Harney: capturing complexity

10 important questions on Harney: capturing complexity

From open system theory, organizations are viewed as

  • set of interdependent parts, so that
  • movement of one, leads to movement in other
  • siginificant: interdependence between internal structures and environment in which it competes

Little big business syndrome

that HR prescriptions assume a ready-made, large-scale, bureauctic corporation

Open system theory of HRM, two important features of organizations

  • their system characteristics
  • their openness to enivornmental influences
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Objective of Harney's article

Examining HRM in SE

HR was found contradictionary in the case study companys

  • None had explicit HR strategy (hints the validity of open system)
  • But, procedures are documented in manual, and by that desired employee role behaviour.
  • So HR planning at times forward-looking, and sometimes reactive as issues emerged (supportive of open system perspective)

Drawing on an open system approach, two theories helps to facilitate the linkage between external influences and HR effects

  • institutional theory: depicts pressures that arise from social and economic interrelations among firms, and so, provide a base for HRM.
  • Resource dependency: complementory to institutional. Focuses on nature of resource exchanges.

Internal factors for HR in SE

  • Size: SE do not have time for HR administration "they dont have time to scratch their ass, never mind all those procedures"
  • Management StyleThere can be paternalistic management style: loyalty on staff, has relaxed informal atmosphere, owner is locus of control and decission making. Also involves tight job descriptions.
  • Ownership
  • Employees

Findings of Harney's research, relations HRM & SE

  • HRM differs amongs industries (way more formalized by lawyers for ex.)
  • Range of training varied significantly. Training often less structured: 'on the job skills are easy to pick up yourself'
  • HRM more informal, ex. 'continuous improvement conversations'. If you formalise somehing, you're dead.

Evidence from case study companies suggests

  • Size constraints, and resource limitations clearly had a role of delineating HR decisions
  • But, size per se did not determine HRM.

External factors for HRM in SE

  • Indeustry sector: Intense competition has sparked introduction of strict job description
  • Market structure: Growth and expansion demanded full time HR positions
  • Legislation: employment legislation is a burden in terms of time and administration
  • Value Chain: Pressure not only from LE, but also social influences to consolidate control

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