Investigating the relationship between human resource management practices and organizational performance in Fars Regional Electric Company

Presented for obtaining a master's degree in industrial management (production orientation)

Abstract:

The present study aims to investigate the relationship between the best human resource management practices (in the form of 7 Peffer practices, which are: employment security, selective hiring, self-managing teams, performance-based payment, extensive training, reduction in position and position differences, information sharing) on ??the performance of the organization. It has been done from Fars Regional Electricity Subsidiaries. To measure research variables, Ahmed and Schroeder (2003) questionnaire was used. The questionnaire was distributed among 150 specialists and experts of the studied community, of which 110 questionnaires were returned to the researcher. Data analysis was done with AMOS 21 and SPSS 21. The results show that the dimensions of human resources management practices have no relationship with organizational performance except for employment security. Structural equation model analysis indicates that the dimensions of human resource management practices have been able to predict changes in perceived organizational support to some extent, but perceived organizational support has no significant relationship with organizational performance dimensions. Keywords: organizational performance; The best practices of human resource management, perceived organizational support, organizational commitment

Chapter One:

Generalities

Introduction:

The theorists of management science, recognizing human as a complex element in the organization, introduce the human factor as the most important element to maintain the existence and survival of the organization, and increasing attention to human resources not only in Traditional roles have been focused on its modern role even in the age of information technology.

In today's competitive world, the intensity of competition increases every day, and all organizations constantly need to improve their organizational performance for their survival and growth. Managers have to be constantly on the lookout for new methods that maximize the performance of the organization's strategic resources. Finding and economic stability in today's highly competitive world, we need to increase productivity and make maximum use of minimum facilities. Today, all developed or developing countries have realized the importance of productivity as one of the necessities of economic development and gaining competitive advantage. In this way, most of the developing countries have made significant investments in order to spread the culture of a special attitude to productivity and generalize the use of techniques and methods to improve it. In Iran, the importance of paying attention to the category of productivity has been neglected for various reasons, including the lack of culture and the right attitude towards productivity in the society. Many experts believe that the missing link of Iran's economy is the lack of productivity of the labor force before it is capital or natural resources. Experts who continuously sought to understand the relationship between human resource management and organizational performance chose two systematic and strategic approaches to investigate this relationship, the root of these two approaches is in studying the specific impact of each human resource function on the performance of employees or the performance of the organization (Singh et al., 2012: 651) Both systematic and strategic approaches jointly seek to understand the impact of human resource management practices on employee behavior and how to achieve performance through it. (ibid., 652)

This research investigates the impact of human resources methods on organizational performance. One of the fundamental weaknesses of human resource specialists is their fear of quantitative results and performance measurement. This fear may be caused by the lack of knowledge or experience in the field of practical measurement of the effects of human resources (Atafar, Khani Khozani and Bahrami Samani, 1389: 90).

Many variables affect organizational performance. These factors and variables are divided into two general categories of internal and external factors. Internal factors are variables that differ from one organization to another and are difficult for an external observer to identify. In the best conditions, 40% of the distribution of organizational performance has been left without any justification, and researchers have been unable to explain this part.This empty space has provided an arena for human resource researchers to explain the unexplained fluctuation. (Singh et al., 2012: 657). This research seeks to quantify the effect of human resources on the organization's performance. In this way, it can explain the importance of human resources and the way these resources are managed on the organization's performance. The importance and value of research: Can human resource strategy make a difference? Are there strategies that, if implemented, will have a positive effect on the performance of the organization? (Bamberger [6] and Sholem [7], 22:1381)

For the researchers of strategic human resources management, examining the relationship between human resource management practices and company performance, from an empirical point of view, can be considered a tool to increase the credibility of the field of human resource management. (Bambergromsholm, 1381: 21)

Do human resource activities and actions make a difference in organizational results? By reviewing the studies and researches that have dealt with the effect of human resources on performance, the answer is positive.

At the same time as the change in the global arena, the workforce also changed. The change in the workforce required a change from the management of the workforce to the management of human resources. The evolution of human resource management requires a strategic perspective in both academic and operational dimensions. (Yasmin Ball [8], 2011: 1)

Human resources are the most important resource of any organization, but the number of organizations that can subjugate and exploit this resource is very small (Ahmed and Schroeder, 2003: 19). They face the challenge of how to measure this effect. What is the best way to link the role of human resources to measuring business performance?

This research seeks to link the role, functions and functions of human resources with organizational performance. that governs the employment affairs of government organizations, did not exist. The role of human resources management in Iran has not undergone fundamental changes and the traditional duties of personnel management are still emphasized in Iran. The use of the term human resource management in Iranian organizations also does not have much history, and the strategic suffix that became popular in the West in the mid-1980s has only been used in a few of Iran's leading industrial organizations (oil, petrochemical, and steel) in less than a decade. It is the performance of the organization. Providing a framework for human resource managers to create the conceptual and operational tools needed to structure their value-creating role. Therefore, the partial objectives of this research are as follows:

Examination of the relationship between employment security and organizational performance

Examination of the relationship between selective hiring and organizational performance

Examination of the relationship between self-managing teams, decentralization and organizational performance

Examination of the relationship between high compensation based on performance and organizational performance

Examination of the relationship between extensive training and organizational performance

Examination of the relationship between the reduction in the difference in status and position and performance Organizational

Examination of the relationship between information sharing and organizational performance

The temporal and spatial scope of the research:

Since human resources have different values ??in service organizations and manufacturing companies, human resources are the most important resource of any organization, but the number of organizations that can subdue and exploit this resource is very small. Usually, this resource is more important in service organizations than in production centers. take (Ahmed and Schroeder, 2003: 19). For this reason, one of the subsidiary companies of Fars Regional Electricity was selected as the society under investigation in this research. Needless to say, since in the study of Ahmad and Schroeder (2003), geographical regions (the countries under study) were considered as control variables, this study, since it was carried out in Iran, also considered the control variable of their study.