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Market forces, strategic management, HRM practices and organizational performance, a model based in european sample

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Author Info
Cunha, Rita Campos e
Cunha, Miguel Pina e
Morgado, Antonio
Brewster, Chris

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Abstract

This study uses structural equation modeling to test a model of the impact of human resources management practices on perceived organizational performance, on a large sample of European companies. The influences of competitive intensity, industry attractiveness and strategic management are considered in the model, and their direct and indirect influence on organizational performance is assessed. The model produced an adequate fit and results show that strategic management does influence human resource practices. Human resource flexibility practices and performance management have a positive impact on organizational performance, while training was not found to have a significant impact. A direct positive impact of competitive intensity and industry attractiveness on strategic management was supported by the data, as well as a direct positive effect of industry attractiveness on perceived organizational performance.

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File URL: http://fesrvsd.fe.unl.pt/WPFEUNL/WP2002/wp415.pdf
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Publisher Info
Paper provided by Universidade Nova de Lisboa, Faculdade de Economia in its series FEUNL Working Paper Series with number wp415.

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Length: 44 pages
Date of creation: 2002
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Handle: RePEc:unl:unlfep:wp415

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  1. Nina Pavcnik, 2000. "Trade Liberalization, Exit, and Productivity Improvements: Evidence from Chilean Plants," NBER Working Papers 7852, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  2. Gerhart, B. & Milkovick, G.T., 1992. "Employee Compensation: Research and Practice," Papers 92-26, Cornell - Center for Advanced Human Resource Studies.
  3. Blundell, Richard & Griffith, Rachel & van Reenen, John, 1999. "Market Share, Market Value and Innovation in a Panel of British Manufacturing Firms," Review of Economic Studies, Blackwell Publishing, vol. 66(3), pages 529-54, July. [Downloadable!] (restricted)
  4. Luo, Yadong, 1998. "Industry Attractiveness, Firm Competence, and International Investment Performance in a Transitional Economy," Bulletin of Economic Research, Blackwell Publishing, vol. 50(1), pages 73-82, January.
  5. Medcof, John W. & Needham, Brent, 1998. "The supra-organizational HRM system," Business Horizons, Elsevier, vol. 41(1), pages 43-50. [Downloadable!] (restricted)
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