Knowledge Transfer from Germany to China
Opportunities and Challenges at the Setup of a Quality Management System
Many western companies established subsidiaries in China to capitalize on cost reduction and access a market of 1.3 billion potential customers. This trend was initially justified by the success of these ventures and China's rise as the world's largest economy. However, starting a business in China involves more than just profit; it requires establishing a functional factory, which includes implementing an effective Quality Management System (QMS) and facilitating knowledge transfer. While this may seem straightforward, not all companies successfully navigate the setup phase. This study explores the theoretical aspects of the Chinese business environment in relation to the High Level Structure of ISO 9001, examining cultural differences and individual network systems. It combines theoretical analysis with quantitative and qualitative data from an expert survey of German professionals in similar industries. The findings reveal significant cultural differences that must be considered in strategic planning. Hierarchical and social group distinctions necessitate careful selection and preparation of personnel sent to subsidiaries. For quality management, emphasis should be placed on process flexibility, inspection plans, audit strategies, supplier management, and failure analysis. Developing sensitivity towards colleagues and suppliers is crucial, especially under cost pressures that demand more complex production capabilities.
