Chapter 5 Culture, Management Style, and Business Systems 137 of data and even the proper reporting of data are not prime prerequisites. Furthermore, exist-ing data frequently are for the eyes of a select few. The frankness of expression and openness in dealing with data, characteristic of U.S. businesses, do not fit easily into some cultures. Compatible with the views that one controls one’s own destiny and that advancement is based on merit is the prevailing idea of wide sharing in decision making. Although decision making is not a democratic process in U.S. businesses, there is a strong belief that individu-als in an organization require and, indeed, need the responsibility of making decisions for their continued development. Thus, decisions are frequently decentralized, and the ability as well as the responsibility for making decisions is pushed down to lower ranks of man-agement. In many cultures, decisions are highly centralized, in part because of the belief that only a few in the company have the right or the ability to make decisions. In the Middle East, for example, only top executives make decisions. A key value underlying the American business system is reflected in the notion of a never-ending quest for improvement. The United States has always been a relatively activ-ist society; in many walks of life, the prevailing question is “Can it be done better?” Thus, management concepts reflect the belief that change is not only normal but also necessary, that nothing is sacred or above improvement. Results are what count; if practices must change to achieve results, then change is in order. In other cultures, the strength and power of those in command frequently rest not on change but on the premise that the status quo demands stable structure. To suggest improvement implies that those in power have failed; for someone in a lower position to suggest change would be viewed as a threat to another’s private domain rather than the suggestion of an alert and dynamic individual. Perhaps most fundamental to Western management practices is the notion that competition is crucial for efficiency, improvement, and regeneration. Gordon Gekko put it most banally in the movie Wall Street: “Greed is good.” Adam Smith in his The Wealth of Nations wrote one of the most important sentences in the English language: “By pur-suing his own interests he frequently promotes that of the society more effectually than when he really intended to promote it.”12 This “invisible hand” notion justifies competitive behavior because it improves society and its organizations. Competition among salespeople (for example, sales contests) is a good thing because it promotes better individual 12Adam Smith, The Wealth of Nations, Book IV (1776; reprint, New York: Modern Library, 1994), p. 485. What’s different about Adam Smith’s, “By pursuing his own interests he frequently promotes that of society more effectually than when he really intended to promote it,” and Gordon Gekko’s, “Greed is good” statements? It’s the adverb. Smith didn’t say “always,” “most of the time,” or even “often.” He said “frequently.” Today many on Wall Street ignore this crucial difference.
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