Contemporary Issues And Challenges - Politechnika Gdańska
Contemporary Issuesand Challengesin Human Resource ManagementScientific EditorKatarzyna StankiewiczGdańsk 20151
Reviewers:prof. dr hab. Teresa Łuczka, Poznan University of Technologydr hab. Katarzyna Włodarczyk, University of SzczecinScientific Editor:Katarzyna StankiewiczAuthors:Ovidiu Niculae BordeanAnca BorzaAgnieszka BrzozowskaAlexandru BugleaSuzana DemyenKarol FlisikowskiRafael GonzálezBeata JamkaWojciech JareckiAngela-Olimpia Lobonea OlteanJulita MajczykSandra Misiak-KwitJoanna M. MoczydłowskaAnca-Ioana MunteanuClaudia Tatiana MunteanDagmara NikulinAnna Pietruszka-OrtylZenovia Cristiana PopVirgil RotaruChristopher StehrDiana-Maria TînjalăWeronika Toszewska-CzerniejISBN 978-83-62197-45-3Gdańsk University of TechnologyFaculty of Management and EconomicsGdańsk 20152
Contemporary Issues and Challenges in Human Resource ManagementTABLE OF CONTENTSPREFACE . 7Chapter 1WORKFORCE MOBILITY AGAINST THE BACKGROUND OF LABOURMARKET DUALITY THEORY – THE EXAMPLE OF SELECTED OECDCOUNTRIES . 91.1. Introduction. 91.2. Theoretical background . 101.3. Data and metodology . 131.4. Results. 151.5. Conclusions. 16Chapter 2KEY SUSTAINABILITY METRICS FOR LABOUR PRACTICES – ACOMPARATIVE EVOLUTION OF FREEDOM OF ASSOCIATIONAND OF NON-DISCRIMINATION IN EMERGING/FRONTIER ANDDEVELOPED MARKETS . 182.1. Introduction. 182.2. Literature review . 192.3. Research methodology . 222.4. Findings and discussion . 252.5. Conclusions. 28Chapter 3 . 32NATIONAL AND ORGANIZATIONAL CULTURE INFLUENCEON THE IMPLEMENTATION OF STRATEGIC HUMAN RESOURCESMANAGEMENT IN ORGANIZATIONS . 323.1. Introduction. 323.2. The concept of strategic human resources management (shrm) . 333.3. National culture and its influence on the implementation of shrm inorganizations . 353.4. Organizational culture promotes the implementation of SHRM inorganizations . 373.5. Conclusions. 39Chapter 4 . 41BRIDGINIG THE GAPS IN TRANSNATIONAL TECHNOLOGYTRANSFER UNDER HR DEVELOPMENT RELATED PROJECTS . 414.1. Introduction. 414.2. Literature review . 434.3. Standard assessment of strategic projects . 463
Contemporary Issues and Challenges in Human Resource Management4.4. A more complete strategic projects assessment . 504.5. Limitations of the research . 534.6. Conclusions. 53Chapter 5 . 54EFFECTS OF THE EDUCATIONAL LEVEL OF EMPLOYEES UPONHUMAN RESOURCE MANAGEMENT IN ROMANIAN SMALLAND MEDIUM SIZED ENTERPRISES . 545.1. Introduction. 545.2. Theoretical background . 545.3. Human capital and the level of studies – a national level overview . 565.4. Correlation between the percentage of people with higher educationand the performance of an enterprise . 605.5. Conclusions. 65Chapter 6 . 67THE POTENTIAL OF THE LEADER TO PERFORM . 676.1. Introduction. 676.2. Assessing the leader’s potential . 686.3. Methods of assessment and analysis of the leader’s performance . 696.4. The proposed method of assessing the leader's potential . 706.5. The theoretical and methodological framework of the research . 716.6. Conclusions. 77Chapter 7 . 78EMPOWERMENT – A NEW LOOK AT ACTIVAITING HUMANPOTENTIAL IN AN ORGANIZATION. MEASURES OF EMPOWERMENT . 787.1. Introducion . 787.2. Human potential as a source of organization’s success . 797.3. Empowerment – the essence and goals . 817.4. Measures of empowerment . 827.5. Conclusions. 86Chapter 8 . 87SHARED LEADERSHIP AMONG VIETNAMESE ENTREPRENEUERSIN POLAND . 878.1. Introduction. 878.2. ”In the group strength lies” . 888.3. Conclusions. 95Chapter 9 . 96ATTITUDES AND VALUES OF PROFESSIONALS . 969.1. Introduction. 969.2. The role of professionals in the functioning of organisations based onknowledge . 974
Contemporary Issues and Challenges in Human Resource Management9.3. Knowledge workers in the perspective of generation change . 1009.4. Specific needs of professionals . 1029.5. Research method and discussion of the results of conducted research . 1059.6. Conclusions. 111Chapter 10 . 113NECESSITY AND POSSIBLE WAYS OF USING QUALIFICATIONSHELD BY PEOPLE AGED 50 . 11310.1. Introduction. 11310.2. Research problem – consequences for enterprises following fromchanges in demographic structure of lithuanian, latvian, estonianand polish population . 11410.3. Demographic changes observed in Lithuania, Latvia, Estoniaand Poland . 11610.4. Qualifications held by employees aged 50 as a potential resourceused in enterprise . 11810.5. Discussion . 12010.6. Conclusions. 121Chapter 11 . 122AGE MANAGEMENT IN THE LIGHT OF NEUROSCIENCESDEVELOPMENT . 12211.1. Introduction. 12211.2. Generational profiles in the labor market . 12311.3. Research on human brain/mind . 12511.4. Pro-generational human resources management in the light ofneuroscience achievements . 12811.5. Conclusions. 132Chapter 12 . 133ANALYSING THE CORPORATE MINDSET ON WOMEN BOARDMEMBERSHIP. 13312.1. Introduction. 13312.2. Literature review on corporate governance and women participationon bords . 13312.3. Methodology . 13512.4. Conclusions. 140Chapter 13 . 142ENTREPRENEURIAL ATTITUDES OF SELF-EMPLOYED WOMEN INPOLAND . 14213.1. Introduction. 14213.2. Entrepreneurial attitude in theory . 14313.3. Entrepreneurial attitude in practice . 14713.4. Conclusions. 1505
Contemporary Issues and Challenges in Human Resource ManagementChapter 14 . 151THE ANALYSIS OF HUMAN CAPITAL CHOSEN COMPONENTSOF THE SERVICE SECTOR EMPLOYEES . 15114.1. Introduction. 15114.2. Measurement of the human capital components . 15214.3. Analysis of components of the human capital . 15814.4. Conclusions. 163Chapter 15 . 165PARTICIPATING IN INTERNATIONAL STUDY TOURS LEADS TOENTREPRENEURIAL SUCCESS ABROAD – A RESEARCH ON THEPOSITIVE EFFECTS OF INTERNATIONAL EXCHANGE TOURS . 16515.1. Introduction. 16515.2. Literature review . 16615.3. Research methods . 16815.4. Findings . 16915.5. Discussion . 17215.6. Conclusion . 174Chapter 16 . 176LEADER MODELS APPLICABLE IN THE EDUCATIONAL SYSTEM . 17616.1. Introduction. 17616.2. Model based on traits (MBT). 17716.3. The profile of the leader in the educational system . 17916.4. Behaviorist model (BM) . 17916.5. The capabilities of the leader in the educational system . 18216.6. Interpretation. 18616.7. Conclusions. 187REFERENCES . 188TABLES . 211FIGURES . 213AUTHORS. 2156
Contemporary Issues and Challenges in Human Resource ManagementPREFACEContemporary business environment brings new challenges affecting manyaspects of management including one of its crucial facets – Human Resource Management. Most frequently mentioned challenges of modern HRM are: globalization, economic and legal environment, workforce diversity resulting from bothglobalization and demographic change, technological development, changes ineducational background of employees and in their expectations regarding workingconditions. These factors directly and indirectly determine human resource management strategies and the possibility of their implementation.This book presents the latest research on several of these issues. The order ofthe chapters allows to introduce environmental factors first as they shape the HRpolicies in organizations. They are followed by chapters covering issues directlyrelated to human resources management.The Chapter 1 focuses on workforce mobility and tries to answer the question if there are barriers in labour mobility between two segments of labour marketin OECD countries. The second chapter concerns the assessment of changes interms of freedom of association and non-discrimination on frontier and developedmarkets. The next two chapters, Chapter 3 and Chapter 4, take into account national and organizational culture and its influence on the strategic human resourcesmanagement and knowledge management. Chapter 5 examines the correlationbetween the percentage of people with higher education in Romania and the performance of enterprises in that country.The next chapters describe issues that are directly associated with HRM.Chapters 6 to 8 deal with the issue of leadership, including sharing leadership andempowerment. Chapter 9 presents attitudes and values of professionals includingthe perspective of generation change. They are followed by Chapter 10 and Chapter 11 which focus on age diversity in organization. The next two chapters discussgender diversity including women's entrepreneurial attitudes. This section endswith a case study concerning the analysis of human capital components of theemployees of the public utility company providing postal services “Poczta PolskaS.A.”The last two chapters of the book focus on education of future entrepreneursand leaders and their preparation to fulfil professional roles.7
Contemporary Issues and Challenges in Human Resource ManagementThis book does not exhaust the vast subject of challenges in contemporaryHuman Resource Management. It should be perceived as an important contributionthat covers diverse aspects of this fascinating subject. It is also an invitation tofurther research and discussion.I would like to thank the Authors for their contribution and express my hopefor further scientific cooperation.Katarzyna Stankiewicz8
Contemporary Issues and Challenges in Human Resource ManagementChapter 1WORKFORCE MOBILITY AGAINST THEBACKGROUND OF LABOUR MARKET DUALITYTHEORY – THE EXAMPLE OF SELECTED OECDCOUNTRIES1.1. IntroductionIt was argued that the neoclassical theory could not explain the existing divisions in the labour market especially concerning the wage level and work conditions. The theoretical foundations of labour market segmentation (LMS) raisedfrom the criticism of neoclassical approach and were widely recalled during thepast several decades (Sousa-Poza, 2001). Identification of segments in the labourmarket, despite their obvious prevalence, is a difficult issue (Boston, 1990). Bostonargues that examination of the labour market segmentation theory using only onedimensions of the market (such as occupations, industries, firms, or job characteristics) results in a partial explanation of this concept. Researchers trying to identifythe segments in the labour market frequently face two difficulties. Firstly, there isno relevant data, allowing multivariate analysis (usually only one factor is takeninto account, e.g. earnings). Secondly, because of the lack of available data otherlabour market covariates (such as industry or occupation) are frequently used(Hodson & Kaufman, 1982).In this chapter we focus on labour market duality, what results in dividingwhole labour market into two cohorts. We use sector data from the years 19942008 to examine the extend to what the labour market divisions exist in severalOECD countries. Our main aim is to find out if there are barriers in labour mobilitybetween segments. Firstly, we share given sectors into two segments regarding thewage criterion. Then, we use transition matrix estimation with the use of markovian process analysis for aggregated data to gauge the labour mobility within thesecondary sectors (sectors which belong to the secondary segment on the labour9
Karol Flisikowski, Dagmara Nikulinmarket) and the labour mobility from secondary segment to the primary segment(from sectors classified in the secondary segment to the sectors classified in theprimary segment). Finally, we compare the labour mobility within the secondarysegment and outside the segment for each country under consideration.The structure of this chapter is as follows: in the second section the theoretical background of labour market duality is provided, with particular emphasis onthe principles of dual labour market theory and labour mobility between discretesegments. Then, in the empirical part, we divide labour market into two segmentsregarding the average wage level and compare labour mobility within and outsidethe secondary segment. Finally, we compile conclusion from our analysis and pointout the direction of future research.1.2. Theoretical background1.2.1. The principles of dual labour market theoryThe concept of labour market segmentation is based on the assumption of itsinternal diversity. Labour market segmentation theory is bounded mostly with thedistinguishing of the separate segments (Taubman & Wachter, 1986). Indeed, thedual labour market theory assumes the fragmentation into two segments, in whichworkers and employers operate under completely different rules. This conception,provided first by Doeringer and Piore (1971) implies the existence of two separated1segments: the primary and secondary labour market . Primary labour market ischaracterized by stability of employment, high level of wages, possibility of careeradvancement, whereas in the secondary labour market as well the work as both thewage conditions are worse. Primary segment is formed by jobs in large, profitableenterprises, with active trade unions. Employees are protected against abuse by theemployers, working conditions are stabilized, as well as promotion and advancement possibilities are guaranteed. Jobs offered are generally better paid and definitely preferred by employees. Moreover, employees strongly identify with theirprofession and enterprises, primarily due to high wages and the effort incurred togain these qualifications (Doeringer & Piore, 1971).1In the literature there are also another divisions of the labour market. Piore (1972), as the first,divided primary labour market into upper and lower tier. The upper tier of the primary segmentincludes professional and managerial jobs. Jobs in the primary upper tier are characterized by higherpay, status and promotion opportunity. Moreover, there is less formal administrative procedures thanin the lower tier and more place for individual creativity. See also Piore (1973), Osterman (1975).Reich et al. (1973) differentiated the primary labour market into independent and subordinate segment.10
Workforce mobility against the background of labour market duality theory The criteria for distinguishing the separate segments in the labour market arevery different. Researchers2 mostly divide labour market into segments using following factors: industry, occupation, combination of industries and occupations,race and sex, occupational skills, characteristics of job or different returns to investments in human capital. The divisions in the labour market raise certain consequences for the economy. It can be noted that the causes and effects of the divisions in the labour market switch roles. A work in the secondary labour marketmeans low wages and lack of job stability. This results in both a lack of motivationto improve their skills, higher self-esteem and involvement in the life of the company. However, lack of education, qualifications and strong motivation unablemoving to the primary segment. Cause becomes effect, effect becomes cause, sowe have to deal with the phenomenon of feedback (Musiał-Pocztowska, 2003).Moreover, the segmentation of the labour market is more enduring, the more limited the access to the primary labour market. However, the good condition of theeconomy which is characterized by a relative high and relatively stable level ofdemand causes the expansion of the primary segment. The deterioration of theeconomic situation widens the secondary segment (Kryńska, 1998).Recent research on labour market shows the empirical evidence for the existence of dual or segmented labour market (Sousa-Poza, 2004; Pratap & Quintin,2006; Altmann, Falk, Grunewald & Huffman, 2013; Garibaldi & Taddei, 2013),(Alt & Iversen, 2014). Undoubtedly, labor market segmentation is still a worthexploring issue and requires further research.1.2.2. Labour mobility in the dual labour marketFollowing to Doeringer and Piore conception (Doeringer & Piore, 1971) labour market can be also divided into internal and external market. In internal labourmarket, pricing and allocation of labour follow administrative rules. In contrast, inthe external labour market takes place the economic theory of pricing and allocating.It is worth mentioning that in the internal labour market the barriers of entry occurs.This relation tends to occur mostly in enterprises market, less in craft market, wherethe competition outside the internal market seems to be much dominant3. Taubmanand Wachter (Taubman & Wachter, 1986) argue, that most of firms from internallabour market belongs to the high wage firms, in consequence frequently the notionof internal labour market and primary sector firms are synonyms.2The list of empirical studies in spite of identifying discrete labour market segments provides Hudson(2007).3In many work situations in the craft market recruitment does not concentrate only on internal promotion, so that the competitive force outside the internal market gaining the importance (Doeringer &Piore, 1971).11
Karol Flisikowski, Dagmara NikulinOne of the most important characteristics of the dual labour market is the existence of entry barriers into the primary labour market. Employees with a betterwork are not interested in moving to the sector offering worse conditions. Consequently, it generates employment stability in the primary sector. The free access tojobs in the primary market is limited mainly due to insufficient qualifications of theemployees from secondary market (Doeringer & Piore, 1971). Moreover, the empirical studies suggest that workers who start their work in the secondary labourmarket are willing to stay there over the life course (Piore, 1970).Piore (1972) argues that socio-economic movements are not random andthere is a key which they follow. People obtain their jobs in regular way or sequence called mobility chain. The mobility chain includes not only previous jobscharacteristics but also several socio-economic points, such as: schools they graduated, neighbourhoods and type of family backgrounds. Piore bases on reflectionsrelated to blue collar workers, where each job is a next step of another with nochance to getting job directly, convinces that the same situation is to observe inmanagerial jobs in large enterprises. The author claims that movement occurs inmore or less regular channels. The most important finding is that the mobilitychains are formed differently in the primary segment (upper and lower tier) and inthe secondary segment. In the first one (both in upper and lower tier) mobility chainconstitutes some kind of career ladder, which leads to higher paying and higher statusjobs. Whereas, in the secondary sector getting job is more random.In the literature, there is some research on mobility between the primary andsecondary segments. Some analysis founded that the moving between segments ispossible, whereas the probability of getting job from primary sector (advancementprobability) is different for separate groups of workers (Hudson, 2007). Whiteworkers are more likely to move from secondary segment into primary one, incomparison to black workers (Rosenberg, 1980). Moreover, older workers are lesslikely to change the segment. Boston (1990) examined the inter-sector mobility ofworkers from four gender / race groups. He obtained that in case of 46,7% of whitewomen, 39,1% of white men, 26,3 % of black men, and 18,3% of black women themovement from secondary sector occupations to primary sector occupations ispossible. Rosenberg (1980) examined the occupational mobility and found thedifferences in upward occupational mobility as well in low as both in high paidareas.It is worth nothing that most of research on labour market segmentation isrelated to the US economy, where the divisions are more obvious despite of multicultural society. With our analysis we fill the gap in the literature connected withlabour mobility and dual labour market in European countries.12
Workforce mobility against the background of labour market duality theory 1.3. Data and metodologyThe analysis was performed for 12 countries belonging to the Organization forEconomic Cooperation and Development (OECD). The time horizon of the analysiscovers the years 1994-2008. The collected as well as standardized statistical materialof sectoral labour force in OECD countries comes from a database provided by theInternational Labour Organisation (ILO). By 2013 the database was calledLABORSTA and include statistics up to 2008. ILO provides data for 230 countriesand territories including about 100 various indicators (annual, short-term).In this chapter the authors used the least popular approach: the data are aggregated to the sectoral level and estimation is performed with the use of Markovprobability model (Markov, 1906). Transition matrices are widely used in theanalysis of mobility provided with micro-level data. They illustrate the complexchanges that occur in the distributions of wages, income, or any other variable intime. For analysis of the dynamics of income, wages or labour force, especiallypopular
Contemporary Issues and Challenges in Human Resource Management 8 This book does not exhaust the vast subject of challenges in contemporary Human Resource Management. It should be perceived as an important contribution that covers diverse aspects of this fascinating subject. It
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