Business culture

Hierarchy and style of management

Work place dress code

Some characteristics on business with the Dutch

Business meeting etiquette

Negotiations

In cultural studies there are four main characteristics that are used to describe a particular culture, particularly used when it comes to learning how to do business there.

Using these guidelines, the Netherlands has a rather "feminine" and individualistic culture. This means that it prioritizes personal goals over work goals (money, advancement) and assertiveness. It also means that a job is not considered to be "man's job" or "woman's job". It means that people "work in order to live", rather than "live in order to to work", which is a phrase that you may be familiar with. One example being that a Dutch person would most likely less money and more free time over working extra long hours for additional pay or a promotion. As a matter of fact, a 36-hour working week is quite common here. When it comes down to it, personal life is more important than work life.

Hierarchy and style of management

The Dutch value a productive atmosphere with good business relationships.  They would typically prefer this over a strictly hierarchical environment in which the politics of what you say to whom are a constant stress factor. The office hierarchy is not that important, at least not in the sense that a lot of time or effort is put into obvious markers of "who's in charge of who".

The Dutch are more concerned with the teamwork aspect and getting the job done in a pleasant atmosphere than with reminding you of the pecking order. This means that you should feel comfortable to speak up to your managers, even if it is to voice disagreement. Everybody is allowed to have his or her own opinion, and in fact, thoroughly thought-through feedback is considered a sign of intelligence, not insubordination.

Finally, the Netherlands ranks in the middle of what is called "uncertainty avoidance". It is valued highly in the sense that it has many laws and regulations to keep situations organized and unambiguous. However, its discomfort with unnecessary hierarchy and preference for informal communication says otherwise. We will simply say that the Dutch like things running with clear layout, smoothly and on time without being too obsessed by it.

If you are really interested in this subject and would like more detailed insight, check out any work by Geert Hofstede or Fons Trompenaar (incidentally, both Dutch). 

Work place dress code

On a more superficial level, the characteristics above are reflected in the casual dress that you may encounter at your work place. At many organisations staff are allowed to wear jeans at work. A formal dress code is certainly not the first set of rules someone will hand you. You can not always recognise who is in charge by looking at what he or she is wearing.

Your manager may dress more formally than you as a reflection of his or her level of responsibility. However, this will likely be his or her personal choice. It might also have to do with the fact that he or she often meets with outside clients. They might actually dress more casually than other staff members, as in some work places the option of dresssing down is a perk of more responsibility.

If you cannot remember from earlier meetings and if, during your first days, you are in doubt as to what to wear, it is wise to err on the side of caution. Better to be known for dressing too sharply than too sloppily, right? Your office dress code will probably be clear to you very quickly.

Some characteristics on business with the Dutch

• Many Dutch are familiar with doing business with foreigners since the Netherlands has a long history of international trade.
• They will want to know your academic credentials and the amount of time your company has been in business.
• The business community is rather close and most senior level people know one another.
• Older, more bureaucratic companies may still judge you by how you are introduced so it is wise to have a third-party introduction if possible, although it is not mandatory.
• The important thing is to demonstrate how your relationship would be beneficial for both sides.
• The Dutch take a long-term perspective when looking at business, so be clear what your company's intentions are.
• Since the Dutch value their personal time, do not ask them to work late or come in over the weekend if you want to foster a good working relationship.
• The Dutch are hospitable, yet this is often reserved for family and friends. In business they tend to be reserved and formal.
• They do not touch one another and appreciate it when those they do business with maintain the proper distance, do not demonstrate emotion or use exaggerated hand gestures.
• The Dutch are extremely direct in their communication.They may sound blunt if you come from a culture where communication is more indirect and context driven.
• They do not use hyperbole, and likewise they expect to be told yes or no in clear words.
• In general, ideas will be discussed quite openly at meetings, with everyone entitled to their opinion.
• Information is shared across departments and corporate strategies and goals are usually communicated to all employees, especially in more entrepreneurial companies.
• Decisions are often consensus-driven in these cases.
• Always appear modest and do not make exaggerated claims about what you or your company can deliver.
• Your word is your bond and making claims that later prove to be untrue will brand you as unreliable.

Business meeting etiquette

• Appointments are mandatory and should be made 1 to 2 weeks in advance if arranged by telephone and 1 month in advance if arranged by letter.
• Do not try to schedule meetings during the summer (June through August), as this is a common vacation period.
• Punctuality for meetings is taken extremely seriously.
• Being late may mark you as untrustworthy and someone who may not meet other deadlines.
• If you expect to be delayed, telephone immediately and offer an explanation.
• Cancelling a meeting at the last minute could jeopardize your business relationship.
• Meetings are rather formal in nature. Little time is spent on pleasantries.
• Meetings adhere to strict agendas, including starting and ending times. Do not attempt to deviate from the agenda.
• Maintain direct eye contact while speaking.

Negotiations

• The Dutch prefer to get down to business quickly and engage in relatively little small talk.
• Communication is direct and to the point, and may seem blunt.
• Make sure your arguments are rational as opposed to emotional.
• Use facts and figures to confirm your statements.
• Business is conducted slowly. The Dutch are detail-oriented and want to understand every innuendo before coming to an agreement.
• Decision-making is consensus driven. Anyone who might be affected by the decision is consulted, which greatly increases the time involved in reaching a final decision.
• Avoid confrontational behaviour or high- pressure tactics.
• Once a decision is made, it will not be changed.
• Contracts are enforced strictly.

Thanks to Kwintessential for this list of best practices.

More discussion on business etiquett in the Netherlands is available on the Executive Planet website.