Научная статья на тему 'HUMAN RESOURCE DIVERSITY AS A FACTOR OF ECONOMIC GROWTH (ON THE EXAMPLE OF CHINA)'

HUMAN RESOURCE DIVERSITY AS A FACTOR OF ECONOMIC GROWTH (ON THE EXAMPLE OF CHINA) Текст научной статьи по специальности «Экономика и бизнес»

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Ключевые слова
ECONOMIC GROWTH / HUMAN RESOURCE MANAGEMENT / HUMAN RESOURCE DIVERSITY / ORGANIZATIONAL CITIZENSHIP BEHAVIOUR / CHINA

Аннотация научной статьи по экономике и бизнесу, автор научной работы — Tuktabaeva L.R.

This study is designed to find out how does the human resource diversity effect the organizational citizenship behavior; in which correlation stay the economic growth of a country and the human resource diversity policy of organizations in China as well as to which consequences the Chinese Economic reform of the XX century has led.

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Текст научной работы на тему «HUMAN RESOURCE DIVERSITY AS A FACTOR OF ECONOMIC GROWTH (ON THE EXAMPLE OF CHINA)»

что данная организация успешно функционирует в столь специфической и уникальной сфере разведки и добычи алмазов на россыпных месторождениях, является ведущей компанией, способной осуществлять планирование своей деятельности максимально эффективно.

Таким образом, сегодня АО «Алмазы Анабара» представляет собой многопрофильное, динамично развивающееся предприятие, которое развернуло свою деятельность в Анабарском, Олекминском, Ленском, Оленекском, Мир-нинском, Нерюнгринском районах и в г. Якутске. Из года в год компания динамично развивается, вносит достойный вклад в социально-экономическое развитие республики. АО «Алмазы Анабара» производит планирование деятельности, учитывая все специфические факторы в сфере разведки и добычи алмазов на россыпных месторождениях. Показатели производства очень высокие и указывают на высокую эффективность планирования, осуществляемое планово-экономическим отделом АО «Алмазы Анабара».

Список литературы:

1. Борисова УС., Попова Л.Н., Ефимов В.С. Сценарные варианты будущего Республики Саха (Якутия) в сфере экономики: по результатам Делфи-опроса // Социосфера - 2013. - № 4. - Ч. II. - С. 14-24.

2. Веснин В.Р. Менеджмент: учеб. - 4-е изд. - М., 2014. - 616 с.

3. Виханский О.С., Наумов А.И. Менеджмент: учебник / О.С. Виханский, А.И. Наумов. - 5-е изд. стереотипн. - М.: Магистр: ИНФРА-М, 2014. - 576 с.

4. Дмитриев Ю.В. и др. Экономическое и социальное управление предпринимательством: учеб. пособие. - Владимир, 2001. - 318 с.

5. Официальный сайт АО «Алмазы Анабара» [Электронный ресурс]. -06.05.2016. - Режим доступа: http://alanab.ykt.ru/.

6. Сергеев И.В. Экономика организации (предприятия): учеб. пособие для бакалавров / И.В. Сергеева. - 5-е изд., испр. и доп. - М.: Юрайт, 2013. - 671 с.

HUMAN RESOURCE DIVERSITY AS A FACTOR OF ECONOMIC GROWTH (ON THE EXAMPLE OF CHINA)

© Tuktabaeva L.R.1

Saint-Petersburg Academic University, Saint-Petersburg

This study is designed to find out how does the human resource diversity effect the organizational citizenship behavior; in which correlation stay the economic growth of a country and the human resource diversity policy of

1 Студент магистратуры.

organizations in China as well as to which consequences the Chinese Economic reform of the XX century has led.

Keywords: economic growth, human resource management, human resource diversity, organizational citizenship behaviour, China.

Economic growth is defined as a real increase in the gross domestic product (GDP) of a country occurring over a period of time. This means that national income (adjusted for inflation) has increased and there has been a physical increase in economic activity.

Factors of economic growth are processes and occurrences that have objective and subjective influence on the ability of real increase of volume and scale of production of goods and services.

One defines objective and subjective factors of economic growth. Objective factors are those that have a direct and decisive influence on the economic growth. Subjective factors are those that have an indirect impact on the pace and scale of economic growth.

In this article we will consider human resource diversity management as one of the objective factors of economic growth on example of development of the Chinese economy.

Human resources are the people who work for the organization. Human resource management is really employee management with an emphasis on those employees as assets of the business. In this context, employees are sometimes referred to as human capital. As with other business assets, the goal is to make effective use of employees, reducing risks and maximizing return on investment (ROI). Areas of HRM oversight include - among many others - employee recruitment and retention, exit interviews, motivation, assignment selection, labor law compliance, performance reviews, training, professional development, mediation, and change management.

In our article we focus on the Diversity Management. Diversity Management has now become a strategic business issue for organizations worldwide as rapid globalization has increased workforce diversity and enhanced the significance of diversity management [2]. We will consider the concepts of the HRM in China. Because China is now a key global player, with its enterprises taking an increasing role on the global market. It is important then, to understand how Chinese firms have managed their people at home and abroad to achieve both economic and social performance outcomes. Also we will overview the Chinese economic performances over the past three decades since the economic reform of 1979 and find out the correlations between the Human recourse diversity into the Chinese companies and growth of the national economy of China.

Workforce diversity acknowledges the reality that people differ in many ways, visible or invisible, mainly age, gender, marital status, social status, disabil-

ity, sexual orientation, religion, personality, ethnicity and culture [6]. In some sense, the Diversity practices can be considered as tries to overcome earlier discriminations getting along benefits for the enterprise. Research by the Australian Centre for International Business (ACIB) indicates that diversity improves the quality of management's decisions, and provides innovative ideas and superior solutions to organizational problems. McLeod, Lobel and Cox and Wilson and Iles found that a diverse workforce has a better-quality solution to brainstorming tasks, displays more cooperative behavior, relative to homogenous groups, and can raise organizational efficiency, effectiveness and profitability. Empirical evidence shows that firms that have effective diversity management stand to benefit through bottom line returns. Information sharing and constructive task-based conflict management are the keys to the 'value in diversity' argument. Managing diversity is premised on recognition of diversity and differences as positive attributes of an organization, rather than as problems to be solved [5].

Organizational citizenship behavior is the technical psychological term for what can be simply defined as the compilation of individual behaviors in a group setting. Organizational citizenship behavior was first defined by Dennis Organ in 1988 as «individual behavior that is discretionary, not directly or explicitly recognized by the formal reward system, and that in the aggregate promotes the effective functioning of the organization» Dennis Organ's major 1988 study on organizational citizenship behavior defined the concept into five common behaviors: altruism, courtesy, sportsmanship, conscientiousness, and civic virtue. Organ's study suggested that, when these common behaviors are exhibited in a group setting, it will lead to effectiveness. In the business world, organizational citizenship behavior has been linked to work productivity, employee effectiveness, and other factors which can impact a business in the short or long term. Under the business effectiveness we understand higher economical outcomes by lower expenses. The effectiveness of the Small and Medium Scale business remain the most dynamic force and agent of economic growth and development of a nation. The small and medium scale enterprises generates at least 60 % of the GDP. In this context we may suppose that OCB is likely to benefit enterprises and the State at large.

The platform for this research built the article of Jie Shen, Brian D'Netto & Jiong Tang published on 04 Oct 2010 in the International Journal of Human Resource Management. The article is called «Effects of human resource diversity management on organizational citizen behaviour in the Chinese context».

The aim of this study study was to learn how does the Human Recourse Diversity effect the Organizational Citizenship Behavior. Authors supposed that HRD will be positively related to OCB. To learn that they made a research Sample and data collection procedure. 1000 employees from 10 firms in Fuzhou, Fu-jian, Provincial Capital of the People's Republic of China were asked. Athours created a questionnaire, which consisted of 3 Sections.

Before we present the hypothesis of this research let's switch attention to the historical background. In the year 1979 the economic reform «Reform & Opening up» found place in China. This reform divides the Chinese economy in the 20th century into two parts: Chinese planned economy (1949-1979) and the modern economic system which appeared after the economic reform. This reform changed a lot in the labour system.

The most important diversity issue was household registration status. In China, residents' household registration status, which differentiates rural peasants from urbanites, has been the focus of the diversity debate and organizational equality-related policies and practices since the Chinese Communist Party (CCP) took over in 1949 [Chan1998; Shen 2007; Warner 2009]. Under the planned economy, China had imposed tight residence control; rural peasants were banned from working or conducting commercial activities in cities. This segregation resulted in lower social and economic status for Chinese rural peasants. Since 1978, China has adopted the household contract responsibility system in rural areas.As a result, residence control has been relaxed. Some 200 million off-farm peasants have migrated to cities to find work every year [Shen, 2007]. The off-farm migrants who work in cities are commonly called mingong (in Chinese meaning «farmer workers»). Chinese researchers have observed that migrant workers in general have been treated as second-class citizens in the Chinese society [Chan 1998; Nielsen, Nyland, Smyth, Zhang and Zhu 2006]. Under the Chinese planned economy rural farmers were forbidden from working in urban areas. Employees were assured of lifetime employment - «the iron-rice bowl». After the economic reform there appeared the labor contract system, which could be terminated by either employer or the employee. Off-farm migrants have been allowed to travel and to work in urban areas. Based on this fact authors developed the first Hypotesis: Perceived effective recruitment and selection diversity management is positively related to OCB [2].

The next part of the research was about training and development diversity management. Before the economic reform there was a strong inequality of opportunities in this field. Only military officers and university graduates who could become potential, leaders were sent to special Chinese schools. After the economic reform the job-training replaced the compulsory apprenticeship. After that everyone could be trained however such training is still limited to a great extend, because of a lack of recourses and commitment to employee development. Authors expected that: competition for jobs putting pressure on employees would force them to undergo trainings to improve their chances on marketability. That leaded them to the second Hypothesis: Perceived effective training and development diversity management is positivly related to OCB [2].

Then as an important criteria was considered the performance appraisal. Performance appraisal was quite rare, not connected with individual or company re-

sults of that time. This type of «appraisal» could be considered extremely demo-tivating. Appraisal criteria included political ideology and moral attitudes, ability, skills, experience and education, working attitudes and achievement. In general, this kind of appraisal is supposed to mirror employees' performance and increase output. Chinese employees basically accept performance appraisal and we might assume that it would lead to higher concentration on Organizational Citizen behavior. However it could be a potential consequence of closer connection between appraising and compensation. That brought authors to the 3rd Hypotesis: Perceived effective performance appraisal diversity management is positively related to OCB [2].

Compensation diversity management is a simple mechanism. Wage reform is a key component of the Chinese economic reform. Under the planned economy, China adopted a national grade-based wage system which was based on egalita-rianism and cradle-to-grave welfare. Wages were determined by grades of skills and cadre systems rather than individual and organizational performance. Wages were always guaranteed and wage differences between grades were minimal [2]. System change brought improvement in this sphere, as well. Individual performance has been reflected. It was not so difficult for workers to understand the simple formula - better results and more work equals more money. It is more than expected that movable wage did influence behavior of employees which shows practically undoubtable connection between HRDM and OCB. Authors tried to prove this connection by working with the Hypothesis 4. Hypothesis 4: Perceived effective compensation diversity management is positively related to OCB [2].

Summereised results data from 530 Chinese employees authors came to following conclusions: compensation diversity management is the strongest predictor of OCB; recruitment and selection diversity management is also significantly associated with OCB. The hypotheses regarding the relationship between training and development and performance appraisal diversity management with OCB were not supported. Results of the study indicate that the link between diversity management in specific HRM functions and OCB may depend on the focus of HR diversity management in a particular national context.

In this part of the article we will overview the growth tendency of the Chinese Gross Domestic Product (GDP) over the three decades since the economic reform «Reform & Opening up» found place in 1979 (pic. 1).

From 1979 until 2010, China's average annual GDP growth was 9,91 %, reaching an historical high of 15,2 % in 1984 and a record low of 3,8% in 1990. Based on the current price, the country's average annual GDP growth in these 32 years was 15,8 %, reaching an historical high of 36,41 % in 1994 and a record low of 6,25 % in 1999.

7 000 000 6 000 000 5 000 000 4 000 000 3 000 000 2 000 000 1 000 000 0

1980 1990 2000 2010 GDP in millions (USD)

Pic. 1. GDP development trends of China (1980-2010)

As of 2015, China's nominal GDP by Expenditure approach is 10.86 trillion US dollars. China's nominal GDP by Expenditure approach surpassed that of Italy in 2000, France in 2005, the United Kingdom in 2006 and that of Germany in 2007, before overtaking Japan in 2009, making China the world's second largest economy after the United States. But adjusting for purchasing power parity (PPP), China become the world's second largest economy as early as 1999 surpassing Japan, and has toppled America to become the biggest economy since 2014.

On the facts that were mentioned above we can conclude that China has implemented a more open human resources policy since its adoption of reform and opening up to the outside world some three decades ago and that brought to the development of the Chinese national economy. Referring to the research of Jie Shen, Brian DNetto & Jiong Tang «Effects of human resource diversity management on organizational citizen behaviour in the Chinese context» we came to the following conclusions: first, perceived effective HRDM is generally positively related to OCB. When employees get along with each other even though they are from different conditions or they differ in any other way, there is big potential to achieve really good results via various ideas. When HRDM is perceived to be effective, employees are likely to engage in more OCB, thus benefitting the organization. Second, effective diversity management through good HR practices and procedures leads to positive outcomes. Therefore, diversity management must become a priority agenda in HRM practices for all organizations. The Small and Medium Scale business being the most dynamic force and agent of economic growth and development of a nation should prioritize diversity management in its human resource policy.

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