Differentiation strategy,high-performance human resource practices,and firm performance: moderation by employee commitment

Drawing on the inducement–contribution perspective, we examined a moderated mediation model demonstrating how differentiation strategy affected firm performance indirectly through high-performance human resource (HPHR) practices. Data were collected from 81 service firms in an eastern province of China. Path analytic tests supported the findings that employee commitment (EC) moderated the fully mediated relationship between differentiation strategy and firm performance through HPHR practices. Specifically, a stronger EC enhanced positive associations between differentiation strategy and HPHR practices, and between HPHR practices and firm performance.     

High‐commitment human resource practices and employee outcomes: The contingent role of organisational identification

In this paper, we examine whether the relationship between high‐commitment human resource (HR) practices and two employee outcomes, quit intentions and organisational citizenship behaviours (OCBs), is contingent on organisational identification. Incorporating insights from both social exchange and social identity theories, we propose that the relationship between high‐commitment HR systems, intention to quit, and OCBs is attenuated when employees strongly identify with their organisation. This proposition was tested and supported with employees of a Swedish relocation company and a Greek shipping organisation. For high identifiers, as perceptions of HR practices deteriorated from high to low, they were associated with smaller increases in quit intentions and smaller decreases in citizenship behaviours. But overall, high identifiers always had lower quit intentions and higher citizenship behaviours than low identifiers, which is managerially reassuring.     

HR practices and commitment to change: an employee‐level analysis

This article explores the relationship between HR practices and commitment to change in three health service organisations in Ireland. The research focuses on employee views of HR practices and resulting employee‐level consequences including commitment to change, perceptions of the industrial relations climate and the psychological contract, and work–life balance. The findings indicate that the HR practices valued by employees, and which are related to a range of employee‐related consequences, are very different from the lists of sophisticated HR practices that appear in the high performance literature. The research suggests that organisations need to ensure that attention is still paid to the basics of the employment relationship and that these are not lost in the rush to introduce more sophisticated approaches to managing employees.     

Discretionary and transactional human resource practices and employee outcomes: The role of perceived organizational support

Utilizing perceived organizational support (POS) as the mechanism linking HR practices to employee behaviors in the workplace, we examine a broad set of HR practices in order to understand the relative importance of each HR practice (i.e., those that explain incremental variance over other practices) in influencing employee behaviors. We differentiate between discretionary and transactional HR practices to test the discretionary investment requisite of POS theory. The results show that of the eight discretionary practices, only participation and decision making directly influenced the extra‐role behaviors that employees exhibit, and only training and development directly impacted the customer‐oriented behaviors. Furthermore, one of the transactional HR practices was found to have a direct effect on organizational citizenship behavior. Our findings indicate that the performance management process, promotional opportunities, participation, and involvement in decision making affect how employees behave toward the customer and the extra‐role behaviors they exhibit. Furthermore, this occurs through the view employees develop of the organization as a place to work. That is, these four HR practices demonstrate to employees that they are valued, and, in turn, this feeling of being appreciated impacts their commitment to delivering high‐quality service to the customer and going beyond their job responsibilities. Implications for research and practice are discussed. © 2012 Wiley Periodicals, Inc.     

Exploring alternative relationships between perceived investment in employee development,perceived supervisor support and employee outcomes

The purpose of this study was to explore alternative relationships between perceived investment in employee development (PIED), perceived supervisor support (PSS), and employee outcomes in the form of attitudes (affective commitment and turnover intention) and work performance (work effort, work quality and organisational citizenship behaviour). A cross-sectional survey among 331 employees from a Norwegian telecommunications organisation showed that the relationship between PSS and employee attitudes was partially mediated by PIED. In addition, PSS was found to moderate the relationship between PIED and three self-report measures of work performance. The form of the moderation revealed a positive relationship only for high levels of PSS. These findings suggest that line managers are of vital importance in implementing developmental HR practices, either because they influence how such practices are perceived by employees, which, in turn, affects employee attitudes, or because positive experiences with both line managers and HR practices seem to be needed in order for developmental HR practices to positively influence employee performance.     

Training investment and organizational outcomes: a moderated mediation model of employee outcomes and strategic orientation of the HR function

Using a predictive research design with data collected at three different time points over a four-year period from 277 firms in South Korea, we investigated how and when investment in employee training leads to improved organizational outcomes. The results showed that employee commitment and competence mediated the relationship between training investment and organizational outcomes. The moderated mediation analyses further revealed that the mediated relationship between training investment and organizational outcomes via employee commitment and competence was stronger when the human resources (HR) function within an organization was highly strategically oriented. Based on the results, implications for strategic HR research and practice were provided.     

Workplace bullying and employee outcomes: a moderated mediated model

Abstract

This paper investigates the relationship between workplace bullying and employee outcomes in a healthcare setting. Drawing on HR process theory, we investigate the mediating role of the perceived effectiveness of implementation of anti-bullying practices on employee outcomes and whether targeted line manager training was a moderator of that relationship. Our multi-level analysis (utilising responses from 1507 employees within 47 hospitals with matched HR Director interviews), finds that the relationship between workplace bullying and employee outcomes is partially mediated by employees’ perceived effective implementation of intended anti-bully practices. The mediated relationship is moderated by targeted line manager training in anti-bullying practices. The mediated moderation model illustrates that it is effective implementation of anti-bullying practices enhanced by targeted training that is required to reduce bullying probabilities and their associated negative employee outcomes. The paper contributes to resource based view of the firm, HR process and human capital theories. The implications for future research and practice are discussed.     

Strategic HR system differentiation between jobs: The effects on firm performance and employee outcomes

The purpose of this research was to understand whether firms apply different human resource management systems to different occupations within the same organization (HR differentiation) and how the extent to which they do so may influence firm and employee outcomes. We conducted two studies pertaining to these questions. The first study was based on data collected from managers, and the results suggest that firms differentiate their HR investments based on the strategic value of occupations to the firm, which was further associated with the human capital of those occupations. Differentiation in human capital was also associated with firm performance. The second study was based on data obtained from nonmanagement employees. The findings indicated that employees who were recipients of less HR system investment had lower fairness perceptions, which were further associated with higher turnover intentions and lower organizational citizenship behavior. Although the evidence from these studies suggests that firms may realize benefits from strategic HR system differentiation, managers should carefully consider how to balance the effects of differentiation on firm performance and employee well‐being before implementing such systems.     

Where hukou status matters: analyzing the linkage between supervisor perceptions of HR practices and employee work engagement

This paper highlights the interaction between intended human resource (HR) practices as perceived by supervisors and status similarity between supervisors and employees as a key source of variation in employee work engagement among 298 employees reporting to 54 supervisors at a luxury Chinese hotel. Using a multi-level, process-oriented approach to examine the relationship between intended HR practices by supervisors and engagement as perceived by employees, we show (1) that the interaction of supervisor perceptions of HR practices and supervisor–subordinate hukou (place of origin) status similarity is positively related to employee reports of Leader–member exchange (LMX), HR practices and work engagement; (2) that the interaction of supervisor perceptions of HR practices and hukou status similarity influences employee perceptions of HR practices through LMX; and (3) that the interaction of supervisor perceptions of HR practices and hukou status similarity influences work engagement through employee perceptions of LMX and HR practices. Theoretical and practical implications are discussed.     

Human resource management systems,employee well-being,and firm performance from the mutual gains and critical perspectives: The well-being paradox

In this study, we explored the additive, interactive, and nonlinear relationships among human resource management (HRM) systems, employee well-being, and firm performance. Based on a sample of 14,384 employees nested within 1,347 firms, we obtained three main findings. First, HRM systems yield a performance effect that exceeds the effect of single practice, suggesting positive synergies among HRM practices. Second, the opportunity bundle has a positive impact on firm performance, but when integrating it with skills and motivation bundles, the result becomes negative, indicating dis-synergy of interactions among HRM bundles. Third, at moderate levels of adoption, HRM practices are positively correlated with employee well-being and higher levels of commitment, job satisfaction, and management relations, as well as lower levels of anxiety. However, at high levels, the relationship is less positive and even turns negative with lower levels of job satisfaction and management relations. To close, we present research implications and future directions after discussing our results.     

How the impact of HR practices on employee well‐being and performance changes with age

With changing retirement ages and an aging workforce, interest is growing on the potential contribution of relevant bundles of HR practices in eliciting well‐being and performance among aging workers. Drawing on theories on lifespan development and self‐regulation, we distinguished two bundles of HR practices: development HR practices that help individual workers reach higher levels of functioning (e.g. training), and maintenance HR practices that help individual workers maintain their current levels of functioning in the face of new challenges (e.g. performance appraisal). Further, based on lifespan theories, we expected and found that the association between development HR practices and well‐being (i.e. job satisfaction, organisational commitment and organisational fairness) weakens, and that the associations between maintenance HR practices and well‐being, and between development HR practices and employee performance, strengthen with age. In addition, a third bundle of ‘job enrichment’ HR practices emerged that elicited higher job performance among aging workers.     

The role of employee HR attributions in the relationship between high‐performance work systems and employee outcomes

Although research has shown that the use of high‐performance work systems (HPWS) is associated with employee outcomes, our knowledge of the meanings employees attach to HPWS systems and how these shape employee outcomes is still limited. This study examines the signalling impact of enacted HPWS on HR well‐being and HR performance attributions, and how these influence happiness‐ and health‐related outcomes. Using multilevel data (1,065 employees nested within 150 work units) obtained from multiple sources (line managers and employees), our results show that coverage of HPWS was positively associated with the two HR attributions. In addition, HR well‐being attributions were associated with higher levels of commitment and lower levels of job strain. HR performance attributions were associated with higher levels of job strain. The findings of this study highlight the importance of taking into account how employees attach meaning to enacted HPWS in order to predict employee outcomes.     

Well‐being‐oriented human resource management practices and employee performance in the Chinese banking sector: The role of social climate and resilience

Drawing upon positive psychology and a social relational perspective, this article examines the relationship between well‐being‐oriented human resource management (HRM) practices and employee performance. Our multilevel model examines relationships among collectively experienced well‐being‐oriented HRM practices, social climate (characterized by trust, cooperation, and shared codes and language that exist among individuals within the organization), employee resilience, and employee (in‐role) performance. Based on the two‐wave data obtained from 561 employees and their managers within 62 bank branches in 16 Chinese banks, our multilevel analyses provide support for our four hypotheses. First, we found a positive relationship between well‐being‐oriented HRM practices and social climate. Second, social climate mediated the relationship between well‐being‐oriented HRM practices and employee resilience. Third, we found a positive relationship between resilience and employee performance. Finally, employee resilience mediated the relationship between social climate and employee performance. This study is one of the first to unpack the social mechanisms through which well‐being‐oriented HRM practices increase development of resilience and subsequent employee performance at the workplace, namely through influencing group feelings of social climate.     

Revitalizing social dialogue in the workplace: the impact of a cooperative industrial relations climate and sustainable HR practices on reducing employee harm

Abstract

The purpose of the present study is to unravel the relationship between current forms and realities of social dialogue in the workplace, the industrial relations climate, HRM, and employee harm. We tested a model specifying associations between (1) indicators of revitalized social dialogue, (2) perceived cooperation within the industrial relations climate, (3) perceived sustainability in HR practices, and (4) management perceptions regarding employee harm. The test was based on a survey conducted among 356 (HR-)managers and CEOs in Belgium. The results support the idea that a cooperative industrial relations climate and sustainable HR practices can reduce employee harm. More specifically, efficiency in social dialogue fully mediated the relationship between cooperative industrial climate and employee harm. In turn, industrial relations climate partially mediated the relationship between sustainable HR practices and employee harm. Finally, sustainable HR practices correlated positively with a cooperative industrial relations climate, suggesting that HR and employee relations reinforce rather than weaken each other.     

Looking beyond HRM practices in enhancing employee retention in BPOs: focus on employee–organisation value fit

This paper argues that the effectiveness of HRM practices in tackling employee retention can be enhanced by improving the compatibility between employee and organisational values. We test our hypothesis using structural equation modelling on a sample of 258 employees in business process outsourcing (BPO) firms in the Philippines. The results show that the fit between employee and organisation values positively and partially mediates the effects of HRM practices on employee retention. However, employee–organisation value clash in US-owned BPOs was found to have a negative effect on employee retention. Because employees are less likely to leave when they share similar values as their organisations, HRM practices can be used strategically to improve the employee–organisation value fit to improve retention. The implications of the findings for HR managers of BPOs in developing countries are fully discussed.     

Expanding the concept of fit in strategic human resource management: An examination of the relationship between human resource practices and charismatic leadership on organizational outcomes

We investigate the relationship between high‐commitment human resources (HCHR) practices and chief executive officer (CEO) charismatic leadership on voluntary employee turnover and relative performance to peers in a sample of 281 small firms. In this study, we expand upon prior conceptualizations of fit within the literature on strategic human resources (HR) to include the fit of HCHR with other aspects of the people management system. Specifically, we hypothesize a variety of relationships that may occur (e.g., positive synergistic, deadly combination, or substitution) and find that when a firm uses a system of HCHR practices and has a charismatic leader, performance is highest and turnover lowest. Conversely, when a firm does not invest in either, performance is lowest and turnover highest. We also found some support for a substitution effect as our data showed that when there is a mismatch between a firm's HR system and the leadership characteristics of the CEO, turnover is higher and performance lower than the high‐investment people management system (high HCHR and high‐charismatic leadership), but turnover is lower and performance higher than the low‐investment (low HCHR and low‐charismatic leadership) people management system.     

The role of strategic HR practices in organisational effectiveness: an empirical investigation in the country of Jordan

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.     

The role of HR practices in developing employee resilience: a case study from the Pakistani telecommunications sector

Abstract

There has been increasing interest in understanding the factors that contribute to the development of employee resilience. Despite such interest, there is a dearth of research examining the contributory role played by HR practices in enhancing employee resilience. Looking at the context of Pakistan’s telecommunications sector and deploying a qualitative methodology, this paper examines the impact of HR practices on employee resilience. The findings indicate that four key areas of HR practices – job design, information sharing and flow within an organisation, employee benefits (monetary as well as non-monetary), and employee development opportunities – enable the development of employee resilience. Consequently, the effective implementation of HR practices in these areas has been the key factor for the development of employee resilience.     

HR practices,organizational climate and employee outcomes: evaluating social exchange relationships in local government

This paper reports the findings of a study conducted on UK local government workers in which the effects of social and negative exchanges on work-related attitudes and behaviours were assessed. HR practices and organizational climate were used as measures of social exchange. Negative exchanges were based on measures capturing non-supportive management practice and unfair treatment. The findings suggest that, consistent with social exchange theory, positive exchanges lead to enhanced worker attitude and behaviour, with negative exchanges leading to increased work-related stress, reduced motivation and a greater propensity to quit. Negative exchanges, however, did not result in reduced discretionary behaviour. Disaggregating the exchange practices revealed equitable rewards and organizational morale had consistent effects on worker attitudes and behaviours, with team working, employee involvement and trust in managers having significant effects on employee motivation. The implications of these findings are considered in the concluding section of the paper.     

A multilevel analysis of the effects of HR diversity management on employee knowledge sharing: the case of Chinese employees

This study explored the effects of human resource diversity management on employee knowledge sharing and the mediating and moderating variables underlying this link, among Chinese employees. Multilevel analyses of the data from 716 respondents in 37 firms revealed that organizational-level HR diversity management practices explained significant variance in employee knowledge sharing. The relationship between HR diversity management and knowledge sharing was fully mediated by employee trust in the organization. Moreover, cooperative norms moderated the second stage of the mediation, which is the relationship between trust in the organization and knowledge sharing. The findings of this research provide important insights into the relationship between HR diversity management and employee work outcomes.