You are on page 1of 16

ISSN 1392-1258.

ekonomika 2008 82

GLOBALIZATION AND
HUMAN RESOURCE MANAGEMENT
Rima Česynienė
Assoc. Professor
Vilnius University
Department of Management
Vilnius, Saulėtekio al. 9
Tel. (370 5) 236 6134
E-mail: Rima.Cesyniene@ef.vu.lt

Globalization represents the structural making of the world characterized by the free flow of tech-
nology and human resources across national boundaries as well as the spread of Information Tech-
nology and mass media presenting an ever-changing and competitive business environment.
The article deals with the practical consequences of globalization for human resource manage-
ment (HRM). Globalization makes national culture an increasingly strategic issue that has to be
faced and properly managed. The problem is the balancing of the global trends in human resource
management with the influence of national culture because many aspects of HRM are affected by
differences in national culture. The article analyses the major challenges arising from globalization
and affecting human resource management practices in the 21st century in selected industrialized
countries (United Kingdom, France, USA, Japan) and Lihtuania as a new member of the EU.
The general aim of the article is to analyse the problem of balancing seemingly opposing forces
(globalization and the influence of national culture) and to identify trends in HRM across five coun-
tries: United Kingdom, France, USA, Japan and Lithuania.
Keywords: globalization, human resource management, cultural differences, trends.

Introduction value and other fundamental differences in


The object of the study is consequences how people from different cultures view
of globalization for managing human re- the world.
sources across selected cultures. In today’s The goal of the article is to investigate
global economy, the extent to which HRM global and national (on the basis of several
activities are successful across cultures industrialized economies and Lithuania)
will largely depend on the manager’s abi- trends in HRM. The research questions
lities to understand and balance other cul- were:
tures’ values and practice as regards such 99 What are the opposing dualities that the
things as the importance of work, how po- managers have to harmonize in interna-
wer and status are conferred, the perceived tional organisations?

41
99 Does the increasing global competition nomy has brought a realisation that the
make HRM less differentiated (on the only lasting competitive advantage is an
example of selected countries)? organisation’s ability to effectively ex-
99 What are the HRM trends in Lithuanian ploit human resources. HRM has become
companies? a significant factor in the management for
The following research methods have organizational success. The multinational
been used: system, logic and comparative companies (MNCs) and other internatio-
analysis of scientific conceptions. Also, nal organizations face the challenge: what
empirical studies carried out in different kind of a new form of “glue” helps to ma-
countries are presented. The primary data nage HR worldwide? The idea emerging
from Lithuanian companies were collect- from organizational behaviour literature in
ed. Other data were derived from printed recent years will help to find the answer.
papers, books and statistics. It comes from the work of Paul Evans and
Yves Doz from INSEAD business school
1. Globalisation and its consequen- in France.
ces for organisations
Evans and Doz have described the ma-
Globalisation requires attention to “more nagerial challenge in complex internatio-
than conducting business across national nal organizations in terms of balancing the
borders but also entails expanding com- opposing dualities (Evans and Doz, 1999).
petition for almost every type of organi- They believe that the pace of change and
sation presenting management with the the new complexity of globally operating
challenge to operate in diverse cultural companies create the need for harmoni-
settings” (Edwards, 2006). O’Keeffe con- zing seemingly opposing forces, such as
tends that the advent of the global eco- (Figure 1):

Figure 1. Opposing forces managers need to balance in international organizations. Source:


created by the author with reference to Evans P. and Doz Y

They urge that such forces should be that need to be balanced. The analogy of
considered not as binary, either/or deci- the human personality is a useful one. Just
sions, but rather as complementary forces as any aspect of the personality taken to

42
an extreme is unhealthy and dysfunctional, hide the variety that exists and thus over-
the same is true for organizations. Thus, simplify what can be a complex picture.
instead of trying to maximize anything (de- Nevertheless, this review has sought to
centralization, teamwork, formality, and bring out the main trends and the principal
so on), an organisation should seek to en- tasks faced by HRM professionals.
sure that it maintains a minimal threshold United Kingdom. The general context
of desirable attributes. within which HRM changes have taken
The whole challenge of managing across place in the UK is a reflection, primarily,
cultures is about balancing the seemingly of changing regulatory frameworks, glo-
opposing values and practices in such a balization and strong pressures to drive
ways as to create advantages from them. costs downwards. The key role of labour,
The research of Evans and Doz is parti- and thus HRM, in modern organizations is
cularly relevant to all areas of strategic HR emphasized by Sparrow (1999). He con-
across cultures. In addition to recognizing cludes that getting the people issues right
that dualities exist and must be balanced, is critical. This perspective is reflected in
it is clear that HRM requirements become the increased professionalism of the HRM
less a matter of having the right people at function in the UK.
the right place at the right time, but more a Regulation. HRM practices in the UK
matter of integrating selection, reward and are influenced by increasing levels of
appraisal practices within organizational regulation arising both from the UK gov-
values which will allow a balanced outco- ernment and from membership in the EU.
me under a range of cultural conditions. The UK government’s tighter legislative
controls on labour unions are the major
2. HRM in selected countries: contributory factor in the dramatic fall
trends and values in strike activity in 1999/2001. Working
The previous chapter was an attempt to days lost annually per 1000 workers plum-
review the globalisation and its consequ- meted from 330 between 1980 and 1983
ences for organisations. The analysis in to only 11 days in this period. But in 2006
this chapter is supported by examining the the number of working days lost through
practice of HRM in Europe, Japan and the strikes soared to the highest level since
USA. Talking about European HRM, we 2004 as the government faced increasing
mean a continent of diversity. Therefore, strife from public sector unions over job
a focus lies on the UK and France, reflec- cuts, pay and pensions. Total days lost rose
ting the relative volume of national publi- from 157,400 in 2005 to 754,500 in 2006,
cations of HRM practitioners from these according to figures published by the Of-
countries and the dominant size of their fice for National Statistics (Tayeb, 2008).
economies in the EU. More than 80 per cent of the days lost
The danger of overviewing HRM within through strikes last year involved public
different cultures and nations is that it may sector workers.

43
The establishment of more employee in the longer term such schemes may be
supportive legislation is found in the in- problematical as there will be strong up-
troduction of the minimum wage. Nevert- ward pressures in salary costs.
heless, much of current UK employment Globalization. Owing to globalization,
legislation remains restrictive and control- the UK economy has been driven by a
ling labour. Policies emanating from the push for greater productivity with the re-
EU have worked in the opposite direction sultant outcome of downsizing or total clo-
and seek to emphasize employee welfare, sure of plants. Maintaining commitment
involvement and commitment. when an employee’s friends and relatives
Incentive compensation. In addition to have been downsized can prove a major
well established incentives for equal pay difficulty. One way that HRM practition-
between men and women, there are strong ers have responded is by developing out-
pressures to move away from standard pay placement programmes. Such programmes
scales towards systems which reflect in- provide details of other job opportunities
dividual performance and behaviour and within the firm, develop skills in job se-
the specific demands and characteristics of arch outside the firm.
particular (regional) labour markets. A second major challenge arising from
Despite the 1970 Equal Pay Act and the globalization has been foreign investment
subsequent 1983 amendment incorporating in the UK. In manufacturing, almost one-
the concept of equal value, a gender gap fifth of UK workers are employed in fo-
still exists in the UK. For example, in 2005 reign companies. Foreign investment both
difference between men’s and women’s in manufacturing and other sectors has
average gross hourly earnings was 20 per- brought with it new HRM practices which
cent (for comparison – 26 percent in 1995) can spill into domestic forms. For exam-
(Eurostat, 2008). Such contrasts are typi- ple, employment in Japanese manufactu-
cal of all sectors. The monitoring of equal ring firms has risen from fewer than 5000
opportunities on the basis of sex, race and in 1980 to over 60 000 in 2000 (Institute
disability remains a high priority for HRM for Employment Studies, 2004). Japanese
professionals. plants have brought new HRM strategies fo-
The continued move towards increased cused around team working and total quality
use of performance-related pay presents management.
a particular challenge to the HRM pro- Labour shortages. Like many advanced
fessional, since the systems, while moti- economies, the UK has an ageing popula-
vating those receiving the payments, can tion. By the year 2040, one in four will be
have a considerable negative effect on a pensioner and barely half the population
the commitment and motivation of those will be under 45 (Institute for Employment
who do not receive them. No matter how Studies, 2004). It may become a necessity
the system appears to be, it is unlikely that to make fuller use of the older employee.
an organisation has sufficient resources to Hiring older employees is a strategy alre-
reward all those meeting their targets, and ady adopted by some UK companies. The

44
employment rate of older (over 65 years control of labour costs is seen in patterns
old) workers increased from 47.5 percent of short-term contacts, temporary working
in 1995 to 57.4 percent in 2005 (Eurostat, and part-time working. The proportion of
2008). UK employees work longer hours workplaces characterized by the first two
per week than employees in other EU forms of flexible working increased from
countries. The average working week is 19 percent to 36 percent between 1980 and
44 hours with only 28 days’ holiday per 2000. Similar increases have been recor-
year. Breaking this long hours culture may ded in the numbers of part-time workers.
become a major task for the HRM profes- By 2000, the UK had over 6.7 million part-
sional. time workers (Institute for Employment
From October 2000, changes in the UK Studies, 2004).
work permit system have made it easier for New forms of work. The most stri-
immigrants to fill gaps in the labour mar- king new types of workplaces are called
ket. Act 2004 sets out a progressive policy centres. These tend to be located where la-
of welcoming immigrants where that helps bour costs are low. Because of their new-
UK economy. Net migration rose from ness, they have employed female with little
47867.000 persons in 1998 to 227158.000 experience of office work. Teleworking is
in 2004 (Eurostat, 2008). another emerging trend. In the UK, the
Flexible working. A particular interest number of teleworkers is now estimated to
in the UK has been the debate about the ex- more than 1.6 million. HRM practitioners
tent of new forms of working, which inclu- need to develop skills appropriate to the
de outsourcing, flexible working patterns recruitment, selection, and motivation of
and the emergence of new forms of work. the workforce of a “virtual office”.
Outsourcing. The move towards the In conclusion, today’s HRM professio-
flexible firm has seen a trend towards the nal in the UK needs the ability to operate
outsourcing of activities outside the core within an increasing degree of labour re-
(Gooderman, 1999). This may take the gulation and to simultaneously respond to
form of outsourcing to new suppliers or a wide range of changing individual and
changing employment contracts to hire organizational needs in new and creative
individuals as consultants rather than em- ways.
ployees. Increasingly, too, UK firms are France. The current French HRM prac-
externalizing actual HRM activities. For tices are the result of several constraints
example, a period of downsizing often such as strong and specific regulations, a
sees the hiring of outplacement specialists. demography unique in Europe, the accele-
More recently, further externalization of ration of internationalization of large orga-
HRM activities has been made possible nizations, and sociological upheaval. The-
through the development of information se practices are converging with those of
technology. other countries under pressure from similar
Flexible working patterns. An in- factors. French HR managers are striving
dicator of the importance of numerical to adapt French organizations to their en-

45
vironment by relying on unique practices an increase in the number of days on strike
or practices similar to those implemented in 2004 (460,000) in comparison with the
in other countries. The demographic and lowest record in 1999 (353,000). The num-
political environment is particularly cha- ber of strikes increased from 1607 in 1997
racterized by the importance of the baby to 2131 in 2004 (ILO statistics, 2008)
boomers and the second by the relations- However, the HR function, which took
hip between the State and the social par- over the task of innovation in the reforms
tners. The French birth-rate remains con- of working hours, and negotiation and im-
sistently higher than in the main bordering plementation of the new measures, gained
countries (Germany, the UK, Italy, Spain). more influence. The HR function took over
France displays an age structure characte- measurement and financial tools in order to
rized by its relative youth. Indeed, in 2006, optimize choices and control the costs re-
19.4 percent of the population was under lated to the 35-hour workweek. Four HRM
the age of 20 compared with a 17.8 percent practices are particularly idiosyncratic to
European average. Another characteristic the French context and deserve particular
is the low number of those between 54 and consideration, namely career management,
65. The potential to infuse young blood recruitment, training, and compensation.
into an organization is high. Moreover, Career management. In France, fol-
net migration was considerably lower in lowing the general trend, the employee
comparison with the UK: minus 1407,000 is more and more responsible for her/his
persons in 1998 and 90879,000 persons in own career. However, the HR function
2004 (Eurostat, 2008). shares a core responsibility with line ma-
The influence of the state in French in- nagers and top management for supporting
dustrial relations is still considerable. For employee development in an endeavour to
instance, in July and October 2000, the keep their loyalty. HR managers have to
government did not give its backing to the deal with a “new” psychological contract
new convention on unemployment benefits where organizations no longer offer long-
signed by the employers’ organization and term employment and employees accept
the trade unions. The law on the 35-hour the responsibility for developing their own
workweek also reveals the invasion of the employability, both internal and external,
social field by the government. Labour but require the help of the organization to
laws are extremely comprehensive and de- achieve their career goals. Career mana-
tailed in France, this having an effect on gement is often based on the division of
HR functioning. Employers’ organizations employees, especially between those who
and the majority of labour unions deplored have and those who do not have the sta-
the government’s methods. As a result, a tus of` “cadre”. Human resource managers
trust crisis arose and the French system of pay great attention to the careers of the
tripartite industrial relations (state, federa- first category, among them the high poten-
tions of employers, and labour unions) was tial employees, since qualitative flexibility
challenged. This forced change resulted in is expected from them because they make

46
up the central core of the organization as average 38 percent and is over 60 percent
defined by the model of the flexible firm. for large organizations. This rate also va-
Recruitment. The use of the Internet as ries with the level of qualification, from 10
a recruitment tool is on the rise in France, percent for unskilled workers to 60 percent
particularly for large companies. Genera- for technicians and executive. The trend in
list and institutional Web sites stream the training is for organizations to tailor their
recruitment market out. The most com- programs to their direct needs. With the
mon screening process remains the tradi- reduction of working hours, employers are
tional employment interview. On average, striving to deliver training outside working
the recruitment process requires three in- hours (Goetschy, 2000).
terviews, and the final hiring decision is Compensation. The French are cham-
made by the manager who will be respon- pions of the individualization of com-
sible for the new employee’s performance. pensation. Recognition of competencies
A rather controversial issue in France is constitutes an essential determinant of
the use of graphology. As a rule, want-ads individualization. Nevertheless, an incre-
require a handwritten cover letter along asing individualization may give rise to
with a printed CV. HR managers have to a diminishing interest in the aims of the
face the low predictive validity of grapho- organization as a whole. Variable com-
logy. Between 75 percent and 80 percent pensation concerns both collective and
of employers in France resort to the study individual performance. At the collective
of handwriting to help screen and place job level, gain sharing is on the rise. At the
applicants. With the increased use of the individual level, the widespread use of bo-
Internet to recruit, the use of graphology nuses and exceptional premiums enables
may diminish as a screening tool unless organizations to reward individual perfor-
organizations specifically ask for handw- mance, yet keep a security margin in case
riting samples. the economy deteriorates. Nevertheless, as
Training. French labour laws strongly the variable part of compensation increa-
impact the training practices in France. ses, this raises security and equity issues
French organizations with ten or more pe- for the employee. The emphasis on indi-
ople on the payroll face a mandatory finan- vidualization turns equity into a key issue.
cial contribution of 1.5 percent of the wage Trying to achieve equity furthers the ex-
bill for training or face financial penalties. pansion of flexible compensation through
With fewer employees, the contribution is cafeteria plans which increase employee
0.15 percent of the wage bill. On average, satisfaction regarding the benefits offered
organizations spend more than the legal by the organization.
minimum required, with a training con- However, in France this willingness to
tribution of around 3 percent of the wage increase compensation flexibility collides
bill. The access rate to training, i.e. the with the importance of mandatory bene-
percentage of employees who participate fits. HR professionals encounter difficulty
in training programs during one year, is on in linking the design and implementation

47
of compensation with organizational stra- best people, making it easy to move within
tegy. the organization, hiring very selectively,
To sum it up, HRM is more than ever providing decision-making authority to
dedicated to the necessity of productivity all employees. The reason why US labour
within both the HR function and the orga- shortages have remained manageable is
nization as a whole. In order to make an an expanding labour supply, as firms tap
impact, add value, and create a competi- previously overlooked groups such as pe-
tive advantage for the organization, HR ople with disabilities, former welfare reci-
professionals and line managers can no pients, older workers, ex-convicts, and fo-
longer overlook the differing values of the reign students. The employment of a more
employees. diverse workforce requires organizations
USA. Labour shortages. US economic to change practices, attitudes to enhan-
prosperity during the 1990s has led to la- ce performance, and many organizations
bour shortages, which are pushing organiza- have developed a diversity of initiatives in
tions to engage in creative recruitment and response to these pressures.
retention practices and to employ workers Globalization. Multinational compa-
from non-traditional sources, leading to a nies are becoming increasingly important
more diverse workforce. HR professionals players in the global economy, and their
are realizing that they need to update their HR practices are increasingly influenced
technological skills and develop systems by diverse cultures. A certain degree of
for managing more virtual organizations. fit between HR practices and local culture
Human resource is also trying to become enhances performance, because congruent
more of a strategic partner in firms. HR has HR practices are consistent with existing
the potential to create competitive advan- behavioural expectations and routines that
tage for firms by successfully combining a transcend the workplace. Management
reputation as being an employer of choice practices that are congruent with the na-
with a high performance work system and tional culture have been associated with
an effective set of incentives. HR mana- enhanced firm financial performance. US
gers are responding to labour shortages firms seem to have learned this lesson.
by stepping up recruitment efforts. In the For expatriates, success is linked to se-
2000 Society of Human Resource Mana- veral factors, including the quality of the
gement Survey on HR Priorities, 64 per- people willing to take the assignment and
cent of respondents indicated that recrui- company policies that ease relocation and
tment would be a top issue and 46 percent adjustment for the expatriate and his/her
said that training would be a top priority family.
due to labour shortages (Konrad, 2001). Variable compensation Companies in
Labour shortages have turned companies’ the USA are moving toward pay systems
attention to retention practices, including that are flexible and strategically aligned
fostering a sense of community, identi- with complex and changing business envi-
fying and investing in the organization’s ronments. Examples include the increasing

48
use of competence-based pay, in which addition, HR can become a strategic par-
pay is geared more to individual skills tner by providing tactical support for im-
and abilities that contribute to company plementing a business strategy. HR is ne-
success than the job individuals perform. eded to determine the types of knowledge
Perhaps the most significant trend, howe- and skills needed in the workforce to carry
ver, is the increasing use of “variable pay” out the firm’s strategy, identify hiring and
plans. Variable pay (often referred to as training needs, and align the performance
incentive pay) plans conventionally refer management system with strategic goals.
to payments that are based on an objective Future directions. In late 2000 the US
or quantitative assessment of individual, economy is slowing. Though workers may
group, or company performance, that do become easier to find in general as the
not add to base salary. Examples include economy slows, recruitment is likely to
bonuses, gain sharing plans, profit sharing, continue to be challenging in areas where
and stock based plans. According to a re- skill shortages exist, such as IT. Hence, or-
port by Hewitt Associates (2004), 80 per- ganizations with the most effective recrui-
cent of surveyed organizations currently tment and retention systems may continue
have at least one type of variable pay plan to garner a competitive advantage. The US
in place, up from 87 percent in 2003 and workforce will continue to become more
47 percent in 1990. Perhaps the most inte- diverse, so firms are likely to continue ex-
resting variable pay trend is the increased perimenting with variable compensation
use of stock option plans for lower level and high performance work systems to en-
employees. Stock options have long been hance productivity.
a significant component of top executive Japan. During an extended period of
compensation in the USA. Stock options economic recession for most of the 1990s,
are a way to link employee pay to firm broad and striking changes have been
performance. This can increase employee made to the Japanese employment system.
morale and performance. How fundamental or reversible they are
Strategic HRM. HR is increasingly se- is harder to evaluate. Japan’s economy fi-
eking a strategic role in business to help nally began to show signs of a recovery in
firms create value and gain competitive 1999. If the economic recovery prevails, a
advantage in the marketplace. Effective considerable stabilization of Japanese HR
HR practices that competitors cannot du- practices can be expected, although at a
plicate easily or quickly provide a com- higher level of market-oriented flexibility
petitive advantage to firms. HR can create than previously existed.
value by developing systems to make an Traditional practices. Employment is
employer of choice to attract and retain a based on the lifetime system; hiring of
top quality talent. Becoming an employ- workers and managers into entry-level po-
er of choice is costly, however, and these sitions directly out of college is common.
costs are only justifiable if the firm’s work- Pay rises and promotions are automatic. In
force demonstrates high productivity. In the wage system based on seniority, sta-

49
tus and seniority are tied to the length of my combined with socio-cultural and so-
service rather than to job duties or merit. cio-economic changes has had a profound
Although subordinates know that they can effect on Japan’s employment institutions.
influence decisions, the ultimate decision Although leading-edge manufacturers are
comes from the top. Japanese managers still competitive, their contribution to Ja-
make an active commitment to preserve panese domestic employment and income
harmony, through intricate social rituals is shrinking, in favor of the emerging ser-
like gift giving, bowing to superiors, and vice sector as the next great engine of jobs
using honorific language to show deferen- and wealth. Employment practices of sales
ce. Workers often gain a broad perspecti- and service firms are different from those
ve on production by being rotated through of manufacturing. Their younger work-
different departments. Such investments in force is more mobile, less committed to
breadth of skill and overall understanding work and the firm (Debroux, 2004). Furt-
of the production process are justified by hermore, since the organization of work in
the strong lifetime employment guarantees service firms is less team-based, individu-
bonding workers to their companies and al performance is more easily evaluated.
allowing the skilled and experienced pro- Accordingly, occupational skills are valu-
duction workers to contribute to manage- ed over firm-specific skills, so that broad
ment decisions. job experience becomes the main driver of
Changing HR practices. The break- wages and performance rather than loyalty
down of the interfirm network system of to one employer. Gender issues are rapidly
cross shareholding and preferential trading surfacing in the Japanese traditionally ma-
among member corporations of a business le-dominated corporate world. Japanese
group has badly hurt the safety net of sup- women, long locked in the crouch of tea
porting the long-term growth strategy of serving office ladies or contract workers
Japanese firms and their ability to protect performing low-skilled work on the as-
employees from downside market risks. sembly line, are standing up. Professional
Deregulation is another force for change. young women are flocking to new high-
It has made Japanese markets more acces- tech ventures where gender does not seem
sible to competitors, foreign as well as do- to matter much. Such opportunities have
mestic. The aging population also has cle- been increasing steadily over the past few
ar implications for corporate HR practice. years and the Equal Opportunity Law, pas-
With an aging workforce, the permanent sed in 1985, which “requested” employers
employment and seniority system burdens to make efforts not to discriminate, has
firms with rising numbers of higher-paid been recently revised to make discrimina-
and less productive workers. Recently, tion illegal.
growing numbers of companies are ex- In conclusion, there are broad and stri-
plicitly weighting ability and performan- king changes sweeping the Japanese em-
ce over tenure and age in salary decision. ployment system. How fundamental they
Finally, the transition to a service econo- are is difficult to evaluate. No matter whe-

50
ther it regards performance pay or reduc- brought new HRM strategies). In this pe-
tions of the workforce, the change of HR riod, the peculiarities of the so-called soft
practices in Japanese companies seems to HRM emerged.
be slow and incremental, carefully avoi- As the scope of the article does not al-
ding abrupt or traumatic breaks with the low an exhaustive analysis of all functions
past. of HRM, it will focus on one of them, viz.
reward. The main problems of Lithuanian
3. HRM in Lithuania enterprises share one common feature: the
managers attempt to mechanically incre-
The previous part of the article showed that
ase salaries (following the trends in the
the process of globalisation
���������������������������
and
�������������
the deve-
market) rather than actually manage them.
lopment of multi-national companies unify
However, some executives are aware of
HRM and at the same time underscore the
this problem and make it a priority issue
importance of national cultural values.
by searching the ways which would en-
On comparing the changes in patterns
sure that every litas spent on salaries in-
of HMR in the UK, France, USA and Ja-
crease the added value for the enterprise.
pan, let us proceed with the analysis of the
They also begin to favour the idea that a
peculiarities of HMR in Lithuania which is
sound reward system should contribute to
a representative country of the post-soviet
restricting the influence exercised by the
bloc, on the one hand, and a new member
middle and lower management on the re-
of the EU since may 2005, on the other ward of their subordinates. In addition, the
hand. In the case of post-soviet bloc coun- executives, fearing the decreasing supply
tries, globalization poses distinct challen- of qualified labour force, shift their atten-
ges to governments, the private sector and tion from material priorities to employees
organized labour. The practice of HRM in by implementing real employee motivati-
Lithuania during 1990–2008 can be separa- on and development measures. This was
ted into two periods. Each period was influ- in part proved by a survey carried out by
enced by controversial groups of factors. the author of this article and other mem-
The first period (1990–2004) was strongly bers of the Management Department of the
influenced by traditions that came from Faculty of Economics of Vilnius Univer-
the soviet regime (authoritarian work met- sity (Cesyniene, 2002), which interviewed
hods, lack of employee initiative, material managers of all levels of 12 manufacturing
priorities of the employers). This period companies of Lithuania (in total 559). The
could be characterized by the dominating findings of the questionnaire could be used
so-called hard HRM. to infer about the attitude of the managers
The second period (since 2005) was to the employees and its motivation.
influenced by the new traditions (EU ac- While exploring the guides for objecti-
cession, huge increase in the emigration ve-raising and decision-making, the tech-
of employees, establishment of branches nocratic orientation of managers became
of international companies which have apparent. Their majority think that invol-

51
vement of employees into the formulati- resources for incentives; 2) insufficient
on of the objectives and decision-making link between reward and the employe-
process is an important factor in improving es’ efforts, qualification and competence;
personnel motivation, encouraging initia- 3) penalties are more often applied than
tive. However, as far as making of impor- incentives.
tant decisions is concerned, 33.8 percent The survey has revealed that up till
of managers think that their opinion is not 2004–2005 Lithuanian companies were
taken into consideration at all, 17.3 percent dominated by the so-called “hard” HRM,
familiarise �������������������������������
with the already passed decisi- with the focus on employee control, utmost
ons, 65.5 percent can observe the process exploitation of their potential and obtai-
of passing of important decisions as they ning the maximum benefit from them,
are involved in the preparation of suppor- neglect of employees’ needs. However,
ting information, and only 13.4 percent the EU accession, dramatically increasing
feel that they are making important deci- emigration of qualified and even low-qua-
sions. The respondents equaled to zero the lified workers to the West and the growing
possibilities of staff to participate in this competition urge the managers to shift
process. their attention from the material priori-
When answering the question about the ties to their employees as one of the key
ways of motivation, 45.3 percent of ma-
resources of the competitive advantage.
nagers pointed out that the highest signifi-
The intensive growth has led to tightening
cance is given to the cash reward systems.
labour markets and an escalation in wage
Other forms of motivation are not widely
claims. The increasing labour demand and
used: 8 percent of managers pointed self-
emigration have contributed to a declining
development and qualification upgrading
unemployment rate and more job vacan-
plans as motivation measures; 6.3 percent
cies. The resulting wage growth has raised
said that employees are motivated by re-
the standards of living. However, the real
designing their work and by trying to in-
wage growth is currently running at rates
crease job purposefulness; 3.3 percent of
well above the growth of labour producti-
managers said the motivation is increased
vity, and in 2006 the unit labour cost incre-
by involving the employees into company
ased by 11½ percent year on year. These
management. 14 percent of managers sta-
circumstances urge the managers to shift
ted that employees are not motivated at all.
Answering the question about the advanta- their attention to “soft” HRM, i.e. to the
ges and disadvantages of the reward sys- needs of their employees as one of the key
tems applied in the companies, 12 percent resources of the competitive advantage.
of managers were rather self-critical, sta-
ting that there is no reward system applied Conclusions
in their company. Managers of the com- 1. Many aspects of HRM are affected both
panies that apply such systems mentioned by globalization and by differences in
such major drawbacks: 1) limited financial national culture. Evans and Doz have

52
described the managerial challenge in 5. In late 2000 the US economy is slo-
complex international organizations in wing. Though workers may become
terms of harmonizing seemingly oppo- easier to find in general, recruitment is
sing forces rather than making binary likely to continue to be challenging in
either/or choices. areas where skill shortages exist. The
2. The overview of HRM within different US workforce will continue to become
cultures and nations is that it can hide more diverse. Firms are likely to con-
the variety that exists and thus over- tinue experimenting with variable com-
simplify what can be a complex picture. pensation and high performance work
systems to enhance productivity.
Nevertheless, this review has sought to
6. The change of HR practices in Japane-
bring out the main trends and the prin-
se companies seems to be slow and in-
cipal tasks faced by HRM professionals
cremental, carefully avoiding traumatic
in the selected countries.
breaks with the past. Japanese managers
3. The general context within which HRM
have a strong sense of corporate obligati-
changes have taken place in the UK is
on to provide jobs, income and security.
a reflection, primarily, of changing re- 7. Lithuanian companies have been domi-
gulation arising both from the UK go- nated by the so-called “hard” HRM, with
vernment and from membership in the the focus on employee control, utmost
EU, globalization and strong pressures exploitation of their potential and obtai-
to drive costs downwards. ning the maximum benefit from them,
4. The current French HRM practices are neglect of employees’ needs. On the
the result of several constraints such as other hand, the lack of qualified wor-
strong and specific state regulations, a kers and the growing competition urge
demography unique in Europe, the ac- the managers to shift their attention to
celeration of internationalization of lar- “soft” HRM, i.e. to the needs of their
ge organizations, and sociological up- employees as one of the key resources
heaval. of the competitive advantage.

REFERENCES
1. Celia de Anca, Vazquesz A. (2007). Mana- 5. Evans P., Doz Y., (1999). HRM on edge: A Duali-
ging Diversity in the Global Organizations. Palgrave ty Perspective. http://www.questia.com/googleScholar.
Macmillan. 238 p. . qst;jsessionid=H4bTpXymBp5GTSFNl1MxrVklK
2. Česynienė, R., Diskienė D., Kulvinskienė V., sGfZvBbdhCVlJv3gfnfr1VVYzpT!-1908651042?
Marčinskas A. (2002). Įmonių vadybos orientacijos. docId=5000154144 (last visited 17 02 2008).
Vilnius, VU leidykla. 164 p.
6. Edwards T., Rees Ch., (2006). IHRM: Gloaba-
3. Debroux, P. (2004). Adjustment of human re-
lization, National Systems and Multinational Com-
source policies in Japanese companies. Journal of
General Management, Vol. 23, issue 1, p. 23–38. panies. Prentice Hall. 310 p.
4. Dowling P., Welch D., (2005). IHRM: Mana- 7. Goetschy, J., (1998). France: the limits of re-
ging People in a Multinational Context. Thomson form / A. Ferner, R. Hyman. Changing Industrial Re-
Learning. 333 p. lations in Europe. Blackwell Business,. p. 357–394.

53
8. Gooderman, P., (1999). Institutional and Ratio- 15. Parker, B. (1998). Globalization and Business
nal Determinants of Organizational Practices: Human Practice. London: Sage Publication, p. 308–380.
Resource Management in European Firms // Admi- 16. Population and Social Conditions. Eurostat;
nistrative Science , Vol. 3, issue 44, p. 507–531. < http://en.wikipedia.org/wiki/Eurostat >; (last visi-
9. Industrial disputes. Strikes and lockouts; < ted 30 01 2008).
http://www.laborsta.ilo.org > (last visited 30 01 2008). 17. Selmer, J. (2001).Human resource mana-
10. Japan’s aging population: a challenge for its gement in Japan: Adjustment or transformation? //
economy and society; http://www.asiasource.org/ International Journal of Manpower, Vol. 22, issue 3,
news/at_mp_oz; (last visited 25 01 2008) . p. 235–243.
11. Jewell, B., (2000). Integruotos verslo studi- 18. Sparrow, P., (1999). European Human Re-
jos.The Baltic Press, p. 409–458. souce Management in Transition. London: Prentice
12. Konrad, A., (2001). Human Resource Mana- Hall, p. 27-213.
gement Trends in the USA: Challenges in the midst 19. Sullivan, J. Selecting an HR Strategy; http://
of prosperity// International Journal of Manpower, www.drjohnsullivan.com; (last visited 10.01 2008).
Vol. 22, issue 3, p. 269–278. 20. Tayeb M., (20050. International Human Re-
13. Lundy, O., Cowling A., (2001). Strategic source Management. A Multinational Company
Human resource Management. London, Routledge, Perspective. Oxford University Press, 242 p.
2001 p. 341–381. 21. Working Long Hours: a Rewiev of the Evi-
14. Mabey, Ch., (1998). Experiencing Human dence // Institute for Employment Studies. Main Re-
Resource Management. London, Sage Publications, port (2003); http://www.employment-studies.co.uk/
p. 33–97. press; (last visited 29 01 2008).

GLOBALIZATION AND HUMAN RESOURCE MANAGEMENT


Rima Česynienė
Summary
The article analyses the complexity of human resour- implemented in other countries. In late 2000s, the US
ce management in the context of business globaliza- economy is slowing. Though workers may become
tion. The problem is the balancing of the global trends easier to find in general, recruitment continues to be
in HRM with the influence of national cultures. The challenging in the areas where skill shortages exist.
general aim of the article is to explore the problem The US workforce will continue to become more
of balancing the seemingly opposing forces (such as diverse. Firms are likely to continue experimenting
thinking global – acting local, decentralization–cen- with variable compensation and high performance
tralization, differentiation–integration, etc.) and to work systems to enhance productivity. The change of
identify trends and values in HRM. The article shows HR practices in Japanese companies seems to be slow
that such opposing forces should be considered not and incremental, carefully avoiding traumatic breaks
as binary either / or decisions, but as complementary with the past. Japanese managers have a strong sense
forces that need to be balanced. The analysis is sup- of corporate obligation to provide jobs, income and
ported by examining the changing practice of HRM security.
in the United Kingdom, France, the USA and Japan. On comparing changes in the patterns of HMR
This review shows the main trends and the principal in the UK, France, the USA and Japan, the article
tasks faced by HRM professionals in the 21st centu- analyses the peculiarities of HMR in Lithuania as a
ry. HRM changes that have taken place in the UK are representative country of the post-soviet bloc. The
a reflection, primarily, of changing regulation arising practice of HRM in Lithuania during 1990–2008
both from the UK government and from membership may be separated into two periods. Each period was
in the EU, globalization and strong pressures to drive influenced by controversial groups of factors: traditi-
costs downwards. French HR managers are striving to ons that came into being under the soviet regime and
adapt French organizations to the environment by re- the new traditions still undergoing formation. In the
lying on unique practices or practices similar to those first period dominated the so-called “hard” HRM,

54
with the focus on employee control, utmost exploi- the growing competition in the second period urge
tation of their potential and obtaining the maximum the managers to shift attention to “soft” HRM, i.e.
benefit from them, neglect of employees’ needs. The to the needs of their employees as one of the key
lack of qualified workers, increasing emigration and resources of the competitive advantage.

GLOBALIZACIJA IR ŽMONIŲ IŠTEKLIŲ VALDYMAS


Rima Česynienė
Santrauka
Straipsnio tikslas yra palyginti žmonių išteklių val- Jungtinė Karalystė. Žmonių išteklių valdymo
dymo pokyčius keliose šalyse dėl globalizacijos ir tendencijas nulėmė du pagrindiniai veiksniai: dideli
tarptautinių kompanijų plėtros. Praktika rodo, kad darbo kaštai ir konkurencingumo didinimo poreikis.
globaliai veikiančios kompanijos stengiasi derinti iš Tai turėjo įtakos lanksčioms ir naujoms darbo for-
pirmo žvilgsnio priešingą požiūrį į žmonių išteklių moms paplisti, mažėti organizacijoje valdymo hie-
valdymą: išlaikyti unifikuotos žmonių išteklių valdy- rarchinių lygių, žmonių išteklių valdymo paslaugų
mo politikos ir skirtingų kultūrų, vertybių įtakos šiai „pirkimui“ iš kitų organizacijų, susieti atlyginimą už
valdymo funkcijai pusiausvyrą. Taip jos suderina du darbą su darbo rezultatais ir darbuotojų vertinimu.
prieštaringus tikslus: pasiekia, kad darbuotojai per- Nuo 1997 m., į valdžią atėjus leiboristams, išryškėjo
imtų vyraujančias organizacines vertybes, ir skatina į darbuotojų socialinę apsaugą orientuotos vertybės,
išnaudoti savo kultūrinius skirtumus. kurios ypač sustiprėjo įstojus į ES. Visa tai kartu su
Du prancūzų mokslininkai – Paul Evans ir Yves gyventojų senėjimo procesu ir ryškiais regioniniais
Doz – savo darbe pabrėžia, kad atsižvelgiant į glo- nedarbo lygio svyravimais rodo, su kokiais iššūkiais
baliai veikiančių kompanijų veiklos sudėtingumą susiduria organizacijų vadovai žmonių išteklių val-
reikia siekti išlaikyti pusiausvyrą: dymo srityje JK.
Globalaus mąstymo Lokalios veiklos Prancūzija. Žmonių išteklių valdymo praktikai
Decentralizavimo Centralizavimo šioje šalyje turi didelę įtaką ypač stiprus valstybinis
Diferencijavimo Integravimo reguliavimas ir demografinės situacijos unikalumas,
Pokyčių Tęstinumo palyginti su kitomis Vakarų Europos šalimis. Pran-
Delegavimo Kontrolės cūzijoje yra didžiausias gimstamumas ir daugiausia
Konkurencijos Partnerystės jaunimo iki 20 metų amžiaus. Todėl pastaraisiais
metais čia mažiausi imigrantų srautai. Be to, Prancū-
Pasak Evans ir Doz, priimdamos sprendimus šios zijoje – trumpiausia (35 val.) darbo savaite, tai taip
priešingos jėgos neturi būti priešpriešinamos viena pat kelia nemažų sunkumų žmonių išteklių valdymo
kitai, tarp jų negali būti įterptas žodis „arba“. Jos vadovams. Organizacijose formuojasi aiški tenden-
turi būti derinamos, kad kiekviena teiktų kuo didesnį cija – darbuotojai patys atsakingi už savo karjerą.
pranašumą. Tai pasakytina ir apie žmonių išteklių Vadovai kreipia ypatingą dėmesį tik į turinčių didelį
valdymo politiką ir praktiką. Todėl anksčiau vyra- potencialą darbuotojų karjerą, tikisi iš jų lankstumo
vęs žmonių išteklių valdymo principas – reikiami ir indėlio į organizacijos sėkmę. Darbuotojų moky-
darbuotojai reikamoje vietoje ir reikiamu laiku – mui organizacijos privalo pervesti į specialią sąskaitą
globaliai veikiančiose kompanijose papildomas dar 1,5 proc. darbo užmokesčio fondo, o patys darbuo-
vienu – žmonių išteklių praktikos (darbuotojų atran- tojai – tik 0,15 procento. Dėl sutrumpintos darbo sa-
kos, jų vertinimo, darbo apmokėjimo) derinimas su vaitės mokymai paprastai vyksta po darbo valandų.
organizacinėmis vertybėmis, kurios atspindi ir kul- Darbo užmokesčio srityje prancūzų organizacijos iš-
tūrų skirtumus. siskiria pirmiausia individualistine politika panaudo-
Straipsnyje lyginamoji žmonių išteklių valdymo jant „kavinės“ (cafeteria) principą. Tai padidina dar-
analizė atliekama pagal tradicinius modelius: Va- buotojų pasitenkinimą organizacijos siūloma nauda.
karų Europos (Didžiosios Britanijos ir Prancūzijos JAV. XXI a. pradžioje sulėtėjęs JAV ekono-
pavyzdžiu), JAV ir Japonijos. Nors žmonių išteklių minis augimas turėjo palengvinti naujų darbuotojų
valdymą šiuose modeliuose lemia skirtingi veiksniai, paieškos problemų sprendimą. Tačiau kvalifikuotų
tačiau pokyčių tendencijos yra labai panašios ir rodo specialistų stoka lieka svarbiausiu žmonių išteklių
„tirpstant“ ribas tarp šių modelių. valdymo vadovų rūpesčiu. Pavyzdžiui, JAV Infor-

55
macinių technologijų asociacija apskaičiavo, kad Lygių galimybių įstatymas ir didėjantis jaunų mo-
2004 m. darbdaviams reikėjo 1,6 mln. informacinių terų profesionalumas sudarė joms galimybes įsidar-
technologijų specialistų, ir maždaug pusė šių vakan- binti srityse, kurios anksčiau buvo traktuojamos kaip
sijų liko neužpildyta. Kultūriniu požiūriu įvairios grynai „vyriškos“.
darbo jėgos valdymas – kita svarbi žmonių išteklių Straipsnyje atskleidžiami Lietuvos, kaip, viena
valdymo problema. 2006 m. 76 proc. darbuoto- vertus, pokomunistinių šalių bloko atstovės, kita
jų sudarė baltaodžiai, 12 proc. – afroamerikiečiai, vertus, naujos ES narės žmonių išteklių valdymo
12 proc. – išeiviai iš Lotynų Amerikos. Daugelis ypatumai. Žmonių išteklių valdymo praktiką Lietu-
JAV organizacijų kuria tokių darbuotojų valdymo voje galima suskirstyti į du periodus (1990–2004 m.
programas, apimančias samdos, atlyginimo už darbą ir po 2005 m.), kuriems darė įtaką dvi prieštaringos
ir vertinimo procedūras, pritaikytas kultūriniu požiū- veiksnių grupės: 1) tarybiniais laikais susiforma-
riu įvairiai darbo jėgai. Didelė vadovų ir darbuotojų vusios tradicijos (autoritariniai darbo metodai, dar-
atlyginimų diferenciacija – dar vienas žmonių ište- buotojų iniciatyvumo stoka, darbdavių materialūs
klių valdymo bruožas. Sulėtėjęs ekonomikos augi- prioritetai); 2) besiformuojančios naujos tradicijos
mas ir ryškus profesinių sąjungų narių sumažėjimas (jas lėmė įstojimas į Europos Sąjungą, kvalifikuotų
panaikino galimybes padidinti darbuotojų atlygini- ir net žemos kvalifikacijos darbuotojų trūkumas dėl
mus. Dauguma JAV organizacijų naudoja lanksčias jų emigracijos į Vakarus, tarptautinių kompanijų,
ir strategiškai susijusias su nuolat kintančia verslo atsinešančių su savimi vakarietiškas žmonių išteklių
aplinka atlyginimų sistemas. Atlyginimas vis labiau valdymo tradicijas, padalinių steigimas). Analizuo-
siejamas su darbuotojų kompetencijomis, įgūdžiais jant žmonių išteklių valdymą Lietuvoje remiamasi
ir galimybėmis nei su atliekamu darbu. Vilniaus universiteto Ekonomikos fakulteto Vadybos
Japonija. XX a. paskutiniojo dešimtmečio eko- katedros docentės R. Česynienės ir kitų darbuotojų
nominė recesija ir gyventojų senėjimas gerokai pa- surengta Lietuvos gamybos įmonių 559 vadovų ap-
keitė žmonių išteklių valdymo praktiką. Tradicinė klausa. Iš jos rezultatų pateikiamos išvados apie va-
sistema, akcentuojanti samdą „iki gyvos galvos“ dovų vertybes ir požiūrį personalą. Apklausa parodė,
ir atlyginimo priklausomybę nuo darbuotojų am- kad iki 2004–2005 m. vyravo vadinamasis griežtasis
žiaus, tapo našta daugeliui japonų kompanijų, nes (angl. hard) žmonių išteklių valdymas, akcentuojan-
reikėjo mokėti didesnius atlyginimus mažiau pro- tis darbuotojų kontrolę, jų potencialo išnaudojimą ir
duktyviems darbuotojams. Ją laipsniškai keičia į maksimalios naudos gavimą, pamirštant tenkinti jų
rinką orientuotas lankstumas. Jauni darbuotojai yra reikmes. Tačiau nepalankios demografinės tenden-
mobilesni ir mažiau lojalūs vienam darbdaviui. Be cijos, įstojimas į Europos Sąjungą, didėjanti ne tik
to, darbo organizavimas, ypač paslaugų sektoriuje, kvalifikuotų, bet ir žemos kvalifikacijos darbuotojų
mažiau remiasi komandiniu principu, o pabrėžiamas emigracija į Vakarus, stiprėjanti konkurencija skatina
individualus indėlis, kuris lengviau įvertinamas. vadovus neapsiriboti materialiais prioritetais ir tech-
Svarbiausiu atlyginimo lygį lemiančiu veiksniu nokratine orientacija. Padėtis darbo rinkoje privertė
tampa darbo rezultatai, o ne lojalumas kompanijai. vadovus nukreipti savo dėmesį į darbuotojus, ne tik
Lyčių problema – dar vienas iššūkis žmonių išteklių kaip vieną iš pagrindinių konkurencinio pranašumo
valdymo praktikoje. Japonų verslo pasaulyje tra- šaltinių, bet ir kaip asmenis, turinčius savo poreikius,
diciškai dominavo vyrai, moterys geriausiu atveju kuriuos reikia tenkinti, t. y. pereiti prie vadinamojo
atliko žemos kvalifikacijos darbą. 1985 m. priimtas minkšto (angl. soft) žmonių išteklių valdymo.

Įteikta 2008 m. sausio mėn.


Priimta spausdinti 2008 m. gegužės mėn.

56

You might also like