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HR Contribution to a Firm?s Success Examined from a Configurational Perspective: An Exploratory Study Based on the Spanish CRANET Data

Author

Listed:
  • Simon L. Dolan

    () (Universidad Ramon Llull, Director of Research ?IEL (Instituto de Estudios Laborales), ESADE Business School)

  • MercŠ Mach

    (ESADE Business School, IEL Research Institute (Ramon Llull University))

  • Vicenta Sierra Olivera

    (ESADE Business School, IEL Research Institute (Ramon Llull University))

Abstract

The objective in this study was to examine whether a firm?s economic/financial success can be associated with the application of certain HRM policies, practices and strategies. In this empirical study, an extended rationale borrowed from a configurational conceptual model was used in order to examine the multiple linkages and architecture between certain HR policies and practices, HR Department characteristics as well as some organizational characteristics, and the overall economic/financial performance of the firm. Employing a series of ANOVAs and classification and regression tree analyses, results show that HRM policies and practices play an important role in predicting the economic/financial success of the firm in the intermediate range. In relative terms and within the tree architectural structure, the HR variables explain significant variance, more than HR Department or organizational characteristics. Controlling for size and economic sector, results show that the HR function within certain configurations plays an important strategic and operational role in adding value to the firm?s bottom line; in contrast, when some HR policies and practices are absent or poorly implemented, the detrimental consequences to the firm?s economic/financial performance can be observed.

Suggested Citation

  • Simon L. Dolan & MercŠ Mach & Vicenta Sierra Olivera, 2005. "HR Contribution to a Firm?s Success Examined from a Configurational Perspective: An Exploratory Study Based on the Spanish CRANET Data," management revue. Socio-economic Studies, Rainer Hampp Verlag, vol. 16(2), pages 272-290.
  • Handle: RePEc:rai:mamere:1861-9908_mrev_2005_02_dolan
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    Cited by:

    1. Capape, Javier & Susaeta, Lourdes & Pin, Jose R. & Gallifa, Angela & Garcia, Ricardo, 2011. "El control de la eficiencia de las prácticas de recursos humanos: Un análisis de la realidad de las empresas que operan en España," IESE Research Papers D/923, IESE Business School.

    More about this item

    Keywords

    Firm Performance; HRM; Configurational Analysis;

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • J53 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Labor-Management Relations; Industrial Jurisprudence
    • M10 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - General

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