Isolationist versus Integrationist: An Indian Perspective on High-Performance Work Practices

Abstract

Integrationist favours the idea that human resource (HR) practices have synergic effect when implemented in a complementary and coherent manner. While an isolationist perspective favours that the HR practices have an independent effect on organizational performance. In the integrationist approach, HR practices are supposed to have complementary characteristics. When these complementary work practices are institutionalized in a consistent manner, they result in enhanced efficiency and effectiveness. On an altogether different paradigm, the isolationist approach states that individual Human Resource Management (HRM) practices have distinctive and autonomous properties. The present study is a sincere effort to answer the debate between isolationist and integrationist through exploration of ‘high-performance work practices’ (HPWPs) in the Indian financial sector. A model of HPWPs is developed with the help of explorative and confirmatory factor analysis (CFA). As many as nine factors comprising of twenty-seven HPWPs are reported to be a part of the model of HPWPs. The study concludes that as the usage of HPWPs increases, job satisfaction, commitment and employee well-being also increases and thereby the article concludes in favour of the integrationist approach of HRM.

Exploring High Performance Work Practices as Necessary Condition of HR Outcomes

“…These coherent bundles of practices produce 'synergetic effect', so that the combined effect of HR practices is greater than the sum of their individual impact (MacDuffie, 1995). HPWPs have greater explanatory power on organizational outcomes if analysed in combination, rather than in isolation (Ichniowski et al, 1997;Garg, 2018).…”

“…However, generally a model of HPWPs consists of practices like job rotation, job enrichment, autonomous team, comprehensive staff selection procedures, employee participation and involvement related practices, flexible timing and work arrangements, motivating compensation and reward schemes, skills development and training programs information sharing etc. (Harley et al, 2007;Garg, 2018). Acknowledging the industry-specific nature of HPWPs, the present paper used Garg and Punia's (2017) model designed specifically for the Indian insurance industry.…”