This paper explores the performance effects of Human Resource Management (HRM) practices in seventy-four Chinese small and medium sized enterprises (SMEs). Four high performance HRM practices are identified: performance-based pay, participatory decision making, free market selection, and performance evaluation. Regression analysis results support the conventional idea that the adoption of HRM practices generates better HRM outcomes and, in turn, better HRM outcomes contribute positively to firm performance. However, not all HRM practices, and their effects, led to improved SME performance. Among the Chinese SMEs investigated, a high level of employee commitment was identified as being the key HRM outcome for enhancing performance.

PurposeThe purpose of this paper is to show how understanding of human resource (HR) management practices which have been adopted in the emerging markets such as that in China is particularly interesting to academia and management practitioners. The purpose of this study is to shed some light on the implementation of innovative HR practices among 74 Chinese small and medium‐sized enterprises (SMEs) and to explain how the HR practices influence their firm performance.Design/methodology/approachCluster analysis is used to group Chinese SMEs according to their adoption of innovative human resource (HR) practices and examine how the practices are associated with HR outcomes and firm performance.FindingsIt is found that the membership of clusters is influenced by several factors, including ownership, age and size of firms. These characteristics have influenced the motivation, capacity and ability of firms in the sample to adopt high performance human resource practices. The extent to which firms have adopted innovative human resource practices is shown to be closely associated with human resource outcomes and firm performance.Originality/valueThe key implication is that SMEs, especially those rapidly developing domestic and collectively owned small firms, as well as those state‐owned enterprises in China, may see clearly the benefits of devoting greater attention to HR practices to achieve their future growth potential.

While an individual at an organisational interface can display effective supportive, normative relationship behaviour, it is the shared presence of this normative behaviour within organisations that will support effective relationship management practice and performance outcomes. Organisational culture, and its underpinning values, influences behaviour and expectations of individual managers within a business. Further, it shapes the employees’ shared perceptions of how other organisations should be treated, correct modes of behaviour and basic attitudes towards activities of the business. This research identifies organisational cultural dimensions that underpin successful relationship management practice, and that lead to relationship outcomes of equality, satisfaction and performance. The importance of organisations looking inwards and evaluating their own culture as a critical starting point for relationship development is highlighted.

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Purpose -The two aims of this paper are to explore the development of trust for relationships between staff and customers in the banking sector and to investigate possible links between financial performance of relationship manager and their levels of emotional intelligence (EI) and trust. Design/methodology/approach -An internet survey was undertaken, where respondents were asked to complete an EI test and questions relating to trusting behaviour. These data were integrated with financial performance data supplied by the bank. Exploratory and confirmatory factor analysis and correlation analysis was used to identify links. Findings -Trust was found to be made up of three components: dependability; knowledge; and expectations. Further, there were significant correlations between both trust and EI, when compared to the financial performance of a relationship manager.Research limitations/implications -The methods used by the bank to collect performance data have limited the analysis that could be conducted. Practical implications -Increased awareness by the relationship managers of their own emotions, and how they perceive and act upon the emotions of others, should favourably impact financial performance. Originality/value -This paper is an important initial step in highlighting the significance of EI and trust in the relationship marketing/selling arena.