Strategic Human Resource Management in China: East Meets West

Abstract

Executive Overview This paper outlines important ideological, institutional, and cultural contexts that shape what strategic human resource management practices are possible in China. A detailed review of the main components of the high-performance work systems model suggests that when they are introduced into the Chinese socioeconomic and political context, the cost-benefit calculus for high-performance work system human resource management practices is different from that in the U.S. context. Yet, in our review of China-based strategic human resource management research we find the expected positive relationship between high-performance work systems and organizational performance in companies operating in China. We conclude with a case example to illustrate how Chinese firms might be both adopting and adapting the high-performance work system model to better fit their current cultural and economic context.