What is Intercultural Competence?
Intercultural competence refers to the ability of an individual (or organisation) to understand, interact effectively and adapt appropriately across different cultural contexts. It encompasses awareness of one’s own cultural assumptions, knowledge of other cultural frameworks, and the skills to communicate and collaborate with people from diverse cultural backgrounds.
Why Intercultural Competence Matters in HR
As globalisation, multicultural teams and remote work continue to expand, HR leaders increasingly ask “what is intercultural competence?” because organisations that cultivate this competence are better positioned to leverage diversity and enhance performance. Employees and managers who can navigate cultural differences reduce misunderstandings, build stronger relationships and foster an inclusive environment where talent from all backgrounds can thrive.
From an HR perspective, promoting intercultural competence helps align workforce strategies with global business objectives and supports: higher employee engagement, improved cross-cultural collaboration and more effective talent mobility. It also strengthens employer brand in multicultural markets.
Components and Development of Intercultural Competence
Organisations and individuals commonly build intercultural competence through three interconnected areas:
- Cultural awareness: Recognising one’s own cultural norms and biases.
- Cultural knowledge: Gaining insight into other cultural values, communication styles and societal norms.
- Skills for intercultural interaction: Developing adaptability, empathy, language/cultural fluency and conflict-management abilities in diverse settings.
Effective HR programmes often include cross-cultural training, mentoring, international assignments and diverse team-based projects to help build these competencies. In turn, employees who master intercultural competence contribute to stronger global performance, innovation and organisational cohesion.
