Cultural intelligence is the ability to understand the influence of people’s cultural background on their behavior. It also refers to a person’s ability to function effectively in a culturally diverse environment. It is a key aspect of modern workplaces, especially in a globalised world.
Why is it important in the workplace?
Understanding different cultural contexts facilitates effective communication, reduces misunderstandings and conflicts. Concepts such as personal space vary from culture to culture, and while in Latin America it is customary for people to communicate at a close distance and in conversation quickly pass the “you”, in Scandinavian countries people need more time.
Cultural intelligence builds stronger relationships with colleagues from different cultures, leading to better collaboration. Numerous studies of leading organisations show that diverse organisations perform better, have higher employee satisfaction, have better financial returns and are more innovative than companies that perform worst in terms of diversity. In addition, diverse cultural perspectives stimulate creativity and lead to new ideas and solutions.
When employees feel understood and valued, they are more engaged and satisfied with their work. A culture of inclusion involves creating an environment where everyone feels welcome, respected and valued. It also means creating an atmosphere where employees feel comfortable to ask questions and share their opinions. Companies that demonstrate cultural intelligence attract and retain talented employees and build positive reputations.
Challenges and solutions
The difference in cultures can lead to culture shocks for differences in manners and accepted normal behaviors in companies. Ignorance of a culture and the stereotypes built up about it is likely to cause well-intentioned statements that may actually be perceived as offensive. It is therefore important for companies to combat prejudice and promote tolerance.
Developing cultural intelligence in the workplace
One way to develop cultural intelligence in the workplace is by providing training to help employees understand different cultures and develop intercultural communication skills. Another option is to set up mentoring programmes where employees with experience in different cultures can share their knowledge and experience. Such programmes help to overcome situations where, because of cultural differences, some team members have felt affected or misunderstood.