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Human resource practices and organizational human capital in the family firm: The effect of generational stage

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  • Blanco-Mazagatos, Virginia
  • de Quevedo-Puente, Esther
  • Delgado-García, Juan Bautista

Abstract

Organizational human capital (OHC) is considered a source of sustainable competitive advantage. However, research has scarcely analyzed what drives its development in family firms. We analyze the effect of formal human resource (HR) practices for family and non-family employees—namely, skill-enhancing practices (entry requirements and training programs) and motivational practices (internal promotion systems and compensation and incentive plans)—on family firms' OHC. Further, generational stage is one important source of heterogeneity among family firms. We contribute to the literature on heterogeneity among family firms by testing the moderating role of generational stage in the relationship between HR practices and OHC. We analyze 707 unlisted Spanish family firms and conclude that both family and non-family employees' skill- and motivation-enhancing practices have a positive effect on their OHC. Our results also show that the positive influence of motivational HR practices for family employees on OHC is more intense as generations advance.

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  • Blanco-Mazagatos, Virginia & de Quevedo-Puente, Esther & Delgado-García, Juan Bautista, 2018. "Human resource practices and organizational human capital in the family firm: The effect of generational stage," Journal of Business Research, Elsevier, vol. 84(C), pages 337-348.
  • Handle: RePEc:eee:jbrese:v:84:y:2018:i:c:p:337-348
    DOI: 10.1016/j.jbusres.2017.09.017
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    References listed on IDEAS

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    6. Manel Plana-Farran & Unai Arzubiaga & Angel Blanch, 2023. "Successors’ Future Training in Family Farms: The Impact of Intrinsic and Extrinsic Factors," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 14(4), pages 4216-4237, December.
    7. Stefano Amato & Rodrigo Basco & Nicola Lattanzi, 2022. "Contextualizing employment outcomes in family business research: current findings and future research avenues," Management Review Quarterly, Springer, vol. 72(2), pages 531-604, June.
    8. Aldrich, Howard E. & Brumana, Mara & Campopiano, Giovanna & Minola, Tommaso, 2021. "Embedded but not asleep: Entrepreneurship and family business research in the 21st century," Journal of Family Business Strategy, Elsevier, vol. 12(1).
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    10. Bauweraerts, Jonathan & Arzubiaga, Unai & Diaz-Moriana, Vanessa, 2022. "Going greener, performing better? The case of private family firms," Research in International Business and Finance, Elsevier, vol. 63(C).
    11. Migliori, Stefania & De Massis, Alfredo & Maturo, Fabrizio & Paolone, Francesco, 2020. "How does family management affect innovation investment propensity? The key role of innovation impulses," Journal of Business Research, Elsevier, vol. 113(C), pages 243-256.
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