chapter 3 eesearcli methodology -...
TRANSCRIPT
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J Study o f Management Practices ofM NCs in India
Chapter 3
Eesearcli Methodology
3.1. Purpose of S tiiy
"The selection o f a research topic and a corresponding method ...are indicative o f that which the
researcher l^elieves is important to see in the world and /enow. "
Roseii, 1991
“The special task o f the social scientist in each generation is to pin down the contemporary facts.
Beyond that, he shares with the humanistic scholar and the artist in the effort to gain insight into
contemporary relationships. ”
Cronbach, 1975
The dominant role of giant MNCs within the global economy today cannot be ignored. With the onset
of the liberalization process in India, MNCs have qualitatively altered the nature and degree of
competition in this countiy too. A primary advantage that a multinational firm brings to foreign
markets is its superior knowledge, which can be utilized in its subsidiaries worldwide (Bartlett and.
Ghoshal 1997). MNCs in India are dominant partners in terms of technology, investment and shares
and have sought to transplant on foreign soil, their own well-established style of functioning. The
execution of activities, however, ends up as fusion of the practices in their country o f origin and the
local cultiu’e they are operating in.
The exercise of managerial control in such scenarios has been one of the most important subjects
examined in literature (Beamish, 1984; Parkhe, 1993). Research has produced highly conflicting
results with respect to the relationship between control and perfonnance. While some studies reported
a positive relationship, others found a negative one. Still others failed to generate any direct
relationship between the two variables. Consequently, it has been suspected that the control-
perfornrance relationship may vaiy in international MNCs in developed versus developing countries
(Beamish, 1983) or may be subject to important mediating variables (Hebert, 1994).
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Researchers have also shown that there are various barriers to ti'aiisfer success - some relating to the
cliaractcristics of the practices that are being transferred and others of a cultural and organizational
nature (Ghoshal tmd Bartlett 1988; Szulanski 1996; Zander and ICogut 1995).
It is derived from literature that little in-depth work has been done in hidia on MNCs operating in
India. Most studies have discussed economic benefits associated with MNCs. Saxena and Srivastava
(1999), for instance, have discussed the significance o f ‘environmental analysis’ in the host country i.e.
India, which may have an impact on marketing decisions affecting products, price, distribution and
promotions. Some authors have also pointed out the difference in the functioning of the public, private
and multinational organizations (Tripathi 1990; Krishna Kumar 1992; Virmani and Guptan 1991), at
the same time, cautioning that use of advocated practices that are not adapted to suit the expectations of
tiie people within the organization will sooner or later cause the organization to find itself confronted
with numerous difficulties (Virmani and Guptan, 1991).
On the basis of foregomg discussions, the purpose of the present study Is to iiaderstand
iiow MNCs manage local operations in India. Specificaly:
* To observe the lands of practices they adopt
* How these practices are experienced and pereeived by tlielr Mdlan employees.
* Tlieir impact on the commitment of employees, which would, in tarii, affects
organizational effectiveness (OE).
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The following model (3.1) was found to be most appropriate fo r the study.
MNC OrganizationalPractices
6 Organizational Structure Organizational
o Management— Organizational ►
Effectiveness
Style Commitment® Human
ResourcePractices
® Non-workpractices
32 Operatioiializatioii ®f Coiceptsllie parameters selected for present study are: -
3.2.1 Organizational Practices
3.2.1.1 Organizational Structure
3.2.1.2 Management Style
3.2.1.3 Human Resource Practices
3.2.1.4 Non-work Practices
3.2.2 Orgamizatlottal ConuMitment (OC)
3.2.3 Organizational effectiveness (OE)
3.2.1 OrganizationM Prssctlces
The formed means to execute work and business.
3.2.1.1 Organizational Structure
For the purpose o f the present study, organizational structure is defined as the way, in which activities
are allocated, conducted, organized and coordinated.
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The present study defines Organizational Structure as above (e.g., Bhargava and Sinha 1992; Carillo and
Kopelman 1991). Carillo and Kopelman examined the relationship between three structural variables
(size, vertical complexity and administrative intensity) and operating efficiency of 234 metropolitan
branches of a financial services company. Negative relationships were found between size and
productivity and vertical complexity and productivity. However, a curvilinear relationsliip emerged
between administrative intensity and productivity. The smallest branches were approximately 91 % more
efficient than the lai'gcst ones and those with the least vertical complexity (one hierarchical level) were
roughly 44% more productive than of those with the greatest complexity (five levels). Bhargava and
Sinha studied the organizational effectiveness in a hierarchical and hetriarchal structure. They found
significant improvement in organizational effectiveness under a hetriarchal structure.
3.2.1.2 Manasernent Style
The way managers get the work done.
Management style was found to greatly influence organizational effectiveness (OE) (Khandwalla,
1995,1988,1977; Likert 1961; Howell; Bower, Dorfman and K.ivrt et al 1990). Likert found the extent to
which the departmental leadership style was participative and human relation-oriented correlated with
departmental productivity and desire for a greater responsibility on the part of the stafi Bowers and
Seashore (1966) also found supportive results for a participative style.
Some Indian research also indicated that a participative management style is associated with staff
productivity and job satisfaction (Singh; Warrier and Das 1979; Moitra 1977). Sinha (1980, 1984, 1988)
proposing the Nurtiirant Style as the most suited style for Indian subordinates.
3.2.1.3 Human Resource (HR) Practices
HR practices include functions such as Recruitment, Training, Performance Appraisal, Compensation,
promotion and incentive plans, Welfarre activities like canteen and transport.
Human resource practices can affect discretionary effort through their influence on employee skills and
provide competencies that are needed to yield return in excess of any relevant costs.
For instance, Russell, Terborg and Powers (1985) found a significant link between the training of
employees and financial performance. Other researchers also indicated significant and positive link
between HR practices and profitability of the organization. (Huselid, 1995; Roberts, 1995).
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3.2.1.4 Non-Work Practices
Interaction patterns outside wor/c-reiated areas.
Such interaction between colleagues, and the boss and subordinate e.g., during recreational activities,
festivals, social occasions like marriages etc. is the most neglected dimension in literature on areas
within Organizational Behaviour.
Its immense value lies in the fiict that it is likely to facilitate cordial relationships between employees,
and thereby have a significant impact on processes at work. This study has chosen to explore this area. It
was quite a challenge to study how employees interacted beyond ‘work related’ requirements. How
enthusiastically were recreational activities such as picnics, festival celebrations carried out?
3.2.2 O rmnizational Commitment
OC refers to the attitude and behaviour o f employees indicating their identification and commitment to
the organization.
[t will he interesting to study the impact o f transferred Organizational Practices on Commitment levels
of Indian employees ofMNCs.
Kostova (1999) proposed the success of transnational transfer of Organizational practices are mediated
by the congruence between the Social, Organizational and Relational context. Many authors have studied
and established the relationship between commitment and OE (Ostroff 1992; Jayawardane 1995). Lawler
suggests if power, information, reward, and knowledge are appropriately positioned, involvement can be
an effective source of control and organized action, which in turn leads to OE. Vandenberg and
Richardson (1999) also found organizational commitment leads to O.E.
3.2.3 Orsanizational Effectiveness (OE)
(a) For the purpose o f present study, Quinn and Rohrbaugh, 1983, Competing value framework was
referred to compare the case studies. According to this model, there are three important mechanisms by
which an organization demonstrates its values: through its organizational structure, through the objects
on which it focuses, and through the timing o f its focus. More specifically, organizations va.ry as to how
much they value control versus flexibility, internal versus external focus, and means versus ends.
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(h) The present study asks Indian executives working in MNCs to define OE.
The present study asked these executives share their perception about the effectiveness of the
organization.
As noted in recent research, the strength of subjective beliefe about events, mainly practices, exerts
considerable impact over OE, as compared to objective assessment of those practices (Cable and Judge
1996). Hence, even if variety of organizational practices are found in place, those practices will have
little effect unless the pertinent individuals manifest them in some form and put them in use in their own
ways. However it is difficult to summarize a definition or a single perspective on effectiveness.
3.3 Main Researcl Questions
Based on all o f the above areas, to understand the experiences, perceptions and commitment toward the
organization o f Indian employees o f MNCs, as well as the overall impact o f the same upon OE—the
following research questions are proposed:
e What are the praxeptions of Indians worldng in MNCs about organizational practices?
e Given the presence in Indlaa of MNCs from various regionis of the world, what is the difference between western MNC practices (in other words, the organization’s espoused way of worMng) and eastern MNCs?
e What is the difference bettveen MNC practices among the western MNCs themselves and among the eastern MNCs themselves?
® Wliat is the nature of the organizational commitment of employees worldng In MNCs In India?
« How are organizationsil effectiveness and organizatioial commitment Mnked in MNCs operating in India?
3.4 Study Approach
Keeping in view the complex nature of the problem and gaps in literature (as discussed in the previous
chapter); as well as the fact that the study focused on Vjow' and was exploratoi-y in nature, the qualitative
approach (as used in the Street Corner Society) was found to be better suited to the needs of the question
than the quantitative approach.
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As Patton (1990) notes, it is important to emphasize the emergent nature of qualitative research design,
and because the researcher seel(s to observe and interpret meanings in context, it is neither possible nor
appropriate to finalise research strategies before data collection begins. The current study, therefore,
whilst Iceeping the main objective as focus, did not ignore the issues that emerged in the data collection
phase.
Keeping the emergent nature of qualitative research in mind, the study set aside six to seven days for
observations when the data collection was started, so as to understand the interaction between hidians
and foreign expatriates. However the context was under observation for more than two months.
3.4.1 Why Qualitative Research Design; The Qualitative vs Quantitative Parscilgm
Qualitative research, broadly defined, means “any kind of research that produces findings not arrived at
by means of statistical procedures or other means of quantification” (Strauss and Corbin, 1990, p. 17).
Researchers have long debated the relative value of qualitative and quantitative inquiry (Patton, 1990).
Each represents a fundamentally different inquiry paradigm, and researcher actions are based on the
underlying assumptions of each paradigm. Eisner (1991) points out that all knowledge, including that
gained through quantitative research, is referenced in qualities, and that there are many ways to represent
our understanding of the world. As discussed by Cassell and Symon (1994), qualitative research is less
likely to impose a restrictive or a priori classification on the collection of data. Thus, one o f the
cornerstones of the qualitative approach is its acceptance of the inherent subjectivity of the research
endeavour (Bryman 1988).
Since the present study focused upon gleaning the perceptions o f Indian executives in MNCs, this factor
was causative in the selection of the qualitative approach.
Other factors that weighed heavily include the fact that quantitative researchers seek causal
determination, prediction, and generalization of findings; while qualitative researchers seek illumination,
understanding, and extrapolation to similar situations. Qualitative analysis results in a different type of
knowledge than does quantitative inquiry. Thus, qualitative methods are appropriate in situations where
one needs to first identify variables that might later be tested quantitatively, or where the researcher
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determine that quantitative measures cannot adequately describe or intetpret a situation, as was the case
witii the current study.
Research problems, in the qualitative approach, tend to be framed as open-ended questions that vî ill
support discovery of nev/ information. Cronbach (1975) claims that statistical research is not able to
take full account of the many interaction effects that take place in social settings, f ie gives examples of
several empirical “laws” that do not hold true in actual settings to illustrate this point.
hi support of this, Greene’s (1994) study of women in the trades, can be cited, which asked, “What
personal characteristics do tradeswomen have in common? In what way, if any, did role models
contribute to women’s choices to work in the trades?” The ability of qualitative data to more fully
describe a phenomenon is an important consideration not only from the researcher’s perspective, but
from the reader’s perspective as well. “If you want people to understand better than they otherwise
might, provide them information in the form in which they usually experience it,” (Lincoln and Guba,
1985).
The contribution of the qualitative approach has been in the area of theory testing, generation o f new
theory and exploring the research participants’ own experience (Henwood and Pidgeon, 1995). The
qualitative approach has also been extensively used in psychology (Batmister et al, 1994; Richardson,
1996; Smith et al, 19995a). The approach is also preferred in organizational behaviour studies (Blackler
and Brown, 1980; Cassell and Filter, 1992; Symon and Clegg, 1991).
There is a kind of continuum that moves from the fictional that is “true”— the novel for example—to the
highly controlled and quantitatively described scientific experiment. Work at either end o f this
continuum has the capacity to infomi significantly. Qualitative research and evaluation are located
toward the fictive end of the continuum without being fictional in the narrow sense of the term (Eisner,
1991, pp. 30-31).
Patton (1990) believes a “paradigm of choices” that seeks “methodological appropriateness as the
primary criterion for judging methodological quality” will allow for a “situational responsiveness” that
strict adherence to one paradigm or another will not. Several writers have identified what they consider
to be the prominent characteristics of qualitative, or naturalistic, research (see, for example: Bogdan and
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A Study o f Management Practices o f MNCs in India
Bikleii, 1982; Lincoln and Guba, 1985; Patton, 1990; Eisner, 1991). The list that follows represents a
synthesis of these authors’ descriptions of qualitative research:
e The i-esearcher attempts to observe, describe and interpret settings as they are, whilst maintaining
what Patton (1990) calls “empathie neutrality”. According to Patton, "'empathy is a stance towards
the people one encounters while neutrality is a stance towards the findings.” (In other words, to
walk in another’s shoes without letting biases get in the way of interpreting the other’s perception
of his or her experiences of his or her reality).
9 The researcher acts as the “human instrument” of data collection.
® Qualitative researchers predominantly use inductive data analysis.
e Qualitative research reports are descriptive, incorporating expressive language and the “presence
of voice in the text” (Eisner, 1991, p. 36).
® Qualitative research has an interpretive cliaracter, aimed at discovering the meaning events have
for the individuals who experience them, and the interpretations of those meanings by the
researcher.
9 Qualitative researchers pay attention to the idiosyncratic as well as the pervasive, seeking the
uniqueness of each case.
9 Qualitative research has an emergent (as opposed to predetermined) design, and researchers focus
on this.
9 Qualitative research is judged using special criteria for trustworthiness.
Patton (1990) points out that these are not “absolute characteristics of qualitative inquiry, but rather
strategic ideals that provide a direction and a framework fbr developing specific designs and concrete
data collection tactics”. These characteristics are considered to be “interconnected” (Patton, 1990) and
“mutually reinforcing” (Lincoln and Guba, 1985).
In the light of the above potential of qualitative research it is pertinent to note that:
® Most research studies on MNCs, carried out so far in hidia have been based on the quantitative
or predominantly questionnaire-based approach. Major drawbacks associated with
questionnaires are that:
® Responses may be socially desirable.
e They end up establishing what the variables (dots) are and causal linkages (draw lines) between
them.
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The qualitative approacli, on the other hand, allows the researcher to focus on the precise meaning of the
pliciiomena as understood by the persons in their normal social context (Cassell and Syraon, 1994).
Since the present study is largely conceriei with uiderstanding tlie processes UHderlyliag the
interplay of parameters in their natural social contexts_the qualitative approach suited researcli
needs best.
3.4.2 Strategy: T ie Case-study Approach
Patton (1990) emphasizes that the particular design of a qualitative study depends on the purpose of the
inquiry, what information will be most useful, and what information would have the most credibility, hi
other words, puiposive sampling is the dominant strategy in qualitative research. It seeks information-
rich cases, which can be studied in-depth. Case study research was found to be the most useful in this
regard, since it allows the detailed investigation of one or more organizations with a view to providing an
analysis of the context and processes involved in the phenomenon under study.
Ei'landson et al (1993) found the case study better suited for emic inquiry (a reconstruction o f the
respondents constructions). It allows for demonstration of the interplay between inquirer and
respondents, provides the reader an opportunity to probe for internal consistency (factualness and
trustworthiness). Lincoln and Guba, (19
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' Study o f Management. Practices ofM NCs in India
Case studies have been widely used while studying organizational behaviour, especially in understanding
organizational innovation and change, as shaped by both internal forces and external environment (for
example, Biggart 1977; Burns and Stalker 1968; Pettigrew and Whipp 1991; Pettigi'ew et al 1992). Cases
have been useful in understanding formal and informal processes in organizations. Much research has
also been conducted on technological change (for example, Bladder and Brown, 1980; Cassell and
Filter, 1992; Symon and Clegg, 1991). Many researchers have taken more than one organization to study
the phenomenon (Lawrence and Lorsch 1967, Pettigrew and Whipp 1991).
T ie ciin*ent study also adopted the multiple case study approach.
Evidence from multiple cases is more compelling, and the overall study becomes more robust. Single
case study is descriptive information alone and would have to be revelatory (Yin 1984). However,
multiple cases must be considered as multiple experiments i.e., replication logic. An example of a
multiple case study is Lawrence and Lorsch’s (1967) study often organizations within the same industry.
The existing study also chose a holistic multiple case design over an emljedded one.
Holistic multiple case studies cover the phenomenon being explored as well as its context, on yielding a
large number of potentially relevant variables. In other words, this approach allows the investigator to
retain the holistic and meaningful characteristics of real-life events such as organizational processes, the
maturation of industry among other things. On the other hand, an embedded multiple case design calls
for conducting the survey at each case study site. The data is quantitative in natiu'e, still to be used only
for interpretation purposes. Whereas, the holistic multiple case design relies on observations and
interviews for the collection of data.
India has several MNCs, including those from Korea and Japan along with American and European
MNCs. While cultural differences between European, American versus Indian organizations are
expected, the general feeling may be that Asian cultures have many similar ways of doing things or
approaching a problem. However, it has been found that even these cultures are quite dissimilar.
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To get ffl fair representation of this corporate global diversity in India, one Korean, one JapaHese,
one Svredish and one Anglo-AmericaB BINC were chosen and treated as individual cases. The
Bsmes «f the organizatioiK have been clianged.
The following simple criteria were applied tbr the selection MNCs for the present study;
® Financially successixil.
® Have a positive brand image.
e Each must represent a diverse socio-economic national reality.
3.43 Data Collection StrategyFrom the vantage point of interpretation, organization studies would involve the study of those symbolic
processes through which the subjective experiences o f an organization are created; through the
application of the two methods of participative observations and ethnographic interviewing. These take
the researchers close to the experiences of those whonr they study (Gephart 1993, Prasad 1993).
While the qualitative research approach has no strict criteria for sample size, a qualitative research
proposal must specify:
® The primary question or questions to be explored; and,
® Plans for data collection strategies.
3.4.3.1 Purposive Samplins
The data collection strategy employed in this study used purposive sampling. Interviews were conducted
with employees at each level and in each department—including workers, supervisors, managers and
senior level managers. Since the study focused on MNCs, multiple sites were chosen to gain variety and
depth and employees were interviewed at the head office, at sales offices, at the factoiy or plant and the
research office, wherever such an office was available.
3.4.3.2 Oiiasi-ethnosraphic Approach
The classic form of data collection in naturalistic or field research is observation of participants in the
context of a natural scene. Observational data are used for the purpose of description—of settings,
activities, people, and to describe the meaning of what is observed from the perspective of the
participants. A skilled observer is one who is trained in the process of monitoring both verbal and
nonverbal cues, and in the use of concrete, unambiguous, descriptive language. Qualitative research
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A Study o f Management Practices ofM NCs in India
I'eports, typically rich with detail and insights into the participants’ experience of their world, “may be
episteniologically in harmony with the I’eader’s experience" (Stake, 1978, p. 5) and thus more
meaningful.
The present study adopted a qMasi-ethnograptiic approach to eoHect data.
'fhis approach is used more in sociological and anthropological studies (Whyte's Street Comer Society)
rather than in management studies. However, in this case the following limitations of participative
observation directed the above choice:
® It is difficult to gain entry into organizations to work as a participative observer since it is likely
to cause interference in organizational functioning. ^
e Tlie i-esearcher plays a role in which he/she becomes associated with that particular position in
that particular system. Thus, employees in that organization would relate to the observer in that
role, which in turn affects data accessibility.
Advantases
The obsei-vation method is less obtrusive when compared to participative observation and, therefore,
researchers are less likely to influence data collection. Secondly, this can lead to a greater level of
detailing during data collection. This makes them more sensitive to variations (Symon and Cassell 1998).
Observation can lead to deeper understanding than interviews alone, because it provides knowledge of
the context in which events occur, and may enable the researcher to see things that participants
themselves are not aware of, or are unwilling to discuss (Patton, 1990).
Disadvantaees
However, in non-participative observation the researcher may not be allowed in certain situations like
critical processes of the organization. The other disadvantage of this method is that it is more time
consuming than an experiment or a survey method. In the present study, therefore, data was collected
with the help of non-participative observations and interviews. The present study is, thus, quasi-
ethnographic.
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3.4.3.3 Time-frame
In order to undertake an in-depth study, approximately two months was spent in each organization to
observe employees in organizational settings and collect first hand data. As mentioned earlier, the time to
stop collecting data, in the case of a retrospective study, is when all participants have been identified
thi'ough purposive sampling and when similar trends emerge in interactions with various employees or
when no further usellil information is emerging, i.e., the saturation point has been achieved. (Glaser and
Strauss, 1967).
3.4.3.4 Nature o f Interviews
As mentioned earlier, interviews were conducted across all levels and functions. Unstructured
interviews were conducted around the theme of the study. The core purpose was to explore employee
understanding of organizational practices and garner 'lived-experiences' of Indian executives of
MNCs operating in India. Certain questions were asked from every respondent to understand
perceptions about the organization and to build rapport. Most of the questions asked were meant to
explore the nature of the relationship between Indian bosses and expatriates, the stiiicture of the
organization, target orientation, decision making, formalization, and interdepartmental coordination
— termed as Boundarylessness. Perceptions about the role of HR practices were noted during
interviews. Employees were asked to share their experiences in relation to non-work practices such as
morning exercises, clean your desk, birthday celebration, calling other by the first name etc.
1. Compare your present job with previous jobs (or in case an employee was a fresher he/she was
asked to compare it with the jobs their friends had in other organizations). This question helped
to explore employee perception about the organization.
2. Share your experiences in relation to the merger (this question was asked to employees
working in western MNCs, who had seen the merger happening).
3. How do you feel about working in an open office environment?
4. What is the status of interdepartmental coordination?
5. How long does it take to implement a decision?
6. What happens when you make a mistake?
7. What happens when you have a problem and approach the boss? How does the boss react?
8. How do you perceive the role of the Department of Human Resources in your company?
9. Your perceptions about non-work practices such as calling others by their first name; birthday
celebrations; morning exercises etc....
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A Study o f Management Practices o f MNCs in India
ii . How does your family feel about your association with this organization?
11. Would you lecommend tiiis coiiipany to your friends as a place to work?
12. What are the strengths of tiie oi'ganization?
13. What changes would you like to sec in your company?
14. Executives were also asked to define organizational effectiveness in the context of MNCs in
general, and share their perception of the effectiveness of their organization in particular. It is
similar to when Gumming (2001) asked research interviewees what they understood the term
“stakeholder dialogue” to mean. From their collective response several components were
identified.
3.4.3.5 Decision to Stop Samplinf^
The decision to stop sampling must take the following factors into account (Guba 1978):
e Research goals.
® Need to achieve depth through triangulation of data sources,
e Possibility of greater breadth through examination of a variety of sampling sites.
® Exhaustion o f resources.
® Emergence of regularities,
e Overextension, or going too far beyond the boundaries of the research.
In the current study, the decision to stop sampling was based on the concept of theoretical saturation-
i.e,, once similar trends start coming through, data collection stops (Glaser and Strauss, 1967), In fact,
among the best-known cases in this regard is Tayeb’s (1998) case study to understand the transfer of
HRM practices of the Scottish subsidiary of an American MNC, using a sample of 13 employees. The
author conducted semi-structured interviews across the main research question, which lasted between 45
minutes and one-and-a-half hours.
Sample Profile: overall data was collected from all the levels in the four cases. The sample distribution is
given in the following table (3.1).
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Table: 3.1: Sample Profile in four MNCs
Levels Angltt-Amerlcan
MI^C
Sweden MNC Korean MNC Ittdo-Japanese
MNC
Senior 9 18 7 13
Middle 32 13 5 14
Lower 41 28 9 17
Workers 9 5 8 14*
Total 92 64 29 58
With regard to this study a l of the above criteria were met before tfceoretical saturation was
achlevedj and it was felt that once the research purpose hat! been met through the d ea r
emergence of trends and the other criteria also satisfied it couM be dearly decided that
theoreticisl satnration had been achieved.
3.5 Data Analysis
Data was qualitatively analysed with template analysis being carried out on collected data. This is a
widely used approach in qualitative research, although it is often referred as codebook analysis or
thematic coding. When researchers look for the themes in the text they follow template analysis. King
(1994) uses the term template analysis fol [owing Crabtree and Miller (1992).
The essence of the approach is that the researcher produces a list of codes (a template) representing
themes identified in their textual data. Some of these are usually identified a priori, but are modified and
added to as the researcher reads and interprets the texts. A code is a label attached to a section of the text
to index it as relating to the themes or issues or dimensions in the data, which the researcher has
identified as important to his/her interpretation. For convenience, codes are organised hierarchically
(Flierarchical Coding), with groups of similar codes clustered together to produce more general higher-
order codes.
Advmtmes
The template approach can, thus, be seen as occupying a position between content analysis (Weber
1985), where codes are all predetermined and their distribution is analysed statistically, and grounded
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A Study o f Management Practices ofMNCs in India
theory (Glasei' and Strauss, 1967), where there are no a priori codes. Within this middle ground, there is
scope for wide variation in analytical technique Ixoni those which are veiy close to content analysis, with
codes tightly defined and largely predetermined, allowing statistical as well as qualitative analysis of the
same data to those which start with only a few defined codes and which use the template in a highly
Hexible way to produce an interpretation of tlie texts.
It is more flexible with fewer specified procedures, permitting researchers to tailor it to match their own
requirements, as compared to the grounded theory appi'oach. Moreover, it is also a useful approach for
those who take a phenomenological and experiential approach to organizational research.
In the preseat study the dimensions taken In the model were referred to as tkepriori identified
codes. However, as the analysis proceeded mew themes were also identified.
Disadvantases
The lack of substantial literature on this technique compared with that on groimded theory or other
qualitative techniques is a drawback. Template analysis is also considered by some as being too simple
to allow any depth of interpretation or too complex to be manageable,
3.6 Reiabffity and Validity of Research
Unless the study undergoes quality checks, research is insignificant, becomes fiction, and loses its utility.
As Eisner (1991) observes, “Qualitative studies typically employ multiple forms of evidence...[and]
there is no statistical test of significance to determine if results ‘count’.” Judgments about usefulness and
credibility are, therefore, left to the researcher and thereafter, the reader.
Hence, a great deal of attention needs to be given to reliability and validity in all research methods.
Rather than explicating how rigour was attained in qualitative inquiry, a number of leading qualitative
researchers have argued that reliability and validity were terms pertaining to the quantitative paradigm
and were not pertinent to qualitative inquiiy (Altheide and Johnson, 1998; Leininger, 1994). Others have
suggested adopting new criteria for determining reliability and validity, and hence ensuring quality
check, in qualitative inquiry (Lincoln and Guba, 1985; Leininger, 1994; Rubin and Rubin, 1995).
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In quantitative researcli, a valid instrument is one which actually measures what it claims/intends to
measure. Likewise, in qualitative research, a study is valid if it truly examines the topic, which it claims
to have examined. Tlie difference lies in the notion of validity. In quantitative research the nerve center is
a method for eg., the validity of rating scale. In qualitative research, the concern is for the validity of
interpretation: whether a researcher’s conclusion that J i s the main theme to emerge from an interview is
valid.
Eisner (1991) believes that the following features of qualitative research should be considered by
reviewers:
® Coherence: Does the story make sense? How have the conclusions been supported? To what
e.xtent have nudtiple data sources been used to give credence to the interpretation that has been
made? (p. S3).
® Consensus; The condition in which the readers of a work concur that the findings and/or
interpretations reported by the investigator are consistent with their own experience or with the
evidence presented (p. 56).
e Instrumental utiUty: The most important test of any qualitative study is its usefulness, A good
qualitative study can help gain understanding about a situation that would otherwise be enigmatic
or confusing (p. 58). A good study can help anticipate the future, not in the predictive sense of the
word, but as a kind of road map or guide. "Guides call our attention to aspects of the situation or
place we might otherwise miss" (p. 59).
® Addressing trustworthiness in qualitative research: The basic question addressed by the notion of
trustworthiness, according to Lincoln and Guba, was simple: “How can an inquirer persuade his or
her audiences that the research findings of an inquiry are worth paying attention to?” (1985, p.
290). When judging qualitative work, Strauss and Corbin (1990) believed that the “usual canons
o f ‘good science’...require redefinition in order to :fit the realities of qualitative research" (p. 250).
Lincoln and Guba (1985, p. 300) identified an alternative set of criteria that correspond to those
typically employed to judge quantitative work.
e Credibility: The naturalistic researcher assumes the presence of multiple realities and attempts to
represent these multiple realities adequately. Credibility becomes the test for this. Credibility
depends less on sample size than on the richness of the information gathered and on the analytical
abilities of the researcher (Patton, 1990).
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® Transferability: In the naturalistic paradigm, the transferability of a working hypothesis to other
situations depends on the degree of similarity between the original situation and the situation to
which it is transferred. The researcher cannot specify the transferability of findings; he or she can
only provide sufficient information that can tlien be used by tlie reader to determine whether the
findings are applicable to the new situation (Lincoln and Guba, 1985). Eisner says it is a form of
"retrospective generalization" that can allow us to understand our past (and future) experiences in
a new way ( i 991, p. 205).
® Dependability: According to Lincoln and Guba (1985): "Since there can be no validity without
reliability (and thus no credibility without dependability), a demonstration of the former is
sufficient to establish the latter". Nevertheless, Lincoln and Guba do propose one measure which
might enhance the dependability of qualitative research, That is the use of an "inquiry audit," in
which reviewers examine both the process and the product of the research for consistency (1985).
® Conformability: the degree to which the researcher can demonstrate the neutrality of the research
interpretations, through a “conformability audit.” This means providing an audit trail consisting of
1) raw data; 2) analysis notes; 3) reconstruction and synthesis products; 4) process notes; 5)
personal notes; and 6) preliminary developmental information.
Reliability and validity was achieved as follows in the current study:
® Coherence (Eisner, 1991) and credibility (Lincoln and Guba, 1985): conclusion is supported using
multiple data.
The present study was exploratory in nature. The present study was more concerned about
understanding the processes underlying inteiplay of parameters in their natural social contexts. In
order to undertake an in-depth study, a substantial time, of approximately two months, was spent in
an organization to observe employees in their organizational settings and collect first hand data. A
major focus was on sensing the lived-experience of a social setting.
® Dependability (Lincoln and Cuba, 1985): dependability of the research was achieved both by the
process and product of the research for consistency. A similar process was followed in each case
and the questions asked to employees in all the MNCs were the same, in order to achieve
dependability.
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The researcher was attaclieci to a coordinator from the HR section in all MNCs. In order to get the feel
of the place and make non-participative observations, the coordinator was asked to make an
arrangement for her to sit quietly at a place in the office complex from where she could observe
employees executing their official roles and their interaction with other employees. However, the
process was twisted considering organizational concerns. The Anglo-American MNC (Sl-Iiidia) was
not pleased with this request, as it has a policy of not permitting visitors at workstations. As a result,
the researcher then formulated a strategy of hanging around workstations; visiting workstations on
any conceivable excuse; and prolonging her stay at the workstations as long as she could.
71ie researcher, built a rapport with employees over coffee and lunch (in all four cases). This helped
to break the ice. As time passed, a few employees approached her on their own and volunteered to
share their perceptions.
.lust as at Sl-hidia, the Korean MNC (PC-India) also objected to the researcher’s presence. After two
or three days one of the expatriates asked his Indian subordinate to find out purpose of the
researcher’s presence in PC-India. An Indian executive asked her, “May I help you? Were you
waiting for somebody?” The researcher replied that she was seated there with the HR section’s
consent. She discussed this episode with the HR coordinator. He immediately changed her location
and said, “If the expatriate speaks to the VP-HR then he might stop the project. So please bear with
it.” The observer requested for permission to interview expatriates, besides the Indian employees but
was given to understand that the Koreans had decided they would not interact with any stranger. The
VP-HR refused to grant permission to for the researcher to intei'view any VP saying that they were all
very busy. After a couple of days, the coordinator pointed out that many people had begun to question
her presence since they were now conscious of being observed, he hence suggested that the researcher
start interviews.
On the other hand the Japanese MNC (BW-India) and Swedish MNC (AL-India) allowed her to sit at
workstations, However, both organizations eventually objected to her inactive, silent presence. The
researcher, therefore, requested the HR-department at each to allow her to take one or two interviews
in a day, so that she could make observations and get a feel of the place, as well as build up rapport
with the employees.
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Tlie researchei' was allowed to travel by company bus while conducting research at the Korean and
Japanese MNCs. It was not possible at the Swedish and Anglo-American MNCs because there was no
extra space in those buses.
Around two months time was spent in all the MNCs, Employees at all levels and from all departments
were interviewed in the office complex. Most interviews were held in the conference/visitor’s room.
Unstructured interviews (list of questions are given in data collection strategy) were conducted with
employees around the main purpose of the study. Most of the questions asked were meant to explore
the nature of the relationship between Indian bosses and expatriates, the structure of the organization,
target orientation, decision making, formalization, and interdepartmental coordination — termed as
Boundarylessness. Perceptions about the role of HR practices were noted during interviews.
Employees were asked to share their experiences in relation to non-work practices such as morning
exercises, clean your desk, birthday celebration, calling other by the first name etc.
® Confornialjility: This was achieved by providing detailed cases. The data on each MNC is shared at
length with various incidents and observations in the next section on data sharing. This has helped to
demonstrate the neutrality of the research interpretations.
9 Transferability (Lincoln and Guba, 1985); Each case provides sufficient information that can be
used to determine the applicability of the findings to the new situation, i,e to other MNCs of similar
nationalities.
All interpretations are subjective (in qualitative research), so the issue here lies in tracing the ways by
which researcher has arrived at this particular interpretation. In other words, the researcher did not
“invent” interpretations, but are the product of conscious analysis. This involved a constant justification
of the interpretation and a relentless intemal evaluation of the researcher’s motives for interpreting in a
particular way. Literature reviews were utilized for data interpretation while comparing the cases. Data
interpretation is therefore rarely the product of a flash of inspiration.
Thus observations, critical incidents, informal interactions in company buses, over coffee and lunch, as
well as interviews were undertaken for 'understanding the social context’ o f the Indian employees o f
MNCs in India. Eisner (1991), and Lincoln and Cuba’s (1985) coherence, credibility, dependability and
transferability was achieved as discussed in the foregoing section.
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Taking a lead from tlie above discussioji, local fmictioniiig in IVINCs would be understood from the
various standpoints highlighted above. Further tlieir impact would be seen on the cornrnitment level o f
the Indian employee and upon the overall effectiveness of the organization.
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