IDEAS home Printed from https://ideas.repec.org/a/eee/eurman/v34y2016i1p22-35.html
   My bibliography  Save this article

Corporate governance and strategic human resource management: Four archetypes and proposals for a new approach to corporate sustainability

Author

Listed:
  • Martin, Graeme
  • Farndale, Elaine
  • Paauwe, Jaap
  • Stiles, Philip G.

Abstract

In this paper we develop a new typology connecting strategic human resource management (SHRM) to different models of firm-level corporate governance. By asking questions concerning ownership and control issues in the corporate governance literature and drawing on institutional logics, we build a typological framework that identifies four firm-level archetypes of corporate governance systems. Two archetypes represent dominant logic types (shareholder value, communitarian stakeholder), while the other two represent hybrid organizations (enlightened shareholder value, employee-ownership). Using these archetypes, we theorize the implications of different governance structures for SHRM and the challenges they pose. We conclude by discussing a novel solution to many of these challenges based on the corporate sustainability literature, and, in so doing, provide new directions for SHRM research to tackle key challenges facing organizations and the management of people.

Suggested Citation

  • Martin, Graeme & Farndale, Elaine & Paauwe, Jaap & Stiles, Philip G., 2016. "Corporate governance and strategic human resource management: Four archetypes and proposals for a new approach to corporate sustainability," European Management Journal, Elsevier, vol. 34(1), pages 22-35.
    • Handle: RePEc:eee:eurman:v:34:y:2016:i:1:p:22-35
    DOI: 10.1016/j.emj.2016.01.002
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0263237316000049
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.emj.2016.01.002?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Linnenluecke, Martina K. & Griffiths, Andrew, 2010. "Corporate sustainability and organizational culture," Journal of World Business, Elsevier, vol. 45(4), pages 357-366, October.
    2. Mayer, Colin, 2014. "Firm Commitment: Why the corporation is failing us and how to restore trust in it," OUP Catalogue, Oxford University Press, number 9780198714804.
    3. Shih‐Fang Lo & Her‐Jiun Sheu, 2007. "Is Corporate Sustainability a Value‐Increasing Strategy for Business?," Corporate Governance: An International Review, Wiley Blackwell, vol. 15(2), pages 345-358, March.
    4. Michael C. Jensen, 2010. "Value Maximization, Stakeholder Theory, and the Corporate Objective Function," Journal of Applied Corporate Finance, Morgan Stanley, vol. 22(1), pages 32-42, January.
    5. Pfeffer, Jeffrey, 2010. "Building Sustainable Organizations: The Human Factor," Research Papers 2017r, Stanford University, Graduate School of Business.
    6. T. Lawrence & R. Suddaby & B. Leca, 2009. "Introduction : Theorizing and studying institutional work," Post-Print hal-00808954, HAL.
    7. Jensen, Michael C. & Meckling, William H., 1976. "Theory of the firm: Managerial behavior, agency costs and ownership structure," Journal of Financial Economics, Elsevier, vol. 3(4), pages 305-360, October.
    8. Ruth V. Aguilera & Igor Filatotchev & Howard Gospel & Gregory Jackson, 2008. "An Organizational Approach to Comparative Corporate Governance: Costs, Contingencies, and Complementarities," Organization Science, INFORMS, vol. 19(3), pages 475-492, June.
    9. Varoufakis, Yanis, 2011. "The Global Minotaur," University of Chicago Press Economics Books, University of Chicago Press, number 9781780320151, Febrero.
    10. Tom Keenoy, 1999. "HRM as Hologram: A Polemic," Journal of Management Studies, Wiley Blackwell, vol. 36(1), pages 1-23, January.
    11. Howard Gospel & Andrew Pendleton, 2003. "Finance, Corporate Governance and the Management of Labour: A Conceptual and Comparative Analysis," British Journal of Industrial Relations, London School of Economics, vol. 41(3), pages 557-582, September.
    12. Suzanne Konzelmann & Neil Conway & Linda Trenberth & Frank Wilkinson, 2006. "Corporate Governance and Human Resource Management," British Journal of Industrial Relations, London School of Economics, vol. 44(3), pages 541-567, September.
    13. Rakesh Khurana, 2007. "Introduction to From Higher Aims to Hired Hands The Social Transformation of American Business Schools and the Unfulfilled Promise of Management as a Profession," Introductory Chapters, in: From Higher Aims to Hired Hands The Social Transformation of American Business Schools and the Unfulfilled Promise of Management as a Profession, Princeton University Press.
    14. R. Edward Freeman & Andrew C. Wicks & Bidhan Parmar, 2004. "Stakeholder Theory and “The Corporate Objective Revisited”," Organization Science, INFORMS, vol. 15(3), pages 364-369, June.
    15. Stewart Clegg & David Courpasson & Nelson Phillips, 2006. "Power and organizations," Post-Print hal-02298067, HAL.
    16. Lampel, Joseph & Bhalla, Ajay & Jha, Pushkar P., 2014. "Does governance confer organisational resilience? Evidence from UK employee owned businesses," European Management Journal, Elsevier, vol. 32(1), pages 66-72.
    17. Thomas Lawrence & Roy Suddaby & Bernard Leca, 2009. "Introduction: theorizing and studying institutional work," Post-Print hal-00576557, HAL.
    18. Justin O'Brien, 2006. "Ethics and corporate governance: banking on scandal," International Journal of Business Governance and Ethics, Inderscience Enterprises Ltd, vol. 2(1/2), pages 183-196.
    19. Harvie Ramsay & Dora Scholarios & Bill Harley, 2000. "Employees and High‐Performance Work Systems: Testing inside the Black Box," British Journal of Industrial Relations, London School of Economics, vol. 38(4), pages 501-531, December.
    20. Masahiko Aoki & Gregory Jackson, 2008. "Understanding an emergent diversity of corporate governance and organizational architecture: an essentiality-based analysis -super-1," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 17(1), pages 1-27, February.
    21. Guy, Frederick, 2009. "The Global Environment of Business," OUP Catalogue, Oxford University Press, number 9780199206636.
    22. Jaap Paauwe, 2009. "HRM and Performance: Achievements, Methodological Issues and Prospects," Journal of Management Studies, Wiley Blackwell, vol. 46(1), pages 129-142, January.
    23. Thomas Dyllick & Kai Hockerts, 2002. "Beyond the business case for corporate sustainability," Business Strategy and the Environment, Wiley Blackwell, vol. 11(2), pages 130-141, March.
    24. Nicolas Bacon & Mike Wright & Natalia Demina, 2004. "Management Buyouts and Human Resource Management," British Journal of Industrial Relations, London School of Economics, vol. 42(2), pages 325-347, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Agostino Vollero & Alfonso Siano & Maria Palazzo & Sara Amabile, 2020. "Hoftsede's cultural dimensions and corporate social responsibility in online communication: Are they independent constructs?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(1), pages 53-64, January.
    2. Marco Guerci & Adelien Decramer & Thomas Waeyenberg & Ina Aust, 2019. "Moving Beyond the Link Between HRM and Economic Performance: A Study on the Individual Reactions of HR Managers and Professionals to Sustainable HRM," Journal of Business Ethics, Springer, vol. 160(3), pages 783-800, December.
    3. Bouguerra, Abderaouf & Gölgeci, Ismail & Gligor, David M. & Tatoglu, Ekrem, 2021. "How do agile organizations contribute to environmental collaboration? Evidence from MNEs in Turkey," Journal of International Management, Elsevier, vol. 27(1).
    4. Abdul Aziz Khan Niazi & Shumaila Inam & Tehmina Fiaz Qazi & Abdul Basit & Ifra Aziz Khan Niazi, 2023. "Evaluating Moderating Effect of Organizational Transformation on Relationship of Strategic HRM Practices and Employee Retention," Journal of Policy Research (JPR), Research Foundation for Humanity (RFH), vol. 9(2), pages 300-319.
    5. Faisal Santiago, 2017. "A Legal Perspective of the Law Enforcement of Land Dispute," European Research Studies Journal, European Research Studies Journal, vol. 0(4B), pages 578-587.
    6. Natália Vraňaková & Zdenka Gyurák Babeľová & Andrea Chlpeková, 2021. "Sustainable Human Resource Management and Generational Diversity: The Importance of the Age Management Pillars," Sustainability, MDPI, vol. 13(15), pages 1-18, July.
    7. Siano, Alfonso & Vollero, Agostino & Conte, Francesca & Amabile, Sara, 2017. "“More than words”: Expanding the taxonomy of greenwashing after the Volkswagen scandal," Journal of Business Research, Elsevier, vol. 71(C), pages 27-37.
    8. Tasneem Sadiq & Rob van Tulder & Karen Maas, 2022. "Building a Taxonomy of Hybridization: An Institutional Logics Perspective on Societal Impact," Sustainability, MDPI, vol. 14(16), pages 1-22, August.
    9. Drago, Carlo & Fortuna, Fabio, 2023. "Investigating the Corporate Governance and Sustainability Relationship: A Bibliometric Analysis Using Keyword-Ensemble Community Detection," FEEM Working Papers 336985, Fondazione Eni Enrico Mattei (FEEM).
    10. Yar Hamidi, Daniel & Machold, Silke, 2020. "Governance, boards and value co-creation: Changing perspectives towards a service dominant logic," European Management Journal, Elsevier, vol. 38(6), pages 956-966.
    11. Annibal Scavarda & Gláucya Daú & Luiz Felipe Scavarda & Rodrigo Goyannes Gusmão Caiado, 2019. "An Analysis of the Corporate Social Responsibility and the Industry 4.0 with Focus on the Youth Generation: A Sustainable Human Resource Management Framework," Sustainability, MDPI, vol. 11(18), pages 1-20, September.
    12. van den Broek, Judith & Boselie, Paul & Paauwe, Jaap, 2018. "Cooperative innovation through a talent management pool: A qualitative study on coopetition in healthcare," European Management Journal, Elsevier, vol. 36(1), pages 135-144.
    13. MAHMOOD Athar, 2020. "Employee Stock Option Plans: A Meta-Analysis (Understanding Impact Of Esops Through Literature)," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 15(1), pages 100-114, April.
    14. Alfonso Siano & Francesca Conte & Sara Amabile & Agostino Vollero & Paolo Piciocchi, 2016. "Communicating Sustainability: An Operational Model for Evaluating Corporate Websites," Sustainability, MDPI, vol. 8(9), pages 1-16, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Marc van Essen & J. (Hans) van Oosterhout & Pursey P. M. A. R. Heugens, 2013. "Competition and Cooperation in Corporate Governance: The Effects of Labor Institutions on Blockholder Effectiveness in 23 European Countries," Organization Science, INFORMS, vol. 24(2), pages 530-551, April.
    2. Naeem Tabassum & Satwinder Singh, 2020. "Corporate Governance and Organisational Performance," Springer Books, Springer, number 978-3-030-48527-6, September.
    3. Michelle Greenwood & Harry J. Van Buren, 2017. "Ideology in HRM Scholarship: Interrogating the Ideological Performativity of ‘New Unitarism’," Journal of Business Ethics, Springer, vol. 142(4), pages 663-678, June.
    4. Tanya Bondarouk & Chris Brewster, 2016. "Conceptualising the Future of HRM and Technology Research," John H Dunning Centre for International Business Discussion Papers jhd-dp2016-06, Henley Business School, University of Reading.
    5. Rodrigo Lozano, 2018. "Proposing a Definition and a Framework of Organisational Sustainability: A Review of Efforts and a Survey of Approaches to Change," Sustainability, MDPI, vol. 10(4), pages 1-21, April.
    6. Lamin B. Ceesay, 2020. "Exploring the Influence of NGOs in Corporate Sustainability Adoption: Institutional-Legitimacy Perspective," Jindal Journal of Business Research, , vol. 9(2), pages 135-147, December.
    7. Chakraborty, Atreya & Gao, Lucia Silva & Sheikh, Shahbaz, 2019. "Managerial risk taking incentives, corporate social responsibility and firm risk," Journal of Economics and Business, Elsevier, vol. 101(C), pages 58-72.
    8. Viju Raghupathi & Jie Ren & Wullianallur Raghupathi, 2020. "Identifying Corporate Sustainability Issues by Analyzing Shareholder Resolutions: A Machine-Learning Text Analytics Approach," Sustainability, MDPI, vol. 12(11), pages 1-24, June.
    9. Claus Dierksmeier, 2020. "From Jensen to Jensen: Mechanistic Management Education or Humanistic Management Learning?," Journal of Business Ethics, Springer, vol. 166(1), pages 73-87, September.
    10. Anselm Schneider, 2015. "Reflexivity in Sustainability Accounting and Management: Transcending the Economic Focus of Corporate Sustainability," Journal of Business Ethics, Springer, vol. 127(3), pages 525-536, March.
    11. Yanica P. Dimitrova, 2020. "Corporate Social Responsibility and Innovation – the Meaningful Connection," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 4, pages 89-108.
    12. Richard Nielsen & Felipe Massa, 2013. "Reintegrating Ethics and Institutional Theories," Journal of Business Ethics, Springer, vol. 115(1), pages 135-147, June.
    13. ATM Adnan & Nisar Ahmed, 2019. "The Transformation Of The Corporate Governance Model: A Literature Review," Copernican Journal of Finance & Accounting, Uniwersytet Mikolaja Kopernika, vol. 8(3), pages 7-47.
    14. Gerhard Schnyder, 2012. "Measuring Corporate Governance: Lessons from the 'Bundles Approach'," Working Papers wp438, Centre for Business Research, University of Cambridge.
    15. Kozica, Arjan & Kaiser, Stephan, 2012. "A Sustainability Perspective on Flexible HRM: How to Cope with Paradoxes of Contingent Work," management revue - Socio-Economic Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 23(3), pages 239-261.
    16. Sheikh, Shahbaz, 2018. "Is corporate social responsibility a value-increasing investment? Evidence from antitakeover provisions," Global Finance Journal, Elsevier, vol. 38(C), pages 1-12.
    17. Prasnikar, Janez & Mikerevic, Dragan & Voje, Damjan, 2014. "Blockholding and organisational diversity: the case of a transition economy," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 19(3), pages 277-304.
    18. Kevin Levillain & Blanche Segrestin, 2019. "From primacy to purpose commitment: How emerging profit-with-purpose corporations open new corporate governance avenues," Post-Print hal-02290622, HAL.
    19. Michael Pirson & Shann Turnbull, 2011. "Toward a More Humanistic Governance Model: Network Governance Structures," Journal of Business Ethics, Springer, vol. 99(1), pages 101-114, March.
    20. Thomas J. Chemmanur & Dimitrios Gounopoulos & Panagiotis Koutroumpis & Yu Zhang, 2022. "CSR and Firm Survival: Evidence from the Climate and Pandemic Crises," Working Papers 935, Queen Mary University of London, School of Economics and Finance.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:eurman:v:34:y:2016:i:1:p:22-35. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/115/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.