How to get the best from multicultural teams
Across APAC, team members with diverse backgrounds are the norm. Three chartered accountants share their views and advice on creating high-achieving multicultural teams.
Quick take
- Multicultural teams bring unique perspectives that lead to fresh ideas and smarter problem solving.
- Recognising and celebrating cultural diversity strengthens the team, helps everyone feel valued and connected, and improves staff retention.
- For multicultural teams to thrive, there must be intentional effort and action to foster and appreciate diversity.
By Sonaskhi Babbar
In her powerful TED Talk The Danger of a Single Story, Nigerian author Chimamanda Ngozi Adichie highlights how stereotypes and narrow perspectives distort our understanding of people and cultures. This idea is equally relevant in the workplace. When we rely on limited viewpoints, we stifle creativity and problem-solving.
Diverse executive teams are 25% more likely to achieve above-average profitability, according to McKinsey. This isn’t just a nod to inclusivity – it’s proof that multicultural teams can be a powerful driver of success in today’s global economy.
But what does ‘multicultural team’ really mean? On the surface, it’s about bringing together individuals from different cultural backgrounds to work toward common goals. But dig deeper and you’ll find that these teams are a wellspring of fresh perspectives, innovative ideas and unique experiences that can give companies a competitive edge.
In Australia and New Zealand, where nearly 30% and 25% of the population respectively are born overseas, the workplace naturally becomes a melting pot of cultures. Some of this diversity stems from efforts to fill skill shortages, but it also brings a rich tapestry of ideas to the table.
How does having a team with varied cultural backgrounds impact creativity and innovation? And how can businesses harness this diversity to enhance their bottom line?
Kevin Wei CA, senior manager at PwC Mainland China and Hong Kong, Reina Banno CA, audit partner at Baker Tilly Staples Rodway, New Zealand, and Meena Shrestha CA, founder of WiseBooks Tax and Accounting, and former partner and director at KAS Accounting Solutions, Australia, share their insights on working within multicultural teams.
Diverse teams drive innovation
According to the Harvard Business Review, diverse teams are more innovative, effective and efficient, making inclusion key to driving fresh ideas.
Wei, who is part of the international tax team focusing on multinational mergers and acquisitions, points out how his team’s diversity – Australians, Indians, Chinese, Koreans, Taiwanese and Kiwis – brings something special to the table.
“If they’re willing to step out of their comfort zone and come to a new place on their own [i.e. Hong Kong] or with little connection, whether it’s for a lifestyle change or just to try something different then, generally speaking, they’re pretty open-minded,” he says.
“When people are more open-minded, they’re not stuck doing things the same old way or just copying what’s been done before – they’re more likely to try new, more efficient ways, using the latest processes and technology,” he says.
“I believe that bringing together people from diverse cultural backgrounds is a smart business move.”
New ways of working
When people from different backgrounds come together, they introduce new ways of doing things: whether it’s adopting different methods, using unfamiliar tools or learning from each other’s unique perspectives.
Banno, who’s been with the firm since 2016, says that hiring international talent to meet skill demands has brought people from diverse backgrounds, offices and countries together.
“We’ve been able to increase our productivity in ways that we may not necessarily have known without those new ideas,” she says.
“When staff members from Sri Lanka joined us recently, they introduced us to a range of digital tools they regularly use. We took the time to understand and adapt our audit procedures to how they applied these tools in Sri Lanka. It boosted the productivity and efficiency of our processes,” she adds.
“When people are more open-minded, they’re not stuck doing things the same old way or just copying what’s been done before.”
Smarter, high-achieving team
Located in the Northern Territory, Shrestha, a 2023 Young CA Regional Award Winner, successfully expanded her team when she worked at KAS from five to 30 members in a short time. “I believe that bringing together people from diverse cultural backgrounds is a smart business move."
“With experience and research into working styles, I’ve found that people from certain cultural backgrounds excel in analytical skills; we could really rely on them for that. Others are natural communicators, who clients love talking to because they’re resilient and easy to connect with. When you combine these diverse strengths, you create a high-achieving team and that’s exactly what we accomplished in our organisation,” she says.
“I’m proud that I’ve been able to drive this kind of change, leading to exponential business growth, increased profits and strong staff retention,” adds Shrestha.
“My view of the world is influenced by my personal experiences and global cultural background, which has made me more open-minded and receptive to change.”
Five ways to make multicultural teams work
Multiculturalism works best when everyone in the company puts in the effort. For organisations that manage diversity well, everyone – employees, managers and leaders – needs to work together to make it successful.
Here are five tips to make multicultural teams work effectively:
1. Acknowledge cultural differences
Baker Tilly Staples Rodway has fostered a strong, inclusive work culture by recognising and respecting cultural diversity, says Banno.
“We recognise cultural differences. For example, for many of our employees, taking leave isn’t just a matter of moving across states, it often involves travelling between countries. So, we are happy to consider longer annual leave or alternative leave arrangements that make sure people can be with their family for a good amount of time, without worrying about coming back to work immediately.”
While it was challenging initially, with early planning and prioritising, people could go on leave without worrying too much about client work, she says.
2. Embrace language diversity
Diversity brings many languages into the workplace, which can sometimes be challenging, especially when English is a second language. Banno notes that effective communication is crucial in auditing, both within the team and with clients.
“For many of our staff, English is a second language, so meetings might involve unfamiliar accents and emails can sometimes seem direct. We’ve found that informing clients in advance about the engagement team helps, and we also use tools and processes to improve communication. We find our clients appreciate this approach as many of them are culturally diverse themselves.”
Banno adds that proactive team management is essential. “It’s important to understand how team members with English as a second language prefer to communicate and adapt to their styles. This might involve more frequent check-ins to ensure everyone can share their thoughts without feeling rushed during meetings.”
Wei points out that language diversity can be a valuable asset if managed correctly. “When working with Pan-Asian teams, for example, speaking the local language can help us access better information. Sometimes things get lost in translation, so understanding the local language can make a big difference.”
3. Flexible ways of working
Different cultures have different communication styles, work ethics and expectations, so flexibility allows for a more inclusive and productive environment. In some cultures, people may be more reserved during meetings, seeing it as disrespectful to speak without being asked, says Banno.
“We noticed in the management meetings we had the same team members contributing but, as we grew our team, we decided to make the chair a rotation so everyone had the opportunity to lead and voice their opinions,” she says.
4. Lead the change
Shrestha feels a deep sense of responsibility in her role, knowing she can make a difference and be a voice for everyone. She was a member of the SA/NT Diversity Equity and Inclusion panel for more than two years, which helped her gain insights and share her experience with a broader community.
“I often hear, ‘We need more people like Meena in our business,’ which shows that the company understands the benefits of diversity. It’s on us to pave the way for future generations by building diverse, dynamic teams and promoting multicultural diversity in leadership positions.”
Banno, the only Asian female partner in her Auckland office, says her leadership style is shaped by her diverse background. “My view of the world is influenced by my personal experiences and global cultural background, which has made me more open-minded and receptive to change.”
She recalls a situation with a staff member who was the only child, facing a family emergency overseas. “Her mother was in the hospital and her father wasn’t well. There was no one to care for her parents. It was a no-brainer for us to make sure she had sufficient leave to look after her family. I told her, ‘Don’t worry, we’ll handle your workload.’ I’m fortunate to be in a position where I can make those calls and help our people.”
5. Celebrate cultural diversity
Shrestha notes that people appreciate when others make an effort to learn about their culture.
“I felt a strong responsibility to be a voice for everyone. I organised various cultural celebrations at the office, such as Lunar New Year, Diwali, and Dashain festival. These events allowed our team to experience the joy of these special occasions, creating a sense of home away from home. I also put up a diversity calendar on the notice board, so everyone was aware of upcoming events and could plan their leave requests accordingly.”
Banno, who has studied and worked around the world in secondments, says “It’s about naturally embracing different cultures and smartly incorporating them into how our teams and business operate.
“We have a diversity and inclusion committee within the firm that actively recognises different cultures. If there’s a festival in Japan, for example, we would do something to recognise that culture so that people still have that connection back to their ethnic roots.”