Analysis Of Hofstede's Dimensions Of Culture

When Hofstede analysed his database of culture statistics, he found clear patterns of similarities and differences along the four dimensions. As his research focused solely employees, he could attribute those patterns to national differences and minimise the impact of company culture.

Figure: 1.1.4: Hofstede’s Dimensions of Culture

a) Power Distance Index

Power Distance Index (PDI) refers to the degree of inequality that exists and is accepted between people with and without power. A high-PDI score indicates that a society accepts an unequal, hierarchical distribution of power, and that people understand “their place” in the system. A low-PDI score means that power is shared and widely dispersed, and that society members do not accept situations where power is distributed unequally (refer to figure 1.1.4).

Application: According to the model, in a high-PDI country, such as Malaysia (100), team members will not initiate any action; they like to be guided and directed to complete a task. If a manager does not take charge, they may think that the task is not important (as refer to figure 1.1.5).

b) Individualism versus Collectivism

Individualism versus Collectivism (IDV) refers to the strength of the ties that people have to others within their community.

A high-IDV score indicates weak interpersonal connection among those who are not part of a core “family”. Here, people take less responsibility for others’ actions and outcomes.

In a collectivist society, however, people