Human Resource Management,Employee Exchange Relationships,and Performance in Small Businesses |
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Authors: | Mathew R Allen Jeff Ericksen Christopher J Collins |
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Institution: | 1. Babson College;2. School of Human Resources and Labor Relations, Michigan State University;3. Center for Advanced HR Studies, ILR School, Cornell University |
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Abstract: | In this study, the authors examine the effects of commitment‐based human resource management practices on the performance of small businesses. These effects are examined through the mediators of employee involvement and quit rates. In addition, they contribute to arguments that the effect of human resource management practices on performance takes place through the establishment and support of exchange relationships with employees. Using responses from CEOs and employees of small businesses, their results indicate that human resource practices in small businesses that are based on leaders' views of employee commitment are positively related to revenue growth and perceptions of performance. Further, the authors found that employee involvement and quit rates mediate these relationships. |
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Keywords: | strategic HR entrepreneurial/small business |
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