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Copyright © Wondershare Software Management and the New Confucianism Presenters: Marko, Kasia, Rasa, Victor and DJ Park Understanding of Korean Workplace.

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Presentation on theme: "Copyright © Wondershare Software Management and the New Confucianism Presenters: Marko, Kasia, Rasa, Victor and DJ Park Understanding of Korean Workplace."— Presentation transcript:

1 Copyright © Wondershare Software Management and the New Confucianism Presenters: Marko, Kasia, Rasa, Victor and DJ Park Understanding of Korean Workplace Daegu, April 4 th 2011

2 Copyright © Wondershare Software New challenges for values Globalized economy + competition new challen ges One of the changes - organizational structure and the inherent set of moral values The value system has its roots in the teachings of C onfucianism The sense of entitlement and the feeling of deserv ing more are growing

3 Copyright © Wondershare Software Korean workers and firms The organizational structure of a Korean company is highly centralized and hierarchical Salarymen – Male workers – Female workers A typical example of a company structure in produ ction is as follows: – Kisa (technical superintendent) Banjang (supervisor) Chojang (foreman) Kongwon (worker)

4 Copyright © Wondershare Software Traditional Korean Corporate Culture Corporate culture Management structure Corporate culture: refers to an organization's values, beliefs, and behaviors, it is concerned with beliefs and values on the basis of which people interpret experiences and behave, individually and in groups, Firms with strong cultures achieve higher results because employees sustain focus both on what to do and how to do it.

5 Copyright © Wondershare Software 7 Essential Attitudinal and Behavioral Characteristics 1.The centrality of work, 2.Group harmony and the social contract, 3.Personal relationships, 4.Paternalism in superior-subordinate relationships, 5.General job descriptions, 6.Nonverbal cues, 7.The decision-making process and personal accountability.

6 Copyright © Wondershare Software The Centrality of Work Koreans spend more time on the job than their international counterparts, Korean tradition of working extremely hard, Described as: diligent, self-sacrificing, dedicated, dependable, Strong commitment to ones employer and a national value of work centrality,

7 Copyright © Wondershare Software The Centrality of Work The Korean term eui-yok = will, ambition Internal drive to succeed for the spiritual reward, The heart of the company, Determines the capacity of the company to compete and survive, KOREAN CONFUCIAN WORK ETHICWESTERN PROTESTANT WORK ETHIC an employees work effort is group oriented an employees work effort focused on individual advancement and achievements

8 Copyright © Wondershare Software Group harmony & the Social Contract The social contract predicated on a firm belief in preserving group harmony, Derives from Confucian thought: smooth, constructive and conflict-free interpersonal relations at almost any cost, Supersedes any conception of individual rights,

9 Copyright © Wondershare Software Group harmony & the Social Contract Ask not what your country can do for you; ask what you can do for your country. John F. Kennedy

10 Copyright © Wondershare Software Group harmony & the Social Contract SAHOON = a phrase or slogan that embodies the companys most important values, LG – harmony Daewoo – creativity, challenge and sacrifice Sahoon vs. Western mottos: personalized nature; derived from the family motto of the company founder.

11 Copyright © Wondershare Software Personal Relationships Developing and nurturing these relations is time- consuming, Agreements between two parties change as business conditions change, Enhancing mutual benefits of both parties is the goal; a signed contract is simply symbolic of this. The Korean companyThe Western company Relies on personal contacts and relationships Relies on written contracts

12 Copyright © Wondershare Software How to survive in Korean workplace Paternalism in Superior-Subordinate Relationship : Go to birthday party of Boss General Job Descriptions : Dont say Thats not my Job Nonverbal Cues nunchi : The ability to read ones mind or circumstances

13 Copyright © Wondershare Software

14 Decision making and labor management relationship Decision making Process and personal accountability : I made decision Kim Woo-Choong, president of Dawoo Complicated labor-management relationship ex) Hyundai

15 Copyright © Wondershare Software

16 Modernization of Labour Management Relations The 1970s and early 1980s Initial Reforms: Enterprise Unions and Works Councils The 1987 Reforms Declaration of Democratization. Strikes. Major pay increases. The 1990s and Beyond The New Industrial Relations. Limitation of wage increases.

17 Copyright © Wondershare Software The New Confucianism: From Traditional Values to Managerial Professionalism The Management Revolution Becoming world class players in the technology game Samsung: Change everything and become a first class company By emphasizing quality over quantity By reaching out to every corner of the globe By having good timing

18 Copyright © Wondershare Software LG: Vision for the Twenty-first Century Inegrating Strategy, Structure, and People in LGs Vision 2000 Enhacing customer satistaction Advancing into promising industries Becoming insider in world markets Fostering divisional autonomy.

19 Copyright © Wondershare Software Hanwha: PRO-2000 - 21 subsidiaries / close to $6 billion annual sales - New Challenges - Motto: « Thrustfulness, self-discretion and best effort » - Third reform: 1. Thinking and wiilingness have to change 2. Merit, great respect, value of the employee 3. Reorganization: 50% sales outside Korea for 2000 Sunkyong: Supex Pursuit - « Supex »: mix of Super and Excellence - Pursuit: relentless effort in the performance - Results: They get brain engagement from all the workers

20 Copyright © Wondershare Software Dongwon: Creating Valur for Customers - Diversifying its product line - Business plan: 1. To serve the customer 2. Respect people 3. Create value - Bottom-up approach to decision making - Keep a link with employees at an emotional level Haitai: Welcome the Future - To Diversify into value-added products - R&D goal: developing artificial flavors and substitute imports - Becoming a global competitor due to product quality, acce s to raw materials, a good brand image, … - Help of government: low-cost loans from banks - North Korea, country of opportunities ?

21 Copyright © Wondershare Software Thank You!

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