Samsung Electronics HRM Strategy

The current issue and full text archive of this journal is available at www.emeraldinsight.com/2051-6614.htm Human resource management and organizational effectiveness: yesterday and today
Randall Schuler and Susan E. Jackson

HRM and OE

35

School of Management and Labor Relations, Rutgers University, New Jersey,
USA and Lancaster University Management School, Lancaster, UK
Abstract
Purpose – The purpose of the paper is to describe how the understanding of the relationship between human resource management (HRM) and organizational effectiveness (OE) has evolved during the past three decades and to provide examples how firms are using HRM to improve their OE today by addressing several challenges that result from a broader stakeholder model.
Design/methodology/approach – This paper reviews the past and current work on the relationship between HRM and OE.
Findings – This findings indicate that the relationship between HRM and OE is very different when comparing the past with the current work on the relationship between HRM and OE. A major reason for this is the current work on OE uses the multiple stakeholder model that accounts for many more stakeholders than the past work.
Practical implications – Human resource (HR) professionals have the opportunity to demonstrate many ways by which HRM can influence OE, and not just solely on the basis of firm profitability.
Thus the use of the multiple stakeholder model today offers the HR professional and the HR profession many more opportunities to demonstrate their importance and impact.
Originality/value – A systematic review and comparison of the past and current relationship between HRM and OE using the multiple stakeholder model have not been using both the viewpoints of both academics and practitioners.
Keywords Human resource management, Organizational effectiveness, Multiple stakeholders
Paper type General review

Introduction
Starting in the late 1970s and early 1980s, human

References: Ambec, S. and Lanoie, P. (2012), “The strategic importance of environmental sustainability”, in Jackson, S.E., Ones, D Brewster, C.J. and Mayhofer, W. (2013), Handbook of Research in Comparative Human Resource Management, Edward Elgar Publishing, London. Briscoe, D., Schuler, R.S. and Tarique, I. (2012), International Human Resource Management, 4th ed., Routledge, London. Browne, J. and Nuttall, R. (2013), Beyond Corporate Social Responsibility: Integrated Employee Engagement, McKinsey, Boston, MA. Caglar, D., Kapoor, N. and Ripsam, T. (2013), “Think functionally, act strategically”, StrategyþBusiness, Spring Issue 70. Chuang, C.H. and Liao, H. (2010), “Strategic human resource management in service context: taking care of business by taking care of employees and customers”, Personnel Psychology, Cockerell, L. (2008), Creating Magic, Crown Publishing Group, New York, NY. Cooke, F.L. (2014), “Global expansion and human resource management of Huawei Technologies Ltd”, in Gooderham, P., Grogaard, B DeVoorde, K.V., Paauwe, J. and Veldhoven, M.V. (2012), “Employee well-being and the HRM-organizational performance relationship: a review of quantitative studies”, Disney (2012), “Disney company overview”, available at: http://thewaltdisneycompany.com/ about-disney/company-overview (accessed February 25, 2013). Dudley, R., Devnath, A. and Townsend, M. (2013), “The hidden cost of fast fashion”, Bloomberg Businessweek, February 11, pp Ehnert, I., Harry, W. and Zink, K.J. (2014), Sustainability and Human Resource Management, Springer, Heidelberg. Gratton, L. (2000), Living Strategy: Putting People at the Centre of Corporate Strategy, FT Prentice Hall, London. Greenhouse, S. (2013), “Bangladesh fears an exodus of apparel firms”, The New York Times, May 2, p Guerci, M. and Shani, A.B. (2013), “Moving toward stakeholder-based HRM: a perspective of Italian HR managers”, International Journal of Human Resource Management, Vol No. 6, pp. 1130-1150. Holstein, W.J. (2013), “Hyundai’s capabilities play”, StrategyþBusiness, Vol. 70, Spring, pp. 1-12. Huselid, M.A. (2011), “Celebrating 50 years: looking back and looking forward: 50 years of Human Resource Management”, Human Resource Management, Vol Huselid, M.A., Jackson, S.E. and Schuler, R.S. (1997), “Technical and strategic human resource management effectiveness as determinants of firm performance”, Academy of 54 IBM and Towers Perrin (2000), Priorities for Competitive Advantage, IBM and Towers Perrin, Ireland, D. (2013), personal communication, April 24. Jackson, S.E. (2012), “Melding I-O scholarship and practice for environmental sustainability”, Industrial and Organizational Psychology: Perspectives on Science and Practice, Vol Jackson, S.E. and Schuler, R.S. (1995), “Understanding human resource management in the context of organizations and their environments”, Annual Review of Psychology, Vol Jackson, S.E., Ones, D. and Dilchert, S. (Eds) (2012), Managing Human Resources for Environmental Sustainability, Jossey-Bass, San Francisco, CA. Jackson, S.E., Schuler, R.S. and Jiang, K. (2014), “Strategic HRM: a review and framework”, Academy of Management Annuals, Vol Jackson, S.E., Schuler, R.S. and Werner, S. (2012), Managing Human Resources 11e, Cengage, Mason, OH. Jiang, K., Lepak, D.P., Hu, J. and Baer, J. (2012), “How does human resource management influence organizational outcomes? A meta-analytic investigation of mediating mechanisms”, Academy of Management Journal, Vol. 55 No. 10, pp. 1264-1294. Jullens, J. (2013), “Solving China’s M&A Maze”, StrategyþBusiness, April 1. Paik, Y. and Belcher, J.S. (2012), “Key HRM strategies for M&A integration in the global banking industry: a comparative study of the USA, Europe and South America”, European Journal Porter, M.E. (1980), Competitive Strategy, Free Press, New York, NY. Porter, M.E. (1985), Competitive Advantage, Free Press, New York, NY. Porter, M.E. (2013), TED Conference, Edinburgh, June 10, available at: www.youtube.com/ watch?v¼0iIh5YYDR2o (accessed July 13, 2013). Purcell, J. (1995), “Corporate strategy and the link with human resource management”, in Storey, J. Renwick, D.W.S., Redman, T. and Maguire, S. (2013), “Green human resource management: a review and research agenda”, International Journal of Management Reviews, Vol Rogovsky, N. and Schuler, R.S. (2007), Socially Sensitive Enterprise Restructuring in Asia, Asian Productivity Organization, Tokyo. Rucci, A.J., Kirn, S.P. and Quinn, R.T. (1998), “The employee-customer-profit chain at sears”, Harvard Business Review, January-February, pp Schuler, R.S. (1988), “Human resource management practice choices”, in Schuler, R.S., Youngblood, S.A Schuler, R.S. (1992), “Strategic human resources management: linking the people with the strategic needs of the business”, Organizational Dynamics, Summer, pp Schuler, R.S. (2000), “Human resource management activities in international joint ventures”, in Storey, J Schuler, R.S. and Jackson, S.E. (1987), “Linking competitive strategies with human resource management practices”, Academy of Management Executive, Vol Schuler, R.S. and MacMillan, I.C. (1984), “Gaining competitive advantage through human resource management practices”, Human Resource Management, Vol Schuler, R.S. and Moelleney, M. (2003), Living Case of Centerpulse, GSBA Zurich, Zurich.