Abstract
Orientation: This study investigated whether or not strategic human resource management (SHRM) is being practiced in developing economies such as Uganda.
Research purpose: The purpose of the study was three-fold; firstly, to find out whether organisations implement SHRM; secondly, to find out whether the implementation of SHRM contributes to organisational goal attainment; and thirdly, to develop a theory grounded in data explaining the linkage between SHRM and overall organisational goal attainment.
Motivation for the study: This study was anchored in the Charmaz constructivist grounded theory approach. Underpinned by the belief that knowledge is co-constructed and interpreted by the researcher and the participant, in-depth interviews were conducted. An iterative process recommended by the grounded theory approach involved a continuous collection of data, analysis, and identifying gaps and possible sources of new data that were further analysed. The process ended at a point of saturation where new data did not contribute to any further verification of the new theory.
Research approach/design and method: The participants were selected from a cohort of postgraduate students, pursuing the Human Resource Management and Development programme at Uganda Management Institute.
Main findings: The findings indicated that, although rarely practised, SHRM plays a critical role in organisational goal attainment. Moreover, even those organisations that did not practice SHRM would manoeuvre to attain their goals.
Practical/managerial implications: Of equal importance, SHRM would only make meaningful contribution if conditions permit.
Contribution/value-add: The researchers conclude that organisations should implement SHRM, but equally put in place an enabling environment.
Keywords: developing economies; grounded theory; organisational goal attainment; strategic human resource management; research approach.
Introduction
Human resource management (HRM) is arguably one of the fastest-evolving management genres, drawing the interest of both scholars and practitioners. As Dessler (2020) observes, ‘Personnel management is not new’. Moreover, there has been an apparent appreciation of the HRM function, from a mere welfare unit to the boardroom (Shaw et al., 2013) or to what Jackson et al. (2014) call a ‘seat at the table’ where key decisions are agreed.
In recent times, the need for internal organisational efficiency and global competitiveness has led to increased interest in ‘strategic management’. In tandem with the general long-term view of the organisations, there is an apparent need to align the HRM function with organisational goal attainment (Chadwick, 2017; Ologunde et al., 2015). Human resources (HR) are viewed as the backbone of an organisation, and in today’s fast-changing and competitive environment, employees are pivotal to organisational goal attainment (Chadwick, 2017; Chiware & Vyas, 2021; Shaw et al., 2013). It has, therefore, become imperative that for any organisation to deliver services, it has to attract, enhance as well as harness the full HR talent potential.
Despite the apparent importance of the HRM function, some voices point out that there is a dearth of coherent theoretical frameworks to explain the concepts and the processes linking HR to goal attainment (Guest, 2011). Instead, the field is criticised for concentrating on documenting a number of practitioner-oriented and conceptual models, likely to demonstrate how a few HR concepts contribute to elements of business strategy (Akingbola, 2013; Chadwick, 2017; Larkin et al., 2012). Hollenbeck and Jamieson (2015) suggest that, given the long-term view of organisations, it is imperative to develop and implement an equal measure of strategic and integrated HR approach.
Historically, theories and models of the organisational strategic outlook acknowledge the importance of linking internal capabilities and activities aimed at enhancing competitive advantage (Buller & McEvoy, 2012). Of equal importance to the emerging perspectives on the organisational long-term view is the possibility of aligning the HR function with superior goal attainment (Jackson et al., 2014). Moreover, literature points to the likelihood of enhanced goal attainment when it adopts a talent-acquisition approach that is aligned to the strategy and a compensation and staff-development strategy that enhances peak performance among other HR functions (Buller & McEvoy, 2012; Chadwick, 2017; Crook et al., 2011; Jackson et al., 2014).
While several authors explain the importance of linking strategic human resource management (SHRM) to organisational goal attainment, whether or not it was being implemented, especially in developing countries, was the mainstay of this study. Organisations were viewed as heading for difficult times, given the constant demands from the population and the competitive environment, if they did not adopt SHRM to enhance organisational goal attainment. Moreover, there was pessimism about the effectual role of SHRM in goal attainment because there exists literature pointing to the lack of a specific mechanism by which the HRM function affects organisational goal attainment (Harvey & Turnbull, 2020; Lengnick-Hall, Beck, Lengnick-Hall, 2011; Truss, Mankin & Kelliher, 2012; Heath & Cowley, 2004; Buller & McEvoy, 2012; Chadwick, 2017; Guest, 2011). As such, this article sought to provide lived experiences, involving the implementation of SHRM to enhance organisational goal attainment. In addition, the article aimed at developing a theory, grounded in data, to explain the complex relationship between SHRM and organisational goal attainment (Bello & Ologbenla, 2018).
Research methodology
The first systematic works on Grounded Theory (GT) were published by Barney G. Glaser and Anselm L. Strauss’s in their work entitled: The Discovery of Grounded Theory (1967). Grounded Theory has since evolved into three major genres; the Glaser, the Strauss and Corbin and, the Charmaz approaches each spelling out distinct approach and methodology.
While considering an appropriate methodological approach to this study, the Charmaz Constructionist Grounded Theory was preferred for its rigour. The iterative approach common with GT aided the development of a middle-range theory immersed in empirical data. Charmaz avowed that, ‘no one goes into a study without prior knowledge’ about the subject area (Charmaz & Thornberg, 2021; O’Reilly et al., 2012). Given our stance that we are lecturers at Uganda Management Institute, we had reviewed extensive literature relating to SHRM theories and models, which revealed a need for a theory that would explain the complex context within which SHRM is implemented (Hamadamin & Atan, 2019). As Singh and Estefan (2018) emphasise, we were drawn to the GT because we sought to further understand the implementation of SHRM and utilise real-world experiences of it, to develop a theory to explain the complex relationship between SHRM and organisational goal attainment.
Strauss and Corbin (1994) opined that, ‘no inventor has permanent possession of the invention’. As such, the GT that was suggested four decades ago has seen remarkable changes, offering distinct ontological, epistemological and methodological perspectives (Chen & Boore, 2009; Goldkuhl & Cronholm, 2010; Ralph et al., 2015). Whereas Glaser and Strauss (1967) believed in objectivism, Strauss and Corbin (1994) proposed the symbolic interactionist roots, and Charmaz (2014) radicalises GT by holding the constructivism view. We believed that data would be co-constructed and interpreted while collecting it from the participants. Being lecturers to practitioners and postgraduate students of Human Resources Management, we purposively and conveniently selected data rich participants. The gaps, or the need to clarify on the initial interviews, led us to new participants to a point where an emerging theory would be diagrammed. Thereafter, theoretically sensitive data were sought from participants till a point of saturation.
Charmaz (2001), preferring the relativists claim, contended that concepts such as rationality and truth, could only be understood as ‘relative to specific conceptual schemes, theoretical frameworks and contexts’ (Glaser & Strauss, 1967; Guba & Lincoln, 1994; Sbaraini et al., 2011). Furthermore, Charmaz (2014) suggested that data should be looked at as having the potential for multiple meanings. As such, while searching for, and questioning tacit meanings about the phenomena, ‘truth’ was deduced from the spoken and cues from the unspoken word and context (Guba & Lincoln, 1994; Ng & Hase, 2008; Sembiring et al., 2011). Using subjective interactionism as suggested by Charmaz (2014), we interpreted data with a view that participants were rational and selective in their actions or inactions (Birks et al., 2001; Charmaz, 2001; Mills et al., 2006; Pandit, 1996; Singh & Estefan, 2018).
Utilising the GT methodology involved (1) simultaneous data collection, coding and analysis, (2) constant comparison of ideas, reflective memos and concepts, (3) identifying emergent categories, which were developed into themes. The interim categories and themes provided cues to diagramming an emerging relationship between variables, and thus the emerging theory. Next, we demonstrate the rigorous and iterative process.
Data analysis and discussion
Figure 1 is not meant to systemise the research process from data collection, analysis, theoretical sampling, to the emergence of a theory, but rather to demonstrate the iterative interplay between the phases.
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FIGURE 1: The iterative process of data collection, analysis and theoretical sampling. |
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Given the interpretivist, constructionist’s philosophical stance of the researchers, our belief was that, ‘truth’ would be constructed through interactions between the researchers and the participants. Being lecturers to practitioners and postgraduate students of Human Resources Management, we conveniently engaged 19 students of 2020/2021 academic year. Our initial grand questions were: ‘What is strategic management?’ ‘What does human resources management entail?’ ‘What does the concept “strategic human resource management” mean?’ From the responses, we were able to gain meaning of the concepts, strategic management and SHRM. The underlying ideology was that it involved forward looking and deliberate choice of activities that if implemented would lead to the attainment of the overall goal.
Piqued by the need to find out whether participants utilised SHRM in their organisations, we asked the question ‘Is your organisation implementing SHRM?’ Out of the 19 participants, only 3 were from organisations that implemented SHRM. Armoured with reflectivity, the key questions on the memos were: why were there so few organisations practising SHRM? Could there be challenges to implementing SHRM? What characterises the organisations implementing SHRM?
Our data revealed that SHRM was practised mainly by private for-profit and government parastatal organisations, and not in the government ministries, local governments and family businesses. We further interrogated what characterised those that did and those that did not, utilise SHRM. Results from the interviews and analysis of memos were compared. It seemed that private for-profit and government parastatal organisations were driven by the culture of demand for results unlike government ministries that emphasised procedures. Results further indicated that the three organisations said to utilise SHRM, implemented it in varying forms with only one fully aligning SHRM with the organisational strategy. The other two had HR strategies that had no clear linkage to organisational goals or implemented in piecemeal with a select of HR functions being linked to organisational goal attainment.
In the furtherance of theoretical development, Charmaz (2014) suggested that data should be looked at as having the potential for multiple meanings. As such, the researchers went beyond surface meanings, while searching for and questioning tacit meanings about strategic HRM. The synthesised responses from the question, ‘What is Human Resources Management?’ indicated that the concept had to do with HRM practices. In addition, the HR practices in themselves would only be viewed as important when they influence or contribute to organisational goal attainment. Strategic Human Resource Management would be effectual if it involved deliberate choice and implementation of activities that targeted attainment of specific elements in the strategic plan. This would be occasioned, if HR department sat in top management meetings to decide on the course of action for the future, not occasional invitation to advice on a few concerns.
To further the constant coding, comparative analysis as suggested by Charmaz (2014) and Sembiring, Nuryatno & Gondokarrryono, (2011), after comparing the data from the three participants who purported to utilise SHRM, we conducted in-depth interviews with the 16 participants from organisations who did not practice SHRM. Results emphasised the dichotomy by indicating that the government sector, local governments and typical family businesses did not provide the HR function adequate space to act. In such cases, HR departments were still engrossed in miniature and routine activities as directed by higher authorities and central government. While in the government, this is attributed to bureaucracy and a heavy top-down syndrome, in the family businesses it is blamed on interference from family members. Organisations that did not practice SHRM were further characterised by the lack of, or non-adherence to principles such as merit in the recruitment and training of staff, and fairness in the enforcement of discipline. It is lamentable that in such organisations, SHRM only becomes useful by developing a narrow focus on economic goal attainment, which distances it from cognate fields that would make it integral.
Overall, results seemed to indicate that many institutions seemed not to appreciate the need to involve HRM department in strategic matters. This cue, that was signalled from constant comparisons of data, reflective memos and analysis, led us to ask the question ‘What are the reasons for not utilising SHRM?’, ‘Do organisations need to utilise it at all?’ Using subjective interactionism as suggested by Charmaz (2014), we interpreted the data indicating that some organisations did not implement SHRM to mean that human interactions are deliberate and intentioned. As such, organisations that did not practice SHRM perhaps did not see any reason for it. Other reasons advanced included the lack of knowhow and negative influences from leadership. To galvanise this possible stance, we engaged participants both from organisations that implemented SHRM and those that did not.
Not appreciating the strategic role of HR had the net effect of having a weak HR function that could hardly address employees’ concerns and strategic goal attainment. The inferior or subordinated HR department would only implement routine or directives from higher authorities. This would also mean that if the directives were unclear or poorly communicated, implementation would be compromised.
From the initial open coding where data were broken down into smaller sense units, labelled and categorised, concepts were regrouped and analysed through axial coding. The clear dichotomy of organisations that utilised SHRM and those that did not, guided in discerning a core category – success factors of implementing SHRM. The decision of an organisation of either to implement SHRM or not was prompted by factors within (endogenous) and outside (exogenous) to the organisation, forming the sub-categories. The internal success factors included, the availability of strategic plan, HR strategy and policy framework, recruit and grow talent, incentivise employees to perform and management support. The exogenous factors included, market demands, customer or client behaviour, control from other organs, competitor behaviour and legal regime, among others. The internal and external factors either impeded or enhanced goal attainment. Selective coding informed the diagramming as expressed in Figure 2 by demonstrating the connectivity of the categories and sub-categories formed during axial coding.
Figure 2 shows that for SHRM to be utilised in an organisation, there should be a HR strategy. The HR strategy should indicate deliberate development of policies, choice of practices and activities that if implemented should lead to goal attainment. However, implementing strategic HR policies and practices is only possible if internal and external factors are facilitating.
The figure above, constructed from our data, indicates that we cannot talk of SHRM contributing to goal attainment of an organisation without considering internal and external factors, which may be either inhibitive and progressive. Among the core factors generated from our data, capacity gaps, context, and management support stand out. These findings partly echo those of
Literature comparison phase
We reviewed extant literature to compare with the emerging theory. Although there are many theories, our focus was on the Harvard model and Boselie’s 8-box model. Both models resemble the emerging theory because they acknowledge the influence of internal and external factors that are likely to enhance or impede effectual SHRM implementation. They also guide on the need to align the HR strategy with the business goals. Comparison of the emerging and extant literature was meant to enhance generalisation and validity of the new theory.
Discussion of findings
Regarding the conceptualisation or meaning of ‘HRM, our data revealed that HRM has to do with HR practices. In addition, the practices were not important in themselves unless they contribute positively to organisational wellness, such as reduced operational costs, efficiency and enhanced productivity. As Cooke et al. (2021) observe, while in pursuit of academic rigour, there is need for research outputs to link SHRM with organisational attainment to enhance management and planning activities. From their perspective, when HRM policies and practices are aligned with strategic goals, they are likely to contribute positively to organisational goal attainment (Lim et al., 2017; Deley & Roumpi, 2017). In a nutshell, today’s employers want their HR departments to add value to the organisation (Jiang & Messersmith, 2018). Through HR initiatives and practices, both the individuals and the organisation improve in measurable terms by boosting profits, goal attainment and cutting costs (Harvey & Turnbull, 2020; Boxall & Purcell, 2000). This calls for the HR department to align HR actions with the organisational strategy, fostering employee engagement, in addition to growing stakeholder value and profitability (Kaufman, 2020). The HR specialist is thus expected to discard the traditional ‘personnel management’ approach and demonstrate how HR plans can contribute to the overall organisational strategic direction in measurable terms. However, as Hamadamin and Atan (2019) observe, attempts by researchers to determine whether the strategic context was impacted by HR management have been limited to a few perspectives. It has not been possible, this far, for any study to carry out an integrated construct involving all HR functions, given that the functions themselves are ever evolving. This study, not being a panacea for the limited perspectives in the earlier studies, focussed on emergent views from the data.
Our results indicate a dichotomy in the implementation of SHRM, with the government sector and typical family businesses not providing the HR adequate space to act. While in the government, this is attributed to bureaucracy and a heavy top-down syndrome, in the family businesses it is blamed on interference from family members. It is lamentable that in such organisations, SHRM only becomes useful by developing a narrow focus on economic goal attainment, which distances it from cognate fields that would make it integral (Beer et al., 2015).
While this study suggests that SHRM is especially practised in business and government parastatals, and not in the mainstream public sector, Lim et al. (2017) provide evidence of its application in a federal agency in the United States. This is possible because mainstream public service organs, such as ministries, have recently adopted wider reforms, calling for efficiency and integration with long-term goals. Strategic planning and alignment were more visible in a competitive environment, for purposes of being the market leader and delivering superior financial goal attainment (Jiang & Meassersmith, 2018). As such, strategic goals were cascaded from top management to relevant departments for adoption and customisation to reflect how they would contribute to overall goals.
Further experiences regarding the implementation of SHRM indicate that many institutions have not fully appreciated the need for implementing SHRM, and continue to implement traditional HRM or piecemeal SHRM, which is unlikely to contribute to the attainment of organisational goals (Kaufman, 2020). The inferior position of HR activities while implementing traditional functions makes it difficult for HR to promote organisational goal attainment. Such organisations overlook the importance of SHRM and its possible influence on the wider institutional context (Harvey & Turnbull, 2020). One of the key findings is related to the challenges that made it difficult to implement strategic HRM; this was the over-centralisation of authority at the top management level. It was reported that there was very little participation and control over planning, especially in district administration. As such, the role of HR specialist staff in the districts was relegated to traditional HR function implementation that rarely contributed to overall goal attainment.
A healthy environment within which SHRM can be implemented effectively is one where HR policies and procedures are adhered to. In such an environment, the HR specialists are given an opportunity to implement strategic talent attraction, growth and retention. In addition, stakeholder sponsorship is key to the success of SHRM, without which little is implemented. The findings further pointed to the internal and external factors that either impede or enhance goal attainment. In appreciating the external factors, Chadwick (2017) opines that appreciating such factors would open up the system, thus the HRM phenomenon would not be looked at in a generalised form but, rather, as context-based and dependent on other factors (Collins, 2021).
Limitations
We were constrained by the coronavirus disease 2019 lockdown midway of the face-to-face data collection. As such, we resorted to telephone interviews thus missing out the important body cues. The lockdown equally affected the release of funds for the study, thus leading to delays in completion of the study.
Conclusion
The ever-growing importance of, and demand for, HR to do more for organisations is apparent. This is not only viewed through the phenomenological changes from personnel management to HRM but also through the current need to link HR to organisational goal attainment. As organisations demand that the HR function contribute to the long-term view, it is imperative that management puts in place an enabling environment. Utilising the GT approach, this study suggests a theory that links SHRM implementation to the context of the organisation. The study further emphasises the opinion that HR is useful only to the extent that it contributes to organisational goal attainment.
Acknowledgements
The authors would like to acknowledge the financial support from Uganda Management Institute Research Centre that made it possible to carry out the intensive study. They also appreciate our students who willingly participated in the study using information from their organisations.
Competing interests
The authors reported that they received funding from a research grant from Uganda Management Institute Research Centre, which may be affected by the research reported in the enclosed publication. The authors have disclosed those interests fully and have implemented an approved plan for managing any potential conflicts arising from their involvement. The terms of these funding arrangements have been reviewed and approved by the affiliated University in accordance with its policy on objectivity in research.
Authors’ contributions
F.H.W. conceptualised the study, suggested the methodology and wrote the first draft. G.M. played a significant role in collecting data and analysis.
Ethical considerations
Ethical approval to conduct this study was obtained from Uganda Management Institute Research Committee (No. UMI/DPSA/IREC/021).
Funding information
The researchers received a research grant number 02/2019 from the Uganda Management Institute.
Data availability
The data that support the findings of this study are available from the corresponding author, F.H.W. upon reasonable request.
Disclaimer
The views and opinions expressed in this article are those of the authors and are the product of professional research. The article does not necessarily reflect the official policy or position of any affiliated institution, funder, agency or that of the publisher. The authors are responsible for this article’s results, findings and content.
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