Working Paper Series, Department of Industrial Economics & Strategy, Copenhagen Business School
No 00-8:
Knowledge strategies, firm types, and complementarity in human-resource practices
Keld Laursen and Volker Mahnke
Abstract: This paper argues that complementary human resource
practices play an important role in the development of a knowledge-based
theory of firm differences. We find that firm types and knowledge
strategies impact combinations of human resource practices employed in
support of current activity systems and innovation. While recent evidence
suggests that consistency among human resource practices is conducive, e.g.
for productivity increases, research on complementarities among human
resource management practices remains sparse, and focussed on single
industries or firms. Additionally, little is known whether and how human
resource practices support activity systems in different firm types and
innovation. This paper addresses this gap by investigating the impact of
firm type, knowledge strategies pursued, and external linkages on the
application of complementarity human resource practices in a multisectoral
sample of 684 manufacturing and 1,216 non-manufacturing firms. We develop
hypotheses from the knowledge-based perspective, the theory of
complementarity, and the strategic human resource literature. Our results
support prior findings about complementarity between human resource
practices, but complementarity effects differ in strength. Additionally,
combinations of practices applied differ significantly with contingency
factors such as knowledge strategies pursued and firm type. Thus, calling
for a stronger integration between strategic management and human resource
management.
Keywords: Human resource management practices; complementarieties; knowledge strategies; (follow links to similar papers)
JEL-Codes: C21; D21; D23; (follow links to similar papers)
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