Chinese Management Studies

Purpose – The purpose of this paper is to present a conceptual model of guanxi-oriented human resource management (HRM) appropriate for organisations located in China that wish to maximise knowledge sharing and exchange. The recognised need by Western-based organisations to develop trusting relationships through appropriate HRM approaches presents the setting to introduce the importance of guanxi in Chinese culture. The added complexity for Chinese organisations that employ a diversity of what are termed, in this paper, Conventional and Foreign Educated Chinese and Acculturated and Newly Arrived Expatriates is also presented.

Design/methodology/approach – Building on a review of literature about what challenges the knowledge revolution is having on the way that Western organisations manage their human resources, the paper presents an overview of the notion and function of guanxi in the Chinese context. The paradoxical and ambiguous nature of guanxi and its implications for interpersonal interactions are explained as being important for HR practitioners to understand.

Findings – The paper presents a conceptual guanxi-oriented HRM model that incorporates the Chinese mindset that is, at one and the same time, paradoxical, holistic, dynamic, interdependent, flexible and reciprocal in nature.

Research limitations/implications – While conceptual, the paper is based on a model developed from research by one of the authors that identified a guanxi-oriented model of conflict resolution. The paper acknowledges that this model requires further research to test its applicability.

Originality/value – The paper is original in its attempt to link guanxi to HRM practices on Western concepts of human resources.