Formal Human Resource Management Practices in Small Growing Firms*

Using data from micro, small, and medium firms in Australia, the paper exams changes with size toward more enunciated and prescribed practices; (2) the changes in HRM in small and medium‐sized firms begin early in the growth process and proceed at a faster rate than during the latter growth phase; and (3) the adoption of formal HRM practices at the managerial level lags behind that at the operational level at the smaller firm sizes.