How Millennial Managers influence the formalization of HRM practices in Family Firms

Building on generational theory, this exploratory study argues that HR managers’ involvement plays a key role in driving the formalization of HRM practices in family firms. Data from a 2023 survey of millennial managers working in family firms are used to test the hypothesis. The sample comprises 118 privately held family businesses in Italy. The findings of fuzzy-set qualitative comparative analysis (fsQCA) show that HR managers can have a substantial impact on the formalization of HRM processes, depending on their generational cohort. However, to better understand this process in family firms, a configurational approach is more explicative and thus suggested. Despite being exploratory, these results contribute to the field in several ways, expanding generational theory and enhancing research in family business and organizational studies.