Institutionalizing in small and medium sized enterprises from the standpoint of human source management functions: An ampirical study in Manisa Organized Industrial Zone

It seems that the administrative functions in SME are not based on defined systematics, are not institutionalized and are actually run by personal affairs. Basic fields where the lack of functions of human sources seen in SME can be stated as; not paying attention to the qualifications while recruiting the workers, insufficient person-job consistency , not assessing the personal performance precisely and equitably, and lacking of rewards.The basic purpose of this study is to emphasize the significance of human resource management regarded as the most important resource in order to reach the goals which was aimed by SME and in order to cope with arising problems. To emphasize the significance of human resource management, it is stated that the functions of human resource management has changed into institutional structure and it has been studied by the factor analyze method, regarding the field research.SME?s in Manisa OIZ were included in the research. Data collected from such establishments by a questionnaire. Seven factors were determined after the factor analysis of the data for interpretation. The number aimed for the factors were nine, however human resources acquisition and selection dimension and the institutional culture dimension weren?t taken into consideration as they did not constitute a factor. These factors fall under the seven categories of; education, performance and assessment, wage policies, administrative transparency, human resources database, career administration and workplace welfare, and security.The results are pointing out that of any extension in activity periods in SME?s and demografic characteristics of the managers have not any positive influence on HRM. The results in according to efforts in institutionalization show that SME?s that running as family business are less effective than others SME?s. Findings show that there is a positive relation in size extension of SME?s and HRM functions. Finally, we concluded that there is positive relation in HRM functions.Key Words: Small and Medium Sized Enterprise, Institutionalization, Human Resources Management Functions, Manisa Organized Industrial Zone