ABSTRACT
This chapter argues that selection scholarship must be expanded to consider how, when, and why personnel selection practices will contribute to creating business-unit-level value and sustained competitive advantage. It discusses the need for selection to take a broader perspective and show consequences at the business unit level. The chapter reviews the dominant strategic Human Resource (HR) perspectives on how HR practices and human capital resources are linked to a business unit's strategy. This is followed by a critical examination of whether personnel selection contributes to such resources and sustained competitive advantage. Strategic Human Resource Management scholarship tends to focus on between-firm differences in HR practices that help explain between-firm differences in performance. It has been argued that unit-level human capital resources can produce strategic benefits and that they are the result of the careful alignment of selection and other HR programs with the firm's strategy.
