Do performance measures matter in the relationship between high-performance work system and organizational performance?

2019 ◽  
Vol 41 (3) ◽  
pp. 241-257
Author(s):  
Xiaoxuan Zhai ◽  
Xiaowen Tian
Keyword(s):  
Financial Performance ◽  
Organizational Performance ◽  
Performance Measures ◽  
High Performance ◽  
Country Of Origin ◽  
Content Type ◽  
Work System ◽  
Hrm Practices ◽  
High Performance Work System ◽  
The Relationship

Purpose The purpose of this paper is to develop a resource-based framework to explain the relationship between high-performance work system (HPWS) and organizational performance (OP) and the moderating role of performance measures. Design/methodology/approach The paper takes a meta-analysis approach, and tests hypotheses against data of 47,741 firms and establishments in 192 studies published by June 2016. Findings The paper finds that HPWS has a greater positive effect on operational than financial performance. Moreover, HPWS influences operational performance more strongly in developing than advanced countries and at the firm level than the establishment level, but such variations are not evident in the effect of HPWS on financial performance. Practical implications The paper suggests that managers should treat human resource management (HRM) practices as a system, and develop HPWS for operational gains which in turn lead to financial gains. Managers need to take different approaches to develop HPWS for high performance depending on the country of origin and the level of organization. Originality/value Based on studies of individual HRM practices, previous meta-analytical studies suggested that the HPWS-OP relationship is invariant across performance measures. Taking HRM practices as integral components of HPWS, this paper extends the resource-based theory to demonstrate that performance measures interact with country of origin and level of analysis to moderate the HPWS-OP relationship.

High performance work system, HRD climate and organisational performance: an empirical study

2015 ◽  
Vol 39 (3) ◽  
pp. 239-257 ◽  
Author(s):  
Ashutosh Muduli
Keyword(s):  
Organizational Performance ◽  
Human Resource Development ◽  
High Performance ◽  
Extensive Literature ◽  
Development Environment ◽  
Content Type ◽  
Work System ◽  
High Performance Work System ◽  
The Relationship

Purpose – This paper aims to study the relationship between high-performance work system (HPWS) and organizational performance and to examine the role of human resource development (HRD) Climate in mediating the relationship between HPWS and the organizational performance in the context of the power sector of India. Design/methodology/approach – The empirical research paper has been conceptualized on the basis of extensive literature survey and examined through a case-based approach. Data and information collected to examine strength of the proposed hypothesis in the context of a power-based company in India. Findings – Agreeing with most of the research, HPWS is found to be positively related with organizational performance. The result does not agree with the HPWS research conducted in Asian countries. Taking clues from “Black Box” approach, the role of HRD Climate as a mediating factor has been studied. The result proved that HPWS influences organizational performance through a supportive development environment (HRD climate) based on openness, confrontation, trust, authenticity, proaction, autonomy, collaboration and experimentation (OCTAPAC). Research limitations/implications – Designing and implementing HPWS requires the organization to nurture and develop a suitable HRD climate through development of organizational culture based on OCTAPAC. Practical implications – Implications for HRD–HPWS practices such as group-based pay, decentralized participative decisions, self-managed work teams, social and family events, and appraisal based on team goals along with OCTAPAC culture can significantly contribute to the transfer climate by influencing both peer and supervisor. It can significantly contribute to training motivation by influencing both career and job attitudes, and organizational commitment of trainees. Originality/value – The research is unique in its attempt to understand the role HRD climate as intermediating variables to enhance the effectiveness of HPWS. This may add a lot of value in encouraging organizations to establish HRD Climate.

scholarly journals High-performance work system and employee creativity

2017 ◽  
Vol 46 (7) ◽  
pp. 1318-1334 ◽  
Author(s):  
Guiyao Tang ◽  
Bingjie Yu ◽  
Fang Lee Cooke ◽  
Yang Chen
Keyword(s):  
High Performance ◽  
Underlying Mechanism ◽  
Employee Creativity ◽  
Content Type ◽  
Work System ◽  
Organisational Support ◽  
Perceived Organisational Support ◽  
High Performance Work System ◽  
The Relationship

Purpose The purpose of this paper is to examine the underlying mechanism through which high-performance work system (HPWS) influences employee creativity. In addition, this paper aims to examine contingent factors in the relationship between perceived organisational support and employee creativity. Design/methodology/approach The sample of the study included 268 employees and matched supervisors from two pesticide chemical companies in China. Hypotheses were tested with linear regressions. Findings The study shows that HPWS enhances perceived organisational support, which in turn promotes employee creativity. Moreover, the results also indicate that devolved management positively moderates the relationship between perceived organisational support and employee creativity. Research limitations/implications The unique environment of China may limit the generalisability of the findings. Future studies can extend these findings by conducting studies in other societal contexts. Practical implications When trying to inspire employee creativity, organisations need to pay attention to employees’ perception of organisational support. One way of enhancing perceived organisational support is to implement HPWS. In addition, organisations need to encourage devolved management in order to inspire more creative behaviours. Originality/value This is the first study that explores the mediating role of perceived organisational support in the HPWS-employee creativity linkage. In addition, the study provides what is believed to be the first test of the moderating role of devolved management.

High-performance work system and organizational citizenship behaviour at the shop floor

2020 ◽  
Vol 27 (4) ◽  
pp. 1369-1398 ◽  
Author(s):  
Jitendra Pratap Singh ◽  
Pawan Kumar Chand ◽  
Amit Mittal ◽  
Arun Aggarwal
Keyword(s):  
Organizational Citizenship ◽  
High Performance ◽  
Manufacturing Industry ◽  
Employee Performance ◽  
Industrial Clusters ◽  
Shop Floor ◽  
Content Type ◽  
Work System ◽  
High Performance Work System ◽  
The Relationship

PurposeThe manufacturing industry is presently experiencing technological disruption on a global scale. Consequently, to tackle such disruption, firms are identifying a volatile, uncertain, complex and ambiguous (VUCA) scenario and seeking ways to counter it. Accordingly, this paper aims to investigate the employee performance through assessing organizational citizenship behaviour (OCB) among the shop floor employees of the fast-moving consumer goods (FMCG) industry where a high-performance work system (HPWS) has been implemented.Design/methodology/approachA descriptive research design was used in the study, and 395 shop floor employees working in leading multinational firms, with a minimum global turnover of US$1bn, were interviewed. These manufacturing firms were located in three industrial clusters in the northern part of India.FindingsThe results indicate that HPWS influences OCB. Most of the dimensions of HPWS and OCB were found to be positively associated. The findings also disprove the labour process theory in the context of the study.Practical implicationsThe findings report a broad view of the relationship between HPWS and OCB in the Indian manufacturing context. The study offers the practical insights that HPWS is a universally accepted framework and that organizations should focus on the effective implementation of HPWS in a VUCA scenario, which is in line with past studies. The study also provides future directions for research.Originality/valueThis paper has established the relationship between HPWS and OCB in the manufacturing sector, especially for shop floor employees.

USING EMPLOYEE CREATIVITY TO UNPACK THE ‘BLACK BOX’ IN THE HIGH-PERFORMANCE WORK SYSTEM (HPWS)-FIRM PERFORMANCE NEXUS

2019 ◽  
Vol 24 (06) ◽  
pp. 2050052
Author(s):  
ABDUSSALAAM IYANDA ISMAIL ◽  
ABDUL-HALIM ABDUL-MAJID ◽  
ABDULLATEEF AMEEN ◽  
SAQLAIN RAZA ◽  
IYIOLA TOMILAYO AKINDELE
Keyword(s):  
Financial Performance ◽  
High Performance ◽  
Sampling Technique ◽  
Black Box ◽  
Future Research ◽  
Employee Creativity ◽  
Work System ◽  
Mediating Role ◽  
High Performance Work System ◽  
The Relationship

The extant research findings have identified lacunas (i.e. gaps, unresolved issues, and black box) in the High-Performance Work System (HPWS)-Performance relationship and suggested usage of a mechanism (mediator) that can close up the identified lacunas. Thus, this study investigates whether employee creativity can play a mediating role in the relationship between HPWS and firm non-financial performance. The sample size of the study is 518, and respondents were selected through stratified sampling technique. Data were collected from the sampled 518 managers in Nigerian firms. Partial Least Squares (PLS) algorithm and bootstrapping techniques were used for data analysis. The result indicates that employee creativity competitively/partially mediates the relationship between HPWS and non-financial performance. Employee creativity represents an appropriate mechanism to explain the relationship between HPWS and non-financial performance. Hence, the positive indirect effect via the mediator variable (employee creativity) reveals the ‘true’ relationship between HPWS and non-financial performance. This result implies that HPWS may not necessarily enhance non-financial performance. Ill-configured HPWS could jeopardize non-financial performance, but HPWS that stimulates employee creativity would enhance non-financial performance. Lastly, the implications, limitations and suggestions for future research are discussed.

Training transfer climate: examining the role of high performance work system and organizational performance in the power sector of India

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ashutosh Muduli ◽  
Gary N. McLean
Keyword(s):  
Organizational Performance ◽  
High Performance ◽  
Training Transfer ◽  
Power Sector ◽  
Content Type ◽  
Work System ◽  
Managerial Implications ◽  
High Performance Work System ◽  
Transfer Climate

PurposeBenchmarking research has explored the role of organizational practices and business processes rooted with human capabilities for achieving growth performance. The role of high performance work system as an organizational practice and business process is yet to be studied. Even if studied, no study has been conducted on the role of training transfer climate on high performance work system and organizational performance. The current research aims at examining high performance work system on organizational performance. Further, the study also examine training transfer climate as a mediating variable between HPWS and organizational performance.Design/methodology/approachData collected from 415 executives of a high performance-based power sector company of Gujarat, India. The survey instrument consists of high performance work system, training transfer climate and organizational performance. Confirmatory factor analysis was used for a simultaneous assessment of overall and specific elements of measurement validity and reliability. Structural equation modelling used to test the hypothesized model.FindingsThe result proved the capability of high performance work system to predict organizational performance. Further, the result supports the hypothesis that training transfer climate acts as a mediator between high performance work system and organizational performance.Research limitations/implicationsThe result has important theoretical and managerial implications. Theoretically, the research extends the scope of benchmarking to high performance work system. The managerial implications have been discussed from the training transfer climate perspectives.Originality/valueThe originality of the study lies with proving the role of high performance work system and training transfer climate as an organizational practice and business process within benchmarking research.

The role of senior managers’ use of performance measures in the relationship between decentralization and organizational performance

2016 ◽  
Vol 12 (2) ◽  
pp. 129-151 ◽  
Author(s):  
Sirilak Bangchokdee ◽  
Lokman Mia
Keyword(s):  
Decision Making ◽  
Financial Performance ◽  
Organizational Performance ◽  
Performance Measures ◽  
Senior Managers ◽  
Content Type ◽  
General Managers ◽  
Hotel Performance ◽  
Financial Performance Measures ◽  
The Relationship

Purpose This paper aims to examine the role of senior managers’ use of financial and non-financial performance measures in the relationship between decentralization and organizational performance in the hotel industry. Design/methodology/approach Data were collected using a mailed questionnaire. General Managers in charge of medium-to-large hotels in Thailand completed the questionnaire. In total, 131 general managers, one from each hotel, participated in the study. Path analysis technique was used to test the hypotheses. Findings The results indicate that the general managers’ use of financial and non-financial performance measures fully mediates the relationship between the extent of decentralization of decision-making and hotel performance. The results reveal that the decentralization of decision-making alone is not enough to help a hotel improve its performance. Indeed, the relationship between decentralization of decision-making and hotel performance exists only via the general manager’s use of the performance measures. It is contended that a general manager’s use of the performance measures in a hotel encourages department managers to make appropriate decisions to successfully improve their department’s performance which, in turn, leads to increased performance of the hotel. Originality/value This study provides empirical evidence indicating how senior managers in hotels with decentralized decision-making could use performance measures to better manage their hotels, thereby improving the hotel’s performance. An in-depth analysis of the data reveals that the senior manager’s use of the non-financial, and not the financial, performance measures is a mediator of the relationship between decentralization of decision-making and hotel performance.

Exploring the role of employee voice between high-performance work system and organizational innovation in small and medium enterprises

2017 ◽  
Vol 24 (4) ◽  
pp. 670-688 ◽  
Author(s):  
Muhammad Athar Rasheed ◽  
Khuram Shahzad ◽  
Christopher Conroy ◽  
Sajid Nadeem ◽  
Muhammad Usman Siddique
Keyword(s):  
High Performance ◽  
Organizational Innovation ◽  
Small And Medium Enterprises ◽  
Employee Voice ◽  
Content Type ◽  
Work System ◽  
Federal Organization ◽  
High Performance Work System ◽  
Medium Enterprises ◽  
The Relationship

Purpose Employee voice has emerged as a strong predictor of positive organizational outcomes. Grounding the theoretical model in resource-based theory; this study conceptualizes how high-performance work system (HPWS) can enhance organizational innovation of small and medium enterprises (SMEs) through voice behaviors. Specifically, the purpose of this paper is to empirically test if employee voice mediates the relationship between HPWS and organizational innovation. Design/methodology/approach This study used a quantitative strategy and cross-sectional survey method for the collection of data from SMEs operating in Pakistan. A list of SMEs was obtained from the federal government organization responsible for the development of SMEs in Pakistan. A self-administered structured questionnaire was distributed and 239 randomly selected SMEs responded to the survey. Findings Findings confirmed the conceptualized model and revealed that HPWS was significantly and positively related to employee voice and organizational innovation. Employee voice was found as a significant predictor of organizational innovation and mediating factor in the relationship between HPWS and organizational innovation. Research limitations/implications This study is limited in terms of variables included in the conceptual model and relatively small size of the sample that was derived from a single federal organization. More variables and SMEs can be included in future studies to get broader results and, potentially, better findings. Practical implications SME managers/owners can design HR function in such a way that employees will be encouraged to raise their voice and participate more in the organization. Scholars should study voice behaviors distinct from citizenship behaviors. Originality/value This study is the first of its kind to conceptualize the relationship between HPWS, employee voice, and organizational innovation in SMEs of Pakistan.

“It's the work climate that keeps me here”: the interplay between the HRM process and emergent factors in the construction of employee experiences

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Maarit Laiho ◽  
Essi Saru ◽  
Hannele Seeck
Keyword(s):  
High Performance ◽  
Design Methodology ◽  
Qualitative Interview ◽  
Employee Perceptions ◽  
Content Type ◽  
Systematic Data ◽  
High Performance Work System ◽  
Employee Experience ◽  
The Relationship ◽  
Shed Light

PurposeThe purpose of this paper is to explore the interplay between human resource management (HRM) and emergent factors in constructing a strong HRM climate. Specifically, the paper aims to shed light on how employee perceptions of the HRM process and emergent factors together construct a strong HRM climate, i.e. employees' shared perceptions of HRM.Design/methodology/approachThe paper uses qualitative interview data (managers and employees) from two organisations operating in Finland. The data are analysed based on a systematic data analysis and gives an illustration of the interplay between high-performance work system and the emergent factors.FindingsThe findings illustrate the three types of interplay between HPWS and emergent factors – supplementation, substitution and suffocation – that construct employee experience.Originality/valueThe paper extends earlier discussions on the relationship between HRM and employee experience by empirically examining how the HRM process – together with emergent factors – constructs a strong HRM climate. The present study contributes to further theorising and increasing our understanding of the creation of employee experience.

scholarly journals The Implementation of High Performance Work System in Public Organizations: Implication for Organizational Performance.

2015 ◽  
Vol 11 (28) ◽  
pp. 139
Author(s):  
Solomon Ozemoyah Ugheoke
Keyword(s):  
Organizational Performance ◽  
High Performance ◽  
Positive Relationship ◽  
Public Organizations ◽  
Training And Development ◽  
Three Dimensions ◽  
The Public ◽  
Work System ◽  
High Performance Work System ◽  
Individual Role

<p>Abstract</p> <p>A principal concern express among organizational researchers is to understand why some organizations irrespective of size, location and sector outperform others. High performance work system (HPWS) offers an explanation for this phenomenon. The implementation of unique practices leads some organizations to outperform others and give organizations the competitive advantage over others. While it has been well established that HPWS practices affect organizational performance within a large and complex organizations, less have been empirically established if they also create benefit for public organizations and this has generated concerns among researchers in the field of HPWS.  Following this argument, this study examines this theoretical gap with a survey data collected from employees in the public sector. Overall, three dimensions of HPWS were identified by the researchers and the level of awareness was assessed on a seven point Likert scale. We found that two out of the three dimensions of HPWS identified in this have a positive relationship with organizational performance.</p> <p>Keywords: HPWS, organizational performance, selective training and development, PMS, individual role.</p> <p> </p>

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