Institutional Approaches to Examining the Influence of Context on Human Resource Management

Abstract

This chapter reviews three related, but distinctive, institutional approaches to human resource management (HRM) policies within organizations. The approaches view institutions, organizations, and their HRM policies as conceptually separate, but ontologically connected. In other words, they view context and HRM as intertwined, meaning that institutions play a key role in constituting what firms are and what HRM is in different contexts. The chapter reviews work on HRM within (1) the “varieties” approaches of the varieties of capitalism and business systems frameworks, (2) historical institutionalism, and (3) the regulationist framework. The chapter highlights the similarities among, as well as the differences between, these frameworks. In contrast to some other research perspectives, these institutional approaches add value to HRM analyses by explaining key variation among the nature of firms and how that variation influences important outcomes, such as HRM policies and practices, employees’ skill development, job tenure patterns, and social inequality. They also provide frameworks to address (1) how and why HRM changes and (2) how national and international institutions influence the types of HRM that firms adopt and their ability to achieve different objectives in contrasting locations. Individually and collectively, they demonstrate the importance of context on the nature of organizations, what HRM is, and the links between HRM and organizational outcomes.

Context is key: A 34‐country analysis investigating how similar HRM systems emerge from similar contexts

“…Approaches in this area range from thick qualitative context descriptions (e.g., Cooke, 2018) to quantitative analyses of cross-national datasets (Farndale et al, 2017;Gooderham et al, 1999Gooderham et al, , 2018. From a theoretical standpoint, the effects of external context on HRM practices and systems are mostly explored through various lenses of institutionalism (Allen & Wood, 2021;Schotter et al, 2021 (Gooderham et al, 2019, p. 15). common conclusion is that the external context, shaped by both formal and informal institutions, significantly influences HRM.…”

The Intricate Systemic Relationships Between the Labor Market, Labor Relations, and Human Resources Management in a Pandemic Context

“…There are three institutional approaches for HRM: the varieties of capitalism and/or business structures, historical institutionalism, and one focused on the regulatory framework (Allen & Wood, 2021). These approaches consider institutions, their context, and HRM as interconnected elements.…”

“…In the micro dimension, it identifies aspects of HRM performance with labor relations. From such dimensions, it is possible to verify how organizations change and when and how institutions influence them in these changes (Allen & Wood, 2021). Gooderham et al (2019) suggest that the HRM analysis is based on the interpretation of the systemic processes of people management, common to most firms.…”

As Intrincadas Relações Sistêmicas Entre Mercado De Trabalho, Relações De Trabalho E Gestão De Recursos Humanos Em Contexto Pandêmico

“…Quanto à GRH, é possível apontar três abordagens institucionais: a das variedades de capitalismo e/ou estruturas de negócio; o institucionalismo histórico; e a focada em estrutura regulatória (Allen & Wood, 2021). Essas abordagens tratam as instituições e seu contexto e a GRH como interligados, e este artigo utiliza-se da abordagem das variedades de capitalismo nos termos de Hall e Soskice (2001) e Whitley (2007).…”

“…Na dimensão micro, identifica aspectos da atuação de GRH com as relações de trabalho. A partir de tais dimensões, verifica-se como as organizações mudam, quando e como as instituições as influenciam nessas mudanças (Allen & Wood, 2021). Gooderham et al (2019) sugerem que a análise da GRH aconteça pela interpretação dos processos sistêmicos de gerenciamento das pessoas, comuns à maioria das firmas.…”