CONFUCIAN VALUES IN CORPORATE PERFORMANCE MANAGEMENT: A PATHWAY FOR SUSTAINABLE CONFUCIAN CHINESE FAMILY BUSINESSES

• Main Author: Ricardo Ang, Evan
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/83246
• Institution: Institut Teknologi Bandung

This research examines how Confucian traditions influence performance management in Indonesian Confucian Chinese family businesses. It explores how these traditions are linked to aspects like organization, internal process, market strategy, and compensation. The research aims to understand how it can contribute to or hinder the sustainability of these businesses across generations given the family dynamics. A key challenge is balancing family harmony and cultural respect for ancestors with the need for professional management and attracting outside talent. Thus, the research investigates how these businesses navigate succession planning and potential conflicts between family members. The study employed an Exploratory-Descriptive Qualitative (EDQ) approach, harnessing in-depth interview methods with five Confucian Chinese Family Businesses through purposive sampling, three respondents per company across three levels (CEO, manager and staff) to ensure triangulation. The data analysis was conducted by Data Categorization (Coding) and subsequently discussed using Interpretative Data Analysis. Conclusively, Confucian values in Indonesian Chinese family businesses foster a strong work ethic, open communication, and a focus on quality. This leads to a customercentric approach and a performance-driven reward system. These businesses are receptive to best practices in modern business management, but may be hesitant to involve outsiders. Hence, There's a need for a system that balances family interests with professional management practices for long-term sustainability.