American and Chinese Management Culture - Research Paper Example

According to Chinese management culture, business success is attributed to luck while business failure is attributed to personal failures in life. In contrast, American management culture attribute organizational success to high performance of employees, creativity of managers and good management practices. American culture attributes business failure to poor leadership and management practices or high competition in the market (Wenzhong 37). Another difference in the management cultures is on delegating responsibilities and accountability.

Responsibility delegation will influence employee accountability and performance in his job. In America, management embraces proper delegation of authority and responsibility to the subordinates. Employees are accountable for the tasks delegated to them. In China, there is less delegation of authority and responsibility to employees thus employees are not personally accountable for the tasks but are considered to be part of a group work or team (Lynch 42). Chinese management philosophy values collectivism while American management cultures are individualism.

In China, the management emphasizes on group cooperation. Chinese managers expect every employee to actively participate in accomplishing the goals of the organization. Individual employees are expected to show loyalty to organizational goals. Chinese collectivism management culture utilizes strict rules and disciplinary measures in order to ensure group stability. On the other side, American management culture is individualism. In America, employees exercise more freedom by exhibiting creativity and innovation in their jobs.

American management culture values individual rights and goals and tries to align the employee goals with organizational goals in order to maximize employee productivity. In America, employees value personal achievement and success in their individual tasks, they work hard for promotions and better compensation (Lynch 66). Another difference in American and Chinese management cultures is the perceptions on time. Chinese managers pay more attention to past and long-term relationships with business partners and suppliers.

In China, the management builds working relations with customers before starting transactions thus resulting in time wastage on discussing business decisions. Other the other hand, American management culture is less in the past relationships with business partners. American managers expect short term rewards from their business decisions. American management culture entails fast decision making and less established working relationships with business partners (Wenzhong 39). Chinese economy experiences some high government control while American economy is purely capitalist and free market economy.

Chinese managers must establish cordial relationships with government officials in order to succeed unlike American management thus only need to work within the established business regulations and business legal environment. Chinese management culture values working personal relationships than established rules and procedures. American management culture follows well documented processes and rules that are fair to all the stakeholders in the organization. For instance, most companies in China may lack grievances handling procedures or a ethics code.

American management culture has written human resource policies and ethical code of conduct that all employees must follow (Nocera 5). Chinese