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Title Hiring and retaining skilled employees in SMEs: problems in human resource
Authors Bilan, Yurii Valentynovych  
Mishchuk, H.
Roshchyk, I.
Joshi, O.
Keywords human resource
organizational economic success
SMEs
hiring
retention
vacancies
людські ресурси
організаційний економічний успіх
найм
утримання
вакансії
Type Article
Date of Issue 2020
URI https://essuir.sumdu.edu.ua/handle/123456789/82149
Publisher Vilnius Gediminas Technical University
License Creative Commons Attribution 4.0 International License
Citation Bilan, Y., Mishchuk, H., Roshchyk, I., & Joshi, O. (2020). Hiring and retaining skilled employees in SMEs: problems in human resource practices and links with organizational success. Business: Theory and Practice, 21(2), 780-791. https://doi.org/10.3846/btp.2020.12750
Abstract The ability to attract and retain the talents is an important factor in the competitiveness of countries, as it is confirmed in our study. At the level of small and medium-sized enterprises, hiring and retaining skilled workers is one of the most difficult tasks of HR management, especially in transition economies with a high intensity of “leaching out” the skilled workers due to labour migration. Our research in Ukraine, which is a prime example of such countries, conducted via the cluster analysis allows us to conclude that the problems of hiring and retaining skilled workers have some con-nection with profitability: there is almost always a problem with filling vacancies with people of all educational levels in unprofitable enterprises, which is not typical of profitable businesses. The main problems with filling vacancies according to employers’ estimations are: 1) market factors – shortage of employees with the required skills; 2) internal problems of ensuring the attractiveness of jobs (material – pay, and intangible – career prospects, flexible working hours, legal employ-ment); 3) internal factors of inefficient HR management, including recruiting; 4) psycho-physiological factors of job satis-faction. However, there are no close links between the factors of hiring effectiveness and retention of skilled workers with the economic success of the organization in the form of the growth of assets, revenues and stuff. This leads to the conclu-sion that the practices of human resources management in small and medium-sized businesses in Ukraine are largely built chaotic, without analyzing the impact on the efficiency of the use of other resources and without providing links with the overall economic efficiency of enterprises.
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