Jennie Sumelius

Human resource management in foreign-owned subsidiaries: China versus India

This study examines the HRM practices and the role played by the HR department in foreign-owned units located in China and India. The study of 170 Western-owned subsidiaries analyses the extent to which the HRM practices associated with the local professionals and managerial-level employees resemble those of local firms versus those of the (main) Western parent organization, and investigates the degree to which the units HR department was perceived to play a strategic role. The results indicate clear differences between HRM characteristics in Western-owned units in China and India, and suggest that the use of expatriates and the background of the HR managers are important determinants of subsidiary HRM.

Determinants of Strategic HR Capabilities in MNC Subsidiaries

Given the established association between organizational capabilities and organizational performance, shedding light on the determinants of capabilities remains a priority. We seek to narrow this research gap by providing empirical evidence concerning the influence of individual‐level determinants of strategic HR capabilities in subsidiaries of multinational corporations (MNCs). More specifically, we focus on two different conditions of individual action that function as microfoundations for organizational level strategic HR capabilities: the experience of subsidiary HR managers; and the social capital between managers working with HR issues in the subsidiary and those in the corporate HR function. Analysis of quantitative data gathered from 123 subsidiaries of 12 Nordic MNCs finds significant relationships between several microfoundations and the development of strategic HR capabilities in MNC subsidiaries.

The influence of internal and external social networks on HRM capabilities in MNC subsidiaries in China

In this study we examine the influence of involvement in internal and external social networks on HRM capabilities. We distinguish between technical and strategic HRM capabilities and focus on the capabilities of the HR department relating to four HRM practices – recruitment and selection, training and development, compensation, and performance appraisal. The study is based on data from dual respondents, general managers and HR managers, in 66 European MNC subsidiaries located in China. The results indicate that contact with other MNCs in China regarding HRM issues is positively associated with both technical and strategic HRM capabilities whereas contact with local Chinese companies does not have any significant influence on either strategic or technical HRM capabilities. Contact with MNC headquarters is positively associated with strategic HRM capabilities.

From HRM practices to the practice of HRM: setting a research agenda

Purpose – The purpose of this paper is to develop an “HRM-as-practice” research agenda. The authors suggest that the HRM-performance literature would benefit from an actor-centric approach and a focus on activities, and that the HR roles research needs to shift its attention toward a more dynamic perspective of HR work and link this further to performance. Design/methodology/approach – The paper first provides an overview of strategy-as-practice (SAP) literature, and then review how extant HRM literature deals with three core notions of SAP: practices, praxis and practitioners. Based on this, the paper outlines an “HRM-as-practice” research agenda. Findings – Focussing on the intersections between praxis, practitioners and practice, the paper suggests that an “HRM-as-practice” approach can give new insights into first, how people-related decisions are made, implemented and enacted in organizations; second, how employees and other HRM stakeholders interpret and engage with HRM; third, how HR actors become ...

HRM integration mechanism usage in MNC subsidiaries in China

Purpose – The present study sought to shed light on the antecedents of HRM integration mechanism usage in MNCs and to establish the extent to which antecedents differ in importance across different mechanism types.Design/methodology/approach – A set of hypotheses was developed and tested on a sample of 76 European‐owned subsidiaries located in China.Findings – The results show that the use of HRM integration mechanisms is greater in more capital‐intensive subsidiaries that employ larger numbers of expatriates. Post‐hoc analyses provide support for the view that integration mechanisms are used in a complementary fashion rather than as substitutes.Research limitations/implications – The study did not include the MNCs strategic international HRM orientation and the sample size is rather small. The results of the study do not allow any conclusions to be drawn regarding the effectiveness of the mechanisms, however this would be a fruitful issue to pursue in future research.Originality/value – The paper addres...

Social networks and subsidiary HRM capabilities

Purpose – This paper seeks to examine the internal and external social networks in which subsidiary HR and general managers discuss HRM issues, and to explain how their involvement in these networks influences subsidiary HRM capabilities.Design/methodology/approach – The data consist of qualitative interviews with 40 HR and general managers in 23 Nordic MNC subsidiaries in China.Findings – Managers view their networks with other MNCs as being more important for developing their HRM capabilities than contact with peers in local domestic companies. Within the MNC global and regional networks were perceived as being especially useful.Research limitations/implications – The interviews were conducted in Nordic MNC subsidiaries in Beijing and Shanghai. This could carry implications for the generalisability of the findings. Other limitations of the study are the sampling method and the interview language. MNCs establishing themselves in China should encourage involvement of HR and general managers in internal an...

The strategic role of HR in MNC subsidiaries in China between 1999 and 2006

Purpose – The purpose of this paper is to examine the factors that have influenced the strategic role of the HR department in Western MNC subsidiaries in China between 1999 and 2006.Design/methodology/approach – The study is based on two sets of quantitative questionnaire data collected in 142 subsidiaries in 1999 and 2006. Qualitative interview data from 2006 are also used to shed light on the findings of the quantitative analysis.Findings – The results indicate that the role of the HR department was more strategic in 2006 than in 1999. Furthermore, subsidiary size and the size of the HR department were positively associated with the strategic role of the HR department.Originality/value – The study contributes to the literature on HRM in MNCs by examining the role of the HR department, which has received surprisingly little attention in previous research, especially the role of the HR department, in foreign MNC subsidiaries. The study also responds to calls for more empirical research examining the devel...

Talent responses to talent status awareness-Not a question of simple reciprocation

How to manage talent effectively is a key question in organizations. Yet, we still know relatively little about talent’s psychological reactions to their exclusive status. Based on psychological contract theory and research on status, this study analyzes a sample of 321 employees identified as talent by their organizations, only some of whom were aware of their exclusive talent status. The results provide evidence that talent status awareness moderates the relationship between a range of employer inducements and talent obligations, such that it increases the importance of some inducements while diminishing that of others. The study contributes to the talent management literature by isolating specific effects of talent status awareness and calling into question extant evidence of its direct positive effects on talent attitudes. The findings also have implications for talent status communication, talent management and future theorizing of talent reactions to their exclusive status.

Letting the chosen ones know: The psychological effects of talent status self-awareness

Due to organizational concerns about the effects of openly communicating employees’ talent status, employees may not be aware of having been identified as talent. In this paper, we examine how talent status self-awareness on the part of the individual influences the social exchange relationship between the employer and the talent. We propose that the relationship between psychological contract fulfillment, promised inducements and performance appraisal is modified by talent status self-awareness. Based on analyses of a sample of 313 talents – as identified by their respective multinational corporations (MNCs) – we find that talent status self-awareness makes talent more demanding in terms of psychological contract fulfillment, and performance appraisal less effective as a management tool. The findings have important implications for talent status communication, differentiated HRM practices, as well as future research on talent management.