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Page 1: SUSTAINABLE HUMAN RESOURCE POLICIES IN … Management and Human Resource Management i.e. „Green HRM ... The study involved a questionnaire survey of executives of 5 selected cement

International Journal of Marketing & Financial Management, Volume 5, Issue 9, Sep-2017, pp 37-45

ISSN: 2348 --- 3954 (Online) ISSN: 2349 - 2546 (Print),

Contact Us : [email protected] ; submit paper : [email protected] download full paper : www.arseam.com 37

www.arseam. com

Impact Factor: 3.43

Cite this paper as : Ms. Shalini Dhir & Dr.Pramod Gupta (2017) “SUSTAINABLE HUMAN

RESOURCE POLICIES IN INDIAN COMPETITIVE MARKET”_ International Journal of

Marketing & Financial Management, ISSN: 2348 - 3954 (online) ISSN: 2349 - 2546 (print), Volume

5,(Issue9, Sep-2017), pp 37-45

“SUSTAINABLE HUMAN RESOURCE POLICIES IN INDIAN

COMPETITIVE MARKET”

Ms. Shalini Dhir

Research Scholar

Department of Management Sunrise

University, Alwar

Dr.Pramod Gupta

Associate Professor

Department of Management Sunrise

University, Alwar

Abstract:

In recent times the importance of Environmental issues and Sustainable development has increased both in the

developed and developing nations. Growing concern for global environment and the development of international

standards for Environmental Management has created a need for businesses to adopt „green practices‟. With these

concerns organizations today have become more conscious about the growing importance of the integration of

Environmental Management and Human Resource Management i.e. „Green HRM‟ Practices. Green HRM is the use of HRM policies

to promote the sustainable use of resources within business organizations and more generally, promotes the cause of

environmental sustainability.

Key-Words: Green HRM, CSR, E-HRM, E- Recruiting.

Introduction:

The present scenario of organizational working and its impact on the environment has carry-forwarded the go green

concept form just individual to organizations. More organizations are operating in more environment friendly way.

An organization‟s Human resource department can be involved in facilitating an inclusive approach for creating a

culture of sustainability.

Green HRM and Sustainability are two different things which now a days are linked with each other, this study deals

with the meaning of Green HRM ,Sustainability and their link and importance in today‟s scenario. Organizations are

progressively more concerned with sustainability and Green HRM. The HR function is distinctively positioned to

assist both developing and implementing Green strategies.

Emerging Trends in Green Human Resource management and Work Culture in Indian Organizations:

The Green Human Resources Management (Green HRM) has emerged from companies engaging in practices

related to protection of environment and maintaining ecological balance. The source of such initiatives, referred to

as green management, is the green movement with its agenda of Protection of Environment and saving the planet

Earth from future man made disasters. Green HRM encompasses all activities aimed at helping an organisation carry

out its agenda for environment management to reduce its carbon footprint in areas concerns on boarding and

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Ms. Shalini Dhir & Dr.Pramod Gupta (2017) “SUSTAINABLE HUMAN RESOURCE POLICIES IN INDIAN COMPETITIVE

MARKET

Contact Us : [email protected] ; submit paper : [email protected] download full paper : www.arseam.com 38

acquisition of human resources, their induction, performance management, learning and development and

compensation and reward management.

Green HRM can play a useful role in business in promoting environment related issues by adopting and following

Green HR policies and practices. Green HRM can enhance corporate image and brand. Green HR will play an

important role in making the employees aware of and concerned for preservation of natural resources and contribute

in pollution control, waste management and manufacture of eco-friendly products.

WORK culture may be defined as the rules/regulations, policies. Practices, traditions/rituals and values/beliefs of the

organisation. We notice an increasing number of organisations who are doing away with the cabin culture. Open

office layout ensures greater transparency of operations and facilitates easier communication among various people

in the same location. This promotes a feeling of oneness and eliminates physical barriers. There are only a few

cubicles which serve as conference venues with lesser disturbances, else; no cabins.

Today organizations have begun to lay greater emphasis on teamwork; you need to be effective in group besides

being efficient individually. This fosters a “We” spirit and can often contribute to synergy which in turn can make

the organisation more productive.

Cliches like “The customer pays your salary” are well accepted by most employees of the organisation. But

unfortunately they find application only with goods services. Today organisations have widended the scope of the

word customer to also include the internal customers viz the employees. Service orientation is being practiced by all

departments. Factors like response time, quality of service provided, attitude to help and such are also assessed by

the employees with respect to user departments.

Companies have now started to develop psychological contracts/relationships with their employees. “Service

Bonds” are being gradually replaced by systems like “stock options”. This conveys the all important message of

companies building up permanent relationships with their employees. With this in mind companies are developing

the vision/mission statements which indicate clearly the plans for the future. Company products are given to

employees at greater discounts, kith and kin of employees are provided employment, scholarships given to their

children, all in a bid to build up a lasting relationship and ensure that every employee feels proud to part of the

organisation.

In the Indian context the good old adage was “All employees are equal but some are more equal than the

others”. This meant that executives and senior managers were entitled to better facilities at the workplace such as

plush canteens. Comfortable luxury transport to and from work, pot tea and coffee, a peon at their disposal and such.

With the increasing advent of open office system we notice that many organisations executives are encouraged to

have their own personal computer. Further we have tea-coffee vending machines with executives helping themselves

to it as and when they need, self-operated photocopying machines. Thus, the hierarchial formal relationships at work

are giving way for more informal and self-dependent ways of getting things done.

Need For the Study:

In the past, sound economic performance of the firm was expected to guarantee corporate success by companies and

its shareholders, but now it is no longer valid; economic and financial outcomes need to be accompanied by

minimization of ecological footprints and increased attention to social and environmental aspects. We have been

witnessing that most of the world's successful companies such as Microsoft, BP, Tata, ONGC, ITC, Wipro and

many more had started contributing a lot on CSR even before the time when there were no regulations/laws related

to CSR. Such companies consider it as their duty and responsibility to give back something good and substantial to

the natural environment. We should appreciate the fact that the owners of business (es) are few but the owner of

nature is the community and the society in which we live and survive. This gives birth to the Stakeholder's theory.

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International Journal of Marketing & Financial Management, Volume 5, Issue 9, Sep-2017, pp 37-45

ISSN: 2348 --- 3954 (Online) ISSN: 2349 - 2546 (Print),

Contact Us : [email protected] ; submit paper : [email protected] download full paper : www.arseam.com 39

Hence corporates now understand that there has to be Sustainable, if not substantial, growth of business (es). This

brings on the table, the concept of 'Tangible and Intangible Cost(s)' or 'Accountable and Non accountable Cost(s)'.

Companies are now also taking into account the Non accountable/Intangible Costs which are in the form of

'environmental degradation'. Although such costs are very difficult to estimate, but be rest assured, are pretty

substantial.

LITERATURE REVIEW:

Satish Chandra Agarwal, 2015 presented A Study of Selected Cement Industries of Rajasthan. , The study was

intended to analyse the executive employee perception and satisfaction regarding the talent management practices.

The objective of the study also aimed to see the impact of different parameters on level of employee satisfaction

with talent management practices. Described Talent Management as the end-to-end process of planning, recruiting,

managing, assessing, developing maintaining & compensating human resources in an organisation. Discussed that it

describes the process through which all organizations anticipated their human capital needs and set about meeting

them. The study involved a questionnaire survey of executives of 5 selected cement plants in Rajasthan, For the

study, a questionnaire has been prepared. The questionnaire was divided in two parts. First part consisted of

demographic details, viz. age, experience, designation, organization and no. of years working in present

organization. The second part of questionnaires consisted of 20 Likert scale based questions relating to talent

management practices in the organization. The questionnaires were sent to 150 executives, 50 in each of the selected

cement industry, of which 133 filled questionnaires were received. Of these, 10 were rejected for incomplete

information and the remaining 123 responses have been tabulated and analysed. Regarding the sample size selected

a sample of 150 executives, 30 from each cement plant have been considered for the study on the basis of

convenience sampling. For testing the hypothesis, Chi - square test has been conducted to extend the relationship

between the age of the employees and level of satisfaction regarding the practices of talent management. The data

collected showed that most of the executives were satisfied with the talent management practices in their

organizations. Observed that many employees have been working in the present organisations for long periods with

a large number having worked in one single organisation and since the beginning of the career they had no chance to

never switch the job. The sample size of 150 has been chosen considering the limitations of resources also. The

analysis clearly shows that there was no difference in the satisfaction level of employees among different age

groups, experience and organizations. Even there was no difference in the impact of the four parameters on the

satisfaction level of employees with talent management practices in their organizations. Author concluded that the

study indicated most of the responses were in strongly agree with the talent management practices and were seen

quite satisfied with the talent management practices in their organization.

V. Archana et- al, 2014 presented a descriptive research, a study on employee job satisfaction, The purpose of this

observational and interview based study was to understand the level of job satisfaction of the employees working

and the parameters that influenced it. Following were the objective of the research like first was to discover the

intrinsic and extrinsic determinants of job satisfaction in the Industries, second was to determine how the

determinants create a varying degree of employee job satisfaction; third was to identify reasons for the measured

level of satisfaction, fourth to measure the level of overall job satisfaction of employees working in this unit and the

last was to give go ahead for the company to work out enhancement plans utilizing the current workforce. Discussed

that person with a high level of job satisfaction holds positive attitudes about the job, because the positive attitude

employees are always in a positive mood and are often able to improve in areas of brainstorming, decision making,

and problem solving while a person who is dissatisfied with his or her job holds negative attitudes about the job. As

long-term career progression, engagement activities, welfare activities and motivation always had a positive

influence on the employees so it was observed that there was room for much improvement on are as such as

technical and management. The method of research adopted in this study was descriptive research. This study was

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Ms. Shalini Dhir & Dr.Pramod Gupta (2017) “SUSTAINABLE HUMAN RESOURCE POLICIES IN INDIAN COMPETITIVE

MARKET

Contact Us : [email protected] ; submit paper : [email protected] download full paper : www.arseam.com 40

based on convenience sampling method, The Company had a total of 200 employees, of these 20 was the size of the

sample selected. Collection of data rested on both primary and secondary data. The study included sizeable primary

data which was collected by way of canvassing a questionnaire amongst those available employees, manager and

work supervisor, with the help of personal interviews during lunch hours, tea-breaks and observation of workers

during their work hours. The secondary data was collected from organizational records, management reports,

various books, journals and internet to understand the present state of job satisfaction in terms of selected job

satisfaction factors. Each of the questions had a 5-point Likert scale wherein the respondent could indicate their

choice by marking. Apart from percentage analysis the following manual calculations were also done through using

the Chi square, Karl Pearson's coefficient of correlation and Spearman‟s Rank correlation and Test of significance

for Difference of Means .Resulted that these surveys helped to reflect the management's mind to the employee as

well as indicated to the management about employees‟ feelings, opinions and attitudes. The findings were that while

deciding on leave employees took a minimum of one leave per month and had personal commitment prior to

considering work commitments, Motivation efforts taken by management were noteworthy as 80% employees

derived satisfaction from such efforts. Observed that the Safety related measures were being instructed by duty

supervisor. Other than this, inspection heads do instructed the workers on how to be safe while working in heavy

fabrication work. Half the sample workforce believed that there were career opportunity, growth and development

for them and true to their belief company was envisioning enhancement and development plan for company's future

growth on financial lines and others. Suggested that the company needed to focus on work environment by

providing better rooms where in employees could rest for a while during recess. As the company was planning for

long term development and growth strategies, researchers suggested that instead of mere diploma holders it would

be better to employ permanent and well qualified staff with a slightly higher compensation. Observed that the

supervisors need better people, quality and work management training so the company has to improve Quality focus

and concentrate on minimizing work defects and try to make work force more efficient. Beside the company also

needed to focus on employee insurance coverage as work place safety was not appreciable. Analyzed that if the

employees are very productive in nature, no one can beat the Industry so to make the employees more productive,

the industry should try to satisfy the employees to a maximum extent. Weakness observed was that the work place

safety measure was not very satisfactory. Advantages was that even though there was no safety measures also the

employees were proud to be associated with the organization, they were seen to feel extremely good to work there,

the observations and interviews methods helped management in understanding the perception of job satisfaction

trend at present company, Authors concluded that the work environment needed further improvement so that

employees could get more overall satisfaction.

Objectives of the Study:

The objective of the study will aim to measure the job satisfaction level of workforce working in Indian

industry.

To study the workforce‟s perception about the organization and their Green Human Resource Management

activities.

To determine whether the work force are satisfied with the working condition in Green HR Policies.

To measure the overall satisfaction level of workforce regarding Eco friendly Environment in the industry.

Concept of E-HRM:

E-HRM is the integration of all HR systems and activities using the web based technologies. Simply, when HR uses

the Internet or related technologies to support their activities, procedures, processes, then it becomes an e-HRM.

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International Journal of Marketing & Financial Management, Volume 5, Issue 9, Sep-2017, pp 37-45

ISSN: 2348 --- 3954 (Online) ISSN: 2349 - 2546 (Print),

Contact Us : [email protected] ; submit paper : [email protected] download full paper : www.arseam.com 41

Types of e-HRM:

Human resource management is distinguished in three ways: transactional HRM, traditional HRM, and

transformational HRM (Wright & Dyer, 2000). It is also classified as operational HRM, relational HRM and

transformational HRM. Thus e-HRM is basically divided into 3 types:

a) Operational e-HRM.

b) Relational e-HRM.

c) Transformational e-HRM (Bondarouk and Ruël, 2006; Lepak and Snell, 1998).

a) Operational e-HRM: Operational human resource management is concerned with streamlining

operations (Lepak & Snell, 1998). It works in administrative function like payroll, employee

personal data, etc.

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Ms. Shalini Dhir & Dr.Pramod Gupta (2017) “SUSTAINABLE HUMAN RESOURCE POLICIES IN INDIAN COMPETITIVE

MARKET

Contact Us : [email protected] ; submit paper : [email protected] download full paper : www.arseam.com 42

b) Relational e-HRM: Relational e-HRM is concerned with supportive business process by the

means of training, recruitment, performance management and so forth. Within this type of HRM,

there is a choice of whether to conduct more complex HR practices, like recruitment and selection

using e-HRM, or to use a more traditional paper-based approach such as newspaper

advertisements and paper-based application forms (Bondarouk & Ruël, 2006).

Relational e-HRM also involves the automation of transactions through the use of intranets and

extranets, HR portals, employee self-service and manager self-service, and operates with several

application programmes (Martin et al., 2008; Lengnick & Moritz, 2003).

These technologies facilitate relationships between users of the systems. The emphasis of

relational HRM is not on the administration of HR processes, but rather on the manner in which

HR tools support basic business processes such as performance management and recruitment and

selection (Bondarouk & Ruël, 2006).

c) Transformational e-HRM: This is the highest-level and the most complex form of HRM. HRM

shifts from a transactional to a transformational focus, whereby the human resource functions are

relieved of the operational tasks and redirected towards more strategic initiatives (Lengnick &

Moritz, 2003). When using e-HRM for strategic, transformational purposes, it is possible to create

a change-ready workforce through an integrated set of web-based tools that enables the workforce

to develop in line with the company‟s strategic choices (Bondarouk & Ruël ,2006)

E- HRM drivers:

The drivers of HR domain are identified at three levels:

i. The Operational Driver: To make HR cost effective by reducing the HR headcount, lowering the

transaction costs and brings about efficiency.

ii. The Relational Driver: To meet the growing demands of line managers, employees, business partners

and increasingly improved levels of service.

iii. The Strategic Driver: To be a strategic business partner by addressing the strategic business objectives

(Lepak & Snell, 1998).

E- HRM evaluation:

The evaluation of the E-HRM department is based on six driving forces. The following six forces must be

developed by HRM departments that want to continuously increase their value while reducing costs.

• Information technology- There is a digital future in front of HRM professionals. The rapid growth in the

field of computer hardware, software, networking, and telephony services is enormously essential to the e-

HRM movement.

• Processes reengineering- Strategic HRM managers are persistently looking for behavior to streamline

and improve core business processes to make them efficient. All business processes especially those in the

HRM department can be reengineered and improved through the skillful application of information

technology.

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International Journal of Marketing & Financial Management, Volume 5, Issue 9, Sep-2017, pp 37-45

ISSN: 2348 --- 3954 (Online) ISSN: 2349 - 2546 (Print),

Contact Us : [email protected] ; submit paper : [email protected] download full paper : www.arseam.com 43

• High-speed management- In today‟s competitive scenario, all companies must work smarter and faster.

e- HRM is definitely a smarter and more rapidly form of service delivery than traditional HRM.

• Networked organizations- e-HRM departments are more likely to emerge in networked organizations

than in traditional and bureaucratic companies. The explosion of information technology such as local area

networks, e-mail, and corporate intranets are the trademarks of a flatter networked company.

Knowledge workers- In 21st century organization will compete on strategic information and

knowledge. These require staffed with self-directed and computer savvy, knowledge workers.

These workers will surpass at using information to quickly identify and capture worthwhile

business opportunities while also diligently identifying and resolving costly problems.

Globalization- All companies must develop a global business strategy. This means that HRM

departments must be capable of providing services to their employees anywhere on earth.

Obviously, a technology assisted HRM department that is skilled at traversing the information

superhighway, is in the best position to support a globalize workforce (Vickram & Mahimairaj,

2011).

E- HRM Practices:

E- Recruiting: - Recruiting the right person for the right job is the most critical aspect of human

resource management. Starting with high caliber people is the first step. Only then, this can be followed by

effective performance management and employee development. The main objectives of the e- recruitment

process is to share the job vacancies with the biggest amount of potential candidates. e- Recruitment

simplifies this process by providing a sophisticated web-based solution that manages the process of

recruitment from start to finish (Sanayei & Mirzaei, 2008).

e- Recruitment simply means the recruitment process through internet. It is an online strategy for attracting

talents. In order to facilitate the recruitment process, organizations are increasingly using electronic human

resources (e-HR) systems, including web-based job sites, portals, and kiosks to attract job applicants (Stone

et. al., 2003)

One of the main objectives of the e-recruitment process is to share the job vacancies with the biggest

amount of potential candidates, this means, attract and filter the key applicants with the necessary skills for

the job offered. Through online recruitment systems, organizations can not only share important details

about the positions available but also more specific information such as job descriptions, organization‟s

culture or brand identity and job incentives (Stone and Lukaszewsky, 2006).

The most common practices used for online recruitment involve –

i) Adding recruitment pages to existing organization websites,

ii) Using specialized recruitment websites such as job portals, online job boards.

iii) Developing interactive tools for processing applications

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Ms. Shalini Dhir & Dr.Pramod Gupta (2017) “SUSTAINABLE HUMAN RESOURCE POLICIES IN INDIAN COMPETITIVE

MARKET

Contact Us : [email protected] ; submit paper : [email protected] download full paper : www.arseam.com 44

iv) Using screening techniques (Galanaki, 2002)

e- Recruitment allows storing great amounts of CVs online, which makes the process unconstrained by

geographical locations. Online job advertising allows companies to open all the information regarding job

to the applicants since the first contact (Ravindra and Pallavi, 2011).

Figure 5: e-Recruiting process (Source: Cedar, 2002)

e- Recruitment can be divided into two types of uses: corporate web site for recruitment and commercial

jobs boards (such as monster.com) for posting job advertisements (Parry and Wilson, 2009). Corporate

websites are a company‟s own website with a link for job posting/career options where candidates can log

into for current openings. If the company advertises its vacant positions on other website that specialize in

recruitment such as - naukri.com, timesjob.com, monster.com, etc., the companies would be adopting

commercial job boards for recruitment. Firms generally adopt a recruitment method that suits their size and

budget for recruitment.

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International Journal of Marketing & Financial Management, Volume 5, Issue 9, Sep-2017, pp 37-45

ISSN: 2348 --- 3954 (Online) ISSN: 2349 - 2546 (Print),

Contact Us : [email protected] ; submit paper : [email protected] download full paper : www.arseam.com 45

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