How to Measure the Happy-Productive Worker Thesis

*Natália Costa, Carlos Miguel Oliveira and Pedro Ferreira*

#### **Abstract**

Globalisation and intensifying competition force organisations to create distinctive competitive advantages, transforming classic management models and seeking effective responses to the mutability and dynamics of markets. People management plays a central role in achieving differentiating capacities, forcing more effective management of human resources. In an environment marked by high absenteeism and turnover, followed by the growing difficulty in retaining talent, organisations have been seeking to increase the satisfaction of internal customer needs (employees), working on issues such as well-being and happiness at work. The increasing concern with employee well-being and their association with job performance have been the basis for many research studies aimed at understanding the impact of the concept of happiness on employee behaviour and performance. This chapter seeks to summarise the main ways of operationalising the constructs inherent to the thesis of the happy-productive worker (happiness and performance). This chapter is structured as follows: introduction, exploration of the happy-productive worker thesis (concept and origin and main theoretical frameworks related to the idea), measuring the constructs (happiness and performance), and conclusion.

**Keywords:** happiness, well-being, retaining talent, performance, operationalisation, happy-productive worker thesis

#### **1. Introduction**

Recently, organisations are facing one of the most significant difficulties regarding human resources. Today, talent retention is one of the most critical issues in human resources management. The lack of human resources that want to stay in organisations is strangling managers, who are beginning to realise that their strategy must involve innovative solutions and discarding classical management forms [1, 2]. The organisational management mind-set is now shifting from an external to an internal perspective, that is, to view their employees as their internal customers [2, 3].

This new vision of managers allows them to perceive their employees as vital resources for organisational development and success [4, 5]; this was only possible due substantial increase in their concern for the well-being of their employees. This growing concern with well-being only begins to spread more widely when managers realise how they can get a return on their investment in promoting the well-being

of their employees. Research following these trends has proven that employees with good levels of well-being are employees who have better performance levels. Happy workers provide superior quality services, adding value, promoting competitiveness and innovation, improving motivation and organisational learning, enhancing employees' commitment to their organisations and improving their attitudes and behaviours [2, 3, 6–12]. In this line of thought, the thesis of the happy-productive worker (HPW) arises based on the belief that a happy worker is more productive.

This chapter aims to answer the following question: in what ways can the constructs of the HPW thesis be operationalised? Based on a systematic literature review, the methods of measuring happiness and performance high in the literature will be elevated, as well as seeking to identify the most common scales for one of the main concepts of the HPW thesis. Hopefully, this exercise will contribute to the systematic and analytical understanding of the components of the HPW thesis.

#### **2. Happy-productive worker thesis**

The current topic aims to clarify the concept and origin of the thesis and identify the principal theoretical frameworks that have been used in existing works that explore the HPW thesis in their research.

#### **2.1 Concept and origin of the HPW thesis**

The HPW thesis is founded on the belief that happy employees are more productive; that is, the higher the level of happiness of an individual, the better their performance will be as opposed to what is expected of unhappy employees [13–24]. However, there are still doubts about the integrity of the relationship postulated by the thesis, and investigations fail to ascertain a positive relationship between happiness and performance levels [5, 25]. The relationship between these constructs (happiness and performance) is favourable for reducing absenteeism and turnover levels and improving behaviour and results at both organisational and individual levels [3]. Given the above, managers should focus on finding the most efficient ways to promote happiness. Some antecedents are already mentioned in the literature, such as health status and employment situation [21].

The research on this theme faces a significant challenge that has not allowed a more remarkable evolution and exploration. This challenge is related to operationalising the constructs underlying the thesis (happiness and performance), being one of the main reasons pointed out for the lack of consensus in published studies that test the HPW hypothesis [26–28]. Possible ways of measuring happiness and performance will be explored in topic 3 of the present chapter.

This thesis is a more recent research topic than happiness or employee performance studies. However, its origins are also a bit difficult to define. In this sense, some authors argue that the origin of the HPW thesis is associated with human relations theory, focused on the concern for the well-being of workers and developed in the 1930s [4, 5]. Other authors mention the Hawthorne studies as the antecedent of the constitution of this thesis [28, 29], mentioning that it is in the 1930s that the investigation of it takes its most significant point of exploration researchers [23, 30]. Current research also attributes to Positive Psychology some orientations evidenced in the HPW thesis. The first contributions appeared in the 1990s and added knowledge from the fields of Psychology and Philosophy [31, 32].

#### *How to Measure the Happy-Productive Worker Thesis DOI: http://dx.doi.org/10.5772/intechopen.107429*

The pursuit of happiness is a universal goal. Still, it was only in the new millennium that managers realised this is not only an individual project but can also be a collective one [33–36]. Only more recently has the literature emphasised the benefits of promoting employee happiness, attributing both individual and organisational benefits. However, defining happiness and performance is arduous because of its subjective nature. Positive Psychology helps construct the concept of happiness, associating that it can be obtained through the sum of positive experiences to the detriment of negative experiences [17].

Moreover, this area also states that individuals with more positive experiences tend to be people characterised by high levels of resilience, with a greater remarkability to face complex situations, and are more innovative and intuitive, optimistic, and proactive [18, 37]. All these are favourable characteristics for employees considering the current context of high uncertainty levels, unmeasured competition and the intense search for competitive advantage [6, 7, 38]. Thus, the relevance of exploring the theme and its current nature is highlighted.

In the following subtopic, we will explore the theoretical frameworks that have been most often used to justify the analysis models proposed by their studies, whose purpose is to validate the existence of a positive relationship between happiness and performance.

#### **2.2 Theoretical frameworks associated with the HPW thesis**

Empirical studies have tried to analyse the relationship postulated by the HPW thesis using analytical models. This modelling is supported by the HPW thesis and complemented by other theoretical frameworks that integrate new variables into the original model. Remember that the model of the HPW thesis only mentions the existence of a positive relationship between happiness and performance. However, researchers have used other arguments even to justify, at times, the constructs that will measure happiness and performance. In this sense, the leading five frameworks considered by these researchers are explored below, clarifying the concept of each one and justifying their association with the HPW thesis.

Thus, of the most recurrent frameworks, the following will be highlighted: social exchange theory, positive psychology, organisational citizenship behaviour, job demands resource model, and broaden and build theory.

Social exchange theory is commonly used in research related to psychology and organisational behaviour [39]. This theory holds that an individual's production of a confident behaviour/attitude is developed according to the individual's perception of the reward derived from that behaviour/attitude. Behaviour/attitudes are conditioned by the expected reward and its impact on the individual's life. This reward can be immediate or posterior, but its relevance is associated with the value that each individual attributes to it, thus determining their behaviours [32, 39]. This establishes a reciprocal relationship in which the employee offers something (behaviour) in to expect from the organisation [40]. Put another way, "it means that people expect to receive resources or actions of similar value to the ones they give, or, vice versa, people tend to respond with resources or actions of similar value to the ones they receive" [39]. Thus, social exchange theory is associated with the HPW thesis in that the primary goal of all organisations is to make a profit. This profit is obtained through customer satisfaction, which can be internal and external [11, 12]. For this purpose, internal customers (employees) are considered, and their well-being/happiness is regarded as a necessary condition for obtaining better results (performance) that are beneficial both at individual and organisational levels.

Positive Psychology is a ramification of Psychology that many researchers credit with creating the HPW thesis, as already mentioned in the previous topic. This field aims to understand how research into affective components can prevent the appearance of psychological disorders and others arising from the above by improving quality of life [34]. Positive Psychology "is a field of psychological science that focuses on the study and observation of positively deviated behaviours, outcomes, and processes at the individual, collective, and societal levels of analysis" [41]. In this sense, Positive Psychology is associated with the HPW thesis. It advocates that happiness can be measured by the sum of positive experiences and the absence of negative experiences [42]. Some researchers have taken advantage of this area's ideology to justify measuring the construct of happiness regarding the investigations of the HPW thesis [28, 29, 43]. The inclusion of Positive Psychology in the HPW thesis "positive emotions could encourage the acquisition of skills and the construction of social capital" [20].

Organisational citizenship behaviour is "defined as workplace behaviours that are discretionary and not explicitly prescribed, required, or rewarded by an organisation" [15]. These behaviours relate to the social and psychological environment where tasks are performed, thus providing more effective organisational functioning. Here one anticipates behaviours such as helping others and staying overtime to improve a task [15, 27]. Organisational citizenship behaviour has been used to justify reducing absenteeism, improving performance, and providing good relationships, thus suggesting reciprocal exchanges where everyone is rewarded [44].

The job demands-resources (JD-R) model states that "well-being exists when there is a balance between the demands perceived by the worker and the existing physical, social and individual resources, generating less work stress, greater engagement and facilitating job performance" [30]. On the other hand, the JD-R model advocates that these resources improve individual behaviour. Still, it also points out that demand levels produce negative results, leading to psychological problems such as increased levels of burnout [26]. In addition, the higher the levels of demand in the workplace, the worse both the commitment and the performance of employees will be, leading to problems such as high turnover and absenteeism [33]. In contrast, work environments with lower demands generally have more satisfied and psychologically healthier employees [45]. Thus, this model suggests a relationship between the resources that lead to employee motivation, increasing their levels of involvement with their work and ultimately impacting performance. In a way, and considering what was previously mentioned, this framework also studies, in a more indirect way, the relationship between happiness (represented here by motivation) and performance, only adding engagement as a mediating variable between both [32, 39].

Finally, the broaden and build theory, suggested by Fredrickson, is presented. This theory argues that it is necessary to

*broaden-and-build theory, several positive feeling states, traits, or emotions, including the experience of PWB, all share the capacity to "broaden" an individual's momentary thought-action repertoires through expanding the available array of potential thoughts and actions that come to mind [31].*

The HPW theory has been used as a theoretical foundation for understanding the relationship between satisfaction (a possible operationalisation form of happiness), performance and their antagonistic patterns [14]. In this sense, this theory states that "positive evaluative sentiments associated with high levels of job-related satisfaction are further broadened and built upon when the employee is also psychologically well in general" [31], so this theory relates to concepts such as positive emotions/affection(s), but also psychological well-being and even employee retention [31, 32, 39].

#### **3. Ways of operationalising the HPW thesis**

This topic will allow answer one of the objectives of this research. Thus, the following subtopics will list the various ways used in the literature to operationalise the subjacent constructs in the thesis (happiness and performance) individually.

The data provided in the following subtopics were obtained from documents found in the Web of Science (WoS) and Scopus databases, whose purpose of their investigation was to study the HPW thesis. In this sense, only 45 documents with these characteristics were found, and it is from these that we based the arguments illustrated below.

#### **3.1 Happiness at work**

Happiness is a universal desire, and society in general lives to find the formula that allows constant happiness. Since the search for permanent happiness has become a utopia, then the new goal of society is to find the procedure that allows its extension in time [33–35]. The difficulty begins with the definition of a concept that is so changeable and intensifies even more when we try to define ways to measure it [42]. However, there is already an acceptance of the concept of happiness, which considers it a state (affective or emotional) related to affections or positive experiences [31, 46].

Before proceeding to the possible ways of measuring this very complex construct that is happiness, it is necessary first to try to define this concept. Thus, and similarly to what has already been mentioned, no consensus in the literature allows us to reference a single definition. It is known that happiness is not something that happens naturally but something for which we all must search and build a way to obtain [37]. In this sense, some authors consider happiness as a set of experiences whose evaluation is subjective [25, 29, 33, 35]. Positive Psychology simplified this definition by referring that happiness is obtained by the sum of positive experiences in detriment of the absence of negative experiences. However, both concepts are dependent on the subjectivity of everyone's evaluation, as the perceptions of each one of us are different and, therefore, the holistic assessment we make of our life in the face of these feelings/emotions/experiences lacks this subjectivity, complicating, even more, the definition of this concept. However, the question of the purpose of studying happiness remains. The answer is simple, happiness research has been crucial recently because of its multiple advantages at the individual employee level, but it has also played a vital role in determining competitive advantages for organisations. Thus, research that has been conducted seeks to identify the antecedents and continue to list the consequences of promoting happiness in the workplace. Workplace happiness is a "state is perceived by the individual (perceptions), and its presence is influenced by some factors (antecedents). This positive state also impacts individual behaviour in the workplace (consequences)" [42], that is, it serves as a form of motivation to leverage performance.

One cannot talk about happiness without mentioning the classical perspectives on which happiness can be measured, namely the eudaimonic and hedonic perspectives [15, 20, 24, 30, 36, 39, 42, 47]. The hedonic perspective is associated with the pursuit of pleasure and escape from emotions that cause suffering in the individual.


#### **Table 1.**

*Main concepts used to measure happiness.*

The eudaimonic perspective relates to the individual perceiving his existence/work as meaningful [20, 36, 42].

The most common ways of operationalising the construct of happiness mentioned in HPW's thesis have been: affections [5, 25, 28, 29, 36], well-being [20, 29, 33, 35, 48, 49], subjective or psychological well-being [4, 20, 22, 30, 35, 37, 48, 49], happiness [16, 37, 45, 50] and satisfaction, both with life and at a professional level [4, 5, 20, 21, 25, 28, 29, 33, 35, 36, 45, 50, 51]. However, there are also others such as motivations [50, 52], organisational commitment [50], and engagement [36, 50]. In this sense, **Table 1** was prepared to list the main concepts behind the measurement of the concept of happiness, identifying the main scales for this purpose and listing some of the works that have used them.

Before moving on to the concept of performance, it is necessary to define the concepts of well-being, subjective/psychological well-being, and satisfaction. In this sense, well-being is understood as an individual state whose evaluation depends on the holistic view of everyone [16]. On the other hand, subjective or psychological well-being can be perceived "as the cognitive and affective evaluations that the individuals make of their lives, i.e., how individuals think and feel about their own lives and work" [4]. Some authors say this form of well-being is more interconnected with the hedonic perspective [35], which is also related to affections. Subjective well-being is associated with the hedonic perspective, that is, the pursuit of pleasure. Subjective or psychological well-being is a global evaluation of the psychological effectiveness of everyone [35]. Some authors mention that their evaluation is done in stages. People are happier when they trust their abilities, and people in a good mood have a greater tendency to have positive experiences; this self-assessment must consider life holistically and timelessly to measure psychological well-being [28, 30, 35]. Finally, satisfaction can be viewed as "the pleasurable emotional state resulting from the appraisal of one's job as achieving or facilitating the achievement of one's job values" [1]. Again, this concept is also subjective, but it is associated with positive emotions [36, 51]. In short, they are the behaviours practised by everyone at work that impacts personal life and the organisation [26].

#### **3.2 Performance**

The performance construct and its association with the HPW thesis still have some divergences in its operationalisation. The attention of different studies has been more focused on the measurement of happiness [27]. This is usually measured through constructs such as productivity (which can be considered actual values or considering individuals' perceptions), service quality, or performance [1, 32, 54]. These forms may also consider data to obtain levels of performance/productivity at the individual or collective level. Thus, **Table 2** was prepared to list the main concepts that are behind the measurement of the performance concept, identifying the major scales for this purpose and listing some of the works that used them.

Performance is considered the complete set of "actions that are relevant to the achievement of organisational goals" [5]; in other words, they are all actions that, through employee behaviours, allow the achievement of pre-established objectives by the organisation, thus contributing to its growth and development [15, 30]. In this sense, measuring performance will depend on the purpose of the investigation itself since this construct can combine several perspectives and levels. In terms of scope, performance can evaluate a broader level, that is, organisational, or it can be more restricted and focus only on what represents results or quality [1]. Some authors advocate that performance measurement should group data related to "financial performance, operational performance, customer satisfaction, and service quality" [1]. When the focus of the performance is to ascertain quality, it should gather data that allows measuring "product, processes and service quality, employee service quality, employee satisfaction, customer satisfaction and supplier performance" [1].


#### **Table 2.**

*Main concepts used to measure performance.*

#### **4. Conclusion**

Globalisation, work flexibility, increased competition, and the need to obtain competitive advantage currently turn the organisational world into a context of pure uncertainty [6, 7]. All these constraints are already more than enough concerns for managers. Still, in addition to these, there are elevated levels of absenteeism and turnover associated with the difficulty in retaining talent [13, 38, 45]. Employees only consider staying in their organisations when they feel committed and loyal to their organisation and to achieving results [20]. However, it is known that today's employees have different perspectives than in the past. They do not intend to stay for a lifetime in organisations, so it is necessary to invest strongly in strategies that lead them to stay due to the changing nature of jobs [40]. In this scenario, the concern with employees' well-being arises and develops until it reaches the HPW thesis.

The HPW thesis, in a very general way, postulates the existence of a positive relationship between happiness and performance; that is, the thesis is supported by the belief that happy workers tend to be more productive or perform better than unhappy workers [13–24]. Thus, from the thesis analysis, it can be assumed that if organisations/managers focus on increasing happiness, they will be able to differentiate themselves from the competition, having a greater probability of gaining a competitive advantage over their competitors. The most significant difficulty in the evolution of research on this topic is the complexity and ambiguity of the constructs that can be considered to operationalise the concepts of happiness and performance.

Answering the starting question that led to the development of this research, we conclude that the constructs of performance and happiness postulated by the HPW thesis can be measured in multiple ways. As for happiness, we highlight well-being (generalised or psychological), satisfaction, and affect. As for performance, productivity (effective or perceived), performance (task/contextual or perceived), and service quality are highlighted.

The research set out in this chapter contributes to advancing research on the topic of people management as it has theoretical and practical implications. At a theoretical level, the study presents the distinction between the concepts underlying the HPW thesis (happiness and performance), assesses the main measurement forms for each construct and lists some lines of future research on the topic under analysis. On a practical level, the study allows to ascertain a new formula for obtaining competitive advantages for organisations, distinguishing them from their competitors and increasing performance. The focus on improving employees' happiness impacts their performance during the development of their functions. This increase in performance allows organisations to gain competitive advantages over their competitors, and even, in the case of services with direct contact with customers, it will enable them to enhance the experience and satisfaction in the provision of services.

The main limitation of the study presented in this chapter is that a limited set of works was considered in further operationalising the happiness and performance constructs underlying HPW's thesis. Future studies should seek to broaden the spectrum of consideration of papers to obtain more significant evidence and to support further the information provided in this chapter. Researchers interested in exploring this topic should focus on mixed studies, develop models that allow for multiple levels of analysis, and verify whether there are differences in the results obtained when considering demographic variables that serve as control variables in the same model. It is also urgent the development of further studies that investigate antecedents and consequences of the model suggested by HPW's thesis, as well as mediator variables

that allow the perception of how organisations can enhance happiness in their employees and, in this way, will enable them to provide better performance levels, that is, adding value to the organisations.

### **Conflict of interest**

The authors declare no conflict of interest.

### **Author details**

Natália Costa1 , Carlos Miguel Oliveira1 \* and Pedro Ferreira<sup>2</sup>

1 ISLA – Polytechnic Institute of Management and Technology, Vila Nova de Gaia, Portugal

2 University Portucalense, Porto, Portugal

\*Address all correspondence to: miguel.oliveira@islagaia.pt

© 2022 The Author(s). Licensee IntechOpen. This chapter is distributed under the terms of the Creative Commons Attribution License (http://creativecommons.org/licenses/by/3.0), which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

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#### **Chapter 15**

## Emotions and Their Impact on Employee Happiness and Satisfaction in Organizational Performance

*Manuel Sousa Pereira, António Cardoso, Sílvia Maria Pereira Silva Faria and Álvaro Miguel da Costa Cairrão*

#### **Abstract**

The objective of this study is to contextualize and understand the different emotions felt by employees, as well as their involvement and performance in the context of small and medium-sized Portuguese companies. An online questionnaire was developed, with a total of 227 participants; 210 were validated and 17 were excluded due to missing answers. Results show that as anger, anxiety and discouragement increase, happiness decreases; and, if there is an increase or an improvement in relationships, involvement and happiness increase, so do performance and satisfaction at work.

**Keywords:** emotions, job involvement, happiness, job satisfaction, job performance, turnover

#### **1. Introduction**

The main challenge of this study is to analyze the factors that can contribute to the constant search for a balance between the individual well-being of workers and their perceptions of their workplace. In other words, it seeks to verify which emotion impacts, positively or negatively, on satisfaction in the work environment.

The objective of the study is to contextualize and try to understand emotions anxiety, discouragement, anger, happiness, interpersonal relationships —and their impact on the employee's involvement with their work, their satisfaction in the work environment, turnover intention, and level of performance.

The variables included, in this study, aim to understand the relationship between the following dimensions: anger and anxiety; anger and happiness; anxiety and happiness; anxiety and satisfaction; discouragement and anxiety; discouragement and happiness; happiness and job performance; happiness and satisfaction; happiness and turnover; interpersonal relationships and anxiety; interpersonal relationship and

satisfaction; satisfaction and job performance and satisfaction and turnover. They also aim to understand their impact, positive or negative, on the individual's performance at work.

We started by doing a brief literature review to better understand the state of the art and including the most relevant concepts and studies developed on the topic. Then, we developed an online questionnaire, with closed questions supported by a Likert scale, as a result of the bibliographic research carried out. The questionnaire was applied to a convenience sample, having been shared on the research team's social networks, for faster implementation. We then present the results analysis, main conclusions, limitations, and recommendations for future research.

#### **2. Literature review, methodology and data analysis**

#### **2.1 Literature review**

The analysis of employees' emotional states and their importance in satisfaction with their job is the central theme of this study. About this, previous studies [1] refer that those feelings are known as individual and subjective emotions that can trigger various events or behavioral reactions. Therefore, feelings can be interpreted as distinct emotions that are commonly felt. In a business context, it is useful to understand its impact on individuals' balance and satisfaction. The authors describe feelings from a psychological and sociological perspective, in the area of organizational research. It is crucial for companies to manage their workers' emotions and emotional intelligence, meaning to understand the degree to which a person can manage their different emotions and correctly direct their own thoughts and actions [2]. Feelings can be interpreted as distinct emotions that are commonly felt, such as anger or pleasure, which are assumed to match specific facial expressions and corporal signals (body language).

According to previous research [3], it is important to pay attention to relationships between people; this interpersonal component applies to the personal relationships between the various employees. For this personal component to exist, it is necessary to have mutual knowledge, and the deeper this is, the greater the probability of the parties getting closer, dialoguing with each other spontaneously. The author believes that this leads to seeing themselves as partners or even friends, with common interests and goals. Therefore, the author states that the greater the interaction between people, the better the mutual understanding and acceptance. This, in turn, leads to the creation of strong, lasting, and high-quality relationships between employees that translate into something positive for organizations [3]: commitment, (better) performance, motivation, (contribution) for innovation, error detection, widespread adoption of environmentally friendly practices, a taste for teamwork, mutual help, better organizational communication (internal and external), lower rate of abstention and conflict, and greater resilience to negative events that could come to translate into feelings of discouragement.

In a work context, there are some factors that can hinder the efficient management of emotions: specific circumstances, activities that need to be carried out, lack of time, and/or short deadlines. These are all aspects that can generate stress in the work environment [4]. This, in turn, impacts the health and well-being of any employee [5, 6]. When individuals perceive a high amount of work and are not able to control the associated stress, there is an adverse impact on their health [7]. Other authors [8, 9]

*Emotions and Their Impact on Employee Happiness and Satisfaction in Organizational… DOI: http://dx.doi.org/10.5772/intechopen.108214*

refer to "basic emotions", such as fear, anger and joy, and consider that it seems to impact, not only the desire to remain in the organization but also the level of performance (actual vs. expected and desired).

That's why interpersonal relationships must be promoted among employees, regardless of the type of company and the sector in which it operates [3]. Any organization wanting to contribute to sustainable development must monitor the quality of interpersonal relationships at work to minimize the propensity of employees to engage in counterproductive work behaviors. In this sense, the organizational environment must provide conditions for assertive communication and, also, promote favorable conditions for a good working environment.

About involvement at work, employees can have positive or negative feelings and that can affect aspects such as satisfaction, performance, and happiness at work. This range of feelings was verified in the study by [1]. A wide range of affective responses is correlated with employment and may involve general positive (pleasure, happiness) or negative (displeasure, frustration) and other feelings, including anger, frustration, joy, and excitement.

This study focuses on analyzing feelings of happiness, anxiety, anger, and discouragement. Thus, it is essential to find strategies that facilitate and contribute to the promotion of positive emotions and minimize negative ones. In a complementary way, the objective of sustainable human resource management is to get long-term goals and results, focusing on care for employees and the environment, employee participation and development, external partnership, flexibility, compliance with legal regulations, employee cooperation, equity and equality, all without affecting profitability [10].

Job satisfaction, another important issue to bear in mind, is a constant challenge for companies [11–13]. It is a concept that has been recognized and long studied as an important factor, which impacts an individual's organizational commitment, performance, and intention to stay. Some authors report that learning more about their workers will help organizations establish training and development, as well as identify ways to promote a sustained interest of employees to continue carrying out their professional activity and superintendent position [13]. Given that, job satisfaction was identified as the main antecedent to turnover intention, the variables mentioned (job satisfaction and turnover intention) were chosen as a starting point for this study. Thus, we verified that it is necessary to increase positive emotions, satisfaction, involvement to decrease dissatisfaction, turnover, and the emergence of negative emotions.

With regard to turnover intention, it seems to decrease when employees feel integrated, understood, and relevant to the company [11], therefore, feeling satisfied at their job. It is also vital that top managers who have determined that they have quality hierarchical managers (mid-level managers and section heads) are interested in understanding what specific situations, factors, and circumstances cause discontent at work. As already mentioned, company managers have an important role in coordinating and keeping a collaborative and efficient organizational environment among all employees.

Work performance depends on the ability to manage emotions on the part of the various hierarchical managers, as well as on the acceptance and involvement of employees. In previous studies, competence, self-determination, and impact positively influence the work performance of employees [10]. Job satisfaction seems to lead to good job performance and to partially mediate the relationship between competence and job performance [10]; job performance and job flexibility appear to have a strong positive correlation and flexible working arrangements improve employee retention happiness and job satisfaction, increasing productivity [11, 13].

#### **2.2 Methodology**

In order to analyze how workers' emotional feelings, job involvement, and interpersonal relationships influence happiness and job satisfaction, and their impact on job performance and turnover intention, a quantitative study with a descriptive design was developed [14, 15].

Thus, based on the previous literature review [1–4, 10, 11, 16], the following hypotheses were defined:

H1. There is a significant relationship between anger and anxiety.

H2. There is a significant relationship between anger and happiness.

H3. There is a significant relationship between anxiety and happiness.

H4. There is a significant relationship between anxiety and satisfaction.

H5. There is a significant relationship between dejection and anxiety.

H6. There exists a significant relationship between dejection and happiness.


In order to validate the hypotheses and the research model under study, a questionnaire was developed for data collection and, later, data statistical analysis.

The theoretical model is composed of the structural model that incorporates nine constructs (latent variables: feeling of anxiety; feeling of dejection, feeling of anger; job involvement; interpersonal relationship; happiness of work; job satisfaction, job performance; and turnover intention) that represent the elements of the model developed and the measurement module formed by 57 items intended to measure the constructs (observable variables), as shown in **Table 1**. We used a Likert-type scale from 1 (strongly disagree) to 5 (strongly agree). Questionnaire can be consulted in the appendix.

To assess the emotional management and happiness of employees in organizations, we adopted the WORAF scale - work-related affective feeling [16], which includes three dimensions (feeling of anxiety, feeling of discouragement, and feeling of anger).

To assess the other constructs, we took into account the scales used in similar surveys: happiness at work [1]; work involvement [4]; interpersonal relationship [3]; happiness [1]; job satisfaction [1, 10]; work performance [10]; and turnover intention [11].

To analyze the research model created, the structural equation model (SEM) was used, a multivariate technique that combines aspects of multiple regression and factor analysis to estimate a series of interrelated dependence relationships simultaneously [17]. SEM requires the definition of two models: the measurement model and the structural model, which represent two sets of linear equations [18]. After using the SmartPLS® 3.0 Software, the measurement model was obtained, allowing to check of the observable variables (VO), with the respective connections and constructs, as shown in **Figure 1**.

*Emotions and Their Impact on Employee Happiness and Satisfaction in Organizational… DOI: http://dx.doi.org/10.5772/intechopen.108214*


#### **Table 1.**

*Conceptual model–variables.*

**Figure 1.** *Path model.*

Despite the non-probabilistic convenience sample obtained [14], the G\*Power software was used [17] to calculate the sample size; with an f2 of 0.15, a minimum sample of 189 respondents was estimated.


**Table 2.** *Sample characterization.*

227 questionnaires were collected and 210 were validated (92.5%), allowing the analysis using the SmartPLS® 3.0. 56.2% of respondents were female, against 43.8% of male participants. The sample was distributed between 21 and 73 years of age, so six age groups were created, as shown in **Table 2**. It should be noted that 42.9% of respondents were aged between 41 and 50 years (90 individuals) and that only 6.2% (13 individuals) were over 61 years of age. With regard to educational qualifications, most of the sample reveals that they have graduated in higher education, with 11.6% having a PhD degree and 30.2% having a Master's degree. Most respondents reveal that they have been in their current job for a short time; thus, 30% of respondents (60) have been in the same company for one, two, or three years (range from1 to 3); 19% (40) reported being in the same company and in the same service in the time horizon between 4 and 9 years. Only 23.3% of the participants indicate being in the same company for more than 10 years.

#### **2.3 Data analysis**

For descriptive statistics (demographic information, frequencies, mean and standard deviation analysis) in SPSS, version 25 (statistical package for social sciences) were performed; other statistical analyses were conducted in SmartPLS 3.0 (partial least squares) software. Confirmatory factor analysis, reliability and convergent validity, discriminant validity, path coefficients, hypothesis testing, and PLS-SEM were used to investigate the relationships among model factors.


*Emotions and Their Impact on Employee Happiness and Satisfaction in Organizational… DOI: http://dx.doi.org/10.5772/intechopen.108214*

#### **Table 3.**

*Descriptive statistics per dimension.*

**Table 3** presents the aggregated data of the nine dimensions, using descriptive statistics: absolute and relative frequencies, mean and standard deviation. In summary, the total mean values allow us to conclude that most respondents totally disagree (56.7%) and disagree (22.9%) with the statements presented, indicating a low feeling of anxiety (M = 1.78; SD = 1.102). The same happens with the "feeling of discouragement"; it was possible to verify that the majority of the respondents (55.3%) disagreed with the set of statements presented (M = 1.9; SD:1.192). The "feeling of anger" has an identical behavior, with the majority of respondents totally disagreeing (49.1%) or disagreeing (23.3%) with the statements presented (M = 1.98; SD = 1.183). In turn, the dimension "interpersonal relationship" shows high percentages of agreement (34.6%) and total agreement (36.7%) with the statements presented (M = 3.89; SD = 1.097). The same happens with the dimension "involvement at work", with the majority (66.3%) of the respondents agreeing and fully agreeing with the set of statements presented (M = 3.82; SD = 1.035). Respondents seem to be satisfied with their work, as they agree (29.1%) and totally agree (21.9%) with the statements presented(M = 3.34; SD = 1.1141). Likewise, the dimension "feeling of happiness" has high levels of agreement (69.1%), which means that respondents are satisfied with their work (M = 3.81; SD = 1.071). The perception of "work performance" is high, with 81.1% agreeing and fully agreeing with the set of statements presented (M = 4.22; SD = 0.692). The study reveals low turnover intention (M = 2.21; SD = 1.371), with 63.2% totally disagreeing with the statements presented.

#### *2.3.1 Reliability and convergent validity of the scale*

To assess internal consistency, Cronbach's Alpha (Alpha) was used; to assess the measurement model, a confirmatory factor analysis (CFA) was performed. The questionnaire reveals good internal consistency (Alpha = 0.919), based on the 56 items that make up the scale. All the values of the nine dimensions are greater than 0.887 (**Table 4**), which reveals a good internal consistency.

The first aspect to be observed in the measurement models is the Convergent Validities, obtained from the observations of average variances extracted (AVEs). We followed Fornell and Larcker criterion [18]: AVEs values must be greater than 0.50 (AVE > 0.50) [19].

The convergent validity tests of the constructs with values above 0.5—1st Order LV—attest to the convergent validity of the scale. On the other hand, it can be observed that the factor loadings of VO in the original constructs (VL) are always higher than in the others; this confers discriminant validity to the model [20].

The structural model was found to satisfy all relevant reliability and validity requirements, as follows: Cronbach's alfa >0.8; rho\_A > 0.8; composite reliability (CR) > 0,9; and average variance extracted (AVE) > 0.5 (**Table 4**).

With regard to cross-loads, it is intended to verify whether each item has a greater ratio/weight to the construct to which it is related than to the others [21]. **Table 5** proves that the criterion was also met.

After verifying the conditions mentioned above, it can be concluded that the model meets the criteria of convergent and discriminant validity, guaranteeing the consistency of its construction and statistical inference. Following the analysis of the structural model and considering that our study is related to correlations and linear regressions, we evaluated whether these relationships are significant (p ≤ 0.05), because for cases of correlation, the null hypothesis (Ho) is established as r = 0 and for regression cases, it is established with Ho: Γ = 0 (path coefficient = 0). If p > 0.05 the Ho is accepted, the inclusion of VL or VO in SEM should be reconsidered.

**Table 6** presents the data related to the procedure, described above, with 500 resamplings, pertinent to the values of Student's t test, p values.

Only five values are below 0.7, which is not a cause for concern, considering the reliability studies presented above. The results presented for the modules —structural and measurement —point to the adherence of reliability, consistency, and explanation of the constructs, therefore validating the conceptual model proposed on the factorial aspects based on the 9 (nine) constructs and on the 56 variables. It is possible to verify the significance of each item for the variables, through the external weights, which analyze the significance of each item for the formative variable [18]: all scores are significant (p = 0.000).

Likewise, it is possible to verify the significance between the variables, through the external weights (**Table 7**), which analyze the significance of each item for the formative variable [18], in which all scores are significant (p = 0.000).

#### *2.3.2 Structural model assessment*

After validating the measurement model, we needed to calculate the structural model criteria. Considering that this study was carried out using correlations and linear regressions, it was evaluated whether these relationships were significant (p ≤ 0.05). For correlation cases, the null hypothesis (Ho) is established as r = 0 and


*Emotions and Their Impact on Employee Happiness and Satisfaction in Organizational… DOI: http://dx.doi.org/10.5772/intechopen.108214*

> **Table 4.**

 *Discriminant validity-Fornell Larcker criterion.*





#### *Emotions and Their Impact on Employee Happiness and Satisfaction in Organizational… DOI: http://dx.doi.org/10.5772/intechopen.108214*

#### **Table 6.**

*Outer loadings.*



#### **Table 7.**

*External weights.*

for regression cases, it is established as Ho: Γ = 0 (path coefficient = 0). If p > 0.05 and Ho is accepted, the inclusion of VL or VO in SEM should be reconsidered.

To verify the statistically significant hypotheses, significance tests were carried out in the Smart PLS 3.0 software, obtaining the results through bootstrap, with 500 subsamples. As stated by Henseler et al. [21], in the evaluation of the structural model, three aspects must be analyzed: (1) the trajectory coefficients, (2) the determination coefficients (R and R2), and (3) the relevance of the f2 coefficients.

After analyzing the trajectory coefficients at the level of significance and relevance of the coefficients, it was found that not all the hypotheses initially proposed were confirmed. As can be seen in **Figure 2** and **Table 8**, hypotheses H3, H4, H10, H12, and H14 were not supported by the data collected. The hypotheses H1, H2, H5, H6, H7, H8, H9, H11, H13, and H15 proved to be statistically significant (p < 0.05), so they were confirmed.

The results of the evaluation of Pearson's coefficients of determination (R2), as shown in **Table 9**, point to a high degree of adjustment and adherence regarding the explanation of the variable "anxiety" (R2 = 0.729), "satisfaction" (R2 = 0.757), "turnover" (R2 = 0.589), "happiness" (R2 = 0.78) and "performance" (R2 = 0.196), the

*Emotions and Their Impact on Employee Happiness and Satisfaction in Organizational… DOI: http://dx.doi.org/10.5772/intechopen.108214*

**Figure 2.** *Structural model with standardized path coefficients.*


#### **Table 8.** *Significance results and hypothesis testing.*


#### **Table 9.**

*Determination coefficient.*

latter considered a weak effect according to the criteria of Cohen (1988) and Chin (1988), not allowing it to be explained by the model [20–22].

Changes in discouragement, anger at work, work involvement, and interpersonal relationships affect anxiety, with R2 = 0.729. That is, anxiety is affected by discouragement, anger at work, involvement at work, and interpersonal relationships, with a contribution of 72.9%. Likewise, discouragement, anxiety, and anger at work play a crucial role in happiness, with R2 = 0.578. Happiness, anxiety, involvement, and interpersonal relationships affect anxiety, with R2 = 0.757. Happiness and satisfaction affect turnover intention and, finally, happiness and satisfaction affect job performance (**Table 9** and **Figure 2**).

The study carried out and based on the patterns illustrated in **Figure 2**, allows us to conclude that: (1) as anger at work increases, happiness at work decreases; (2) as anxiety at work increases, happiness at work decreases; (3) as discouragement at work increases, so does anxiety at work; (4) as anger at work increases, so does anxiety at work; (5) as involvement at work increases, so does anxiety at work; (6) as involvement at work increases, so does satisfaction at work; (7) as interpersonal relationships increases, so does satisfaction at work; (8) as interpersonal relationship increases, anxiety at work decreases; (9) as anxiety increases, satisfaction at work decreases; (10) as happiness increases, so does job satisfaction; (11) as happiness increases, so does job performance; (12) as happiness increases, turnover intentions decreases; (13) as satisfaction increases, turnover intentions decreases (14) as satisfaction increases, job performance decreases.

#### **3. Discussion and conclusions**

This research is in line with previous studies [1] stating that general positive feelings (pleasure, happiness) in the work context seem to impact turnover rates; in fact, also in this study, we saw that (1) happiness and satisfaction affect the turnover intention and (2), happiness and satisfaction affect job performance. Negative feelings (e.g., displeasure) and other feelings, including anger and frustration, cause anxiety, according to the participants' answers in this study.

Job satisfaction, being an important issue to consider, is a constant challenge for companies, as mentioned in some studies [11–13]. It is a concept that has been recognized and studied for a long period of time as an important factor that impacts organizational commitment, performance, and the employee's intention to stay in organizations. In a specific way, we noticed that, as anger and discouragement increase, anxiety at work also increases. On the other side, promoting involvement

#### *Emotions and Their Impact on Employee Happiness and Satisfaction in Organizational… DOI: http://dx.doi.org/10.5772/intechopen.108214*

and good interpersonal relationships seems to contribute to an increase in job satisfaction. Our study highlights that, (1) as interpersonal relationships increase, workplace anxiety decreases; (2) if anxiety increases, job satisfaction decreases; (3) if happiness, satisfaction, and performance increase, turnover intentions decrease. Although not expected, this study reveals that as satisfaction increases, performance decreases. This may allow us to say that any organization needs to bear in mind the constant development of Human Resources practices and methods that allow engaging workers; interesting training actions, teamwork, new forms of reward, and career development may keep employees aware of the need for constant commitment and personal development, thus avoiding any decrease on job performance.

To summarize, this study allowed us to verify that negative emotions, such as anger and discouragement, contribute to the increase in anxiety. Also, aspects such as involvement and interpersonal relationships seem to contribute to better performance, satisfaction, and happiness. However, increasing satisfaction seems to lead to a decrease in performance.

The research findings have managerial implications by showing us that motivation needs to be constantly rethought in order to contribute to committed and challenged employees, aware of the need to maintain and improve their level of performance.

The main limitations of this research are related to having a convenience sample and data obtained through an online questionnaire; these aspects do not allow for extrapolating results to the Portuguese population and, also, to all national companies. For future research, we suggest the use of a statistically representative sample, as well as combining the study with insights from the owners and managers of some companies, representing the main Portuguese economic sectors —qualitative study, such as Delphi, personal interviews and/or observation (case study)—and focusing, also, on employees' engagement.

#### **Acknowledgements**

No funding was given to the authors.

#### **Conflict of interest**

The authors declare no conflict of interest.

*People Management - Highlighting Futures*

#### **Author details**

Manuel Sousa Pereira<sup>1</sup> \*, António Cardoso<sup>2</sup> , Sílvia Maria Pereira Silva Faria<sup>3</sup> and Álvaro Miguel da Costa Cairrão<sup>1</sup>

1 ESCE, Polytechnic Institute of Viana do Castelo, Valença, Portugal

2 FCHS, University Fernando Pessoa, Porto, Portugal

3 Universidade Portucalense, Porto, Portugal

\*Address all correspondence to: msousa.manuel@gmail.com

© 2023 The Author(s). Licensee IntechOpen. This chapter is distributed under the terms of the Creative Commons Attribution License (http://creativecommons.org/licenses/by/3.0), which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

*Emotions and Their Impact on Employee Happiness and Satisfaction in Organizational… DOI: http://dx.doi.org/10.5772/intechopen.108214*

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[12] Lambert EG, Hogan NL, Barton SM. The impact of job satisfaction on turnover intent: A test of a structural measurement model using a national sample of workers. Social Sciences Journal. 2021;**38**:233-250

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Cyprus. Tourism Management. 2014;**41**: 129-140

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[17] Hair FF Jr, Sarsted M, Hopkins L, Kuppelwieser VG. Partial least squares structural equation modeling (PLS-SEM). European Business Review. 2014; **26**:106-121. DOI: 10.1108/EBR-10-2013- 0128

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[20] Chin WW. The partial least squares approach to structural equation modeling. Modern Methods for Business Research. 1998;**295**(2):295-336

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[22] Cohen J. Statistical Power Analysis for the Behavioral Sciences. New York: Routledge; 1988. DOI: 10.4324/ 9780203771587

## **Chapter 16** Towards Managing Humanely

*Laurent Taskin*

#### **Abstract**

Traditional Human Resource Management (HRM) is today fundamentally being called into question. Its tools and policies have contributed to a certain professionalisation in the management of persons, by means of managerial techniques, which are today challenged in terms of their results: high levels of resignations, dissatisfaction, lack of commitment, burnout, etc. Workers no longer want to be treated as 'resources', and HRM must not only be at the service of the economic and/or financial performance of firms. Whilst criticisms are numerous and deserve to be qualified, alternative offerings are more rare. In French-speaking countries, 'Humane Management' has truly developed and confers other cornerstones, end purposes and methods to the management of persons within organisations, whilst being more focused on human beings, *real work* and recognition for it. This chapter presents this proposal and the conditions for Managing Humanely and opens up the path to a more sustainable, ethical and qualitative management of people and organizations.

**Keywords:** recognition, humanism at work, real work, human dignity, rehumanisation

#### **1. Introduction**

Traditional Human Resource Management (HRM) has received a great deal of criticism in the world of work and businesses. In 2007, Sharon Bolton and Maeve Houlihan summarised these criticisms of instrumental and brutal management in their work entitled '*Searching for the Human in Human Resource Management*' [1]. HRM has also been subjected to a certain amount of 'bashing' in the arts and literature – as we can see, for example, in films such as 'Human Resources' by Laurent Cantet (1999) or Stéphane Brizé's trilogy ('The Measure of a Man', 'At war' and 'Another world', released in 2022) or the book entitled 'DRH, la machine à broyer' ('HRM, the grinding machine') by Didier Bille (2018). Human Resources' professionals are themselves also ill at ease with the name of their position, and they do not hesitate to set other names: Human Relations Director, Chief Happiness Officer, Head of People Management, etc.

This constant underlying factor is well known and widely shared: traditional HRM considers both public and private sector workers as a resource whose performance must be improved whilst reducing costs. In this approach, the main aim of the HRM is above all efficiency – the result of improved resource planning, between rational investment and cost control. Such a vision, instrumental and oriented towards the sole pursuit of efficiency and profitability, reduces human beings in the workplace to resources to be exploited, objects to be seized, shaped and used [2]. However, neither

work nor workers can be reduced to just a few figures in a column [3]. Companies cannot function without the daily *giving* on the part of workers [4, 5]. Managers are not accountants, and the purpose of HRM can no longer be only efficiency, the measurement of which suppresses real work [6]. Whilst this criticism has been voiced many times, within various disciplines, few alternatives have yet to emerge.

What is worse, teaching of HRM in business schools, universities and executive programmes reproduces this perspective that is less and less in tune with contemporary society – in which both young people and the less young mobilise to show respect for human dignity, preservation of the common good and recognition of all forms of diversity. In this way, a phenomenological analysis of the six most widely distributed manuals in the United States and the United Kingdom showed that humans are considered an economic variable, a resource that needs to be exploited as efficiently as possible to produce maximum economic value [7].

In other words, there is a need for other models to manage people and work, in tune with radical humanism [8], and that bring with them an anthropology of workers other than that of the *homo economicus* [9]. An alternative that values recognition at work, expertise and professions, in short, *real work* – rather than promoting the happiness or well-being of individuals in a psychological perspective [10], and even a company without management, in a perspective where happiness and autonomy are no longer ends, but instead a means of being more productive [11]. *Humane Management* is an offering that responds to this urgent need for the real. This is in line with an ethical perspective, promoting 'representative' and responsible management methods, which work towards respect for human dignity – which in itself automatically aligns Humane Management with the United Nations sustainable development goals. Whilst fundamentally being an affirmation of an alternative anthropology – in which humans are considered as reflective beings and not resources – it is also a matter of promoting the many different end purposes of management. *Humane Management* is presented as a vector for the rehumanisation of work and thereby is believed to contribute to the professionalization of humane company management by establishing and setting out its practices, both ethically and qualitatively.

This chapter presents this new path by briefly summarising a certain number of criticisms levelled against traditional human resource management and to which *Humane Management* seeks to provide a response. This proposal is then detailed and explained further, and I introduce the concrete implications that such an approach might have for the practical implementation of humane work management.

#### **2. The limitations of traditional HRM**

Traditional HRM is the approach that aligns itself with an exclusive perspective of contributing to the economic and financial performance of the company, that is, it helps to achieve the company's objectives – efficaciously and efficiently – by planning, organising, directing and checking the use of organisational resources. This perspective translates into 'management by measures', in which so-called professionalised HRM is an approach made up of 'objective' indicators and measures. What are the results achieved by this?

#### **2.1 Professionalization by measure**

First and foremost, management by measures focused the attention of managers on what can easily be measured: quantifiable results. This obsession with measures – qualified as 'scientism' by Nobel Prize for Economics winner in 1974 Friedrich Hayek – evades the question of quality of work – a criticism formulated by another Nobel Prize for Economics winner in 1998, Amartya Sen – but also evades the issue of the work itself [12]. This governance by numbers, described by Alain Supiot [3], is being rejected on many fronts, with critics shedding light on its counter-productive and even negative effects on value creation and global well-being. In this way, economist Pierre-Yves Gomez [6] – in his essay entitled 'invisible work', retraces the 'financialisation' movement in management that led managers to overlook workers and work, preferring to them indicators that supposedly reflected the result of the activity. Sociologist Danièle Linhart [13] showed how individualised HRM dispersed labour collectives, thereby outlining a 'century of the isolated' in the words of Noreena Hertz [14], and in which solitude reigns, supported by an individualised management of professional needs, results and career paths. The research conducted into living conditions at work, well-being and quality of life in the workplace by various institutes in Europe allows a link to be established between this traditional HRM and the feeling of malaise experienced at work. In this way, 14.6% of Dutch workers have experienced feeling burned out, 96% of Portuguese workers risk experiencing depersonalisation [15]; 51% of French workers do not feel they receive sufficient recognition at work [16] and 64% of British employees feel that their colleagues and managers lack faith in them [17].

These observations are not only those of intellectuals, surveys and essayists. For several decades now, entrepreneurs have been taking the decision to manage human work differently in their organisations: by attempting self-management or democratic or participative forms of corporate governance. Whether we consider the 'liberated company' of Brian Carney and Isaac Getz [10], the 'teal organization' of Frédéric Laloux [18] or the holacracy of Brian J. Robertson [19], all these managerial innovations represent a break with the HRM of measures and the autocratic administration of resources. The cult of individual performance also seems to have gone out of fashion and today human resources are trying out systems of development and reward broadly based on work and collective results, as illustrated by the programme 'At our best' implemented at Ion Beam Application (IBA), the global leader in the proton therapy sector.

#### **2.2 A contextualisation that is historically and culturally marked**

HRM is anchored in a specific context that of the second half of the twentieth century. The theories and models mobilised in HRM – even today – are taken from the decades 1950–2000. These models were produced at a given moment in our history as a response to the social and organisational questions posed in that era, within specific terms. In the bureaucratic and (neo-)Taylorist organisation of the 1950s–2000s, in which work was divided horizontally (specialisation) and vertically (hierarchy), was the central question that of employee motivation? There has been a whole succession of universal laws and theories on organisational behaviour since then to respond to this question: fundamental needs, self-determination, etc. When it comes to work organisation, HRM adopts equally universal principles of resource management:

plan, execute, check, readjust. In the 1980s, skills reference systems were created. The formula was the same, but it was applied to skills (again, an object that already distances the human being): plan the need for skills, measure skills, observe any deviations and remedy them through recruitment, firing or training. The professionalisation of HRM takes place via the transposition – in the area of people management and work organisation – of administration techniques focused on optimum allocation of resources; firstly in full-time equivalent and in working hours, and then in terms of skills. Amazon is a contemporary witness of this traditional HRM: the administrator technique optimises the preparation and delivery of orders and employees are operators on their overboards, to-ing and fro-ing as the wind blows and as dictated by instructions from a 'smart' wristband. The optimisation technique affords little consideration to human beings and their needs… even psychological: the 'peegate' scandal revealed that Amazon operators did not have time to urinate and so filled up bottles in their vans [20]. The context of the decades of the 2010s and 2020s is different: demographically, economically and socially. Digitalisation, robotisation, acceleration, erosion of solidarity, individualisation and solitude characterise our era and the issues that must be faced by companies and their management [13, 14, 21]. Whilst 'motivation' is an issue that is addressed in bureaucracies and the Taylorist organisations of the twentieth century, contemporary issues are different and touch more upon questions of meaning and recognition at work [22].

#### **2.3 Resources, not humans**

What is rather surprising is that HRM does not define 'what' the human resources at the heart of its activities actually 'are'. The majority of definitions proposed present HRM as an activity and a set of theories allowing the organisation of work and the orientation of behaviours (such as through training or assessment) to ensure that the human resources are as productive as possible in terms of the quantity and quality of work [23]. Humans are resources to be mobilised as efficiently as possible so that they contribute to the company's economic performance. Sometimes, the analogy is intended as more financial than economic when it considers humans as 'capital' in which to invest [24]. In 2018, the results of a phenomenological analysis of the underlying notion of the human being in the nine best-selling HRM manuals (six Anglo-Saxon and three French) were published [7]. They revealed that these nine manuals widely used in HRM teaching only promoted one single vision of humans: 'that of an economic variable, a resource that needs to be exploited as efficiently as possible to generate maximum economic value'. Now, however, whilst considering humans as a 'resource' helped to legitimise the field of HRM by establishing a link (theoretically at least) between HRM policies and company performance in the years 1980–1990, today it is this way of considering humans that dehumanises work and erodes the legitimacy of HRM.

Finally, it is therefore the reduction of the human being to the state of a resource that has been rejected. In a society of loneliness and isolation [14], in companies where employees work from home and lose themselves in anonymous *open spaces*, there re-emerges a need to belong to a community and be recognised as a human being. As evidence of this, I cite the numerous projects led by HR departments in the months which followed the end of the Covid-19 pandemic to 'reconnect' their employees to one another and above all to the company. Some believe that we are facing a profound crisis in the meaning of work, when we observe the mass resignation phenomena in North America [25], whilst noting more marked and frequent career

breaks [26]. One thing is certain, traditional HRM is no longer impressing workers who are seeking meaning and companies that are seeking sustainable performance.

#### **2.4 Humane management: core principles**

The Humane Management offering feeds on the criticisms of traditional HRM. It was formulated in universities and founded on a theoretical level before becoming popular with practitioners of HRM who adopted it (sometimes clumsily, substituting 'Humane Management' for 'HRM' but advocating the same practices). This sudden popularity came as a considerable shock. When I took the time, with Anne Dietrich, professor at the University of Lille (France), to publish a textbook bringing together the work that I had been doing for years to found Humane Management [27], our modest ambition had been to write a manual supporting the teachings of HRM in our universities. Very quickly, human resource managers – in France, Belgium, Switzerland and Quebec – snapped up this manual. As did a large number of organisation and management consultants. Today, Humane Management is taught in several French-speaking universities and is practised and recommended daily in an increasing number of companies. The key to this rapid adoption of the offering lies in the solid theoretical pillars the textbook provides, thereby making it possible to 'apply words and indisputable arguments to the convictions we already had', to paraphrase many HR managers who took the time to read the manual and give me their feedback.

As this involves a critical analysis of traditional human resource management, the process undertakes a systematic presentation of the traditional and mainstream approaches in HRM, to then demonstrate its limitations (in methodological, epistemological, theoretical and practical terms), before suggesting alternatives that support a renewed approach to HRM – that is Humane Management. It is therefore an approach that is intended to be complementary to those that already exist and have been institutionalised within the field of HRM and organisational behaviour (see **Table 1**). Humane Management feeds and shares some of the firm beliefs that are aligned with a humanist and sustainable perspective of the economy and society. It is


#### **Table 1.**

*HRM and humane management: complementarities and differences.*

then a matter of considering that (i) the end goals of company management are multiple. The end goal of management is as much about recognition for and the meaning of work as about short-term financial performance, (ii) the purpose of Humane Management is the real, concrete and living work that workers do and from which they draw a part of their recognition and the meaning of their work, (iii) workers and other stakeholders in the process shape the management of persons and work organisation, which means that they are not passive resources but instead reflective beings, who learn from their experiences and take conscious decisions. To conclude, Humane Management contributes to the rehumanisation of work, organisations and management by means of a professionalisation in the quality of management of persons and work organisation. After all, managing men and women is a responsibility that calls for specific expertise and (more) humanist management models.

Based on the detailed study of the transformations of work, organisation and management that are in progress and the combination of varied disciplines (management, economics, philosophy, psychology and sociology), the proposal for a Humane Management has been robustly formulated, both in theory and in practice. This alternative is founded on a few major principles that are a response to the limitations of traditional HRM [22].


management. This is then followed by a question of prioritising and promoting recognition to top priority via application of Humane Management policies. Again, this has resulted from the philosophy of German philosopher Axel Honneth (see above).

Drawing on these core principles and assumptions, Humane Management can be defined as a group of human and social activities (practical and discussion) and theories aimed at including both men and women in an organisation project. Human beings are considered as reflective beings, that is, beings who contribute to defining the standards for collective action according to which their actions and those of a work community will be assessed. This perspective translates a collective search for confidence in these standards, in others and in the self. The purpose of Humane Management is work, and its end goal is recognition.

This special consideration afforded to human beings (as opposed to the notion of people as resources), to work and to recognition justifies a Humane Management that designates both people who are managed (human beings) and also the way in which they must be managed: in alignment with human dignity. In so doing, Humane Management gives concrete form to a criticism of HRM, renewing and completing some of the traditional HRM founding principles and characteristics (see **Table 1**). Firstly, because it is a matter of denaturalising the dominant end purpose of the management of people in the company. Secondly because Humane Management questions and adds to a professional ethics in a norm-based context. By also considering the approach to managing – beyond mere processes and tools – Humane Management takes on an awareness of the effect that it can have on the lives of men and women, both at work and beyond. The responsibility of people who carry it out is therefore great and demands an ethics and excellence which this critical questioning has the merit of marking out in ethical terms.

#### **3. Discussion**

Humane Management is not the only 'alternative' proposal to HRM. Other perspectives have developed in recent years, including the sustainable human resource management, alongside other broader perspectives such as humanistic management, for example. So, what makes the specificity of this proposal and why does it seem to be mobilised more by HR professionals – where other alternatives seem to be confined to academic spheres?

The so-called sustainable HRM brings together a varied number of contributions that aimed all, in one way or another, at integrating the sustainable development goals into the management of human resources and at raising HRM awareness and then measuring HR-related activities in terms of economic, social and environmental impact [30]. Perceived as a 'green' version of traditional HRM, Kramar [31] identifies six constitutive elements of sustainable HRM: (1) identifying tensions between different organisational outcomes, (2) building the workforce in terms of capabilities and performance, (3) admitting to the negative and positive impacts that some HRM activities might hold, (4) dedicating attention to developing and adopting HRM activities, (5) having a straightforward statement containing ethics and values about Sustainable HRM and (6) developing metrics destined to promote effective change in society, mainly at the organisational, ecological and economic levels.

This perspective places sustainable HRM at a strategic but operational level. One could argue that HRM's instrumentation and foundations do not change, while reporting activities expand. This is what emerges from the study by Cooke and her colleagues [32]. Proposing to extend the perspective of sustainable HRM, they promote sustainable management that is human-centred and thus constitutes a sustainable competitive advantage. In order to 'centre' management on people, the authors propose investing in human capital through training, particularly in terms of soft skills and a strong focus on well-being at work.

Most of these works actually extend the perspective of the resource. Investing in 'capital' means planning resources while being attentive to the return on investment. Resources must be administered by innovating in terms of content (well-being, soft skills and environmental and social performance indicators) without changing perspective (see e.g. [33]). The potential for renewal of HRM remains low [34].

From an even more societal perspective, Dominic Melé is the pioneer, with others, of an ethical perspective of management, including human resources, which is more oriented towards the common good [35]. Economists, sociologists, managers, ethicists contribute to a rich research perspective which conceives in particular the employment relationship as a dynamic of gift [36–38]. Where the company and its management work for the common good. If we are very far here from instrumental perspectives (such as the psychological contract or human capital), this perspective also seems to live in the academic sphere more than in the business world and suffers, this time, from a lack of anchoring in concrete practices. How can HR directors appropriate this vision and convince their board to transform organisations and their management, beyond aspects of communication?

Humane Management shares the anthropological foundations of humanistic approaches to management and the sincerity of a renewal project. It also gives itself the means through a pragmatic perspective, rooted in management research and its practice, without sinking into the simple rebranding of old practices. And without giving in to the 'overhumanisation' depicted by Linhart [13] by placing the sole responsibility for the transformation of organisations and their management on the shoulders of leaders.

#### **3.1 Managing humanely in practice**

Making a commitment to the path of Humane Management requires diagnostics work – which is quite coherent with the principle of contextualisation that characterises this approach. Three main questions can be asked:


#### *Towards Managing Humanely DOI: http://dx.doi.org/10.5772/intechopen.106930*

Once the diagnostics have been performed, we need to identify the dimensions on which action is needed. Promoting Humane Management therefore means developing a positive vision of the company and work, by replacing work and the worker at the heart of the company and its value creation. It is about having the courage to make empathy a management principle and reflectiveness (on its practices, the policy of your company) a daily practice. An attitude that is expected by workers from whom more is demanded now than ever before, in terms of skills, commitment and adaptability.

Lastly, Humane Management translates into a certain number of principles for action on an organisational and collective action level as well as the level of the individual and the commitment of each to man management or company management practices (human resources, accounting, finance, strategy, production and marketing). With a goal of improving the work of each individual, promoting general well-being within a collective and preserving health at work, these principles require certain attitudes and aptitudes:


Finally, and despite the fact that Humane Management is developed at the organisational and management level (for organising human work), it encourages a particular style of managing: with goodness (in French, 'bienveillance' what is better translated in the management literature by empathy). Goodness, or empathy, does not typify human nature as generosity or altruism; rather it is an attitude, a conscious choice made. It therefore is the product of the ordinary reflexivity of 'leaders' and translates a project for the emancipation of certain (dehumanising) working conditions, of a certain form of corporate governance (disembodied) and a certain method of company management (financialised). Goodness is a demanding attitude, it is a choice that requires a certain amount of courage, the courage to make moral choices about what seems beneficial for the common good or good as regards the upholding of human dignity.

#### **4. Conclusion**

While criticisms of HRM are on the rise, Humane Management constitutes an avenue that both HR researchers and professionals seem to adopt where it has been developed, i.e. in French-speaking countries such as France, Belgium, Canada or Switzerland. Humane Management consists of a way of conceiving and operating the management of persons and work in organisations. It provides a certain number of

markers that allow these practices to generate recognition, because they are anchored in and promote real work. But this is also a story of men and women who are taking up a courageous, positive and emancipating attitude – which through their daily actions and the end goal with which they mobilise existing management practices will give meaning to the work of their peers as well as to their own, and will produce recognition that in turn generates trust, commitment and respect.

### **Author details**

Laurent Taskin Université catholique de Louvain, Belgium

\*Address all correspondence to: laurent.taskin@uclouvain.be

© 2022 The Author(s). Licensee IntechOpen. This chapter is distributed under the terms of the Creative Commons Attribution License (http://creativecommons.org/licenses/by/3.0), which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

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### *Edited by Diana Dias and Carla Magalhães*

Managing people is the chief task of human resources officers in businesses and industries worldwide. It is a difficult and demanding task, especially in this era of highly dynamic and constantly changing business environments. In addition, the COVID-19 pandemic led to major and perhaps irreversible changes in how people work and how businesses operate. This book provides a comprehensive overview of what it means to manage people in the modern world. It includes sixteen chapters organized into three sections: "People Management in a VUCA World", "A Bright Future for People Management", and "People Management for People Happiness". Chapters address such topics as dealing with staff turnover, human resource development strategies during and post-crisis, diversity management, the relationship between career development and value proposition, the happy-productive worker thesis (HPWT), and much more.

### *Taufiq Choudhry, Business, Management and Economics Series Editor*

Published in London, UK © 2023 IntechOpen © monsitj / iStock

People Management - Highlighting Futures

IntechOpen Series

Business, Management and Economics,

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People Management

Highlighting Futures

*Edited by Diana Dias and Carla Magalhães*