Understanding American and German Business Cultures: A Manager's Guide to the Cultural Context in Which American and German Companies Operate

Book Description
This useful guidebook is the only intercultural text that explains the different organizational behaviors between Germany and the United States. The comparative method is used so that the reader is able to immediately grasp where the differences are and become conscious of his or her own national uniqueness an ideal tool for overcoming intercultural misunderstandings. Whether German or American, this book will stimulate your understanding of both sides to an increasingly important partnership-equation. Examples are drawn from both the United States and Germany. Interactive case studies and checklists confirm the main points. A reading list guides you to further learning.


About the Author
Patrick Schmidt is a consultant in intercultural relations. American by birth and education, he went after his studies to Germany, staying there for 20 years. Through his work as an English language trainer and later as editor-in-chief of two German corporate magazines, he became an intimate observer of modern German culture. He is now an intercultural consultant, specializing in American and German comparative management


Excerpted from Understanding American and German Business Cultures by Patrick L. Schmidt. Copyright © 1999. Reprinted by permission. All rights reserved.
From the 2nd Chapter: The German precise scheduling of time versus the American obsession that "time is money" Both Germany and the United States are monochronic cultures, meaning they operate according to schedules, one thing at a time. However both cultures conceive of time differently. The German concept of time is not primarily thought of in terms of money. Rather, time is used for the execution of all activities precisely when they should occur. As many Germans will tell you, the best way to have anarchy is by allowing various areas of life to mix. Again, this remark reflects German uneasiness towards uncertainty and ambiguity. Whenever a decision has to be taken, Germans will spend a lot of time and energy to clear things with all parties concerned. Once there is consensus as to a plan, operations will be carried out according to schedule. It is for this reason that the German business pace seems much slower than that in America. Germans organize time according to work schedules and appointments and become irritated if something is not done according to plan. This rigid attitude extends to other aspects of life. For example, utility companies will not supply natural gas until November 1st, even though it might be cold in October. Interestingly enough, university professors are allowed to be up to 15 minutes late - das akademische Viertel - before a lecture is cancelled. Germans use this concept to establish how late is "late" for a business appointment. If a person doesnt call to say he'll be late, the meeting will be called off after the same 15-minute wait. When invited for dinner, one is expected to arrive on time. This is not to say the Germans are inflexible when it comes to unannounced changes but, in general, being a few minutes late for a dinner engagement or business appointment will be perceived as inefficiency or disinterest. The American concept of time finds its roots in Puritan heritage. Useful activities are valuable, meaningful and moral. If one is not actively engaged in meaningful acts, one becomes useless and immoral. The famous American colonist Benjamin Franklin said: "Do not waste time, it's the stuff life's made of." His thoughts on time have had a profound influence on the American psyche. To "waste" time is very un-American; to make the hours pass by in idle conversation is considered almost shameful. The only path to success is hard work and, as always, "time is money". Time, like money, can be spent, lost or well invested. The idea that the present can always be improved explains in large part why Americans are always in such a hurry. They want results now. Nobody wants to waste time; everything is done as quickly as possible, whether it be greetings, negotiations, or socializing. This leads to a business culture that features quick decisions, rapid implementation and expectations of completion in the shortest time possible. One constantly looks for ways of doing tasks more efficiently. Finishing sooner saves money and allows more time for leisure activities. However the American obsession with not wasting time has spilled over into those same leisure activities. If an American sits around the swimming pool too much, he or she gets nervous and feels obliged to do something productive. The famous quotation of an American on holiday, "If it's Tuesday, this must be Belgium," reflects the absurdity of expecting to see seven European countries in a week. In the same vein, it's no surprise that the fast food restaurants, such as McDonald's, found such a great acceptance first in the US. Everything must be done efficiently and fast, even activities such as eating.


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He is now an intercultural consultant, specializing in American and German comparative management. This book brings you the fruit of that experience. Should you wish further information about his seminar programs and and consulting work, he may be reached at pschmidt@aei.ca


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