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Different Human Resource Management Approaches of American and Japanese Firms.doc
Different Human Resource Management Approaches of American and Japanese Firms
Introduction
The different approaches of Japanese and American human resource management typically represent different stages in socialized production development of capitalism. The successes of numerous firms in the two countries have promoted substantial discussion. In terms of Japanese firms? recovery after bubble clasped and the recent recession in America, the different approaches under internationalization circumstances worth updated evaluation. This paper will evaluate their main differences in a frame of human resource allocation, institutional arrangement, incentive system and international relationship, which followed by discussion of cultural factors of influence.
Differences of human resource management between American and Japanese firms
America was the forerunner during the early stage of capitalism development. Various worldwide standards have been established along with the expansion of big American firms. Japan has been good at absorbing western advantages, and more flexible applications were generated in competition. Jacoby theorized that American firms are market-oriented while Japanese firms are organization-oriented in human resource management. According to Theory Z (Ouchi, 1981), the two kinds of firms differ in these aspects: recruitment system, decision process, responsibility, control system, job training and welfare. Relating to these sectors, analysis of human resource management could be measured in allocation, institutional arrangement, incentive system and international management these four aspects.
American Firms
The basis of American model is contract and sense, and market mechanism plays a dominant role in allocating labor force entering or exiting American firms. The relationship between firms and employees are short-term fulfillment of demand and supply, which requires little responsibility or loyalty. This kind of relationship may
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