If high performance working delivers productivity gains, why isn’t common sense common practice amongst UK firms? SOTA No 14
Published: 5 December 2018
High Performance Work Systems (HPWS) can be one solution to the UK productivity problem. HPWS involve a transformation in the management of human resources. However few UK firms have HPWS. This briefing note outlines the evidence for HPWS and suggests why adoption of HPWS is low amongst UK firms. It notes that meta-studies find a strong and positive relationship between HPWS and firm productivity, and proponents offer lists of relevant human resource practices. However, barriers to the adoption of HPWS exist. First, there is no consensus on which bundle of practices is indicative of high-performance working. Second, it is not clear when any of these bundles constitute the necessary ‘system’. Third, the measures used are often very blunt and don’t always capture the necessary practices. Fourth, research doesn’t always cover all of the practices and so how they work to deliver productivity gains. Fifth, managers might not be willing and able to introduce HPWS. To overcome these problems, a consensus needs to be generated about what constitutes HPWS and more research to better understanding of how these systems work. Managers also need to be educated in the benefits of HPWS and supported in introducing them.
Management and Leadership
Fear of Failure and Entrepreneurship: A Review and Direction for Future Research – Research Paper No 24
Published: 9 September 2014
Innovation and HR practices in five professional service sectors A report for the UK Commission for Employment and Skills
Innovation and HR practices in five professional service sectors, A report for the UK Commission for Employment and Skills
We investigated the link between human resource practices, innovation, growth and productivity growth in 900 firms across five UK service sectors: Software & IT Services, Accountancy, Architectural Services, Consultancy and Specialist Design.
Published: 30 June 2016
Exporting, ambition, finance and SME performance: Exploratory analysis of the Longitudinal Small Business Survey 2015 and 2016
In this report we outline three exploratory analyses of the Longitudinal Small Business Survey (LSBS) for 2015 and 2016, with a focus on the drivers of business performance. The three analyses focus on: the impact of exporting; ambition; and the availability of external finance. In each case the aim is to exploit the longitudinal aspect of the LSBS, relating firms’ performance in 2016 to firms’ strategy, choices and activities in 2015.
Published: 11 July 2017
Enterprise Research Centre
Warwick Business School
University of Warwick
Coventry CV4 7AL
Enterprise Research Centre
Aston Business School
Birmingham B4 7ET
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