There are four main problems to be found involved with the implementation and development of human resource management in Chinese SMEs in this research.
Firstly, the findings of the research showed that lack of attention is the most important problem faced by their enterprises, because human resource management is generally neglected not only by the management but also by employees. There is lack of atmosphere of the human resource management in most enterprises including SMEs of China. Not only the management of the SMEs do not attach importance to the human resource management, but also the employees of the enterprise do not pay attention to human resource management because most of them don’t know and understand well of human resource management and its role and functions in the enterprise.
This finding is supported by findings of Zhang and Zhang (2008). They also did a study to investigate the current practices of human resource managements of Chinese SMEs. The authors thought that human resource management plays a core position in modern enterprise management. But due to the speciality of growth and development, SMEs generally have many problems in the aspect of human resource management, and this to a large extent has become one of the important factors to negatively affect the development of SMEs, especially in the developing countries such as China. The research found out three main problems involved with the current human resource management of Chinese SMEs including lack of enough importance toward human resource management and lack of enough atmospheres in the interior of the enterprise.
Secondly, the research findings indicated that lack of a good organizational culture is another important problem faced by Chinese SMEs in developing and implementing human resource management in their enterprises. Most of SMEs in China do not pay attention to the establishment and management of organizational culture. Many of Chinese SMEs do not have organizational culture and employees do not have the strong belonging (commitment?) to their enterprises. Because of lack of organizational culture, the management of SMEs in China don’t realize the importance of human capital to the growth of their enterprises and either do not realize the importance of managing human resource to the long-term development of their enterprises.
The research Peng (2007) directed focused on the bottleneck problem of human resource management of Chinese SMEs. Similar to the finding of some past studies, the author also thought that as one of the important forces in national economy of China, the existence and development of SMEs in China has be negatively affected by some problems in their human resource management. But different from the findings of some past studies, the author found that the basic factor leading to the bottleneck problem of human resource management for SMEs is their organizational structure and cultural. In most of SMEs in China, the department of human resource management does not have an important position in organizational structure. And lack of good organizational culture makes it difficult for most of SMEs to realize the importance of human capital to the development of their enterprise.
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