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Citation

Wapshott R & Mallett O (2025) HRM in Small and Medium-Sized Enterprises. In: Wilkinson A, Dundon T & Yates E (eds.) Contemporary Human Resource Management. https://uk.sagepub.com/en-gb/eur/contemporary-human-resource-management/book286108

Abstract
Small and medium-sized enterprises (‘SMEs’) are often described as the backbone of an economy. The OECD (2023) reports that, across its member countries, SMEs represent 99% of all businesses and account for a large proportion of private sector jobs. In this chapter, we examine the important ways in which SMEs tend to differ from larger businesses, with significant implications for management practices and the experiences of employees. We consider how the management practices and employment relationships in SMEs can be distinguished from those typically associated with larger businesses and why simply applying a ‘one-size-fits-all’ approach to HRM in SMEs can lead to problems. Rather than simply accepting ideas of so-called best practices that are often modelled on large businesses, we offer ways forward for developing better decisions on management in SMEs through practices appropriate for SMEs.