The Effect of Human Resource Management Practices on MNC Subsidiary Performance in Russia

This study investigates the relationship between human resource management (HRM) and the performance of 101 foreign-owned subsidiaries in Russia. The study's results provide support for the assertion that investments in HRM practices can substantially assist a firm in improving performance. Further, different HRM practices for managerial and non-managerial employees are found to be significantly related to firm performance. Only limited support, however, is obtained for the hypothesized relationship between efforts at aligning HRM practices with firm strategy and subsidiary performance.© 2001 JIBS. Journal of International Business Studies (2001) 32, 59–75