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"E-HRM strategies in Automotive Industry: A perceptual study"

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“E-HRM strategies in Automotive Industry: A perceptual study”
Dr. Girisha M C
Assistant Professor
Government College(Autonomous),Mandya
giriash.hyr@gmail.com
Phone: 9844507013
INTRODUCTION:
Since last two decades organizations are not only integrating technology to support the
functions of human resource department. But in business everyone uses the human capital,
technology through leveraging. Consequently, human resource as a function has evolved into
human capital management. Whereas, HR was responsible for centralized or decentralized
department. Since the beginning of the internet era, organizations are increasingly integrating
electronic and information technology in the work process through different innovative tools
and techniques. It is a challenging job for an organization to cope up with the new innovative
methods of practices collaborating with technical support. The transformation from HR to
electronic HR shows sustainable and competitive advantage for every organization. The best
contribution of E-HRM was found in knowledge management as it facilitates compilation and
dissemination of explicit and implicit knowledge very effectively and efficiently [1].
The Human Resource function was an early integration of information technology, it spent the
last decade playing to synchronise other business functions in terms of integrating Information
Technology into their business processes. During the 1990’s, organizations had a lack of
experience in using information communication technology for Human Resource
Management. Even though a little difficulty and challenges with other business functions, the
ICT service provider offered new innovative solutions for HRM practices.
Table 1.0: Drivers of E-HRM
Mode of E-HRM Application
Operational E-HRM This type of E-HRM is concerned with Administrative
functions like salary management, payroll, employee personal
data
Relational E-HRM This type of E-HRM is concerned Supportive business
process, activity like recruitment, training performance
management
Transactional Strategic HR activities like knowledge management, strategic
E-HRM re-orientation
(Source- Ms. Menka (2015) E-HRM: An Innovative Tool for Organizational Performance,)
Table gives the aim of characterizing E-HRM into overt types is to show the attributes and
consequences of E-HRM type. This allows the HR department within an organization to make
choice about which application must be implement such as operational, relational and
transactional. Every organization and HR department need to focus on implementing E-HRM
based on their needs and benefits. This changes must gain specific outcomes related to E-HRM
[2].
The figure below shows evolution of E-HRM and decrease in role of HR managers.in this
diagram “A” shows number of HR managers are assigned according to number of employees
in an organisation. Gradually the role of managers replaced with computers and internet of
things. In the “B” diagram the whole organization is taking care by one computer system with
no HR managers. This leads to replacement of Potential Men with Machine.
 Present Future

Fig 1.0: EVOLUTION OF E–HRM

LITERATURE REVIEW
Extensive research has been done on the topic of E-HRM. The common theme that emerges
from the review is that no single theory or approach that defines E-HRM. Many studies have
been conducted from time to time at a national and international level to study the various
aspects of the E-HRM, HR practices, and evolution of HRIS, HRMS, E-HRM, sophisticated
tools for E-HRM.
The majority of organizations have been throwing light on replacement face to face Human
resource management activities with new electronic human resource management. HR
activities required dynamic with operational capabilities to contribute towards effectiveness of
E-HRM. People need to understand E-HRM comprehensively and systematically regarding the
introduction of E-HRM, types of E-HRM, role of E-HRM and factors influencing on E-HRM.
Every company must go for E-HRM practices to succeed and survival in the present global
world. In this article researchers found that E-HRM will reduce the company costs and increase
efficiency of employees, effectiveness and productivity of the company [3- 4].
The human resource management is one of the important functions to deal with the people in
an organization. In the present scenario Information technology, creates drastic changes in the
industrial sector. The HR departments are emerging their entire process into digital way and
creating technical environment. Mainly HRM deals with skill management, salary
management, training methods and other areas. According to this article E-HRM plays a vital
role in an organization in which is more useful for smooth relationship between employees.
The efficiency of the organization is depending on the changes in activity by adoption of
possible technology in different departments. HR professionals have to understand the risk
factor in the implementation of E-HRM such as lack of technical support, lack of experts,
employee’s resistance to change. On the other side they must understand the long run benefits
 for the individuals as well as for the organization. This research concluded with the shifting of
conventional method of HR practices to electronic methods of practices is creating new version
of HR practices [5 -9].
Every HR must behave like change agent in the organization and their roles are very important
in transition period and execution period. In this study the researcher discussed about drivers
of HR changes in MNC. Line managers are partially aware about E-HRM and they take into
consideration but they are not familiar with features and possibilities of E-HRM practices. The
managers are not familiar with the corporations of HR strategies with main objective. Most of
the managers perceived that IT tools is challenging task in HR activities [10 -11].

NEED OF THE STUDY

The primary need for this study is to give attention to current human resources management
practices with application of Information Communication and Technology. Since three
decades, every organization experiencing volatile economic growth and faced immense global
competition, this mandates the organizations to sustain the innovative development in order to
survive.
OBJECTIVES OF THE STUDY

The objectives of the study are to examine the HR managers’ perception towards E-HRM
practices in an automotive industry.
1) To examine the relationship between adoption of E-HRM policy and HR managers’
perception.
2) To understand the relationship between HR managers’ perception and E-Recruitment, E-
Selection practices, E-Training and Development,
3) To examine the relationship between E-HRM performance and HR managers satisfaction.

RESEARCH HYPOTHESES

Hypothesis 1
H0: There is no positive relationship between HR managers’ perception of E-HRM
practices and adoption of E-HRM polices in the automotive industry.
H1: There is a positive relationship between HR managers’ perception of E-HRM
practices and adoption of E-HRM polices in the automotive industry.
Hypothesis 2
H0: There is no positive relationship between HR managers’ perception of E-HRM
practices and Relational E-HRM practices.
H1: There is a positive relationship between HR managers’ perception of E-HRM
practices and Relational E-HRM practices.
Hypothesis 3
H0: There is no positive relationship between E-HRM performance and HR managers’
satisfaction.
H1: There is a positive relationship between E-HRM performance and HR managers’
satisfaction.

RESEARCH DESIGN STUDY AREA AND DATA COLLECTION

The quantitative research design has been done through several statistical methods including
descriptive statistics to count the frequency of the response, reliability analysis to test the data
consistency of the instruments, correlation analysis to assess the relationship between the
variables of the study and independent sample T-test and one way ANOVA used to find the
difference in perception with respect to age.
In this study, the population consists of HR managers working in an automotive industry of
Karnataka. In this study six automotive companies have been chosen for research purpose. The
total population size of selected automotive companies are 211 managers. For the present study
the primary data are collected directly from respondents using offline and online
questionnaires. In this study, 54% of the valid data is collected through offline questionnaire
and remaining 46% were received online. The data collected through questionnaire are used as
input for data analysis.
Table 1.1 : Reliability Statistics
Cronbach's Alpha No. of Items
0.936 80
(Source: Primary data)
Table 1.1 clearly defines the Cronbach’s Alpha Coefficient reliability test was 0.936. This
shows that the reliability is above 0.70, which means there is good consistency in the scale
data. From the results is shown that further parametric and non-parametric analysis can be
conducted.
Testing of Hypothesis:
Table 1.2: Correlation between adoption of E-HRM policy and HR managers’
perception
Correlations
E-HRM Policy Employees’ perception

E-HRM Policy Pearson Correlation 1 .794**

Sig. (2-tailed) .000
N 211 211
Employees’ Pearson Correlation .794** 1
perception Sig. (2-tailed) .000
N 211 211
**. Correlation is significant at the 0.01 level (2-tailed).
(Source: Primary Data)
Interpretation:
Table 1.2 represents that relationship between adoption of E-HRM policy and HR managers’
perception. The above analysis shows that there is a positive correlation 0.794 between E-HRM
policy and HR managers’ perception. The p value 0.000 which is less than 0.05 which shows
a significant and positive relationship. Hence, the null hypothesis is rejected and the
alternative hypothesis is accepted.
Table 1.3: ANOVA result of HR managers’ perception on adoption of E-HRM policy
with respect to age
HR managers’ perception
Sum of Df Mean F Sig.
Squares Square
Between Groups 3.547 3 1.182 5.949 0.001
Within Groups 170.544 208 0.199
Total 174.091 210
(Source: Primary Data)
Interpretation:
The above table 1.3 indicates that F value 5.949 which is greater than critical value of F
distribution at 5% significant level i.e., 2.60 for degrees of freedom 3. There is a difference in
perception of HR managers’ with P value 0.001, which is less than 0.05.

Table 1.4: Correlation between HR managers’ perception and Relational E-HRM

practices

HR managers Relational E-HRM

perception
HR managers Pearson 1 .116**
perception Correlation
Sig. (2-tailed) 0.001
N 211 211
Relational E-HRM Pearson .116** 1
Correlation
Sig. (2-tailed) 0.001
N 211 211
**. Correlation is significant at the 0.01 level (2-tailed).
(Source: Primary data)
Interpretation:
Table 1.4 represents that relationship between Relational E-HRM practices and HR managers’
perception. The above analysis shows that there is positive correlation 0.116 between
Relational E-HRM and HR managers’ perception. The P value 0.001 which is less than 0.05
which shows there is a significant and positive relationship between HR managers’ perception
and Relational E-HRM practices. Hence, the null hypothesis is rejected and alternative
hypothesis is accepted.

Table 1.5: ANOVA result of HR managers’ perception on Relational E-HRM and age
Perception on Relational E-HRM
Sum of Df Mean Square F Sig.
Squares
Between Groups 5.181 3 1.727 5.361 .001

Within Groups 276.411 208 .322

Total 281.592 210
(Source: Primary data)
Interpretation:
The above table 1.5 indicates that F value 5.361 which is greater than critical value of F
distribution at 5% significant level i.e., 2.60 for degrees of freedom 3. There is a difference in
perception of HR managers’ with P value 0.001 which is less than 0.05.
Table 1.6: Correlation between HR managers satisfaction and E-HRM performance
Correlations
HR managers E-HRM
Satisfaction Performance
HR managers Pearson Correlation 1 .214**
Satisfaction Sig. (2-tailed) .000
N 211 211
E-HRM Pearson Correlation .214** 1
Performance Sig. (2-tailed) .000
N 211 211
**. Correlation is significant at the 0.01 level (2-tailed).
(Source: Primary data)
Interpretation:
The above table 1.6 represents that there is a positive relationship between HR managers’
satisfaction and E-HRM performance in the automotive industry. Correlation coefficients is
0.214 and p value 0.000 which is less than 0.05. There is a significant and positive relationship
between E-HRM performance and HR managers’ satisfaction. Hence, the null hypothesis is
rejected and alternative hypothesis is accepted.

Table 1.7: Regression analysis between E-HRM performance and HR managers’

satisfaction
Independent variable HR managers Satisfaction
Standardized t p
Beta
E-HRM performance 0.214 6.428 0.000
Adjusted R2 0.45
F value 41.319
(Source: Primary data)
Interpretation:
The table 1.7 regression analysis shows that the relationship between E-HRM performance and
HR managers’ satisfaction. The standardized beta identified 0.214 which means 21.4% of the
total variance in satisfaction could be explained by E-HRM performance. F- Ratio was 41.319,
which is a significant with p value 0.000, which is less than 0.05. The result indicated that the
E-HRM performance has a positive and significant influence on HR managers’ satisfaction.
Table 1.8: Overall Result analysis
Automotive HR Managers HR Managers HR managers
companies Awareness Perception Satisfaction
Tata Marcopolo Good level Agree Satisfied
Toyota Good level Agree Satisfied
Bosch Good level Agree Satisfied
TVS Moderate level Neither agrees nor Neither satisfied nor
disagree dissatisfied
JK tyre Good level Agree Satisfied
Volvo Good level Agree Satisfied
(Source: Primary data)
Interpretation:
The above table 1.8 reveals that HR managers have good awareness, perception and satisfaction
regarding E-HRM practices in five automotive industry i.e., Tata Marcopolo, Toyota
Bangalore, Bosch India, JK Tyres, Volvo groups India, but there is moderate level of
awareness, perception and neither satisfied nor dissatisfied level of satisfaction in employees
of TVS Motors Pvt Ltd.
FINDINGS
1. The statistical analysis regarding adoption of E-HRM policy and HR managers’ perception
reveal that they are positively correlated with a coefficient of correlation 0.794 and their P
value is significant 0.000. This shows there is a significant and positive relationship
between HR managers’ perception and adoption of E-HRM policy. The present study
shows that 88% of the respondents are in favour towards adoption of E-HRM policy in the
automotive industry.
2. The statistical analysis regarding relational HRM practices and perception of HR
managers’’ reveals that they are positively correlated with correlation coefficient 0.116
with p value 0.001. The results represent that there is a significant and positive relationship
between HR managers’ perception and relational HRM practices. The present study shows
that 88% of the respondents are in favour of relational HRM practices.
3. The study reveals that there is a significant and positive relationship between HR managers’
satisfaction and E-HRM performance. Correlation 0.214 with p value 0.000, which shows
a significant and positive relationship. HR managers’ satisfaction is most important to
execute the E-HRM practices at every level of management. If HR managers are satisfied
with new innovation in HRM practices, there will be a success for the organization.
4. Satisfied HR managers willing to work with enthusiastically with new technology. The
changes in technology with user friendly increases the satisfaction of managers and this
will proceed to E-HRM productivity and cost efficiency in the organization.
5. Managers of five automotive companies are satisfied with E-HRM performance except
TVS motors company managers. This is because they are not well aware about E-HRM
and their perception is not favourable regarding E-HRM practices so they are moderately
satisfied by existing E-HRM practices, such as E-Compensation and performance in the
TVS motor company.

SUGGESTIONS

1) Motivate the every individuals to adopt E-HRM practices.

2) Introduce Efficient and Skilled Trainer.
3) Value Addition to organization.
4) User friendly.
5) Standardized and consistent policy.
6) Error free systems
CONCLUSION
HRM is a multi-dimensional activity which consists of different ways of learning in an
organization. In recent years E-Training is more attractive for every learning process. In this
industry 4.0 every individual looking for E-training. The analysis shows that the perception of
HR managers’ in E-HRM is acceptable in relational E-HRM practices but there is differences
in opinion regarding strategic HRM. Organization must change the mind-set of the HR
managers by providing valuable training regarding innovative HR practices. In this situation
 management could take more pro-active role on reshaping the perception HR managers’ on E-
HRM through interactive method.
REFERENCES
[1] Bhagawan Chandra sinha “The impact of E-HRM: a study of select Indian organization”
lovely professional university 2015.
[2] Menka, (2015) “E-HRM An innovative for organizational performance” Indian journal of
applied research,vol 5, issue 2, feb 2015.
[3] Lepak, D.P. and Snell, S.A. (1998) Virtual HR: Strategic Human Resource Management
in the 21st Century. Human resource Management Review, 8, 215-234.
[4] Davoudi, S.M.M., and Fartash, K., 2012,Electronic Human Resource Management: New
Avenues Which Leads To Organizational Success, Spectrum:A Journal of
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[5] Rajalakshmi M, Dr. S. Gomathi A REVIEW ON E-HRM: ELECTRONIC HUMAN RESOURCE
MANAGEMENT Paripex-Indian Journal Of Research, Volume : 5 | Issue : 8 | August 2016
[6] Neelam Kumari (2018) “The impact of E-HRM on HR professionals in India: an empirical
study in reference to Knight frank India Pvt. Ltd”
[7] Zoltan-majo (2007) “E-HRM-the-world of phenomena of electronic human resource
management the web solution of hr” phd-thesis University of Szeged 2007
[8] Ashbaugh, S., & Rowan, M. (2002). Technology for human resources management:
Seven questions and answers. Public Personnel Management, 31 (1), 7
[9] Bondarouk, T., Harms, R., & Lepak, D. (2015). Does E-HRM lead to better HRM service?
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[10] Ngo Thi Vo Ha (2011) “The impact of E-HRM on the roles and competences of HR”
International Business, Vaasa 2011.
[11] Tarja Moilanen (2013), Lappeenranta University of Technology LUT, School of
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line managers Examiners Pia Heilmann and Mika Vanhala.

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