Publisher's Synopsis
The literature evidence suggests various forms of linkage between practices of strategic human resource management and measures of organizational performance. Despite several studies from around the world, there appears to be limited evidence on linking strategic human resource management with organizational performance in Indian context. Though there has been empirical validation of the aggregate influence of practices of strategic human resource management on organizational performance, the influence of each variable measuring the major practice of strategic human resource management on organizational performance has not been tested in a comprehensive manner. Presence or absence of strategic human resource management practices has been measured from perspective of HR managers. The current study also captures perceptive of line managers vis a vis strategic human resource management practices. Even as Indian companies are becoming more attuned to strategic human resource management practices, an empirical investigation to explore linkages to organizational performance was deemed be relevant to emerging research literature.
This book is based on a study whose objective was to empirically validate the relationship between Strategic Human Resource Management (SHRM) and Organizational Performance (OP). The study also included the objective of developing and testing conceptual model highlighting the relationship between strategic human resource management (SHRM) and organizational performance (OP).The findings suggests that HR processes, performance appraisals, training and compensation practices influence revenue, return on investment, market cap and net profit. It is pertinent to suggests that there is significant relationship between strategic human resource management and organizational performance. The study also highlights the influence of organizational performance on strategic human resource management. Though the study found a significant relationship between strategic human resource management practices and organizational performance and vice - versa, the direction of the relationship is unknown i.e. whether organizations strategic in human resource management perform better or high performing organizations choose to invest in strategic practices of human resource management. It can be concluded that perhaps the role of human resource management in the Indian context appears to be strategic enough to influence organizational performance. It also throws light on the acceptance of HR as strategic business partner assuming to act as a source for organizations to attain sustainable competitive advantage. The presence of certain practices of strategic human resource management is expected to ensure high organizational performance.
