Japanese Professional Business Services: A Proposed Analytical Typology

This paper explores certain characteristics of Japanese professional business services (PBS). The aim is to develop an analytical typology consisting of the three dimensions – organizational linkage, service market, and competitive situation – for analysing the obtained empirical data. This typology has been developed in order to increase the understanding of how Japanese companies operate within this sector and also to examine the reasons behind the fact that Japanese business services seem to be marginalized in an international context. This typology could serve as a theoretical frame for comparing Japanese companies with western companies in future research. This research is based on empirical material collected in Japan in the spring of 2001, covering research institutes, general trading houses and insurance companies. Using the constructed analytical typology, the findings reveal that strong organizational linkages have generated a business service market where diversification of service supply within companies is common. However, there are strong indications of a changing business environment with increased competition and further specialization among business service firms. Furthermore, the findings indicate that Japanese companies have difficulties competing with highly-specialized and reputable western business service firms.     

What makes transplants thrive: managing the transfer of “best practice” at Japanese auto plants in North America

Multinational companies are a conduit by which superior organizing principles can be transferred across national, institutional, and cultural environments. However, for such transplantation efforts to be successful, the companies face the challenge of adapting their practices and principles to the requirements of local environments. In the process they risk losing the performance benefits from those practices. In this paper we study the North American transplant production facilities of Japanese automobile producers—companies known for their ability to achieve superior labor productivity and quality in their manufacturing plants, along with high levels of product variety—for insight into how the practices associated with superior performance (including work systems, technology choices, and supplier relations) can be implemented outside of Japan. By comparing the Japanese transplants with automobile plants in Japan, and Big 3 plants in North America, we show that the extent of transfer varies by type of practice. Furthermore, we find that plants can shape and alter their external environment, and can also buffer themselves from it. Despite these modifications, we find that the transplants are able to achieve productivity and quality levels similar to plants in Japan.     

Japanese managerial and organizational learning

The article describes how the external forces of Japanese culture, industrial organization, and government intervention support managerial and organizational learning. It provides an overview of the culturally explicit philosophies that govern and stimulate learning in Japan, then explains how these philosophies are exhibited in Japanese management practice today. A model is presented which demonstrates the relationships among external forces, philosophical origins, management practice, and managerial and organizational learning. The conclusion is that managerial and organizational learning constitute one of Japan's most valuable competitive advantages. © 1998 John Wiley & Sons, Inc.     

Organizational Learning in China: The Role of Returners

ABSTRACT

The Chinese authorities have launched a range of policies and incentives at the national and regional level to attract citizens who have studied and worked abroad to return in order to contribute to upgrading the competitiveness of the Chinese economy, particularly in light of China's entrance to the World Trade Organization. In other words, the returners are expected to stimulate organizational learning in existing organizations and in new companies. This article provides an overview of what has been done to date and points out that simply increasing the number of returners is not enough to achieve organizational learning. Drawing on research findings about the barriers to organizational learning from returned expatriate managers in international companies, the article develops recommendations for government policies, corporate strategies, and Chinese returners.     

Triad lessons: Generalizing results on high performance firms in five business-to-business markets

Significant differences are known to exist among organizations operating in different countries due to different national and organizational cultures, strategic orientations, and management styles. Less clear, however, is whether there are significant patterns of differences in how marketing-related factors drive performance in the most successful firms regardless of country. Building on a previous study of major Japanese firms [Deshpandé et al., 1993. Journal of Marketing 57, 22–27], an exploratory study compared samples of business-to-business relationships of Japanese, English, French, German, and US companies. We found the expected significant differences in organizational cultures, but found no country-specific slopes or intercepts in regressions relating factors such as innovativeness, organizational climate and culture, and market orientation to business performance. Successful firms appear to transcend differences in national culture and develop a common pattern of drivers of success which include primary focus on organizational innovativeness, a participative work climate, and an externally oriented organizational culture.     

组织学习及其作用机制的实证研究

The organizational learning construct and its effective mechanism are two research issues. This study is based on a survey of 908 managers and employees from 43 companies in different regions of China. The results of exploratory factor analysis (EFA) and confirmatory factor analysis (CFA) show that organizational learning in Chinese enterprises is a multi-dimensional construct comprising of inter-organizational learning, organization-level learning, collective learning, individual learning, exploitation learning and exploration learning. The results of hierarchical linear modeling (HLM) reveal that the unit-level dimensions of organizational learning affect employee’s satisfaction and emotional commitment through the mediation of individual learning. In organizations characterized by high level of organization-level learning and low level of exploitation learning, there is a strong correlation between employees’ satisfaction/emotional commitment and their turnover intention. Hierarchical regression analysis (HRA) also indicates that organizational learning affects perceived organizational financial performance through the full mediation of organizational innovation. Some implications are discussed for organizational learning research and practice. Translated and revised from Guanli Kexue Xuebao 管理科学学报 (Journal of Management Sciences in China), 2007, 10(5): 48–61     

市场导向、组织学习创新及组织绩效:基于珠江三角洲企业的实证研究

The purpose of this paper is to examine the relationships among market orientation, learning orientation, organizational innovation and organizational performance through a structural equation modeling approach. This study uses a sample of 143 companies in the Pearl River Delta region of China. Results show that (1) market orientation has no positive direct impact on organizational performance; (2) market orientation has a direct impact on learning orientation; (3) learning orientation has a direct impact on administrative and technical innovation; (4) market orientation has a direct impact on organizational innovation by learning orientation; (5) administrative innovation has a positive direct impact on organizational performance while technical innovation does not impact on organizational performance directly; (6) technical innovation has a positive impact on administrative innovation; (7) learning orientation has an indirect impact on organizational performance through influencing organizational innovation; (8) market orientation has impact on learning orientation, which has an impact on organizational innovation, which in turn has an impact on organizational performance. Managerial implications are discussed, along with suggestions for further research. Translated from Guanli Shijie 管理世界 (Management World), 2006, (2): 80–94, 143     

Does it transfer? The effects of pre-internationalization experience on post-entry organizational learning in entrepreneurial Chinese firms

Although organizational learning plays a critical role in the internationalization of firms, researchers have largely focused on learning that occurs after a firm’s international entry (“learning by doing”). Few studies have discussed how a firm’s experiences prior to international entry affect its organizational learning after entry. Using a sample of Chinese internationalizers, we argue that pre-entry characteristics will influence organizational learning after international entry. We argue and show that prior experience with international companies in the domestic market is transferable and does affect an organization’s post-entry learning through a mechanism called analogical reasoning or “learning by analogy.”     

Influence of demographic factors and ownership type upon organizational learning culture in Chinese enterprises

This empirical study, using Western concepts incorporated into the Dimension of Learning Organization Questionnaire (DLOQ) instrument and data collected from 919 employees in nine companies located in Guangdong Province, China, explored organizational learning culture in Chinese business settings. Findings suggest that the DLOQ is applicable to the Chinese context, and demographic variables, such as age and educational level, and the type of ownership of Chinese companies (state‐owned enterprises and privately owned enterprises), show differences in organizational learning culture. Discussions and implications are provided.     

Power Inequality in Cross-cultural Learning: The Case of Japanese Transplants in China

This article considers power inequality in the context of cross-cultural organizational learning. A qualitative study of five Japanese subsidiaries operating in the People's Republic of China revealed that the Japanese had invested considerable effort into replicating and reinforcing the corporate values, norms, policies and collective learning practices from their home country. Through control of organizational resources and through all-embracing culture transformation programmes, they had leveraged their dominant power to standardize the social construction of collective learning processes and impose these upon the local Chinese. It is noted that these programmes raise the spectre of de-culturalization, namely, removal of Chinese identity and cloning of Japanese identity, and pass opportunities to implement alternative programmes based on libertarian education philosophies that could drive a bilaterally negotiated approach to cross-cultural integration.     

The Development of Organizational Capabilities and Corporate Entrepreneurial Processes: The Case of Chinese Automobile Firms

Corporate entrepreneurship (CE) has contributed to the rapid growth of emerging‐market firms (EMFs), yet little is known about this phenomenon from a process perspective. This article examines how EMFs develop organizational capabilities in pursuit of CE as a strategy to catch up with their global competitors. By adopting a case study method, our in‐depth analysis of two leading Chinese automobile companies identifies specific organizational capabilities that enable firms’ CE activities at different stages—initiation, development, and implementation. Our findings also reveal how different means of developing organizational capabilities lead to different catch‐up strategies, which subsequently influence firms’ entrepreneurial transformation and value creation. © 2014 Wiley Periodicals, Inc.     

Entrepreneurial Orientation and Performance of Chinese High-Tech Firms： The Mediating Role of Organizational Learning and Moderating Role of Firm Life Cycle

The evidence about how entrepreneurial orientation （EO） affects firms＇ performance remains inconclusive. This study joins the research by incorporating organizational learning （OL） as a micro-macro link and by extending empirical work to the largely underexplored context of Chinese high-tech industries. Results from a survey of 252 Chinese high-tech firms demonstrate： （1） entrepreneurial orientation is positively related to firm performance; （2） organizational learning is also positively related to firm performance; （3） organizational learning partly mediates the positive impact of entrepreneurial orientation on firm performance; and （4） high-tech companies in the start-up and growth stage are likely to demonstrate stronger linkages in the EO-OL-performance relationship than in mature stage, which shows that the EO-OL-performance relationship is moderated by firms＇ life cycle.     

Unbundling European operations: regional management and corporate flexibility in American and Japanese MNCS

Empirical research on the European operations of 19 American and Japanese multinational companies (MNCs) suggested, first, that the strategic importance of the region did not translate into an enhanced role for regional headquarters, and second, that American and Japanese MNCs are “unbundling” their European operations as a means of enhancing their flexibility. American MNCs preferred to carve up regional tasks for delegation to local subsidiaries, with coordination assured increasingly by “councils” bringing top European managers together. Japanese MNCs have not altered the formal organizational structure; but the recent internationalization of basic research labs in Europe has forced them to modify their previously monolithic approach to European subsidiaries.     

Organizational learning: Proposal of an integrative scale and research instrument

This study describes the development and validation of an instrument to measure organizational learning. Starting out from a comprehensive analysis of the main organizational learning models in the specialized literature, the organizational learning scale in this study consists of 18 items forming five dimensions: the ontological levels of learning, modes of knowledge conversion, learning sub-processes, types of learning, and feedback and feed-forward flows of learning. A survey to large Spanish companies provides data from 167 companies. Confirmatory factor analysis tests the construct measurement model and validates the scale. The results of the study indicate that the scale satisfies the criteria for reliability, and validity. The exploratory factor analysis permits the identification of four factors which make theoretical sense: information systems, the existence of a framework for consensus, procedures for the institutionalization and broadening of knowledge, and forms of management and the genesis of knowledge. The new construct promises to be more comprehensive, integrative and eclectic than previous constructs, achieving its broad scope by incorporating a number of the main theoretical perspectives on the matter. For practitioners, the scale could form the basis of an auditing tool, as well as being a useful target for organizational change initiatives.     

The Impact of Work-Related Values on the Readiness to Change in Estonian Organizations

This study contributes to our understanding of how work-related values, including ethics, are connected with the readiness to change in Estonian organizations. Research in Estonian companies involved 747 respondents. The author examined the influence of work-related values on attitude towards change and organizational learning. Empirical research in Estonian organizations indicates that work-related values predict attitude towards change and organizational learning. This study indicates the need for ethical conduct to achieve a competitive advantage in Estonia. Guidelines for managers and a model of value-based change management are subsequently developed.     

Social Capital and the Linkages of High-Tech Companies to the Military Defense System: Is there a Signaling Mechanism?

This study investigates linkages of new Israeli high-tech companies to the military and defense system. We examine the impact of social capital, signaling, and learning spillovers on resource acquisition in terms of investments and the financial performance of companies with and without linkages. Social capital, signaling, and learning spillovers are examined as they impact individual and organizational resource acquisition and performance of 200 new Israeli high-tech companies. The study contributes to the existing literature of entrepreneurship by suggesting the relevance of knowledge spillovers, signaling theory and social capital to the context of the interface between defense and civilian spheres.     

Disillusionment from Failure as a Source of Successful Learning

In this article I review the literature on organizational learning from failed product launches. I challenge the view that failure is an inevitable part of the “probe and learn” process as well as the view that companies do not learn anything from such failures. I conclude there is no direct link between learning and commercial failures, and highlight many obstacles that hamper the learning process. Finally, even when learning does occur, it will not always result in improved organizational performance. Copyright © 2011 ASAC. Published by John Wiley & Sons, Ltd.     

The Changing Nature of Japanese Production Systems in the 1990s and Issues for Labour Studies

The authors discuss the changing character of production strategies and organizational arrangements at three leading Japanese automotive assemblers against a background of concern with the impact of work regimes upon employees. Innovations in production line organization are compared within and between the companies, and the argument advanced suggests that the attempt to ‘humanize’ work routines and procedures, by the leading company especially, has met with mixed results. Sornetimcs more ‘efficient’ technologies and forms of organization have been inhibited in the pursuit of ‘human-centred’ forms of work organization. Nevertheless, the article points up the considerable variations which exist both between and within Japanese companies and trade unions with respect to the understanding of the role played by labour.     

An empirical study on paths to develop dynamic capabilities: From the perspectives of entrepreneurial orientation and organizational learning

Dynamic capabilities are regarded as a strategic premise to creating, maintaining and upgrading sustainable competitiveness. Considering organizational learning as a mediator variable, this study tests the relationship between entrepreneurial orientation and dynamic capabilities, and identifies paths to develop dynamic capabilities and the components of these capabilities. More specifically, the factor analysis method was employed to verify that dynamic capabilities are comprised of four dimensions, i.e. environmental sensing capabilities, change and renewal capabilities, technological and organizational flexibility capabilities. It was found that dimensions of entrepreneurial orientation have a significantly positive effect on dynamic capabilities to different extents, while organizational learning, which has significantly positive effect on dynamic capabilities, plays a partial mediating role between the two. These findings indicate that companies can build dynamic capabilities through different levels of organizational learning in the context of innovative and proactive atmosphere.     

Organizational learning as a situated routine-based activity in international settings

A large body of research has extensively studied the mechanisms behind organizational learning processes. However, there have been few studies of the learning process that explore the influences of history, context, and social meaning in international settings. Rather, the focus within the international management field has been on knowledge transfer. This study adopts a situated routine-based view of organizational learning to highlight the influence of national institutional characteristics on the acquisition and enactment of new knowledge. It is based on in-depth case studies that systematically compare the ways in which Japanese parent company knowledge diffuses to subsidiaries in the UK automotive industry. It concludes that organizational learning within the context of multinational corporations is shaped by actors’ enactment of new practices that are embedded in broader institutional contexts, where the links between knowledge transfer and the reinforcement of or change in routines are important in determining the level at which a subsidiary learns.