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National vs. corporate culture: implications for human resource management

Author: Schneider, Susan C. INSEAD Area: Organisational Behaviour In: Globalizing management: creating and leading the competitive organization - Pucik, Vladimir;Tichy, Noël M. - 1992 - Book Language: EnglishDescription: p. 159-173.Type of document: INSEAD ChapterNote: Please ask the Library for this chapter.Abstract: Corporate culture has been described as the glue that holds organizations together by providing cohesiveness and coherence among the parts. Multinational companies are increasingly interested in promoting corporate culture to improve control, coordination and integration of their subsidiaries. Yet these subsidiaries are embedded in local national cultures wherein the underlying assumptions about people and the world may differ from that of the national and corporate culture of the multinational. These differences may hinder the acceptance and implementation of human resource practices, such as planning, appraisal and compensation systems, and selection and socialization. This paper discusses the assumptions about people and about the world underlying these HRM practices as they may differ from those of the national culture of the subsidiary. Finally, some issues concerning the use of corporate culture as a mechanism for globalization will be raised
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Corporate culture has been described as the glue that holds organizations together by providing cohesiveness and coherence among the parts. Multinational companies are increasingly interested in promoting corporate culture to improve control, coordination and integration of their subsidiaries. Yet these subsidiaries are embedded in local national cultures wherein the underlying assumptions about people and the world may differ from that of the national and corporate culture of the multinational. These differences may hinder the acceptance and implementation of human resource practices, such as planning, appraisal and compensation systems, and selection and socialization. This paper discusses the assumptions about people and about the world underlying these HRM practices as they may differ from those of the national culture of the subsidiary. Finally, some issues concerning the use of corporate culture as a mechanism for globalization will be raised

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