Countries around the globe have to adapt to what is known as the "German filter", which reflects Germany's nationalistic management methods.

Some analysts refer to Germany's rule-oriented, hierarchical focus on task accomplishment as an example of an Eiffel Tower management style.

While it is true that German subordinates rarely disobey or openly question orders from higher level authority, corporate power structures in Germany are typically more flat than they are tall. That's because German businesses are collections of highly specialized teams.

Moral of the story? Germany's Eiffel Tower structures aren't very tall.

Inside Germany's Eiffel Tower Culture

The Eiffel Tower culture is most common in Northwest European countries, including Germany. Deutschland is famous for its more deliberate, stodgy German process of management by consensus.

The way in which Germans learn and work differs strikingly from other cultures, including those of neighbouring European nations.

In Germany, jobs are well-defined while assignments are fixed and limited. German employees know what they are supposed to do within an Eiffel Tower culture that is hierarchical, with orders coming down from the top with very little upward communication.

Formal German Qualifications

German organizations rely heavily on formal qualifications in deciding how to schedule, deploy and reshuffle personnel. Companies manage their human resources through assessment centers, appraisal systems, training, development programs and job rotation. These procedures help to ensure that a formal hierarchical and bureaucratic approach work well.

Difficulty Handling Organizational Changes

When changes need to be made, the German culture is often ill-equipped to handle the complex burdens that a rule-based Eiffel Tower bureaucracy demands. Manuals must be rewritten, procedures changed, job descriptions altered, promotions reconsidered and qualifications reassessed.

Germans Resist Changes

Generally, German managers are slow to accept changes partly because of Germany's strong aversion to risk. Also, Germany is the world's number one exporter noted for precision engineered products. Germans strongly believe that their processes have been proved superior, and it's hard to argue with their successes.

However, Germany's superiority complex sometimes leads to an ethnocentric style of management in which strong nationalism compels German headquarters to maintain control of key international management positions. Today, a more global management approach that focuses on the best qualified applicants regardless of country of origin may be a better long-term strategy.

German Leadership and Motivation Style

Systems integrators that they are, Germans have evolved a unique leadership and motivation style that integrates the features that most closely fit with the strongest German cultural characteristics. Therefore, German leadership and motivation style synthesizes the most pertinent characteristics from Authoritative Theory X, Paternalistic Theory Y and Participative Theory Z.

Below is a summary of Theory G, based on the most relevant features from the above three theories.

From Theory X:

• Germans like to be directed.
• In Germany, job security is primary.

From Theory Y:

• Since Germans are committed to goals, they exercise high self-control.
• No threats of punishment are required to ensure task completion.

From Theory Z:

• Germans are motivated by a strong commitment to be part of a greater whole in general, and more specifically to their German organization
• Through teamwork, Germans derive self-satisfaction while contributing to their company’s success.

References

This article presents independent insights based on research from International Management, Culture, Strategy and Behavior (6th edition, Hodgetts-Luthans-DOH).