The theory and practice of strategic HRM and participative management: Antecedents in early industrial relations

A diversity of opinion exists about the definition, intellectual boundaries, and major premises of the fields of human resources management (HRM) and industrial relations (IR). To help provide a common frame of reference for discussion and debate on the symposium topic, I endeavor in this paper to flesh out a consensus position on these matters. The method used is largely historical. Based on a review of the origins and evolution of the two fields from the early 20th century to the present day, I show that human resources (HR) up to the early 1960s was typically considered to be a subfield of IR. In more recent years, however, HR has largely severed its links with IR and now is widely regarded as a separate, sometimes competing and sometimes complementary field of study. In the last part of the paper I use this historical analysis, together with a review of the literatures in the two fields and the findings and conclusions of the other papers in this symposium, to identity both the commonalities and differences that distinguish the two fields in terms of their approach to science building (research) and problem solving (policy/practice).     

IR journal and conference literature from the 1960s to the 1990s: What can HR learn from it? Where is it headed?

The industrial relations (IR) literature has changed notably from the early 1960s until the late 1990s. Yet it has retained an externalist flavor — a sense that the key variables determining outcomes are often outside the control of firm-level actors. However, the kind of externalism found in the modern IR literature differs notably from that of the past. Externalism today is seen as labor market and personal variables — often in an econometric formulation — rather than grand social forces. Generally, the IR literature has moved toward sophisticated empiricism and toward a labor economics paradigm. To the extent that the older grand themes remain, they are more likely to be found in IR books rather than in academic journals. Human resource (HR) academics and practitioners can nonetheless benefit from the IR approach, even though the tyranny of tenure review has made journal articles in IR less readable. The IR literature emphasizes that labor–market forces, sometimes stemming from product and financial markets, matter to HR outcomes. And it regards conflict more as a source of information rather than just a cause of lost productivity.     

Disrupted HR?

In this paper, I discuss possible avenues for future research aimed at bridging the research-practice gap on the topic of disruptions in human resources (HR). I focus on three global mega-trends—the flexible workforce, the digitalization of business models, and artificial intelligence and machine learning—and examine their influence on the field of human resource management (HRM) in general and in the context of the COVID-19 pandemic. I discuss why HRM research has overlooked potential paradigm-shifting possibilities that could ultimately equip HR practitioners with the knowledge needed to respond to disruptions caused by these mega-trends.     

HR and IT capabilities and complementarities in knowledge-intensive services

The main premise of this article is that human resources (HR) and information technologies (IT) are central rather than support functions in knowledge-intensive services. By building management capabilities in both HR and IT, knowledge-intensive services can transform their business processes that, in turn, enable them to provide exemplary services to the customers. Our arguments are grounded in the three related theoretical frameworks of the resource-based view, organizational capabilities, and the theory of complementarities. We suggest that the research and practice in HR and IT fields may have to focus on HR and IT capabilities rather than HR practices or IT investments as the sources of sustainable competitive advantage since capabilities better fit the definition of a ‘resource’ than HR practices or IT investments. Further, organizational capabilities in both HR and IT may enable knowledge-intensive services to transcend the inherent tradeoff between cost and responsiveness. We also discuss the role of HR and IT in knowledge management.     

Convergence divergence thesis through sectoral lens: A study of India and China

Does the evolution of distinct practices influence the sectoral dominance of nations? In this review paper, we take an in-depth look at the convergence and divergence debate about HR practices in Asia. We extend the conversation to address specific competitive advantage of nations, such as China, in manufacturing and India, in information technology (IT) sectors. Drawing on the relevant literature and utilizing the lens of firm specificity, HR value creation, and competitive uncertainty, we try to explore the collective implementation of a bundle of HRM (human resource management) and IR (industrial relations) practices that have converged or diverged from western practices leading to such dominance.     

The relationship between principals’ configuration of a bundle of HR practices for new teachers and teachers’ person–organisation fit

Abstract

Based on studies in the private sector showing the positive effects of strategic human resources management (SHRM) on performance, many stress the value of adopting SHRM in the public sector. However, until now, the argument for applying SHRM in the public sector remains largely theoretical. Especially in educational contexts, it is unclear through which mechanisms SHRM affects performance. Therefore, this paper zooms in on the relationship between the configuration of a bundle of human resources (HR) practices and person–organisation (P–O) fit. A mixed methods design was used to collect both qualitative and quantitative data from principals and teachers in 56 Flemish primary schools. The qualitative data, which provides insight into principals’ configuration of HR practices, were converted into numerical scores and analysed, together with the quantitative teacher data, using multilevel analysis. The results show that both principals’ strategic and HR orientation are associated with teachers’ P–O fit. This study contributes to the research field of SHRM in education by studying a bundle of HR practices and how this relates to the fit of teachers’ own values with the school culture. The practical implications for schools are discussed.     

Blue skies and black boxes: The promise (and practice) of grounded theory in human resource management research

We provide an overview of the grounded theory approach, a methodology with significant (and largely untapped) potential for human resources (HR) research. Grounded theory is an abductive, data-driven, theory-building approach that can serve as a conceptual link between inductive and deductive research approaches. We begin by explaining the grounded theory approach in detail and outlining two versions of the method that have been used in high-impact management publications—the Gioia approach and the Tabula Geminus (twin slate) approach. We then provide an overview of the similarities and differences between grounded theory and other inductive and/or qualitative methodologies, namely, ethnography, discourse analysis, rhetorical analysis, and content analysis. Following this discussion, we offer a step-by-step guide to using grounded theory in human resources research, illustrating these principles with data and processes from extant research. Finally, we conclude by discussing best practices for achieving rigor with the grounded theory approach.     

The diffusion of HR practices in unions

Unions, like other service industry and/or nonprofit employers, are uniquely dependent upon the performance of their human resources to ensure organizational success. Consequently, unions have much to gain from adopting a more strategic focus in the management of their vital human talent. While some unions are moving toward greater sophistication in their internal HR practices (Clark and Gray, 2005), as a whole unions have been slow to embrace a strategic outlook on human resources and adopt HR practices that could improve union effectiveness and rejuvenate the union movement. In this paper, I identify and discuss internal organizational characteristics and external environmental factors that may influence the adoption of more sophisticated HR practices by labor unions. It is hoped that the framework that is suggested here can be used to launch research directed at understanding and improving the diffusion of good HR practices among unions that could subsequently improve both the efficiency and effectiveness of unions as institutions.     

Employee perceptions of HR practices: A critical review and future directions

Abstract

Scholars are directing more attention to employee perceptions of human resources (HR) practices and have explored issues such as whether and how employees’ idiosyncratic or collective perceptions of HR practices shape employee outcomes. To further this area of research, we seek to determine what authors mean when they refer to “employee perceptions of HR practices”. We review 105 articles from leading human resource management journals and find that employee perceptions of HR practices is not a monolithic concept. Rather, following previous scholars, we identify three distinct components of employee perceptions of HR practices: the ‘what’, ‘how’, and ‘why’. We critically summarize extant literature on these three components of employee HR perception and propose future research directions, including enriching the theoretical foundations of HR communication, embracing cross-national contexts, and enhancing practical relevance.     

Trends in industrial relations and human resource policies and practices: Australian experiences

This article seeks to chart the main trends which have occurred in Australian industrial relations and human resource (IR/HR) policies and practices, at the macro-level, during the past decade. It also attempts to link changes at the macro-level with those at the micro-level, by drawing on case-study data from nine large organizations in both the private and public sectors. The framework for the case studies is derived from a broader international project initiated by Kochan et al.at MIT (see Kochan, 1991). A set of IR/HR practices were chosen to enable changes in employment relations to be studied in a systematic manner in various industries. Drawing upon these data, our research sought to analyse the dominant patterns in each of the core IR/HR areas, the degree of change which had occurred and the reasons for these changes. This also enabled alternative hypotheses to be tested, as outlined later in this article.     

Strategic HRM: Too Important for an Insular Approach

Strategic human resource management (SHRM) is the choice, alignment, and integration of an organization's HRM system so its human capital resources most effectively contribute to strategic business objectives. Kaufman's review (this issue) of four books in the field revealed key differences in two areas: the intended audience (academics and general managers versus researchers only) and orientation (the use of field observer and participant observation methods versus ivory tower scientism). Overemphasis on the latter produces research that is relevant only to academics and that is not used in organizations. I argue, as have others, that in addition to rigor, a successful scientific discipline must prove itself relevant to the society in which it is embedded. Hence, the objectives of SHRM should be twofold: to influence academic thinking and conceptualizing, but also to alter the way managers set priorities and make decisions. To do that, researchers have to work directly with managers. The challenge is to create models that reflect a broader view of performance as well as more complete taxonomies of internal and external factors that help shape business and HR strategies. © 2015 Wiley Periodicals, Inc.     

HR accounting as a measurement tool

In tracing the history of human resource accounting, most reviewers would agree that the topic is now experiencing something of a revival. This research set out to explore why HR accounting is regarded as important, to whom it is important and its links with organisational and HR strategies. We used a survey‐questionnaire approach to gather data. A scale was developed measuring the extent to which respondents thought each item reflected their organisation's view on the importance of measuring of human resources. Component analysis revealed two reasons why measuring human resources is perceived as being important. The first illustrates the view that ‘measurement reflects the strategic and competitive importance of human resources’, while the second suggests that,‘to earn credibility, HRM must be expressed in financial terms’. Further analysis highlighted the importance of senior management and financial managers' support for measuring human resources and drew attention to what may appear to be a ‘hard view' of HRM held by HR managers in relation to why they consider this important.     

Talking the talk: Considering forced language-switching in the workplace

In the modern global workplace, bilingual employees who speak a language in addition to the primary workplace language sometimes must switch between languages to bridge workplace language boundaries. This forced switching between languages often occurs without the bilingual employee getting credit, recognition, or training to do so. There is growing interest in language issues in business scholarship, however, prior work generally focused on language management strategies or singular foreign language use. The experiences of workers who must engage in multi-language use, particularly those forced to switch between languages, and implications for employers remain largely unexplored. Cognitive and emotional outcomes associated with the activity of switching between languages, both forced and voluntary, have been researched in fields such as experimental psychology, cognitive science, and applied linguistics. In the current paper, we integrate and apply this existing research in the context of the multilingual workplace. We present a novel, comprehensive theoretical model incorporating current findings from multiple fields and framing it within the theoretical foundation of Social Cognitive Theory. Finally, we discuss the implications of interdisciplinary findings regarding forced language-switching for the fields of human resources management and organizational behavior and suggest directions for future research.     

Human resource management and performance: still searching for some answers

Over the past 20 years, there has been a considerable expansion in theory and research about human resource management and performance. This paper reviews progress by identifying a series of phases in the development of relevant theory and research. It then sets out a number of challenges for the future on issues of theory, management processes and research methodology. The main conclusion from the review is that after over two decades of extensive research, we are still unable to answer core questions about the relationship between human resource management and performance. This is largely attributed to the limited amount of research that is longitudinal and has been able to address the linkages between HRM and performance and to study the management of HR implementation.