The Impact of Human Recourses Management Practices on Organizational Performance: Assessing the Mediating Role of Employee Productivity

Abstract

Organizational innovative performance considered as an essential weapon for organizations to compete in current hyperactive competitive business environment. One of the ways to achieve innovative performance is through effective human resources management practices (HRMP). This study aimed to examine the impact of human resources management practices on organizational performance, and testing the effective role of individual employee as a mediator between HRM practices and organizational performance. The study conducted exclusively on the Sudanese commercial banking sector. More precisely the study concentrated on practices effect on employee’s productivity, attitude and satisfaction. The study awarded on seven variables of human resources management practices; employment security, performance appraisal, career management, extensive training, employee empowerment, reward system and recruitment system. The instrument used for data collection was questionnaire, to analyze the effect of these seven variables, using descriptive statistics and correlation analysis. The results showed that all seven variables of human resource management practices are positively correlate with organizational performance in banking sector in Sudan, and significantly training and reward system. Findings also supported the mediation role of individual productivity between HRM practices and Sudan banking sector performance.

Keywords: human resource management practices, Performance, Banking sector.