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Moderating Effects of Human Resource Management Practices and Entrepreneur Training on Innovation and Small-Medium Firm Performance

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  • M. Mohd Rosli
  • Rosman Mahmood

Abstract

A large number of studies on innovation can be found in the literature, yet until recently, research on the moderating effects of HRM practices and entrepreneur training on the relationship between innovation and firm performance are nonexistent. This study attempts to address the questions of how HRM practices and entrepreneur training interact with innovation, which then affect SMF performance. Two hundred eighty-four samples were obtained from SMFs in Malaysia. This study found that the employee and employer training interacted with innovation and significantly influenced SMF performance. Theoretically, greater performance of SMFs is not merely explained by how much they put their effort in innovation, but also how much they invest in employee and employer training. This also reminds the SMFs that innovation and training of both employee and entrepreneur must go hand in hand, so that their performance could be enhanced.

Suggested Citation

  • M. Mohd Rosli & Rosman Mahmood, 2013. "Moderating Effects of Human Resource Management Practices and Entrepreneur Training on Innovation and Small-Medium Firm Performance," Journal of Management and Strategy, Journal of Management and Strategy, Sciedu Press, vol. 4(2), pages 60-69, May.
    • Handle: RePEc:jfr:jms111:v:4:y:2013:i:2:p:60-69
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    Cited by:

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    3. Fejér-Király Gergely & Ágoston Norbert & Varga József, 2019. "Modelling the Financial Failure of Romanian Stock Companies," Acta Universitatis Sapientiae, Economics and Business, Sciendo, vol. 7(1), pages 65-82, December.
    4. Olalekan Usiobaifo Asikhia, 2016. "SMEs, Wealth Creation and Poverty Alleviation in Nigeria," Journal of Economics and Behavioral Studies, AMH International, vol. 8(4), pages 17-31.
    5. Dhar, Rajib Lochan, 2015. "Service quality and the training of employees: The mediating role of organizational commitment," Tourism Management, Elsevier, vol. 46(C), pages 419-430.
    6. Chieh-Peng Lin & Meng-Keng Tsai, 2020. "Strengthening long-term job performance: The moderating roles of sense of responsibility and leader’s support," Australian Journal of Management, Australian School of Business, vol. 45(1), pages 134-152, February.
    7. Erstu Tarko Kassa & Tilahun Getnet Mirete, 2022. "Exploring factors that determine the innovation of micro and small enterprises: the role of entrepreneurial attitude towards innovation in Woldia, Ethiopia," Journal of Innovation and Entrepreneurship, Springer, vol. 11(1), pages 1-16, December.
    8. Rauch, Andreas & Hatak, Isabella, 2016. "A meta-analysis of different HR-enhancing practices and performance of small and medium sized firms," Journal of Business Venturing, Elsevier, vol. 31(5), pages 485-504.

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