11766: How the Human Capital Resources Emergence Process Develops in Response to Member Change (session 25615)

Designated as a “Best Paper” by HR
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Integrating human capital resources (HCR) emergence theory and group-equilibrium theory, we develop a two-phase longitudinal model that explains how the HCR emergence process develops in response to member change. We propose that HCR reemergence following member change is divided into two periods: the initial flux period, which is marked by an immediate and positive change in group performance, and the subsequent sustaining period which shows a decrease in group performance. We further propose that group-level tie strength and knowledge heterogeneity influence both the immediate and long-term effects of member change on HCR and subsequent performance. Using a sample of 1,753 events of member change at the group level in an international brokerage firm, the results support the hypothesis that member change leads to an immediate and positive change in group performance. Notably, groups with low strength of social ties and knowledge heterogeneity between new and unchanged members experience a larger immediate increase in performance. However, in the subsequent sustaining period, groups with high strength of social ties and knowledge heterogeneity between new and unchanged members exhibit more favorable long-term performance trajectories. These results advance our understanding of how member changes affect group performance over time, challenging the traditional linear view of HCR emergence and emphasizing the role of group-level social interactions and knowledge structure in moderating these effects.

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