"The general SHRM models explain the link between HR and company performance; however, due to several specific internal and external factors, they have to be modified in order to be applied to companies in European transition economies (ETEs). By analysing the current state of HRM and the HR context in Slovenia, we develop a conceptual SHRM model for ETEs. The model introduces a new specification of the HR context, emphasizing HR facilitators, and an additional moderating construct the HR power, to have more explanatory power for studying the HR–company performance link in ETEs. The paper also addresses the importance of issues relating to the empirical validation of the model in ETEs and suggests ways to further develop SHRM in these countries."

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