Power Distance Effect

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Effects of Power Distance in an Organization
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Effects of Power Distance in an Organization
Every organization has an aim of growing, for this to happen, it has to ensure wide customer base which is as a result of the production of goods of high quality and quantity; employees play key roles in ensuring that this goal is achieved hence their importance. The greatest challenge facing organizations are recognizing the cultural variations in each association to cohesively administer the business (Taras, Steel & Kirkman, 2012), so as to attain their objectives and enhance performance. Present literature shows that culture is a significant determinant of the performance of an organization, since, for business operation
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According to Fried and Peretz studied how performance appraisal is affected by power distance crosswise nations, they stated that power distance correlates negatively with the figures of rating sources utilized in appraisals. Moreover, power distance interacts with the figure of rating sources deployed in appraisals to forecast factors such as absenteeism, in low power distance organizations, absenteeism was slight for associations which used many rating sources (Taras, Steel & Kirkman, 2012). Numerous sources appraisal systems are more probable in low power distance organization and the appraisal process in a low power distance organization is …show more content…
Organizations with low power distance anticipate more self-governing system of relationships. In such organizations, junior staffs feel that they have the power to contribute to the decision-making process. In distinction, employees of organizations with high power distance are usually not willing to convey doubt or disagreements with their superiors (Daniels & Greguras, 2014). Current organizational and global trend makes an understanding variation, individual and cultural values more significant for employees and organizational welfare and effectiveness (Hofstede, 2013). Cultural values can forecast certain employees and organizational outcomes alike or even stronger than other person’s differences like personality traits. It is only through improved understanding of how much and when a cultural value makes a difference in the outcomes of the employees. High power distance influences employees and organizational outcomes in various ways like negatively affecting the welfare of the employees discourage proper communication and information sharing in the organization (Zhang, De Pablos & Xu, 2014), encourages abusive supervision and unethical behaviors which result in poor decision making, lack of innovation and reduction in the performance of the organization. To avoid such outcomes, organizations should consider using

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