Introduction
Organizations cannot run in silos. Multiple stakeholders are there. Human Resource Management (HRM) is the central theme of any organization. Sustainable HRM is a multi-stakeholder, multiple-disciplined, and multi-dimensional approach with high value and ethics which helps avoid harmful consequences for shareholders and all other stakeholders. Sustainable HRM also helps to gain positivity with effective and efficient outcomes to triple the bottom line i.e. people, planet, and profit. Sustainable HRM increases shareholder values in addition to the improvement of social acceptance and environmental health of the organization. Ancient Indian wisdom has added value and provides an alternative perspective to a sustainable approach in a scientific and more disciplined manner for the overall growth and development of the organization and maximizing shareholder value. If Western ideology, values, and culture are considered, the analytic perspective of sustainability can be obtained. On the contrary, if an Indic perspective is considered, more relationship, bonding, and cohesion can be added to it. If a holistic situation of both is considered, HRM can be more meaningful towards the sustainability of an organization. This paper will throw light on the organizations of a post-covid and post-digitalized era where a holistic approach of HRM can uplift an organization towards sustainability and how that balanced organization can be capable of building confidence, and trust of all the stakeholders and can take up challenges of complex business environment and global competitiveness.
Uncertainty and related dilemmas in the workspace
Post-covid and post-digitization periods have invited more uncertainty in the workspace and the workforce has totally been plunged into greater employment uncertainty and insecurity. According to the PWC’s recent Workforce of Future report, 37% of the workforce are concerned about losing their job. It has also been estimated that between 400 million to 800 million individuals will be displaced by automation within 2030 and they have to find a new job. To cope with this, a paradigm shift is required in HRM to make it sustainable and make the organization future-ready. Sustainable HRM will have to be comprehensive and holistic in nature and a good mixture of Eastern and Western cultures will make some good brand ambassadors who will increase the brand value of the organization in the global marketplace and give the organization a clear competitive advantage.
Understanding the future of the work
It’s time to grasp how disruptive technology will affect current work methods and employment structures. We also need to consider how this disruption will influence the workforce as well as the dynamics of employers and employees. Employees will face challenges such as intense market competition, economic instability, rapid technological advancements, the rise of finance-driven market strategies, and the globalization of markets. In post-covid and post-digitization business places, employees have to deal with working from home, non-contact with fellow employees, and related psychological issues. In the future, the organization will also have to deal with the aging workforce and increased casualization. Subcontracting, franchising and will be increasing day by day in the future and to cope with this, HRM must have a mix of Western and Eastern perspectives. Such mixed HRM practices can only be sustainable and can help the organization sustain itself in future competitive business scenarios.
Strengths and weaknesses of Eastern perspective and Western perspective
Organizations and their business look different in America than in India. Human Resource Management (HRM) in Western and Eastern countries reflects the differences in their respective sub-culture. Western values also heavily differ in respect of values. In Eastern countries like India (Indic Perspective), Human Resource Management emphasizes valuing people over process. Key aspects like hospitality, strong relationships, loyalty, teamwork, and long-term bonds between employees and employers are prioritized. The cultural foundation creates an ideal environment for HR policies that focus on employee retention, training, and development.
HRM in Western countries is more focused on analytics, bottom-line perspective, and low resistance to change which helps them to carry out organizational change without any obstruction of unions, associations, employees, and other stakeholders. Organizations in Eastern countries adopt a community-oriented approach, shaping HR practices to consider the well-being of the entire group, including societal and community needs. In contrast, Western countries excel in addressing discrimination, as their cultural values strongly emphasize and uphold equal rights and fairness.
Requirements of Holistic approach
To be an effective and efficient organization in the age of globalization, the clash between indigenous values, cultures, thinking, and the same of other countries is to be avoided. Relationship-related clashes and cultural differences in Western countries can be solved through the Indic perspective. MAYABAD teaches human beings that everything in this world is an illusion and not to be carried out by the situation. Only PARAMBRAHMA is true. India epic teaches about the duties and responsibilities of the human beings who are the main pillars of the organization. As such, if a comprehensive blending of Western and Eastern perspectives can be done in HRM practices, areas of dispute in both approaches can be minimized. Extensive blending can steer an organization with its synergic effort and replicate the same within its employees and teams to ensure long-term sustainability.
Role of SDG and EDG in sustainable HRM
- The Sustainable Development Goals (SDG): The SDGs represent a global initiative aimed at eradicating poverty, safeguarding the planet, and ensuring peace, safety, and prosperity for all. Established by the UN in 2015, these 17 goals strive to create a better, more sustainable world by 2030. SDGs significantly contribute to enhancing health and well-being, providing quality education, protecting the environment, and promoting climate action. They also address economic aspects such as job creation and fostering decent work opportunities, offering hope for future generations.
- Environmental, Social, and Governance (ESG): ESG is a framework used to assess organizational performance in three critical areas: environmental impact, social responsibility, and governance practices. By focusing on sustainable business practices, ESG promotes long-term strategies that benefit the environment, employees, investors, and overall governance. Integrating ESG principles into HRM helps organizations adopt sustainable practices and prepare for the future. As a rating system, ESG evaluates a company’s environmental and social performance emphasizing sustainable, forward-looking solutions. Together, SDG and ESG serve as roadmaps for creating a sustainable and prospective future.
- How organizations will include SDG and ESG in their business: 70% of Carbon Dioxide comes from industry. As such, they have the main responsibility to reduce it. Organizations should also take responsibility for their employees, customers, environment, society, and other stakeholders of the company. Organizations will have to include these in their strategies to re-engineer their business operations. The green initiative is to be considered in all steps of operations. They should participate in community projects that reflect and support their core values. Consumers started purchasing products now after examining SDG and ESG levels on the product. As such, all organizations must have to implement these methodologies not only for environmental and social responsibilities but also to remain competitive in the global business place.
How this topic will contribute to HR Studies
This topic provides a comprehensive foundation for studying HRM by emphasizing the critical need for a sustainable and holistic approach. It highlights how the integration of multiple perspectives – Eastern relational values and Western analytical rigor can enrich HRM practices, making them more adaptable to global challenges. By addressing contemporary issues such as workplace uncertainty, technological disruption, and cultural diversity, this topic offers actionable insights into fostering resilience and inclusivity within organizations.
Additionally, the inclusion of SDG and ESG principles underscores the importance of aligning HRM strategies with global sustainability benchmarks. The alignment ensures that HR practices contribute not only to organizational success but also to broader societal and environmental goals. For scholars and practitioners, this analysis serves as a roadmap to understanding the evolving dynamics of HRM in the post-covid and post-digitization era. It provides the tools to explore how a balanced and sustainable HRM framework can build trust, enhance stakeholder confidence, and equip organizations to thrive in competitive and uncertain environments. By studying and applying these principles, HRM can become a transformative force in shaping sustainable and ethical organizations for the future.
Conclusion – Role of Eastern practices in the implementation of these Western Methodologies
As per Gita, Karma yoga is “doing with cleverness and as a science. By knowing how to work, one can obtain the greatest results.” All work is to extract the power of the mind which already exists to wake up the soul. Power exists in every human being; only mental or physical blows are required to wake them up. So, karma yoga and its related wisdom help all to know the importance and benefits of SDG and ESG and motivate them to include these two important factors in their workspace and execute them in the true sense. Moreover, spirituality and wisdom can be inculcated in a person through Yagna. A person can be fulfilled through it. Being an internal customer of the organization, spreading this wisdom and message of karma yoga to all stakeholders of the organization is to be ensured. This not only maintains sustainability but makes the organization more dynamic, balanced, social, ethical, and environment-friendly.
In conclusion, the organization cannot thrive in isolation, especially in the complex and rapidly evolving post-covid and post-digitization era. Sustainable HRM emerges as a cornerstone for navigating the challenges of uncertainty, technological disruption, and workforce transformation by adopting a holistic and multi-stakeholder approach. Sustainable HRM integrates high ethical values, strengthens shareholder interests, and ensures the well-being of the people, planet, and profit.
By blending the analytical strengths of Western perspectives with the rational and value-driven emphasis of Eastern philosophies, organizations can achieve a balanced and sustainable approach to HRM. Such integration not only resolves cultural and relational clashes but also fosters strong bonds, loyalty, and adaptability within the workforce, thereby driving long-term growth and resilience.
The adoption of SDG and ESG principles further positions organizations to meet global challenges responsibly. By embedding these frameworks into their strategies, business can enhance their environmental stewardship, promote social equity, and build governance practices that resonate with stakeholder’s expectations. Ultimately, sustainable HRM equips organizations to confidently navigate a complex global business environment, fostering trust, innovation, and competitiveness. It is a pathway to creating value that transcends economic gains and a harmonious relationship between the organization and its broader ecosystem.
Author: Biswajit Chatterjee
Author: Dr. Susmita Mukhopadhya
About the Authors:
Prof. Dr. Susmita Mukhopadhyay, is author of this write-up. She is Associate Professor of
Vinod Gupta School of Management, IIT Kharagpur and she is having wide experience in HR,
Business Ethics, Organization Sustainability and Human Psychology.
Mr. Biswajit Chatterjee, is author of this article & an Electronics Engineer with 27+ years of
experience in the power sector, specializing in Power Distribution, Energy & Revenue
Management, IT, and Hydel Power.
He played a key role in his organization’s restructuring and has represented it on national and
state platforms. Currently serving as Deputy Chief Engineer at Masanjore Hydel Power Station,
he leads plant operations. A PGDBA graduate from IIT Kharagpur, he secured 1st position
and received the Institute Silver Medal. He is now pursuing a PhD in HR at IIT Kharagpur as
a working professional.
