Quantitative Analysis of Strategic Human Resource Management and Organizational Learning

Abstract

It is crucial for business organizations to maintain sustainability within the globalized market environment. However, the organizational ability of micro, small, and medium enterprises (MSMEs) is inadequate to generate sustainable competitive advantage. Moreover, strategic management theories are developed based on large business organizations which cannot be fully applied in MSMEs. From this knowledge gap, this research study addressed the core question of “Does strategic human resource management (SHRM) and organizational learning impact the sustainability of service-based MSMEs in Brunei Darussalam, with competitive strategy as mediator?” From a questionnaire survey of 275 service-based MSMEs, this research study confirmed SHRM and organizational learning to yield significant impact on organizational performance of service-based MSMEs. These results are partial significantly mediated by competitive strategy. From these findings, this research study extended the knowledge on resource-based view, contingency theory, and organizational alignment theory within the MSME context.