5 Abstract The aim of this paper is to analyze the par- ticularities of human resources management in the public institutions from Bihor County (Ro- mania) and Hajdu-Bihar County (Hungary). The comparative dimension of our study is framed in Hofstede’s categories of cultural differences in organizational culture. The data presented is derived from a broader study conducted on the implementation of New Public Management at local public administration institutions in Ro- mania and Hungary. The project entitled ‘Es- tablishment of R&D programmes in the fi eld of new public management between economic faculties of higher education in Hajdu-Bihar and Bihor Counties’ (HURO/0901/277/2.2.2) was developed in partnership between Faculties of Economics from the Universities of Oradea and Debrecen. Our results on public human resour- ces provide relevant insight in the processes re- garding personnel in the public institutions in this region and propose solutions for improvement of the observed weaknesses. The employees of the 60 public institutions included in this research consider themselves participants in the decision- al process, yet the evaluation process needs to be reshaped in order to provide a better balance between performances and the rewards system. Keywords: human resources management, New Public Management, public institutions, Hungary, Romania. OBSTACLES, REALITIES AND OPPOR- TUNITIES IN HUMAN RESOURCES MANAGEMENT IN PUBLIC ADMINIS- TRATION INSTITUTIONS FROM BIHOR COUNTY (ROMANIA) AND HAJDÚ-BIHAR COUNTY (HUNGARY)*1 Maria-Madela ABRUDAN Tomina Gabriela SĂVEANU Mirabela MATEI Mária UJHELYI Maria-Madela ABRUDAN (corresponding author) Associate professor, Department of Management – Marketing, Faculty of Economics, University of Oradea, Oradea, Romania Tel.: 0040-259-408.798 E-mail: mabrudan@uoradea.ro Tomina Gabriela SĂVEANU Researcher, Research Center for Adult Education, University of Oradea, Oradea, Romania Mirabela MATEI Teaching assistant, Department of Management – Marketing, Faculty of Economics, University of Oradea, Oradea, Romania Mária UJHELYI Associate professor, Department of Management – Marketing, Faculty of Economics and Business Administration, University of Debrecen, Debrecen, Hungary * Acknowledgements: The project ‘Establishment of R&D programmes in the fi eld of new public management between economic faculties of higher education in Hajdu-Bihar and Bihor Counties – HURO/0901/277/2.2.2’ is fi nanced by the European Regional Development Fund as part of Hungary- Transylvanian Review of Administrative Sciences, No. 45 E/2015, pp. 5-25 6 1. Introduction In both Romania and Hungary there are still problems in the functioning of public institutions, both countries still adapting to the principles of New Public Manage- ment (NPM). The challenges of NPM are refl ected in the need for the human resourc- es, at both individual and institutional levels, to be bett er prepared to answer to the demands of clients as well as to fi nd best solutions for the underlying practices with- in each institution (Androniceanu and Sandor, 2006). Effi ciency, effi cacy, fl exibility, transparency and other NPM principles (OECD, 1995) must be put into practice by the employees of public institutions, thus all policies and regulations in this direction must take into account the way these employees are prepared and motivated to act upon these principles. In our study we start from the new coordinates of public man- agement, the new model actually surpassing the traditional model of public admin- istration. It’s certainly a results orientation and not a process oriented approach, as in traditional administration. As the scientifi c literature shows: ‘an effi cient administration can’t be built only through the development of laws and decrees, but with the support and considering of the people working in this fi eld, support- ing directly the civil servants who are facing increased responsibilities, with fewer re- sources, and which are confronted daily with the rising expectations of the client-citizen’ (Minică, 2004). At present, the Human Resources (HR) function in the public services is focused on relations between employees that can be characterized as being impersonal. The recruitment and selection process is made through a formal competition; promotion is closely related with age and political affi liation. Organizational structure is devel- oped at central level and imposed to decentralized units. In all these institutions the strict compliance with the procedures and norms is emphasized and, thus, the place and duties of each civil servant are set by diff erent rules. This approach has a major drawback – it is not stimulating for public managers, in terms of motivating the em- ployees they lead, because they focus more on the rules and traditions. Regarding motivation, in terms of new public management, the actions of human resource man- agers must take into account each employee as a distinct individuality and create a performance evaluation system in close correlation with an incentive system in order to reward the results of employees (Androniceanu, 2007; Băcanu 2008; Parlagi, 1999). Marius Profi roiu (2011) considers that in order to combine the modern creative management with the classical administrative hierarchy changes must be implement- ed in several directions such as: the labor contracts in the public sector, the decisional system, performance measurement systems, the system of objective sett ing, responsi- bility, and control. To these we add the selection process and motivational aspects, as Romania Cross Border Co-operation Programme 2007-2013, Value: 80,818 Euro, Duration: 1 year (2011-2012), Coordinator: Faculty of Economics and Business Administration, University of Debrecen, Hungary, Project partner: Faculty of Economic Sciences, University of Oradea, Romania. 7 these are directly linked with performance measurement and job satisfaction (Abru- dan, 2005). This is why, in this phase of our research, we focused on several key di- rections: motivation, selection and evaluation, professional development, decisional process and trust. Starting from these general assumptions this paper presents the strengths and weakness of public human resources management from Romania and Hungary. The data presented are derived from a broader study on the implementation of New Pub- lic Management principles in local public administration institutions in Bihor County (Romania) and Hajdu-Bihar County (Hungary). In this study 60 Mayor’s Offi ces were investigated, 30 in each country. Out of the twelve research topics within the NPM paradigm, three were specifi cally devoted to diff erent aspects of public human re- sources management (Abrudan et al., 2011). The article fi rst presents the particularities of Human Resources Management (HRM) in public institutions as concluded from an in-depth literature review. Cul- tural specifi cities of Romania and Hungary from the organizational culture point of view are presented in order to frame the comparative analysis conducted within the empirical section. The research results provide relevant insight in the processes re- garding personnel in the public institutions in this region and propose solutions for improvement of the observed weaknesses. The employees, both managers and their subordinates, included in this research consider themselves participants in the deci- sional process, yet the evaluation process needs to be reshaped in order to provide bett er balance between performances and the rewards system. The concluding sec- tion synthesizes the main fi ndings and emphasizes concrete proposed solutions. 2. Trends in public HRM research Results of work undertaken in an institution or public authority is subject to a greater extent to how public managers manage, train and develop competence, pro- fessionalism, intelligence and creativity of human resources (Androniceanu, 2008). Public managers and human resource professionals in public institutions have general and specifi c powers and responsibilities regarding grounding strategies and HR policies. The process involves special att ention to each activity, namely: recruit- ment and selection, performance evaluation, motivation, professional training, par- ticipation in decision-making process and establishing trust and mutual respect be- tween managers and subordinates. 2.1. Particularities of specifi c activities in public HRM When studying public administration, one of the fundamental questions is how to motivate employees to work in public services and towards achieving public pur- poses (Steen, 2006). Public service motivation occupies a central place in research and writing in the fi eld of public management. Public service motivation refers to the kind of motivation (such as altruism or public interest) that determines an individual to carry out activities related typically to the public sector (Vandenabeele, Scheepers and Hondeghem, 2006). 8 The scientifi c literature underlines that work motivation among public employees and managers is diff erent from that of private sector employees (Wright apud Islam and Ismail, 2008, p. 346). Diff erences in hierarchical level are stronger determinants of work motivation than diff erences in sector, which is not surprising considering the fact that, regardless of the sector in which they work, employees have the same hu- man needs, possess similar social characteristics, and work in organizations that rely mainly on the same control methods (Matheson, 2012). Most of the diff erences between public and private sector employees can be fully or partially explained by diff erences in work content rather than by diff erences in work sector (Nawab, Ahmad and Shafi , 2011, p. 110). About the perceived impor- tance of intrinsic incentives, there are no signifi cant diff erences between public and private sector employees according to Nawab, Ahmad and Shafi . They argue that the level of work motivation is infl uenced by factors such as: gender, age, hierarchical level, work characteristics. Yet, another study validates a series of hypotheses, such as (Buelens and Van der Broeck, 2007, p. 70): – Public sector employees are less motivated by wage. – Employees on higher hierarchical levels are more motivated by wage. – Employees with a high level of education are less motivated by wage. – Younger employees are more motivated by wage. – Male employees are more motivated by wage. However, several researchers argue that private sector employees value fi nancial incentives more than public sector employees. Direct economic benefi ts are less im- portant for public sector employees (Houston apud Buelens and Van der Broeck, 2007, p. 65). Leete (Leete apud Buelens and Van der Broeck, 2007, p. 67) argues that just like in the case of nonprofi t organizations, public sector organizations tend to rely mostly on intrinsic motivated employees. Most studies have concluded that public sector em- ployees are more intrinsically motivated and, thus, extrinsic rewards have a dimin- ished eff ect. Public sector employees are more likely motivated by job characteristics, personal development, recognition, autonomy, interesting work and the opportunity to learn new things (Houston apud Buelens and Van der Broeck, 2007, p. 65). On this basis, there is also evidence that clerks with higher hierarchical positions are more satisfi ed with their jobs than the Romanian average (Saveanu and Saveanu, 2011). Regarding motivation, in terms of new public management, human resources managers’ actions need to set aside: ‘the traditional concept of employee administra- tion that is technically one that treats the data, do analysis and draw notes, consisting of operational decisions in proceedings, but must be aware of promoting personal- ized dimensions in relations with its employees.’ More, managers must consider each person as a distinct individuality and create a performance evaluation system, closely correlated with an incentive system to reward employees (Minică, 2004). The involvement in decision making and establishing communication channels based on manager-subordinate trust and mutual respect can certainly contribute to 9 increased intrinsic motivation of employees in public institutions as well as on in- creased performance (Roman, 2004). Regarding recruitment and selection in public administration, the real challenge is to fi nd the answer to the question from where and how it is possible to att ract a larger number of competitive and motivated candidates from which to select those required. Hence, the need is to establish and identify ways of att racting potential candidates to prove actual skills and motivation for a career as a civil servant. Also, eff ective tools for selecting suitable candidates who best meet the requirements of vacancies have to be identifi ed. In the new public management approach, the professional development of pub- lic employees shall consist of a coherent process and ongoing programs in order to develop their knowledge and skills. This objective can be achieved through specifi c programs integrated in global strategies and policies that can reshape and adapt pub- lic sector employees’ training and behavior in order to meet the new requirements (Verboncu and Deaconu, 2008). Also, performance evaluation process of employees has to be an objective one and must refl ect the actual results of the work of public employees. When not seen as a pretext, a meaningless action, or as an administrative task, performance evaluation turns out to have a great infl uence on activities and organizational framework of a public institution, with repercussions on effi ciency in general. 2.2. National culture and its infl uence on employee work behavior. Diff erences between Romania and Hungary 2.2.1. National culture and work motivation When dealing with comparative studies in diff erent countries it is not recom- mended to ignore or neglect the cultural particularities of the countries studied. Cul- tural values infl uence how an individual perceives and understands a situation, and therefore aff ects the behavior and work motivation of that individual. Cultural values serve as criteria for assessing the meaning of various motivating factors and other work related factors (Erez, 2008). Since people from diff erent cultures use diff erent cultural values to interpret the same situational factors, is to be expected that what is perceived as a motivating factor in some cultures may be perceived as a de-motivator in other cultures. Some steps to identify the relation between national culture and motivation have been made, but not enough to clarify this issue. Several researchers believe that there is a direct link between cultural dimensions and key motivational factors (Marinaș, 2010). For the past two decades, Geert Hofstede’s cultural dimensions theory (Hof- stede, Hofstede and Minkov, 2010) has been used extensively to explain diff erences in work behavior and management practices in diff erent cultures. Hofstede’s theory consists of four original cultural dimensions, i.e.: individualism versus collectivism, power distance, uncertainty avoidance, masculinity versus femininity. Subsequently, two new cultural dimensions have been added: long term orientation versus short time orientation and indulgence versus restraint (Bibu, 2003). 10 Hofstede’s approach is not singular in this domain. Based on Hofstede’s dimen- sions, the GLOBE survey (House et al., 2002) conducted in 62 countries has extended the typology of cultural dimensions, and Fons Trompenaars in his research (Trompe- naars and Hampden-Turner, 2004) has identifi ed seven dimensions of culture. 2.2.2. Cultural diff erences between Romania and Hungary For a complete and accurate insight on work related aspects in Romania and Hun- gary it is necessary to take into account the cultural specifi cities of the two countries. As seen in Figure 1, despite geographical proximity and historical background, there are signifi cant diff erences between the values of the cultural dimensions of the two countries. Figure 1: Hungary versus Romania – cultural dimensions values Source: The Hofstede Centre, [Online] at http://geert-hofstede.com/romania.html The cultural dimensions traditionally taken into account (Hofstede, Hofstede and Minkov, 2010; Erez, 2008) in explaining the diff erences in the work motivation fi eld are: Individualism versus Collectivism, Masculinity versus Femininity, and Power distance. For Romania and Hungary, the particularities of these cultural dimensions are summarized below. Power distance (PDI) Romania scores 90 on Power distance which means that people accept a hierar- chical order in which everybody has a place and which needs no further justifi cation. Subordinates expect to be told what to do and the ideal manager is a benevolent auto- crat (Hofstede, Hofstede and Minkov, 2010). Hungary scores lower on this dimension (46) which means that power is decentralized and managers count on the experience of their team members. Hungarian employees expect to be consulted, while commu- nication is direct and participative (The Hofstede Centre). Individualism versus Collectivism (IDV) With a score of 30, Romania is considered a Collectivistic society which fosters strong relationships where everyone takes responsibility for fellow members of their 11 group (Hofstede, Hofstede and Minkov, 2010). Hungary, with a score of 80 is an In- dividualistic society. This means that individuals are expected to take care of them- selves and their immediate families only (The Hofstede Centre). Masculinity versus Femininity (MAS) Romania scores 42 on Masculinity/Femininity dimension and is thus considered a relatively feminine society. Confl icts are resolved by compromise and negotiation and free time and fl exibility are valuable incentives (The Hofstede Centre). Hungary scores 88 on this dimension and is thus a masculine society in which managers are expected to be decisive and assertive. Organizations focus on equity, competition and performance (Hofstede, Hofstede and Minkov, 2010). 3. Research methodology This paper presents some of the research results obtained within the project ‘Establishment of R&D programmes in the fi eld of new public management be- tween economic faculties of higher education in Hajdu-Bihar and Bihor Counties’ (HURO/0901/277/2.2.2). The main objectives of the project were: (1) the analysis of European best practices in the fi eld; (2) the identifi cation of problems, needs and training topics in public administration in the two regions; and (3) grounding a com- mon training program for specialists in the fi eld. Especially for the second objective, a common research was conducted in order to identify the main challenges public ad- ministrations in the two countries face in implementing the New Public Management approach. In the framework of this pilot project, researchers from University of Debrecen and Oradea took the fi rst steps in the development of a common methodology for the analysis of the implementation of New Public Management (NPM) in Mayor’s Offi ces from urban and rural areas from Romania and Hungary. These instruments were tested within 30 public administration institutions in both counties involved in the project: Bihor on the Romanian side and Hajdu-Bihar from the Hungarian side. In the fi rst stage of the study, the team selected a list of twelve topics derived from the general topic of New Public Management, relevant for the local level. Concretely, within this project there were developed and tested three research instruments used to collect information from Mayor’s Offi ces from rural and urban localities in the two neighboring counties. These instruments were: (1) the general in- formation sheet, (2) questionnaire addressed to managers of public institutions (civ- il servants as Mayors, head of departments with a minimum of 5 subordinates), (3) questionnaire for the employees, executive civil servants. The last two were devel- oped symmetrically to gather information from both parts regarding the processes within each institution, while the fi rst refl ected factual information regarding the in- stitution. Regarding the general topics refl ecting aspects related to human resources, planning and managerial style there were a total of 39 questions, 21 addressed to the managers and 18 to employees. A complete description of the instruments and re- search topic can be found in Abrudan et al., 2012. 12 This set of instruments was administered in 60 Mayor’s Offi ces from urban and rural areas, 30 in Romania and 30 in Hungary. The questionnaires were self-admin- istered, after being explained by a researcher from the project team. Depending on the size of the institution there was a diff erent number of questionnaires to be fi lled in: from one and up to fi ve for managers (the mayor and chiefs of diff erent depart- ments having at least fi ve subordinates) and from three to fi fteen questionnaires were gathered from employees in each institution (employees with no coordination att ri- butions, all public servants). The localities which took part in this study will not be mentioned as requested by some of the representatives of the participant institutions. The general structure of the sample is presented in Table 1. Table 1: Distribution of responses on sub-samples No. of valid questionnaires Sample Romanian sub-sample Hungarian sub-sample Rural sub-sample Urban sub-sample TOTAL Managers 60 31 42 49 91 Employees 85 82 77 90 167 The Romanian sample included 10 Mayor’s Offi ces from urban localities (munic- ipalities and towns) and 20 from rural areas, while the Hungarian comprised of 12 urban and 18 rural Mayor’s Offi ces. The data was analyzed by the project team us- ing SPSS package, in two separate data bases for managers and employees. In this paper we present the general samples, including both the Romanian and Hungarian responses. We made comparisons between the two national samples, and, where rel- evant, also between the rural and urban sub-samples from the study. 4. Human resources management in local public administration insti- tutions in Bihor county (Romania) and Hajdu-Bihar county (Hungary). Research fi ndings 4.1. Motivation Challenging for the employees of the public institutions included in our study were the questions regarding the way in which they can express their creativity at the workplace, and in carrying out their duties and responsibilities, as an element of intrinsic motivation. The data collected in the common study reveals the fact that a comparable per- centage of managerial staff and of public servants from Romanian and Hungarian public institutions consider that they can express to a great extent their inventive, creative spirit at the workplace. As shown in Figure 2, the managers appreciate these elements of intrinsic motivation as stronger than their subordinates: 63.7% of manag- ers affi rm that the employees can express totally and to a great extent their creative spirit, while only 25.9% of employees give the same answers. There is no signifi cant diff erence between rural and urban sub-samples, yet the t-test analysis shows that the Hungarian managers report signifi cantly (F=0.535, 13 Figure 2: Expression of inventive, creativity and personality at work, aggregated results (RO&HU). sig=0.00) lower levels for expression of employees inventive and creative spirit at their workplace (mean value of responses in Hungarian sub-sample – 3.23, while in Romanian subsample – 3.83 (on a scale from 1 meaning not at all, to 5 meaning total- ly) – detailed responses presented in Figures 3 and 4. On the one hand, we consider that this response can be determined by the high desirability rates of the answers on the Romanian side. Also, this response can be att ributed to the diff erences in culture between the two countries. Hungarians may have scored lower because of the high score of individualism in their country (hence, the greater need for expressing per- sonality and individuality) and lower power distance index (hence, the managers’ expectation that employees would express their inventive and creative spirit). Figure 3: Expression of inventivity, creativity and person- ality. Managers’ responses from Romania and Hungary Figure 4: Expression of inventivity, creativity and person- ality. Employees’ responses from Romania and Hungary As the diagrams clearly show, the initial hypothesis, below 10% of employees can express freely their innovative spirit, their creativity and even their personality, can be re- futed. On average 55% of managers consider their employees are provided with a creative work environment, while only 10% of the employees feel that way, as shown in Figure 2. Such a big diff erence can be explained most probably by a combination of 14 desirable responses provided by managers, along with a diff erence in understanding the elements of freedom of expression of inventivity, creativity and personality. It is important to underline the fact that the diff erences between responses are quite relevant: 78% of Romanian managerial staff consider that the employees – pub- lic servants of the institution can express totally or to a great extent their inventive, creative spirit at the workplace and only 39% of Hungarian managerial staff consider it, while 59% of the Romanian executive public servants and 40% of the Hungarian executive public servants consider the same. Regarding the position of managerial staff , the responses are in contradiction with the Romanian (90) and Hungarian (46) PDI score which may suggest a lack of sincerity. The employees’ position regarding their individual level of motivation in accom- plishment of their tasks, confi rms that most subordinates from both target groups (55% from the general sample), do not consider themselves motivated in their work. Figure 5: Opinions regarding the motivation function (RO&HU) The motivational mechanism used, the most frequently mentioned by both Ro- manian and Hungarian managers were: verbal appreciations, interest in creating an adequate climate for achieving the objectives (cheerfulness, enthusiasm, balanced behavior, harmonious environment etc.), involvement of subordinates in decisional process, discussions with employees, fi nancial incentives in the limits prescribed by the law, etc. On their behalf, employees that answered to this question, mentioned they are motivated at organizational level with: fi nancial incentives, moral and spiri- tual incentives such as appreciations, work environment, and also at individual level by their wish to gain their superiors’ trust, personal development plans, etc. In this regard there is a signifi cant diff erence between the Romanian and Hungari- an samples: the employees from the Hungarian public institutions consider in a much higher degree that they are motivated to achieve their goals (p=21.107, sig=.000). On the other hand, the employees of the Mayors’ Offi ces from the urban localities are the ones which are signifi cantly less motivated (p=4.95, sig=.029). The managers’ re- 15 sponses do not vary signifi cantly. This could be explained not only by the cultural diff erences that exist between the two countries, but also by the diff erences in living standards. Romanian employees value to a greater extent fi nancial incentives (the use of which is restricted in the public sector). Table 2: Use of motivational function, on groups and countries Managers Employees Hungary Romania Hungary Romania no 35.48 37.50 37.04 72.62 yes 64.52 62.50 62.96 27.38 4.2. Recruitment, selection and evaluation A signifi cant number, more than 80% of both managers and public servants from both Romanian and Hungarian public institutions, consider that the methods and procedures of recruiting and selecting human resources should be changed – this means that only persons showing real skills and motivation for a career as a public servant have to be hired. Figure 6: Satisfaction with recruiting and selection of human resources (RO&HU) There is a positive association (p=0.20) between the perceived need to change the recruiting and selecting human resources within the institutions and countries, as Ro- manians answered affi rmatively to this question in a signifi cantly higher percentage. Nonetheless, it is known that one of main problems of public administration is rep- resented by the personnel – which often do not prove the abilities and competences required for the position they occupy. In this regard, our answers prove once more the need to redesign the policies for recruiting and selection of public servants, the elaboration of transparent selection criteria correlated with the job descriptions, in order to ensure the selection of persons which prove real competences, aptitudes and motivation. However, there are only a few negative answers and we consider that generalizations should be based on higher samples. 16 The professional performance assessment – as a distinct and major activity in hu- man resource management – was emphasized within this project using several ques- tions. The viability of answers is supported by the common points of view presented by the two groups: managers and employees. Accordingly, personnel with managerial positions were asked the following ques- tions: Do you think performance evaluation of the employees of the institution you activate in is characterized by a high degree of objectivity?; To what extent do you consider that per- formance indicators are established for each post and show in a coherent, right and transpar- ent way the level of achieved results/performances?; and Do you discuss with every single employee subordinate to you about the results of the evaluation you’ve made?. Employees were asked: Do you think professional performance evaluation refl ects in an objective way your activity, the achieved results, your implication for achieving objectives?; Do you discuss with the person evaluating you about the results of this evaluation?; and Do you think the diff erences coming out in the process of performance evaluation on behalf of the employees can be completely justifi ed?. The research results show that there is no signifi cant diff erence between the Ro- manian and Hungarian samples, or between rural and urban sub-samples, regarding the objectivity level of performance evaluation in the considered institutions. As Figure 7 and Table 3 show, around 70% of managers and almost 90% of em- ployees – public servants from both samples consider that the evaluation system is an objective one. Nevertheless the 30% of managers who responded negatively to this question should not be neglected, indicating there is a felt need for improvement. Figure 7: Opinions on the performance assessment of human resources (RO&HU) Table 3: Objectivity of performance evaluation process Managers Employees Hungary Romania Hungary Romania no 35.48% 31.58% 12.5% 9.76% yes 64.52% 68.42% 87.5% 90.25% 17 More, approximately 74% from subordinated public servants from Romanian and Hungarian public institutions from this analysis, consider that the diff erences resulting from the evaluation process are fully justifi ed, sustaining the appreciation of the objec- tivity of this process. Figure 8: Appreciation of fairness of performance evaluation on behalf of employees (RO&HU) As shown in Table 4, Hungarians view the evaluation results as more accurate and relevant in signifi cantly higher degree then Romanians (p=7.75, sig=.007). As al- ready stated, organizations in masculine cultures (as is the case of Hungary) focus on equity, competition and performance (Hofstede, Hofstede and Minkov, 2010) which could explain the diff erences in employee perception of the evaluation process. Table 4: Objectivity of performance evaluation process Hungary Romania no 16.3% 35.3% yes 83.8% 64.7% One must not ignore the 26% from this category of employees which answered negatively to this question. This reveals that there is still some reluctance, explicable by the inherent nature of the evaluation process which, being conducted by people, will always have some degree of subjectivity. An adequate evaluation process entails discussions between the people who con- duct the evaluation and the person under evaluation, between managers and em- ployees, in order to clarify and explain possible diff erences in the assessments. From this perspective, the managers’ answers and the ones from employees revealed that in the institutions included in the analysis these types of discussions were held. As shown in Figure 9 presented below, 80% of managers claim they discuss the eval- uation results with each of their subordinates, statement supported by 66.5% of the employees, proving the viability of responses. The answers of employees to this question vary signifi cantly (p=7.72, sig=.008) between the two countries – the Romanians reported higher rates of discussing the 18 Figure 9: Discussion of evaluation results (RO&HU) results of evaluations with their chiefs. Any generalization in this direction must be tested on a larger sample and the verifi cation of actual practices in each institution. Table 5: Discussion of evaluation results, on groups and countries Do you discuss with your employee / your manager about the results of evaluation? Managers Employees Hungary Romania Hungary Romania no 22.58% 18.33% 43.90% 23.53% yes 77.42% 81.67% 56.10% 76.47% Regarding the exercise of the motivation function, one of the fi ve managerial basic functions, the position expressed by managers and their subordinates do not coin- cide. The managers from both target groups, in a proportion of 63% declare that, de- spite the rigidity of the legislative system, they can act upon this function, as they can infl uence / determine their subordinates to achieve the targeted objectives. The high rate of non-responses to this question (13%) raises suspicions regarding the level of understanding of the fundamental elements of the managerial act, at least regarding motivation. The responses regarding the correlation between the awards system and the achieved results are in the same line: 58% of employees from Romanian and Hungar- ian public institutions affi rm that there is no such correlation, while a high percentage (25%) do not respond to this question. There is a signifi cant association (p=11.5; sig = .001) between the perceived fair- ness of rewards allocation and the two countries. As Table 6 presented below shows, the Romanian employees consider in a much higher degree that the relation between evaluation results and rewards is not fair, which means that the evaluation system is not working correctly and has implications for employee motivation. Under the condition of the recognized and highly debated lack of motivation of personnel in Romanian and Hungarian public institutions, our fi ndings prove that in this fi eld, the public human resources management still has to catch up. The moti- 19 Figure 10: Opinions regarding fairness of incentives used (RO&HU) Table 6: Opinions regarding fairness of incentives used, employees on countries Hungary Romania no 63.49% 89.06% yes 36.51% 10.94% vational policies for the personnel in the public system have to be reshaped, starting with the real needs of employees and their performances. 4.3. Professional development Regarding the professional development programs for the employees, 56% of managers included in the study, from both countries consider that these are well de- signed and cover both the individual and institutional needs for development. We must emphasize that these individual needs should be derived from the evaluation of achieved performance. Figure 11: Personal development (managers – RO&HU) 20 There is a signifi cant association (p=22.009, sig=0.000) between the answers of Ro- manian managers and their Hungarian counterparts: more Romanians respond posi- tively to this question, as Table 7 shows below. Table 7: Personal vs. institutional development, managers on countries – Are the programs for employees’ develop- ment conceived to the same extent according to their individual and the institution’s needs for development? Hungary Romania no 79.31 26.67 yes 20.69 73.33 The employees’ responses from Romanian and Hungarian local public institutions, regarding the question on satisfaction with professional development programs, are equally divided: 50% are satisfi ed, while 50% are not. This neither confi rms, nor sup- ports the affi rmations of managers. The diff erences between the Romanian and Hun- garian responses are not signifi cantly diff erent. 4.4. Decision making Referring to the decisional process, our common fi ndings reveal that 55% of man- agers consider they have autonomy (48% to a great extent, and 7% total autonomy). The subordinates’ position is similar as 54% declare their managers have decisional autonomy. These opinions prove that the decisional system succeeds to adapt, even if in an incipient manner, to the patt erns of modern public management. However, it is important to note that 34% of managers are skeptical and affi rm that this autonomy is limited, and 26% of employees do not formulate a position – which indicates either they did not understand the question, either they could not identify this characteristic. Figure 12: Opinions about autonomy of managers (RO&HU) Regarding the fl exibility of the decisional process, again, the opinions of managers and employees coincide to a great extent: 54% of managers consider they have a fair amount of fl exibility, while 73.8% of the employees support this statement. In both cases, there are no signifi cant diff erences between Romanian and Hungarian samples. 21 Figure 13: Opinions about fl exibility of managers (managers – RO&HU) Managers in rural localities consider themselves more fl exible in a signifi cantly higher degree then in urban localities (sig. = .000; mean in urban =3.43; mean in rural =3.98). Regarding the responses of the employees, there are no diff erences between rural/urban nor between Romanian and Hungarian subsamples. The opinions of managers’ that consider there is a lack of fl exibility coincide to a great extent to the ones that are skeptical about autonomy. More, the high percentage of non-responses (28%) of employees can be explained as in the case of autonomy: either lack of understanding, either impossibility to assess this characteristic at their work place. The results underline the fact that the decisional processes in public insti- tutions from our study are grounded in modern trends. Figure 14: Opinions involvement in decision making (RO&HU) Regarding participative management – there is also a common point of view: of course managers (90%) are more likely to declare it but, as we can see in Figure 15 22 below, the percentage of public servants (63%) declaring the same is a signifi cant one. There are no associations regarding this question between Romanian and Hungarian samples, nor between rural and urban ones. In this case, the second hypothesis formulated within our study, namely that less than 50% of public institutions’ employees consider that the manager involves his/her subor- dinates in the decisional process – can be refuted. A more participative managerial ap- proach was observed in both Romanian and Hungarian institutions, practices which are in line with the new principles of public management. 4.5. Trust The perception of managers and employees (public servants) from both Roma- nian and Hungarian public institutions, regarding the need for developing a policy in order to win the employees’ trust and fellow-feeling is the same – over 86% of the managerial staff and over 78% from employees gave an affi rmative answer to this question, suggesting there is a high perceived autonomy of local representatives re- garding the policies in their institutions. Figure 15: The need for policies to develop employee fellow-feeling and trust (RO&HU) As our results shown, the formulated responses highlight the fact that human re- sources management, as a clearly cut activity within New Public Management, is un- derstood through values that constitute the foundation of the organizational culture oriented towards own employees. 5. Concluding remarks and future recommendations Because cultural values aff ect behavior and other work related aspects by infl u- encing how an individual perceives and understands a situation, when conducting a comparative study one must take into consideration the cultural particularities of the countries studied. Although our fi ndings show that the diff erences in the perception of Romanian and Hungarian employees on HRM practices in local public administra- 23 tion institutions in Bihor county (Romania) and Hajdu-Bihar county (Hungary) are rather minor, this could be explained by cultural diff erences. Concretely, the diff erences between the responses from the two samples refer to the motivational levels, as the Hungarian subordinates declare in a signifi cantly high- er percentage that they are motivated to achieve their tasks (the fi rst dimension of our study). This result is directly linked with the second dimension regarding the evaluation system where signifi cant diff erences were also reported, namely that it is perceived as less fair in the Romanian case. These fi ndings indicate that the Hungarian public system, at least as refl ected in our sample, adheres to a greater extent to the principles of New Public Management, as the professional performance assessment, the systems of rewards and consequently employees’ motivation are bett er developed. As stated in the analysis section, these diff erences can be explained also as a consequence of the ‘masculinity’ that characterizes the Hungarian organizations, a culture that focuses on equity, competition and performance. Referring to the human resources strate- gies and policies, the problems already identifi ed in the literature are persistent: the employees of public institutions confi rm the need for the elaboration of personnel recruiting and selection policies in order to ensure the employment of people which prove real abilities and motivation for a career as a public servant. Employees are not suffi ciently motivated in caring out their tasks; there is no correlation between the level of awards received from the organization and results or performances achieved. Nevertheless, our research highlights the fact that regarding performance evaluation improvements were made, increasing the level of objectivity of this process. This positive outcome demonstrates that eff orts are made with good results in improving the management of human resources in the public system, based on the principles of New Public Management. The fi nal conclusions regarding the decisional process, the fourth dimension un- der study, are somewhat optimistic as over 50% of employees from Romanian and Hungarian public institutions from both counties declare that autonomy and fl exibil- ity characterize their work. However, managers refl ect a higher involvement of sub- ordinates in the decisional process than the reported percentages from employees. The result of our research also shows that the managers and subordinates from the Romanian and Hungarian public institutions consider that the policies in their institutions are focused on winning the employees’ trust and fellow-feeling which constitute the foundation of the organizational culture oriented towards employees. The main limits of our research are derived from the low representativeness of our data, as this was conducted as a pilot study. Consequently most of our results should be tested on larger samples, including both more respondents from the same institu- tion as well as more public institutions. Nonetheless, our data bring more insight in an area of study which is still under development. The main conclusion of our study is that in the fi eld of human resources the public system has still to put in consistent eff orts, towards: (1) the creation of mechanisms 24 which will allow the real exercise of managerial function of motivation, (2) sett ing a fair correlation between rewards and performances, as well as (3) the conception of directions regarding the management of individual and organizational careers etc. All these proposals refl ect the principles of a professional human resources manage- ment. 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