RESEARCH PROPOSAL - AIM-USA Home · 2019-12-08 · RESEARCH PROPOSAL RESEARCH TOPIC LEADING SUSTAINABLE SYSTEMS: A STRATEGIC HUMAN RESOURCE MANAGEMENT APPROACH This is a qualitative

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THE UNIVERSITY OF NORTHAMPTON

NORTHAMPTON BUSINESS SCHOOL

MASTER OF BUSINESS ADMINISTRATION PROGRAM

BUSINESS RESEARCH PROJECT

STRM044 AUTDL 16/17

RESEARCH PROPOSAL

RESEARCH TOPIC

LEADING SUSTAINABLE SYSTEMS: A STRATEGIC HUMAN RESOURCE MANAGEMENT

APPROACH

This is a qualitative study designed to explore the effects of change on emerging business organizations in

Jamaica and the role of Strategic Human Resource Leaders in addressing these.

Name: Sasha-Lee Sommers

Student ID#: 16443745

Name of Supervisor: Jane Elliott-Poxon

Date of submission: February 28, 2017

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ABSTRACT

The study explored the strategies (decisions, actions, tools and techniques) that Strategic

Human Resource Managers can use to sustain change-capable, competitive, productive and

profitable small and medium sized businesses (SMEs) in the new global market place. Critical

review of literature, questionnaires and interviews were used to investigate and draw

conclusions about prevalent concerns and solutions. Mixed method research was introduced

to analyze the data. 40 workers were surveyed and decisions-makers in SMEs interviewed in

selected industries.

Early findings showed that:

(1) The general goals of SMEs are to achieve and maintain profitability productive workforce;

employee retention; organizational growth; competitiveness in the local and global markets,

and preparing the workforce for the internal and external factors of change.

(2) The reasons why SMEs are so are important to the Jamaican economy are: they make up

90% of jobs in the Jamaica economy, these jobs provide economic and social stability and

give people the resources and tools they need to empower themselves. However, there are

challenges in the local and global markets that threaten their sustainability.

(3) If they are to succeed, knowledge is the most important factor in growing a business and

SMEs must foster competitive environments in which they can thrive by using available

resources, technology to improve knowledge through-out their organizations to hone talent

and develop new ways of thinking.

(4) There are two Strategic Human Resource Management concerns that will directly influence

these goals: (1) human capital and (2) the organizational systems (policies and practices) in

which they are employed.

(5) These resources must be managed with vision, creativity and care if SMEs want to

differentiate themselves and succeed in the local and global market in which they operate.

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TABLE OF CONTENTS

INTRODUCTION………………………………………………………………. PAGE 4

CRITICAL LITERATURE REVIEW………………..………………..………PAGE 5

METHODOLOGY…….………………………………………..……………….PAGE 9

DISCUSSION……………….………………………………..………….………PAGE 11

PROVISIONAL WORK SCHEDULE…….…………….…………..…….PAGE 13

REFERENCE PAGE…………………………….……………………….…….PAGE 14

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INTRODUCTION: PURPOSE AND SCOPE OF THE RESEARCH

Purpose

This research is undertaken to explore the strategies (decisions, actions, tools and techniques)

that Strategic Human Resource Managers can use to sustain change-capable, competitive,

productive and profitable small and medium sized businesses (SMEs) in the new global market

place. The research aim therefore is to study the roles, functions, policies and practices of

SHRM toward people management and leadership and identify the appropriate strategies for

SMEs in Jamaica to differentiate themselves and compete locally and in the global markets in

which they operate.

Specific research objectives identified are to:

1) Assess the specific issues, needs and requirements of SMEs is its local and global

markets.

2) Determine how the challenges and opportunities SMEs face in their environments can

be resolved and optimized through effective SHRM for innovative, productive,

competitive, profitable and sustainable business enterprises.

3) Explore how specific SHRM tools, techniques and strategies can be applied and

monitored in case specific sectors to both establish key performance indicators and

gauge their long-term success in the SMEs studied.

Scope

Topics to be investigated in the critical review of literature, discussion section and primary

study will support the research aims and objectives to make SME’s more sustainable through

SHRM. These cross disciplinary areas include: the importance of small and medium sized

enterprises in Jamaica, their impacts on the country, and the tools and techniques of Strategic

Human Resource Management that can be employed in case specific situations to align the

people practices to fulfill the business goals and simultaneously resolve the prevalent issues

that threaten their sustainability: economic concerns, business models, leadership approaches,

human relations practices, government legislation, technology and competition.

Examples will be drawn from specific business cases in the education, tourism, agriculture and

manufacturing sectors because on their importance to the local economy.

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CRITICAL REVIEW OF LITERATURE

The Problem: Assessing the specific issues, needs and requirements of SMEs is its local and global markets

Early criterion to identify small and medium sized businesses (SMEs) in Jamaica as per the

Private Sector Organisation Of Jamaica is total sales. This was later expanded by Ministry Of

Industry, Investment, and Commerce and Mona School Of Business to include the number of

employees with the total sales to define small business (Micro, Small & Medium Enterprise and

Entrepreneurship Policy, 2013). The importance of SMEs today in Jamaica cannot be overstated

but the challenges they face both in their local and global markets threaten their sustainability.

Golding (2011) proposed that the reasons why SMEs are important to Jamaica are: Jobs,

economic and social stability, and giving people the resources and tools they need to empower

themselves. To support this, in 2007 there were 22, 618 small businesses registered with the

Companies Of Jamaica (Jamaica Information Service, 2007), and in 2013, small and medium

sized businesses made up 90% of jobs in the Jamaica economy (Ministry of Industry, Investment

and Commerce, 2015). Without dispute, the economic and social potentials of the country are

wholly dependent on successful SMEs. However, with declining economy and limited financing

options available to current and emerging entrepreneurs, the country is in a serious

conundrum. Golding (2011) noted out that: “Jamaica's debt was $1.6 trillion, or 130 per cent of

gross domestic product (GDP), the value of all goods and services produced in Jamaica…The

poverty rate has increased over the last three years from 344,000 in 2008 to 482,900 in 2010.

The youth unemployment rate is 30.5 per cent, and among the volatile 15-24 age group, the

rate is 28.7 per cent” (par. 4). To make a bad situation worse, alongside the staggering debt

that impedes government’s functionality and ability to help SMEs to access financing, (Fisher,

2015) noted other factors such as competition, technology, performance of the economy, and

changing customers’ needs as other prevalent issues that plague them.

To address the findings, Golding (2011) stressed that knowledge is the most important factor in

growing a business and SMEs must foster competitive environments in which they can thrive by

using available resources, technology to improve knowledge through-out their organizations to

hone talent and develop new ways of thinking. This, he pointed out, does not exonerate other

important stakeholders from their responsibilities to the development of SMEs in Jamaica:

Government – to ensure an environment that is pro-business for current and emerging

innovators and entrepreneurs; colleges and universities to teach relevant skills and

technologies to enable knowledge to improve business performance and success; and the Small

Business Association Of Jamaica to help current and emerging business to access the

information and knowledge that they need to start, grow and sustain their business.

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Solving The Complex Current Issues Faced By SMEs In Jamaica: Determining how the challenges and opportunities SMEs face in their environments can be resolved and optimized through effective SHRM for innovative, productive, competitive, profitable and sustainable business enterprises

What is Strategic Human Resource Management (SHRM)?

Kaplan and Hurd (2002) described Strategic Human Resource Management as the processes

that businesses employ to solve prevalent issues and which (Kostova and Roth, 2002) identified

as the roles, functions and approaches positioned at the macro levels of the organization for

managing people to strategically differentiate the actions of the organization from the

competitors (Leung, 2003). Dessler and Varkkey (2011) defined Strategic Human Resource

Management as the creation and implementation of human resource policies and practices that

produce the employee competencies needed for an organization to achieve its strategic aims.

Goals of SMEs

Root (2014) posited that the general goals of SMEs are to achieve and maintain profitability

productive workforce; employee retention; organizational growth; competitiveness in the local

and global markets, and preparing the workforce for the internal and external factors of

change. Delery and Roumpy (2017) however observed that there are two Strategic Human

Resource Management concerns that will directly influence these goals: (1) human capital and

(2) the organizational systems (policies and practices) in which they are employed. Because

change impact businesses in both positive and negative ways (Fedor, Caldwell and Herold,

2006), Walsh, Sturman and Longstreet (2010) cautioned that SHRM is shaped by four

overarching goals/challenges that will likely impact SMEs ability to succeed in achieving these

goals: (1) using the knowledge and skillset of employee’s to the best advantage of the business;

(2) using human resource initiatives to gain a competitive advantage; (3) determining how the

HR initiatives of the organization can collaborate to support the organizational goals; and (4)

applying HR tools, strategies and techniques to aid in strategic decision making.

Preparing For Change

Bennis (2009) stated that adaptability is a key requirement of emerging leaders. So, SHRM

must be willing to develop people that are innovative, flexible, motivated and engaged to

successfully move the organization through periods of change (Samuels, 2016) but change is

not always easy, it can be chaotic (Marsh and Stern, 2008), disruptive (Christensen and

Overdorf, 2000), impact job security and leave people in the organization vulnerable (Stark,

2010). So, developing an adaptable workforce provides the small business with the leverage to

be bold and innovative and thus bring new ideas to the sector to compete and succeed

(Samuels, 2016).

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The literature identified two Strategic Human Resource Management concerns that will

directly influence SMEs; (Delery and Roumpy, 2017)

Human Capital:

SHRM is a comprehensive set of managerial decisions and actions toward hiring, developing

and maintaining a workforce that is qualified to enable organizational effectiveness as key

indicator of the organization’s ability to achieve its strategic goals (Fottler, Khatri and Savage,

2010). This workforce or human capital of the business has the knowledge, skills and abilities

that can be used to generate value for the organization (Becker, 1962; Bontis, 1998; & Coff,

1997). Organizations that invest in the recruitment & selection, training and development,

employee motivation and performance management systems create ‘invisible assets’ that

enhances the capabilities of the business (Becker and Gerhart, 1996). Through the investment

in these systems, employees are encouraged to improve their skillset, are more motivated to

work and their overall productivity improves (Delaney and Huselid, 1996; Youndt et al., 1996).

Thus successful SHRM strategies in SMEs will include developing organizational core

competencies for: intrinsic and extrinsic motivation of its people, sustaining transactional as

well transformational engagements in the organization, and hiring the right mix of people

based on demonstrate traits and competencies for development (adaptability) are key to SMEs

(Samuels, 2016).

Organizational systems (policies and practices): We can safely say that for SHRM to be effective, SMEs leaders must think outside of a box and

not merely adhere to particular schools of thinking. However, there are strategic human

resource tools that may be applied to grow small and medium sized businesses. These are:

recruitment & selection, training and development, motivation, performance management

systems (Becker and Gerhart, 1996; Shapiro et al., 2013; & Gluck, Kaufman and Walleck, 1980);

compensation and rewards and employee relations (Cania, 2014; Fottler, 2010); and knowledge

management (Halawi, Aronson, McCarthy, 2005; & Omotayo, 2015). The proper application of

these tools will enable the SME to differentiate itself through innovative leadership practices

and strategies that embrace a leader’s personal leadership style (Peretomode, 2012) and the

adaption of these styles successfully to the specific demands of the situation (Yukl and Mahsud,

2010).

Concerns and solutions in developing organizational efficiency systems in SMEs:

There are competing views on how these policies and practices are implemented and systemic

efficiency achieved in SMEs. Frederick Taylor's view of work for example, established

systemizing efficiency which puts the primary focus on the managers. Bell DeTienne (1998)

argued that this resulted in the dehumanized of the workers and the culture of work which is

the cause of conflict between workers in the process. Taylor's scientific management not only

dehumanizes but gives autonomy to the manager which stands in direct contrast to SHRM

which proposes a better vision for SME that ties humanistic values into its corporate goals and

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where systemic efficiency and success is the outcome of: shared vision (Bennis, 2009 & Kotler,

2006); shared values (McKinsey cited by Kaplan, 2005); balancing the interest of people -

shareholders, leaders, managers, workers, and customers- in the organization (Samuels, 2016);

cultural change (Lewin, 1935); and people and systemic transformation (Bass and Riggio, 2006).

Golding (2011) concluded that indeed SHRM can help SMEs to develop the knowledge, talent, innovation and new leadership thinking to be change-capable, productive, profitable and competitive in today’s marketing environments and despite the prevailing external pressures, grow and be sustainable.

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RESEARCH METHODS AND APPROACHES

Research Methods

To carry out this study the mixed research method is used to achieve the stated objectives of

the paper: to assess the specific issues, needs and requirements of SMEs is its local and global

markets; to determine how the challenges and opportunities SMEs face in their environments

can be resolved and optimized through effective SHRM for innovative, productive, competitive,

profitable and sustainable business enterprises; and to explore how specific SHRM tools,

techniques and strategies can be applied and monitored in case specific sectors to both

establish key performance indicators and gauge their long-term success in the SMEs studied.

Literature review (using secondary data) and surveying and interviewing real people (primary

data) were the primary methodology selected to accomplish the research objectives.

Research Design And Methodologies

The paper is using various methodologies and approached to achieve the said objectives:

Secondary Study.

This is the critical review of published literature: books, journals, dissertations, computer

databases, and internet material were evaluated and used (Learning, n.d.). Google scholar was

used to find contemporary books on SHRM; various articles and websites on SMEs in Jamaica

were identified. These provided useful sources for literature on SHRM in SMEs that enabled

robust and critical discussion around the topical areas.

Primary Study.

1. Questionnaires/Surveys: In the qualitative portion of the study, 40 employees of various

SMEs across Jamaica completed the Survey on their experiences of SHRM in their

organizations and if these policies are effective. The participants for the survey were

selected through industry networking, and social media over an eight-week period. The

inquiry assessed the participants on how the SHRM department in their company

effectively prepare them for specific changes in the internal or external environments; the

quality and frequency of the development programs provided by the companies; their

degree of job security, motivation and active engagement in the roles and success of the

SMEs; and if there are ample opportunities for professional mobility and personal

development.

2. Case Study: Observations supported with specific examples are used to illustrate SMEs

cases from the education, tourism, agriculture and manufacturing sectors. In these cases,

leaders of SHRM were interviewed and inquiries made into the strategies, tools and

techniques used to: train the workforce; prepare the staff for changes resulting from

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globalization, advancement of technology, economy and other external factors; assess the

currency of the HR policies and how these impact employees’ motivation, participation

and general attitude towards their work; and prepare future leaders to support the

organization goals and build a culture that supports a change-capable workforce.

Collating, Evaluating, Analyzing And Presenting The Research Data

Both qualitative and quantitative research techniques are being used to evaluate and share the

important findings from the research. The Qualitative method is used to interpret the findings

from the surveys and interviews. For the interview the following steps were followed (Bcps.org,

2015):

1. Transcription and organization of the data as the first stage of the analysis.

2. After, there is the systematical analyzing of the transcripts,

3. Grouping together comments on similar themes and

4. Attempting to assess, compare and interpret them. Discourse Analysis allows for a number of different approaches to analyzing the written, spoken and sign language assessed.

5. Finally, drawing conclusions and making recommendations.

The data was further grouped and analyzed using quantitative methods to identify the

frequency of common themes and trends. The implications of this mixed method are that both

qualitative and quantitative research techniques are used to analyze, find common themes,

compare, and share the important findings that emerged to achieve the research objectives

(Learning, n.d.).

Ethical Concerns Addressed In The Research

Ethical concerns such as how to protect the participants’ confidentiality were addressed by

allowing participants in the survey to remain anonymous and those being interviewed assigned

a code name that we used consistently in labelling and transcribing the conversations (Learning,

n.d.).

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DISCUSSION

The Emerging Research Question:

The emerging and refined question from the literature is: What strategies (tools, techniques, policies and practices) can leaders of SHRM use to build human capital and organizational systems to help SME’s to grow and remain sustainable?

Significance Of Proposed Research:

The findings in the research showed that small and medium enterprises (SMEs) are the employer of over 90% of Jamaicans. Thus, SMEs are very important to the country and its citizenry for their productive capacities for sustainable economic and social development. It is important then to have successful, diverse and competitive SMEs for a strong economic performance, innovation and new industries, and increasingly good paying jobs. When SMEs are succeeding, only then will Jamaica and its people succeed. Because knowledge is key to building the productive capacity of SMEs, SHRM through its focus on building human capacity and organizational systems will find and develop the right people to achieve this goal. As per Golding (2011): SHRM can help SMEs to develop the knowledge, talent, innovation and new leadership thinking to be change-capable, productive, profitable and competitive in today’s marketing environments and despite the prevailing external pressures, grow and be sustainable. Research Limitations and Generalizations:

Lack of available and/or reliable data on SMEs in Jamaica - The lack of available and updated

data on small and medium sized businesses in Jamaica poses an obstacle for the research to

ensure currency and form a meaningful relationship with the data found.

Validity of Primary Data Collected - Through the collection of qualitative data from Surveys and

Interviews, there is no way to validate if the information being collected is accurate and truthful

to the reality of the organizations involved in the research. There will also be no way to verify if

the research conducted is congruent with data from other sources as no other research on the

organizations used can be found in other material.

Generalizations – This is mixed method research but generally the evaluation of the primary

study is interpreted and evaluated using qualitative methods. This means that broad inferences

will be drawn from the responses and observations. This leaves room for bias because of

foundational assumptions that the researcher has as will be evident in reasoning through the

findings, even despite good efforts to be ethical and unbiased.

Foundational Assumptions - From the critical review of literature, a number emerging issues

and concerns are identified based on foundational assumptions about how people work, what

they value, and how they develop. For example, a thoughtful definition of SHRM from (Fottler,

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Khatri and Savage, 2010) such as: “Strategic human resources management (SHRM) is the

comprehensive set of managerial activities and tasks related to developing and maintaining a

qualified workforce. This workforce contributes to organizational effectiveness, as defined by

the organization’s strategic goals” leads to an assumption that if SHRM can hire, develop, and

reward people well, and they are motivated to work, this will lead to high productivity. There

are other schools of thinking such as trait leadership, that notes that people must be born with

the required competencies to excel in the said field and this refutes the developmental claims

central to SHRM. There are also contradictions between transformational views

(humanistic/relational) verses those presented by transactional (task oriented/management)

and the contingency model vs. situational that will challenge the core premise and claims made

in this work through the SHRM framework.

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PROVISIONAL WORK SCHEDULE

Timeframes Research Activities Costs

(JMD)

JAN 16- Feb 22 Reviewing literature on: Strategic Human Resource Management,

Change Management, Small Businesses in Jamaica, SHRM Strategies

Tools & Techniques, Impact of Change on Small Businesses, Functions

of SHRM and the approaches used by SHRM to manage change.

Completing Research Proposal for submission.

Discussing and agreeing on appropriate research methods and

methodology for the assignment.

Agreeing on the Resources Availability and Cost

Reviewing Secondary Literature for the ‘Critical Review Of Literature’

Section of my paper.

Developing Questionnaires for the Survey *

* $50

FEB 23-APR 7 Contacting participants for the Study via Social Media and Phone*

Conducting the Field Research*

*250

*4,000

APR 8 - APR 22 Collating and analyzing the Literature collected

Writing up the report in the Literature Review

Organizing the Findings from the survey and transcribing the interview

notes

APR 23-JUL 1 Completing Dissertation

Submission of the First Draft

JUL 2-AUG 4 Reviewing and editing per corrections Submission of Dissertation

TOTAL COST: $4,300

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