From advantage to handicap Traditional Japanese HRM and the case for change / Lehmberg

By: Lehmberg, Derek
Material type: ArticleArticlePublisher: 2014Description: 146-153Subject(s): Japanese Hrm | Japanese Management | Hrm | Human Resource Management In: Organizational DynamicsSummary: The Japanese approach to human resource management (HRM), once a unique and powerful source of competitive advantage, has become an institutionalized and deeply entrenched disadvantage for Japanese fi rms. Despite significant downsides, including negative impacts on labor costs, employee motivation, corporate strategy, and internationalization efforts, the traditional system remains intact, largely because it is internally consistent and fits well with Japanese cultural values such as stability and harmony. The system has proven resistant to change throughout an extended period of low economic growth and in spite of sweeping changes from digitalization and globalization. Implementing new HRM systems that are in line with today's competitive realities calls for leadership from Japan's leaders, from business and government alike. In this paper, I propose that public debate can be moved forward first by acknowledging the full costs and downsides of the current system at the societal, company, and individual levels, and then by reframing HR related issues away from their overriding focus on the preservation of long term employment. At the company level, leaders can promote and...
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Item type Current location Call number Vol info Status Date due Barcode
Articles Articles Ahmedabad (HO)
(Browse shelf) Vol. 43, Issue. 2 Available 017989

The Japanese approach to human resource management (HRM), once a unique and powerful source of competitive advantage, has become an institutionalized and deeply entrenched disadvantage for Japanese fi rms. Despite significant downsides, including negative impacts on labor costs, employee motivation, corporate strategy, and internationalization efforts, the traditional system remains intact, largely because it is internally consistent and fits well with Japanese cultural values such as stability and harmony. The system has proven resistant to change throughout an extended period of low economic growth and in spite of sweeping changes from digitalization and globalization. Implementing new HRM systems that are in line with today's competitive realities calls for leadership from Japan's leaders, from business and government alike. In this paper, I propose that public debate can be moved forward first by acknowledging the full costs and downsides of the current system at the societal, company, and individual levels, and then by reframing HR related issues away from their overriding focus on the preservation of long term employment. At the company level, leaders can promote and...

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