Arbeidspsychologie thema 2 deel 1

In theory, HRM practices shape firm performance through three key channels. As related by Huselid (1995), HRM practices: 

1. increase employees’ knowledge, skills, and abilities (KSAs); 

2. motivate employees to leverage their KSAs for the firm’s benefit; and 

3. empower employees to do so. 

A … among employees is essential for employees to perform work tasks effectively.

high level of KSAs

When employees only know the routine functions of their jobs, they cannot make … to the organization beyond their assigned tasks.

significant contributions

even when employees possess KSAs that allow them to step beyond the routine, they are not likely to do so unless …

properly motivated.

AMO model

1. Ability

2. Motivation

3. Opportunity

AMO Model - ability

increase workers’ knowledge, skills, abilities

AMO Model - motivation

motivate workers to use their KSAs for the firm

AMO Model - opportunity

empower workers to use their KSAs

HRM Planning

• Empowerment enhancing practices

• KSA enhacing practices

• Motivation enhancing practices

Empowerment enhancing practices

• grievance procedures

• flextime

• participation programs

• employment security

motivation enhancing practices

• incentive compensation

• internal promotion

1. KSA enhancing practices 

• Selection

• High compensation levels:

• Training

Selection

Helps organizations recruit employees with the right KSA’s and good person-job and person-organization fit. 

High compensation levels:

Attract and retain high-quality employees, although high pay is most effective when employees have opportunities and motivation to use their skills 

Training

Improves job-related, organizational, leadership, and social skills. Training is most effective when combined with practices that help retain trained employees.  

Training the industry:

spending money increasing employees’ skills and then losing these employees to competitors  

What can managers do to avoid this? 

Invest in other HRM practices e.g. 

2. Motivation enhancing practices 

• Incentive compensation:

• Internal promotion:

Incentive compensation:

Bonuses, profit sharing, and performance-related rewards strengths the link between effort and rewards. 

Internal promotion:

Creates career opportunities, motivates employees to perform well, develop new skills, and reduces turnover.  

3. Empowerment enhancing practices  

• Participation

• Flextime

• Grievance procedures:

• Employment security:

Participation

Allows employees to influence decisions, solve problems, and take initiative. Most effective when employees also have sufficient skills and motivation. 

Flextime

Give employees greater control over their schedules, improving work-life balance, morale, and potentially performance 

Grievance procedures:

Provide employees with a formal voice and help resolve conflicts, increasing satisfaction and retention. 

Employment security:

Creates commitment and encourages employees to develop a long-term perspective and contribute beyond their formal job tasks. 

Evidence was not yet strong enough to confidently conclude that the following practices directly improve firm performance:  

• Teams 

• Information sharing 

• Performance appraisal 

Liu et al. (2007) found three specific factors that impact the effectiveness of HRM practices.  

• Vertical alignment

• Horizontal alignment

• The work context 

1. Vertical alignment between HRM and firm strategy; 

HRM practices are designed to support the organization’s overall business strategy and ensure that employees’ skills, motivation, and actions contribute to strategic goals. Effective HR planning creates a dynamic match between organizational objectives and workforce capabilities, and strong HR planning is therefore closely linked to better organizational performance. 

2. Horizontal alignment among the HRM practices; 

HRM practices reinforce and support each other, creating a coherent HRM system. A well-designed combination of practices has a stronger positive effect on organizational performance than individual practices alone, while poorly aligned practices can be redundant or even work against each other.

Work context refers to adapting HRM practices to the specific challenges and needs of different work environments.

Although HRM is often expected to have the strongest impact in service jobs, research found stronger effects in manufacturing, highlighting that HR practices should be tailored to ensure employees have the necessary KSAs, motivation, and empowerment in their specific work context.