The role of HR

Comparative HRM: Theory & Practice

Universalism vs Contextual

• Universalism-Contextual debate • Is there a best practice approach? • Convergence as a 3rd alternative

International ContextIncludes:International Agreements

Corporate Strategy

National ContextIncludes:culture political/legislative economic social patterns of ownership etc.

HRM StrategyIncludes:integration devolvement to line employment policies involvement policies reward policies work systems etc.

National HRM ContextIncludes:education/training labor markets trade unions industrial relations etc.

HRM PracticeIncludes:selection performance appraisal rewards development industrial relations communication etc.

Environment Organization

Contextual Model of HRM

Employee Champion

Administrative Expert

Operational Focus

Strategic Focus

Change Agent

Strategic Partner

HR Role Framework

Source: Conner J. Ulrich D. (1996). “Human Resource Roles: Creating Value Not Rhetoric” Human Resource Planning September

People

Process

Performance Selection Appraisal

Rewards

Development

The Michigan Matching Model of HRM

StakeholderinterestsShareholdersManagementEmployee groupsGovernmentCommunityUnions

HRM PolicyChoicesEmployee

influenceHuman

Resource flowReward systemsWork systems

HR OutcomesCommitmentCompetenceCongruenceCosteffectiveness

Long-termconsequencesIndividual well

beingOrganizational

effectivenessSocietal well-

beingSituationalfactorsWork force

characteristicsBusiness strategy

and conditionsManagement

philosophyLabor marketUnionsTask technologyLaws and societal

values

The Harvard Model of Human Resource Management

Role of HRM departments

• Differing roles in different countries.• Some more administrative some more

strategic• As some of the administrative work is

outsourced or computerised, there can be more emphasis on strategic role.

Role of HRM department

• Is it represented on the board of directors• Is it involved in strategic management• Where was the HR manager recruited

Moving from a centralised to decentralised HR model

• Trend towards management through cost-centre profit-centre based approach

• Line managers are more in contact with employees. They have the main responsibility for performance.

• Issue of responsiveness to customers.• A move towards reducing overhead and

realtime staffing.

Pressures slowing the devolvement to line managers

• Line managers not enthusiastic to take on HR activities

• Line managers may regard HR activities as a lower priority

• Not enough training and support to line managers in HR duties

Integration and devolvement

• Degree of integration of HRM into business strategy

• Degree of devolvement: the degree to which HRM practive involves and gives responsibility to line managers rather than personnel specialits

Mechanics (low integration and low devolvement)

• Specialist, but limited skills and interests of HRM practitioners.– Professional personnel manager with higher’

imperatives than the organization. Belief that specialist knowledge is beyond the scope of untrained people.

– Focus on the mechanical requirements of the function.

– Increasing isolation from strategic interests of the organization.

wild west (low integration and high devolvement)

Individual manager free to develop his/her own employee relationship.

lncreased power to hire and fire, reward and develop employees.

Potential for incoherence, inconsistency and strong employee reactions.

Guarded strategists (high integration but low devolvement)

• Specialists powerful figures in the organization.

• Close liaison with senior managers to develop strategy.

• Large and influential departments with centralized control of policies.

• Better line managers frustrated with lack of control, poor managers welcome lack of responsibility.

Pivotal (high integration and high devolvement)

Senior personnel managers act as catalysts, facilitators and co-ordinators.Small, but powerful departments.Monitoring of and internal consulting on HRM developments.Responsibility and authority devolved to the line.

Problems with resourcing high-calibre business- orientated HRM managers.