Employee involvement and participation: developing the concept of institutional embeddedness using WERS2004

It is widely accepted that employee involvement and participation (EIP) is a key component of the high commitment bundle of HRM, but that it can take a range of forms in practice. Much of the analysis to date has either treated different forms of EIP as a single construct or has measured EIP by virtue of its presence or absence alone. Drawing on earlier work based on the data from WERS1998 examining the link between various forms of EIP and employee outcomes such as job satisfaction and organisational commitment, the authors re-apply and extend these ideas to data from WERS2004. In particular they develop the concept of institutional embeddedness, in order argue that both the depth and breadth of EIP have important associations with commitment though not with satisfaction.

This association held for workplaces employing 25 or more workers, and here it was apparent that the more that employees are involved at workplace level – through a wider number of EIP practices that are held more frequently and include opportunities for workers to have their say – the more likely it is that investments in EIP will reap the reward of organisational commitment. For smaller establishments, given that they tend to operate with relatively few formal schemes, it is likely that managers in these workplaces find alternative ways in which to engage the workforce, and that informal EIP offer similar levels of embeddedness in these situations. A clear implication to be drawn from the findings is that, in a context of lower levels of formality within organisations (large and small), line managers are more than ever the key link between HR policy and the embodiment of actual practice at the workplace.     

The role of institutional and intermediary forces in shaping patterns of employee involvement and participation (EIP) in Anglo-American countries

Most studies of employee involvement and participation (EIP) focus on organisation level, which is understandable given that employers have plenty of choice about how it should be implemented. However, even the most lightly regulated economies do not operate in a complete institutional void as some forms are regulated while government-funded initiatives also promote EIP. Employers' organisations, professional associations and other specialist organisations also operate as intermediary forces between the state and individual employers to shape EIP. However, these forces have not been analysed, an omission which seems strange given the ‘space’ available for occupation in lightly regulated economies. This paper compares the role these different forces play in shaping patterns of EIP at organisation level in four Anglo-American countries (the UK, Ireland, Australia and New Zealand) through interviews and documentary evidence at national, intermediary and organisation levels. While ‘hard’ institutional forces have some influence on representative EIP, ‘soft’ institutional and intermediary forces are more likely to shape EIP because they allow employers choice and flexibility in implementation and fit with national business systems in these countries. However, given such interventions are voluntary, they are also susceptible if government priorities change or employers are attracted by the next management fad.     

Embedding employee involvement and participation at work

Most quantitative studies analysing the nature and impact of employee involvement and participation (EIP) have used data that differentiate between its absence and presence. However, the application of EIP practices varies substantially, and impact may depend on how embedded EIP is at workplace level. Developing the concept of ‘embeddedness’ as a combination of measures of the breadth and depth of EIP practices, we use WERS98 to examine the impact of EIP on employee perceptions. Our results show support for propositions that greater breadth and depth of EIP practices are associated with higher levels of organisational commitment and job satisfaction.     

Beyond the Anglo‐Saxon and North European models: social partnership in a Greek textiles company

Much of the literature examining social partnership focuses on either Anglo‐Saxon or North European countries, differentiating between liberal market economies (LMEs) and coordinated market economies (CMEs). These studies argue, quite correctly, that the institutional forces shaping partnership in the two types of economy differ markedly, with the consequence that partnership takes somewhat different forms at the workplace. By contrast, there is only limited research on social partnership in Mediterranean economies—such as Greece—even though there are strong reasons to suggest it may be quite different from both LMEs and CMEs because of relatively recent military influence at state level and less well‐developed systems of industrial relations at organisational level. This article examines the forces operating both at national and at local level that facilitate or hinder the development of social partnership. It is based on the results of interviews with government, industry and union officials and a case study of partnership in a textiles company in northern Greece. It concludes that institutional forces provided workers with more protection than they would have achieved in an LME but that ultimately competitive pressures and a lack of effective workplace representation limited the degree to which the state can influence the processes and outcomes of social partnership at local level.     

Combining work and informal care: the importance of caring organisations

Population ageing and rising costs of long‐term care mean that organisations will be confronted in the future with a growing number of employees who combine paid work with providing informal care to a relative or non‐kin. Combining work and informal care successfully partly depends on job and care‐related features, but more information is needed on the importance of organisational aspects in this regard. The impact of organisational support on work outcomes (work–care balance and perceived need for job adaptations) was studied among 1,991 employed informal caregivers in 50 different organisations. Multilevel logistic regression analyses revealed that a heavy care burden decreased the odds of combining work and care successfully. Caregivers who felt supported by colleagues and supervisors, and who worked in supportive organisations had higher odds of good work outcomes. The findings imply that organisations should be explicit about their concern for informal caregivers and be particularly aware of colleagues with heavy care responsibilities.     

Formal and informal appropriation mechanisms: The role of openness and innovativeness

This paper analyses how firms’ degree of openness and innovativeness influence their use of formal and informal appropriation mechanisms. Patents, trademarks, copyrights, and design rights are formal appropriation mechanisms. Secrecy, lead-time, and complexity are examples of informal appropriation mechanisms. Both external search breadth and depth are positively associated with firms’ use of informal appropriation mechanisms, while only external search breadth is positively associated with formal appropriation mechanisms. Firms’ degree of radical (incremental) innovation orientation is negatively (positively) associated with their use of formal appropriation mechanisms. Analysis of the joint impact of openness and innovativeness, suggests that for radical innovators it is external search breadth (rather than depth) that has a positive association with the use of informal appropriation mechanisms. In contrast, for radical innovators external search depth (rather than breadth) is associated with the use of formal appropriation mechanisms. For incremental innovators, external search breadth (rather than depth) is associated with the use of both formal and informal appropriation mechanisms.     

Quality Measurements: Who Is Using the Sums and For What Purpose?

This article by David Preece and Michael Wood examines the deployment of quality measurements in organisational and inter-organisational contexts. Four main issues are addressed: i) the arguments for measuring quality; ii) the managerial objectives which inform quality measurement utilisation; iii) the processes of introduction of quality measurements; and iv) the implications of all of the above for the orientation of the quality measurement (and quality management, where relevant) programme. the article draws on data from case studies of quality measurement adoption, implementation and usage and from empirically-based secondary material – in particular the emerging sociology of work and organisations literature on TQM. the findings point to the importance of locating the analysis of quality measurement utilisation within the wider organisational regimes of adoption and implementation. Issues relating to social control and organisational change are found to be of particular significance.     

Incentives for knowledge sharing: impact of organisational culture and information technology

This research presents and examines an analytical model of knowledge management in which organisational culture dynamically improves with knowledge-sharing and learning activities within organisations. We investigate the effects of organisational incentives and the level of information technology on the motivation of knowledge sharing. We derive a linear incentive reward structure for knowledge sharing under both homogeneous and heterogeneous conditions. In addition, we show how the organisational culture and the optimum linear sharing reward change with several crucial factors, and summarise three sets of methods (strong IT support, congruent organisational culture, and effective employee assessment) to complement the best linear incentive. Our research provides valuable insights for practitioners in terms of implementing knowledge-management initiatives.     

The HR function in purchaser–provider relationships: insights from the UK voluntary sector

This article explores how inter-organisational relations with the state impact on the status of human resource (HR) professionals in voluntary organisations. It reveals a constrained and under-resourced HR function in voluntary organisations, implementing few strategic interventions. Explanations centre on the dynamics of power relations, institutional forces, the exercise of strategic choice and management of risk between purchasers and providers and their interaction with competencies among individual actors, attitudes of senior managers and the focus by voluntary sector managers on organisational mission. It warns that these external and internal factors will produce similar outcomes in sectors and economies characterised by arm's-length contractual relations.     

Achieving supply chain ‘Leagility’ through a project management orientation

Many forces have combined to make today's supply chains more complex than ever before. These forces include the significant trend to out-sourcing; the growth of offshore manufacturing and procurement; the rising demand for customer-specific solutions and the globalisation of markets. The paper highlights the challenges that organisations must address in order to gain and retain competitiveness in today's markets – in particular, the need to achieve ever lower costs while simultaneously enhancing responsiveness. In other words, the need is to develop hybrid supply chains that are both ‘lean’ and ‘agile’. Using a single case study of a global telecommunications company as an example, the authors demonstrate how supply chain complexity can effectively be mastered by adopting a project management orientation and in the process enabling outcomes that are ‘leagile’, that is, both lean and agile.     

Small firms and internationalisation: learning to manage and managing to learn

Small firms contribute significantly to the UK economy, but most research into learning and work features the experience of large organisations. This article focuses on learning and work in small organisations. An interpretive framework relating to organisational learning is derived from the literature. Data on learning in small firms that internationalise are analysed to assess the extent to which models of organisational learning are applicable to the context and challenges they face. The article suggests that the large firm model of learning is inappropriate; the distinctive culture and communication systems of small organisations require different approaches to the acquisition, transmission and interpretation of knowledge. Tacit knowledge, developed through informal learning, is a priority and learning through local business networks is more important than participation in formal programmes. Advocacy of human resource development (HRD) practices based on conventional theories of organisational learning, therefore, may hinder rather than encourage performance in small organisations.     

A cross‐cultural examination of the relationships among human resource management practices and organisational commitment: an institutional collectivism perspective

Previous research has shown that human resource management (HRM) practices vary across cultures. However, little research has empirically compared the effects of various HRM practices on firm‐level or individual‐level outcome variables across cultures. Drawing upon psychological contract theory and the literature on cultural values, the present study examined the effects of three organisational‐level HRM practices on individual organisational commitment in a survey of 2424 individuals in 120 organisations located in four countries and three industries. Based upon the GLOBE study, we classified the four countries into two groups – high versus low institutional collectivism. The results of our hierarchical linear modelling (HLM) analyses found significant differences in the effects of organisational‐level HRM on individual organisational commitment across cultures for two of the three HRM practices included in our model: training and teamwork. We also found partial support for differences across cultures for the effects of the third HRM practice: employee involvement in decision making. Overall, our results support the utility of theoretical and empirical models that address multiple levels of analyses to better understand the mechanisms through which the HRM‐performance link takes place across national cultures.     

Why resilience managers aren’t resilient,and what human resource management can do about it

Abstract

Prior resilience research typically focuses on either the individual or the organisational level of analysis, emphasises resilience in relation to day-to-day stressors rather than extreme events and is empirically under-developed. In response, our study inductively theorises about the relationships between individual and organisational resilience, drawing upon a large-scale study of resilience work in UK and French organisations. Our first-hand accounts of resilience work reveal the micro-processes involved in producing resilient organisations, and highlight the challenges experienced in doing resilience work in large organisations. We show that these micro-processes have significant implications for resilience at both individual and organisational levels, and draw implications for how HRM interventions can help to promote individual, and thus organisational, resilience.     

Unlocking the value of artificial intelligence in human resource management through AI capability framework

Artificial Intelligence (AI) is increasingly adopted within Human Resource management (HRM) due to its potential to create value for consumers, employees, and organisations. However, recent studies have found that organisations are yet to experience the anticipated benefits from AI adoption, despite investing time, effort, and resources. The existing studies in HRM have examined the applications of AI, anticipated benefits, and its impact on human workforce and organisations. The aim of this paper is to systematically review the multi-disciplinary literature stemming from International Business, Information Management, Operations Management, General Management and HRM to provide a comprehensive and objective understanding of the organisational resources required to develop AI capability in HRM. Our findings show that organisations need to look beyond technical resources, and put their emphasis on developing non-technical ones such as human skills and competencies, leadership, team co-ordination, organisational culture and innovation mindset, governance strategy, and AI-employee integration strategies, to benefit from AI adoption. Based on these findings, we contribute five research propositions to advance AI scholarship in HRM. Theoretically, we identify the organisational resources necessary to achieve business benefits by proposing the AI capability framework, integrating resource-based view and knowledge-based view theories. From a practitioner’s standpoint, our framework offers a systematic way for the managers to objectively self-assess organisational readiness and develop strategies to adopt and implement AI-enabled practices and processes in HRM.     

Role-bound actors in corporate combinations: a sociopolitical perspective on post-merger change processes

Real-life experiences of corporate mergers often tell of disappointment in terms of the synergistic benefits that fail to appear, or the severe organisational problems that arise. Although many studies have provided empirical material on internal divisions among actors coming from the previously separate organisations, we still know little about the sociopolitical forces at work in the upper echelons of corporate hierarchies. It is suggested in this paper that an examination of the emergent role identities in the upper echelons of a new corporate hierarchy can help us to understand the nature of these sociopolitical forces. The empirical analysis concentrates on a revealing merger case where Finnish Ovako and Swedish SKF Steel first joined forces, but where their organisational marriage broke down five years later. This analysis illustrates how behaviour consistent with the enacted role identities can create contradictory sociopolitical forces, and how this can lead to increasing tension and severe open conflict. The analysis suggests that a favourable turn in the business cycle is a condition that can easily hide such divisions with dramatic consequences later on.     

Responsibility accounting,managerial action and ‘a counter-ability’: Relating the physical and virtual spaces of decision-making

This study examines how the economic structures of responsibility accounting (RA) affect decision-making and managerial action. It analyses how decision rights transform and affect managerial action and argue that functionalist approaches to organising a company through RA principles are inexpedient. The argument is based on two spaces related to decision-making and managerial action – physical space and virtual space – and addresses the managerial effects of RA with respect to these spaces. The RA literature argues that the design of RA should be based on its context and its structure should be stable. However, the study presented here shows how the effects of RA emerge in a process of development and transformation of the organisation. When an organisation and its management control system cannot embrace the dynamism of the physical space, the resulting managerial actions and decision-making are tumultuous; accountability in this context means possessing ‘a counter-ability’, not being ‘accountable’. Accounting forms a virtual organisational space, and the relationships between physical and virtual spaces co-construct the organisational effects of RA.     

Collective bargaining towards mutual flexibility and security goals in large internationalised companies—why do institutions (still) matter?

This paper examines the potential of collective bargaining to generate mutually advantageous flexibility and security outcomes at firm level. By focusing attention on actors' negotiating capacity at sites in Denmark and Italy of four large chemical-pharmaceutical companies, it provides a nuanced, comparative explanation. The findings demonstrate that, across countries, differences in actors' capacity and negotiated outcomes are attributable to the stability and depth of collective bargaining institutions. Within country differences are accounted for by the organisational resources (internal democracy, external links and pro-activity) of local trade unions, which condition their capacity to induce management to negotiate outcomes which benefit both parties.     

Age diversity management and organisational outcomes: The role of diversity perspectives

Several macro‐level and meso‐level factors have led to unprecedented proportions of aged employees in organisations, resulting in higher levels of age diversity. Little is known about which age diversity practices and programmes are effective in which types of organisations for which outcomes. Derived from social exchange theory, this paper proposes and tests positive relationships between age diversity practices and organisational outcomes and work‐life programmes and organisational outcomes. Derived from contingency theory, it also proposes and tests for a moderating effect of diversity perspective (fairness and discrimination vs. synergy) on the two main relationships. Data were collected from 248 medium to large‐sized for‐profit organisations. The results partially support both main effect hypotheses and one moderating effect hypothesis. The findings suggest different organisational outcomes for age diversity practices and work‐life programmes. Theoretical and practical implications are discussed.     

Information but not consultation: exploring employee involvement in SMEs

Most research on employee involvement (EI) has focused on large or ‘mainstream’ organizations. By adopting those schemes which ‘appear’ to work well in larger organizations, smaller firms assume there will be enhanced employee commitment beyond formal contractual requirements. The main question in this paper is whether EI schemes designed by management will suffice under the 2004 Information and Consultation of Employees (ICE) Regulations. The paper focuses on SMEs which tend to favour informal and direct EI, and it remains unclear how these methods will be played out under the new regulatory environment. Evidence from four case studies is presented here and it suggests that the ICE Regulations impose new challenges for smaller firms given their tendency to provide information rather than consult with employees. It also appears organizational factors, workplace relations history and the way processes are implemented at enterprise level may be far more important than size itself.