Are western management concepts (like HRD) applicable worldwide?
“Every aspect of a firm's activities is determined by the competence, motivation and general effectiveness of its human organization. Of all the tasks of management, managing the human component is the most important task because all else depends upon how well it is done.”(Likert 1967). Although this quote has already over 40 years of age, the core statement has not changed in any way. Still, managers have to focus on the people working in their companies, need to take differences among them into account and especially when it comes to managing in various countries, cultural, natural and unavoidable differences have to be taken into consideration ( Hofstede 1987). Regarding
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First of all, Hofstede (1987) explains his idea of the four dimensions that show the main and dominant value patterns that exist among 50 countries worldwide: 1.Individualism vs. Collectivism, 2. Large vs. small power Distance, 3. Strong vs. weak Uncertainty Avoidance and 4. Masculinity vs. Femininity. Each dimension is “related to some very fundamental issues in human societies, but issues to which societies can produce different answers”(Hofstede 1987, p.12). This sentence makes it already clear, that whatever is related and connected to those dimensions can be seen in a different way depending on what kind of society you are looking at. In his studies he lays his focus on differences between the US, the Dutch and the South East Asian, particularly Indonesian, dimensions and to what extend the term HRD differs because of those dissimilarities. Hofstede (1987) demonstrates very well that each of the mentioned countries differs a lot when it comes to the four dimensions. Whereas South East Asia is living in a world of Collectivism and has a large Power Distance, the US and the Netherlands are more individualistic and have a small Power Distance. Masculinity in the US is very high where in Indonesia there is a good balance of Masculinity and Femininity (Hofstede 1987). You see that there are existing dissimilarities among the dimensions and if we now take into account
A strategic approach in Human Resource Management is vital especially in growing companies. Through the adoption of best human resource management practices the Abbey National bank aims to make a real difference in people’s lives. Skilled people combined with other resources have the capacity to generate value. First and for most , people in work organization set over all strategies and goals , design work system , produce goods and services , monitor quality , allocate financial resources and market products and services. Human beings therefore become a “Human resource “. The efficiency and performance of staff and their commitment to the objectives of the Abbey National bank are fostered by good human relationship at work. Due to this fact, it is necessary to give proper attention to human resource management and harmonious employee relations.
Contemporary globalization of businesses and growing global market competition has made effective human resource planning as one of the major strategies to forge ahead and remain proactive. It can be said that an organization 's success lies to a great extent to the knowledge, skills, creativity, and dedication of its workforce. Every aspect of an organization needs human capital to drive its activities or operations to achieve individual strategic goals and objectives towards its purpose of existence, growth, and competitive status. Companies can compete at all levels of the marketplace through improved commitment not only through creativity, innovation, and research, but also human resource development (Truong, Heijden, & Rowley, 2010). In this regard, the human resource planning is needed to ensure a systematic analysis of human resource needs so that the right quantity and quality of employees are always available when required. Fundamentally, organizations are looking for the best people that would help drive them to their desired destination of achieving their missions. Therefore, it is important to develop human resource strategies to support organizational strategies, through measures such as forecasting human resource requirements, and effective strategic staffing. Technically, an organization 's mission, goals, and objectives drive its strategy and human resource (HR) and staffing strategy in an interactive manner. The purpose of this
People are biggest asset for every organization and, therefore, to draw, motivate, and preserve the most skilled employees and assign them to jobs for which they are exceptionally well suited is a responsible job for human resource. Therefore, human resources management is done in all type of organizations. Profound management of people is equally indispensable in success of organizations as the sound management of production, finance, and other operations. The human resource management field postulates the infinite diversity of people and their dynamics (McKenzie & Traynor, 2002). To get into this career field, one must have the required education degree by completing many different courses, and have the experience along with skills and
Introduction: Each organization has their unique way to perform various function of human resource management such as Selecting, recruiting, on boarding, training, retaining, performance management etc. For the purpose of company analysis project following topic has been selected to describe best practice and my own experience with organization.
One of the most dominant factor is the fact that human resources are the most valuable assets of an organization. Another important principle, expressed by Ashly Pinnington in her book ‘Human Resource Management Ethics and Employment’, is that “a succesful business is more likely to be achieved if the personal polices and
Abstract: Human Resource Management is fast gaining popularity and its importance is becoming unavoidable, this is due to the fact that Human Resource Management plays a huge role in the growth of any company irrespective of its size. Unfortunately it is yet to achieve global standards or strategy of operation; this can be attributed to the various differences between environmental factors, employment attitudes, cultural
People are the key to business success. However nowadays of business this is often neglected and people are seen to be a necessary expense. A successful business does not just rely on a person’s power instead it involves continuous effective teamwork and communication. Storey (1995) defines that human resource management is an individual approach to employment management which seeks to achieve competitive advantage through the strategic deployment of a highly committed and capable workforce, using an integrated array of cultural, structural and personnel techniques.
Human Resources constitute as one of the most imperative components of any organization, be it small scale business or a large conglomerate. Some of the key functions of the Human
Hofstede defines culture as 'the collective programming of the mind which distinguishes the members of one human group from another '”. (Kirkman, Lowe &Gibson, 2006, p. 286). He started his research in the 1960’s, by examining the concept of culture within one of the largest multinational companies in the world – IBM. Thousands of interviews were held across 66 countries, although results were only used from only 40. As a result of his investigation, four dimensions of culture were identified: individualism-collectivism, power distance, uncertainty avoidance and masculinity-femininity. Years later Hofstede and Bond added another dimension, long-term orientation. (Hofstede and Bond 1988). First dimension, power distance is defined as the extent of willingness that societies accept the hierarchical power structure (Morrison 2006). Cultures, which are considered low power distance, tend to have preferences towards equality and decentralization of terms of power and
In the current age of globalization that is characterized by the intense competition among world corporations, strategic Human Resource Management (HRM) has become vital for the success of organizations. As a growing number of corporations around the world are turning into being multinational in nature, the workforce in such multinational corporations (MNCs) are increasingly becoming diverse, in regard to its cultural, economic, social, and personal attributes. As such, implementing a strategic approach in managing such diverse workforce is one of the pivotal roles of managers and administrators, in an attempt to put the interests of both employees and employers in the same direction (Kuo,
Hofstede’s dimensions of national culture have a major impact on the leadership. Hofstede’s six dimensions are Power Distance Index, Individualism vs. Collectivism, Masculinity vs. Femininity, Uncertainty Avoidance Index, Long Term Orientation vs. Short Term Normative Orientation, and Indulgence vs. Restraint. Power Distance Index represents less powerful members of a society and that power is being distributed unequally. People accept the orders without having any further justification. With the lower power distance, it equalizes the distribution of power and
A famous study of cultural dimensions, which can provide a more clear view of the impacts of culture on international business.Dimensions of cultural differences are very necessary for organizations especially those who operate internationally to understand and cope with such differences that can manifest themselves in terms of different standards, values and expectations in the various countries in which they operate. (Johnson, Scholes, Whittington 2008: 190) Here I have to mention one of the most effective studies of cultural dimensions, Hofstede's cultural dimensions, which are consisted of power distance, uncertainty avoidance, individualism and collectivism, masculinity-femininity, and
In this changing world, our global business theories and literature have implications toward the future. The future of this growth and success depends largely on the key component which is Human Resource Management. So, we as researchers hope to enlighten and inform you as employers the significance of an effective solution that both understands your employees and is beneficial to your company. That is why we offer our recommendations in the end of this article based on our findings.
Globalisation, as an integrated and independent world economy, has contributed to the rapid expansion of international trade and world’s economic growth (Paik & Vance, 2006; Mutsuddi, 2012). The increase presence of global firms is shifting domestic HR towards global HR in addition to carry out a wider span of HR responsibilities (Losey, Meisinger & Ulrich, 2005; Rao, 2010; Jie, 2011; Mutsuddi, 2012). The generation of cross-border labour market also had brought human resource management into an international context (Mutsuddi, 2012).
The management of organizations including people management — is turning out to be a challenging task in the present international scenario. As a science, management is developing at a phenomenal pace. The political, economic, and social environments are all changing at an equally rapid speed.