Employees’ perceptions of human resource management practices and employee outcomes. Empirical evidence from small and medium-sized enterprises in China
Date | 07 October 2019 |
DOI | https://doi.org/10.1108/ER-01-2019-0065 |
Published date | 07 October 2019 |
Pages | 1419-1433 |
Author | Shaoheng Li,Christopher J. Rees,Mohamed Branine |
Subject Matter | Hr & organizational behaviour,Industrial/labour relations,Employment law |
Employees’perceptions of
human resource management
practices and employee outcomes
Empirical evidence from
small and medium-sized enterprises in China
Shaoheng Li and Christopher J. Rees
Global Development Institute, University of Manchester, Manchester, UK, and
Mohamed Branine
Department of Business and Management, University of Abertay, Dundee, UK
Abstract
Purpose –The purpose of this paper is to examine the relationship between employees’perceptions of HRM
practices and two outcomes, namely, employee commitment and turnover intention (TI), in small- and
medium-sized enterprises (SMEs) in mainland China.
Design/methodology/approach –This paper adopts a quantitative approach based on a sample of 227
employees working in 24 SMEs in eastern and western China.
Findings –Employees’perceptions of HRM practices, such as training and development, reward management
and performance management, are significant predictors of employee commitment. A negative direct relationship
is found between employees’perceptions about the use of HRM practices and TIs.
Research limitations/implications –Although data were collected from two representative provinces of
eastern and western China, the size of the sample may limit the generalisability of the findings to the wider region.
Practical implications –The relationship between employees’perceptions of HRM practices and employee
outcomesin Chinese SMEsprovides an effectiveway for SME ownersand HR practitionersto generate desirable
employee attitudes and behaviours, which,ultimately contributeto improving organisational performance.
Originality/value –This is an originalpaper which makes a contributionby helping to address the dearth of
studieswhich have explored aspectsof the effectivenessof HRM in SMEs in China. In contrastto the majority of
China-focussed studies on this topic, it highlights HRM outcomes at the individual level rather than the
organisationallevel. Further, the study involves SMEsin western China which is an under-explored region.
Keywords Motivation, SMEs, Turnover, HRM practices, Employee perception
Paper type Research paper
It has been well documented that small- and medium-sized enterprises (SMEs) make a
considerable contribution to economic development, poverty reduction and job creation,
especially in developing countries (Cooke,2012; Maksimov et al., 2017). The prominent role of
SMEs in the nationaleconomy and social stability has alsobeen recognised in China. Further,
there is a body of HRM-oriented research whichis focussed on the SME sector (Bai et al., 2017;
Cegarra-Leivaet al., 2012; Cunningham,2010; Qiao et al., 2015; Richbell etal., 2010; Zheng et al.,
2006). It is apparentfrom this literature that HRM problemsact as key constraints that hinder
the development and profitability of organisations in the SME sector with debates arising
among HR practitioners, SME owners, scholars and even policy makers about the meaning
and promotion of effective HRM in the sector (Cooke, 2012; Cunningham and Rowley, 2008;
Harney and Dundon, 2006; Lai et al., 2017). Yet, although HRM practices and performance
linkages have beenwidely examined in HRM literature, most studiesare western-based, and/
or focussed on organisational performance,multinational corporations(MNCs) and the public
sector (Gould-Williams and Mohamed, 2010; Wright et al., 2005). More specifically, little is
known about the relationship between HRM practices and employee outcomes at the
individual level in the SME sector in China. In addition, there is some evidence that findings
Employee Relations: The
International Journal
Vol. 41 No. 6, 2019
pp. 1419-1433
© Emerald PublishingLimited
0142-5455
DOI 10.1108/ER-01-2019-0065
Received 14 January 2019
Revised 28 March 2019
Accepted 23 April 2019
The current issue and full text archive of this journal is available on Emerald Insight at:
www.emeraldinsight.com/0142-5455.htm
1419
Human
resource
management
practices
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