63
29 CHAPTER 2 REVIEW OF LITERATURE 2.1 Prelude Many studies on human resource management have been made, mainly focusing on large and complex modern enterprises both in private and public sectors which do not provide much insight into the aspects of transport corporations, more particularly in the field of Human Resource Management. Some of the important studies conducted on human resource management relating to study are reviewed in this chapter. Negandhi and Barnard Estefan‟s (1965) study of 36 companies in 5 major towns in India reveals that the majority of the Indian organizations neglected training and development aspect of HRM and have concentrated only into secondary functions. Some organizations strongly hold the traditional view that managers are born and not made. These organizations just do not believe in training. In fact, some follow up studies have also indicated that management attitudes hardly change as a result of training, even cognitive (or) intellectual learning does not seem to take place. Dixit M.C. (1972) study on “A study of the Poona Municipal Transport Corporation with reference to its service efficiency from 1959 onwardshas indicated the cost, revenue and operational efficiency, as well as the pricing policy of the PMTC. Besides, a consumer opinions survey with regard to its performance has also been undertaken.

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29

CHAPTER 2

REVIEW OF LITERATURE

2.1 Prelude

Many studies on human resource management have been made, mainly

focusing on large and complex modern enterprises both in private and public sectors

which do not provide much insight into the aspects of transport corporations, more

particularly in the field of Human Resource Management. Some of the important

studies conducted on human resource management relating to study are reviewed in

this chapter.

Negandhi and Barnard Estefan‟s (1965) study of 36 companies in 5 major

towns in India reveals that the majority of the Indian organizations neglected training

and development aspect of HRM and have concentrated only into secondary

functions. Some organizations strongly hold the traditional view that managers are

born and not made. These organizations just do not believe in training. In fact, some

follow up studies have also indicated that management attitudes hardly change as a

result of training, even cognitive (or) intellectual learning does not seem to take place.

Dixit M.C. (1972) study on “A study of the Poona Municipal Transport

Corporation with reference to its service efficiency from 1959 onwards” has indicated

the cost, revenue and operational efficiency, as well as the pricing policy of the

PMTC. Besides, a consumer opinions survey with regard to its performance has also

been undertaken.

30

Rudrabasavaraj M.N. (1976) study of 12 leading organizations in the private

sector shows that the majority of Indian organizations in the private sector do not

follow the procedure to select people for various training programmes, which is

irrational. Not frequently those persons are sent for training by either finding them at

a loose and not suitable slot being readily available for their posing or for want a

holiday at company expenses.

Vasudeva, P. and Rajbir, L. (1976) commented that although a number of

factors: intrinsic wages, opportunity of advancement, security, company and

managements, social aspects of job, communication and benefits are related to job

satisfaction, it is the interaction among these factors than any one of them in isolation,

that accounts for job satisfaction.

Raghvan (1978) the Ex-Chairman of Bharat Heavy Electricals Ltd. (BHEL)

stresses the need for worker‟s participation in management. According to him,

“participation of workers in the management of undertakings, establishments, or other

organizations engaged in any industry is underscored by the constitution of India”.

Sharma (1978) studied twelve organizations in different parts of the country to

examine labour force commitment. With a sample of 1971 industrial workers, he

came to the following conclusion: much of the tension and strike that pervade the

industrial relations scene today can be explained by the alienation of the Indian

industrial worker. Correlation analysis showed that, the workers‟ attitude and

orientation towards both the company and the job are not influenced by their socio-

cultural background. Instead, these are significantly found associated with the

following sets of factors : a) preference for industrial work, b) personnel policies and

practices, c) work technology, and d) union involvement. He suggests that it is futile

31

to blame factors such as socio-cultural background or rural / agricultural origin of the

workers as the cause of low commitment. He suggests improvement in two areas,

a) work technology, and b) organizational culture.

Kulkarni S.D. (1978) in his study entitled, “Working and problems of

passengers road transport in Maharashtra” has studied the working of public

passenger road transportation in Maharashtra state and discussed the problems in the

light of future growth of MSRTC.

Gangadhara Rao M. (1978) research work titled “Industrial Relations in Indian

Railways” is a study of the personnel and union management relations with special

reference to the post independence period. This study has examined in detail the

problems of railways employees. The study has revealed that the operational

efficiency of the railway has increased over the period and the labour productivity has

gone up on account of the introduction of incentive plans. The study has also

emphasized the paramount necessity of bringing about harmonious relations between

the workers and management.

Vijay Kumar K.C. (1979) in his paper on “Operating cost of Public Sector

Transport Undertaking in India”, has developed prediction, estimation and assessed

the contribution of each item of operating cost to the total cost. He concluded that

when kilometer run increases, cost also increases except depreciation, cost on

personnel and interest on capital.

Bagade M.V. (1980) in his study “Management Information system for

passenger bus transport industry (A special study of Maharashtra State Road

Transport Corporation) has designed MIS for transport industries taking into

consideration the three management levels. Top (or) corporate management, middle

32

(or) executive management and the operating management level, with a focus on

MSRTC as a case.

Mahesh Chand (1980) in his study “Current issues in Public Road Transport

Management” has made an attempt to evaluate critically the pros and cons of

nationalization as well as the constraints of public transport management. He has

highlighted its advantages to the economy and society at large and emphasized that

nationalization of passenger road transport should be given a strong momentum to

complete the process of the nationalization at the earliest.

Arya P.P (1980) investigated 1) nature and the extent of workers participation

in decision-making, 2) the desire and the capacity of workers to participate in

decision-making, and 3) the acceptance of the concept of workers‟ participation on

decision- making by management personnel and trade union leaders in two large

public sector undertakings having divergent industrial relations setting. The

important findings of the study were that workers‟ involvement in participation was

higher where the workers‟ representatives to participative forums were elected than

where they were nominated by the recognized unions; that there was no significant

relationship between workers‟ education and their participation in bipartite

committees; that the desire of workers to participate in management through the union

are not effective; that the higher the acceptance by management of workers‟

participation in decision-making the higher would be their actual participation; and

that where the majority of bipartite committees are elected by workers. Trade union

leaders, by and large, do not want a rival in the form of these committees.

Sekaran V. (1981) used a multi-variate cross-cultural approach to explore the

meaning of two attitudinal concepts – job involvement and job satisfaction. His

33

sample consisted of 267 white collar workers from US banks and 307 from Indian

banks. He found that in both the cultures, job variety and stress were the two common

predictors for job satisfaction. Income was a third significant predictor in the US

while communication was the third additional predictor in India. For job

involvement, age appeared to be a differential predictor. He concludes from his

study, that a manager should concentrate on job design and stress reduction to

enhance the job satisfaction of employees in both cultures.

Sinha and Sahaya (1981) opined that even the best sophisticated and modern

equipment could give no result if the human machinery marshaled to operate them

was not sincere, effective and efficient in using them to the best advantage of the

organisation. So, he urged the personnel management to create conditions under

which each individual employee would not only give maximum job performance, but

would also feel maximum job satisfaction.

Rajeswar Rao (1982) in his study on “Management effectiveness in transport

Operations – A case study of Delhi Transport Corporation” has made an attempt to

study the management efficiency and effectiveness in managing the affairs of Delhi

Transport Corporation (DTC). According to him, DTC in the public sector appeared

to have suffered severe setback due to management‟s ineffectiveness in most of the

important functional areas and this has led to heavy and mounting losses and the

consequent capital erosion. The author has suggested that DTC immediately needs

greater governmental support and control, scientific organizational infrastructure,

effective mechanism for planning and control of traffic operations, efficient

engineering and fleet maintenance services, sound financial management practices

and optimum use of the available resources viz., men, materials and fleet.

34

Patty D. Renfrow (1982) study of 104 “non – user” enterprises reveals that

only in a few big industrial organizations of our country, training programme are

conducted in terms of specific organizational needs and the peculiarities of the

industry concerned. Employees‟ needs of training in these organizations are

determined through supervisory recommendations and analysis of job requirements;

and employees themselves suggest the type of training needed by them.

Devasahayam (1983) in his study on “State Road Transport, making the

undertaking profitable” has pointed out that the SRTUs can be converted into

profitable instruments if only the management is oriented towards a culture of cost

effectiveness. There should be more dialogue and better communication among states

and between states and the centre on this subject. The association of state road

transport undertakings, which is the apex body of all the SRTUs can be advised to

play a more effective and meaningful role in this respect.

Emphasizing on human beings in the organization, Buchanan and Boddy

(1983) discussed that human force is more important than economic market forces. It

is, therefore, important that work is organized to develop skills and motivation for

organizational effectiveness.

Singh and Dewani (1983) found that overall job satisfaction in nationalized

banks was significantly related to position in the bank hierarchy, with managers

reporting the highest degree of job satisfaction followed by accountants and clerks.

Managers and accountants also reported greater feelings of security, adequacy and

acceptance by appropriate authorities.

Edwards (1984) discussed, about the robots replacing the executive of skilled

tasks. The robot system may reduce human employees job satisfaction and it is

35

suggested that greater emphasize should be placed on design and implementation of

procedures to ensure safety and improvement in the quality of working life for

humanity.

The aim of the study of Maccobby Michael, (1984) is to identify the job

satisfaction of employees and supervisory of Bell System employees over a 5-year

period. He found that the employees and supervisory staff were satisfied with pay

and benefits and motivated to work productively, but they were dissatisfied with

technology and perceived too much supervisory control. They believed that they were

mismanaged, pushed around, not listened to, and that the spirit of service was being

eroded by the drive to increase profit.

Render (1984) studied that only 7 organizations found that their executives are

highly involved and take counseling seriously; few executives of eight organizations

have taken counseling seriously. These company executives felt that it is ritual and

not much things really happens out of counseling the employees.

Santhosh Sharma (1985) in his book “Productivity in Road Transport” has

identified the critical factors which lead to economies and diseconomies in bus

operation and presented a comprehensive approach in designing optimal operating

systems through efficient planning in operational as well as functional areas.

Patankar P.G. (1985) in his book on “Road Passenger Transport in India,” has

presented his views on the nationalized bus transport sector, identified the problems

besetting this sector and suggested appropriated solutions.

Harrison (1985) emphasize on participative decision making, a necessary

precondition for successful communication between superior and subordinate, but

36

Griffeth (1985) says contrary to this hypothesis of participation and confirms that it

does not enhance the effects of enriched workers.

Kanungo (1986) conducted a study on reward system mechanisms and found

that reward systems are designed to attract individuals with the knowledge ability and

talents demanded by specific organizational tasks. Reward systems are designed to

retain valued and productive employee who perceive the reward system as fair and

equitable, relative to the market. Reward system are designed to motivate individuals

and group within the organization to maintain regular attendance and higher

standards of performance on the job and it can also promote among its members

certain favorable attitude towards the organization itself .

Murthy S.S. (1986) in his study “Criteria for evaluation of STUs” has

highlighted the limitations of the conventional parameters of evaluating the

performance of STUs and suggested a new methodology known as “Capital Recovery

Index” which emphasizes the ability of STUs to generate cash and recoupment of

Investment.

Bagade M.V. (1986) in his study entitled “A new look at performance

appraisal of STUs” has evolved two types of methodology for evaluation of STUs;

one is known as “Quality of Service Index (QSI)” designed to measure the

effectiveness of the quality of operation. It is a weighted index computed by assigning

appropriate weights for the responses of the passenger relating to safety, reliabilities,

punctuality and regularity of operations. The same methodology has been followed in

this thesis. The second is known as “Data Envelopment Analysis” which aims to

measure the overall productivity of STUs, in terms of “input made and output

produced”. It is widely accepted by transport economists.

37

Patankar P.G. (1986) in his study “Quality in Road Passenger Transportation”

has emphasized the quality in service sector, especially road transport. He has

prescribed certain parameters to judge the quality of service offered by the transport

undertaking such as punctuality, reliability, passenger amenities and comfort,

incidence of breakdowns, accidents and nature and quantum of public complaints. He

has concluded with an appeal to the STUs to uphold the motto of service of travelers.

Anandram (1987) found that Human Resource Development (HRD) has not

yet taken root in Pune based industries. He also found that HRD is practiced more in

public sector than in private sector industries. Anandram‟s study of Pune based

industries indicated that training policy and training facilities do not exist in most of

the organization and even large organizations were found to pay sympathy to

training.

Ham Paavwe and Williams (1987) say that much publicity has recently been

given to the attempts of remitter of organizations to improve the flexibility of their

human resources. By this what is normally meant is to keep their labour cost closely

related to their level of business activity. There are two major ways in which such

organizations attempt to link these human resource cost to their business operations.

Some variety of payments by results or profit sharing system and changing the

members‟ or employees‟ contractual relationships. It is generally accepted that the

flexible pay systems cannot be totally made flexible but require some core proportion

of earnings to be stable over time. The necessity for stability arises because of the

difficulty for the organization of managing of totally flexible system.

Subramaniyan P (1987) in his book “Organizational set-up of Road Transport”

has made “a comparative study of Andhra Pradesh State Road Transport Corporation

38

with road transport corporations in other states” and suggested organizational

measures are needed to revitalize the road transport services in Andhra Pradesh to

combat the problem of increasing losses.

Arora S.K. (1987) in his book “Economics of Management in road transport

industry” has focused on the problems of management in the road transport industry

in general and suggested various techniques for evaluation of STUs in particular.

Besides, he has made a comparative performance evaluation of privately managed

road transport industry vis a vis state managed industry in Punjab state and concluded

that both the public sector undertakings Punjab Roadways and Punjab Road Transport

Corporation are operating much beyond their equilibrium levels and any further

sanctioning of routes to them will only increase losses rather than yield profits. Only

the private operations are operating below the equilibrium level and there is a scope

for increasing their capacity utilization and hence returns.

Alan Armstrong, Wright and Thiriz Sebastian (1987) in their study for the

world bank entitled” Bus services – reducing costs, raising standards” have examined

the nature, quantity and quality of bus services in cities of developing countries,

which include the ownership of bus services and the variety of vehicles and the

services, as well impact on viability and standards. The report also includes a set of

performance indicators, with desirable level of performance to measure and monitor

the performance and quality of urban bus services.

Ratan Kumar Singh (1988) in his book “road transport and economic

development” has evaluated the critical role played by road transport as a basic

infrastructure in economic development and analyzed the correlation between the

development of road transport and that of other vital sectors of the economy in

39

relation to Bihar state. He has studied the Bihar State Road Transport Corporation as a

case and suggested certain guidelines for a suitable road development policy for Bihar

and steps to be taken to improve the working and performance of the Bihar State

Road Transport Corporation.

David Maunder et. al., (1988) of the overseas unit of the Transport and Road

Research Laboratory (TRRL) of UK in their study on “Matching supply and demand

in India‟s public Transport” have brought out the present scenario of passenger road

transport operations in Indian cities at macro level, as well as a detailed study on the

operations of Delhi transport corporation. They also studied the travelers, options

between conventional stage carriage buses and private transit or Intermediate Public

Transport Modes (IPTM) which include mini buses, tongas (horse – drawn carts) and

all forms of rickshaws (cycle, auto and motorcycle) in three cities viz., Vadodaro,

Patna and Jaipur and they concluded that by and large urban public transport in India

performs well, given the limitations of resources available.

Parmar P.D. (1988) in his study entitled “GSRTC performance: Remedy to

recover losses,” has studied the performance of Gujarat State Road Transportation

corporation from the year of its inception i.e., 1960 to 1985 – „86 and stated that

GSRTC‟s performance is satisfactory as for as infrastructure and public utility service

are concerned. However, as a commercial venture, it is a drain on the limited

resources of the state because of huge losses and suggested the differential pricing to

prevent losses and suggested the differential pricing and effective management to

achieve the optimum efficiency and productivity so as to make up the losses.

Diandas J (1988) in his edited book on “Private Bus Transport in Sri Lanka –

its performance, Productivity and manpower”, has studied the operations of private

40

Omni bus transport industry in Sri Lanka with special reference to the people who

work in it. It mainly focuses on the working environment of the crew members as well

as their socio – economic background.

Jegadish Gandhi (1989) in his paper “State Transport undertakings in southern

states, a comparative study” has presented comparative performance analysis of

public road passenger transport system in southern states viz. Andhra, Karnataka,

Kerala and Tamil Nadu.

Sriramulu C.T. et. al., (1989) in their paper on “V” and “J” “Service A New

Concept in Urban Transit in Madras” have studied the efficiency of the “V” (Limited

Stop services” service and “J” (Selected Stop services) service introduced by the

Pallavan Transport corporation, in madras city.

Arya P.P., (1989) in his research work titled “Labour Management Relations

in public Sector Undertaking “has stated that important role has been assigned to the

public sectors and they should function as model employers.

Patro G.C., (1989) in this study titled “Human Resource Management in

different manufacturing industries” has investigated empirically into the personnel

policies, structure and functioning of personnel departments besides highlighting the

practices relating to personnel administration, industrial relations and labour welfare

in the industries of India.

Jerome Joseph (1989) in his article “Politico Legal Frame work of the right to

strike – A micro level case study” in the state owned passenger road transport

corporations in South India has explained the major causes of planned strikes such as

wage settlements, bonus and working conditions. According to him the planned

41

strikes have declined since 1977; he has also stated that the major causes for wild cat

strikes as busmen traffic police altercations, busmen public problem, busmen student

problem, the worker supervisory staff altercations.

Kulshrestha D.K. (1989) in his book on a “Management of State Road

Transports in India” has dealt with various managerial problems of state road

transport under takings in the country and suggested measures to lower down the cost

of bus operation as well as to improve the present level of income of the operators.

Panduranga Rao (1989) has edited a book on “Dimensions of Rural

Transportation” which is based on the deliberations of an international seminar held in

1988 at Visakhapatnam. The book contains thirty contributions of experts, divided

into four themes 1) Role of Transport as the strategy for rural development, 2) Rural

transport scenario in India and abroad, 3) Energy Technology adoption, safety and

environmental aspects of rural transport, and 4) Rural road network planning and

development.

Raman A.V (1989) in his paper on “Case against Privatization” has brought

out the manifold advantage of nationalizing passenger road transport. The social and

political advantages far outweigh the arguments for the role of the private sector.

Also the benefits of economy of scale, operational efficiency, passenger benefits of

employees, welfare would accrue more tangible in the public sector than in the private

sector. The only argument against public sector road transport is its financial

performance. Here too, many external factors such as non – reimbursement of social

costs, administratively fixed fare structures, are the causes rather than any deficiency

of management.

42

Sudarsanam Padam (1990) in his book on “Bus transport in India” says that

the structure, management and performance of “Road Impact” of the organization

structure of the selected road transport corporations on their performance and

suggested suitable modifications in their road structure so as to improve their

performance.

Ossewaarde J.M. (1990) in his paper “Public Transport – Future Perspectives”

has concluded that public transport no longer lives for the purpose of financial gains

in public interest and well being.

Raman A.V. (1990) in his paper “The Relationale of Nationalization of

Passenger Road Transport” has outlined the socio, economic and political advantage

of STUs compared with that of private bus operators.

Bagade (1990) in his paper “What Ails State Transport?”, has discussed the

external environment and government policy which have a cumulative effect on the

adversial financial viability of the STUs and stated that the road transport is an

important infrastructure for development of the nation and is to be left more and more

with the government than in the hands of private operators.

Hanumanthan Rao Ch. (1990) in his paper “Nationalized Passenger Road

Transport in India – A Perspective” has discussed the role of STUs as a public

enterprise and stated that the STUs should have long term perspective plans in the

changing context of policy prescription. His recommendations include diagnostic

studies for major loss making STUs, commissioning of study projects on comparative

transport operations in private vs public sector.

43

“Frontiers of Management Science” – training and development of

executives” by T. Jogaiah, (1990) was a rigorous and an in-depth study of training and

development of executives in the Indian power sector, the first of its kind in the

country. Apart from providing a strong theoretical and conceptual foundation on

training and development of executives, it covered an exhaustive study of the power

sector problems and prospects concerning personnel policies, HRD policies and

practices relating to executive training and development and institutional training

network in the power sector.

“Excellence through Human Resource Development” by M.R.R Nair and T.V.

Rao, (1990) an edited compendium, focused on chief executive‟s views and

experiences on HRD. It also dealt with the HRD philosophy, importance, macro level

issues, expectations of like managers and workers from HRD, role of HRD managers,

dimensions of developing HRD facilitators and programmes.

Menon P.K.S., (1990) in his book on “Personnel Management in Banks” has

analyzed the various procedures, practices and policies prevalent in personnel

administration of banks in India.

Hanumanthan Rao CH (1990) in this paper “ Comparative study of certain

traffic parameters in selected STUs” has evaluated the performance of the major

STUs in India using certain selected traffic parameters such as vehicle utilization,

crew utilization and occupation ratio.

Sudarsanam Padam (1990) in his paper on “Nationalization of passenger Road

Transport looking back and looking forward” has traced back the historical account of

STUs and the circumstances under which it has been brought forth, so as to illustrate

that public sector has been introduced into bus transport industry due to the inability

44

of the private sector to operate efficient and adequate services and to provide social

welfare. He has also cautioned that any attempt to revive private sector would bring

back the deficiency of private sector operation.

Rajesh Chandra (1991) in his study on the “Financial performance of Delhi

Transport corporation A social accounting approach” has analyzed the performance of

the DTC in financial terms as also in the context of social and economic benefits

provided by it to specific sections of populations such as students and physically

handicapped in Delhi and suggested that the revenue loss resulting from such benefits

should not be treated as financial loss.

Halder Dilip Kumar (1991) in his study “Public Undertaking in Motor Bus

Transportation in the City of Calcutta an Economic Analysis and Programming

Solutions” has assessed the performance of the Calcutta State Transport Corporation

in general and with particular reference to the private operations in Calcutta and

offered suggestions to CSTC in the areas of scheduling of vehicles, management of

labour, maintenance of the fleet and development of a team of experts with the

corporation.

Raghunadhan V et. al., (1991) have under taken study on behalf of “ASRTUs

on Passenger Transport in India – A customers perspective” and observed that the

task performed by the STUs, given the Socio economic, and environmental conditions

is commendable and also felt that still there is room for improvement and suggested

certain areas in which STUs have to improve their performance.

Thalavai Pillai (1991) in his research study entitled “Transport Corporations in

Tamil Nadu – A Study of performance of Pandiyan Roadways Corporation Ltd., and

Cholan Roadways Corporation Ltd.” has made a comparative evaluation of the

45

performance of the two state owned transport corporations of Tamil Nadu namely

Pandiyan Roadways Corporation Ltd. and Cholan Road Transport Corporation Ltd.,

Apart from evaluation of physical, financial and social performance, the opinion of

the bus users as well as the employees towards the working of the respective

corporations had also been dealt with.

Anand Swaroop Behara (1991) in his paper on “methodologies for

augmentation of Bus services on existing Routes in STUs” has suggested two models

to work out augmentation of buses in STUs, one based on adequacy criteria and the

other on break down concept and argues that a balance has to a achieved between the

two while finalizing the plans of augmentation.

Deshmukh A.R. (1991) in his paper on “creative accounting, a new social cost

benefits approach to read the balance sheets of STU”; a case of MSRTC, has

reiterated the unfavourable factors responsible for the mounting losses of STUs and

viewed that the present accounting policies in STUs are not proper. He has argued

that the STUs are working against many odds and therefore, if some of the present

accounting policies followed by them are reversed, it can result in a much needed

turnaround from loss making to profit making.

“Readings in Human Resources Development” by T.V. Rao, (1991), an edited

compendium, started with a conceptual framework on development and integrated

HRD and ended with an account of the research in HRD. It also focused on HRD

instruments like performance appraisal, potential appraisal, counseling, training and

rewards and implementation of the same in different organizations. It also dealt with

HRD in government systems, primarily focused on educational system”.

46

Kane, Crawford and Grant (1991) in their study, developed scales to measure

the extent to which organizations exhibited “soft” or “hard” approaches to HRM and

the extent to which potential barriers can be tolerated to the effective operation of

HRM. The sample comprised 549 employees, managers and HRM staff across a

wide range of types of organizations in Australia, New Zealand , the USA , the UK

and Canada while the result supported the contention that HRM effectiveness can be

achieved via both “soft” and “hard” approaches; several barriers to HRM were

identified and there were little evidence that organizations generally operated HRM

policies and practices that were seen as effective. Although very few differences

between countries were found, the authors suggest the barriers identified and related

ineffectiveness of HRM may be all the more detrimental to the competitiveness of

Australian and New Zealand organizations in light of the recent economic downturn

in the Asia Pacific Region.

Rami Reddy (1991) in his article titled “Problems and Issues of Public

Relation in State Transport Undertakings” has studied the problems and issues related

to public relations in transport undertaking and general public; the quality of services

identified with crew, and expectation of the public with STU. He has concluded that

if there is good relation with employees and public, it would improve the quality of

the image of the STUs.

Joshi S.S., et. al., (1991) in their article titled “Recruitment, Training and

Manpower Development in Bombay Electric Supply and Tramways Co. Ltd.,

(BEST)” have indicated the necessity of training to the staff at all levels of manpower

planning in public transport undertakings. They have suggested that proper

recruitment, training and manpower development are most important at every level of

47

the organization so that it results in efficient management and effective utilization of

all resources, especially in Transport undertaking.

Keni D.R. (1991) in his article titled “Productivity measures in Bombay

Electric Supply and Tramways Company Limited (BEST)” has studied productivity,

productivity measures, and staff motivation. Regarding the staff motivation, he has

studied the training to employees, inspection, retrieving of spares used on the buses.

He has suggested that the production-oriented incentive bonus scheme, incentive

scheme for improving utilization of capital assets and improved services to internal

employees would improve better man power utilization in any organization.

Narayana Reddy (1991) studied the working life of workers in three large

scale garment units in Goa and suggested measures to motivate the workers to

eliminate their grousing.

A study was conducted in 7 manufacturing factories (Adhikari, 1992). The

study revealed that: a) the shop floor jobs in Nepal were generally considered routine

and non-motivating, b) overall consensus among workers was that job design

dimensions were unsatisfactory on the shop floor, and c) interestingly, although the

jobs were routine, non-motivating and unsatisfactory, there was no effect on workers

remaining on the job, due to their economic necessity alone. In the same study it was

observed that jobs were very simple and repetitive and less challenging and it is

explored that the main motivating factor in the job was the money. The study further

asserts that workers were strongly in favour of pay rise. Workers were less creative

and innovative and it was noticed that the strongest factors on the job were: pay rise,

opportunity for overtime work and money for the education of workers‟ children.

And the most dissatisfying factors on the job were larger size of family, severe off the

48

job stress, lack of opportunities in the labour market, lower social status, difficulty in

meeting the costs of living and limited opportunities to join trade unions and

occupational schools.

Quillien and Olila (1992) says that global competition and rapid market

developments preoccupy top management today. They have less time to look after

internal issues. If not checked this preoccupation with the external world will leave

top management in the same position as the military commands who may have a

brilliant battle plan but does not know or understood the nature of his own troop to be

successful and the required skill in management. In depth quality of knowledge of the

companies, people and the corporate culture are required to bind them together.

Typically top management requires quality information. They work on unchecked

hunches and filtered shallow information. By retooling the frequently underutilized

human resource manager, his analytical skill for cultural analysis and general

management can be further strengthened with the help of skilled and knowledgeable

co pilots and internal change agents.

Kenneth Todd (1992) in his article titled “Pedestrian Regulations in the United

States - A Critical Review” has highlighted the legal rights related to drivers and

pedestrians in transport undertaking in the USA. He has concluded that the improved

communication between road users and drivers is aimed at reducing disputes among

the transport employees and traffic control so as to encourage better drives in

transport undertakings.

“Human Resources management in public service” by Santrupt

Misra, (1992) was an empirical research study of Orissa education service. This study

dealt with theoretical perspectives of human resources and education, recruitment,

49

selection, induction and placement, training and development of teaching personnel,

their motivation, integration and job satisfaction, performance appraisal, career

development, discipline and grievance handling. Since the research study was

operational in nature, a number of suggestions have also offered on the basis of

findings.

Aston and Lavery (1993) examined the possible benefits of the workplace

experience for women in terms of rewards and concern intrinsic to the job, rewards

and concern intrinsic to the job, social support and cynicism. Results reveal that

intrinsic factors were generally related to psychological well being, while extrinsic

factors were most closely related to physical health. A cynical attitude was found to

influence the value of work life or role, with effects being particularly marked in the

clerical group.

Murali Krishna P. (1994) defines human resource development including the

factors like manpower planning, training and development, performance appraisal,

compensation, working conditions, work environment, employees‟ aspects of

opportunity for the development of human capabilities, career planning for the

improvement in Bharat Heavy Electricals Limited.

Rao M.G (1993) in a compendium threw light on the complexities of

managing human beings in the present day organizations. The various aspects of

HRM in relation to small scale units operating in industrial estates have been

presented initially, followed by theoretical presentation on HRD, different aspects of

training, organizational development, employee participation, etc. The effects of

training and employee development activities have been put to close examination. It

50

also attempted to find how the employee-related activities flourish in various other

sectors like urban government, co-operative, informal sector and small-scale sector.

“HRM” by P. Subba Rao, (1993) a compendium, presented the various

developments in the HRM in a comprehensive form. It also attempted to look into the

current trends in the Human Resource Function with a view to outlining the future

development that are likely to take place in the years ahead. It also discussed in a

lucid manner the topics such as job analysis, job evaluation, employee benefits,

recruitment and selection, line staff conflicts, social responsibility policies along with

other current topics such as organizational culture and climate, organizational politics,

organizational effectiveness, follower-ship, participative management, dual career

problems, quality of work life, quality circles and organizational development.

Prem Babu (1993) in his article titled “A Study of Industrial Relations and

Grievance Procedures in Greater Manchester Buses Ltd., (GMBL) United Kingdom”

has presented the grievances machinery, need for disciplinary procedures, types of

misconduct and the role of industrial tribunals and labour courts. Further, he has

suggested that the operation of collective bargaining machinery, grievance procedure

and periodic meetings with the union would minimize not only the grievances but also

promote healthy industrial relations in GMBL.

Prem Babu (1993) in his article titled “Human Resource Development in

Greater Manchester Buses United Kingdom” has highlighted the details of human

resources department of GMBL, training and development and leadership problem in

the GMBL. He has concluded that the training programme for managers and

supervisors in GMBL would be the need of the individual managers and supervisors

for overall improvement in the performance of the GMBL Company.

51

Lan Clark (1993) explores the burgeoning literature on HRM with aim of

assessing its distinctiveness in term of the arguments expounded by Guest in 1989 in

her article “Personnel management or HRM; can you feel the difference?

Summarizes and draws out three main approaches. During discussion and conclusion,

he points out the distinctiveness of HRM, its efficiency claims and its effect on the

practices of personnel management.

Sission (1993) discusses the evidence found by the 1990 work place industrial

relations surrey for the general implementation of HRM idea and practices; focuses

on three elements of HRM; the emphasis on individual rather than collective

negotiations and agreements; the attention paid to participation and involvement and

the general approach of management. While these practices are indeed becoming

more under pressed surprisingly because they are more common in workplace which

are unionized than in those nonunionized.

Charumathi B (1994) conducted a comparative study on HRD in select public

sector and Private Sector Bank in Tamil Nadu in 1994. She has analyzed Indian Bank

and Indian Overseas Bank in Public Sector and Lakshmi Vilas Bank and Vysya Bank

in Private Sector. She found that the HRD tasks relating to supporting of Unions and

Officer Associations are adequately performed in both the group of Banks.

Virmani. V.R (1995) in his article entitled “redefining industrial relations” has

said that the Indian industrial system has all along been adversarial with collective

bargaining approach and brings its main stay. Over the past few years, a relationship

based on collective bargaining and principles of participation has emerged. A

discussion of the major findings of an in-depth study of eight organizations where

both practices were present lends support to the author‟s contention that collective

52

bargaining and participations need different attitude and hence cannot co-exist. In

any new model of industrial relation the adversarial approach and collective

bargaining must give way to participative structure, the development of institution,

which check the adversarial approach, various changes in the role of management,

unions and government are suggested by the author.

Jai B.P. Sinha and Sarita Singh (1995) in their article entitled “Employees

satisfaction and its organizational predictors” have studied, that employee‟s

satisfaction was decomposed into employee‟s satisfaction with their organization, life

satisfaction, satisfaction nature of their job, expectancy to satisfy their most salient

needs, and unproblematic properties of their work. They stated that work climate and

human relations contributed directly and through other factors to organizational

satisfaction. In case of managers, in case of the workers, the nature of work and the

service conditions were the strong predictors which affected organizational

satisfaction directly by rendering their work more satisfying.

Kane and Palmer (1995) discusses strategic Human Resource Management

(HRM) which emphasizes the importance of HRM policies and practices being

integrated by a longer range HRM strategy which in turn became integrated part of an

overall organizational strategy. The author proposes an alternative more overall

political employment relations model with HRM policies and practices, a negotiated

outcome which attempt to resolve the often conflicting expectation of a number of

interested parties. He presents a study in which only one third of the sample of

Australian HR managers reported that HRM strategy had a great or moderately great

impact on HRM within their organization and there was no evidence that the impact

of a HRM strategy resulted in reduction of the direct impact of other factors. More

53

important factors included legislation (regulation industry characteristics)

organizational strategy and objectives of top management priorities. Organizational

size and structure and the impact of technological changes, in addition to these factor

impacted differentially on HRM practices and policies in areas such as recruitment,

training, pay benefits and industrial relations. The author suggests that these results

support the appropriateness of a broader employment relations view of the field.

Storey (1995) reports on his findings from two expensive pieces of fieldwork

conducted over two different time period (1987 – „89) and (1992 – „94) and shows

considerable experimentation with many elements of the HRM model. The author in

his research, discusses the factors inhibiting a taller embrace HRM.

Baviskar (1995) in his article titled “Motor Vehicles Act, 1988 and Road

Safety” has highlighted the issues and policies of registration of motor vehicle,

powers to licensing authority and special schemes and various sections related to

road safety of the employees of the transport especially drivers. He has suggested

that Road Safety Council (RSC) at district level should enforce the motor vehicle law

and practice and rules scrupulously to minimize the accidents.

Viramani (1995) in his article titled “Redefining Industrial Relations” has

presented the performance of Indian industry with collective bargaining approach

over the past few years in order to discuss the major findings of an in-depth study of

eight organizations. He has suggested that the collective bargaining needs different

attitude and it must give way to participative structure in the development of

institution with various changes in the role of management and its unions.

Purushotham (1995) in his article titled “Multiple Job Concept-Need of the

Hour in STUs - The Case of APSRTC” has highlighted the tradesmen specialization,

54

Training module in-service development of multi-skills and development of Hi-

technology in state transport undertakings. He has concluded that if multi-skills are

introduced with minimal work force, high productivity would be possible and

expenditure on personnel cost will be minimal, with the result at least some of the loss

making STUs could be brought into profit line. It is just a thought provoking

suggestion for further study.

Jai. Sinha and Sarita Singh (1995) in their article “Employees‟ Satisfaction

and Its Organizational Predictors” have presented employees‟ satisfaction with their

organization, life, job, expectancy to satisfy their most salient needs, and

unproblematic properties of their work. They have concluded that the work climate

and human relations contribute directly to organizational satisfaction in case of

managers and workers to provide better service conditions.

Bagade (1996) in his article titled “Towards a Rational Labour Policy” has

highlighted the fall in productivity due to restricted duty hours and the bargaining

power of Trade Union. He has also formed a rational approach to minimize labour

legislation and deregulate hard and fast rules which affect productivity and the healthy

growth of the industry.

Murugesan R and Ramamoorthy N.V. (1996) in their article titled “Quality on

Services in State Transport Undertakings - Evaluation and Improvement” have

studied the important service characteristics to determine the level-of-transport

services from the regular users of state bus transport. They have concluded that the

deficiency of the various quality measures would affect the improvement level of

transport services in India.

55

Madev Gawda (1996) in his article “Man-power Productivity in State

Transport Undertakings-An Appraisal” has undertaken the trend analysis for labour

cost revenue in kilometers per employee per day and staff ratio per schedule. He has

concluded that the poor performance of STUs cannot be attributed to the inefficiency

of human resource alone but to the unremunerative fares, delay in the revision of

fares, inadequate fare revision, incessant increase in the prices of inputs, and social

cost borne by STUs.

Arrowsmith and McGoldrick (1996) reports that the continued need to meet

increasingly competitive conditions in service industries has encouraged the

development of more strategic human resource approach in pursuance of the

maintenance of quality, service and flexibility goals. The researcher presents an in

depth case study in the retail sector, specifically examining the company‟s approach

to the recruitment and retention of older employees. The authors develop models to

demonstrate the linkages between service with the social characteristics at this group

of workers and consequent employment implications, finds that while senior

management perspectives were positive, some degree of ambivalence was expressed

in respect of line management views and while older workers were perceived to be

suitable for many types of work, preferred work force profiles still tended towards

traditional core labour sources, notes that employment characteristics of a soften

“qualitative” nature, such as service, motivation and job satisfaction, were seen as

assets, and disadvantages relating to more “quantitative” criteria, such as trainability,

job flexibility and new technology, were evident but less clearly expressed and might

be qualified by appropriate management techniques and discovers that older

employees placed high value on service provision, in comparison to younger

employees who were generally more dissatisfied with their jobs and were oriented

56

more towards financial consideration, utilizes an interview programme and surveys

with both line managers and employees to assess the issues involved and to draw out

the managerial implications for retail and service.

Sparrow and Budhwar (1996) have developed from the second author‟s

ongoing Ph.D. research, which focuses on the managerial thinking (personnel

specialists) about strategic management of human resource from a cross cultural view

point between India and Britain, the Indian personnel specialists are under a severe

pressure to bring about large scale structural changes in their organizations to cope

with the challenges thrown by the recent liberalized economic policies. The role of

human resource (HR) function has become more important than ever in such

conditions. An attempt is therefore made to analyze the HR function in India in the

changing economic environment. The influence of a number of national and

contingent variables on the HR functions is therefore studied to place it against the

world wide patterns of human resource management practices.

Fisher and Marciano (1997) made a study on “managing human resource

shortages in a unionized setting: best practices in air traffic control”. Human resource

shortages require effective human resource management. Findings from research

about ongoing labor shortages in Air Traffic Control (ATC) are used to build a

preliminary theory of appropriate HRM responses. Their international sample of

major ATC agencies generally developed a set of best HRM practices to attract,

motivate, and retain human assets. Key factors included 1) cultural and institutional

norms, 2) technological changes, 3) union responses, and 4) organizational form and

structure (e.g. civil service versus commercial firms) while ATC‟s rare human

aptitudes, lengthy training to develop firm, specific human capital and lifelong

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employment may limit the preliminary theory‟s general applicability and crucial

lessons emerge about human resource planning.

Luthans (1997) points out evidence which suggests that innovative HRM and

not downsizing is the key to sustain competitive advantage, distinguishes between

leading edge HRM innovators and others noting that the former stuffer fewer morale

problems and that they downsize in order to improve productivity and not to cut costs.

The author thinks that it is HRM practices and investment which are making the US

economy so strong and considers HRM as core competence and discusses skills

building and “new” pay systems (gain sharing, team compensation and at risk pay).

The authors suggest the use of 360 degree feedback and behavioural management as

methods of sustaining HRM competence and provide guidelines for building HRM

core competence.

Lyton and Pareek‟s (1997) study of the training practices in Indian

organizations says that in many organizations, the fact of a particular employee

having attended a specialized training course is not taken into account at the time of

his subsequent posting. In these organizations one can come across hundred,

examples of square pegs sitting in round holes; and organizations treat the training of

their employees as single shot operations. They do not look upon training as an

integral part of their employees‟ career plans. Career planning inaction is

conspicuous by its absence in most organizations. Appointments to even most crucial

posts are made more on the basis of pulls and personal preferences than on the basis

on the employee‟s specialized experience or training.

Rama J. Joshi and Baldev R. Sharma (1997) in their article entitled

“Determinants of Managerial job satisfaction in a private organization”, have studied

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that the role of job and organization related factors on job satisfaction among

managerial employees. One hundred twenty four managers drawn from various

departments and levels in a private sector organization participated in the study. The

findings indicated that all the 15 jobs and organization related variables are positively

and significantly related to managerial job satisfaction. Further statistical techniques

suggest only two variables, i.e., Job content and training to be the best predictors of

job satisfaction.

Jankowicz A.D (1998) in his article entitled “Issues in human resource

management in Central Europe” provides a number of basic indicators in support of

the assertion that, while the general-management literature on post-command

developments in central and Eastern Europe is well established, the corresponding

literature in HRM / HRD is probably less well advanced. Highlights the issues

identified by each of the contributors, two organizing themes being involved. The

first asserts the value of mutual knowledge transfer, through which the western

academic and practitioner might benefit as much as his/her central European

counterpart; the second considers the extent to which personnel managers can make a

strategy, as distinct from administrative-operational, contribution to the organisation

in the post-command economy.

Vinayshil Gautam (1998) in his article entitled “Managing Real world results:

Productivity-HRM Nexus” has studied the key issues involved in managing for real

world results. He concluded that while looking at the human factors in productivity, it

should be important to remind oneself that there were significant processes and

structural issues that contribute to aggravating or alleviating the situation.

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Gani A and Farooq Shah A (1998) in their article entitled “Relationship

between Perceived organizational climate and job stress: An Exploratory

Investigation” have studied working people, function, organizational climate in

Banking Industry in Kashmir and seek to examine on the basis of selected indicators,

the nature and extent of relationship between organizational climate and stress at

work. The study revealed not only that there was an overall negative relationship

between perceived organizational climate and level of job stress but also that each

dimension of organizational climate is inversely correlated with each dimension of

job stress. Certain organizational climate, improving erasures have been suggested to

reduce job stress, job involvement, satisfaction to reduce, and overall organizational

efficiency.

Kadam (1998) in his article “STUs - Retrospect and Prospects: A Critical

Analysis (1991-97)” has studied the productivity of bus fleet in accordance with staff

ratio. He suggested that the employees of STUs should be frankly told about the

financial position of the undertaking in order to convince them regarding their

demand for rise in salaries and to control the cost of staff, fuel and tyre for better

operation.

Gawhane (1998) in his article titled “A Case on Industrial Relations and

Productivity with Special Reference to Passenger Road Transport” has highlighted the

performance of public relations with local officials regarding the promotions and

transfers of Bhojpur Bus Depot in Ganeshpuri city of Mumbai. Further he has

concluded that the performance of this Bhojpur bus Depot in terms of profit was to

the highest to the tune of `29.34 crore in the year 1993-94 due to improved

utilization of vehicle and crew.

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Gawhane (1998) in his article “Role of Management and Union in

Competitive Environment” has studied the organizational structure of the Unions and

its productivity in wage agreement and quality circle. Further he has suggested that

the size and structure of unions should be minimized in order to reduce the

unproductive man-days.

Rabindra , Kanungo and Zeynep Aycan (1998) in their article titled “Issue of

Culture Fit in Human Resource Management Practices” have studied the socio-

cultural values and enterprises environment which affect the internal work culture of

organizations in the developed and developing countries due to HRM practices.

Further they have suggested that several practical implications for managerial practice

are needed to make better human relation among the employees in any organisation.

Raja Justus (1998) in his article “Operational Efficiency in Public Passenger

Road Transport - A Criteria Analysis” has studied the performance of operational

efficiency by measuring the quality of service in the public passenger road transport

in India.

Kotteswaran (1998) in his article “Bus Passenger Charter for Competitive

Advantage” has presented the details of frequency of services in terms of punctuality,

reliability, neat and clean buses, friendly terminals, customer information service and

easy access for reservations and friendly and quick responses to grievance. He has

suggested that if above said procedure is followed, there could be better discipline on

the road, and public purpose and public interest would be served by this service

sector.

Day (1998) in his article “Meeting the Community: Social Issues in Road and

Transport Planning” has studied social issues in road and transport planning to assist

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transport authorities to be better prepared for, and be able to respond to the

community of the future and of social and ecological responsibility in transport

decision making. He has concluded that the transport authorities can prepare

themselves to respond better to the needs of the future community by identifying

some new innovative ways while planning.

Bhabani P. Rath (1998) in his book “Industrial Relations and participative

management” has discussed in detail the concept of workers‟ participative

management and experience of participative management in selected countries

including India.

Vaishali Gijre and Rama Krishna (1999) in their article “Road safety

Education - A Case Study by CIRT and TRL” (Transport Research Laboratory

Programme) studied accident scenario in India, causes of accidents, role of education

in road safety, international experience-practices undertaken and road safety

education in developing countries. This study also revealed that over a third of

reported road causalities were pedestrians, about twice as many males as females

were injured and killed. Most pedestrian causalities were away from junctions.

Majority of the pedestrians were crossing the road when injured, and most of the

pedestrian fatalities were aged less than 16 years old.

Anuradha Sharma and Aradhara Sharma (1999) in their article “Leadership,

Culture and Corporate Success” have studied the issue of leadership and corporate

culture. They have concluded that the leader and their role competencies become most

challenging issues, which shape organizational success.

Uma S (1999) in her project report “A Study on Effectiveness of the

Employees Welfare Measures of Bus Crew Prescribed” has studied the facilities like

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medical, housing, family and maturity benefits to transport employees in order to

motivate the working environment and to provide social security. She concluded that

the management tried best to satisfy the employees‟ needs by providing adequate

social security measures which in turn yield best results.

Moorthy and Mohan (1999) in their article “Need for a Study on Effectiveness

of Competence-based Training Program to Drivers in STUs” have presented details of

the need for scientific training to the STU drivers. They concluded that the conductor

and driver training programme would have a positive effect on the operational

efficiency of the STUs by the proposed training design and module.

Giridharan (1999) in his article “Human Resource Management as a

Facilitator of Business Process Re-engineering” has studied the present business

environment of every corporation which is engaged in the process of adding value by

elimination of waste throughout its business process starting from understanding

customer requirements to acting on feedback from customers on the products and

services supplied by it. Further he has concluded that Business Process

Reengineering (BPR) is a strategic means to examine all the business processes to

maximize the satisfaction of both internal and external customers at optimal cost.

Satinder Gill and Madhavi Mehta (1999) in their article “Managing

Performance through Excellence” have studied the organization‟s focus on the critical

aspects such as leadership, organization culture and HRD strategy in excellent

performance by any business organisation. They have concluded that leadership is

considered to be the most influential factor contributing to the performance of

excellent organization whereas organization culture and HRD determine the

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performance and productivity in improving performance through performance

appraisal, training and development, feedback and counseling in any organization.

Netto D and Sohal (1999) pronounces that workforce diversity has become an

important issue in Australia. This study examined the extent to which human

resource management practices were being used by organizations in Australia to

mange workforce diversity. The study also assured the perceived challenges and

benefits of diversity in the workforce. The findings of this study indicated that overall

management of workforce diversity is only “Mediocre” in particular, inadequate

diversity management practices were found in the areas of recruitment and selection

and training and development. As migrant employees do not have any problems and

are very compliant. The challenges that workforce diversity presents does not receive

adequate attention by organizations in Australia. However, these organizations seek

several benefits from their multicultural workforce. The implications of these findings

are discussed.

Michie and Sheedan (1999) used evidence from the UK 1990 workplace.

Industrial relations survey to show that “low road” HRM practices also appeared to be

negatively correlated with investment in R and D and new technology. By contrast

“high road” work practices were positively correlated with investment in R and D and

new technology.

Robert F. Wright (1999) in his article entitled “Effect of micro management

on job satisfaction and productivity: A case study”, has studied to determine how

competitive pressure and manager‟s Growth, Needs and Strength (GNS) affect the

degree to which a company micro managers and its sales force. The degree of micro

management may impact a person‟s autonomy, which interacts with his GNS, to

64

determine his job satisfaction and productivity. He suggested that a strong correlation

between the degree of micro managing and autonomy, manager‟s GNS and autonomy

and degree of micro managing and manager‟s GNS and a weak correlation between

autonomy and job satisfaction, with the representative‟s GNS as an interactor. There

was no correlation between competitive pressure and the degree of micro managing or

productivity and autonomy, with the representative GNS as an interactor.

Anantha Narayanan. R (1999) in his article entitled “Totally Aligned

Organization: A Foundation for Total Quality Management” has discussed the

paradoxes that are inherent in managing groups in an organization. In his view, the

development of an appropriate culture creating has resolved the differences and a

dilemma arising out of these paradoxes is an important prerequisite for the success of

TQM in an organization.

Satinder Gill and Madhavi Mehta (1999) in their article entitled “Managing

performance through excellence” have studied the organization‟s focus on the critical

aspects such as leadership, organization culture,, strategy, and HRD which results in

excellent performance. They reemphasize that leadership is considered to be the most

in influential factor contributing to the performance of excellent organization whereas

organization culture, the source of behavioral and fictional battens in an organization

determined the performance and productivity of the organization. Whereas, HRD

played a facilitating role in improving performance of an organization through

performance appraisal, training and development, feedback and counseling and

currier planning and development.

Khatri (1999) has recommended ways to face the onslaught of hyper

competition. Organizations‟ needs to be responsive and flexible, the human factor, if

65

managed effectively is perhaps the most important in imparting organizational

flexibility in managing the human factor, as the competitive tools fall in the domain of

strategic human resource management. In this five important issues in strategic HRM

field which if fully understood would help scholars and practitioners to develop better

theoretical frameworks. Specifically it is proposed that the link between HR and

strategy depends on the type of strategy pursued by the organization. Organizational

culture influences the status of HR and its integration with the rest of the

organizations. The compliances of HR managers and the status of HR and its link

with organizational HR strategy or lack of it affects the HR functions both in vertical

and horizontal with these factors and all these influence the outsourcing of HR

activities.

Philip Worsfold (1999) in his thesis has studied the nature of HRM and

revealed the extent to which it is adopted by industry. HRM in the hotel and catering

industry is compared with other sectors of industry, including small to medium size

organizations. The literature concerning HRM and performance is briefly reviewed

and its relevance to service industries and the hotel industry is addressed. Service

quality is identified as a performance indicator, determinants of service quality are

considered in relation to HRM and the need for additional research is identified.

Seyed Mahmounel Aghazadeh (1999) investigates three aspects of human

resource management taking future challenges of personnel, technology and

globalization. He suggests that the human resource professionals in a successful

business must be able to attract and retain individuals who have the ability to manage

globally responsive business. He covers the use of technology for competitive

66

advantage and advocates global strategies in operation management and

empowerment of the individual.

Subba Rao et. al., (1999) in a study on human resource management practices

in small and medium size industrial units in Eritera has found that the practices are

traditional. Almost all respondents feel that the employee employer relations are

highly cordial and innovative. The organizations did not design the job systematically

but they had good outcome of systematic job design based on the option of job

enrichment. The practices of human resource development like performance

appraisal, skill acquisition and training mostly based on the judgment and on the job

respectively. The union‟s strength is very low.

Arun Wakhlu (1999) observed that, when value based management goes hand-

in-hand helping people find and do their job, their most natural work spirit unfolds

further in the organisation. He called it as „good work‟. He added the „good work‟ is

working with a spirit of love and total commitment, making the work, a constant

challenging adventure rather than routine drudgery.

Gnanasekaran. A (2000) conducted a study on HRD practices in Chennai Port

Trust in 2000. Among the other things he found that employees have accepted the

concept of HRD in Chennai Port Trust. A systematic HR planning is followed in the

Chennai Port Trust.

Cooke, F.L (2001) reviewed a number of British studies on the use of “high –

road” and “low – road” HRM strategies and concludes that high road HRM may lead

to better organizational performance. But firms do not necessarily opt for this because

of historical social and institutional context of employment relationships in Britain.

67

Hsu Y.R Leat M. (2000) reports the results of a survey of human resource

(HR) managers in manufacturing companies in Taiwan which examined whether they

are in line with the human resource management (HRM) literature – responsibility for

HRM activities in these Taiwanese firms is devolved to line managers, whether HR

managers seek strategic integration and whether company size and ownership impact

the recruitment and selection processes and methods. Further, he states that HR

manager believed that HR policy and organizational strategy should be fully

integrated and that some HRM decisions were shared between line management and

HR professionals. Line management and HR professional appeared to have greater

responsibility for workforce expansion, education, recruitment and selection and

training and development. That the survey results provide support for the argument

that recruitment practices are culturally sensitive across national boundaries (once

recruitment method differed according to ownership) and proposed a framework for

examining HRM in Taiwanes organizations sets out how it differs from other models

such as the Harvard model (Beer et. al., 1984); Guest‟s model (1989) and Storey‟s

model (1992).

Huang (2000) looked at 315 firms in Taiwan and related their human resource

practices to their organizational performance. Haung‟s study shows a significant

relationship between performance and the effectiveness of their HR functions

including planning staffing appraisal compensation, and training and development.

Panda (2000) in a research on Human Resource Management in hotel industry

in Nagaland has studied the size and structure of human resource and the practice of

recruitment and the maintenance of the resources and has found that majority of the

workers were paid monthly wage with some benefits like free meals, accommodation,

68

medical expenditure, dress and in some cases Sunday allowance in addition to the

salary package. He also studied as to how satisfaction was found among the workers

at floor level but it varies from enterprises to enterprises.

Reza Kouhy, Rishma Vedd (2000) in a study on the “Performance

measurement is strategic human resource management” presents that such as

ingesting competition. Technology developments and rapidly changing environments

have forced organizations a) to be innovative and cost effective, b) to improve quality

and productivity, and c) to be flexible and to search for strategies that will give a

sustainable competitive advantage by utilizing effectively their human resources.

Organizations can enhance their competitiveness in order to improve performance.

Human resource management must be able to understand the language of

management accounting (MA) which is partly about providing information in the

context of the strategic management process. This empirical study examines the

current role of MA in relation to the entire strategic human resource management

(SHRm) process using data from a 1998 survey of finance directors and human

resources directors in the UK‟s top companies with 1000 plus management

accountants . Management Accountants do play a role in providing information on

decision making setting targets and performance measurement in the SHRm process.

The researcher views the importance on the MA role in the future and opines that it

should be as a more collaborative and partnership relationship with the human

resource managers.

David E Guest (2001) puts those perspectives on the study of work balance,

and explains why it is of contemporary interest, so as to identify some of the key

conceptual and empirical issues and needs to give some attention to ways of defining

69

and operationalising balance. It might to useful to consider whether in practice it is

easier to define balance by its absence. In other words, people are more likely to be

subjectively aware of their state when there is imbalance.

Stephen Gibb (2001) describes a survey and the views of 2632 employees on

HRM in the 73 organizations. In this study employees were found to be positive about

some elements of HRM including training and development, rewards and levels of

personal motivation. They also give high ratings for the performance of HR staff

across a range of services. But the survey found negative employee views on the

management of staffing levels aspects of recruitment and retention, communication

and overall levels of morale in their organizations.

Michie and Steedan Quinn (2001) surveyed over 200 manufacturing firms in

the UK to investigate the relationship between corporate performance and the flexible

work practices, human resource systems and industrial relations. They found that „low

road‟ practices including short term contracts; lack of employer commitment of job

security; low levels of training and unsophisticated human resource practices; were

negatively correlated with corporate performance. In contrast they established a

positive correlation between good corporate performance and “high – road” work

practices, high commitment organizations or “transformed” workplaces. They also

found that HR practices are more likely to make a contribution to competitive success

when introduced as a comprehensive package or “bundle” of practices.

Rondeau and Wager (2001) focused on the ability of certain „progressive‟ or

„high performance‟ human resource management practices to enhance organizational

effectiveness, noting growing evidence that the impact of various HRM practices on

performance is contingent on a number of contextual factors including workplace

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climate. They conducted a postal survey of 283 Canadian nursing homes which

included question about human resource practices, programmes and polices impacting

on workplace climate; the survey also included a variety of performance indicators.

Their results indicated that nursing homes with more „programme‟, HRM practices

reported a workplace climate valuing employee participation empowerment and

accountability tended to be viewed for a better performer. The best overall

performers were from those nursing homes that had implemented more HRM

practices and also reported workplace climates reflecting a strong commitment to

their human resources.

Stephen Gibb (2001) in his research explores a range of arguments about

trends in human resource management (HRM) and provides contrasting evidence in

evaluating the state of HRM. Methods using either for with “best practice” or fit with

contingences as ways of evaluating the state of HRM have been foremost.

Investigating the employees “point of view” has been proposed as an alternative in

some recent studies. The research reported here is based on this alternative method it

describes. Its employee‟s view of HRM in their organizations is based on a survey of

2632 employees in 73 companies. The findings are that employees report areas of

strength in HRM including training and development, reward and levels of personal

motivation. Employees also rate the performance of HR staff highly, across a range of

service. Noticeable areas of weakness in HRM, in employees‟ estimations exist in the

management of staffing levels, aspects of recruitment and retention communication

levels of morale in the organizations as a whole. Their findings justify a mixed but

overall positive picture of the state of HRM the problems of analyzing employee view

of HRM in this type of study to address arguments with evidences are considered in

conclusion.

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Bary Nyhans‟ (2002) paper on “Mechanism in Europe at the crossroads”

examines the concepts and practice of HRD Mechanism from European perspective.

It locates HRD which is seen to refer specially to learning training and development

activities in companies, within the context of underlying “people management

theories” or what can be termed “industrial work life cultures”. This paper contrasts

theories of HRD derived from two different ways of conceiving HRM. The first of

these which is seen to have much in common with classical European industrial

culture in working life values is the „humanistic development‟ tradition. The

competing model which is agreed is growing in prominence in Europe and is

characterized by an „instrumental – utilitariam‟ way of looking at human resources.

The paper concludes that at the present time HRD policy makers in Europe are caught

up in a debate about these two approaches. If fact Europe can be seen to be at the

cross roads searching signpost leading to human resources management and

development of policies that promotes lifelong learning resources management and

development policies that promote lifelong learning for everybody at work with the

view of building a strong and sustainable economy.

Literature review of HRD mechanism in Europe, Japan and the USA in the

case studies of 28 large organizations in 7 European countries were taken up. The

commonalities of outlook on HRM mechanism in Europe Japan and the USA are

more significant than the differences. This result may be caused by concentration of

the study on large organizations which share the context of the global economy. The

inclusion of SMEs might have led to different results since these operate in varying

regional and local economics.

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Clarie Teo Lea Watgs (2002) studied the role of human resources

opportunities and practices in reducing occupational stress and strain, examined the

occupational stress – strain relationship among a sample of 109 white collar

employees in Singapore, Participants completed a survey that assessed the presence

of 8 human resource practices (job training, communication, job redesign,

promotional opportunities employee involvement, family friendly policies, pay

systems and individual focused stress management interventions (SMIs), 2 major

stressors (role overhead and responsibility), 2 types of strain (vocational and

interpersonal) and organizational commitment. Results indicate human resources (HR

practices did not reduce the sources of stress (role overhead and responsibility) within

the workplace. However, there was direct negative relationship between HR practices

and interpersonal strain and practices and impersonal strain. In particular, family,

friendly practices, job training and SMIs reduced interpersonal strain. An

examination of vocational strain showed that it was negatively associated with SMIs

and job training. In addition, organizational commitment mediated the relationship

between HR practices and vocational strain. It was concluded that HR practices may

be effective and a part of a symptom directed approach to stress intervention and that

further replication of these results in both Asian and Western samples is required.

Green wood (2002) reviewed the ethical position of HRM and concluded that

even when judged by minimum standards HRM is seriously lacking because of a

general disregard of state holder theory.

Foote (2001) investigated the ethical behaviour of HR manager working a

sample of the UK and Irish charities. The study highlights the ethical inconsistency

between the application of strong explicit organizational values to external clients and

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the limited influence of those values on HR strategies and practices within

organizations. HR professionals no longer thought that the HRM function should be

the conscience of the organization but feel that they had a significant role in the

provision of advice on ethical action to senior management.

Hamlin 2002 studying European organizations tried to integrate their

development practices corporate strategy, organizational development, HRM and

HRD, Their HRD strategies are more integrated in business than on in Japanese and

US organization.

Julia M. Christensen Hughes (2002) in his paper presents a frame work for

understanding HRM. The author suggests that empirical support for universal HRM

is growing and better describes with a case study of one hospitality organizations:

The “universal” approach to human resource management in British Columbia,

Canada, „ Best practices” include establishing a service oriented culture building a

strong capital base motivating employees and providing employees with the

opportunity to contribute. However, issues related to the level of employee

commitment and organizational life cycle is raised. The paper argues that future

research should focus on the applicability of universal HRM for the hospitality

industry as well as processes and measures for helping managers to demonstrate the

impact of their HR practices.

Kelliher and Riley (2002) are highlighting the evidence to support the view

that the impact of HRM is greatest when it involves a set of coherent policies and

practices and also consider that HR initiatives should be implemented as part of an

integrated package. They insist functional flexibility which tends to an intensification

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of work but in the cases they studied that this was less of an issue when supported by

higher levels of remuneration.

Mitchell Longbert (2002) says that human resource management challenge is

to improve to balance among three competing quality targets, equity, flexibility and

alignment management and these targets have improved through four historical

period. The pre industrial, patsnalist, bureaucratic and high performance. There

always have been tradeoffs among the three quality targets but the balance among

them has improved through history.

Paul Boseline and Ton van des wiele (2002) say that there is a growing interest

in theory than in practice with regard to the relationship between human resource

management (HRM) and total quality management (TQM); as well as the relationship

between these two perspectives and business performance. Empirical research

suggests significant effects of HRM. The majority of research in this area is focused

on the effects of HRM / TQM at the organizational level. Research on the perceptions

of individual employees might obtain new insights for further discussion on the

effectiveness of HRM / TQM in an organization. The authors had the opportunity to

analyze a relatively larger data of individual employee perception from a knowledge

intensive organization in the Netherlands. This analysis has given new insight into

concepts such as “co operation” “information”, “leadership”, “salary” “work

conditions” and “goal setting” in relation to employee satisfaction and the intention to

leave the organization.

Gauri Shankar and Geetha Man Mohan (2003) in their article entitled “Impact

of professionalism on managerial self-actualization and job performance” have

studied managerial motivation and job performance. In this paper an attempt has been

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made to find the impact of professionalism on the primary relationship between self-

actualization and job-performance of industrial managers. It has been found that

professionalism shown by industrial managers in what they do has a positive impact

on their relationship between self-actualization and job performance and managers

with professional qualification in engineering and accounting have relatively higher

degree of such relationship.

Norihiko Takeuchi and et. al., (2003) focus the strategic HRM configuration

for competitive advantage evidence from Japanese firms in China and Taiwan and

made a study to identify the pattern of HRM practices that would lead to an

improvement in business performance in Chinese and Taiwanese – based Japanese

affiliates in the light of a configurational perspective, follow the current debate in the

field of Strategic Human Resource Management (SHRM). In particular, a set of

working hypotheses regarding the structural relationship among HRM practices for

producing enhanced business result was drawn from the organizational learning

theoretical frame work that emphasizes a linkage between the process of learning and

firm performance. The conceptual model and specified hypotheses were examined

using a sample of 286 Japanese operating in mainland China and Taiwan. The results

provided basic support for the configurationally hypotheses in predicting the financial

aspect of an affiliates‟ performance. It is argued that the findings of the study have

several important implications for the untested relationship between High

Commitment Work Practices (HCWPs) and High Performance Work System (HPWS)

from Japanese management perspective.

Spector and Bert (2003) examined the HRM at Enron and has found that

Enron‟s top leadership consciously called upon those in two HRM policy areas,

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follows rewards to shape the employee behaviours for continuous innovation and high

performance. Due to their arrogance and low transparency it had affected the Enron‟s

Culture.

Smythe (2004) made a qualitative study of the working-lives of twenty six

Chinese women sweepers in Hefei, Anhui Province, in the People‟s Republic of

China. Most participants were illiterate peasant women called nongmingong migrants

from the Chinese countryside. The study‟s methodology was a project called

reframing suggested by Tuhiwai-Smith (1999), used for research in indigenous

populations. The sweeping workers suggested that illiteracy was at the root of their

employment problems. Policy and taxation reform initiatives by the All-China

women‟s Federation and the Ministry of Education in the Chinese Party of China

Central Committee addressing the formal and informal educational needs of poor

women nongmigong are recommended.

Bower D, Oslroff E (2004) discuss on “how human resource management

(HRM) practices as system can motivate employees to adopt desirable attitudes and

behaviours” and lead to desired firm outcomes such as productivity, financial,

performance and distinguished the content and process of an interrelated features of

an HRM system. Also they discuss climate as a mediator of the HRM firm

performance relationship introducing the concepts of situational strength and

explaining how an organizational climate can act as a strong situation. They further

examine the features of an HRM system explaining its strength in term of its

effectiveness in conveying the type of information needed to create a strong situation.

The authors review the HRM characteristics that can foster distinctiveness,

consistency and consensus and reflect on the consequences of the strength of the

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HRM system. They are arguing that it leads to the emergence of collective

perceptions (organizational climate) from individual perceptions (psychological

climates).

Cameto Carmen et. al., (2004) examined the relationship between the various

processes of HRM on the individuals on the strategy of the company among 130

industries and brought out three distinct models of HRM but with behaviours of

individuals independent of the strategies that are followed by the companies.

Pasguale (2004) in a study on HRM at a marine containers terminal had found

that man power planning is very important. Due to the uncertainty of work force

demand the need of ensuring a time conscious efficiency of the terminal is the result

to overcome the uncertainty.

Tzafrir, Grdaliahu, Harel Baruch and Dolan (2004) examine the consequences

of emerging human resource management (HRM practices for employee trust in

their managers from a combination of the theory of exchange and resource base

perspective using a national sample of 230 respondents). The research report here

portrays the paths which link the consequences of emerging HRM practices to

employees trust in their managers. In this frame work, HRM consequences represent a

proxy in which managers action, behaviours and procedures affect employees trust in

their managers. The result indicate a significant and positive influence of

empowerment organizational communication and procedural justice as determinants

of employee trust in their managers. Using structural equation analysis, findings also

indicate that procedural justice mediates the impact of employee development on their

trust in their managers. Implications for strategic HR polices in organizations and

suggestions for future research are discussed.

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Ramasamy (2004) in his study “A Study of Passengers Satisfaction with the

Performance of the Rural Transport Services by Tamil Nadu State Transport

Corporation, Salem” has studied the role of road transport and passengers transport

scenario, passenger‟s perception and level of satisfaction in TNSTC, Salem. He has

suggested that the frequent training programmes, seminars and workshops for crew

members to economic fuel consumption, to reduce accidents and breakdowns would

improve the quality of bus services.

Vijayarani and Raja Justus (2005) in their article “Impact of Absenteeism in

the Public Passenger Road Transport Undertaking with Special Reference to TNSTC,

Kumbakonam Division-I” have highlighted the impact of absenteeism on the

employees and society in the road transport undertaking. They have concluded that

absenteeism in Transport Corporation would affect the profit and productivity in

transport services when the corporation norms of absenteeism exceed.

Khandekar and Sharma (2005) analyze the role of organizational learning and

strategic human resource management (HRM) for sustainable competitive advantage

and carried out the study and the survey method has been used. The empirical

research was done on a random sample of 300 line or human resource (HR) managers

from nine Indian and global organizations, Chosen purposefully from New Delhi

(The national capital region of India) percentages mean, cross tabulation, Pearson

correlation, one way analysis using SPSS package 10 was done and the study reveals

that there is a positive relationship between organizational learning strategic HRM

and sustainable competitive advantage. Research limitations and implications show

that large sample from different Indian companies especially middle and small scale

industries and longitudinal studies with qualitative research design can strengthen the

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current study. The study recommends that work based learning strategies, capabilities

for sustainable competitions, learning strategic HRM and sustainable competitive

advantage in an Indian context. The present study was thus undertaken to study the

ongoing HRM which will be of immense importance not only for the management

field but also for the corporate world to know what is happening in Indian HRM and

organizational learning field and enable to chalk out their strategic policies and HRM

with this perspective.

Benoit Mahy Robert Plasman, Francois Rycx (2005) have aimed to stimulate

delusions on “the econometrics of labour demand. They focus on aspects of HRM

including incentive pay schemes, job satisfaction, promotion and social concern.

Elizabeth F. Cabreral (2005) did study on “Human Resource management in

Spain. Are cultural Barriers preventing the adoption of global practices? In this

paper they address the extent to which culture is affecting the adoption of global

human resource management (HRM) practices in Spanish organizations. One of their

main objectives was to offer a thorough review of the recent empirical evidence

regarding HRM practices in Spanish organizations. Another goal was to discuss their

findings in light of the Spanish culture in order to identify possible cultural barriers to

the adoption of global HRM practices. The result suggest that Spanish organizations

are slowly adopting global practices; however, many traditional practices remain, they

further suggest that the cultural variables of low future orientation, high power

distance and low intuitional collectivism may exert continuing pressure that will

hold the adoption of certain global HRM practices.

Edgar and Geare (2005) say that statistically significant results were obtained

between HRM practice and employee attitudes but only when employee reports of

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the strength of HRM practice that were used to measure HRM, research limitations

and implications. The study emphasizes that care must be taken in HRM research to

use suitable data sources with employees being a valuable but under - used source.

Victor Oltra (2005) in his study in the search of the key factors that

explain Knowledge Management (KM) effectiveness aims to advance a

simultaneously conceptual and practical framework that links human resource

management (HRM) and KM. A literature based preliminary frame work assumes

that a number of critical KM characteristics and KM – related human resource (HR)

practices impact on KM effectiveness. Qualitative methods are used for data

collection and analysis. Their knowledge intensive Spanish business units of

multinational companies are the targets for case study settings. Results suggest that

systematic pattern were found regarding the impact of critical KM characteristics

and KM related HR practices on KM effectiveness. An advanced framework

encompassing a number of specific variables and propositions is developed. Research

limitations and implications show that lack of a longitudinal study demand caution in

the results interpretation. Also similar studies in cultural context in other than Spain

could produce differing results. Moreover, further qualitative method would be

helpful for explanatory framework refinement where as quantitative surveys would

test propositions; thus assessing the statistical generalizability of the results. Practical

implications show that KM enhancing recommendations for practitioners are

discussed; special emphases is placed on the greater complexity that social and

cultural issues pose on KM and on senior managers. Key action is aimed of

involving the HR function more in KM strategy development. The study tackles KM

related social and cultural issues through a broad but practical HRM perspective. It

helps to advance a better understanding of the cases of KM success or failure, both

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useful to academics seeking theory building and to practitioner interested in insightful

advice.

Hongming Wang (2005) says that personnel strategy could play a crucial role

in enhancing the effects of HRM and entrepreneurship by supporting the main

dimensions of HRM; the system strategy was used to facilitate technology

innovation through knowledge management while the organizational strategy was

adopted to create positive organizational culture and high performance system.

Vittal Dasa Prabhu and Murali (2006) in their article “Human Resource

Management for Truck Transport Industry” have studied acquisition of human

resources for transport industry, development of human resources and health issues in

transport industry. They have concluded that job evaluation, compensation and

incentive administration can make the HRM effective in transport sector in India.

LUC Sels et. al., (2006) in a study on the “Examination of the impact of HRM

intensity on the productivity and financial performance of small business” attempt

to explore empirically the link between HRM and fair performance. Numerous

research on this link remain retracted. Little is known about the extent to which the

existing results extend to small business. The purpose of the present study is to

develop and test a conceptual framework linking HRM to financial performance.

That fits small business - the central question is whether the development of an

intensive HRM is profitable for smaller organization for the development and

optimization of the conceptual framework they rely on human capital theory and

bankrupt prediction models using structural equation modeling. The study had the

mediating effect of voluntary turnover and productivity on the relationship between

HRM intensity and one year lagged financial performance; the results show both

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productivity and profitably enhancing effects as well as a cost increasing impact of

HRM intensity.

Morley (2006) in his study introduces special issue which brings together five

papers exploring the changing anatomy of HRM at organizational level. The authors

briefly contextualize and introduce the five selected empirical papers. The findings in

these papers vary according to the core theme of each of the five contributions. The

first paper highlights whether the mix of distributed HR activities between the HR

department and internal / external agents may be to understand influences and more a

matter of corporate choice. The second paper establishes that role dissonance is a very

real issue for middle managers with HR responsibilities. The third paper unearths the

complexities and challenges involved in changing the existing HRM procedures and

practices in a post merger scenario. The fourth paper provides an understanding of

the management of human resources supply chains and outlines five empirically

derived generic models of HR outsourcing. The final paper finds that human resource

IT diffusion taken up is primarily bullied by interpersonal communication and

network interactions among potential adopters. Originality value combined the paper

after insights on the claiming anatomy of the HRM function against the backdrop of

the dynamic contemporary organizational landscape and showcase cross national

research on the theme.

Budhwar (2006) in a study on “ The dynamics of HRM system in Indian

BPO firms”, highlights the context within which business process out sourcing

(BPO) has rapidly grown in India and the critical need to investigate the dynamic of

human resource management (HRM) practices and systems in this sector using a

mixed method approach involving both in depth interviews and self completing

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questionnaires. The analysis is based on a sample of 51 BPO companies, a majority

of which are located near the capital of New Delhi. The results focus on the nature

and structure of work and organization of Indian BPOs, as well as the strategic role

played by HRM in such organizations. Furthermore, the findings highlights the way

specific HRM practices such as recruitment, performance appraisal, training and

development and compensation are implemented. The study suggests the existence of

formal, structural and rationalized HRM systems in Indian BPOs. A number of

insights related to HRM policies and practices are shared by the HR managers

interviewed shielding more light on the inner workings of the Indian BPO companies

and their challenges. The analysis provides original and useful information to both

academics and practitioners and opens avenues for future research on the nature of

HRM systems and practices in the Indian BPO industry.

Susanna Perez Lopez et. al., (2006) in a study on managing human resources

towards achieving organizational learning have found that the role of human

resource management in learning organizations has been discussed by number of

researches. However, there is a lack of empirical studies that explore the relationship

between human resource practices and organizational learning. This paper aims to

address this short coming, more specifically. The purpose of this paper is to analyze

the relation between four HR practices (hiring, training, compensation and decision

making) and organizational learning. The hypotheses proposed are tested on a sample

of 195 Spanish companies using the structural equation modeling techniques. The

result supports the view that selective hiring, strategic hiring, contingent rewards and

employee participation in the decision making positively influence organizational

learning.

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Zheng C. Morrison (2006) explore the impact of adopting human resources

management (HRM) practices in Chinese small and medium sized enterprise (SMEs).

The researchers draw of five models that have been developed to test the linkage

between HRM and organizational performance. The study refers to a number of

empirical studies that show the impact of a „bundle‟ of HRM practices on

organizational performance; presents a relevant literature dealing with HRM practices

in Chinese SMEs; presents hypotheses proposing how seven HRM practices are

thought to influence four HRM outcomes (staff turnover, commitment, convergence

and competency); outlines how these were then tested on the data collected from

managers of SMEs; findings show how HRM had a positive impact on employee

behaviour and firm performance; reveals how is high level of employee commitment

and had positive effect on firm performance and that employee competency was

found to contribute to both safe and expected growth. Research limitations and

implications show small sample was extended the number of HRM variables used in

the study.

Patel M.K. (2006) in his book entitled “HRD Practices in Service Industry : A

Study of Women Employees” highlighted that HRD general practices, HRD climate,

industrial relations, wages and salary, welfare activities, promotion and transfer,

performance appraisal, recruitment and training and development practices in various

service sector's organizations in India concentrated much to higher performance.

Human resources are the vital part of an organisation's growth. The development of

human resources carries a vast importance for the future of the organisation. Today

HRM / HRD is not an isolated practice or a department in the organisation. It is a

force, which binds the whole organisation. It is the aspect, which solves the problems

related to human resource in the organisation. Human resource is an important aspect

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of management, which motivates the human power to take the challenges faced by the

organisation in the third millennium.

Ville Nurmi (2007) in his article entitled “the trends of HRD in the Finnish

pulp and paper industry” emphasis the trends in HRD. The recent two decades have

introduced several major changes into this field of industry. Technical breakthroughs

have led to drastic changes in the competence requirements of the personnel. On the

other hand, the boom of mergers and acquisitions in this industry segment has cut

down the number of corporations with worldwide operations. He concluded that the

globalization challenges the European labor market, social policy, vocational

education as well as HRD practices to develop high value jobs and competencies

essential for survival in the labor cost competition.

David Urbano and Desislava Yordanova (2007) in their study on

determinants of the adoption HRM practices in tourism SMEs in Spain, an

exploratory study, explored the relationship between the adoption of HRM

practices in small and medium sized enterprises (SMEs) and the characteristics of

the firm and the person responsible for HRM. They propose a conceptual model

based on the resource – based view which is tested with quantitative data from 164

tourism SMEs in Calatonia (Spain), predicted the adoption of HRM practices which

is positively associated with the presence of an HRM department. Also SMEs in

which the person responsible for HRM has previous experience in similar positions

are greater adopters of HRM practices; finally it is said that SMEs which cooperate

with other organizations are more likely to implement HRM practices.

Mohinder Chand Anastasia A. Katou (2007) in his study has dealt with two

total purposes to investigate whether some specific characteristics of hotels affect

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organizational performance in the hotel industry in India and to investigate

whether some HRM system affect organizational performance. In the hotel industry

in India for his study, he had taken a total 439 hotels ranging from three star to five

star deluxe, responded to a self – administered questionnaire that measured 27

HRM practices five organizational performance variables and ten demographic

variables. Factor analysis was performed to identify HRM system, one way ANOVA

was employed to test the association of the demographic variables with organizational

performance and correlation analysis was used to test the relation between HRM

systems and organization performance. The results indicate that hotel performance is

positively associated with hotel category and type of hotel (chain or individuals),

furthermore, hotel performance is positively related to the HRM systems of

recruitment and selection manpower, planning, job design, training and

development, quality circle and pay systems, research limitations and implications

suggest that single respondent may have occurred because a single respondent from

each organization provided information on HRM practices and perceived measures of

organizational performance. The sample was drawn from the population of best

performing hotels in India so it is not representative of the hotel industry in India for

practical implications. It hotels are to achieve higher performance levels they should

preferably belong to a chain and increase their category and management should

focus on „nest‟. HRM practices indicated in the study makes a modest attempt to add

information with the very little empirical knowledge available referring to the link

between HRM and performance in the hotel industry.

Shanshi Liu et. al., (2007) in search of the best human resource practices in

chain stores made on the human resource (HR) practices from 83 chain stores in

China. Differentiated managerial staff and operating employees according to

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different type of HR configurations. It also identified high and low adoption based on

binding of HR practices using cluster analysis. This impact of HR practices alignment

on enhancing HRM performance was evaluated using high adoption cluster. The

findings advance our knowledge in the high performance work systems literature

and offer important insights for executives in formulating the HR management

strategies.

Karin Sanders, Lve Dorenbosch Renee de Reuver (2008) analyze whether

individual perception of a HRM system distinguishes consistency and consensus and

shared perceptions of HRM (climates strength) which are positively related to

effective commitment in the organization. Also examine if climate strength has a

mediating effect in the relationship between the individual perceptions of an HRM

system and effective commitment. The study was conducted with data from 671

employees, 67 line managers and 32 managers within four hospitals. Result of two

levels analyses (department employees) showed that the perception of

distinctiveness consistency and climate strength expected are positively related to

effective commitment. Instead of a mediating effect of climate strength, a moderator

effect was found and that the relationship between consistency and effective

commitment is stronger when climates strength in high. Research limitation and

implications show that the researchers offer some recommendation to focus on the

process of HRM to term of distinctiveness consistency and consensus and on the

importance of shared perceptions within a department. The study also shows the

impact of aspects of the process of HRM on the individual level and shared perception

of high commitment HRM on the department level of effective commitment of

employees.

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Nicole Renee Baptiste (2008) in their study, data were collected from a

public sector (local garments) organization to identify the link between HRM

practices and employee well being at work and performance. A preliminary staff

survey of employees provides a brief over view of the link between HRM practices

and employee wellbeing at work and performance. Findings show that HRM practices

adopted have a significant impact on employee well being at work and tend to be

more positive than negative. The overall consistent result in the study was that

management relationship behaviours in the form of support and development of trust,

promoted employee wellbeing at work amongst workers in general. The finding will

prove helpful practice and research limitations and implications show that HRM

practices that help to maximize employee well being at work are not necessarily

the same as those that make up “high performance” HR practices and the promotion

of well being at work is not to be at result of the HRM practices but can be linked

to line management leadership and to relationship. The practical implication show

that the importance of management relationship support and employees trust are

found to predict well being at work. The business card for employee improving

employee performance and productivity which in turn can enhance organizational

effectiveness and decision making.

Wong Choy Har, Tan Boon In, Loke Siew Phaik and Lee Voon Hsien (2009)

in a study on “The Impact of HRM Practices on KM: A Conceptual Model”,

highlights the context within which Knowledge Management (KM) has rapidly grown

in India. The research model demonstrates the association between the contribution of

HRM practices and the effect towards an effective KM. It is clear that continuous

support from the HRM will be a key strategic requirement for facilitating the

knowledge management activities in the firm. The proposed framework is valuable to

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practitioners and managers so that they can be well-prepared in the efforts of

improving the firms‟ knowledge management processes. It is also suggested that this

framework to be examined through empirical data. They expect that the findings can

provide more insights and deepen our understanding in examining the relationship

between HRM practices and knowledge management. More importantly, the findings

can be used to gauge the effectiveness of KM in improving the organisational

performance and sustaining future competitiveness.

Andreas Georgiadis and Christos N. Pitelis (2010) made a study entitled “The

Interrelationship between HR, Strategy and Profitability in Service SMEs: Empirical

Evidence from the UK Tourism Hospitality and Leisure Sector” and emphasize the

trends in HR strategies and its implications in the tourism industry. The primary aim

of this study was to identify value capture strategies, HR factors and their synergies

that are associated with superior financial performance of medium, small and micro

businesses in the service sector and in particular the UK Tourism, Hospitality and

Leisure (THL) industry. They also have important implications for managerial

practice. In particular, it is not necessarily true that profits will be higher and may be

even lower when managers / entrepreneurs engage more actively in the sole pursuit of

a dedicated value capture strategy or have in place HR practices to elicit required

behaviour by employees. What seems to be a significant predictor of profitability is

the external fit, i.e. the combination / complementarity of value capture strategies and

HR factors such as human capital and HR practices. Moreover, their results suggest

that there is “good” and “bad” fit of strategy and HR as some combinations of

strategy and HR are associated with higher and some with lower profitability.

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Muhammad Asif Khan (2010) did study on “Effects of Human Resource

Management Practices on Organizational Performance – An Empirical Study of Oil

and Gas Industry in Pakistan”. The study evaluates the effects of human resource

management practices on organizational performance in Oil and Gas Industry in

Pakistan. A total of 150 managers of 20 randomly selected firms from Oil and Gas

Industry responded to self-reported questionnaire that measured five HRM practices

and subjective measures of organizational performance. Factor analysis was

performed to identify human resource management practices. Regression analysis

indicated a positive and statistically significant association of these practices with

organizational performance. The study provides insight to management to use these

practices as strategic tool for superior performance, and add to the limited empirical

knowledge that exists in Pakistani context. This study evaluated the effects of HRM

practices on organizational performance in Oil and Gas Sector of a developing

economy. The study highlights the importance of HRM practices to achieve and

sustain superior performance in changing business environment and need for an

integrated approach toward formulation and implementation of HRM practices. The

organizations need to proactively pursue a strategic approach to HRM practices and

invest in such practices to achieve sustainable competitive advantage in tangible and

intangible dimensions.

2.2 Research Gap

The various studies related to the HRM practices reviewed relate to the

transport undertakings and no study similar to the present study have been undertaken

in the field of HRM practices in the public sector undertaking particularly in

Karnataka State Road Transport Corporation, Bangalore. Hence, it is felt necessary to

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study the HRM practices in Karnataka State Road Transport Corporation, Bangalore.

In this context the researcher has made an attempt to study HRM practices in

KSRTC by taking up the sample from Drivers and Conductors, Technical staff and

Administrative staff of unit with particular reference to Bangalore Division, the study

area.