AM Lecture 6

Management > Asian Management > Background > Under stress

Management under stress

The main cause of stress for management was the crisis of 1997. The effects included:

• Deconstruction/rationalisation of chaebols
• More power to employees
• Greater competition at home
• Pressure to decentralise management
• State withdrawal
• Increasing "governance" backed by legislation

However, this was all quite cosmetic, as there is little evidence of radical change within chaebols. Is Korean management static because of business-state development, or is management capable of making changes?

HRM abroad

HRM cultural traits

Characteristics/paradoxes

Change?

Leadership