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Introduction : Why Decision Making in Organizations Matters 1 The Strategic Challenge of Chinese Organizations 2 Decision Making in Chinese Business Organizations 5 Institutional Influences on Chinese
| Content Provider | Semantic Scholar |
|---|---|
| Author | Augier, Mie Becker, Markus Knudsen, Thorbjørn |
| Copyright Year | 2010 |
| Abstract | • The institutional context of Chinese industry creates complicated and long decision processes. This has powerful consequences for the ability of Chinese business organisations to coordinate, motivate, and adapt. • Complex institutional influences in complex supervisory structures increase the coordination challenges, often compounded by lack of transparency. Chinese business organisations therefore are shot through with coordination failure, and there is reason to believe that where coordination does not fail, coordination costs are high. • Chinese business organisations also appear hampered in their ability to motivate actors, align their incentives and thereby solve the problem of assuring cooperation between actors. The attention to the motivations of a large number of external actors appears to make aligning incentives difficult, and the shift from political to economic and firm-level rewards supposedly makes the task of assuring incentive alignment more challenging. • Finally, Chinese business organisations tend to promote stability and refinement over adaptation and innovation. The design of Chinese decision making structures in and of itself suffices to explain some notable weaknesses, e.g. in innovative activities. 1 We are grateful to Dr. Jamie MacIntosh for comments on an earlier draft as well as Professor Jim March for comments on some of the major issues. A conversation with a former PLA General helped illuminate some of the concerns about transparency in organizations. Of course, none are responsible for any remaining errors. In writing this paper, we draw on the academic literature on business organizations and business strategy in order to try and develop an understanding of decision making in Chinese organizations, as well as articles in the security and foreign policy area and government documents on China. Where possible, we have included links to the electronic versions of the publicly available government research. |
| File Format | PDF HTM / HTML |
| Alternate Webpage(s) | http://da.mod.uk/defac/colleges/arag/document-listings/special/MA%20%20MB%20Chinese%20Org%2010_06_Web.pdf |
| Language | English |
| Access Restriction | Open |
| Content Type | Text |
| Resource Type | Article |
