Research Proposal

Relationship between CPD and HRM System for Sustainable Organizational Development - A Comparative Study among the Small & Medium Scale Marketing Organizations of Developing & Developed Countries

Submitted by: Farwah Hussain as part of the Ph.D Application in Human Resource Management Edinburgh Napier University

TABLE OF CONTENTS

Abbreviations........................................................................................................................... 3 Introduction..............................................................................................................................4
HRM Functions and Organizations Development Global Aspect....................................................4 HRM Functions and Organizations in Developing Countries...............................................................5

Research Question....................................................................................................................5
Questions.....................................................................................................................................6

Significance of the Study..........................................................................................................6 Literature Review.....................................................................................................................8

Trends in the developed Countries.................................................................................................8 Trends in the Developing Countries.................................................................................................9

Methodology............................................................................................................................10
Sample Size................................................................................................................................11 Data Collection Tools..................................................................................................................11 Data Analysis.............................................................................................................................12 Ethical Statements.......................................................................................................................12

Timetable for Research Operations......................................................................................13 Bibliography...........................................................................................................................16

Abbreviations

CPD HRM SPSS ANOVA

Continuous Professional Development Human Resource Management Statistical Package for the Social Sciences Analysis of Variance

1- Introduction

1.1 HRM Functions and Organizations Development Global Aspect

With the advent of rapidly changing economic environment characterized by such phenomena as the globalization and changed social demands, the role of work and workforce for the development of organizations has enormously evolved. In the current highly competitive environment it is mandatory for employees to Perform in the favor of the organization for sustainable development. Performance in the context of organizational development is a broad concept used synonymously with efficiency, productivity, competence and competitiveness. Karl Marx established a strong link between organizations human resource management system and employees performance (Harrison; 1997). Human resource management (HRM) has undergone a rapid evolution since then from the initial understanding of the system involving administrative aspects of hiring, firing, and payroll, it has now evolved into organizational aspects covering Union relations/avoidance, employee satisfaction, and legal compliance as dominant areas of the domain (Fletcher, L. & Williams; 1996). Employees CPD and its impact on organizational performance is the most recently developed trend which commands the value of HR function, (Hoque; 1999).

According to various HR strategy theorists the combined aims of the HR strategy process are typically connected to devising ways of managing people to achieve organizational objectives (Guest; 1997). In addition, HR strategy-formation process attempts to enhance organisational performance within the respective vision of the organization (Tyson; 1997). Taking steps to enhance the inherent capacities of the employees for extended contributions, potential and employability by providing learning and continuous development opportunities has become a

vital function of the HRM. (Guest; 1997). Prior study has established the fact that total quality management and organizational stability can be achieved by converting individual efforts into team efforts through offering a strategic professional development ladder to the HR associated to the organization (Tyson; 1997).

1.2 HRM Functions and Organizations Development in Developing Countries

The key dilemma confronting functions of HR in the small and medium scale organizations operating in the developing countries like Pakistan; is neglected CPD for sustainable organizational development. A general understanding relates HRM to hiring, firing and appraisal related exercises (Noorjehan 2007; Chandra 2005) None of the published research conducted in the setting of a developed country explores the favourable trends influencing organizational development due to CPD of the employees and utilize it for sustainable organizational development within the developing countries.

2- Research Question Professional development of the employees is a comparatively a new addition to the umbrella term of Human Resource Management (HRM). It plays a vital role in firm performance, particularly focusing on the alignment of human resources as a means of gaining competitive advantage. Small and medium scale Organizations in developed countries have becoming aware of devising successful HR policies and practices to elevate their performance in areas connected to productivity, quality and financial performance however; unfortunately, in developing countries the prime focus of HR still lies on functions

associated to hiring, transferring and firing the employees (McLean; 2001). This results in non-contribution of small and medium scale organizations to add to the countries economies.

2.1 Questions

The study intends to answer the following questions; 1- How effective is the HRM system of small and medium scale private organizations operating in developed countries in terms of; a) Training and development of the employees b) Performance management of the workforce 2- What are the factors that may influence the operations of professional development function of HRM system of small and medium scale private organizations in developing countries? 3- How can successful HRM System of small and medium scale private organizations in developed countries help establishing a productive HRM system in relation to employee training function in developing countries?

The research question will be further redefined to achieve a delineated focus of the study.

3- Significance of the Study In the world of rapid developments, sustainable organizations are a key element for the development of any nation. Many economists consider the organizations and institutions as determining factor for economic, social and political progress of any country (Stebbins; 2001). This identifies a vital need to examine and develop HRM systems of organizations in

developing Asian countries by adopting tried and tested measures already in practice in developed countries (Walton; 2002). Prior study has established the fact that organizations can be perceived as a system composed of interrelated subsystems. Prior study commenced in the West proves that the effect of structure, leadership, employee competence and other factors on HRM of any organization should be considered independently of others and methods to achieve excellence should be derived to gain sustainable organizational development (Tyson etal. 1997). The need to analyse each of these factors in isolation has been the subject of numerous investigations commenced in the past. To study the interdependence of these factors and their impact on HRM systems of an organization is vital in order to devise a strategy resulting into sustainable organizational development.

This research aims to study the relationship between various variables affecting the HRM system of organizations striving towards sustainable development by managing people and developing individuals for their benefit.

4- Literature Review On the whole, the literature supports the notion that Professional Development Systems develops an effective HRM of an organization to maximize the business (Bates 2002; Stebbins 2001; Walton 2002; Woods 1999; Tyson etal. 1997). Research establishes that HRM primarily is the process of HR development for the success of any organization (Byrd & Demps; 2006). In developed countries, prior research has proven that it begins by imparting training for effective performance of a specific task and development of individuals performance (McLean; 2001). Research conducted in the past also establishes the fact that having undergone a specific training programme, an individual gains much expertise and may be assessed in respect of an acquisition of desired skills to perform the identified task (Wang & McLean; 2007).

4.1 Trends in the developed Countries:

Research conducted in the West establishes the fact that different professional development attempts should be coherent and complement other HRM systems to achieve organizational development (Walton. J. S; 2002). Secondly, there should be a fit between the coherent sets of human resource practices and other systems within the organisation (Johnson & Onwuegbuzie, 2004). Thirdly, the human resource systems should be in line with the business or competitive strategy of the organisation (Wang & McLean; 2007). And fourthly, the human resource system adopted by the organisation should be compatible with its operating environment (Wood, 1999a). Significant amount of research conducted in the developed countries talk about the influencing factors that have an impact on CPD exercises, their result and the overall HRM system. 8

Lynham and Cunningham (2004) suggest that the correlation among different factors influencing the HRM system and organizations performance in the global world should be tested repeatedly in altered environments to derive a solution system for ultimate success.

4.2 Trends in the Developing Countries:

A significant amount of study conducted so far features the affect of globalisation on the employment relations system of Asian countries (Rothwell: 1984) but a strong emphasis is laid on weak links of HRM in relation to the employees development.

The field of HRM is still evolving in the Asian region. An analysis of the existing literature on HRM in south-east Asia shows that research has been conducted on the topics which evidently highlight the contrasting facts compared to the West (Guest & Hoque; 1994). Although small and medium scale firms have operated in developing and transitional economy countries for years (Bates 2002 & Stebbins 2001), relatively little scholarly work has examined settings related to CPD of the employees and its impact on organizational progress (Woods; 1999a).

The above study reflects the negligence of the influencing factors affecting HRM systems and organizational development. These may vary in variable conditions, the missing tab in the study calls for the need of commencing a study to determine the relationship and to derive the solution for the issue in context of small and medium scale organizations. (Johnson & Onwuegbuzie; 2004)

5- Methodology The nature of this research is a comparative analysis; therefore, the investigator would explore the relationship between CPD of employees and other functions of HRM in private organizations ranging from small scale to medium scale operating in UK and Pakistan. The results obtained will be compared to extract final understanding of the research area.

Due to the nature of the research the researcher will use mixed method approach of investigation. It is a research paradigm that utilizes and assigns an equivalent status to both qualitative and quantitative methods (Wright, Patrick M., Dunford, Benjamin B., Snell, Scott A; 2007).

According to the fundamental principle of mixed research (Johnson & Turner, 2003), researchers should collect multiple data using different strategies, approaches, and methods in a way that the resulting combination is likely to result in complementary strengths and nonoverlapping weaknesses (Benjamin B 2007 & Guest 1994). If the results of both the qualitative and quantitative approaches corroborate, then greater confidence can be held in the final conclusion. Similarly if the findings conflict, then the researcher has greater knowledge and can modify interpretations and conclusions accordingly (Johnson & Onwuegbuzie, 2004). Research supports that the purpose of mixing is not to search for corroboration but rather to expand ones understanding (Onwuegbuzie & Leech, 2004).

Therefore, mixed method approach will be used to establish the validity of the findings.

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5.1 Sample Size To minimize the scope of the research activities, HRM functions in relation to employee CPD in small and medium scale private marketing organizations of UK and Pakistan will be studied. Prior research outlines the fact that sample size is one of the four inter-related features of a study design that can influence the detection of significant differences, relationships or interactions (Peers, 1996) and a common challenge for every researcher is to collect data representative of a population. This research like many other educational and social research studies along with quantitative measures will also use qualitative data collection methods such as surveys and other voluntary participation methods. The researcher will aim to minimize the sampling error for accurate quantitative results when determining an adequate sample from small and medium scale private marketing organizations functioning in the UK & Pakistan will be selected by applying Cochrans (1977) sample size formula.

Precise details of the organizations and individuals involved in the research will be presented upon beginning of the research.

5.2 Data Collection Tools

Hubbard & Powers (2003) suggest that different sources of data are necessary to triangulate the results of a study. Hence, both qualitative and quantitative approaches would be used to gather data. The research will involve the triangulation of structured questionnaires, semi11

structured open-ended interviews, and evaluation of organizational performance on a defined criteria and ratio & quality of CPD opportunities provided to the employees; as the major methods of data collection for correspondence of results. Initially, quantitative research tools would be used to collect data. For this purpose, qualitative and quantitative tools will be used simultaneously to get a thorough understanding of the factors that influence employees CPD and its impact on organizational development.

5.3 Data Analysis For descriptive analysis of the results of the questionnaire, highly sophisticated software (preferably SPSS 17) to analyse the statistics would be used. The descriptive analysis will consist of mean, standard deviation, variance and range. A one sample t-test and one way ANOVA would be used to determine the relationship between organizational development and various influencing factors associated to the CPD of employees. The mean scores would be compared to the global level mean scores. Similarly, the thematic analysis of the outcomes of qualitative research would provide an indepth understanding of various determining factors influencing the relationship between successful employee training and sustainable organizational development.

5.4 Ethical Statements

Formal permission from all the stakeholders would be sought by the researcher prior to the intervention on condition of confidentiality. The research participants would participate voluntarily and would be fully informed about the methods, purpose and intended possible uses of the research. In accordance with the Economic & Social Research Council (2005), the

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responsibility for conducting the research in line with the relevant principles would rest with the researcher.

6- Timetable for Research Operations

The intent of researcher is to generate a strong understanding and solid foundation of knowledge for the research objectives and variables affecting the prime area of study. The table below represents the proposed timeline for various steps comprising the research.

Task Consult supervisor

Purpose

People Involved Researcher Research Supervisor

Time Frame

To establish the baseline of the set up plan of work research and make schedule. On going

To develop a sound Reading more on the subject understanding of the research area. Formulating hypothesis To commence the research Devise research tools activities Supervisor To develop a sound Attend departmental understanding of the research seminars area Research time At least 40% of the Researcher research time

Researcher 10 % of the research

Researcher On going

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Formulate the results derived from various research tools

To establish a practical understanding of the research area Researcher On going

To present the researched results Writing the research to consolidate the understanding thesis of the research area

Researcher Last quarter of the Research research time. Supervisor

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Bibliography Byrd, M., & Demps, E. (2006). Taking a look at national human resource development (NHRD): Interviews with Gary McLean and Susan Lynham. Human Resource Development International, 9(4), 553-561

Chandra, R (2005): Education and Challenges of Globalization. Kalpaz publication, Delhi.

Cochran, W. G. (1977). Sampling techniques (3rd ed.) New York: John Wiley & Sons

Debrah, Y. A., McGovern, I. and Budhwar, P. (2000) Complementarity or Competition: The Development of Human Resources in a Growth Triangle. The International Journal of Human Resource Management, 11 (2), 314-335

Fink, A. (1995). The survey handbook. Thousand Oaks, CA: Sage Publications

Fletcher, L. and Williams, R. (1996). Performance management, job satisfaction and organizational commitment, British Journal of Management, vol. 7: 169-179.

Guest, D. and Hoque, K. (1994). The good, the bad and the ugly: employee relations in new non-union workplaces, Human Resource Management Journal, 5 (1): 1-14.

Harrison, B. (1997). Discussion. British Journal of Industrial Relations, 35 (3): 363- 366.

Hoque, K. (1999). Human resource management and performance in the UK hotel industry, British Journal of Industrial Relations, 37 (3): 419-443.

Hubbard, R. S., & Power, B. M. (2003). The Art of Classroom Inquiry: A Handbook for Teacher-Researchers (Revised Ed.). Portsmouth, NH: Heinemann.

Lynham, S. A., & Cunningham, P. W. (2006). National human resource development in transitioning societies in the developing world: Concept and challenges. Advances in Developing Human resources 8(1), 116-135.

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McLean, G. N., & McLean, L. D. (2001). If we cant define HRD in one country, how can we define it in an international context? Human Resource Development International, 4(3), 313326.

Noorjehan, N.G. and Nayak, S.V. (2007). Human Resource Development and Teacher Education. Discovery Publishing House, New Delhi

Peers, I. (1996). Statistical analysis for education and psychology researchers. Bristol, PA: Falmer Press.

Rothwell, S. (1984). Company employment policies and new technology in manufacturing and service sector Microprocessors Manpower and Society, Aldershot: Gower.

Salkind, N. J. (1997). Exploring research (3rd ed.). Upper Saddle River, NJ: Prentice Hall.

Stebbins, R.A. (2001). Exploratory research in the social sciences. Thousand Oaks, CA: Sage Publications.

Tyson, S. (1997). Human resource strategy: a process for managing the contribution of HRM to organizational performance, The International Journal of Human Resource Management, 8 (3): 277-290.

Walton. J. S. (2002). How shall a thing be called? Human resource development and its core. in T. M. Egan & S. A. Lynham (Eds.). Proceedings of the 2002 Academy of Human Resource Development Annual Conference (pp. 1-8)

Wood, S. (1999b). Human Resource Management and Performance, International Journal of Management Review. Wright, Patrick M., Dunford, Benjamin B., Snell, Scott A., (2007). Human Resources and Resource-Based View of The Firm, in: Randall S. Schuler, Susan E. Jackson, Strategic Human Resource Management, 2nd Edition, Blackwell, USA, p.76

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