MANAGEMENT TRANSITION IN SOUTH KOREA: A CASE STUDY

Abstract

SOUTH KOREA MANAGEMENT SYSTEM HAS BEEN INFLUENCED SIGNIFICANTLY BY THEIR TRADITIONAL SOCIAL AND RELIGIOUS BELIEFS FOR HUNDREDS OF YEARS. YET, THE 1997 ASIAN FINANCIAL CRISIS HAS GRADUALLY CONFIRMED THIS SHIFTED, FROM THE CONFUCIUS MENTALITY TO A CLOSE WESTERNIZED SYSTEM. THIS PAPER AIMS TO EVALUATE THIS MANAGEMENT TRANSITION IN SOUTH KOREA. THE THEORETICAL MODEL OF THE CONVERGENT-DIVERGENT, AS PROPOSED BY CHATTERJEE AND NANKERVIS [2006], IS APPLIED TO IDENTIFY A NUMBER OF CRITICAL FACTORS. THE AFOREMENTIONED FACTORS ALTOGETHER HAVE INFLUENCED THE MANAGEMENT SYSTEM IN FOUR MAIN VECTORS: (A) FROM SENIORITY TO MERITOCRACY PERFORMANCE MANAGEMENT||(B) FROM CONSULTATIVE TO INDIVIDUALISTIC DECISION-MAKING STYLE||(C) FROM IGNORING TO EMBRACING CORPORATE GOVERNANCE||(D) FROM AVOIDING TO IMPROVING ENVIRONMENTAL SUSTAINABILITY.