Monday, February 12, 2007

Ability tastes better than dumplings in the world of merit


  

By Uma Li*

One of the problems with
China’s guanxi or relationship culture is that its practice has been carried into the workplace.  But guanxi doesn’t work too well in a modern business or corporation.  And those working in foreign enterprises in particular soon find that they need to either get over this cultural complication or ship-out, back to a State-owned enterprise.  Those who want to work in an organization where ability and effort are recognized and rewarded read on.


The tyranny of guanxi
Guanxi got its start in the good old days of Imperial China.  Essentially how well one did depended on how well one sucked up to the right lord, warlord and ultimately the emperor himself.  While the Revolution did a good job of undoing much that was wrong with Imperial China, it unfortunately left the worse aspects of guanxi culture firmly in place.  The political situation aside, the problem became entrenched in many of the country’s State-owned enterprises or SOE’s, even contributing to the lackluster business performance we have seen from them as China has opened up to foreign competition.  Indeed, even many of China’s newly established private companies still suffer under the tyranny of guanxi.

 

And it is a tyranny because the practice of guanxi places relationships ahead of good business performance, and personal ability and effort.  Guanxi companies end up selecting their business partners and suppliers on poor criteria rather than for their ability to deliver goods and services either efficiently or cost effectively.  Choosing your cousin’s company as a key supplier might sit well at Auntie Ming’s tea ceremony soiree, but doesn’t necessarily do your employer any good in the cut throat world of business.

If you work in a foreign company you are likely to find yourself thrown out by the scruff of your neck when it’s discovered that your key supplier is Cousin Ming.  And it could be much worse if it is also discovered that your cousin was paying you a commission for the business you sent his way.

Guanxi can also be a bad thing to introduce to the internal workings of your company.  Promoting staff based on guanxi rather than merit can be very dumb.  While even foreigners play internal politics and try to curry favour with the boss, good foreign bosses do not join the game.  They keep themselves above it and can take drastic action against those who are playing it.

If you think you can butter up a foreign boss with sweet talk and dumplings, think again.  The good foreigners are hip to what’s going on and won’t fall for it – even if they listen to your flattery and eat your dumplings.

Merit means performance
At the end of the day a good boss, foreign or Chinese, is interested in one thing and one thing only – are you delivering against your performance measures?

So, when performance review time comes around, enter it with an open mind.  A bad review doesn’t mean your boss has been paying attention to your enemies in the company or that those enemies have developed better guanxi with your boss than you have.  It probably means you have been doing a bad job and you need to improve.  Pay attention to your boss’ feedback and make a plan to improve your performance.

You are the owner of your personal brand – it is up to you to take note and to manage your brand better.  The best way to do that in a foreign managed company is to do your job well.  Astonish your boss with your ability and your effort.  Actions speak louder than words.  And your boss probably prefers the dumplings s/he can get at the restaurant up the street to the ones you stayed up all night to make.  You can give your dumplings to Aunt Ming on the weekend to smooth things over with her.  In other words, leave the guanxi at home and focus on proving your merit in the workplace.

  


* Uma Li is a human resources development consultant living in the United States.  She previously worked in public relations in China.

 

Posted by AC Capital Strategic Public Relations at 03:12:05
Comments

One Response to “Ability tastes better than dumplings in the world of merit”

  1. Your blog is impressive,it is always in my mind after i read it.

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