Reply to both discussions with 100 words
Mercedes-Benz, a leading automotive company with a strong global presence, faces various
challenges in designing its organization for the international environment. One significant
challenge is cultural diversity within its workforce. With operations in numerous countries,
Mercedes-Benz encounters differences in language, communication styles, work ethics, and
values among its employees. Managing this cultural diversity is crucial to ensure effective
collaboration and synergy within the organization. According to a Business Horizons article, “By
leveraging both mass production and distribution, leading cost-based multinationals have been
able to perform in a superlative manner (Shanklin et al., 1996)”. Mercedes-Benz has
implemented cross-cultural training programs for its employees to address this challenge.
These programs aim to increase awareness and understanding of different cultural norms and
practices. By promoting cultural sensitivity and inclusivity, the organization fosters a more
harmonious work environment where employees from diverse backgrounds can collaborate
effectively.
Another challenge that Mercedes-Benz likely faces in global organizational design is
ensuring consistency in brand image and product quality across various markets. Different
countries have distinct regulations, customer preferences, and competitive landscapes, which
can impact how the brand is perceived and the products are received. Maintaining a consistent
brand image and delivering high-quality products worldwide is essential to uphold Mercedes-
Benz’s reputation for excellence. To tackle this challenge, Mercedes-Benz has established
global quality standards and strict brand guidelines that apply universally across all markets. By
adhering to these standards and policies, the organization ensures that its products meet the
same level of quality and that its brand message remains consistent worldwide. Additionally,
Mercedes-Benz conducts market research and adapts its strategies to local preferences while
staying true to its brand values. According to a Journal of Management in Engineering article,
“Within the global design and construction industry, leaders have adopted total quality
management (TQM) as the strategy to move closer to consistently satisfied clients and project
profits—each job, each time, without exception (Hayden, 1996)”.
Cultural diversity and maintaining consistency in brand image and product quality are two
significant challenges that Mercedes-Benz likely encounters in global organizational design.
Through initiatives such as cross-cultural training programs and global quality standards, the
organization addresses these challenges effectively, ensuring a cohesive and successful
international presence. According to the textbook, “Truly global companies no longer think of
themselves as having a single home country and, indeed, have been called stateless
corporations (Daft, 2021)”.
REFERENCES
Daft, R. L. (2021). Organization theory & design (13th ed.). Cengage.
Hayden Jr., W. M. (1996). Connecting Random Acts of Quality: Global System Standard. Journal
of Management in Engineering, 12(3), 34.
(ASCE)0742-597X(1996)12:3(34)
Shanklin, W. L., & Griffith, D. A. (1996). Crafting strategies for global marketing in the new
millennium. Business Horizons, 39(5), 11.
When it comes to doing international business, organizations realize that it’s an entirely
different ball game. “They sometimes find that transferring their domestic success
internationally requires a different approach” (Daft, 2020, p. 222). The product that I have
selected to discuss is my 2008 Nissan Altima. Nissan is a car company based in Japan that
manufactures cars all around the world. It’s hard to create a structure that fits all the
manufacturing plants across the country. There are so many different issues that can be found
on different levels. There are different markets and their demands. Multiple differences in
culture can be found. Also, there are many different laws and regulations for all countries that
are set in place. So the challenge arises when trying to find a healthy balance to constantly
operate within each of these countries. Which requires constant work because these factors are
constantly changing across the globe.
It is also hard to manage each different manufacturing plant and find the right person in a
real country. “Nissan found it difficult to attract and retain capable local persons at their
overseas subsidiaries and find the optimum utilization of human resources on a global basis”
(Furusawa, 2014, p. 168). Nissan must find the correct candidate to run each of the different
locations, as well as check on the progress of the current business. The difference in culture
and time zones can truly harm efficient work being done. It may lead to delays and not being
able to communicate efficiently. The organization addresses these two problems by conducting
market analysis beforehand before even going into the market. Yet, as the market constantly
changes, some problems Nissan can’t be proactive about. Simply put, international business is
a gamble, and it’s never guaranteed success.
References
Daft, R. L. (2020). Organization Theory & Design (13th ed.). Cengage Learning US. https://
savantlearningsystems.vitalsource.com/books/9798214350042
Furusawa, M. (2014). Global talent management in Japanese multinational companies: The case
of Nissan Motor Company. In Global talent management: Challenges, strategies, and
opportunities (pp. 159-170). Cham: Springer International Publishing.
