HRM to E-HRM : Change in Human Resource Management; effect to social sustainability

Abstract: Problem:Many businesses today, based on the stakeholder’s theory, suggest thatsustainability can only be achieved through the fulfillment of the stakeholder’s in-terests. These interests are centered around adding value to the stakeholders forexample; shareholders in terms of increased dividends. The value in form of profitmaximization, which suppresses the need for other pillars of sustainability to prevail.In this thesis, an argument is presented that a balance should be achieved in all threepillars of. The economic, social and environmental sustainability. It further arguesthat the shift fromH.R.Mtoe−H.R.Mis crucial for innovations and inventions,focused on the development of such technologies, that bolster social sustainability.However, any change may have to put into consideration the company or organiza-tion’s size, this is because somee−H.R.Mtools might not be efficient and effectivefor small-size companies as defined in the report. Purpose:The purpose of this study is to add insight to the concept ofe−H.R.M, and further explore to which extent ise−H.R.Ma driver towards social sus-tainability, reflecting onthe downside of the change which such sustainability mightcreate. Method:Data collection was through interviews. Three managers, two C.E.Os anda former employee from three companies were involved. The interviews were con-ducted via telephone that lasted between30to40minutes. However, a face-to-facefollow up interview was conducted for one of the participants. All interviews wererecorded with the consent of the participants and later transcribed and analysed. Results:The interviewees agreed thate−H.R.Mtools and strategies helped tocreate harmony at work and simplified communication, training and aided the per-formance and appraisal process of employees, which is used during the incentivesprocess, a form of motivation in the organisation. Conclusion:The conclusion from this study is that,e−H.R.Mis a good changefromH.R.Mand that it plays a big role in organizational social sustainability. Abalance should, however, be gained to also put into consideration other pillars. Thestudy contradicts the stakeholders’ theory that only focuses on the economic part ofsustainability through profit maximization, favorable for functional markets alone.