Podcast
Questions and Answers
What aspect of culture refers to the tolerance of uncertainty and ambiguity?
What aspect of culture refers to the tolerance of uncertainty and ambiguity?
Which perspective emphasizes the influence of economic and social structures on organizational culture?
Which perspective emphasizes the influence of economic and social structures on organizational culture?
According to Hofstede, culture is not:
According to Hofstede, culture is not:
Which theory recommends determining the right organizational culture based on internal and external variables?
Which theory recommends determining the right organizational culture based on internal and external variables?
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What type of culture is described as being 'top down' and created by managers?
What type of culture is described as being 'top down' and created by managers?
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Which aspect is NOT part of the differences in cultures mentioned in the text?
Which aspect is NOT part of the differences in cultures mentioned in the text?
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According to the conflict perspective, what sustains inequality within an organization?
According to the conflict perspective, what sustains inequality within an organization?
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'Produced inside' and focuses on internal relations is a characteristic of which type of culture?
'Produced inside' and focuses on internal relations is a characteristic of which type of culture?
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'Cultural aspects include all EXCEPT:
'Cultural aspects include all EXCEPT:
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'Manage culture through HRM' implies that culture can be influenced by:
'Manage culture through HRM' implies that culture can be influenced by:
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Study Notes
HRM: Strategic Approach to Managing Employee Relations
- From Personnel Management to Human Resources Management (1950-1970s: Keynesianism, 1970s-1990s: Neoliberalism)
- Shift from stakeholder model to shareholder model and back to stakeholder model under neoliberalism
Actors Regulating Employer Relations
- Unilateral (just employer)
- Bilateral (employer + trade unions) -> USA
- Trilateral (employer + trade unions + government) -> EU
Types of Relations
- Economic (labor for pay)
- Legal (contract)
- Social (relations and balance of power)
- Psychological (expectations of and from employer)
Ulrich Model of HR Roles
- 4 roles for different people (strategic partner, administrative expert, employee champion, and change agent)
3 Paradigms
- Structural Functionalism: organization as a body with many parts that work together, HR coordinates and avoids conflict
- Conflict Paradigm: capital and workers have interests, conflict is normal
- Feminism Paradigm: company mimics the context they work in
Strategy
- Made by management, always changing, based on values, resources, and environment
- HR manager defines HR strategy based on the overall strategy
- Model of strategic management: mission, environment analysis, strategic formulation, strategic implementation, strategic evaluation
Hierarchy of Strategy
- Corporate: general philosophy
- Business: how to compete
- Functional: operations to maximize resource productivity
Strategic HRM
- 2 models: Best Practice and Best Fit
- Best Practice Model: universal practices that every company must adopt
- Pfoerfer's 7 practices: employee security, selective hiring, teamwork and autonomy, pay according to performance, extensive training, not hierarchical, listen and inform employees
- Best Fit Model: based on the company strategy, resources, and environment
Critiques of Best Fit Model
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- strategy to HR is not a linear relation, because strategy changes a lot and fast
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- hard to prove that investing in people is remunerative
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- different countries, cultures, and laws force changes in the best-fit model
Control-Based Model
- Based on Porter's model, outward looking
- Flexibility has ups and downs: stress, violation of the psychological contract, loss of skill & knowledge, loss of social capital, "survivor syndrome"
4 Aspects of Flexibility
- Functional (related to skills & strategy)
- Numerical (just hours)
- Distancing (Teleworking, outsourcing, externalizing)
- Financial
Chapter 5: Recruitment & Selection
- Test to select the best candidate with objective and reliable techniques
- Recruitment: generate a pool of candidates
- Selection: use instruments to select the best out of the pool
- Job analysis: understand the nature of the job (job description, job specifications)
- Methods of analysis: observation, performing the job, interviews, diaries, background records, questionnaires, critical incidents
O*Net
- Database of roles with their descriptions
Alternatives to Recruiting
- Outsourcing
- Contingent workers
- Overtime
- Professional employer organizations (employer leasing)
Internal and External Recruiting
- Internal: better assist the candidate, reduce training time, faster, cheaper, motivates the employee & satisfies unions
- External: increase diversity, shorten training time, how to find: media, job fairs, employment agency, recruiters, open house, association, and E-recruitment
Career Development System
- Benefits for managers: better communication, better understanding of the system, increased skill in managing own careers
- Benefits for employees: helpful assistance with career decisions, realistic goals, responsibility
- Benefits for the company: better use of employees, great retention of employees, expanded public image
- Components of CDS: mentoring, self-assessment tools, individual counseling, and others
Chapter 8: Rewards Management and Inequality
- Reward can be monetary or non-monetary/benefits
- Rewards can be extrinsic (compensation) or intrinsic (psychological enjoyment or satisfaction in performing the job)
- 2 contradictory elements: cooperation with the employee to reach goals, and conflict to split the profits of the goals: HR finds the balance between conflict and cooperation
Reward Options
- Job-based
- Person-based
- Performance-based
- Job-based: internal equity, external equity, and individual equity
- Point factor: finds compensable factors (something that deserves to be paid, e.g. number of people managed, budget) and assigns points to each factor
- Person-based: allows paying more if someone is really good at their job to value skills
Performance-Based Reward
- Can be based on individual or group performance
- Individual: qualitative (merit pay plans), quantitative (incentive plans)
- Group: profit sharing, gain sharing, employee stock/stock option plans
Limitations
- Unions that support worker's interests have much power than the single person
- Legislation limits the power of the organization (e.g. gender pay gap)
Chapter 9: Labour Relations and Collective Bargaining
- Union: form of employee representation, gives them a voice
- Cultural aspects: language and symbols, values, beliefs, and principles, norms
- Differences in cultures: power distance, individualism vs collectivism, masculinity vs femininity, uncertainty avoidance
- Hofstede: culture is not monolithic -> not everybody embraces that, there is a dominant culture aligned with my strategy and some sub-cultures
Corporate Culture
- Top-down, made from managers vs organization culture
- Produced inside, how relations are internally
- Organization climate -> individual perception, not related to culture
3 Perspectives on Culture
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- Structural functionalist approach: culture is something an organization has, and it's top-down
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- Symbolic interactionalist perspective: culture is affected by the structure of economic and social class
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- Conflict perspective: values and norms sustain inequality
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- Feminist perspective: gender is a central aspect of work, focus on equality
Managing Culture through HRM
- Strong culture can create common value system, can provide norms and behaviors to follow
- Managers can influence the symbolic meaning of actions
- Culture can be changed through HRM practices (like hiring…)
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Description
Explore the strategic approach to managing employee relations, tracing the evolution from Personnel Management to Human Resources Management. Learn about the transition from Keynesianism to Neoliberalism and the impact on employer relations.
