If at first you don't succeed: globalized production and organizational learning at Hyundai Motor Company
Wright, Christopher, Suh, Chung-Sok, and Leggett, Christopher (2009) If at first you don't succeed: globalized production and organizational learning at Hyundai Motor Company. Asia Pacific Business Review, 15 (2). pp. 163-180.
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This article reviews the development of a global production system through a cross-case analysis of the establishment of Hyundai Motor Company's five major overseas production facilities. It concludes that establishing a global production network can be a catalyst for organizational learning and the development of new competencies; in particular, that the complexities and uncertainties of operating in unfamiliar economic and cultural contexts provide a powerful impetus to increasing a firm's absorptive capacity. The article identifies the strategies that enabled the Hyundai Motor Company to learn from its initial failures in overseas production. It focuses on the localization of production, the internal transfer of experienced staff, the codification of previous experience and the use of aggressive goal-setting. The analysis suggests that organizational resilience, that is the ability to rebound from initial failure, is a further important aspect in the process of organizational learning.
|Item Type:||Article (Refereed Research - C1)|
|Keywords:||strategic management, Hyundai, South Korea, FDI|
|Date Deposited:||29 Jun 2011 01:12|
|FoR Codes:||15 COMMERCE, MANAGEMENT, TOURISM AND SERVICES > 1505 Marketing > 150503 Marketing Management (incl Strategy and Customer Relations) @ 100%|
|SEO Codes:||91 ECONOMIC FRAMEWORK > 9102 Microeconomics > 910205 Industry Policy @ 100%|