Research Objective
Discuss about the Human Resource Management Is One Of Key Verticals Across Business.
The human resource management is one of the key verticals across any business. It forms the basic back one on which the whole organisation operates. It has been seen historically that organisations which have not paid heed to human resource management has suffered big time in any kind of growth oriented strategies. In modern day organisations are completely focussed on this vertical and one of the key focus area is how to focus on HRM in the company. The modern day organisations are focussing in development of strong HRM policies and then working on evolution and strong working network of the same. It has been realised over the period of last 15 to 20 years that it is the people which will ultimately go on and define where organisations reach. Some modern day organisations like Google, Facebook, Apple, and Amazon has evolved and developed their complete business based on human resource management (Armstrong, 2014). The traditional office setup is completely out in these companies and they are the modern day organisation which has developed their strategy and outlook in and around the people.
The business houses and leaders would be spending more time in planning and decision making and the rudimentary daily HR affairs need to be automated. Without proper coordination and work in this regard the business would become really challenging and it will be very difficult for them to come out and position themselves in new era. We have come a long way in HRM practises and Knowledge management solutions along with focus on skill development are putting organisations on altogether different league (Alfes, 2013). The game in these kind of league would be completely different and future of organisation and people is completely now a function of how they are ready for the future. We have heard a lot that businesses have gone out of context when they stopped innovating and evolution for them stopped. They were caught in their own set of practises which were wrong for them. Business leaders of current generation have come a long way however the process needs to be constantly worked upon in case one want to achieve the desired results (Briscoe, 2012).
One of the leading concepts in HRM that we will be exploring in this paper is the fact that how learning, training and knowledge management are becoming far more important in this field and how modern day leaders are providing constant thrust on these factors. The constant change in how business is being is done in the world aided with technology is leaving no barrier on what all business need to do so that constant cutting competitive edge is maintained. The skills need to keep evolving and patterns need to develop so that organization keep learning and moving to next stage of growth curve. A lot need to go right and perfect so that organization is able to constantly deliver right solutions and HRM plays a huge role in the whole process (Boxall, 2011).
Research Questions
In this paper we intend to answer some key questions related to Human resource management and how it has evolved over the period of last 25 to 30 years. If one looks at earlier years when HR started getting focus in the business it all started with focus on good pay, keeping employees happy and motivated so that they deliver the best possible output for the organization. However this has changed drastically over the evolution period of HRM and focus has shifted completely to develop knowledge and capabilities in house and then harness them towards the growth of the organization. In current times thrust of the organizations has been on constant evolvement of the HRM vertical, change management practices and how to keep employees for any such disruptive changes (Jiang, 2012).
This piece of research intend to understand what all has gone behind in development of modern day methods of training, skill development and knowledge management solutions in corporations (Evans, 2010). Some of the pertinent question this paper intend to answer to are mentioned below:
- How has HRM gained traction in corporations?
- How businesses have adopted HRM solutions aided with technology?
- Why training and skill development are important factors in the modern day human resource management field?
- How knowledge management became important for organizations?
- How the space of knowledge management solutions has evolved?
This paper intends to conclude with set of findings and recommendation on how new age organizations need to work on meeting the challenges faced by them in HRM space. All of these are function of what is currently happening in the space of human resource management. The earlier pillars of support like human resource are now turning into profit pool for organizations and this paper intend to put emphasis on this notion (Chuang, 2010).
Research methodology for this paper is very crisp and clear. As per modern day research methods one can have set of questionnaire and then do some amount of primary and secondary research to come up with findings. In this paper our focus will be completely on secondary research and hence our main piece of research will focus around the literature review. Since no primary research will be carried out in this paper the focus will be completely on qualitative means and methods to enhance the observations and present it in a meaningful manner. It is important that any research paper decides upon the research methodology in a meaningful manner otherwise the results of the research won’t be fruitful (Renwick, 2013).
Research methodologies have evolved over the years and it is important that constant thrust is given by researcher to all possible methods he/she intends to use in the project. The identification of best research method for the project goes in long way to decide the ultimate outcome of the project. In this paper we intend to do secondary research with qualitative analysis to finally present our findings. The other method would have been to do is primary research which needs to be carried out on field, do some kind of open interviews, frame hypothesis and conclude it by means of quantitative research (Lengnick-Hall, 2011). The prominent difference between the two would decide the kind of result we get from the research. A quantitative research which is based on interview and surveys would have given us perspective on current times and how it is shaping for the near term. However they tend to be bit skewed if adequately supported by secondary research findings; many a scholars and research fellows have done amazing work in the field of HR research and hence it is important to support such literature and draw from their findings. This is the prime reason why we have adopted such method. We would be delving deep into the literature and find out how evolution has taken in place (Kehoe, 2013).
Research Methodology
In this rapidly evolving globalized world alongside cut throat competition in any business, it is the employee of the organization which has capabilities to turn itself into a competitive advantage in the business. This is where management of such human capabilities which exist in diverse forms it is very challenging for any organization. The HRM leaders of any organization are constantly focused on how to keep there resources motivated, evolved and trained for all possible situations. Technology has reached in roots of organization and if this diverse pool of knowledge and human talent if not preserved, it will find way to move towards competition. The tendency and stickiness to organizations have reduced drastically and aspect like work life balance, career growth chart are gaining traction. In such a scenario it is important that organizations maintain parity on what is being offered by them to employees, constantly work alongside them so that proper career orientation is provided, employees are motivated and are chasing competitive advantage in business (Buller, 2012).
The organizations over the year have evolved to a large extent on the basis of technology and it is the usage of same in all fields which is changing the dynamics of various industry. Think of a factory 20 years back and think of it now. The dynamics of the work force has complete changed and organizations wouldn’t have survived if they didn’t trained or skilled there employees enough during the transition phase (Jiang, 2012). These set of factories would have died down and such huge amount of work force would have been out of system. However these set of work forces evolved, they learned the new means and ways of working and then came out stronger. It is with these organizations who worked with their employees, short listed new skills and technology that are evolving and trained employees regularly on them. This constant pursuit of organizations to keep their work force ahead of the competition has led to successful development of modern day organizations (van den Born, 2010).
The advancement of technology in late 20th century and the speed with which it has evolved in 21st century has changed dynamics of the industry completely. Organizations have focused on HRM solutions which are available on technological platforms and utilized them to do traditional HRM related works. This has bought in whole new set of efficiency in the system and most of the traditional HRM related work like payroll processing, attendance monitoring, appraisal exercise, employee grievance readdressal, change management, record keeping has moved to technological platform (Harzin, 2010). This has allowed HRM leaders to focus completely on other factors which were ignored earlier. What has sided this research is the fact that post 1990’s lot of research has happened on the human aide of the business. This research has thrown completely new and interesting perspectives. These set of perspectives have been read by industry leaders and then they have been bought to the system. This is where factors like employee motivation, skill development, career path development, employee focus growth, knowledge management gained traction in this space. When all this research we’re happening industries also evolved, completely new set of businesses came up in the internet age. These set of industries which earlier had no existence in the world, brought in new ways of working with employees. For these set of businesses it was not traditional asset which company need to manage, new set of intangibles evolved in form of talent management became important. Many organizations realized that real tangible assets of the company are now not plant and machinery, but the employee force which the company has (Camelo-Ordaz, 2011).
Literature Review
New emergence of internet age and businesses around it as discussed changed perspectives in other industries too. Many of these industries took cue from such internet age companies and started implementing best learned practices in their own industry. Complete overhaul of traditional practices started, business leaders started realizing the importance of the change which is dawning upon them and realized the challenges which it will bring. A lot has to be attributed to visionary business leaders who were early adopters in this case and took the risk and reaped the benefits. These set of early adopters later became giant business houses as they gained strong competitive advantage by means of human resource development. Post this early adoption stage came set of organizations which followed the ‘me too’ pattern. Under this pattern they started replicating the work done by early adopters. Some of them learned during the process and improved upon the traditional practices, while others completely evolved it and bought in new perspectives (Kim, 2010). It is important to note at this point of time that many organizations failed in implementing too. These were the set of organisations which tried doing things copy book, but didn’t adjust to the challenges their local units faced. For example a multinational incorporation, with presence across the world can’t follow same HR template in all countries. For example the cultural challenges of each country are completely different, hence the implementation need to be different in each of these countries.
As and when patterns started emerging along with successful implementation stories, lot of academic help also started pouring in. The academic unit of different counties started focusing on HRM oriented courses and also lot of research was written during this period (Jackson, 2010). This research also highlighted the set of learnings which educated organizations and leaders of the future. With this development phase in the HRM segment, it suddenly started becoming one of the most important pillars of the organization. Business leaders realized the importance of the same and organizations started developing strong policies in relation to this. These set of policies provided a strong framework under which the employee force operated and was very important piece of information for any company (Bloom, 2011). It worked as a template with certain amount of human angle under which the employees and organization need to operate. The constant growth on learning curve and setting up of new targets when old ones are achieved was very important. This was only constant way to keep moving forward and creating competitive advantage in the whole process of moving forward. The thrust on such methods and constant learning gathered pace and became more important when business houses started seeing concrete results. The changes they have bought about and the kind of improvement and results were delivered astound them. The businesses flourished, efficiency increased, employees felt motivated, responsible and invested upon. The feeling of being invested upon itself was one of the biggest motivating factors for the employees. This feeling of enthusiasm put many companies on very high growth curve (Store, 2014).
With this strong advancement of HRM on the technological platform, business leaders also started emphasizing on the importance of training and skill development in the organization. Skill development and equipping the employee force with the upcoming challenges became new most important focus in the companies. The businesses at the same time realized that traditional models won’t work and hence they need to completely change the way of training and skill development. The traditional models didn’t worked now and technology was evolving very fast and this is when the skill development related work became so very important. First big challenge in the skill development and training related exercise was the belief that technology will take away jobs and hence employees didn’t wanted to adopt to it. However business leaders wanted the same to be implemented as it was set to provide competitive advantage (Boselie, 2014). This is where friction developed and things faced huge resistance. However few employees saw this as career advancement opportunity and also wanted to take the poster boy position in the organization. The development seen in such employees suddenly started gaining traction among other employees and they left resistance and started developing skills and adopting technology. This is how things have developed across organizations and adoption took place among organizations.
In the internet age information flow was always at ease. However it was equally challenging to manage such information and also store them in a meaningful manner. It is no point having huge knowledge about the product, service and industry, however not being able to document it and pass it to all people in the organization became a challenge. These set of everyday new learnings and it’s importance was not be missed. Business leaders realized the importance of the same and started storing this information at one place. However dissemination of this information was huge challenge. The first set of systems or software developed by corporations where for in house usage. Think of a factory 20 years back and think of it now. The dynamics of the work force has complete changed and organizations wouldn’t have survived if they didn’t trained or skilled there employees enough during the transition phase. These set of factories would have died down and such huge amount of work force would have been out of system. However these set of work forces evolved, they learned the new means and ways of working and then came out stronger. It is with these organizations who worked with their employees, short listed new skills and technology that are evolving and trained employees regularly on them (Pfeffe, 2012). These were initial set of systems which existed in isolations and didn’t talk to each other. It was very difficult to find out any meaningful information from these set of systems. The challenge was visualized as an opportunity by few business leaders and they started developing solutions not only for their own internal need but also to develop products around it. These were the first set of knowledge management solutions which came forward from any corporation. The information was stored in a very meaningful way and was then disseminated in a proper manner. A lot of learning also emerged when these set of Knowledge management solutions started gaining traction. The importance of the same was realized and the learning from the same was utilized to develop better enhanced offering. The world has come far from the early days of knowledge management solutions and now they are also part of modern day HR suites offered by various companies. The importance of knowledge management solutions is huge and it is very important that such solutions are properly utilized by corporations.
Training and skill development are very important aspect of modern day business management process. The involvement of Human resource team in the same is huge and all planning and procedure, the ways of imparting and measuring its effectiveness the team is highly involved. Business managers and operation team can visualize the kind of training needed by identifying gaps in skills on the work force. Post this identification of the problem it is the human resource team which need to work in sync with the business managers to identify the best possible curriculum of training, closing on modes which would be best suited to impart this training and then closing on the schedule and measuring the effectiveness. Other than the business oriented training, organizations also train it’s employees in field of leadership development. Many forward looking organizations also provide platforms by means of which employees are provided forums on which they can showcase their talent (Albrec, 2011). This may be in relation to direct field of work or with something else. The objective of such exercise is to identify areas where organizations don’t know much about the employee. This kind of forums helps companies in identifying exceptional talent and also understands about the other capabilities of such employees. Business leaders can then visualize the talent and also identify such talent for necessary training so that some amazing skilled are developed in the company (Kusluvan, 2010). These set of skills can be utilized in some other vertical of the company and the fact that such skills existed in the company is testimony to the situation where one put thrust on HRM. A lot has to be attributed to visionary business leaders who were early adopters in this case and took the risk and reaped the benefits. These set of early adopters later became giant business houses as they gained strong competitive advantage by means of human resource development. Post this early adoption stage came set of organizations which followed the ‘me too’ pattern. Under this pattern they started replicating the work done by early adopters. Some of them learned during the process and improved upon the traditional practices, while others completely evolved it and bought in new perspectives. It is important to note at this point of time that many organizations failed in implementing too. These were the set of organisations which tried doing things copy book, but didn’t adjust to the challenges their local units faced.
The results of evolution of HRM are pretty clear and new methods are constantly coming up to take it to new levels. We have come a long way from the era of 1980-1990 where HR was a function in the organization just for processing payroll. Those were the days where employees were still part of industrial age revolution methods. Business houses still operated on factory mode and manufacturing was the core industry in the world. However since then service industry has gained lot of traction and this is one of the prime reason why people started becoming face of organizations. When people started gaining importance it became evident that vertical which works for them need to become a pillar for the organization (Aswathappa, 2013).
It is important to note the kind of role which has been player by internet age companies. It took quarter of a century or half of it for manufacturing companies to become giant, but many of these internet age companies became huge in a decade. They became a household names and soon started showing the world what the future organizations would look like. The advancement of social media and information dissemination at such rapid pace also made employees more aware. The traditional organizations started realizing the change and it became evident to leaders of such organization that if they need to survive in such situations they need to change. Employees also started demanding such services or they started becoming indifferent to situations in the organization. Such change in companies led to huge inefficiency and root cause analysis of any such situation would highlight concerns in the human resource motivation. The cultural shift these set of organization had to make was huge and it would take a long time to achieve it. However these set of organizations also realized if the shift is not started, they will become redundant which they wanted to avoid at any cost.
The business policy shift was one of the major changing forces for the industry as a whole. The whole HRM function came into immediate focus and objective was to utilise this opportunity to connect with the employees and create an environment under which the organisation can flourish. The HRM function was suddenly the heartbeat of the organisation and its pulse were felt across organisation. The business leaders became increasingly focussing on the HRM side and the vertical which was quiet over the years was now certainly buzzing. The sudden buzz and immediate result expectations led to huge expectation-delivery gap (Anderson, 2013). This is where academia played a huge role; the companies started picking the best of HR talent from premium institutions and expectations was that there would be a quick turnaround in the practises. The process shift is the easier part in changing HR dynamics; it is the cultural change which needs time and constant influx of people belief that this is the right process forward. Any resistance need to be met with proper care as they are also part of the organisation and it is very important that right example was set while dealing with them.
It was very important that organisation keep moving upward on the learning curve, any kind of lagging will become a competitive advantage for the competitor. The constant growth on learning curve and setting up of new targets when old ones are achieved was very important. This was only constant way to keep moving forward and creating competitive advantage in the whole process of moving forward. The thrust on such methods and constant learning gathered pace and became more important when business houses started seeing concrete results. The changes they have bought about and the kind of improvement and results were delivered astound them. The businesses flourished, efficiency increased, employees felt motivated, responsible and invested upon. The feeling of being invested upon itself was one of the biggest motivating factors for the employees (Bloom, 2012). This feeling of enthusiasm put many companies on very high growth curve. The examples of companies like General Electric, 3M, Walmart, Facebook, Amazon, and Google are just few well-known names in the industry which grew by leap and bounds during the period. The business leaders over the years have also realised that there is no one spot dead end to this; this is a constant force which need to keep moving and stay ahead of the curve. This is where HR and its improvement plans became part of systematic process and gained importance, it was no more an isolated function or single one time project which will set things right at once. Business leaders realised that it needs to work together with the other business function and is a constant process. The HR leaders who took such major steps were the one who saw the result in the fastest possible manner (Nickson, 2013).
It is also very important to realise that there is no fixed template under which companies can operate and implement systems. It has to be carried out like a research project within the company. Things need to be observed, benchmarked with the best in the industry, peer reviewed and then gaps need to be identified. Once these set of gaps are identified than one need to prioritise which are the one with the highest priority and also which are the ones which can be carried out simultaneously. A cost benefit analysis need to be performed and then one with highest priority and cost advantage position need to be implemented. Once the organisation has decided that particular thing need to be implemented, the next phase is to plan for it and execute it like a project. Any business project need to have timelines, milestones and a concrete plan to achieve the objective (Sadikoglu, 2010). For example if an organisation has decided to implement knowledge management solution in the organisation, a concrete plan on deploying the same and the various stages need to be identified. Each one of them needs to be monitored and responsibility should be very clearly delegated. Any business review meeting in the organisation should have this as part of Agenda and after careful monitoring decisions should be taken. There is no point having a strong plan but weak execution in the system, the thought that this is of systematic importance need to be imbibed in the employees. The employees should be made to feel part of the whole process as ultimately it is them who are going to use it (Pieper, 2012).
It has been seen that organisations have implemented best of solutions in all respects and have done awesome work to put together everything, however still things are still falling apart and there is no concrete solution or results in sight. Most of the times in this kind of scenario it has been seen that employee buy-in was not generated and hence the process and implementation failed. The businesses flourished, efficiency increased, employees felt motivated, responsible and invested upon. The feeling of being invested upon itself was one of the biggest motivating factors for the employees. This feeling of enthusiasm put many companies on very high growth curve. The examples of companies like General Electric, 3M, Walmart, Facebook, Amazon, and Google are just few well-known names in the industry which grew by leap and bounds during the period. The business leaders over the years have also realised that there is no one spot dead end to this; this is a constant force which need to keep moving and stay ahead of the curve. This is where HR and its improvement plans became part of systematic process and gained importance, it was no more an isolated function or single one time project which will set things right at once. Employee buy-in is one of utmost importance, if they don’t believe in the whole process it won’t be met with success. Ultimately it is they who are the end users of the whole system and it is expected that they would deliver results reaping benefits from it. This is where the human angle and connect needed to be established. Research has shown that employee buy in can only be generated if the benefit of the change is shown to them and change agent among the employees are established. These change agents are the people among the employees who are actually ahead of the curve and willing to spread the benefit chain with the people who are not aware of it (Mujeeb, 2011). Usually it has been seen that such people are actually the future leaders of the organisation as they are the ones who have highest acceptability in the organisation after the leadership and they are well connected with employee base at work stations. These set of employees as we refer to them as change agent are the ones who are perceived to be as friends by employees. They talk to people and work force in the manner which the people want to listen to, they spread the message with utmost responsibilities and conduct many an informal sessions in which they spread the word about importance of the project and how it will benefit various stakeholders in the organisation. Once the buy in is generated than innovative suggestions will also start flowing from bottom down. It is important that management listen to such suggestions and not dismiss this at one go. There is no point in breaking the established trust between management and work force.
It has been seen over the years that best practises are written and re-written. The constant evolution and establishment of means and ways which will project results in the lime light are the only motivating factors. Everybody has to walk certain miles in the organisation, traditional barriers and ways need to be broken, new ones need to be established and improved upon at all juncture. It has to be carried out like a research project within the company. Things need to be observed, benchmarked with the best in the industry, peer reviewed and then gaps need to be identified. Once these set of gaps are identified than one need to prioritise which are the one with the highest priority and also which are the ones which can be carried out simultaneously. A cost benefit analysis need to be performed and then one with highest priority and cost advantage position need to be implemented. Once the organisation has decided that particular thing need to be implemented, the next phase is to plan for it and execute it like a project. Any business project need to have timelines, milestones and a concrete plan to achieve the objective. For example if an organisation has decided to implement knowledge management solution in the organisation, a concrete plan on deploying the same and the various stages need to be identified. Each one of them needs to be monitored and responsibility should be very clearly delegated.
It is also important that knowledge is gained across different aspects, but the focus on business and industry oriented knowledge is more important. Hence focussed approach towards enrichment of knowledge is key to growth on the learning curve. This kind of industry specific knowledge and domain specification is very important. Learnings from one geography should be passed on to the other geography in which the organisation operates. It is critical that such knowledge is shared; passed and disseminated in proper manner otherwise it will remain as unit based learning and nothing else. The business houses has grown by leap and bounds by following proper knowledge management practises as it helps them in introducing new and focussed business oriented learnings. HRM is nowadays one of the most critical functions of the organisation and hence lot of focus has shifted from operation to HR in organisations. Knowledge management is very important as it helps in meeting proper organisation goals. If an employee leaves the organisation, it takes away lot of learning and skills and it takes lot of time to fill up that void in the business. A strong running business will develop learnings, harness them, record them and even if an employee leaves suddenly will be prepared to pass the skill to others in line soon so that gestation period of knowledge gap is reduced to larger extent.
Conclusion & Recommendations
As we have seen across the research paper there are huge gains to be drawn if the HRM system becomes part of systems in the organisation. The factors like knowledge management, learning curve growth and training can go a long way in developing strong and sustainable organisations. The business system needs to identify training and learning needs and the same need to be measured for efficiency. All the learnings gained need to be properly managed with efficient knowledge management solutions and then worked upon in proper manner. Knowledge management aspects are very critical and it is very important such practises are adopted in the proper manner in the organisation. In the next decade the information system usage will become nearly mandatory for organisations to survive and it will be only with properly coordinated HR systems organisations will gain efficiency. If the system stays in isolation it will be very difficult for them to survive in the coming times. The legacy system need to go and best practises customised to your need to be implemented in organisations. The business houses and leaders would be spending more time in planning and decision making and the rudimentary daily HR affairs need to be automated. Without proper coordination and work in this regard the business would become really challenging and it will be very difficult for them to come out and position themselves in new era.
We have come a long way in HRM practises and Knowledge management solutions along with focus on skill development are putting organisations on altogether different league. The game in these kind of league would be completely different and future of organisation and people is completely now a function of how they are ready for the future. We have heard a lot that businesses have gone out of context when they stopped innovating and evolution for them stopped. They were caught in their own set of practises which were wrong for them. Business leaders of current generation have come a long way however the process needs to be constantly worked upon in case one want to achieve the desired results. HRM is nowadays one of the most critical functions of the organisation and hence lot of focus has shifted from operation to HR in organisations. Knowledge management is very important as it helps in meeting proper organisation goals. If an employee leaves the organisation, it takes away lot of learning and skills and it takes lot of time to fill up that void in the business. A strong running business will develop learnings, harness them, record them and even if an employee leaves suddenly will be prepared to pass the skill to others in line soon so that gestation period of knowledge gap is reduced to larger extent.
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