IMPACT OF STRENGTHENING RELATIONSHIP BETWEEN HR AND EMPLOYEES ON ORGANIZATIONAL PERFORMANCE, A CRITICAL STUDY
DOI:
https://doi.org/10.29121/ijetmr.v13.i4.2026.1760Keywords:
Human Resource, Employee, Organisation, PerformanceAbstract
This study examines the effect of strengthening relationships between Human Resources (HR) and employees on organizational performance. The study analyzes the impact of HR practices on organizational outcomes, utilizing a sample of 200 respondents from 20 firms, with employee performance serving as a mediating variable. Data were gathered using online questionnaires and processed with SPSS 22.0. The findings demonstrate that HR practices exert a substantial direct beneficial influence on organizational performance (β = 0.4928, p < .001) and an indirect effect via employee performance (indirect effect = 0.1180, 95% CI [0.0052, 0.2293]). Human Resource practices contributed to 60.67% of the variance in employee performance and, when joined with employee performance, elucidated 51.17% of the variance in organizational performance. The study indicates that effective HR policies directly enhance organizational performance and indirectly improve it by elevating employee performance. These findings underscore the necessity of investing in HR-employee interactions and connecting HR strategies with business objectives to attain optimal performance results.
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