Managing the Chinese workers (Part 2)

2. Nepotism

The next most common issue is the nepotism which the local managers are developing to strengthen their position and security in the company. This is least understood by expatriate managers as the scale of the nepotistic network is obscure and they do not bother to find out the relationship of the employees to the hiring managers.

It is very common to find kinship among the Chinese in every place. You have “Little China” dominating the Los Angeles Chinatown and “Little Taipei”, which used to control the Chinatown two decades ago, had been driven out to another district. In a same factory in Guangzhou, you will find the “Shandong Gang”, “Hunan Gang” and “Dongbei Gang” working in separate groups on the production floors. Because of clustering of gangs, you can easily incite brawls and fights among the gangs as each of them have their preferences, distastes of others, protective over their gang members and wanting to be “The Big Brother” in the factory.

Managing the Chinese workers (Part 1)

There are many articles written on China in various aspects; but few on how to manage the Chinese workers. Many foreign companies have implemented their home corporate human resource policies and guidelines in China but do not get the same results as in the home country.

Most foreign companies pay more on wages than most local private and state owned enterprises. As such they are able to attract better caliber and competent workers. The workers also enjoy better employee benefits, welfare and employee development program. Moreover the foreign companies also adhere fully to the provident fund policies and procedures. Thus they are most sought after companies to work for.

Managing the Chinese workers (Part 2)

2. Nepotism

Managing the Chinese workers (Part 1)

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