The process of managing a small fi rm differs from managing a large fi rm, because small fi rms face distinct forms of risk and organize their human resources differently, often informally (Kotey & Slade, 2005;Storey, 2002). This paper introduces and tests a new variable, self-reported job quality (SRJQ), as a key link in the causal chain between HR practices and outcomes. In comparing small fi rms with large ones, we present three key fi ndings: (1) employee reports of job quality are highest in small fi rms and decrease as fi rm size increases; (2) in workplaces owned by large fi rms, job quality is highest in the smallest workplaces; and (3) workers in small workplaces owned by large fi rms report lower job quality than workers in comparable sized workplaces owned by small fi rms. Our fi ndings are partially explained by how formally HR practices are implemented. We show that formality increases with fi rm size and workplace size. Importantly, evidence suggests that employing an HR professional (a key indicator of HR formality) lowers SRJQ in single-site SMEs. Implications for small business owners, HR professionals in large and small fi rms, and policy makers are discussed.
Small firms account for a substantial proportion of employment in advanced economies; yet understanding of the quality of jobs in them remains poor. Studies using national-level data find that indicators such as autonomy are high but find it hard to say why. Analyses within small firms stress the structuring of jobs and not size as such. Data from 384 employees in small firms from three contrasting sectors are used to test three hypotheses. 1) There is a pure size effect; such an effect was found in such areas as good relations with managers, and explained in terms of the informality of small firms. 2) Size is in fact a proxy for other influences; there was little evidence of this. 3) Factors not associated with size are more important; features such as autonomy and work pressure reflected sectoral differences and not size. Overall, qualified size effects were found, suggesting the continuation of traditional small-firm relationships.
In this article we argue that International HRM research will benefit from an extended research agenda that moves: i) beyond the enterprise, ii) beyond managerialism, and iii) beyond universalism. This will require both a wider range of theoretical resources to be brought to bear and a greater attentiveness to the interpenetrating levels of the empirical worlds that are subject to evaluation and explanation. The article reflects on the opportunities for drawing on theoretical frameworks from proximate research areas and advances a multi-level approach in order to achieve a more holistic and situated understanding of HRM in its international and comparative contexts.
Using matched employer-employee data from the 1998 Workplace Employee Relations Survey, it is suggested that the presence of employee share ownership at a workplace is not significantly associated with employee commitment to the organization. There is evidence of a significant negative relationship between share ownership and workplace turnover, which explains part of the positive share ownership/performance relationship. This calls into question the postulate that share ownership has its main impact upon performance via the closer alignment of employees' and employers' values and interests -the golden path -rather than the lowering of employee turnover -the golden handcuffs.
Strategic networking is widely seen to be important for small firms, but most attention has been given to the operation of networks rather than the nature of links with firms’ strategies and resources. The article addresses these links through a study of 89 firms in three sectors.Variations in their involvement in external relationships are the focus. Previous theory suggests that product market conditions and firms’ internal structures, such as reliance on family labour, will explain the level of involvement. The evidence supports some of these ideas but also shows that the context of the sector is central. For firms, the lesson is to develop distinct kinds of external relationship, depending on the firm’s context and strategic position. The policy implication is that business support agencies need to be sensitive to these highly specific contextual factors.
Purpose-A range of studies have shown that performance is typically higher in organisations with employee share ownership (ESO) schemes in place. Many possible causal mechanisms explaining this relationship have been suggested. These include a reduction in labour turnover, synergies with other forms of productivity-enhancing communication and participation schemes, and synergies with employer-provided training. The paper aims to discuss these issues.
Employment Tribunals are the formal means of adjudicating disputes over individual employment rights in the UK. This article hypothesizes that, because small firms favour informality over formality, they are more likely (i) to experience employee claims than large firms; (ii) to be subject to different types of claims; (iii) to settle prior to reaching a formal Tribunal; and (iv) to lose at a Tribunal. Data from the 2003 Survey of Employment Tribunal Applications are used to examine these hypotheses. They are generally supported, although in relation to the third there was no size effect. Furthermore, our results show that firms that have procedures and follow them are more likely to win than those firms that do not have any procedures. Recognizing the benefits of informality, while also ensuring that small firms follow proper standards of procedural fairness, is a policy dilemma that has yet to be resolved. Copyright (c) Blackwell Publishing Ltd/London School of Economics 2008.
Conventional wisdom suggests that higher performance is observed when employeeshare-ownership (ESO) schemes coexist with employee participation arrangements. However, the evidence is inconclusive and it has been suggested that performance benefits occur in ESO workplaces only when employees are actually involved in the decision-making process. Drawing on the cross-section data from the 1998 Workplace Employee Relations Survey, the article shows that higher productivity is observed in those workplaces where unions coexist with ESO schemes. This result highlights the relevance of unions to High Performance Work Systems.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.