Strategic HRM practices and their impact on company performance in Chinese enterprises

• Published in: Human resource management Vol. 47; no. 1; pp. 15 - 32
• Main Authors: Akhtar, Syed, Ding, Daniel Z., Ge, Gloria L.
• Format: Journal Article
• Language: English
• Published: Hoboken Wiley Subscription Services, Inc., A Wiley Company 01.03.2008; Wiley Periodicals Inc
• Subjects: Financial performance; Human resource management; Impact analysis; Studies; Validity; China
• ISSN: 0090-4848; 1099-050X
• DOI: 10.1002/hrm.20195

This study examined the factorial validity of strategic human resource management practices and their effects on company performance in a sample of 465 Chinese enterprises. Data were collected through two questionnaire surveys among general managers and HRM directors on product/service performance of their companies and a range of strategic HRM practices. Our findings indicate that a valid set of strategic HRM practices (training, participation, results‐oriented appraisals, and internal career opportunities) affect both product/service performance and financial performance. Employment security and job descriptions contribute uniquely to product/service performance, whereas profit sharing contributes uniquely to financial performance. © 2008 Wiley Periodicals, Inc.