Human Resource Management

Proceedings

G HRM 2015 C

Conference on Green Human Resource Management (CGHRM) 2015 30th-31st May, 2015, Graduate School of Business, Universiti Sains Malaysia, Penang

G HRM 2015 C Conference on

GREEN

Human Resource Management

30-31 MAY, 2015 EASTIN HOTEL, PENANG, MALAYSIA

Thinking responsibly about human resource management.

Host

Graduate School of Business Universiti Sains Malaysia

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In collaboration with

USAINS Holding Sdn. Bhd.

Proceedings of the Conference on Green Human Resource Management

G HRM 2015 C “Thinking responsibly about human resource management” Eastin Hotel, Penang, Malaysia 30 – 31 May, 2015 Host Graduate School of Business (GSB), USM In collaboration with USAINS Holding Sdn Bhd ISBN 978-967-394-215-2

Contents Keynote Message

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Dean’s Foreword

3

Chairperson’s Message

4

Profile Dr. Sukanlaya Sawang

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Profile Ms. Puteri Nor Hamidar Megat Salleh

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Profile Mr. Noor Azam Mohd Nor

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Profile Ms. Zura Zainira Omar

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Profile Dr. Hjh. Aniah Baharom

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Programme

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Green Human Resource Management in Service Organizations: A Proposed Model for Green Banking Performance

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Talent Management for Green Human Resource Management

28

Factors that Help in Retention of Gen-Ys in Service Industry

40

Green Recruiting to Attract and Retain Top Talent: The Significance of Video Interview for the Manufacturing Industry in Malaysia

49

EHRM Needed for Green Human Resource Management

69

Investigating the Captivating Effect of Safety and Health Concerns on Lecturer’s Environmental Attitudes Towards Electronic Green Products

76

Job Seekers’ Perception of Green HRM

92

From Green Human Resource Management (HRM) to Sustainability

102

Green Training and Development: A Strategic Approach for Organizational Sustainability

108

Mapping the Change Theory to Cultivate Green Work Culture: A Case Study at MNC Manufacturing Firm in Penang

125

Work-Life Balance Satisfaction of Women Employee Impact Toward Their Affective Commitment in Malaysia

132

Drivers, Benefits, and Challenges of Green HRM Practices: The Way Forward for Industries

145

Introducing Alternative Dimensions of Green HRM Practices: Bridging the Gap Between Triple Bottom Line (TBL) Theory and Current Practices of Green HRM

155

Strategic Green Human Resource Management as a Critical Success Factors for Environmental Performance in Malaysia

163

Acknowledgment

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KEYNOTE MESSAGE

The Honourable Professor Dato’ Dr. Omar Osman Vice Chancellor, Universiti Sains Malaysia Bismillahirrahmannirrahim Assalammualaikum Warahmatullahi Wabarakatuh Salam Sejahtera, Salam Kempen Hijau dan Salam Harmoni First and foremost, I thank the Almighty Allah SWT for granting us the permission and blessing to implement such a meaningful programme in line with our on going Green Campaign mission. This programme focuses on the important role of green human resource management in protecting the interest of the society and ensuring harmony. I truly hope that this campaign could lead to the creation of a healthy and harmonious society. Activities which support the green campaign mission should not be restricted to a campaign or academic conference related to plants and the environment alone. In fact, applying the ‘green’ philosophy to human resources management could add value to productivity itself. In view of this, Universiti Sains Malaysia (USM) is committed to be the leading higher learning institution that promotes Green Campaign mission. To enhance such awareness, every centre and department in USM main campus and other campuses needs to play its role. The proactive act taken by the Graduate School of Business by holding the “Conference on Green Human Resource Management (CGHRM) 2015” is a manifestation of USM’s aspiration towards upholding the Green Campaign mission. I am indeed delighted and would like to congratulate the Graduate School of Business and its committees as well as all participants for making this conference a success. Hopefully, this effort will bring a significant impact on people’s well-being. In short, any contribution towards the Green Campaign’s aspiration will minimise man-made environmental disasters caused by human negligence and error, hence making the Earth a better and safer place to live in.

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DEAN’S FOREWORD

Associate Professor Dr. Sofri Yahya Graduate School of Business, USM

On behalf of the Conference on Green Human Resource Management (CGHRM) 2015, I am pleased to welcome all participants to this conference. Congratulations on your paper acceptance. Indeed, welcome to Penang, Malaysia to our overseas participants and also to participants from various organisations in Malaysia. We are also very fortunate to receive five good speakers from various industries which are from Queensland University of Technology Business School, Motorola Solutions (M) Sdn. Bhd., Integrated Device Technology Malaysia, KPJ Penang Specialist Hospitals, and Universiti Teknologi MARA. For Graduate School of Business (GSB), Universiti Sains Malaysia, this is the first conference we are organising that has a combination of speakers from industry and presenters from academicians. This conference will focus on the green human resource management issues for sustainable business, especially in the context of emerging markets. With a new business model for the conference with its unique value proposition, it seeks to bring together scholars engaged in research, together with industry practitioners on one platform to deliberate issues on sustainable human resource and business. I would like to extend my sincere gratitude to YBhg. Professor Dato’ Dr. Omar Osman, Vice Chancellor, Universiti Sains Malaysia. Thank you for his support in ensuring the conference goes as planned, while not forgetting a full commitment and great team, it would be impossible to organise this conference. I would like to express my deep appreciation to the Organising Committee members for their untiring efforts in making this event extremely worthwhile. In addition, the success of the conference is due also to the contribution and support by our sponsors, YBhg. Dato’ Yew Tian Tek, GSB KPI Funding, and an Exploratory Research Grant Scheme. I take this opportunity to convey a big thank you to all individuals and organisations who have contributed directly or indirectly towards the success of the conference. Finally, I hope all of you will seize the opportunities for collaborations, networking and new friendship. Have an enjoyable and fruitful conference. For visiting guests and participants, I wish you a most pleasant stay in Penang. Thank you. 3

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CHAIRPERSON’S MESSAGE

Dr. Yusliza Mohd Yusoff

Graduate School of Business, USM It is a great opportunity for me to be present and address as a chairperson among the persons who are more keen to save our loving planet. On behalf of the Organising Committee, I am honored and delighted to welcome you to the Conference on Green Human Resource Management at Eastin Hotel, Penang. The conference is arranged with an aim to show our concern about green movement as well as to share and spread our ideas and thoughts on how we can keep our environment green. In an effort to contribute along with the global green movement, we have tried to arrange our program. Our technical program is rich and varied with 1 keynote speech and 4 invited talks and 14 technical papers. Besides, there is 1 workshop on Online Training. As our environmental awareness is growing, we hope this program is a significant step forward on this journey. As a conference chair of CGHRM 2015, I know that the success of the conference depends ultimately on many people who have worked with us in planning and organising the technical program. In particular, we thank the Conference Advisor, Associate Professor Dr. Sofri Yahya for his wise advice and brilliant suggestion on organizing the technical program; the Program Committee and reviewers for their thorough and timely reviewing of the papers, and our sponsor, Dato’ TT Yew who helped us to keep down the costs of CGHRM 2015 for all participants. Recognition should go to the Organizing Committee who have worked extremely hard for the details of important aspects of the conference programs. The main spirit of this conference is to build the networking and relationship; sharing the knowledge and experiences among academicians and practitioners from business organizations. Therefore, we are convinced that this conference will produce many benefits to the attendants and presenters while interacting together on same purpose. As you celebrate a time of togetherness knowing and sharing with one another, celebrate joyfully the event we have together in this conference.

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In this occasion, I would like to thank all contributors to the conference including all authors, reviewers, speakers and conference committee, participants, and sponsors. I have been honoured to work with a dedicated Organizing Committee; Graduate School of Business. The New Green Knowledge, a primer for organizing a Green conference, focuses on the green event and the expansion of green wisdom through networking among conscious persons. As we are studying the New Phase of Knowledge, Green HRM, it will discover how to be a body of people carrying out and spreading the thoughts in its context. Thank you.

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PROFILE

DR. SUKANLAYA SAWANG

Queensland University of Technology Business School Queensland University of Technology Brisbane, Australia

Dr. Sukanlaya Sawang is an organisational psychologist and an active researcher with professional experience from Australia, Japan, Thailand and USA. Dr. Sawang worked at Chulalongkorn University, Thailand as a psychology lecturer, consultant and trainer, before moving to Australia. Currently, she is a Senior Lecturer with QUT Business School, Queensland University of Technology, Australia. Her research to date has primarily focused on main areas within the field of organisational effectiveness, cross-cultural studies, psychological well-being, and innovation adoption. Dr. Sawang has also provided consulting services for small businesses in Asia and Australia; training for small businesses through The Asian Productivity Organization; developed academic courses, research projects and publications relating to small businesses; been invited to provide recommendations for the Innovation Policy Report, Department of Industry, Canberra. Dr. Sawang is also an active member of the Australian Centre for Entrepreneurship Research and the executive board of the Asian Cognitive Behavioural Therapy Association.

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PROFILE

Ms. Puteri Nor Hamidar Megat Salleh Director of Talent, Asia Pacific & Middle East Motorola Solutions (M) Sdn. Bhd. Bayan Lepas, Penang

Ms. Puteri is currently the Director of Talent for Motorola Solutions in Asia Pacific & Middle East. Her 24 years of experience in Human resources emphasized on operational and strategic HR ranging from Talent acquisitions to Developing high potential leaders in the organization. Throughout her career journey, Puteri has developed number of significant milestones. Among those are leading number of Human resources projects which are critical to Motorola globally. She has been selected to participate in high potential development program such as HR business academy where Puteri had the opportunity to attend series of development workshops. In 2007, Puteri was identified to go through another high potential development program which is the Business leadership Development Program. She had opportunity to go through an 18-month assignment in Motorola head office in Schaumburg Illinois, USA. During this assignment, Puteri was given the opportunity to shadow and later lead 2 global business functions, and be part of the global Talent management and change management functions. Puteri was the first HR expert worldwide who achieved six sigma green belt in 2004, which she had completed improvement projects with cost saving and avoidance of close to USD 1M. Her experiences in various Motorola sites had provided her with opportunities to create relationships, engage with many leaders and be exposed to a range of complexities in leading and managing key stakeholders’ requirements. These have strengthened her perspectives and capabilities in Leadership development which in turn support Motorola to achieve its strategic priorities. Puteri holds Bachelor of Science in Statistics from Western Michigan Universities in Kalamazoo Michigan, USA. As one of the senior leaders in Motorola Solutions in the region, she aspires to help others to be successful. Her current roles demand her to be innovative, resourceful and stay engaged with clients, leaders and talents to help them in their development towards success.

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PROFILE

MR. NOOR AZAM MOHD NOR

Human Resource Manager Integrated Device Technology (M) Sdn. Bhd. Bayan Lepas, Penang

Noor Azam is the country’s (Malaysia) Human Resources Manager of Integrated Device Technology (IDT) that engages in the design, development, manufacture, and marketing of a range of semiconductor solutions for communications, computing, and consumer industries. IDT was incorporated in 1980 and is headquartered in San Jose, California, USA. Noor Azam has 31 years of working experience with Multi National Companies (MNCs), in particular with American-based top Fortune 500 companies such as National Semiconductor and Fairchild Semiconductor. He began his career holding the position of Electronic Engineer, advancing to become Engineering Manager, Operations Manager, and Plant Team Facilitator & Department Manager. Currently he is the Human Resources Manager of IDT (Malaysia) Sdn Bhd and HR Convener for Frepenca (Free Trade Zone Companies, Bayan Lepas, Penang) During his engineering career, he was instrumental in the setting up of several new high technology operations and manufacturing teams in National Semiconductor (Malaysian plant) that were transferred from USA and UK in the early 1980s. During his career in Fairchild Semiconductor Penang, he had contributed significantly to team development that included the development of High Performance System Team process in manufacturing for SimFlow and Wafer Sorting Operation. While he was HR Manager the Company had achieved the Malaysian Prime Minister Award for the “Best Company in Training and Human Resources Development” in 2001, and the “Best Multi National Company for Employees Safety and Health Award” in 2002. Noor Azam graduated with B.Sc. (Electronics) (Hons) and among the first batch of Electronics Engineering students from University Sains Malaysia. He also holds a certificate in management studies from Sanno Management, Japan. He is a trainer for DACUM, TPM, TQM, Problem Solving Decision Making, High Performance System (HPS) Team and Part-Time Trainer for Open University on Diploma In Security Management Courses on Organization Behavior and Principle of Human Resources.

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PROFILE

MS. ZURA ZAINIRA OMAR Human Resource Manager KPJ Penang Specialist Hospitals Bukit Mertajam, Penang

Ms. Zura Zainira bt Omar is currently the Talent Management Executive and Head of Talent Management Services at KPJ Penang Specialist Hospital, Bukit Mertajam, Penang. Ms. Zura started her career in 1997 and has 18 years of working experience. Her academic qualifications were in Accounting and Professional Human Resource Management. She is currently pursuing her studies in MBA programme at a local university. Ms. Zura also sits as Member to Committees at KPJ Hospital.

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PROFILE

DR. HJH. ANIAH BAHAROM Chief Deputy Registrar Universiti Teknologi Mara (UiTM) Shah Alam, Selangor

Dr. Aniah bt. Baharom is the Chief Deputy Registrar at Registrar Office, Universiti Teknologi Mara (UiTM), Shah Alam, Selangor. She started her career at UiTM in 1989 and was actively involved in planning, managing and improving the systems at various departments. Due to her excellent contributions and leadership quality, Dr. Aniah received numerous awards from the university including scholarships for postgraduate degrees. Dr. Aniah graduated with a Bachelor Degree in 1988 from University of Wisconsin, United States of America. She was awarded a scholarship in 1996 and obtained a Master of Science Degree in Personnel Management and Business Administration (PMBA) from Aston Business School, Aston University, United Kingdom. During this period, she was appointed as a consultant by Rolls Royce Industrial Power Ltd, United Kingdom, particularly in developing an Oversees Employment Contract. Dr. Aniah was once again awarded a scholarship to pursue her doctoral degree. She received her PhD in Administrative Studies and Politics from Universiti Malaya in 2009. Dr. Aniah is currently responsible for supervision and management of administrative and operational functions of Human Resource Management Department. She has also been invited to share her vast experiences and skills as speakers at numerous conferences.

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PROGRAMME Conference on Green Human Resource Management (CGRM) 2015 “Thinking responsibly about human resource management” 30th – 31st May 2015 I Eastin Hotel, Penang, Malaysia CGHRM @ EASTIN HOTEL I Saturday, 30 MAY 2015 I Day 1 08:30

Registration

09:00

Chairperson’s Opening Address DR. YUSLIZA MOHD YUSOFF I Graduate School of Business, Universiti Sains Malaysia

09:10

Welcoming Address ASSOC. PROF. DR. SOFRI YAHYA I Dean, Graduate School of Business

09:20

Keynote: Greener HRM and Well-Being: Top Down or Bottom Up? DR. SUKANLAYA SAWANG I QUT Business School, Queensland University of Technology, Australia

10:00

Succession Planning for Sustainable Organization: The Motorola Way MS. PUTERI NOR HAMIDAR MEGAT SALLEH I Director, Talent Asia Pacific & Middle East, Motorola Solutions (M) Sdn. Bhd.

10:40

Morning Coffee Break & Networking

11:00

The Challenges and Success Factors of Green HRM Practices: A Reflection MR. NOOR AZAM MOHD NOR I Human Resource Manager, Integrated Device Technology (M) Sdn.Bhd

11:40

Panel Discussion Moderator: DATO’ YEW TIAN TEK I Industry Fellow, Graduate School of Business, Universiti Sains Malaysia

12:40

Lunch Session Chair: DR. YUDI FERNANDO

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14:00

Green HRM @ Government Sector DR. HJH. ANIAH BAHAROM I Chief Deputy Registrar, Universiti Teknologi MARA, Shah Alam

14:40

Drivers, Benefits, and Challenges of Green HRM Practices: The Way Forward for Industries YUSLIZA MOHD YUSOFF I Graduate School of Business, Universiti Sains Malaysia NUR ZAHIYAH OTHMAN I School of Management, Universiti Sains Malaysia YUDI FERNANDO & AZLAN AMRAN I Graduate School of Business, Universiti Sains Malaysia LILIS SURIENTY & T. RAMAYAH I School of Management, Universiti Sains Malaysia

G HRM 2015 C 15:00 15:20


Mapping the Change Theory to Cultivate Green Work Culture: A Case Study at MNC Manufacturing Firms in Penang SITI ROHAIDA MOHAMED ZAINAL I School of Management, Universiti Sains Malaysia MOHAMED YUSOFF, M. K. I Graduate School of Business, Universiti Sains Malaysia Afternoon Coffee Break & Networking Session Chair: DR. YUSLIZA MOHD YUSOFF

15:40

Factors that Help in Retention of Gen-Y in Service Industry BOEY BEE KIM I Tunku Abdul Rahman College JUNAIMAH JAUHAR I Graduate School of Busines, Universiti Sains Malaysia AHMAD BASHAWIR ABDUL GHANI I Universiti Utara Malaysia

16:00

Job Seekers’ Perception of Green HRM MEHRAN NEJATI I Graduate School of Business, Universiti Sains Malaysia NOOR HAZLINA AHMAD I School of Management, Universiti Sains Malaysia

16:20

From Green HRM to Sustainability YONG JING YI I Graduate School of Business, Universiti Sains Malaysia YUSLIZA MOHD YUSOFF I Graduate School of Business, Universiti Sains Malaysia

16:40

Investigating the Captivating Effect of Safety and Health Concerns on Lecturer’s Environmental Attitudes Towards Electronic Green Products IMAN KHALID A. QADER I School of Management, Universiti Sains Malaysia YUSERRIE BIN ZAINUDDIN I Universiti Malaysia Pahang

17:00

End of Day One

CGHRM @ EASTIN HOTEL I Sunday, 31 MAY 2015 I Day 2 Session Chair: MS. JUNAIMAH JAUHAR

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09:00

Green HRM @ Hospital MS. ZURA ZAINIRA OMAR I Human Resource Manager, KPJ Penang Specialist Hospitals

09:40

Green Training and Development: A Strategic Approach for Organizational MUHAMMAD MADI BIN ABDULLAH & PAN LEE CHING I Faculty of Business, Economics and Accounting, Universiti Malaysia Sabah YUSLIZA MOHD YUSOFF I Graduate School of Business, Universiti Sains Malaysia

10:00

EHRM Needed for Green HRM HADZIROH IBRAHIM & YUSLIZA MOHD YUSOFF I College of Business, Universiti Utara Malaysia MD LAZIM MOHD ZIN I College of Business, Universiti Utara Malaysia

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Green Recruiting to Attract and Retain Top Talent: The Significance of Green Video Interview for the Manufacturing Industry in Penang, Malaysia TALE SELVI D/O MUNIANDI & ELLISHA NASRUDDIN I Graduate School of Business, Universiti Sains Malaysia Morning Coffee Break & Networking Session Chair: DR. MEHRAN NEJATI

11:00

Green HRM and Performance in Service Organizations NADIA NEWAZ RIMI & YUSLIZA MOHD YUSOFF I Graduate School of Business, Universiti Sains Malaysia

11:20

Talent Management for Green HRM TEOH SIAU TENG I Graduate School of Business, Universiti Sains Malaysia YUSLIZA MOHD YUSOFF I Graduate School of Business, Universiti Sains Malaysia

11:40

Introducing Alternative Dimensions of Green HRM Practices: Bridging the Gap Between Triple Bottom Line (TBL) Theory and Current Practices of Green HRM NUR ZAHIYAH OTHMAN & YUSLIZA MOHD YUSOFF I School of Management, Universiti Sains Malaysia

12:00

Work-Life Balance Satisfaction of Women Employee Impact Towards Their Affective Commitment in Malaysia CHEN BIG KIM I Graduate School of Business, Universiti Sains Malaysia

12:20

Strategic Green HRM as a Critical Success Factors for Environmental Performance YUSMANI MOHD YUSOFF & YUSLIZA MOHD YUSOFF I Graduate School of Business, Universiti Sains Malaysia

12:40

Lunch Session Chair: MS. SHAIZATULAQMA KAMALUL ARIFFIN

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14:00

Workshop: Workplace through Blended Online Training DR. LILIS SURIENTY ABD I School of Management, Universiti Sains Malaysia

15:40

Afternoon Coffee Break & Networking

16:00

Best paper presentation & closing remarks DR. YUSLIZA MOHD YUSOFF I Graduate School of Business, Universiti Sains Malaysia

16:30

End of Conference on Green HRM

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Green Human Resource Management in Service Organizations: A Proposed Model for Green Banking Performance Nadia Newaz Rimi

Department of Management, University of Dhaka, Bangladesh PhD. Student, Graduate School of Business, Universiti Sains Malaysia, Penang, Malaysia Email: [email protected]

Yusliza Mohd Yusoff

Graduate School of Business, Universiti Sains Malaysia, Penang, Malaysia Email: [email protected]

Abstract The study proposes a conceptual model on Green Human Resource Management (GHRM) best practices to improve and innovate green banking services of the banking organizations of Bangladesh. The present GHRM model suggests that bank management should link HRM practices with their green strategies. The proposed model provides insights into what extent HRM practices can be linked to capitalize green banking services for greening the economy. Therefore, it can increase the environmental awareness and the theoretical and managerial insights for an effective implementation of green banking through green HRM practices. Furthermore, the review on extant literature on green banking across the globe provides evidences of financial sector responses to global ecological concerns. This study suggests future empirical study on the proposed model to justify green HRM impact on green services in banking industry and other industries within and beyond Bangladesh. Keywords: HRM, Green Management, Green HRM Best Practices, Green Banking, Bangladesh Acknowledgment: This research is supported by an Exploratory Research Grant Scheme (203/PPAMC/6730125) from the Ministry of Education, Malaysia.

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INTRODUCTION Contemporary human resource management (HRM) is most notably seen as a sustained source of competitive advantage (Caliskan, 2010); an integral part of business performance (Wei & Lau, 2010) and; critical to organizational effectiveness (Schuler & Jackson, 2014). In corroboration with such achievements from HRM, it can be further expected that HRM can be linked to achieve success even in organizational efforts to save planet and be approached as Green HRM (GHRM). GHRM is emerged based on the green movements of organizations that aim to environment safety from further and future disasters (Shaikh, 2012). Renwick, Redman and Maguire (2013) view GHRMas the HRM aspect of environmental management efforts of organization. Likewise, Green banking is an attempt of banking industry in response to the global initiatives to save environment. Green banking contributes to green finance in resourceefficient and low carbon industries i.e. green industry and green economy in general (Bangladesh Bank Report, 2013). In the area of environmental affairs, HRM practices can aid in balancing corporate values, financial goals and environmental strategy and; in ensuring that employees implement this balanced strategy consistently across the organization (Cohen, Taylor &Muller-Camen, 2010). Therefore, HRM practices directed to recruit, develop, appraise and reward banking employees to perform and innovate green banking services may be a new area of HRM contribution. The present paper aims to contribute in suggesting GHRM best practices for the banking organizations of Bangladesh. Hence, this paper has two main purposes. First, from literature study, it develops GHRM best practices model for integrating HRM with environment management issues for improving and innovating green banking services in the context of Bangladesh. Second, it opens up new research avenues regarding GHRM and green service innovation in the banking sector that can be further applied by other financial institutions of developing markets. Additionally, GHRM best practices model can be tested for green activities irrespective of organization types and country context.

GREEN MANAGEMENT During the past few years, the environmental awareness has been introduced in management systems as a way of managing environment through organized activities (Haden, Oyler & Humphreys, 2009). Haden et al (2009) define green management as the organization-wide process of applying innovation to achieve sustainability, waste reduction, social responsibility and a competitive advantage. Hence, researchers have

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argued on the importance of green concern of the organization. Following table (Table 1) demonstrates various scholars’ arguments for green management. Table 1: Justification for green Management Authors

Justification

Abbaspour, Karbassi and Khadivi (2006)

Discuss how implementation of green management can ensure the continuous arrangement and assessment of activities from the environmental perspective to control and prevent contaminations.

Babiak and Trendafilova (2011)

Deliberate the role and relevance environmentally focused corporate social responsibility (CSR) plays and presents suggestions for future research in this area.

Khan, Khan, Ahmed and Ali (2013)

Notice many business organizations have re-branded their core values including social responsibility in environmental excellence.

Alniacik, Alniacik & Genc, (2011)

Claim that organizations adopting environmental practices can influence external shareholders to be environment friendly.

Haden et al (2009)

Suggest that green achievement should be made via continuous learning and development through embracing environmental goals and strategies into the goals and strategies of the organization.

Porter and Kramer (2006)

Recommend for a more close alignment between a company’s core strategy and its social responsibility efforts.

Bergmiller and McCright (2009)

Find the strengths of the combination of production process and green programs to improve business results.

Sarkar (2008)

Points out that business practices related to the environment are now seen a transition from environmental management to environmental strategy.

Al-Najjar & Anfimiadou, (2012)

Assert on the prominence of environment management to reduces organizational negative impact on the environment.

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GREEN BANKING INITIATIVES ACROSS COUNTRIES Researchers conceptualize green banking as doing business in such areas and in such a manner that helps the overall reduction of external carbon emission and internal carbon footprint (Bhardwaj & Malhotra, 2013). Thereby, green banking strategies should follow a shift from ‘profit, profit and profit’ motive to ‘planet, people and profit’ orientation for sustainable development in the long run (Rajput, Kaura & Khanna, 2013 p. 292). The pervasiveness of environmental concerns has made green banking a global issue. Concerning bank responsibility in greening environment, the following table (Table 2) shows green banking movement across the globe. Table 2: Green banking across the Globe Authors

Study Focus

Sahoo and Nayak (2008); Rajput et al (2013)

Explore the importance of green banking and suggest relevant possible policy measures and initiative in India.

Ketikidis, Bulata and Lazouras (2010)

Describe the prospects of green innovation in the Romanian banking sector.

Dash (2008)

Sees environmental issues in ‘green funds’ for green industry in green banking of Triodos Bank, also known as “Green Bank” and a bank with a difference in Netherlands.

Papastergiou and Blanas (2011)

Reveal that regarding environmental concerns, the majority of banks of Greece are quite active, especially in the internal environmental care and in social issues, such as economic benefits to employees and society.

Emtairah, Hansso nand Hao (2005)

Find that in China, commercial banks have started to acknowledge the risks and opportunities associated with environmentally sustainable development.

Jahdi and Cockburn (2008)

Find that bank in UK has employed a fairly sophisticated marketing strategy, based on learning about and from customers thus creating and sustaining an iche in the market place as a socially responsible, ethical, and ecologically-aware organisation.

Kalloch and Bachman (2011)

Explore that the banking industry in U.S. recognizes green initiatives as an increasingly important business strategy to gain a competitive advantage and to have long term consequences for the environment and overall business.

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Dakherand Дахер(2012)

Proposes not only to use green technologies and ecological programs, but to involve society namely students from the very first year of studying in order to bring up a Ukrainian bank elite.

Sahin, Aydin and Abaci (2014)

Find that The Turkish Banking Union cooperates with national and international organizations through “The Sustainability in Banking Working Group”.

Maftuchah, Hadad, Hamzah and Sofilda (2013)

Stated that in Indonesia, the Central Bank has started working on formulating strategy and road map to achieve sustainable banking.

Ali (2012)

Note that Malaysia’s banking sector has, in general, good environmental management practice.

GREEN BANKING IN BANGLADESH To support Bangladesh Government initiatives for environmental protection, Bangladesh Bank (BB), the central bank and apex body of Financial Institutes (FIs), has also developed an indicative Green Banking Policy and Strategy Framework with specific time frame under bank corporate social responsibility (CSR) policy for the FIs (BB Report, 2013).The Green Banking Policy with specific time framework

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Table 3: Green Banking Practices of Banks in Bangladesh Green banking unit/ cell/desk

43 banks have formed Green Banking Unit (GBU) for contributing to green banking activities while 4 banks are yet to establish GBU. Some banks have just started developing Strategic Planning for Sector specific Green Banking Policy.

Bank’s in-house green activities

●● Common use of table stationeries instead of individual use ●● Use of paper on both sides for internal consumption ●● Introduction of e-statement for customers instead of paper

statements

●● Use of online communication in the best possible manner ●● Using more daylight instead of electric light and proper

ventilation in lieu of using air conditioning

●● Using energy saving bulbs and ensuring maximum utilization of

day-light

●● Use of Eco Font for printing light impression in both sides of the

paper

●● Setting defaults like thinking “twice before printing”, “Printing

only it really needs”, “Please check your environmental responsibility” etc. in email correspondences

●● Video/Audio conference in lieu of physical travel ●● Conversion of Bank’s vehicles (pool) into CNG and Use of energy

efficient lights and other electronic equipments

●● Economic use of light and air conditioners ●● Efficient use of printer cartridges, photocopy toner, office

stationary etc.

●● Sharing electronic files, voice mail and e-mail instead of paper

memos

●● Use of solar energy/Renewable energy sources ●● More concentration on developing Green Office Guide

for reducing information gap/reducing hazards/increasing efficiency/awareness/reducing pollution/developing Green banking for sustainable financing.

Online banking

Substantial portion of internal works of the bank is done through online banking system-with outlook, e-mail. Access to online banking service for the customers is getting wider day-by-day.

Branches powered by Solar Energy

Banks are introducing use of solar energy in their branches. 99 branches of 18 banks have reported installation of solar power panels.

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Climate risk fund

Banks are making effort to create a database on utilization of fund for their CSR activities those relate to Climate Change condition and also for the number of projects/events for possible safeguards and mitigating hazards due to climate change. 10 PCBs have allocated budget for Tk.194.35 million for Climate Risk fund.

Green services

Green banking services of BB include advising banks to provide their clients with utmost assistance when opening Letters of Credit (L/C) for the installation of Effluent Treatment Plants (ETP) in industrial units; financing solar energy, bio-gas and ETP; complying with the guidelines on Corporate Social Responsibility (CSR) (banks have been asked to concentrate on linking CSR at their highest corporate level for ingraining environmentally and socially responsible practices) and engaging with borrowers in scrutinising environmental and social impacts. Considering the adverse effects of climate change, banks have been advised to be cautious about the impacts of natural disasters and encourage farmers to cultivate salinity resistant crops in salty areas, water resistant crops in the waterlogged and flood-prone areas, drought resistant crops in drought prone areas. They should also be encouraged to use surface water instead of underground water for irrigation, organic fertiliser and natural insecticides instead of chemical fertiliser and pesticides.

Source: Review of CSR initiatives of banks- 2011, Bangladesh Bank, July, 2013

Is divided into 3 phases. In Phase-I, FIs were to develop green banking policies for in-house performance by June 30, 2014. In Phase-II, the actions that were to take include, identifying green investment sectors, green strategic planning, introducing green branches and green internal operations, formulating specific environmental risk management planning and guidelines, educating clients and developing green banking activity reporting system by December 31, 2014. Phase-III incorporates designing and introducing innovative products, reporting in standard format with external verification, reporting green banking practices on quarterly basis, allowing preferential treatments to the compliant FIs and practicing green banking that should be completed within June 30, 2015. The banking organizations of Bangladesh are currently supposed to be in phase-III. Local researchers are also taking research steps for exploring green banking potentiality in Bangladesh. Examining the Bangladesh Bank green banking policies and green banking products, Ahmed (2012) identifies key challenges of green banking and offers some workable suggestions to improve green banking scenario of the country. Choudhury, Salim, Bashir and Saha (2013) discuss about the consideration of stakeholder’s influences or perceptions as one of the major criteria to accelerate 20

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the development of green banking products and green branches. Chisty (2013) tries to evaluate the Bangladesh Bank green banking policy guidelines to be followed by the banks operating in Bangladesh by comparing it with some other countries’ policy guidelines and also recommends some measures that need to be included in the guideline. Rashed (2012) facilitates Bangladesh Bank’s green initiatives by offering a rating system for the banking organizations considering their business and environment performance. Islam (2012) examines and finds a positive result in the relationship between financial performance and socially responsible practices initiatives of banks in Bangladesh. The policy implication of the study recommends that better regulatory requirements will foster more CSR initiatives. Ullah (2013) reveal that compared to state-owned commercial banks, both private and foreign commercial banks have adopted more remarkable green banking initiatives in Bangladesh. Millat, Chowdhury and Singha (2012) had a review study on Green Banking in Bangladesh Fostering Environmentally Sustainable Inclusive Growth Process. They found that Bangladeshis encouraging lowcarbon green development irrespective of essentiality of faster economic growthand social development. Rahman, Ahsan, Hossain and Hoq (2013) identify the key ways of doing green banking with the collaboration between clients and bankers in Bangladesh.

HRM AND GREEN MANAGEMENT Boselie, Dietz and Boon (2005) identified the four most reported HRM best practices such as: training and development; contingent pay; performance management; and careful recruitment and selection processes and these practices are confirmed HRM best practices by Gould-Williams and Mohamed (2010).Within this paper the term “HRM best practices” includes employee recruitment and selection, training, performance appraisal and compensation that can improve employee’s performance to give competitive advantage to the organization as suggested by early researchers.

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Table 4: Studies on GHRM Authors

Environment focused HRM

Jabbour and Santos (2008)

Consider HRM may contribute to environmental management in companies if they: (a) recruit and select people committed to the environment; (b) train and evaluate employees’ performance based on environmental criteria; (c) implement ways of rewarding individual and collective environmental performance; (d) stimulate continuous education in environmental management; (e) treat environmental aspects as values of a corporate culture; and (f) promote interaction between teams in order to deal with environmental problems and strive for continuous improvement of environmental management activities.

Perron et al (2006)

Emphasize on measuring employee performance after being trained on environmental issues to check employee performance improvement on environment management.

Dutta (2012)

Explains organization can maintain its green objectives all throughout the HRM process of recruiting, hiring, training, compensating, developing and advancing the firm’s human capital.

Renwick et al., (2013)

Find the implementation of rigorous recruitment and selection of employees, performance-based appraisal system, training programs aimed at green management initiatives have a basic importance for fostering environmental innovations.

Sudin (2011)

Suggest that HRM should include top management support, employee relations, rigorous recruitment and selection of employees, performance-based appraisal system, the introduction of training programmes and reward system to address green movement.

Jackson, et al. (2011)

Mention that Green responsibilities can be used by environmentally responsible employers to attract talent that fits and contributes to achieving the organization’s environmental goals.

Jabbour, Santos and Nagano (2010)

Discuss about the phases of gradual implementation of environmental management practices which are associated with almost all of the functional and competitive dimensions of HRM (recruitment, selection, training, performance evaluation and reward).

Mandip (2012)

Makes a detail on discussing how entry-to-exit processes inHRM (from recruitment to exit) translate green HR policy into practices.

In GHRM, researchers have asserted the importance of staffing, job analysis, environmental training and communication, participation, empowerment, recognition and compensation, the performance of environmental management programs, performance appraisal and use of technology (Sammalisto & Brorson, 2008; Perron, Cote & Duffy, 2006; Luzzini, Longoni, & Guerci, 2014; Paille, Chen, Boiral & Jin, 2014; Sawang & Kivits, 2014; Yusliza, Ramayah & Nur-Zahiyah, 2015). The table below (Table 3) summarizes the HRM practices related with green management and identified in different studies.

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Based on the literature review, it is evident that usual HRM best practices are approached to utilize human potential in handling green management issues within the organization. Hence, the proposed GHRM best practices model includes recruitment, selection, training and development, performance appraisal and compensation with an expectation to accelerate performance of employees that will harness service innovation in green banking in Bangladesh. Proposed Research Model of GHRM Best Practices and Green banking services Green HRM ●● ●● ●● ●●

Recruitment & Selection Training & Development Performance Appraisal, and Compensation

HR outcome

(Employee performance in Green Banking)

Organizational outcome (Service Innovation in Green Banking)

Figure 1. GHRM Best practices for Green banking service innovation The figure indicates that HRM best practices are assumed to influence employee performance positively to generate organizational outcome of Green banking service innovation. These HRM best practices arelabelled as GHRM best practices because these will be directed to manage employee performance toward the achievement of service innovation in environmental issues. Pinter, Deutschand Ottmár (2006) categorize green banking service innovations that can be realized different ways simultaneously; 1) green product and services (financing and servicing green projects); 2) internal green procedures, methods of operations for achieving sustainability; 3) new principal in production process and management system such as introducing environment management system and educating employees can represent green social innovation and; 4) green structural innovation such as international development banks from developed countries guiding developing countries’ banks in developing and implementing green service policies. GHRM may be a source of Green banking service innovation. GHRM will recruit and select employees based on their environmental concern, educate and develop them in performing green activities, appraise their performance and reward them based on green performance of banking activities. This will further create employee capability and performance in innovating green services for the organizations.

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PROPOSITIONS DEVELOPMENT Based on the proposed GHRM best practices model, the following propositions can be formed: Proposition1: GHRM best practices may generate organizational outcome through HR outcome. Proposition2: GHRM best practices may improve employee performance in green banking activities. Proposition3: GHRM best practices may facilitate green banking service innovation through enhancing employee performance in green banking activities.

CONCLUSION HRM best practices can act as a source of differentiator through stimulating innovative green services in banking sector. This paper has attempted to fill a gap in HRM research providing some ideas on how GHRM can contribute to green banking activities. This will ultimately serve the purpose of the banking industry’s response to the need for environmental sustainability. Moreover, the present GHRM model can be empirically tested for practical justification of theory relating HRM, employee performance and innovation in environment management efforts. Additionally, the study also opens up new research avenues in linking GHRM with green business activities irrespective of industry and country differences.

REFERENCES Abbaspour, M., A. R. Karbassi, and S. Khadivi. (2006). Implementation of green management concepts in sport complexes. International Journal of Environmental Science and Technology 3 (3): 213-219. Ahmed, S. U. (2012). Green Banking: Advancement and opportunities. 92 (1-2):1-12. Ali Basah, M. (2012). Corporate social responsibility and natural environmental risk management in the context of the banking sector of Malaysia (Doctoral dissertation, Cardiff University). Al-Najjar, B., and A. Anfimiadou. (2012). Environmental policies and firm value. Business Strategy and the Environment 21 (1):49-59. Alniacik, U., E. Alniacik, and N. Genc. (2011). How corporate social responsibility information influences stakeholders’ intentions. Corporate Social Responsibility and Environmental Management 18 (4):234-245. Babiak, K., and S. Trendafilova. (2011). CSR and environmental responsibility: motives and pressures to adopt green management practices. Corporate Social Responsibility and Environmental Management 18 (1):1124. Bank, B. (2013). Policy guidelines for green banking, edited by G. B. a. C. Department. Dhaka, Bangladesh: Bangladesh Bank.

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Bergmiller, G. G., and P. R. McCright. (2009). Parallel models for lean and green operations. Paper read at Proceedings of the 2009 Industrial Engineering Research Conference, Miami, FL. Bhardwaj, B. R., and A. Malhotra. (2013). Green Banking Strategies: Sustainability through Corporate Entrepreneurship. Greener Journal of Business and Management Studies 3 (4): 180-193. Boselie, P., G. Dietz, and C. Boon. (2005). Commonalities and contradictions in HRM and performance research. Human Resource Management Journal 15 (3): 67-94. Çaliskan, E. N. (2010). The impact of strategic human resource management on organizational performance. Journal of Naval Science and Engineering 6 (2): 100-116. Chisty, N. M. A. (2013). A literature review on green banking in Bangladesh: policy guidelines for banking and issues. Bangladesh Research Foundation Journal 2 (1): 85-100. Choudhury, T. T., M. Salim, M. M. Al Bashir, and P. Saha. (2013). Influence of stakeholders in developing green banking products in Bangladesh. Research Journal of Finance and Accounting 4 (7): 67-77. Coaker, S. (2011). Exploring the value and application of HRM best practice theory within a third sector micro-organisation. U.K.: University of Hertfordshire Business School. Cohen, E., S. Taylor, and M. Muller-Camen (2010). HR’s role in corporate social responsibility and sustainability. SHRM foundation. Dakher, K. A., & Дахер, К. А. (2012). Green banking in the world and in Ukraine. Dash, R. N. (2008). Sustainable ‘Green’Banking: the story of triodos bank. CAB Callling:26-29. Dutta, A., S. (2012). Greening people: a strategic dimension. 2 (2):143-148. Emtairah, T., Hansson, L., &Hao, G. (2005). Environmental challenges and opportunities for banks in China. Greener Management International, 2005(50), 85-94. Gould-Williams, J., and R. B. Mohamed (2010). A comparative study of the effects of ‘best practice’ HRM on worker outcomes in Malaysia and England local government. The International Journal of Human Resource Management 21 (5):653-675. Haden, S. S. P., J. D. Oyler, and J. H. Humphreys. (2009). Historical, practical, and theoretical perspectives on green management: An exploratory analysis. Management Decision 47 (7):1041-1055. Kalloch, A., & Bachman, B. (2011). Green banking. Islam, M. T. (2012). Linking Financial Performance to Corporate Social Responsibility Initiatives of Banks in Bangladesh: A Panel Data Analysis. European Journal of Business and Management 4 (14):170-176. Jabbour, C. J. C., and F. C. A. Santos. (2008). The central role of human resource management in the search for sustainable organizations. The International Journal of Human Resource Management 19 (12):21332154. Jabbour, C. J. C., F. C. A. Santos, and M. S. Nagano. (2010). Contributions of HRM throughout the stages of environmental management: methodological triangulation applied to companies in Brazil. The International Journal of Human Resource Management 21 (7):1049-1089. Jackson, S. E., D. W. S. Renwick, C. J. C. Jabbour, and M. Müller-Camen. (2011). State-of-the-art and future directions for green human resource management: Introduction to the special issue. ZeitschriftfürPersonalforschung (ZfP) 25 (2):99-116. Jahdi, K., & Cockburn, T. (2008). Learning to Co-operate: A Case Study in Ethical Banking. Interface: The Journal of Education, Community and Values, 8(5). Ketikidis, P., C. Bulata, and L. Lazuras. (2010). The Intellectual Capital–Environmental Practices, Performance and their Relationships in the Romanian Banking Sector. Paper read at Proceedings of the 5th International Forum on Knowledge Asset Dynamics, Matera, Italy, June, 24-25.

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Khan, M. T., N. A. Khan, S. U. Ahmed, and M. Ali. (2013). Corporate social responsibility (CSR)–Importance, impacts and benefit (A Review). Editorial Advisory Board 37 (1):160-170. Luzzini, D., Longoni, A., &Guerci, M. (2014, January). Green HRM and SCM practices and their effects on environmental and economic performance. In Academy of Management Proceedings (Vol. 2014, No. 1, p. 13491). Academy of Management. Maftuchah, I., Hadad, M. D., Hamzah, M. Z., &Sofilda, E. (2013). The Strategy of Sustainable Banking Policy and the Determination of Lenders Effect Toward Borrowers with Central Bank as the Moderator. OIDA International Journal of Sustainable Development, 6(06), 63-84. Mandip, G. (2012). Green HRM: People Management Commitment to Environmental Sustainability. Research Journal of Recent Sciences 1: 244-252. Millat, K. M., Chowdhury, R., &Singha, E. A. (2012).Green Banking in Bangladesh Fostering Environmentally Sustainable Inclusive Growth Process. Paillé, P., Chen, Y., Boiral, O., & Jin, J. (2014). The impact of human resource management on environmental performance: An employee-level study. Journal of Business Ethics, 121(3), 451-466. Papastergiou, A., & Blanas, G. (2011). Sustainable Green Banking: The Case of Greece. Practical Issues in Management & Economics, 4. Perron, G. M., R. P. Côté, and J. F. Duffy. (2006). Improving environmental awareness training in business. Journal of Cleaner Production 14 (6): 551-562. Pintér, É., N. Deutsch, and Z. Ottmár. (2006). New direction line of Sustainable development and marketing in green banking. Paper read at 22nd IMP Conference. Porter, M. E., and M. R. Kramer. (2006). Strategy & Society: The Link Between Competitive Advantage and Corporate Social Responsibility. Harvard Business Review 84 (12): 78-92. Rahman, M., Ahsan, M. A., Hossain, M., & Hoq, M. R. (2013). Green Banking Prospects in Bangladesh. Green Banking Prospects in Bangladesh (June 2, 2013). Asian Business Review, 2(2). Rajput, N., M. R. Kaura, and M. A. Khanna. (2013). Indian Banking Sector towards a Sustainable Growth: A Paradigm Shift. International Journal of Academic Research in Business and Social Sciences 3 (1):290-304. Rashed, M. (2012). Sustainability and CSR: Developing a rating system for banking sector of Bangladesh, Banking and Finance, Asian Institute of Technology. Renwick, D. W. S., T. Redman, and S. Maguire. (2013). Green Human Resource Management: A Review and Research Agenda. International Journal of Management Reviews 15 (1):1-14. Sahin, G., Aydin, H. İ., & Abaci, B (2014). Green Banking For a Sustainable Future: Turkey Application. Sahoo, P., and B. P. Nayak (2008). Green banking in India.Dehli, India: Discussion Paper series, Institute of Economic Growth. Sammalisto, K., and T. Brorson. (2008). Training and communication in the implementation of environmental management systems (ISO 14001): a case study at the University of Gävle, Sweden. Journal of Cleaner Production 16 (3):299-309. Sarkar, R. (2008). Public policy and corporate environmental behaviour: A broader view. Corporate Social Responsibility and Environmental Management 15 (5):281-297. Sawang, S., & Kivits, R. A. (2014). Greener workplace: understanding senior management’s adoption decisions through the Theory of Planned Behaviour. Australasian Journal of Environmental Management, 21(1), 22-36. Schuler, R., & E. Jackson, S. (2014). Human resource management and organizational effectiveness: Yesterday and today. Journal of Organizational Effectiveness: People and Performance, 1(1), 35-55.

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Shaikh, M. W. (2012). Green HRM, a requirement of 21st century. Abhinav Journal of Research in Commerce and Management I 1 (10):122-127. Sudin, S. (2011). Strategic Green HRM: A proposed model that supports Corporate Environmental Citizenship. Paper read at Proceedings of the 2011 International Conference on Sociality and Economics Development. Singapore: IACSIT Press. Ullah, M. M. (2013). Green Banking in Bangladesh-A Comparative Analysis. World Review of Business Research 3 (4).74–83. Wei, L. Q., & Lau, C. M. (2010). High performance work systems and performance: The role of adaptive capability. Human Relations. Yusliza, M. Y., Ramayah, T., & Othman, N. Z. (2015). Why Examining Adoption Factors, HR Role and Attitude towards Using E-HRM is the Start-Off in Determining the Successfulness of Green HRM? Journal of Advanced Management Science Vol, 3(4).

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Talent Management for Green Human Resource Management TEOH SIAU TENG

Graduate School of Business, Universiti Sains Malaysia Contact No.: +6 016-4887876, Email: [email protected]

YUSLIZA MOHD YUSOFF

Graduate School of Business, Universiti Sains Malaysia Contact No.: +6 04-6532909, Email: [email protected]

ABSTRACT The purpose of this paper is to provide a comprehensive review of the academic literature on talent management (TM) for Green Human Resource Management (GHRM) in search of alternative perspective. This meta-analysis reviewed 58 articles across the world which covers from year 2002 to October 2014 on TM and its related areas. Generally, it can be divided into three scopes of studies: the study on the philosophy concept of talent, the exploratory type by bridging the research gap with different areas of research and lastly, the study on the scope and practice of TM. In addition, a conceptual framework on TM will be illustrated based on the literature review for better understanding. In the end of the paper, recommendation for future studies will also be outlined. Keywords: Talent, Talent Management, Green Human Resource Management, Human Resource Management, Talent Retention, Organization Performance Acknowledgment: This research is partially supported by an Exploratory Research Grant Scheme (203/PPAMC/6730125) from the Ministry of Education, Malaysia.

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INTRODUCTION Sustainable issue is always the primary concern in a business entity. In recent year’s business sustainability approach, the inclination towards greener business practice is getting more attention. The integration of environmental management and human resource management has emerged to the popularity of green human resource management (GHRM). The notion of GHRM is regards to the HR function as the main driver in an organization to commence the green initiatives (Mandip, 2012). Ideally, HR practitioners play the role as advocator by initiate the environmental sustainability concept and employee’s involvement in environmental-friendly activities in the organization (Mandip, 2012). Renwick, Redman, & Maguire, (2013) have mapped out how the GHRM practice can motivate, engage and increase employee’s involvement to the environmental activities. The concept of environmental-sustainability must be comprehend to the talents as they are the prime leader in an organization. Thus, it can be said that through effective implementation GHRM in talent management it can be connect to business sustainability and bring the benefits to the organization in long run (Wagner, 2013). The concept of TM was firstly coined by McKinsey in late 90’s with his notable publication “War for Talent”. Since then, TM has become a popular area of study for nearly two decades. The increasing attention for TM and the expected talent shortage are the result by several political and social influences, such as demographic changes on the increment of ageing population, mobility and globalization (Festing & Schäfer, 2014; Thunnissen, Boselie, & Fruytier, 2013). Not to mention the transformational development trend shift from labour-based to knowledge-based economies, which would require more competent individuals to handle more complex task in dynamic organization environments. TM is a relatively young field to be explored and expand its body of knowledge. Thunnissen et al., (2013) highlighted TM is still in “infancy” stage. In academic field, TM is often categorized with a lack of clear definitions, standardization and theoretical framework by numerous scholars (Al Ariss, Cascio, & Paauwe, 2014; Dries, 2013; Festing & Schäfer, 2014; Iles, Preece, & Chuai, 2010). Thus, this also led to the argument from Iles, Chuai, and Preece, (2010) by describe TM is only another “old wine in new bottles” fad which has no different with HRM practice. Generally, the notion of TM can be regarded as a comprehensive set of activities in an organization to effectively attract, identify, develop, motivate, and retain talent for business sustainability (Wright & McMahan, 2011). Heinen and O’Neill, (2004), explain 29

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process of TM are associated with some other processes, such as recruiting, selection, onboarding, mentoring, performance management, career development, leadership development, succession planning, career planning, and also recognition and rewards. Meyers and van Woerkom, (2014) have developed a paradigm based on two tensions resulting in four distinct talent philosophies, which are exclusive and stable; exclusive and developable; inclusive and stable; inclusive and developable. See Figure 1 for an overview. The two quadrant of exclusive-inclusive and stable-developable represent different approaches to talent on TM. exclusive

Everyone has (a) particular talent(s): Identify and use these talents

Everyone can become a talent through training: offer development to everyone

stable

Nature-nurture interactions: Develop individuals with potential

developable

War for talent: Identify, attract and retain talented individuals

inclusive Figure 1. Talent Management Philosophies (Meyers & van Woerkom, 2014)

Further elaboration from Vaiman and Collings (2013), “TM systems often reflect beliefs around inter alia, the level of exclusivity versus inclusivity of talent systems, the emphasis on performance versus potential, the importance of pivotal positions, the balance between developing talent internally (making it) versus buying it from the external labour market, and the systems and processes underscoring the management of talents within the organization. All in all the research suggests the importance of contingency and of organizations developing talent systems which reflect particular organizational objectives in the context of the strategic constraints which they face.”

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Despite of the challenges to identify talent, TM also need to dissolve the salient issue on exclusive-inclusive on TM (Dries, 2013). Many multinational enterprises have adopted TM in human resource practice while small and medium enterprises (SME) are less benefit from it (Al Ariss et al., 2014). After briefly discussing on TM overall background introduction, the next section will present the meta-analysis result in detail.

LITERATURE ANALYSIS FOR TALENT MANAGEMENT This study has reviewed 58 articles from various sources of database, Science Direct (16), Proquest (16), Taylor and Francis (9), Wiley Online Library (9), Springer Link (3), Emerald Insight (2), Sage (1), and JSTOR (1). All the literatures comprise journal articles, book section, working papers, conference proceedings, magazine articles and thesis. Table 1: Reviewed article from various publication Journal

No. of Papers

Journal of World Business

8

Procedia – Social and Behavioral Sciences

5

The International Journal of Human Resource Management

5

Human Resource Development International

3

Business Horizons

2

Employment Relations Today

2

Interdisciplinary Journal of Contemporary Research In Business

2

Journal of Business and Psychology

2

Human Resource Management Review

1

An Enterprise Odyssey. International Conference Proceedings

1

Asia Pacific Journal of Human Resources

1

Asian Journal of Research in Social Sciences and Humanities

1

Asia-Pacific Journal of Management Research and Innovation

1

Business Ethics: A European Review

1

Canadian Public Administration

1

Competition Forum

1

European Journal of Training and Development

1

Global Business and Organizational Excellence

1

Global Business Perspectives

1

Human Resource Management

1

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Industrial and Commercial Training

1

International Journal of Management Research and Reviews

1

International Journal of Organizational Innovation (Online)

1

Journal of Business Studies Quarterly

1

Journal of Management Research

1

Journal of Marketing and Management

1

Kuwait Chapter of the Arabian Journal of Business and Management Review

1

Management and Labour Studies

1

Management Decision

1

Managerial Challenges of the Contemporary Society. Proceedings

1

Mediterranean Journal of Social Sciences

1

People and Strategy

1

Performance Improvement Quarterly

1

Public Management Review

1

Review of Financial Studies

1

Strategic HR Review

1

The Journal of Business Strategy

1

TOTAL

58

As per Table 1, most preferable papers publications are Journal of World Business (13.8%), followed by Procedia – Social and Behavioral Sciences (8.6%), The International Journal of Human Resources Management (8.6%), Human Resource Development International (5.2%), Business Horizons (3.4%), Employment Relations Today (3.4%), Interdisciplinary Journal of Contemporary Research in Business (3.4%), Journal of Business and Psychology (3.4%) and the remaining 29 publications which each of it contribute 1.7%. In addition, year wise publications have also been distinctly illustrated. Refer to Figure 2, a significant increase in numbers of publication year since 2002 to October 2014. This drastic increment in numbers of publication clearly indicates that talent management is another emerging area to look into. No doubt the maximum numbers of publication reached up to 16 articles in year 2013, the number of publication in year 2014 is expected to surpass this number as the timeframe of this study only takes into account until October 2014.

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Year Wise Publications 18

No. of Publications

16

14 12 10 8 6

4 2 0

Year Wise Publications

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

Oct-‐14

1

1

1

2

1

0

2

1

5

2

11

16

15

Figure 2. Year wise publications Further classifications according to research methodology have also been carried out. Analysis shows that the conceptual studies are the most popular methodology, which contributed more than half of the journal articles in this study (30). This is followed by empirical quantitative studies (17), descriptive qualitative studies (9), and the least are using mixed method which only contributed 2. Table 2: Country wise publications No.

Continent

No. of Papers

1

Asia

10

2

Europe

10

3

North America

5

4

Africa

2

5

Others

1

TOTAL

28

*Others, refer to cross continent based research

Numerous studies have been carried out in different countries separately, which includes Belgium, China, Germany, India, Iran, Nigeria, Pakistan, Poland, Singapore, Malaysia, Thailand, South Africa, Spain, Turkey and USA. These studies will categorize the country based on geographical continent, see Table 2. Majority of the research are done in selected individual country, cross-countries (Poocharoen & Lee, 2013; 33

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Sonnenberg, van Zijderveld, & Brinks, 2014) and cross-continent (Garcea, Linley, Mazurkiewicz, & Bailey, 2012) research are very few. Past studies have examined various variables in relation to talent management. This information will help future research to take into consideration of these variables. To name only a few, variables of interest are organizational performance (Heinen & O’Neill, 2004; Kehinde, 2012; Majeed, 2013) talent retention (Aguinis, Gottfredson, & Joo, 2012; Calvo, Bastida, & Feás, 2013; Festing & Schäfer, 2014; Mihelic & Plankar, 2010; Oladapo, 2014) talent engagement (Jeswani & Sarkar, 2008), positive organizational potential (Chodorek, 2012), organizational trust (Altınöz, Çakıroğlu, & Çöp, 2013), job stress (Chatroodi & Salajegheh, 2014), succession planning (Ahmadi, Ahmadi, & Abbaspalangi, 2012), organizational culture (Jha, 2014), HRM (Connell & Stanton, 2014; Gümüş, Apak, Gümüş, & Kurban, 2013; Iles, Chuai, & Preee, 2010; Iles, Preece & Chuai, 2010), sustainability (Anca-Letitia, 2013; Boudreau & Ramstad, 2005), service quality and work engagement (Barkhuizen, Mogwere, & Schutte, 2014), organizational justice (Gelens, Dries, Hofmans, & Pepermans, 2013), and HR role (Farndale, Scullion, & Sparrow, 2010).

FRAMEWORK ON TALENT MANAGEMENT This section will give an overview on talent management by categorizing all the literatures into three main scopes, which are the study on the philosophy concept of talent, the exploratory type by bridging the research gap with different areas of research and lastly, the study on the scope and practice of talent management. According to Figure 3, there are total half of the publications tried to make the linkage to fill up the research gap in between talent management and other areas of research. Most debatable in this category topics are human resource management, organization performance, public sector and social-psychological. Secondly, there are 38% (22 Articles) which focus the studies on the scope and practice of talent management.

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Figure 3. Classification Based on Scope of the Studies on Talent Management

CONCLUSION AND RECOMMENDATIONS Recommendation for future studies are outlined as below, ●● Many of the literatures are calling for more longitudinal quantitative method in

TM (Chugh & Bhatnagar, 2006; De Vos & Dries, 2013; McDonnell, 2011; Meyers & van Woerkom, 2014; Vaiman, Scullion, & Collings, 2012).

●● Qualitative methodologies (such as narrative ethnomethodological interviewing)

to allow grounded theory forming (McDonnell, 2011).

●● Triangulation studies and mixed method to establish validity research are needed

in TM research to broaden to a more balance approach (Thunnissen, Boselie, & Fruytier, 2013).

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Green Human Capital Management

Talent Management (TM)

Inclusive

Global TM

Exclusive

General

Female TM

Technical TM

Expatriation Management

Retention

Career Management

Performance Management

Leadership Development

Talent Optimization

Talent Engagement

Succession Planning

Non-Monetory/Emotional

Employee Comitment

Organizational Performance

Business Sustainability

Figure 4: An Proposed Conceptual Framework on Talent Management ●● Mechanism that foster the linkage from other areas of the business to test the

inter-relationship and impact on TM implementation. For example, public sector, non-profit organizations or SME and el cetera (Thunnissen, Boselie, & Fruytier, 2013).

●● Gender, national culture differences and education are one of the prominent

characteristic of talent pools as external variables could be establish (Sonnenberg, van Zijderveld, & Brinks, 2014; Swailes, Downs, & Orr, 2014).

Ultimately, the overall trend of the organization will be gradually shifted to environmentally sustainable as a new corporate perspective. Before that, the transitions of HR role into GHRM to take the lead to manage the talent will be crucial (Jackson, Renwick, Jabbour, & Muller-Camen, 2011). The role and function of the TM is undoubtedly important in managing the most valuable asset in the company. To win 36

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the talent from talent pool, talent pipelines need to be built for business continuity. The argument on TM and HCM, whether it is another old wine poured into a new bottle, more schematic studies and future research from diverse perspective to further clarify, standardized definitions and theoretical framework building are badly needed to strengthen the foundation of TM.

REFERENCES Aguinis, H., Gottfredson, R. K., & Joo, H. (2012). Using performance management to win the talent war. Business Horizons, 55, 609–616. doi:10.1016/j.bushor.2012.05.007 Ahmadi, A. A., Ahmadi, F., & Abbaspalangi, J. (2012). Talent management and succession planning. Interdisciplinary Journal of Contemporary Research In Business, 4(1), 213–224. Al Ariss, A., Cascio, W. F., & Paauwe, J. (2014). Talent management: Current theories and future research directions. Journal of World Business, 49(2), 173–179. doi:10.1016/j.jwb.2013.11.001 Altınöz, M., Çakıroğlu, D., & Çöp, S. (2013). Effects of Talent Management on Organizational Trust: A Field Study. Procedia - Social and Behavioral Sciences, 99, 843–851. doi:10.1016/j.sbspro.2013.10.556 Anca-Letitia, C. (2013). Talent management practices for the sustainable enterprise. Managerial Challenges of the Contemporary Society. Proceedings, 5, 70–76. Barkhuizen, N., Mogwere, P., & Schutte, N. (2014). Talent Management, Work Engagement and Service Quality Orientation of Support Staff in a Higher Education Institution. Mediterranean Journal of Social Sciences, 5(4), 69–78. doi:10.5901/mjss.2014.v5n4p69 Boudreau, J. W., & Ramstad, P. M. (2005). Talentship, talent segmentation, and sustainability: A new HR decision science paradigm for a new strategy definition. Human Resource Management, 44(2), 129–136. doi:10.1002/hrm.20054 Calvo, N., Bastida, M., & Feás, J. (2013). A simulation tool for talent management in knowledge-intense firms. An opportunity for HR managers? Global Business Perspectives, 1, 261–273. doi:10.1007/s40196012-0003-2 Chatroodi, F. M. M., & Salajegheh, S. (2014). Studying the relationship between talent management with job stress in municipality, Kerman. Kuwait Chapter of the Arabian Journal of Business and Management Review, 3(9). Chodorek, M. (2012). The Place and Role of Talent Management in the Positive Organizational Potential: An Empirical Study of Companies Operating in Poland. Competition Forum, 10(2), 15–27. Chugh, S., & Bhatnagar, J. (2006). Talent Management as High Performance Work Practice: Emerging Strategic HRM Dimension. Management and Labour Studies, 31(3), 228–253. doi:10.1177/0258042X0603100303 Connell, J., & Stanton, P. (2014). Skills and the role of HRM: towards a research agenda for the Asia Pacific region. Asia Pacific Journal of Human Resources, 52, 4–22. doi:10.1111/1744-7941.12021 De Vos, A., & Dries, N. (2013). Applying a talent management lens to career management: the role of human capital composition and continuity. The International Journal of Human Resource Management, 24(9), 1816–1831. doi:10.1080/09585192.2013.777537 Dries, N. (2013). Talent management, from phenomenon to theory: Introduction to the Special Issue. Human Resource Management Review, 23(4), 267–271. doi:10.1016/j.hrmr.2013.08.006 Farndale, E., Scullion, H., & Sparrow, P. (2010). The role of the corporate HR function in global talent management. Journal of World Business, 45(2), 161–168. doi:10.1016/j.jwb.2009.09.012

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Festing, M., & Schäfer, L. (2014). Generational challenges to talent management: A framework for talent retention based on the psychological-contract perspective. Journal of World Business, 49(2), 262–271. doi:10.1016/j.jwb.2013.11.010 Garcea, N., Linley, A., Mazurkiewicz, K., & Bailey, T. (2012). Future female talent development. Strategic HR Review, 11(4), 199–204. doi:10.1108/14754391211234913 Gelens, J., Dries, N., Hofmans, J., & Pepermans, R. (2013). The role of perceived organizational justice in shaping the outcomes of talent management: A research agenda. Human Resource Management Review, 23(4), 341–353. doi:10.1016/j.hrmr.2013.05.005 Gümüş, S., Apak, S., Gümüş, H. G., & Kurban, Z. (2013). An Application in Human Resources Management for Meeting Differentiation and Innovativeness Requirements of Business: Talent Management. Procedia - Social and Behavioral Sciences, 99, 794–808. doi:10.1016/j.sbspro.2013.10.551 Heinen, J. S., & O’Neill, C. (2004). Managing talent to maximize performance. Employment Relations Today, 67–82. doi:10.1002/ert.20018 Iles, P., Chuai, X., & Preece, D. (2010). Talent Management and HRM in Multinational companies in Beijing: Definitions, differences and drivers. Journal of World Business, 45(2), 179–189. doi:10.1016/j. jwb.2009.09.014 Iles, P., Preece, D., & Chuai, X. (2010). Talent management as a management fashion in HRD: towards a research agenda. Human Resource Development International, 13(2), 125–145. doi:10.1080/13678861003703666 Jackson, S. E., Renwick, D. W. S., Jabbour, C. J. C., & Muller-Camen, M. (2011). State-of-the-art and future directions for green human resource management: Introduction to the special issue. German Journal of Research in Human Resource Management, 25(2), 99–116. doi:10.1688/1862-0000 Jeswani, S., & Sarkar, S. (2008). Integrating Talent Engagement as a Strategy to High Performance and Retention. Asia-Pacific Journal of Management Research and Innovation, 4(4), 14–23. doi:10.1177/097324700800400402 Jha, S. K. (2014). Creating Work Culture for Talent Management. Asian Journal of Research in Social Sciences and Humanities, 4(4), 47–54. Kehinde, J. S. (2012). Talent Management: Effect on Organizational Performance. Journal of Management Research, 4(2), 178–186. Majeed, A. (2013). Application of Business Process Through Talent Management: An Empirical Study. Journal of Marketing and Management, 4(2), 46–68. Mandip, G. (2012). Green HRM : People Management Commitment to Environmental Sustainability. Research Journal of Recent Sciences, 1, 244–252. McDonnell, A. (2011). Still Fighting the “War for Talent”? Bridging the Science Versus Practice Gap. Journal of Business and Psychology, 26, 169–173. doi:10.1007/s10869-011-9220-y Meyers, M. C., & van Woerkom, M. (2014). The influence of underlying philosophies on talent management: Theory, implications for practice, and research agenda. Journal of World Business, 49(2), 192–203. doi:10.1016/j.jwb.2013.11.003 Mihelic, K. K., & Plankar, K. (2010). The growing importance of talent management. An Enterprise Odyssey. International Conference Proceedings, 1251–1263, 12, 15. Oladapo, V. (2014). The impact of talent management on retention. Journal of Business Studies Quarterly, 5(3), 19–36. Poocharoen, O., & Lee, C. (2013). Talent Management in the Public Sector: A comparative study of Singapore, Malaysia, and Thailand. Public Management Review, 15(8), 1185–1207. doi:10.1080/14719037.2013.81 6525

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Renwick, D. W. S., Redman, T., & Maguire, S. (2013). Green Human Resource Management: A Review and Research Agenda*. International Journal of Management Reviews, 15(1), 1–14. doi:10.1111/j.14682370.2011.00328.x Sonnenberg, M., van Zijderveld, V., & Brinks, M. (2014). The role of talent-perception incongruence in effective talent management. Journal of World Business, 49(2), 272–280. doi:10.1016/j.jwb.2013.11.011 Swailes, S., Downs, Y., & Orr, K. (2014). Conceptualising inclusive talent management: potential, possibilities and practicalities. Human Resource Development International, (September 2014), 1–16. doi:10.1080/1 3678868.2014.954188 Thunnissen, M., Boselie, P., & Fruytier, B. (2013). A review of talent management: “infancy or adolescence?” The International Journal of Human Resource Management, 24(9), 1744–1761. doi:10.1080/09585192.2 013.777543 Vaiman, V., & Collings, D. G. (2013). Talent management: advancing the field. The International Journal of Human Resource Management, 24(9), 1737–1743. doi:10.1080/09585192.2013.777544 Vaiman, V., Scullion, H., & Collings, D. (2012). Talent management decision making. Management Decision, 50(5), 925–941. doi:http://dx.doi.org/10.1108/00251741211227663 Wagner, M. (2013). “Green” Human Resource Benefits: Do they Matter as Determinants of Environmental Management System Implementation? Journal of Business Ethics, 114(3), 443–456. doi:10.1007/s10551012-1356-9 Wright, P. M., & McMahan, G. C. (2011). Exploring human capital: putting “human” back into strategic human resource management. Human Resource Management Journal, 21(2), 93–104. doi:10.1111/ j.1748-8583.2010.00165.x

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Factors that Help in Retention of Gen-Ys in Service Industry BOEY BEE KIM

Tunku Abdul Rahman College [email protected],

JUNAIMAH JAUHAR

Universiti Sains Malaysia [email protected]

AHMAD BASHAWIR ABDUL GHANI Universiti Utara Malaysia [email protected]

ABSTRACT Sustainability or Green HR is the path that organizations have to follow in order to remain relevant and competitive in the global economy. Hence, to remain competitive and relevant, organizations need to ensure that their performance and productivity does not falter. For that to take place organizations must ensure that they have the capability to retain their top talents. With the current worrying rising trend of voluntary turnovers especially among the Generation Ys, it is of utmost importance that organizations relook at their policies and practices. The service industry has been selected for this particular research due to the fact that not only this industry is facing the problem of retaining the right talent (Barron, 2008)but also because the service industry is expected to contribute much more to the economy than it did before. Hence the purpose of this research is to examine the factors that help the retention of Gen-Y in service industry according to the concept in human resource management. Due to the high cost involved in the retention of employees in an organization especially from the hiring, training and development, every organization in the services industry needs to achieve the maximum return and at the same time minimize costs in their organization via employee retention. This research examines the factors that help in retaining the GenYs. The factors are work-life balance, significant of work and salaries paid. The study employed the quantitative approach by distributing questionnaire to Gen-Ys in the service industry. A total of 121 respondents took part in this survey. Overall, the results of the survey had shown that the three factors had positive relationship with the retention of Gen-Y. Among the three factors, the significant of work had become the most essential among the all factors. Keywords: Retention, Gen-Y, service industry.

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INTRODUCTION The purpose of this current research is to understand the issue faced by organizations on the high turnover of Gen-Y in service industry and the factors that would help in the retention on Gen-Y in service industry. According to Generational Theory (Strauss & Howe, 1991) the term Gen Y designates a cohort of people born between 1982 and 2003 (Strauss et al, 2006). There are various studies describing Gen-Yers from different perspectives. Wilson & Gerber (2008) identify several distinguishing traits. They are special in terms of their parents’ care; sheltered – namely, wrapped in cotton wool; confident – namely, optimistic about their future prospects; team-oriented – skilled in their collaborative efforts; achieving particularly in respect of their careers, without involvement in idealistic activities; pressured especially by their workaholic parents and conventional, namely strongly attached to family even if born in a divorce culture. Most of the organization will need manpower to run the entire organization’s operation and to be decision maker, so employees will be the asset of the organization. Gen-Y employees will be the future leaders in all organization due to their ability in bringing new ideas and development to the organization. As a result, it is important to understand the retention in GenY especially in the service industry. To discover why GenY turnover is high in the market is important, as well as the factors that helps retention in GenY. From a managerial perspective, GenYs are described as having a strong sense of entitlement. Their work expectations include high pay, flexible work, fast-track careers and work-life balance. They are multitasking with low power distance attitudes. Hence they are the new generation of employees: talented, self-starting and technologyoriented, but also controversial with respect to their employment drivers. Hence developing effective work arrangements for Gen-Yers is crucial for the future development and sustainability of firm competitive advantage (Bissola & Imperatori, 2010). According to Cairncross(2007), since the past two years the annual turnover rate among GenY has declined by 50% each year. Aksu(2004)also mentioned the GenY do not stay if they donot think they are making an impact on the company overall quickly. When GenY entersinto the workplace, companies are more than willing to accommodate their demands for faster promotions, greater responsibilities and more flexible work schedules. Cairncross(2007) notes that employers are needed to retain the GenY, this is because they can introduce fresh skills tothe workplace such as technology, ideas and they are socially interconnected. 41

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(Source: http://www.ch2m.com/corporate/sr/default.asp)

Table 1 above had shown the turnover rate from 2008 to 2011, there are four categories of generations’ turnover rate had shown in percentage at workplace. GenY had shown the highest turnover rate among all the generations, each year the total turnover rate is exceed 30% compare with Generation X which the turnover rate is below 30% from 2008 to 2011. GenYs turnover rate is higher of 12% compare with Generation X in 2011 at workplace. The service industry includes hospitality, tourism, education, finance services and etc. The tourism and hospitality industry in general are facing the problem of retaining the right talent in order to fill many and various career and employment opportunities (Barron, 2008). Studies have shown that involvement of Gen-Y in the workplace has been an important issue within the industry. This is because of the challenge in retaining and engaging the Gen Yers’ who believes in the importance of undertaking meaningful, interesting and engaging work (Barron, 2007; McEwan, 2009).Another reason is the capacity of the services sector to support and uplift other industries is high because of the strong backward and forward linkages between the services sector and the rest of the economy. The reasons for the high turnover rate of service industry among the Gen-Y workers in hospitality and tourism industry are low pay, seasonal schedule, repetitive task, 42

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unpleasant physical working environment and anti-social working hours (Richardson, 2010). Gen-Y employees demand changes in workplace, such as value quick promotion and place more emphasize on healthy work-life balance.

OBJECTIVE OF THE STUDY The objective of this study is to investigate the factors that help in retention of Gen-Y in service industry. In this study, Gen-Y means those who were born in 1980s and 1994. There are three factors or predictors that can help in retention of Gen-Y which are work life balance, significant of work and salaries paid. Motivation theory (Herzberg) was used as a theory underpinning of this study.

GAPS IN PREVIOUS STUDIES Service industry is facing the problem of retaining the right talent in order to fill many and various career and employment opportunities (Barron, 2008). Studies have shown that involvement of Gen-Y into the workplace has been an important issue within the industry, so it is hoped that the findings of this study can have a better understanding and strategy to retain the Gen-Y in service industry. From the previous study, Smith (2008) had concluded that the issue currently faced by the employers in service industry is the matter of the priorities, expectations, and behaviors in Gen-Y compared with other generations, almost all generation across the decades value the same things, but just that the employees may want the employers to package it differently. In fact, organizations find it difficult to retain the Gen-Ys in service industry for the longer period.

RESEARCH OBJECTIVES In this study, there are three factors that help in retention of Generation Y ●● To determine whether there is a significant positive relationship between work-

life balance and retention of Gen-Y in service industry.

●● To determine whether there is a significant positive relationship between

significance of work and retention of Gen-Y in service industry.

●● To determine whether there is a significant positive relationship between salaries

and retention of Gen-Y in service industry.

●● To determine whether there are a significant positive relationship between all

three factors which are work-life balance, significance of work, salaries paid and retention of Gen-Y in service industry.

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HYPOTHESES DEVELOPMENT According to the theory by Luis (2012), this study argues that work-life balance, significance of work and salaries will help in retention of Gen-Y. The present study is based on the motivation theory by Frederick Herzberg (Herzberg theory). Herzberg expressedthat in order to motivate someone, it needs to satisfy the hygiene factors (factors outside the job itself, like working condition, salary and incentive pay). Providing feedback and recognition is essential too and these are called intrinsic motivating. Given the theoretical rationale, the following are the hypotheses proposed. Broadbridge (2007) suggest three dimensions under work life balance are work interference with personal life, personal life interference with work, and work or personal life enhancement. Work-life balance policies were used interchangeably to mean those benefits employers offer Gen-Y to support a balance between their personal and professional lives. If a company offers better work life balance, the employee retention will be higher. H1.

There is a significant relationship between work-life balance and retention of Gen-Y in service industry. According to Corn (2006) 61 percent of Gen-Y sees themas accountable for making a difference in the world, and 78 percent of these youngest workers also strongly believe that it is their employers’ responsibility to help them fulfill their altruistic, civic-minded pursuits. If the company has a strong commitment to charity and social work, a total of 74 percent of these same workers will support a company and its services. The higher the significance of work in service industry for Gen-Y, the higher the retention rate is.

H2.

There is a significant relationship between significant of work and retention of Gen-Y in service industry. Anita (2011) stated that Gen-Ys are complex because their behavior and thinking contradict. They expect instant rewards but also demand development for the long term; they tend to value relationship over money.

H3.

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There is a significant relationship between salaries paid and retention of Generation Y in service industry.

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THEORETICAL RESEARCH FRAMEWORK Work-Live Balance Signifance of Work

Retention of Gen Ys in the Workplace

Salaries The Theoretical Framework above shows that there are three independent variables which are the work-life balance, significant of work, and salaries paid. Retention of Generation Y is the dependent variable.

METHODOLOGY In this study, sample sizes of 121 respondents were chosen from various sectors in service industry. There were 150 questionnaire was distributed in Kampar, Penang and Kuala Lumpur and total of 121 respondents had responded by filling up the questionnaire. The questionnaire consists of two sections which cover the demographic of the respondents and factors that help the retention of Gen-Y in service industry. A pilot test was conducted on 10 respondents. This pilot test was to get valuable feedback from the ground. SPSS (Statistical Package for Social Science) software version 21 has been used to get the result.

FINDINGS Table 2: Result Summary of Multiple Regression Analysis Standardized Coefficients

Significance

Work-life Balance

0.149

0.060

Significant of Work

0.509

0.000

Salaries Paid

0.138

0.075

Independent variables (Predictors)

R-squared (R )

0.37

Adjusted R

0.354

2

2

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The p value of beta coefficient of WLB (0.060), SOW (0.0005), and SAL (0.075) is significant at the level of 10%. However, WLB and SAL are not positively related at significant level of 5%. We can only claim that the ROGY is positively related with WLB, SOW and SAL at the level of 10%. The adjusted R square value of 0.37 would mean that the independent variables in the model can predict 37% of the variance in the dependent variable. In other words, 37% of the variance in the dependent variable has been explained by the independent variable. Based on the result, H1, H2, and H3 were accepted from the result of multiple regression analysis.

DISCUSSION In this research, the result of each variable (work-life balance, significance of work and salaries paid.) had been drawn to meet the research objectives. All these factors have significant and positive relationship on the retention of Gen-Y in service industry. By understanding the factors that help in the retention of Gen-Y, this can help the organization to retain the good employee especially Gen-Y. Among the three factors, factor significant of work has the highest positive relationship with retention on GenY in service industry. GenYs today can be retained when they know they can contribute and feel significant in their job,otherwise they may not stay long in the particular organization. Whereas for work-life balance and salaries paid has lower positive significant than significance of work. According to the Martin (2005),, the characteristic of Gen-Y are they would like to have clear direction in their job, would prefer flexibility and friends and their family come first before work. The previous study mentioned that the characteristics of Gen-Y indicate clearly that the factors that help in retention in this study are appropriate. However, the previous study did mention on other factors too such as working condition, advancement of career and technology-savvy oriented.

LIMITATION The sample size of 121 in this research was insufficient due to time constraint and only in few geographical area but not whole country. Furthermore, this study examines on service industry, usually the nature and environment of work of service industry are different from the other industry. Therefore, the result of this study could not be generalized. 46

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The respondents come from different backgrounds in the service industry such as education and training, hotel management and financial services. Due to the several differences on the nature of its environment, it may cause different viewpointsfrom the individuals. For future research, HR policies and organizational support could be included as a moderating variable to observe the effect between the variables and the retention of the Gen Ys in the workplace.

CONCLUSION Retention had been an issue to several organizations in the current world right now until many organizations has to take more attention on it, this is because it became the cost of the organization. At the same time, the study is to tackle on Gen-Y because most of the organization need Gen-Y as their “company’s assets” to generate more income.

REFERENCES Ajai S. Gaur and Sanjaya S. Gaur (2006), Statistical Methods For Practice And Research, A guide to data analysis using SPSS, Unipress Publishing. Aksu, A.A. (2004), “Turnover costs: research among five-star hotels in the city of Antalya, Turkey”, Tourism Analysis, Vol. 9 No. 3, pp. 207-17. Anita Weyland (2011), “Engagement and talent management of Gen Y”, Industrial and Commercial Training, Vol.43 Iss:7, pp.439-445. Anuradha, S. C. (2005). Rentention vs. turnover – opposite sides of the same coin? Comparing employees’ motivation to stay to their turnover intentions. Doctoral dissertation, University of Guelph, (2005). Barron, P., Maxwell, G., Broadbridge, A. and Ogden, S. (2007), “Careers in hospitality management: Generation Y’s experiences and perceptions”, Journal of Hospitality and Tourism Management, Vol. 14 No. 2, pp. 119-28. Bedingfield, C. (2005), “Transforming the ROI of your graduate scheme”, Industrial and Commercial Training, Vol.37 Nos 4/5, pp.199-203 Broadbridge, A.M., Maxwell, G.A. and Ogden, S.M. (2007), “Students’ views of retail employment– key findings from Generation Y”, International Journal of Retail & Distribution Management, Vol. 35 No. 12, pp. 982-92. BSG Concours. 2007. Engaging Today’s Young Employees. Results Research Project YE. Cairncross, G. and Buultjens, J. (2007), “Generation Y and work in the tourism and hospitality industry. Problem? What problem?”, Occasional paper 9, Centre for Enterprise Development and Research, Southern Cross University, Tweed Heads, Australia. Eisner, S.P. (2005), “Managing Generation Y”, SAM Advanced Management Journal, Autunm, pp.4-15 Erickson, Tamara J. (2008). Plugged In: The Generation Y Guide to Thriving at Work. Harvard Business Press: Boston, MA.

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Human Resource Management (2013), (13th Edition). New Jersey, Pearson. Maxwell, G., Ogden, S. and Broadbridge, A. (2010), “Generation Ys career expectations and aspirations: engagement in the hospitality industry”, Journal of Hospitality and Tourism Management. Vol. 14 No.1, pp. 53-61. McEwan, A.M. (2009), “Generation Y: coming to a workplace near you”, at www.thesmartcompany.com/pdf/ GenY.pdf (assessed 24 Aug 2012) Richardson, S. (2010),” Understand generation Y’s attitudes towards career in the industry”, in Benckendorff, P., Moscardo, G. and Pendergast, D. (Eds), Tourism and Generation Y, CAB International, Cambridge, MA, pp.131-142. Sekaran, U. (2011). Research methods for business: A skill building approach (5th ed.). New York: John Wiley & Sons, Inc. Smith, W.S.(2008), “ Decoding generational differences: fact, fiction…or should we just get back to work?” at http://public.deloitte.com/media/0507/250608/us_DecodingGenerationalDifferences.pdf (accessed 19 Oct 2011) Viney, C. Adamson, S. and Doherty, N.(1997), ”Paradoxes of fast-track career management”, Personal review, Vol. 8 No. 3, pp.308-319.

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GREEN RECRUITING TO ATTRACT AND RETAIN TOP TALENT: THE SIGNIFICANCE OF VIDEO INTERVIEW FOR THE MANUFACTURING INDUSTRY IN MALAYSIA TALE SELVI D/O MUNIANDI

Graduate School of Business, Universiti Sains Malaysia Email: [email protected]

ELLISHA NASRUDDIN


ABSTRACT Purpose: There is much evidence that suggests talent management is experiencing numerous pressures for change which has led many manufacturing organizations struggling to effectively manage next generation talent and fill the position with the right match. This paper attention is warranted by the fact that green video interview can lead to many organizations to face the challenges in strategic manner. Design/Methodology/Approach: The paper begins by reviewing theoretical insights about talent management and challenges that affecting the organizations, recruitment, green recruitment and evolution of video interview that helped to attract and retain the best talents in organization that move beyond traditional recruitment method. Finally, the study analyzed the significance of green recruitment for the Manufacturing Industry in Malaysia Findings: Firstly, the paper discuss about how video interview is evolving as a green recruitment tool. It then discusses about video recruitment techniques, how video interview protects against candidate discrimination while maintaining the environmental sustainability and directly lead to organization competitive advantage. Practical Implications: Given the novelty and relatively recent introduction of this green video interview tool, there are remains a lack of research detailing how these tool impact recruitment and hiring practices. This paper is intended to discuss about the green video interview methods that are emerging and how they are changing the recruitment and hiring practices to provide competitive advantage to the organization. Originality/Value: The paper provides evidence to support the need of organization to develop a green recruitment strategy which incorporates video interview to reach quality applicants in the desired market for Manufacturing Industry in Malaysia. Keywords: Talent Management, Recruitment, Green Recruitment, Video Interview 49

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INTRODUCTION A key element of human resource management is the recruitment of staff, as this function generates the human capital that forms the foundation of companies. The success of the company predominantly based on the success of human resource efforts, which evolves through the identification and attraction of quality employees generated from the recruitment process (Schuler et al., 2011). Along with seismic shifts in global business, the recruiting landscape has also become more complex and created a dynamic environment which organization must learn to compete effectively to active sustainable growth by finding an innovative ways to handle the recruiting function (Kadar et al, 2014). Faced with a scarcity of key skills and rapidly evolving talent demands, companies that fail to adapt will likely be on the losing end when it comes to attracting and accessing the people and skills they need (Karatop et al., 2014). Researcher recognized that recruitment is not only an important for organizations; it also has significant consequences for individuals. The overall objective of achieving a “match” between an organization’s job vacancies with an individual seeking a suitable job is influenced by the recruitment process (Barber, 1998). Job seekers often consider several organizations when they apply for a job, and they may use corporate reputation as a source of information about working conditions in different organizations (Cable and Turban, 2003). According to Renwick et al. (2013), job seekers prefer organizations that have a close fit between their and the organizations’ values, and a recruiting organization’s environmental reputation and images are now increasingly prominent in recruitment efforts. Earlier success of an organization was strongly dependent on promotion of economic value. However, today’s organizations have to consider for the reduction in ecological footprints and give importance to social and environmental factors along with economical and financial factors in order to enable the organization to be successful in the corporate sector (Cherian & Jacob, 2012). Effective recruiting will require “going green” with social networking, mobile technology and online method which provides the opportunity to reduce the cost while powering exceptional business results. Most of the major multinational organizations are adopting green recruitment to obtain first mover advantages which allow them to undertake distinctive differentiation strategies, enhance their green images and to obtain competitive advantages (Chang & Chen, 2013). According to Renwick et al. (2013), green strategies help organizations to create values not only among the customers but also in the eyes of employees by increasing the job satisfaction and employee recruitment outcomes but till today, most of the

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employers and recruiters still trying to grasp what constitutes best practices when it comes to finding and hiring the right people (Lahey, 2014). One of the technology that is growing in popularity now is video based interview which allows recruiter and hiring managers to screen, recruit and interview candidates virtually and globally (Briggs, 2013). With climate change and the need for greener technologies, it’s impossible for businesses to ignore the benefit of going green for both the environment and their own bottom line. The video interview isn’t just ecofriendly but it can also help the organization to find best green talent and get ahead of the competition. According to Rangaraju & Kennedy (2012), the carbon footprint produced by commuting for recruitment or related travel is a large portion of total daily carbon emission produced worldwide. It is estimated that 44% of the CO2 release due to driving and flying. Likewise, in tough economic times, the travel costs of flying multiple candidates for interviews is a highly visible expense especially when consider a majority of the people brought in will not result in a hire. For companies that recruit nationally or internationally, travel related expenses can easily account for 50% of all recruiting cost. Overall, any actions taken by organization to reduce these emissions will have direct and positive impact on organization green efforts and positively affecting the brand image and fast becoming a competitive differentiator in the market. At this point of time, globally and domestically when each organizations is moving towards green concepts, the talented employees also looking forward to join organizations that are eco-friendly and keep them motivated towards the environmental friendly activities. Despite the growing acceptance for video, there is remaining a lack of research detailing how the video interview impact recruitment and hiring practices that could beneficial to organizations. To help fill this void, the present study is intended to examine the effectiveness of video interview as a green recruitment tool in influencing the successful implementation of talent management strategy among manufacturing industry in Malaysia that move beyond traditional recruitment.

BACKGROUND This section is organized as below; firstly, it will discuss about the evolution of green recruitment and the reasons why focusing on “greenness” become more essential for organization. Next, it will review how video interview driving organization towards better communication and foster stronger relationship with today’s tech savvy workforce and finally the significance of green video interview to the manufacturing industry. 51

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Evolution of Green Recruitment As the competition is increasing day by day, organizations are seeking for cost cutting in its functioning while maintaining the competitive edge; they have to comply with environmental friendly practices. Companies are increasingly using environmentfriendly practices to maximize their recruitment leverage. A new concept, called green recruitment, is emerging in a slow but steady manner (Kiruthigaa & Viswanathan, 2014). Green recruitment is an innovative idea through which companies leverage their environmental stance for recruitment (Sullivan, 2007) and considered as long term partner in environmental recruitment and major element of organization employment brand. In green recruitment, every step is taken to reduce the travel related environmental impact and paper free recruitment process with minimal environmental impact (Neha & Kadri, 2012). Green recruitment defined as a paper free recruitment process in which applications are invited through online mediums like online collaboration (Audio/Video interview, Online test, SMS, emailing) to reduce the carbon footprint and cost of operations and minimize any travel related environmental impact; effectively manage online recruitment life cycles; virtual fairs to replace physicals fairs and enabling live profiles to reduce paper based recruitment. The adoption of green practices has been presented with a number of different advantages which would ultimately benefit the firm which has led to the emergence of “green and competitive” mantra (Wagner, 2007; Molina-Azorin et al., 2009). Most of the multinational organizations use green practices as a form of “employer branding” in order to improve their selection attractiveness for an increasingly environmentally aware younger generation (Ehnert, 2009). Some of the benefits associated with this adoption include improvements related to firms operational performance (Jackson et al., 2011), promotion of teamwork and improvements in organizational culture (Jabbar et al., 2010), increase the wellbeing of employee (Renwick et al., 2013) and reduction on overall cost (Hart 1997). An organization realized the growing awareness that being green is good for business, positively affecting company brand image and fast becoming a competitive differentiator for the talent (Neha & Kadri, 2012). Although going green has become an important factor in employment branding to attract, engage, recruit and retain top talent and also provide competitive advantage for the organization but there is remaining a lack of study on how do organizations go green and conserve environment during the recruitment process (Jabbour & De Sousa Jabbour, 2015).

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Reasons Why Organizations Must Practice Green Recruiting The new thrust of green recruiting is proactive and focuses on making “greenness” becoming more essential for organization due to future generation is increasingly demands it. According to Sullivan (2007), generation Y & college grads demand for the organization that has strong reputation for minimal environmental footprint. The mindset of Generation Y is towards green & greenery as they learnt about the importance of the environment and recycling in classes since elementary school. They evaluate everything from their daily chores to product purchasing to job selection & so on keeping in view their green mindset. It has become so important to them that even starting salaries take a back seat behind “greenness” when they assess their potential employers. According to the UK Survey date reports highlighted that high achieving graduates judge the environmental performance and reputation of a company as criterion for decision making when applying for the job (CIPD, 2007). It is not just college grads but job candidates deeply care about green recruiting. Job aspirants around the world love to work for an environmentally- friendly company. Countries like Germany, Australia, Finland & others are extremely passionate about the environment. Hence, Global & Indian companies are prepared to meet a growing set of eco-expectations as an employer (Kaur, 2013). Human resource professionals also appear to believe that environmental reputation is important, especially for younger employees with 39% of 757 CIPD members surveyed in UK organizations believing that green environmental practices important in recruiting and retaining younger employees (CIPD, 2007). According to PWC survey on 2007, 90% of US respondents considering working for organization that has an active policy to reduce carbon emissions. A CIPD survey of 1000 HR professionals found that 47% stating that they feel that employees would prefer working for an organization that have strong green approach and this would attract high quality talents (Phillips, 2007).

Going Green with Right Technology One of the technologies that are growing in popularity is video based tool which allows hiring manager to screen, recruit and interview candidates virtually and globally (Briggs, 2013) and has been around for years and is constantly evolving. Video clearly presents a viable solution to the challenges organizations face in recruitment (Aberdeen, 2014). Organizations that are seeking to make better hiring decisions by more efficiently enabling collaboration among all stakeholders in the hiring process are moving beyond mere web-conferencing and video-conferencing and making video-

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enabled interviewing an integrated part of their talent acquisition strategy, and are having a real impact on recruiting costs and candidate quality.

Defining Video Interview Video in recruitment falls under three categories; video resumes, video branding and video interviewing. Video resume is the use of video to showcase the background, skill and experience of a job applicant (Blacksmith & Poeppelman, 2014). Today’s tech-savvy applicants are leveraging advanced computer programs to find more creative methods to demonstrate their knowledge and skills to potential employers. One emerging trend is video resumes, which are prerecorded and edited video messages of the candidate that are submitted to a potential employer in place of a text-based resume (Hiemstra, Derous, Serlie, & Born, 2012). The associated benefit of video communication is that applicants have the ability to show employers their interpersonal skills, abilities, or other characteristics related to the job. In addition, this practice creates a more personalized way of applying for a position (Blacksmith & Poeppelman, 2014) whereas video branding is the use of video to represent the image of the employer. Video Interview (virtual interview) is a job interview that takes place through a video technology platform instead of in person. There are 2 type of video based interview that can be leveraged by the organizations. The first interview is called as asynchronous or one-way interview (on demand). This type of video interview is the cheapest and most convenient (Zappe, 2011) and different from a live interview environment such as skype since audio and video are only streamed one way in a non-live interviews. During a non-live interview, the interviewer is absent and the candidates are answering the interview questions through a webcam and they are being recorded online. Managers are then able to view the interviews whenever they want so the interviews are available at their demand. Employers can fast forward, rewind, pause or stop the videos which allow the hiring manager to focus on questions that are more important, hear again to the candidates answers again or skip the candidates who are not eligible based on the required job criteria (Guchait, Ruetzler, Taylor and Toldi, 2014). Skipping candidates allows managers to save time by not watching an entire interview for a candidate whose preliminary responses indicate that they are not the best qualified for the job based on the set job criteria. Video scan be viewed by candidate or by question allowing employers to compare responses between candidates if desired. Non-live interviews are typically used to replace phone inter-views in the traditional interview process, where phone interviews are used by employers as an initial assessment to narrow down the pool of candidates. While phone interviews only allow one, or a few managers, to participate in the interview, video inter-views allow multiple managers 54

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to view the interviews and rate the candidates, which may reduce biases of individual interviewers (Dipboye, 1992). Video interviewing speeds up the recruiting process since candidates can interview at the same time and interviews do not have to be scheduled. The live, two-way interview is typically a popular method among a lot of employers. The interviewer and the candidate will take part in tow way remote video conversation where physical location is unimportant. Skype seems to be more popular tool although some employers do raise questions about its reliability (Alder, 2013). Although some employers do raise questions about their reliability, free tools like Skype and Google Hangouts seem to be the most popular choices. This makes sense not just from a cost perspective but because is likely that candidates may already be familiar with these commonplace platforms. While all three types of video usage offer organization a vehicle for challenging existing recruitment models and differentiating the candidate experience, video interviewing is gaining the most traction as a way to improve recruiting efficiencies (Aberdeen group, 2012). According to the Aberdeen survey, 59% of organizations that utilize video in recruitment are focused on hiring rather than areas such as sourcing or onboarding that fall under branding and resumes. Thus, this study mainly focused on video interview to test the effectiveness of this tool in green hiring practices.

The Value of Video in Recruitment Video enables better communication and foster stronger relationship with today’s tech savvy workforce. According to Aberdeen research on 2012, revealed that 54% of organizations that adopting video has a continuous or long term talent management strategy in place compared to 18% of organizations that not leveraging video as part of recruitment tool. Cutting cost, improving efficiencies and standardizing process are just a few of the reason why organizations such as Walmart, Microsoft and Rio Tinto are embracing the video interviewing tool.

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Figure 1.0 KPIs for video interviewing

Source: Aberdeen Group, 2014

Although some employers do raise questions about their reliability, free tools like Skype and Google Hangouts seem to be the most popular choices. This makes sense not just from a cost perspective but because is likely that candidates may already be familiar with these commonplace platforms. Although some employers do raise questions about their reliability, free tools like Skype and Google Hangouts seem to be the most popular choices. This makes sense not just from a cost perspective but because is likely that candidates may already be familiar with these commonplace platforms. Additionally, organizations using video were two to three times more likely than organizations not using video to improve recruiting (time to fill, cost per hire, hiring manager satisfaction) and business metrics (customer retention and customer satisfaction), according to the report. Organizations leveraging video in talent acquisition ranked customer satisfaction, company revenue and improved organizational profitability as the most valuable business metrics. Also cited in the report was the ability of video to reach geographically dispersed candidates and a broader slate of talent which is considered vital to organizations looking to meet growth goals and enter emerging markets. Furthermore, it is much cost and time effective, environmentally friendly and incredibly easy to use (Guchait, Ruetzler, Taylor and Toldi, 2014).

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TALENT PARADOX IN MANUFACTURING INDUSTRY In spite of the global financial crisis, talent management will continue being one of the most important challenges faced by organizations in the coming decade. Workforce demographics and skills shortages are likely to make the ‘‘war for talent’’ fiercer than ever before making effective talent management a competitive necessity (McDonnell, 2011). Managing talent is a strategic priority in today’s complex business environment. The ability to sustain a steady supply of critical talent is a challenge facing all organizations worldwide. Getting the talent equation right has never been easy for businesses, but as companies globalize, it is proving exceptionally difficult. In today’s complex and dynamic global environment, multinational organizations have to manage a global workforce to achieve sustainable growth. Managing a global workforce is challenging, mobile, diverse, and not bound by geographic and cultural boundaries (Schuler, Jackson, & Tarique, 2011; Stahl, et al., 2012). Emerging economies, with rapidly growing young populations, present different skill challenges for manufacturing organizations. The skills gap in manufacturing is getting larger in part because of external forces, or megatrends, that are creating a greater need for skilled labor. Advancements in technology not only require new employee skills, they shorten the shelf life of those skills and increase the need for continuous training. Adding to this complexity is that demographic changes across the globe make it more difficult to find and retain the workforce of tomorrow. There is considerable evidence that shows organization worldwide are having difficulty in finding the right talent with right skills to do the right job (Kavanagh, 2010; Kazmin, Pearson, Robinson & Weitzman, 2011; Meisinger, 2008). According to Manpower Group (2013), 35 percent of worldwide employers experiencing difficulty in filling jobs due to lack of available talent. This represents a slight rise in comparison to the 2012 survey and is the highest proportion of employers expressing concern about talent shortages since 2007 (Figure 2.0).

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Figure 2.0: Global % having difficulty filling jobs

Source: Manpower Group—2013 Talent Shortage Survey

Whereas in Asia, more than 51% of the Asia Pacific employers find skill gaps are posing difficulties in the hiring process. When compared with 2012, the proportion of employers reporting talent shortage problems increases by 6% points from 45% (Manpower Group, 2013). For example, the study reveals that the top business challenges faced by businesses in Asia are related to “driving business growth”, “dealing with increased competition”, “achieving better operational efficiency” and “managing cost pressures”. In an effort to remain competitive, companies in Asia are focusing on improving quality and enhancing value, as well as promoting innovation to be the key differentiator (Deloitte, 2012). Figure 3.0: Asia Pacific % having difficulty filling jobs

Source: Manpower Group—2013 Talent Shortage Survey

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A look at Malaysia’s talent cycle shows that talent attraction poses a critical problem for a large majority of respondent organizations (87%), followed closely by talent retention (84%). Staffing challenges are exacerbated by the ‘brain drain’ phenomenon, where highly skilled Malaysians leave local shores to abroad. According to survey conducted by Deloitte (2012), organizations in Malaysia face many business and people challenges such as increased competition, challenges in attracting and retaining talent, coping with cost pressures and competency gaps. Competitive pressures are compounding challenges experienced on the talent management front as well. In 2013, there has been a collective awakening. Globally, the number of employers who believe talent shortages will negatively impact their business has increased by nearly a third. In countries where the problem is particularly acute, many employers express even greater levels of concern. In many cases, employers in countries with higherthan-average talent shortages are also more likely to expect the problem to impact their business. For example, employers expect talent shortages will negatively impact their business such as reduced competitiveness and productivity (41%), reduced ability to serve clients (40%), 25% believe that skill gap reduced innovation and creativity, 24% report a negative impact on employee morale, and 23% cite increased employee turnover. Less than one in five (18%) name higher compensation costs as a consequence of talent shortages (Manpower Group, 2013). As employers increasingly recognize that the talent shortage threatens the ability to compete, they realize that expanding their workforces, increasing compensation or looking to competitors to poach talent are unsustainable solutions. To fully succeed in the Human Age, organizations should not solely focus on the shortage of critical skills or the need to fill the positions quickly, but also must think more strategically about long term results by moving away from antiquated recruitment processes & technology and embrace a more environmentally efficient and innovative way of identifying and attracting right talents for the right job (Lahey, 2014).

Factors that Driving Talent Shortage This section identifies and discussed four drivers that have shaped and are shaping the field of talent management. More specifically, these are the drivers that consider transform new demands for the organization and propelled the field in completely new directions. The talent shortage is simply the disparity between talent availability and the talent needs that are being offered. This disparity can be caused by several reasons that are similar across the global or isolated to specific countries. Contemporary business firms across the globe are facing the most pressing challenges directly related 59

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to talent management that changing characteristics of the environment: change from a manufacturing to a service or knowledge economy, rise in globalization, changing demographics, emerging use of technology.

Change from a manufacturing to a service or knowledge economy One of the major challenges influencing the future of HR processes is the change from a manufacturing to a service or knowledge based economy. This new economy is characterized by a decline in manufacturing and a growth in service or knowledge as the core of the economic base. The rise of the knowledge economy has placed new demands on organizations and prompted changes in organizational goals and HR practices. Many of the traditional HR processes were designed during the industrial era, and thus focused largely on manufacturing organizations that were concerned with converting raw materials, components, and parts into finished goods that meet customers’ expectations. However many of the assumptions underlying those traditional HR processes may not be effective with the new service or knowledge organizations. For example, traditional HR practices assume that jobs should be narrowly defined, supervisors should control workers, and efficiency and short term results should be emphasized (Trice & Beyer, 1993). In contrast, knowledge organizations stress that employees’ knowledge and skills have a major impact on organizational success, and employee retention is important because individuals’ skills are not substitutable. Knowledge organizations also tend to design jobs broadly so as to encourage innovation, autonomy, continuous improvement, and participation in decision making. Given that individuals with unique skills and abilities are essential in knowledge organizations, the new job requirements have created a shortage and increased competition for talented workers in many fields. Additionally, the change in the economy has resulted in the displacement and unemployment of people who do not have the skills needed for knowledge-oriented jobs (Karren & Sherman, 2012). These changes imply that nations need to alter their educational systems to meet job demands in new organizations (Gowan, 2012)

Rise in globalization A second factor calling for changes in HR processes is the rise in globalization. Organizations operating in a global environment face a number of new challenges including differences in language and culture of employees, and variations in social, political and legal systems. Multinational corporations (MNCs) are large companies operating in several countries that are confronted with new questions, including how to create consistent HR practices in different locations, how to develop a coherent 60

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corporate culture, and how to prepare managers to work in a diverse cultural environment (Sparrow, 2007). Research on HR in the international context has focused on three approaches to understanding the issues that arise in global environments: international, comparative, and cross-cultural HR (Parry, Stavrou-Costea, & Morley, 2011). International approaches focus on HR strategies, systems, and practices in different socio-cultural contexts and different geographic territories (Parry et al., 2011). Comparative HR explores the context, systems, and national patterns of HR in different countries, and discusses the idiosyncrasies of various institutions and economic environments (Aycan et al., 2000; Parry et al., 2011). Finally, cross-cultural HR examines the degree to which individuals’ cultural values influence the acceptance and effectiveness of HR practices (Aycan et al., 2000)

Changing Demographics Apart from changes in the economy and globalization, organizations are also faced with major shifts in the composition of global population. Current rends shows that population in the developed economies is shrinking and becoming older while the size of population of much of the developing economies is expanding and getting younger (Budhwar & Sparrow, 2002). One implication of these demographic changes is the creation of various generations of employees; generation X, Baby boomers, generation Y or millennials. Along with the age-related changes, the work values of younger generations are expected to be different than previous groups (Baby Boomers). Additionally, aging workforce will come with many new challenges for HR. For instance, given the shortage of skilled workers there is a growing concern about the retention of skilled baby boomers. One reason for this is that baby boomers often have unique skills and abilities that are critical to organizational success, and companies are justifiably worried about retaining them in their roles until qualified replacements can be found or trained. As a result, organizations will need to develop HR practices that are aligned with the primary goals and the values of multiple generations of employees (Cennamo & Gardner, 2008).

Emerging use of technology Over the past 30 years, one of the major drivers of change in HR has been the increased use of information technology (hereinafter referred to as technology) to collect, store, and utilize data for decision-making (Strohmeier, 2007; Strohmeier & Kabst, 2009). Technology, especially, the World Wide Web, has transformed key HR processes in organizations (e-recruiting, e-selection, e-training), and modified the nature of jobs and the relationships between individuals and organizations (Kiesler, Siegel, & McGuire, 61

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1984). For example, it has enabled organizations to use the Internet to advertise jobs, and made it possible for applicants to apply for jobs online (Dineen & Allen, 2013). Research on the use of technology to facilitate HR processes indicated that it typically enhances efficiency, and decreases costs associated with HR transactions (Dulebohn & Johnson, 2013; Strohmeier, 2007). However, some researchers argued that there is no clear evidence that it helps HR meets its primary goals of attracting, motivating, and retaining talented employees. Research showed that technology often decreases the administrative burden in HR, increases efficiency, and allows the field to contribute to the strategic direction of organizations (Stone & Dulebohn, 2013).

Strategy for Closing the Gap through Technology Today’s workforce has matured and candidates have become increasingly savvy about what they need both skills and job application perspective. Among the issues impacting the “next generation” workforce are impending skill shortages, an increasingly crossgenerational and diverse workforce that going mobile, the need for knowledge transfer from retiring baby boomers, and significant leadership gaps (Collings & Mellahi, 2009; Garavan, Carbery & Rosk, 2012; Schuler et al., 2011; Scullion, et al. 2010, Stahl et al. 2012). Organizations must be able to meet candidate’s expectations and provide better communication, consistency and transparency throughout the talent management process. Many organizations don’t think about a holistic approach to talent management. According to Aberdeen survey, only 36% of organizations (including best in class) invest in an end to end talent management solution. Instead, they treat each area of talent management such as employer branding, sourcing, screening, assessment, hiring and onboarding as disparate process with separate solutions and sometimes different owners. In order for candidates to have a positive experience, to effectively measure quality of hire, and align recruitment with business objectives, a more holistic approach to talent management is necessary. Holistic talent management approach to talent coursing and deployment enables the organization to respond more nimbly as markets, technology, business needs and the talent pool change which allows deploying the right talent from right source in the right place at the right time (KPMG, 2013). Managing future talents requires fresh thinking. The organization should start thinking outside of the box when it comes to their traditional sources of talent. Taking the same approach to recruiting will leave the organization to struggle to stay competitive in the market. For many organizations, the time taken to fill the roles is growing longer, the 62

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tenure of employees is reducing and the cost of acquiring key skills is increasing (Healy, 2012). If organization waits for labor demand to peak before restocking their labor pool, they will lose the talents to other competitors which lead organization to increase the risk of paying the highest price for resources, being force to take the resources that available at the time, operating without key skills and talents, jeopardizing overall performance and competitiveness and missing out an opportunities for competitive advantages through tax and regulatory concessions (KPMG, 2013). To successfully navigate the ongoing war of talent, both the process and technologies need to come together to not only improve the candidate experience but ultimately the hiring manager experience and business performance as well. Overall, this study represents a significant shift to forward looking and innovative strategy, which bring away from antiquated recruitment practices that many MNCs have in place today. Companies that looking to stay ahead of their talent competition should transition to recruiting methods that will enable them to better combat the large skills gap that exist today including social, mobile and video (Lahey, 2014). Therefore, this study intends to discuss the evolution of green recruitment to close the talent challenges by exploring the effectiveness of video interview to Manufacturing Industry in Malaysia.

CONCLUDING REMARKS Video is clearly on the rise. An increasing number of companies have adopted video technologies to aid them with their talent management process from public facing videos, live interviews to video resumes to capture the essence of candidates immediately. Video is one of the most powerful recruitment tools for improving processes and creating a positive candidate experience. Video interview has not only redefined how organizations engage with candidates but it has created a new opportunities for organizational growth and productivity. Ultimately, video saves companies time, money and resources all in the effort to identify, recruit and onboard the best talent no matter their generation or where they are located. Organizations are now able to extend their reach to a broader talent pool and improve the visibility into the recruitment process. As organizations look to revamp their recruitment strategies and technology options, video interviewing is becoming a “must have” tool for future sustainability.

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Directions for Green Human Resource Management Zeitschrift für Personal for schung. German Journal of Research in Human Resource Management, 25, 99-116. Retrieved from http://www.jstor.org/ discover/10.2307/23279428?uid=3738672&uid=2&uid=4&sid=21106143907431 Kadar, M., Moise, I.A. & Colomba, C. (2014). Innovation Management in the globalized Digital Society. Procedia Social & Behavioral Sciences, 143, 1083-1089. Retrieved from http://ezproxy.usm.my:2061/ science/article/pii/S1877042814044887 Kaur, H. (2013). Today’s Success Mantra-Going Green at Functional Areas of HRM. International journal of management & business studies, 3(1). Retrieved from http://www.ijmbs.com/31/harjoth.pdf Karatop, B., Kubat, C., & Uygun, O. (2014). Talent management in manufacturing system using fuzzy logic approach. Computers & Industrial Engineering. Retrieved from http://ezproxy.usm.my:2061/science/ article/pii/S0360835214002824 Karren, R. & Sherman, K. (2012). Layoffs and unemployment discrimination: a new stigma. Journal of Managerial Psychology. 27 (8), 848 – 863. Retrieved from http://www.emeraldinsight.com/doi/ abs/10.1108/02683941211280193 Kavanagh, M. (2010). Rising demand reveals shortage of talent. Financial Times. Retrieved from http:// search.proquest.com/docview/518815823?accountid=14645 Kazmin, A., Pearson, S., Robinson, G., & Weitzman, H. (2011). Talent shortage adds to growth strains, Financial Times, p. 9. Retrieved from http://search.proquest.com/docview/867841198?accountid=13044 Kiesler, S., Jane, S. & Timothy, M. (1984). Social psychological aspects of computer-mediated communication. American Psychologist. 39 (10), 1123-1134. Retrieved from http://dx.doi.org/10.1037/0003066X.39.10.1123 Kiruthigaa, K. & Viswanathan, M. (2014). A study on awareness of green recruitment with special reference to general public. International Journal of Research and Development - A Management Revie, 3 (2), 23195479. Retrieved from http://www.irdindia.in/journal_ijrdmr/pdf/vol3_iss2/7.pdf Lewis, R.E. & Heckman, R.J. (2006). Talent management: A critical review. Human Resource Management Review, p.16; 139-154. Retrieved from http://ac.els-cdn.com/S1053482206000271/1-s2.0S1053482206000271-main.pdf?_tid=b61ac548-ea8c-11e4-b4ca 00000aacb35f&acdnat=1429885260_ e04ae3b2960a1ab8be5f2f037a23b611 Lahey, Z. (2014). Talent Acquisition 2014: Reverse the regressive curse. Human Capital Management. Retrieved from https://www.icims.com/sites/www.icims.com/files/public/hei_assets/Aberdeen%20 Talent%20Acquisition%202014%20Reverse%20the%20Regressive%20Curse.pdf Manpower Group (2013). Talent Shortage Survey: Research Results. Retrieved from http://www. manpowergroup.us/campaigns/talent-shortage-2013/pdf/2013_talent_shortage_survey_results_us_ lo_0510.pdf Mcdonnell, A. (2011). Still fighting the “war for talent”? bridging the science versus practice gap. Journal of Business and Psychology, 26(2), 169-173. Retrieved from http://dx.doi.org/10.1007/s10869-011-9220-y Meisinger, S. (2008). Talent Shortage Challenge Must Be Met. HR Magazine. Retrieved from http://www. messerandcompany.com/files/Talent_Shortage_Challenge_Must_Be_Met.pdf Molina-Azorin, J.F., Claver-Cortes, E., Lopez-Gamero, M.D. & Tari, J.J. (2009). Green management and financial performance: a literature review. Management Decision. 47 (7), 1080-1100. Retrieved from http://ezproxy.usm.my:2107/doi/pdfplus/10.1108/00251740910978313 Neha, P. & Kadri, B.L. (2012). Innovation in Talent Acquisition: green Recruitment. In Rangaraju MS & Hanuman Kennedy S (Ed), Innovation in Management Challenges and Opportunities in the next decade (pp. 297-306). Allied Publishers. Retrieved from htt ps : / / b o o ks . go o g l e . co m . my / b o o ks ? i d = c r i M A w A AQ BA J & p g = PA 2 9 7 & d q = te c h n o l o g y + i n n o v a t i o n + i n + r e c r u i t m e n t & h l = e n & s a = X & e i = m N c G V Z 7 C O d a K u A S N 8 I Kw B Q & r e d i r _

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esc=y#v=onepage&q=technology%20innovation%20in%20recruitment&f=false Parry, E., Stavrou-Costea, E. & Morely, M.J. (2010). The Cranet International Research Network on Human Resource Management in retrospect and prospect. Human Resource Management Review. 21 (1). 1-4. Retrieved from http://www.sciencedirect.com/science/article/pii/S1053482210000422 Phillips, L. (2007, Aug 23). Go green to gain the edge over rivals. Retrieved from http://www.cipd.co.uk/ pm/peoplemanagement/b/weblog/archive/2013/01/29/gogreentogaintheedgeoverrivals-2007-08.aspx Pricewaterhouse Coopers (PWC), 2007. Managing tomorrow’s people: The future of work to 2020. Retrieved from https://www.pwc.com/gx/en/managing-tomorrows-people/future-of-work/pdf/mtp-future-ofwork.pdf Pricewaterhouse Coopers (PWC), 2010. Talent management in manufacturing: the need for a fresh approach. Retrieved from https://www.pwc.se/sv_SE/se/verkstad/assets/talent-management-in-manufacturing.pdf Renwick, D. W. S., Redman, T., & Maguire, S. (2013). Green human resource management: A review and research agenda. International Journal of Management Reviews, 15(1), 1-14. Retrieved from http:// dx.doi.org/10.1111/j.1468-2370.2011.00328.x Schuler, R. S., Jackson, S. E., & Tarique, I. (2011). Global talent management and global talent challenges: Strategic opportunities for IHRM. Journal of World Business, 46(4), 506. Retrieved from http://search. proquest.com/docview/894209391?accountid=14645 Sparrow, P.R. (2007). Globalization of HR at function level: four UK-based case studies of the international recruitment and selection process. The international Journal of Human Resource Management. 18 (5), 845-867. Retrieved from http://www.tandfonline.com/doi/abs/10.1080/09585190701249164# Stahl, G., Björkman, I., Farndale, E., Morris, S. S., Paauwe, J., & Stiles, P. (2012). Six principles of effective global talent management. MIT Sloan Management Review, 53(2), 25-32. Retrieved from http://search. proquest.com/docview/914408228?accountid=14645 Stone, D.L. & Dulebohn, J.H. (2013). Emerging issues in theory and research on electronic human resource management (eHRM). Human Resource Management Review. 23(1), 1-5. Retrieved from http://www. sciencedirect.com/science/article/pii/S1053482212000447 Stone, D.L, Lukaszewski, K.M., Stone-Romero, E.F. & Johnson, T.L. (2013). Factors affecting the effectiveness and acceptance of electronic selection systems. Human Resource Management Review. 23 (1), 50-70. Retrieved from http://www.sciencedirect.com/science/article/pii/S1053482212000496 Strohmeier, S. (2007). Research in e-HRM. Review & Implications. Human Resource Management Review. 17 (1), 19-37. Retrieved from http://www.sciencedirect.com/science/article/pii/S1053482206000829 Strohmeier, S. & Kabst. R. (2009). Organizational adoption of e‐HRM in Europe: An empirical exploration of major adoption factors. Journal of Managerial Psychology. 24 (6), 482-501. Retrieved from http://www. emeraldinsight.com/doi/abs/10.1108/02683940910974099?journalCode=jmp Sulivvan, J. (2007, Jun 4). Green recruiting: building your environmental employment brand. Retrieved from http://www.ere.net/2007/06/04/green-recruiting-building-your-environmental-employment-brand/ Toldi, N. L. (2011). Job applicants favor video interviewing in the candidate selection process. Employment Relations Today, 38(3), 19-27. Retrieved from http://onlinelibrary.wiley.com/doi/10.1002/ert.20351/ abstract Trice, H.M. & Beyer, J.M. (1993). The cultures of work organizations. New York: Prentice Hall, Inc. Retrieved from http://psycnet.apa.org/psycinfo/1992-98310-000 Vaiman, V., Scullion, H. & Collings, D. (2012). Talent Management Decision Making. Management Decision, 50 (5), 925-941. Retrieved from http://dx.doi.org/10.1108/00251741211227663 Wagner, M. (2007). Integration of Environmental Management with other Managerial Functions of the Firm: Empirical effects on drivers of economic performance, Long Range Planning. (40 (6), 611-628. Retrieved

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from http://ac.els-cdn.com/S0024630107000854/1-s2.0-S0024630107000854-main.pdf?_tid=2490f35eeb68-11e4-b3d9-00000aab0f6b&acdnat=1429979505_ec047f2577ca4d42b547eabd25d4f286

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EHRM NEEDED FOR GREEN HUMAN RESOURCE MANAGEMENT HADZIROH IBRAHIM

College of Business Universiti Utara Malaysia, Kedah, Malaysia Email: [email protected]

YUSLIZA MOHD YUSOFF


MD. LAZIM MOHD ZIN

College of Business Universiti Utara Malaysia, Kedah, Malaysia Email: [email protected]

ABSTRACT The paper makes a conceptual review for the links between electronic human resource management (EHRM) and green human resource management. Recently, there is a great attention of increase in the application of environmental management practice by organization either in the public sector or in the corporate sector. Literature on environmental management and organization sustainability has given importance to adoption of green management practices as a key objective for achieving conducive work environment and strong environmental sustainability. Today there is debate and uncertainty associated with how green management principles can be implemented effectively in EHRM amongst the workforce of public sector in Malaysia. This review article identifies how EHRM develop human resource policies for promoting environment management initiatives. Keywords: EHRM, environmental management, green human resource management Acknowledgment: This research is partially supported by an Exploratory Research Grant Scheme (203/PPAMC/6730125) from the Ministry of Education, Malaysia.

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INTRODUCTION A key issue on environmental management and sustainability has emerged around the need for environmental green human resource management practice. The environmentally destructive nature of organisations’ activities has contributed to the current environmental issues. Environmental issues which include climate change, resources depletion and reduction of biodiversity and ecosystem integrity have emerged as major concerns of people in green management. With these concerns in mind, organizations are responsible for ensuring the environmental sustainability and environmental management are in place. According to Jackson, Renwick, Jabbour and Camen (2011), the damaging effects of industrial pollution and waste became evident, there is an instant need to address environmental concerns in managing organizational jobs and activities. In this case, managing human resources is also a major concern. Generally, green human resource management is defined as the sustainable management of organization-wide resources across the entire value chain that achieves profitability and growth while proactively improving environmental wellbeing (Askar, Johnson, & Imam, 2012). This definition is grounded by an underlying premise of environmental management. Environmental management entails five pillar concepts that collectively shape green management, namely, sustainable, organization wide, across the entire value chain, profitability and growth, and proactive. In other words, the links between human resource management practices and environmental management is exceedingly demanded. Thus, in align with this concept, there is a constant need to address a significant role of green human resource management, more specifically, in electronic human resource management (EHRM). Basically, the application and implementation of technology in HRM is called EHRM. The use of information technology (IT) in the workplace may have changed the ways of conducting business that are totally different from the past. In the human resource management (HRM), the technology has led to improvements in overall organizational efficiency and in the quality and timeliness of human resource services to employees (Bell, Lee & Yeung, 2006). In Malaysia, the application of EHRM in government agencies is known as human resource management information system (HRMIS). The implementation processes of HRMIS have started since 1999 till now. Currently, the application of HRMIS is being gradually implemented to the government agencies with the value-added enhancement incorporated gradually. Thus, an issue on HRMIS practice and its linkage with fundamental concepts of green human resource management is interesting to be explored. Therefore, the objective of this paper is to develop a conceptual review of green EHRM practice and it possible impact on environmental stability in organization. 70

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LITERATURE REVIEW Green Human Resource Management Green human resource management (GHRM) is refers to application of human resources functional activities in organization that aligned with environmental management and organizational sustainability (Askar et al., 2012; Jackson et al., 2011; Rao, 2012; Wagner, 2013). More specifically, GHRM is also referred to all the HRM activities involved in development, implementation and on-going improvement of a system that aims at making employees of an organization green and environmentally sustainable (Opatha & Arulrajah, 2014). According to Rao (2012), GHRM is often used to refer to the contribution of people management policies and practices towards the broader corporate environmental agenda. This central system is connected to all HR-related processes. A notable feature is that employees and managers interact directly with the HRMS through self-service functionality, which eliminates the delay, inaccuracies, and inefficiencies of a paper-bound system. Typical green activities include video recruiting, or the use of online and video interviews, to minimize travel requirements. On the other hand, GHRM is the side of HRM that is concerned with transforming normal employees into green employees so as to achieve environmental goals of the organization and finally to make a significant contribution to environmental sustainability. The purpose of green HRM is to develop, enhance and retain greening HRM practices in organization, without neglecting the significant roles of various business interventions. According to Jackson et al., (2011), GHRM practices can be seen beginning at the point of an employee’s organizational entry and continuing until the point of the employee’s exit. Throughout this stage, all human resource activities, such as recruitment and staffing, compensation and benefits, training and development, industrial relations and human resource information system, there are opportunities for HR professionals to engage in HRM as it pertains to environmental management. In other words, there is crucial to address the relationship between environmental stability and HRM, including a discussion of the research linking specific HRM functions and environmental management. From this perspective, GHRM practices are widely discussed in various functions of human resource activities such as recruitment, performance management and appraisal, training and development, compensation and rewards (Renwick, Redman & Maguire, 2013; Wagner, 2013). For instance, developing green staffing practice in attracting high quality employees is a key move towards environmental sustainability workplace practice. According to Renwick et al., (2013), the green staffing orientation by using more web-based recruitment and selection 71

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activities have permitted recruiters to provide much information on job requirements, job specification and other staffing activity, compared with traditional recruitment approaches such as newspaper advertising, and brochures. Another HRM practice that affected by green management issue is performance appraisal and management. Green performance appraisal covers topics such as environmental incidents, use of environmental responsibilities, and the communication of environmental concerns and policy (Renwick et al., 2013; Wagner, 2013).

Green Electronic Human Resource Management A review of literature shows various definitions of EHRM. For example, EHRM is defined as the administrative support of the human resource function in organizations by using Internet technology (Voermans & Veldhoven, 2007). EHRM is also referred as a way of implementing HRM strategies, policies, and practices in organizations through the conscious and directed support of and with the full use of web technology based channels (Rue, Bondarouk & Looise, 2004). Strohmeier (2007) defined EHRM as an application of IT for both networking and supporting at least two by individual or collective actors in their shared performing of HRM activities. Bondarouk and Ruel (2009) put forward a new EHRM definition that represents the consensusbased understanding of EHRM, and defined EHRM as “an umbrella term covering all possible integration mechanisms and contents between HRM and technologies aiming at creating value within and across organizations for targeted employees and management” (p. 507). Past works have provided many empirical evidences on various areas, for example, E-HRM towards HRM effectiveness, attitude towards using E-HRM and employee satisfaction towards EHRM (Bondarouk & Ruel, 2009; Gupta & Saxena, 2011; Ruel, Bondarouk, & Velde, 2007; Voermans & Veldhoven, 2007; Yusliza, Ramayah, & Haslindar, 2011). In Malaysia, an application of green electronic human resource management can be seen through Human Resource Management System (HRMIS) practice in public sector. HRMIS is an integrated technology-enabled human resource management information system incorporating global best practices in human resource management (PSD, 2010). The main objective of HRMIS implementation is to centralize human resource data capture, enabling better access of strategic and consolidated HR information for government agencies, and contributing towards better planning and management of human capital. According to MAMPU (2003, as cited by McPherson & Ramli, 2004, p. 709), the HRMIS specifically aims for the effective staffing and rightsizing of the civil service through 72

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better availability of HRM information, automating the HRM operational processes which are currently done manually, providing up-to-date consolidated HRM information for effective HRM planning among agencies, better communication, horizontal integration and more streamlined processes through establishing a richer collaborative system environment among the agencies so as to provide a single window access to HRM transactions that cut across agencies, improving paper-less HRM capabilities among agencies such as electronic distribution of human resource policy manuals and circulars electronically, and providing an open and flexible system to fulfil and improve the information needs of operational and managerial processes at different levels of agencies. With HRMIS, applications such as leave application and yearly appraisal can be submitted and processed electronically where personnel service book has been converted into an electronic form. In this way, the HRMIS provides a systematic and integrated consolidation of information for all HR activities including pension benefits (Abdul Karim, 1997). To date, very limited studies have examined HRMIS in Malaysia on issues such as technical and systems factors (MAMPU, 2011; McPherson & Ramli, 2004; Mohd Azman, 2011; Noraswati, 2011; Norshita, Halimah, & Tengku Mohammad, 2010). The application of HRMIS is strongly related with the ground aims of green HRM. There are several justifications for making this arguments clearer. First, the HRMIS practice make a significant contribution to environmental sustainability by developing and implementing the system systematically. In this context, working at the intersection of HRMIS and environmental sustainability will provides an opportunity to strengthen paper-less HRM capabilities among agencies such as electronic delivery of human resource policy manuals and circulars electronically, and to improve the information needs of operational and managerial processes at different levels of agencies. Shilpa and Gopal (2011) emphasized that EHRM facilitates better management of the most important competitive edge especially for the activities of thinking, idea generating, and customer-serving human resource. They also argued that EHRM can eliminate redundant activities, provide more accurate and timely personnel information, and automate the time consuming and error-prone HR paper trail. With all these approaches in hand, green HRM is surely can be implemented successfully. Second, environmental sustainability can be achieved by enabling all employees in organization to better access of strategic and consolidated HR information for government agencies, and contributing towards better planning and management of human capital through HRMIS. This is consistent with green EHRM function especially to full use Internet technology and web technology based channels. This approach indirectly will move away from traditional method for accessing and communicating 73

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HR information for government agencies. In the views, HRMIS enables human resource (HR) specialists and HR managers to better manage the complexity of managing human resources, support the decision makers by providing fast quality information, facilitate participation in internal consultancy activities, and facilitate the adaptability of organizations to the environmental changes. Thus, it is strongly believe that the implementation of HRMIS is really benefited to organization and HR professionals for transforming normal HRM activities into green, so as to achieve environmental goals of the organization and finally to make a significant contribution to environmental sustainability.

CONCLUSION Conceptual and empirical works on GHRM and environmental management, gradually, are beginning to shift from reliance on HRM practices that exploit the environment toward those that are environmentally concerns. Changes in HRM practice thorough EHRM has emerged as a crucial action to ensure an underlying aims of environmental sustainable is slowly but surely can be achieved. The implementation of HRMIS in public organization in Malaysia is seek to execute the role of HRM activities in supporting and perhaps even pioneering environmental management activities consistently.

REFERENCES Abdul Karim, M. R. (1997). Reengineering the Malaysian public service and the use of information technology in promoting efficiency and quality. Asian Review of Public Administration, VIX(1), 57-69. Askar, M.O., Johnson, A.C., Imam, S.A. (2012). Defining green: the next paradigm in management. International Journal of Business & Public Administration, 9 (2), 109-124. Bell, B. S., Lee, S. W., & Yeung, S. K. (2006). The impact of eHR on professional competence in HRM: Implications for the development of HR professionals. CAHRS Working Paper Series. Retrieved from http://digitalcommons.ilr.cornell.edu/cahrswp/403 website: Bondarouk, T., & Ruel, H. (2009). Electronic Human Resource Management: Challenges in the digital era. The International Journal of Human Resource Management, 20(3), 505-514. Gupta, A., & Saxena, S. (2011). Employees’ satisfaction towards E-HRM in service organizations. Gurukul Business Review, 7, 41-52. Jackson, S. E., Renwick, D. W. S., Jabbour, J. C., & Muller-Camen, M. (2011). State-of-the-art and future directions for green human resource management introduction to the special issue. German Journal of Research in Human Resource Management, 25, 99-116. MAMPU. (2011). Kajian keberkesanan pelaksanan SMPC dan SMPT dalam pengurusan sumber manusia sektor awam. 1-33. Retrieved from http://www.eghrmis.gov.my/docs/pdf/buletin/2011/laporan-brc.pdf website: McPherson, M., & Ramli, R. (2004). Lessons learned from the implementation of a Malaysia egovernment project. In M. Khosrow-Pour (Ed.), Innovations through information technology. USA: Idea Group Inc.

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Mohd Azman, M. A. (2011). The effects of task-technology fit on use and user performance impacts: The case of the human resource management information system in the Malaysia public sector. Retrieved from http://www.pacis-net.org/file/2011/PACIS2011-010 website: Noraswati, A. W. (2011). The effectiveness of Human Resorce Management Information System (HRMIS) application in managing human resource at the Perlis State Secretary Office. Master of Science (Information Technology), Universiti Utara Malaysia, Sintok, Kedah. Norshita, M. N., Halimah, B. Z., & Tengku Mohammad, T. S. (2010). Public user assessment of Malaysia’s e-government applications. World Academy of Science, Engineering & Technology, 43, 813-817. Opatha, H. H. D. N. P., & Arulrajah, A. A. (2014). Green Human Resource Management: Simplified General Reflections. International Business Research, 7(8), p101. Public Service Department (2010). Buku ‘Pengenalan dan mekanisme pelaksanaan HRMIS’ versi terkini. Retrieved from http://www.eghrmis.gov.my/docs/pdf/se/sp_buku_pengenalan.pdf website Renwick, D. W., Redman, T., & Maguire, S. (2013). Green human resource management: a review and research agenda*. International Journal of Management Reviews, 15(1), 1-14. Rue, H. J. M., Bondarouk, T. V., & Looise, J. K. (2004). E-HRM: Innovation or irritation. An explorative empirical study in five large companies on web-based HRM. Management Revue, 15(3), 364-380. Ruel, H., Bondarouk, T., & Velde, M. V. d. (2007). The contribution of e-HRM to HRM effectiveness: Results from a quantitative study in a Dutch Ministry. Employee Relations, 29(3), 280-291. Shilpa, V., & Gopal, R. (2011). The implications of implementing electronic-human resorce management (E-HRM) systems in companies. Journal of Information Systems and Communication, 2(1), 10-29. Strohmeier, S. (2007). Research in e-HRM: Review and implications. Human Resource Management Review, 17, 19-37. Voermans, M., & Veldhoven, M. v. (2007). Attitude towards E-HRM: An empirical study at Philips. Personnel Review, 36(6), 887-902. Wagner, M. (2013). ‘Green’human resource benefits: Do they matter as determinants of environmental management system implementation?. Journal of Business Ethics, 114(3), 443-456. Yusliza, M. Y., Ramayah, T., & Haslindar, I. (2011). HR roles and E-HRM: Some initial evidence from Malaysia. International Journal of Current Research, 3(2), 131-138.

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INVESTIGATING THE CAPTIVATING EFFECT OF SAFETY AND HEALTH CONCERNS ON LECTURER’S ENVIRONMENTAL ATTITUDES TOWARDS ELECTRONIC GREEN PRODUCTS IMAN KHALID A. QADER

School of Management, University Sains Malaysia Tel: +6016-5149319 E-mail: [email protected]

YUSERRIE ZAINUDDIN

University Malaysia Pahang Tel: +6019-416-4455 E-mail: [email protected]

ABSTRACT The purpose of this study is to contribute to the body of knowledge within the area of environmental attitudes towards green marketing. Since, the diversity and intensity of environmental problem experienced by the public is providing an explanation for the widespread nature of environmental concern, evidence suggests that people believe environmental conditions are worsening specifically in terms, of water pollution, and air pollution. Therefore, this study intends to identify the influence of safety and health concerns on environmental attitude towards green electronics products amongst lecturers. Hence, through a self-administered questionnaire among 170 lecturers, from USM main campus and USM engineering campus the study found some revealing insights. Through the results of this study, safety and health concerns had a significant positive influence on lecturers’ environmental attitude. The theory of planned behavior Azjen (1985) supported the findings of this study, for safety and health concerns on environmental attitudes which is related to behavioral beliefs part of the theory: The person’s beliefs that the behavior leads to certain outcomes and his or her evaluations of these outcomes. As a result, this study confirms that consumers’ attitudes are determined by their behavioral beliefs. Keywords: Green Marketing, Green Electronic Products, Safety and health Concerns, Environmental Attitude, Theory of Planned Behavior. Acknowledgment: The author acknowledges the Short Term Grant provided by Universiti Sains Malaysia, Penang that has resulted in this article.

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INTRODUCTION Polonsky (1994) defined green marketing in much broader way those of other researchers and it encompasses all major components of other definitions. According to polonsky (1994) green or environmental marketing consists of all activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants, such that the satisfaction of these needs and wants occurs, with minimal detrimental impact on the natural environment. This definition incorporates much of the traditional components of the marketing definition that is “All activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants” (Stanton and Futrell 1987). Therefore it ensures that the interests of the organization and all its consumers are protected, as voluntary exchange will not take place unless both the buyer and seller mutually benefit. The above definition also includes the protection of the natural environment, by attempting to minimize the detrimental impact this exchange has on the environment. This second point is important, for human consumption by its very nature is destructive to the natural environment. (To be accurate products making green claims should state they are “less environmentally harmful” rather than “Environmentally Friendly.”) Thus green marketing should look at minimizing environmental harm, not necessarily eliminating it. Hence, Consumers who are aware of and interested in environmental issues are called green consumers (Soonthonsmai, 2007). These green consumers usually organized petitions, boycotted manufacturers and retailers and actively promote the preservation of the planet (Fergus, 1991). Ottman (1992) reported that consumers accepted green products when their primary need for performance, quality, convenience, and affordability were met, and when they understood how a green product could help to solve environmental problems. The knowledge gap on the uses and values of green products prevents consumers in committing themselves to any purchase decisions. In addition, Ottman (1993) argues that all types of consumers both individual and industrial are becoming more concerned and aware about the natural environment. Polls consistently show that a large majority of U. S. citizens have shown that saving the environment is a high priority to most American citizens, with public concern growing faster than any other issues (Schwartz & Miller, 1991). In a 1992 study of 16 countries, more than 50% of consumers in each country indicated they were concerned about the environment. Thus, as the demand for electronic products by consumers is ever increasing, companies manufacturing high-tech electronic products are using state-of-the-art technologies to stay in the competition. However, the life-cycle of electronic products 77

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is short, therefore, technology rapidly evolves and people are constantly upgrading to new equipment and retiring their old equipment. Hence, high tech product demand worldwide has made the electronic industry today a very dynamic one and new products are launched everyday in the consumer electronics sector. The typical electronic product may contain more than 1,000 different substances, some of which are potentially hazardous to the environment and to human health. If old equipment is not properly recycled, these substances could seep into air, soil, and water, and have a direct polluting impact on the environment and an indirect polluting impact on humans. One of these hazardous substances is lead; Lead is an alloy that is used in soldering electronic components on (PCBs); it is mostly used on computer key boards, mobile phones, cameras, DVDs, etc. Hatija (2003) argued that given the many applications of PCBs (Polychlorinated biphenyl) in industries it is likely that products and equipment that contained PCBs would be disposed off as regular garbage. This is because there has not been much concern given to the disposal of hazardous household waste such as electrical equipment or products which are likely to contain PCBs in Malaysia. PCBs are made up of more than 200 related compounds these manufactured substances exhibits many ideal characteristics such as fire resistance, high stability. They also do not conduct electricity and have low volatility at normal temperature. These and other properties have made them desirable components in a wide range of industrial and consumer products. These same properties make the PCBs environmentally hazardous- especially their extreme resistance to chemical and biological breakdown by natural process in the environment. Due to their stability, PCBs have a high potential for bioaccumulation it is able to accumulate in aquatic environments such as lakes and rivers. As early as 1985 tests conducted on shellfish collected from sea bed around Penang island showed PCBs content to be in the range of 400 - 600 ppb. The amount of PCBs detected exceeded the permitted level set by the Food and Drug Authority (FDA) of 300 ppb. In 1992, tests conducted on 25 rivers in Peninsular Malaysia for PCBs residue showed that the amount was higher in the rivers that flow through industrial or densely populated area. The amount of PCBs detected was found to be in the range of 2.1 0.9 milligram per liter. This exceeds the level in the Proposed Interim National Quality Standards for Malaysia, which sets a standard of 0.044 milligram per liter of PCBs in effluents (Hatija, 2003). Consequently, this study attempts to sheds some light on the problem of the pollution ( which is caused by the disposal of electronic products as regular garbage at the end of the products life cycle) by revealing the dark side of high technology, polluted drinking 78

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water, waste discharges that harm fish and wildlife, high rates of miscarriages, birth defects, and cancer clusters in another word it has a direct impact on the environment and an indirect impact on the consumer via drinking water (Napp, 1995). Since, lecturers are considered relatively heavy users of electronic products, due to their profession and technological consumption their environmental attitude towards green electronic products is the focus of the study. Therefore, this study intends to indentify the influence of safety and health concerns on lecturer’s Environmental attitude.

LITERATURE REVIEW Safety and Health Concerns Safety and health concerns are defined as the consumer’s concern for quality of life, health issues and the environment for humans and non-human species. However, it seems that given the broad problems that are defined as environmental issues, the probability that individuals will be affected by one or more of these issues is high ( Dunlap,1989, Mitchell, 1990). In addition, there is also evidence to suggest that people believe environmental conditions are worsening for example, (water pollution, and air pollution) (Dunlap, 1990; Dunlap & Scarce, 1991). Thus, the diversity and intensity of environmental problems as experienced by the public, are themselves proposed as an explanation for the widespread nature of environmental concern. According to Wall (1995) safety and health concerns are considered the strongest predictor of attitude and behavior; her findings lend support to those researchers who claim that increasing concern with health and safety are becoming prominent factor in shaping people’s attitudes towards the environment. It also supports the self-interest notion that behavioral motivation increases with perceptions of personal risk. However, Rundmo (1999) carried out a study aiming to analyze how health attitudes, environmental concern and behavior are influenced by risk perception. A selfcompletion questionnaire survey was distributed among Norwegian residents in 1996 and 1997. Respondents belonging to five sub samples participated in the study and a total of 1124 replied to the questionnaire. Perceived risk was measured by asking the respondents to assess how ‘safe’ they felt from a health injury caused by specific sources of environmental and health risks. The questionnaire also contained indices of health attitudes, environmental concern, and behavior, including health behavior, environmental behavior as well as consumer behavior related to, i.e. purchasing ‘green’ products. The findings of the study concluded that the respondents felt most unsafe regarding chemical food additives, infected food, industrial pollution and risks related 79

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to traffic behavior. Attitudes towards health promotion were strongly associated with health behavior and environmental concern significantly affected environmental behavior. There was also a strong correlation between the different types of behavior. Attitudes and environmental concern explained 40% of the variance in environmental as well as consumer behavior. In a number of studies, environmental concern has been found to be a major determinant of buying green products (e.g., Brombacher & Hamm, 1990; Grunert, 1993; Van Dam, 1991) another determinant is concern with one’s health (e.g., Von Alvensleben & Altmann, 1986; Langerbein & Wirthgen, 1987).

Environmental Attitude Recent research suggests that despite high levels of “green attitudes” environmental concern has failed to translate into widespread environmental action (Roper organization, 1990; Dunlap, 1991; Wall, 1995). More than two decades of environmental attitude research has resulted in a multitude of studies dedicated to discovering the social determinants of environmental attitudes (Van Liere & Dunlap, 1980; Buttel, 1987). Much of the social scientific investigation of environmental attitudes in recent years, rather than remaining focused on demographic predictors, has turned instead to explanations for the widespread popularity of environmental issues. There is also evidence to suggest that people believe environmental conditions are worsening, concern for quality of life has given a way, in many cases, to concern about health issues, and life itself, for human and non- human species (Dunlap, 1991). Maloney and Ward (1973) argued that during the last few decades, the relationship between human beings and the environment has been an important issue due to the fact that natural resources have been used up at a faster pace than they can be restored. Environmental problems are viewed by many as caused by faulty human behavior and psychology, therefore, can have an important role in the amelioration of these problems by improving ecological behavior (Maloney & Ward, 1973; Weigel & Weigel, 1978; Oskamp, 2000; Schmuck & Schultz, 2002; Schmuck & Vlek, 2003). One way to contribute to this is through the study of environmental attitudes (EA) that may underlie ecological behavior. ‘‘Environment concern’’ is the term typically used in empirical literature to refer to EA (Fransson & Garling, 1999; Dunlap & Jones, 2002). Many researchers use the two terms as synonymous (Van Liere & Dunlap, 1981; Dunlap & Jones, 2003), whereas others have differentiated them (Stern & Dietz, 1994; Schultz, Shriver, Tabanico, & Khazian, 2004).Nevertheless, EA seems to be the preferred term in psychology, because environmental concern is viewed now as a general attitude (Bamberg, 2003), and EA are the psychological index term generally used (American Psychological Association, 2001). EA have been defined as the collection of beliefs, 80

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affect, and behavioral intentions a person holds regarding environmentally related activities or issues. Based on the foregoing literature, it can be argued that safety and health concerns, is an important predictor of environmental attitude. Hence, on the whole the following hypothesis was developed: H1. Safety and health concerns have a significant positive influence on consumer’s environmental attitude.

RELATION OF THE THEORY TO THIS STUDY: Based on the theory of planned behavior model, individuals are likely to intend to buy lead-free electronic products if they believe that: (i) The behavior will lead to particular outcomes which they value. (ii) People whose views they value, think they should carry out the behavior. (iii) They have the necessary resources and opportunities to purchase high-tech lead-free electronics. Consequently this study links safety and health concerns to behavioral beliefs: The person’s beliefs that the behavior leads to certain outcomes and his or her evaluations of these outcomes (Azjen and Fishbien, 1980). Therefore, attitudes are determined by behavioral beliefs. For any given behavior at a given time, we will have a set of salient beliefs, for each belief, we have an outcome evaluation for each belief, we also have a belief strength.

METHODOLOGY Sample The population for this study consists of full time university lecturers from University Sains Malaysia. University lecturers were chosen from five main perspectives; Firstly, from an economic perspective according to Noor and Ainin (2005), university lecturers have the purchasing power which means they can afford to purchase high-tech computers and electronics for personal use and in utilizing research grant budget to purchase electronic equipment. Secondly, from a social perspective university lecturers are considered heavy users of computers and electronic products Majid (1999), either for their personal use or for teaching, involvement in research grants and consultancy. Hence, according to Hoe (2006) all academics of Universiti Kuala Lumpur Institute 81

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InfoTech MARA (UniKL IIM) are required to use the e-learning portal in their teaching activities, it is compulsory for Lecturers, Assistant Lecturers and Instructors to use at least 60 percent of the features available in the portal and upload at least 50 percent of the lecture notes to the portal. The usage of the portal contributes 10 percent to individual achievement in the annual performance evaluation. Thirdly, from professional perspective university lecturers have the need for add-on peripherals such as a printer, modem, or storage system, which works in conjunction with a computer Sam, et al. (2005). In addition, for example university lecturers in University Sains Malaysia are all given one desktop personal computer, apart from desktop PC given by the University; some lecturers have their own notebooks bought using their own pocket money or grants. However, since the life-cycle of electronic products is short, according to information obtained from the School of Computer and Communication, USM, (2007) computers given to lecturers will be changed when the technology is already backward as compared to current trend, hence, every 3 to 5 years; new computers are supplied to lecturers. Fourthly, from a political perspective university lecturers are aware of government rules and regulations which can influence their use of green electronics. Finally , while environmental issues are not well known by the general public, university lecturers are considered opinion leaders and the more opinion leaders are valued and respected, the more likely an innovation is to spread (Lars Perner, http://www.LarsPerner.com (accessed online 2006). Respondents will be full time university lecturers from the university’s main campus and from the university’s engineering campus, based on academic staff statistics obtained from the University chancellery on January (2007) there are 898 full time university academic staff working on main and engineering campus.

Measurement of variables Independent variable- safety and health concerns Health and safety concerns was measured by Wall (1995) using 1 statement stating “ Our food is becoming unsafe because of food additives “ respondents were asked to give answers from 1= strongly disagree to 7= strongly agree. Rundmo (1999) used 3 items to measure health and safety, respondents were asked to give answers from 1= most unsafe to 5= extremely safe. Therefore, the measurements for this variable will be adapted from ( Wall 1995 & Rundmo 1999); this means the respondents will have to give answers to 4 items on a scale ranging from 1= strongly disagree to 5= strongly agree.

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Dependent variable- environmental attitude The measurement environmental attitude will be adapted from Maloney and Ward (1973). This means the respondents will have to give answers to 10 items for this variable. A five point Likert scale ranging from 1= strongly disagree to 5= strongly agree will be employed to measure environmental attitudes.

RESULTS AND FINDINGS A total of 200 sets of questionnaires were distributed to academic staff working in 25 major schools in University Sains Malaysia main campus and engineering campus. The drop and pick technique method was used in distributing and collecting the questionnaires. The total of full time university academic staff working on main and engineering campus is 898.Therefore, by using the stratified proportionate sampling method a list of names of lecturers working in each school was obtained either from the university directory book or from USM website and once the population has been stratified into 25 major schools, 20% of the total number of academic staff working in each school was drawn. Two hundred questionnaires were distributed, target number of questionnaires (sample size) needed to be collected was 179, however, 175 were returned, 4 questionnaires were not returned and 5 were rejected due to incompleteness and were unusable. Hence 170 complete sets will be used for the data analysis in this study thereby giving a total response rate of 85%. Based on Hair et al., (2006) a sample size of 100 is considered sufficient to carry out the analysis. Table1 below illustrates the response rate. Table 1: Response Rate Description

Result

Questionnaires distributed

200

Target amont of questionnaires

179

Questionnaires returned

175

Questionnaires un returned

4

Un usable Questionnaires

5

Response rate

85%

Profile of Respondents In terms of gender, 39.4% of respondents were females and 60.6% were male respondents, this indicates that the majority of respondents were male lecturers. In terms of age, 1.2% of respondents were below the age of 29 years old, while the majority of respondents 41.2% aged between 40 to 49 years old, followed by 38.2% of respondents were between the age of 30 to 39 years old, and the remaining 19.4% of 83

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respondents were above 50 years old. From ethnic back ground perspective, 72.4% of respondents were Malay, 11.2% were Chinese, 8.2% were Indians and 8.2% were other races. In terms of professional status, the majority 48.2% were lecturers, followed by 33.5% were associate professors, 17.1% were senior lectures and 1.2% were professors. Therefore, from the analysis it is apparent that the majority of respondents are in the lecturer category which are young and potentially holding more funds for research in future. In terms of years of experience, Table 2: Profile of Respondents Demographic Profile

Frequency

Percentage (%)

103 67

60.6 39.4

2 65 70 33

1.2 38.2 41.2 19.4

123 19 14 14

72.4 11.2 8.2 8.2

2 57 29 82

1.2 33.5 17.1 48.2

54 30 54 28 4

31.8 17.5 31.8 16.5 2.4

64 27 14 12 12 14 2 25

37.6 15.9 8.2 7.1 7.1 8.2 1.2 14.7

Gender Male Female Respondents Age Less than 29 30 - 39 40 - 49 50 and above Ethnic Background Malay Chinese Indian Others Professional Status Professor Associate Professor Senior Lecturer Lecturer Years of Experience Lower than 5 years 5-10 years 11-20 years 21- 30 years 30 and above Value Of Research Grants Less than 50,000 50,000-150,000 150,001-250,000 250,001-350,000 350,001-450,000 450,001-550,000 550,001-650,000 Higher than 650,000

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Monthly Income Less than RM2,500 2,500-3,999 4,000-5,999 6,000 and above

4 46 61 59

2.4 27.1 35.9 34.7

31.8% of respondents had working experience lower than 5 years, 17.5% of respondents had working experience between 5 to 10 years, followed by 31.8% of respondents had working experience between 11 to 20 years, and 16.5% of respondents had working experience between 21 to 30 years. Lastly, 2.4% of respondents had working experience above 30 years. From this analysis, it appears that the majority of respondents had medium to high number of years of experience; this reflects that during respondents’ years of experience on the job they will be liable to a number of research grants which will enable them to purchase electronic products for research purposes. This is supported by the following analysis on lecturers’ number of research grants awarded to them during their years of experience. However, in terms of research grants, from the analysis it appears that 37% of respondents had a research grant less than RM50, 000 and 15.9% had a research grant ranging between RM50, 000 and to RM150, 000.However, 46.5% had research grants above RM150,000. This means that lecturers tendency to use computers and other electronics is high, this can be shown from the number of research grants awarded to them, which enables them to purchase electronics equipment and add on peripherals such as; printer, modem, storage system, which works in conjunction with a computer. Table 2 below illustrates respondent’s profile.

Factor Analysis – Safety and Health Concerns The construct of safety and health concerns was analyzed using confirmatory factor analysis and items were forced into one factor. All items were accepted for safety and health concerns and all items dropped on a single component, explaining 70.04% of the total variance in the variable. Hence, none of the items were dropped and the mean for safety and health concerns was 4.20 which indicate that respondent’s safety and health concerns are high. The Kaiser-Meyer- Olkin measure of sampling is .82 which is considered marvelous. The Bartlett’s test of sphericity is significant at p