Indonesian Values: IBM, Coca Cola, MBA: Hofstede Know no Difference and People does not Change – Study
Politics and Risk is two important thing in Hofstede culture perspective. Hofstede see politics (power) and risk (uncertainty) in four dimension. Power Distance (distribution of power), Individual/group (exercise of power), Uncertainty Avoidance (risk management), Long/short term orientation (time perspective of risk respond: acceptance/averse)
Hofstede perform his seminal study using IBM manager around the world (n: 116,000) in 1980 and 1991, indicating that Indonesian has high power distance, low individual, and high uncertainty avoidance and high term orientation. This study is signifant that we can argue that even in the 30 years timeline with several major event in 1998 (fall of suharto), it is indicated that people does not change, and culture is consistent.
For example, a study by Heuer (1999) on cultural stability or change among manager in Indonesia using MBA and Coca Cola Manager, and a study by Suharnomo (2008) on study on employee motivation in Indonesia using 108 HR Manager listed in Indonesia Stock Exchange, also indicating no significant difference with the results of Hofstede study.
Irawanto (2009) on an analysis of national culture and leadership practice in Indonesia also indicating the same. Irawanto said that Indonesians emphasis collective well being and show a strong humane orientation within their society. The culture is assertive, and pays attention to maintaining harmony. Effective leaders are expected to show compassion while using a more paternalistic than autocratic leadership style. It is advisable that expatriate managers need to avoid actions that are not suited to these values and expectations