Convergence in human resource systems: A comparison of locally owned and MNC subsidiaries in Taiwan

Abstract

This article investigates issues of convergence in human resource systems in Taiwan, with reference to the similarities and differences between locally owned companies and subsidiaries of multinational corporations (MNCs). Traditionally, management in Taiwanese companies has been largely influenced by Confucian values and is quite distinct from approaches common to MNCs. However, globalization has engendered significant competitive pressures, coupled with cultural and institutional change within Taiwan. This article provides a theoretical framework for understanding such changes and provides empirical evidence indicating that Taiwanese companies are acting very much like MNCs with regard to the adoption of flexible, highperformance work systems. © 2005 Wiley Periodicals, Inc.