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Managing the transition
firm is very difficult, but transition culture expects that if you have
the right skills and right attitude, you should succeed. But even the
most accomplished manager cannot always be assured of success. One Western-educated
but East European born manager recalled,
... it's so overwhelming,
and so frustrating. Because those very basic, fundamental things that
should be easy to accomplish don't happen. And you get frustrated. Because
it puts you in the position where you feel sometimes professionally
embarrassed.... You know, you--your boss comes, says: "Right, you
know, two months ago we talked about the fact that perhaps in those,
supermarkets, when we sell chips in big shipping cases we should put
labels on them so that people, you know, like in club stores here--So
people can see what's inside..." Pretty basic. You still don't
have it. Two months later. You, you would just take this and glue it
on, right? It's pretty simple. And you feel stupid. Because you've been
trying for the last two months [begins to laugh] to put it into the
system. And everything possible on the way--failed. And it's a daily
occurrence.
With this as a point
of departure, one might argue that no manager is likely to be up to the
task of managing a transition firm. Every manager, before the foreign
observer with limited experience in transition, is likely to be found
wanting, and to be found "socialist" in some particular fashion.
Hence, a socialist "infection" might not be limited to the middle-aged
and elder East European, but rather, to those who become too embedded
in local practices, or responsible for how things work locally.
In the face of this
difficulty, East Europeans and Westerners can collaborate in producing
the imagery of an East European manager who has left the socialist past
behind. This imagery depends on elevating particular kinds of skills as
indicators of membership in transition culture. Those who possess these
skills might be recognized as part of the radiant future of transition
even if solving the problems of the firm is beyond everyone. And to claim
that another lacks those skills might consign them to the past beyond
redemption. However, people in different locations have different claims
to competence, and are likely to assign to others different kinds of limitations.
Americans were more
likely to emphasize communications and presentation skills as their own
special competence and the specific inadequacy of East Europeans. After
praising the common sense of her East European manager, one American expert
emphasized a fundamental flaw: they didn't know how to work in a team,
and failed to communicate between departments and levels of management.
"Lack of communication, besides lack of money, that's the biggest
problem at the company, and it's really really bad, almost zero communication."
Communication was indeed a problem other outsiders mentioned, although
no East Europeans among those I interviewed mentioned it as a major issue.
Both Americans and
East Europeans used expertise in personnel management as an indicator
of membership in transition culture, but in a fairly limited set of ways.
A good manager figures out how to provide the right compensation to motivate
his employees. They know how to stimulate individual responsibility for
company success. They are also willing to fire unnecessary or irresponsible
personnel. Only two East European managers emphasized that they would
do more than fire the redundant worker. They might retrain them or encourage
them to set up privatized firms, but otherwise, the East European manager
demonstrated their membership in transition culture by their readiness
to dismiss employees.
Good human resource
management skills are an especially powerful way for marking the difference
between transition culture and the socialist culture that is to be left
behind. No American advisor emphasized the inadequacies of East European
management when it came to personnel management, however. By contrast,
East European managers used this as a way to mark their difference from
their own colleagues or subordinates. For instance, one East European
manager recalled the surprise of his employees when he announced that
he was closing down one department of the firm. I asked him, with intentional
naiveté, why they expected him to defend that department. He said,
They felt that
they, they knew me from the past time (when he was a director 30 years
earlier). That I was, let's say, a patriot of this company, (but) they
badly understand what is pat--local patriotism. For me local patriotism
is to earn money. For those who want to work, and not to defend those
groups and machines which are worthless from the technological point
of view. They are good for a museum. They (the employees) are too sentimental.
I am not sentimental anymore.
Beyond personnel
management, marketing is the other commonly identified lack of managerial
skills in transition culture. The compelling general story around which
more specific stories are typically inserted is organized around two elements.
Transition is about the move from the production-centered to the market-driven
company. This transformation of the firm typically takes place within
uncertain or difficult markets. Several respondents in our interviews
used marketing to speak of how well they are doing, or how their managers
are quite good. They spoke of their firm's success in doing market research
or in their focus on a particular market segment useful for their product.
They talked about becoming more customer-oriented. They introduced special
advertisements and special slogans directed toward their upper-end clientele.
In the most high-minded of these accounts, one person said that he sold
ideas and not just goods. Only East European managers invoked marketing
as a claim to their own distinction. It was also used, however, to indicate
the limitations of other East Europeans.
One East European
CEO complained about how his marketing department kept sending out 'socialist
style letters.' The same East European managers who praised their own
accomplishments in marketing could still point to others in their own
firms who continued in a socialist style of sales, just leaving goods
on the shelves expecting them to sell themselves for their own qualities.
Occasionally, East
Europeans might invoke other markers of professional competence to distinguish
the good manager from managers with socialist mindsets or corrupt practices.
One manager, for instance, emphasized his abilities in making projections,
and the unwillingness of his former boss to pay attention to those data.
The specifics are interesting, but the more important point here is that
the focus on specific competencies is another, more refined layer, of
transition culture.
At the crudest level,
transition culture presumes East European inferiority to globalized business
practice. But because transition culture requires East European success,
it must provide a means for the globalization of East European management
practices and the assimilation of East Europeans. Because East Europeans
are not assumed to be part of transition culture, as Americans
and other foreigners are, East Europeans must have a means by which they
can demonstrate their acquisition of transition culture. Because transition
economies are so complicated and difficult, however, East European managers
can rarely demonstrate their membership in transition culture in holistic
terms, as Americans and other Westerners presume to do themselves. Westerners
and East Europeans can identify those East Europeans with specific skill
sets associated with marketing, personnel management or communications
as belonging to transition culture. One might refine the set of oppositions
used to identify the structure of transition culture with an additional
list of qualities associated with socialist, or capitalist, management
in transition:
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The
refined set of oppositions used to identify the structure of transition
culture.
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This refinement of
transition culture--the identification of specific inadequacies
and the identification of particular professional skills they might acquire--reproduces
transition culture. It continues to identify the solutions to rest outside
Eastern Europe, and the inadequacies to reside within it. Thus, transition
culture provides the means, the identification of specific skill sets
that East Europeans can acquire, for them to look like they are "normal,"
Western, global. It allows the East European to leave socialist culture
behind, and enter a transition culture dominated by those outside the
country. But over time, the national ownership of this transition culture
could come into doubt.
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