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HRM bundles and organizational trust

HRM bundles and organizational trust According to the resource‐based view of the firm, a firm can be competitive only if its resources are unique and valuable. Therefore, the good functioning of the internal organization, including good human resource management (HRM) and high levels of trust, is considered to be a strategic issue and a critical source of competitiveness. It is also said that one of the growing challenges for HRM is to build a positive cycle of trust in the organization. This study aims to show the effects of HRM bundles, also known as HRM clusters, on various dimensions of organizational trust (interpersonal and impersonal). Confirmatory factor analysis, cluster analysis, and analysis of variance are used to analyze data from 14 organizational units in the information and communication technology and forest industries in Finland. The major finding is that among all the dimensions of organizational trust, only trust in other employees' competence and benevolence differs among the three HRM clusters. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Knowledge and Process Management: The Journal of Corporate Transformation Wiley

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Publisher
Wiley
Copyright
Copyright © 2018 John Wiley & Sons, Ltd.
ISSN
1092-4604
eISSN
1099-1441
DOI
10.1002/kpm.1561
Publisher site
See Article on Publisher Site

Abstract

According to the resource‐based view of the firm, a firm can be competitive only if its resources are unique and valuable. Therefore, the good functioning of the internal organization, including good human resource management (HRM) and high levels of trust, is considered to be a strategic issue and a critical source of competitiveness. It is also said that one of the growing challenges for HRM is to build a positive cycle of trust in the organization. This study aims to show the effects of HRM bundles, also known as HRM clusters, on various dimensions of organizational trust (interpersonal and impersonal). Confirmatory factor analysis, cluster analysis, and analysis of variance are used to analyze data from 14 organizational units in the information and communication technology and forest industries in Finland. The major finding is that among all the dimensions of organizational trust, only trust in other employees' competence and benevolence differs among the three HRM clusters.

Journal

Knowledge and Process Management: The Journal of Corporate TransformationWiley

Published: Jan 1, 2018

References