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Japanese management

and Chinese planning Japanese management U.Comparisons of Japanese. U.. often resulting in suboptimal Slow decision making slow implementation (but now changes are taking place. flowing down back to top: flow of non critical decisions often from bottom to top Slow decision making: fast implementation of the decision Fast decision making: slow implementation requiring compromise.) . at the to top often individual Involvement of a few people Top-down participation at in making the decision and lower levels selling it to the persons with divergent values Top-down initiated at the top Flow of critical decisions Decisions imitated at the from top to bottom and top.management Chinese management Collective decision making(ringi) with consensus Involvement of many people in preparing and making the decision Individual decision making Decision making by committees.S.S.

and Chinese organizing Japanese management Collective responsibility and accountability Ambiguous decision responsibility Informal organization structure Well-known common organization culture and philosophy. U.S. competitive spirit toward other enterprises U. bureaucratic organization structure Identification with the company but no competitive spirit .S.Comparisons of Japanese.management Individual responsibility and accountability Clear and specific decision responsibility Formal.. identification with profession rather than with company Chinese management Collective and individual responsibility Attempts to introduce the factory responsibility system Formal. bureaucratic organization structure Lack of common organization culture.

frequent company changes Chinese management Most hired from school. fewer from other companies Slow promotion through Rapid advancement highly the ranks desired and demanded Performance appraisal Once or twice a year common Appraisal of long term performance Comprehensive performance evaluation. hardly any mobility of people among companies U.S. otherwise shortterm targets Training and development considered a long-term investment Lifetime employment common in companies Training and development undertaken with hesitation (employee may switch to another firm) Job insecurity prevailing Training programs available. usually once a year Appraisal of short-term results Slow promotion but regular salary increases Performance usually once a year 5 years plan. state exam administered for managers Job security: virtually lifetime employment . U..Comparisons of Japanese. management People hired out of schools and from other companies.S. and Chinese staffing Japanese management Young people hired out of school.

emphasis on harmony Common values facilitating cooperation Avoidance of confrontation. emphasis on clarity Chinese management Leader acting as the head of the group(committee) Directive style (parent child relations. emphasis on harmony Avoidance of confrontation Critical communication Communication top-down and bottom –up. in transactional analysis terms Common values.firm. sometimes leading to ambiguities. management Leader acting Directive style(strong.S. primarily top-down noncritical communication often bottom up Communication top-down .Comparisons of Japanese. individualism sometimes hindering cooperation Face-to-face confrontation common. U.S. determined) Often divergent values. and Chinese leading Japanese management Leader acting as a social facilitator and group Paternalistic style U..

U..S. management Chinese management Control by supervisor Control by group leader(supervisor) Control focus on group performance Saving face Control focus on individual performance Fixing blame Primary control focus on groups but also focus on individual Trying to save face Extensive use of Limited use of Limited use of quality control circles quality control circles quality control circles .Comparisons of Japanese.S. and Chinese controlling Japanese management Control by peers U.

maintenance. The improvement function is aimed at improving current standards. • Kaizen and Management • Management has two major components: 1. once they have been mastered. managerial. • the improvement function. and establishing higher ones. and 2. management works continuously towards revising the current standards. Kaizen signifies small improvements as a result of coordinated continuous efforts by all employees. The objective of the maintenance function is to maintain current technological. the management must first establish policies. directives and standard operating procedures (SOPs) and then work towards ensuring that everybody follows SOP. rules. improvement. Improvement can be broken down between innovation and Kaizen. Kaizen strategy calls for never-ending efforts for improvement involving everyone in the organization – managers and workers alike. and operating standards. The latter is achieved through a combination of discipline and human resource development measures. • maintenance function.• What is Kaizen? • Kaizen means "improvement". Innovation involves a drastic improvement in the existing process and requires large investments. .

The Key Kaizen Practices • • • • • • • • • • • Customer orientation Quality control circles Suggestion system Discipline in the work place Small group activities Cooperative labor-management relations Total quality control Quality improvement Automation and robotics Autonomation Kanban: the Japanese name for a Just-in-time inventory system. a system in which inventory items arrive when they're needed in the production process instead of being stored in stock. • Just-in-time • Productivity improvement • New product development .

. the ranking officer of a company has the responsibility of maintaining harmony so that employees can work together. and close attention is paid to workers' well-being. Rather than serve as an important decision maker.• One of the prominent features of Japanese management is the practice of permanent employment (shushin koyo). A Japanese chief executive officer is a consensus builder. An important criterion is seniority. while middle management is both the impetus for and the shaper of policy. making top management a facilitator rather than the source of authority. Seniority is determined by the year an employee's class enters the company • Japanese managerial style and decision making in large companies emphasizes the flow of information and initiative from the bottom up. Consensus is stressed as a way of arriving at decisions. Permanent employment • Another unique aspect of Japanese management is the system of promotion and reward.