GREEN HUMAN RESOURCE MANAGEMENT

ABSTRACT

Over the past few years, organisations have faced pressure from stakeholders to adopt
environmentally friendly business practices, where it is becoming critical to identify green
practices that boost sustainability. Despite green human resource management receiving
significant interest from scholars, studies related to green practices remain limited, and are still
emerging in a developing countries context. This report aims to assess the level of
implementation of green human resource management practices in organisations, and their
impact on sustainable performance in this important service sector. Identification and
prioritisation of green practices were applied, where the most influential practices were ‘green
hiring’, and ‘green training and involvement’; the least influential green practice was ‘green
performance management and compensation’. In addition, the path coefficients test revealed that
green human resource management practices had a positive influence on sustainable
performance. This study provides a better understanding of green human resource management
practices in a developing countries context, with empirical evidence of the role of green human
resource management practices, in a bid to enhance employee behaviour towards sustainable
performance. A framework was developed to provide policy makers with set guidelines on how
to influence and implement green human resource management practices for maximised
sustainable performance.
INTRODUCTION

Green Human Resource Management (GHRM) is a new concept and is becoming popular all
over the world. It has got different meanings to different people. There is no comprehensive
definition of GHRM. It refers to making efforts to improve energy efficiency or reduce the
pollution produced by our home, business, and general living habits. The main purpose of going
green is to reduce the potential negative impact that energy consumption and pollution can have
on the environment. The term green HRM is mostly used to refer to the contribution of HRM
policies and practices towards the broader corporate environmental agenda. It refers to using
every employee to support sustainable practices and increase employee awareness and
commitments on the issue of sustainability. Typical green activities are performed to travel
requirements through video recruiting or the use of online and video interviews. It involves
undertaking environment-friendly HR initiatives resulting in greater efficiencies, lower costs and
better employee engagement and retention, which in turn, help organizations to reduce employee
carbon footprints by the likes of electronic filing, car-sharing, job-sharing, teleconferencing, and
virtual interviews, recycling, telecommuting, online training, energy-efficient office spaces, etc.
Green HR initiatives help companies find alternative ways to cut costs without losing their top
talent. Focus on Green HRM as a strategic initiative promotes sustainable business practices.
Therefore, developing a new organizational culture through GHRM practices becomes a
manager’s concern. Developing a green culture has the ability to affect employee behaviour and
introduce certain values that build an internal culture. Green behaviour is assumed to be
instrumental in the implementation of the green HRM culture and adopting formal environmental
strategies. From the definitions stated above, it can be concluded that Green HRM needs the
participation of all the organization’s members in order to create and keep the organization
green.
RECENT SCENARIO OF GREEN HR INITIATIVE

Many companies are adopting green HR which helps in reducing carbon footprint through less
printing of paper, video conferencing and interviews, etc. Companies are quick to layoff when
times are to Human capital and the systems surrounding it are the true cornerstones of building a
sustainable business. Green HRM policies and practices that help safeguard and enhance worker
health and well-being; and for academics, they may reveal additional data to add an HRM
elementto the knowledge base on Green Management in general. Businesses are sustainable
because of their operations and culture, but it's the employees who craft and execute those eco-
policies and create that green corporate culture. Without developing personnel and implementing
sustainable strategies, it's rather difficult to go green successfully. That's why human resource
(HR) practices are a key component of sustainable business development.

Green initiatives within HRM form part of wider programmes of corporate social responsibility.
Green HR involves two essential elements: environmentally- friendly HR practices and the
preservation of knowledge capital. The objective of this paper is to detail a process model of the
HR processes involved in green HRM on the basis liable literature on green HR. The present
scenario of organizational working and its impact on the environment has carry-forwarded the go
green concept form just individual to organizations. More organizations are operating in more
environment friendly way. An organization’s Human resource department can be involved in
facilitating an inclusive approach for creating a culture of sustainability.

Green HRM and Sustainability are two different things which now a days are linked with each
other, this paper deals with the meaning of Green HRM ,Sustainability and their link and
importance in today’s scenario. Organizations are progressively more concerned with
sustainability and Green HRM. The HR function is distinctively positioned to assist both
developing and implementing Green strategies.
Implementation of Green HRM

1.Green Recruitment

Attracting high-quality staff is a key HR challenge in the “war for talent. Firms are now
beginning to recognize the fact that gaining reputation as a green employer is an effective way to
attract new talent. Green recruitment can be defined as the process of hiring individuals with
knowledge, skills, approaches, and behaviors that identify with environmental management
systems within an organization. Recruitment practices can support effective environmental
management by making sure that new entrants are familiar with an organization’s environmental
culture and are capable of maintaining its environmental values.

Green recruiting is a system where the focus is given on importance of the environment and
making it a major element within the organization. Complementing this, the recruits are also
enthusiastic, and to some extent, passionate about working for an environment friendly “green”
company. Recruiting candidates with green bend of mind make it easy for firms to induct
professionals who are aware with sustainable processes and are already familiar with basics like
recycling, conservation, and creating a more logical world.

Contemplating these statements, we conclude that green recruitment provides the employer with
an opportunity to stand ahead of the crowd and further increase their chance of attracting the
candidates and retain them after induction. Corroborating the recent green trend, we propose that
the recruitment process be aligned with environment-friendly issues. Further research should
address questions related to the green employer’s enthusiasm in achieving the environmental
goals and how the potential job seekers perceive or rate them on the parameters of sustainability
as claimed.

2.Green Performance management

Green performance management is the process by which employees are prompted to enhance
their professional skills that help to achieve the organizational goals and objectives in a better
way. The recognition of the corporate strategy culminates into the PM. With the EM affecting
global business strategy, PM is also being influenced by the green wave in a possible positive
manner. Green performance management consists of issues related to environmental concerns
and policies of the company. It also concentrates on use of environmental responsibilities. Today
some firms deal with the issue of PM by installing corporate-wide environmental performance
standards, and Green information systems/audits to gain useful data on environmental
performance.

The most important aspect of PM is performance appraisal. In addition to meeting the criteria of
reliability, validity, and fairness, effective performance appraisals provide useful feedback to
employees and support continuous improvements in the firm’s environmental outcomes. Issues
involved in environmental PA concern the need for managers to be held accountable for EM
performance in addition to wider performance objectives. We suggest that future research on
green performance appraisal should focus upon issues such as environmental incidents,
environmental responsibilities, communication of environmental policy, and green information
system and audits. The job description should be aligned with green tasks and goals to be
achieved. The HR staff should modify the performance appraisal rating system to include
dimensions for rating people on the following behavioral and technical competencies: teamwork,
collaboration, diversity, innovation, and environmental stewardship. Such competencies would
reinforce the company’s core values. Managers should discuss the performance of the employees
and give the needed feedback not only during the scheduled time of appraisal, but also all round
the year. This practice will help the employees to enhance their knowledge, skills and ability in
performance management.

3. Green training and development

Training and development is a practice that focuses on development of employees’ skills,

knowledge, and attitudes, prevent deterioration of EM-related knowledge, skills, and attitudes.
Green training and development educate employees about the value of EM, train them in
working methods that conserve energy, reduce waste, diffuse environmental awareness within
the organization, and provide opportunity to engage employees in environmental problem-
solving. Green T&D activities make employees aware of different aspects and value of
environment management. It helps them to embrace different methods of conservation including
waste management within an organization. Further, it sharpens the skill of an employee to deal
with different environmental issues. Organizations should train their employees on best business
practices enthused with green initiatives. Besides, sustainable training and education employees
should also be adept to educate the customers regarding the advantages of becoming more earth-
friendly and buying green products.

4. Green Compensation

Rewards and compensation are the major HRM processes through which employees are
rewarded for their performance. These HR practices are the most powerful method which links
together an individual’s interest to that of the organization’s. We also assert that incentives and
rewards can influence employees’ attention to the maximum at work and motivate them to exert
maximum effort on their part to achieve organizational goals. Managers can ask employees to
bring specific green ideas pertaining to their individual jobs which can be through mutual
decisions included into the objectives to attain in for the upcoming year. Attaining these
objectives would be the basis of receiving incentives.

Employee compensation programs can be modified to give bonuses based in part on the
employee’s appraisal ratings on the behavioral and technical competencies. In addition,
employees could be awarded bonuses for their outstanding work on special projects. Green
rewards can include the use of workplace and lifestyle benefits, ranging from carbon credit
offsets to free bicycles, to engage people in the green agenda while continuing to recognize their
contribution. Last, but not the least, more emphasis should be given on researches which
determine effective approaches that will help to design and implement green compensation
practices and may lead to the achievement of corporate environmental goals.

5. Green employee relations

Employee participation in Green initiatives increases the chances of better green management as
it aligns employees’ goals, capabilities, motivations, and perceptions with green management
practices and systems. Involving employees in EM has been reported as improving EM systems
such as efficient resource usage; reducing waste and reducing pollution from workplaces.
Several workers in their study concluded that individual empowerment positively influences
productivity and performance, and facilitates self-control, individual thinking, and problem-
solving skills.

The scope of employee relations should be broadened by initiating a suggestion scheme within
the organization, wherein each and every employee from top most to the lowest level gets an
opportunity to contribute to the scheme. This practice will help in creating greater awareness on
green issues besides, new ideas for eco-friendly practices my crop up from different sources.

Other benefits of employee involvement are improvement in employee and organizational health
and safety, as well as development of eco-friendly staff. We propose that keeping the policies in
place, long-term trust among the management and employees will be built which will provide an
opportunity to the employees to express their personal ideas at workplace and help to create
climate conducive to green management practices and systems.

6. Green building

The organizations round the globe are considerably opting for green building as their workplace
and offices as an alternative to traditional offices. The phenomenon is quite trend setting as
Green buildings fulfill certain criterion for reducing the exploitation of natural resources that are
utilized in their construction. Furthermore, green buildings include some enhanced features
related to green practices such as energy efficiency, renewable energy, and storm water
management. Recent years have witnessed a great upsurge in adoption of green buildings by
organizations at a fast pace. The business world has become increasingly aware of the significant
role played by green buildings while dealing with environmental issues. Green buildings also
serve as a platform for financial savings for organizations as their construction and engineering
involve low cost. Business giants like Ford, Pepsico, etc. are committed to sustainability and
have included green building design principles into their buildings. Fortune 1000 companies are
adopting company-wide sustainability policies that have increased the demand for work space in
Green or sustainable buildings.

7.Paperless Office
Most of the work in the office is managed on paper but, with introduction of IT, the consumption
of paper has been reduced. Today E-business and learning have changed the methods and
procedures at offices converting them into paperless offices. Paperless office is a work place
where the use of paper is either restricted or eliminated by converting important official
documents and other papers into automated workflows. The practice greatly reduce the
consumption of paper, the costs of paper-related actions including copying, printing, and storing,
and also save the time used for searching paper documents. Designers are allowed to bring in a
pad of paper but they have to take the pad to their home at the end of each day. Finally, we assert
that by reducing the use of paper, we can directly conserve natural resources, prevent pollution,
and reduce wastage of water and energy.

8. Conservation of energy

Conservation of energy in the office has the potential for a great environmental impact. In an
effort to provide more efficient and eco-friendly services, offices around the world have
implemented several energy conservation initiatives to reduce the environmental impact. The HR
department at the UK arm of Sky has started a campaign where the employees are asked to turn
off PCs, TVs, and lights when leaving, to use 100% renewable energy, and introduced solar
lighting. Organizations are also promoting the extensive use of energy star-rated light bulbs and
fixtures which undoubtedly consumes at least two-thirds less energy than regular ones.

9. Recycling and waste disposal

Recycling is the methodology of processing used up materials (waste) into new and useful
products. Recycling reduces the use of raw materials that would have been otherwise used to
produce new products. Consequently, this practice saves energy and reduces the amount of waste
that is thrown into the dustbins, thereby making the environment cleaner and the air fresher. As a
part of their green initiatives, several organizations are implementing recycling program to
increase the amount of recycled products and decrease the amount of waste.

Ever since the organizations embraced the concept of saving money, focusing simultaneously on
the environment and sustainability, several human resource professionals were assigned the task
of creating company recycling programs and monitoring office thermostats. In the process, many
HR professionals ascertained that green initiatives were a necessary aspect of overall corporate
social responsibility. At present, the whole corporate world is reciting the old mantra of three Rs
—Reduce, Reuse, and Recycle to save the environment.

Advantages of GHRM

Green HRM involves undertaking environment-friendly HR initiatives resulting in greater

efficiency, lower costs and better employee engagement and retention, which in turn, help
organizations to reduce employee carbon footprints by electronic filing, car sharing, job sharing,
teleconferencing and virtual interviews, recycling, telecommuting, online recruitment and
training, energy-efficient office spaces, etc.

The Green Human Resource Management plays an important role in the industry to promote the
environment-related issues. Organizations must formulate HR policies and practices, train people
to increase awareness about the environment, and implement laws related to environmental
protection. The Green HRM may also help the employers, manufacturers in building brand
image and reputation. Organizations need to conduct an environmental audit, thus changing the
organizational culture, thinking about waste management, pollution and helping the society and
its own people, those are getting affected by pollution. It will also make employees and society
members aware of the utilization of natural resources more economically and encourage eco-
friendly products.

Experts have identified the benefits of GHRM, which are mentioned below:

*Helping companies to bring down costs without losing their talent.

*Organizations have huge growth opportunities by being green and creating a new friendly
environment which helps in enormous operational savings by reducing their carbon footprint.

*Helps in achieving higher employee job satisfaction and commitment which leads to higher
productivity and sustainability.

*Create a culture of having concern for the wellbeing and health of fellow workers.
*Improvement in the retention rate of the employee.

*Improved public image. Any time a firm adds a green initiative to its workplace, it can use the
event to generate positive public relations. Organizations can promote environmental
contributions to the media through press releases to earn the attention of potential customers and
possible new sales.

*Promote employee morale.

*Improvement in attracting better employees. Dolan’s (1997) study of USA MBA students found
that most of the graduates would take a lower salary to work for environmentally responsible
organizations.

*Reduction in the environmental impact of the company.

*Improved competitiveness and increased overall performance.

*Reduction of utility costs significantly. Even small businesses can significantly reduce their
utility costs by using technologies that are energy-efficient and less wasteful.

*Rebates and Tax Benefits. Going green is easier with the assistance of governments, local
municipalities, Water supply authority, and electric companies that offer tax incentives and
rebates.

*Increased business opportunities. Some government agencies, commercial businesses, and

nonprofit institutions mandate that only businesses that meet specific green standards can bid on
their contracts. Some also mandate that their purchasing departments only buy green products or
use products and services sold by companies that meet certain green standards.

*Reduction of environmental damage. Encouraging employees, through training and

compensation to find ways to reduce the use of environmentally damaging materials.

Today, most educated and affluent consumers look for companies which adopt environmental
standards. Organizations pursuing environment-friendly human resource policies are also
immensely benefitted.This may help in arriving at greener products and green savings from
waste elimination. The promotion of such values may also indirectly improve consumer
satisfaction.

Disadvantages of GHRM

While environmentally friendly living is a positive ideal, there are several possible disadvantages
of going green. The disadvantages if an organization is ;

*Initial costs.Perhaps the greatest disadvantage of going green is that it often requires a large
initial cost. For example, installing a new roof or new insulation to keep heat from escaping our
home would be considered a green home improvement, but it would cost a large sum of money
to get the work done.

*Inadequate savings.The aim of going green in many cases, such as building an energy-efficient
home or purchasing a hybrid^vehicle is to reduce environmental impact while saving money in
the long term.Green buildings and vehicles tend to use less energy, so initial costs can often be
recouped over time through energy savings.The problem is that the savings generated by going
green are often less than expected; they do not make up for the initial cost quickly enough to
make them economically viable.

*Increased capital outlaysSome green conversions require an initial cash outlay that decreases
the firm’s bottom-line performance while the investment is paying for itself. This can decrease
the earnings or annual profits of a firm.

*Uneven competition.In the business world, going green can be an attractive goal to gain
goodwill and consumer support, but unless green improvements are economically viable, it can
put a business at a competitive disadvantage.For instance, if one company decides to adhere to
strict, self-imposed pollution standards which require the installation of new technology and
workers, while another sets loose standards, the second company will be at an advantage since
they will have lower production costs.
*Marginal impact.While going green is focused on reducing harm to the environment, the impact
that any specific individual can have on the environment by going green is often negligible.The
theory is that if everyone were to go green, it would have a significant and noticeable impact, but
not everyone can be convinced to go green and many believe that doing so has no real impact
outside of the economics. This makes going green a personal choice for many.

*Employee apathy and reluctance.Many employees feel that it is not their responsibility to
protect the environment while they are at work.But the newly educated workforce is emphasizing
on environmental management consciousness when they choose their employers.

Conclusion

It is evident from the discussion so far made that GHRM promises potential benefits for both
organizations and those employed by them.For the organization, there is some evidence that
better environmental performance is also associated with improved financial performance
outcomes – the so-called ‘Green pays’ argument.The GHRM practices identified in this section
may have a role to play in improving not only the environmental performance but also the
financial performance of the organization.Equally, the GHRM practices analyses here are likely
to improve employee well-being in the workplace, not least through improving the working
environment and satisfying the needs of an increasingly environmentally aware workforce. In
sum, we believe that GHRM has the potential to contribute positively to both employee well-
being and improved organizational performance.Green HR helps in achieving greater efficiency
and lower costs within a process, reducing and eliminating ecological wastage and refurbishing
HR products, tools and procedures.Being environmentally conscious organizations are starting to
integrate green attempts into their regular work environment with society. Green HR attempts to
create a better employee involvement in a working environment which helps the organization to
work in an environmentally sustainable fashion.The employers and specialists can establish the
usefulness of linking employee involvement and participation in environmental management
programs to improved organizational environmental performance, like with a specific focus on
encouraging green practices and help green management change and develop.Unions and
employees can help employers to adopt Green HRM policies and practices that help safeguard
and enhance worker health and well-being. AS organizations are the main cause of
environmental problems, they should, therefore, play a large role in addressing environmental
management issues.So organizational managers should launch eco-initiates to address
environmental management.