UC Irvine

Culture has a pervasive impact on the management of human resources. Culture influences how blue- and white-collar workers respond to pay and non- pay incentives, how international firms are organized, the success of multinational work teams, and even how executives compose and implement business strategies. This article is organized as follows: First, the central notion of culture is defined including discussion of its dimensions and measurement. Next, culture's influences on interpersonal behaviours and negotiation styles are presented. Third, human resources policies are outlined that take into account cultural differences in employee groups. The final section focuses on culture's impact on managers' and policymakers' strategic thinking.