In terms of how to treat HPWS practices, theory and research on HPWS suggest that
multiple and mutually reinforcing HR practices define the nature of the system (Becker
and Huselid 1998). While individual HR practices generate value, they are unlikely to
generate competitive advantage as they are likely to be imitated (Barney and Wright
1998). Combs et al. (2006), based on a meta-analysis, found that HPWS has stronger
performance effects than individual HR practices. This research furthers the investigation
in the HPWS–performance linkage by investigating the impact of HPWS on employee
outcomes and organizational performance, and HPWS is treated as a bundle rather than
individual practices. Based on the discussions above, hypotheses about the HPWS–
performance linkage are generated: