HRM Models in Context

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Pawan S.Budhwar and Naresh Khatri (2001) HRM in Context; Applicability of HRM Models in India  Article’s Rev iew Review Article # 2 Noureen Mushtaq    MM131044 SHRM-Dr. Shazia Akhtar Dated: 22 nd  May 2014

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Pawan S.Budhwar and Naresh Khatri (2001)HRM in Context; Applicability of HRM Models in IndiaArticles ReviewReview Article # 2 Noureen Mushtaq MM131044SHRM-Dr. Shazia AkhtarDated: 22nd May 2014Introduction of the articleTheoratical backgorund of the articleDescription of 5 main Models of HRMMerging with FrameworkBuilding up Research QuestionsMethodologyResultsConclusionEvulation of the ArticleFuture DirectionsNoureen MushtaqArticles ReviewPresentation Layout

Noureen MushtaqArticles ReviewPurpose of Review:The purpose of this review is to see the implications of the study in the context of Pakistan and identify the possible gaps regarding the application in Pakistan industry.

Information of Article:HRM in Context; Applicability of HRM models in India, by Pawan S.Budhwar and Naresh Khatri and is published in International Journal of Cross Cultural HRM in year 2001 Vol1(3):333-356.About the ArticleLets Begin!Indian Context specific: study of one of the Developing Countries of the world

Theoretical BackgroundNoureen MushtaqArticles ReviewzctIncreasing PressureIndian EconomyLiterature has given us various models to deal within and across the nations. Which can be used for appropriate policies and practices development.

That is why there is a need of analyzing that weather the existing major HR models are applicable in a specific context or not.

Present study is helpful in Cross cultural and Industrial Relation perspective.Significance of StudyHistory of Indian EconomyTransformed from State Regulated Economy to a Free Market Economy.

With many Reforms taken place, worked for the Indian Economy and resulted in the largest Emerging Economy in the world.

Second-generation Reforms are taking place currently in India.

Focusing more on Liberalization of Economic Policies

321And reuslting increase in pressure on Personnel Functioning.

HRM as key and central key source to Success and organzational performance

But Dynamic nature of todays world is influencing organztion alot and demanding Change as the only source of Survival and Success

Today is a world of internationalization and globalization than ever.

Cross-cultural and comparative issues are getting momentum now

There are two important objectives of this article

Articles ObjectivesSecond is to test them empirically in Indian context and direct HR patterns in their light.Objective # 2 First to identify the main research questions from Models that can be used to highlight HR practices in different contexts Objective # 1Noureen MushtaqArticles Review12 Variation in HRM strategies

Research questions are focusing on following aspects:Research ThemeArticles ReviewStrategic Fit of HRM practicesContextual Factors and HRMDevolvement of HRM to lineHR as a Cost Strategic Integration of HRMSituational variables of HRM7654321

National Factors and HRM8

6(Budhwar, 1999; Budhwar and Debrah, 2001; Budhwar and Sparrow; 1998)Framework for examining HRM in Different settings and contextsNoureen MushtaqArticles ReviewSuch as national cultures, national institutions, business sectors and dynamic business environmentNational FactorsSuch as age, gender, nature, life cycle stage of organization, trade unions etcContingent variablesOrganizational Strategies123Such as prospectors, analyzer, defender and reactors, Competitive strategies (such as Cost leadership, Product differentiation, Market focus) and polices related with primary HR functions, internal labor market, levels of integration ,devolvement and nature of workMatching Model (Fombrun et al., 1984)5-P Model (Hendry and Pettigrew, 1992) Harvard Model (Schular ,1992)Contextual Model (Beer et al., 1984) European Model (Brewster, 1995) Following Models have been viewed in this articleMain HRM Models12345Noureen MushtaqArticles ReviewMatching Model (strategic fit) and 5-P Model (Strategic Integration)

Harvard Model (soft and hard variant) and Contextual ModelNational Factors European Model of HRMModels + FrameworkAnalyzing for Building Research Questions Organizational & HR strategies/PoliciesNational FactorsOrganizational Contingencies. Noureen MushtaqArticles ReviewWith Reference to the Model

Research QuestionsRelated with Matching ModelModel:RQ1: Do organizations show a tight fit' between their HRM practices and organization strategy where the former is dependent on the latter? Do personnel managers believe they should develop HRM systems only for the effective implementation of their organization strategies?

RQ2: Do organizations consider their HRs as a cost and use them sparingly? Or do they devote resources to the training of their HRs to make the best use of them?

RQ3: Do HRM strategy vary across different levels of employees?1Noureen MushtaqArticles ReviewWith Reference to the Model

Research QuestionsRelated with 5-P ModelModel:RQ4: What is the level of integration of HRM into the business strategy?

RQ5: What is the level of responsibility for HRM devoted to line managers?2Noureen MushtaqArticles ReviewWith Reference to the Model

Research QuestionsRelated with Harvard ModelModel:RQ6: What is the influence of different stakeholders and situational and contingent variables on HRM policies and practices?3Noureen MushtaqArticles ReviewWith Reference to the Model

Research QuestionsRelated with Contextual ModelModel:RQ7: What is the influence of economic (competitive pressures, ownership and control, organization size and structure, organizational growth path or stage in the life cycle and the structure of the industry), technological (type of production system) factors and contingent variables on HRM policies and practices?4Noureen MushtaqArticles ReviewWith Reference to the Model

Research QuestionsRelated with European ModelModel:RQ8: What is the influence of international institutions, national factors (such as culture, legal set-up, and economic environment and ownership patterns), national institutions (such as the educational and vocational setup, labor markets and trade unions) on HRM policies and practices?5Your own footerYour LogoQuestionnaires + In depth interviews Manufacturing industry of IndiaIndian firms having 200 or above employees 6 industries Respondents were top personnel specialists. The response rate was 30% (137 out of 450 questionnaires). 57% firms were public sector while 39% were belonging to private sector. 24 in-depth interviews were also conducted, four in each industry.

MethodologyYour own footerYour LogoResults & ConclusionThere is mixed picture from strong to moderate applicability of the mentioned HRM models in India. This study has highlighted the importance of context by showing Context specific nature of HRM, like in India, the patterns of HRM practices and the logic behind their presence in manufacturing industry of India. There is a shift taking place in the pattern of HRM practices in Indian organization, from traditional administrative type to a more strategic and proactive type. This is mainly due to the competition created by the liberalization of economic policies. There is also a noticeable change in the attitude of trade unions towards their respective management.

Your own footerYour LogoStrengthsimportance of Personnel development nature of HR functions and the factors that are influencing those functions in Indiaadvocated the importance of two needs:1- Need of more cross-cultural studies and 2- Use of Core Research Questions (of HR Models) as mechanism to investigate and understand cross cultural HRM.IR and HRD making HRM to be discussed broadly with reference of both managerial and non managerial employeesFocused on application of models context wise

Your own footerYour LogoWeaknessesThis study is context specific which arises questions regarding its generalizbility.Has focused on the Change, industries are facing across the nations because of globalizationThe data set is consisting of old collection, thus new and fresh data collection was missing to capture change if happened.Employees perspective has been ignoredStudy was also industry specificTHANK YOU!Your Logo