Do national cultural differences affect the nature and characteristics of HRM practices? Evidence from Australian and Hong Kong construction firms on remuneration and job autonomy

Human resource management (HRM) plays a pivotal role in attracting and retaining talents. However, there is growing recognition in international HRM literature that the adoption of the widely accepted US/Harvard-inspired HRM model ignores the influences of cultural contexts on HRM practices in different countries. This notion has not been empirically investigated in the construction industry. Based on survey responses from 604 construction professionals from Australia and Hong Kong, this study examines whether: (i) national cultural differences influence individuals’ preference for types of remuneration and job autonomy, (ii) actual organizational HRM practices reflect such preferences and (iii) gaps between individuals’ preferences and actual organizational HRM practices affect job satisfaction. Results showed significant difference in HRM preferences between Australian and Hong Kong respondents and these are reflected in the distinct types of HRM practices adopted by construction firms in the two countries. Findings further indicated that the gap between individuals’ preferences and actual organizational HRM practices is associated with job satisfaction. The results support existing mainstream research and highlight the deficiency of the acultural treatment of HRM that is still apparent in construction management literature. An uncritical literature in the area not only hinders theory development but also potentially undermines the ability of construction firms to attract, recruit, and retain scarce talents.

Best practice in the training, appointment and remuneration of members of dispute boards for large infrastructure projects

This paper reports part of a qualitative study into evolving practice in the implementation of the Dispute Adjudication Board (DAB) construction dispute resolution technique, a variant of the Dispute Review Board (DRB) concept used in the US and Canada. Data was collected through a focus group interview of 20 highly experienced dispute resolution practitioners from engineering and the law. The group was assembled from members of FIDIC-NET with direct experience of project DABs. The part reported here concerns practice and procedure for establishing DABs. The main findings are that: constitution of the DABs is often delayed because of either project owners' ignorance of the DAB process or deterrence by the cost of the DABs; such owners also tend to insist on appointing DAB members from local engineers and lawyers without sufficient understanding of the DAB process; rates of remuneration of DAB members vary widely; the training provision for DAB membership and advocacy skills is inadequate; the process of selecting candidates for DAB membership and negotiating the tripartite agreement between each member and the contractual parties needs to be navigated with great care to avoid raising ethical problems. The research contribution is threefold. First, it highlights the importance of realistic fees for DAB members within a standard framework in achieving timely establishment of a board that works well as a team. Second, it illustrates the use of qualitative focus group interview to study the impact of new contract terms from multiple stakeholder perspectives. Finally, it identifies areas where further research is needed.

Principal-agent issues in asset acquisition: UK institutions and their investment agents

This paper explores principal‐agent issues in the stock selection processes of institutional property investors. Drawing upon an interview survey of fund managers and acquisition professionals, it focuses on the relationships between principals and external agents as they engage in property transactions. The research investigated the extent to which the presence of outcome‐based remuneration structures could lead to biased advice, overbidding and/or poor asset selection. It is concluded that institutional property buyers are aware of incentives for opportunistic behaviour by external agents, often have sufficient expertise to robustly evaluate agents’ advice and that these incentives are counter‐balanced by a number of important controls on potential opportunistic behaviour. There are strong counter‐incentives in the need for the agents to establish personal relationships and trust between themselves and institutional buyers, to generate repeat and related business and to preserve or generate a good reputation in the market.

Income differentials and corporate performance

Purpose – This paper seeks to make the case for new research into the perceived fairness and impact of executive pay. Design/methodology/approach – The paper reviews the literature regarding executive compensation and corporate performance and examines the evidence that a more egalitarian approach to pay could be justified in terms of long-term shareholder value. Findings – There would appear to be no evidence to suggest that the growing gap between the pay of executives and that of the average employee generates long-term enterprise value, and it may even be detrimental to firms, if not the liberal capitalist consensus on which the corporate licence to operate is based. Research limitations/implications – The paper outlines a new approach to tracking income differentials with corporate performance through the development of a corporate Gini coefficient “league table”. Social implications – The proposed research is expected to point towards better practice in executive remuneration, and support the growing momentum for a sustainable and enlightened approach to business, in which the key goal is long-term enterprise value based on a fair distribution of the rewards of business. Originality/value – In producing a deeper understanding of the impact of widening income differentials, the paper should be of interest to senior executives in publicly quoted companies as well as press commentators, government officials and academics.

Education and training futures in horticulture and horticultural science

Horticultural knowledge and skills training have been with humankind for some 10,000 to 20,000 years. With permanent settlement and rising wealth and trade, horticulture products and services became a source of fresh food for daily consumption, and a source of plant material in developing a quality environment and lifestyle. The knowledge of horticulture and the skills of its practitioners have been demonstrated through the advancing civilizations in both eastern and western countries. With the rise of the Agricultural Revolutions in Great Britain, and more widely across Continental Europe in the 17th and 18th centuries, as well as the move towards colonisation and early migration to the New Worlds, many westernised countries established the early institutions that would provide education and training in agriculture and horticulture. Today many of these colleges and universities provide undergraduate, postgraduate and vocational and technical training that specifically targets horticulture and/or horticultural science with some research and teaching institutions also providing extension and advisory services to industry. The objective of this chapter is to describe the wider pedagogic and educational context in which those concerned with horticulture operate, the institutional structures that target horticulture and horticultural science education and training internationally; examine changing educational formats, especially distance education; and consider strategies for attracting and retaining young people in the delivery of world-class horticultural education. In this chapter we set the context by investigating the horticultural education and training options available, the constraints that prevent young people entering horticulture, and suggest strategies that would attract and retain these students. We suggest that effective strategies and partnerships be put in place by the institution, the government and most importantly the industry to provide for undergraduate and postgraduate education in horticulture and horticultural science; that educational and vocational training institutions, government, and industry need to work more effectively together to improve communication about horticulture and horticultural science in order to attract enrolments of more and talented students; and that the horticulture curriculum be continuously evaluated and revised so that it remains relevant to future challenges facing the industries of horticulture in the production, environmental and social spheres. These strategies can be used as a means to develop successful programs and case studies that would provide better information to high school career counsellors, improve the image of horticulture and encourage greater involvement from alumni and the industries in recruitment, provide opportunities to improve career aspirations, ensure improved levels of remuneration, and promote the social features of the profession and greater awareness and recognition of the profession in the wider community. A successful career in horticulture demands intellectual capacities which are capable of drawing knowledge from a wide field of basic sciences, economics and the humanities and integrating this into academic scholarship and practical technologies.