Human Capital Management Practices Research Articles

The Role of Human Capital Management Practices in Inculcating Learning Orientation and Its Relationship with Performance: A Systematic Literature Review

I. Key focus of the study The concept of ―human capital‖ has recently received attention from many researchers. They hypothesise that it represents the human factor in the organisation, the combined intelligence, skills and expertise that gives the organisation its distinctive character. Human capital management is an integrated effort to manage and develop human capabilities to achieve significantly high level of performance. Human Capital Management Practices (HCMP), are set of practices that are focused on organisational needs to provide specific competencies. The present study aims, firstly, to explore the literature and describe human capital management practices (HCMP) in organisations. Secondly, it aims to examine the links between HCMP and employee performance. Thirdly, it aims to explore the mediating role of learning orientation in establishing the link between HCMP and performance of employees.

The effect of human capital management practices on employee positive behavioural outcomes

People management practices have moved from being purely administrative in nature to participative with personnel managers getting more involved in the strategic decisions. The way key skill areas of employees are leveraged is increasingly being recognised as critical to the strategic success and competitive advantage of an organisation. Enhancing Employee Positive Behavioural Outcomes (EPBO) is essential and the way employees are managed is central. Therefore, this paper focuses on analysing the impact of Human Capital Management Practices (HCMP) on employee job satisfaction and commitment. HCMP in this study comprise leadership practice, employee engagement, knowledge accessibility and learning capability, whilst EPBO indicators are job satisfaction and employee commitment. Based on a comprehensive literature review, eight propositions for the study are derived. Data will be collected from a sample of employees working in information technology firms through a structured questionnaire survey across the National Capital Region (NCR) of India.

Human capital and organisational learning: a study of Indian microfinance institutions

This study analyses Human Capital (HC) management practices by identifying the various elements of HC and its relevance in the organisational learning process in the Indian Microfinance Institutions (MFIs) context. The researcher used multiple data methods, namely observation, interaction with staff and examination of organisational documents and semi–structured case study interviews. This paper explores the importance of organisational learning in Indian MFIs drawing on examples gathered from interviews mainly with some MFIs in Eastern India and presents the findings of research which emphasise the importance of HC in enhancing the learning abilities of Indian MFIs.

Human Capital Management Practices Vis---Vis: The Satisfaction Levels of Their Work Culture in Coal Mining Areas in Special Reference to Indian Coal Industry A Case Study

Human Capital Management Practices Vis---Vis: The Satisfaction Levels of Their Work Culture in Coal Mining Areas in Special Reference to Indian Coal Industry A Case Study

HCM Practices and its Impact on Turnover, Profitability, and Sustainability in the Indian Business Environment

Human Capital is the most important asset for any organization, and it is a unique source of achieving competitive advantage. Human Capital Management (HCM) practices refer to organizational activities directed at managing the pool of human resources and ensuring that the resources are employed by maximizing their competencies towards the fulfillment of organizational financial and non-financial goals. Competitive advantage of a company can be generated from human resources, and company performance is influenced by a set of effective HCM practices. 9 Industries, 23 Sectors, and 109 organizations across India were covered under the present study of HCM practices and related processes maturity to study its impact on turnover, profitability, and sustainability.

Do Human Resource Departments Act as Strategic Partners? Strategic Human Capital Management Adoption by County Governments

Drawing on qualitative data from 40 counties in New York and North Carolina, this article examines the adoption of strategic human capital management (SHCM) principles and practices at the county level and presents a typology of five levels of SHCM adoption. The level of SHCM implementation in a county depends on the view of the HR function by executive county leadership, the capacity of the county to engage in strategic planning and management, and the capacity of the HR director to think strategically about the role of HR in the government. The article concludes with recommendations for practice, which focus on educating a diverse set of actors about SHCM, building executive-level support, developing HR skill and competencies, and applying basic change management practices.

The Effect of Human Capital Management Practices on Breakthrough Innovation (BI) in Large Firms

Organizational leaders routinely note the critical importance of human capital in enabling successful innovation outcomes. While the observation of their importance is obvious, human resource manag...

Human Capital Management Practices and Firms Performance: A Survey of Commercial Banks in Kenya

The objective of the study was to determine the relationship between human capital management (HCM) practices and performance of commercial banks in Kenya. It was carried out using a cross sectional survey design as well as a correlation research. The study population and sample was 45 commercial banks. A total of 23 banks took part in the final survey. The primary data was generated through questionnaires whose respondents were head of human resource departments in banks while secondary data was sought from the financial statements of banks by means of content analysis. In order to test for the relationship between HCM practices and firm performance, the ordinary least squares (OLS) method was used to perform a regression analysis. The investigation established that the most used human capital management practices were in recruitment excellence, collegial and flexible work place and rewards and accountability. The least used practice was communications integrity. The study also noted that with the exception of communication, other human capital management practices had a positive influence on turnover growth. It is concluded that most commercial banks adopt human capital management practices to an average degree. The study further concludes that human capital management practices generally have a positive influence on performance as measured by both turnover growth and return on assets. The study recommends that there is need for commercial banks in Kenya to enhance the human capital management practices.

The stem family and labour markets: Reflections on households and firms in Japan's economic development

This paper examines a view that the traditional stem family system was one of the preconditions for Japan's modern economic development, focusing on labour markets and skill formation practices. The paper begins with a brief look at the Japanese stem family household formation rules. Then, exploration is made, first, on the self-employed, the largest sector of the early modern economy; second, the merchant house and its employment patterns as an origin of present day large corporations' employment system and skill formation and human capital management practices; and third, workshop industries, which formed middle and lower layers of the manufacturing sector in the period of industrialisation. Finally, women's marriage behaviour is examined in relation to labour markets, especially changes in real wages. All this is an attempt to go some way towards a better understanding of the ways in which the family economy and corporate firms worked in economic development, rather than to suggest an alternative hypothesis on the relationship between family and household factors and subsequent economic development.

Boundary Spanning in a For-Profit Research Lab: An Exploration of the Interface Between Commerce and Academe

In innovative industries, private-sector companies increasingly are participants in open communities of science and technology. To participate in the system of exchange in such communities, firms often publicly disclose what would otherwise remain private discoveries. In a quantitative case study of one firm in the biopharmaceutical sector, we explore the consequences of scientific publication - an instance of public disclosure - for a core set of activities within the firm. Specifically, we link publications to human capital management practices, showing that scientists’ bonuses and the allocation of managerial attention are tied to individuals’ publications. Using a unique electronic mail dataset, we find that researchers within the firm who author publications are much better connected to external (to the company) members of the scientific community. This result directly links publishing to current understandings of absorptive capacity. In an unanticipated finding, however, our analysis raises the possibility that the company’s most prolific publishers begin to migrate to the periphery of the intra-firm social network, which may occur because these individuals’ strong external relationships induce them to reorient their focus to a community of scientists beyond the firm’s boundary.

Disclosing improvements in human capital: comparing results to the rhetoric

PurposeThe purpose of this paper is to examine the reasons for and outcomes of the rhetoric of disclosures of human capital (HC) management practices and to discuss how disclosures could be changed to be more meaningful and appropriate in practice. Thus, the research question of interest to this paper is “Is the rhetoric of HC disclosure achieved in practice?”Design/methodology/approachUsing a case study approach, the paper utilises content analysis to examine the rhetoric of HC disclosures and the results of HC management practices utilising corporate social responsibility (CSR) reports, newsletters, annual reports, and other publicly available information, with an emphasis on media reports. The case study organisation is Westpac Bank (Australia), chosen because of the transformation in its approach to HC management since 2001 and its reputation as a global leader in CSR practice and reporting.FindingsThe paper illustrates how highly exposed HC disclosures are to scrutiny by both internal and external stakeholders and if the rhetoric is not transformed into practice how the disclosures can be used as a weapon by adversarial stakeholders to attack the organisation and/or attempt to change the balance of power between management and employees. It is argued that it could be more beneficial if HC disclosures were to report on the ongoing struggles and conflicts that are inherent in HC management practice, rather than not admitting to or not mentioning them at all, in order to reduce information asymmetry and build trust in the disclosures so that that the disclosures are less likely to be seen as merely rhetorical arguments.Research limitations/implicationsThe paper is limited to one particular organisation from which generalisation is not possible. Since the research is undertaken from outside the organisation, and relies largely on secondary data sources, it thus also relies in part on conjecture about the change processes which occurred inside the organisation.Originality/valueThe paper adds to the emerging discussion of how organisations put their HC management rhetoric into practice and whether or not they achieve their intended outcomes.

Human capital disclosures and management practices

PurposeThe purpose of this paper is to investigate the association between annual report human capital (HC) disclosures and HC management practices.Design/methodology/approachThe paper used two sets of data. Disclosure data were collected from annual reports. Data on management practices was collected by e‐mail questionnaire. Sixteen of the most traded companies on the Stockholm Stock Exchange (SSE) were included in the study.FindingsResults indicated that there is limited association between the two sets of data. Even though the association was significant on an aggregate level, more detailed testing showed no systematic associations. There was, however, a significant association between internal management practices and companies' perceived importance of disclosure, even though this was not reflected in actual disclosure.Research limitations/implicationsThe most important limitations of the study are that it was based on a small non‐random sample of companies from only one country and used annual report disclosures from a single year. Also, the study focuses on quantity rather than quality of disclosures.Originality/valueA feature of previous research is that it tends to focus on HC (intellectual capital) from either an external or internal perspective. This study is the first that links HC annual report disclosure and internal HC management practices.

The moderating role of human capital management practices on employee capabilities

PurposeThe purpose of this paper is to suggest and empirically test a model that explains employee capabilities from the knowledge‐based perspective. In this model, human capital management practices are employed as a moderator variable.Design/methodology/approachA valid research instrument was utilized to conduct a survey of 14,769 current employees of a major North American financial services institution. The model was tested by using the partial least squares (PLS) structural equation modeling technique. A thorough analysis of the role of moderator was carried out.FindingsFindings provide support for the proposed model and show that employee capabilities depend on his or her training and development as well as job satisfaction levels. Job satisfaction in turn is affected by training and development, pay satisfaction, supervisor satisfaction, and job insecurity. These relationships are moderated by employee perceptions of human capital management practices. The model exhibits the highest predictive power when the employee perceptions of human capital management practices are also high.Research limitations/implicationsWith respect to a moderator analysis, no interaction effects of human capital management policies and other constructs were discovered, and the moderator was referred to as a homologizer that modifies the strength of the relationships among constructs through an error term. It was discovered that PLS and moderated multiple regression (MMR) produced very similar structural relationships when a moderator was employed.Practical implicationsThe findings may be utilized by knowledge management, organizational behavior, and human resources practitioners interested in the development of strong employee capabilities.Originality/valueThis paper represents one of the first documented attempts to utilize human capital management practices as a moderator in organizational models.

A framework of intangible valuation areas and antecedents

PurposeThe paper seeks to develop a list of operational knowledge assets as antecedents to a validated common taxonomy of intangible strategic value drivers.Design/methodology/approachQualitative data from focus groups was collected to validate a theory‐based list. The list contains the value generation activities (i.e. performance focus areas) and their respective critical success factors emerging from the interaction of eight validated intangible value drivers. Two primary questions were addressed at the focus groups: What performance focus areas does the organization need to focus on?; and What knowledge do employees need to leverage within each focus area? Data were analyzed using template analysis. Structural equation modeling using PLS was performed to develop a theory about the impact of the list of operational knowledge assets on intellectual capital and business performance measures.FindingsA validated list of knowledge assets called the list of operational knowledge assets (LOKA) was developed comprising 31 categories (i.e. critical success factors) grouped into seven value generating activities (i.e. performance focus areas). The thematic dimensions of each category surface internal views of a business that define the strategic and operational value drivers that are aligned with organizational performance.Research limitations/implicationsThe list is not an exhaustive one but rather a template that can be adapted based on the industry investigated. The scope of the study was focused on the high‐tech federal contractors in the USA. Therefore the results and related models of this study are generic in nature. Future research could focus applying the study on different environments (i.e. organizational, cultural, type of knowledge workers) and compare results.Practical implicationsThe paper could improve managers' understanding of the human capital drivers on performance and thus facilitate better resource allocation on human capital management practices, technology investments, process improvements and business intelligence functions.Originality/valueThe list of operational knowledge assets presents a first attempt in addressing the lack of understanding of the knowledge assets that managers need to leverage at the lowest level of operational granularity.

Human capital practices of Russian enterprises

The goal of this study was to explore current human capital (HC) management practices (including training and development, recruitment and selection, compensation, empowerment, diversity, and work/family balance) of Russian enterprises. The data were collected at 270 large, medium and small enterprises in Moscow and four representative regional centers. The study results suggest that Russian firms tended to emphasize current HC needs, not long-term HC development strategies. The firm size had an effect on differences in training, selection and compensation practices, with large firms being more long-term oriented. Correlation between elements of the HC management model provided some preliminary evidence that Russian firms tried to coordinate selection, compensation and training procedures. In addition, firms that empowered their employees were also putting more emphasis on long-term oriented training, selection and compensation practices. Finally, there were signs that diversity was gradually becoming an important issue for Russian enterprises of all sizes. However, compared to diversity, companies' emphasis on helping their employees to deal with the work/family balance issues was much stronger.

Managing human capital in a privately owned public hotel chain

This study analyses human capital (HC) management practices in a small privately owned public hotel group, in the context of intellectual capital. Previous studies have highlighted how firms measure and report HC; however, few studies have examined the HC management practices of firms. This study analyses these practices using multiple data methods—namely, observation, interaction with staff, examination of internal financial and management reports, and semi-structured case study interviews—on a continuous basis over a 1-year period. The results of this study indicate that, through HC management practices, this group of hotels engaged in value extraction rather than value creation as a way of maximizing the value of the firm. The study identifies several possible reasons for this and presents a number of ways of encouraging value creation.

Strategic human capital management in SMEs: An empirical study of entrepreneurial performance

AbstractHow can human resource management (HRM) practices promote entrepreneurial performance in small and medium‐sized enterprises (SMEs)? This article discusses the association between human capital management (HCM) and other contemporary HRM practices and the ability of SMEs to be entrepreneurial. In a study of 99 SMEs, HRM practices that promote employee discretionary behavior, knowledge sharing, and organizational learning are found to be positively associated with entrepreneurial performance. Two contingencies are also identified for this relationship. First, the use of strategic HCM practices enhances the observed positive association. Second, these relationships are strongest for SMEs operating in high‐technology industries. © 2004 Wiley Periodicals, Inc.

The Impending Crisis In Healthcare

The Impending Crisis In Healthcare