exec training sample_20130301

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“Towards a successful expatriation in India”

Paris, March 2013

Benoît Teppe ([email protected])

7Executive training sample slides - 20130301


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Agenda


1. Introduction, objectives of the session

1. About you… xx

2. About me xx

3. Our objectives xx

2. Cross-perceptions1. How do you perceive India, the Indians ? xx

2. How do they perceive your country / you ? xx

3. National context xx

1. History xx

2. Religions xx

3. Geopolitical positioning, national security xx

4. Institutions xxINTELLECTUAL PROPERTY RIGHTS & DISCLAIMERThis document is the exclusive property of InAlliance Consulting. It is intended solely to its primary recipient and may not be communicated, disseminated, reproduced, or copied in whole or in partwithout the prior consent of InAlliance Consulting.Concepts, tools, information represented herein are the result of the expertise of InAlliance Consulting. While this document has been produced with due professional care using data collected with ourbest attention, the recipient recognises that this document does not constitute recommendations, advice, or other suggestions to implement any of the ideas presented. In particular, financial, fiscal andlegal information contained herein shall be verified by the recipient before attempting any implementation.This document shall not be complete without the accompanying verbal explanations by InAlliance Consulting.


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Each period of India’s rich history has left a lasting impact on the country’s present businessenvironment

Executive training sample slides - 20130301 9

Hindus Valleycivilization

- 3000 - 1500 - 500 - 260 320 455 1100 1500 1757 1947

Aryaninvasions

Persian andGreek

invasions

MauryaDynasty

GuptaDynasty

Haninvasions

Musliminvasions

MoghulDynasty

BritishEmpire

Republic ofIndia

Descendents of Gengis Khan

Golden Age: peace, arts, literature, etc.

Alexander the Great takes India in -327 from Persian Kings (Cyrus, followed by Darius)

Urbanism, administration, language, craftwork, etc.

Push indigenous Dravidians to the South, bring the Swastika, the caste system

Fill the void left by Alexander the Great, create the first Indian Empire -> lions & pillar symbols

Partition into multiple kingdoms

Turks: Mahmud of Ghazni, Muhammad Ghori, etc.

Main periods in India’s history


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Closer to us, a new era was open by the 1991 reforms


Heavy reduction ofstate interventionism

(end of the « LicenceRaj »)

Cultural changein Indian society

(entrepreneurship, IT,globalisation, etc.)

High growth

-> companies grow fast,become more profitable,

market caps leapforward

Fall of the Berlin Wall

Liberal reforms


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Agenda



1. About you… xx

2. About me xx





1. History xx

2. Religions xx


4. Institutions xx


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Contemporary India’s religious landscape results both from indigenous and importedreligions


Hinduism80,5%

Islam13,4%

Christianism2,3%

Sikhism1,9%

Other1,9%

- ? - 800 - 500 50 1100700300 1500 1750 2012

Hinduism

Buddhism

Jainism

Sikhism

Copt / orthodox christianism

Judaism

Zoroastrianism

Catholicism

Protestantism

Introduction chronology of India’s main religions

Sources : National Census 2001, recherche documentaire, analyse InAlliance

Peaceful introduction(e.g. trade relations)

Introduced throughinvasions

Islam


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Agenda



1. About you… xx

2. About me xx





1. History xx

2. Religions xx


4. Institutions xx


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Despite the end of the Cold War and India having become a leading economy, it remainsstrategically non-aligned and highly connected to emerging markets

Executive training sample slides - 20130301 14Sources : Organisations internationales citées, recherches documentaires, analyse InAlliance

Infrastructure, industrial and financial projects:

member of the Asian Development Bank (67member states) :

Military, strategic cooperation: USA, GB, France, Russia, Israel

Science & technology research programmes:

Member of the SAARC (South Asian Association forRegional Cooperation)

Economic cooperation:

observer status at the ASEAN (Association ofSouth-East Asian Nations)

Political cooperation, international lobbying:

Founding member of the Non-Aligned Movement(118 nations)


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India’s rich and complex history, as well as its geographical position at a cultural andcommercial crossroad, connects it considerably to its neighbours…


British India (1860)

Republic of India (1947)

Bangladesh and the Indianstate of West Bengal wereformed by dividing BritishIndia’s Bengal

Parts of today’s Myanmarshare their language andculture with neighbouringIndian states

The Tamul population of SriLanka shares its languageand culture with India’s TamilNadu

The majority of Kashmere’spopulation is muslim andshares many traditions withneighbouring Pakistan

Punjab was split betweenIndia and Pakistan in 1947

The South-Western coastsupplies a large contingentof migrant workers to theGulf countries


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… for better and for worse


Aksai Chin, Shaksam Valley:claimed by China and India forthe past 40 yearsJammu & Kashmere and the

Siachen glacier are claimedby both India and Pakistansince 1947

Kashmere : islamistmilitantism andindependence claims inborder areas and further

Eastern and North-EasternStates: Maoist guerilla

Bangladesh & Myanmarborders: organised illegalimmigration, illegal trade

South-Western coast, borderwith Sri Lanka : illegal trade

Main threats to India’s national security

Internal threat

External threat


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Agenda



1. About you… xx

2. About me xx





1. History xx

2. Religions xx


4. Institutions xx


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Legislative and executive powers are shared between the Union and each of the States, andthe Union also directly controls some of each state’s executive power


LokSabha

RajyaSabha

Federal Parliament 238counsellors

President ofIndia

12counsellors

545 Members of Parliament, 5 year term

Electoralcollege

Prime Minister

(+ government)

Governor

Union X 28 States,6 Union Territories(1),NCR(1)

LegislativeAssembly

Legislative power

Executive powerMembers of the LegislativeAssembly, 5 year term

Sources : Juriscope, recherche documentaire, analyse InAlliance (1) Union Territories and the NCR do not have their own legislative assembly

1 Governor per State, nominated by theUnion

« Chief Minister »

(+ government)


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Except for family matters, Indian Law shows substantial European and American influence


- 1000 12th c.0 18th c. 1947

Hindu traditions

Local customs

Quran, Bible, Torah, etc.

Family Law

Hindu Law

Muslim Law

Christian Law

Administrative Law

Constitution

Labour Laws

Penal Code

Contract ActEnglish common law

American Law

French Law

….

British Law

OMPI

WTO

UNHRC

Contemporary IndianLaw

Sources : Barreau de New Dellhi, recherche documentaire, analyse InAlliance

Genesis of Indian Law


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Agenda


5. Value system and its consequences

1. … xx

2. … xx

3. Play with tools: Geert Hofstede’s 5 cultural dimensions xx

4. … xx

5. … xx

6. Communication1. … xx

2. … xx

7. Traps and challenges of expatriation xx

1. … xx

2. … xx

3. … xx


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Cultural differentiation can be measured according to 5 dimensions


From 1967 to 1973, G. Hofstedeinterviews several thousand IBMemployees located in 70 countries.

Geert Hofstede’s work and methodology

During the following 20 years, he fine-tunes andvalidates his concept on several other large-scalepopulation samples: students, foreign office civilservants, flight attendants, etc…

Statistical and analytical data available today covers 74countries, including several Asian nations, the USAand most European countries.

Geert Hofstede’s 5 « cultural dimensions »

Powerdistance

Individualism

AssertivenessUncertaintyavoidance

Long termorientation

Culturaldifferentiation

Source : Geert Hofstede, desk research, NeoFocus analysis

Cultural dimensions: Geert Hofstede, psychologist (Netherlands, born in 1928) Concept

Introduction Communication Cultural differentiation


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US, Indian and French cultures can be mapped according to Hofstede’s concept, giving avisual evidence of their greatest points of convergence and / or divergence


USA, India, France: several contrasts…


… but no unsurpassable compared to other « cultural couples »

0

20

40

60

80

100Power Distance

Individualism

MasculinityUncertainty Avoidance

Long Term Orientation

USA

China

NOTE : Long Term Orientation for France has so far not been measured and is approximated here based on similar cultures

Cultural profile mapping based on G. Hofstede’s concept

PowerDistance Individualism Assertiveness Uncertainty

AvoidanceLong TermOrientation

USA 40 91 62 46 29India 77 48 56 40 61France 68 71 43 86 39

0102030405060708090

100Power Distance

Individualism

AssertivenessUncertaintyAvoidance

Long TermOrientation

France

India

USA



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American culture accepts much flatter hierarchical structures and draws substantially lessartificial barriers between hierarchical levels than French or Indian culture


0 10 20 10030 40 50 60 70 80 90

Concept

Success factors ?

• …

• …

• …

“Power Distance”: comparative positioning and characteristics



Hierarchical structuresFlat Vertical

Decisional centresMultiple, substantial delegation Centralised, little delegtion

Individual autonomyHigh Low

Demonstration of respectNot required Necessary

Compensation structureLow disparities High disparities

Physical demarcationNon-existent Visible


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Indian society is characterised by deep and strong interpersonal links: if necessary, harmonyprevails over plain talk


0 10 20 10030 40 50 60 70 80 90

Concept

Success factors ?

• …

• …

• …

“Individualism”: comparative positioning and characteristics



RecognitionPublic recognition ofachievements Individual fulfilment, material rewards

TruthLess important than harmony Paramount

PrivacyNo object Fundamental right

Decisional prioritiesGroup interest Individual interest


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The three cultures score relatively similarly on assertiveness


0 10 20 10030 40 50 60 70 80 90

Concept

Success factors ?

• …

• …

• …

“Assertiveness”: comparative positioning and characteristics



Gender behaviourial differentiationLow High

Role assignationWeak Strong

Respect for females’ successNaturally equal to males’ Subject to discussion

KSF for female successNon specific Mimic male behaviour

CompetitivenessWeak (sympathy) Strong (combativity)


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French culture is particularly risk-adverse compared to US or Indian culture, causingattraction towards rigid procedures


0 10 20 10030 40 50 60 70 80 90

Concept

Success factors ?

• …

• …

• …

“Uncertainty Avoidance”: comparative positioning and characteristics



Professional attitudeInformal Very formal

Importance given to detailsSecondary: strategy is more important Vital

Perception of differencesNecessary to evolution Destabilising, subversive

Perception of changeUnavoidable Threatening

Perception of rules and proceduresFutile, useless Vital to safety / security

Perception of riskInherent to life Must be avoided at all costs


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Indian society values age and formal qualifications much more than French or Americancultures do


0 10 20 10030 40 50 60 70 80 90

Concept

Success factors ?

• …

• …

• …

“Long Term Orientation”: comparative positioning and characteristics



Basis of societyIndividuals with equal rights Clan, family

CreativityFree Constrained by social rules

Parental authorityLimited Strong

Knowledge acquisitionSelf-acquisition Formal education

Respect for ageLess important than skills More important than skills


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InAlliance Consulting, Indian market entry specialists

33, avenue Philippe Auguste75011 ParisFrance

Tel : +33 1 44 64 10 35Fax : +33 1 44 64 10 36

[email protected]

Your contact:Benoît Teppe, [email protected]

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