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HRM, TECHNOLOGY INNOVATION AND PERFORMANCE IN SELECTED SME IN MALAYSIA

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HRM, TECHNOLOGY INNOVATION AND PERFORMANCE IN SELECTED SME IN MALAYSIA
HUMAN RESOURCE MANAGEMENT

“HRM, TECHNOLOGY INNOVATION AND
PERFORMANCE IN SELECTED SME IN MALAYSIA”

Executive Summary
Human resource management (HRM) is seen as crucial department for creating innovation and firm performance. This assignment aims to complete an empirical study to investigate the relationship between dimensions of HRM on technological innovation and firm performance. The research uses a sample of 165 participants of SME firms.

This assignment provides useful managerial information for managers especially those who work on SME level. First, employee training is needed to develop employees' knowledge. Second, material incentive is still in need though it is not the main motivation in SME. Third, process control should be emphasized more than outcome control in SME firms.

This research was conducted to understand the influence and effect of variable HRM activity towards the technology innovation and firm performance. The activity of HRM that to be analyzed are employee training, material incentive, non-material incentive, process appraisal and control, outcome appraisal and control, recruitment and selection.

Content Page
NO. CONTENT PAGE
1 INTRODUCTION 4
2 ASSUMPTION 5
3 Analysis
Reliability Analysis of the Study Variables
(a) Employee training
(b) Material incentive
(c) Non-material incentive
(d) Process appraisal and control
(e) Outcome appraisal and control
(f) Recruitment & Selection
(g) HRM Practices
(h) Technological Innovation
(i) Firm Performance
6-11
4 Descriptive Statistic on Demography of Organization and Respondents. 11-17
5 Descriptive Statistic on the Study Variables
(a) Relationship between HRM and technological innovation (TI)
(b) Relationship between HRM and Firm Performance (FI) 18-19
6 Conclusion 20
7 References 21

Introduction
This assignment was conducted in order to identify the causing factors of HRM activity in SME business effectiveness. These kinds of

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