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PurposeIncreasingly, organizations in the Asia‐Pacific region are recognizing the importance of cross‐cultural management to the sustainability of their competitive edge. Although the literature is replete with cross‐cultural studies of individualism and collectivism, little information is available on the factors that foster effective individualist–collectivist interaction (ICI) within organizations. This paper attempts to provide a theoretical description of individualists and collectivists at the individual level of analysis, which offers specific testable hypotheses about the effect of self‐representation on prejudice between individualists and collectivists (ICs).Design/methodology/approachIn this paper, a theoretical model is presented in which intergroup prejudices and interpersonal prejudices mediate the effects of ICI and bicultural orientation toward cross‐cultural experiences and, in which, the dissimilarity openness of the climate moderates the level and outcome of prejudices flowing from ICI.FindingsThe model depicts that the outcomes of ICI are mediated by the intergroup prejudices of collectivists and the interpersonal prejudices of individualists, which are moderated by the extent of diversity‐oriented HRM policies and practices and individuals' orientation to cross‐cultural experiences. When workforces become culturally diverse, organizations should modify HRM practices to enable the full use of the range of skills and talents available from the diversity, and to ensure affective and behavioral costs are minimized. As globalization and international competition will continue to increase, organizations including those in the Asia‐Pacific region, should seriously re‐evaluate their HRM policies to adapt and take advantage of an increasingly culturally diverse workforce.Originality/valueThe model provides a useful basis upon which organization researchers and practitioners can base their respective agendas.

All Australian Aborigines have experienced the impact of Western culture to some extent which has resulted in the traditional cultures being irrevocably decimated. The reaction to the disintegration of traditional culture has been marked by a variety of outcomes. While some Aborigines have either accepted or reached a level of accommodation to the new order, others have responded in maladaptive ways. For some Aborigines, the disintegration of traditional culture and society has generated conflict, confusion and the disintegration of personality, which is conducive to the evolution of a dysfunctional group. It is the circumstances of and policy responses to dysfunctional Aboriginal groups, therefore, that is the concern of this article.

The authors propose that the nature of prejudice differs across cultures. A model is introduced that proposes that the interpersonal perspective associated with individualist cultures (Westerners) leads to interpersonal prejudices, whereas the intergroup perspective associated with collectivist cultures (Easterners) leads to intergroup prejudices. These prejudices, in turn, are argued to impact on the outcomes of individuals working in intercultural teams. An organisational diversity climate of openness fostered by diversity oriented HRM and the combined use of individualist and collectivist HRM policies and practices is proposed to minimize the negative effects of such prejudices can be minimized.

Intercultural contact occurs on a daily basis across all facets of life, and is reflective of Australia's multicultural society. This trend is observed in many Western industrialised nations and has contributed to a growing body of research and literature in the field of managing cultural diversity. While much of this research is focused on the internal context of the workplace, relatively little attention has been given to the impact of culture on the service provider and customer interface. In an effort to shed some light on the service experiences of culturally diverse customers, a series of exploratory interviews were conducted. The findings suggest that on the basis of service provider behaviors (both verbal and nonverbal), culturally diverse customers perceive they are the recipients of inequitable service and consequently experience low levels of satisfaction.

PurposeTo provide a new way of conceptualizing the leader's role in managing conflict for increased task and social outcomes in culturally heterogeneous workgroups (CHWs).Design/methodology/approachThe objectives of the paper can be met by hypothesizing the proposed relationships and testing them quantitatively using multiple regression.FindingsFinds that the effect of conflict in CHWs depends, in part, on the way the parties concerned manage it, and in particular the group leader.Research limitations/implicationsThe major limitation of the current research is that it is theoretical. Future research will now need to test the propositions put forward in this paper.Practical implicationsThe paper conceptually identified some skills and behaviors that are pertinent to effective leadership in culturally heterogeneous workgroups.Originality/valueThe model presented in the paper and the research emanating from it should assist in training leaders for these workgroups.

International human resource management (IHRM) is becoming increasingly fundamental to organisational success, as globalisation forces demand organisations to design and implement a global strategy. One of the most critical choices faced by IHRM practitioners is whether and when an organisation should adapt its human resource policies and practices to the local context (localisation). A typology of International Human Resource Management Orientations (IHRMO) that clarifies what IHRMO's are and what they entail is developed from a review of the literature on localisation and globalisation, convergence and divergence and Perlmutter's management typology. Additionally, two theoretical models are developed that predict which IHRM orientation identified in the typology should be adopted. The article takes a step towards elucidating effective IHRM strategy and practice decision‐making by showing that culture and institutional pressures, amongst other tings, do make a difference.

The applicability of the Western model of task and contextual performance to the context of Thai and Western managers, professionals and consultants working together in Thailand is addressed in this research. The results show a clear difference in the factor structure of how Western and Thai managers perceive the importance of performance factors. Moreover, the task and contextual factor structure found for Western managers working in a Western culture did not hold for Westerners working within the Thai cultural environment. These findings provide evidence of adaptation by the Westerner to the Thai cultural environment, supporting the notion of crossvergence.

Expatriates who perform poorly in their overseas assignments cost multinational enterprises billions of dollars, damage firm reputation, disrupt relationships with local nationals, and often exact a cost on expatriates' psychological well‐being. International human resource management, which assumes the crucial responsibility of managing expatriates, should therefore be able to identify the competencies underlying effective expatriate performance, and evaluate crosscultural competence and overall effectiveness. Little research, however, is available on the role of culture in determining cross‐cultural effectiveness in expatriate‐client interactions. Moreover, it is rarely acknowledged that the customer impacts upon the effectiveness of such interactions. This paper provides a theoretical explication of the relationships between the factors of intercultural effectiveness, sociobiographical characteristics, and perceived task and contextual performance of individual managers operating in an intercultural environment. Qualitative research is conducted which, in general, demonstrates the importance of examining intercultural effectiveness from the respective cultural perspectives of the expatriate and the host country client. The findings elucidate the factors contributing to the intercultural effectiveness of Western expatriate managers operating in intercultural teams in Thailand.

PurposeContemporary organizations are increasingly paying attention to incorporate diversity management practices into their systems in order to promote socially responsible actions and equitable employment outcomes for minority groups. The aim of this paper is to seek to address a major oversight in diversity management literature, the integration of organizational justice principles.Design/methodology/approachDrawing upon the existing literature on workforce diversity and organizational justice, the authors develop a model based on normative principles of organizational justice for justice‐based diversity management processes and outcomes.FindingsThe paper proposes that effective diversity management results from a decision‐making process that meets the normative principles of organizational justice (i.e. interactional, procedural and distributive justice). The diversity justice management model introduced in this article provides important theoretical and practical implications for establishing more moral and just workplaces.Research limitations/implicationsThe authors have not tested the conceptual framework of the diversity justice management model, and recommend future research to take up the challenge. The payoff for doing so is to enable the establishment of socially responsible workplaces where individuals, regardless of their background, are given an equal opportunity to flourish in their assigned jobs.Practical implicationsThe diversity justice management model introduced in this paper provides organizational justice (OJ)‐based guidelines for managers to ensure that OJ can be objectively benchmarked and discussed amongst diversity stakeholders to continuously improve actual and perceived OJ outcomes.Social implicationsThe social implication of this conceptual paper is reduction of workforce marginalization and establishment of socially responsible organizations whereby those marginalized (e.g. people with disabilities) can effectively work in their organizations.Originality/valueThis is the first attempt to establish a diveristy justice management model, which incorporates normative principles of organizational justice into diversity management processes and outcomes.

This article compares consumer decision‐making styles between Singaporeans and Australians. Utilising Hofstede's framework, the paper argues that cultural dimensions influence consumer decision making styles. It is essential that managers understand cross‐cultural consumer decision‐making styles to make strategic decisions or effectively handle members of these nationalities. Marked differences were found between the two populations for: brand consciousness, innovativeness and overchoice confusion. The results suggest that some consumer decision‐making styles differ due to consumers' cultural values. Managerial implications and future research directions are discussed.

Detrimental effects of diversity in workgroups has frequently been observed but research identifying the factors that lead to negative or positive effects in heterogeneous groups is lacking. The Perceived Dissimilarity Openness Moderator Model provides one explanation of the process by which diversity influences group affective, behavioral, and cognitive outcomes. Specifically the model identifies individual, group, and organizational openness as moderating the effects of diversity in workgroups. In this paper evidence is provided from a field study that increased openness to perceived dissimilarity leads to better outcomes in newly formed groups. This study also constitutes a significant building block toward the development of theory concerning the moderating variables of the relationship between diversity and group processes, and outcomes of organizations.