ities for business growth and profits for those who understand the motivation and values of its workers. Western managers must recognize the culture and adapt their management practices if they are to attract, motivate, and retain high-quality workers.Dimiter Kiriazov has worked throughout China and is currently a graduate student at Beijing University. Sherry E. Sullivan is an associate professor in management at Beijing University. Howard S. Tu is a member of the graduate faculty at the Zhejiang University.V ConclusionWith China’s entry into the WTO, it urges China’s SOE’s to take quick action to fend itself against the future yet fierce competition from the foreign corporations. However the most urgent reform in my eye is in the HRM area, which has its own characteristics. It is my point of view that we can reform and employ the following tactics such as selection, performance appraisal, training and development, motivation, and compensation and benefits. I propose the Chinese government, while introducing measures to improve the efficiency of the SOE's in accordance with WTO requirements, internally pay great attention to the reform of HRM (human resource management). Because it is a crucial part to make the reform complete, and more important, it is crucial for the realization of the modern and scientific management of SOE's and the success of the reforms.The reform of HRM will lead to the realization of a modern and scientific management, which will revitalize the SOE’s in China. I believe the day will come....
