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Article
Publication date: 1 May 2001

Alison M. Konrad and John Deckop

Productivity gains powered by technological innovation have fueled expansion of the US economy during the 1990s. US economic prosperity has led to labor shortages, which are…

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Abstract

Productivity gains powered by technological innovation have fueled expansion of the US economy during the 1990s. US economic prosperity has led to labor shortages, which are pushing organizations to engage in creative recruitment and retention practices and to employ workers from non‐traditional sources, leading to a more diverse workforce. HR professionals are realizing that they need to update their technological skills and develop systems for managing more virtual organizations. Human resource (HR) is also trying to become more of a strategic partner in firms. HR has the potential to create competitive advantage for firms by successfully combining a reputation as being an employer of choice with a high performance work system and an effective set of incentives.

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International Journal of Manpower, vol. 22 no. 3
Type: Research Article
ISSN: 0143-7720

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Article
Publication date: 1 March 2000

Basu Sharma and Aaliya Fayyaz

This paper proposes a hegemonic power hypothesis to examine the determinants of CEO compensation by drawing on insights from the field of international relations. It then reports…

177

Abstract

This paper proposes a hegemonic power hypothesis to examine the determinants of CEO compensation by drawing on insights from the field of international relations. It then reports results of an empirical test of this hypothesis. The results indicate a limited support for the hegemonic power hypothesis, indicating the importance of a cross‐disciplinary perspective in studying the determinants of CEO compensation.

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International Journal of Commerce and Management, vol. 10 no. 3/4
Type: Research Article
ISSN: 1056-9219

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Article
Publication date: 1 July 2003

Edilberto F. Montemayor

Employee dissatisfaction with merit pay is a long‐standing problem. This study introduces four explanatory constructs, based on decisional and interactional fairness notions, that…

504

Abstract

Employee dissatisfaction with merit pay is a long‐standing problem. This study introduces four explanatory constructs, based on decisional and interactional fairness notions, that describe how supervisors implement merit pay and predict merit pay satisfaction. Multigroup confirmatory factor analyses, applied to a sample of American employees (N = 415) and a sample of Venezuelan employees (N = 239), show that the five constructs introduced here are distinct from each other and that their measures generalize across countries (cultures and languages).

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Management Research: Journal of the Iberoamerican Academy of Management, vol. 1 no. 2
Type: Research Article
ISSN: 1536-5433

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Article
Publication date: 6 January 2012

Ilona Bučiūnienė and Rūta Kazlauskaitė

The purpose of this paper is to look into the current corporate social responsibility (CSR) and human resource management (HRM) developments in Lithuania and to study the…

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Abstract

Purpose

The purpose of this paper is to look into the current corporate social responsibility (CSR) and human resource management (HRM) developments in Lithuania and to study the relationship between CSR, HRM and organisational performance outcomes.

Design/methodology/approach

A survey of 119 medium and large‐sized organisations (over 100 employees) in Lithuania was conducted to study CSR and HRM implementation in the country and to test the relationship between CSR, HRM and organisational performance outcomes.

Findings

In total, 78.1 per cent of the respondent organisations have a written or unwritten HR strategy. Only 38.8 per cent have a CSR statement, but more than half of respondent organisations have a code of ethics, corporate values statement and diversity statement (respectively 65.4, 63.0 and 53.1 per cent). Research findings show that there is a linkage between HRM, CSR and performance outcomes – organisations with more developed HRM, i.e. those where HRM performs a strategic role and the HR function performance is evaluated, have better developed CSR policies. The latter were found to have an impact on organisational and financial performance outcomes.

Research limitations/implications

The study is built on the Cranet survey data, therefore not all CSR‐related HRM practices are analysed. Due to a limited number of organisations using CSR‐related HRM practices, the statistical analysis fails to determine statistically significant relationships between the usage of those practices, the level of CSR development and performance outcomes.

Practical implications

Organisations that are socially responsible and follow a strategic approach to HRM exhibit better performance outcomes, profitability in particular.

Originality/value

The paper confirms the existence of the HRM‐CSR‐performance linkage, i.e. organisations with better developed HRM, where HR plays a more strategic role and its performance is more evaluated, also have more developed formal CSR policies, which in turn has a positive impact on organisational and financial performance outcomes.

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Baltic Journal of Management, vol. 7 no. 1
Type: Research Article
ISSN: 1746-5265

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Article
Publication date: 29 May 2020

Ahmad Hammami, Rucsandra Moldovan and Elisabeth Peltier

This paper aims to examine the role that auditor’s salary perception has on audit quality and delay. The findings contribute to a greater understanding of the audit employee-level…

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Abstract

Purpose

This paper aims to examine the role that auditor’s salary perception has on audit quality and delay. The findings contribute to a greater understanding of the audit employee-level factors that influence audit work outcomes.

Design/methodology/approach

The authors use Big 6 employee reviews, salary data and audit and financial data from 2007 to 2017 to measure how to audit employees’ pay satisfaction affects audit quality (small profits and going concern opinions) and audit delay. The authors use a regression approach to analyze this relationship. In subsequent tests, the authors split the sample on high career opportunities to investigate how this moderates the relationship between salary perception and audit quality.

Findings

The authors document a discrepancy between pay perception and reality. It is explained, though not completely, by salary level, comparisons to peers and superiors, firm-wide attitudes, cost of living and human capital in the area, work–life balance and perceived career prospects. Surprisingly, the unexplained pay dissatisfaction relates positively to audit quality and audit efficiency (audit delay), after controlling for salary level. Further tests show that an audit employee’s expectation of career opportunities moderates this result.

Originality/value

This is the first paper that empirically tests the relationship between pay satisfaction and job performance in the context of audit employees in public accounting. The authors contribute to an emerging literature that investigates audit employee-level characteristics and attitudes in relation to audit quality.

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Managerial Auditing Journal, vol. 35 no. 6
Type: Research Article
ISSN: 0268-6902

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Publication date: 4 October 2022

Tae-Youn Park, Reed Eaglesham, Jason D. Shaw and M. Diane Burton

Incentives are effective at enhancing productivity, but research also suggests that performance incentives can have “unintended negative consequences” including increases in

Abstract

Incentives are effective at enhancing productivity, but research also suggests that performance incentives can have “unintended negative consequences” including increases in hazard/injuries, increases in errors, and reduction in cooperation, prosocial behaviors, and creativity. Relatively overlooked is whether, when, and how incentives can be designed to prevent such negative consequences. The authors review literature in several disciplines (construction, healthcare delivery, economics, psychology, and [some] management) on this issue. This chapter, in toto, sheds a generally positive light and suggests that, beyond productivity, incentives can be used to improve other outcomes such as safety, quality, prosocial behaviors, and creativity, particularly when the incentives are thoughtfully designed. The review concludes with several potential fruitful areas for future research such as investigations of incentive-effect duration.

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Research in Personnel and Human Resources Management
Type: Book
ISBN: 978-1-80455-046-5

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Article
Publication date: 1 January 1993

Andrew W. Braunstein

Executive compensation equations are estimated separately for three groups of firms, under the contention that the determinants of executive remuneration may depend upon the form…

104

Abstract

Executive compensation equations are estimated separately for three groups of firms, under the contention that the determinants of executive remuneration may depend upon the form of and degree of regulation in an industry. Empirical evidence obtained for three separate years lends support to that notion.

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Studies in Economics and Finance, vol. 14 no. 2
Type: Research Article
ISSN: 1086-7376

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Article
Publication date: 1 April 2008

Fanny Caranikas‐Walker, Sanjay Goel, Luis R. Gómez‐Mejía, Robert L. Cardy and Arden Grabke Rundell

The empirical support for agency theory explanations for the great variance in CEO pay has been equivocal. Drawing from the performance appraisal literature, we hypothesize that…

773

Abstract

The empirical support for agency theory explanations for the great variance in CEO pay has been equivocal. Drawing from the performance appraisal literature, we hypothesize that boards of directors incorporate human judgment into the evaluation and reward of CEO performance in order to balance managerial risk with agency costs. We test Baysinger and Hoskisson’s (1990) proposition that insider‐dominated corporate boards rely on subjective performance evaluation to reward the CEO, and we argue that R&D intensity influences this relationship. Using a sample of Fortune firms, findings support our contention that human judgment is important in evaluating and rewarding CEO performance.

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Management Research: Journal of the Iberoamerican Academy of Management, vol. 6 no. 1
Type: Research Article
ISSN: 1536-5433

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Article
Publication date: 17 June 2007

Patrice Gelinas

Relying on proprietary Canadian data, we determine a positive relationship between the level of Canadian CEO compensation and the existence of significant international components…

163

Abstract

Relying on proprietary Canadian data, we determine a positive relationship between the level of Canadian CEO compensation and the existence of significant international components among a CEO’s array of responsibilities. Our findings are consistent with agency and human capital theoretical arguments. Results imply that executive pay premiums should be anticipated and budgeted for in the planning and implementation of international ventures.

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Multinational Business Review, vol. 15 no. 2
Type: Research Article
ISSN: 1525-383X

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Book part
Publication date: 10 June 2015

Alexandra E. MacDougall, Zhanna Bagdasarov, James F. Johnson and Michael D. Mumford

Business ethics provide a potent source of competitive advantage, placing increasing pressure on organizations to create and maintain an ethical workforce. Nonetheless, ethical…

Abstract

Business ethics provide a potent source of competitive advantage, placing increasing pressure on organizations to create and maintain an ethical workforce. Nonetheless, ethical breaches continue to permeate corporate life, suggesting that there is something missing from how we conceptualize and institutionalize organizational ethics. The current effort seeks to fill this void in two ways. First, we introduce an extended ethical framework premised on sensemaking in organizations. Within this framework, we suggest that multiple individual, organizational, and societal factors may differentially influence the ethical sensemaking process. Second, we contend that human resource management plays a central role in sustaining workplace ethics and explore the strategies through which human resource personnel can work to foster an ethical culture and spearhead ethics initiatives. Future research directions applicable to scholars in both the ethics and human resources domains are provided.

Details

Research in Personnel and Human Resources Management
Type: Book
ISBN: 978-1-78560-016-6

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