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One of the most cited literature in SHRM is Schuler and Jackson’s (1987) behavioural model. This model proposes that organisational performance is dependent on the extent to which HRM practices can be effectively connected to competitive strategy and desired employee behaviours. Importantly, this model recognises the salient role of employee behaviour in performance outcomes and, moreover that different competitive strategies imply both promulgation and reinforcement of different sets of employee skills and behaviours. Surprisingly, despite its significant influence on SHRM, studies rarely examine this model in its entirety. Motivated by the need to better understand this model’s arguments in contemporary settings, our study uses a multi-actor design to explore the connections between competitive strategies (cost reduction and differentiation), employee behaviours, and HRM practices in service environments.

Adopting a multi-level, multi-actor survey design, our exploratory deductive study assesses the utility of strategic HRM’s (SHRM) behavioural model. Drawing on data from a sample of service organisations and using univariate analyses, we compare operationalised HRM practices and employee behaviours across different strategy types.

Results lend provisional support for the behavioural model, particularly in the case of a differentiation strategy where notable differences in HRM practices and employee behaviours were observed. Findings suggest growing levels of memetic and competitive isomorphism may be occurring, with this likely attributable to the increased incidence of idea generation and information sharing about best practices occurring amongst practitioners, as well as a growing nuance in operating markets, managerial preferences, employee expectations, stakeholder objectives, and the like.

Our study suggests refinements to the behavioural model are needed. Some support for the model’s key tenets is found, but these appear context specific. Thus, the merit in developing a priori typologies linking strategy type to HRM practices and employee behaviours where organisations operate in environments which are particularised and tumultuous appears debatable.

This study highlights the behavioural model’s nuance to modern service organisations and, by doing so, practitioners are provided with a behavioural pathway for achieving competitive advantage through their HRM practices. Findings also suggest that increasingly competitive environments might be encouraging practitioners to engage in isomorphic behaviours.

The use of a comparative research design allowed our study to contribute much needed empiricism to the largely conceptually informed stylised typologies depicting the linkages between different competitive strategies, implied employee role behaviours and HRM practices, thereby supporting the need for model refinement.

This chapter presents a contextual model of human resources management (HRM). The hallmarks of this model are that (1) the most advantageous HRM practices vary conditionally upon strategic considerations; (2) each organization has multiple substrategies within it, and each substrategy is aligned with a unique bundle of HRM practices; (3) within each organization, three substrategies are associated with three subsystems; and (4) in terms of contributing to sustainable competitive advantage, the innovation subsystem is the most valuable regardless of the organization in question.

Contingency theory holds that human resource management methods are selected in accordance with the type of competitive strategy adopted by a business. It moreover assumes that companies that closely coordinate their business strategy and HRM activities achieve better performance than companies that do not. This study attempts to examine the interactive effects of various combinations of business and HRM strategies from the standpoint of contingency theory. The conclusions are based on an analysis of questionnaires completed by 315 local firms in Taiwan. The results show that different business and HRM strategy combinations have different effects on organizational performance. However, these differences were not always consistent with the predictions of contingency theory.

This study seeks to examine the relationships between corporate strategy, human resource management (HRM) strategy, and knowledge management (KM) strategy, as well as their interactive influence on KM effectiveness.

Samples studied are 147 Taiwanese large companies in banking, services, and manufacturing industries; responses from multiple informants are collected from each firm.

Results indicate that firms pursuing cost leadership strategy and buy‐bureaucratic HRM strategy are more likely to adopt codification KM strategy. Firms adopting differentiation strategy and make‐organic HRM strategy are associated with frequent use of personalization KM strategy.

This study finds that fit between KM strategy and both corporate as well as HRM strategy are significantly related to better KM effectiveness in terms of process outcome, learning capability, and organizational outcomes.

Discusses strategic human resource management (HRM) which emphasizes the importance of HRM policies and practices being integrated by a longer‐range HRM strategy, which in turn is an integrated part of an overall organizational strategy. Proposes an alternative, more overtly political, employment relations model with HRM policies and practices as negotiated outcomes which attempt to resolve the often conflicting expectations of a number of interested parties. Presents a study in which only one‐third of a sample of Australian HR managers reported that an HRM strategy had a great or moderately great impact on HRM within their organization, and there was no evidence that the impact of an HRM strategy resulted in a reduction of the direct impact of other factors. More important factors included legislation/regulation, industry characteristics, organizational strategy and objectives, top management priorities, organizational size and structure, and the impact of technological change. In addition, these factors impacted differentially on HRM practices and policies in areas such as recruitment, training, pay/ benefits and industrial relations. Suggests these results support the appropriateness of a broader employment relations view of the field.

The purpose of the paper is to investigate the perceptions of senior managers in companies in the Sunday Times list of UK best employers on the practice of HRM in their organisations.

The approach taken was to conduct semi‐structured interviews with senior line and HR directors/ managers.

In the organisations investigated, HRM is afforded high‐level organisational support at chief executive, if not always senior operational manager, level. It is generally recognised by senior managers as contributing to business effectiveness when it centres on business needs. It is integrated with business strategy processes at both strategic and operational levels. Indeed HRM is elemental to business strategic planning processes, which has the effect of reducing the potential gap between strategic rhetoric on HRM and practical implementation of HRM. Leadership and performance management are current HR policy priorities.

The generative primary data represent senior managers' perceptions of how HRM operates in their organisation therefore cannot be generalised.

Senior manager support of HRM means focusing HRM efforts in organisations on business needs and integration between HRM and business strategy processes. The corollary is that HRM policy priorities are derived from the strategic business direction and that they are perceived to support business operations and, consequently, business performance.

Senior line managers and HR specialists inform the research which contributes to understanding of current, best practice HRM from an evidence base; a model of contemporary best practice is proposed.

This paper aims to discuss the association between human resource management and performance from a process perspective, differentiating intended and implemented vertical and horizontal fit. Although researchers have examined deeply the relationship between these constructs, extant literature demonstrates inconclusive results. Previous studies have stressed the strategic importance of vertical and horizontal fit from a prescriptive view. Nevertheless, a deeper understanding, focused on management processes, is needed.

This paper reviews and integrates two streams of strategic human resources management (SHRM) literature: the fit perspective, drawing on Martín-Alcázar et al.’s (2005) model, and the system strength approach, proposed by Bowen and Ostroff (2004).

The conceptual analysis developed in this paper concludes that HRM system strength mediates the effects of an aligned strategy on performance. In this sense, the paper argues that success in implementation of the HRM strategy depends on employees’ perceptions about the system of policies and practices through which it is carried out. Additionally, organizational communication is considered as the mechanism to create a shared HRM meaning to translate to employees.

Drawing on the theoretical discussions in the paper, the following implications for HRM practice are identified: the usefulness of the system strength construct as a tool to measure employees’ perceptions and anticipate potential problems at the implementation stage, the importance of organizational communication mechanisms, the relevance of formal and informal connections between HR managers and top executives and the need for specific training to promote HR managers’ communicational skills.

This study examines the relationship between HRM and organizational performance by presenting a new model that integrates HRM strategy formulation and implementation, proposes employee perceptions concerning HRM are mediators of HRM strategy and firm performance, highlights the role of organizational communication in creating and managing shared HR messages and introduces system strength as an instrument to assess vertical and horizontal fit during implementation.

Competitive strategy is one of the key factors traditionally related to performance, but research explaining the mechanisms through which this strategy improves business results is scant. This study aims to shed light on this relationship by analyzing human resource management (HRM) strategy as an essential tool for transforming business strategy into results.

Focusing on two generic competitive strategies, the authors establish hypotheses on the need for alignment among four echelons: business strategy, HRM system objectives, HRM system capabilities and business performance. The authors test these hypotheses with structural equation modeling techniques using data provided by 204 industrial companies.

The results show that to get the most out of a competitive strategy based on quality differentiation, HRM system objectives and capabilities must be focussed on quality. In the same way, a competitive strategy based on innovation differentiation requires HRM system objectives and capabilities focussed on flexibility to achieve the maximum impact on performance. In this second case, alignment is fundamental in low dynamic environments.

This research not only provides additional evidence for the strategic relevance of the human resources (HR) function but also reveals the potential benefits of focusing on objectives and capabilities rather than on practices. Moreover, it shows that the role of HRM objectives and capabilities in the implementation of a competitive strategy can be shaped by factors beyond the company's control, such as environmental dynamism.

To illuminate how the alignment of HRM control and business strategy affects firm performance.

Empirical data are collected from computer and peripheral equipment industries via questionnaire. The measures include business strategy, HRM control, and performance. The major analytical technique used in this study is moderated hierarchical regression analysis.

The value of any approach to HRM control can be augmented or diminished by simultaneously matching the HRM to the type of business strategy adopted by firms.

It is unknown how the selection of industries and geographical areas would affect this study's findings.

Firms should use an appropriate combination of HRM control systems aligned with their strategic goals in order to improve business performance.

This paper identifies the match between HRM control and business strategy and offers practical help to a firm when they are used in combination effectively.

While prior research suggests that human resource management (HRM) practices are crucial drivers of a firms' intellectual capital, few studies have tried to deconstruct this relationship and investigate how HRM practices specifically affect intellectual capital resources. Furthermore, prior research treated this relationship as universal and rarely tried to introduce important contingent factors that may alter the mechanisms involved in how HRM practices influence firms' intellectual capital. In this study, the authors examine the relationships between the ability-, motivation- and opportunity-enhancing dimensions of HRM systems and human, social and structural capital and investigate how companies' codification and personalization knowledge management (KM) strategies may alter these relationships.

The data were collected using a telephone survey of 215 knowledge-intensive companies operating in Russia. The paper utilizes partial least squares structural equation modeling (PLS–SEM) to evaluate the measurement model and test hypothesized relationships.

The findings indicate positive relationships between ability-enhancing practices and firms' human capital between motivation-enhancing practices and firms' human and social capital and between opportunity-enhancing practices and firms' social and structural capital. The authors’ results reveal the limited moderating role of KM strategies in the relationships between HRM and intellectual capital. While a personalization strategy had no impact on any of the proposed relationships, a codification strategy positively moderated the relationship between opportunity-enhancing HRM practices and firms' structural capital.

The study expands the debates in strategic HRM literature by looking “inside” the HRM–intellectual capital relationship. Additionally, the authors’ findings reveal the complexity of the contingent effect that KM strategies of codification and personalization have on the relationship between HRM practices and intellectual capital. Although some of the relationships were not moderated by the KM strategy of the firm, the HRM–intellectual capital relationship cannot be considered fully universal.