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How Human Resource Outsourcing Affects Organizational Learning in the Knowledge Economy

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  • FRANCINE SCHLOSSER
  • ANDREW TEMPLER
  • DENISE GHANAM

Abstract

Adaptability and knowledge management, key elements of organizational learning, are critical to organizational success as a result of a fundamental shift towards a knowledge economy. HR outsourcing and the growth in contingent work can result in a significant loss in learning capital through a breakdown in the psychological contract. We explore how to preserve HR's strategic role in facilitating organizational learning in the new outsourcing and offshoring context. The problem is compounded if outsourcing is introduced for cost control rather than strategic re-focusing reasons. We suggest that managers can positively influence the relationship between outsourcing and organizational learning through internal marketing tactics and enriched psychological contracts.

Suggested Citation

  • Francine Schlosser & Andrew Templer & Denise Ghanam, 2006. "How Human Resource Outsourcing Affects Organizational Learning in the Knowledge Economy," Journal of Labor Research, Transaction Publishers, vol. 27(3), pages 291-303, June.
    • Handle: RePEc:tra:jlabre:v:27:y:2006:i:3:p:291-303
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    Cited by:

    1. Amalia PANDELICA & Ionut PANDELICA, 2010. "The Psichology Behind The Economic Crisis," Scientific Bulletin - Economic Sciences, University of Pitesti, issue 9, pages 131-138.
    2. MahmudulHasan Foiji & Md. Anamul Hoque & Muhammad Belal Hossain Khan, 2019. "Strategic Potential of e-HRM in Outsourcing HR Functions," International Journal of Business and Social Research, LAR Center Press, vol. 9(2), pages 1-10, February.
    3. Ingi Runar Edvardsson & Guðmundur Kristján Óskarsson, 2021. "Outsourcing of Human Resources: The Case of Small- and Medium-Sized Enterprises," Merits, MDPI, vol. 1(1), pages 1-11, May.
    4. MahmudulHasan Foiji & Md. Anamul Hoque & Muhammad Belal Hossain Khan, 2019. "Strategic Potential of e-HRM in Outsourcing HR Functions," International Journal of Business and Social Research, MIR Center for Socio-Economic Research, vol. 9(2), pages 1-10, February.

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