Chinese Management Practices Research Articles

HHP model of management: comparing managerial approaches across the United States, Europe, Japan, and China

PurposeAgainst the backdrop of the convergence and divergence debate in comparative management studies, this study aims to explore Chinese-style management and proposes the husband-housewife-patriarchy (HHP) model of management, emphasizing the uniqueness of Chinese management practices that are differentiated from Western- and Japanese-oriented paradigms while advocating a progressive and practical approach to understanding and applying these principles [1].Design/methodology/approachThis study combines a “bottom-up” and “top-down” logic of analysis to reexamine the general managerial approaches, with particular attention toward human resource management as a stream within the whole management spectrum across China, the USA, Europe and Japan, reaching a typological representation of the above prototypes, which is coined as the HHP model of management. In doing so, this paper proffers a novel lens for revisiting these models and advancing management innovation in China.FindingsChinese-style management is characterized by an array of unique approaches diverging from Western and Japanese models. The HHP management model is presented as a new framework for reinterpreting these distinctions and encouraging management innovation within China, highlighting the potential of Chinese management practices in contributing to global management knowledge.Originality/valueThis paper offers novel perspectives on Chinese-style management and introduces the HHP management model, enriching the discourse on comparative management and local innovation in the managerial arena.

WSR

Evolving out from contemporary Chinese management practice, traditional Chinese thought and international academic encounters, the Wuli-Shili-Renli (WSR) approach urges knowing wuli (the technical-material), reflecting on shili (the mental-cognitive) and caring for renli (the social-emotional) in management decision making. Underlain by coherent ontology, epistemology and methodology, WSR has been used to assist formal engineering projects such as water resources management as well as informal coping which includes understanding social-economic reforms, improving business strategy and enriching the theory of the firm. As information complexity and value complexity grow rapidly within, and beyond, China, WSR should ideally develop into a multi-perspective, multi-method, multi-actor, general purpose management approach, as a useful tool for building an open, justice and prosperous society.

Effect of workplace ostracism on employee initiative behaviour: a chained double mediation model

PurposeThis study aims to test a holistic model that investigates the direct influence of workplace ostracism on employee initiative behaviour, along with the mediating role of organisational identity and work well-being.Design/methodology/approachA series of questionnaire surveys were conducted to collect data in three time lags and multiple sources; 261 supervisor–subordinate matched samples were finally obtained. The hypothesized relationships were tested using structural equation modelling and the ProClin program.FindingsThe results suggest that workplace ostracism is negatively related to employee initiative behaviour, and organisational identity and work well-being play mediating roles. The analysis further confirms that organisational identity and work well-being play a chained double mediating role between workplace ostracism and employee initiative behaviour.Originality/valueThis study demonstrates the influence of negative work situation on employee initiative behaviour, specifically the role of workplace ostracism, and expands the theoretical foundation of the relationship. It further provides inspiration and serves as a reference for local Chinese management practices.

Chinese Management Studies: A Matched-Samples Meta-Analysis and Focused Review of Indigenous Theories

The field of Chinese management studies has grown tremendously over the past four decades. Management theories originating from the United States have remained dominant in the analysis of Chinese firms, prompting the question of how powerfully these Western lenses explain management practices in non-Western contexts. Through a matched-samples meta-analysis, which integrates matching techniques into meta-analysis, we compare the mean effect sizes for five classic Western management theories—institutional theory, resource dependence theory, the resource-based view, agency theory, and transaction cost theory—on 452 matched samples drawn from 1,028 U.S. and Chinese studies. Surprisingly, as compared to their U.S. counterparts, Chinese firms (a) are less responsive to coercive and mimetic pressures yet more subject to normative pressures, (b) establish fewer business relations when faced with resource dependencies and transaction costs, (c) extract more profit from managing generic strategic resources, and (d) are more sensitive to pay incentives and private blockholders. To understand the specificities of Chinese management practices, we furthermore conduct a focused review of the emerging literature on China-endemic explanations: political institutional imprinting theory, state-driven sustainable development, and China-endemic corporate governance. We conclude that indigenous theories effectively complement Western perspectives when accounting for Chinese management practices.

Assessing and Extending the Unique Contributions of Chinese Management Studies

The field of Chinese management studies has grown tremendously over the past four decades. Despite an increasing interest in uniquely Chinese phenomena, Western management theories have long been the dominant perspectives for understanding Chinese firms and managers. Yet, the explanatory potential of our current theoretical toolkit remains unelucidated in non-Western contexts. Through a matched-samples meta-analysis, which integrates matching techniques into meta-analysis, we compare the mean effect sizes for five classic Western management theories (i.e. institutional theory, resource dependence theory, the resource-based view, agency theory, transaction cost theory) on 452 matched samples drawn from 1,028 U.S. and Chinese studies. Results show that, contrary to popular belief, Chinese firms (a) are less responsive to coercive and mimetic pressures yet more subject to normative forces, (b) are less focused on establishing relational ties when faced with resource dependencies and transaction costs, (c) are better at managing strategic resources for profit, and (d) respond better to pay incentives than their U.S. counterparts. To understand the specificities of Chinese management practices, we furthermore conduct a focused review of the emerging literature on China-endemic explanations: political institutional imprinting theory, a specifically Chinese take on sustainable development, and a China-specific theory of corporate governance.

Theory of self-cultivation based on Confucianism: a supplement to social exchange theory

PurposeAlthough domestic research on Chinese management is emerging, a suitable domestic theory is still needed to support and explain Chinese management practice. Given that, this paper aims to extract ideas of cultivation from Confucianism and propose a theoretical framework of self-cultivation with a purpose to provide new explanations for domestic (nondomestic as well) management practice.Design/methodology/approachDrawing from pre-Qin cultivation discourse and management practice, this paper develops a theoretical framework of self-cultivation and discusses its implications.FindingsThis paper argues that self-cultivation emphasizes self-consciousness, initiative and selflessness. It also includes self-reflection, self-discipline, self-study and self-improvement, as well as self-dedication, all of which reflect the ideal realm of “self-cultivation.” This “realm” refers to the process of pursuing an ideal personality and high moral standards.Originality/valueThis paper contributes to the literature by identifying various potential applications of self-cultivation theory to domestic research on organizational behavior in China.

Demystifying Chinese management practices in the diaspora: Extension of Weberian approaches or romanticization of the analysis?

O interesse da comunicacao social e de academicos em torno do sucesso dos empresarios chineses, particularmente no sudeste asiatico, tem reanimado as analises sobre as culturas de gestao. A partir do ultimo quartel do sec. XX, passou-se a chamar a atencao para as particularidades das pequenas e medias empresas chinesas formadas na diaspora, destacando o papel das redes de confianca e de familiaridade nos processos de gestao. Ao longo desta reflexao procura-se analisar a forma como os tracos culturalistas ou a etnicidade vem sendo recuperados na explicacao do que ficou conhecido como milagre economico chines. Num ultimo momento, pretende-se alertar para o risco de essencialismo nestas analises, propondo que se trata de estrategias de adaptacao a contextos politicos e socioeconomicos desfavoraveis.

Guest Editor foreword

Purpose – The purpose of the papers included in this issue is to cover a broad range of contemporary issues in Chinese corporate financial management and therefore provide the readers with important insights into Chinese financial markets as well as the social and economic consequences of firm behavior in the Chinese context. Design/methodology/approach – The first part of this issue is a special section on “Corporate Finance and Corporate Social Responsibility”, which includes three papers that explore various aspects of corporate social responsibility (CSR) from a finance perspective – including the relationship between CSR and the cost of equity, the “insurance-like effect” of CSR and competition in corporate philanthropy. The remainder of the issue includes seven further papers that cover a wide range of finance-related topics, including currency and equity, monetary policy, cross-border mergers and acquisitions, earnings management, overseas investment, information disclosure, social capital and cosmopolitanism. All of the papers included in this issue are based on empirical research that draws on primary and secondary data from Chinese financial markets and from the information disclosures of Chinese enterprises. Findings – The authors are confident that such in-depth discussions and analysis will help researchers and practitioners to develop a better understanding of the issues faced by Chinese managers in the context of China’s economic transformation. The findings reported in this issue will help inform and develop Chinese management theories based on a wide range of Chinese management practices. Originality/value – Each paper in this issue reports on different aspects of finance, reporting and management in the Chinese context, discussing findings that have both relevance and significance beyond China.

Chinese management practices in Kenya: toward a post-colonial critique

While transforming the investment, trading and infrastructural landscape in Africa, Chinese firms are also generating much-publicised controversy about their real motives. Many of the large Chinese firms operating in Africa focus mostly but not exclusively on engineering, infrastructural projects and mining. This Africa–China engagement has only recently begun to receive critical attention in the area of management and organisation studies. With reference to Kenya, we found that this phenomenon is characterised by four key themes: the unique yet diverse motivations of investors, the challenge of reconciling cross-cultural differences, the impact of low-cost strategies and the boundary-spanning role of managers. This paper also considers the extent to which post-colonial theory might serve as an analytical lens for examining the perceptions and attitudes of Chinese managers as well as the experiences of the Africans who work for them.

Employee suzhi in Chinese organizations: organizational ownership behavior

Purpose– The purpose of this paper is to examine a Chinese indigenous concept of organizational ownership behavior (OOB) as an aspect of employee suzhi in relation to organizational citizenship behavior (OCB) in the Western context.Design/methodology/approach– A content analysis based on a review of related research in Western mainstream and Chinese domestic literature is conducted.Findings– Suzhi at the organizational level can be linked to the construct of OCB. In Chinese organizations, a relevant concept to OCB can be better understood as OOB to capture the sociopolitical and cultural context unique to Chinese organizations. The dimensional structure of OOB is presented to differentiate it from OCB which is popular in the Western context.Research limitations/implications– The identified construct of OOB offers important implications for indigenous Chinese management research and human resources management (HRM) practice. OOB, based on Chinese management practice, can better conform to China’s unique historical and cultural context and management practices. This concept varies distinctively from Western OCB in terms of its connotation and dimensions.Originality/value– The concept of OOB as an indigenous employee organizational behavior in the Chinese context is conceptualized. The paper differentiates the OOB construct from OCB and presents an initial set of six dimensions of OOB for future research.

Guest Editor foreword

Purpose – The papers in this issue make a significant original contribution which will result in the better understanding of Chinese corporate finance management challenges from both theoretical and practical perspective. The paper aims to discuss these issues. Design/methodology/approach – The papers of this issue have a wide range of coverage related to corporate finance, such as CSR disclosure, organizational structure, earnings management, ownership structure, media impact, corporate accidents, and institution background. Those papers selected are all based on empirical researches with the original designs of their modeling, by the real and fundamental data from the latest Chinese market and enterprises. Findings – The author believes that such in-depth analysis and discussion will enhance the understanding for both researches and practitioners on the behavior of managing corporate finance in China. Those findings will contribute to the establishment of Chinese management theories and to the building of a wide range of Chinese management practices. Originality/value – Although the angle of each paper varies, they are all trying to have a deep analysis which may unveil the behavior of corporate finance decision. Some of such behaviors will be beneficial to the long-term sustainable growth of the company, while others, though, may have the negative impact on the corporate value creation.

Cosmopolitan cultural identities and management practice: challenges of Chinese returnees

After the open door policy in 1978, there has been an increasing tendency for Chinese people to study abroad. China’s current preferential policies, together with its huge market, have opened up many opportunities. This has subsequently led to an increase in the number of overseas Chinese students wishing return home after graduation. This study aims to expose the cultural identities of Chinese returnees by using cosmopolitanism and global flow as the theoretical framework, as well as analysing to what extent the cosmopolitan identities have been adopted in terms of their career experience and Chinese management practice.

Influence or imitate?

PurposeReviews three recent articles on Chinese management, comparing their messages.Design/methodology/approachThis briefing is prepared by an independent writer who adds their own impartial comments.FindingsOver the past year business literature in the UK and the US has shown a marked interest in Chinese management. This may seem a surprising trend – China is not renowned in the West as a source of either interest or threat when it comes to business leadership. But according to academics, journalists and consultants, Chinese management is on the ascendancy and is something we must take seriously. So what is it exactly that these writers are asking us to consider?Practical implicationsProvides an overview of what is currently being written about management in China, and calls for more research.Originality/valueGives insight into the relationships between Western and Chinese management practice today.

Executive development in China: is there any in a Western sense?

A recurring theme in the literature on Chinese management has been the impact of culture and, in particular, the influence of values derived from Confucianism on Chinese management practices. The reforms that led to foreign direct investment (FDI), the problems of State-owned enterprises (SOEs), the social, political and economic changes and analyses of Chinese managerial styles and performance have been the major concerns. There has been less attention specifically paid to Chinese managers' characteristics and to managerial career patterns, which may be shaped by national culture and values. In contrast, in the West, there is a vast body of literature covering career theories and managerial growth, dealing variously with personal values and other factors, such as family upbringing, education, social background and employment structure, that have major impacts on managers' career pathways. This paper explores how far executive career development in modern China (PRC) corresponds to Western notions, and also tries to determine whether there are specific factors relating to Chinese executives' personal biographies and career paths. A pilot study was carried out to identify the variables that might shed light on career patterns and, if possible, to profile the Chinese manager. A number of emergent themes are described. They derive from the experience of individual interviewees who took part in the pilot research, which was conducted in Beijing and Shanghai and in which forty-nine managers in forty-two companies were interviewed. These pilot interviews revealed a complex interplay of biographical data and career themes. Of clear importance was the guanxi mechanism (direct or indirect personal relationship to solicit favours) which has no exact comparison in the West and which does not figure in Western career theories. A preliminary tentative Chinese executive career model has been developed.