Topic: Corporate Language
Author(s), Title and Publication
Fredriksson, R., Barner-Rasmussen, W., & Piekkari, R. (2006). The multinational corporation as a multilingual organization. Corporate Communications, 11(4), 406-423.
Summary
This study explored the use of common corporate language(s) in multinational corporations (MNCs). English has been introduced by some MNCs as their corporate language; however, MNCs are usually multilingual and characterized by high language diversity. Using the case of the German MNC Siemens AG, this study investigated what makes a common corporate language “common” and the extent to which a language is shared within the organization. Data were collected from in-depth interviews of 36 Siemens members at headquarters in Munich and Erlangen (Germany), and subsidiaries in Mannheim (Germany) and Espoo (Finland).
According to the former CEO of Siemens, the corporate language at Siemens is English. However, the wide adoption of English was not found. Instead, the views on corporate language differed depending on the geographical location, the managerial level, and the native language of the interviewees. In headquarters in Germany, German and English were equally important corporate languages. However, German was preferred to English in communication with headquarters in subsidiaries in German-speaking countries, Eastern European, Latin American countries, and China. In the Finnish subsidiary, English was viewed as the common corporate language, but top management shared the view with headquarters that both German and English were corporate languages, and showed competence in using both languages. Other than English and German, daily use languages in Siemens included French, Spanish, Finnish, Swedish, and Russian.
Overall, English was the language most commonly used by respondents. German was also an important everyday language, and its importance depended on business areas. The more traditional Siemens business areas used more German, while the newer areas (e.g., telecommunications) relied more on English. Age of employees was also a factor. Older employees had better German skills, while younger employees excelled in English. Despite the importance of German in Siemens internal communication, respondents reported a strong trend toward English.
Implications for Practice
Language use in MNCs is not driven by top management’s strategic decisions, but is chosen by all parties in the organization. Introducing a corporate language and practicing it strictly might cause negative reactions from employees who prefer using other languages. Therefore, one strategy for managing language diversity might be non-management.
Location of Article
The article is available online at: http://www.emeraldinsight.com/journals.htm?articleid=1576556&show=abstract (abstract free, purchase full article)
