Challenges for the German model of employee relations in the era of globalization

Content Provider	Semantic Scholar
Author	Williams, Karen Geppert, Mike Matten, Dirk
Copyright Year	2003
Abstract	In this paper we investigate the challenges posed to the German model of employee relations by the different internationalizing strategies of multinational companies (MNCs) in the heavy engineering sector. We also highlight some of the disadvantages of the German model for specific MNC strategies, in particular those relating to global manufacturing strategies based on a standardized product. We contrast a negotiated approach to change management in our German MNC with a unilaterally imposed approach in the Finnish MNC and discuss some of the effects on the subsidiaries with particular reference to employee relations. We conclude that the subsidiaries are strongly influenced by the characteristics of the German national business system and that this presents both opportunities and obstacles to MNCs’ change management strategies in Germany. A major challenge for MNCs investing in Germany is how to capture the advantages of the German focus on diversified quality production based on local skills and process ownership, together with a tight integration of manufacturing, R & D and sales and service, whilst pursuing globalized strategies of production and service delivery.
File Format	PDF HTM / HTML
Alternate Webpage(s)	http://www.dirkmatten.com/Papers/C/Challenges%20for%20the%20German%20model%20of%20employee%20relations%20in%20the%20era%20of%20globalization.PDF
Language	English
Access Restriction	Open
Content Type	Text
Resource Type	Article