Purpose.
While an established stream of research evidence has demonstrated that Human Resource
Management (HRM) is positively related to organisational performance, explanations of this
relationship remain underdeveloped while performance has been considered in a narrow
fashion. Exploring the relevant but often neglected impact of creativity climate, this paper
examines key processes (mediation and moderation) linking high-performance human resource
practices with a broad range of organisational performance measures.
Design/methodology/approach
The paper draws on a People Management Survey of 169 HR managers from top performing
firms in the Republic of Ireland.
Findings.
The findings provide general support for the role of creativity climate as a key mediator in the
HRM-performance relationship, while strategic orientation was found to play a significant role
in moderating the impact between HRM and employee performance but not HPWS, HR
performance and organisational performance.
Practical implications.
HPWS are found to directly impact a range of organisational performance outcomes. Creativity
climate provides an understanding of the mechanisms through which such impact takes effect.
Organisations should develop a clear and consistent general HR philosophy to realise HR and
organisational performance, but also pay due attention to the key contingencies in terms of
nature of employee desired behaviours.
Originality/value.
The paper offers a more intricate understanding of the key factors shaping both the operation
and impact of the HRM-performance relationship. Purposeful consideration of multi-faceted
dimensions of organisational outcomes enabled a more nuanced and considered explication of
the impact of HPWS.
Metadata
Item Type:
Article (Published)
Refereed:
Yes
Uncontrolled Keywords:
Employee behaviour; High performance work systems; Creativity climate;HRM performance; Strategy and HRM