Critical to the success of humanresources is the ability todemonstrate the value our efforts addto today’s business. Going back as faras 1995, researchers like MarkHuselid have published empiricalstudies which demonstrate astatistically significantlinkage between HRM(human resourcesmanagement) practicesand measures oforganizationalperformance.

Additionally,researchers andpractitioners alike havetried to understand themechanisms throughwhich this positiverelationship between HR and businessperformance occurs. Lately, there hasalso been interest in taking a multi-level approach to understandingHRM. This recent research involvesexploring single or multiple practiceswithin the HR function as well asindividual versus organizationalresponses or behaviors as a result ofHR.

The research cited here, titledStrategic HRM and Organizational

Behavior: Integrating Multiple Levelsof Analysis, was undertaken byPatrick M. Wright and Lisa H. Nishii,both of the Industrial and LaborRelations School at Cornell. Theirwhite paper examines some of theprocesses that occur in the HRM-

businessperformancerelationship andtries to explain themultilevel nature ofthat relationship.

Think of it asanalyzing anyrelationship forwhat makes itsuccessful, andconsidering theemotional,

intellectual, spiritual and physicalaspects of the relationship and howthey are interconnected.

As an example, Wright and Nishiidistinguish between the intended HRpractices (i.e., the policies set out)and actual HR practices (i.e., those asthey are actually differentiallyimplemented by line managers). Theynote that while intended practicesshould be uniform, actual practicesmay vary quite a bit across managers

or supervisors. In addition, the sameemployees with the same actualpractices may differentially interpretwhat those practices mean, and howthey react to them. This techniquedemonstrates the multi-levelapproach to research and analysispreviously mentioned.

Wright and Nishii conclude theirresearch by recommending a multi-level approach to understanding thephenomenon linking HRM tobusiness results. Essentially, theirresearch suggests two importantdirections for future SHRM research,and since more and more HRorganizations are bringing that type ofanalysis in-house, these are importantlessons.

First, they recommend thedevelopment of comprehensivetheories that integrate several levels

P A G E 0 N E www.ilr.cornell.edu/cahrs/

In This Issue

1 Strategic HRM and Organizational Behavior: Integrating Multiple Levels of Analysis

2 Up Close with John Bradley of JPMorgan Chase & Co.

3 Bear StearnsHR Company Profile

4 Fall Sponsor Meeting 2006

6 New NAHR Fellows

7 In the News

8 CAHRS Events Calendar

Research Highlight

Strategic HRM and OrganizationalBehavior: Integrating Multiple Levels of Analysis

Continued on Page Seven

November - December 2006

The important issueis to link

organizational and individual

concepts in bothdirections.

hrSPECTRUM November - December 2006 P A G E T W O www.ilr.cornell.edu/cahrs/

John Bradley was just back from a four-country tour through Asia, where he hadvisited some of the overseas operations ofJPMorgan Chase & Co., as part of his role asDirector of Human Resources of the $1.3trillion global financial services firm.

Directing the delivery of human resourceservices for 170,000 employees in more than50 countries is a challenge Bradley hasembraced with enthusiasm since assuming thetop job in March of this year. It’s a role thatdraws on the full experience of his 23-yearcareer with the firm, including a posting inLondon in 2003 to run the company’sEuropean and Asian HR operations.

Bradley began with JPMorgan as an affirmative-actionanalyst right out of graduate school (Cornell ILR/MBA classof ’82), and has been with the company ever since. “The firmhas been great about giving me numerous opportunities towork in different areas and contribute in many differentways,” he says. Some of those opportunities included headingup the company-wide compensation and benefits function,managing HR in the European investment banking andtechnology and operations divisions, and leading the HRintegration effort upon the merger of JPMorgan and Chase.

Bradley is a member of the firm’s Operating Committee,consisting of the heads of the major functional areas (such aslegal, financial, technology) and six major business lines:investment banking, retail financial services, card services,commercial banking, treasury and securities services, andasset and wealth management. Each of those lines has itsown HR operation, but report to both the business CEO andBradley. The recent trip to Asia to evaluate the region’s highgrowth potential is an example of how the managementteam coordinates plans across functional and business lines.

Bradley’s key goal for HR in supporting the corporatemission involves ensuring the most effective end-to-end HRproduct and service delivery by understanding the needs ofline managers more clearly and working to deliver on-time,on-budget solutions that increase each manager’s impact. Abig part of this is information management: “getting theright information to managers to make the right peopledecisions.” Bradley elaborates, “If we focus on building thetechnology tools first, all we end up with is a hightechnology bill. We need to understand what drives decision

making and then identify the most effectivesources of information and get it on themanager’s desktop.”

Another challenge in the globalenvironment has been balancingpolicymaking between company-widestandards and local implementation. One areawhere this is most clear relates to Bradley’soriginal passion: diversity and inclusion. “Ourcorporate global commitment is to have thebest people in the right jobs at the right timewith no barriers to entry or to retaining highlytalented individuals,” Bradley observes. “Thatsaid, our focus needs to be more results

oriented. Raising awareness is important, but this is only ameans to an end. The focus needs to be on increasedrepresentation and retention of diverse employees inleadership roles.

“Further,” Bradley adds, “diversity means different things todifferent people. Addressing underrepresentation has differentrequirements in different regions. The commitment todiversity and inclusion is global and the solutions to get thereare local.”

Sometimes solutions to timely issues can be drawn fromacademic research. Bradley knew about ILR’s CAHRS as anundergraduate, so it was a natural for him to affiliateJPMorgan with the program when he became an officerthere. One of the CAHRS projects for 2006-07 is studyingthe role of stock options in executive recruitment, a subjectthat has been the focus of much controversy lately. Whileexpressing some surprise at the reported excesses inbackdating options, Bradley comments: “Stock options canbe very useful when applied appropriately as part of thecompensation toolkit—by appropriately, I mean sparingly—to help retain key leadership, and priced at a true fair marketvalue.” Bradley supports the work CAHRS is striving to doin bringing academic research to bear on just such real-world problems.

Bradley concludes that even the short time in this rolehas forcefully affirmed his belief that effective HR leadersneed to balance their roles as a business manager, “keeper ofthe corporate flame,” shareholder activist, and employeeadvocate. “Focusing on any one area to the exclusion ofothers will limit what an individual can accomplish in anysetting.”

Up Close with …

John Bradley of JPMorgan Chase & Co.

JPMorgan Chase & Co. joined CAHRS in 1992, the ‘UP Close with’ profiles feature interviews with leaders of CAHRS sponsors.

John Bradley

hrSPECTRUM November - December 2006 P A G E T H R E E www.ilr.cornell.edu/cahrs/

What’s the best thing about leading HR atBear Stearns? “The tremendous range ofopportunities my team and I have to add value,”replies Pam Kimmet, the firm’s new SeniorManaging Director and Global Head of HumanResources. “Leaders across the firm want help inidentifying, developing and retaining talent.They are personally engaged in these issues, andeveryone here understands how important ouremployees are to the firm’s success.”

The Bear Stearns Companies, Inc., is a leadingglobal investment banking, securities trading andbrokerage firm. Since 1923, it has helpedcorporations, institutions, governments andindividuals reach their financial objectives. AsPam explains, “Bear Stearns has an enviabletrack record. Since our founding we have neverhad an unprofitable year. And, unlike otherWall Street firms, we’ve remained independentand have steadily grown our business thanks tothe efforts of our outstanding people.”

Since joining the firm earlier this year one ofPam’s top priorities has focused on enhancing thefirm’s recruiting capabilities and process. “We’veundertaken an extensive review of the entire‘requisition to on-boarding’ process and we havea pretty aggressive set of changes that we arepreparing to implement,” remarks Pam.

“While hiring the right people matters toevery organization, it is especially critical in ourindustry,” says Pam. “Our clients chose to workwith us because of their trust in our people andtheir belief in our ability to innovate andexecute,” Pam adds. “So, making sure we are aseffective as possible in bringing talent to the

firm, and doing it in a way that portrays topeople what our firm stands for culturally iscritical. The market for the talent we arelooking for is very competitive, so every step ofthe process has to be done with excellence.”

Scaling for growth means another of Pam’spriorities is restructuring the HR team. “We arein the midst of realigning and moving to a modelthat will bolster our ability to provide thestrategic support the leaders need, and make iteasier for us to provide a focus on key areasranging from HR systems and metrics toemployee development and training.

“Like my colleagues everywhere, we have a lotto accomplish and the demand keeps growing.It’s particularly tough when you are a person whowants to do it all and do it all now!” Pamexplains. “Regardless, I am having so much funand know we’ll look back in a year and surpriseourselves at all we’ve done.”

Pam has more than 25 years of experience inhuman resources administration. Prior to joiningBear Stearns, she served as the Senior VicePresident for Human Resources at LucentTechnologies, Inc. and before that, she led thecompensation and benefits team for Citigroup.Before joining Citibank in 1994, Pam spent 14years with General Motors, holding increasinglyresponsible positions in various human resourceroles across the corporation. Pam earned anMBA from Michigan State University throughthe school’s Advanced Management Programand holds a B.S. in Industrial and LaborRelations from Cornell University.

HR Company Profile

Bear Stearns & Co., Inc.

Bear Stearns & Co., Inc. joined CAHRS in 2006 the ‘HR Company Profile …’ feature a Corporate HR view of new CAHRS sponsors.

hrSPECTRUM November - December 2006 P A G E F O U R www.ilr.cornell.edu/cahrs/

Global HR Practices

Fall Sponsor Meeting 2006The CAHRS Fall Sponsor meeting held October 23rd and 24th, was

attended by more than fifty-three HR professionals from 25 sponsorcompanies. The topic, Global HR Practices has been one of the primaryissues that HR professionals and sponsor companies have been wrestlingwith and will continue to face over the next decade as the pace ofglobalization continues to grow.

Patrick Wright, Professor of Human Resources and Director of CAHRSat Cornell, kicked off the meeting by discussing the findings of the ongoingCAHRS study conducted with partners Cambridge University, INSEAD,and Tilburg University which was sponsored by Sanyo Corporation. Hedescribed how the study melded intensive case studies of companies with aglobal survey of HR practices across 20 multinational companies in over 30different countries. The data of the survey suggested that there seems to bea growing convergence of beliefs regarding best practices in HR that crossescultural and country boundaries.

Professor Jaap Paauwe from Tilburg University, who alsospent spring of 2005 as a visiting scholar within the ILRSchool, also presented some work from the Sanyo study onhow firms are seeking to achieve HR functional excellence.Quinetta Roberson, Associate Professor of HR Studies atCornell also presented some of her research examining therelationship between having a great workplace and firmperformance among Italian firms. Finally, based on the resultsof the study, Scott Snell, Professor of HR Studies at Cornelldiscussed how HR organizations are able to innovate, integrateand institutionalize HR practices on a global basis.

In addition to the presentations of the study results, anumber of senior executives participated in panel discussionsdescribing how their firms have approached the managementof global HR practices. Kevin Barr, SVP HR of TerexCorporation and Lee Patterson, VP of HR Strategy andRegional Coordination at Shell, discussed how theirfirms have attempted to decide which practices shouldbe globally implemented versus which can be designedat a more local level. Also, Susan Beauregard, Managerof Global HR Shared Services at GE and Penny Stoker,VP HR for the U.S. at AstraZeneca conducted arevealing discussion on the issues with implementationof Global HR Information Systems.

Feedback from participants focused on the great mixof academic and practical information that waspresented. The meeting provided them an opportunityto hear cutting edge research from some leadingacademics while also hearing best practices and insightsfrom senior HR executives at leading companies.

Kevin Cox American Express, Simon KingAstraZeneca

Stuart Basefsky ILR Catherwood Library

Lisa Nishii CAHRS, Lee Patterson Royal Dutch Shell, and Kevin Barr Terex

hrSPECTRUM November - December 2006 P A G E F I V E www.ilr.cornell.edu/cahrs/

Peter Dowd and Bill Strusz Xerox

Jaap Paauwe Tilburg University, TheNetherlands

Quinetta RobersonCAHRS

CAHRS sponsors

Herb Harback and Jim Duffy CIT Group

John Haggerty CAHRS, Susan Beauregard GE, and Penny Stoker AstraZenca

hrSPECTRUM November - December 2006 P A G E S I X www.ilr.cornell.edu/cahrs/

New NAHR Fellows Celebration 2006

On November 2, 2006, theNational Academy of HumanResources inducted John Murabito andEva Sage-Gavin as honored NAHRFellows. John is Executive VicePresident, Human Resources andServices at CIGNA Corporation. Evais Executive Vice President of HumanResources and CorporateCommunications at Gap Inc. Both areCAHRS Executive Advisory Boardmembers. It is the NAHR tradition tohold their Annual Dinner andInstallation of New Fellows Ceremonyon the first Thursday of November, inNew York City’s Yale Club. BillConaty, NAHR Chair, CAHRSExecutive Board Member, and SeniorVice President of Corporate HR forGeneral Electric, gave the welcomeaddress and general report. Othermembers of the CAHRS Boardattended the blacktie event which alsohonored other Fellows. These newFellows have been recognized by theirpeers for their distinguished leadershipin the broad field of human resourcesand have meritorious nationalreputations for shaping human resourcethinking and policy. The NAHRFellowship is considered the mostprestigious honor in the field of humanresources. Fellowship in the Academy

is accorded to executives, policy-makers, and academics who haveexcelled in leadership, and who arerecognized for their sustainedachievement in and their contributionsto their organizations, the HumanResource profession and society atlarge. Many current CAHRS sponsorcompanies have had their top HRexecutives inducted as Fellows over theyears (see sidebar).

Murabito joined CIGNA in 2003to lead the people strategy for thecompany’s essential—and nowsuccessful—turnaround. Guiding apractical and focused approach tohuman resources strategy, he has ledthe change for many of CIGNA’scritical people processes includingsuccession, talent assessment,organization and leadershipdevelopment, performancemanagement and compensation.Believing the future of the humanresources function to be “very smalland very good,” John has outsourcednearly all of CIGNA’s HRadministrative areas. The HR teamnow concentrates only on areas wherethey can add real value and drivebusiness results. As the chief peopleofficer for a health care provider, John

NAHR Fellows(Present CAHRS Sponsors & Cornell Faculty)

2006JOHN M. MURABITO

EVP, HR and Services, CIGNA, CorporationEVA SAGE-GAVIN

EVP, and Corporate Communications, Gap Inc.

2005PATRICK M. WRIGHT

Director CAHRS, Cornell UniversityDAVID W. PACE

EVP, Partner Resources, Starbucks Coffee CompanyWORLDATWORK

2004KENNETH J. CARRIG

EVP, CAO, SYSCO Corporation

2003JOHN D. HOFMEISTERPresident, Shell Oil Company

2001JAMES B. DAGNON

SVP of People, The Boeing CompanyJ. T. CHILDS, JR.

VP, Global Workforce Diversity, IBM

2000STEVEN R. HILL

SVP, HR, Weyerhaeuser Company

1998J. RANDALL MACDONALD

SVP, HR, IBM CorporationCHARLES G. THARP

Former SVP, HR, Bristol-Myers Squibb Company

1997J. THOMAS BOUCHARD

SVP, HR, IBMWILLIAM L. BUCKNALL, JR.

SVP, HR and Organization, United Technologies CorporationSTEVEN M. DARIENVP, HR, Merck & Company

1996WILLIAM J. CONATY

SVP, Corporate HR, General Electric CompanyGEORGE T. MILKOVICH

Catherwood Professor, Emeritus, ILR, Cornell UniversitySCHOOL OF INDUSTRIAL AND LABORRELATIONS, CORNELL UNIVERSITY

1995WALTON E. BURDICK

SVP, Personnel, IBM CorporationCHARLES F. NIELSON

Corporate VP and Manager of HR, Texas Instruments, Inc.

1994LEE DYER

Professor, School of Industrial and Labor Relations, Cornell University

DOUGLAS M. REIDSVP, Xerox Corporation, SVP Colgate-Palmolive Company

1993URSULA F. FAIRBAIRN

EVP, HR and Quality, American Express Company

1992BRUCE CARSWELL

Distinguished Fellow & CAHRS AB, Cornell UniversityFRANK P. DOYLE

EVP, General Electric CompanyDAVID P. LIPSKY

Director, PERC Institute of Conflict Resolution, ILR, Cornell University

Ken Carrig, John Murabito, Eva Sage-Gavin, Lee Dyer, Bill Conaty, and Patrick Wright.

Continued on Page Seven

company in 2003 and has been instrumental in many keybusiness growth initiatives. She led the company’s totalrewards redesign which included performance basedincentives, restricted stock awards and significant benefitcost savings. Eva also introduced healthcare access to over80,000 of the company’s part time employees and achievedenrollment rates above industry levels. She and her teamdeveloped new leadership training for 11,000 companymanagers. Eva was the architect for Gap Inc.’s culture shiftthat has included a strategy now imbedded in all reward,recognition and development work globally. She is on theBoard for Cornell CAHRS, and the ILR School, theUniversity of Southern California, and the HumanResources Policy Association.

hrSPECTRUM November - December 2006 P A G E S E V E N www.ilr.cornell.edu/cahrs/

Strategic HRM and Organizational BehaviorContinued from Page One

New NAHR Fellows Celebration 2006Continued from Page Six

of analysis as we saw in the example above. The importantissue is to link organizational and individual concepts inboth directions. How does the individual affect the groupand how does the group affect the individual? How do HRprocesses that we implement impact both organizationsand individuals within an organization? This is the firstline of questioning that these researchers recommend.

Second, Wright and Nishii suggest that organizationsconduct multi-level research. HR professionals withinfirms are becoming more and more willing to share criticaldata and be more analytical in their decision making. Thispresents a ripe field for more robust methods to study theimpact of HR. The development of several new analyticaltechniques, no doubt understood by some of the morerecent grads with industrial and organizational psychology

degrees, will also help HR practitioners design and utilizeresearch data that is more useful for their decision makingin the business.

Wright and Nishii purport that there are two relativelynew research techniques that can benefit the HRpractitioner seeking to quantify the value of his or herorganization. Within and Between Analysis (WABA) andHierarchical Linear Modeling research methodologies can bea boon to internal HR research. These models can providea more in-depth analysis of the impact of HR, and theresearchers’ research on the methodology suggests thatthese techniques will help you harvest the increasinglyplentiful data available to assess the effectiveness of yourHRM.

ILR Graduate Programs Thanks Citigroup – Citigroup has always been a generous benefactor to theILR School and, once again, it has demonstrated its generosity by providing scholarship support for a MILRstudent. The MILR Program exemplifies the ILR School’s ongoing commitment to educating tomorrow’sleaders, and keeping the program strong requires recruiting the best candidates. Thanks to Citigroup’sgenerous gift, the program will be able to recruit another outstanding candidate.

In The NewsIn The News

is acutely aware of the rising cost of health care anemployee benefits for companies of all sizes. To reduce costin this critical area, the company has implemented its ownindustry-leading health plans for all CIGNA employees. InJune of 2006 the company was honored by the NationalBusiness Group on Health as one of the Best Employers forHealthy Lifestyles. John is active in both academic andprofessional communities. He is a board member forCornell CAHRS, as well as the University of SouthCarolina’s Masters in Human Resources program.

Sage-Gavin, in her role as Chief people Officer, sets thestrategy for Gap Inc.’s global human resources andcommunications operations, including strategic change,talent management, diversity, total rewards, learning anddevelopment, and communications. She joined the

hrSPECTRUM November - December 2006 P A G E E I G H T www.ilr.cornell.edu/cahrs/

2006 - 2007CAHRS Spring Sponsor Meeting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . May 22 - 23, 2007 Paris, France

Employee Engagement: What Do We Really Know? What Do We Need To Know?

ILR Orientation and CAHRS Executive Roundtables . . . . . . . . . . . . . . . . . . . . . . . . . . . . August 21, 2007 Ithaca, NY

CAHRS Fall Sponsor Meeting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . November 14 - 15, 2007 Ithaca, NY

For more information, contact Jo Hagin at 607/255-9358 or email: jap7@cornell.edu, or visit our website at: www.ilr.cornell.edu/cahrs/Calendar.html

ILR Executive Education & Events

The Vanguard Group Custom Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . January 17 - 19, 2007 Malvern, PA

HR Leadership: The Next Paradigm . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . February 6 - 8, 2007 St. Petersburg, FL

Language of Business: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . March 6 - 7, 2007 Atlanta, GAFinance and Competitive Analysis for Strategic HR

Shell Custom Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . April 22 - 27, 2007 The Hague, The Netherlands

HR Transformation: Partnering to Achieve Functional Excellence. . . . . . . . . . . . April 30 - May 4, 2007 Ithaca, NY

HR Strategy: Creating Competitive Advantage Through People . . . . . . . . . . . September 24 - 28, 2007 Ithaca, NY

Shell Custom Programs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . October 21 - 26, 2007 The Hague, The Netherlands

Managing for Impact: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . November 7 - 8, 2007 Miami Beach, FLHR Metrics and Firm Performance

For more information, contact ILR Executive Education at 607-255-5882 or e-mail: ilrexec@cornell.edu, or visit our website at:ilr.cornell.edu/execed to view our Brochure.

hrSPECTRUM is published by the Center for Advanced Human Resource Studies, School of Industrial and Labor Relations,

Cornell University, Ithaca, New York 14853-3901 Phone: 607-255-9358 • Fax: 607-255-4953

Dr. Patrick Wright, Director Dr. Pamela Stepp, Executive Director