Chapter 7: Aiming for Strategic e-HRM: Motives and Consequences of e-HRM Implementation in an MNC

The purpose of this study is to explore e-HRM in MNC setting from various stakeholder´s perspectives. The chapter aims to understand the motives behind the implementation of e-HRM in an MNC. Second, the chapter studies the impacts e-HRM has on various stakeholders and finally aims to deliver understanding of the concept of strategic e-HRM in an MNC.

The study follows a qualitative case study method and the interviewees represented three groups: top management, HR professionals, and line managers.

Main findings suggest that the implementation was motivated by issues related to standardization and overall introduction of a strategic way of working. As an impact of e-HRM implementation, the control of subsidiaries became easier; external and internal transparency and HR image improved; HR operations gained efficiency; and the possibility for “fact based decision making” enabled strategic e-HRM realization for some stakeholders, with the exception of line managers who were considerably more skeptical about issues related to strategic e-HRM.

The issues of change management and system training should be transparent. The strategic benefits could be realized for the line managers and operational HR by discussing how e-HRM impacts their work and roles and how they contribute to achieving the business targets.

The chapter highlights the need for communication in all levels of MNC, and the needs to update e-HRM regularly and taking equally into account various stakeholder’s perspectives.

We pioneer a multilevel perspective of e-HRM implementation and impact in an MNC setting and improve the understanding of taking account various stakeholder’s views when aiming for strategic e-HRM partnerships.