The Impact of Cultural Value Orientations On Individual HRM Preferences in Developing Countries: Lessons From Kenyan Organizations

The impact of cultural value orientations
on individual HRM preferences in

developing countries: lessons from
Kenyan organizations
Stephen M. Nyambegera, Paul Sparrow and Kevin Daniels
Abstract The intention of the study is to examine the impact that individual national
culture value orientations have on the preference for the design of HR policies and
practices. The value orientation structure and preferences for thirty-four HR design
choices are studied in a sample of 274 Kenyan employees from eight multinational, state
and private domestic rms operating in the manufacturing and processing sector. The
study shows that the HR design choices of Kenyan employees reect the following
picture across four factors: high HR involvement/participation: high predictability of
rewards; performance rather than loyalty-based policies; and moderate levels of HR
empowerment. Kenyan employee value orientations reect: activity thinking over activity
doing; individual over collective relationships; relationship to nature mastery over
relationship to nature harmony; low subjugation to nature; and human nature evil
(manipulative). More importantly, three out of the four HR preference factors are values-
related, i.e. the individuals value orientation is highly predictive of their preference for
the design of HR policies and practices. From 9 per cent to 19 per cent of the variance
in preferences for involvement, empowerment and predictability of rewards is accounted
for by national culture value orientations. HR involvement preferences are related to
activity thinking values. Predictability of rewards is related to high activity doing.
Empowerment HR is related to low relationships hierarchical values. Preferences for
performance versus loyalty-based HRM are intriguingly values-free judgements,
although ethnic factors play a role here.
Keywords National culture; value orientations; Kenya; developing countries; HRM.
Introduction
Recently, there has been a great deal of interest in the eld of comparative human
resource management (CHRM). The majority of research has concentrated on
differences across developed economies, for example across countries within the
European Union (EU) (see, for example, Hiltrop, 1993; Brewster and Hegewisch, 1994;
Brewster, 1995; Sparrow and Hiltrop, 1994; Forster and Whipp, 1995) or between
developed countries and newly commercializing regions such as China (see, for
Stephen M. Nyambegera, The University of Shefeld Management School, 9 Mappin Street,
Shefeld S1 4DT, UK (tel: +44 114 2223355; e-mail: Ecp96SMN@Shefeld.ac.uk); Paul
Sparrow, The University of Shefeld Management School, 9 Mappin Street, Shefeld S1
4DT, UK (tel: +44 114 2223346; fax: +44 114 2223348; e-mail: P.Sparrow@Shefeld.
ac.uk); Kevin Daniels, The University of Shefeld Management School, 9 Mappin Street,
Shefeld S1 4DT, UK (tel: +44 114 2223365; e-mail: K.Daniels@Shefeld.ac.uk).
Int. J. of Human Resource Management 11:4 August 2000 639663
The International Journal of Human Resource Management
ISSN 0958-5192 print/ISSN 1466-4399 online 2000 Taylor & Francis Ltd
http://www.tandf.co.uk/journals
example, Yeung and Wong, 1990; Easterby-Smith et al., 1995). It is only recently that
researchers have started to write about management issues in developing countries.
Here, too, the emphasis is on Asia (Austin, 1990; Jaeger and Kanungo, 1990; Kanungo
and Mendonca, 1994; Saunders and Kanungo, 1995) or deregulating economies such as
India (Budhwar and Sparrow, 1997; Sparrow and Budhwar, 1996). The circumstances
confronting developing countries, especially Sub-Saharan Africa, have generally been
ignored (Kanungo and Wright, 1983; Jaeger, 1986; Mendonca and Kanungo, 1990). A
few researchers have focused on African developing countries (Kiggundu 1989; Blunt,
1983; Onyemelukwe, 1973). This work shows that, culturally, employees in developing
countries hold values completely different from those in developed countries. We might
expect Western HRM paradigms to be even less relevant to the developing nations,
whose context is markedly divergent from the developed world (e.g. Shenkar, 1985;
Jaeger and Kanungo, 1990; Amante, 1993; Cichon and Gillion, 1993). The question of
the transferability of these theories or practices becomes evident.
Context of Kenya
Kenya is a developing country situated in the Eastern region of Africa. After
independence from Britain in 1963, Kenya started to Africanize most of its
organizations and invest in businesses, which coincided with intense political activities
characterized by ethnic chauvinism and sectionalism (Gershenberg, 1987). Public
organizations became bureaucratic and autocratic and were used to achieve partisan
ethnic or political objectives, leading to inefciency and ineffectiveness (Cohen, 1993).
The use of particularistic criteria in issues of HRM is common in many state
organizations and has possibly reinforced their level of loss making. Many of these
public enterprises have closed down or have been privatized after the intervention of
international donors who have tied money to structural adjustments. The private sector
is largely dominated by multinational companies, which therefore have a big economic
impact. Their human resource policies are seen to be better as they attract and retain
more qualied personnel. However, most of them are managed by Kenyans except for
the positions of the chief executive and nancial controller. These multinational
companies, as in many African countries, are not as effective as in their domestic
operations, especially in areas of quality of work life, motivation and productivity
(Ekpo-Ufot, 1986). Early studies indicate that many small and medium-sized foreign
companies in Africa are as wanting as the larger indigenous organizations (Akinnusi,
1991). Most practise management paternalism, a style that is largely authoritarian and
normally associated with lowering employees social status while demanding un-
questioning personal allegiance to the employer or manager. However, many employees
have to endure a poor quality of work life due to the scarcity of alternative job
opportunities.
Three contextual factors are important in interpreting HRM patterns in Kenya: a wide
range of ethnic groups; high levels of population growth; and constrained economic
development focused mainly in urban areas. Kenya has forty-three indigenous ethnic
groups, all of which are believed to have come to this part of Africa from other parts.
As they spread out they left behind their kinsmen who, over time, developed their own
languages and cultures (Grundy, 1968). Alongside African Kenyans are a good number
of Arabs, Indians, and Europeans. English is the ofcial language and Swahili the
national language. With the many ethnic groups and cultures, we can conclude that the
Kenyan culture is not homogeneous, although an overall national pattern may be
discernible. The impact of such ethnic loyalties on HRM preferences will be examined
640 The International Journal of Human Resource Management
in conjunction with values orientations. Kenya has one of the fastest growing
populations in the world, standing at 29 million in 1997 (Economic Survey, 1998).
Unemployment and underemployment exist, with an unequal distribution of wealth and
assets. About 47 per cent of rural and 29 per cent of urban households live in absolute
poverty. Sixty-eight per cent of the rural population is poor compared to 9 per cent in
urban areas. The Kenyan economy performed poorly for ve years in a row from 1993,
recording real GDP growth of 0.2% (Economic Survey, 1998).
Culture as an explanatory variable in HRM preferences
Major differentiating factors between First, Second and Third World countries are
contextual, and there is growing support for the perception that country-based elements
have a signicant impact on international HRM. Such factors include: economic,
political, legal, and historical environments (Begin, 1992; Sundaram and Black, 1992),
employee demographics and labour-market characteristics (Teagarden et al., 1992),
socio-cultural characteristics of the workforce and society (Laurent, 1983; Torrington,
1994). Among these elements, culture has generated more interest in the eld of
comparative HRM because of the belief that cultures are at the base of peoples
behaviours. Cultural differences have received wide attention in cross-national
management research (Brewster and Hegewisch, 1994; Schuler et al., 1993; Grnhaug
and Nordhaug, 1992; Pieper, 1990; Dowling and Schuler, 1990). This study uses
measures of individual values orientations as a proxy for national culture. Culture is not
treated as just a residual explanatory variable, but instead is analysed to see how it
exerts a signicant inuence on management and employee behaviour in Kenyan
organizations. We examine the inuence of cultural value orientations on employee
preferences for HRM policies and practices. Underlying patterns of African culture
value orientations are examined, as well as the extent to which they explain employee
work preferences. The study determines how much variance in individual preference for
HR system design can be attributed to the inuence of value orientations and examines
which values inuence which work-related preferences in Kenya.
In comparing cultures of different countries, cross-cultural researchers have concen-
trated effort on an examination of managerial values (Hofstede, 1995; Manso-Pinto et
al., 1993; Blunt, 1986). These values are often aggregated at a national or societal level,
and the most widely used scales are those developed by Hofstede (1980). There are,
however, some methodological issues both with Hofstedes approach and with much of
the work-related preferences literature in general. The use of aggregated national data
can be misleading when applying societal characteristics to individual behaviour
because there could be considerable variance in the degree to which individuals adhere
to any set of values (Cray and Mallory, 1998). Moreover, Hofstede aggregated work
preferences across what are in practice discrete psychological variables or levels of
analysis, each of which differs in key properties, such as level of stability or resistance
to change over time and linkage to, initiation of, and predictability of other behaviours.
The cultural dimensions are established largely on the basis of aggregated attitudinal
data about a series of work-related preferences. Some of the items reect general
attitudes, some are work-values statements, some tap into outcome behaviours such as
sources of satisfaction, attachment or commitment, and so forth. However, in order to
understand the constraints that national cultural values might place on international
management, we need to disentangle the separate constructs that have been brought
together under the work-related preferences approach to national culture, and reveal
their separate impact on important HRM-linked behaviours. Values, attitudes, and
Nyambegera et al.: The impact of cultural value orientations 641
outcome behaviours all differ in the key properties listed above. Therefore, although
widely used, the Hofstede scales have been heavily criticized in terms of the validity
and usefulness of the four dimensions at the individual level of analysis (Robinson,
1983; Sondergaard, 1994; Dorfman and Howell, 1988; Hunt, 1981; Goodstein, 1981). A
general criticism, levelled at many psychometric approaches to the measurement of
cultural values, is that they use scales that do not reveal the totality of relevant cultural
value dimensions (e.g. Cray and Mallory, 1998; Smith et al., 1996; Sparrow and Wu,
1998). The scales tend to tap only work contexts. Finally, another important issue to
consider is the type of population under study. The existing individual difference
literature under the label of work-related preferences has attempted to glean relevant
messages for the eld of international HRM from the study of national differences
based on the socio-cultural characteristics of individual employees (McGaughey et al.,
1997). However, the frequent use of convenience samples, such as students, captive
groups of managers on education courses selected by MNCs, or employees from single
organizations within a country (e.g. McGaughey, 1994), raises questions over the
validity of the resulting description of these work-related preferences. This study
overcomes such shortcomings by taking a more representative sample of multinational
companies and other rms with a wider, more representative sampling frame.
Dening culture and value orientations
We have argued that we need a much better understanding of how such cultural values
operate and inuence HRM at the individual level. Smith (1992) argues that there is a
linkage between cultural values and several organizational behaviours, such as norms of
acceptable behaviour, types of conict, and preferred leadership styles. In this study,
analyses at the individual level are undertaken to enable a better understanding of the
role of cultural values in predicting HRM preferences. The study also employs cultural
value items that tap a wider domain of life. These are based on the conceptualization of
value orientations by Kluckhohn and Strodtbeck (1961), subsequently operationalized
by Maznevski et al. (1993, 1995). Kluckhohn and Strodtbeck (1961) identied several
value orientations (VOs) and dened them as assumptions or sets of principles that are
used to evaluate beliefs, feelings, and intentions. They argue that value orientations do
guide behaviour because they give order and direction to human acts and there is a
relation to solutions of common day-to-day problems. This is so because individuals
express culture and its normative qualities through the values that they hold. The basic
premise underlying the VOs is that there are common themes in the problems that
societies have faced throughout the ages. The issues that form the value orientations and
on which societies can be compared are as follows:
1 Human nature is perceived as good, a mixture of good and evil, or evil.
2 Societies can relate to nature by dominating it or living in harmony with it, while
others become subjugated by it.
3 Relationships among people are perceived as individualistic, laterally extended
groups, or hierarchical groups.
4 Activity in daily living may concentrate on striving for goals and keeping busy
(doing) or reecting and living rationally (thinking), or, for others, may take the form
of living for the moment and exhibiting spontaneity (being).
Lane and DiStefano (1992) argue that these categories can be used to measure the
cultural values of individuals in different groups or sub-groups. Maznevski and others
(Maznevski et al., 1993, 1994; Maznevski and DiStefano, 1995) operationalized these
value orientations which are used to measure cultural value orientations. The main
features or characteristics of the cultural value orientations adopted for this study are
briey represented in Figure 1.
Some similarities have been found between Kluckhohn and Strodtbecks value
orientations and Hofstedes cultural dimensions. Maznevski and DiStefano (1995)
report similarities between Kluckhohn and Strodtbecks activity orientation and
Hofstedes masculinity pole. In a doing or masculine society, people are likely to
view work and work-related activities as core to their existence, they tend to emphasize
personal accomplishment, achievement, and strong sense of admiration of such virtues.
People in such societies will spend more time earning money and doing related
activities. On the other hand, people in being or feminine culture societies act on
feelings experienced and like enjoying the present. These authors also link Kluckhohn
and Strodtbecks relational category to Hofstedes authority distance dimension and
individualism/collectivism poles. In high authority distance societies, one nds
preference for hierarchical solutions and collective relationships, where respect for
authority is paramount. The opposite is the case with low authority distance societies,
as they assume individualistic relationships and those in authority are seen as
colleagues.
The items are used to examine underlying value orientations of a sample of Kenyan
employees. These value orientations are dened as assumptions or sets of principles
used to evaluate beliefs, feelings, and intentions. They have been used in a study of
Taiwanese workers, in which signicant predictive relationships were found between
ISSUE VARIATION 1 VARIATION 2 VARIATION 3
Relationship to
nature
Subjugation
Dominated by
external forces,
subject to a supreme
being, everything
predetermined
Harmony
Specic features
Maintaining balance
with physical
environment,
peaceful, maintaining
status quo
Mastery
Controlling, believes
everything is
possible, values
work and work
outcomes
Basic human
nature
Changeable or not
Limited or unlimited
creative potential,
malleable or xed
Good
Specic features
Honest, trustworthy
Evil
Corrupt, not to be
trusted with
anything
Human activity Doing
Pragmatism,
relentless to achieve/
accomplish goals
Thinking
Specic features
Rational and careful
Being
Spontaneity, feeling
based actions
Relationship
among people
Collectivist
Takes care of group,
values group welfare,
depends on group for
moral standards
Hierarchical
Specic features
Emphasises vertical
and horizontal
structures and
inuence patterns,
values status
Individualistic
Takes care of self,
values individual
welfare, depends on
oneself for moral
guidance
Figure 1 Cultural value orientations and examples of their specic features
cultural value orientations and HRM policy and practice preferences (Sparrow and Wu,
1998). Importantly, the cultural values items represented unique measurements, and
could be separated from attitudinal items to HRM preferences and outcome behaviours
such as satisfaction and commitment. Therefore, a more meaningful examination of
psychological work-related preferences and their impact on HRM policy practice can be
carried out by tapping into the inuence of the cultural value orientation items
operationalized by Maznevski and colleagues.
The two research questions to be addressed in this study then are:
RQ1 which cultural value orientations are held by our Kenyan sample?
RQ2 which cultural value orientations inuence HRM policy and practice preferences
and to what extent?
Methodology
Sample and procedure
Data used in this paper were obtained from eight Kenyan manufacturing organizations.
Letters were sent out to thirty companies requesting them to participate in the study;
eight of them accepted, comprising multinationals, state, and private local rms. The
organizations were identied from the Kenya Fact Book (1996). This contained a list of
all major manufacturing companies, with additional information including sector,
origin, size, products, and contact addresses and from it we identied thirty
organizations that satised our selection criteria. We attempted to control the size of the
rms by targeting only those in the manufacturing/processing sector with over 200
employees. Additionally, organizations had to have been in operation for not less than
ve years, and had to have a human resource/personnel department. Organizations were
told that they are participating in an international project to assess values and work
practices in Kenya compared to other countries. The projects intention was to seek
views about issues related to their organizations and also to identify employee
preferences for particular work practices, providing greater understanding of peoples
preferences for work practices in Kenya. Further, they were told the benets of
participating in the study, for example, providing valuable feedback to assist their
organizations in their plans for continued improvement in the areas addressed in the
survey. The eight organizations, based in main urban centres, that agreed to participate
were spread through ve out of the eight provinces of Kenya (see Table 1).
Government policy required that any study of substantial magnitude should seek
permission from the ofce of the President. Research assistants were used to help in the
administration of the questionnaires. Formal interviews were held with the chief
executive, or his designate, of the participating rms to organize the logistics of the
data-collection process. Depending on the size of the rm, between forty and sixty
questionnaires were given to liaison managers who then distributed them to a random
sample of employees selected right across the organization structure. Respondents were
instructed to contact research assistants,
1
who were available throughout that period to
provide guidance, should they need any clarication in completing the questionnaire. In
total, 500 questionnaires were distributed. In this way a more representative sample was
covered than in other studies, which have tended to comprise only managers or a
captive sample such as students (e.g. Dowling and Nagel, 1986; Weldon and Jehn,
1993; McGaughey, 1994). The exercise took a total of ve months from January to May
1998. A covering letter introduced the study and indicated that it was anonymous and
condential. To ensure condentiality, respondents were instructed not to write their
names anywhere in the questionnaire. An A4-size envelope was provided in which they
sealed the completed questionnaire and returned it to a locked box marked research,
from which surveys were collected by the research assistants. The respondents were
told the objectives of the study were to identify their preferences for HRM policies and
practices. They were informed that the ndings could be used to help management
ensure that actual practice was in line with their desired policies with practice. A total
of 274 out of 500 questionnaires were returned, representing a response rate of 55 per
cent. This is a very acceptable rate considering that in a Third World country surveys
may not be taken seriously. We feel it was achieved because of the ofcial support of
the research and the active involvement of research assistants.
Most (71 per cent) of the respondents where aged between 26 and 45 years, and 89.1
per cent possessed at least fourth-form level of education. The majority (75.1 per cent)
were from the middle level in the structure, 4.2 per cent were from upper-level
management, while 21 per cent was comprised of lower-level staff. Almost 55 per cent
had served the same rm for between one and ten years, and 69 per cent had been on
the same job during that same period. The ethnic composition of respondents indicates
that the six big ethnic groups that make up the majority of salaried employment in
Kenya accounted for 90.3 per cent of the sample. The main reason is that many of the
other ethnic groups are either pastoralists or peasants. As expected, the female
population was very low at 11.3 per cent, as most women have just started to join
salaried employment in most African countries (see Table 2 for a summary of
demographic characteristics).
Measures
Questionnaires were used to assess cultural value orientations and HRM policy and
practice preferences. The main questionnaire comprised several sections.
The Cultural Perspectives Questionnaire (CPQ4) The rst section was adapted
from the Cultural Perspective Questionnaire (CPQ4) developed by Maznevski and
DiStefano (1993, 1995). These items are based upon the work of Kluckhohn
and Strodtbeck (1961) on value orientations. The instrument contained statements,
ideals, or guides to behaviour, e.g. ones responsibility for family members should go
Table 1 Participating companies characteristics
Company Ownership Products Location Province
Company 1 MNC/plc Tyres and tubes Nairobi Nairobi
Company 2 Local/plc Building materials Nairobi Nairobi
Company 3 Joint venture Vehicles, etc. Thika Central
Company 4 Local/private Soft drinks Kisumu Nyanza
Company 5 State Textiles Eldoret Rift Valley
Company 6 MNC Sausages/pork Nairobi Nairobi
Company 7 Joint venture Textiles Eldoret Rift Valley
Company 8 Public/plc Cement/roong Mombasa Coast
Notes
NMC 5 multinational corporation (subsidiary).
Local/plc 5 local, quoted on the Nairobi Stock Exchange.
Plc 5 public limited company.
Table 2 Sample demographic characteristics
Age of respondent Percentage
,25 16.2
2630 20.3
3135 17.0
3640 15.1 (n 5 271)
4145 18.1
4650 9.2
5155 3.0
5660 .7
6165 .4
Gender of respondent
Female 11.3
Male 88.7 (n 5 274)
Ethnic group of respondent
Kalenjin 12.0
Kikuyu 27.8
Kisii 5.8
Luo 18.9
Kamba 7.7 (n 5 259)
Luyha 18.1
Asian 2.7
Other 6.9
Education level of respondent
Primary level 4.8
O level 47.1
A level 8.5
Diploma level 23.2 (n 5 272)
Undergraduate 10.3
Postgraduate 4.0
Other 2.2
Occupation of respondent
Upper-level manager 4.2
Middle-level manager 15.8
Operator 5.3
Supervisor 21.9
Marketing or sales 8.3
Accountant 3.8 (n 5 265)
Secretary 4.5
Technician 20.0
Support staff 14.0
Security 2.3
Length of service
011 months 6.3
15 years 38.8
610 years 15.7
1115 years 14.2
1620 years 18.3 (n 5 268)
2125 years 4.5
2630 years 1.9
3135 years .4
beyond ones parents and children, every person on a team should be responsible for
the performance of everyone else on the team, society works best when each person
serves his own interests. All items contained a seven point Likert-type scale (scored
from 1
5
strongly disagree to 7
5
strongly agree). The four value orientations that
were assessed, with their respective sub-categories, are:
1 Activity orientation: Activity: being, 7 items; Activity: doing, 10 items; Activity:
thinking, 8 items
2 Relational orientation: Relationships: individual, 7 items; Relationships: collateral, 8
items; Relationships: hierarchical, 7 items
3 Relation to nature orientation: Subjugation, 7 items; Mastery, 7 items; Harmony, 7
items
4 Human nature orientation: Human nature: good or evil, 6 items; Human nature:
changeable, 5 items.
Reliabilities of between 0.55 and 0.75 for these scales have been reported from UK, US,
Canada, Taiwan, India, and Hong Kong samples. Conrmatory factor analysis has
supported the hypothesized factor structure of items (Maznevski et al., 1993, 1994;
Maznevski and DiStefano, 1995) (see the appendix for the factor structure in this
sample).
HRM preferences (WPQ) This was the second section of the questionnaire,
containing thirty-four ve-scale items based upon the typology of HRM practices
proposed by Schuler and Jackson (1987). Five HRM areas were covered, namely:
planning and job design; recruitment and selection; compensation; performance
appraisal; and training and development. Items in the HRM scale were selected and
designed by the researchers, and were intended to assess individual preferences for
several HRM policies and practices. Items were presented as pairs of alternative HRM
practices using a ve-point, bipolar rating scale. The items contained in the scale are,
for example, the company should consider cost issues before recruiting the best
people, with its alternative pair, the company should design jobs to attract and retain
the best people without regard to cost. Participants were asked to decide their
individual preference for how the company should conduct specic HRM policies and
practices by circling a number (ranging from 1 to 5) between the pairs. A score of three
was taken to be the mid-point. Consequently, a score to the right or to the left of three
reected the respondents preference between the items.
Table 2 Continued
Years on the same job
011 months 4.1
15 years 49.6
610 years 19.4
1115 years 12.0 (n 5 268)
1620 years 10.1
2125 years 4.5
2630 years 2.2
3135 years 1.5
.36 .4
Results
Cultural value orientations of Kenyan employees
Table 3 presents the means, standard deviations, and alpha reliability coefcients of the
value orientation sub-scales. The results represent the picture from the raw data
collected from the Kenyan sample. They paint a picture of the values held by the
Kenyan sample. Only scales with an alpha greater than 0.60 were taken to be reliable
and adopted for this analysis. This is consistent with the authors of the scales nding
of reliabilities of between 0.60 and 0.70 (Maznevski and DiStefano, 1993, Maznevski
et al., 1994). Therefore, after description of the samples cultural value orientations,
three scales will be dropped from further inferential analysis. The Kenyan sample
shows some variations from commonly held assumptions about the nature of people
from developing countries which could be a product of this countrys history and
current economic state. We look at the emerging picture of the Kenyan samples value
orientations across the original eleven sub-dimensions.
Activity orientation The activity orientation shows that Kenyans prefer to think
things through and to live rationally (Activity: Thinking). On average, they strive to
achieve goals and work harder if well rewarded. They view work as central to their
existence because of the benets work brings to them (Activity: Doing). This could be
explained by the fact that jobs are viewed as being critical not only to the individuals
well-being but also for the well-being of kith and kin. Furthermore, there is a stigma
attached to the unemployed as they cannot contribute to their extended family
nancially. The results indicate that Kenyans are not being oriented, which is an
orientation characterized by spontaneity. People do not work on feelings as they are
experienced but tend to be reective and think things through. People here cannot
afford to indulge in unnecessary leisure and they do not live for the moment.
Table 3 Means, standard coefcients, alphas and items of the cultural scale
Variable Mean Standard deviation Alpha No. of items
Activity orientation
Being 3.89 1.16 .52 7
Doing 5.47 .98 .64 10
Thinking 6.26 .81 .72 8
Relational orientation
Collateral 5.14 1.03 .54 8
Hierarchical 4.15 1.27 .62 7
Individual 4.99 1.14 .62 7
Relation to nature
Harmony 5.66 1.02 .63 7
Mastery 5.92 1.06 .69 7
Subjugation 2.88 1.24 .70 7
Human nature
Good or evil 4.45 1.33 .63 6
Changeable or not 4.87 1.25 .50 5
Note
The sub-categories in italics were dropped from further analysis due to low alpha coefcients.
Relationships orientation On relationships among people, the Kenyan sample tends
to value both group (Relational: Collateral) and individual (Relational: Individual)
welfare, but group welfare is more valued compared to individual welfare. This is not
surprising, as Sinha and Tripathi (1994) argue that both individualistic and collectivist
behaviours could be found depending on context. They are neutral with regard to
hierarchical relations (Relational: Hierarchical). Lane et al. (1997) provided an
additional characterization of this sub-category, and noted that hierarchically orientated
societies dene the proper relations to others as group oriented, but with two additional
characteristics. One is that the position in the group is nested in a hierarchy of other
groups in society. Second, the groups position in the hierarchy is stable over time, a
characteristic of aristocratic societies and caste systems: one is to look after ones own
kind, but one knows where ones kind stands on the status ladder, and mobility between
groups is highly unlikely, if not impossible. This is not the case in Kenya.
Relation to nature The results of this orientation show that Kenyans tend to be in
harmony with the world around them. They tend to behave in concert with their
environment. They see no real separation between people and their natural environment,
and their beliefs have allowed them to live at peace with the environment. Mastery
orientation was scored surprisingly high, perhaps due to the composition of the
respondents who are young and educated. A young employee who has got where they
are from scratch, is earning his/her own money, and has great plans for the future could
score high regardless of his/her environment. One result reported by the Kenyan
sample, which is presumed by many researchers to be a feature of developing countries,
is the issue of being subjugated to nature. Subjugated societies tend to see themselves
as dominated by physical forces and or subject to the will of a supreme being or
external force. The opposite is found in the case of Kenya. Modern Kenyans, though in
a developing country, do not see causality as determined by factors beyond their
control, as they will try very hard to live better. This is consistent with other value
orientations which are seen in non-subjugated societies like activity doing and activity
thinking, which the Kenyan sample has also exhibited.
Basic human nature The Kenyan study shows that Kenyans belief about the
inherent character of the human species is that of a mixture of both good and evil, or
rather they are neutral on this orientation (Human Nature: Good or Evil). Some people
are very evil and cannot be trusted but then there are others who are good and can be
trusted. The other belief about the changeability of people (Human Nature: Changeable/
Unchangeable) is higher. Together, the results indicate a perception that, given the right
support and environment, most people would change for the better, and the wrong
environment can change others to be bad even if they were good.
This analysis has enabled us to reveal cultural value orientations held by our Kenyan
sample (answering our rst research question), by using one of the most coherent set of
cultural value scales so far developed. In summary, the results indicate that, on average,
the sample can be characterized: as rational and goal oriented; more group than
individually oriented, but not overly concerned with hierarchy; oriented towards
harmony with the world around, but with a preparedness to control the environment for
their benet; and seeing good, bad, stability and change in people.
An internal reliability of alpha
5
0.60 has been set as the limit of acceptability for
exploratory research and is considered to be good, although alphas greater than 0.70 are
preferred (Nunnally, 1967). Only eight scales exceeded this limit, and so three were
dropped from further analysis. Two of these scales (Human Nature: Changeable and
Activity: Being) were found by Sparrow and Wu (1998) to have low reliability in a
Taiwanese sample.
Human resource management policy and practice preferences of Kenyan employees
There was a total of thirty-four items in the HRM measure which, after cluster analysis,
revealed four large clusters comprising twenty-four items. These items were subjected
to a principal components analysis with varimax rotation, also revealing a four-factor
solution. The decision was made on the basis of factors with eigenvalues of 1 and above
and items that loaded at more than 0.5 on each factor. Cattells scree plot also revealed
a four-factor solution. The four factors extracted accounted for 50.3 per cent of the
variance in total. Individual eigenvalues and percentages of variance accounted for by
the factors are shown in Table 4. Structure matrix loadings and descriptive statistics are
also shown in Table 4. Examining the structure matrix, it was found that the rst factor
consisted of items in which low values equate to a high Human resource (HR)
involvement/participation (e.g. employees to have a major say in career, rather than
having minimum say in career). The second factor consisted of items in which low
values equate to a High predictability of rewards (e.g. rewards by nancial
incentives, rather than non-nancial incentives). The third factor consisted items which
equate to a Performance vs loyalty-related HRM practice (e.g. pay based on merit
and qualications, rather than age and seniority). Finally, the fourth factor consisted of
items in which low values equate to High HR empowerment (e.g. minimize levels of
organization structure, rather than the present level). The meanings of the factors that
emerged were derived from the majority of the items in a factor.
Factor one indicates that Kenyan employees on average prefer some degree of
involvement and participation in some, but not all, policy matters affecting them. For
example, they prefer that performance appraisals be carried out by superiors rather than
subordinates or peers, and to be able to determine their best way of working. The means
also show that employees want to have a say in their career path and training needs. The
sample reveals that there is preference for selection criteria to be made clear, but issues
related to individual pay to be kept secret. Kenyans, being people who do not value
living for the present, indicate that they will be better off if they are shareholders of the
rms they work for rather than just workers. A formal systematic training policy seems
to be preferred, perhaps because it would curb favouritism in the workplace.
Human resource policy preferences in factor two report a mean that tends towards
preference for items on the right-hand side of scales (see Table 4). The factor reects
preference for policies that provide predictability of rewards, such as incentives and
benets that are comparable to the market and rewards that are based on individual
performance rather than the group. Employees seem to prefer tight formal planning,
probably to increase transparency, hence allowing predictability of the future. Training
for present skills ensures predictability in the sense that a worker is familiar with and
sure of what he/she is used to doing when venturing into new areas that are not familiar.
Financial rewards are more predictable, as one can be sure of what one will get, rather
than non-nancial rewards which can come in any form, even in just praise or more
responsibilities. Focus on personal achievement is also more predictable as one knows
that, if one exerts more effort, there will be reward, unlike trying to make reward a
group issue where some might be lazy.
Factor three contains HRM practices that are performance vs loyalty related. The
mean is less than the mid-level which shows a tendency towards policy practices to the
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left-hand side of items shown in Table 4. These recognize competence and performance
leading to the success of the organization. Again, rewarding on merit rather than age
and seniority is a practice which can go down well with younger employees who may
feel that their hard work will benet them. Furthermore, practices which may lead to the
organizations success regardless of an individuals culture orientation, may be seen in
a good light, as they will ensure the organizations survival and assure continued
employment. Again, this might be the accepted best practice in most rms, especially
in the unstable environments found in developing countries.
The fourth factor contains items that reect HR empowerment in the workplace.
There is a slight tendency for employees to prefer that the company design jobs to
maintain and retain good people regardless of the cost, as this gives them a sense of job
security in that they cannot be swapped around or declared redundant with the objective
of reducing costs. The Kenyan sample tends slightly to prefer policies to the left of
items in Table 4, i.e. policies that empower them through performance evaluations and
minimizing layers of management, allowing easier and faster contact with seniors.
Rewarding qualications and skills is also preferred as it motivates employees on merit.
Such a practice assures highly educated and hard-working younger employees the
power to progress. This observation could be attributed to the present composition of
the Kenyan labour market of young and educated people, reected in our sample.
Correlation of cultural value orientations with HRM preferences
The correlation results in Table 5 are taken against a more conservative signicance
level of p , 0.01 to minimize the possibility of type 1 error (Hays, 1988). Activity
thinking stands out as having the strongest relationship with HR involvement. Overall,
HR involvement is associated with three out of the eight cultural scales, as can be seen
from Table 5. Predictability of rewards correlates with activity: doing, activity:
thinking, relationship: individual and relationships: hierarchical value orientations.
Human resource empowerment correlates negatively with human nature: good or evil,
relational: hierarchical and relation to nature: subjugation. The results also indicate,
rather intriguingly, that preferences for performance vs loyalty-related HRM practices
have no association with cultural values.
Multiple regression analysis
Table 6 shows the results of the combined effects and overall relationship of the eight
cultural scales on HRM preferences.
After controlling for age, gender and ethnic group,
2
some signicant changes in R
2
and B effect are observed in step two of multiple regression analysis. When taking all
cultural values together in multivariate analyses, many of the relationships suggested by
zero-order correlation become non-signicant, but some relationships remain signicant
(p , .05). Overall, cultural values account for 19 per cent of an individuals score for
HR involvement, and there is a statistically signicant relationship to activity:
thinking. Cultural values account for 14 per cent of the variance in predictable HRM
rewards and there are statistically signicant relationships with activity: doing,
relational: individual and relational: hierarchical. Cultural values account for 9 per cent
of the variance in human resource empowerment, and there is a signicant negative
association with relational: hierarchical. Performance vs loyalty-related HRM practices
again come out as value free, as no cultural value orientation was signicantly related
to this item. However, demographic factors might explain much of this simple values
T
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HRM preferences link. It can be seen, for example, that ethnic group has an important
relationship with HRM preferences.
Discussion
One task was to nd out whether cultural value orientations impact on individual
employee HRM preferences and, if so, to what extent. We would argue that values
orientations are deep pre-existing structures developed in early socialization, whereas
the preferences for specic HR policies (attitudes) develop at a later stage in life. In this
context it is reasonable to infer that values predict HR preferences, though we accept
that correlations cannot conclusively prove this. The hypothesis that cultural value
orientations inuence individual HRM preferences was supported. However, not all
HRM policies and practice preferences are inuenced by cultural value orientations.
From the four factors that emerged, human resource involvement/participation,
predictability of rewards, and human resource empowerment were related to cultural
values, while performance vs loyalty-related HRM practices came out as values free.
The study shows that, overall, HRM preferences reect a cultural interpretation, as there
were signicant associations between cultural values and three HRM factors. This
nding indicates that HRM models with an Anglo-Saxon base are not adaptable to
international research. Presuming the value orientations of people in developing
countries without delineating the cultural and physical domain is inappropriate. The
activity thinking sub-category value orientation had the highest inuence on preferences
for HR involvement. For example, earlier writings recommend detachment of
employees in developing countries from the decision-formulation and decision-making
process (e.g. Jaeger, 1990). However, the results of this research indicate that it can t
well with the employees preference if she/he is involved or participates in the decisions
that touch on her/his welfare. This is in line with Negandhis (1975) nding that
workers in developing countries, too, desire quality employment by, among other
things, being given participative leadership and involvement in decision making within
their organization.
The argument in the developing economy HRM literature to date has been that
developing countries socialization makes people passive and reactive to tasks (Jaeger,
1990). The results here showed that in general Kenyans would like to think through
issues (Activity: Thinking) before acting. They view work as central to their existence
(Activity: Doing), a value that, again, correlates with HR involvement. Relation to
nature mastery also demonstrated a signicant zero-order correlation with human
resource involvement/participation, which is a reection of their high scores on activity
thinking and activity doing. A mastery-oriented people, such as those studied in this
sample, would prefer to be involved in issues that affect them as they may not believe
in external forces acting for them. This result is perhaps a reection of the increasing
number of young people in Kenyan organizations, and certainly in our sample.
Furthermore, their involvement could lead to management making more informed
decisions.
Three value orientations had a signicant relationship to preference for predictability
of rewards both at the zero-order level and in the multiple regression analysis, namely:
Activity: Doing; Relational: Hierarchical and Relational: Individual. In a society like
Kenya, a kind of individualism is evident whereby the one who is employed is seen as
the cream of a group/family and he/she should be the one to provide. This calls for
improvement of the individual in order to meet such obligations. If one is looked upon
as the sole provider, there is no doubt that one would prefer predictable rewards.
Trompenaars (1993) points out that, in some societies, individualism and collectivism
are complementary, whereby the collectivist culture sees the group as its end and
improvements to individual capacities as a means to that end. Again, as pointed out
earlier, Sinha and Tripathi (1994) argue that it is possible to nd both collectivist and
individualistic cultures depending on context, a result reported in this sample. Lane et
al. (1997) indicate that among the characteristics of hierarchical societies is the
denition of relationships as group oriented, which might explain this values
association with predictable rewards. Predictable rewards and incentives are preferred
in this sample as they can assure the employee of a future, given the obligations in a
collective society like Kenya, where responsibility to kith and kin are very real. Group
rewards are not preferred as it may not be easy to predict when group effort is going to
bear fruit. Individually one is able to set targets and exert enough personal effort to
meet them. People who are high on activity doing have their focus on work, they do not
spend time in unnecessary leisure and would like to be sure of the benets that accrue
from hard work, especially given the uncertain environment in developing countries.
Relational: Hierarchical was negatively related to policies that depicted human
resource empowerment. In addition, there was a signicant negative zero-order
correlation with human nature good or evil and relation to nature subjugation. Given
earlier results showing a preference for empowerment, the negative association
indicates that the sample resents centralized arrangements to some extent, especially if
those in authority manage by fear. In such circumstances, employees prefer to be
empowered probably to help reduce the fear created by those in authority. The negative
association between human nature good or evil at the zero-order level shows that
employees believe that some superiors are not honest, hence the quest for empower-
ment. Moreover, the negative signicant relationship between relation to nature
subjugation and HR empowerment at the zero-order level indicates that Kenyans non-
dependency on the supernatural or some other external force leads them to seek
empowerment to enable them change situations that affect them.
There is a tendency towards the mid-point in the relational hierarchical sub-category
and human nature good or evil. The results show that hierarchical relations are accepted
but not appreciated totally. The main reason would be that many in authority have mis-
used those positions, mostly by stafng the organization with relatives, people from the
same ethnic group or those who are politically expedient, to the extent that those who
do not have such an opportunity tend to resent those in authority. Kamoche (1992) notes
that ethnicity in the workplace might manifest itself in various forms, including: straight
favouritism in recruitment and promotion or in the search for ethnic homogeneity, as
observed by Blunt (1980). Further, this being a collective society, practices of
favouritism are on ethnic and kinship lines, indulged in as a way of discharging
obligation to kith and kin. It was apparent from this study that some organizations
employed a very high proportion of particular ethnic groups, especially if the top
managers belonged to a specic ethnic group. This could point to why the present
generation of Kenyans in this sample want to be empowered to question some practices
without fear of intimidation.
There is agreement that most people are a mixture of good and evil. The reason we
can attribute the negative relationship between this value orientation and empowerment
is that, since not all people are good, even managers can misuse their authority for
selsh ends. Employees prefer to participate in the evaluation process, as managers
alone can use the exercise to intimidate some employees. Tall organization structures
are not preferred because the higher the structure the more likely you are to meet evil
managers who are able to pass blame to others. Furthermore, managers can use the tall
structure to frustrate subordinates. Rewards considering qualications and skills are
more quantiable, hence not easily abused by evil-minded superiors. This could be the
reason for the non-signicant relationship between HR empowerment and human nature
good or evil, when relational hierarchical is controlled in multiple regression
analysis.
The only factor which came out as values free is preference for performance-related
HRM practices. Overall, there is individual variation among respondents. Consequently,
we cannot claim to give a full explanation of why some HRM policies and practices are
culture common and others are culture specic, other than a linkage to demographic and
internal labour market factors or accepted best practice. These ndings answer our
second research question, i.e. which cultural value orientations inuence HRM policy
and practice and to what extent. We have been able to support empirically the aphorism
in the international management literature that some practices are culture specic while
others are culture common. This last point is slightly problematic, given the association
we have observed with ethnic group. Three of the four HR factors have a clear cultural
values root. HR involvement preferences are related to activity thinking values.
Predictability of rewards is related to high activity doing values. Empowerment HR is
related to low relationships hierarchical values. However, one of the factors
preferences for performance vs loyalty-based HRM was intriguingly a values-free
judgement by individuals. Ethnic factors played a role here. It is important to note that
there were no signicant differences in values between the ethnic groups. It was
membership of certain ethnic groups that was associated with the desire for more
loyalty-based HRM systems presumably because in such situations the elite of the
organization also reects the same ethnic membership and so loyalty is seen to be a
relevant performance criterion. Ethnicity outweighs the set of generic cultural values
examined in this study when questions about the philosophical focus of the HRM
system (and its judgement about the basis of performance i.e. individual competence
or loyalty) come into play. This interaction between ethnicity and cultural values as an
explanation of HRM in a developing country context is a nding that should inform the
design of future studies carried out in this area.
Limitations of the present study
Studies employing only self-report measures face the problem of shared method
variance due to the reliance on a single method of data collection leading to
contamination across the measures. However, self-report measures are the only means
of assessing both individual cultural values and HRM policy preferences. In order to
address this problem the main parts of the questionnaire were differentiated. By using
different response formats in different sections of the questionnaire cross-
contamination was minimized (Schmitt, 1994). To ascertain the level of independence
of the measures, the total dataset across cultural values and HRM preferences was
subjected to a principal components analysis with varimax rotation, revealing the
measures were independent, as no cultural value orientation items loaded on HRM
preference items and vice versa. Further, since individual responses to the ques-
tionnaires were anonymous, method bias due to social desirability is minimized
(Oppenheim, 1992).
Conclusion
HRM is not an exogenous phenomenon, as national culture, structure, and other
contingent factors affect it (Hofstede, 1993; Chandler, 1962; Hickson et al., 1974). The
ability for an organization to reduce the mist between employee preference and actual
practice has a signicant impact upon perceptions of need satisfaction among
employees. The consequences of a major mist may take any of a number of forms of
organizational malaise, such as widespread alienation (Blunt, 1982), high labour
turnover, absenteeism, or damage to company property (Blunt and Popoola, 1985).
Minimization of the gap between employee preferences and actual practice could lead
to high levels of job satisfaction and organizational commitment (Sparrow and Wu,
1998). This study shows one way in which such preferences could be predicted from
cultural values. Such inuence can be linked to management policy and practice and
ndings related to some desirable outcome like job involvement or organizational
commitment. More meaningful cultural values emerge when using pure cultural value
orientation scales, rather than the Hofstede-type bipolar dimensions. Further, we have
argued that concentrating on the structure of items within work-related preference
measures across national samples is not sufcient. At the individual level, this research
examined relationships between cultural value orientations and HRM policy and
practice preferences in Kenyan organizations. This is a step towards helping
international managers adjust HRM policies to match employee expectations. We have
shown that culture (via its proxy of value orientations) can be studied separately from
other national elements. When this is done we are able to see which value orientations
are held by Kenyans and which of these value orientations impact on HRM policy and
practice and to what extent. Here, HRM preferences reected a cultural interpretation
leading to the conclusion that adapting American models with US-based values to
developing economies is not appropriate. It is important for the international manager
to know which value orientations are held by a people of a particular country or region
and to what extent those value orientations inuence work preferences. Then the
international manager operating in a particular country will know how to realign
management policy practice with preference.
This empirical examination of the Kenyan work preferences raises a number of issues
for future research. First, a better, understanding of HRM policy preferences can be
gained by examining employees cultural values. Second, the ndings show that, to
develop the area of comparative HRM, it is necessary to understand HRM from an
African context. This calls for more studies in other African countries especially, Sub-
Saharan Africa. Third, the ndings question the applicability of US models of HRM
like the Harvard model to international research in general, and developing countries in
particular as the HRM preferences were predicted by cultural values. This suggests an
agenda for future research in developing countries, in that it is important to determine
the likely consequences of mis-match between HRM policies, preferences and cultural
values.
Notes
1 Research assistants were given prior training covering the items in the questionnaire and on
how to respond to possible questions from respondents. They all had some research
experiences.
2 Ethnic group was coded and analysed as a dummy variable.
Appendix 1
In this paper, we assume the factor structure for the value orientations scale presented
by Maznevski and DiStefano (1995). This is because of the larger size and wider
geographical range of their sample, which would ensure greater variance among the
items. Within one country, it is more likely that there will be a restriction of range in
the items, which will affect the inter-item correlations and hence the factor structure of
the items for that country. Bearing these limitations of within-country analyses in mind,
we nevertheless conducted some analyses to help establish the construct validity of the
value orientations questionnaire within this Kenyan sample.
It was not possible to conduct exploratory or conrmatory factor analyses on the
entire scale: given seventy-nine items in the value orientations scale and a sample of
less than 300, the ratio of respondents to variables is , 4. This ratio is then not suitable
for multivariate analyses (Tabachnik and Fiddel, 1983). Therefore, we conducted
exploratory principal components analyses (PCAs) on each set of items within a given
domain (activity, human nature, human relationships, relationships to nature). For these
analyses, we chose PCA with oblique rotation (OBLIMIN) rather than conrmatory
factor analysis (CFA) because we were initially unsure whether the items would
conform to theoretical expectations, given the problems outlined above on restriction of
range. PCA is then useful here for two reasons (Hurley et al., 1997). First, unlike CFA,
PCA is able to uncover non-hypothezised cross-loadings. Second, the provision of
eigenvalues in PCA provides direct diagnostic information on the number of factors
underlying the data. Therefore, PCA provides a number of diagnostics to allow us both:
to examine any discrepancies between the structure of the items in this sample and the
structure reported by Maznevski and DiStefano, (1995); and to change the composition
of the scales if discrepancies were too great. Further, CFA using single item indicators
can be problematic (Kelloway, 1995), especially given single-item indicators are likely
to have small but non-zero loadings on other factors, which could bias t indices in
CFA (Hurley et al., 1997). Oblique rotation was chosen as we expected the factors to
correlate.
In each case, scree plots indicated the expected number of factors underlying the
items in each domain (i.e., three factors for activity, human relationships and
relationships to nature, two factors for human nature). We considered an item to load on
a factor if it had both its highest loading on that factor and the loading exceeded .30. In
each of the domains, for both pattern and structure matrices, over 90 per cent of the
items loadings were consistent with the factor structure reported by (Maznevski and
DiStefano, 1995). Full details of these analyses are available from the authors.
After these exploratory analyses, as an additional check on the structure of the data,
we constructed thirty-two parcels, or two- or three-item indicators scales for each of
the eleven scales. These multiple item indicators are less problematic for CFA
(Kelloway, 1995), especially as shared variance among the items comprising the parcel
is more likely to reect a single latent variable accurately. Each scale had three
indicators associated with it, except human nature changeable, which had two scales,
comprising two items and three items respectively. These multiple item indicators were
then used in a CFA to check the indicators conformed to the expected eleven-factor
structure. A model was specied in which each indicator loaded on its hypothezised
factor, and factors were allowed to correlate. Factor variances were set to 1, to identify
the model. CFA was conducted on the covariance matrix using the EQS programme
(Bentler, 1993). Maximum likelihood estimation was used, with robust statistics
because of non-normality in the data. The eleven-factor model indicated acceptable t
(robust Comparative Fit Index
5
0.91). Each indicator loaded on its hypothesised factor
in the expected direction (p , .00001).
We then chose to adopt the scales as described by Maznevski and DiStefano (1995)
for two reasons. First, the convergence between this sample and the expected pattern of
loadings, especially when taken in context of likely range restriction in Kenya. Second,
by using the original scales, it is then easier to make comparisons between this study
and others.
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