Skip to main content

Advertisement

Log in

Strategic Human Resource Management as Ethical Stewardship

  • Published:
Journal of Business Ethics Aims and scope Submit manuscript

Abstract

The research about strategic human resource management (SHRM) has suggested that human resource professionals (HRPs) have the opportunity to play a greater role in contributing to organizational success if they are effective in developing systems and policies aligned with the organization’s values, goals, and mission. We suggest that HRPs need to raise the standard of their performance and that the competitive demands of the modern economic environment create implicit ethical duties that HRPs owe to their organizations. We define ethical stewardship as a model of governance that honors obligations due to the many stakeholders and that maximizes long-term organizational wealth creation. We propose that if HRPs adopt an ethical stewardship framework and the qualities of transformative leaders, they will be more aware of their ethical duties to their organizations and more effective in helping their organizations to create increased wealth, achieve desired organizational outcomes, and establish work environments that are more satisfying to employees.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

References

  • Barnard, C. I., (1938). Functions of the Executive. Cambridge, MA: Harvard Business School Press.

    Google Scholar 

  • Barnard, C. I., and Andrews, K. R., (2007). Functions of the Executive: 30th Anniversary Edition. Cambridge, MA: Harvard University Press.

    Google Scholar 

  • Barnett, T. and E. Schubert: 2002, ‘Perceptions of the Ethical Climate and Covenantal Relationships’, Journal of Business Ethics 36(3), 279–290

    Google Scholar 

  • Barney, J. B. and P. M. Wright: 1998, ‘On Becoming a Strategic Partner: The Role of Human Resources in Gaining Competitive Advantage’, Human Resource Management 37(1), 31–46

    Google Scholar 

  • Bass, B. M., and Avolio, B. J., (1990). “Developing Transformational Leadership: 1992 and Beyond.” Journal of European Industrial Training, Vol. 14, Iss. 5, pp. 21-27.

    Article  Google Scholar 

  • Becker, B. E. and M. A. Huselid: 1998, ‘High Performance Work Systems and Firm Performance: A Synthesis of Research and Managerial Implications’, in G. Ferris (ed.), Research in Personnel and Human Resources Management, Vol. 16 (JAI Press, Greenwich, CT), pp 53–101.

  • Becker, B. E., and Gerhart, B., (1996). “The Impact of Human Resource Management on Organizational Performance, Progress, and Prospects.” Academy of Management Journal, Vol. 39, Iss. 4, pp. 779-801.

    Article  Google Scholar 

  • Becker, B. E., and Huselid, M. A., (1999). “Overview: Strategic Human Resource Management in Five Leading Firms.” Human Resource Management, Vol. 38, Iss. 4, pp. 287-301.

    Article  Google Scholar 

  • Becker, B. E., and Huselid, M. A., (2006). “Strategic Human Resource Management: Where Do We Go From Here?” Journal of Management, Vol. 32, Iss. 6, pp. 898-925.

    Article  Google Scholar 

  • Becker, B. E., Huselid, M. A., and Ulrich, D. (2001). The HR Scorecard: Linking People, Strategy, and Performance. Boston, MA: Harvard Business School Press.

    Google Scholar 

  • Beer, M., (1997). “The Transformation of the Human Resource Function: Resolving the Tension Between Traditional Administrative and a New Strategic Role.” Human Resource Management 36(1):49-56.

    Article  Google Scholar 

  • Bennis, W. G., & Nanus, B. (2007). Leaders: Strategies for Taking Charge. New York: Harper.

    Google Scholar 

  • Block, P., (1993). Stewardship: Choosing Service over Self - Interest. San Francisco: CA: Jossey-Bass.

    Google Scholar 

  • Boudreau, J. W., and Ramstad, P. M., (2005). “Talentship, Talent Segmentation, and Sustainability: A New HR Decision Science Paradigm for a New Strategy Definition.” Human Resource Management, Vol. 44., Iss. 2, pp. 129-136.

    Article  Google Scholar 

  • Boyatzis, R. and McKee, A. (2005). Resonant Leadership: Renewing Yourself and Connecting with Others Through Mindfulness, Hope, and Compassion. Boston, MA: Harvard Business School Press.

    Google Scholar 

  • Buber, M., (2008). I and Thou. New York: Hesperides Press.

    Google Scholar 

  • Burns, J. M. (1978). Leadership. New York: Harper & Row.

    Google Scholar 

  • Caldwell, C., Bischoff, S. J., and Karri, R. (2002). “The Four Umpires: A Paradigm for Ethical Leadership,” Journal of Business Ethics 36(1):153-163.

    Article  Google Scholar 

  • Caldwell, C. and R. Dixon: 2007, Transformative Leadership – An Integrative Theory of Ethical Stewardship. Paper Presented at the Fourteenth Annual International Conference on Ethics in Business at DePaul University on November 1, 2007.

  • Caldwell, C., Hayes, L., Bernal, P., and Karri, R. (2008). “Ethical Stewardship: The Role of Leadership Behavior and Perceived Trustworthiness.” Journal of Business Ethics 78(1):153-164.

    Article  Google Scholar 

  • Caldwell, C., and Karri, R. J., (2005). “Organizational Governance and Ethical Systems: A Covenantal Approach to Building Trust.” Journal of Business Ethics, Vol. 58, Iss. 1, pp. 249-259.

    Article  Google Scholar 

  • Caldwell, C., Karri, R., and Vollmar, P., (2006). “Principal Theory and Principle Theory: Ethical Governance from the Follower’s Perspective.” Journal of Business Ethics 66(2-3):207-223.

    Article  Google Scholar 

  • Caldwell, C., Voelker, C., Dixon, R. D., and LeJeune, A., (2007a). “Transformative Leadership: An Ethical Stewardship Model for Healthcare.” Organizational Ethics: Healthcare, Business, and Policy, Fall Edition, pp. 126-134.

    Google Scholar 

  • Cameron, K. S. (2003). Ethics, Virtuousness, and Constant Change. In N. M. Tichy, and A. R. McGill (Eds.) The Ethical Challenge: How to Lead with Unyielding Integrity. San Francisco, CA: Jossey-Bass, pp. 185-194.

    Google Scholar 

  • Clardy, A., (2008). “The Strategic Role of Human Resource Development in Managing Core Competencies.” Human Resource Development International, Vol. 11, Iss. 2, pp. 183-197.

    Article  Google Scholar 

  • Collins, J., (2001). Good to Great: Why Some Companies Make the Leap… and Others Don’t. New York: HarperCollins.

    Google Scholar 

  • Collins, J. (2005). “Level 5 Leadership: The Triumph of Humility and Fierce Resolve.” Harvard Business Review 83(7):136-146.

    Google Scholar 

  • Collins, C. J., and Clark, K. D., (2003) “Strategic Human Resource Practices, Top Management Team Social Networks, and Firm Performance: The Role of Human Resource Practices in Creating Organizational Competitive Advantage.” Academy of Management Journal, Vol. 46, Iss. 6, pp. 740-751.

    Article  Google Scholar 

  • Collins, J., and Porras, J. I., (2004). Built to Last: Successful Habits of Visionary Companies (2nd Edition). New York: HarperCollins.

    Google Scholar 

  • Coltrin, S. A., (1991). “Ethics—More than Legal Compliance.” Human Resource Management 26:1-12.

    Google Scholar 

  • Conger, J. A., Kanungo, R. N., and Menon, S. T., (2000). “Charismatic Leadership and Follower Effects.” Journal of Organizational Behavior 21(7):747-767.

    Article  Google Scholar 

  • Covey, S. R., (1992). Principle Centered Leadership. New York: Simon & Schuster.

    Google Scholar 

  • Covey, S. R., (2004). The 8th Habit: From Effectiveness to Greatness. New York: Free Press.

    Google Scholar 

  • Deming, W. E., (2000). Out of the Crisis. Cambridge, MA: MIT Press.

    Google Scholar 

  • DePree, M. (2004). Leadership is an Art. New York: Doubleday.

    Google Scholar 

  • Dvir, T., D. Eden, B. J. Avolio and B. Shamir: 2002, ‘Impact of Transformational Leadership on Follower Development and Performance: A Field Experiment’, Academy of Management Journal 45(4), 735–744.

    Article  Google Scholar 

  • Graham, M. E., and Tarbell, L. M., (2006) The Importance of the Employee Perspective in the Competency Development of Human Resource Professionals. Human Resource Management 45(3):337-355.

    Article  Google Scholar 

  • Greenleaf, R. K.: 2004, ‘Who Is the Servant-Leader?’, in L. C. Spears and M. Lawrence (eds.), Practicing Servant Leadership: Succeeding through Trust, Bravery, and Forgiveness (Jossey-Bass, San Francisco), pp. 1–7.

    Google Scholar 

  • Grossman, R. J., (2007). “New Competencies for HR.” HR Magazine, Vol. 52, Iss. 6, pp. 58-62.

    Google Scholar 

  • Guest, D. E. (2007) HRM and Performance: Can Partnership Address the Ethical Dilemmas? in: A. Pinnington, R. Macklin, and T. Campbell (Eds.) Human Resource Management: Ethics and Employment. Oxford: Oxford University Press. pp. 52-65.

    Google Scholar 

  • Hamilton, F., Nord, W. R., (2005). “Practicing Servant-Leadership: Succeeding Through Trust, Bravery, and Forgiveness.” Academy of Management Review, Vol. 30, Iss. 4, pp. 875-877.

    Google Scholar 

  • Hartel, C., Fujimoto, Y., Strybosch, V. E., and Fitzpatrick, K., (2007). Human Resource Management: Transforming Theory Into Innovative Practice. Australia: Pearson Education.

    Google Scholar 

  • Hernandez, M. (2008). “Promoting Stewardship Behavior in Organizations: A Leadership Model.” Journal of Business Ethics, Vol. 80, Iss. 1, pp. 121-128.

    Article  Google Scholar 

  • Hosmer, L. T. (1995). “Trust: The Connecting Link between Organizational Theory and Behavior.” Academy of Management Review, 20:379-404.

    Article  Google Scholar 

  • Hosmer, L. T., (2007). The Ethics of Management (6th Edition). New York:McGraw-Hill.

    Google Scholar 

  • House, R. J., (1977). “A 1976 Theory of Charismatic Leadership”. in: J. G. Hunt & L. L. Larson (Eds.), Leadership: The Cutting Edge. Carbondale, IL: Southern Illinois University Press, pp. 189-207.

    Google Scholar 

  • Huselid, M. A. (1995). “The Impact of Human Resource Management Practices on Turnover, Productivity, and Corporate Financial Performance.” Academy of Management Journal, Vol. 38. pp. 635-672.

    Article  Google Scholar 

  • Huselid, M. A. and B. E. Becker: 1997, The Impact of High Performance Work Systems, Implementation Effectiveness, and Alignment with Strategy on Shareholder Wealth. Academy of Management Proceedings.

  • Huselid, M. A., Jackson, S. E, and Schuler, R S., (1997). “Technical and Strategic Human Resource Management Effectiveness as Determinants of Firm Performance.” Academy of Management Journal, Vol. 40, Iss. 1, pp. 171-188.

    Article  Google Scholar 

  • Kanter, R. M., (2008). “Transforming Giants.” Harvard Business Review 86(1):43-52.

    Google Scholar 

  • Kohlberg, L.: 1985, ‘The Just Community Approach to Moral Education in Theory and Practice’, in M. W. Berkowitz and F. Oser (eds.), Moral Education: Theory and Practice (Erlbaum, Hillsdale, NY)

  • Kolp, A. & Rea, P. (2005). Leading with Integrity: Character Based Leadership. New York: Atomic Dog Publishing.

    Google Scholar 

  • Konzelmann, S., Conway, N., Trenberth, L., and Wilkinson, F., (2006). “Corporate Governance and Human Resource Management.” British Journal of Industrial Relations 44(3):541-567.

    Article  Google Scholar 

  • Kouzes, J. M., and Posner, B. Z., (2003a). Credibility: How Leaders Gain and Lose It, Why People Demand It (2nd Edition). SanFrancisco, CA: Wiley & Sons.

    Google Scholar 

  • Kouzes, J. M., and Posner, B. Z. (2003b). Encouraging the Heart: A Leader’s Guide to Rewarding and Recognizing Others. San Francisco, CA: Jossey-Boss.

    Google Scholar 

  • Kouzes, J. M., and Posner, B. Z. (2007). Leadership Challenge (4th Edition), San Francisco, CA:Wiley & Sons.

    Google Scholar 

  • Kupers, W., and Weibler, J., (2006). “How Emotional is Transformational Leadership Really? Some Suggestions for a Necessary Extension.” Leadership & Organizational Development Journal, Vol. 27, Iss. 5, pp. 368-385.

    Article  Google Scholar 

  • Lawler III, E. E., (2008). “The HR Department: Give It More Respect.” Wall Street Journal Eastern Edition 251(57):R8.

    Google Scholar 

  • Lawler III, E. E., Mohrman S. A. (2000) Beyond the Vision: What Makes HR Effective?. Human Resource Planning 23(4):10-20.

    Google Scholar 

  • Legge, K. (2000). “The Ethical Context of HRM: The Ethical Organisation in the Boundaryless World”. in: D. Winstanley and J. Woodall (Eds.), Ethical Issues in Contemporary Human Resource Management. London: MacMillan Press, pp. 23-40.

    Google Scholar 

  • Ludema, J. D., and Cox, C. K., (2007). “Leadership for World Benefit: New Horizons for Research and Practice”. in: S. K. Piderit, R. E. Fry, and D. L. Cooperrider (Eds.) Handbook of Transformative Cooperation: New Designs and Dynamics. Palo Alto, CA: Stanford Business Books, pp. 333-373.

    Google Scholar 

  • Marcum, D., and Smith, S. (2007). egonomics: What Makes Ego Our Greatest Asset (or Most Expensive Liability). Wichita, KS: Fireside Publishing.

    Google Scholar 

  • Paine, L. S., (2003). Value Shift: Why Companies Must Merge Social and Financial Imperatives to Achieve Superior Performance. New York: McGraw-Hill.

    Google Scholar 

  • Palmer, G., (2007). “Socio-Political Theory and Ethics in HRM”. in: A. Pinnington, R. Macklin, and T. Campbell (Eds.), Human Resource Management: Ethics and Employment. Oxford: Oxford University Press. pp. 23-34.

    Google Scholar 

  • Pauchant, T. C., (2005). “Integral Leadership: A Research Proposal.” Journal of Organizational Change Management 18(3):211-229.

    Article  Google Scholar 

  • Pava, M., (2003). Leading with Meaning: Using Covenantal Leadership to Build a Better Organization. New York: Palgrave MacMillan.

    Google Scholar 

  • Payne, S. L., and Wayland, R. F., (1999). “Ethical Obligation and Diverse Value Assumptions in HRM.” International Journal of Manpower 20(5):297-308.

    Article  Google Scholar 

  • Pfeffer, J., (1998). The Human Equation: Building Profits by Putting People First. Boston, MA: Harvard Business School Press.

    Google Scholar 

  • Pfeffer, J., (2007). “Human Resources from an Organizational Behavior Perspective: Some Paradoxes Explained.” Journal of Economic Perspectives, Vol. 21, Iss. 4, pp. 115-134.

    Article  Google Scholar 

  • Pinnington, A., Macklin, R., and Campbell, T., (2007). “Introduction: Ethical Human Resource Management”. in: A. Pinnington, R. Macklin, and T. Campbell (Eds.), Human Resource Management: Ethics and Employment. Oxford: Oxford University Press. pp. 1-20.

    Google Scholar 

  • Schein, E. H., (2007). Organizational Culture and Leadership. San Francisco, CA: Jossey-Bass.

    Google Scholar 

  • Schultz, T., and Brender-Ilan, Y. (2004). “Beyond Justice: Introducing Personal Moral Philosophies to Ethical Evaluations of Human Resource Practices.” Business Ethics: A European Review, Vol. 13, Iss. 4, pp. 302-316.

    Article  Google Scholar 

  • Senge, P. M., (2006). The Fifth Discipline: The Art and Practice of the Learning Organization. New York: Doubleday.

    Google Scholar 

  • Solomon, R. C.: 1992, Ethics and Excellence: Cooperation and Integrity in Business (Oxford University Press, New York)

  • Solomon, R.C., and Flores, F., (2003). Building Trust: In Business, Politics, Relationships, and Life. New York: Oxford University Press.

    Google Scholar 

  • Sun, L-Y., Aryee, S., and Law, K. S., (2007). “High-Performance Human Resource Practices, Citizenship Behavior, and Organizational Performance: A Relational Perspective.” Academy of Management Journal 50(3):558-577.

    Google Scholar 

  • Sung-Choon, K., Morris, S. S., and Snell, S. A., (2007). “Relational Archetypes, Organizational Learning and Value Creation: Extending the Human Resource Architecture.” Academy of Management Review 32(1):236-256.

    Google Scholar 

  • Ulrich, D., and Beatty, D., (2001). “From Partners to Players: Extending the HR Playing Field.” Human Resource Management, Vol. 40, Iss. 4, pp. 293-299.

    Article  Google Scholar 

  • Ulrich, D., and Brockbank, W., (2005). “The Work of HR Part One: People and Performance.” Strategic HR Review, Vol. 4, Iss. 5, pp. 20-23.

    Article  Google Scholar 

  • Werhane, P. H., (2007). “Women Leaders in a Globalized World.” Journal of Business Ethics, Vol. 74, Iss. 4, pp. 425-435.

    Article  Google Scholar 

  • Werhane, P. H., Radin, T. J., and Bowie, N. E. (2004). Employment and Employee Rights. Oxford: Blackwell Publishing.

    Book  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Cam Caldwell.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Caldwell, C., Truong, D.X., Linh, P.T. et al. Strategic Human Resource Management as Ethical Stewardship. J Bus Ethics 98, 171–182 (2011). https://doi.org/10.1007/s10551-010-0541-y

Download citation

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s10551-010-0541-y

Keywords

Navigation