High performance work system (HPWS) has been viewed as a key to competitive advantage and capable of creating differentiation while contributing to the overall performance of the organization. However, recent developments, argued that, in spite of the undeniable significance of HPWS to organizational performance, the practices has not be extended to the context of small firms and that researchers has not identified specific set of practices in HPWS that are capable of facilitating organizational performance. In view of the above argument, this study examines the role of HPWS practices in achieving high performance within the small business sectors. Four dimensions of HPWP were identified in this study and were assessed on a seven-point scale. Our data were drawn from SMEs that have spent a minimum of ten years in the Nigeria industry. Results showed that practices involved in HPWS positively influence HPO. The findings showed that given the changing business environment, managers need to develop a HPWS culture in their organizations. Thus, the study has contributed to the enrichment of the literature on HPWS and HPO by proposing a model that was empirically tested.
