Abstract:
Southern Province of Sri Lanka comprises three districts, namely Matara, Galle and Hambantota. The entrepreneurs in these districts play an important role in the economic development. The employees are a key resource who positively contributes to the success of these entrepreneurs. However, this aspect has not been adequately studied to date. Therefore, an attempt was made to study how the entrepreneurs in the southern province manage their human resources in achieving success of the organization. Survey method was used to collect data from ten medium level entrepreneurs selected randomly. The interviews were focused on five major areas namely; policies and practices co-operate culture and contribution of employees, performance of employees and organizational goals, teamwork and contribution to decision making. It was found that the entrepreneurs who adhered to these practices effectively have been able to cultivate positive attitudes, effective communication, high level of trust and confidence, low level of absenteeism and turnover within their organizations. Hence it was concluded that managing employees in a strategic way could lead to the achievement o f organizational objectives and success