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Application of Cloud-based Human Resource Management

Information System and Women-Entrepreneurial Growth:


A Conceptual Consideration
Abubakar Umar *
Department of Business Administration, AL-Qalam University, Katsina, Nigeria
Fatima Ahmad Maude
Federal Colledge of Education, Zaria, Nigeria

Article Information Abstract:


Suggested Citation: The aim of this study is to offer a conceptual understanding on the
Umar, A. & Maude, F.A. (2023). link between Cloud-Based Human Resource Management
Application of Cloud-based Information System and women entrepreneurship growth. The
Human Resource Management phenomenon of female entrepreneurship, female business owners
Information System and Women- themselves and their enterprises, is regarded as one of the carriers of
Entrepreneurial Growth: A economic and social development. Despite their vast participation
Conceptual Consideration. and contribution to the economic development, however, female
European Journal of Theoretical and
entrepreneurs do not perform as well as their male counterparts in
Applied Sciences, 1(2), 258-268.
terms of business strategy which results in high growth prospects.
DOI: 10.59324/ejtas.2023.1(2).22
The study followed a conceptual approach to indicate how Cloud-
* Corresponding author:
Based Human Resource Management Information System will lead
Abubakar Umar
e-mail: aumar198498@gmail.com
to women entrepreneurial growth. The study also proposed a
framework on the association between the two constructs. It was
concluded that the development of the system will offer greater
opportunities for women entrepreneurs to overcome the overarching challenges most especially in their
human resource practices which will eventually results in growth opportunities. The study recommended
that future research efforts should be carried out to empirically test the proposed framework so as to
empirically understand the association between the two constructs.

Keywords: cloud-based human resource management information system, business growth and women entrepreneurship.

Introduction economy (Caloghirou et al., 2020). Globally,


researchers, business managers and
High growth venture is considered a major policymakers have continued to pay greater
driver of sustainable economic development in a attention to understanding the performance of
nation. This is mainly due to its greater impact such businesses and their impact on strategic
on job creation and increased economic activity goals attainments. This is largely due to
in a country. An important aspect of any widespread evidence that high-growth
economy is the effective performance of businesses are largely active in spreading
entrepreneurial activities most especially in the innovation and increasing productivity to create
context of small and medium-sized enterprises value (Monteiro, 2019). An important aspect of
(SMEs) operating within the sector of the any entrepreneurial effort is their ability to

This work is licensed under a Creative Commons Attribution 4.0 International License. The license permits unrestricted
use, distribution, and reproduction in any medium, on the condition that users give exact credit to the original author(s)
and the source, provide a link to the Creative Commons license, and indicate if they made any changes.
implement strategic human resource planning or profitability (Poggesi et al., 2020; Orser et al.,
measures (HRPM), which ensure efficient use of Brush, 2019). Therefore, there are various
resources by directing human resource efforts to factors that affect the growth of female
key areas of need in their business operations entrepreneurship. The most common elements
(Fawcett & Hampton, 2020). revealed by the empirical literature include
educational level, entrepreneurial ability,
Theoretically, growth by its very nature is being
management strategy, and gender (Amrita et al.,
influenced by diverse factors which affect
business opportunities. Some researchers in the 2018). These key factors placed female-led
entrepreneurs in a highly complex situation that
field of economic analysis recognized the
is associated with extreme difficulties in
importance of firm strategy and industrial
promoting business development (Ariffin et al,
structure to be the main drivers of growth
2018).
(Hechavarria et al., 2019); some knowledgeable
authors emphasized on the desires and Several empirical efforts in comparing the
intentions of business owners (Beynon et al., performance of male and female entrepreneurs
2020); while some other considerations in the have been recognized by researchers with
field of entrepreneurship recognized the inconclusive findings. Key and missing from the
significance of a complex combination of some past research effort is the consideration of high-
critical elements such as, individual growth women entrepreneurs and its critical
entrepreneurial characteristics encompassing elements. According to Fairlie & Fossen (2018),
educational level, strategy, managerial growth-oriented businesses led by women and
experience, innovation and gender. While the men are critical to economic success because
differences between male and female-led they are more likely to create jobs, support
businesses are of deep concern, the fascinating communities, and achieve higher productivity,
questions lie in the conception of female innovation, and exports (Qian et al., 2021).
entrepreneurship and the relative importance of Similarly, past empirical evidences revealed that
the various factors that influence high-growth women face different challenges in applying
female entrepreneurship (Yeboah, 2021; different strategies that are critical and
Hechavarria et al., 2019) directional in attaining various growth prospects.
The phenomenon of female entrepreneurship, However, less empirical attempts were given by
female business owners themselves and their past studies to consider the importance of other
enterprises, is regarded as one of the carriers of factors most especially in the areas of human
economic and social development. According to resource management practices.
the latest report from the Global Giving the importance of adequate knowledge
Entrepreneurship Monitor on Women, 274 of Human resource practices and how its
million women have new or established ventures application can improve venture growth, passed
in 74 economies (Kuschel, 2020). In all of these studies have revealed that most businesses fail to
societies, female entrepreneurship can manifest maintain proper and adequate recruitment and
itself in different ways based on diverse selection procedures, and other issues related to
backgrounds and geographies. It is an performance monitoring and evaluation systems
established facts that women around the world (Olson et al., 2018). These and other complex
have different entrepreneurial experiences in issues have relapsed into systematic
terms of accessibility to opportunities, markets, consequences of poor employee performance,
resources business strategies (Ogundana et al., which invariably affects the growth prospects.
2021; Welter, 2011). Hence, as knowledge of Human Resource
Management (HRM) is seen as the most
Despite their vast participation and contribution
important strategy to ensure overall
to the economic development, female
entrepreneurial growth, the automation of HRP
entrepreneurs do not perform as well as their
measures through the application of information
male counterparts in terms of sales, job growth,
technology can effectively improve HR practices

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in businesses and bring about positive growth of cloud-based recruitment and selection, and
prospect (Amrutha & Geetha, 2020). employee performance appraisal most especially
in the context of Women entrepreneurs’ growth,
Large businesses globally have continued to reap
hence, the need for more research efforts.
the benefits of understanding Cloud-Based
Human Resource Management Information The objective of this study is to provide
System (CHRMIS) to reduce most of the conceptual understanding on the link between
challenges associated with HRPM. The system Cloud-Based Human Resource Management
offer greater advantages of collecting, storing, Information System and women
maintaining, retrieving, and validating the data in entrepreneurship growth; and to propose a
line with HRPM (Wang et al., 2016). The system framework on the association between Cloud-
is viewed as an automated software application Based Human Resource Management
that combines the HR functions of recruitment Information System and Women entrepreneurial
and selection process with employee growth. The remaining components of the paper
performance evaluation analysis (Abdeldayem & provided discussions on the concept of business
Aldulaimi, 2020). With the full knowledge and growth, the concept of entrepreneurship,
implementation of the system, businesses are women-led entrepreneurship and cloud-based
expected to take control of their human resource human resource management information
practices in selecting the right employees and system. Finally, the paper offered a framework
monitoring their job performance to achieve the on the relationship between cloud-based human
organization's growth prospects (Shou et al., resource management information system and
2019). However, whether the adoption of the women entrepreneurial growth.
system by Women entrepreneurs can generate
desired results of attaining high-growth
prospects is an issue of greater consideration Concept of Business Growth
among researchers.
According to Schepers, et al. (2021) growth is
Even though, past studies have investigated the defined as a product of the internal processes of
relationship between human resource firm development and the improvement of
management practices and employees’ quality and expansion of output. Oparin, et al.
performance using different constructs. For (2018) defined growth as a change in size over a
instance, Bilgic (2020), Abbasi, Tahir, Abbas, defined time horizon. In the words of Chen,
and Shabbir (2020), Haryono et al. (2020), and Kang and Butler (2019), the growth of a
Isaiah et al. (2019) investigated the effect of company is basically the result of an expanding
recruitment and training on employee demand for a specific product or service
performance and reported a varying effect of provided by the organization. It is considered
positive, negative, significant and insignificant the first result of an increase in sales and thus an
relationship, indicating mixed and inconclusive investment in additional factors of production to
results positive significant relationship revealing accommodate new demand. Similarly, Chen et
the need for further studies. al. (2019) describe organizational growth in
Moreover, with the automation of human terms of increased sales, increased headcount,
resource management practices through the IT- increased profits, increased assets, increased
based human resource technology company value, and internal development.
infrastructure, businesses are expected to According to the above definition, growth can
efficiently manage employee information system be seen as the result of certain dynamics that the
through the IT-based recruitment and selection organization keeps building up based on the
process, and performance appraisal system (Liu company's assessment and the market.
& Zeinaly, 2020). However, review of past Generally, growth is an important indicator
studies indicated that few or no research efforts aspired by any entrepreneur. There are several
were offered towards investigating the adoption growth indicators, including entrepreneurial

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characteristics and the availability of resources the economy (Virglerová et al., 2016).
such as financial and human resources that have Ramoglou, Gartner, and Tsang (2020)
a greater impact on the entrepreneurial growth mentioned Knight in the 1900s that the job of
and differentiate it from non-growing businesses the entrepreneur is to take on the uncertainty
(Glancey, 1998; Handoo & Sharma, 2014). In inherent in the economy.
addition, as a form of geographic expansion, the Entrepreneurship is an act of innovation that
growth of an organization, the increase in the
involves endowing existing resources with new
number of branches, the entry of new markets wealth, producing capabilities and the nature of
and customers, the increase in the number of the decision-making context that serves as an
products and services, integration and entrepreneurial decision-making (Salmivaara &
acquisitions (Abdulsaleh & Worthington, 2013; Kibler, 2020). Thus, an entrepreneur is someone
Calabrò et al., 2019). It has been emphasized that who is exclusively responsible for and makes
growth is a function of decisions made by judgmental decisions affecting the location,
entrepreneurs, such as how to grow internally or form and use of a commodity, resource or
externally and where to grow in domestic or institution (Filion, 2021). Entrepreneurs are at
international markets (Gupta et al., 2013). the heart of a company's business, especially in a
Researchers have put considerable effort into newly established company. Entrepreneurs are
studying the determinants of business growth. In individuals who create new businesses, take
general, growth is considered to be the result of most of the risks, and enjoy most of the rewards.
optimal management of the resources and The process of starting a business is called
available capabilities in organizations (Mutandwa entrepreneurship. Entrepreneurs are often seen
et al., 2015). These include the entrepreneurial as innovators, sources of new ideas, goods,
capabilities, access to information, and resources services and businesses/or programs.
management. Thus, the growth of organizations
Given the above definitions, entrepreneurship
depends on the identification of sources both
can be defined as the type of business strategy
human and material, the ability and learning of
that creates jobs, social wealth and profits by
accumulation methods and the generation of
optimizing the use of production and business
sustainable profits, as well as a review of how
resources. In addition, Szkudlarek & Wu (2018)
and when industrial and financing resources are
identify entrepreneurship as a phenomenon
acquired and how external investors acquire
related to entrepreneurial activity, that is, the
them. (Coad, 2007; Gupta et al., 2013).
enterprising human behavior that pursues the
According to Alex, et al. (2018) they postulate
creation of value through the creation or
that growth is primarily enhanced from a expansion of economic activity, through the
strategic perspective, and it is important to trust identification and development of new products,
those with the cognitive ability to grow, as process or market. In this sense, McKelvey &
holders are not the only protagonists of growth. Lassen (2018) identified that the basic act of
Furthermore, the ability of entrepreneurs to entrepreneurship is through launching new
participate in the network is very important ventures, whether by start-ups or through
(Acemoglu et al., 2018). internal corporate venture capital, and through
the use of new Entrepreneurial activities are
tentatively guided by some entrepreneurial
Concept of Entrepreneurship theories.
From an economic point of view, Entrepreneurs can therefore, be seen as anyone
entrepreneurship is conceptualized in the aspect who comes up with new ideas, discovers
of risk taking as someone who actively opportunities and converts them into added
compensates for the difference in supply and value to society, who take the risk of starting a
demand thereby reaping the highest possible new business. An entrepreneur is also
benefits (Belás et al., 2018). Entrepreneurs take considered as anyone who adds value to an
risks to acquire and allocate resources to balance

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existing idea. Likewise, one might put forward In today’s business environment, organizations
that entrepreneurship is conceivable not only in have been devising varied efforts to adjust to the
the context of starting a new business, but also new reality of cloud-based technology in
in the possibility of transforming existing ideas implementing their HR practices. According to
in innovative ways. Wang et al., (2017), cloud-based recruitment
selection as an emerging field of E-recruiting is
defined as the application of communication
Concept of Cloud-Based Human technologies such as websites and social media
Resource Management Information to find and attract potential job applicants, to
System keep them interested in the organization during
The development of technology has offered the selection processes, and to influence their
organizations the opportunity of providing job choice decisions. Recruitment and Selection
services directly to employees and managers Subsystem and Firm Performance Web-based
through the use of self-service systems (Stone et technology used by e-recruiting helps
al., 2019). In recent times, there has been a shit organizations attract a stronger and more diverse
of emphasis in the delivery of transactional applicant pool (Piabuo et al., 2017). Cloud-based
HRM approach, which is highly labour intensive, recruitment and selection can also be seen as the
to more a sophisticated phase of technology- most common means of using the Internet as a
based, whereby a large proportion of operational means to recruit and identify other online
activities of organizations are delivered using an activities within the scope of e-recruiting
array of software rather than facilitation through (Ramkumar, 2018)
HR administrators (Khera, 2012; Stone et al., The process of recruitment and selection in
2019). This has led to the emergence of cloud organizations set into being at the moment
computing in carrying out the necessary HRPM where the need to fill a position arose, and as
in organizations, and hence, the emergence of well, ends with the receipt of résumés and
Cloud-Based Human Resource Management completed application forms (Ankrah & Sokro,
Information System. 2012). The result is a pool of qualified job
In today’s business environment, organizations seekers from which the individual best matching
make use of the Cloud-Based Human Resource the job requirements can be selected. On the
Information System (CHRIS) for reducing most other hand, selection is seen as the process of
of the challenges associated with HRPM. The choosing candidates that possessed the relevant
system is seen as an automated software qualifications to fill existing job vacant. In this
application that combines human resources regards, the applicants’ data and information
functions of recruitment and selection process, regarding current employment are collected and
and performance evaluation analysis (Assante et evaluated (Ankrah & Sokro, 2012). This
al., 2016). The system assists businesses in information on the applicant can be evaluated
collecting, storing, maintaining, retrieving and for the purpose of transfer on the basis of the
validating data needed regarding its HRPM, and man power required. In today’s business
personnel activities (Wang et al., 2016). With the environment, organizational recruitment efforts
application of the system, organizations are have increasingly relied on computer technology
expected to have control over its HRPM in (Wang et al., 2016). Employers can electronically
terms of selecting the right employees, and advertise jobs, scan and store resumes, conduct
monitoring their job performance for the test, and contact qualified applicants by using the
attainment of the organizations’ high-level power of the Internet to match people to jobs.
growth prospects (Shorfuzzaman et al., 2015; On the other hand, e-selection uses cloud
Wang et al., 2016). computing in assisting businesses to efficiently
manage the process of identifying the best
Cloud-Based Recruitment and applicants that possessed the right knowledge,
Selection skills and abilities for each job and who may best

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fit the organization (Wang et al., 2016). It a performance management software’s such as
practice that businesses usually faced with the Workforce Performance Management (WPM)
pressures to continually improve on the accuracy suite systems and Talent Management Software
of selection methods and to meet legal (Ankrah & Sokro, 2012). This software assist in
requirements (Ankrah & Sokro, 2012). systematic record of all the required information
Therefore, businesses view technology as a way concerning employee performance, pre-
to manage the recruitment and selection determined targets and the results achieved,
processes more effectively and to provide more compensation, succession planning and other
evidence of the effectiveness of the chosen related HR systems. Its application required for
selection method. the various data forms to be filled online and
submitted to the HR department (Carroll &
Wagar, 2010; Wang et al., 2016).
Cloud-Based Performance Appraisal
Cloud-based performance appraisal can be
defined as the automated process of analyzing
Women Entrepreneurial Growth and
the training needs of the employees, and Cloud-based Human Resource
systematic means of monitoring and review their Management Information System
progress and receiving feedback for employee The use of cloud computing in the area of
performance improvement (Bulmash, 2009). It human resource management in organizations
can also be seen as the application of such has generally regarded as a prospect for women
software systems provided by IT companies entrepreneurs to utilize the advantages
which help to integrate and implement HRPM surrounding their business opportunities (Wuen
processes of performance monitoring and et al., 2020). This benefit is crucial to women
appraisal system in organizations. According to business owners because the application of IT
Wang et al., (2016) cloud-based performance allow for the HR function to become more
appraisal can be seen as a practice that the efficient and to provide better information for
application of cloud computing techniques in decision-making. Through the CHRIS
the process of assessing the performance of entrepreneurs can maintain an integrated system
individual worker in organizations. The system of acquiring and storing data used to make
recognizes human differentiation and helps in analysis, make decisions in the field of HR
achieving higher-level of honest evaluation of (Seethamraju, 2015). A contemporary HRIS is a
team members while also allowing clearer dynamic database about employees’
indication of where specific skill-gaps need to be performance and demographic information.
bridged to enhance overall organizational According to (Chakraborty & Mansor, 2013),
performance through the application cloud HRIS provides details about employees’ data,
computing (Chakraborty & Mansor, 2013; Wang employment, application requirement, job
et al., 2016). characteristics, selection and staffing, procedures
Cloud-based HR help to measure and manage of employment, corporate structure,
the employee performance. It assists professional and individual improvement,
organizations in automating the processes of education costs, performance appraisal,
HRPM and save time and cost and reduce the personnel planning, organizing (Obeidat, 2012).
efforts required on the paperwork (Wang et al., Before the development of CHRIS,
2016). Generally, large organizations have conventional HRP in hiring the right skills to the
already been applying the system and rest are designated positions is an effective way of
planning to put its application for the success of building and sustaining a committed workforce.
their performance management. As an effort to This is more likely to be facilitated by the
automate the processes of performance employment of a range of sophisticated human
appraisal management, organizations are resource management infrastructures (Nickson,
increasingly taking the advantages of various

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2007). Entrepreneurs can recruit and select the Therefore, with the automation of the system,
right candidates. At the same time, job seekers businesses are likely to obtain the required
gather information about organizations and labour force to fill in the existing vacancies.
current jobs offers; because they cannot gain Therefore, this will offer greater advantage to
complete knowledge of all alternatives and their entrepreneurs most especially women to have its
potential characteristics (Matimbwa & Masue, best utilization for the attainment of high growth
2019). It has been observed that businesses prospects.
maintained higher desire to fill the various job
vacancy very quickly or who are unwilling to
have recruitment processes such as job analysis, Proposed Conceptual Framework
are possibly less discriminating in the quality and
The research model was presented as thus:
quantity of the candidates (Macke & Genari,
2019).

Figure 1. Proposed Framework

The diagram above shows the proposed ability to obtain resources in unique historical
conceptual framework of the study. As indicated conditions, causally ambiguous relationship
in the diagram, the independent variables (cloud- between firm resources and sustained
based employee recruitment and selection, and competitive advantage most especially in
cloud-based employee performance appraisal) building high growth enterprise.
will have a direct relation relationship with the
dependent variable (Entrepreneurial Growth).
The framework indicated that the nature of Conclusion
resources owned by an entrepreneur are an
This study offered conceptual understand on the
important source of competitive advantage.
link between Cloud-Based Human Resource
Women entrepreneurs can strive to use
Management Information System indicated by
resources available to secure the best cloud
cloud-based recruitment and selection and
computing technology in the field of HRM most
cloud-based performance appraisal and women
especially in the areas of cloud-based
entrepreneurial growth as depicted in Figure 1.
recruitment and selection, and cloud-based
The study proposes that if the framework is
performance appraisal), and sustained
empirically validated, the findings will offer
competitive advantage. These distinctive forms
significant insight to both academics,
of resources owned by the entrepreneur can be
researchers, practicing women entrepreneurs,
outstanding advantage which can generate high
and business employees on the present state of
growth prospect. As a result, the entrepreneur’s
the application of cloud computing in the field

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of women entrepreneurship. The study Innovation Policy, 6(2), 22-33.
recommended that future research efforts https://doi.org/10.11113/jostip.v6n2.58
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