HUMAN RESOURCE MANAGEMENT PROBLEMS OVER THE …

HUMAN RESOURCE MANAGEMENT . PROBLEMS OVER THE LIFE CYCLE OF. SMALL TO MEDIUM-SIZED FIRMS. Matthew W. Rutherford, Paul F. Buller, and Patrick R. McMullen This study uses a sample of 2,903 small to medium-sized firms to examine the manner in which HR PROBLEMS vary over the organizational life cycle. We found that a four-stage model was appropriate. Interestingly, firm age did not emerge as a significant indicator of stage the firms' HR PROBLEMS varied across stages defined by growth. Training PROBLEMS were highest in high-growth firms and lowest in low-growth firms; compensation PROBLEMS were highest in moderate-growth firms and lowest in high-growth firms; and recruiting PROBLEMS were high- est in no-growth firms and lowest in low-growth firms. 2004 Wiley Periodicals, Inc. Introduction MANAGEMENT , and regulation. It is the gen- eral people or HUMAN RESOURCE (HR). It is widely held that new ventures experi- PROBLEMS facing firms in various stages that ence different kinds of PROBLEMS as they grow we intend to examine.

322 • HUMAN RESOURCE MANAGEMENT, Winter 2003 model—models range anywhere from three to ten stages depending upon the study (Stubbart & Smalley, 1999). We will over-come this problem by using a novel, power-

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