How does HRM enhance strategic capabilities? Evidence from the Korean management consulting industry

摘要

This study develops an HRM-capability-performance model. Applying this model to the management consulting context, legitimizing capability and senior management consultants (SMCs) are theoretically derived as a strategic capability and a strategic job that an HR system focuses on for organizational effectiveness. Regression analyses of a sample of 46 management consulting firms in South Korea find that legitimizing capability improves firm performance. Both legitimizing capability and firm performance are also found to be increased by (1) a sub-set of HR practices for SMCs' human capital and (2) a system of HR practices for their human capital and social capital.