Cameron, Leone C 2008, 'Staff recruitment, selection and retention in family-owned small businesses', PhD thesis, Southern Cross University, Lismore, NSW.
Copyright LC Cameron 2008
The proficient Human Resource Management of employees and their contribution to small business is commonly accepted as contributing to Australia’s future prosperity (Schaper, 2000). Effective recruitment, selection and retention of employees are part of the employment relationship and can enhance work performance and contribute to business success (Compton and Nankervis, 1998).
Effective recruitment and selection has regularly been associated with positive retention and performance outcomes. However, this centre of attention has rarely focused on family-owned small businesses. This is reflected in the paucity of literature relating to family-owned small business, especially in rural and regional areas of Australia.
The research objectives were to understand the variables and dynamics of the recruitment, selection and retention process. This study focused on mixed research design. The triangulation firstly examined the literature. Then quantitative exploratory research investigated the recruitment, selection and retention activities in family-owned small businesses in rural and regional areas of Australia. Constructs were developed from the quantitative study. Qualitative semi-structured interviews tested the constructs to complete the 13-phase procedure used in this research.
The research found that the establishment, building and maintaining of strong relationships between employer and employees is significant to the effective recruitment, selection and retention of employees in family-owned small businesses in rural and regional areas of Australia. The research found four significant constructs, each having ‘relationship’ as a common theme. The relationship theme identified in this research can be compared with the framework established by relationship marketing, that is, owner/managers of family-owned small business should constantly sell themselves to their employees by concentrating on relationships as the primary emphasis of recruitment, selection and retention of staff.
To assist owner/managers of small family-owned businesses, a model and a check-list have been developed to ensure consistency in the application of the new relationship model. It is anticipated that this new model and checklist will enable effective utilisation of the newly developed Three R’s of Relationship, Recruitment and Retention.