The Relationship between HR Practices and the Employee Perceived Performance in Various
Organizations across the Globe
Problem Statement
Outstanding performance among employees plays an imperative role in promoting
overall profitability of an organization and can be considered the ultimate HR goal, but many
organizations fail to take note of this fact (Mathis, 2011). Preceding studies indicate that
employees working where there are effective practices are over 60% more likely to perform
better than where there are poor practices (Nadarajaha, 2012). The general business problem
is that HR practices have a fundamental influence on perceived employee performance in
organizations across the globe. The specific problem is that a majority of organizations do not
place adequate value on developing strategic HR practices to enhance perceived employee
performance; something that could adversely affect their financial bottom lines.
Purpose Statement
The purpose of this mixed study is to establish the interrelation between HR practices
and perceived employee performance. The study will target HR managers in Colorado, with
the aim of providing valuable information regarding HR practices. The independent variables
are organizational HR practices, a) recruitment practices, b) compensation and benefits, c)
employee relations, d) training and development, e) performance appraisals, f) employee
motivation (recognition, rewards and incentives), and g) HR systems development. The
dependent variable is employee perceived performance. Social change implications
associated with the research include enhanced psychosocial well-being of employees when
organizations adopt friendly HR practices and better quality products and services for
customers following improved employee performance. The research design that would be
used is correlational design. The rationale for using this research design is that unlike other
designs, this would allow the researcher to effectively establish the correlation between HR
practices and perceived employee performance in the selected organizations. With regard to
social change, the findings of this study will benefit HR managers. The findings would
provide crucial information about HR practices and how they affect perceived performance of
workers. By following recommendations from this research, HR managers would be able to
improve their HR practices to enhance perceived employee performance in their
organizations.
Nature of the Study
This would be a mixed research study in which the researcher will combine aspects of
both qualitative and quantitative research methodologies. The mixed research methodology
will allow the researcher to look into the phenomena with the use of statistically-based
techniques for which the variables are identified clearly (Tuohy, Stephens & Johnston, 2014).
Grounded on an interpretivist paradigm, qualitative study has the primary role of deriving
exploratory perspectives in understanding phenomena, motivations, reasons and opinions of
participants, and is mostly used in social research (Tuohy, Stephens & Johnston, 2014). This
research will partly take on a qualitative study approach, with the objective of determining
how employees perceive various HR practices and how these affect their overall
performance. Quantitative research makes use of inferential statistics in deriving meanings
from data collected (Yilmaz, 2013). The quantitative aspect will entail formulating a
quantitative research question and hypotheses.
The research design that would be utilized is correlational research design. This is a
quantitative research design and is suitable for the present study since the study adopts a
mixed design. The correlation design would be employed since unlike other research designs,
this would allow the researcher to effectively determine the relationship between HR
practices and perceived employee performance.
Research question
How do HR practices of recruitment practices, compensation and benefits, employee
relations, training and development, performance appraisals, employee motivation,
and HR systems development interrelate with employee perceived performance in
organizations across the globe?
Hypotheses
Null hypothesis (H 0 ): There is no statistically significant relationship between
organizational HR practices of recruitment practices, compensation and benefits, employee
relations, training and development, performance appraisals, employee motivation and HR
systems development, and employee perceived performance in organizations across the
globe.
Alternative hypothesis (H 1 ): There exists a statistically significant relationship
between organizational HR practices, recruitment practices, compensation and benefits,
employee relations, training and development, performance appraisals, employee motivation,
and HR systems development, and employee perceived performance in organizations across
the globe.
Theoretical/Conceptual Framework
The Herzberg theory (1966) is proposed as the primary element of employee
satisfaction and performance. This theory postulates that employees’ satisfaction is based on
two factors namely: hygiene factors and motivational factors. Hygiene factors refer to the
maintenance factors, which do not necessarily induce motivation, while motivational factors
(satisfiers) are known to influence performance (Mathis, 2011). These can be classified as
shown in the diagram below:
It is notable that the organization’s policy and administration, which also involves HR
is classified as a hygiene factor; while a majority of the satisfiers are a role of the HR.
Therefore, better HR practices are likely to result in greater motivation and better
performance among employees.
Based on previous studies, it is notable that HR Practices influence the performance
of employees to a great extent and this can be demonstrated by the schematic diagram below
showing the conceptual framework to be used in the study.
Campbell Theory of Work Performance
This theory would also be used. This model of job performance was conceptualized
by John P. Campbell. Work performance essentially evaluates whether or not a worker
carries out his/her work well. According to John Campbell, work performance is an
individual-level variable; that is, it is something that is done by one person. This distinguishes
it from more broad constructs for instance organizational performance which is a higher-level
variable (Campbell et al., 2011). As per this theory, performance is defined as behavior –
something that a worker does. Outcomes partly arise out of the performance of an employee.
Moreover, job performance is goal relevant. Performance of an employee on the job has to be
directed towards the goals of the organization which are pertinent to the role or job
(Campbell et al., 2011).
Significance of the study
Contemporary organizations are faced with the new epitome of the need to uphold
effective HR practices for exceptional organizational performance. Furthermore, HR has
become an important contributor to organizational strategy. In this relation, HR must
continuously identify best practices that will enhance perceived performance among
employees in order to promote the overall organization’s performance. This research is of
great significance to HR managers across the globe as it promises to provide valuable
information about HR practices and how they affect perceived performance of workers. By
following recommendations from this research, which will be based on real-life experiences,
HR managers can improve their HR practices to enhance perceived employee performance.
References
Campbell, J. P., McCloy, R. A., Oppler, S. H., & Sager, C. E. (2012). A theory of
performance: In N. Schmitt & W. C. Borman (Eds.), Personnel Selection in
Organizations (pp. 35-70). San Francisco: Jossey-Bass.
Mathis, R. L., & Jackson, J. H. (2011). Human resource management: Essential perspectives.
Boston, CA: Cengage Learning.
Mudor, H. & Tooksoon, P. (2011). Conceptual framework on the relationship between
human resource management practices, job satisfaction, and turnover. Journal of
Economics and Behavioral Studies, 2:(2), 41-49.
Nadarajah, S. (2012). The relationship of HR practices and capitalization errors job
performance of academicians towards career development in Malaysian private
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Tuohy, R., Stephens, C., & Johnston, D. (2014). Qualitative research can improve
understandings about disaster preparedness for independent older adults in the
community. Disaster Prevention & Management, 23(3), 296-308.
Yilmaz, K. (2013). Comparison of capitalization errors quantitative and qualitative research
traditions: Epistemological, theoretical, and methodological differences. European
Journal Of Education, 48(2), 311-325.