Strategic Human Resource Management Practices and Organizational Performance: Evidence from Selected Commercial Banks in Punjab, India

Abstract

Human Resource Management (HRM) policies and practices significantly influence the performance of all organizations especially in banking sector: This study aims to measure the impact of major HRM practices like recruitment, training, compensation and performance appraisal systems on the performance of four major commercial banks in India. The primary data for the study was collected with the help of a structured questionnaire. A purposive sample of 268 employees of four major banks working in various branches in Punjab was selected. The regression analysis of the data confirmed that all HRM practices except recruitment have a positive and significant relationship with the performance of the banks. Recruitment was found to have a positive but insignificant impact. The findings of the study can help the decision makers to improve organizational performance by adopting the appropriate human resource policies and practices.