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Leadership, national culture and performance management in the Chinese software industry

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  • Denise Tsang

Abstract

Purpose - The purpose of this paper is to adopt a national cultural perspective to explore the issue of performance management in human resources among successful Chinese software firms which are owned and led by their founders. The paper aims to highlight the unique characteristics of performance management that has emerged from a Confucian culture shaped by the socio‐economic model in post‐Second World War China. Design/methodology/approach - Multiple case study of large‐medium‐small software firms using data collected from primary and secondary sources. Findings - The basic tenet is that despite prevailing international best practice of performance management in the Chinese software industry, the success of indigenous firms is associated with entrepreneurial leaders who align their firms' performance management with the core cultural value of collectivism. Research limitations/implications - The paper provides a unique insight into the influence of collectivism on the process of performance management in the human resources function. Practical implications - There might be a fine balance between implanting global performance management practices and accentuating the strengths and capabilities of the local employees within the confines of China's long history and distinctive culture. Originality/value - Since competitor and customer variables share similar characteristics across segments of the global software industry, the human resources that enable firms to generate competitive advantages in marketing and technology will be critical for success. This paper provides an important test of the relationship between core cultural value and performance management of a knowledge‐intensive sector.

Suggested Citation

  • Denise Tsang, 2007. "Leadership, national culture and performance management in the Chinese software industry," International Journal of Productivity and Performance Management, Emerald Group Publishing Limited, vol. 56(4), pages 270-284, May.
    • Handle: RePEc:eme:ijppmp:v:56:y:2007:i:4:p:270-284
    DOI: 10.1108/17410400710745306
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    Citations

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    Cited by:

    1. Gregory Wegmann & Ivan Ruviditch, 2015. "Management in China: Cultural, institutional roots and pragmatism. An inquiry in Shanghai," Working Papers hal-01104551, HAL.
    2. Ting, Su-Hie, 2020. "Modes of Value Transfer in Chinese Family Business in Malaysia," Asian Business Review, Asian Business Consortium, vol. 10(1), pages 29-36.
    3. Saeki, Yasuo & Horak, Sven, 2013. "The role of trust in cultivating relation-specific skills: The case of a multinational automotive supplier in Japan and Germany," Working Papers on East Asian Studies 95/2013, University of Duisburg-Essen, Institute of East Asian Studies IN-EAST.
    4. Syahruddin Sappe & Yohanis Rante & Ruben Tuhumena & Bonifasia Elita Bharanti, 2016. "Effect of Leadership on Employee's Performance Mediated by Cultural Organization, Work Commitment and Motivation," Journal of Economics and Behavioral Studies, AMH International, vol. 8(2), pages 101-107.

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