The relationship of diversification, multidivisional structure, human resources management and it effects on the organization performance

• Main Authors: Cheng-Shyue Liang, 梁正學
• Other Authors: 劉念琪
• Format: Others
• Language: zh-TW
• Published: 2007
• Online Access: http://ndltd.ncl.edu.tw/handle/54839479972837249033

碩士 === 國立中央大學 === 人力資源管理研究所 === 95 === Most firms today produce more than one product. In order to using resources more efficiently or risk aversion, companies often choose to diversify as their business strategy when they are growing up. However, there are still some components to be explored to ensure that the diversification strategy can lead the superior performance. In fact, there are extensive literature discussing about the relationship between diversification and performance and which kind of the diversification strategy will create higher performance. Until now, whether related or unrelated diversification, they both have many empirical evidences to support their advantage but there is no consistent agreement. To decide how the organization performance will be, the usage of human capital might be an important factor. For this reason, this study examines the relationship among diversification strategy, multidivisional structure, high performance human resources system and the organizational performance. The study including 216 manufacturing companies in Taiwan and results show that (1) the diversification strategy and multidivisional structure has a significant interaction effect on organizational performance. For related diversification firms’ performance, the estimated marginal means will be higher when using multidivisional structure. However, the performance will be lower for unrelated diversification ones which use multidivisional structure. (2) The diversification strategy and high performance human resources system do not have significant interaction effect on organizational performance. (3) The interaction effect of diversification strategy, multidivisional structure and high performance human resources system is significant on organizational performance. Furthermore, related diversification companies obviously have outstanding organizational performance under this interaction. Our findings show that human resources management plays an important role in diversification strategy, related diversification especially. High performance human resources system can help related diversification firms which also use multidivisional structure to have superior organizational performance.