This paper initially examines similar cases of two countries that have emerged as super powers in Asia: People's Republic of China & South Korea.The second part of the essay discusses the case of Algeria.

Authors Avatar

Abstract:

In recent years less developed countries with weak economies have emerged as super powers. Such as Japan, countries of ASEAN, People’s Republic of China etc., which has aroused great interest in the management world from around the globe. Researchers from around the world are studying the history and management practices of these countries to figure out the success factors. This paper initially examines similar cases of two countries that have emerged as super powers in Asia: People’s Republic of China & South Korea. The second part of the essay discusses the case of Algeria.


INTRODUCTION:

As commerce becomes more global, large numbers of people are conducting business across national and cultural boundaries. The increase in the popularity of international business has lead to the interest in International Human Resource Management. When a company operates business across international boundaries it comes across various Management systems which have evolved over the years. HRM practices are different in different countries around the globe, according to Boxall; International HRM is concerned with the human resource problems of multinational firms in foreign subsidiaries.

The study of Human Resource Management in less developed countries has been receiving increasing attention in the past few decades. The rise of Japan as the second powerful economy of the world, and the emergence of the People’s Republic of China as a powerful economy in Asia has attracted major attention from many researchers around the world. Every country has different business practices, standards, values etc. which reflects when companies are doing business abroad. These differences are evident when comparing business activities in developed countries to those in developing countries and when examining issues of worker health, safety and environmental issues (Amante, 1993; Cichon and Gillion, 1993).

The real challenge is when companies form different countries have to tackle with locals of other nations especially the less developed countries because of different cultural influence. In the west people have a similar culture in many countries like USA, UK, Canada etc. But in Asia there are lot of different cultures for example the Indian culture is different when compared to the Japanese and so is the Arab from the Chinese. Western HRM methods are by no way applicable across in other countries like India, Saudi Arabia, Algeria, Japan etc. These are clearly evident in areas such as recruitment and selection of employees. In less developed countries like India & Algeria if there is any vacancy it is immediately filled up through recommendation from family and friends.

The case of China: Chinese management system reflects cultural and traditional Chinese values, which makes it unique and different from that of America and Europe. The Chinese Management system was strongly influenced by the Soviet and Japanese System of Management. After the reforms and opening of China to the outside world in the 80’s there has been enormous changes in the economic and human resource environment.  After the death of Mao Zedong, Deng has brought about many changes in country’s infrastructure and as a result the People’s Republic of China has emerged as the promising super power of the 21st century, (Branine 1997).  During Mao’s Communist Party rule the management system was totally different from what it is today. During Mao’s period each enterprise received exact objectives from a Centralised Planning system for production, distribution, manpower etc. (Laak Sonen 1988). This system was called the “iron rice bowl”.    

Join now!

After the adoption of the “Open Door Policy”, there was an enormous change in the Chinese style of management, in effect the Deng Xiaoping’s government declared the end of the iron rice bowl system. Initially in the iron bowl system there was job guarantee for everyone, without any job preference people had to accept the job assigned to him or her and stay with it for life. After the Labour Policy Reforms of the 80’s, for the first time the workers were permitted to seek for the job they preferred, rather than the assigned work which were appointed by ...

This is a preview of the whole essay