Influences on the Architecture of Human Resource Management in Nonprofit Organizations

Abstract

Human resource management (HRM) plays an important role in providing better management for nonprofit organizations (NPOs). Yet little is known about what influences their human resource practices. After discussing how the strategic and humanresource-based theoretical approaches are appropriate for analyzing HRM in NPOs, the authors explore the current nonprofit literature to identify the specific characteristics of strategic orientations and human resources in NPOs. As a result, the authors propose an analytical framework that is differentiated into four HRM types. This framework enables a better understanding of the relationship between the specific characteristics of NPOs and the architecture of HRM.

Missing in Action: Strategic Human Resource Management in German Nonprofits

“…Their professional development of employees is strategic and focuses on the most promising employees; thus, employees are considered as assets in meeting organizational goals . However, the low focus on the HR base indicates that nonprofits also tend to disregard employees' needs, which might lead to negative effects on employees' motivation and commitment (Ridder & McCandless, 2010).…”

“…-INSERT FIGURE 1 ABOUT HEREAdministrative: This category, low on HR and strategic orientation, is characterized through a lack of professionalism and the absence of a long-term perspective; nonprofits that fall into this category are less willing or able to invest in the potential of their employees, and often tend to imitate HR practices from the for-profit context without adapting them to their specific context (Ridder & McCandless, 2010;. External funders often influence HR practices (e.g.…”

“…The motivational HR architecture intends to strengthen both mission attachment and the fit between employees and the characteristics of their organization (Ridder & McCandless, 2010), which HR managers perceive as difficult as illustrated here:…”

“…Motivational: This category, high on HR and low on strategic orientation, includes HR practices that strengthen the employees' fit with the organization's mission (Ridder & McCandless, 2010), which in turn is seen as a unique strength (Benz, 2005;Light, 2002). Thus, the motivational architecture emphasizes a commitment-focused strategy that regards employees as valuable assets and consequently invests in their retention (Nishii et al, 2008) by offering benefits such as flexible work hours or family-friendly work policies .…”

“…Furthermore, value-driven nonprofits struggle to meet the often diverse and conflicting demands of their internal and external stakeholders (e.g. consumers, donors, volunteers & boards) (Ridder & McCandless, 2010).…”