HUMAN RESOURCE MANAGEMENT PRACTICES AND EMPLOYEE PERFORMANCE: A STUDY OF ORGANIZATIONAL COMMITMENT AND ENGAGEMENT
DOI:
https://doi.org/10.69980/s5kzm644Keywords:
Human resource management practices, Employee engagement, Organizational commitment, Employee performance, HR analyticsAbstract
Human resource management (HRM) practices relate to employee performance under the influence of employee engagement and organizational commitment. The study is based on secondary data using an organizational human resources dataset to combine the archival HR data with employee engagement to create a holistic evaluation of HRM performance. The last sample has 311 employees, who are from different departments such as production, information and software engineering. Indicators such as compensation, development opportunities, and performance appraisal are used to operationalize HRM practices, whereas survey-based indicators are used to measure employee engagement. Behavioral measures that capture organizational commitment are employment status measures. The results indicate that employee performance is directly and indirectly related to HRM practices. Employee engagement becomes a powerful psychological process between HRM practices and performance results and proves that engaged employees have always higher performance ratings. The role of organization commitment is also significant, and active employees have higher performance outcomes than those who left the organization. Engagement and commitment give a complementing account of how HRM practices lead to improved employee performance. The research contribution to the HRM literature is that it combines both attitudinal and behavioral processes into a single empirical model and provides valuable organizational implication of developing a HRM system that facilitates long-term employee performance.
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