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AM Lecture 2

Change motivation

Fang and Hall (2004) argue that firms need to create a motivation to change, as without the drive and the will, change will not occur. They consider that management style and motivation cannot be separated from the organisational context.

If this is the case, then the organisational context of the SOEs need to change internally before change can occur.

 

SOE management culture

Many managers in SOEs feel they have triple responsibility, as the:

  1. Entrepreneur
  2. Government official
  3. Chief of the SOE community

Managers are most concerned with having good relations with superiors and the government. There is also a lack of correlation between managers' compensation and enterprise performance. This reflects and over-reliance on evaluations by government officials on manager performance.

Performance-related pay does not happen in an SOE, as the pay depends on the evaluation conducted by government officials, who do not necessarily use the same criteria as used in the West. For example, managers perform in order to just get paid and to been perceived as a good employee of the State.

 

Chinese culture

Chinese management and tradition

Sinoelectronics - Case study

Other studies and remarks on Chinese management

Conclusions

 

 Copyright Heledd Straker 2006

Go placidly amid the noise and haste