Economic Models - Convex Optimization

Toward a Theory of Japanese Organizational Culture 145
MAV
LC
CP
NC
OC
MEV
MIV
HRMPJ
Where “NC” is “National Culture”; “OC” is “Organizational Culture”; “LC” is “Leader
Culture”; “MAV” is “Macro-Values of Culture”; “MEV” is “Meso-Values of Culture”;
“MIV” is “Micro-Values of Culture”; “HRMPJ” is “Human Resources Management
Practices in Japan”, and “CP” is “Corporate Performance”.
Figure 2.
Value–culture–performance: a thematic presentation.
and commitments, and (c) the contribution of the organization to the society.
If we consider the contribution of the organization to society that is
already taken into account by the customers’ satisfaction and employees’
satisfaction, then CP has these two important contributory factors.
Theoretical relationship between the observed variables and the underlying
constructs are specified in an exploratory model, represented in Fig. 2.
In Fig. 3, a more elaborate model, including the unique HRM system of the
Japanese companies is described. Figure 3 represents a Linear Structural
Relations (LISREL) version (Joreskog and Sorbom, 1999) of the model,
which can be estimated using the methods of structural equation modeling
(Raykov and Marcoulides, 2000).
5. Discussion
The proposed theory describes the relationship between NC and CPs
through OC with the HRM system affecting the nature of the culture and
leadership. These inter-relationships are important aspects of the Japanese
corporate behaviors in a multinational setting and this proposed theory is
an attempt to understand the Japanese corporate culture.
Analysis of the Japanese culture and organizations by outsiders so far
suffers from a number of defects (Ikeda, 1987; Watanabe, 1998). They neither
try to understand the effects of the Japanese value system on their
organizations nor do they give any importance to the relationship between