ABSTRACT

This case is about Romano Lana, a 50-year-old family-owned medium enterprise located in Tuscany (Italy). Despite its robust financial performance, Romano Lana is struggling to maintain its competitive advantage. Linda, one of the owner's children appointed as HR manager in the company, is convinced that getting benefit corporation (B Corp) certification will support the transformation needed to become more attractive to skilled employees to embrace the change required by the increasing competition. However, Linda needs to overcome the resistance of her father, Cecco, who strongly believes in the positive aspects of being a family firm (flexibility, reactiveness, cohesiveness) and is convinced that any kind of certification would include bureaucracy and (worthless) procedures. By studying this case, students will have a general understanding of human resource management (HRM) in small and medium-sized enterprises (SMEs); develop knowledge of the Italian entrepreneurial business concept; understand the process of structuration and formalization of the HR process, and how becoming a benefit corporation (B Corp) can enhance HRM in SMEs and how HRM can support a sustainable competitive advantage.