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Do organisational climate and strategic orientation moderate the relationship between human resource management practices and productivity?

Author

Listed:
  • Neal, Andrew
  • West, Michael A.
  • Patterson, Malcolm G.

Abstract

Contingency formulations of Human Resource Management (HRM) theory suggest that the effectiveness of HRM practices should vary across firms. This study examined whether the relationship between HRM practices and productivity in manufacturing companies is contingent upon organizational climate and strategic orientation. Information on HRM, organizational structure, and competitive strategy was collected by interviewing senior managers, whilst organizational climate was assessed via employee surveys. Although organizational climate and HRM practices were both positively associated with subsequent productivity, the relationship between HRM practices and subsequent productivity was stronger for firms with a poor climate.

Suggested Citation

  • Neal, Andrew & West, Michael A. & Patterson, Malcolm G., 2004. "Do organisational climate and strategic orientation moderate the relationship between human resource management practices and productivity?," LSE Research Online Documents on Economics 19979, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:19979
    as

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    File URL: http://eprints.lse.ac.uk/19979/
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    References listed on IDEAS

    as
    1. Kim Hoque, 1999. "Human Resource Management and Performance in the UK Hotel Industry," British Journal of Industrial Relations, London School of Economics, vol. 37(3), pages 419-443, September.
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    More about this item

    Keywords

    Human Resource Management; organisational structure; organisational climate; productivity;
    All these keywords.

    JEL classification:

    • M12 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Personnel Management; Executives; Executive Compensation
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • M11 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Production Management
    • J5 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining

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