ZTE Corporation is one of the leading Information Technology (IT) and telecommunication organizations in the world. ZTE Corporation deals with distribution of IT and telecommunication equipment in various parts of the globe. The company was founded back in 1985 in Shenzhen, China. Today, innovations and the delivery of quality equipment to the market make up one the key targets of the company. Over the past few years, the profits made by the corporation have made it be enlisted in the Shenzhen and Hong Kong stock exchange. The key drivers in the success of the company in the global arena are the organizational practice that the company has been preserving. The activity leads to the creation of perfect corporate governance that facilitates the delivery of quality products and services to the growing market around different parts of the globe.
The system of shared values, beliefs and assumptions that govern how staff members behave in companies is organizational culture. The values play an influential role. Apparently, they dictate the way the employees act, dress, and perform their daily duties. Each organization has its own set of values that needs to be preserved and observed to facilitate daily operations. The development of specific guidelines to follow plays an integral part in the maintenance of organizational culture within the company. ZTE Corporation is one company that has withheld the organizational culture through the practice of business ethics. Through the observation of business ethics the company has managed to make profits in the competing telecommunication and IT industry. The paper discusses the business ethics practice that ZTE Corporation has maintained ever since its formation.
Organizational culture case study
The maintenance of positive relations between ZTE Corporation and its environment is an essential practice that enables the company to expand its activities in the global arena. The practice of business ethics is a preferable activity because it leads to the creation of positive relations between the company and its microenvironment. (Ahner, 2007). The use of Hofstede’s cultural dimensions explains the relevance of the organizational practice in a broader perspective. The articulation of ideas in the dimensions gives the explanation about the importance of practicing business ethics within a company (Luger, 2009). The Hofstede’s cultural dimensions include power distance, individualism, masculinity, uncertainty avoidance, and time orientation. The understanding of the mentioned dimensions makes it a preferred framework compared to the Schein’s model. The ability to incorporate business ethics practice makes the framework suitable for all classes.
The application of the Hofstede’s cultural dimensions enables a person to understand the organization culture of ZTE Corporation. The dimensions provide a quick analysis that empowers an individual to come up with effective ways of understanding the business ethic practice that the company exercises (Hofstede, 2008). The application of Hofstede’s cultural dimensions in the business ethics aspects enables the understanding why ZTE Corporation has managed to spread its branches to several parts of the world because of the stiff competition that exists in the market. Ideally, the continuous application of the framework places the company on a competitive advantage(Vilcox & Mohan, 2007). The applicability of the dimensions in a business ethics perspective makes it the most preferred theoretical framework because of its increased level of effectiveness.
Organizational culture model
Hofstede’s cultural dimensions model comprises of six distinctive cultural dimensions. The understanding of the dimensions plays an effectual role in integrating the practices of the organization with the cultural setting of a new target area. The understanding of the power index dimension plays an effective role in explaining the basic concepts of the framework. The first dimension is the power distance index (PDI). The dimension refers to the inequality degree that exists between the people that are in power and the ones that lack power (Hofstede ; Hofstede, 2015). The use of the PDI scores enables a person to understand the response of the society or the outside environment in relation to the inequality that exists in the environmental setting. The high score gives a clear indication that the society accepts the existing hierarchal distribution in form of power. It also shows that the people understand their place in the society.
The applicability of the dimension in an organizational setting explains the need to develop a positive business ethics in the administrative pattern. The PDI tests can be conducted in the company to determine the behavior of the employees and the management (Bredeson, 2012). Apparently, the understanding of the administrative structure explains the necessity of the dimension through the test, the management can understand the effectiveness of their organizational structure by undemanding the actual responses of the employees towards the duties that are delegated to them on a daily basis (Baumuller, 2007). The PDI tests enable the management to determine the level of appreciation of the employees towards the hierarchal distribution of power within the organization. The tests make the organization to make preferred changes in the current organizational pattern of the company. In conclusion, a vital stage needs to place under consideration.
Individualism versus collectivism makes up the second dimension of the Hofstede’s cultural dimensions. The practices are the existing strength that makes people accept others in the society. The understanding of this dimension facilitates a learner to understand the relevance of unity within the organization. The activity refers to the ability of the society to accept people that are not members of the community (Melkman & Trotman, 2015). The high score in the IDV test is a clear indication that weak interpersonal relationships exist in the society. This means that the members of the society do not welcome outsiders. The understanding of the IDV concepts plays a relevant part in the creation of a unified society that appreciates the contribution of each member. In conclusion, the dimension refers to the acceptability by the members of the society.
Masculinity versus femininity (MAS) makes up the third part of the dimension. The practice refers to the distribution of power and roles between men and women in the society. A look at the characteristics of masculine societies explains the point better. The use of alternative comparisons to distinguish the rate of success plays a definitive role in the success of such societies. The society expects the behavior of men to be quite positive in relation to assertiveness (Falkenreck, 2010). On the other hand, feminine societies value the roles that women play. The activity revolves around the creation of positive working relationships that results in women performing more roles. The understanding of the existing gaps between the mentioned societies is relevant. This leads to the creation of a perfect corporate governance strategy that would facilitate the equal distribution of power among the staff.
The fourth dimension is the uncertainty avoidance index (UAI). The dimension gives a brief discussion on how people can deal with anxiety. This relevant activity explains the personal attitudes of the members of the society (Pava, 2007). In most cases, people prefer to avoid uncertainty because it creates a unified structure that does not illustrate the relevance of perseverance in the society (Onsrud, 2007). The use of the tests to determine the anxiety levels is necessary. According to the results, high scores give a clear indication that the people have the tendency of increasing the level of predictability by making life more predictable. The activity involves making things more controllable. On the other hand, high score indicates that the people are able to deal with anxiety.