ABSTRACT
The concept of Human Resource Management (HRM) was developed initially in the US in the 1960s and 1970s (Brewster, 1995). However, the formation of this concept was influenced by the increasing competition of manufacturing production predominately in East Asia, including Japan and the so-called ‘Four Asian Tigers’, namely Hong Kong, Singapore, South Korea and Taiwan. By adopting new management initiatives, such as HRM, the US firms might develop certain competitive advantages in order to survive in the face of global competition (i.e. Porter, 1990). In fact, some of the aspects within HRM paradigm were based on the Japanese management practices that had a profound influence not only in Japan, but also in entire East Asia in the 1960s and 1970s. The elements of cohesiveness and collectiveness, such as harmony, information sharing, loyalty, on-job-training, teamwork, etc., were key dimensions of the ‘new’ HRM paradigm, but had existed in East Asian organizations for a long time. By combining the predominate American-oriented, in other words, the individualistic elements of management practices with East Asian (particularly Japanese) management practices, the HRM paradigm was expected to improve the competitiveness of organizations and the well-being of both individuals and organizations (Schuler and Jackson, 1987).
