Q. What does the Foxconn case tell us about context issues such as flexibility, out-sourcing and work fragmentation?

Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
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Foxconn has harsh working conditions and the staff is not managed properly. Because suppliers in the buyer-driven commodity chains are subordinate to global brands, there is a military-style work environment.

The competing perspective on HRM at Foxconn is the Normative perspective.

The terms "hard HRM" and "soft HRM," which act as the framework for human resource management, form the basis for the normative perspective on human resource management.

The foundation of the conventional method of human resource management is the idea of "Hard HRM." The Harvard model, which connects personnel management to company strategy, is where this idea first emerged. Hard HRM stresses how functional areas including personnel planning, job analysis, recruitment, remuneration and benefits, performance evaluations, contract negotiations, and labor regulations are connected to business strategy. This prioritizes organizational goals over conflicting aims and workplace interests. It views workers as passive resources that the business is free to use and discard as it sees fit.

Soft HRM, which is the same as the Michigan model of human resources, is the cornerstone of the modern approach to strategic human resource management. In order to increase trust and ensure performance through cooperation, this paradigm places a strong emphasis on organizational development, conflict management, leadership development, organisational culture, and relationship building. Instead of seeing human capital as "resources," it refers to it as "assets." This tactic is based on the idea that what is advantageous to the employer will also be advantageous to the employee.

 

Q. What does the Foxconn case tell us about context issues such as flexibility, out-sourcing and work fragmentation?

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