Human Resource Management's Effects on Firm-Level Relative Efficiency

Clint Chadwick, Ji Young Ahn, Kiwook Kwon

Research output: Contribution to journalArticlepeer-review

9 Scopus citations


Using stochastic frontier production functions methodology with data from 1579 private-sector establishments, we demonstrate that HR practices are significantly associated with differences in relative firm-level efficiency. Supplemental analysis implies that this efficiency analysis is substantively different than the common approach to evaluating HRM's relationships with firm-level labor productivity. The results suggest that HR practices' contributions to relative firm-level efficiency are an important but heretofore overlooked factor in the relationship between HRM and firm performance.

Original languageEnglish
Pages (from-to)704-730
Number of pages27
JournalIndustrial Relations
Issue number3
StatePublished - Jul 2012


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