Abstract

Whilst recent, extant research and literature highlight the contributions that SMEs make to
local, national, and international socio-economic contexts, this empirical and theoretical
chapter focuses on the resource constraints smaller firm managers face when implementing
HRM employee selection and retention practices. This topic is crucial because there is firstly,
lack of theoretical development on how SMEs and their management address resource
constraint situations. Secondly, previous attempts to contribute to SME crises have varyingly
and erroneously relied on Coase’s seminal Theory of the Firm from a management perspective.
Such dependence has paradoxically led to ineffective and inefficient use of constrained
resources and has alienated and dehumanised staff. To address the paradox, this chapter uses
85 qualitative interviews to highlight how to 1) humanise HRM practice and policy
implementation; 2) develop an alternative ‘Integrative Employee Resilience Framework’ and
3) produce a ‘Resilience Scaffold’ for HRM and SMEs in crises. These contributions provide
an alternative set of resources namely on the humanisation and resilience capabilities needed
by managers and employees when implementing HRM practices in SME crisis environments.
The implications of the proposed framework and impacts on the future of HRM and SME
studies are identified and discussed.