American Versus Japanese Human Resource Management Practices
Scenario: Mazda and Chrysler faced similar threat of bankruptcy in early 1980s. Mazda’s managers agreed to a 25% salary cut and a loss of bonuses for four years. Chrysler, in contrast, cut its blue-collar workforce by 28%, its white-collar staff by 7% and its senior executives pay by 2%.
- Explain the starkly different approaches of Mazda and Chrysler in light of International HR strategies? [10 Marks]
- Compare the cultural differences prevalent in America and Japan that may have influenced the decisions taken at Mazda and Chrysler. [10 Marks]
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