Offshore outsourcing: An IT-manager perspective on cultural differences

— Cultural difference is a term often used when discussing problems in offshoring and offshore outsourcing, but only a few authors discuss solutions to bridge pointed out cultural gaps. In this paper earlier research is compared with an IT-manager perspective on experienced cultural differences. Cultural differences were found to include multiple dimensions: cultural distances, cognitive distances, language differences, time differences, individualism/collectivism, power distance, and activity/passivity. An in-depth interview with an IT-manager on a global company was conducted. From the interview, several cultural differences emerged. These differences also produce problems, identified both in earlier literature and in collected data. The common denominator among identified problems was a lack of communication in the offshore projects. The lack of communication can be explained by a high cultural distance which causes a negative impact on projects. To improve communication, clear communication structures and routines should be implemented. To bridge cultural gaps it is important to increase both parties understanding of the other’s culture.