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CHAPTER 19 THE REGIONAL CONTEXT

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Lecture outline
The regional context Focus on Singapore Focus on New Zealand Focus on Indonesia Focus on Malaysia Focus on Thailand Japans impact on region Australias position in SE Asia
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The regional context


Over the past 10 years many multinational companies invested heavily in Asian countries and transferred technologies there only to discover it is harder to transfer management techniques. Major religions are represented
East-Asian Pacific Region
Politically known as democratic Half of the worlds population Strong cultural roots Cultural ties influence management
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Focus on Singapore
Economic Economic Restructuring Restructuring Productivity and Productivity and quality of work life quality of work life

Tight Tight labour market labour market

Human resource Human resource development development & management & management

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Focus on Singapore
Singapores Vision: to be the intelligent island Develop a global hub Boost economic engine Enhance individual potential

Four Strategic thrusts (Birch 1993)

Improve quality of life


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Focus on New Zealand


Economic reforms Customers & clients Competitors Suppliers Labour supply

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Focus on New Zealand


ISSUES ISSUES CONFRONTING CONFRONTING NZ NZ MANAGERS MANAGERS
Skill Levels Labour Relations Workplace reform Social Problems Supported by Government

RELATIONSHIP RELATIONSHIP WITH WITH ASIA ASIA

Top 10 Export customers Significant imports Significant investment

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Focus on Indonesia
The following 5 principles are built into every organisation and reflected in the principles and practices of management in every aspect of Indonesian society.

Belief in God Humanism Nationalism Sovereignty


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Focus on Indonesia
Diverse range of cultural settings Culture: modern v traditional Improve infrastructure Improve technology Improve training

ISSUES Society -hierarchical FUTURE FOR & honor oriented. DIRECTIONS MANAGERS
People avoid conflict Harmony is important

Improve industrial relations

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Focus on Malaysia
Multiculturalism Maintaining face Industrialise

Management issues

Future directions

IndirectProgram transfer approach Upgrade Conserve technology natural resources


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Focus on Thailand
CHARACTERISTICS CHARACTERISTICS 14% Chinese 14% Chinese 95% Buddhist 95% Buddhist Richly endowed with Richly endowed with natural resource natural resource Central point in Asia Central point in Asia SOCIAL TENDENCIES SOCIAL TENDENCIES Love freedom Love freedom Avoid conflict Avoid conflict Keep relationships Keep relationships peaceful peaceful
Incompatible business law

ISSUES ISSUES CONFRONTING CONFRONTING THAI THAI MANAGERS MANAGERS

Demand for infrastructure Under-educated workforce Cheap labour base

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Japans impact on region


Export oriented Export oriented country country Source of new Source of new management management practices practices Second largest Second largest economy economy in the world in the world Undergoing major Undergoing major economic economic restructure restructure
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Australias position in SE Asia


Country
Relationship with Australia
th Singapore 8 largest export market (ABS Catalogue

New Zealand

Indonesia

Invest heavily in Australian property Developing strategic alliance Becoming competitive with Australia NZs biggest export market and source of imports. Close cultural, sporting and economic ties. Reduced costs of manufacturing has seen a number of companies relocate from Australia to NZ Increased interest in Indonesia due to proximity and market potential. Due to Australias involvement in East Timor most business interactions have slowed or halted.

88. ) 8 88

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Australias position in SE Asia


Country Malaysia Thailand
Relationship with Australia Business relationship broadened recently Moderate trade, less that other Asian nation Increased demand for technology transfer 8th largest export market 8 Welcome Australian Investment Good potential business exchange in training and quality control. Energy and raw material trade between countries. Australias largest trading partner Important source of tourism revenue.

Japan

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Australias position in SE Asia


Economically Culturally

Australias position in South-East Asia

Politically

Geographically

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Lecture summary
The regional context
Religious diversity, 1/2 worlds population, strong cultures. Focus on Singapore Issues confronting Singaporean managers restructuring, QOL, HRD, labour market issues. Directions for the futureglobal hub, economic performance, QOL. Focus on New Zealand Economic reformsclients, competitors, labour supply. Issues confronting New Zealand managers skill levels, IR, social change. 2003 McGraw-Hill AustraliaAsiagovt. support, strong Relationship with Pty Ltd. PowerPoint Slides t/a 16 Management: A Pacific Rim Focus Enhanced Edition. Slides prepared by trade relationship.

Lecture summary
Focus on Indonesia Issues confronting Indonesian managerscultural diversity, conflict avoidance. Directions for the futureimprove infrastructure, technology, training, IR. Focus on Malaysia Issues confronting Malaysian managersmaintaining face, multiculturalism, program transfer, indirect approach. 2003 McGraw-Hill Australia the future t/a PowerPoint Slides 17 Directions for Pty Ltd. Edition. Slides prepared by Management: A Pacific Rim Focus Enhanced

Lecture summary
Focus on Thailand Issues confronting Thai managers business law, infrastructure, work force skills, cheap labour base. Japans impact on the region Export orientation, 2nd largest economy, economic restructure, source management practices. Australia's relationship with Asian countries
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