The impact of distributors' HRM on the performance of manufacturer-distributor partnerships

Abstract

This paper examines the impact of the Human Resource Management (HRM) of distributor companies on the performance of manufacturer-distributor partnerships in the Chinese context. A multiple case study methodology is employed in the study. The case study illustrates the importance of the distributors' HRM in the performance of Sino-Finnish partnerships. The recruitment and retention of technical personnel are critical factors in HRM as well challenges to the performance of partnerships because of the knowledge accumulation by technical personnel. However, manufacturers can contribute to the performance improvement of the partnerships by collaborating in training to improve the human resource practices of distributor companies. Therefore, it is concluded in this study that contributory activities in the distributors' HRM in the manufacturer-distributor partnerships have a significant impact on the performance of the partnerships in the Chinese market.