Organizational Culture and Human Resource Management Practices

The Model of Culture Fit postulates that the sociocultural environment affects the internal work culture, which in turn influences human resource management practices. This model was tested by two independent cross-cultural studies comparing Indian and Canadian managers and employees. In assessing sociocultural environment and internal work culture, the “participant” technique was used in Study 1 (the respondents indicated their own beliefs and assumptions), and the “observant” technique was used in Study 2 (the respondents indicated beliefs and assumptions of the majority of individuals in society). In both studies, India scored higher than Canada on paternalism, power distance, uncertainty avoidance, loyalty toward community, reactivity, and futuristic orientation. Indian employees reported having less enriched jobs than did Canadian employees. Mediated multiple regression analyses supported the Model of Culture Fit. Results suggest that the paternalism, self-reliance, and employee participation constructs merit further exploration, as does participant methodology.