Organizational Culture and Human Resource Management Practices

TLDR

The Model of Culture Fit proposes that a society’s sociocultural environment shapes internal work culture, thereby affecting HRM practices. The authors tested the model in two cross‑cultural studies of Indian and Canadian managers and employees, using a participant technique in Study 1 and an observant technique in Study 2 to assess sociocultural environment and internal work culture. Both studies found that India scored higher than Canada on several cultural dimensions and that Indian employees reported less enriched jobs, and mediation analyses confirmed the Model of Culture Fit, highlighting paternalism, self‑reliance, employee participation, and participant methodology as areas for further research.

Abstract

The Model of Culture Fit postulates that the sociocultural environment affects the internal work culture, which in turn influences human resource management practices. This model was tested by two independent cross-cultural studies comparing Indian and Canadian managers and employees. In assessing sociocultural environment and internal work culture, the “participant” technique was used in Study 1 (the respondents indicated their own beliefs and assumptions), and the “observant” technique was used in Study 2 (the respondents indicated beliefs and assumptions of the majority of individuals in society). In both studies, India scored higher than Canada on paternalism, power distance, uncertainty avoidance, loyalty toward community, reactivity, and futuristic orientation. Indian employees reported having less enriched jobs than did Canadian employees. Mediated multiple regression analyses supported the Model of Culture Fit. Results suggest that the paternalism, self-reliance, and employee participation constructs merit further exploration, as does participant methodology.