Uncertainty avoidance

Uncertainty avoidance is the degree to which people in a country prefer structured over unstructured situations. In a country with a high uncertainty avoidance, majority of people have an increased level of anxiety about uncertainty and ambiguity (about future processes and states). Such cultures tend to emphasise strict laws, regulations, and controls that are designed to reduce uncertainty. In cultures that score low on an uncertainty avoidance, individuals are less dismayed by ambiguity and uncertainty and have a greater tolerance for a variety of options. Such countries are less rule-oriented, people take more risks, and more readily accept change. Hofstede proposed uncertainty avoidance index as a measure for this particular cultural dimension. This measure reflect extent to which the members of a culture feel threatened by ambiguous or unknown situations and have beliefs and solutions that help to avoid these situations.

Culture dimension of uncertainty avoidance

People from low uncertainty avoidance cultures prefer formal and strict rules to be created and avoid actions that do not go along with these rules. Employees as well as their bosses believe that everything that is new or different is dangerous and risky. They are usually worried about the future and resist changes.

Cultures described as open and innovative always have low Uncertainty Avoidance Index.

Hofstede's culture dimensions have been influential on organizational behaviour (OB) researchers and managers. Nevertheless, his research has been criticized. First, although the data have since been updated, the original data are from 30 years ago and were based on a single company (IBM). Second, few researchers have read the details of his methodology closely and therefore are unaware of the many decisions he had to make (for example, reducing cultural values to just five). Despite these concerns, Hofstede has been one of the most widely cited social scientists ever.

Examples of Uncertainty avoidance

• Japan: Japan is an example of a high uncertainty avoidance culture. The culture is highly structured and rule-oriented, and members of the society are expected to conform to strict laws and regulations. This culture is highly risk averse and does not readily accept change.
• United States: The United States is an example of a low uncertainty avoidance culture. The culture is comparatively unstructured and individuals are expected to take more risks and are more tolerant of change.
• France: France is an example of a medium uncertainty avoidance culture. The culture has a mix of structured and unstructured elements, and individuals have a moderate level of risk aversion and are moderately accepting of change.

Advantages of Uncertainty avoidance

Uncertainty avoidance has several advantages. These include:

• A heightened sense of structure and regulation, which can provide a sense of security and comfort to those living in the country. This can help align expectations and reduce the potential for conflict.
• It can also provide a sense of order and predictability, allowing people to plan for the future with some degree of confidence.
• A culture with a high uncertainty avoidance can also encourage individuals to think and plan ahead, potentially reducing the chances of making bad decisions.
• Finally, a culture with a high uncertainty avoidance may also be less susceptible to change, as people may be more reluctant to take risks and explore new ideas.

Limitations of Uncertainty avoidance

• Uncertainty avoidance cannot explain why some societies are more risk averse than others, as it only measures the level of anxiety about uncertainty and ambiguity rather than the willingness to take risks.
• Uncertainty avoidance does not account for cultural change over time, as it is based on static survey questions that may not reflect a culture’s current beliefs and attitudes.
• It is difficult to accurately measure uncertainty avoidance in individuals, as it is not a single concept but rather an amalgamation of a variety of beliefs and attitudes.
• Uncertainty avoidance is dependent on the context of a given culture, and different societies may have different understandings of what constitutes an uncertain situation.
• Uncertainty avoidance is a broad concept, and it is difficult to measure the individual components that make up this cultural dimension.

Other approaches related to Uncertainty avoidance

Other approaches related to Uncertainty avoidance include the following:

• The Social Anxiety Model: This approach proposes that people who are more likely to experience social anxiety are more likely to have a higher level of uncertainty avoidance.
• The Stress and Coping Theory: This theory suggests that the level of uncertainty avoidance is influenced by an individual's ability to cope with stress.
• The Resource Model: This approach suggests that the level of uncertainty avoidance is influenced by an individual's access to resources that can help them cope with uncertainty.
• The Conceptual Model: This model suggests that an individual's level of uncertainty avoidance is influenced by their beliefs and values about uncertainty and ambiguity.

In summary, approaches related to uncertainty avoidance include the Social Anxiety Model, the Stress and Coping Theory, the Resource Model, and the Conceptual Model, all of which suggest that an individual's level of uncertainty avoidance is influenced by different factors.

Uncertainty avoidance — recommended articles

Group conformity — Marston model — Behavioral theory — Power distance — Theory of expectations — Acquired needs theory — Dimensions of personality — Diffusion of innovation — Charismatic leadership

References

• Hofstede, G., Hofstede, G. J., & Minkov, M. (1991). Cultures and organizations: Software of the mind (Vol. 2). London: McGraw-Hill.
• Hofstede, G. H., & Hofstede, G. (2001). Culture's consequences: Comparing values, behaviors, institutions and organizations across nations. Sage.
• Hofstede, G. (1983). The cultural relativity of organizational practices and theories. Journal of international business studies, 75-89.
• Hofstede, G., Neuijen, B., Ohayv, D. D., & Sanders, G. (1990). Measuring organizational cultures: A qualitative and quantitative study across twenty cases. Administrative science quarterly, 286-316.
• Hofstede, G. (1993). Cultural constraints in management theories. The Academy of Management Executive, 7(1), 81-94.
• Purohit, Y. S., & Simmers, C. A. (2006). Power distance and uncertainty avoidance: a cross-national examination of their impact on conflict management modes. Journal of International Business Research, 5(1), 1.
• Shane, S. (1995). Uncertainty avoidance and the preference for innovation championing roles. Journal of International Business Studies, 47-68.
• Wennekers, S., Thurik, R., van Stel, A., & Noorderhaven, N. (2007). Uncertainty avoidance and the rate of business ownership across 21 OECD countries, 1976–2004. Journal of Evolutionary economics, 17(2), 133-160.
• The Hofstede Centre website