Karim Moustaghfir, Sara El Fatihi and Mohammed Benouarrek
Building on the little guidance in the existing literature regarding the relationship between human resource management (HRM) practices, entrepreneurial orientation and firm…
Abstract
Purpose
Building on the little guidance in the existing literature regarding the relationship between human resource management (HRM) practices, entrepreneurial orientation and firm performance, this study aims to generate theoretical propositions that underpin an integrative framework following a systematic literature review, then to test such a framework within the context of a small and medium enterprise (SME) to demonstrate how employees’ knowledge and competencies are translated into added value while fostering the company’s entrepreneurial capabilities and culture.
Design/methodology/approach
For the purpose of this research, a systematic literature review was adopted to build the propositions underpinning an integrative theoretical framework linking HRM practices, entrepreneurial orientation and firm performance. A single case study approach was then followed to test the propositions of the integrative theoretical framework within the context of an SME, while adopting a triangulation methodology for data collection, including questionnaires, interviews and archival data. Data analysis was conducted following the procedures of a pattern-matching methodology.
Findings
This research confirms the strategic role of HRM practices in fostering the firm’s entrepreneurial orientation and capabilities, while nurturing, enriching and bundling employees’ knowledge, skills and distinctive competencies within the context of a company’s innovation-driven strategy. HRM practices through a strategic alignment with the company’s business strategy, contribute to shaping up organizational attitudes, behaviors and cultural determinants that are, in turn, conducive to better innovativeness, risk propensity and initiative-taking. Theoretical and empirical evidence shows how such corporate entrepreneurialism is then translated into adding value activities, individual and group productivity and overall organizational performance.
Research limitations implications
This research generates meaningful insights on how HRM practices contribute to shaping up corporate entrepreneurship attitudes and transforming them into both individual and organizational results while building on conceptual assumptions and empirical evidence. The authors believe such insights have the potential to lay the foundations of a comprehensive theoretical model that disentangles the complexities and the dynamics of how strategically-oriented HRM interventions could help an organization redirect its employees’ competencies into innovation and entrepreneurial capabilities to generate a competitive advantage in an ever-changing business environment. Future research should emphasize mainly on multiple case study approaches and ethnographic methodologies for the sake of result generalizability and holistic understandings.
Practical implications
This research draws significant conclusions for SMEs to cope with the change and the fierce competitive dynamics affecting current business environments. To consolidate and further develop their strategic positioning, this research suggests that SMEs could leverage distinctive individual and group competencies, through strategically aligned HRM actions and investments, to foster learning and generate entrepreneurially-oriented cultural values and management style conducive to innovation, performance and competitive advantage.
Originality/value
This research offers integrated and holistic views of how HRM practices affect organizational performance while leveraging on learning to create the necessary cultural and managerial conditions for corporate entrepreneurialism. This research builds on both theoretical propositions and empirical evidence to lay the foundations of a comprehensive model linking HRM practices, entrepreneurial orientation and firm performance. From a practical perspective, the research findings suggest new human resource developmental venues while placing much emphasis on the value of creating the innovation-driven managerial culture and fostering entrepreneurially-oriented attitudes to achieve better performance results.
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Gamal Mohamed Shehata, Mohammed Abdel-Hakim Montash and Mohamed Raafat Areda
The main purpose of this paper is to investigate the relationships among a set of human resources management (HRM) practices, entrepreneurial traits (ET) and corporate…
Abstract
Purpose
The main purpose of this paper is to investigate the relationships among a set of human resources management (HRM) practices, entrepreneurial traits (ET) and corporate entrepreneurship (CE) in an emerging market such as the Egyptian one.
Design/methodology/approach
This research is explanatory in nature where it explains the causal relationships between the variables. Data was collected from 230 human resources (HR) managers and professional serving in top Egyptian financial institutions. Data was analyzed using structural equation modeling with relevant goodness-of-fit statistics.
Findings
The results of this study indicate that HRM practices have significant impact on the development of ET of personnel currently operating in the Egyptian financial institutions. Besides, the results confirm the effect of HRM practices on ET, which in turn have significant impact on CE.
Practical implications
This research provides an appropriate direction for HR managers on how to best design HR programs directed toward the development of strong CE orientation. It also highlights the core ET needed to enhance CE in emerging economies. The validated hypothetical relationships of this model serve as the baseline for those managers to plan, execute and measure the consequences of those HRM programs.
Originality/value
Although HRM is widely considered as a critical driving force for CE, there is a remarkable scarcity of empirical research examining the role of ET. The conceptual model tested in this research typically deepens both HRM scholars and managers’ understanding of how they can best connect HRM practices to ET and CE in emerging economies. The findings of this study open the door for a new venue of research in the HRM area of study, particularly in emerging markets that search for a fast-growing rate of economic prosperity. The findings of this study lend support for HRM as an antecedent to CE rather than vice versa.
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Nadia A. Abdelmegeed Abdelwahed, Mohammed A. Al Doghan, Naimatullah Shah and Bahadur Ali Soomro
The optimization of product innovation performance (PIP) is paramount to achieving sustained profitability in the face of current organizational challenges. In this study, as…
Abstract
Purpose
The optimization of product innovation performance (PIP) is paramount to achieving sustained profitability in the face of current organizational challenges. In this study, as researchers, the authors investigate within the context of Saudi Arabian manufacturing firms’ entrepreneurial orientation (EO) direct impact on PIP and its indirect influence mediated by strategic human resource management (SHRM) and technology capability (TC).
Design/methodology/approach
This co-relational study used cross-sectional data. The authors collected the data from the manufacturing firms’ top management team, chief executive officers and other staff members, including human resource (HR) managers and chief information officers. This study’s conclusions are based on 307 cases.
Findings
Using SmartPLS4, this study’s findings demonstrate that EO exerts a positive and significant impact on SHRM, PIP and TC. SHRM has a positive and significant effect on PIP. In addition, TC is a positive and significant predictor of SHRM but not PIP. Turning to the mediating impacts, SHRM plays a positive mediating role between TC and PIP and a negative role between EO and PIP. Finally, TC reinforces the negative connections between EO and PIP.
Practical implications
This study's insights offer valuable guidance to firms and policymakers. They underscore the importance of investing in TC to reinforce SHRM and drive innovation. Moreover, these findings emphasize the need for firms to adopt a dynamic approach that comprises continuous monitoring, adaptation and tailored HR strategies supported by performance metrics. This proactive stance ensures that innovation remains a consistent and impactful element of their long-term strategy.
Originality/value
This study stands out by addressing existing gaps through its innovative integration of EO, SHRM, TC and PIP within a unified framework. It does so within the specific context of Saudi Arabian manufacturing firms and provides a unique and contextually relevant perspective that contributes to the knowledge body of the area.
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Hassan Saleh Al-Dhaafri and Mohammed Saleh Alosani
The main purpose of this paper aims to evaluate the mediating effect of organisational excellence between human resource management (HRM) and organisational performance through…
Abstract
Purpose
The main purpose of this paper aims to evaluate the mediating effect of organisational excellence between human resource management (HRM) and organisational performance through the perspective of the resource-based view theory of the firm.
Design/methodology/approach
The four hypotheses presented in this study were tested using data collected from employees of the Dubai Police Force in the United Arab Emirates. A questionnaire survey was performed and the SmartPLS analysis software was used to examine the relationship between the proposed variables by testing the measurement and structural models.
Findings
The results obtained in this study indicated that all four of the proposed hypotheses were supported.
Practical implications
The findings of this research can be used by decision-makers, managers and practitioners to improve the performance of their organisations through the implementation of innovative strategies such as organisational excellence.
Originality/value
This study is considered one of the very few empirical studies that examine the effect of HRM, excellence and performance.