Organization Context and Human Resource Management in the Small Firm
AbstractThis paper examines the relationship between organization contextual variables and humanresource management (HRM) practices in small firms. The proposed model is based on anintegration of theoretical perspectives, including the resource-based approach, institutionaltheory, transaction cost economics (TCE), and concepts from strategic management. The model isexplored empirically, with qualitative and quantitative analyses of data collected from a sample ofsixteen small Dutch firms. Specific contextual variables examined include company size, thepresence of a collective labor agreement, having a large firm associate, either as supplier,purchasing group or franchiser, and the company's strategic orientation toward growth (growthstrategy). An important finding is the significance of having a large firm associate. Companies witha large firm associate are more likely to report having employer-based training programs. Aspredicted, company size is associated with more formal HRM practices, including greater regularityof performance appraisal and greater likelihood of employer-based training. A weak relationship isfound between a more growth-oriented strategy and greater formality of these two HRM practices.Predictions based on collective labor agreements are not supported. The paper concludes that thefindings warrant further research on the relationship between organization contextual variablesand the formalization of HRM practices, although a clearer definition of the latter variable isneeded in future research.
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Bibliographic InfoArticle provided by Springer in its journal Small Business Economics.
Volume (Year): 17 (2001)
Issue (Month): 4 (December)
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Web page: http://www.springerlink.com/link.asp?id=100338
Other versions of this item:
- Jan de Kok & Lorraine M. Uhlaner, 2001. "Organization Context and Human Resource Management in the Small Firm," Tinbergen Institute Discussion Papers 01-038/3, Tinbergen Institute.
- D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
- D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
- J50 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - General
- L20 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - General
- M12 - Business Administration and Business Economics; Marketing; Accounting - - Business Administration - - - Personnel Management; Executive Compensation
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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