International Journal of Business and Social Science
Vol. 5 No. 2; February 2014
Electronic Human Resource Management System: The Main Element in
Capacitating Globalization Paradigm
Fahimeh Babaei Nivlouei
Researcher & Teacher
Department of Management Studies
Islamic Azad University Urmia Branch, Urmia, Iran.
Abstract
Perhaps we can claim that current era is the period at which human is standing on the bilateral edge of industry
and tradition. The basic characteristics of the complex industrial society in the future confirm that most of the
human management and communication mechanisms will not change during human life. Therefore, moving
towards the electronic world is a predictable phenomenon. In recent years electronic human resource
management (E-HRM) is being used in most of the big companies and institutions and is among the leading
organizational systems in human resource management (HRM) which its applications are considered to be very
effective and cost-effective. Doubtless in nowadays chaotic world, implementation and development of the E-HRM
systems as one of the basic features and elements in capacitating globalization paradigm play a significant role in
companies and countries. Globalization paradigm is a set of multidimensional and complex processes which
comprises several fields including economics, ideology, politics, culture and natural environments and leads to
more dependency among different countries. In this paper we try to propose an implicit model to identify the
nature, objectives, policies and strategies, applications and E-HRM system outputs in order to clarify the role of
this system as one of the most affective and affected basic elements in capacitating globalization paradigm by
relying on its dimensions, and point out the importance and necessity of the phenomena of organizational
globalization in modern societies via E-HRM system. In following sections we will try to fill in the existing gap
regarding the lack of sufficient attention to the present resistance in implementing E-HRM in the era of
globalization by identifying challenges, opportunities and proposing suggestions to fulfill the implementation and
development of the E-HRM system.
Key words: E-HRM System, Globalization Paradigm, Capacitating.
Introduction
Worldwide, the HR profession had to respond to increased competition for globally mobile talents, changes in
both workforce attitudes and composition, shifts in the employer/worker relationship and rapid advances in HR
technology. New kinds of technical knowledge, skills and abilities would require HR practitioners in future who
are flexible and willing to deal with the ever accelerating pace and often unpredictable changes in the global
workplace. The HR profession needs to evaluate the implications of a movement into an era of decentralization,
which if used properly, can lead to emancipation. The era will require a new kind of organization, based on a
different system that can bring together the contribution of autonomous individuals in a socially sustainable way.
It is thus clear that a new way to manage HR as a system is emerging, as well as new HR managers should
manage themselves (Anyim et al, 2011).
So, the knowledge-intensifying process of the economy and the correlated rise of organizational networks, with
their greater dependency on qualified and committed employees, identify the need for a form of HRM that meets
the demands and needs of the management and the employees. So in today’s IT based economy the need forEHRM system has become imperative to meet the HR challenges of 21stcentury (Zafar, 2010).Hence,
Organizations have increasingly been introducing web-based applications for HRM purposes, and these are
frequently labeled as E-HRM system (Swaroop, 2012).The rapid development of the Internet during the last
decade has also boosted the implementation and application of electronic Human Resource Management. Surveys
of HR consultants suggest that both the number of organizations adopting E-HRM and the depth of applications
within the organizations are continually increasing.
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In addition, an escalating number of practitioner reports provide anecdotal evidence that E-HRM is becoming
increasingly common and may lead to remarkable changes. Consequently, academic interest in E-HRM has
increased, as several special issues of HR-related journals demonstrate. Meanwhile, there is an initial body of
empirical research in E-HRM (Strohmeier, 2007).To date, many empirical studies represent a variety of contexts,
factors and measures of E-HRM (i.e. Bell, Won Lee & Yeung, 2006; Bondarouk & Ruël, 2005; Bondarouk &
Ruël, 2009; Gardner, Lepak & Bartol, 2003; Gupta & Saxena, 2011; Hoch & Dulebohn, 2013; Maatman, 2006;
Marler & Fisher, 2013; Olivas Lujan, Ramirez, & Zapata Cantu, 2007; Ruël, Bondarouk, & Van der Velde, 2007;
Sanayei & Mirzaei, 2008; Strohmeir & Kabst, 2009; Voerman & Veldman, 2007; Yusliza, Ramayah, &
Haslindar, 2011; Yusliza & Ramayah, 2011; Zafar, 2013). In addition, today the world is becoming more
complex, dynamic and increasingly uncertain. Globalization paradigm, a process fostered and spurred by rapid
changes in the information and communication technology, is making the world economy more interdependent.
Globalization paradigm is an important factor that influences organizations that compete for customers with high
expectations in performance, quality, & low cost (Friedman, 2007).
Most of the authors in this field have referred to the concepts like emergence of the electronic global village,
information revolution, compression of time and place, expansion of global awareness, the end of the geography
and cybernetic age, to talk about the basic features of the globalization paradigm. Therefore one of the original
features of the globalization paradigm is implementing and promoting the E-HRM system. In other words,
E-HRM can be considered as the main element in capacitating the globalization paradigm. Developing and
managing E-HRM system globally, leads to the development of the office workers who are able to think, be
guided and operate globally. Those who possess such global skills may have a global mentality in the context of
web networks (Hamidi & Sarfarazi, 2010). So in order to implement and develop the E-HRM system globally,
particularly in developing countries, first there is a need for expert, interested and professional managers in the
field of web and meanwhile significant ideological changes concerning the role of the E-HRM system should
happen to know how to apply this system's tools regionally, nationally and internationally to take basic steps in
capacitating globalization paradigm.
The Nature of Electronic Human Resource Management System
Technological development and electronic instruments dominance on phenomena world, and different sciences
such as management, contributes to this fact that today employees have a greater awareness than employees in
past in this area. New technologies have created a new generation of employees and the organizational structure
has changed. The changes are organized in a way that today the absence of organization on the www, means the
loss of huge capital resources. Nowadays organizations or formally wider the businesses face many challenges
such as globalization, the value chain for competitiveness and technological changes. To arise the web-based
technology, the new concept of E-HRM, entered the field of human resources. This type of management is
suitable for human resource professionals to create that causes promotion in their competencies and is playing an
effective role. All organizational activities, including finance, business and personal activities in addition to
saving resources, through a web-based system is achieved ,among the activities that organizations can do through
the web sites, are considered as personnel matters (Kariznoee et al, 2012). Recently, E-HRM has been studied
increasingly by many scholars.
Most of the studies on E-HRM were undertaken in USA and Europe (Yusliza and Ramayah, 2011, Rawash and
Saydam, 2012).Several definitions of E-HRM exist in the academic literature. The two most cited definitions are
provided by Strohmeier and Ruël and colleagues. Ruël, Bondarouk and Looise proposed an early popular
definition in which E-HRM was defined as a way of implementing HRM strategies, policies and practices in
organizations through the conscious and direct support of and the full use of channels based on web technology
(Fisher,2010).Ruël, Magalhaes, and Chiemeke (2011) claimed that the terms like E-HRM, web based HRM, and
information technology (IT)-based HRM are considered as developments of HRIS. Notably, the rapid
development of technology especially Internet not only leads to several impacts on human resource functions but
also leads to the way people define the phenomenon. As stated by Stone and Dulebohn (2013), HRIS became
known as E-HRM because organizations enabled human resource transactions through the Internet. They also
briefly described the evolution of E-HRM in their article (Ibrahim & Yusoff, 2013).Generally, E-HRM is the
(planning, implementation and) application of information technology for both networking and supporting at least
two individual or collective actors in their shared performance of HR activities. This concept highlights several
crucial aspects of E-HRM (Strohmeier, 2007).
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E-HRM is different from HRIS (Human resource information system) and Virtual
2012).Artificial human resources, web-based human resource management, B2E and artificial
management, point out the networks of internal and external active factors which provide
resource services for an organization without the need for a conventional human resource unit
considered as an artificial human resource unit(Strohmeier,2007&Esakhani, 2010).
HRM(Swaroop,
human resource
required human
which in turn is
E-HRM is mediated by information technologies to help the organizations to acquire, develop, and deploy the
intellectual capital. E-HRM is a good way of implementing HR strategies, policies, and practices in organizations
through a continuous and direct support by full use of web-based-technology channels and networks. (Swaroop,
2012).A quarter of the companies claim that E-HRM has a priority, and more than half declare at least a moderate
priority. It means only attracting applicants, not using the support of the back office processes, or the selection
itself (Zafar,2010). Generally, recent attempts have been made to find a definition of E-HRM, as a conceptual
umbrella to the complete approach for “doing HRM”. This definition has traditionally touched upon the
implementation and structuring process of technology driven HR transformations and the consequence of these
organizing activities in creating HR network structures throughout the organization (Strohmeier, 2007).
Boundarouk and Ruël (2009) continue this discussion arguing the need to find a consensus in a definition
covering the integration of HRM and IT, focusing also on targeted employees and managers, often being the value
creating consumers of web-based technologies:
“An umbrella term covering all possible integration mechanisms & contents between HRM & Information
Technologies aiming at creating value within & across organizations for targeted employees & management.”
Electronic Human Resource Management (E-HRM) is assumed to be a driving force behind HRM value creation
(Ruël & van der Kaap, 2012).
This definition suggests the integration of four aspects (Bondarouk & Ruël 2009):
1. Content of E-HRM: focuses on the type of HR practices and IT use, and the correspondence between them.
2. Implementation of E-HRM: focuses on the process of adoption and appropriation of E-HRM by
organization's members.
3. Targeted Employees and Managers: focuses on specific stakeholder groups. As the modern HR
organization exceeds both the HR department, and even the whole organization, a new approach needs to
focus on line-management and employees that are actively involved in using E-HRM applications.
4. E-HRM Consequence: A multilevel perspective viewing E-HRM value creation as 'subjectively realized by
a target user who is the focus of value creation (Gregeby, 2009).
Fig 1: proposed model of E-HRM by Ruël (2004)
Clan approach
Market approach
Bureaucratic approach
Cost effectiveness
Initial HRM strategy and policy (1)
Improving HR, s
strategic role
Congruence
Improving client-service
Competence
Internal agents:
Top & Line
management,
Employees, Workers
council
Commitment
E-HRM Outcomes (4)
E-HRM Level(3)
Operational
Relational
Transformational
Improving efficiency /
administrative processes
E-HRM objectives (2)
Environment:
-Competition
-Technological
Development
-HRM state of the act
-Labor Market
-Societal Development
-Governmental Regulation
Source :( Kaur, 2013)
In the figure the E-HRM model which was evaluated in five big companies proposed by Ruël (2004) is illustrated.
In the following section description of the objectives, outputs, management levels and the system's applications
will be discussed.
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1) Initial HRM Strategy and policy
Adopted policy in an organization towards human resource management can be divided into three categories;
bureaucratic policy, market policy and batch policy. In particular the bureaucratic policies are found in
organizations which operate in a static environment comprising technological, economic and social environments.
Market policy is often seen in such organizations that immediately react to the environmental changes for
example, markets with severe changes. Finally batch policy can be seen in organizations which totally rely on
quality, innovation and creativity. Employees' expertise plays a vital role in the success of such organizations.
2) Objectives of E-HRM System
Electronic Human Resource Management (E-HRM), is one of the newest topics in human resource management
science that has been created aiming on optimizing procedures in order to run faster the human resources
functions, reducing costs and freeing scientists from administrative constraints to implement the strategic role
(Kariznoee et al, 2012).Generally there are four necessary requirements to be considered in the E-HRM; first the
units of human resources are asked to focus on the strategic questions; second these units need to be flexible in
policy making and practical actions. And third the units of human resources should work effectively and be aware
of the costs. Four, the units of human resources should be at the service of managers and workers. In short, these
units must focus on the strategy, flexibility and be efficient and customer-oriented simultaneously. Figure 2 shows
other six objectives of E-HRM derived from related literature (Kaur, 2013)
Fig.2: Objectives of E-HRM
To offer an
adequate,
comprehensive and
on-going
information system
about people and
jobs at a reasonable
cost
To offer data
security and
personal privacy
To provide support
for future planning
and policy
formulations
Objectives
of
E-HRM
To enable faster
response to
employee related
services and
faster HR related
decisions
To automate
employee related
information
To facilitate
monitoring of
human resources
demand and supply
imbalances
Source: (Kaur,2013)
3) Levels of E-HRM System
By reviewing the relevant literature, it is inferred that in1998, Lepak and Snell suggested three levels of E-HRM
as follow;
Operational E-HRM; The first area, operational E-HRM, concerns the basic HR activities in the
administrative area. One could think of salary administration and personnel data administration.
Relational E-HRM; The second area, relational E-HRM, concerns more advanced HRM activities. The
emphasis here is not on administering, but on HR tools that support basic business processes such as recruiting
and the selection of new personnel, training, performance management and appraisal, and rewards. For
relational E-HRM there is the choice between supporting recruitment and selection through a web-based
application or using a paper-based approach (through advertisements, paper based application forms and letters
etc.).
Transformational E-HRM; Transformational E-HRM, the third area, concerns HRM activities with a
strategic character. Here we are talking about activities regarding organizational change processes, strategic
competence management. In terms of transformational E-HRM, it is possible to create a change-ready
workforce through an integrated set of web-based tools that enables the workforce to develop in line with the
company’s strategic choices (Lepak & Snell, 1998).
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The comprehensive descriptions of those mentioned types or levels of E-HRM were extracted from R. Swaroop,
(2012); see table 1.
Table.1: Levels of E-HRM
Levels of E-HRM
Operational E-HRM
Relational E-HRM
Transformational EHRM
Description
E-HRM is concerned with administrative function like payroll, employee personal data, etc.
E-HRM is concerned with supportive business process by the means of training, recruitment,
performance management, and so forth.
E-HRM is concerned with strategic HR activities such as knowledge management, strategic reorientation, etc.
Source: (Rawash & Saydam, & Swaroop,2012)
4) Out Comes of E-HRM System
As mentioned above, E-HRM is a way of thinking about and implementing HRM strategies, policies, and
practices. Organizations attempt to achieve certain objectives by following a specific E-HRM orientation. Beer et
al. (1984) identified four objectives of E-HRM as follows:
Table.2. Out Comes of E-HRM
Out Comes
High commitment
High competence
Cost effectiveness
Higher congruence
Description
By high commitment workforce is motivated and understanding, and that they are willing to interact
with the management concerning changes in the organizational environment and the impact that this
can have on the internal organization. For HR itself, this means that it should be able to play the role
of change agent.
High competence points towards the capacities of employees to learn new tasks and roles if the
circumstances require it.
Cost effectiveness refers to the competitiveness of pay levels and employee turnover rate, and to the
acceptability of costs resulting from employee resistance such as strikes.
Finally, higher congruence refers to the internal organization, the reward system, and the ‘input,
throughput, and output’ of personnel, which need to be structured in the interests of all stakeholders.
Source: (Davoudi & Fartash, 2012 and Soltani & Mirzanejad, 2012 and Esakhani, 2012)
Function of Electronic Human Resource Management System
Globalization with the revolution of information technology has been dramatically changing human behavior,
management of corporations, and governance of states much more than the industrial revolution transformed the
agricultural society(Kyun Kim,2008).As the globalization of markets continues at a rapid pace, the challenges for
managers increase (Connell,2007).The empowerment of managers and employees to perform certain chosen HR
functions relieves the HR department from all these tasks, allowing the most HR staff to focus less on the
operational and more on the strategic elements of HR in organization, and allowing the organizations to lower the
HR department staffing levels (Swaroop, 2012).
In the following section the most important functions of E-HRM system which play a significant role in reducing
the organizational costs and of course towards globalization paradigm are mentioned in table 3.With the
implementation of HRMIS, human resource activities can be undertaken with greater ease and speed with the
availability of human resource information system. Uniform human resource management policies and procedures
as well as the integration of human resource information into a centralized data bank will make it easier for all
agencies to use this system.
In addition E-HRM, automation of human resource processes would enhance productivity through faster
processing, better work environment and reduction in mistakes or errors as well as in overlapping work. The
integrated human resource information system will enable the sharing of reliable information quickly. It will also
allow for better and faster communication among all the agencies involved.
When completed, the HRMIS will link all government agencies electronically so that human resource information
from the grass root level can be easily transmitted to higher levels such as to the headquarters of agencies,
ministries, the State Secretariat Offices and the Public Service Department (PSD). Human resource activities that
are less productive can be reduced and greater emphasis can be given to more productive work that enables
human resource management to function at the strategic level.
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Table 3: Functions of E-HRM
Functions
E-Employee
Profile
E-Recruitment
E-Selection
E-Learning
E-Training
E-Performance
Management
system
E-Compensation
Anywhere,
Anytime Access
Eliminate
Majority of HR
Paperwork
E-Leave
Description
The E-Employee Profile web application provides a central point of access to the employee contact
information and provides a comprehensive employee database solution, simplifying HR management and
team building by providing an employee skills, organization chart and even pictures. E-Employee profile
maintenance lies with the individual employee, the manager and the database manager. E-Employee profile
comprise of the following: Certification, Honor/Award, Membership, Education, Past Work Experience,
Assignment Skills, Competency, Employee Assignment Rules, Employee Availability, Employee Exception
Hours, Employee Utilization, Employee tools, Job information, Sensitive job Information, Service Details,
Calendar, Calendar Administration, Employee Locator easy and to make decisions with less cost and
speedytime.
Organizations first started using computers as a recruiting tool by advertising jobs on a bulletin board service
from which prospective applicants would be contacted by the employers. Some companies began to take eapplications. Today the internet has become a primary means for employers to search for candidates and for
applicants who look for a job. As many web based job portals are there were the employers will post their
vacancy position in the job search web portals to stimulate the applicants to apply for that particular job. and
this websites help in review resumes of various types. E-HRM is online recruitment. It refers to posting vacancies on the
corporate web site or on an online recruitment vendor’s’ website, and allowing applicants to send their resumes electronically via e-mail.
It also includes the active search of the internet and the location of resumes. However, there is always the danger of resume overload, as
well as low reputation and effectiveness of various web sites and databases, not to mention its questionable effectiveness for senior
executive positions.
Most employers will recruit their employees from the online job search engines (website like Naukari,
Monster) etc. and new selection process are keeping tests online by testing their level of knowledge,
behavior, attitude all those the employer will recruit it properly by conducting all the test online by using
strong IT which helps to reduce the cost.
E-Learning refers to any programmed of learning, training or education where electronic devices,
applications and processes are used for knowledge creation, management and transfer. E-Learning is a term
covering a wide set of applications and processes, such as web-based learning, computer-based learning,
virtual class room, and digital collaboration. It includes the delivery of content via Internet, intranet/extranet
(LAN/WAN), audio-and videotape, satellite broadcast, interactive TV, CD – Rom, and more. Training
program provides.
Most companies start to think of online learning primarily as a more efficient way to distribute training inside
the organization, making it available ”any time”,” anywhere” reducing direct costs (instructors, printed
materials, training facilities), and indirect costs (travel time, lodging and travel expenses, workforce
downtimes).e-learning can offer a solution to training in remote or disadvantaged locations(Hirschman,
2001), as well as tailor-made learning that fits the particular needs of the learner (Mumford, 2003), but it can
also create barriers to learning, due to lack of hardware, fear of technology and learner isolation.
A web-based appraisal system can be defined as the system which uses the web (intranet and internet) to
effectively evaluate the skills, knowledge and the performance of the employees which reduces the money.
E-HRM can also provide managers with information on how to conduct a Performance Appraisal, the
specific criteria and measurements of given positions and roles as well as examples and models of effective
appraisals. The penetration rate of computer-mediated communication, mainly e-mail, is higher than75
percent in corporate environments and e-mail has emerged as the communication medium of choice. The email and electronic forms on the intranet of the company or a restricted web site are used to gather
information on training need s assessment, inducing benefits in terms of less paperwork, lower administration
cost, shorter distribution and response time, and higher response rate.
All companies whether small or large must engage in compensation planning. Compensation planning is the
process of ensuring that managers allocate salary increases equitably across the organization while staying
within budget guidelines. As organizations have started expanding their boundaries, usage of intranet and
internet has become vital. The usage of intranet and internet for compensation planning is called ECompensation Management which reduces the money.
As a web-based HR service system, HRIS offers you the flexibility of accessing the program 24/7, from
anywhere with internet connection and IT.
With the growing awareness for environmental sustainability, many companies are looking for ways to “go
green.” Implementing a HRIS will help reduce almost all of the paperwork associated with HR tasks we can
save money and time.
It helps to reduce the cost by defining the work force in advance and to review the past data records of the
employee leave etc.
Source: (Swaroop, 2012 and Zafar,2012)
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Challenges, Methods and Opportunities for Implementing the E-HRM
According to Trapp (2000) the HR function in the future will be the prime target for outsourcing. Consequently
organizational resistance to the new changes implied by the use of the E-HRM application is minimized and
customer satisfaction is increased. The researchers and HR practitioners have developed many methods to make
E-HRM successful in the company. These include;
When a company implements a new E-HRM system, some of the HR processes must be reengineered in
order for the E-HRM system to be more effective i.e., the inevitable alignment of processes and activities
with the new systems requirements.
Such reengineering mechanism is applied when transforming HR manual processes to paperless forms.
Reengineering should begin before choosing the software system to make sure changes are accepted by the
stakeholders and the process can actually be aligned with the new system. Lee and Lee (2007) insist that
good planning consumes a considerable amount of time prior to implementation.
Training and education is a critical step in managing change itself, as employees must be educated about the
new system to understand how it changes business processes.
Education is the catalyst that brings the knowledge of the users up to the point where they can familiarize
themselves with the new E-HRM system quickly and sufficiently.
Managing change within the organization could be a full time job by itself as it requires the management of
people and their expectations, resistance to change confusion redundancies and errors.
In order for E-HRM implementation to be successful, top managers have to approve and continuously
support the responsible parties during the implementation stage to make sure no obstacles prevent or delay
the progress.
One of the most critical success factors for implanting an E-HR system is the support and involvement of top
managers in the project during its life cycle. Also an executive sponsor should be appointed to coordinate,
communicate, and integrate all aspects of the project between the development team and top management.
The executive sponsor should communicate, integrate and approve the shared vision of the organization and
the responsibilities and a structure of the new E-HRM system (Zafar, 2010).
Totally experts mention five challenges and opportunities for implementing the E-HRM as follow;
Table.4.Opportunities in the Electronic Human Resource Management
Opportunity title
Improving knowledge minimums and skills in organization and creating
competitive advantage
Diversity in the reports of human resources and increasing their number
Focusing on strategic human resource management planning instead of following
daily routines
The distribution of duties of human resource unit among practitioners in an
organization and increasing participation
The ease of redesigning human resource processes due to the integration in human
resource management software components
Effectiveness percent in E-HRM
11%
27%
35%
14%
13%
Sources: (Soltani&Mirzanejad,2007)
Table.5. Challenges in the Electronic Human Resource Management
Challenge Title
Cost of investment in electronic human resource management systems
Managers' resistance against fulfilling some tasks
Users' resistance due to the unconventional user interface
The lack of planning and thinking about the accordance of the new E-HRM system
with current systems in organization
Managers' and employees' resistance due to the lack of documentation and education
Effectiveness percent in E-HRM
11%
17%
25%
27%
20%
Sources: (Soltani & Mirzanejad, 2007)
As you can see about 62% of challenges are related to the resistance and its different reasons. The said statistics
show that while implementing the E-HRM in an organization, paying attention to the concepts and experiences
regarding resistance management is of extreme importance.
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Benefits of Electronic Human Resource Management System
By reviewing the relevant literature, this paper extracted some benefits of E-HRM from various studies which are
as follows:
E-HRM has the potential to influence both efficiency and effectiveness.
Effectiveness can be affected by improving the competence of both managers and employees to make better,
quicker decisions.
A higher internal profile for HR leading to better work culture.
It leads to a more transparent system.
Considerable reduction of administrative burden
Provides Integral support for the management of human resources and all other basic and support processes
within the company
A more forceful workflow in the business process, productivity and employee Satisfaction
E-HRM can save costs while maintaining the quality of data
Decentralization of HR tasks (Kaur, 2013).
Standardization
Access to ESS training enrollment and self-development.
User-friendly interface.
Connectivity with the client's existing information system (payroll accounting, ERP, attendance registration,
document systems… gradual implementation.
Parametric and customizability.
Access to archived records and documents Employee & time managers self-manage employee mgt.
The generation of HR metrics to support strategic decision making (Swaroop,2012).
Transforming HR professionals from administrative paper handlers to strategic partners
The automation of routine HR tasks and replacing “filing cabinets” (Davoudi, Fartash, 2012).
Globalization Paradigm
When a paradigm is ruling, it demands its specific principles to be fulfilled. With the start of any emerging
paradigm all others reach their start off point. And if a country or an organization explores any emerging
paradigm beforehand and understands its relations and regulations, the said country or organization will totally be
able to remove or destroy all other countries or organizations in competitive scene (Yazdanizadeh & Habibi,
2009). Globalization paradigm is used to define a combination of factors - a single market place with growing free
trade among nations; the increasing flow and sharing of information, connections and opportunities for
organizations and people to interact around the world without being constrained by national boundaries (Connell,
2007).Most academics still subscribe to the view that globalization paradigm is more a work in progress, the
boundaries of which are still hard to fathom. We need to understand better how this process operates in relation to
the E-HRM inside organizations. Globalization paradigm is examined at different levels of analysis, each tending
to produce different perceptions of how advanced or pervasive the process is and the extent of its influence over
IHRM policies and practices. The main models and frameworks that have been used in the field concentrate on
five levels of analysis:
1. Comparative analysis of national business and management systems which itself can have different
embedded levels of analysis from business system down to specific HR practices
2. The globalization of industries
3. Relative levels of internalization of the firm and
4. The progressive building of international capabilities within organizations and
5. Processes of functional realignment taking place in response to globalization paradigm (Sparrow, 2006).
Globalization paradigm provides more freedom and discretion for the low level of government due to the
revolution of information technology. To attract investment or promote trade, local governments directly work
with foreign governments and big corporations, and thus create more jobs and stimulate the local economy (Kyun
Kim, 2008). The Society for Human Resource Management (SHRM) bi-annual strategic forecast identified
international trends that affect HR managers. In these surveys, United States (U.S.) HR managers state their
opinions about issues that shape the field of human resources. In 2006, HR managers reported that the desire of
companies to expand globally, economic growth in Asia, and increased cross cultural awareness were most likely
to have a major impact on the workplace(Friedman, 2007).
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Different Dimensions of Globalization
Some believe that globalization is a process which has been developed as a part of the enlightenment project, but
now it has exceeded the monopoly of the certain groups. This process affects all dimensions of human life like;
political, economic, social, private and general. In fact globalization means alignment within different areas. In
this section different dimensions of globalization like; economic, political, cultural, legal and social is discussed.
Economic dimension of globalization
Most of people consider changes in trade and economic relations to be the main stimulus in globalization process.
In this respect, economic equations and abroad economic activities rather than the other dimensions in life have
been globalized and the future of global trade, production and consumption, economy's global acceptance, market
and free trade, the rate of increasing freedom and capital flow are due to the globalization of politics and also
technological development. In all fields of globalization, globalization of economics is the most tangible and
comprehensive domain in public view. Evidences denote that in none of the other domains except globalization of
economy, globalization paradigm has not developed as well. Any inexpert observer anywhere in the world can see
such an economic institution belonging to several political units by just having a short glance on the presented
goods and services. Globalization of economics and financial markets affect both people and governments.
Political dimension of globalization
Globalization of politics is the result of the technological development of globalization of economy and collapse
of the Soviet Union. Although there is not much lapse between applying unified policies by all international
players. The preliminary stages of such policies were provided during 1980s and 1990s. From political point of
view, globalization paradigm is the reflection of the global shift in power center. In the era of the globalization of
politics there would be no ground to talk about national sovereignty, national borders and national security. The
lack of authority within a specific geographical territory affirms the fact that the authority has lost its lands'
characteristics. The globalization paradigm has caused serious challenges facing countries' national interests and
security. Those countries which lack the necessary tools to defend their security and interests found out that
contributing in the process of globalization would lower their vulnerability.
Cultural dimension of globalization
In fact globalization of culture is the result of two previous processes and greatly is related to the development of
communication technology. In addition, the increasing development of mass media and providing diverse
satellite programs, the significant expansion of personal computer usage, internet unilateral education, and spread
of software programs, film download ability, music, books and publications via global information networks all
helped shaping the cultural similarities. In other words, if the mutual interaction and the effect of cultural and
productive relations in societies go under the study we can infer that freedom in trade has led to the change of
productive relations in societies which consequently makes cultural values gradually change. The expansion of
equal cultural domain means promoting similar values for evaluation and measurement which absolutely will
result in the cultural dominance of the society in which standard values have been evolved and grown.
Homogeneity of interpretations arises from the Homogeneity of the values and if this happens, national and local
funds in the domain of culture will fade and distance values will be replaced by matched values.
Legal dimension of globalization
In addition to the effect that globalization paradigm has on the economics, politics and culture, it has influenced
and is influencing legal domain. In one hand such an effect will result in borders permeability, great mobility of
capital and technology, information and communication development and on the other hand the lack of
governments' control and the expansion of professional criminal organizations. With all these in view, we face
two approaches; First: those set of values which have the same origin and will not differ according to any cultures
or civilizations. Interest in such values and abomination from their counter values is natural and certain. General
values or better to say natural school or human nature are embedded in this domain.
Second; this approach comprises the specific values of human rights and means the peculiar attitudes and
perspectives which belong to the civil life of a western citizen and are in accordance with such a life trend that
tries to reach a globalized life. Globalization regarding this set of values will lead to very serious cultural tensions
and conflicts.
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Social dimension of globalization
Globalization has its own specific effects on different societies' social lives. Social deficiencies caused by
globalization include two main events; the competition among developing countries which are stimulated in the
globalized world to attract foreign capital; from among the other effects of globalization on countries' social
policies we can point out the effect of international emigration on the policies adopted by countries. Although
globalization paradigm by itself provides the ground for active labor exchange and job interaction among different
countries, uncontrolled emigration without considering the employment rate in host country, will lead to
numerous social problems.
Electronic Human Resource Management and Globalization
Pervious research suggests that E-HRM can increase the efficiency of HR activities, improveHR service delivery
and transform the role of the HR function into one that is more strategic(parry & Tyson,2011).What is really the
role of the E-HRM in managing negotiations and global performances? How senior managers are able to educate
a management group with different cultures? Global environment is changing. There is no constant phenomenon.
Factors of success in past may appear to be the reason of failure in the future. Today's worldwide leaders need to
undertake double responsibility to create new managing models, since lots of the hypotheses they were operating
according to them are invalidating. Global competitive context and the need for efficient trade in nowadays
international context have made lots of the organizations and governments draw attention on the global trends and
cultural changes influenced by such trends.
Also quick changes in technology had led to changes in time span. Quality and pace of accountability towards
customers is influential in determining who the next winner is. Today the technological development is more than
any other ages in human history. In the domain of world's economic interactions new powerful competitors are
emerging. Global competitive conditions soon will be influenced by the process of servicing companies'
globalization and greatly will lead to the emergence and development of multinational technologies. Globalization
denotes that cultural diversity influences management register and helps global companies with their competitive
advantages. Although effective globalization using management theories seems to be theoretically inconsistent, it
leads to finding efficient managerial attitudes. The E-HRM provides an organized framework in order to educate
and manage those employees who are skillful in the field of web and face problems in operational and strategic
sections and also those who have the ability to manage different cultures. Therefore, E-HRM beside the other key
elements like electronic government, electronic banking and other factors plays a significant role as an affecting
and affected factor in fulfilling the objectives of globalization phenomenon.
Conclusion
E-HRM is a web based tool to automate and support HR processes. The implementation of E-HRM is an
opportunity to delegate the data entry to the employee. E-HRM facilitates the usages of HR marketplace and
offers more self-service to the employees. E-HRM is advance business solution which provides a complete online support in the management of all processes, activities, data and information required to manage human
resources in a modern company. It is an efficient, reliable, and easy – to use tool, accessible to a broad group of
different users. E-HRM is a way of implementing HR strategies, policies, and practices in organizations through a
conscious and directed support of and/or with the full use of web-technology-based channels.
Thus, to globalize the experts, or better to say to develop the E-HRM system, we need strategic knowledge both
in workplace and education centers. Accepting and understanding cultural dependency in most of the E-HRM
system's functions should be developed more than the educational facilities and the preliminary resistance towards
it should be put aside. Also there is a need for educating a new group of experts in the field of human resources
who possess a global view and are skillful in web based tools. So training and educating a new generation of
experts in the field of human resources internationally is one of the most important challenges facing the E-HRM.
In addition, all managerial levels should be aware of required changes in educational systems and due cooperation
to devote needed financial costs.
In developing and implementing the E-HRM system -which is a key tool in capacitating and promoting it in the
era of globalization- that means what is required and desired to develop public management, there is an essential
need for creativity in human resource management that acts like a capacitating factor to confront the globalization
challenges.
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In fact, in the process of implementing, capacitating and developing the E-HRM system, the first step should be
taken by the public organizations and public managers because public organizations and their personnel are like a
fish in a crystal decanter which their activities are not concealed form the eyes of companies, NGOs,
organizations and public.
Companies and organizations should progress gradually. It means they should go through all operational,
communicational and change processes of the E-HRM and consider it according to their own approaches,
perspectives and cultures and then do take the essential steps towards localization and globalization paradigm
benefiting from an accurate and correct method. So, the E-HRM is the cause of significant impacts. Putting
emphasis on this system and the globalization paradigm and their interrelated cycle can foster creativeness and
synergistic dimensions and provide the grounds for competitive advantage.
In order to implement and develop the E-HRM system in global setting the following items should be
considered;
Change in current official role and move towards professionalizing human capital and developing electronic
human resources
Recruiting part-time and full-time professional and knowledge-oriented employees
Developing computer skills and optimized use of web facilities
Increasing the number of managers and experts in utilizing worldwide web in order to save time and costs
Creating growing intellectual changes concerning how to use the tools of the E-HRM and its role.
Paying attention to new technological environment in organizations is one of the necessary functions of the EHRM in near future. Therefore preparing the technological infrastructures including worldwide web and
designing web pages according to such an environment in organizations should be considered.
Educating managers and the mobility of traditional structures in human resource management requires a
fundamental revolution in this area and in the future may lead to more dynamism of human resource system
in organizations.
And finally attention should be drawn on specialized education for experts and actors in digital domains as an
effective workplace to enter such areas.
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