Human resource management in small and medium-sized enterprises: A performance model definition

Abstract

Background: Nowadays, studying small and medium-sized companies, particularly with regard to the management of human resources that takes place in them, is particularly relevant. Effectively, knowing that about 99.8% of companies are small and medium-sized, contributing very significantly to high levels of employability, it is extremely important to understand the role that people management assumes in these organizations, as well as which are the factors, both internal and external, that exert the greatest influence on them. Purpose: In this paper we investigate internal and external factors of small business likely to correlate with a more formal and structured human resource management. Study design/methodology/approach A conceptual model was defined through the literature on human resource management and its consistency was tested through three methodological steps (exploratory interviews; readjustment of variables with the Delphi method; multivariate statistical tests). From a survey of 186 smaller firms in Portugal, we tested conceptual model by structural equation modelling. Findings/conclusions: The analysis reveals that dimensions such as organizational structure, management and communication style, career management, organizational flexibility, organizational strategy and national culture are positively related to more formal and structured human resource management practices and policies. Limitations/future research: Due to its complexity, both at the level of the conceptual analysis and the empirical level, this study presents some limitations, namely, and among others, the complexity of the number of dimensions and variables under analysis, and the complexity of the model being tested. A broader line of research could include collecting data from employee. This analysis would allow for a different perspective of the company's procedures and would broaden some issues that are less detailed in this study.

Not a single path to success: alternative HRM configurations for well-performing small and medium-sized hotels

“…The second pathway–the “HRM developers” covers mostly medium-sized, non-family SMHs. In this pathway, hotel performance is achieved with the existence of a clear organizational structure and allocation of tasks and a broad application of most HRM functions, confirming the literature on the relationship between HRM formality and business performance on the one hand (Bobera and Bjekić, 2016), and HRM informality and family ownership on the other (Burhan et al. , 2023).…”

“…There is no doubt that SMEs, due to their small size, limited financial resources and lack of economies of scale, often encounter multiple problems and challenges in relation to people management. Some have argued that SMEs are likely to employ informal, unstructured and unsophisticated HRM practices (Cardon and Stevens, 2004), but others have suggested that high levels of formality in HRM lead to positive outcomes (Bobera and Bjeki c, 2016).…”

“…By adopting a universalistic approach, some scholars have demonstrated that firm size is crucial for the relationship between HPWS and organizational performance (Guerrero et al, 2022), while others have shown insignificant effects of firm size on the presence of HPWS and on organizational performance (Kerr et al, 2007). Scholars have additionally observed that in firms falling below a specific size threshold, such as 50 or 100 employees, HRM practices tend to be constrained, and this factor is likely to have an impact on firm performance (Ordiz-Fuertes and Fern andez-S anchez, 2003;Bobera and Bjeki c, 2016).…”

“…, 2007). Scholars have additionally observed that in firms falling below a specific size threshold, such as 50 or 100 employees, HRM practices tend to be constrained, and this factor is likely to have an impact on firm performance (Ordiz-Fuertes and Fernández-Sánchez, 2003; Bobera and Bjekić, 2016).…”

Research on Employee Performance Management Method Based on Big Data Improvement GWO-DELM Algorithms

“…College human resources performance management evaluation according to the performance management needs, through the analysis of the work of college staff, the construction of the performance evaluation plan, the use of appraisal and interviews and other ways to achieve the performance evaluation results, and feedback to improve the quality of teaching and teaching management [8]. Currently, performance management evaluation methods include fuzzy comprehensive evaluation method [9], machine learning method [10], deep learning method [11]. Madhavkumar theoretically proposes that the performance management evaluation system should satisfy fairness and reliability, and indicates that effective evaluation methods should maintain a balance between assessment and development [12]; Ugoani uses hierarchical analysis to construct a diversified performance management method by selecting performance-related influencing factors [13]; Kutieshat and Farmanesh analyse the reasonableness and validity of the human resource performance management methods by means of questionnaires.…”