Human Resource Management Practices and SMEs Performance: Study Based In Kosovo

Abstract

Human resources are considered the most precious asset of SME. In order to reach its values the firm must pay a huge importance in human resource management. The implementation of enterprise strategy is dependent from the employee’s quality who are arranged to realize it. The aim of this research paper is to show the application of human resource practice and their impact in SME performance. The methodology used in the study is a combination of quantitative and qualitative data. Results of the research are processed data of 53 SMEs that implement their activity in different parts of Kosovo. These data were processed with the help of SPSS v 21 program. The data revealed that studied SMEs use their practice more to manage the human resources in realizing their aspiration such as “compensation and rewarding”. Also, implementation of this practice has increased the enterprise performance more than the usage of other practices such as: “selection and recruiting” or “training and development”, but even these last ones influenced positively in the SME success. Good management of human resource helps three fundamental intention of each enterprise: surviving, increasing and rising their incomes. On the other hand, it offers to them an easy confrontation with the market competitiors which is very cruel.

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