The Significance of Implementing Systematic HR Strategies for Different Countries
Barry Gerhart and Meiyu Fang comprehend the implications of human resource practices and strategies through theoretical and empirical evidence. According to Gerhart and Fang (2005), the globalisation of businesses determines the fulfilment of various needs of different countries. It defines the significance of implementing systematic human resource strategies and policies within the organisational department. As suggested by Ya?ar and Sa?san (2020), the interpretations of business models encouraging the development of HRM significantly determines the difference of scholarly opinions. Incorporating the Hofstede model has profoundly helped the companies identify the cultural differences in international markets. This has vehemently contributed to the strategic planning of utilizing human resources. This research aims to critically review the article “National culture and human resource management: assumptions and evidence” by Barry Gerhart and Meiyu Fang. The presentation of theories and models have been evaluated based on factual information and constructive arguments from different scholars.
The article discusses the interpretation of Human Resource (HR) and Employee Retention (ER) strategies facilitating organisational business performance. The article can be summarised to be a detailed discussion on the importance of incorporating cultural identities in resource management. According to Cadden, Millar, Treacy and Humphreys (2020), the paper cites the examples of countries like Japan, Canada and the United States in research on the mode of decision making in terms of human resource management. The organisational values are different considering the distinct characteristics of the cultures. Most importantly the authors have relied upon analysing the Hofstede model to determine the significant impact of national cultures over organisational management. Through the different theoretical implementations, the authors have identified the common assumptions on HRM in organisations from a national cultural perspective (Gerhart and Fang, 2005).
The meta-analysis conducted from primary data collection has been essential in shaping the hypothesis related to programming the HRM roles and responsibilities provides an empirical outlook to the concepts. As suggested by Gerhart and Fang (2005), besides, Fang’s approach over the related concept has developed “The Meaning of Work (MOW)” through building the “International Research Team (1987)” has subsequently evaluates collected data on the multicultural samples. The empirical evaluation of the data defines the work cultures of the different countries. These data are directed to the differences in the organisational structures meeting the cultural needs. The overall concept of the article is to determine the effectiveness of culture-atypical practices of organisations all over the world.
The main applied model in the article by Gerhart and Fang is the Hofstede model in understanding the implications of cultural differences in the organisational all over the world. According to Gallego-Álvarez and Pucheta-Martínez (2021), it has been noticed that cultural differences play a major role in shaping organisational structures. The organisational practices have a central relationship with the needs of the national cultures. It implies the development of the HRM strategies and employee management depending on the cultural demands of the countries. The examples of the United States, Canada, Japan demonstrates the potential value of organisational planning and practices based on national and organisational cultures. In the conceptualisation of organisational cultures across the globe, several scholars direct to the importance of time management as an essential element in organisational management. The effectiveness of managing the duration of research activities points out the necessity of understanding the organisational cultures (Gerhart and Fang, 2005).
Incorporating Hofstede Model to Identify Cultural Differences in International Markets
It helps in developing a strong notion for comprehending professional life in different systems and interactions in societies. As argued by Louahabi, Moustaghfir and Cseh (2020), to discuss the values and norms shared within organisational boundaries, it is often categorised as Individualism-Collectivism, Power Distance, masculinity-femininity, uncertainty avoidance and long-short term orientation. It is often argued by researchers Sent and Kroese (2022), that researchers disregard the role of organisational cultures in contributing to focus on lean management on operating performances. The institutional theory has reflected the need for technological innovation in maintaining the business performance of the organisations. The organisational culture (OC) has subsequently been found to be playing a major role in defining the relationship between Lean Practices (LP) and operational performance (OP). Throwing light on the primary concept, the six cultural dimensions highlighted over the Hofstede model determines in the business innovation optimised practices influenced by the cultural values incorporated within the organisational domains (Gerhart and Fang, 2005).
Gerhart and Fang have focused on collecting empirical data from various primary and secondary sources. The major reason is the availability of frail data from the Hofstede model. Undermining the implications of cultural differences in organisational values, it has been noticed that depending only on the six dimensions would not be enough to accomplish the analysis of such a robust research area. However, the article relies solely upon the strong reformation of the ideas. The analysis of the Hofstede model has considerably opened the access to venture into the depth of cross-culture analysis. According to Ahmad, Keerio, Jameel and Karem (2020), it has deliberately attracted the attention of several scholars to challenge the prevailing ethnocentricism into organisational domains. The data collected from the survey responses following the guidelines of the Hofstede model has significantly provided clear information on the value statements of organisations measuring the impact of the cultures. Organisations have portrayed a serious need for innovation in emulating business performance. The ideas of developing the new products and incorporating innovation in manufacturing have deliberately been influenced by the cross-culture interactions. Amongst the data collection tools, the demographic information forms helped the researchers to accumulate demographic information essential to segregate them to fit various needs. Besides, the time management scale and the organisational tress scale have also contributed to measuring the influence of organisational culture in shaping the HRM strategies (Gerhart and Fang, 2005).
The key findings of the research have been empirical evidence defining the impact of national cultures ions structuring organisational values. The key elements of the Hofstede model have been significant in determining the various needs of building strong organisational cultures to benefit the business. According to Braithwaite, Tran, Ellis and Westbrook (2020), maintaining employee satisfaction rate has been considered to be the most essential factor for optimising business performance. Given the gradual influence of globalisation, it has been noticed that several organisations have expanded their business into international boundaries. To maintain a strong international relationship, it is necessary to identify and respect the consistent cultural differences of the workforce. The six elements of the Hofstede model determine the various areas within organisations that need to be focused on. Thinking about the well-being of the employees, setting up systematic human resource management strategies alongside employee retention strategies (Gerhart and Fang, 2005). Gerhart and Fang have subsequently developed the research hypothesis based on the ANOVA estimation utilizing the variable country-specific responses. It has contributed din measuring the value statements leading to the main result of the national culture implications over developing HRM practices.
Conclusion
From the above analysis, it can be concluded that organisational cultures play a major role in determining the structural performances in the company. Moreover, understanding the influence of cross-culture interactions resulted from rapid globalisation. The increasing business relations between global and national countries have considerably impacted the growth of the business by infusing ideas related to product innovation. Business optimization has also been a subsequent result of the cultural influence in developing organisational structures. Managing a diverse workforce requires a strong disciplinary and cultural approach within organisations. To maintain a decent performance level of the companies it is required to be successfully managed. Through the implications of the cultural elements within the Hofstede model, the organisations have vehemently identified the essential areas required to be managed. The HRM practices subsequently manage the well-being of the staff through systematic planning and strategic development. Finally, this is essential in pushing the company to progress in the future.
References
Ahmad, A.R., Keerio, N., Jameel, A.S. and Karem, M.A., 2020. The Relationship between National Culture and Succession Planning in Malaysian Public Universities. Journal of Education and E-Learning Research, 7(3), pp.242-249.
Braithwaite, J., Tran, Y., Ellis, L.A. and Westbrook, J., 2020. Inside the black box of comparative national healthcare performance in 35 OECD countries: Issues of culture, systems performance and sustainability. Plos one, 15(9), p.e0239776.
Cadden, T., Millar, K., Treacy, R. and Humphreys, P., 2020. The mediating influence of organisational cultural practices in successful lean management implementation. International Journal of Production Economics, 229, p.107744.
Gallego-Álvarez, I. and Pucheta-Martínez, M.C., 2021. Hofstede’s cultural dimensions and R&D intensity as an innovation strategy: a view from different institutional contexts. Eurasian Business Review, 11(2), pp.191-220.
Gerhart, B., Fang, M., 2005, National culture and human resource management: assumptions and evidence, International Journal of Human Resources Management, vol.16(6), pp.971-986
Louahabi, Y., Moustaghfir, K. and Cseh, M., 2020. Testing Hofstede’s 6-D model in the North and Northwest regions of Morocco: Implications for human resource development. Human Systems Management, 39(1), pp.105-115.
Sent, E.M. and Kroese, A.L., 2022. Commemorating Geert Hofstede, a pioneer in the study of culture and institutions. Journal of Institutional Economics, 18(1), pp.15-27.
Ya?ar, H. and Sa?san, M., 2020. The Mediating Effect of Organizational Stress on Organizational Culture and Time Management: A Comparative Study With Two Universities. SAGE Open, 10(2), p.2158244020919507.
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