The challenge of China

How no business school can ignore the new giant

(CNN) -- It's the fastest-growing major economy in the world and an ever more important draw for investment, materials and -- of course -- management expertise. Can any prospective MBA student ignore China?

The answer, inevitably, is no.

Increasing numbers of Western business schools are scrambling to equip their students with the skills they need to understand China, but at the same time it is clear that more needs to be done.

According to a newly-published survey, almost half of all British business leaders plan to recruit MBA graduates from China to make up a shortfall in the skills -- notably language skills -- needed to work in and trade with the country.

With Britain currently producing fewer than 500 Mandarin Chinese language graduates a year, 41% of UK business leaders said they would turn to Chinese staff, research by management consultancy Hay Group said.

A module on China should be included in all European MBA courses, a number of the business leaders told the survey, adding that they expect China to be Britain's single most important export market by 2009, worth 10% of global revenues.

The global economy was about to see "a war for talent both in China and in domestic markets" as companies scramble to find managers able to do business in the world's most populous nation, said Deborah Allday, author of the report.

"Companies who fund MBA study for employees should demand China modules on all courses," she said.
"Business executives should start developing Chinese language skills now. And leaders with a track record in China should understand the value of this rare skill set."

Cultural exchange
Business schools are reacting.

The latest initiative comes in a management course run jointly by Harvard Business School, the School of Economics and Management at China's elite Tsinghua University and the China Europe International Business School.

The three-module Senior Executive Program for China, held over six months in Beijing, Shanghai, and Boston, is intended to help executives operating in China "develop the broad, integrated knowledge and global perspective they need to successfully lead their organizations and achieve sustainable competitive advantage", according to organizers.

Taught both in Chinese and English, with translation as necessary, the course is intended to emphasize cross-cultural interchange and shared learning among the multinational participants, all of whom have at least 10 years of business experience.

"The tremendous economic growth taking place in China is forcing executives to confront a unique set of challenges across business sectors -- from supply chain management to information technology -- to ensure that their organizations are prepared to respond on a global scale," said Professor Chen Guoqing, Deputy Dean at Tsinghua.

"Through this joint effort, participants will be immersed in recent trends and innovations in China to help them strategically navigate their companies and compete at the global level."

Those still skeptical of the upsurge in business in China need look no further than the Jade Buddha Monastery in Shanghai -- where a first group of monks have just completed MBAs.

As well as regular business courses, the monks' curriculum included lectures on temple management, philosophy and religious product marketing, the state-run China Daily newspaper reported.

"Jade Buddha Monastery needs management just like a company," Chang Chun, the temple's general manager and also a newly-qualified MBA, told the newspaper.
By Peter Walker for CNN

Source: http://www.cnn.com
Published: 2006/08/14