Strategic approaches to managing human relations within construction SMEs

Organisational success is dependent upon the effective management of people. At the heart of this process is an organisation’s HRM strategy, which should seek to align HRM practices with the wider organisational objectives. This paper investigates employee relations as one key area of Strategic Human resource management (SHRM) within construction SMEs. The aim of this part of the research is to examine the multi facetted nature of the SHRM function and particularly the perspectives of employee relations. These issues were explored via semi-structured interviews with the strategy makers and HR or middle mangers of construction SMEs. It provides an insight into the way in which employee relations are implemented as part of the SHRM function. A wide range of techniques were utilised within a small number of organisations, the larger organisations within the group exhibited highly structured objectives and procedures. It forms part of a wider study which aims to explore further the components and types of SHRM strategies used by construction SMEs in order to improve organisational performance. The ultimate outcome of the research is to develop a model of SME SHRM practice that helps firms to reconcile their HRM needs with the problematic operating context provided by the industry.