Is Human Resource Management Profitable for Small Firms?

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Provided by: EIM Business & Policy Research
Topic: SMBs
Format: PDF
A substantial body of HRM research has investigated the relationship between HRM and organizational performance. Recent paper tends to explains the effects of integrated 'Systems' or 'Configurations' of HRM practices on different indicators of firm performance. A High Performance Work System (HPWS) can be defined as a set of distinct but interrelated HRM practices that together select, develop, retain, and motivate a workforce. Overall, the results of the work on HPWS and performance suggest substantial benefits from effectively managing human resources.
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