Enterprise Sustainability and HRM in Small and Medium-Sized Enterprises: A Decent Work Perspective

Abstract

This chapter looks at the specific challenges, expectations and opportunities small medium-sized enterprises in emerging countries face regarding enterprise sustainability in today’s worldwide economy characterized by the strong interconnection of supply chains. In its experience with small enterprises development in emerging countries, the International Labour Organization (ILO) has recognized that quality human resource management (HRM) and good workplace practices are a key determinant of enterprise performance and productivity, as well as in practice at the community, national or even international level. Based on the ILO’s Decent Work Agenda (ILO, Decent work, report of the ILO Director-General, 87th session of the International Labour Conference. ILO, Geneva, 1999), the Declaration on Fundamental Principles and Rights at Work (Declaration on Fundamental Principles and Rights at Work. ILO, Geneva, 1998) and the technical cooperation experience of ILO’s Job Creation and Enterprise Development Department, the HRM practices described here are intended to improve enterprise sustainability, understood in its economic, social, and environmental dimensions. Practical examples from the ILO’s practice demonstrate the implementation of labour rights in SMEs in emerging countries.