Volume : 7, Issue : 4, April - 2018

H. R. M. Practices in Small and Medium size Enterprises in Bidar District of Karnataka

Dr. Shivshenker

Abstract :

<p class="MsoNormal" style="text-align:justify;text-indent:.5in;line-height:150%">People have always been central to organizations, but today they have taken on even more central role in building a firm&rsquo;s competitive advantage. An organization&rsquo;s success has come to depend more on human capital which includes knowledge, skills and attitudes imbedded in an organization&rsquo;s members (Prahlad and Hamel, 1990 ) Watson (1963), the founder of IBM says,&rdquo; You can get capital and erect buildings, but it takes people to build a business&rdquo;. HR expenditures which -were earlier regarded as cost items, are now viewed as a strategic investment rather than simply a cost to be minimized. When employees&rsquo; knowledge, skills, and attitudes (KSAs) are valuable, and difficult to imitate, and organised, a firm can achieve a sustained competitive advantage through people. Even though some sort of people- management has been there in SMEs, HRM in the modern sense as a decisive variable in augmenting competitive advantage, entrepreneurial and firm performance is of recent origin.</p>