Your PDF has successfully downloaded.

You may be interested in finding more content on these topics:


You are not currently logged in.

Access JSTOR through your library or other institution:


Log in through your institution.

The Impact of Human Resource Management Practices on Perceptions of Organizational Performance

John T. Delaney and Mark A. Huselid
The Academy of Management Journal
Vol. 39, No. 4 (Aug., 1996), pp. 949-969
Published by: Academy of Management
Stable URL:
Page Count: 21
  • Download PDF
  • Add to My Lists
  • Cite this Item
We're having trouble loading this content. Download PDF instead.


In 590 for-profit and nonprofit firms from the National Organizations Survey, we found positive associations between human resource management (HRM) practices, such as training and staffing selectivity, and perceptual firm performance measures. Results also suggest methodological issues for consideration in examinations of the relationship between HRM systems and firm performance.

Notes and References

This item contains 52 references.

  • Appelbaum, E., & Batt, R. 1994. The new American workplace: Transforming work systems in the United States. Ithaca, NY: ILR Press.
  • Arthur, J.B.1994. Effects of human resource systems on manufacturing performance and turn- over. Academy of Management Journal, 37: 670-687.
  • Baird, L., & Meshoulam, I. 1988. Managing two fits of strategic human resource management. Academy of Management Review, 13: 116-128.
  • Bailey, T.1993. Discretionary effort and the organization of work: Employee participation and work reform since Hawthorne. Working paper, Columbia University, New York.
  • Barney, J.1991. Firm resources and sustained competitive advantage. Journal of Management, 17: 99-120.
  • Bartel, A.P.1994. Productivity gains from the implementation of employee training programs. Industrial Relations, 33: 411-425.
  • Becker, B.E., & Huselid, M. A. 1992. Direct estimates of SDY and the implications for utility analysis. Journal of Applied Psychology, 77: 227-233.
  • Becker, G.S.1964. Human capital. New York: National Bureau of Economic Research.
  • Berg, P., Appelbaum, E., Bailey, T., & Kalleberg, A. 1994. The performance effects of modular production in the apparel industry. Working paper, Economic Policy Institute, Washing- ton, DC.
  • Cutcher-Gershenfeld, J.1991. The impact on economic performance of a transformation in industrial relations. Industrial and Labor Relations Review, 44: 241-260.
  • Delaney, J.T. Forthcoming. Unions, human resource innovations, and organizational outcomes. In D. Lewin, B. Kaufman, & D. Sockell (Eds.), Advances in industrial and labor relations. Greenwich, CT: JAI Press.
  • Dollinger, M.J., & Golden, P. A. 1992. Interorganizational and collective strategies in small firms: Environmental effects and performance. Journal of Management, 18: 695-715.
  • Freeman, R.B., & Medoff, J. L. 1984. What do unions do? New York: Basic Books.
  • Gerhart, B., & Milkovich, G. T. 1992. Employee compensation: Research and practice. In M. D. Dunnette & L. M. Hough (Eds.), Handbook of industrial and organizational psychology, vol. 3: 481-569. Palo Alto, CA: Consulting Psychologists Press.
  • Huselid, M.A.1995. The impact of human resource management practices on turnover, produc- tivity, and corporate financial performance. Academy of Management Journal, 38: 635-670.
  • Huselid, M.A., & Becker, B. E. 1994. The strategic impact of human resources: Results from a panel study. Working paper, Rutgers University, New Brunswick, NJ.
  • Huselid, M.A., Jackson, S.E., & Schuler, R. S. In press. Technical and strategic human resource management effectiveness as determinants of firm performance. Academy of Manage- ment Journal.
  • Ichniowski, C.1986. The effects of grievance activity on productivity. Industrial and Labor Relations Review, 40: 75-89.
  • Ichniowski, C., Shaw, K., & Prennushi, G. 1994. The effects of human resource management practices on productivity. Working paper, Columbia University, New York.
  • Jackson, S.E., & Schuler, R. S. 1995. Understanding human resource management in the context of organizations and their environments. In M. R. Rosenzweig & L. W. Porter (Eds.), Annual review of psychology, vol. 46: 237-264. Palo Alto, CA: Annual Reviews.
  • Jensen, M.C., & Meckling, W. 1976. The theory of the firm: Managerial behavior, agency costs, and ownership structure. Journal of Financial Economics, 3: 305-360.
  • Kalleberg, A.L., & Moody, J. W. 1994. Human resource management and organizational perfor- mance. American Behavioral Scientist, 37: 948-962.
  • Kalleberg, A.L., Knoke, D., Marsden, P.V., & Spaeth, J. L. 1994. The national organizations study: An introduction and overview. American Behavioral Scientist, 37: 860-871.
  • Kalleberg, A.L., Knoke, D., Marsden, P.V., & Spaeth, J. L. 1993. The 1991 National Organiza- tions Survey [machine readable data file]. University of Minnesota (producer); Inter- university Consortium for Political and Social Research (distributor), Ann Arbor, MI.
  • Kandel, E., & Lazear, E. P. 1992. Peer pressure and partnerships. Journal of Political Economy, 100: 801-817.
  • Katz, D. & Kahn, R. L. 1978. The social psychology of organizations. New York: Wiley.
  • Kleiner, M.M., & Bouillon, M. L. 1988. Providing business information to production workers: Correlates of compensation and profitability. Industrial and Labor Relations Review, 41: 605-617.
  • Knoke, D., & Kalleberg, A. L. 1994. Job training in U.S. organizations. American Sociological Review, 59: 537-546.
  • Kochan, T.A., & Osterman, P. 1994. The mutual gains enterprise: Forging a winning partner- ship among labor, management, and government. Boston: Harvard Business School Press.
  • Lado, A.A., & Wilson, M. C. 1994. Human resource systems and sustained competitive advan- tage: A competency-based perspective. Academy of Management Review, 19: 699-727.
  • Levine, D.I.1995. Reinventing the workplace: How business and employees can both win. Washington, DC: Brookings Institution.
  • Levine, D., & Tyson, L. D. 1990. Participation, productivity, and the firm's environment. In A. S. Blinder (Ed.), Paying for productivity: 183-244. Washington, DC: Brookings Institution.
  • MacDuffie, J.P.1995. Human resource bundles and manufacturing performance: Flexible pro- duction systems in the world auto industry. Industrial and Labor Relations Review, 48: 197-221.
  • Meyer, J.W., & Rowan, B. 1977. Institutionalized organizations: Formal structure as myth and ceremony. American Journal of Sociology, 83: 340-363.
  • Milgrom, P., & Roberts, J. 1995. Complementarities and fit: Strategy, structure, and organizational change in manufacturing. Journal of Accounting and Economics, 19: 179-208.
  • Morishima, M.1991. Information sharing and firm performance in Japan. Industrial Relations, 30: 37-61.
  • Nunnally, J.C., & Bernstein, I. H. 1994. Psychometric theory (3rd ed.). New York: McGraw-Hill.
  • Osterman, P.1987. Choice of employment systems in internal labor markets. Industrial Rela- tions, 26: 46-57.
  • Peters, T., & Waterman, R. 1982. In search of excellence. New York: Harper & Row.
  • Pfeffer, J.1994. Competitive advantage through people. Boston: Harvard Business School Press.
  • Pfeffer, J., & Cohen, Y. 1984. Determinants of internal labor markets in organizations. Administra- tive Science Quarterly, 29: 550-572.
  • Powell, T.C.1992. Organizational alignment as competitive advantage. Strategic Management Journal, 13: 119-134.
  • Russell, J.S., Terborg, J.R., & Powers, M. L. 1985. Organizational performance and organizational level training and support. Personnel Psychology, 38: 849-863.
  • Schmidt, F.L., Hunter, J.E., McKenzie, R.C., & Muldrow, T. W. 1979. Impact of valid selection procedures on work-force productivity. Journal of Applied Psychology, 64: 609-626.
  • Spaeth, J.L., & O'Rourke, D. P. 1994. Designing and implementing the National Organizations Study. American Behavioral Scientist, 37: 872-890.
  • Stinchcombe, A.1965. Social structure and organizations. In J. March (Ed.), Handbook of organizations: 142-193. Chicago: Rand McNally.
  • U.S. Department of Labor. 1993. High performance work practices and firm performance. Washington, DC: U.S. Government Printing Office.
  • Venkatraman, N.1989. The concept of fit in strategy research: Toward a verbal and statistical correspondence. Academy of Management Review, 14: 423-444.
  • von Bertalanffy, L.1950. The theory of open systems in physics and biology. Science, 111: 23-29.
  • Wagner, J.A.1994. Participation's effect on performance and satisfaction: A reconsideration of research evidence. Academy of Management Review, 19: 312-330.
  • Williamson, 0. E.1979. Transaction cost economics: The governance of contractual relations. Journal of Law and Economics, 22: 233-261.
  • Wright, P.M., & McMahan, G. C. 1992. Theoretical perspectives for strategic human resource management. Journal of Management, 18: 295-320.