Utility Analysis of HRM Effectiveness

Within the field of human resource management (HRM) there is a broad consensus recognizing that people is one of the key resources that impact companies’ results. During the last two decades, it is also true that HR departments have experienced a rising in its organizational status with their functions evolving from a merely operational level to a strategic one. Nonetheless, HR departments still face a disadvantage to show the contribution of their interventions when compared to other functional departments within the organization. In this article we study two particular techniques for evaluating the effectiveness of HRM, utility analysis (UA) and multi-attribute utility analysis (MAU). Particularly, we apply them to evaluate an e-training program.

Using Collaborative Technology in Group Facilitation

It has not been long since the use of information technologies and systems has pervaded group processes inn organizations. There is a vast amount of literature that suggests that software tools are beneficial to groups, although there are still questions about what appropriate combination of tool/ human support is required to achieve efficiency and efficacy in electronically-mediated meetings (DeSanctis & Gallupe, 1987; Dickson, Partridge, & Robinson, 1993; Niederman, Beise, & Beranek, 1996; Nunamaker, Dennis, Valacich, Vogel, & George, 1991). (Un)fortunately in this literature, one can find several terms of the technology available, including group decision support systems (GDSS), group support systems (GSS), groupware, computer supported cooperative work (CSCW), Web-based meeting tools, blogs, wikis, RSS, and so forth. The current availability of technology tools (i.e., browsers, electronic forums, discussion groups, chat rooms, etc.) and their increasing pervasiveness at work creates opportunities to share information and help people to perform their jobs either individually or collectively. For those individuals and groups using collaborative technology, there are opportunities and challenges that need to be considered in relation to aspects like the creation and dissemination of information, decentralized authoring, and centralized control (Castells, 2001; Evans & Wolf, 2006; Wilkins, 2006). To date, an important number of tools have evolved from their name as “GDSS” (as they were named during the 90s) and can be described as collaborative, as they provide support group activities across departments and geographical locations. Often, these activities aim to achieve a particular outcome in a business (e.g., a decision, a product). In this regard, technologies being offered still have many of the features of group support systems or electronic meeting systems (EMS) (Nunamaker et al., 1991), because they enable people to come together “whether at the same place at the same time, or in different places at different times” (p. 41) and (re)generate ideas and organize and priorities them (Ibid). For the purposes of this chapter, we will focus on the support that can be available by collaborative technology to group meetings and facilitation. Whether these meetings result in decisions being implemented or goods being designed or manufactured is out of the scope of our discussion. To begin with, we now show different dimensions of support that collaborative technologies can offer to individual and group interactions.

Transforming Compensation Management Practices through Web-Based Enterprise Technologies

Human resources management system (HRMS) is one of the core components in any major enterprise resource planning (ERP) application suite since its earliest development. As information communications technologies progress, ERP vendors are able to incorporate more sophisticated HR functions into their products in an increasingly user-friendly manner. HRM modules in ERP suites cover a full spectrum of conventional HR functions ranging from recruitment, selection, compensation, and so on. Meanwhile, there is also an explosion of growth in the number of specialized HR software products and application service providers in the market place. The goal of this article is to provide a current, non-technical review and comparison of major compensation software products and services developed using Internet technology, and to offer some insights on understanding emerging HRIS trends and new strategic roles compensation professionals play. To do this, I will start with an overview of key features of a good Web-based compensation program and main benefits of such program. I compare common and unique features in performing compensation functions offered by both major ERP vendors. Implications for HR professionals and researchers will be discussed in the concluding section.

Trans-Disciplinary Collaboration and Information Systems

In the era of globalization, the use of technologies like the Internet has created possibilities for individuals to interact across geographical locations. Businesses are grasping the benefits of collaboration and gaining from extending it inside and outside traditional boundaries (Doz & Kosonen, 2007; Evans & Wolf, 2006). It is common nowadays to see a manufacturing process being undertaken by a number of groups from suppliers and several tiers that connect across supply chains (Christopher, 2005). Information systems and information technologies support these activities by facilitating the streamlining and automation of interorganizational information flows (Galliers, 1999). However, despite the increasing availability of systems and technologies to facilitate collaboration and online work, it is far from clear what type of impacts such systems are generating in the work of individuals (Meng & Agarwal, 2007), and how they can support collaboration outside organizational boundaries. To foster collaboration, managers need to enable coordination between groups and to ensure their autonomy, while at the same time guarantee delivery of value to the business. How can businesses develop collaborations and with them obtain competitive advantages? What are the roles that information systems and technologies can play? Evans and Wolf (2006) present two key examples of business collaboration (i.e., the Linux community and the Toyota production systems) which show how traditional business practices need to be challenged if not transformed radically. According to them, organizations should devise simple and modular tasks so that different suppliers (or internal teams) can undertake them with few guidelines. Collaboration needs to be kept simple and open. It needs to be fuelled with a high number of small-scale interactions inside and outside organizations with simple (i.e., standard) technologies to support them. Work needs to be made visible so that information about it can be continuously updated and shared. A number of options (e.g., for production or service processes) needs to be maintained so that innovations do not focus only on what works well at a particular moment in time, but what could be valuable for the future. Organizational structures should be replaced by networks of leaders who act as connectors between individuals. But even if the above strategies are adopted, Evans and Wolf (2006) also highlight that collaboration needs an appropriate work environment where trust is the norm. Trust enables individuals to exchange information and share the intellectual property of their findings. With trust, it is understood that rewards are going to be shared and that it is more important to “get on with the job” in case there are problems to be solved than to claim for individual compensations. Trust will also ensure that even those who compete (inside or outside organizations) can work together to develop solutions to common problems. The more collaborative work is developed, a higher degree of trust exists, and a higher number of opportunities can flourish to convert solutions in innovations. The issue of trust will be revisited later in the chapter.

Standards for Skill Training and Development

Human capital is seen as one of the key factor conditions contributing to national competitiveness and economic performance (Porter, 2002). Productivity performance of OECD countries tends to correspond to the skill levels of the workforce in specific countries. Hence, governments increasingly view human capital formation, both quantity and quality of workforce, as one of the key levers in ensuring sustained productivity gains and standard of living. Skill development of the workforce requires major investments beyond formal schooling. It demands ongoing training investment in continued education and workplace training in order to help the workforce keep pace with technological innovations and continued adoption of new technology in the workplace. Private and public partnership in this context dictates both the government and private companies and organizations participate in the training effort. Investment in training requires effective and efficient methods, which in turn calls for sound and robust management tools and standards at the micro (firm) level to ensure continuity and sustained efforts. This article examines two training related standards, “Investors in People” (IIP) and ISO 10015, in order to identify similarities and differences of these two instruments.

Social Cognitive Trust Model

The literature of small group dynamics is replete with studies emanating from small group experimentalists interested in the subject matter of trust. Trust and trusting relationships have been explored more notably by researchers utilizing small group network communications paradigm (Mackenzie, 1978). Because of the salience of trust to interpersonal and intergroup functioning activities aimed at realizing social group objectives, network communication researchers have focused on a set of variables. There are notions of personalities that are prone to easily trusting others. Self-esteem, self-concept, and self-efficacy do matter (Homans, 1974). There are individual attributes predisposing persons to cautious trusting. The situation or transaction linking parties in a social exchange may also condition the structure of trust manifest from such parties. Experiences gained by social intimates in working together have been known to constrain the texture of trust between them. There exists a natural tendency for a party once trusted to a positive avail, to be readily accorded more trust in future (Frey & Feld, 2002). There exists a social cost to trusting ventures, when a social transaction involving trust has a material cost impact, questions of how such cost is shared will arise. And pose challenges to fair exchange. In business transactions, parties expecting certain considerations from a contracted deal may often insist that all reasonable effort should be exerted to avert disappointment. In formal business relationships, individuals occupying organizational positions as agents will often have to relate to other agents in the regular course of business. The persons and parties engaging in trusting situations are not doing so in a cultural vacuum. Social mutual awareness, perceptual variations, historical antecedents, social learning, and episodes of intellectual experiences dove-tail into social cognitions of trust.

The Role of HRIS in Crisis Response Planning

“On Sept. 11, 2001, terrorists attacked the World Trade Center, killing 2,749 people. The attack resulted in severe economic impact, especially to airlines, and a stock market loss of $1.2 trillion. On December 26, 2004, a tsunami from a 9.1 earthquake overran the shores of many countries along the vast rim of the Indian Ocean. Over 283,000 people died. On August 29, 2005, Katrina, a category-5 hurricane, knocked out electric and communication infrastructure over 90,000 square miles of Louisiana and Mississippi and displaced 1.5 million people.” (Denning, 2006, p. 15). This past decade has been catastrophic, and there are still three more years to go. Many American businesses have not responded to the call for better human resource crisis planning, while a few corporations have risen to the challenge. It is necessary and extremely important for organizations to understand the importance of implementing crucial changes in the organizational structure of businesses, primarily in the human resource sector. The human resource sector is the area most responsible for the safety of personnel and therefore best equipped to foster the communication requirements any crisis will necessarily exact.

The New Face of Sexual Harassment

The use of online technology and computer-mediated communication continues to increase dramatically in organizations, bringing with it new avenues for sexual harassment (SH). Online SH includes behavior that follows the traditional definition of SH, but involves the use of the Internet, an Intranet, or other computer technology. SH occurring online rather than face-toface is a phenomenon that began to appear in the literature during the mid-1990s. The unique atmosphere provided by the online environment led theorists to question how women would be treated (most victims are women) (Pryor, Giedd, & Williams, 1995; Pryor & Stoller, 1994) and to redefine the definition of SH to correspond with the emerging world of cyberspace. Indeed, it was quickly evident that the availability of alternate modes of communicating not only introduced alternate modes of SH, but also created an environment in which SH was easy and acceptable. Given the loose legal regulations governing online harassment, the responsibility is left to organizations to understand the new face of SH and provide guidelines to discourage inappropriate online behavior.

Managing the New Psychological Contract

Employees have other expectations as an extension of what is usually expressly stated in formal, written or legally binding employment contracts. They (employees) develop perceptions about certain obligations which employers should fulfill in response to their contributions. This informal but normal employee expectation is known as the psychological contract. The effective management of the psychological contract in modern organizations has never been more crucial for managers. This is essentially because of the subjective and fluid nature of this concept, differences in personal values, and an accelerated pace of change in the operating environment of organizations. A good employment relationship creates an enabling environment for employees enhancing performance and productivity. It is also the bedrock of job satisfaction, motivation, commitment, citizenship behaviour, and employee retention. These factors are key determinants of organizational success and sustainability. A perceived breach or violation results in negative attitudinal and behavioral responses, whereas a positive psychological contract boosts employees’ morale. In this article, we explore the concept of the psychological contract, its changing nature, and effective management. Insight is given on managing the psychological contract to enhance the commitment, performance, and productivity of employees as well as continued organizational success in a constantly volatile environment.

Making E-Training Cost Effective through Quality Assurance

Since the 1990s, more and more corporate learning has been moved online to allow for flexibility, just-in-time learning, and cost saving in delivering training. This trend has been evolved along with the introduction of Web-based applications for HRM purposes, known as electronic Human Resource Management (e-HRM). By 2005, 39.67% of the corporate learning, among the ASTD (American Society for Training and Development) benchmarking forum companies, was delivered online in comparison to 10.5% in 2001. E-learning has now reached “a high level of (technical) sophistication, both in terms of instructional development and the effective management of resources” in companies with high performance learning function (ASTD, 2006, p.4). The cost per unit, reported by ASTD in its 2006 State of Industry Report, has been declining since 2000 despite the higher training hours received per employee thanks to the use of technology based training delivery and its scalability. However, the overall quality of e-learning either public available in the market or implemented at the workplace remains unstable.