3. Universalism vs Contextual
• Universalism-Contextual debate
• Is there a best practice approach?
• Convergence as a 3rd alternative
4. International Context
Includes:
International Agreements
Corporate Strategy
National Context
Includes:
culture
political/legislative
economic
social
patterns of ownership
etc.
HRM Strategy
Includes:
integration
devolvement to line
employment policies
involvement policies
reward policies
work systems etc.
National HRM Context
Includes:
education/training
labor markets
trade unions
industrial relations
etc.
HRM Practice
Includes:
selection
performance
appraisal
rewards
development
industrial relations
communication etc.
Environment Organization
Contextual Model of HRM
8. 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.
9. Role of HRM department
• Is it represented on the board of directors
• Is it involved in strategic management
• Where was the HR manager recruited
10. 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.
11. 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
12. 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
13. 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.
14. 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.
15. 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.
16. 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.