Flexibility-Oriented HRM and Team Performance: Mechanisms and Boundary Conditions

Abstract

Integrating the strategic human resource management (HRM) and team effectiveness literature, we examine the effect of a strategically targeted HRM system, the flexibility-oriented HRM (FHRM) system, on knowledge team performance. We draw from the dynamic capabilities theory and the Input-Mediator-Outcome team effectiveness framework to posit that FHRM will foster the knowledge acquisition and productive energy of teams, which in turn enhance team performance. Further, this relationship is moderated by two team leader characteristics, i.e., territorial behavior and short-termism. We test these relationships using a three-wave, multi-source survey, and multilevel research methods. Results show that leader territorial behavior diminishes the indirect effect of coordination FHRM on team performance and that leader short-termism weakens the indirect effect of resource FHRM on team performance, both via the mediation of knowledge acquisition and productive energy.