You, Kun
(2024)
Mobilising The Shared Service Centre
In A Highly Centralised Power
Context: An Interpretive Case Study
Of A Chinese State-Owned Enterprise.
PhD thesis, Universiti Sains Malaysia.
Abstract
This thesis presents an interpretive case study of a Chinese State-Owned
Enterprise (SOE) namely Sinopec which has mobilised a Shared Service Centre
(SSC) by overcoming the resistance to change (silently rejecting the SSC model
imposed by the Chinese government). Following the reform of Chinese state-owned
enterprises (SOEs), introduced by the Chinese State-owned Assets Supervision and
Administration Commission (SASAC) in 2013, China has witnessed the
mushrooming of SSC to improve efficiency and create competitive competency
through cost savings and improved product quality. However, as a management
model that originated in the West, the practice of SSC in SOEs has experienced
resistance to change, mainly due to the influence of the unique Chinese institutions,
Confucian culture and the complexity of SSC concerning process reengineering.
Therefore, this study seeks to explain and analyse the process of SSC mobilisation
and evolution in the highly power-centralised context and the roles and interactions
of its special actors (e.g., party secretaries and Confucian culture) in this process by
drawing on the concepts rooted in actor-network theory (ANT) and using
semi-structured interviews, documentary analysis and observation. This thesis
reveals that the effective mobilisation of SSC does not follow a linear process guided
by ‘critical success factors’. Instead, it entails a continuous ‘spiral’ of interactions
and compromises involving both human and non-human actors. Power provides the
core actor, acting as an orchestrator, with legitimacy and formality, thereby reducing
resistance and obstacles during the translation process for SSC mobilisation. The
findings of the thesis also indicate that Confucian culture actively contributes to the
SSC mobilisation and facilitates interaction among diverse actors, allowing them to
pursue their interests and requirements while focusing on the collective interests and
deferring to the power of the core actor.
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