Strategic human resource management: Determinants of fit, Research and Practice

Previous research suggests that firms can gain sustainable competitive advantage through strategically managing their human resources, operationally exercised as strategic human resource management (SHRM). However, it remains unclear about the conditions under which a firm employs SHRM so as to achieve enhanced performance. As an important feature underlying SHRM, fit reflects the interactive role of HRM practices and their relationship with the organisational strategy. In this paper, factors facilitating fit are discussed. In the proposed conceptual framework, the individual, functional and organisational level factors that influence both types of fit are discussed. Among these factors, individual/personal factors impact both horizontal fit and vertical fit, while HR function related practices and firm level factors influence horizontal fit and vertical fit; respectively