THE RISE OF JAPANESE-ORIENTED MANAGEMENT STYLE

PRACTICES OF JAPANESE:
1.

2.
3. 4.

5. 6.

High employee morale, dedication and loyalty. Costs were lower including labor costs. Government policies favor businesses. After World War II, Japan became a highly productive and capital intensive organization. Exports prevailed. Superior quality control such as Total Quality Management.

W. Edwards Deming

Richard Pascale and Anthony Athos

The Art of Management

7s
Strategy Structure Systems Skills Staff Style Subordinate goals or Shared Values

Kenichi Ohmae
Head

of McKinsey and Co. Mind of the Strategist (1975 ) Not analytical but more of a creative art. Combination of intuition and flexibility 1982 Tom Peters and Robert Waterman In Search of Excellence response to Ohmaes book.

In Search for Excellence

62 companies and 6 performance criteria Must be above 50% in 4 out of 6 criteria 43 companies passed

Eight keys to succeed:

1. 2. 3.

4.
5.

6.
7. 8.

Customer focus Action-oriented Entrepreneurship Simplicity Stick to what the company knows best Value-oriented management People-oriented Centralize and decentralize

1994 J. Rehfeld
Importance

of transformation of knowledge from various cultures to a management style to compete globally

THE COMPETITIVE EDGE

Gary Hamel and C.K. Prahald

Strategic Architecture Concept Core Competency What the company has or can do better than its competitor

Dave Packard and Bill Hewlett

Management by Walking Around (MBWA) Strategic Relationship base with key people Popularized in 1985 by the book of Tom Peters and Nancy Austin

3Gs originated from Honda

Genba

(Actual Place) Genbutsu (Actual Thing) Genjitsu (Actual Situation)

Michael Porter
Five Forces Analysis (to gain sustainable competitive advantage) Generic Strategies Value Chain

John Kay (1993)

Improved

value chain Adding value Companies should have three capabilities

Innovation

Reputation
Organizational

Structure

Al Ries and Jack Trout (1979)

Positioning

Theory Positioning: The Battle for Your Mind

Jay Barney (1992)

Strategy

is a product of resources

Michael Hammer and James Champy

Reengineering

Richard Lester (1989)

Simultaneous

continuous improvements in cost, quality, service and product innovation Breaking down organizational barriers between departments Eliminating layers of management to make it learner and simpler

Richard Lester (1989)

Closer

relationship with customers and suppliers Intelligent use of new technology Global focus Improving human resource skill

Quality Improvement Techniques

W. Edwards Deming, Joseph Juran, A. Kearney, Phillip Crosby, Armand Feignbaum
TQM Continuous

Improvement Lean Manufacturing Six Sigma Return on Quality

Customer Service

James Heskett (1988), Earl Sasser (1995), William Davidow, Len Schlesinger, A. Paraugman (1988), Len Berry, Jane Kingman-Brundage, Christopher Hart and Christopher Lovelock

Fishbone Diagramming Service Charting Total Customer Service (TCS) Service Profit Chain Service Gap Analysis Service Encounter Strategic Service Vision Service Mapping Service Teams

Process Management
Product

Quality Management

Carl Sewell, Frederick Reicheld, C. Gronros and Earl Sasser

Loyalty

effect customer, employee, supplier, distributor, shareholder

James Gilmore and Joseph Pine

Mass

customization concept The Experience Economy

Bernd Schmitt
Customer

experience management

James Collin and Jerry Poras

core values

Arie De Geus
4

company traits

Sensitivity

to the business environment Cohesion and Identity Tolerance and Decentralization Conservative Financing

Jordan Lewis

Alliance strategies

MILITARY THEORIES
The Art of War by Sun Tzu On War by Von Clausewitz The Little Red Book by Mao Tse Tung Business War Games by Barrie James (1984) Marketing Welfare by Al Ries and Jack Trout (1986)

MILITARY THEORIES
Leadership Secrets of Attila the Hun by Wess Roberts (1987) Philip Kotler marketing warfare strategy Moore ecological model of competition (1993)