HRD system in India: conceptual framework, measure development & model fit.

Jain, Ravindra ; Premkumar ; Kamble, Sachin 等

Introduction

With reference to Indian organizations, two HRD conceptualizations have been highlighted-one by Rao (1986) and the other by Kandula (2001). Rao (1986) presented illustrative lists of HRD mechanisms, process variables, process outcomes and organizational effectiveness dimensions in a schematic presentation. Kandula (2001) developed a conceptualization of strategic HRD system which consists of two broad components, i.e., strategic HRD practices and strategic HRD facilitators. We combined both the frameworks and further enlarged the same by adding the influence of management styles on HRD practices. Further, we tested the validity and reliability of the four scales adapted for the purpose and finally we tested the model fit by applying Structural Equation Modeling.

Earlier research indicates that HRD system, processes and practices intended to incremental development of employees' competencies/commitment and change in organizational climate are positively related to various parameters of organizational performance such as employee turnover (Singh, 2000; Batt, 2002), increased productivity (Guzzo, Jettie & Katzell, 1985; Ichniowski, 1990; MacDuffie, 1995), payoff in terms of bottom-line financial performance (Radford & Kove, 1991; Flynn, 1994; Huselid, 1995), greater commitment (Agrawal, 2003; Gong, Law, Chang & Xin, 2009), higher safety performance (Zacharatos, Barling & Iverson, 2005), better service performance (Chuang & Liao, 2010) etc. Thus, in extant research, HRD system has been found positively associated with different outcomes that range from very proximal (i.e. productivity enhancement) to more distal (i.e. profitability). However, the mechanisms linking HRD and HR outcomes appear fragmented in earlier research. For such a linkage, various perspectives that have been frequently adopted by previous researchers mainly include behavioral perspective, human capital and resource based perspective, and holistic perspective. For example, Yeung & Berman (1997) have identified three paths through which HRD practices contribute to business performance: by building organizational capabilities, by improving employee satisfaction, and by shaping customer and shareholder satisfaction. Kandula (2001) made a survey of fifty-nine Indian organizations representing twenty different industries to study HRD practices and found moderate status with almost equal status to all the study variables (HRD mechanisms) in the studied organizations. In his study, all the study variables (HRD mechanisms) were found to have significant and positive correlation with each other. Jiang, Hu & Baer (2012) found that three dimensions of HR systems (i.e., skill-enhancing, motivation enhancing, and opportunity-enhancing HR practices) were positively related to human capital and employee motivation in different patterns in such a way that, compared with the other two HR dimensions, skill-enhancing HR practices were more positively related to human capital and less positively related to employee motivation. In addition, human capital and employee motivation mediated the relationships between three HR dimensions and voluntary turnover and operational outcomes, which in turn related to financial outcomes. In extant research, mainly additive approach has been adopted in order to measure the impact of HR mechanisms on HR outcomes; however, in recent studies (e.g., Gong, Law, Chang & Xin, 2009; Subramony, 2009; Batt & Colvin, 2011), it is argued that different sets of HR practices or different components of HR system may have differential effects on the HR outcomes.

Conceptual Framework

We developed a conceptual framework of HRD system which is visualized in Fig. 1. A brief description of the key elements of such a framework is being presented here: (1) Functioning of HRD department, employee training, performance appraisal, job enrichment, career planning, employee communication, and employees empowerment are the key sub-systems / HRD mechanisms.(2) Concerns and active support of various stakeholders (viz., top management, line managers & supervisors, individual employees, and employee unions) facilitate the effectiveness of such sub-systems / mechanisms in practice. (3) Participative, altruistic, professional, and organic management styles further facilitate the effectiveness of such sub-systems / mechanisms in practice. (4) Effective functioning of such HRD sub-systems / mechanisms has significant positive impacts on productivity and adaptability of human resources. Obviously, productivity and adaptability of human resources are the important indicators of organizational performance.

[FIGURE 1 OMITTED]

Key Variables Studied

HR Effectiveness: The key indicators of organizational performance include increments in productivity, adaptability, and commitment of organization's human resources. If human resources contribute to transferring inputs into outputs at the lowest cost and thus contribute to the achievement of organizational goals, the human resources will be termed as productive. In order to deal with new or changed situation and in this sense adaptability of human resources is the employees' ability and self-efficacy by which they can execute courses of action required to deal with prospective situation and to contribute to introduce necessary changes in internal organizational climate in fine tune with the changes in external environment.

The most important objective of the HRD function is to create a 'learning environment' and 'enabling culture' in the organization HRD Department's Functioning: It is expected from the HRD managers of a separate HRD department that they should work for the cause of HRD in close collaboration with other functionaries in the organization. The most important objective of the HRD function is to create a 'learning environment' and 'enabling culture' in the organization so that each member of the organization continuously learns and acquires new competencies and sharpen the existing competencies.

Employee Training: All organizations are expected to recognize that employee training is a strategic priority rather than a tactical response. For all benefits to be gained, it must be introduced as one of the integrated sub-systems of HRD. There is an increasing recognition that training is a critical system not only for individual effectiveness but also for enhancing organizational effectiveness leading to a more holistic approach to training in practice.

Performance Appraisal: Designing/ re-designing performance appraisal system and its effective implementation need to be considered as a top priority of the management and such processes should be handled with utmost sincerity. Efforts should be made to make the employees feel that the performance appraisal system is not only fair but also that it is being administered in an equitable manner.

Career Planning & Development: Career planning is the process by which one selects career goals and the paths to these goals; the major focus of career planning is on assisting the employees achieve a better match between personal goals and the opportunities that are realistically available in the organization; upward mobility may not be a reality for a large number of employees and hence career planning efforts need to pin point and highlight those areas that offer psychological success instead of vertical growth (Rao, 2000).

Job Enrichment involves three basic elements: elimination of de-motivating tasks from the job, horizontal stretching and vertical loading. Job enrichment involves adding more motivators to a job to make it more rewarding. Job becomes enriched when its nature gives job-holders more powers for planning, execution, control, evaluation and decision making regarding his / her work in an organizational setting

Employee Communication is at the heart of all organizational operations as it is the basis for understanding, co-operation and action. The very vitality and creativity of an organization depends upon the content and character of its communications. Effectiveness of employee communication in an organization can no longer be ensured by hunch, it requires due attention of HRD department and its managers in particular and all other functionaries of an organization in general.

Employee Empowerment is a psychological concept in which people experience four kinds of feelings: (i) feeling of self-determination which consists of freedom, independence and discretion over their work; (ii) feeling of meaningfulness for their work; (iii) feeling of self-efficacy which means their potential effectiveness on their jobs; and (iv) feeling of being active participants in their organizations (Spreitzer, 1995). Job characteristics such as high degree of autonomy, minimum bureaucratic control, high level of task identity, high degree of task significance; effective implementation of job enrichment programs; individual competencies; and organizational factors such as availability of relevant resources to the employees, learning orientation culture, trustworthy & risk taking leaders etc. generally inculcate the feeling of empowerment among employees.

Facilitation by Top Management: The top and semi-Enrichment or executives should have fundamental concepts, assumptions and values regarding humanism, humanization, human processes and human resource development. Each person has unlimited potential to be developed / to develop the required dynamism; dynamic people can build dynamic organizations. Top and senior executives should facilitate this process by planning for it, by allocating organizational resources (including budget provisions) for the purpose, and by exemplifying an HRD philosophy that values human beings and promotes their development (Rao, 1986).

Facilitation by HRD Managers: Competent, committed and credible HRD managers can make others in the organizations capable, dedicated and creditable resources for achieving the goal of organizational excellence. For the purpose, HRD managers are expected to provide expertise on all the issues relevant to HRD to all concerned in the organization.

Facilitation by Line Managers & Supervisors: The HRD Department and line managers & supervisors have the joint responsibility which means they have mutually complimentary & supplementary roles to play in relation to development of the employees (Pareek and Rao, 1986).

Facilitation by Individual Employees: The development of the individual employees requires the following conditions to be satisfied: (i) they should perceive that acquiring new capabilities helps them in fulfilling their psychological needs; (ii) they should be aware of the capabilities they need to develop; (iii) they should perceive opportunities for acquiring such capabilities; (iv) they should have the means to assess their own growth; (v) they should enjoy the process of growth itself (Pareek & Rao, 1986).

Facilitation by Employee Unions: The leaders of employee unions should actively participate in workers' education programs and they should also involve themselves with enthusiasm in various HRD activities. Employee unions and their leaders need to redefine their agenda by making themselves accountable not only for the well-being of employees but also for the health of organizations.

Participative Management Style: The most common form is group decision-making in which the group head does not act as a boss but coordinates and facilitates decision making by the group as a whole. This sort of decision making is based on free and frank discussion, sharing of information and views, generation of many alternatives and the gradual emergence of a consensus view to which everyone feels at least some commitment to the decision made because it has emerged through participation of all concerned (Khandwalla, 1995).

Altruistic Management Style: Altruistic is unselfish concern for other people's happiness & welfare as well as a feeling of compassion for others. Almost all the good management styles have the altruistic base but they are often affected by the organization centered considerations. 'Altruistic Management Style' goes beyond organization centered considerations to larger social concerns and the pursuit of larger ideals / social goals (Khandwalla, 1995). Such social concerns / social goals may include affirmative action for workers' education, training, and development.

Organic Management Style: The managers who practice organic style believe (a) in providing multi-channel & multi-directional information network; (b) in creating widespread awareness of organization's goals, business strategies and action plans among employees at all levels ; (c) in using cross-hierarchical and cross-functional teams; (d) in having flat organizational structure and low formalization; (e) in adopting decentralized decision making; (f) in creating a work environment for nurturing flexibility, transparency, openness, mutual understanding, experimentation, learning, development, creativity & innovation; (g) in exercising control not through positional power but rather by peer pressure and mutual interaction; and (h) in emphasizing greater commitment to the organization's progress, expansion & well being rather than to loyalty to the position holders.

Professional Management Style: The managers who practice professional management style believe (a) in decision-making by formally educated & trained people; (b) in using experts extensively for relevant action researches before decision-making; (c) in giving prime importance to long-term planning and strategy formulation; (d) in formulation, internalization and following of code of professional ethics; (e) in using research and experience based high standardized work-methods and procedures; (f) in exercising control by systematic and sophisticated way; (g) in following an all-pervasive scientific approach for designing and implementation of business strategies; and (h) in using 'management information system (MIS)' for putting all the above mentioned things into action.

Research Methodology

The research work was completed in six phases. In Phase I, review of literature was done. In phase II, keeping the key findings as emerged from the review of literature, a conceptual framework of HRD system as in Fig. 1 was developed. In phase III, measures for relevant variables that were readily available in the published literature were studied. In Phase IV, for measuring the HRD practices regarding various HRD mechanisms and facilitators as well as for measuring the practice of various management styles, already available Likert type scales were selected and later on adapted in consultation with a pool of experts for the purpose of the study. In order to assess the perceived productivity and adaptability of the human resources, Human Resource Effectiveness (Productivity and adaptability) Scale was also developed afresh by the investigators. In phase V, reliability and validity of such measures were tested. In Phase VI, empirical assessment of HRD mechanisms and management styles as being practiced in India was done and the proposed conceptual framework was validated.

The primary data were collected through the administering of the relevant questionnaires to the three hundred executives belonging to both public sector and private sector organizations as well as both manufacturing and service providing organizations in India, the details of which are given in Table 1. Three hundred respondent executives belong to various strata of sex, age-group, qualification levels, and group of varying length of work experience, details of which are given in Tables 2, 3 and 4.

The following four Likert type scales were used to make empirical assessment of the variables studied: (1) HRD Practices Scale; (2) HRD Facilitators Scale; (3) Management Styles Questionnaire; (4) Human Resource Effectiveness (Productivity and Adaptability) Scale. Likert type scales for measuring the HRD practices regarding various HRD practices (HRD mechanisms) and facilitators developed by Kandula (2001) were modified / adapted and the scale for measuring the practice of various management styles developed by Khandwalla (1995) was adapted for the purpose of the study. In order to assess the perceived productivity and adaptability of the human resources, Human Resource Effectiveness (productivity and adaptability) Scale was also developed afresh by the investigators (Premkumar, 2007).

Reliability of various scales / subscales administered have been tested by the method of obtaining reliability coefficient i.e. Cronbach's Alpha (a) scores. Confirmatory Factor Analysis (CFA) was exercised for determining the construct validity of the above mentioned scales / sub-scales. Subsequently, structure equation modeling (SEM) was performed using the AMOS version 6.0 to validate the proposed model.

Reliability of the Measures

In order to test the reliability of various scales / sub-scales administered for the purpose of the study, reliability coefficient i.e. Cronbach's Alpha (a) scores have been obtained. The same are given in Table 5. Reliability coefficient i.e. Cronbach's Alpha (a) scores for various scales / sub-scales were found more than 0.6 (the minimum value that is acceptable as per standard norms) which indicates the reliability of all the measures used for the study.

Confirmatory Factor Analysis (CFA)

CFA was exercised for determining the construct validity of the above mentioned scales / sub-scales. The results of the same are given in Table 6. The acceptable standards for various values for statistical significance of a good model fit are given as: (i) Chi-square/df (cmin/ df) - < 3 good; < 5 sometimes permissible, p - value for the model - >.05; (ii) CFI - > .95 great; > .90 traditional; > .80 sometimes permissible; (iii) GFI >.95; (iv) AGFI > .80; (v) NFI > .90; and (vi) RMR < .10. The results given in Table 6 indicate that the model fit values for all the constructs were found to match such acceptable standards. In view of such observation, it may be concluded that the construct of the various measures adopted for the purpose of the study could be validated well.

Structural Equation Modeling

Subsequently, structural equation modeling (SEM) was performed to test the proposed conceptual framework. SEM fit indices and other relevant details of the SEM are given in Table 7 and Table 8 respectively. The regression values given on the arrows in Fig. 2 reveal the significant positive relationships between the key variables given in the proposed framework which are specified below: (i) Concerns of the various stakeholders and the selected four management styles were found to have significant impact on the HRD sub-systems (HRD mechanisms) as well as on HR effectiveness (productivity and adaptability of human resources); (ii) HR subsystems (HR mechanisms) were also found to have significant impact on organizational effectiveness in terms of HR productivity and HR adaptability; and (iii) The Concerns of the various stakeholders and the selected four management styles were found to have impact on organizational effectiveness in terms of HR productivity and HR adaptability. The model also suggests that there is high covariance (0.99) of the HRD Facilitators between (a) the HRD Facilitators, i.e., facilitation by concerns of various stakeholders and (b) the management styles. On the basis of results given in Tables 7-8 and the regression values given on the arrows in Fig. 2, it may be inferred that the proposed model could be found fit and validated.

Empirical Assessment

As indicated from the results given in Table 9, all the sub-systems (mechanisms) of HRD, viz., Functioning of HRD Department, Employees' Training, Performance Appraisal, Job Enrichment and Career Planning (except a very few, i.e. Employee Communication and Employees' Empowerment) were found to be moderately effective in Indian organizations across the various sectors. Concerns of various stakeholders have also been found to be at moderate level across the sectors as revealed in Table 10. However, the selected four management styles were found to be practiced to low extent in the various organizations (Table 11). Organizational Effectiveness in terms of both 'productivity' and 'adaptability' of human resources was also found at moderate degree (Table 12). Correlation analysis (Table 13) indicates that almost all the dimensions of the HRD sub-systems (mechanisms), concerns of the various stakeholders and the selected four management styles were found to be positively correlated. The above mentioned findings suggest that in the context of Indian organizations management professionals should understand that there exists a dire need to improve the level of HR effectiveness and in order to achieve this goal, there exists an urgent need of continuous improvement in design and implementation of HRD sub-systems (HR mechanisms); Level of concerns of various stakeholders also needs to be enhanced; application of the four management styles also need to be further strengthened.

[FIGURE 2 OMITTED]

Directions for Future Research

Conceptual Framework of HRD System as presented and tested in this paper suggests that management concerns and styles have definite impact on HRD practices as well as on HR effectiveness which in turn contributes to incremental improvements in organizational effectiveness. A few earlier researches (e.g., Delery, 1998; Wright et al, 1994) generally indicate that HR systems / practices do not have direct impact on organizational effectiveness; rather they influence employees' behavior that ultimately has effect on organizational effectiveness.

However, how do the HR practices / systems impact on organizational effectiveness or organizational performance? This issue is still quite less studied in earlier research.

Park, Mitsuhashi, Fey & Bjorkman (2003) in their partial mediating model used employee skills, attitudes and motivation as mediating variables between HR systems and organizational performance. Paul & Anantharaman (2003) indicated that the intervening variables of employee competence, teamwork, organizational commitment and customer orientation affect the organizational performance variables of employee retention, employee productivity, product quality, speed of delivery and operating cost, which then determine financial performance. Guest (2001) used employee satisfaction, commitment, and flexibility as mediating variables. Doty & Delery (1997) argue that HR practices influence organizational performance by creating a workforce that is skilled, motivated and empowered. Bowen & Ostroff (2004) argue that climate constitutes a key mediating factor in the HR-performance relationship.

Jiang, Hu & Baer (2012) examined the effects of three dimensions of HR systems--skills-enhancing, motivation-enhancing, and opportunity-enhancing--on proximal organizational outcomes (human capital and motivation) and distal organizational outcomes (voluntary turnover, operational outcomes, and financial outcomes). Thus, the theoretical logic underlying the mechanisms linking HR and organizational performance remains fragmented. Therefore, "to further exploring mediating mechanisms through which HR practices influence organizational performance" needs to be focused in future research. Further, the earlier research highlights that most studies examining the relationship between HR and organization's performance have been conducted in the US / UK cultures with the exception of a study carried by Katou & Budhwar (2006). They tested a mediation model to examine the link between HR and organizational performance in the Greek manufacturing context and found that the relationship between the HR systems of resource-development and reward-relations, and organizational performance, is mediated through the HR outcomes of skills and attitudes. They further found that HR outcomes partially mediate the relationship between HR systems and organizational performance. To fill such a research gap it is meaningful for future researchers to further explore mediators of the relationship between HRM and organizational performance in non-US / UK contexts also. The present study is a step in this direction and hence it makes a significant value addition to the body of knowledge in the area of HRD. Recent research suggests the heterogeneous effects of the components of HR systems on organizational performance parameters (e.g., Batt & Golvin, 2011; Gardner, Wright & Moynihan 2011; Gong, Law, Chang & Xin, 2009; Liao, Toya, Lepak, & Hong, 2009; Shaw, Dineen, Fang, & Vellella, 2009; Subramony, 2009). Different HRD sub-systems may have unique relationships with specific organizational performance indicators. HR practices are not only distinct, but also operate via different pathways (Jiang, Hu & Baer, 2012). Therefore, additional research to explore the influence of the specific HR sub-system needs to be taken up to advance knowledge of the relationship between HR and organizational performance.

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Ravindra Jain is Professor in Business Management, Faculty of Management Studies, Vikram University, Ujjain 456010. E-mail: jainravindrak@rediffmail.com. Premkumar (E- mail:premilango@gmail.com,) is Registrar & Sachin Kamble (E-mail:kamblesss@yahoo.com) is Associate Professor (Operations Management), National Institute of Industrial Engineering (NITIE), Mumbai 400087.

Table 1 Coverage of the Executives in the Sample Survey

Organizational No. of Executives in the Sample Grand Total of
Sector Executives in
 the Sample
 Manufacturing Service Provider
 Organizations Organizations

Private Sector 80 50 130 (43.3%)
 Organizations
Public Sector 106 64 170 (56.7%)
 Organizations
Total 186 (62.0%) 114 (38.0%) 300

Table 2 Age and Gender Profile of the Respondents in the Sample Survey

Age Range No. of Executives Total No. of Executives
(in years) in the Sample in the Sample

 Male Female

Between 25 to 35 73 10 83(27.7%)
Between 35 to 50 165 25 190(63.3%)
Above 50 24 03 27(9.0%)
Total 262 (87.3%) 38 (12.7%) 300

Table 3 A Profile of Educational Qualifications
of the Respondents in the Sample Survey

Qualification Number of Executives
 in the Sample

Matriculation 07(2.3%)
Graduate Degree 163(54.3%)
Post Graduate Degree 70(23.4%)
Professional Diploma 60(20.0%)
Total 300

Table 4 A Profile of Length of Work Experience
of the Respondents in the Sample Survey

Length of Number of
the Executives' Executives in
Work Experience the Sample

Below 05 Years 58 (19.3%)
Between 05 to 10 Years 88 (29.37%)
Above 10 Years 154 (51.4%)
Total 300

Table 5 Results of Reliability Test of Various Scales

Scales No. of Mean S.D.
 Items Value

HRD Practice (HRD Mechanisms)
Sub-scales
Functioning of HRD Department 03 3.148 1.145
Employee Training 05 3.170 1.166
Employees' Performance Appraisal 04 3.156 1.180
Job Enrichment 02 3.301 1.118
Career Planning 04 3.144 1.108
Employee Communication 04 3.144 1.108
Employee Empowerment 02 4.144 0.810
HRD Facilitator Sub-scales
Concerns of Top Management 04 3.318 0.884
Concerns of Line Managers &
Supervisors 04 3.622 0.991
Concerns of Individual Employees 06 3.369 0.995
Concerns of Employee Unions 05 2.795 1.202
Management Styles Sub-scales
Participative Management Style 04 2.9254 .91137
Altruistic Management Style 04 2.8746 .91681
Professional Management Style 06 2.8112 .89339
Organic Management Style 05 2.8385 .90064
Sub-scales Pertaining to Effectiveness
of Human Resources
Productivity of Human Resources 04 3.477 0.856
Adaptability of Human Resources 04 3.433 1.037

Scales Range of Cronbach's
 Item to Item Alpha (a)
 Correlation Score
HRD Practice (HRD Mechanisms)
Sub-scales
Functioning of HRD Department 0.266 **-0.580 ** 0.724
Employee Training 0.097-0.522 ** 0.701
Employees' Performance Appraisal 0.012-0.378 ** 0.689
Job Enrichment 0.331 ** 0.531 ** 0.691
Career Planning 0.275 **-0.454 ** 0.667
Employee Communication 0.275 **-0.554 ** 0.782
Employee Empowerment 0.780
HRD Facilitator Sub-scales
Concerns of Top Management 0.640 **-0.640 ** 0.654
Concerns of Line Managers &
Supervisors 0.179 *-0.647 ** 0.647
Concerns of Individual Employees 0.007-0.547 ** 0.527
Concerns of Employee Unions 0.031-0.510 ** 0.796
Management Styles Sub-scales
Participative Management Style 0.230 **-0.684 ** .871
Altruistic Management Style 0.275 **-0.657 ** .880
Professional Management Style 0.311 **-0.649 ** .895
Organic Management Style 0.154-0.723 ** .910
Sub-scales Pertaining to Effectiveness
of Human Resources
Productivity of Human Resources 0.350 **-0.593 ** 0.768
Adaptability of Human Resources 0.414 **-0.661 ** 0.805

Notes: ** Correlation is significant at 0.01 level (2-tailed).
* Correlation is significant at 0.05 level (2-tailed).

Table 6 Confirmatory Factor Analysis: Construct Validity Test of
Various Scales(All the constructs are with initial model fit values)

Scales No. of Range of CFI
 Items Standard
 Loadings
HRD Practice (HRD Mechanisms)
Sub-scales
Functioning of HRD Department 03 0.373-0.814
Employee Training 05 0.214-0.801 0.989
Employees' Performance Appraisal 04 0.363-0.676 0.892
Job Enrichment 02 0.525-0.631
Career Planning 04 0.456-0.694 0.96
Employee Communication 04 0.315-0.633 0.938
Employee Empowerment 02 0.781-0.820
HRD Facilitator Sub-scales
Concerns of Top Management 04 0.399-0.740 0.869
Concerns of Line Managers & 04 0.166-0.771 0.935
Supervisors
Concerns of Individual Employees 06 0.176-0.723 0.945
Concerns of Employee Unions 05 0.559-0.829 0.936
Management Styles Sub-scales
Participative Management Style 10 0.415-0.802 0.917
Altruistic Management Style 9 0.524-0.805 0.930
Professional Management Style 9 0.625-0.773 0.924
Organic Management Style 14 0.585-0.730 0.918
Sub-scales Pertaining to
Effectiveness of Human Resources
Productivity of Human Resources 04 0.553-0.787 0.94
Adaptability of Human Resources 04 0.614-0.872 0.959

Scales GFI NFI RMR CMIN/
 DF

HRD Practice (HRD Mechanisms)
Sub-scales
Functioning of HRD Department
Employee Training 0.983 0.948 0.031 1.249
Employees' Performance Appraisal 0.972 0.872 0.081 4.224
Job Enrichment
Career Planning 0.938 0.932 0.19 0.340
Employee Communication 0.981 0.912 0.059 2.709
Employee Empowerment
HRD Facilitator Sub-scales
Concerns of Top Management 0.948 0.859 0.068 8.192
Concerns of Line Managers & 0.969 0.921 0.051 4.512
Supervisors
Concerns of Individual Employees 0.973 0.885 0.054 1.676
Concerns of Employee Unions 0.953 0.915 0.077 3.629
Management Styles Sub-scales
Participative Management Style 0.901 0.869 0.055 2.423
Altruistic Management Style 0.907 0.888 0.050 2.448
Professional Management Style 0.906 0.887 0.043 2.714
Organic Management Style 0.876 0.852 0.051 2.012
Sub-scales Pertaining to
Effectiveness of Human Resources
Productivity of Human Resources 0.997 0.995 0.009 0.376
Adaptability of Human Resources 0.966 0.950 0.041 4.873

Table 7 Results of Structural Equation Modeling

[x.sup.2] (d.f.) 911.732
P .000
CMIN/ DF 3.08
NCP 798.732
RMR 0.081
RMSEA 0.224
CFI 0.864
NFI 0.678
GFI 0.962

Table 8 Model Summary

[right arrow] Estimate S.E. C.R. P

HRD Facilitators (HRDF) [right .910 .157 13.746 ***
arrow] HRD Practices (HRD
Mechanisms) (HRDP)

Management Styles (MS) [right .885 .011 16.390 ***
arrow] HRD Practices (HRD
Mechanisms)

HRD Practices (HRD Mechanisms .889 .314 8.920 ***
[right arrow] HR Effectiveness

HRD Facilitators [right arrow] HR .971 .261 7.134 ***
Effectiveness

Concerns of Top Management (HRDF) .873 .071 12.210 ***
[right arrow] HRD Facilitators (as
a whole)

Concerns of Line Managers & 5.270 .398 13.245 ***
Supervisor (HRDF) s [right arrow]
HRD Facilitators (as a whole)

Concerns of Individual 1.000
Employees(HRDF) [right arrow] HRD
Facilitators (as a whole)

Concerns of Employee Unions (HRDF) .873 .071 12.210 ***
[right arrow] HRD Facilitators
(as a whole)

Participative Management Style .771 .045 17.306 ***
[right arrow] Management Styles (as
a whole)

Altruistic Management Style [right .992 .044 22.462 ***
arrow] Management Styles (as a
whole)

Professional Management Style .953 .050 18.909 ***
[right arrow] Management Styles (as
a whole)

Organic Management Style [right 1.000
arrow] Management Styles (as a
whole)

Functioning of HRD Department .110 8.966 ***
[right arrow] HRD Practices (HRD
Mechanisms) .987 (HRDP) (as a
whole)

Employee Training [right arrow] HRD .866 .098 8.857 ***
Practices (HRD Mechanisms) (HRDP)
(as a whole)

Performance Appraisal [right arrow] 1.160 .133 8.690 ***
HRD Practices (HRD Mechanisms)
(HRDP) (as a whole)

Job Enrichment [right arrow] HRD 1.187 .153 7.773 ***
Practices (HRD Mechanisms) (HRDP)
(as a whole)

Career Planning [right arrow] HRD 1.000
Practices (HRD Mechanisms) (HRDP)
(as a whole)

Employee Communication [right .972 .129 7.554 ***
arrow] HRD Practices (HRD
Mechanisms) (HRDP) (as a whole)

Employee Empowerment [right arrow] 1.083 .152 7.130 ***
HRD Practices (HRD Mechanisms)
(HRDP) (as a whole)

Productivity of Human Resources .661 .090 7.328 ***
[right arrow] HR Effectiveness

Adaptability of Human Resources 1.000
[right arrow] HR Effectiveness

*** stands for statistiecly statistically significant relationship
at .01

Table 9 The Extent of Effectiveness of the HRD Sub--Systems

Various Sub-systems of HRD Mean Values S.D. Extent of HRD System
 (N = 300)
 Effectiveness
Functioning of HRD Deptt. 3.09 1.01 Moderate Extent
Employee Training 3.00 0.69 Moderate Extent
Performance Appraisal 3.12 0.73 Moderate Extent
Job Enrichment 3.01 0.66 Moderate Extent
Career Planning 3.08 0.74 Moderate Extent
Employee Communication 2.79 0.82 Low Extent
Employees Empowerment 2.86 0.80 Low Extent

Table 10 The Extent to which the HRD Facilitators are Effective

Various Dimensions of HRD Mean Value S.D. Extent of
Facilitators (N = 300) Effectiveness
 of HRD
Facilitators
Concern of Top Management 3.62 .66 Moderate Extent
Concerns of Line Managers & 3.68 .74 Moderate Extent
 Supervisors
Concerns of Individual 3.53 .94 Moderate Extent
 Employees
Concerns of Employees Unions 3.25 .62 Moderate Extent

Table 11 The Extent of Effectiveness to which the Four Management
Styles Practiced

Management Style Mean Value S.D. Extent of which the
 (N = 300) Four Management
 Styles Practiced

Participative 2.9254 .91137 Low Degree
Altruistic 2.8746 .91681 Low Degree
Professional 2.8112 .89339 Low Degree
Organic 2.8385 .90064 Low Degree

Table 12 The Perceived Degree of HR Effectiveness

 Mean Value S. D. Perceived Degree of
 (N = 300) Effectiveness

Productivity of Human 3.5 .65 Moderate Degree
 Resources
Adaptability of Human 3.3 .77 Moderate Degree
 Resources
Overall Effectiveness 3.4 .64 Moderate Degree
 of Human Resources

Table 13 Inter-correlations between Various HRD Sub-systems (HRD
Mechanisms) and HRD Facilitators

HRDP and Functioning Training Performance
HRDF of HRD Deptt. Appraisal
Dimensions

Functioning .1
of HRD Deptt
Training .704(**) 1
Performance .683(*) .996(**) 1
Appraisal
Job Enrichment .642(*) .721(**) .835(**)
Communication .739(**) .646(*) .761(**)
Career Planning .528(*) .709(**) .741(**)
Employees .862(**) .611(*) .731(**)
Empowerment
Concern of Top .710(**) .927(**) .605(**)
Management
ConcernofTrade .848(**) .702(**) .602(**)
Union
Concerno .665(*) .805(**) .820(**)
fIndividualEmployees
Concernof .818(**) .706(*) .646(*)
Supervisor
Participative MS .716(**) .661 .750(**)
Altruistic MS .755(**) .455(*) .497(*)
Professional MS .655(*) .474(*) .418(*)
Organic MS .764(**) .431(*) .446(*)

HRDP and Job Communication Career
HRDF Enrichment planning
Dimensions

Functioning
of HRD Deptt
Training
Performance
Appraisal
Job Enrichment 1
Communication .805(**) 1
Career Planning .842(**) .879(**) 1
Employees .886(**) .953(**)
Empowerment
Concern of Top .824(**)) .883(**) .733(**)
Management
ConcernofTrade .867(**) .750(**) .769(**)
Union
Concerno .709(*) .747(**) .832(**)
fIndividualEmployees
Concernof .902(*) .780(**) .735(**)
Supervisor
Participative MS .620(*) .592(*) .708(**)
Altruistic MS .541(*) .393(*) .471(*)
Professional MS .516(*) .454(*) .484(*)
Organic MS .496(*) .403(*) .446(*)

HRDP and Workers Concern of Concern
HRDF Empowerment Top of Trade
Dimensions Management Union

Functioning
of HRD Deptt
Training
Performance
Appraisal
Job Enrichment
Communication
Career Planning
Employees 1
Empowerment
Concern of Top .753(**) 1
Management
ConcernofTrade .718(**) .845(**) 1
Union
Concerno .934 .933(**) .768(**)
fIndividualEmployees
Concernof .856(**) .739(**) .760(**)
Supervisor
Participative MS .658(*) .568(*) .716(**)
Altruistic MS .746(**) .400(*) .460(*)
Professional MS .366(*) .508(*)
Organic MS .771(**) .360(*) .448(*)

HRDP and Concern Concern of Participative
HRDF of Individual Line MS Managers
Dimensions Worker & Supervisor

Functioning
of HRD Deptt
Training
Performance
Appraisal
Job Enrichment
Communication
Career Planning
Employees
Empowerment
Concern of Top
Management
ConcernofTrade
Union
Concerno 1
fIndividualEmployees
Concernof .776(**) 1
Supervisor
Participative MS .640(*) .720(**) 1
Altruistic MS .494(*) .767(**) .759(**)
Professional MS .394(*) .761(**) .760(**)
Organic MS .444(*) .786(**) .690(*)

HRDP and Altruistic Professional Organic
HRDF MS MS MS
Dimensions

Functioning
of HRD Deptt
Training
Performance
Appraisal
Job Enrichment
Communication
Career Planning
Employees
Empowerment
Concern of Top
Management
ConcernofTrade
Union
Concerno
fIndividualEmployees
Concernof
Supervisor
Participative MS
Altruistic MS 1
Professional MS .663(*) 1
Organic MS .623(*) .771(**) 1

Notes: ** Correlation is significant at the 0.01 level (2-tailed).
* Correlation is significant at the 0.05 level (2-tailed).