A Dutch colleague of mine recounts a business trip to the US. After a long day of meetings, someone from the American side suggested that they should all hit the sauna. My Dutch friend, a lover of steam, was the first man in. He was also the first to turn bright red, not from the sauna’s heat, but from the realisation that his American hosts all wore bathing suits, while he sat there naked, wet and apologetic. He had broken an unwritten rule, and discovered cultural differences the hard way.
The UAE, with its impressive cultural diversity, is also a great place to discover cultural differences. And many organisations offer newly hired expatriates “cultural awareness” programmes of some sort.
That said, my experience of such programmes has been disappointing. The sessions I’ve attended have basically advised me not to shake hands with Emirati ladies and not to eat in public during Ramadan. While undoubtedly useful to know, such programmes ignore the UAE’s cultural diversity. How, for example, should I avoid offending an Australian lady or an Afghan man? Ultimately these sessions lacked depth; they simply presented a long list of don’t s.
I suspect that part of the problem is the topic’s complexity. First, what exactly is culture? There are literally hundreds of definitions. The simplest one is that culture is “the way things are done around here”. My preferred definition however, is offered by social psychologist, Geert Hofstede, who refers to culture as the software of the mind, a kind of collective programming that distinguishes one group from another.
Professor Hofstede elaborates by identifying and attempting to measure various aspects (dimensions) of culture. The resulting model makes no claims to absolute truth but it is useful in that it makes testable predictions about how these cultural dimensions might influence behaviour.
One of the cultural dimensions in the model is called power distance index (PDI). This can range from high to low and is essentially the degree to which members of a group accept and expect power to be equally (low) or unequally (high) distributed. I’m over simplifying a little, but a corporate boss from a high PDI culture will typically inhabit an oversized office and sit in a chair fit for a Bond villain. For relatively junior employees, gaining access to the “big man” will be virtually impossible.
The low PDI boss by contrast, tends to downplay the trimmings of hierarchy, insists you call him Bob (real name: Professor Sir Robert Grosvenor) and regularly has lunch with the troops/workers. In a low PDI culture everyone feels free to voice opinions and objections, which to the high PDI employee might seem confrontational or disrespectful. High PDI employees may even hold back ideas, and contrary opinions for fear of causing offence to their superiors.
Beyond work, PDI plays out in everyday life too. A colleague and I once attended an Emirati wedding where a coffee attendant (emgahwi), as custom required, poured coffee for guests. My colleague, from a very low PDI culture, felt uncomfortable having someone pour his coffee, and was even more disturbed when the coffee attendant stood by patiently waiting for him to finish.
To reduce the power distance, my colleague drank the scalding brew as quickly as possible, sparing the attendant the perceived inequality and indignity of waiting around on him. However, upon completing the first cup of coffee, the attendant simply poured him a second and then a third. I eventually intervened. With a burnt mouth and major caffeine high, my friend learnt a valuable lesson in cultural difference.
PDI is just one of six cultural dimensions in the model. I would like to see more organisations here take a deep approach to “cultural awareness”. In a society as culturally diverse as ours, a sophisticated appreciation of the consequences of cultural differences will undoubtedly reduce errors, improve lives and have a positive impact on bottom lines.
Justin Thomas is an associate professor of psychology at Zayed University and author of Psychological Well-Being in the Gulf States
On Twitter: @DrJustinThomas
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
Fixtures
Friday Leganes v Alaves, 10.15pm; Valencia v Las Palmas, 12.15am
Saturday Celta Vigo v Real Sociedad, 8.15pm; Girona v Atletico Madrid, 10.15pm; Sevilla v Espanyol, 12.15am
Sunday Athletic Bilbao v Getafe, 8.15am; Barcelona v Real Betis, 10.15pm; Deportivo v Real Madrid, 12.15am
Monday Levante v Villarreal, 10.15pm; Malaga v Eibar, midnight
Charlotte Gainsbourg
Rest
(Because Music)
JOKE'S%20ON%20YOU
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Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
Company%20profile
%3Cp%3E%3Cstrong%3EName%3A%3C%2Fstrong%3E%20WallyGPT%3Cbr%3E%3Cstrong%3EStarted%3A%20%3C%2Fstrong%3E2014%3Cbr%3E%3Cstrong%3EFounders%3A%20%3C%2Fstrong%3ESaeid%20and%20Sami%20Hejazi%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Dubai%3Cbr%3E%3Cstrong%3ESector%3A%20%3C%2Fstrong%3EFinTech%3Cbr%3E%3Cstrong%3EInvestment%20raised%3A%20%3C%2Fstrong%3E%247.1%20million%3Cbr%3E%3Cstrong%3ENumber%20of%20staff%3A%3C%2Fstrong%3E%2020%3Cbr%3E%3Cstrong%3EInvestment%20stage%3A%20%3C%2Fstrong%3EPre-seed%20round%3C%2Fp%3E%0A
Stree
Producer: Maddock Films, Jio Movies
Director: Amar Kaushik
Cast: Rajkummar Rao, Shraddha Kapoor, Pankaj Tripathi, Aparshakti Khurana, Abhishek Banerjee
Rating: 3.5
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