The application of high performance work system in MNCs-Evidence from expatriate and host-country national of Taiwanese subsidiaries stationed in China

• Main Authors: Chu-Chun Hsu, 許竹君
• Other Authors: Hsi-an Shih
• Format: Others
• Language: en_US
• Published: 2009
• Online Access: http://ndltd.ncl.edu.tw/handle/03119588484763634009

博士 === 國立成功大學 === 國際企業研究所碩博士班 === 97 === This study explores the effects of MNC implementation of high performance work system (HPWS) for their employees, including expatriates and host-country nationals. With survey data from 49 senior executives, 174 expatriates, and 1084 host-country nationals in 49 Taiwanese MNCs operating in China, this study investigates into expatriate (study 1) and host-country national (study 2) separately to test the whole research framework. Expatriate data were collected on (1) perceived human resource management (HRM) practices concerning “high performance work system”, (2) perceived work-family conflict, (3) job satisfaction, and (4) supervisor ratings of expatriate job performance. Structural equation modeling technique helps us examine in one model the interdependent relationships among high performance work system, work-family conflict, and expatriate performance in their host-country. Our results show that an high performance work system is positively related to expatriate satisfaction and performance. However, an high performance work system is also positively related to expatriate work-family conflict, which in turn is negatively related to expatriate satisfaction and performance. Our findings remind managers that a high performance work system may produce multiple effects on various dimensions of employee work life, and not all of these effects may be positive. For HCNs, this study uses the structural equation modeling technique to examine the interdependent and simultaneous relationships between MNC implementation of high performance work system with host-country nationals, the formation of a relational psychological contract, work involvement, and host-country national performance. The results show that MNCs can expect better performance from host-country nationals by implementing high performance work system with these workers. HPWS can induce host-country nationals’ formation of relational psychological contracts with the MNC, which promotes their work involvement and improves their job satisfaction/performance. Implications and limitation of this study are discussed.