The Breadth and Depth of Small Business Human Resource Practices: Do High Performers Differ From Low Performers?

Often, small businesses do not possess the resources to have an HR department. In fact, small businesses are often led by busy managers from whom HR tasks drain time and energy. Therefore, small businesses need to understand how engagement in HR practices may impact firm performance. In this paper we add to existing knowledge by examining how higher performing small businesses differ from lower performing small businesses in terms of breadth (the number of HR practices engaged) and depth (engagement in active recruitment strategies) of HR practices. Our findings indicate that higher-performing small businesses tend to apply more breadth and depth in their HR approach than lower-performing small businesses.