Case Study Analysis: Women in South Korea are slowly changing a corporate culture

Cracks in a Particularly Thick Glass Ceiling

Women in South Korea are slowly changing a corporate culture.

South Koreans are a bit conflicted about career women. Gender wasn't much of an issue in the selection of a female astronaut to fly this month on the country's first space mission. But when women are seeking workaday corporate jobs, some South Korean men still resist change. Outer space is one thing, but a woman in the next cubicle is something else.

For years, most educated women in South Korea who wanted to work could follow but one career path, which began and ended with teaching. The situation started to change after the 1998 Asian financial crisis. Thousands of men lost their jobs or took salary cuts, and their wives had to pick up the slack by starting businesses in their homes or seeking part-time work. A couple of years later, the government banned gender discrimination in the workplace and required businesses with more than 500 employees to set up child-care facilities. It also created a Gender Equality Ministry.

These days the government hires thousands of women (42% of its new employees last year), many for senior positions in the judiciary, international trade administration, and Foreign Service. Startups and foreign companies also employ (and promote) increasing numbers of Korean women. But at the top 400 companies, many of which are family-run conglomerates, it's hard for women to reach the upper ranks. In all, about 8% of working women hold managerial positions. (In the U.S. nearly 51% do.) 'We have a long way to go', says Cho Jin Woo, director of the Gender Equality Ministry.

South Koreans are grappling with traditional attitudes about women, a hierarchical business culture, and the need to open up the workplace to compete globally. A senior manager at SK Holdings, which controls the giant mobile phone carrier SK Telecom, says he avoids hiring women because he believes they lack tenacity. When deadlines are tight, he says, 'you need people prepared to put in long hours at the office.' Park Myung Soon, a 39-year-old woman who is in charge of business development at the carrier, says 'Many men are preoccupied with the notion that women are a different species'. To get ahead, Park says she had to achieve 120% of what her male colleagues did as well as play basketball and drink with them after work. 'Luckily, I like sports, and I like to drink', she says.

When Choi Dong Hee joined SK's research arm in 2005, she was the only woman there and had no major assignment until she created one. After conducting a yearlong study, Choi, 30, proposed changing the company's policy to allow subscribers to use any wireless portal. Her managers ignored her. She persisted. Finally, they agreed to let her brief the division head, who agreed to let her make her case to the company chairman. Choi worked on the presentation for three weeks straight, sometimes alone in the office overnight (to her boss's horror). In the end, the company did adopt the open policy she advocated. Now her managers are quick to say that women's perspectives can help SK better serve its customers.

Sonia Kim, who is in charge of TV marketing at Samsung Electronics, says her male colleagues rarely argue with the boss, even if they think he's wrong. Kim, though, persuaded her manager to let her develop a promotional campaign rather than rely on an ad agency she thought had lost its creative edge. Kim also says some of the men used to overturn decisions made during the day while out drinking after hours. Since she and other women at Samsung complained, Kim says, the practice has mostly stopped.

QUESTIONS

1. Should gender be a consideration when staffing local management positions?
2. Should gender be a consideration when selecting an expatriate for an overseas assignment? 3.
3. Discuss what factors must be considered if a U.S. multinational corporation decides to staff a leadership position in South Korea with a woman.