Russian manufacturing subsidiaries of Western multinational corporations: Support from parents and cooperation with sister-subsidiaries
This paper presents the results of a survey of executives of Russian manufacturing subsidiaries of Western multinational corporations (MNCs) regarding their relationship with parents and sister-subsidiaries. Manufacturing subsidiaries are dependent on parents to finance development projects. Accordingly, the subsidiary receives intensive support from the parent for all stages of implementation of such projects. Further, the intensity of cooperation with sister-subsidiaries strongly coincides with the intensity of support from the parent. However, a high intensity of cooperation with sister-subsidiaries was observed only for subsidiaries established before 2009. Finally, several practical implications for new entrants into the Russian manufacturing industry are presented.
I report the results of observations of management practices in 20 Russian manufacturing subsidiaries of Western multinational corporations (MNCs). I argue that to counterbalance the higher country-specific risks associated with investing in Russia, MNCs impose on their Russian subsidiaries high demands for superior performance in terms of both technical and economic efficiency. My observations confirm that in most cases such demands are successfully met by the implementation of highly effective practices. Thus, I challenge several beliefs about industrial management in Russia, including the myths that Russian firms are hostile towards knowledge sharing and are wary of talent.
The aim of the chapter is to evaluate the concept of corporate parenting styles, identify missing elements in the theoretical constructs, and develop new theoretical constructs.Methodology/approach
The chapter provides a summary of the existing literature on corporate parenting styles and uncovers the missing elements in the theoretical constructs. New theoretical constructs fill the gaps.Findings
The chapter presents a new typology of corporate parenting style by combining corporate parents’ processes of adding value to and extracting value from subsidiaries. The five-type typology of corporate styles outlines the different levels of value addition and value extraction and various degrees of reciprocity in both processes. This chapter determines the most important factors that affect the selection of corporate parenting style. It postulates that the multinational corporation should exhibit different parenting styles toward its subsidiaries simultaneously and should be ready to amend its parenting styles to reflect changes in a subsidiary’s strategy and its motives for corporate ownership.Research limitations/implications
A new agenda for empirical studies oriented toward variability of parenting styles is proposed. Empirical tests of our propositions are needed. I encourage researchers to extend our research by considering the regional (supra-national), industry, and individual levels of analyses.Originality/value
The chapter provides a more realistic view of corporate parenting styles than that found in the previous literature and outlines promising directions for further theoretical and empirical research.
The extant literature acknowledges the role of overseas subsidiaries in the growth and development of multinational companies (MNCs). Such subsidiaries are viewed as critical players in the innovation process at MNCs. This topic remains largely underresearched in the Russian context. This study aims to fill this gap by examining the dynamics of the innovation process in Russianbased subsidiaries of global MNCs. We present qualitative findings that indicate Russian subsidiaries are not only recipients of knowledge and technology developed elsewhere in the MNCs.
The author analyzes the most widely applied risk management standards in Russia, emphasizing the lack of a clear system for operational risk management. Reviewing the challenges emerging on European markets due to the introduction of the Solvency II directive, he suggests approaches to the solution of possible problems for Russian insurers.
портовый менеджмент, показатели деятельности, анализ эффективности, система учета, распределение издержек, методы анализа деятельности портовой системы
At present many industries reveal tendency for setting up of vertically integrated companies (VIC) the structure of which unites all technological processes. This tendency proved its efficiency in oil industry where coordination of all successive stages of technological process, namely, oil prospecting and production -oil transportation - oil processing - oil chemistry - oil products and oil chemicals marketing, is necessary. The article considers specific features of introduction of "personnel management" module at enterprises of oil and gas industry.
vertically integrated companies; personnel management