight between Hong Kong, Frankfurt, and London, was established in 1981, according to the official site. Now, Cathay Pacific’s Cargo Division services over 47 destinations worldwide. The carrier fell from the fourth position on the Freight 50 ranking, as its total FTK fell by 3.6%, to 10.21 bn. According to Forbes, Cathay Pacific experienced a second year of unprofitability, although the airline’s asset portfolio reached a record high in 2017, with a net value of $24.1bn.
4. DHL Express Group
Operating as the largest European carrier group, DHL Express Group (composed of DHL Air, DHL International, Air Hong Kong, Polar Air Cargo, ABX Air, Southern Air, Aerologic, and EAT Leipzig) rose two positions in the Freight 50 rankings. The carrier reported a total FTK of 10.56 bn, which represents an increase of 15.1% year-over-year. In 2018, at the Farnborough Air Show, DHL Express announced the purchase of 14 Boeing 777s, part of a new strategy to modernise its fleet.
3. UPS Airlines
Headquartered in Atlanta, Georgia, UPS Airlines is part of United Parcel Service, Inc. Founded in 1908, UPS is the oldest company in the Top Ten, and retained third place in the Freight 50 rankings, with a total FTK of 11.26 bn. This represents a 3.9% increase year-over-year. The Company as a whole reported a net revenue of $67.7 bn, according to Forbes, representing a continuation of a ten-year trend of continuous growth. Forbes also ranks UPS among the world’s top 100 most-innovative companies, and the world’s top 50 most-valuable brands.
2. Emirates Skycargo
The state-owned air freight carrier for the UAE, Emirates Skycargo remains in second place on the Freight 50, with a total FTK of 12.27 bn, representing a 0.4% decrease year-over-year. The carrier’s central hub in Dubai allows its 259-strong fleet to reach over 1.5 bn consumers in under eight hours. Current purchasing plans are underway for Emirates Skycargo to almost double its fleet size. According to Albawaba, “In response to increasing demand from its customers, Emirates SkyCargo introduced a range of air transport solutions specific to industry verticals including Emirates Pharma, Emirates Wheels and Emirates Fresh.” Emirates Wheels has transported close to 150 cars per month since the program’s inception.
1. FedEx Express
Founded in 1998, FedEx Express is both the youngest and largest air freight carrier worldwide, with a total FTK of 15.71 bn. Haulage decreased by 0.9% year-over-year, while revenue increased to $60.5 bn in 2016, and again to $63.8 bn in 2017, continuing an eight-year growth trend. FedEx employs 395,000 members of staff, with FedEx Express operating across twelve transport hubs globally. The carrier purchased an additional 24 Boeing 777 variants in 2018, maintaining their company’s position as the largest airline in terms of cargo haulage.