21-12-2012, 03:01 PM
MARKETING RESEARCH - Future of Human Resource Management: Challenges from MNCs
MARKETING RESEARCH.docx (Size: 128.08 KB / Downloads: 42)
Introduction
The globalization poses distinctive Human Resource Management (HRM) challenges to businesses especially those operating across national boundaries as multinational or global enterprises. Global business is characterized by the free flow of human and financial resources especially in the developed economies. The flow of human capital should be managed effectively to gain competitive advantage in the global market place. To achieve this, organizations require an understanding of the factors that can determine the effectiveness of various HR practices and approaches. A number of factors that affect HRM in global markets are identified: (1) Culture (2) Economic System (3) Political System – the legal framework and (4) Human capital.
HRM is a wide topic so, we our study we have focused mainly on the ‘Culture’ factor of the HR practices. The cultural differences lead to conflicts among people. Our paper therefore focuses on effect of cultural difference on the conflict resolution strategies followed by people and the type of conflict resolution strategies preferred on the basis of gender and occupation. The study is done in India so, it tries to explain that the preferences of conflict resolution in the existing cultural dimensions of the country.
General Background
Hofstede states that each culture provides the grounds for a different socialization of its members. He defines Culture as "the collective programming of the people in an environment" which serves to distinguish people in one environment from those in another. Culture, then, is a mark of difference and of sameness .This definition admits of cultural differences within countries: "between regions, social classes generations, the sexes, occupations, organizations" (Hofstede,1982, p. 39).
According to Hofstede, the basic factors that derive the cultural differences are :
1. The distribution of power and the concomitant relationships of equality and inequality;
2. The role and place of the individual in relation to the collectivity and the implications of this for the maintenance of order and the balance between individual and collective interest;
3. Sexual differentiation and its implications for social roles, role behavior patterns and role management;
Theoretical Background
Hofstede’s Model
Hofstede obtains four major attitude or value dimensions differentiating national cultures. He labels the dimensions: 'power distance', 'uncertainty avoidance', 'individualism-collectivism', and 'masculinity femininity'.
1. Power distance: the extent to which the members of a society accept that power in institution and organizations is distributed unequally.
2. Uncertainty avoidance: the degree to which the members of a society feel uncomfortable with uncertainty and ambiguity, which leads them to support beliefs promising certainty and to maintain institutions protecting conformity.
3. Individualism and Collectivism: a preference for a loosely knit social framework to take care of themselves and their immediate families only; as opposed to collectivism ,which stands for a preference for a tightly knit social framework in which individuals can expect their relatives, clan, or other in-group members to look after them in exchange for unquestioning loyalty.
4. Masculinity: a preference for achievement, heroism, assertiveness, and material success; as opposed to femininity, which stands for a preference for relationships, modesty, caring for the weak, and the quality of life. In a masculine society, even the women prefer assertiveness (at least in men); in a feminine society, even the men prefer modesty.
Problem Definition
As HRM is a very broad area, so the current research focuses on effect of cultural differences on conflict resolution strategies followed by people. Due to cultural differences in India the Human Resource department of organizations need to put a great deal of effort in aligning the mixed culture of people with the established organizational culture. This takes into account solving the problems, grievances, conflicts that crop up among the employees. The organizations therefore is required to know about the cultural dimensions that exist within the country, assess the problems/ conflicts on the basis of these dimensions, and manage the people accordingly.
Purpose of the Study
The purpose of this study was to determine the challenges that organizations face when trying to globalize their HR function and practices. The investigation deals with one of the major dimensions of the globalization that is the organizational culture and how it affects the HRM practices.
Our research assesses the relationship between culture and individuals’ conflict resolution preferences. Specifically, we consider differences between conflict resolution preferences due to gender and occupational differences. We then try to relate these differences on the dimensions of culture i.e. 'power distance', 'uncertainty avoidance', 'individualism-collectivism', and 'masculinity femininity'.
METHODOLOGY
OBJECTIVE OF RESEARCH
To study the conflict resolution styles among male and female and between working professionals and students.
RESEARCH DESIGN
A research design is the arrangement of conditions for collection and analysis of data in a manner that aims to combine relevance to the research purpose with economy in procedure. Decisions regarding what, where, when, how much, by what means concerning an inquiry or a research study constitutes research design
DESCRIPTIVE RESEARCH:
Descriptive research, also known as statistical research, describes data and characteristics about the population or phenomenon being studied. Descriptive research answers the questions who, what, where, when, "why" and how.
Survey method was used which includes a structured questionnaire that have fixed alternative questions in a pre arranged manner.
OPERATIONALISATION OF VARIABLES
Thomas and Klimann put forward that every individual is capable of using all five conflict-handling modes; nobody can be characterized as having a single, rigid style of dealing with conflict. However, it may be possible that some people will use some modes more readily than others and therefore tend to rely upon those modes more heavily. The conflict behaviors individuals use are the result of both their personal predispositions and the requirements of the situations in which they find themselves. Also, their social skills may lead them to rely upon some conflict behaviors more or less than others.
MODEL CONSTRUCTION
There are many models of Interpersonal conflicts, among which Thomas-Klimann Conflict Mode Instrument (usually called MODE or TKI for short, here use the former) is the most widely used approach in both academic and applied domain. It is a two-dimension model, which derived from Blake and Mouton managerial grid (1964). The two dimensions are assertiveness (the desire to satisfy one’s own concern) and cooperativeness (the desire to satisfy the concerns of others). Assertiveness is on the x-axis and cooperativeness is on the y-axis, the two-dimensional space defined conflict handling styles into five categories, as illustrated in Figure 1.