Determining factors of payment for performance in Argentinian subsidiaries of multinational companies
DOI:
https://doi.org/10.18046/j.estger.2018.149.2872Keywords:
Payments for performance, Multinational companies, Performance evaluationAbstract
This paper aims to shed light on the factors determining payment for performance in multinational companies based in Argentina. A logistic regression analysis model was performed. Additionally, an analysis of the marginal effects on the explanatory variables was carried out drawing on a survey of 83 subsidiaries of multinational companies. The results indicate that the probability of incorporating payment for performance increases when companies have higher levels of external sales and are transnationalized, while decreasing for companies with a local control of human resources, with a strong union presence. Finally, the company’s country of origin showed no significant incidence.
Downloads
References
Agresti, A. (2007). An Introduction to Categorical Data Analysis. Second Edition. New Jersey: John Wiley & Sons.
Ahlvik, C. y Bjorkman, I. (2015). Towards explaining subsidiary implementation, integration, and internalization of MNC headquarters HRM practices. International Business Review, 24(3), 497-505.
Almond, P. (2011). Re-visiting country of origin effects on HRM in multinational corporations. Human Resource Management Journal, 21(3), 258-271.
Arrowsmith, J. y Marginson, P. (2011). Variable pay and collective bargaining in British retail banking. British Journal of Industrial Relations, 49(1), 54-79
Barth, E., Bratsberg, B., Haegeland, T. y Oddbjorn, R. (2012). Performance pay, union bargaining and within firm inequality. Oxford Bulletin of Economics and Statistics, 74, 327-62.
Bartram, T., Boyle, B. y Staton, P. (2015). Performance and reward practices of multinational corporations operating in Australia. Journal of Industrial Relations, 57(2), 210-231.
Bélanger, J., Giles, A. y Grenier, J. (2003). Patterns of corporate influence in the host country: a study of ABB in Canada. International Journal of Human Resource Management, 14(3), 469-85.
Bloom, M., Milkovich, G. y Mitra, A. (2003). International compensation: learning from how managers respond to variations in local host contexts. International Journal of Human Reource Managment, 14, 1350- 1367.
Bryson, A., Forth, J. y Stokes, L. (2014). The performance pay premium: How big is it and does it affect wage dispersion? IZA Discussion Paper Series, No. 8360. Bonn, Germany. Institute for the Study of Labor.
Cameron, A. C. y Trivedi, P. K. (2009). Microeconometrics using Stata. Texas: Stata Press.
Cappelli, P. y Conyon, M. (2018). What Do Performance Appraisals Do? ILR Review, 71(1), 86-116.
Chudnovsky, D. y López, A. (2001). La inversión extranjera directa en el mercosur. Un análisis comparativo. En D. Chudnovsky (Coord.), El boom de inversión extranjera directa en el Mercosur. Madrid: Siglo Veintiuno.
Delfini, M. (2011). Relaciones laborales y “gestión de recursos humanos” en filiales de empresas multinacionales en Argentina. Sociedad y Economía, 20, 171-195.
Dølvik, J. y Nergaard, K. (2011). Variable pay, collective bargaining and trade unions: A comparison of machinery and banking companies in Norway. Economic and Industrial Democracy, 33(2), 267-293.
Edwards, T. y Kuruvilla, S. (2005). International HRM: National business systems, organizational politics and the international division of labour in MNCs. The International Journal of Human Resource Management, 16(1), 1-21.
Edwards, T., Marginson, P. y Ferner, A. (2013a). Multinational companies in cross-national context: integration, differentiation and the interactions between MNCs and nation states. Industrial and Labor Relations Review, 66(3), 547-587.
Edwards, T., Tregaskis, O., Collings, D., Jalette, P. y Susaeta, L. (2013b). Control over employment practice in multinationals: Subsidiary functions, corporate structures, and national systems. ILR Review, 66(3), 670-95.
Edwards, T., Sánchez-Mangas, R., Jalette, P., Lavelle, J. y Minbaeva, D. (2016). Global standardization or national differentiation of HRM practices in multinational companies? A comparison of multinationals in five countries. Journal of International Business Studies, 47(8), 991-1021.
Evans, P. (1992). Management development as glue technology. Human Resource Planning, 15(1), 85-106.
Ferner, A., Edwards, T. y Tempel, A. (2011). Power, institutions and the crossnational transfer of employment practices in multinationals. Human relations, 65(2), 163-187.
Ferner, A. y Almond, P. (2013). Performance and reward practices in foreign multinationals in the UK. Human Resource Management Journal, 23(3), 241-261.
Ferner, A., Belanger, J., Tregaskis, O., Morley, M. y Quintanilla, J. (2013). US MNCs and the control of subsidiary human resource and employment practice. Industrial and Labor Relations Review, 66(3), 645-696.
Freeman, D. H. (1987). Applied categorical data analysis. New York: Marcel Dekker Inc.
Gittleman, M. (2014). Pay for Performance and Compensation Inequality: Evidence from the ECEC. ILR Review, 68(1), 28-52.
Grote, R. (2005). Forced Ranking: Making Performance Management Work. Boston, MA: Harvard Business School.
Gunnigle, P., Lavelle, J. y McDonnell, A. (2007). Industrial relations in MNC: double-breasting and trade union avoidance in Ireland. Working Paper, Department of Personnel and Employment Relations, Kemmy Business School, University of Limerick, Irlanda.
Hanmer, M. J. y Ozan Kalkan, K. (2012). Behind the Curve: Clarifying the Best Approach to Calculating Predicted Probabilities and Marginal Effects from Limited Dependent Variable Models. American Journal of Political Science, 57(1), 263-277.
Heery, E. (2000). Trade unions and the management of reward. En G. White y J. Druker (Eds.), Reward Management. A Critical Text (54-83). Londres: Routledge.
Heywood, J. y Jirjahn, U. (2014). Variable Pay, Industrial Relations and Foreign Ownership: Evidence from Germany. British Journal of Indus trial Relations, 52(3), 521-552.
Hoetker, G. (2007). The use of Logit and Probit Models in Strategic Ma nagement Research: Critical issues. Strategic Management Journal, 28, 331–343.
Jacoby, S. (1997). Modern Manors: Welfare Capitalism since the New Deal. Princeton, NJ: Princeton University Press.
Kristensen, P. y Zeitlin, J. (2005). Local Players in Global Games: The Stra tegic Constitution of a Multinational Corporation. Oxford: Oxford Uni versity Press.
Marginson, P., Arrowsmith, J. y Gray, M. (2008). Undermining or refra ming collective bargaining? Variable pay in two sectors compared. Human Resource Management Journal, 18(4), 327-346.
McDonnell, A., Gunnigle, P., Lavelle, A. y Lamare, R. (2015). Beyond ma nagerial talent: ‘key group’ identification and differential compensa tion practices in multinational companies. The International Journal of Human Resource Management, 27(12), 1299-1318.
Menard, S. W. (2001). Applied logistic regression analysis. Sage University Papers Series on Quantitative Applications in the Social Sciences, 07-106. California, Estados Unidos: Sage Publications.
Nergaard, K., Dølvik, J., Marginson, P., Arasanz Díaz, J. y Bechter, B. (2009). Engaging with Variable Pay: A Comparative Study of the Metal Industry. European Journal of Industrial Relations, 15(2), 125-146.
O´Brien, R. M. (2007). A Caution Regarding Rules of Thumb for Variance Inflation Factors. Quality & Quantity, 41, 673–690.
Pudelko, M. y Harzing, A. (2008). The Golden Triangle for MNCs: Stan dardization Towards Headquarters Practices, Standardization To wards Global Best Practices and Localization. Organizational Dynam ics, 37(4), 394–404.
Rubery, J. y Grimshaw, D. (2003). The Organization of Employment: An In ternational Perspective. Basingstoke: Palgrave Macmillan.
Shibata, H. (2002). Wage and performance appraisal systems in flux: a Japan–United States comparison. Industrial Relations, 41(4), 629–652.
Singh S., Darwish, K., Wood, G. y Fattaah Mohamed, A. (2016). Institu tions, complementarity, human resource management and perfor mance in a South-East Asian Petrostate: the case of Brunei. The International Journal of Human Resource Management, 28(18), 2538- 2569.
Tang, W., He, H. y Tu, X. M. (2012). Applied Categorical and Count Data Analysis. Boca Raton: Taylor & Francis Group.
Tweedie, D., Wild, D., Rhodes, C. y Martinov-Bennie, N. (2018). How Does Performance Management Affect Workers? Beyond Human Resource Management and Its Critique. International Journal of Man agement Reviews, 20(2), 205-231.
Williams, R. (2012). Using the margins command to estimate and inter pret adjusted predictions and marginal effects. The Stata Journal, 12(2), 308–331.
Downloads
Published
Issue
Section
License
Articles are the sole responsibility of their authors, and will not compromise Icesi’s University principles or policies nor those of the Editorial Board of the journal Estudios Gerenciales. Authors authorize and accept the transfer of all rights to the journal, both for its print and electronic publication. After an article is published, it may be reproduced without previous permission of the author or the journal but the author(s), year, title, volume, number and range of pages of the publication must be mentioned. In addition, Estudios Gerenciales must be mentioned as the source (please, refrain from using Revista Estudios Gerenciales).