jim.shamlin.com

20: Business

The central focal point of American culture is business: the production of goods and commercial exchange. While some nations focus primarily on instituting a given religion or preserving the culture of a people, the United States and its people are focused almost single-mindedly on business.

Many of the qualities Americans consider to be virtuous are derived from the business sector: hard work, achievement, competition, material success, rationality, perseverance, and building toward the future. Those who are wealthy are not admired not merely for having wealth, but from earning wealth through productive activity and business acumen.

Most cultural heroes in contemporary America are those who have succeeded in business: Bill Gates, Warren Buffet, Sam Walton, Ray Croc, and others who have built massive businesses, especially if they originated from humble means.

A random observation the author doesn't quite substantiate or explain, but seems entirely credible, as that most American executives tend to be very large, physically. Numerous studies have shown a correlation between height and status in an organization, and it is reasoned that taller men are more likely to be selected for promotions and paid higher salaries. It is supposed this has to do with the psychological association of physical size to strength and power. (EN: The consideration of this phenomenon in the context of business seems to imply it is unique to business - but it is more of general cultural phenomenon. Similar studies have been done of elected politicians, military officers, and others in leadership positions suggest a strong correlation between leadership and height - though the psychological basis he mentions is a not an uncommon suggestion.)

Another observation is that many wealthy and powerful individuals are very informal. It's common among higher-ranking executives to be relaxed and informal in their behavior and attire, a notable exception being those in the finance industry, who are seldom cordial and just as seldom photographed in anything but a suit and tie. And under their leadership, many organizations have become informal, with subordinates and superiors on a first-name basis, and everyone dressed in casual attire in the office. Few Americans seem particularly concerned about rank or status in an organization.

Yet a third observation is the prevalence of written rules and procedures in the workplace, which seems contrary to the aforementioned informality. However, it speaks to the American sense of justice and equality that there are codified rules and that they are applied uniformly to individuals of all ranks within an organization. Written rules dictate or influence virtually any behavior in the workplace environment.

DOING BUSINESS IN THE UNITED STATES

Because business is central to the American way of life, and because American business has been extremely successful, many foreigners seek to study ways of doing business in the US, and many overseas firms seek to establish (or cannot avoid establishing) connections with American corporations. The topics that follow represent some aspects of American business that stand out in the minds of many international observers.

While they appear to be informal, relaxed, and often somewhat oafish, Americans work hard. They may devote long hours to their jobs and often prioritize their professional responsibilities above social or family relationships. Americans use the term "workaholic" to describe someone who is overly obsessive about business - it is a common affliction, and people tend to take more pride than shame in it, though it is increasingly being recognized as dysfunctional.

It's also remarked that it is generally considered that people of status do not consider themselves to be too important to do whatever activity needs to be done. Ranking executives can be seen to rearrange furniture in a meeting room, pitch in with tidying up around the office, or doing other menial tasks. The legends told about great business leaders invariably include at least one account, if not several, of rolling up one's sleeves to help out with menial tasks and working shoulder-to-shoulder with the rank and file employees.

Punctuality is also important: tasks and events such as meetings are expected to start and end on schedule. Delays cause frustration, and running over the time allotted is considered a sign of poor efficiency or lack of discipline. In general, time is considered a valuable resource, and Americans want to "get right down to business" and do not want to "waste time" for any reason. "Time is money" is a common expression - implying that to waste one is to waste the other.

The notion of business is also considered to be the opposite of the notion of personal. Americans have no particular interest in getting personally acquainted with their business contacts, and even when they seem to be socializing with coworkers, the conversation is often "shop talk" rather than casual conversation. The distinction is such that Americans are prone to considering that they have distinctly different personalities or "selves" at home and at work. As such, American businessmen often seem inhuman to those of cultures where life is more holistic - but admittedly more human that cultures where people in positions of authority are purposefully stoic and removed as a means of showing their dominance.

In business, Americans are even more devoted to numbers than they are in general. There is a preference for 'hard data" in analysis and decision-making, which is felt to be "objective" and uncontaminated by emotion or personal agendas. Some go sop far as to trust "the numbers" more than the input of highly experienced workers or otherwise acknowledged experts.

Aside of statistics, American executives look to financial matters, and generally look to the "bottom line" that calculates profit or loss of any accounting statement. Nothing is as important as profit, return on investment, and emphasis tends to be on the short-run of the current financial year or quarter.

The written word is supremely important to American businesspeople. No statement is official until it is written down, no agreement is binding until there is a written contract, and much time and effort is placed in closely examining written documents to ensure that the language is definite and precise.

The author suggests that it "seems perfectly natural to consult lawyers," but it's closer to the truth to say it is considered indispensable. In many instances, it seems that more time and money is spent on developing and negotiating over documents than either party would have lost were the agreement broken.

It's noted that businesspeople from abroad may feel insulted by the Americans' insistence on written agreements, and consider them to be distrustful. (EN: This is also a typical view among Americans - and not only distrustful, but untrustworthy. A person who insists on a write before he will take your word is the type who cannot be trusted to keep his own unless he is made to write it down and sign it.)

The American emphasis on self-improvement, mentioned elsewhere, is also evident in the business world. Training for employees is increasingly common, and individuals who wish to be more effective will seek seminars or courses to improve their own skills. It is not uncommon for an American to spend considerable time off-the-job in activities geared to improve their professional skills (EN: I appreciate the irony of my present activity.)

Meetings are common in the business world, and are both seen as necessary and ridiculed as pointless by the same individuals. A meeting is a formalized conversation, generally with a written agenda of topics to be discussed. The role of a leader in meetings varies - he may call a meeting to present information to others or gather information from them. Meetings may take place to develop information or ideas, in which the leader coordinates and encourages participation from attendees.

(EN: I think the author confuses two separate roles - one of a "leader" and another of a "moderator" - the person who coordinates and conducts a meeting may not be in a leadership position, and may not even "lead" the meeting in the traditional sense, but merely bring together others for conversation.)

The author claims that issues in business are often resolved by means of voting, with majority rule, as a way to solve disputes. (EN: I have never witnessed such a meeting or seen any dispute resolved by means of a vote, except a stockholders' meeting where voting is considered the appropriate way to make a decision. Among business colleagues, decisions are done by debate, generally backed by facts until a consensus is reached - and if no consensus is reached, it is often escalated to the next level of the organization for argument, and ultimately to the point where there is a single person of authority to make a final decision.)

EMPLOYEE TURNOVER

Comparatively, Americans have a greater tendency to change jobs and employers than other cultures. Recent studies suggest that an average 38-year-old has held an average of 13 to 14 different jobs. In the late twentieth century, the American labor force changed from one in which employers remained with a single company to one in which individuals change jobs frequently - and from one in which an individual who remains at one employer for a long period of time is no longer perceived as steadfast and loyal, but as lacking ambition or competence, such that he has neither sought out or been sought for a better opportunity.

(EN: I've looked into this before, and the statistic presented for changing jobs seems high, but not excessively so - however, I'm unable to find a resource that makes the distinction between changing jobs and changing employers, and there's a significant difference: being promoted through three jobs at one employer is different, more of an accomplishment and less of a stigma, than three different employers during the same time span. And during the late twentieth century, growth in industries and companies led more people to move quickly through the ranks, being promoted as companies grew. I can't say that's always the case, or even often the case - as I can't find statistics - but I do recall seeing a statistic on average employee tenure being around six years, much higher for low-level wage-earners than higher-level salaried employees. Doing the math, six year turnover means about seven different employers for workers who enter the workforce at age 18 or 22 and retire at 65.)

This is well known to American employers, though the reaction of an organization depends on its own values and culture. Some companies set a goal to provide opportunities internally and to groom employees to progress in their careers, accepting the risk that the training they provide may benefit their next employer. Other companies are indifferent to employees, do not train or promote internally, and spend more resources on recruiting to fill vacancies from employees who have been lured away buy other firms.

It's also noted that, in the current environment, companies are mobile as well. Companies will move their operations to locations, for logistical or political advantages (the laws being less restrictive in some states), often severing rather than relocating their employees. Mergers and acquisitions cause businesses to shift their jobs, creating new employment in some locations while cutting labor or closing down operations elsewhere. And the emphasis on efficiency at some firms leads to downsizing, while the emergence of new firms creates new opportunities, often in different location.

As such, there is often a conflict between workers who want to keep their jobs and employers, driven by demands of profit, who want to be efficient. Given that "the bottom line" of accounting is taken as the goal of business, the welfare of the workforce is often on the losing side of such a struggle.

It's also noted that companies change names fairly often, which may contribute to the perception that workers change employers more often than they actually do. A company may change names if the line of business it is in changes dramatically, a merger leads to a name change for at least one of the companies and sometimes a new name is taken, or a company may change its name to escape a poor reputation it earned under a previous one.

There's a passing remark about company names, and the current trend to invent a name that is not even a real word in any language, but has an impressive "sound." (EN: much more can be said of this, as company names are a matter of fashion that changes over time, and an attentive person can tell how long a firm has been in business by its name alone.)

DIVERSITY

In the last three decades, America's population has changed rapidly in terms of diversity, and the workforce has likewise changed as well, though WASP males still remain dominant in positions of authority, women and minorities have steadily increased their numbers in the executive ranks.

This has been mentioned previously, but in terms of the workforce, women and minorities are gaining acceptance in a wider range of occupations as well as higher ranks. There are more disabled persons among the workforce, and increasing acceptance and accommodation of alternate lifestyles (gay, lesbian, bisexual, and transgender) is evident.

This derives from egalitarianism and a sense of practicality - it's a common belief and often a written statement of companies that they do not discriminate on the basis of race, gender, nationality, physical ability, sexual preference, and so on. Ideally, companies wish to focus on objective ability and professional competence and consider such factors to be irrelevant.

However, this is not to say that all Americans readily accept that diversity is positive. Many are disturbed by the trend, fear losing their traditional culture, and covertly resist the trend toward diversity. Statistics demonstrate that white male protestants are more often offered raises and promotions, and enough time has passed that the disparities would be much less pronounced had discrimination been successfully eliminated.

This is not merely corporate policy, but a federal law for employers to abstain from discrimination, though law enforcement is often inept or clumsy at enforcement. It's evident that the fear of lawsuits and public disgrace has made some companies extremely cautious, to the degree that reverse-discrimination (against white protestant males) is perceived - and both companies and law enforcement are often paralyze by uncertainty over how to define "fairness" or "impartiality" and consider it to be highly subjective.

The author mentions "diversity training" in organizations - but this is a passing trend. It is seldom aggressively pursued through formal training programs, as it once was, but remains a part of corporate culture. It is not that companies feel it is unimportant, but that the difficult transition has been made and it is now something that's widely enough understood that training is unnecessary, but guidance on procedures still is required to ensure actions support the belief in diversity.

THE GLOBAL ECONOMY

The globalization of business and commerce is perceived in the United States as being significantly increased, and evidence of interaction of companies across American borders supports the notion. While this is nothing new to many other nations where, due to their small size and land connections to other nations, international business has been practiced for centuries, Americans see it as a new phenomenon for their country.

Correspondingly, Americans are seeking to become better informed about other nations. Understanding foreign cultures and speaking foreign languages are considered to be skills that will improve their professional performance, and as a result, Americans are becoming less insular and more participatory in the global economy.

More Americans are gaining experience aboard, and many foreign workers in specialized professions spend some portion of their career studying, working, and living in the United States.

The shift toward greater contact with other nations constitutes a period of transition, and awkwardness that requires education and experience to overcome, and Americans are undertaking considerable effort in this regard.