Moderating Influence of Strategic Human Resources Management Practices on Small-Medium Firm Performance

Abstract

The paper examines the link between Strategic Human Resources Management (SHRM) and Small-Medium Firm (SMF) Performance. The objectives of the study are to explore the link between Strategic SHRM practices and Small-Medium Firm Performance and also to examine whether factors like size, maturity, planning level, and availability of human resource department make any difference in practicing SHRM to the selected firms in the food industry in Nigeria. Survey research design, which gives room for the use of a questionnaire, was employed. Regression, ANOVA, and multiple regression analysis were used to test the hypothesis. The findings show that R2 value of 0.511 reveals that Strategic Human Resources Management independently accounts for 51.1% of the variation of Small-Medium Firm Performance, which reveal that there is a significant relationship between Strategic Human Resources Management and Small-Medium Firm Performance. R2 value of 0.658 reveals that Size, maturity, planning level and availability of HR department (HRD) accounts for 65.8% of the variation in SHRM practices, which reveal that Size, maturity, planning level and availability of HR department significantly affect SHRM practices of the firms. Thus, the study recommends SMF to find ways to manage human resources more efficiently and effectively in order to remain competitive in the globalized market.