Biotechnology is an industry where human resources embody the knowledge and thereby the competitive strength of the firm. Strategic HRM models have established the importance of resource dependency and institutional perspectives in understanding small biotechnology firms. These models, however, have seldom included the impact of managerial agency, particularly with regard to the role of the founder-scientist. Using three exploratory case studies of biotechnology small and medium enterprises (SMEs), we examine the role of founder-scientists in addressing the requirements of institutional legitimacy and scarce resources (human and capital) in their firms.
open systems theory
resource dependency theory