International Journal of Academic Research in Business and Social Sciences

search-icon

Daihatsu Shifts and aligns its Strategies: A Case Study of the Appointment of an Indonesian as the CEO of Astra Daihatsu Motor

Open access
Japanese multinational companies are known for the employment of Japanese expatriates to manage their overseas subsidiaries. Daihatsu Motor Company made history in 2011 by choosing a local Indonesian manager as the president director of Astra Daihatsu Motor – the Indonesian subsidiary of the Daihatsu Motor Company. This study explores reasons behind this appointment. The paper argues that Daihatsu, through this appointment aligned its corporate, procurement and human resource strategies, took account of the fact that the local manager has contributed to the turnaround of the subsidiary and that he has work values quite similar to those of his Japanese counterparts.