Assessing the Role of Internal and External Agents in HRM:Scale Development and Validation

Recent literature has recognized the role of both internal (top management and line management) and external agents (HR outsourcing agencies or external service providers) in HRM. However, most studies have focused on a single agent. As a result of this, no established measures are available to explore the role of both internal and external agents. Therefore, the aim of this paper is to develop an instrument for assessing the role of internal and external agents vis-a-vis HRM. The paper is based on primary data obtained from leading business organizations in India through a single crosssectional survey. The respondents of the study were senior HR executives, from whom 174 usable responses were generated. The scales were assessed for unidimensionality as well as reliability and validity. SEM capabilities of LISREL 8.50 were employed to evaluate the unidimensionality, reliability and validity of the scales. Both indicator and scale reliability as well as convergent, discriminant and nomological validity of the scales were established. The research instrument has been tested based on the data obtained from selected companies operating in India. Hence, there is a need to cross-validate it on other samples from other countries. The paper has implications for researchers as well as practitioners because it offers a reliable and valid instrument to assess the role of internal and external agents vis-a-vis HRM. This paper is unique as it integrates the scattered viewpoints regarding the role of internal and external agents in management of HR and offers a reliable and valid instrument to explore their role vis-a-vis HRM.