Transcription of TECHNICAL AND STRATEGIC HUMAN RESOURCE …
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TECHNICAL AND STRATEGIC HUMAN RESOURCE …
Academy of Management Journal1997, Vol. 40, No. 1, 171 AND STRATEGIC HUMANRESOURCE MANAGEMENT EFFECTIVENESS ASDETERMINANTS OF FIRM PERFORMANCEMARK A. HUSELIDR utgers UniversitySUSAN E. JACKSONRANDALL S. SCHULERNew York UniversityWe evaluated the impact of HUMAN RESOURCE (HR) managers capabili-ties on HR management effectiveness and the latter s impact on corpo-rate financial performance. For 293 firms, effectiveness was asso-ciated with capabilities and attributes of HR staff. We also found rela-tionships between HR management effectiveness and productivity, cashflow, and market value. Findings were consistent across market andaccounting measures of performance and with corrections for is broad agreement that a STRATEGIC approach to HUMAN resourcemanagement (HRM) involves designing and implementing a set of internallyconsistent policies and practices that ensure a firm's HUMAN capital (em-ployees' collective knowledge, skills, and abilities) contributes to theachievement of its business objectives (Baird & Meshoulam, 1988; Jackson &Schuler, 1995; Schuler & Jackson, 1987).
1997 Huselid, Jackson, and Schuler 173 Milkovich, 1992; Gomez-Mejia & Balkin, 1992). The strategic role of a firm's HRM system has become the focus of …
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