How do human resource practices contribute to strategy development and implementation? The authors argue that they play a major constitutive role. Human resource management occurs at all levels or organizations and, increasingly, outside organizations, as companies manage relationships with free-lancers, consultants, and suppliers. The authors show how innovative human resource practices have been involved in the strategic success of a number of Italian companies. They discuss the need for new skills, new policies, and new human resource management structures.
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The authors acknowledge Howard Aldrich, Arnoldo Hax, Richard Locke, Paul Osterman, and Jeffrey Pfeffer, participants at the “Perspectives on Strategic Change” conference (Venice, May 1991), an anonymous referee, and an anonymous editor for constructive comments.