The Role of Strategic HR Practices in Organisational Effectiveness: An Empirical Investigation in the Country of Jordan

Darwish, Tamer K ORCID: 0000-0003-1815-9338, Singh, Satwinder and Mohamed, A Fattaah (2013) The Role of Strategic HR Practices in Organisational Effectiveness: An Empirical Investigation in the Country of Jordan. International Journal of Human Resource Management, 24 (17). pp. 3343-3362. doi:10.1080/09585192.2013.775174

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This study responds to the call of researchers, and is conducted in a non-western context in the country of Jordan. The study contributes to our understanding of human resource (HR) practices' impact on organisational effectiveness. The empirical analysis is based on theoretical prepositions that motivated employees through good HR practices stay longer and contribute positively to the overall financial performance of organisations. Rigorous statistical testing of the data on the population of financial firms shows that careful recruitment and selection, training and internal career opportunities have a positive impact on reducing employee turnover. Training, in particular, is found to have a strong positive impact on financial performance measured by return on assets and return on equity. Furthermore, the findings provide strong support for the direct approach in strategic HR management–performance research that a group of best HR practices will continuously and directly generate superior performance. Despite such compelling arguments, however, we did not find evidence to support the notion that a bundle of HR practices impact better on financial performance than individual HR practices. It is possible that the optimal configuration may not only be contingent on national context, but could be due to the sector and the specific characteristics of the firm.

Item Type: Article
Article Type: Article
Additional Information: Published online: 14 Mar 2013
Subjects: H Social Sciences > HF Commerce > HF5001 Business > HF5549 Personnel management. Employment management
Divisions: Schools and Research Institutes > School of Business, Computing and Social Sciences
Research Priority Areas: Applied Business & Technology
Depositing User: Tamer Darwish
Date Deposited: 18 Jan 2016 11:45
Last Modified: 05 Aug 2023 12:59

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