Unit 5.2 The context of evaluation

5.2 The context of evaluation

It is important to evaluate the fit of SHRM practices not just in relation to their strategic context but also to the social context in which the organisation operates. Different industries, for example, have quite different approaches and this shapes the expectations of employees and managers.

National cultures and political and economic institutions are also a highly important context. For example, a recent study (Fey et al., 2009) found important differences between countries in the relationship between different HR practices and performance. Fey and colleagues gathered data on the performance and SHRM practices of 241 firms across Russia, Finland and the USA. Cultural differences were important. They found a strong link between organisational performance and communications practices in Finland but not in Russia while the USA fell in the middle.

Calibrating data about performance across different international or national divisions of an organisation or even across different managers in different departments of one organisation can be difficult. How can we be sure, for example, that the same criteria are being used for the evaluation of the performance of an employee in the marketing department and employee in the accounting department? You may have ideas or direct experience that would help you suggest how this might be tackled.