Management in Brazil
The management systems vary according to specific national conditions. Cultural nuances work throughout the world. Therefore, managers should develop tactics and negotiating strategy in order to succeed. Taking into account customs and differences can minimize misunderstandings. Often the differences between partners from English-speaking countries are easily missed. However, cooperation with companies in South America (especially Brazilian companies) requires thorough preparation. It is necessary to find an intermediary in Brazil who can give local advice on essential tips and introduce to the right people before entering into negotiations with potential partners.
Business culture is an interesting topic for research. Many authors have studied different aspects of the theme. However, some areas are yet to be analyzed. In this research paper, I try to contribute to further understanding of ties between national culture and organizational structure. Particularly, this study is devoted to Brazil management system. The web-source WorldBusinessCulture helped to reveal the main features of Brazil communication style at work, business structure, management and team working ("Business Culture in Brazil"). Sam Flowers in "Gringo Talk: Motivating Employees in Brazil" investigated types of motivation. He argued that financial side of work is less important than intangible incentives such as relations within a team, educational opportunities, and flexibility of working schedule (Flowers). Aurelia Erasmus, Cisco van Honk, Paloma Aparicio have found that management style in Brazil tends to be paternalistic, and organizations tend to be rather hierarchical (Erasmus, Honk, and Aparicio).
It is worth noting that business practices in Brazil are relationship-oriented. In other words, business is secondary to building relationships ("Doing Business in Brazil" 2). Brazilians are sociable, friendly, optimistic, and extremely passionate people with inimitable zest for life. Also, they are smart, polite and diplomatic deal-makers. First of all, they try to know almost everything about person. Their curiosity gives a fuller picture and better understanding of personality traits. A potential foreign partner should spark the interest of Brazilians in cooperation. It is a mistake to hurry the process of negotiations with business partners from Brazil. It is necessary to devote adequate time for networking before discussing business topics in face-to-face and phone appointments. Brazilians prefer verbal communication and think that written communication cannot reveal what someone thinks. Sometimes there is a necessity to have several informal lunches before participating in negotiation meeting and closing the deal. Business negotiations come as the logical continuation of the personal relationships. During business meeting Brazilian people are loquacious, over-emotional, and tactile. Their exaggerated body language with a good amount of eye contact seems theatrical. However, emotional expressions during the negotiations, in the workplace and at home are considered appropriate and essential. Keep in mind that Brazilians always observe hand gestures, facial displays of emotion, and eye contact. Lack of emotion is often regarded as callousness and indifference. It can cause resentment and deterioration of relations. Also, dressing smart is of great importance. Brazilian business culture is fluid time culture with true unpunctuality. Plus or minus one hour is not considered as lateness.
The Brazilian management style was strongly influenced by regional traits and colonial past. Today, however, Brazilian culture allows flexibility and combines old human management techniques with recent methods like coaching, mentoring and empowerment. In Brazil hierarchy often combined with informal relationships between employees; this dilemma is called jeitinho. Brazilian organizations are control-based, hierarchical and authoritarian in nature. They are based on family ties and widespread cronyism. Brazilian companies are paternalistic. The paternalistic-style management means that an authoritarian manager has a father-like relationship with the team. Traditionally, Brazil has a high power distance between bosses and subordinate employees. Autocratic leadership style implies a delegation of tasks rather than authority. The staff will follow the manager’s instruction without any questions. However, to drive the staff effectively, manager should have a vibrant attitude, give clear directions and detailed instructions. The manager's personality is of extreme importance to subordinates. Gaining the respect from employees is directly proportionate to the personal traits of the manager. Therefore, boss or manager should observe own capacity to socialize, enthusiasm about ideas and directions, gestures, facial expressions, tone of voice (Erasmus, Honk, and Aparicio).
Fostering good relationships is crucial for trust between boss and subordinates and further effective work in the team. In fact, Brazilians are less individualistic than people in Europe or North America. They believe that the team’s interests are more significant than a personal interest. Brazilian people are group-oriented and prefer collaborative team-working relations. They greet colleagues by a kiss, hug or handshake in the morning and have a chat with everyone in the team during the day. In order to create an international work team including Brazilians, it is necessary to give the Brazilian colleagues enough time for communication with other members to know each other well and establish friendly relations. In other words, it will take longer time to form a Brazilian team than a team in European country or in the USA ("Business Culture in Brazil"). Clear leadership is required to achieve the specific goals of the organization. Subordinates expect to receive from manager direct instructions about their exact roles and functions within the team. Manager should give personalized attention to subordinates to clearly define all questions within their scope of responsibility. Leaders have the role of monitoring and directing the people’s work. Control and obedience are one of the main features in the work atmosphere. A hierarchical culture and paternalistic authority make managers to believe that they are the key success factors of a company and a source of pride.
Companies in Brazil are vertically organized. Their hierarchical structure implies that the most senior people hold the ultimate power. Therefore, the most important decisions are imposed by the highest-ranking officials. Every employee has own scope of responsibility within the organization. Leaders do not involve subordinates in the decision-making process. Decision-making has little creativity in Brazil and involves only today and tomorrow planning. Managers approach to making decisions with authoritative communication style. The decision-makers consider all factors, choose a plan, and evaluate the ways of implementing it. They bear all benefits and drawbacks of their decisions. Subordinates only strictly follow managers’ instructions. Subordinates think that decision-making are beyond their control because their managers have more experience and responsibility. Therefore, managers do not need consultations with lower-ranking employees when decision-making. Seeking input from colleagues during the decision-making process indicates the manager’s incompetence.
A company’s long-term success directly depends on the skills and motivation of employees. In order to maintain company’s success it is necessary to raise worker productivity. Unfortunately, authoritarian system of management is a great setback for implementation new methods of training and opportunities for the workers. Brazilian workers often lack motivation. However, some companies in Brazil are becoming more integrated with international market and make changes in organizational structure to motivate people effectively. Some Brazilian firms conduct trainings for managers to help them elaborate and implement plans and teach new management practices to motivate subordinates. In addition, firms give to the personnel transportation and meal subsidies.
Brazil companies can receive numerous benefits from increasing satisfaction and motivation of employees. Certain incentives provided for employees can maximize their performance. Therefore, it is highly recommended to identify ways to motivate Brazilian workers. The sources of motivation may vary from financial rewards, educational programs and career development to prestige, friendly relationships, and public praise. Competitive compensation is also matter; however, it is not a crucial factor. Brazilians are sociable people who regard group interests above and beyond personal interests. Therefore, the best driving force for typical Brazilian firms can be intrinsic motivation, individual input of employee in the collective work and the benefits after successful collaborative cooperation ("Doing Business in Brazil" 13). Brazilian people seek praise for their contribution in the team work. Managers should give encouragement and support to their subordinates, create a pleasant workplace and a cohesive team. Social recognition and positive feedback, growth opportunities and good working relations within the team are vital for Brazilian workers. In other words, major sources of motivation are intangible incentives. In most of the countries money is the best driving force. However, Brazilians greatly value stability, flexible work schedules and the quality of life at work. Educational opportunities are also welcomed because receiving good education is expensive (Flowers). All these factors can make the personnel productive while at work and improve job satisfaction.
Brazilians are emotional, cheerful and helpful people. They are perceptive to foreign managers. Brazilians are friendly, and foreigners are readily accepted. Perhaps this is because the Brazilian nation includes people of different ethnic origin who have emigrated in Brazil from Europe and Asia in the past. Brazilians values collective interests. Therefore, a foreign manager has to integrate with Brazilian group of colleagues to manage them effectively. In order to become a part of the company, the new foreign manager has to know Portuguese because only a few employees can know English. The sufficient Portuguese skills will help to overcome language barriers and avoid misunderstanding between manager and subordinates. Moreover, foreign mangers have to keep in mind that Brazilians have exaggerated body language and sometimes prefer nonverbal communication. To fully understand the Brazilian subordinates, foreign manager must read between the lines and interpret the non-verbal behavior. Furthermore, to create employee commitment and to build trust manager should show affection for Brazil, be positive and friendly, give support and encouragement and never publicly express discontent toward subordinate. Also, he has to react positively to illustrations of the sincere warmth, show enthusiasm accepting invitations, and put relationships before profits ("Doing Business in Brazil" 12).
Works Cited
"Business Culture in Brazil." WorldBusinessCulture. N.p., n.d. Web. 01 July 2014.
"Doing Business in Brazil." Global Excellence, 2008. Web. 1 July 2014.
Erasmus, Aurelia, Cisco van Honk, and Paloma Aparicio. "Management Styles in Brazil." Minor CCBS - N.p., Jan. 2014. Web. 02 July 2014.
Flowers, Sam. "Gringo Talk: Motivating Employees in Brazil." The Rio Times. N.p., 11 Sept. 2012. Web. 02 July 2014.
