Do employee attitudes mediate the relationship between strategic human resource management practices and organizational effectiveness? A SEM based investigation using SMART-PLS software

• Authors: Sleimi Mohammad Tahseen , Emeagwali Okechukwu Lawrence
• Languages of publication: EN

Abstracts

EN

This research set out to test the mediating of employee attitudes on the relationship between SHRM (Society for Human Resource Management) practices and organizational effectiveness in Palestinian banking sector. Using structural equation modeling (SEM) it is investigated a random sample of 357 Palestinian banks' employees selected in a random manner in 16 Palestinian governorates. The partial least square approach has been used depending on SMART-PLS software. Results show the existence of direct and indirect significant path between SHRM practices and organizational effectiveness. However, the indirect relationship through the mediating role of employee attitudes was stronger than the direct one. To sum up, results indicate that employee attitudes partially mediate the relationship between SHRM practices and organizational effectiveness.

Keywords

EN

Strategic human resource management (SHRM) practices, employee attitudes, organizational effectiveness.

• Publisher: Prague Development Center, Czech Republic
• Journal: Business and Economic Horizons
• Year: 2017
• Volume: Volume 13
• Issue: Issue 1
• Pages: 42-59

Dates

published

2017-04-15

Contributors

author

Sleimi Mohammad Tahseen

• Faculty of Business and Economics, Girne American University, Cyprus (Northern)

author

Emeagwali Okechukwu Lawrence

• Faculty of Business and Economics, Girne American University, Cyprus (Northern)

References

• Astrachan, J. H., Klein, S. B., & Smyrnios, K. X. (2002). The F-PEC scale of family influence: a proposal for solving the family business definition problem. Family Business Review, 15(1), 45–58. https://doi.org/10.1111/j.1741-6248.2002.00045.x
• Aycan, Z., Al-Hamadi, A. B., Davis, A., & Budhwar, P. (2007). Cultural orientations and preferences for HRM policies and practices: the case of Oman. The International Journal of Human Resource Management, 18(1), 11–32. https://doi.org/10.1080/09585190601068243
• Becker, B., & Gerhart, B. (1996). The impact of human resource management on organizational performance: Progress and prospects. Academy of Management Journal, 39(4), 779–801. https://doi.org/10.2307/256712
• Collis, J., & Hussey, R. (2013). Business research: A practical guide for undergraduate and postgraduate students. Palgrave macmillan.
• De Vaus, D. (2013). Surveys in social research. Routledge.
• Delaney, J. T., & Huselid, M. A. (1996). The impact of human resource management practices on perceptions of organizational performance. Academy of Management Journal, 39(4), 949–969. https://doi.org/10.2307/256718
• Edwards, J. R., & Bagozzi, R. P. (2000). On the nature and direction of relationships between constructs and measures. Psychological Methods, 5(2), 155. https://doi.org/10.1037/1082-989X.5.2.155
• F. Hair Jr, J., Sarstedt, M., Hopkins, L., & G. Kuppelwieser, V. (2014). Partial least squares structural equation modeling (PLS-SEM) An emerging tool in business research. European Business Review, 26(2), 106–121. https://doi.org/10.1108/EBR-10-2013-0128
• Fornell, C., & Larcker, D. F. (1981). Structural equation models with unobservable variables and measurement error: Algebra and statistics. Journal of marketing research, 382-388. https://doi.org/10.2307/3150980
• Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2009). Multivariate data analysis, chapter 8. Pearson Education, Inc., Upper Saddle River, New Jersey.
• Hair, J. F., Ringle, C. M., & Sarstedt, M. (2011). PLS-SEM: Indeed a silver bullet. Journal of Marketing Theory and Practice, 19(2), 139–152.
• Hair, J. F., Ringle, C. M., & Sarstedt, M. (2013). Editorial-partial least squares structural equation modeling: Rigorous applications, better results and higher acceptance. Long Range Planning, 46(1–2), 1–12. https://doi.org/10.1016/j.lrp.2013.01.001
• Hair, J. F., Sarstedt, M., Ringle, C. M., & Mena, J. A. (2012). An assessment of the use of partial least squares structural equation modeling in marketing research. Journal of the Academy of Marketing Science, 40(3), 414–433. https://doi.org/10.1007/s11747-011-0261-6
• Henseler, J., Ringle, C. M., & Sarstedt, M. (2015). A new criterion for assessing discriminant validity in variance-based structural equation modeling. Journal of the Academy of Marketing Science, 43(1), 115–135. https://doi.org/10.1007/s11747-014-0403-8
• Henseler, J., Ringle, C. M., & Sinkovics, R. R. (2009). The use of partial least squares path modeling in international marketing. Advances in International Marketing, 20(1), 277–319.
• Henseler, J., & Sarstedt, M. (2013). Goodness-of-fit indices for partial least squares path modeling. Computational Statistics, 28(2), 565–580. https://doi.org/10.1007/s00180-012-0317-1
• Hulland, J., & of Business, R. I. S. (1999). Use of partial least squares (PLS) in strategic management research: A review of four recent studies. Strategic Management Journal, 20(2), 195–204. https://doi.org/10.1002/(SICI)1097-0266(199902)20:2<195::AID-SMJ13>3.0.CO;2-7
• Huselid, M. A., & Becker, B. E. (1996). Methodological issues in cross-sectional and panel estimates of the human resource-firm performance link. Industrial Relations: A Journal of Economy and Society, 35(3), 400–422. https://doi.org/10.1111/j.1468-232X.1996.tb00413.x
• Jackson, S. E., Schuler, R. S., & Jiang, K. (2014). An aspirational framework for strategic human resource management. The Academy of Management Annals, 8(1), 1–56. https://doi.org/10.1080/19416520.2014.872335
• Johnson, P., & Clark, M. (2006). Business and Management Research Methodologies: Evaluating Research and the Question of Criteriology. SAGE. https://doi.org/10.4135/9781446260906
• Katou, A. A. (2012). Investigating reverse causality between human resource management policies and organizational performance in small firms. Management Research Review, 35(2), 134–156. https://doi.org/10.1108/01409171211195161
• Katou, A. A., & Budhwar, P. S. (2006). Human resource management systems and organizational performance: a test of a mediating model in the Greek manufacturing context. The International Journal of Human Resource Management, 17(7), 1223–1253.
• Lewis, P., Thornhill, A., & Saunders, M. (2007). Research methods for business students. Pearson Education UK.
• Malhotra, N. K., Birks, D. F., & Inc.., E. I. S. (2000). Marketing research: an applied approach. Financial Times, Prentice Hall Harlow.
• Mathis, R. L., & Jackson, J. (2011). Human resource management: Essential perspectives. Cengage Learning.
• Pfeffer, J. (1998). The human equation: Building profits by putting people first. Harvard Business Press.
• Porter, M. (1998). e.(1980) Competitive strategy: techniques for analyzing industries and competitors. New York.
• Purcell, J. (2003). Understanding the people and performance link: unlocking the black box. CIPD Publishing.
• Purcell, J., & Hutchinson, S. (2007). Front-line managers as agents in the HRM-performance causal chain: theory, analysis and evidence. Human Resource Management Journal, 17(1), 3–20. https://doi.org/10.1111/j.1748-8583.2007.00022.x
• Rugimbana, R., & Akong'o Dimba, B. (2010). Strategic human resource management practices: effect on performance. African Journal of Economic and Management Studies, 1(2), 128–137. https://doi.org/10.1108/20400701011073455
• Sarstedt, M., Ringle, C. M., Smith, D., Reams, R., & Hair, J. F. (2014). Partial least squares structural equation modeling (PLS-SEM): A useful tool for family business researchers. Journal of Family Business Strategy, 5(1), 105–115. https://doi.org/10.1016/j.jfbs.2014.01.002
• Saunders, M. N. K. (2011). Research methods for business students, 5/e. Pearson Education India.
• Schuler, R. S., & Jackson, S. E. (1987). Linking competitive strategies with human resource management practices. The Academy of Management Executive (1987-1989), 207–219. https://doi.org/10.5465/AME.1987.4275740
• Voorhees, C. M., Brady, M. K., Calantone, R., & Ramirez, E. (2016). Discriminant validity testing in marketing: an analysis, causes for concern, and proposed remedies. Journal of the Academy of Marketing Science, 44(1), 119–134. https://doi.org/10.1007/s11747-015-0455-4
• Wang, Z., Chen, J., Wang, Z., & Zang, Z. (2005). Strategic human resources, innovation and entrepreneurship fit: A cross-regional comparative model. International Journal of Manpower, 26(6), 544–559. https://doi.org/10.1108/01437720510625458
• Wong, K. K.-K. (2013). Partial least squares structural equation modeling (PLS-SEM) techniques using SmartPLS. Marketing Bulletin, 24(1), 1–32.
• Wright, P. M., & Gardner, T. M. (2003). The human resource-firm performance relationship: methodological and theoretical challenges. The New Workplace: A Guide to the Human Impact of Modern Working Practices, 311–328.
• Wright, P. M., & Snell, S. A. (1998). Toward a unifying framework for exploring fit and flexibility in strategic human resource management. Academy of Management Review, 23(4), 756–772.
• Youndt, M. A., Snell, S. A., Dean, J. W., & Lepak, D. P. (1996). Human resource management, manufacturing strategy, and firm performance. Academy of Management Journal, 39(4), 836–866. https://doi.org/10.2307/256714