The impact of HR Practices on Employee Performance/Satisfaction
We hear statements such as “Happy
employees are the Potentials employees.” “Happy employees are always productive
employees.” from HR professionals, practitioners, and managers in organizations.
HR Practices can influence the job performance at work immensely. The best HR
Practices can lead to better performance with high output eventually leading to
profitable business. The modern HR Practices should be implemented to sustain
the competitive advantage in the ever-changing environment.
Following HR Practices has an
impact on Employee Performance
Figure 1. HR Practices & Employee Performance
Performance Appraisal
Performance appraisal is a tool
to measure the employee performance against the KPI’s set for the individuals.
A good performance appraisal will lead employee to identify their strengths and
weakness. Periodic appraisal process is a way of evaluating the employees of
the Organization.
According
to Muczyk & Gable (1987) “Performance Appraisal has been
considered as the most significant an indispensable tool for an organization,
for the information and outcomes it provides is highly useful in making
decisions regarding various personnel aspects such as promotion criteria and
performance measurement and awarded in long way and merit increases”.
 |
| Figure 2. Performance Appraisal |
Job Satisfaction &
Employee Turnover
Job satisfaction is a
pre-requisite for employee performance, unsatisfied employee will not give 100%
of effort at the job. Jobs satisfaction provides energy to go extra mile at
work. Job Satisfaction has direct impact on Employee Turnover.
Training & Motivation
Training is utmost important tool
of HR practice at present era. Training plays a major role in Employee
motivation. Employer should identify the training needs of employee and train
them to attain necessary skills and knowledge to perform better.
Teamwork
Teamwork is an essential part of
a Business that drives the employees for better performance. To achieve the
Organizational goals team is imperative. To create a team working environment Organizations
should engage in team building activates such as out-bond training, team
outings etc.
Employee Participation
Employee Participation is
Involving employees in discussions meetings and decision-making process, rather
than getting the work done by employees. Leadership style will play a major
role in employee participation. A democratic leader through participation and
empowerment motivates the individuals and the team by directing them and
guiding with flexibility. (Sharma & Singh, 2013)
Compensation & Rewards
Job rewards may determine the job
satisfaction.
References
Clifford, J.
Mottaz, 1985. THE RELATIVE IMPORTANCE OF INTRINSIC AND EXTRINSIC REWARDS AS
DETERMINANTS OF WORK SATISFACTION. The Sociologid Quarterly, 26(3), pp.
365-385.
Muczyk, J. P. & Gable,
M., 1987. Managing sales performance through a comprehensive performance
appraisal system. Journal of Personal Selling and Sales Management, 7(1),
pp. 41-52.
Nabi, M. N., Syduzzaman, M.
& Munir, M. S., 2016. The Impact of Human Resource Management Practices
onJob Performances. Human Resource Management Research, 6(2), pp.
45-54.
Sharma, J. K.
& Singh, K., 2013. A Study on the Democratic Style of Leadership. International
Journal of Management & Information Technology, 3(2), pp. 55-56.
When HR builds the foundation and guidance for managing the company’s employees, employee performance can be very effective. Ultimately it leads to organizational success. you have explained in detail impacts of HR practices in this article good one
ReplyDeleteGood article, all the above mentioned are crucial for a productive organization. Great
ReplyDeleteThe human resource department is the department that is mainly responsible in managing the performance of the employees of the organization. This article clearly shows the importance of good HR practices in improving the employee performance and productivity as well as increasing the employee satisfaction level. Great article.
ReplyDeleteMaking employees satisfied is the most successful way to achieve organizational goals and objectives. Satisfied employee is an asset to the institute. good luck
ReplyDeleteYou have clearly written on the HR practices and it gives a clear picture on HR and how it works in an organisation. Also employee's motivation is an important factor and it needs to be kept positive in order bring the best outcome from your staff
ReplyDeleteHR must obtain data and analyze and report to Management that gives the direction of value-adding and managing people. Good article.
ReplyDelete