Download this Paper Open PDF in Browser

Human Resource Management with Small Firms; Facts and Explanations

30 Pages Posted: 28 May 2003  

Jan de Kok

Panteia

Lorraine M. Uhlaner

EDHEC Business School

Roy Thurik

Erasmus University Rotterdam (EUR) - Centre for Advanced Small Business Economics (CASBEC); Erasmus Research Institute of Management (ERIM); EIM Netherlands - Business and Policy Research; Tinbergen Institute

Date Written: 19 2003 3,

Abstract

This study examines determinants of the formalization of HRM practices with small firms. We derive five hypotheses that identify possible determinants of the level of formalization, including firm size, family business, the availability of an HRM department or HRM manager, and the existence of a formal business plan. We test these hypotheses using data on more than 700 Dutch small firms. We find that, within this sample of small firms, larger firms apply more formalized HRM practices than smaller firms do. However, once we take certain contextual variables into account, the direct relation with firm size becomes substantially less. Indirect relations with firm size also exist: firm size is a determinant of the probability that an HRM department is present, which in turn is related to the formalization of all HRM scales. Finally, family businesses apply less formal HRM practices, as do businesses without a business plan.

Keywords: firm behavior, labor relations, personnel management, small and medium-sized enterprises

Suggested Citation

de Kok, Jan and Uhlaner, Lorraine M. and Thurik, Roy, Human Resource Management with Small Firms; Facts and Explanations (19 2003 3,). ERIM Report Series Reference No. ERS-2003-015-STR. Available at SSRN: https://ssrn.com/abstract=411655

Jan M. P. De Kok

Panteia ( email )

P.O.Box 7001
2701 AA
Zoetermeer
Netherlands

Lorraine M. Uhlaner

EDHEC Business School ( email )

24 avenue Gustave Delory
Roubaix, 59057
France

Roy Thurik (Contact Author)

Erasmus University Rotterdam (EUR) - Centre for Advanced Small Business Economics (CASBEC) ( email )

3000 DR Rotterdam
Netherlands
+31 10 408 2232 (Phone)
+31 10 408 9146 (Fax)

HOME PAGE: http://www.thurik.com

Erasmus Research Institute of Management (ERIM) ( email )

P.O. Box 1738
3000 DR Rotterdam
Netherlands

EIM Netherlands - Business and Policy Research

Postbus 7001
2701 AA Zoetermeer
Netherlands
+31 79 341 3634 (Phone)
+31 79 331 3742 (Fax)

Tinbergen Institute ( email )

Burg. Oudlaan 50
Rotterdam, 3062 PA
Netherlands

Paper statistics

Downloads
1,987
Rank
5,755
Abstract Views
8,601