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Abstract
This paper was aimed at analysing the degree to which foreign-owned agricultural and
food processing companies in Serbia implement key human resource management (HRM)
processes, determining whether these processes are performed in-house or outsourced, and
identifying the variables which influence the decision on performing these processes within
the company or outsourcing. The analysis of data collected through a survey conducted
in 42 companies has confirmed the expectations that the surveyed companies mainly
perform most of HRM activities The conclusion drawn from the study is that all examined
HRM activities are mainly performed in-house, rather than outsourced, while the mode
of performing key HRM processes mainly depends on the size of the company and the
number of employees in HR department, implying that foreign-owned companies operating
in agricultural and food processing sector in this transition country need to take these
variables into consideration when deciding whether to perform crucial HRM activities by
themselves or outsource.