Causal relationship between HRM policies and organisational performance: Evidence from the Greek manufacturing sector

European Management Journal

Volumn 28, Issue 1, 2010, Pages 25-39

  Katou, Anastasia A ^a   Budhwar, Pawan S ^b  

^a UNIVERSITY OF MACEDONIA   (Greece)

^b ASTON UNIVERSITY   (United Kingdom)

Author keywords

AMO theory; Causal relationship; HRM outcomes; HRM policies; Organisational performance

Indexed keywords

EID: 71149116174     PISSN: 02632373     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.emj.2009.06.001     Document Type: Article

References (71)

1. Appelbaum E., Bailey T., Berg P., and Kalleberg A.L. Manufacturing advantage: Why high-performance work systems pay off (2000), Economic Policy Institute: Cornell University Press, London
2. Barney J.B. Firm resources and sustainable competitive advantage. Journal of Management 17 (1991) 99-120
3. Batt R. Managing customer services: Human resource practices, quit rates, and sales growth. Academy of Management Journal 45 (2002) 587-597
4. Becker B.E., and Gerhart B. The impact of human resource management on organisational performance: Progress and prospects. Academy of Management Journal 39 (1996) 779-801
5. Becker B.E., and Huselid M.A. High performance work systems and firm performance: A synthesis of research and managerial implications. In: Ferris G.R. (Ed). Research in personnel and human resources (1998), JAI Press, Stamford, CT
6. Becker B., and Huselid M.A. Strategic human resource management: Where do we go from here?. Journal of Management 32 (2006) 898-925
7. Becker B.E., Huselid M.A., Pickus P.S., and Spratt M.F. HR as a source of shareholder value: Research and recommendations. Human Resource Management 36 (1997) 39-47
8. Bollen K.A. Structural equations with latent variables (1989), Wiley, New York
9. Bentler P.M. Comparative fit indexes in structural models. Psychological Bulletin 107 (1990) 238-246
10. Bentler P.M., and Bonett D.G. Significance test and goodness of fit in the analysis of covariance structures. Psychological Bulletin 88 (1980) 588-606
11. Boselie P., Paauwe J., and Richardson R. Human resource management, institutionalization and organizational performance: A comparison of hospitals, hotels and local government. The International Journal of Human Resource Management 14 8 (2003) 1407-1429
12. Boselie P., Dietz G., and Boon C. Commonalities and contradictions in HRM and performance research. Human Resource Management Journal 15 3 (2005) 67-94
13. Boxall P., and Purcell J. Strategy and human resource management (2003), Palgrave Macmillan, Basingstoke
14. Boxall P., and Steeneveld M. Human resource strategy and competitive advantage: A longitudinal study of engineering consultancies. Journal of Management Studies 36 4 (1999) 443-463
15. Brewster C. Developing a 'European' model of human resource management. Journal of International Business Studies 26 1 (1993) 1-21
16. Brewster C., and Hegewisch A. Hunan resource management in Europe: Issues and opportunities. In: Brewster C., and Hegewisch A. (Eds). Policy and practice in European human resource management: The Price Waterhouse Cranfield Survey (1994), Routledge, London
17. Chenhall R.H., and Langfield-Smith K. Multiple perspectives of performance measures. European Management Journal 25 4 (2007) 266-282
18. Cronbach L.J. Coefficient alpha and the internal structure of tests. Psychometrika 16 (1951) 297-334
19. Delaney J.T., and Huselid M.A. The impact of human resource management practices on perceptions of organisational performance. Academy of Management Journal 39 (1996) 949-969
20. Delbridge, R. and Whitfield, K. (1999) Employee perceptions of job influence under varying forms of organisational participation. Dutch HRM Network Conference, Erasmus University, Rotterdam.
21. Delery J., and Doty D.H. Modes of theorizing in strategic human resource management: Test of universalistic, contingency and configurational performance predictions. Academy of Management Journal 39 (1996) 802-835
22. Edwards P., and Wright M. High-involvement work systems and performance outcomes: The strength of variable, contingent and context-bound relationships. International Journal of Human Resource Management 12 (2001) 568-585
23. Gardner, T., Moyniham, L., Park, K. and Wright, P. (2001) Beginning to unlock the black box in the HR-performance relationship: The impact of HR practices on employee attitudes and outcomes. CAHRS Working Paper, Cornell University, Ithaca, NY.
24. Gerhart B. Human resource management and firm performance: Measurement issues and their effect on causal and policy inferences. In: Wright P., Dyer L., Boudreau J., and Milskovich G. (Eds). Strategic human resources management in the twenty-first century (1999), JAI Press, Stanford, CT
25. Gerhart B. Human resources and business performance: Findings, unanswered questions, and an alternative approach. Management Revue 16 (2005) 174-185
26. Gerhart B. Modeling HRM and performance linkages. In: Boxall P., Purcell J., and Wright P. (Eds). The oxford handbook of human resource management (2007), Oxford University Press, Oxford
27. Godard J. A critical assessment of the high-performance paradigm. British Journal of Industrial Relations 42 (2004) 349-378
28. Gomez-Mejia L.R., and Balkin D.B. Compensation, organisational strategy and firm performance (1992), Southwestern, Cincinnati
29. Guest D. Human resource management and performance: A review and research agenda. International Journal of Human Resource Management 8 (1997) 263-276
30. Guest D.E. Human resource management: When research confronts theory. International Journal of Human Resource Management 12 (2001) 1092-1106
31. Guest D., Michie J., Conway N., and Sheehan M. Human resource management and corporate performance in the UK. British Journal of Industrial Relations 41 2 (2003) 291-314
32. Hair F., Anderson R., Tatham R., and Black W. Multivariate data analysis with readings. 4th ed. (1995), Prentice-Hall, London
33. Harman H.H. Modern factor analysis (1967), University of Chicago Press, Chicago, IL
34. Harney B., and Jordan C. Unlocking the black box: Line managers and HRM-performance in a call centre context. International Journal of Productivity and Performance Management 57 4 (2008) 275-296
35. Hart P.M. Teacher quality of work life: Integrating work experiences, psychological distress and morale. Journal of Occupational and Organizational Psychology 67 (1994) 109-132
36. Harter J.K., Schmidt F.L., and Hayes T.L. Business-unit-level relationship between employee satisfaction, employee engagement, and business outcomes: A meta-analysis. Journal of Applied Psychology 87 (2002) 268-279
37. Huselid M.A. The impact of human resource management practices on turnover, productivity and corporate financial performance. Academy of Management Journal 38 (1995) 635-670
38. Huselid M.A., Jackson S.E., and Schuler R.S. Technical and strategic human resource management effectiveness as determinants of firm performance. Academy of Management Journal 40 (1997) 171-188
39. Ichniowski C., Shaw K., and Prennushi G. The effects of human resource management practices on productivity: A study of steel finishing lines. The American Economic Review (1997)
40. Jöreskog K.G., and Sörbom D. LISREL 8.7 for Windows [Computer Software] (2004), Scientific Software International, Inc., Lincolnwood, IL
41. Judge T.A., and Hulin C.L. Job satisfaction as a reflection of disposition: A multiple source causal analysis. Organizational Behavior and Human Decision Processes 56 (1993) 388-421
42. Lepak D.P., Liao H., Chung Y., and Harden E.E. A conceptual review of human resource management systems in strategic human resource management research. Research in Personnel and Human Resources Management 25 (2006) 217-271
43. Lopez S.P., Peon J.M.M., and Ordas C.J.V. Human resource practices, organizational learning and business performance. Human Resource Development International 8 2 (2005) 147-164
44. Luna-Arocas R., and Camps J. A model of high performance work practices and turnover intentions. Personnel Review 37 (2008) 26-46
45. Marchington M., and Grugulis I. Best practice' human resource management: Perfect opportunity or dangerous illusion?. International Journal of Human Resource Management 11 (2000) 1104-1124
46. Nunnally J.C. Psychometric theory (1978), McGraw-Hill, New York
47. Paauwe J. HRM and performance: Achieving long-term viability (2004), Oxford University Press, Oxford
48. Paauwe J., and Farndale E. International human resource management and firm performance. In: Stahl G.K., and Bjorkman I. (Eds). Handbook of research in international human resource management (2005), Edward Elgar, Cheltenham
49. Paauwe J., and Richardson R. Introduction: Special issue on HRM and performance. International Journal of Human Resource Management 8 3 (1997) 257-262
50. Paul A.K., and Anantharaman R.N. Impact of people management practices on organisational performance. International Journal of Human Resource Management 14 (2003) 1246-1266
51. Pedhazur E.J., and Pedhazur-Schmelkin L. Measurement, design, and analysis: An integrated approach (1991), Lawrence Erlbaum, Hillsdale, NJ
52. Pfeffer J. The human equation (1998), Harvard Business School Press, Boston, Mass
53. Phillips J.J. Accountability in human resource management (1996), Gulf Publishing Company, Houston
54. Porter M.E. Competitive advantage: Creating and sustaining superior performance (1985), The Free Press, New York
55. Purcell J. Best practice and best fit: Chimera or cul-de-sac?. Human Resource Management Journal 9 3 (1999) 26-41
56. Purcell J., and Hutchinson S. Front-line managers as agents in the HRM-performance causal chain: Theory, analysis and evidence. Human Resource Management Journal 17 1 (2007) 3-20
57. Purcell J., and Kinnie N. Human resource management and business performance. In: Boxall P., Purcell J., and Wright P. (Eds). The oxford handbook of human resource management (2007), Oxford University Press, Oxford
58. Purcell J., Kinnie N., Hutchinson S., Rayton B., and Swart J. Understanding the people and performance link: Unlocking the black box (2003), Chartered Institute of Personnel and Development, London
59. Purcell J., Kinnie N., Hutchinson S., Swart J., and Rayton B. Vision and values: Culture and values as sources of competitive advantage (2004), Chartered Institute of Personnel and Development, London
60. Sanz-Valee R., Sabater-Sanchez R., and Aragon-Sanchez A. Human resource management and business strategy links: An empirical study. The International Journal of Human Resource Management 10 4 (1999) 655-671
61. Schuler R.S. Strategic human resource management. Human Relations 42 (1989) 157-184
62. Schuler R.S., and Jackson S.E. Linking competitive strategies with human resource management practices. Academy of Management Executive 1 (1987) 207-219
63. Scholarios, D., Ramsey, H., Harley, B., 1999. High noon on the right road: Testing high commitment management theory. Dutch HRM Network Conference, Erasmus University, Rotterdam.
64. Snell S.A., and Dean J. Integrated manufacturing and human resource management: A human capital perspective. Academy of Management Journal 35 (1992) 467-504
65. Snell S.A., and Dean J. Strategic compensation for integrated manufacturing: The moderating effects of jobs and organisational inertia. Academy of Management Journal 37 (1994) 1109-1140
66. Wright P.M., and Gardner T. The human resource-firm performance relationship: Methodological and theoretical challenges. In: Holman D., Wall T.D., Clegg C.W., Sparrow P., and Howard A. (Eds). The new workplace: A guide to the human impact of modern working practices (2003), John Wiley & Sons, London
67. Wright P.M., McMahan G.C., and McWilliams A. Human resources and sustained competitive advantage: A resource-based perspective. International Journal of Human Resource Management 5 (1994) 301-326
68. Wright P.M., Gardner T., and Moyniham L.M. The impact of HR practices on the performance of business units. Human Resource Management Journal 13 3 (2003) 21-36
69. Wright P.M., Gardner T., Moyniham L.M., and Allen M. The HR performance relationship: Examining causal direction. Personnel Psychology 58 2 (2005) 409-446
70. Wright P.M., and Snell S.A. Toward a unifying framework for exploring fit and flexibility in strategic human resource management. Academy of Management Review 23 (1998) 756-772
71. Youndt M., Snell S., Dean J., and Lepak D. Human resource management, manufacturing strategy, and firm performance. Academy of Management Journal 39 (1996) 836-866