Factors affecting the transferability of HRM practices in joint ventures based in Iran

Abstract

Human resource management (HRM) is still a new concept in Iran and there is significant research to be done, mainly because of the changes over the past two decades and the recent increase in the re-emergence of multinational companies (MNCs). An active area of academic debate is the degree to which HRM practices follow the multinational or local partners practice in international joint ventures (IJVs). The research suggests the significance of ownership structure of critical resources. The study also shows the importance of socio-cultural differences on the transferability of HR practices and whether these are MNC standardised or localised to the host country. Based on the information from the research findings, the main factors which influenced MNC standardisation or localisation of HRM practices were ownership and control of critical resources, the compatibility of national culture and socio-cultural differences, mutual trust and respect between partners and the compatibility of management styles of the IJV.

Working together: Factors affecting the relationship between leadership and job satisfaction in Iranian HR departments

“…Although previous studies (Namazie, 2003; Nazarian, 2013; Tayeb, 1997) have speculated that team working would not be successful in the Middle Eastern context, this study empirically demonstrates that it does not contribute to job satisfaction. This could create a problem for HRM implementation as, generally, in the HR department there is a need for group and team effort to achieve organizational goals (Jiang and Liu, 2015).…”

Managing HR in the Middle East: Challenges in the Public Sector

“…Arab management faces an ever-increasing challenge to keep up with management in developed countries due to globalization; the introduction of MNE operations can result in the "transfer" of best practices in HRM, as in Israel. 14 A study into transferability of HRM practices in joint ventures based in Iran, 15 found that ownership and control of critical resources, the compatibility of national culture, socio-cultural differences, mutual trust and respect between partners and the compatibility of management styles were important factors. 16 Less bureaucracy, and more flexibility, was seen in private sector Iranian companies as compared to public sector ones: "the private sector is more flexible and change oriented…there is a stronger drive for performance based proce-dures…the private Iranian companies were more flexible to listen to their foreign partners' suggestions and apply them…" 17 Generally, personnel policies and practices were left to the Iranian partner, especially issues relating to labor legislation.…”

Job Embeddedness as a Moderator of the Impact of Organisational Justice on Turnover Intentions: a Study in Iran

“…The national culture of being family oriented and a distrust of outsiders is responsible for such a practice (Namazie and Frame, ). Training is not regarded as a career path development and a life‐long development of employees (Namazie, ; O'Gorman et al , ). Because compensation policies are not subject to employees' performance levels in most of the Iranian firms, they do not motivate employees for better or high‐quality performance in the workplace (Yeganeh and Su, ).…”