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Recent literature on high-performance work systems (HPWS) has questioned the universal success of HPWS and highlighted the need to examine contextual factors and micro-level employee experiences. To address this issue, this study aimed to explore the dynamics of HPWS implementation. Using the case of an Indian public-limited pharmaceutical company transitioning towards professionalisation, it examined the inconsistencies between the intended, enacted and perceived HPWS practices.

This study used a case study approach, drawing on multiple data sources, including surveys, interviews with various stakeholders, observations, documents and reports. Quantitative data was gathered through job satisfaction and organisational culture surveys completed by 888 employees. The qualitative interview data was analysed deductively, with themes derived from the existing HPWS literature.

The analysis revealed the organisation’s struggle in integrating professionally oriented HPWS practices within its promoter-driven bureaucratic culture. Employees reported a lack of autonomy, poor communication and inequitable opportunities for training and promotion. These cultural misalignments undermined the effectiveness of HPWS, leading to perceptions of exploitation, decreased job satisfaction and reduced trust in management. The findings highlight that HPWS practices cannot be implemented in parts without holistically considering the organisational context and culture.

The study offers practical guidance to organisations on implementing HPWS effectively. It emphasises the importance of continuously integrating employee feedback into HPWS practices to ensure sustainable performance improvements.

This study addresses a critical gap in HPWS literature by offering a post-implementation analysis focused on employee experiences within a traditional family firm. It highlights the systemic challenges that hinder the effectiveness of HPWS in practice.

The case revolves around a critical incident that took place at an Indian pharmaceutical company, in which various stakeholders had very different perspectives regarding the nature, causes and consequences of the incident. By illustrating the contrasting perceptions of the same event, the authors have shed light on the nature of perception and perceptual processes, including cognitive biases and errors in human judgement. The case provides insights into how these manifest in the organisational context and how managers could be made more aware of them to avoid errors in judgment and make choices that are more informed.