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comparative assessment of Performance Management in Japan &

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Lisa Hayes-Graham

on 18 October 2014

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Transcript of comparative assessment of Performance Management in Japan &

S2791023 - Lisa Hayes-Graham
S2924927 Michelle Claridad
S2768838 Yuanwei Sun


Comparative Assessment of Performance Management in Japan & USA
How does the Economy impact Performance Management Systems?

We argue that Economics and
Culture, amongst other factors
influence the success of the
Performance Management System

We argue
Economy & Culture
Economic development & Culture positively influence the HRM bundle as a whole including performance management systems.

HRM systems are even more specific to the country concerned and its historical and economic development

Pudelko (2004) (2006)

Several factors which contribute to HRM
system
Firkola (2006)
Hellqvist 2011
Benson and Debroux (1997)
Bosch (2011)





What is PM& why is important

Several factors have been identified, which contribute to HRM Function

Firkola (2006)
Hellqvist 2011
Benson and Debroux (1997)
Bosch (2011)





Pudelko (2004) (2006)

What is PM& why is important

Economic Differences

JAPAN
- Companies have a strong sense of responsibility for the overall society. Less developed sense of responsibility to their own performance

USA
- Since no assistance from government can be expected, companies have a strong sense of responsibility for their own performance, but also a less developed sense of responsibility for society.





Japan Economy
Government-induced market of East-Asia .

Extensive interference of government in the market- government supports the national economy.

Do not prioritised financial measure for strategic investments, put priority on return on capital

Cooperation between business and government

Society expects the solution to fundamental problems from large scale national institutions


USA Economy
Free Market Economy of Anglo-Saxon Country.

Low interference of government in the market. Only act as arbitrator, supervising in the adherence of the rules

Financial Strategy include prioritised discounted cash flow and pay back measures

Adversarial relations between government and business sector, employers and employees; owners and managers

Society is apprehensive of the abuse of power of institutions

Culture
Implications
Consideration of national context in identifying the best practices of HRM models.

Consideration of what Performance Management System (Japanese or Western) should be adopted.

The differences in approach of managing individual and organisational performance has an implication with the continuous diversity, convergence and divergence between firms from different institutional contexts.


Implications
National context creates both opportunities and constraints that impacts the management of HR. (e.g. performance, wages and rewards)

Critical role of HR in distinguishing the applicability of PMS in international contexts.

Overcoming contradictions of Japanese and Western methods and integrating them into a coherent new model appropriate to Multinational Corporations.

Management approach/styles of International managers in Japan and USA.

sourced from www.geerthofsted.com
Conclusion
How Does Culture Impact Performance Management ?


Historically Canon Japan operate using a seniority based system in USA performance oriented strategy (Ananthram & Chan, 2013)

Early 2000, Canon has a hybrid approach in PMS (Firkola, 2006)

Fair evaluation of individual performance. The company aims for lifetime employment but is based on impartial conditions for employees, not on seniority. Ono (2007)

Today Canon has introduced a position based pay system to evaluate & compensate individuals fairly impartially regardless of age & gender. This system is being developed across the entire group. Employee’s achievements as well as work related processes & performance during the year are evaluated to determine performance based systems. (sourced on 14/09, www.canon.com)

References

Ananthram, S., & Chan, C. (2013). Challenges and strategies for global human resource executives: perspectives from Canada and the United States. European management journal, 31(3), 223-233. doi: 10.1016/j.emj.2012.12.002
Benson, J., & Debroux, P. (1997). HRM in Japanese enterprises: trends and challenges. Asia Pacific business review, 3(4), 62-81.
Bosch, R., Matsuo, H., & Kanegae, H. (2011). Values in human resource management of japanese multinationals in the us: A country-of-origin effect or local responsiveness? International Journal of Business and Social Science, 2(23)
Carr, C., & Pudelko, M. (2006). Convergence of Management Practices in Strategy, Finance and HRM between the USA, Japan and Germany. International Journal of Cross Cultural Management, 6(1), 75-100. doi: 10.1177/1470595806062353
Carr, C., & Pudelko, M. (2006). Convergence of Management Practices in Strategy, Finance and HRM between the USA, Japan and Germany. International Journal of Cross Cultural Management, 6(1), 75-100. doi: 10.1177/1470595806062353
Delbridge, R., Hauptmeier, M., & Sengupta, S. (2011). Beyond the enterprise: broadening the horizons of International HRM. Human relations, 64(4), 483-505. doi: http://dx.doi.org/10.1177/0018726710396388
Dransfield, R. (2000). Human resource management. Halley, Jordan Hill, Oxford: Heinemann Educational Publishers.
Endo, K. (1998). 'Japanization' of a Performance Appraisal System: A Historical Comparison of the American and Japanese Systems. Social Science Japan Journal, 1(2), 247-262. doi: 10.1093/ssjj/1.2.247
Firkola, P. (2006). Japanese Management Practices Past and Present. Economic Journal of Hokkaido University, 35, 115-130.
Hellqvist, N. (2011). Global performance management: A research agenda. Management Research Review, 34(8), 927. doi:10.1108/01409171111152529. Retrieve from sourced from www.geerthofsted.com on 12/10/2014
Huprich, C. (2008). The Importance of performance management in business. Retrieve from http://ala-apa.org/newsletter/2008/06/15/a-brief-introduction-to-performance-management/
Kramer, R., & Maley, J. (2014). The influence of global uncertainty on the cross-border performance appraisal: A real options approach. Personnel Review, 43(1), 19-40. doi:10.1108/PR-10-2011-0160

References

Lakshman, C. (2014). Leveraging human capital through performance manangement process: the role of leadership in the USA, France and India. The international journal of human resource management, 25(10), 1351-1372.
Neary, I. (2004). Parliamentary Democracy in Japan. Parliamentary Affairs [H.W.Wilson - SSA], 57(3), 666.
Ono, K. (2007). What is human resources management based on the respect for human life and dignity? [Press release]. Retrieve from http://www.nivr.jeed.or.jp/english/reference/symposium.html)
Pudelko, M. (2004). HRM in Japan and the west: what are the lessons to be learnt from each other? Asian business and management, 3(3), 337-361. doi: 10.1057/palgrave.abm.9200098
Pudelko, M. (2006). A comparison of HR Systems in the USA, Japan, Germany in their socio-economic context. Human Resource Management Journal 16(2), 2006, 123-153.
Pudelko, M. (2009). The End of Japanese-Style Management? Long range planning, 42(4), 439-462. doi: http://dx.doi.org/10.1016/j.lrp.2009.04.001
Pudelko, M., & Harzing, A. W. (2007). Country‐of‐origin, localization, or dominance effect? An empirical investigation of HRM practices in foreign subsidiaries. Human resource management, 46(4), 535-559. doi: 10.1002/hrm.20181
Qamar, A., Muneer, S., Jusoh, A., & Idris, H. (2013). The Relationship between Organizational Conduct and National Culture. Journal of Economics and Behavioral Studies, 5(2), 82-88.
Rowley, C., Benson, J., & Warner, M. (2004). Towards an asian model of human resource management? A comparative analysis of china, japan and south korea. The International Journal of Human Resource Management, 15(4-5), 917-933. doi:10.1080/0958519042000192013
Seeleib-Kaiser, M. (2002). Globalisation, political discourse, and welfare systems in a comparative perspective: Germany, Japan, and the USA. Sociologicky casopis-czech sociological review, 38(6), 749-769.
Shibata, H. (2002). Wage and Performance Appraisal Systems in Flux: A Japan-United States Comparison. Industrial Relations, 41 (4), 629-652. doi: 10.1111/(ISSN)1468-232X
Warner, M. (2000) ‘Introduction: Asia-Pacific HRM Revisited’, International Journal of Human Resource Management, 11(2): 171–82.
Warner, M. (2002) ‘Globalization, Labour Markets and Human Resources in Asia-Pacific Economies: An Overview’, International Journal of Human Resource Management, 13(3): 384–98.


どう致しまして / どういたしまして

Huprich, 2008, Dransfield, 2000, Rowley Benson Warner 2007
Rowley Benson Warner (2007)
Carr &Pudelko, 2006; Benson & Debroux, 1997; Pudelko, 2004; Pudelko 2006; Seeleib-Kaiser, 2002 ; Neary, 2004

Carr &Pudelko, 2006; Benson & Debroux, 1997; Pudelko, 2004; Pudelko 2006; Seeleib-Kaiser, 2002 ; Neary, 2004

Carr &Pudelko, 2006; Benson & Debroux, 1997; Pudelko, 2004; Pudelko 2006; Seeleib-Kaiser, 2002 ; Neary, 2004

Carr &Pudelko, 2006; Benson & Debroux, 1997; Pudelko, 2004; Pudelko 2006; Seeleib-Kaiser, 2002 ; Neary, 2004
Endo, 1998; Shibata, 2002; Lakshman, 2014; Pudelko, 2004; Carr and Pudelko, 2006.
Pudelko, 2004; Pudelko & Harzing, 2007; Benson & Debroux, 1997; (Delbridge, Hauptmeier, & Sengupta, 2011; Lakshman, 2014; Pudelko, 2009; (Lakshman, 2014; Pudelko, 2006; Pudelko & Harzing, 2007
Pudelko, 2004; Pudelko & Harzing, 2007; Benson & Debroux, 1997; (Delbridge, Hauptmeier, & Sengupta, 2011; Lakshman, 2014; Pudelko, 2009; (Lakshman, 2014; Pudelko, 2006; Pudelko & Harzing, 2007
Endo, 1998; Shibata, 2002; Lakshman, 2014; Pudelko, 2004; Carr & Pudelko, 2006
In conclusion we summarise that Economy and Culture does have an impact on the way companies set up performance management systems.
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