The Effect of High-Performance Work Practices on Organizational Performance: The Mediating Role of E-Human Resource Management
Subject Areas : Human resources management)Maryam Ahmadi Zahrani 1 , Saeid Saida Ardekani 2 , Hamidreza Salmani Khajoei 3
1 - Assistant Professor, Department of Economics, Management and Accounting, Yazd University, Yazd, Iran.
2 - Professor of Management, Department of Economics, Management and Accounting, Yazd University, Yazd, Iran.
3 - Master of Science Graduat, Department of Management, Khorasgan Branch Islamic Azad University, Esfahan, Iran.
Keywords: Organizational Performance, E-HRM, high performance work practices,
Abstract :
The purpose of this study was to investigate the effect of high-performance work practices on organizational performance of Companies located in Jey Industrial City, Isfahan with regard to the mediating role of E-human resource management. The research population comprised all managers and employees working in human resource management sectors of the target companies from whom a convenience sample of 342 participants was selected based on structural equation principles. The research data were collected employing the High-Performance Workplace Questionnaire (Flood et al., 2008) with 9 items, the Organizational Performance Questionnaire (Katkar & Satt, 2009), with 5 items, and Electronic Human Resource Management Questionnaire (Hooi, 2006), with 9 items. The Cronbach's alpha measures of the the questionnaires were calculated and found to be 0.882, 0.823 and 0.823, respectively. Sstructural Equation Modeling (SEM) was utilized to test the research hypotheses using PLS software. The findings confirmed that organizational performance of Jay Industrial City companies was significantly and positively influenced by high-performance work practices and E-human resource management, however, E-human resource management did not significantly mediate relationship between high-performance work practices and organizational performance.
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Bondarouk, T. V. and Ruël, H. J. M. (2009). Electronic Human Resource Management: challenges in the digital era. The International Journal of Human Resource Management, 20 (3): 505 - 514.
Bontis, N. (2012). National intellectual capital index. A United Nations initiative for the Arab region. Journal of Intellectual Capital, 5 )1(: 13-39.
Boselie, P, Dietz, G & Boon, C. (2005). Commonalities and contradictions in HRM and performance research. Human Resource Management Journal, 15(3), 67-94.
Boxall, P. & Macky, K. (2009). Research and theory on high-performance work systems: progressing the high involvement stream. Human Resource Management Journal, 19 (1): 3-23.
Eydi, M. & Pishvaeian, P. (2016). Implementation of Electronic Human Resources Management System in Police Organization (Opportunities and Challenges), 5 (18): 99-112.
Flood, P, Mkamwa, T, O`Regan, C, Guthrie, J, Liu, W, Armstrong, C & MacCurtain, S. (2008). New Models of High Performance Work System: the business case for strategic HRM, partnership and diversity and equality system, National Centre for Partnership and Performance, 1-52.
Fornell, C., &Larcker, D. F. (1981). Evaluating Structural Equation Models with Unobservable Variables and Measurement Error. Journal of Marketing Research, 18(1): 39-50.
Guthrie, J. P. (2001). High involvement work practices, turnover and productivity: Evidence from New Zealand. Academy of Management Journal, 44(1), 180-190.
Guthrie, J. P., Flood, P. C., Liu, W., & MacCurtain, S. (2009). High performance work systems in Ireland: Employee and organizational outcomes. International Journal of Human Resource Management, 20 (1): 112- 125.
Henseler , J., Ringle, Ch. M. & Sarstedt, M. (2012). Using Partial Least Squares Path Modeling in International Advertising Research: Basic Concepts and Recent Issues. Handbook of research on international advertising, Published by Edward Elgar Publishing Limited, 1-543.
Hooi, L.W. (2006). Implementing e-HRM: The readiness of small and
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Huselid, M. A. 1995. The impact of human resource management practices on turnover, productivity, and corporate financial performance. Academy of Management Journal, 38(3), 635-672.
Ketkar, S. and P.K. Sett. (2009), HR flexibility and firm performance: Analysis of a multilevel causal model. International Journal of Human Resource Management, 20(5), 1009-1038.
Lepak, D. P., & Snell, S. A. (2002). Examining the human resource architecture: The relationships among human capital, employment, and human resource configurations. Journal of Management, 28(17), 517–543.
Lepak, D. P., Liao, H. Chung, Y., & Harden, E. E. (2006). A conceptual review of human resource management systems in strategic human resource management research. Research in Personnel and Human Resource Management, 25: 217-271.
MacDuffie, J. (1995). Human Resource bundles and manufacturing performance: Organizational logic and flexible production systems in the world auto industry. Industrial and Labor Relations Review, 48(2),197-221.
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Martin-Tapia, I, Aragon-Correa, A & Guthrie, J. (2009). High Performance Work System and Export Performance. The International Journal of Human Resource Management, 20(3), 633-653.
Medori, D. & Steeple, D. (2011). A Framework for Auditing and Enhancing performance Measurement systems. International Journal of Operations & Production Management, 20 (5): 520-33.
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Obeidat, SH. M. (2017). An examination of the moderating effect of electronic-HRM on High Performance Work Practices and organizational performance link. Evidence-based HRM: a Global Forum for Empirical Scholarship, 5(2), 222-241.
Parry, E. (2011). An examination of e-HRM as a means to increase the value of the HR function. The International Journal of Human Resource Management, 22)5(: 1146-1162.
Pittino, D.; Visintin, F.; Lenger, T. & Sternad, D. (2016). Are high performance work practices really necessary in family SMEs? An analysis of the impact on employee retention. Journal of Family Business Strategy, 7(2): 75-89.
Rabl, T., Jayasinghe, M. M., Gerhart, B., & Kuehlmann, T. M. (2011), “How much does country matter? A meta-analysis of the HPWP systems-business performance relationship”, Paper presented at the annual meeting of the Academy of Management, SanAntonio, 1, 1-6.
Ruel, H. J., Bondarouk, T. and Looise, J. C. (2004). E-HRM: Innovation or Irritation. An explorative empirical study in five large comapnies on web-based HRM. Management Review,15(3), 364-381.
Ruel, Huub J.M., Bondarouk, T.V. & Velde, M. (2007). The contribution of e-HRM to HRM effectiveness: results from a quantitative study in a Dutch Ministry. Employee Relations, 29(3): 280 – 291.
Ruel, H. J. M. & Kaap, H.G. van der .(2012). E-HRM Usage and Value Creation. Does a Facilitating Context Matter? Zeitschrift für Personalforschung, 26(3): 260 - 281.
Shih, HA, Chiang, YH & Hsu, C. C. (2006). Can high performance work systems really lead to better performance. International Journal of Manpower, 27(8), 741-763.
Strohmeier, S. (2007). Research in e-HRM: Review and implications. Human Resource Management Review, 17(1): 19-37.
Tenenhaus, M., Amato, S., & Esposito Vinzi, V. (2004). A global goodness-of-fit index of PLS structural equation modeling, in Proceedings of the XLII SIS scientific meeting, 739-742.
Tsai, C-J. (2006). High performance work systems and organizational performance: an empirical study of Taiwan`s semiconductor design firms. International Journal of Human Resource Management, 17(9), 1512-1530.
Way, S. A. (2002). High performance work systems and intermediate indicators of firm performance within the US small business sector. Journal of Management, 28(6): 765-785.
Wen Wu, S. (2010). Linking Bayesian networks and PLS path modeling for causal analysis. Expert Systems with Applications, 37(1), 134–139.
Yanadori, Y, & Jaarsveld, D. (2014). The Relationships of Informal High Performance Work Practices to Job Satisfaction and Workplace Profitability. Industrial Relations, 53(3): 501-534.
_||_Becker, B., & Huselid, M. (1999). Overview: Strategic human resource management in five leading firms. Human Resource Management, 38 (4): 287-301.
Bondarouk, T. V. and Ruël, H. J. M. (2009). Electronic Human Resource Management: challenges in the digital era. The International Journal of Human Resource Management, 20 (3): 505 - 514.
Bontis, N. (2012). National intellectual capital index. A United Nations initiative for the Arab region. Journal of Intellectual Capital, 5 )1(: 13-39.
Boselie, P, Dietz, G & Boon, C. (2005). Commonalities and contradictions in HRM and performance research. Human Resource Management Journal, 15(3), 67-94.
Boxall, P. & Macky, K. (2009). Research and theory on high-performance work systems: progressing the high involvement stream. Human Resource Management Journal, 19 (1): 3-23.
Eydi, M. & Pishvaeian, P. (2016). Implementation of Electronic Human Resources Management System in Police Organization (Opportunities and Challenges), 5 (18): 99-112.
Flood, P, Mkamwa, T, O`Regan, C, Guthrie, J, Liu, W, Armstrong, C & MacCurtain, S. (2008). New Models of High Performance Work System: the business case for strategic HRM, partnership and diversity and equality system, National Centre for Partnership and Performance, 1-52.
Fornell, C., &Larcker, D. F. (1981). Evaluating Structural Equation Models with Unobservable Variables and Measurement Error. Journal of Marketing Research, 18(1): 39-50.
Guthrie, J. P. (2001). High involvement work practices, turnover and productivity: Evidence from New Zealand. Academy of Management Journal, 44(1), 180-190.
Guthrie, J. P., Flood, P. C., Liu, W., & MacCurtain, S. (2009). High performance work systems in Ireland: Employee and organizational outcomes. International Journal of Human Resource Management, 20 (1): 112- 125.
Henseler , J., Ringle, Ch. M. & Sarstedt, M. (2012). Using Partial Least Squares Path Modeling in International Advertising Research: Basic Concepts and Recent Issues. Handbook of research on international advertising, Published by Edward Elgar Publishing Limited, 1-543.
Hooi, L.W. (2006). Implementing e-HRM: The readiness of small and
medium sized manufacturing companies in Malaysia. Asia Pacific Business Review, 12(4): 465-485.
Huselid, M. A. 1995. The impact of human resource management practices on turnover, productivity, and corporate financial performance. Academy of Management Journal, 38(3), 635-672.
Ketkar, S. and P.K. Sett. (2009), HR flexibility and firm performance: Analysis of a multilevel causal model. International Journal of Human Resource Management, 20(5), 1009-1038.
Lepak, D. P., & Snell, S. A. (2002). Examining the human resource architecture: The relationships among human capital, employment, and human resource configurations. Journal of Management, 28(17), 517–543.
Lepak, D. P., Liao, H. Chung, Y., & Harden, E. E. (2006). A conceptual review of human resource management systems in strategic human resource management research. Research in Personnel and Human Resource Management, 25: 217-271.
MacDuffie, J. (1995). Human Resource bundles and manufacturing performance: Organizational logic and flexible production systems in the world auto industry. Industrial and Labor Relations Review, 48(2),197-221.
Martin, G., Reddington, M. & Alexander, H. (2008). Technology, outsourcing and transforming HR. London: Butterworth-Heinemann, 1-461.
Martin-Tapia, I, Aragon-Correa, A & Guthrie, J. (2009). High Performance Work System and Export Performance. The International Journal of Human Resource Management, 20(3), 633-653.
Medori, D. & Steeple, D. (2011). A Framework for Auditing and Enhancing performance Measurement systems. International Journal of Operations & Production Management, 20 (5): 520-33.
Moideenkutty, U., Al‐Lamki, A., & Murthy, Y. (2011). HRM practices and organizational performance in Oman. Personnel Review, 40 (2): 239 – 251.
Ngai, E. W. T., Law, C. C. H., Chan, S. C. H., & Wat, F. K. T. (2008). Importance of the internet to human resource practitioners in Hong Kong. Personnel Review, 37(1): 66-84.
Obeidat, S.M. (2016). The Link Between e-HRM Use and HRM Effectiveness: An empirical study. Personnel Review, 45(6): 1-24.
Obeidat, SH. M. (2017). An examination of the moderating effect of electronic-HRM on High Performance Work Practices and organizational performance link. Evidence-based HRM: a Global Forum for Empirical Scholarship, 5(2), 222-241.
Parry, E. (2011). An examination of e-HRM as a means to increase the value of the HR function. The International Journal of Human Resource Management, 22)5(: 1146-1162.
Pittino, D.; Visintin, F.; Lenger, T. & Sternad, D. (2016). Are high performance work practices really necessary in family SMEs? An analysis of the impact on employee retention. Journal of Family Business Strategy, 7(2): 75-89.
Rabl, T., Jayasinghe, M. M., Gerhart, B., & Kuehlmann, T. M. (2011), “How much does country matter? A meta-analysis of the HPWP systems-business performance relationship”, Paper presented at the annual meeting of the Academy of Management, SanAntonio, 1, 1-6.
Ruel, H. J., Bondarouk, T. and Looise, J. C. (2004). E-HRM: Innovation or Irritation. An explorative empirical study in five large comapnies on web-based HRM. Management Review,15(3), 364-381.
Ruel, Huub J.M., Bondarouk, T.V. & Velde, M. (2007). The contribution of e-HRM to HRM effectiveness: results from a quantitative study in a Dutch Ministry. Employee Relations, 29(3): 280 – 291.
Ruel, H. J. M. & Kaap, H.G. van der .(2012). E-HRM Usage and Value Creation. Does a Facilitating Context Matter? Zeitschrift für Personalforschung, 26(3): 260 - 281.
Shih, HA, Chiang, YH & Hsu, C. C. (2006). Can high performance work systems really lead to better performance. International Journal of Manpower, 27(8), 741-763.
Strohmeier, S. (2007). Research in e-HRM: Review and implications. Human Resource Management Review, 17(1): 19-37.
Tenenhaus, M., Amato, S., & Esposito Vinzi, V. (2004). A global goodness-of-fit index of PLS structural equation modeling, in Proceedings of the XLII SIS scientific meeting, 739-742.
Tsai, C-J. (2006). High performance work systems and organizational performance: an empirical study of Taiwan`s semiconductor design firms. International Journal of Human Resource Management, 17(9), 1512-1530.
Way, S. A. (2002). High performance work systems and intermediate indicators of firm performance within the US small business sector. Journal of Management, 28(6): 765-785.
Wen Wu, S. (2010). Linking Bayesian networks and PLS path modeling for causal analysis. Expert Systems with Applications, 37(1), 134–139.
Yanadori, Y, & Jaarsveld, D. (2014). The Relationships of Informal High Performance Work Practices to Job Satisfaction and Workplace Profitability. Industrial Relations, 53(3): 501-534.