Designing an Efficient Management System (eBook)

Modeling of Convergence Factors Exemplified by the Case of Japanese Businesses in Thailand
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2010 | 2010
XIX, 300 Seiten
Physica (Verlag)
978-3-7908-2372-1 (ISBN)

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Designing an Efficient Management System - Tanachart Raoprasert, Sardar M. N. Islam
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1. 1 Background of the Study: Ef?ciency in Cross-Cultural International Business Management Ef?cient business management is crucial in achieving corporate (national or int- national/multinational) goals such as higher value, comprehensiveness, corporate governance, etc. Ef?cient business management can be achieved by resolving agency problems existing among different stakeholders in corporations. In inter- tional business, agency problems may exist between managers, owners, staff, and other stakeholders who come from different cultures. Therefore, there is a need in designing ef?cient management of international business by in?uencing the factors (the convergence factors) which cause differences in the interests and cultures of different stakeholders. International business refers to all commercial transactions between two or more nations. Because it comprises a large and growing portion of current world business practice, international business has received considerable attention in academic research (Daniels and Radebaugh 1998). International bu- ness differs in important ways from business conducted within national borders, and poses additional challenges to managers and investors in foreign countries (Mahoney et al. 1998). In this context, Black et al. (1999) state that effective management is increasingly recognized as a key determinant of success or failure, arguing that the success of international business in multinational companies depends most signi?cantly on the quality of management systems (Stroh and Caligiuri 1998). As international business involves people from different cultures, every business function including managing a workforce, marketing output, and dealing with regulators, has the potential to involve cross-cultural problems (Zineldin 2007).

Contributions to Management Science 2
Designing an Efficient Management System 4
Copyright page 5
Contents 8
List of Figures 14
List of Tables 16
Abbreviations 20
Chapter 1: Introduction 22
Background of the Study: Efficiency in Cross-Cultural International Business Management 22
Contribution to Knowledge 24
Statement of Significance 24
Scope of the Study 25
Aim of the Study 25
Specific Aims 25
Research Questions and Hypotheses 26
Methodology 27
Structure of the Book 27
Summary 29
Chapter 2: Literature Review 30
Introduction 30
Part 1: The Differences in Management Practices Across Cultures and the Needs for Adaptation and Acceptance 31
Efficient Management 31
Efficient Cross-Cultural Business Management Practices: Need and Principles 32
Japanese Management Practices 33
Quality Control Circles 34
Job Rotation 35
Seniority Systems 36
Lifetime Employment 36
Consensual Decision-Making 37
Bottom-Up Communication 38
Thai Management Style 38
Relationship-Oriented 39
Hierarchy 39
Decision-Making 39
Leadership 40
Harmony 40
Possibility of Applying Japanese Management Practices in Thailand 40
Japanese Management Practices in Other Countries 43
Normative Management Practices of Japanese in Thailand 45
Possibility of Thai Subordinates´ Performance after Modifying Japanese Management Practice 46
Reasons for Adaptation 46
Part 2: Factors Influencing Adaptation and Acceptance of Management Practices 48
Change Management 48
Resistance to Change 49
Why People Work or Do Not Work in Organizations 50
Economic Models of Organizational Behavior 50
Social Models of Behavior 50
The Theory of Reasoned Action 51
The Role of Work Motivation in Organizations 52
Conceptualization of the Need to Change 55
The Factors for Changes 57
Vision 58
Structure 61
Rewards 62
Resource Supports 64
Relationships 65
Leadership 66
Limitations of Weisbord´s Six-Box Model 68
Limitations of the Literature 69
Summary 69
Chapter 3: Theoretical Framework 71
Introduction 71
Theoretical Background: An Efficient Management System 72
Theoretical Framework 74
Hypotheses Development: Convergence Factors 75
Vision 75
Leadership 76
Structure 77
Reward 78
Relationship 79
Resources Support 79
Acceptance and Adaptation 80
Summary 81
Chapter 4: Methodology, Research Process, and Computer Programs 82
Introduction 82
Research Process-Design and Methodology 82
Literature Search 83
Research Design 84
Quantitative Research 84
Survey Methodology 85
Cross-Sectional Survey Research 86
Mailing Questionnaire Survey 86
Unit of Analysis 87
Questionnaire Development 88
Scaling Decision 89
Item Adoption 90
Vision 90
Leadership 91
Resource Support 91
Reward 92
Structuring for Change 92
Relationship 93
Adaptation 93
Acceptance 93
Japanese Management Practices 94
Demographic Questions 94
Pre-Test 94
Reliability 96
Validity 97
Population, Sampling Size and Procedures 102
Population 102
Sampling Design 102
Data Collection Procedures 103
Data Preparation Prior to Analysis 104
Test of Normality 104
Data Analysis 105
Descriptive Analysis 106
Introduction to Structural Equation Modeling (SEM): Methods, Computerized Methods and Computer Program 106
Mathematical Representation of SEM 107
Model-Data Fit Examination 108
Model Modification 109
Sample Size for SEM 110
Composite Factor Model 110
Bollen-Stine´s Bootstrap 112
Ethical Considerations 112
Summary 113
Chapter 5: Preliminary Data Analysis and Results: Descriptive Statistics and Reliability Tests 114
Introduction 114
Descriptive Statistics 114
Response Rate 115
Demographic Characteristics 115
Age Grouping 116
Gender Breakdown of Thai Subordinates and Japanese Managers 116
Positions 117
Duration 117
Organizational Age 118
Types of Organization 118
Lifetime Employment 119
Consensus Decision-Making 120
Seniority System 120
House Union 121
Job Rotation 121
Quality Control Circles 122
Reliability and Validity 123
Normality 126
Departure from Normality 126
Summary 126
Chapter 6: Structural Equation Modeling: Results and Analysis 130
Introduction 130
Assessing Goodness of Fit 131
Confirmation of Hypothesized Latent Constructs 134
Confirmation of the Vision - Thai Construct 135
Confirmation of the Vision - Japanese Construct 136
Confirmation of the Leadership - Thai Construct 137
Confirmation of the Leadership - Japanese Construct 138
Confirmation of the Resources Support - Thai Construct 139
Confirmation of the Resources Support - Japanese Construct 141
Confirmation of the Structure - Thai Construct 142
Confirmation of the Structure - Japanese Construct 144
Confirmation of the Reward - Thai Construct 145
Confirmation of the Reward - Japanese Construct 145
Confirmation of the Relationship - Thai Construct 148
Confirmation of the Relationship - Japanese Construct 149
Confirmation of the Acceptance Construct 149
Confirmation of the Adaptation Construct 151
Structural Models: Development Empirical Analysis of the Model of Japanese Management Acceptance and Adaptation 152
Composite Factor Model 155
Development of the Japanese Management Acceptance Model 156
Development of the Japanese Management Adaptation Model 161
Summary 166
Chapter 7: Discussion and Implications 167
Introduction 167
Descriptive Statistical Results 168
Hypotheses Testing 168
Hypotheses H1A-H7A 169
Hypotheses H1B-H7B 170
Implications for Theory and Practice 174
Vision as a Motivational Factor 174
Role of Reward for Acceptance of Japanese Management Practices 174
Good Relationship as a Motivational Factor 175
Leadership as a Motivational Factor 176
Structure for Adaptation and Acceptance of Japanese Management Practices 176
Role of Resources Support to Motivate Employees 177
Towards an Efficient Cross-Cultural and International Business Management Practices 177
Findings and Supports from Previous Studies 178
Summary 179
Chapter 8: Summary, Findings, and Conclusion 180
Introduction 180
Research Design 180
Research Questions 181
Overview of the Research 181
Results and Implications for Efficient Management 182
Potential Uses for the Models 182
Limitations of the Research 182
Recommendations for Further Research 183
Contributions and Concluding Remarks 183
9: Appendices 185
Appendix1 185
Descriptive Statistical Results of Japanese Expatriates 185
Japanese Management Practices in Thailand: Answered by Japanese Expatriates 189
Motivational Factors for Adaptation of Japanese Management Practices 193
Vision 193
Leadership 197
Resources Support 201
Rewards 204
Structure 208
Relationship 212
Adaptation 216
Appendix2 220
Descriptive Statistical Results of Thai Employees 220
Japanese Management Practices in Thailand: Answered by Thai Subordinates 224
Motivational Factor for Acceptance of Japanese Management Practices 227
Vision 227
Leadership 231
Resources Support 235
Rewards 239
Structure 243
Relationship 247
Acceptance 251
Appendix3 254
For Japanese Expatriates 254
Questionnaires for Japanese Managers and Thai Subordinates 254
For Thai Staffs 258
Appendix4 263
Information for Participants in the Adaptation of Japanese Management Practices Survey 263
References 264

"Chapter 2 Literature Review (S. 9-10)

2.1 Introduction


This chapter reviews the theoretical concepts related to adaptation and acceptance of Japanese management. As mentioned in Chap. 1, Japanese managers transplant their management practices to Thailand. However, conflicts in Japanese manufacturing organizations occur when the Japanese management practices which work well in Japan, are not appropriate to the Thai culture. Implicit in this assumption is the notion that failing to adapt Japanese management practices in Thailand decreases the motivation and performance of Thai subordinates, and hence decreases business efficiency.

This is followed by a discussion on how these concepts and gaps within the management literature have been used to formulate the proposed research questions for the present book. The review discusses how these concepts and gaps within the management literature have been used to formulate the research questions proposed in this book. This chapter is divided by two parts. Part 1, consisting of Sects. 2.2.1– 2.2.9, discusses the differences in management practices across cultures and the needs for adaptation and acceptance. Part 2, consisting of Sects. 2.3.1–2.3.4, discusses the influential factors in adaptation and acceptance of management practices.

Section 2.1 introduces the objectives of the chapter, and outlines what will be covered in the following subsections. Section 2.2.1 discusses the general concept of efficient management and relationship between management and business effi- ciency. Section 2.2.2 discusses the nature of efficient cross-cultural international business management. Section 2.2.3 broadly reviews Japanese management practices and identifies the concepts underlying Japanese management practices in Thailand. Section 2.2.4 reviews the literature on Thai management style based on previous researches in the management field.

Section 2.2.5 discusses the possibility of applying Japanese management practices in Thailand, comparing the differences between Thai and Japanese management practices. Section 2.2.6 provides a brief overview of Japanese management practices in other countries to see how Japanese management practices have been implemented outside Japan. In Sect. 2.2.7 the normative management practices of Japanese in Thailand are reviewed to suggest what and how Japanese management practices should be implemented in Thailand.

Section 2.2.8 indicates the possibility of Thai subordinates’ performances after the modification of Japanese management practice. Section 2.2.9 provides the reasons for adaptation, discussing the reasons Japanese management practices should be adapted in order to deal with cultural diversity and business globalization. Section 2.3.1 reviews change management to extend the understanding of why Japanese management practices should be adapted, and briefly how to achieve the change. Section 2.3.2 explains the reasons why people work or do not work in organizations. of the sixbox model and the reasons why it has been appropriate for this study. In Sect. 2.6, the limitations of the literature are provided to indicate the research gap. Finally, Sect. 2.7 summarises the material discussed in Chap. 2."

Erscheint lt. Verlag 15.4.2010
Reihe/Serie Contributions to Management Science
Zusatzinfo XIX, 300 p. 35 illus.
Verlagsort Heidelberg
Sprache englisch
Themenwelt Wirtschaft Betriebswirtschaft / Management Personalwesen
Wirtschaft Betriebswirtschaft / Management Planung / Organisation
Wirtschaft Betriebswirtschaft / Management Unternehmensführung / Management
Schlagworte business • Corporate Governance • Cross-cultural Management System • Governance • Human Resource Management • Management • Motivation • Motivational Factors • organisational behaviour • Structural equation modelling
ISBN-10 3-7908-2372-4 / 3790823724
ISBN-13 978-3-7908-2372-1 / 9783790823721
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