Configurations of human resource management practices: a model and test of internal fit

This study examined human resource management (HRM) configurations. A typology consisting of four bundles of aligned HRM practices (labelled the bureaucratic, market, professional and flexibility bundle) linked to organizational structures was developed. Support for the proposed ideal-typical bundles was found in an assessment by a panel of experts. Next, the distance between the ideal types and actual bundles of HR practices was assessed for 175 organizations. For each, senior HR managers' ratings of HRM practices and CEO ratings of outcomes were obtained. Support was found for two of the four proposed types and about one-third of the firms showed some fit with one of these two types. The ‘fit in general hypothesis’ (i.e. the closer an observed HR bundle resembles any of the ideal types, the higher organizational performance) did not receive support. However, fit with a specific type of bundle (the professional bundle) did relate positively to outcomes. Organizations with observed HRM practices fitting the professional bundle score significantly higher on measures of firm performance, employees' going beyond contract, and firm innovativeness.     

Strategic HRM in China: Configurations and competitive advantage

The strategic HR literature suggests that a firm will perform better through internal appropriate fit among HRM practices (the configuration fit) and through external appropriate fit between a firm's HRM practices and business strategy. The present study adopts a configuration approach to identify unique patterns of HR practices and business strategy that are posited to be maximally effective. The proposed relationships were empirically tested by surveying with a sample of 241 business firms in Guangzhou, South China, to find out the extent that four HR configurations could be successfully adopted in the Chinese context. The results revealed that HR configurations are significantly related to effect in predicting overall outcome performance and turnover, but not significantly related to effect on sales growth and profit growth rates. Research findings showed not only competitive strategies are significantly related to effect on HR configurations. The results also showed significant interaction effects between HR configurations and business strategy in their effect on profit and sales growth. These results further extended support for a contingency perspective in strategic HRM to the Chinese context, with significant practical implications for managing HRM in China. © 2008 Wiley Periodicals, Inc.     

Configurations of human resource practices and battlefield performance: A comparison of two armies

A prominent theme in the HRM literature is the organizational impact of configurations or “bundles” of human resource practices, mostly researched in business firms. A recurrent empirical finding here is that configurations of high performance HR practices generally have a more positive effect on employee attitudes and behavior and on organizational performance than configurations of traditional HR practices. In this paper this research is extended beyond business firms to include army organizations. Specifically it is argued, first, that these two configurations are exemplified in respectively the German Army and the US Army in World War II and second, that these configurations can be reasonably related to a relatively more effective battlefield performance of the German versus the US Army, even in spite of final defeat.     

Trust as moderator in the relationship between HRM practices and employee attitudes

The study contributes to the debate in the HRM literature by examining the role of trust in management in moderating the effect of HRM practices on employee attitudes. The novelty of the study lies in our interest in assessing this relationship not only on a system of HR practices, but also considering whether the influence varies according to specific ‘bundles’ of practices. Adopting a Structural Equation Modelling approach, we first test the moderation using an HRM index of seven practices on a sample of 9,000 employees from 46 Italian organisations. Then, following the AMO approach, we assess the relationship on three ‘bundles’ of practices, one oriented to increasing ability, another motivation and the third opportunity to participate. Results confirm the moderation with the overall HRM index. Interestingly, the effect varies depending on the HR bundles, being significant only with the motivation practices and not relevant in the other two bundles.     

Introducing the impact of technology: a ‘neo-contingency’ HRM Anglo-French comparison

The paper analyses the impact of technological and national-culture factors on certain HRM policies and practices in Britain and France. This perspective supports the neo-contingency approach, which does not claim primacy for either the technological or the national-cultural factors shaping HRM policies and practices. HR managers in each country in high-, mid- and low-tech firms were surveyed. The relevance in the diffusion of certain patterns of HRM policies and practices advocates that employees working in intensive technology firms need a creative and adaptive HR management approach. The differences found in the application of the HRM practices studied between the two countries are illustrated through the educational system, which is different in France and Britain.     

Managing multidimensional knowledge assets: HR configurations in professional service firms

The purpose of this article is to illustrate empirically how HR practices are configured to manage multidimensional knowledge assets. It contributes directly to the configurational approaches to HRM by identifying HRM systems that are used to manage various types of knowledge assets. First, we develop a framework from theory to categorise knowledge assets into human (industry and firm specific), social (entrepreneurial and co‐operative) and organisational capital (mechanistic and organic). Within this framework, we draw on data gathered in the 12 professional services firms to understand how HR practices enable the management of each knowledge asset. We identify two configurations of HR practices (organisationally and professionally focused). These configurations do not exist in isolation but are used simultaneously by organisations via either a targeted (different practices in different parts of the organisation) or a temporally segregated way (different practices for the same group of employees over time).     

Innovative human resource management and corporate performance in the context of economic liberalization in India

The Indian economy was forced to adopt a structural adjustment programme at the beginning of 1991. The structural adjustment programme or liberalization initiated the process of the opening up of an otherwise closed economy of India. Liberalization created a hyper-competitive environment and to respond to this turbulence, Indian organizations adopted innovative changes in their HRM practices. Current research shows that HRM practices are important for enhanced corporate performance but little has been reported on the effect of HRM practices and corporate performance in the context of economic liberalization of India. This study tries to understand the role of innovative HRM practices and specifically questions how HRM practices, such as the role of HR department, recruitment, retraining and redeployment, performance appraisal and compensation, enhance corporate performance during the change process. A multiple-respondent survey of 69 Indian organizations was undertaken to study the impact of innovative HRM practices on firm performance. The survey found that the innovative recruitment and compensation practices have a positive significant relationship with firm performance. It was observed that recruitment, the role of the HR department and compensation practices seem to be significantly changing within the Indian firms in the context of India's economic liberalization. The synergy between innovative HRM practices was not significant in enhancing corporate performance during the liberalization process.     

The interactions between person–organization fit and leadership styles in Asian firms,an empirical testing

This paper presents a study that examines the use of human resource management (HRM) practices and factors influencing the adoption of HRM practices in small and medium-sized enterprises (SMEs). Using a multiple-case study method, HRM in SMEs was explored by comparing 12 small and medium-sized and 12 large semiconductor design firms. The findings show that there is considerable homogeneity across the firms in relation to their use of human resources (HR) practices providing support for the insights based on the new institutionalism. The factors leading to the homogeneity HRM are discussed. It is argued that theory-based empirical research on HRM in SMEs within the same industry enable us move towards a systematic understanding and explanation of HRM in SMEs.     

Human resource function strategic role and trade unions: exploring their impact on human resource management practices in Uruguayan firms

Organizations worldwide are confronted with different contextual constraints. Jackson and Schuler [1995, ‘Understanding Human Resource Management in the Context of Organizations and their Environments,' Annual Review of Psychology, 46, 237–264], in their classical review, highlight the importance of the impact of the internal and external organizational context on human resource management (HRM) practices. This paper uses data collected through a survey of firms located in Uruguay, in a context where HR function and trade unions have gone through significant changes, to determine their impact on the adoption of different HRM practices. The authors find that organizations with an HR function strategically involved and with higher degree of union presence have more person-centred HRM practices, while performance-centred HRM practices were positively influenced by HR function strategic role. However, the findings do not support the moderating role of trade union presence on the relationship between the HR function strategic role and HRM practices.     

Control and commitment HR practices,job satisfaction and turnover intentions: a comparison between local and multinational firms in China

There is a growing body of literature and debate around control versus commitment human resource management (HRM) systems and their impacts on employees. However, the impacts of these constructs have not been widely examined in more emerging economies. Taking a specific sample of educated professionals working for multinational and local firms in China, this study investigated employee perceptions of control and commitment HR practices, job satisfaction and turnover intentions. A total of 311 respondents completed a structured survey questionnaire. Results revealed that those working for multinational firms reported more positive perceptions of their employers' control and commitment HR practices. In multinational firms, the use of commitment HR practices predicted lower intentions to leave. However, in domestic firms a lack of control HR practices predicted higher turnover intentions. Theoretically, the study adds to discussions about the nature and roles of these constructs, their impacts on HR outcomes and how institutional mechanisms might shape the degree of HRM homogeneity and hybridity across organizations in China. Practically, the study provides guidance to international and local firms on how to improve their HRM effectiveness to achieve a higher retention of their most talented professionals.     

Managing knowledge through human resource practices: empirical examination on the Spanish automotive industry

This paper considers the relationship between human resource management (HRM) and knowledge management (KM). Specifically, it examines how the human resource (HR) practices that are expected to impact on employees’ abilities, motivation, and opportunity to engage in KM, do so by enabling knowledge sharing, knowledge maintaining, and knowledge creation within organizations. HRM expected to impact employees’ abilities include training and development practices. HRM expected to impact on employees’ motivation include rewards and appraisal practices. HRM expected to impact on employees’ opportunities including providing the support of trusting collaborative relationships. Therefore, HR practices impacting employees’ abilities, motivation, and opportunities are expected to be positively related to knowledge sharing and maintaining within organizations. HR practices impacting employees’ abilities, motivation, and opportunity are expected to be positively related to knowledge creation through their effect on knowledge sharing within organizations. Our research methodology uses a questionnaire survey approach to collect data from firms belonging to the Spanish automotive industry. Results from a final sample of 64 Spanish automotive firms show that HR practices aimed at motivating and giving employees the opportunity to behave as expected significantly affect knowledge sharing and maintaining. Further, knowledge sharing and maintaining is shown to mediate the relationship between HR practices and knowledge creation. The paper ends with a conclusion, limitations and implications for future research.     

Mutation of HRM practices in Russia: an application of CRANET methodology

This article describes the challenges facing established practices and patterns of human resource management (HRM) during the economic recession. It is based on the results of the CRANET survey, administered in Russia in the third quarter of 2008, on the 2008 CRANET data available for Bulgaria and on survey of companies' executives, implemented in the first half of 2010. We found that Russian HRM practices that are based on low formalization of performance assessment, great versatility of payment arrangements, and high flexibility of working and contractual arrangements enabled companies to adapt to the recession conditions without massive layoffs.     

National Ownership and Hr Practices In Uk Greenfield Sites

This article reports research on the influence of country of ownership on HR policy and practice in UK establishments. It is hypothesised that establishments will conform to national stereotypes in the practices they adopt and that establishments owned by firms from the USA, Japan and Germany, will, albeit in different ways, adopt more HR practices and report better outcomes than their UK counterparts. the research is based on the Third Workplace Industrial Relations Survey and on a sample of new establishments, opened in the 1980s. Analysis of the data from the 1990 Workplace Industrial Relations Survey finds no evidence that foreign-owned firms are more likely to adopt HR practices. the study of new workplaces finds that UK-owned establishments are as enthusiastic as the foreign-owned in their adoption of HR policy and practice. There is also evidence to support, at least partially, the stereotypes of the American and Japanese approaches. However German-owned establishments do not conform to the expected home country pattern. They are the least likely to adopt HR practices and also report poorer HR and employee relations outcomes. the study challenges the assumption that foreign-owned firms in the UK are more likely to adopt HR practices and indicates that we must be cautious in applying stereotypical national approaches to HRM both among foreign and UK establishments.     

Uncovering competitive and institutional drivers of HRM practices in multinational corporations

Current international human resource management (IHRM) literature focusing on multinational corporations (MNCs) presents evidence of both similarities and differences in the HR practices adopted in different global locations. However, the drivers behind this duality require more detailed investigation. This article focuses on exploring why MNCs position themselves within global markets as they do, exploring how extant theory can help explain the drivers behind both global and national HR practices. Based on a worldwide sample of in‐depth interview‐based case studies of well‐known MNCs, we explore the ways in which different firms react to both institutional and competitive pressures in selecting their approach to HRM. The findings uncover a differentiation between external global competitive isomorphic pressures, external national institutional isomorphic pressures, and internal processes of strategic choice and competitive differentiation. It is suggested that MNCs face all three drivers of HRM simultaneously, leading to different patterns of practice adoption, adaptation and innovation.     

Bundles of HRM practices and performance: empirical evidence from a Latin American context

This article examines the extent to which the configuration of HRM practices in bundles and the interactions among them have a significant impact on manufacturing outcomes. Using a unique data set from a survey of a representative sample of the whole Uruguayan manufacturing industry, several hypotheses related to interactions between ability–motivation–opportunity bundles of HRM practices are tested. Analysis of 150 manufacturing plants partially highlights the existence of hierarchy between bundles, being the bundle of motivation‐enhancing HRM practices the most important to explain the enhanced manufacturing outcomes. Based on this bundle of practices, synergistic interactions with both ability and opportunity bundles of HRM practices were observed to explain different performance measures.     

Changing patterns of human resource management in contemporary China: WTO accession and enterprise responses

This study examines the increasingly complex challenges facing human resource management (HRM) in China following the country's accession to the WTO and, consequently, the implications for further reform of government policy and enterprise‐level HRM practices. The article concludes that current HR practices among enterprises vary depending on ownership, industrial sector, location and history. The direction of future changes may depend on the level of involvement from external forces as well as internal strategies adopted by Chinese enterprises to survive.     

Actions speak louder than words: how employees mind the implementation gap

Abstract

Integral to employees’ working lives are the HR policies and more importantly, the practices that follow those and their implementation, which employees experience directly. To date, research on HR implementation considers how HRM is ‘done to’ employees by management and therefore ignores the agency of individuals to shape how HRM is ‘done to them’. Taking the perspective of employees, in a qualitative study of female lawyers, this paper examines employees’ roles in shaping HR implementation, addressing a lack of understanding about the role of ‘others’ in the process. Drawing on the concept of social power, the article focuses on the implementation of agile working practices within UK-based law firms. It finds that despite lacking legitimate position power to influence processes, employees draw on a variety of other power sources (e.g. referent, information, coercive) and tactics (e.g. leveraging membership of professional networks) in order to influence their working environment with respect to HR policy and practice, particularly in response to perceived implementation gaps. The current study underlines that employees may be integral to bridging the gap between policy and practice and therefore to ensuring the link between HRM and organisational performance. It also proposes that behavioural responses to HR practices should be considered in future theorising of the HRM-performance relationship.     

HRM and performance: the vulnerability of soft HRM practices during recession and retrenchment

This multi‐method case explores how change in HRM implementation can impact performance metrics in a recessionary climate. Qualitative HR outcome data are mapped against financial metrics to explore adoption of hard‐line HRM practices in a major UK retailer. Despite record profits throughout the recession, the organisation responded strategically to worsening conditions in the labour market, firstly to maintain operational flexibility, but then to opportunistically enlarge jobs and intensify work to help achieve immediate gains in financial metrics, including a gain of 37 per cent in profit per employee over 3 years. These gains were achieved by derailing commitment‐based approaches to HRM, pointing towards the vulnerability of soft HRM systems during times of austerity or retrenchment.     

Theoretical implications from the case of performance-based human resource management practices in Japan: management fashion,institutionalization and strategic human resource management perspectives

In Japan, a new type of human resource management (HRM) practices called ‘performance-based HRM practices’ (seika-shugi in Japanese) emerged in the 1990s, and has been adopted by many Japanese firms. In this paper, I illustrate how these type of practices emerged as a management fashion, diffused across a large number of Japanese firms, and became institutionalized in the Japanese business context; and discuss the relationship between performance-based HRM practices and firm performance. This illustration is used to develop a theoretical framework to better understand the relationship between HRM practices and firm performance by integrating theories of management fashions, institutionalization and strategic HRM. Suggestions for future research are also discussed.     

The relationship between human resource management practices,business strategy and firm performance: evidence from steel industry in Taiwan

The primary objective of this study is to investigate the relationship between human resource management (HRM) practices, business strategy and firm performance. We examined the following HRM practices: training and development; teamwork; compensation/incentives; HR planning; performance appraisal; and employment security. We surveyed 236 managers working at steel firms in Taiwan to explore their perceptions on the impact of HRM practices and business strategy on firm performance. The results of this study are summarized as follows: (1) HRM practices will be positively related to firm performance; (2) there is a close linkage between HRM practices and business strategy; (3) business strategies will be positively related to firm performance; (4) integrating HRM practices with business strategies will be positively related to firm performance.