Human Resource Management Spring 2014

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Human Resource Management Spring 2014

Prof. Arnaldo Camuffo Department of Management and Technology Office Hours: By appointment Phone: (02) 58362630 e‐mail: [email protected]

Course Description

The purpose of this PhD course is to examine the role of human resource management as a constitutive element of

organizations. It is grounded on the different theories of the firm and of the labor market and finds its antecedents in the

literature on industrial relations systems and labor institutions (acknowledging the need for international, comparative

analysis) as the foundations of human capital development and the antecedent of HRM.

The course focuses on the “macro” side of human resource management within organizations and more specifically on its

strategic aspect. Research on human resource policies and practices (e.g., selection, training, job design, etc.) will be touched

upon but will not be the primary focus of the course. Overall, the aim of the course is to understand how firms use human

resource management practices to enhance individual and organizational performance. To that end, we will examine the

emerging theoretical perspectives in strategic human resource management (SHRM), the contextual factors that influence the linkages between a firm’s human resources and human resource practices with firm performance, human capital, the growing complexity of the employment relationship between organizations and employees and social sustainability.

Grading

Participation (20%): The quality of PhD level courses is directly related to the quality of class discussion. Consequently, class

participation will be graded on each student’s degree of quality contribution toward class discussions. To ensure an informed

discussion, students are expected to come to class prepared to discuss (not simply summarize) each article. For each session

there will be a specific list of required readings (the required readings are marked with a ‘*’ in the readings list). This list blends

some “classics” or “must read” in the field with other pieces that better exemplify current or “hot” topics. A list of

suggested/additional readings is also provided for those students interested in pursuing a topic in more detail. Students are

encouraged, although not required, to read beyond the assigned readings and to bring to the class’s attention research that

informs and explores the day’s issues. In preparing for class discussion, you may want to ask yourself some of the following

questions:

• What is interesting about this article?

• What are the interesting research questions in this area of research?

• What are the strengths and weaknesses of the conceptual arguments and assumptions of this article?

• What are the strengths and weaknesses of the methodological approach used to test the research questions in this

article?

• How does this article fit in with other articles on the topic?

• If you were doing research in the same content area as the article, what would you do next or differently?

• What does this article “have to do” with HRM research?

In addition, for each class session a discussion leader/class facilitator will be assigned to help clarify key concepts, identify

controversial or interesting issues, point out additional articles of particular relevance, and so on. Though all students are

strongly encouraged to come to class with questions and issues to discuss, it is the role of the facilitator to prepare 2 or 3 critical questions per article for discussion. However, it is NOT the role of the facilitator to lead the entire discussion ‐‐ all students are

expected to participate equally. We will determine who will be the facilitators for each class before the first class session.

Depending on class size, students will be expected to lead some class sessions.

Article Critiques (30% ‐ 6 critiques each worth 5%): To facilitate learning and scholarship, each student will conduct 6 (six) critical evaluations of articles that we read for class. These 2 page critiques will be based on your assessment of the theoretical

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The articles that you choose will be up to you. These critiques will be collected at the beginning of the session/class for which

you have chosen to review an article. In general, these critiques should not be summaries or a re‐hash of each article (we all

have read the articles already); instead a good critique identifies the strengths and weaknesses of an article in terms of its

contribution to the literature and identifies future research needs and opportunities.

Research Paper (50%): Each student will investigate a topic of his/her choice in HRM and write a high quality research paper

that integrates past research and theory with new ideas about an issue. Originality, thoroughness, and scholarly thinking are the most important criteria for the research paper. These papers may involve data analysis or a conceptual contribution to the field of HRM. Whatever the nature of the research paper, it must be of top‐notch quality; this is an opportunity to develop a paper that is of publishable quality. All papers should be written in a format and structure suitable for submission to the top management journals (Academy of Management Review, Academy of Management Journal, Administrative Science Quarterly, Journal of Management, Journal of Applied Psychology, Personnel Psychology, Strategic Management Journal etc.) and should

not exceed 30 pages. Presentations will be made by each student during the last session and will follow the format of the

academy of management meetings conference. The deadlines for the research paper are listed below.

I. Research Proposals: A 3‐5‐page research proposal is due by April 30. Aside from my feedback on these proposals,

each proposal will also be distributed to another student in the course for review and critique. To ensure that

everyone has time to consider and integrate this feedback into the papers, the feedback must be returned to me (via e‐mail) no later than May 8. I will provide you with my feedback and the feedback from the student reviewer in class on May 9.

II. First Drafts: A first draft of the research paper is due by May 28. As with the proposals, one student in the class will

review each paper (this will simulate an actual review that a manuscript would go through when submitted for

publication). Reviews are due to me June 17. I will provide you with my feedback and the feedback from the student

reviewer.

III. Final Drafts: Final due date is June 28. Each student must also submit a short written response to the

review/editor comments with their final draft. Course Schedule

Session/Date Topic Session 1‐2 April 9 9.00am‐12.00noon  Course Introduction  Employment systems, internal labor markets, strategic human capital Session 3‐4 April 16 2.00pm‐5.00pm  Theoretical models within the field of HRM (organizational economics, the resource based view of the firm and institutional theory) Session 5‐6 April 30 9.00am‐12.00noon  Understanding the use of HRM systems and their determinants Session 7‐8 May 6 9.00am‐12.00noon  Performance implications of HRM systems – Direct and Contingency effects Session 9‐10 May 16 9.00am‐12.00noon  Methodological Issues in HRM Research – approaches and measures Session 11‐12 May 29 9.00am‐12.00noon  HRM and sustainability  Draft Paper presentations  Course wrap‐up

Due date/ deadline Deliverable

Every session Article Critique (2‐pager) May 8 Research paper proposal (3‐5 pager) May 28 Research paper draft June 17 Classmate’s research paper review June 28 Final paper

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Reading List

Session 1-2: Employment systems, internal labor markets, strategic human capital

• * P. Doeringer and M. Piore (1971). Internal Labor Markets and Manpower Analysis, Heath: Lexington, Chapters 1 (Ch.

2 is optional).

• * Williamson, O. E., Wachter, M. L., & Harris, J. E. (1975). Understanding the Employment Relation: The Analysis of

Idiosyncratic Exchange. The Bell Journal of Economics, 250‐278.

• * Kalleberg, A. L. (2009). Precarious Work, Insecure Workers: Employment Relations in Transition. American

Sociological Review, 74(1), 1‐22.

• * Bidwell, M., & Keller, J. (2013). Within or without? How Firms Combine Internal and External Labor Markets to Fill

Jobs. Academy of Management Journal, amj‐2012.

Additional Readings:

• Malcomson, J. M. (1984). Work incentives, hierarchy, and internal labor markets. The Journal of Political Economy,

92(3), 486.

• Stark, D. (1986). Rethinking internal labor markets: New insights from a comparative perspective. American

Sociological Review, 492‐504.

• Wachter, M. L., & Wright, R. D. (1990). The economics of internal labor markets. Industrial Relations: A Journal of

Economy and Society, 29(2), 240‐262.

• Lepak, D. P., & Snell, S. A. (2002). Examining the human resource architecture: The relationships among human capital,

employment, and human resource configurations. Journal of Management, 28(4), 517‐543.

• Camuffo, A. (2002). The changing nature of internal labor markets. Journal of Management and Governance, 6(4), 281‐

294.

• Lazear, E. P., & Oyer, P. (2004). Internal and external labor markets: a personnel economics approach. Labour

Economics, 11(5), 527‐554.

• Osterman, P. (2010). Institutional labor economics, the new personnel economics, and internal labor markets: a

reconsideration. Indus. & Lab. Rel. Rev., 64, 637.

• Bonet, R., Cappelli, P., & Hamori, M. (2013). Labor market intermediaries and the new paradigm for human resources.

The Academy of Management Annals, 7(1), 341‐392.

• Cappelli, P., & Keller, J. R. (2013). Classifying work in the new economy. Academy of Management Review, 38(4), 575‐

596.

• Kaufman, B., (2013), “The Economic Organization of Employment: Systems in Human Resource Management and

Industrial Relations.” In Anna Grandori, ed., Handbook of Economic Organization, Elgar, 289‐311.

• Waldman, M. (2013), Theory and Evidence in Internal labor Markets, in Robert Gibbons & John Roberts, eds., The

Handbook of Organizational Economics, Princeton University Press, 520‐571.

Session 3-4: Theoretical Frameworks for HRM

• * Lepak, D. P., & Snell, S. A. (1999). The Human Resource Architecture: Toward a Theory of Human Capital Allocation

and Development. Academy of Management Review, 24(1), 31‐48.

• * Lazear, E. P., & Shaw, K. L. (2007). Personnel Economics: The Economist's View of Human Resources. Journal of

Economic Perspectives, 21(4), 91‐114.

• * Wright, P.M., & Snell, S.A. (1998). Toward a Unifying Framework for Exploring Fit and Flexibility in Strategic Human

Resource Management. Academy of Management Review, 23(4), 756‐772.

• * Wright, P.M., Dunford, B.B., & Snell, S.A. (2001). Human Resources and the Resource Based View of the Firm.

Journal of Management, 27: 701‐721.

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• Tichy, N.M., Fombrun, C.J., & Devanna, M.A. ( 1982). Strategic human resource management. Sloan Management

Review, 23(2): 47‐61.

• Dyer, L. (1984). Studying human resource strategy: An approach and an agenda. Industrial Relations, 23(3): 156‐

169.

• Lengnick‐Hall, C.A., & Lengnick‐Hall, M.L. (1988). Strategic human resource management: A review of the literature

and a proposed typology. Academy of Management Review, 13(3): 454‐470.

• Wright, P. M., & McMahan, G. C. (1992). Theoretical perspectives for strategic human resource management.

Journal of Management, 18(2), 295‐320.

• Camuffo, A., & Costa, G. (1993). Strategic human resource management‐Italian style. Sloan Management Review,

34, 59‐59.

• Lado, A.A. & Wilson, M.C. (1994). Human resource systems and sustained competitive advantage: A competency‐

based perspective. Academy of Management Review, 19 (4): 699‐727.

• Wright, P.M., McMahan, G.C., & McWilliams, A. (1994). Human resources and sustained competitive advantage: A

resource‐based perspective. International Journal of Human Resource Management, 5(2): 301‐326.

• Mueller, F. (1996). Human resources as strategic assets: An evolutionary resource‐based theory. Journal of

Management Studies, 33: 757‐785.

• Delery, J. E., & Doty, D. H. (1996). Modes of theorizing in strategic human resource management: Tests of

universalistic, contingency, and configurational performance predictions. Academy of Management Journal,

39(4), 802‐835.

• Coff, R. (1997). Human assets and management dilemmas: Coping with hazards on the road to resource‐based

theory. Academy of Management Review, 22(2): 374‐402.

• Pfeffer, J. (1998). The human equation: Building profits by putting people first. Boston, MA: Harvard Business

School Press. (Chapter 2).

• Lazear, E., Oyer, P. (2013), “Personnel Economics” in Anna Grandori, ed., Handbook of Economic Organization,

Elgar, 479‐519.

Session 5-6: Understanding the use of HRM systems and their determinants

 *Jackson, S.E., Schuler, R.S., & Rivero, J.C. (1989). Organizational Characteristics as Predictors of Personnel Practices.

Personnel Psychology, 42: 727‐786.

 *Kochan, T., McKersie, R., & Capelli, P. (1984). Strategic Choice and Industrial Relations Theory, Industrial

Relations, 23(1): 16‐39.

 *Pil, F.K., & MacDuffie, J.P. (1996). The Adoption of High‐Involvement Work Practices. Industrial Relations, 35(3):

423‐455.

 *Jiang, K., Lepak, D. P., Han, K., Hong, Y., Kim, A., & Winkler, A. L. (2012). Clarifying the construct of human

resource systems: Relating human resource management to employee performance, Human Resource

Management Review, 22(2), 73‐85.

 Cook, D.S., & Ferris, G.R., (1986). Strategic human resource management and firm effectiveness in industries

experiencing decline. Human Resource Management, 25(3): 441‐458.

 Baron, J.N., Devereaux‐Jennings, P., & Dobbin, F.R. (1988). Mission control? The development of personnel

systems in U.S. industry. American Sociological Review, 53: 497‐514.

 Napier, N.K. (1989). Mergers and acquisitions, human resource issues and outcomes: A review and suggested

typology. Journal of Management Studies, 26(3): 271‐190.

 Schuler, R.S. & Jackson, S.E. (1989). Determinants of human resource management priorities and implications for

industrial relations. Journal of Management, 15: 89‐99.

 Dean, J. Jr., & Snell, S.A., (1991). Integrated manufacturing and job design: Moderating effects of organizational

inertia. Academy of Management Journal, 34(4): 776‐804.

 Snell, S.A. (1992), Control theory in strategic human resource management: The mediating effect of administrative

information. Academy of Management Journal, 35(2): 292‐327.

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perspective. Academy of Management Journal, 35(3): 467‐504.

 Osterman, P. (1994). How common is workplace transformation and who adopts it? Industrial and Labor

Relations Review, 47: 173‐188.

 Baron, J.N., Burton, M.D., and Hannan, M.T. (1996). The road taken: The origins and evolution of employment

systems in emerging high–technology companies. Industrial and Corporate Change, 5: 239‐276.

 Godard, J. (1997). Whither strategic choice: Do managerial IR ideologies matter? Industrial Relations, 36: 206‐

228.

 Camuffo, A., Costa, G., (2014), The evolution of human resource management in Italy: a historical‐institutional

perspective, in Bruce Kaufman, ed., The Development of Human Resource Management Across Nations, Elgar.

Session 7-8: Performance Implications of HRM systems

• * Huselid, M.A. (1995). The Impact of Human Resource Management Practices on Turnover, Productivity,

and Corporate Financial Performance. Academy of Management Journal, 38 (3): 635‐672.

• * Ichniowski, C., Shaw, K., & Prennushi, G. (1997). The Effects of Human Resource Management Practices

on Productivity: A study of Steel Finishing Lines, The American Economic Review, June: 291‐314.

• * Cappelli, P., and Neumark, D. (2001). Do 'High‐Performance' Work Practices Improve Establishment‐

Level Outcomes? Industrial and Labor Relations Review, 54 (4): 737‐775.

• * Batt, R. ( 2002). Managing Customer Services: Human Resource Practices, Quit Rates, and Sales Growth. Academy

of Management Journal, 45 (3): 587‐597.

• * Posthuma, R. A., Campion, M. C., Masimova, M., & Campion, M. A. (2013). A High Performance Work Practices

Taxonomy Integrating the Literature and Directing Future Research. Journal of Management, 39(5), 1184‐1220. • * Jiang, K., Lepak, D. P., Hu, J., & Baer, J. C. (2012). How Does Human Resource Management Influence Organizational Outcomes? A Meta‐Analytic Investigation of Mediating Mechanisms. Academy of Management Journal, 55(6), 1264‐ 1294.

• Cutcher‐Gershenfeld, J.C. (1991). The impact on economic performance of a transformation in workplace relations.

Industrial and Labor Relations Review, 44: 241‐260.

• Lawler, E.E. (1992). The ultimate advantage: Creating the high‐involvement organization. San Francisco, CA: Jossey‐

Bass.

• Arthur, J.B. (1994). Effects of human resource systems on manufacturing performance and turnover. Academy of

ManagementJournal, 37: 670‐687.

• Pfeffer, J. (1995). Producing sustainable competitive advantage through the effective management of people. Academy

of Management Executive, 9(1): 55‐69.

• MacDuffie, J. P. (1995). Human resource bundles and manufacturing performance: Organizational logic and flexible

production systems in the world auto industry. Industrial and Labor Relations Review, 48: 197‐221.

• Ichniowski, C. Kochan, T.A., Levine, D., Olson, C. & Strauss, G. (1996). What works at work: Overview and

assessment. Industrial Relations, 35(3): 299‐333.

• Dyer, L., & Reeves. T. (1995). HR strategies and firm performance: What do we know and where do we need to go?

International Journal of Human Resource Management, 6: 656‐670.

• Cappelli, P., & Crocker‐Hefter, A. (1996). Distinctive human resources are firms’ core competencies. Organizational

Dynamics, 24(3): 7‐22.

• Koch, M.J. & McGrath, R.G. (1996). Improving labor productivity: Human resource management policies do matter.

Strategic Management Journal, 17: 335‐354.

• Youndt, M.A., Snell, S.A., Dean, J.W. Jr., & Lepak, D.P. (1996). Human resource management, manufacturing

strategy, and firm performance. Academy of Management Journal, 39(4): 836‐866.

• Pfeffer, J. (1998). The human equation: Building profits by putting people first. Harvard Business Press.

• O'Reilly, C. A., & Pfeffer, J. (2000). Hidden value: How great companies achieve extraordinary results with ordinary

people. Harvard Business Press.

• Hitt, M.A., Bierman, L., Shimizu, K., and Kochhar, R. ( 2001) "Direct and moderating effects of human capital on the

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Journal, 44: 13‐28.

• Whitener, E. (2001). Do 'high commitment' human resource practices affect employee commitment? A cross‐level

analysis using hierarchical linear modeling. Journal of Management, 27 (5): 515‐535.

• Datta DK, Guthrie JP, & Wright PM. (2005). Human resource management and labor productivity: Does industry

matter? Academy of Management Journal, 48: 135‐145.

• Kaufman, B. E. (2010). SHRM Theory in the Post‐Huselid Era: Why It Is Fundamentally Misspecified. Industrial

Relations: A Journal of Economy and Society, 49(2), 286‐313.

Session 9-10: Methodological Issues in SHRM Research

• * Rogers, E.W., & Wright, P.M. (1998). Measuring Organizational Performance in Strategic Human

Resource Management: Problems,Prospects, and Performance Information Markets, Human Resource

Management Review, 8(3): 311‐331.

• * Delery, J. (1998). Issues of Fit in Strategic Human Resource Management: Implications for Research,

Human Resource Management Review, 8(3), 289‐309.

• * Gerhart, B. Wright, P.M.,McMahan, G. and Snell, S.A. (2000). Measurement Error in Research on Human

Resources and Firm Performance: How Much Error is there and How Does it Influence Effect Size Estimates? ,

• * Wright, P. M., Gardner, T. M., Moynihan, L. M., & Allen, M. R. (2005). The Relationship Between HR Practices

and Firm Performance: Examining Causal Order, Personnel Psychology, 58(2), 409‐446.

• Cowles, M., & Davis, C. (1982). On the origins of the .05 level of statistical significance. American Psychologist, 37,

553‐558.

• Berk, R. (1983). An introduction to sample selection bias in sociological data. American Sociological Review, 48:

386‐399.

• Podsakoff, P. and Organ, D. (1986). Self‐Reports in Organizational Research: Problems and Prospects. Journal of

Management, 12: 531‐544

• Tsui, A.S. (1987). Defining the activities and effectiveness of the human resource department: A multiple

constituency approach. Human Resource Management, 26(1): 35‐69.

• Feldman, J.M., & Lynch, J.C. (1988). Self‐generated validity and other effects of measurement on belief, attitude,

intention, and behavior. Journal of Applied Psychology, 73, 421 – 435.

• Williams, L.J., & Podsakoff, P.M. (1989). Longitudinal field methods for studying reciprocal relationships in OB

research: Toward improved causal analysis. Research in Organizational Behavior, 11, 247‐293.

• Cohen, J. (1992). A power primer. Psychological Bulletin, 112, 155‐159.

• Campion, M.A. (1993). Article review checklist: A criterion checklist for reviewing research articles in applied

psychology. Personnel Psychology, 46, 705‐718.

• Schmitt, N. (1994). Method bias: The importance of theory and measurement. Journal of Organizational Behavior,

15, 393‐398.

• Hinkin, T.R. (1998). A brief tutorial on the development of measures for use in survey questionnaires.

Organizational Research Methods, 1, 104‐121.

• Huselid, M.A., & Becker, B.E. (2000). Comment on “measurement error in research on human resources and firm

performance: How much error is there and how does it influence effect size estimates? Personnel Psychology,

53: 835‐854.

• Wright, P.M., Gardner, T.M., Moynihan, L.M., Park, H.J., Gerhart, B., & Delery, J.E. (2001). Measurement error

in research on human resources and firm performance: Additional data and suggestions for future research.

• Podsakoff, P.M., MacKenzie, S.B., Lee, J.Y, and Podsakoff, N.P. (2003). Common Method Biases in Behavioral

Research: A Critical Review of the Literature and Recommended Remedies. Journal of Applied Psychology, 88, 5,

879‐903.

• Greenberg, J., & Tomlinson, E.C. (2004). Situated experiments in organizations: Transplanting the lab to the field.

Journal of Management, 30(5), 703‐724.

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Session 11-12: HR & sustainability

• * Pfeffer, J. (2010). Building Sustainable Organizations: The Human Factor, The Academy of Management

Perspectives, 24(1), 34‐45.

 * Locke, R. M., Qin, F., & Brause, A. (2007). Does Monitoring Improve Labor Standards? Lessons from Nike.,

Industrial and Labor Relations Review, 3‐31.

 Locke, R. M. (2013). The promise and limits of private power: Promoting labor standards in a global economy.

Cambridge University Press.

 Kramar, R. (2013). Beyond strategic human resource management: is sustainable human resource management

the next approach?. The International Journal of Human Resource Management, (ahead‐of‐print), 1‐21.

 Ehnert, I., Harry, W., & Zink, K. J. (2013). Sustainability and Human Resource Management: Developing

Sustainable Business Organizations. Springer Science & Business.

 Cappelli, P., & Novelli, B. (2013). Managing the older worker: How to prepare for the new organizational order.

Harvard Business Press.

Additional Books of interest

 Ashkenas, R., Ulrich, D., Jick, T., & Kerr, S. (1995). The boundaryless organization: Breaking the chains of

organizational structure. San Francisco, CA: Jossey‐Bass.

 Becker, B., Huselid, M.A., & Ulrich, D. (2001). HR Scorecard. Harvard Business School Press

 Cascio, W.F., (1991). Applied psychology in personnel management (4th edition). Englewood Cliffs, NJ: Prentice

Hall.

 Kochan, T. & Osterman, P. (1994). The mutual gains enterprise. Boston, MA: Harvard Business School Press.

 Leonard‐Barton, D. 1995. Wellsprings of knowledge: Building and sustaining the sources of innovation.

Boston, MA: Harvard Business School Press.

 Pfeffer, J. (1994). Competitive advantage through people: Unleashing the power of the work force. Boston, MA:

Harvard Business School Press.

 Pfeffer, J. (1998). The human equation: Building profits by putting people first. Boston, MA: Harvard Business

School Press.

 Rousseau, D.M. (1995). Psychological contracts in organizations: Understanding written and unwritten

agreements. Thousand Oaks, CA: SAGE Publications

 Ulrich, D. & Lake, D. ( 1991). Organizational capability: Competing from the inside out. New York, NY: John Wiley &

Sons.

 Ulrich, D. (1997). Human Resource Champions. Boston, MA: Harvard Business School Press.

 Cappelli, P. (2008). Talent on demand. Harvard Business School Publishing, Boston, MA.  Becker, B. E., Huselid, M. A., & Beatty, R. W. (2013). The differentiated workforce: Translating talent into strategic impact. Harvard Business Press.  Becker, B. E., Ulrich, D., Huselid, M. A., & Huselid, M. (2001). The HR scorecard. Harvard Business Press.  Boudreau, J. W., & Ramstad, P. M. (2013). Beyond HR: The new science of human capital. Harvard Business Press.  Osterman, P., Kochan, T. A., Locke, R. M., & Piore, M. J. (2002). Working in America: A blueprint for the new labor market. MIT Press Books.  Schuler, R. S., & Jackson, S. E. (2008). Strategic human resource management. John Wiley & Sons.