Education, Performance Management and Competitiveness as Instruments for Developing Skills for Human Resources in Organizations[1]
Adelino José Ferreira Monteiro1, João Carlos de Oliveira Matias2, Elizabeth Real de Oliveira3
1 Universidade da Beira Interior, Covilhã
2 Universidade da Beira Interior, Covilhã
3Universidade Lusíada de Vila Nova de
Abstract
Higher education plays an important role in our societies.Considering the universalizing era and the change in the universities' mission and a move towards high-quality performance and organizational excellence, it is important to understand the linkages between the different stakeholders. Thispaper aims toinfer,if Higher EducationandPerformance Management,are instrumentsfor the transformationof human resources, and if they contribute effectively towardsorganizational competitiveness.The creation oforganizational valueisstronglyinfluenced by the qualityof management and the qualification of human resources. The work presented here is part of a PhD thesis, and reports on the findings of a survey directed to stakeholders within Higher Education.
Keywords:Human Resources Management, Performance Management, New Educational Paradigms
Theconcept of educationin the European Communityis contributing tomajoroperationalchanges in thePortuguese educational system.The aim of these changes istofind a matrixthat identifiesguidingtrendsand proposelines of action, helping the acquisition of skills,focused onthe collective mobilizationof the common good.A current trend in this fieldreflectsthe need to faceeducationthroughoutlife,as a source ofprogress andpersonal responsibilityin the construction ofacommon destiny(Delors, 1998: 11-30).
In parallel with the changes occurring in Higher Education towards a new paradigm of teaching centered within the acquisition of competences, the business environment is also evolving. According tocurrent forecasts,the companies of thetwenty-first centurydo not guaranteejobsfor lifeas they haveareducedlife expectancydue toglobal competition,rapid technological change and the innovation capacityof competitors.These newparadigmsmean that thelife cycleofactiveworkersis higher than thelife cycle ofemploying organizationswhich forcesworkersto bet on theknowledge in order todevelopnew careers, new relationshipsand new skillsto be able tobe flexible.According toDrucker (1994),the competitive advantage oforganizationsis derived from theindividual knowledgeof workers,which enhancescompetitiveness.
Performance appraisal is an unavoidable element of organizational life (Brown, 1988), and is intrinsically linked to competences analysis and development.According toVroom(inMitchell 1982,quotedby Cunhaetal,2004:61), performanceresults from theinteractionbetweenindividual skills andmotivation, whereby, being null one of thesefactors,it will also benull the resultingperformance. A poor performancemay be the result fromwell driven peoplewith lack ofabilities or,veryskilledpersonswithoutmotivation.Studiesof Schmidt andHunter(1998) concludedthat "intellectual abilityisthe best predictor offunctional performance."
Seixo (2007: 16) considers that performance management contributes towards the efficiency and effectiveness of organizations.There are many decisions in modern organizations that depend on performance management, and they are widely used in most organizations (Burkhalter & Buford, 1989; Davis, 2001; Wanguri, 1995). They are an important piece of the process by which organizations attempt to direct themselves in order toachieve their objectives, and they have been considered a key component in the success of organizations (Grote, 2002; Pettijohn, Parker, Pettijohn, & Kent, 2001; Rasch, 2004).
Establishing the linkages between the role of higher education, in developing the adequate skills for businesses needs, and performance management as a business tool, seems crucial towards competitiveness.
Research Question and Methodology
The research question underlined in this paper, and later, divided in five specific research hypotheses is:
“Continuous Education, split between Higher Education Institutions and within Business contexts, ensures the acquisition and renewal of skills that contribute to improve performance and increase competitiveness?”
Research Hypothesis:
H1–Life Long Learning requiresan effortof continuous progressionin order to acquire comprehensiveskillsthat contribute tosustainable economic growth of societies.
H2 –Qualified human resources influence value creation and promote performance and competitiveness.
H3 – Performance evaluation values the formative dimension and can be understood as a management tool that promotes the qualification and mobilization of people within organisations.
H4 – The operationalizationof the linkbetween the school- the Universityin particular -and Organizationsisnecessaryfor society toachievelevels of efficiencyand effectivenessconsistent withhigh levels of development.
H5–Thesustainable development of societiesis possible onlyif theEducation,Science andLabourareagentsof progress andeconomic growthby mobilizingthe skills andvalue creationtogain a competitive advantage.
Empirical work under this research was carried out through a survey.For the structure of the survey the authors followed the stepssuggested byBarañano(2008:83).It was intended tocollect datathat would help to answer the research question and address the 5 research hypothesis.
A pre-test survey was carried out to a sample of respondents of the universein order tocollectsuggestionsand refine the survey. The Universe of the survey was university lecturers and researchers. The authors used a mixed questionnaire(open and closed questions) andquestions inthe solutiontree werechosen toallow obtaining theinformation soughtto avoidmonotonyin their fulfillment.
Questions were organized insixblocks:A -Identification;B–Higher EducationC-Performance Assessment;D- Competitiveness,E – Education and Businessand F- Open Question.
Becausethe investigation hasbeen disseminatedthrough onlineplatforms it prejudices accuracy regarding the exactsize of the sampleand, secondly, that the answersfitthe target.However,it isreliablyto consider that the results are representative, sincethe dimension of "reporting population- populationclosely related topopulationgoal,set whenyou cannotknow the universe,is the basisfor sampling, Barañano(2008:83).
In order toensure accuracy and a highdegree of reliabilityand therefore
credibility of the resultsit was consideredfor the studya sampleembodiedin the following terms:
a)Total number ofsurveys sentdirectly to the recipient:150;
b)Propagationfactor[2]:10
c)Total number ofpotentialrecipients: 1500
According to Coutinho(2011: 87),it is considered thatifthe sample is representativeif are received 15% responses,which in this research is equivalentto 225responses. Since we received 246 that correspond to 16,4% of responses, we consider the sample representative.
Results
Closed questions were statistically analysed. The open question was analyzed according to the following structure:
- Group the information according to the research hypothesis raised;
- Identification of innovative factors that contribute towards the research.
The first set of questions was concerned with general information regarding the respondents. Most of respondents were aged between 41 and 60 years old (62%). 47% were female and 53% male. Regarding academic qualification, the sample comprised 29,64% PhD, 31,23 Master degree, 35,18% Graduation. Only 3,95% presented other types of qualification. Most of respondents are currently working at Universities.
The second set of questions was related to evaluate the perceptions of respondents regarding Education role in general. The following table presents the results within this category.
Table1 – Education Results
Questions / %Yes / No / School / Org. / Cost / Inv.
6 / School must teach values such as:solidarity, equity, empathy, trust, loyalty, truth, discipline, fraternity and freedom / 98 / 2 / - / - / - / -
7 / The state investment on education is currently adequate to the existent needs / 40 / 60
8 / The school – university in particular – should develop skills of practicalapplication / 90 / 10
9 / Life long learning develops technical and social skills that contribute to economic development / 80 / 20
10 / Which is the best place for the workers to develop their qualifications? / - / - / 58 / 32
both
10
11 / Human resources development is a cost or an investment for organizations? / - / - / 3 / 97
12 / Portuguese youth have an excess of academic qualifications and lack practical experience? / 61 / 39 / - / -
13 / Business associations should participate in the development of high education degrees? / 82 / 18
From an analysis of the responses it is relevant to see that approximately 60%of respondentsconsider that the investmentthe statemakesin education,especially inhigher-skilledoccupations, it is notappropriate to the needsof our country.90%of respondents believethat the School, the Universityin particular,should developsimultaneouslytheoretical and practical skills.About 80%believesthat educationdevelopslifelongskillsthat contribute to thecountry's economic growthand 58% considerthat it is inthe schoolthat employeesimprove theirgeneral skillsagainst 32%who think that it isin the business context.
Only 3%of respondentsfelt that thedevelopment of human resourceswasacost for companies/organizations andnot an investment.Probably because our sample is constituted manly by people that work in higher education.61%of respondentsbelieves that thePortuguese youthlackpractical skills, and 82% believethat business associationsshould be involvedin the construction ofhigher education curricula.
The third set of questions was related to performance evaluation. The following table presents the results obtained within the questions of this section.
Table2 – Performance Evaluation Results
Questions / %Yes / No / Increase / Decrease / Fear / Con/Det
14 / Performance management contributes towards a better performance of the tasks / 76 / 4 / - / -
Maybe
20
15 / Anxiety created by the evaluation process weakens the normal organizational functioning / 28 / 37
Maybe
35
16 / People less motivated are more disruptive of the organizationalenvironment / 53 / 47
17 / When there is a fit between the organizational culture and the people within the organization, there is better individual and group performance / 94 / 6
18 / Performance management confronts people in their “comfort area” and contributes to increase or decrease their motivation / - / - / 64 / 8
Neither decreases nor increases
28
19 / Thewage conditionsandcareer advancementare the only causesof motivationwhich improve performance / 29 / 71 / - / -
20 / A motivated employee, givesaguarantee of an efficient and effective performancethat contributes to achieve the objectivesof the organization / 18 / 13
Not always
69
21 / The organization where you work possess any type of performance system? / 85 / 15
22 / Your last performance evaluation was objective and the final result was just, serious and transparent / 20 / 41
In some areas
39
23 / Performance evaluationof your organization raises fears in peopleor, conversely,generatesconfidence anddetermination / - / - / 84 / 16
With these questions the authors intend to understand the perceptions regarding how evaluation of performance contributes towards organizational development. The respondents (76%) considered that performance management contributes towards organizational development. The great majority of respondents (94%) consider that human resources improve their individual and group performance when tuned with the organizational culture.
Regarding the question about wage conditions, 71% of respondents considered that money is not the only motivator.This group indicated other factors, such as: “self-esteem”, “personal recognitionand appreciationby non-monetary means”,“professional pride”,“recognitionby the scientific community”,“good atmosphere”, “recognition of merit”, “personal and socialrecognition”, “emotional satisfaction”, “desire to improve”, “I likethe professionand working conditions", "health insurance,pension supplementsand leisure activities","accumulation ofknowledge and experience”,"assurance of continuityin the workplace”, “institutionalenvironment”, "flexible hours”,"availability ofcanteens, childcare facilities, gym","public appreciation","prospectsfordevelopment andpersonal fulfillment”.
The fourth set of questions was related to competitiveness. The following table presents the results obtained within the questions of this section.
Table 3 – Competitiveness
Questions / %Yes / No / FI / CT
24 / Thetrainingoffered byyour organizationhas contributed to increasingproductivity and competitiveness / 27 / 27 / - / -
In some cases
46
25 / The suggestions givenby employeesof your organization have contributed toimprove the processesfor improving the productivity and competitiveness / 30 / 21
In some cases
49
26 / In your organization moral valuesare respected (eg, solidarity,sharing, justice and equity)towardsacompetitive environment / 29 / 19
Not always
52
27 / Thecompetitive performanceis more dependent oninternal factors(endogenous) of the organizationortheglobal competenciesof employees/ workers / - / - / 50 / 50
28 / In the exerciseof your profession, your contributionto the improvement ofcompetitiveness,helps developthe sustainable growth ofyour organization / 93 / 7 / - / -
29 / Therole of the state,localand international,isimportant for organizations toincrease theircompetitive ability / 51 / 8
In some cases
41
With these questions the authors intend to understand the perceptions regarding if competitiveness is, or is not, related with organizational development. And if this competitiveness is related to the organizational and moral values.
Question 30 of the survey allowed respondents to identify the factors that contribute the most for increased competitiveness. The results are showed in table 4. Competence was the highest ranked factor, followed by efficiency and effectiveness.
Table 4 – Factors that contribute more towards competitiveness
Degree of Importance(-)
1 / 2 / 3 / 4 / (+)
5
COMPETENCE / 3% / 2% / 3% / 22% / 70%
EFICIENCY AND EFFECTIVENESS / 3% / 3% / 4% / 27% / 63%
INNOVATION / 3% / 3% / 8% / 38% / 48%
QUALITY / 2% / 4% / 6% / 33% / 55%
PRODUCTIVITY / 2% / 3% / 8% / 42% / 45%
PERFORMANCE / 2% / 2% / 9% / 32% / 55%
INFRASTRUCTURES / 1% / 7% / 33% / 45% / 14%
KNOW-HOW / 1% / 4% / 9% / 34% / 52%
MANAGEMENT / 1% / 6% / 18% / 44% / 31%
TECNOLOGY / 2% / 5% / 11% / 53% / 29%
Regarding to the connection between Higher Education institutions and other organizations, the objective of the survey was to understand how effective this articulation is. Results are presented in the following table.
Table 5 – Linkages between Higher Education Institutions and Surrounding Business Environment
Questões / %Yes / No / Sec. / H.E.
31 / Thebusiness communitycan improvethescientific researchofcompaniescooperatingwith the research centersof universities / 99 / 1 / - / -
32 / The state mustmobilize the institutionsthat haveexpertise tooptimizethe exchange between Education andBusinesses / 94 / 6
33 / Interactionbetween theory andpractice contributesto improvingorganizational competitiveness / 99 / 1
34 / Therealapproximationbetween universitiesand businessesfacilitatebettercareer choices on behalf of the students and suits business needs. tailored to the needsof companies / 99 / 1
35 / The experimental componentin enterprisesshould begininsecondary schoolor justin higher education / - / - / 76 / 24
36 / There is a need for further studies regarding methodologies of linkages between Higher Education and Businesses in other countries (e.g. France and Germany) and benchmark to Portuguese reality / 97 / 3 / - / -
37 / Does a higher education institution can be considered as a business, in certain specific areas / 59 / 28
depends
13
38 / Permanent interaction between education institutions and businesses contributes towards entrepreneurship encouraging young people to create their own business / 97 / 3
39 / Is it possible to renew knowledge and competences, without mobilizing people towards higher qualifications and value creation, without involving Education institutions / 11 / 89
The last set of questions were open ended questions. The authors treated 89 diversified answers that were grouped and classified using a coding system developed for that purpose, according to the research hypothesis initially raised. Results are showed in the following Tables.
Table6 – Coding System
Categories / F / %C1 / Competences Development in Higher Education and within Business Context / 30 / 22,2
C2 / HR Qualification and Value Creation within Business Context / 38 / 28,2
C3 / Performance Management as an element of Continuous Assessment / 35 / 25,9
C4 / Competitiveness and Interaction between Higher Education and Business Context / 32 / 23,7
Table6.1. – Category C1
Interaction, with a responsibility sense on behalf of the organisation, bearing in mind social equity in order to achieve a greater good.Education given by Example. Punctuality, continuous knowledge acquisition, autonomous discipline, commitment and responsibility.
Interaction, deepened and systematic, between businesses needs and Higher Education offers (degrees).
Increase of technologic degrees incorporating social issues
Creatinga scholarshipof training needslinkedbetween education,schools and businessesin order to createmanpowerto respondtodifferentmarket needs increasingly competitiveandconstantly changing.
Contentsorientedto thereal needsof businesses andcitizens.
Creation /strengtheningofinteraction betweencompany techniciansand teachersinwhich the firstgo to schoolobserve and teachingthe studentsand the secondwillteachbusinessand observe theemployees.
Development of educationthroughout lifeby updatingscientific and technicalstanding.
Table6.2. – Category C2
Qualificação dos RH com vista a melhorar o QE dos colaboradores e o quadro de diplomacia interna geradora de um bom ambiente de trabalho.Investimento nasinfra-estruturasessenciais ao ensino e investigação aplicada que permita gerar inovação e também no capital humano como fator de crescimento socioeconómico.
Criação de uma cultura ‘simbiótica’ escola/empresa.
Aproveitar os recursos internos da organização para promover formação, partilhar experiências e criar fluxos de brainstorming.
Lideranças honestas e competentes geradoras de fluxos positivos com retorno social.
Reconhecimento do valor pessoal, técnico e profissional dos colaboradores como elemento de promoção na organização.
Estabelecimento de redes internacionais de conhecimento.
Table 6.3. – Category C3
Focusonorganizational improvementasindispensable elements forthe goodindividual performance.Enhancementofcollaborative practices(sharing),merit andcompetent performance (positive discrimination).
Ease ofaccess toleadership(valuedopinion),thebureaucratic processand information and training.
Assessment of performanceas a toolto support management, a factor ofmobilization on theorganization's mission,encouraging thedevelopment of peopleand improving the quality of services.
Instrumentsof performance assessmentmeasuredon the basisof cooperationbecause the excess ofindividual competitionmay hinder thesharing andeffortsto achieve common goals.
Workingby objectives andmonitoringcompliance.
Trainingforinter-organizationalsharing of bestpractices andprofessional conduct.
Ensuringequal opportunities toall employeesstartingfor thedifferentialperformance originatecorrective actionsto allow the organizationon the one hand,be morecompetitiveand, secondly,moreable toobjectivelyrewardcompetence.
Definition ofclear objectives,preciseand strategicdiscussion(shared)systematicgoals andresults.
Table 6.4. – Category C4
Valuefar more,in the faculties ofengineering,prototyping,functionalequipment and patentsthan the publicationof scientific papers.Universities shouldbe construed asincubatorsof prototypeequipmentthat can be produced inPortugal.
Improvingbusiness confidencewith respect to thereal capacitiesof schools.
Schoolsdisciplined, demanding, anddirected tohuman valuesin alllevels of education, especiallybasic,key elementsfor improving thecompetitiveness andnational productivity.
Celebrationof research protocolson specific projects,includingdevelopmentsin the acceptance ofMaster's andPhD.
Training and individual performanceviewedasanasset forthe group/ organizationthus generatingcompanies more competitiveand, consequently,also a countrymore competitive.
Final Considerations
Higher education is one of the organizations which play a crucial role in the development of a society.After analyzing the results of the survey, one is left withthe notionthat thehypothesesfor this studywere confirmedby the convergence ofopinionsof respondents.
Theschool in generaland universitiesin particularhavea duty tomobilize alltheir studentsto acquirevaluesand promotion ofpure andnoble principlesalignedwith good preparationof intellectual,scientific, cultural,professional and human nature.
Organizationsalso havea social responsibility tofollow that ensure the sustainability bysatisfyingpresent needswithout compromisingfuture generations, helpingthusto buildabetter world.
One getsthe clear ideathat education, divided betweenthe School andOrganizations,must createthe best conditions forthe development andacquisition of skillsthat are usefulto professional life, makingHuman Resourcesmore competitivein facing the challengesof the current market.
This study ispolycentricwithinterrelated elements, requiring that thesubjectstreated, not to be understood individually, butclassified asanorganic wholedirected to theresult of the performanceof individuals andorganizations.
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