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Cultural Thinking: Thomas Watson Sr. and IBM's Approach

04 March 2023
Thomas Watson Sr and IBMs commitment to Think has been a catalyst for a corporate culture of innovation and cultural thinking

As I sat in a bustling café one afternoon, sipping my coffee and watching people hurry by, it struck me how diverse our world truly is. Each person carries a unique set of beliefs, values, and cultural backgrounds that shape their worldview. This realization reminded me of how crucial cultural thinking is, not just in our personal lives but significantly in the business world as well. Understanding and appreciating this diversity can transform organizations from ordinary entities into extraordinary communities.

AspectDescriptionExample from IBM
Cultural ThinkingCultural thinking is about establishing principles, values, and behaviors that are deeply rooted within an organization.Thomas Watson Sr., the founder of IBM, integrated cultural thinking into the business model, creating a robust and enduring organization.
History of Cultural ThinkingCultural thinking began with the focus on ethical practices within an organization and its potential societal impacts.Watson Sr. aimed to present IBM as an organization of 'mutual confidence and service,' highlighting the significance of ethical practices.
Cultural Thinking and Business PracticesReflective practices are promoted through cultural thinking, focusing on the impacts of the organization's decisions on the society at large.IBM uses promotions, rewards, and recognitions to underscore the importance of ethical practices and respect for individual and collective beliefs.
Unified Organizational CultureCultural thinking plays an instrumental role in building a positive and harmonious organizational culture.Watson Sr. believed in the power of a unified culture to 'mobilize the will' of the employees, inspiring them to use their skills to their best potential.
Power of Cultural ThinkingCultural thinking is a self-perpetuating system that helps form meaningful relationships and navigate the global market.IBM's understanding and respect for local cultures allow them to foster trust and create valuable relationships.
Cultural Thinking in the PresentThe benefits of cultural thinking extend beyond just business practices.IBM continues to use cultural thinking in their business model, appreciating employees beyond their work abilities.
Future of Cultural ThinkingCultural thinking is becoming ever more critical with increasing globalization.Understanding and respecting local cultural norms and ideals is necessary for IBM's successful global transactions.
Influence of Cultural ThinkingCultural Thinking influences the learning, understanding, and respect within a company.Thanks to Watson's vision, IBM thrived with a strong and unified culture.
Cultural Thinking and external stakeholdersCultural Thinking strengthens relationships with external stakeholders.IBM values and builds trust with external stakeholders, aiding their business success.
Cultural Thinking and Business SuccessCultural Thinking contributes significantly to business success and sustainability.IBM's application of Cultural Thinking has made it one of the most successful organizations worldwide.
  • History of Cultural Thinking

  • Cultural Thinking and Business Practices

  • The Power of Cultural Thinking

Embracing the Roots of Cultural Thinking

Growing up, I often heard stories about pioneers who changed the face of industries. One name that frequently came up was Thomas Watson Sr., the legendary founder of IBM. But it wasn't just his business acumen that left a mark; it was his profound understanding of cultural thinking in business practices that truly set him apart.

Back in the early 20th century, businesses were predominantly focused on profits, often at the expense of ethical considerations and societal impact. Companies would engage in cut-throat tactics, disregarding the long-term consequences of their actions on communities and the environment. This approach led to a widespread sense of distrust and tension between corporations and the public. I recall reading about communities that suffered because a company's short-term gain didn't consider their long-term wellness.



Then came Watson Sr., who envisioned a different kind of enterprise. He spoke of a "spirit of mutual confidence and service." Instead of solely chasing profits, he emphasized ethical practices and a consciousness of societal benefits. This was revolutionary! Imagine leading a company where integrity, respect, and individual appreciation weren't just buzzwords but the very foundation of the corporate culture.

The Journey of Cultural Thinking in Business

One might wonder, how does cultural thinking manifest in daily business operations? Well, it's woven into the very fabric of how decisions are made and how people are treated. For instance, when companies:

Encourage open communication, they foster an environment where employees feel valued and heard.



Recognize and reward ethical behavior, they set a standard that integrity matters more than short-term gains.

Promote diversity and inclusion, they benefit from a wide range of perspectives and ideas.

I remember working at a company that truly embraced these principles. Every decision, from hiring to product development, was made with an eye on both business success and societal impact. We often collaborated with local communities, ensuring our projects aligned with their needs and values. This approach didn't just make us feel good; it translated into customer loyalty and long-term partnerships.

Cultural thinking encourages us to reflect rather than simply compete. It's not about being the best at any cost but about understanding the broader implications of our actions. This mindset helps employees and customers alike to grasp the company's mission and see where they fit within it. When everyone is aligned, the organization moves forward cohesively.

The Power Unleashed by Cultural Thinking

There's a particular power that comes from embedding cultural thinking into an organization. Watson Sr. believed in mobilizing the will of the employee, inspiring each person to become the best version of themselves. When individuals feel appreciated not just for their work but for who they are, their potential is limitless. I've seen colleagues go above and beyond because they felt genuinely valued.

A thriving cultural mindset starts with a vision for the future and an understanding of the present.

Thomas Watson Sr.
Cultural Thinking, Cultural thinking is about establishing principles, values, and behaviors that are deeply rooted within an organization, Thomas Watson Sr, the founder of IBM, integrated cultural thinking into the business model, creating a robust and enduring organization, History of Cultural Thinking, Cultural thinking began with the focus on ethical practices within an organization and its potential societal impacts, Watson Sr aimed to present IBM as an organization of 'mutual confidence and service,' highlighting the significance of ethical practices, Cultural Thinking and Business Practices, Reflective practices are promoted through cultural thinking, focusing on the impacts of the organization's decisions on the society at large, IBM uses promotions, rewards, and recognitions to underscore the importance of ethical practices and respect for individual and collective beliefs, Unified Organizational Culture, Cultural thinking plays an instrumental role in building a positive and harmonious organizational culture, Watson Sr believed in the power of a unified culture to 'mobilize the will' of the employees, inspiring them to use their skills to their best potential, Power of Cultural Thinking, Cultural thinking is a self-perpetuating system that helps form meaningful relationships and navigate the global market, IBM's understanding and respect for local cultures allow them to foster trust and create valuable relationships, Cultural Thinking in the Present, The benefits of cultural thinking extend beyond just business practices, IBM continues to use cultural thinking in their business model, appreciating employees beyond their work abilities, Future of Cultural Thinking, Cultural thinking is becoming ever more critical with increasing globalization, Understanding and respecting local cultural norms and ideals is necessary for IBM's successful global transactions, Influence of Cultural Thinking, Cultural Thinking influences the learning, understanding, and respect within a company, Thanks to Watson's vision, IBM thrived with a strong and unified culture, Cultural Thinking and external stakeholders, Cultural Thinking strengthens relationships with external stakeholders, IBM values and builds trust with external stakeholders, aiding their business success, Cultural Thinking and Business Success, Cultural Thinking contributes significantly to business success and sustainability, IBM's application of Cultural Thinking has made it one of the most successful organizations worldwide

Here are some ways cultural thinking empowers businesses:

1- Strengthens Internal Culture: A unified culture promotes teamwork and reduces conflicts. When everyone shares common values, collaboration becomes seamless.

2- Enhances Reputation: Companies known for strong ethical values attract customers and partners who share those values.

3- Facilitates Global Expansion: Understanding and respecting cultural norms is essential when entering new markets. It's not just about translating languages but about connecting on a deeper level.

4- Drives Innovation: Diverse perspectives lead to innovative solutions. When employees from different backgrounds come together, they bring unique ideas to the table.

5- Builds Resilience: Companies grounded in strong cultural principles are better equipped to navigate challenges and adapt to changes.

Navigating the Global Market with Cultural Insights

In today's world, globalization isn't just a concept; it's our reality. Businesses are expanding across borders, interacting with cultures vastly different from their own. Here, cultural thinking becomes not just beneficial but necessary. Understanding local customs, values, and social climates can make or break business deals.

I recall a friend's experience working for a company that was expanding into Asia. Initially, their approach was very Western-centric, and they faced numerous setbacks. It wasn't until they took the time to understand and respect the local culture that they began to see success. They started incorporating local traditions into their business practices, celebrating regional holidays, and even adjusting their management styles to better suit their new team members. This not only improved their business outcomes but also built trust and strong relationships with local stakeholders.

Personal Reflections on Cultural Thinking

On a personal note, embracing cultural thinking has enriched my professional journey. It has taught me the importance of empathy and open-mindedness. In one of my previous roles, I was tasked with leading a team spread across different continents. At first, the cultural differences seemed like hurdles. But as I invested time in understanding each team member's background, we found common ground and learned from each other.

This experience highlighted that:

Effective communication goes beyond words; it requires understanding context and non-verbal cues.

Building relationships is crucial. Taking the time to get to know colleagues personally can enhance collaboration.

Adaptability is key. Being willing to adjust our own behaviors can foster a more inclusive environment.

Applying Cultural Thinking Beyond Business

Interestingly, the principles of cultural thinking aren't confined to large corporations. They can be applied in various aspects of life, including when we're seeking changes in our own careers. For instance, when writing a reassignment request letter, tips and information rooted in cultural understanding can make a significant difference. By acknowledging the values and expectations of the organization, and aligning our requests accordingly, we're more likely to achieve favorable outcomes.

Steps to Cultivate Cultural Thinking in Your Organization

If you're inspired to bring cultural thinking into your workplace, here are some practical steps:

1- Develop a Clear Vision and Values Statement: This sets the foundation for your organization's culture.

2- Foster Open Dialogue: Create platforms where employees can share ideas and express concerns.

3- Invest in Cultural Competency Training: Equip your team with the skills to navigate diverse environments.

4- Lead by Example: Management should embody the cultural values they wish to see.

5- Recognize and Celebrate Diversity: Acknowledge different cultures, traditions, and perspectives within your team.

The Ongoing Impact of Watson Sr.'s Vision

Reflecting on Thomas Watson Sr.'s legacy, it's evident that his innovative approach didn't just benefit IBM but set a precedent for businesses worldwide. His emphasis on cultural thinking has proven timeless, guiding organizations through decades of change. By prioritizing a strong and unified culture, companies can thrive sustainably, build lasting relationships, and make meaningful contributions to society.

Conclusion

A thriving cultural mindset indeed starts with a vision for the future and a keen understanding of the present. As we've journeyed through the history and impact of cultural thinking, it's clear that this approach holds immense power. Whether it's inspiring employees to reach their full potential, navigating global markets, or simply fostering a more inclusive workplace, cultural thinking is a cornerstone of modern business success.

In embracing these principles, we not only honor the trailblazers like Watson Sr. but also pave the way for future generations to lead with integrity and respect. So, let's commit to cultivating cultural thinking in our organizations and watch as it transforms not just our businesses but the world around us.


References

Watson, T. J. Sr. (1990). Father, Son & Co.: My Life at IBM and Beyond. Bantam Books.

Collins, J. (2001). Good to Great: Why Some Companies Make the Leap... and Others Don't. HarperCollins.

Schein, E. H. (2010). Organizational Culture and Leadership. Jossey-Bass.

Deal, T. E., & Kennedy, A. A. (2000). Corporate Cultures: The Rites and Rituals of Corporate Life. Perseus Books.

Hofstede, G. (1991). Cultures and Organizations: Software of the Mind. McGraw-Hill.


Remember, the journey of a thousand miles begins with a single step. Let's take that step towards embracing cultural thinking today!

Cultural Thinking principles values behaviors IBM Thomas Watson Sr. ethical practices societal benefit business model employee respect individual unified culture corporate space corporate world innovative relationships stakeholders successful sustainable.
Yu Payne is an American professional who believes in personal growth. After studying The Art & Science of Transformational from Erickson College, she continuously seeks out new trainings to improve herself. She has been producing content for the IIENSTITU Blog since 2021. Her work has been featured on various platforms, including but not limited to: ThriveGlobal, TinyBuddha, and Addicted2Success. Yu aspires to help others reach their full potential and live their best lives.
Yu Payne
Blogger

Yu Payne is an American professional who believes in personal growth. After studying The Art & Science of Transformational from Erickson College, she continuously seeks out new trainings to improve herself. She has been producing content for the IIENSTITU Blog since 2021. Her work has been featured on various platforms, including but not limited to: ThriveGlobal, TinyBuddha, and Addicted2Success. Yu aspires to help others reach their full potential and live their best lives.

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