Cultural determinants of alliance management capability – an analysis of Japanese MNCs in India

Varma, Sumati; Awasthy, Richa; Narain, Kalpana; Nayyar, Rishika

doi:10.1080/13602381.2015.1022332

Cited by 10 publications

(10 citation statements)

References 113 publications

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“…Coordination is an essential factor in alliance relationship development for managing the interdependence (Varma et al, 2015). Mohr & Spekman (1994) defines coordination as a set of tasks that each partner expects the other to perform in order to reach the common objectives.…”

Section: Alliance Operational Phasementioning

confidence: 99%

“…High level of coordination allows companies to achieve stability in alliance relationships. Coordination lapses such as unclear roles, procedures and responsibilities lead to alliance failure; in fact, firms have to developed and appropriate framework for their ongoing interactions, composed by rules, policies and procedures that guide cooperation (Varma et al, 2015).…”

Section: Alliance Operational Phasementioning

confidence: 99%

“…On such assumptions, inter-firm competition and managerial complexity have been identified as the main reasons of alliance failure (Park & Ungson, 2001). The first one refers to the risk of partner"s opportunistic behavior that can undermine the spirit of collaboration (Varma et al, 2015); instead, the second one refers to potential conflicts due to lack of cultural, strategic and structural fit among partners. In today global markets on one hand, the number of alliances continue to grow and on the other hand, their success rate is still very low.…”

Section: Introductionmentioning

confidence: 99%

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Strategic Alliance Success Factors: A Literature Review on Alliance Lifecycle

Russo¹,

Cesarani²

2017

IJBA

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Objectives. The research aims to investigate how firms can achieve alliance success. In global markets, the alliance failure rate is very high. This study will try to understand why, facing with such a high failure rate, more and more firms decide to enter or form strategic alliances. It appears necessary to identify key factors and show how firms can successfully manage them in each phase of alliance lifecycle.Methodology. For this study, a qualitative approach was adopted, in order to explore and understand the research problem. The issues of alliance success factors is investigated through the analysis of the existing literature, focusing in particular on the last two decades.Findings. By reviewing several theoretical perspectives, we identified alliance success factors and showed what kind of relevance they have in each phase of alliance lifecycle. It was found that strategic alliances develop through three phases. Alliance success lies on successful management of key factors, involved in each phase.Research Limits. Research deals with the issues of alliance success factors at the level of a single alliance and not at the level of an alliance portfolio. Further research should extend the analysis perspective.Managerial Implications. Firms involved in a strategic alliance should consider several critical aspects. For the entire alliance lifecycle, they have to look for a high degree of fit with their own partners. Another important aspect is related to the risk of opportunistic behavior, which could be reduced through the choice of an appropriate governance form and the development of social capital.

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Section: Alliance Operational Phasementioning

confidence: 99%

Section: Alliance Operational Phasementioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

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Strategic Alliance Success Factors: A Literature Review on Alliance Lifecycle

Russo¹,

Cesarani²

2017

IJBA

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“…Therefore, for Japanese companies, their success in India would depend, among other factors, on managing change in relation to the ability of local Indian staff to accept and adapt to Japanese management approaches and methods linked to engendering organizational culture. This is an important determinant in staff retention (Sheridan, 1992; Varma et al , 2015). It is a popular cultural assumption in the Indian society that Indians retain a traditional spirituality that is allayed when they enter the workplace at the start of the business day, replacing it instead by western influenced thought (Gupta et al , 2014).…”

Section: Problem Perception In the Indo-japanese Contextmentioning

confidence: 99%

Change management in Indo-Japanese cross-cultural collaborative contexts

Ashta

Stokes

Hughes

2018

JOCM

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Purpose Within the globalized commercial context, Japanese business activity in India has increased significantly. The purpose of this paper is to highlight common attitudinal traits that would facilitate orientation of Indian executives towards Japanese management methods through, for instance “reverse adaptation”, using an approach other than cultural dimensions that have emerged in recent decades and consider how these play out in change management contexts. Design/methodology/approach A literature review was undertaken which found significant parallels between traditional Indian philosophy and modern Japanese management methods, inter alia long-term orientation, equanimity and Nemawashi (pre-arranged participative decision making) and shared spiritual dimensions. The paper employed a methodology of participant observation and semi-structured interview approaches contextualized through lived experience methodology (Van Manen, 2015). These events are described and analysed narratively using a blend of qualitative participant observation and reflexive critical incident review. Findings The findings, by examining the confluence of Indian and Japanese management, provide an innovative avenue of research and theory for change management. Research limitations/implications The research employs an inductive methodology which employs vignettes to examine Indo-Japanese contexts. The limits to generalization are recognized within the study. The paper offers important implications on Indo-Japanese collaboration and change management. Practical implications These findings have important practical implications for Indian and Japanese managers who will be able to engage better within the dynamics of the Japanese work environment in Japanese subsidiaries in India. These same insights could also potentially facilitate wider examples of working in Japanese environments, either in Japan or outside Japan. At a more general level, the findings are relevant to all foreign investors in India for enhanced employee engagement by providing insights into spiritual values of Indian managers and their impact on change management situations. Social implications There is emerging research on how traditional Indian philosophy tenets can be found in modern (western) management. This paper provides reasons, based in the extant literature, to believe that modern Japanese methods can trace their origin in Buddhist Indian philosophical thought and offer important implications for managing change. Originality/value The paper offers in-depth original insights into Indo-Japanese collaborative contexts.

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“…Strategic alliances are forms of collaboration, which enable market entry, increase the resource base of the partners through sharing of core competencies (Varma et al, 2015) and allow firms to gain and maintain competitive advantage (Cobeña et al, 2017). Although they become very popular as cornerstones for competitive strategies of many firms (Ziggers & Tjemkes, 2010), their success rate remains rather low.…”

Section: Introductionmentioning

confidence: 99%

Alliance Management as Source of a Successful Strategy

Russo

2017

ESJ

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In todays global environment, strategic alliances represent an important source of growth and competitive advantage; they allow firms to access new and critical resources and capabilities, to improve competitive position and rapidly to enter a new market In spite of the strategic importance of the alliances, they still exhibit a high failure rate; previous researches show that the half of the alliance formed end up as failure. The low success rate testifies firms difficulties in managing their alliance relationships and in ensuring enough success from them. In global markets, firms exhibit heterogeneity in terms of the overall alliance success; some firms achieve success from their alliance and others fail. Although most companies have realized the importance of strategic alliances, only few of them have developed the needed capabilities to manage them with success. In recent years, empirical studies found that firms with greater alliance success are those ones with superior management capabilities, termed in literature as alliance capabilities. This study is based on the assumption that the heterogeneity in alliance success rate is due to heterogeneity in firms level of management capabilities. Eli Lilly & Companys success in strategic alliances represents a clear example of company that understood the importance of developing an institutionalized approach of alliance management that improves the likelihood of alliance success.

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Cultural determinants of alliance management capability – an analysis of Japanese MNCs in India

Cited by 10 publications

References 113 publications

Strategic Alliance Success Factors: A Literature Review on Alliance Lifecycle

Strategic Alliance Success Factors: A Literature Review on Alliance Lifecycle

Change management in Indo-Japanese cross-cultural collaborative contexts

Alliance Management as Source of a Successful Strategy

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