strategic role of human resource management in developing a global corporate culture,
TheInternational Journal of Management, Jun 2002 by Rowden, Robert W
Having a well-defined corporate culture is important as globalization transforms the way business is conducted. A well-defined corporate culture can create an atmosphere for success. Today's Human Resource departments have taken on a strategic role as a change agent and a business partner in the company. Human Resource strategies can be powerful tools for signaling cultural change and reinforcing those changes once they are made. Strategic Human Resource Management helps the organization see promising and positive results by operating on a global level. Today, globalization is transforming the way business is conducted by dictating that operating within a personal vacuum will no longer be possible, mainly due to the emergence of the Internet and other forms of communication, and an increase in the numbers of international mergers and acquisitions. Any business that wants to succeed in this rapidly changing, highly competitive environment must be able to adapt, evolve, and operate on a global scale. With competition so fierce, the race is now on to place human capital at the very center of a sustainable competitive advantage (Gratton, 1998). In addition to looking toward its people, companies should examine their unique characteristics-anything to separate them from the competition. Looking to organizational culture as a competitive advantage is not a new idea and the strategic Human Resources plays an important role in giving businesses a "global" competitive advantage through defining and developing the culture of an organization. What is Corporate Culture?
Schein (1992) has defined corporate culture as "the way we do things around here" (p. 12). More recently it has been called "the glue that binds an organization together" (Schell & Solomon, 1997, pg. 35). Others define it as "the shared basic assumptions and beliefs developed by an organization over time" (Greene, 1995, pg. 115). Corporate Culture is a combination of all of those definitions and more. A well-defined corporate culture is critical for business success today because it can create an atmosphere for success. One quality that successful organizations share is that they build sound infrastructures. If a company's success is measured by the skill, energy and dedication of its "human capital," then surely managers need to start thinking about how to create a cultural infrastructure that defines, nurtures, and harnesses the power of this critical resource (Marchone & Jenkins, 1999) Where does an organization begin to create a strong corporate culture . If a company's success is measured by the skill, energy and dedication of its "human capital," then surely managers need to start thinking about how to create a cultural infrastructure that defines, nurtures, and harnesses the power of this critical resource (Marchone & Jenkins, 1999) Generally, it starts with two-way communication. Inquire within and without about what kind of image or position the company holds with employees and investors. Ask senior executives how they would describe the culture, followed by an organization-wide survey of employee opinions to validate the information provided (Bliss, 1999). Also, assessing the surrounding environment is a good tool for gauging image. Take a look at what other successful organizations are doing and follow suit. SHRM departments have been given the task of creating a corporate culture with global applications (Schell & Solomon, 1997) and taken on a strategic role as a change agent and a business partner in the company . The rationale for this is that HR Departments are in constant communication with the employees (current and potential), H R strategies can be powerful tools for signaling cultural change and reinforcing those changes once they are made (Greene, 1995). Knowing the strategic value of...
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