Sustainable Human Resource
Management
Chapter-1
Introduction to Sustainable HRM
Learning Objectives
1. Define Sustainable HRM
2. Key Features/ Characteristics of Sustainable HRM
3. The importance of sustainable HRM for the twenty-first
century
4. Corporate sustainability and sustainable HRM
5. Barriers to sustainable HRM
6. Sustainable HRM and SDGs
Sustainable HRM
• Development of sustainable HRM can be traced back to
the early 2000s when there were serious HRM challenges
to address problems of labor and skill shortages,
work-related stress and health issues, lack of work-life
balance, and employability concerns.
• Academics ascribed these challenges to dominant
strategic HRM activities in support of the traditional
market model, driving organizations to efficiently and
effectively exploit natural, social, and human resources to
optimize short-term financial gains, often at the expense
of long-term resource regeneration and organizational
survival (Ehnert, 2009; Ehnert et al., 2014; Kramar, 2014;
Lopez-Cabrales & Valle-Cabrera, 2020).
Define Sustainable HRM
• Ehnert et al. (2016, p.3) defined sustainable HRM as
• “…the adaption of HRM strategies and practices that enables the
achievement of financial, social and ecological goals, with an impact
inside and outside of the organization and over a long-term time
horizon and while controlling for unintended side effects and
negative feedback.”
• In this definition, important elements including the multiple
stakeholders, diverse organizational goals, HRM system
approach, positive and negative HR impacts, the contextual
as well as the time dimensions are all covered.
Sustainable HR Practices
• Sustainable HR practices in Human Resource Management
(HRM) focus on balancing the needs of the organization,
employees, and the environment to ensure long-term
success. These practices aim to create an equitable,
efficient, and environmentally conscious workplace while
promoting employee well-being and organizational
sustainability. Below are key sustainable HR practices:
Sustainable HR Practices
1. Employee Well-being and Work-Life balance
2. Diversity, Equity, and Inclusion
3. Green HRM.
4. Ethical Recruitment and Retention
5. Employee Training and Development
6. Sustainable Leadership
7. Community Engagement.
8. Performance Management.
9. Technology and Digital Transformation
By adopting sustainable HR practices, organizations can build resilient
workforces and contribute positively to the broader global
sustainability
Key Features of Sustainable HRM
1. Linking Sustainability to HRM Activities
• Green HRM-Socially responsible HRM
2. Balancing Resource Efficiency and Capability
• Efficient use of human resources-Maintaining long-term HR
capabilities
3. Managing Economic and Relational Rationality
• Balancing financial and human-centered objectives
4. Reducing Externalities and Stakeholder Harm
• Promoting employee well-being and preventing harm to society
The importance of sustainable HRM
1. Business case for Sustainable HRM
I. Socio-efficiency
II. Eco-efficiency
2. Beyond Business case for Sustainable HRM
I. Attract and retain top talent
II. Improving employee well-being
III. Reducing environmental impact by incorporating eco-friendly
practices into HR policies.
IV. Supporting CSR and Improving reputation
Corporate sustainability and sustainable
HRM
HR as a Driver of Corporate Sustainability
• Recruitment & Retention: By attracting and retaining employees
who are aligned with the company’s sustainability values, HR ensures
that the workforce is committed to sustainable practices.
• Employee Development: HR plays a role in educating and training
employees on sustainability issues, enabling them to incorporate
sustainable practices into their daily work and decision making.
• Performance Management: HR helps integrate sustainability metrics
into performance appraisals, incentivizing employees to align their
work with corporate sustainability objectives, such as reducing waste
or improving energy efficiency.
Corporate sustainability and sustainable
HRM
Aligning Organizational Culture with Sustainability Goals
• Values Alignment: HR is responsible for shaping
organizational values that prioritize sustainability, ensuring
employees are aligned with the company’s ethical, social, and
environmental objectives.
• Leadership Development: HR develops ethical leaders who
can champion sustainability across the organization,
motivating teams to adopt sustainable practices.
Corporate sustainability and sustainable
HRM
Employee Engagement and Participation
• Involvement in Sustainability Programs: HR can design
programs that allow employees to get involved in corporate
social responsibility (CSR) activities, volunteering,
sustainability training, or idea-sharing initiatives related to
green practices.
• Workplace Environment: By fostering a work environment
that values sustainability (e.g., green office initiatives,
promoting work-life balance), HR helps in the realization of
corporate sustainability in the workplace.
Barriers to sustainable HRM
• Lack of Knowledge and Awareness of sustainable practices
• The Role of Organizational Culture in Sustainable HR
Adoption
• Balancing Profitability and Sustainability: A Tough Equation
• Resistance to Change: Overcoming Employee and
Management Hesitancy
• Measuring Sustainability Impact
• Cultural and Regional Barriers
• Integrating Technology to Enhance Sustainable HR Initiatives
Thank You