Research on the impact mechanisms of institution-oriented human resource management systems on employee group psychology in dairy enterprises: A case study of regional representative dairy enterprises

Purpose: The current study explores the impact mechanisms of institution-oriented human resource management (HRM) systems on employee group psychology in dairy enterprises, with specific focus on the interactions between both formal and informal institutions in different regions in China. Methods: A comparative case study approach was used to explore three typical dairy enterprises in the eastern, central, and western regions. The process of gathering data included in-depth interviews with more than 60 participants, participatory observation, and document analysis. Template analysis was used to identify patterns and underlying mechanisms across the cases. Results: The study findings identify three mechanisms through which institutions shape employee psychological responses: convergence in the east, whereby formal and informal institutions create standardized psychological expectations and organizational identity; complementarity in the center, whereby regulated compliance and cultural adaptation coexist; and adaptation in the west, whereby informal institutions moderate the lack of formal regimes. Institutional action takes place within the context of regulatory limits and resource allocation to formal institutions, and informal institutions influence practices through social networks and cultural norms. The regional differences reflect deeper differences in economic development, historical context, and resource endowments. Conclusion: Institutional environments create systematic differences in employee psychological responses through multidimensional mechanisms. The psychological impact of dairy enterprise HRM systems cannot be evaluated using universal standards but must consider how institutional contexts shape employee mental models, organizational identification, and group dynamics. Different institutional combinations produce distinct management ecosystems, each with unique advantages and constraints. Practical Implications: Dairy enterprises should design psychologically-informed HRM strategies that consider local institutional contexts and their impact on employee mental health and group dynamics. Policymakers should recognize that psychological adaptation patterns differ across regions and develop institutional frameworks that support employee well-being and organizational identification. Industry associations could develop adaptive HRM frameworks that accommodate institutional diversity while maintaining essential quality standards.