IMPACT OF HUMAN RESOURCES MANAGEMENT ON EMPLOYEES’

PERFORMANCE ON ORGANIZATION.
DECLARATION
I declare that this project is original and personally modified and it has never been presented
in any learning institution.

NAME: Fridah Muthoni Mwaniki

INDEX NO: 3040060036

SIGNATURE: .............................................................. DATE: ………………..

This project was submitted to the Kenya National Examination Council after being approved
by the supervisor.

NAME: DANIEL MATI

SIGNATURE: ............................................................. DATE: ..............................................

i
DEDICATION
This project is dedicated to Almighty God the author and finisher of my faith who has been
my guidance throughout this work. Also, to my lovely and wonderful parent

ii
ACKNOWLEDGEMENT
First I thank the almighty for the blessing of life and good health. He has granted me. I also
thank my mother for the far she has brought me since my childhood to adulthood, not
forgetting my motivation speakers, destiny connectors, classmate and the people who have
been supporting me during such periods.

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Table of Contents
DECLARATION........................................................................................................................
DEDICATION..........................................................................................................................ii
ACKNOWLEDGEMENT..................................................................................................... iii
LIST OF TABLES .................................................................................................................. vi
ABSTRACT ............................................................................................................................vii
CHAPTER ONE ...................................................................................................................... 1
INTRODUCTION.................................................................................................................... 1
1.1 BACKGROUND TO THE STUDY ........................................................................... 1
1.2 STATEMENT OF THE PROBLEM .......................................................................... 2
1.3 PURPOSE OF THE STUDY ...................................................................................... 2
1.4 SIGNIFICANCE OF THE STUDY ............................................................................ 2
1.5 RESEARCH QUESTIONS ......................................................................................... 2
1.6 RESEARCH HYPOTHESIS....................................................................................... 3
1.7 SCOPE OF THE STUDY ........................................................................................... 3
1.8 LIMITATION TO THE STUDY ................................................................................ 3
CHAPTER TWO ..................................................................................................................... 4
LITERATURE REVIEW ....................................................................................................... 4
2.1 CONCEPTUAL FRAMEWORK ............................................................................... 4
2.1.1 CONCEPT OF HUMAN RESOURCE MANAGEMENT ..................................... 4
2.1.2 CONCEPT OF EMPLOYEES‘ PERFORMANCE ............................................. 6
2.2 THEORETICAL REVIEW ......................................................................................... 8
2.2.1 JOB PERFORMANCE AS A MULTI-DIMENSIONAL THEORY .................. 8
2.2.2 SITUATIONAL PERSPECTIVE THEORY ....................................................... 9
2.2.3 PERFORMANCE REGULATION PERSPECTIVE THEORY ....................... 10
2.3 EMPIRICAL FRAMEWORK .................................................................................. 12
2.3.1 ELEMENTS OF HUMAN RESOURCES MANAGEMENT AND ITS
IMPACT ON EMPLOYEES PERFORMANCE ............................................................. 12
2.3.2 THE ROLE OF HUMAN RESOURCES MANAGEMENT ON
PERFORMANCE............................................................................................................. 16
2.3.3 TRAINING AND ITS INFLUENCE ON HUMAN RESOURCES
PRODUCTIVITY............................................................................................................. 18
2.3.4 TYPES AND EFFECT OF TRAINING ON EMPLOYEES ............................ 21

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CHAPTER THREE ............................................................................................................... 26
RESEARCH METHODOLOGY ......................................................................................... 26
3.0 INTRODUCTION..................................................................................................... 26
3.1 RESEARCH DESIGN .............................................................................................. 26
3.2 POPULATION OF THE STUDY............................................................................. 26
3.3 SAMPLE SIZE AND SAMPLING TECHNIQUES ................................................ 26
3.4 RESEARCH INSTRUMENT FOR DATA COLLECTION .................................... 26
3.5 METHOD OF DATA COLLECTION AND DISTRIBUTION ............................... 26
3.6 DATA ANALYSIS TECHNIQUE ........................................................................... 27
3.7 DECISION RULES................................................................................................... 27
CHAPTER FOUR.................................................................................................................... 28
DATA PRESENTATION AND ANALYSIS...................................................................... 28
4.0 INTRODUCTION..................................................................................................... 28
4.1 ANALYSIS OF DEMOGRAPHIC OF RESPONDENTS ....................................... 28
4.2 ANALYSIS OF RESEARCH QUESTIONS ............................................................ 30
4.3 TESTING OF HYPOTHESIS ................................................................................... 34
4.4 DISCUSSION OF FINDINGS.................................................................................. 35
CHAPTER FIVE ................................................................................................................... 37
SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATION................... 37
5.1 SUMMARY OF FINDINGS .................................................................................... 37
5.2 CONCLUSION ......................................................................................................... 37
5.3 recommendations ..................................................................................................... 38
5.4 limitation of the study ............................................................................................... 38
REFERENCES....................................................................................................................... 40
Appendix 1 .............................................................................................................................. 41

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 LIST OF TABLES
Table1: Presentation of data according to distribution of Questionnaires

Table2: Presentation of data according to Gender

Table3: Presentation of data according to Age distribution

Table4: Presentation of data according to Marital Status

Table5: Presentation of data according to Educational Qualification

Table6: Analysis of research question 1

Table7: Analysis of research question 2

Table8: Analysis of research question 3

Table9: Analysis of research question 4

Table10: Analysis of research question 5

Table11: Analysis of research question used to test hypothesis

Table12: Analysis of hypothesis

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ABSTRACT

The topic of this research is impact of human resources management on employees‘

performance in organizations. Human resources management focused on several important
practices such as human resource planning, recruitment, selection, training and development,
compensation, performance management and employee relations, which in turn, can
positively impact organizational performance. These practices are expected to enhance
organizational performance and enable the organization to gain a competitive advantage over
others. It facilitates the development of a human capital that meets the requirements of
business competitive strategy, so that organizational goals and mission will be achieved.
Human resource management is an integral part of business strategy and the main focus of
this strategy is to achieve organizational objectives. The study observed the roles of human
resource management on the performance of office managers and others. The study made
used of descriptive research design of the survey type. The study was carried out on office of
Human Resource manager of Meru County Govenment and the data collected through the use
of questionnaires serve as primary. While the secondary sources of data were collected
through the journals from internet for the study. The population and the sample size was one
hundred but ninety were returned. Simple percentage, mean and chi-square methods were
used to analysis the research work. The research findings revealed that there is significant
relationship between human resources management and employees‘ performance. It was
recommended that effective recruitment and selection attracts the right quality and quantity of
people, develops the knowledge, skills, and abilities of employees, and retains employees
within the organization and that training and management development program should be
implemented to enhance the capabilities of both office manager and other employees in an
organizations.

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 CHAPTER ONE
INTRODUCTION

1.1 BACKGROUND TO THE STUDY

Human resources are considered the most valuable assets of any organization but very few
organizations are able to fully harness its potential. While human resources refer to
individuals who make up the workforce of an organization, Human Resources Management
is defined as a very critical and imperative function that operates within an organization. This
function classified into recruitment, compensation, development related to the organization,
safety, motivation of employee, benefit wellness, communication and training, performance
management and all other activities that are associated with goal achievement of the
organization (Ayesh, 2012).
Neo (2007) defines human resource management as composed of policies, practices and
system that influence employees‘ behavior, attitude and performance. Oladipo (2011) opines
that having the right personnel at the right place and at the right time is utmost important to
survival and success of any organization.
The Human Resource department is tasked with reviewing the organizations, HR practices
and recommending policy changes, where necessary. As a part of review, academic
qualifications of the staff were harmonized without further discrimination between Degree
holders and Higher National Diploma, Certificate holder, training programs were organized
for all categories of staff. Employee who lacked basic skills and qualifications could not be
retained were laid off, whilst a rigorous recruitment process was instituted to attract skilled
personnel for the various department.

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1.2 STATEMENT OF THE PROBLEM

Organizations are expected to motivate their workers in order to increase their performance
so as to be profitable. Some organizations take workers for granted by not providing adequate
training and compensations for hard work as human elements in the achievement of the
organizational goals.
This has in some cases affected the productivities of workers and in turn the profitability of
such organizations. The study therefore finds out how workers can be managed to enhance
their productivity and at the same time increases the profitability of the organizations.

1.3 PURPOSE OF THE STUDY

The broad purpose of this study is to examine the impact of human resource manager
practices on employees‘ performance in organizations. Other purposes include:
i. To find out how human resource manager can affect the employees productivity
and performance
ii. To find out the extent to which employees are being motivated in organizations
iii. Establish the extent to which performance would affect the implementation of
various human resource manager practice
iv. To know the status of human resource manager practice a views in an
organization.

1.4 SIGNIFICANCE OF THE STUDY

This study will help to achieve effective Human Resources Management and identify tools
for developing the employees‘ performance with a view to effect workable programs for the
organization.

1.5 RESEARCH QUESTIONS

i. What is the impact of human resource manager practices on employees‘ performance

in organizations?

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Ii. How can human resource manager affect the employees‘ productivity and
performance?
Iii. How are employees being motivated in organization?
Iv. What is the extent to which performance would affect the implementation of various
human resource manager practice?
V. What is the status of human resource manager practices in organization?

1.6 RESEARCH HYPOTHESIS

Ho: There is no significant relationship between reward system and employees‘ performance
in the achievement of organizational goals

1.7 SCOPE OF THE STUDY

Since no single research can validly cover all areas of the topic the researcher tends that
thrust of this project will be limited within the scope of study of the impact of human
resource manager on employees‘ performance in organizations.

1.8 LIMITATION TO THE STUDY

Insufficient fund which led to the researcher‘s not being able to cover a wider area needed for
the research. Insufficient time to carry the study to a logical end due to one year time frame
approved for the study.

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 CHAPTER TWO
LITERATURE REVIEW

2.1 CONCEPTUAL FRAMEWORK

2.1.1 CONCEPT OF HUMAN RESOURCE MANAGEMENT

Human resource management can be described as a strategic, integrated and coherent

approach to the employment, development and well-being of the people working in
organizations. It has a strong conceptual basis drawn from the behavioral sciences and from
strategic management, human capital and industrial relations theories. This foundation has
been built with the help of a multitude of research projects (armstrong, 2010).
Human resource management (human resource manager) is the policies, practices, and
systems that influence employees‘ behaviour, attitudes, and performance. Many companies
refer to human resource manager as involving ―people practices‖. There are several important
human resource manager practices that should support the organization‘s business strategy:
analyzing work and designing jobs, determining how many employees with specific
knowledge and skills are needed (human resource planning), attracting potential employees
(recruiting), choosing employees (selection), teaching employees how to perform their jobs
and preparing them for the future (training and development), evaluating their performance
(performance management), rewarding employees (compensation), and creating a positive
work environment (employee relations). An organization performs best when all of these
practices are managed well. At companies with effective human resource manager,
employees and customers tend to be more satisfied, and the companies tend to be more
innovative, have greater productivity, and develop a more favorable reputation in the
community neo ( 2011).
Human resource management (human resource manager) is responsible for carefully
selecting and training people with the necessary skills to pursue the strategy effectively.
Some external factors can be predicted; others, such as the collapse of large banks and
insurance companies, can seemingly come out of nowhere robbins (2010). According to neo
(2011) human resource management is critical to the success of organizations because human
capital has certain qualities that make it valuable. In terms of business strategy, an
organization can succeed if it has a sustainable competitive advantage (is better than
competitors at something and can hold that advantage over a sustained period of time).
Therefore, we can conclude that organizations need the kind of resources that will give them
such an advantage.

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Human resource management is a process that involves the use of overarching approaches to
the development of human resource management strategies, which are integrated vertically
with the business strategy and horizontally with one another. These strategies define
intentions and plans related to the overall organizational considerations, such as
organizational effectiveness, and to more specific aspects of people management, such as;
resourcing, learning and development, reward and employee relations. Human resource
management focuses on actions that differentiate the organization from its competitors. It is
suggested by adams (2011) that it has seven meanings:
i. The use of planning;
ii. A coherent approach to the design and management of personnel;
iii. Systems based on an employment policy and workforce strategy;
iv. Often underpinned by a ―philosophy‖;
v. Matching human resource manager activities and policies to some explicit
business strategy;
vi. Seeing the people of the organization as a strategic resource;
vii. Achievement of competitive advantage (armstrong, 2006).
A study shows that human resource management (human resource manager) involves the
process of dealing with employees and staff. The sales representatives of these organizations
are their main strength because the performance is totally depending upon them. As kaplan
(2011) noted that human resource practices are the most important source of any company to
build a strong competitive advantage in the market. Furthermore organizations should
continuously improve their human resource manager practices if they want to remain viable
in this diverse environment.
According to neo (2007), refers human resource management practices and policies that
influence behaviors, attitudes and performance of employees. They are focused on several
important practices which, in turn, can positively impact organizational performance, such as
human resource planning, recruitment, selection, training and development, compensation,
performance management and employee relations. Pfeffer reshapes these practices into seven
human resource management practices; these practices are expected to enhance
organizational performance and enable the organization to gain a competitive advantage.
Such practices are detailed as follows boxall, et al (2007):
i. Employment security.
ii. Selective hiring of new personnel.

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iii. Self-managed teams and decentralization of decision-making as the basic principles
of organizational design.
iv. Comparatively high compensation contingent on organizational performance.
v. Extensive training.
vi. Reduce status distinctions and barriers, including dress, language, office
arrangements, and wage differences across levels.
vii. Extensive sharing of financial and performance information throughout the
organization.
Human resource management has a clear focus on implementing strategic change and
growing the skill base of the organization to ensure that the organization can compete
effectively in the future (holbeche, 2004). Human resource management facilitates the
development of a human capital that meets the requirements of business competitive strategy,
so that organizational goals and mission will be achieved. Human resource management is an
integral part of business strategy. The main focus of this strategy is to achieve organizational
objectives. So, strategy, then, is a set of strategic choices, some of which may be formally
planned. It is inevitable that much, if not most, of a firm‘s strategy emerges in a stream of
action over time (boxall and purcell, 2003).
In human resource manager-performance research, the performance outcomes of human
resource management can be viewed in different ways. Human resource manager researchers
have mostly referred to dyer and reeves‘ (2002) classification of performance outcomes as
follows:
i. Hr-related outcomes, such as turnover, absenteeism, job satisfaction, commitment.
ii. Organizational outcomes, such as productivity, quality, service, efficiencies,
customer satisfaction.
iii. Financial accounting outcomes, such as profits, sales, return on assets, return on
investment.
iv. Capital market outcomes, such as market share, stock price, growth (boxall,
purcell and wright, 2007).

2.1.2 CONCEPT OF EMPLOYEES’ PERFORMANCE

Campbell (2009) defines performance as behavior or action relevant to the attainment of an
organization‘s goals that can be scaled, that is, measured. Moreover, job performance is
defined as what one is paid to do, or what one should be paid to do. The theory states that the

6
measurement options, be they ratings from a supervisor, peer, or self, a simulated work
sample, or hard criteria (e.g. tallying revenue generated, costs saved, customer complaints, or
some variant of a computerized performance assessment) besides being valid, reliable, and
not deficient should be free of contamination from sources of variation that are not under the
control of the individual (e.g. differences in technology impacting a person‘s performance).
Situational enhancers or constraints, if not taken into account in an appraisal, can contaminate
the mean, variance, or both with regard to an individual‘s performance. Observation and
interpretation hold the key to the establishment of effective criteria. Yet, an ongoing problem
in appraising people is the lack of reliability in the observation of their behavior.
The employee‗s performance is use of knowledge, skills, experiences and abilities, to
perform the assigned mission required by their managers efficient and effectively. The
importance of the employees performance can be in form of several points such as:
1) Help to considering the cost of the resources used,
2) A measure of the quantity and quality of work done,
3) Help to survive and excel between the firms,
4) Help to assess and attain of established performance goals, and finally,
5) Increase the efficiency of the employee performance helps to make the right decisions
Boxall, et al (2007). Kaplan (2011) explained the main methods of evaluating employee
performance based on:
1) Employee attributes which confirm characteristics or qualities important to the firm,
2) Employee behaviors which are widely used for evaluating or defining employee behaviors
necessary to complete a job successfully, and,
3) Employee achievements which show the extent to which specific objectives or aims have
been met, exceeded, or not met.
Organizational performance is one of the most broadly and extensively used dependent
variables in organizational studies today, and yet, at the same time, it remains one of the most
imprecise and loosely-defined constructs. In the strategy literature, the focus of attention on
this construct has been concerned almost entirely with financial measures of performance.
Conceptually, organizational performance has been defined as the comparison of the value
produced by a company with the value owners expected to receive from the company.
Venkatraman and Ramanujam (2006) indicate that a narrow definition of performance focus
on the use of simple outcome-based financial indicators that are assumed to reflect the
fulfillment of the economic goals of the firm.

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Performance is what the organization hires one to do, and do well‖ (Campbell, 2009). Thus,
performance is not defined by the action itself but by judgemental and evaluative process.
Moreover, only actions which can be scaled, i.e., measured, are considered to constitute
performance. The outcome aspect refers to the consequence or result of the individual‘s
behavior.
Scotter (2014) asserted that performance is both behaviors and results. Behaviors emanate
from the performer and transform performance from abstraction to action. Not just the
instruments for results, behaviors are also outcomes in their own right – the product of mental
and physical effort applied to tasks – and can be judged apart from results. This definition of
performance leads to the conclusion that when managing performance both inputs (behavior)
and outputs (results) need to be considered. It is not a question of simply considering the
achievement of targets, as used to happen in ‗management by objectives‘ schemes.
Competency factors need to be included in the process (Armstrong, 2006).
Job performance refers to the effectiveness of individual behaviors that contribute to
organizational objectives. Job performance relates to the act of doing a job. It is a means to
reach a goal or set of goals within a job, role, or organization (Campbell, 2009), but not the
actual consequences of the acts performed within a job. He affirms that job performance is
not a single action but rather a ―complex activity‖. Performance in a job is strictly a behavior
and a separate entity from the outcomes of a particular job which relate to success and
productivity.
Job performance has also been defined as the overall expected value from employees‘
behaviors carried out over the course of a set period of time Motowidlo et al
(2014). Performance is a property of behavior, or what people do at work. An employee‘s
behavior has expected value to the organization – that is, an employee‘s behaviors may be
distinguished in the extent to which they help or hinder the organization, and the outcomes of
unique behaviors are rarely measured so their value is expected.

2.2 THEORETICAL REVIEW

2.2.1 JOB PERFORMANCE AS A MULTI-DIMENSIONAL THEORY

Roe, 2001 agreed that performance has to be considered as a multi-dimensional concept. On
the most basic level one can distinguish between a process aspect (i.e., behavioral) and an
outcome aspect of performance. The behavioral aspect refers to what people do while at
work, the action itself (Campbell, 2013). Performance encompasses specific behavior (e.g.,

8
sales conversations with customers, teaching statistics to undergraduate students,
programming computer software, assembling parts of a product). This conceptualization
implies that only actions that can be scaled (i.e., counted) are regarded as performance.
Moreover, this performance concept explicitly only describes behavior which is goal-
oriented, i.e. behavior which the organization hires the employee to do well as performance.
The outcome aspect in turn refers to the result of the individual's behavior. The actions
described above might result in contracts or selling numbers, students' knowledge in
statistical procedures, a software product, or numbers of products assembled. Empirically, the
behavioral and outcome aspect are related.
Moreover, performance must be distinguished from effectiveness and from productivity or
efficiency (Pritchard, 2002). Effectiveness refers to the evaluations of the results of
performance (i.e., financial value of sales). In comparison, productivity is the ratio of
effectiveness to the cost of attaining the outcome. A great deal of attention has been paid to
the distinction between task and contextual performance. There are three basic differences
between task and contextual performance (Motowidlo, 2013):
(1) Contextual performance activities are comparable for almost all jobs, whereas task
performance is job specific;
(2) Task performance is predicted mainly by ability, whereas contextual performance is
mainly
predicted by motivation and personality;
(3) Task performance is in-role behavior and part of the formal job-description, whereas
contextual performance is extra-role behavior and discretionary (Le. not enforceable), and
often not rewarded by formal reward systems or directly or indirectly considered by the
management.

2.2.2 SITUATIONAL PERSPECTIVE THEORY

The situational perspective refers to factors in the individuals‘ environment which stimulate
and support or hinder performance. The situational perspective encompasses approaches
which focus on workplace factors but also specific motivational approaches which follow for
example from expectancy theory or approaches which aim at improving performance by
reward systems or by establishing perceptions of equity and fairness (Adams, 2011). Most of
the existing leadership research can be subsumed under this perspective. Because of space

9
constraints, we will concentrate on workplace factors as major situational predictors of
individual performance.
With respect to workplace factors and their relationship to individual performance two major
approaches can be differentiated: those that focus on situational factors enhance and facilitate
performance and those that attend to situational factors which impede performance. A
prominent approach within the first category is the job characteristics model (Hackman,
2013). In this model, He assumed that job characteristics (i.e., skill variety, task identity, task
significance, autonomy, feedback) have an effect on critical psychological states (i.e.,
experienced meaningfulness, experienced responsibility for work outcomes, knowledge of
the results of the work activities) which in turn have an effect on personal and work
outcomes, including job performance.
Additionally, they expected an interaction effect with employee growth need strength. In
essence, the job characteristics model is a motivational model on job performance. Meta-
analytic findings suggest that there is a small, but positive relationship between job
characteristics and job performance. Guzzo et al (2010) also reported positive effects of work
redesign interventions on performance. The cross sectional nature of many studies does not
allow for a causal interpretation. Basically, socio-technical systems theory describes work
systems as composed of social and technical subsystems and suggests that performance
improvement can only follow from the joint optimization of both subsystems. In more detail,
socio-technical systems theory suggests a number of job design principles such as the
compatibility between the design process and its objectives, a minimal specification of tasks,
methods, and task allocations, and the control of problems and unforeseen events as near as
to their origins as possible.

2.2.3 PERFORMANCE REGULATION PERSPECTIVE THEORY

The performance regulation perspective takes a different look at individual performance and
is less interested in person or situational predictors of performance. Rather, this perspective
focuses on the performance process itself and conceptualizes it as an action process. Research
on expertise and excellence has a long tradition within cognitive psychology and is
increasingly referred to within work and organizational psychology. It is one of the main
goals of expertise research to identify what distinguishes individuals at different performance
levels. More specifically, expertise research focuses on process characteristics of the task
accomplishment process. It aims at a description of the differences between high and
moderate performers while working on a task. Crucial findings within this field are that high

10
performers differ from moderate performers in the way they approach their tasks and how
they arrive at solutions (Sonnentag, 2014). For example, during problem comprehension,
high performers focus on abstract and general information, they proceed from general to
specific information, and apply a ‗relational strategy‘ in which they combine and integrate
various aspects of the task and the solution process. Moreover, high performers focus more
on long-range goals and show more planning in complex and ill-structured tasks, but not in
well-structured tasks.
The action theory approach (Frese and Zapf, 2008) describes the performance process—as
any other action—from both a process and a structural point of view. The process point of
view focuses on the sequential aspects of an action, while the structural point of view refers
to its hierarchical organization. From the process point of view, goal development,
information search, planning, execution of the action and its monitoring, and feedback
processing can be distinguished. Performance depends on high goals, a good mental model,
detailed planning, and good feedback processes.
2.2.4 INDIVIDUAL DIFFERENCES PERSPECTIVE THEORY
The individual differences perspective focuses on performance differences between
individuals and seeks to identify the underlying factors. Campbell (2009) proposed a general
model of individual differences in performance which became very influential. In his model,
Campbell differentiates performance components (e.g., job specific task proficiency),
determinants of job performance components and predictors of these determinants. Campbell
describes the performance components as a function of three determinants including:
(1) declarative knowledge,
(2) procedural knowledge and skills, and
(3) motivation.
Declarative knowledge includes knowledge about facts, principles, goals, and the self. It is
assumed to be a function of a person‘s abilities, personality, interests, education, training,
experience, and aptitude-treatment interactions. Procedural knowledge and skills include
cognitive and psychomotor skills, physical skill, self-management skill, and interpersonal
skill. Predictors of procedural knowledge and skills are again abilities, personality, interests,
education, training, experience, and aptitude-treatment interactions—and additionally
practice. Motivation comprises choice to perform, level of effort, and persistence of effort.
In his model, Campbell (2009) largely neglects situational variables as predictors of
performance. He summarized studies that identified job knowledge and job skills—as
measured by work sample tests—as predictors of individual performance. Moreover, ability
11
and experience were predictors of job knowledge and job skills, but had no direct effect on
job performance. Motowidlo (2014) built on the work of Campbell. They agree that cognitive
ability variables have an effect on task knowledge, task skills, and task habits. However,
personality variables are assumed to have an effect on contextual knowledge, contextual skill,
contextual habits and, additionally, task habits. Task knowledge, task skills, and task habits in
turn are seen as predictors of task performance; contextual knowledge, contextual skill, and
contextual habits are regarded as predictors of contextual performance.
This implies that task performance is predominantly a function of cognitive ability and
contextual performance is predominantly a function of personality. However, according to
this model cognitive ability has a minor effect on contextual performance—mediated by
contextual knowledge—and personality has a minor effect on task performance— mediated
by task habits. Motowidlo and Van Scotter (2014) largely supported this model.

2.3 EMPIRICAL FRAMEWORK

2.3.1 ELEMENTS OF HUMAN RESOURCES MANAGEMENT AND ITS IMPACT

ON EMPLOYEES PERFORMANCE
i. Recruitment
Recruitment is the process to fully fill the offered work positions in sufficient number and
qualities of the applicants, as well as to meet the expectations and requirements of the
organization. Recruitment is using the analysis of the job in order to select and identify the
needs and requirements of the organization, and it's related to the adopted strategy by the
organization through human resource management planning (Macky and Johnson, 2004).
Organization chooses carefully the policy of recruitment due to what is reflecting from the
general strategy of the organization.There many factors that affect on the recruitment process
and can be divided to internal and external factors. The restrictions that imposed by the
government and the labor market limit the improvement process of recruitment policies and it
considered as the main external factors. Organization's policy and the vision of the
organization can be considered as an indicator to the efforts of the recruitment and it‗s an
example of the internal factors. As a professional HR manager, it is vital to have the
competency and ability to select appropriate employees and place them in suitable work
positions (Marques, 2007). Selection is an important element in HR functions, because the
employee‗s selection has close relationship and connection with the organization's

12
development. Selection is collecting the information about the applicants to decide who is fit
and should be employed each work position.
The Effect of Recruitment and Selection on Employee Performance Recruitment and
selection are integrated factors that affect the performance of the employee. Recruit and
select appropriate employee for suitable position of work have close relationships and
connections with the organization's development. Many studies have found positive
relationship between recruitment and selection and employee performance. Huselid (2004)
stressed that by adopting best practices in recruitment and selection, it allow the good quality
of skill in the organization. He also stressed on importance of training as complement of
selection practices through which the organizational culture and employee behavior can be
aligned to produce positive results. Tessema and Soeters (2006)―the extent of HR practices
affect performance at the employee level in Eritrea‖. Since performance is a multi-faceted and
complicated concept, HUMAN RESOURCE MANAGER outcomes were used as mediating
factors between HR practices and employee performance and the result was positively with
the relationship between recruitment and selection and performance at the employee level.
ii. Compensation
Compensation is the bonuses submitted to the employee due to their services. Compensation
process can be divided to direct financial compensation and indirect compensation whether it
financial or nonfinancial (Mondy, 2011). Compensation is a strategic policy in the
organization, where it can affect on the employer's possibility to attract new applicants, gain
employee's loyalty and ensure the maximum level of performance to meet the organization
goal and objective from the employee. Compensation systems in the organization offer to the
employees as to increase employee motivation, performance and productivity. Hence, most of
the organizations concerned on establishing and maintaining the optimal compensation
systems. According to expectancy theory (Vroom, 2000), once pay is linked with
performance of group or individual, employees are more likely to increase their efforts in
working hard to increase the performance of individual and the organization which related to
increase and improve the overall organization's performance. Based on the theory, it can be
expected that, if the company provides compensations and rewards desired by the employee
in question, the employee is more likely to perform so that the employee can be rewarded.
―Choosing an appropriate compensation mechanism is probably the core problem of human
resource managers, and represents the heart of personnel economics‖. Caruth and Handlogten
(2001) stated that: ―Employees are motivated when there are financial rewards directly tied
to their performance.
13
The Effect of Compensation on Employee Performance Compensation systems are
motivational and attraction to the employee to perform their duties in good manner. Based on
expectancy theory, once pay is linked with performance of group or individual, employees
are more likely to increase their efforts in working hard to increase the performance of
individual and the organization which related to increase and improve the overall
organization's performance. Thus, influence them to gain more compensations and rewards
based on their high performance. Performance-based compensation is the dominant HR
practice that firms use to evaluate and reward employees‘ efforts. Evidently, performance-
based compensation has a positive effect upon employee and organizational performance.
Teseema and Soeters (2006) have reported a positive correlation between compensation
practices on employee performance. Therefore, if the top management keeps ignoring and
non-adopting the compensation programs, the performance of the employee will also keep
declining. Frye (2010) argued that compensations play an important role in organizations that
depend on human capital as an incentive in attracting and retaining skilled employees‗.
Compensation plans affect on the employees performance in positive and significant way if
linked with practices of innovative work such as flexible job design, cooperation of
employees as a team to solve the faced problems, develop workers skills by put them under
training programs and employment security‗.
iii. Training and development
Training is one of main HR activities in the organization and helps the firm to achieve its
goals. According to Grossman and Salas (2011), training is an organized task of information,
skills, and attitudes lead to enhancing performance in a particular situation. Hence, next step
follows recruitment and selection is training and development of employees. This process
should involve the new recruited and existed employees. However, careful selection of
employees does not guarantee that the new staff will perform the tasks effectively, thus, firms
should design and implement proper training programs for those employees in order to
achieve the tasks assigned to them (Dessler, 2009). Training and development are designed to
improve employee performance, competency level and ultimately leads to foster
organizational performance. In addition, training refers to a systematic approach to learning
and development to improve individual, team, and organizational effectiveness (Goldstein
and Ford, 2002).
Training and development activities allow organizations to adjust, be a competitor, advanced
skills, innovate, develop, enhance employees safety, expand service, and reach firm‘s goals
(Salas et al., 2012). Consequently, any organization strives to compete in the global economy,
14
differentiation on the basis of the skills, knowledge, and motivation of their workforce must
realize the importance of training and development and its impact on employees and
organizational performance (Aguinis and Kraiger, 2009). To remain competitive,
organizations must ensure that their workforce continually learns and develops regardless of
the cost of learning (Salas et al., 2011).
Based on the above discussion, training and development are essential for the employees‘
performance and organizational success. Hence, organizations must realize the importance of
training and development and adopt a continuous learning perspective; the organization
should constantly update its employees‘ knowledge and skills to stay on cutting edge in order
to maintain a competitive edge. Thus, inadequate or unwell-designed trained employees are
important obstacles to organization‘s success. Furthermore, the organizational performance
has greatly affected by the way training is designed, provided, and executed. In this study,
training and development are considered as an independent variable to examine its influence
on employee performance.
v. Performance Appraisal
(Arthur, 2008) pointed out that a performance appraisal is an approach to assessing the
employee‘s work performance in a measurable way. The objective of this assessment is to
improve the efficiency of an enterprise by attempting to mobilize the best possible efforts
from individuals employed in it. The primary objective of a performance appraisal is to
ensure the maximum utilization of every employee‘s skills, knowledge, and interests.
Measuring and fostering employees performance is a key determinant of organizational
success and competitive advantage (Ployhart, 2006). Thus, performance appraisal has been
broadly known as an essential process for the management and development of employees
working in an organization (Lee, 2005). In addition, selection and training practices might be
changed based on the appraisal information with the desired behaviors and attitudes.
Nevertheless, professional employees without being motivated to achieve their tasks, their
efficiency will be imperfect (Sani, 2012).
Several previous studies investigated the effect of carrying out performance appraisal on
individual and organizational level outcomes. For example, Murphy and Margulies (2004) in
their study claimed that performance appraisal might benefit in multiple functions such as
helping in employee training and for giving pay. Moreover, it is has been known that the
objective of the performance system come to be a serious issue. However, numerous firms
still do not consider that performance appraisal can achieve several tasks such as provide

15
feedback, training and skill development, and right to use to information and knowledge (Kor
and Sundaramurthy, 2009).

2.3.2 THE ROLE OF HUMAN RESOURCES MANAGEMENT ON

PERFORMANCE
Human resources management represents a transformation that is relatively new in the field
of human resource management. An important role of human resource management is about
focusing the management in employees as a tool to gain competitive advantage. Now,
organizations are made aware that successful human resources policies and practices of
appropriate can increase performance in various areas such as productivity, quality and
financial performance.
Performance management is a planned process in which key elements are different
measurement, feedback, positive reinforcement and ongoing dialogue between managers and
employees. It has to do with measurement results in the form of performance achieved in
comparison with the expectations expressed as objectives. Also, it has to do with the inputs
and values. Inputs are the knowledge, skills and behaviors necessary to produce the expected
results. Needs are identified by defining these requirements and evaluate the degree to which
the expected levels of performance are achieved through effective use of knowledge and
skills, appropriate behavior.
Performance management strategy has to do with all the business and not just the managers.
So managers are not only responsible for delivering the required performance. Managers
should have the confidence to distribute authority and responsibility throughout the
organization. In a sense, managers need to collaborate and consider as part of their own
people in order to report on achieving the required performance. Managers and their teams
are jointly responsible for the results and are both involved in agreeing what they should do
and how they should do it. Performance management processes are part of sweeping across
the organization. Managers and other employees of the organization should work together to
jointly commit to achieving the performance.
Performance management strategy should focus on the development to a continuous and
flexible process involving managers and all the organization that operate as a single team.
This should determine how they can best work together to achieve the required results. This
makes it possible to focus on the planning of future performance and performance
improvements existing. HUMAN RESOURCE MANAGER provides the basis for regular
dialogue and frequent between managers and other employees about performance needs and
16
further development of the organization. Strategic human resource management may bring a
number of benefits to the organization (Brewster et al., 2000):
i. Contributing to the goal accomplishment and the survival of the company,
ii. Supporting and successfully implementing business strategies of the company,
iii. Creating and maintaining a competitive advantage for the company, Improving
the responsiveness and innovation potential of the company,
iv. Increasing the number of feasible strategic options available to the company,
v. Participating in strategic planning and influencing the strategic direction of the
company as an equally entitled member of top management,
vi. Improving cooperation between the HUMAN RESOURCE MANAGER
department and line managers.
Wright and McMahan‘s work points to the importance of human resources in the creation of
firm-specific competitive advantage. At issue,then, is whether, or how, firms can capitalize
on this potential source ofprofitability. Bailey (2003) contended that human resources are
frequently ―underutilized‖ because employees often perform below their maximumpotential
and that organizational efforts to elicit discretionary effort fromemployees are likely to
provide returns in excess of any relevant costs. Bailey argued that HUMAN RESOURCE
MANAGER practices can affect such discretionary effort throughtheir influence over
employee skills and motivation and through organizational structures that provide employees
with the ability to control howtheir roles are performed.
HUMAN RESOURCE MANAGER practices influence employee skills through the
acquisition anddevelopment of a firm‘s human capital. Recruiting procedures that providea
large pool of qualified applicants, paired with a reliable and valid selection regimen, will
have a substantial influence over the quality and typeof skills new employees possess.
Providing formal and informal trainingexperiences, such as basic skills training, on-the-job
experience, coaching,mentoring, and management development, can further influence
employees‘ development.
The effectiveness of even highly skilled employees will be limited ifthey are not motivated to
perform, however, and Human resources management practices can affectemployee
motivation by encouraging them to work both harder andsmarter. Examples of firm efforts to
direct and motivate employee behavior include the use performance appraisals that assess
individual or workgroup performance, linking these appraisals tightly with incentive
compensation systems,the use of internal promotion systems that focus on employee merit,

17
and other forms of incentives intended to align the interests of employees with those of
shareholders.
Bailey (2003) noted that the contribution of even a highly skilled and motivated workforce
will be limited if jobs are structured, or programmed, in such a way that employees, who
presumably know their work better than anyone else, do not have the opportunity to use
theirskills and abilities to design new and better ways of performing their roles. Thus,
HUMAN RESOURCE MANAGER practices can also influence firm performance through
provision of organizational structures that encourage participation among employees and
allow them to improve how their jobs are performed. Cross-functional teams, job rotation,
and quality circles are all examplesof such structures.
Motowidlo (2014) concluded that perceptions of job security, the presence ofa union,
compensation level, job satisfaction, organizational tenure, demographic variables such as
age, gender, education, and number of dependents, organizational commitment, whether a job
meets an individual‘s expectations, and the expressed intention to search for another job
wereall predictive of employees‘ leaving, Taylor (2004) found that perceptions of
organizational culture influenced turnover. Thus, the theoretical rationale for examining the
effects of HUMAN RESOURCE MANAGER practices on turnover liesin their effects on
these individual-level factors.

2.3.3 TRAINING AND ITS INFLUENCE ON HUMAN RESOURCES

PRODUCTIVITY
Human resource is the most important factor in the improvement and growth of productivity,
and training is one of the procedures to achieve and develop new skills for these resources.
As Heraclitus believed ―There is nothing permanent except change‖. The past experience also
reminds us that change in the course of professions and how they are being done is inevitable.
In the path of these evolutions and changes, training of human resource is the only bridge
which can guide us from the world of today to the changing evolutionary world of tomorrow.
Therefore, as the societies developed from traditional to industrial, and from industrial to
post-industrial, science and technology is also in the course of evolution and development,
and along these changes the importance and features of training becomes increasingly
evident, so that today it is being said that training is in fact the management itself. In addition,
training in the work place can be regarded as a critical source of development for human
capital (Kurosawa, 2005).

18
Human resource is the most important factor in the improvement and growth of productivity,
and training is one of the procedures to achieve and develop new skills for these resources.
As Heraclitus believed ―There is nothing permanent except change‖. The past experience also
reminds us that change in the course of professions and how they are being done is inevitable.
In the path of these evolutions and changes, training of human resource is the only bridge
which can guide us from the world of today to the changing evolutionary world of tomorrow.
Therefore, as the societies developed from traditional to industrial, and from industrial to
post-industrial, science and technology is also in the course of evolution and development,
and along these changes the importance and features of training becomes increasingly
evident, so that today it is being said that training is in fact the management itself. In addition,
training in the work place can be regarded as a critical source of development for human
capital (Kurosawa, 2005).
The need for training as noted by Yalokwu (2006) is given thus:
i. Increased productivity: Adequate human resource training and development increases
skill, which improves the quality as well as quantity of output, this result to increase in the
level of performance.
ii. Improvement in employee morale: Training and development improves needed skills,
which builds up confidence and satisfaction. This in turn develops enthusiasm and pride,
which are indicative of high morale.
iii. Availability of skilled workforce for future personnel needs of organization: Good
training and development programmes develop employees and prepare them for future
managerial and executive responsibilities positions. Accordingly, when the need arises for
personnel changes, the internal sources can be utilized more effectively.
iv. Improvement in health and safety: Proper training and development programme can
help prevent industrial accidents and create a safer work environment, since experience and
knowledgeable workers are less prone to accidents.
v. Reduced supervision: Trained employees supervised themselves, they are responsible and
expect more freedom and autonomy and less supervision. This, therefore, promotes the spirit
of participation and teamwork in hospitality industry.
vi. Personal growth: Training and development programmes give the participants a wider
awareness, a sense of self-satisfaction and fulfillment, an enlightened perspective and value
system that support personal growth.
vii. Organizational stability: Training and development programmes can foster the initiative
and creativity of employees, which increase the sense of inquisitiveness and improved skills
19
as it prevents manpower obsolescence. There is no greater organizational asset than that of
trained and motivated employees.
It is very necessary for the organization to design the training very carefully (Armstrong,
2000). The design of the training should be according to the needs of the employees. Those
organizations which develop a good training design according to the need of the employees
as well as to the organization always get good results. It seems that training plays a very vital
role in the employee as well as organizational performance, a bad training design is nothing
but the loss of time and money (Tsaur and Lin, 2004). Training helps employees to get the
knowledge of their job in a better way (Deming, 2007). cost effective and time saving
(Taylor, 2004). It is good for organization to give their employees on the job training so that
their employees learnt in a practical way. If someone is not delivering the training in an
impressive style and he is not capturing the attention of the audience it is means he is wasting
the time (Griffin, 2000). It is very necessary for a trainer to engage its audience during the
training session (Phillip, 2005). It is very difficult for an employee to perform well at the job
place without any pre-training. Trained employees perform well as compared to untrained
employees (Boudreau, 2001). It is very necessary for any organization to give its employees
training to get overall goals of the organization in a better way (Heras, 2006). Training
increase the overall performance of the organization (Shepard, and Jon 2003). Although it is
costly to give training to the employees but in the long run it give back more than it took
(Kaynak, 2003). Every organization should develop its employees according to the need of
that time so that they could compete with their competitors.
Training as a process is one of the most pervasive methods to enhance the productivity of
individuals and communicating organizational goals to personnel. Rohan & Madhumita
(2012) also supported that investing in training employees on decision making, teamwork,
problem-solving and interpersonal relations has beneficial impact on the organizations‘ level
of growth, as well as impacting on employees‘ performance. Training affects employees‘
behavior and their working skills which results into employees enhanced performance as well
as constructive changes (Satterfield & Hughes, 2007). Training is most effective way of
motivating and retaining high quality in human resources within an organization (Kate,
2009). Also added by Lowry et al (2002), training is a way of enhancing employee
commitment and maximizing employee potential. According to Sepulveda (2005) training is
an instrument that fundamentally affects the successful accomplishment of organizations‘
goals and objectives. However, the optimum goal of every organization is to generate high
revenue and maximize profit and a vital tool to realize this is an efficient and effective
20
workforce. Thus, a workforce is only efficient and effective if the appropriate training and
development is provided for such and therefore leading to productivity.
Hill (2000), posits that training help to improve quality customer‘s dissatisfaction,
productivity, morale, management succession, business development and profitability. In line
with the above, Dessler (2009) argues that many organizations have come to recognize that
training offer a way of developing skill, enhancing productivity quality of work and building
workers loyalty to the firm. The importance of training has become more obvious given to the
growing complexity of the work environment. A rapid change in an organization and
technological advancement, further necessitate the need for training and development of the
employee to meet the challenges. In other words organization operates in a dynamic
environment which dictates or influences the output of the organization. For organization to
stay balance with political, social, economic and technological changes, training must be
upheld.
Kate (2009) argues further that training is capable of producing the following benefits.
Increase the confidence, motivation and commitment of the workers, provide recognition,
enhance responsibility and the possibility of increased pay and promotion; give feeling of
personal satisfaction and achievement, and broaden opportunities for career progression, and
help the availability and quality of staff. In relation to the above Oguntimehin (2000) identify
functions of training as follows:- Increase productivity , increase the quality of work;
improves skills, knowledge and understanding. They also states that training enhances the use
of tools and machines; reduce waste, accident, turnover, lateness and absenteeism. In addition
to the above, they stress that training brings incumbent to better level of performance which
ensures higher performance on the job; enhance the implementation of new policies and
regulations. Pitfield (2006) opines that training provide the skill, knowledge and aptitude
necessary to undertake required job efficiently. He further states that it develop the potential
of the employees which provides the room for them to grow in the job.

2.3.4 TYPES AND EFFECT OF TRAINING ON EMPLOYEES

The types for manpower training in organizations differ and are largely determined by the
objectives of organization. Thus, it is a common feature to see methods for manpower
training varying from one organization to the other, just as a given organization can be
tailored at adopting different types at different time or a combination of techniques at the
same time. However, some types for manpower training are stated below:-

21
(1) Orientation
This method of training could be said to be an integral part of the recruitment exercise in that
once an employee has been found appointed, it is expected that such an employee need to be
positively oriented in line with the vision and aspiration of the organization for effective
discharge of function. Furthermore when employee functions in an organization is basically
affected by his perception of the organization vis-à-vis the rules and principles that exist in
the organization. It therefore follow that an employee undergoes formal and informal
orientation in his place of work. While the formal orientations focuses on job specification
and occupational demands placed on the employee, the informal orientation involve the
social interaction that take place in the place of work which could either boast productivity or
be detrimental to it (Sani, 2012). Orientation therefore, as a method of manpower training, is
quite indispensable because it helps in boasting the productivity of workers which are needed
for competing in the global market of the 21st century.
(2) On the Job types of Manpower Training
This method is basically different from the orientation method in that while orientation is at
the point of entry into the organization or a new assignment, on the job method is a process
through which knowledge and experience are acquired over a period of time either formally
or informally. On-the-job training involves the following:
(a) Coaching: As a method of on-the-job training, a young employee is attached to a senior
employee with the purpose of acquiring knowledge and experiences needed for the
performance of tasks.
(b) Job Relations: This method either involves the movement of an employee from one
official assignment or department to the other in order for the employee to be acquainted with
the different aspects of the work process or through the enlargement. That is given additional
responsibility to an employee who has been uplifted as a result of the acquisition of
additional skill or knowledge.
(c) In-House-Training: This involves a formal method of on-the-job training in which skills
and knowledge are acquired by employees through internally organized seminar and
workshop. According to Lawal (2006) seminar and workshop are geared toward updating
workers with new techniques or skills associated with the performance of their job.
(d) In-Service-Training: This method involves training outside the organization or work
place in higher institution of learning or vocational centre‘s under the sponsorship of the
organization or in terms that may be agreed upon between the organization and the worker.
(3) Committee/Work Group Method
22
This method entails manpower training through the involvement of employees in meeting,
committees and work group discussion geared towards injecting inputs in form of decision
making as regard to solving organizational problems. This method is quick and indispensable,
especially in the aspect of training employees for managerial functions or heading
organizational units.
(4) Vestibule Training Method
This is a method of manpower training through the acquisition of skills in a related working
environment. Under this method, the trainee practice has skill with identical equipment that
he uses or he is expected to use in his actual place of work. This method is most suitable for
sensitive operations where maximal perfection is expected at workplace.
(5) Apprenticeship Method
This method of manpower training involves the acquisition of skill through extensive practice
for over a period of time by the trainee. Mongo (2005) posited that training device could
either be formal or informal. In the informal environment, the trainee is attracted to the
trainer, and he/she is expected to pay for an agreed period of apprenticeship. In the formal
environment on the other hand, an employee of an organization could be placed under
apprenticeship in the organization with pay.

(6) Soft Skills Training

Soft skills refer to personality traits, social graces, communication, and personal habits that
are used to characterize relationships with other people. Soft skills might include how to
answer the phone or how to be friendly and welcoming to customers. It could include sexual
harassment training and ethics training. In some jobs, necessary soft skills might include how
to motivate others, maintain small talk, and establish rapport.
In a retail or restaurant environment, soft skills are used in every interaction with customers
and are a key component of the customer experience. In fact, according
to Computerworld magazine survey, executives say there is an increasing need for people
who have not only the skills and technical skills to do a job but also the necessary soft skills,
such as strong listening and communication abilities (Hoffman, 2007). Many problems in
organizations are due to a lack of soft skills, or interpersonal skills, not by problems with the
business itself. As a result, HR and managers should work together to strengthen these
employee skills. Soft skills training can be administered either in-house or externally.
(7) Professional Training and Legal Training
23
In some jobs, professional training must be done on an ongoing basis. Professional training is
a type of training required to be up to date in one‘s own professional field. For example, tax
laws change often, and as a result, an accountant for H&R Block must receive yearly
professional training on new tax codes (Silkey, 2010). Lawyers need professional training as
laws change. A personal fitness trainer will undergo yearly certifications to stay up to date in
new fitness and nutrition information.

(8) Team Training

As a team-building exercise (and a scary one at that), this is an example of team training. The
goal of team training is to develop cohesiveness among team members, allowing them to get
to know each other and facilitate relationship building. We can define team training as a
process that empowers teams to improve decision making, problem solving, and team-
development skills to achieve business results. Often this type of training can occur after an
organization has been restructured and new people are working together or perhaps after a
merger or acquisition. Some reasons for team training include the following:
i. Improving communication
ii. Making the workplace more enjoyable
iii. Motivating a team
iv. Getting to know each other
v. Getting everyone ―onto the same page,‖ including goal setting
vi. Teaching the team self-regulation strategies
vii. Helping participants to learn more about themselves (strengths and weaknesses)
viii. Identifying and utilizing the strengths of team members
ix. Improving team productivity
x. Practicing effective collaboration with team members
Team training can be administered either in-house or externally. Ironically, through the use of
technology, team training no longer requires people to even be in the same room.
(9) Managerial Training
After someone has spent time with an organization, they might be identified as a candidate
for promotion. When this occurs, managerial training would occur. Some managerial training
might be performed in-house while other training, such as leadership skills, might be
performed externally. Training may also be on motivate and delegate
(10) Safety Training
24
Safety training is a type of training that occurs to ensure employees are protected from
injuries caused by work-related accidents. Safety training is especially important for
organizations that use chemicals or other types of hazardous materials in their production.
Safety training can also include evacuation plans, fire drills, and workplace violence
procedures. Safety training can also include the following: Eye safety, First aid, Food service
safety, Hearing protection, Asbestos, Construction safety etc.

25
 CHAPTER THREE

RESEARCH METHODOLOGY

3.0 INTRODUCTION

This chapter outlines the methods and procedures employed by the researcher to carry out
this research study. It includes the following: research design, population, sampling
technique, sample size, instrument for data collection, procedure for data collection and
method of data analysis.

3.1 RESEARCH DESIGN

This study made use of descriptive survey design for this research work. Some individuals
were studied through the use of questionnaires to get appropriate information from such
respondents and analyzing the data accordingly.

3.2 POPULATION OF THE STUDY

The researcher used all the secretaries working in private organizations in Ogun state.

3.3 SAMPLE SIZE AND SAMPLING TECHNIQUES

The sample size for the study is hundred (100) employees selected through simple random
sampling techniques. Ten office managers each were selected from ten ministries in
Abeokuta, Ogun State.

3.4 RESEARCH INSTRUMENT FOR DATA COLLECTION

The main instrument for this study was the questionnaire designed by the researcher to
generate responses from the respondents. The questionnaire was sub-divided into two
sections. Section A consists of demographic information which seeks for personal data of the
respondents while section B contains 4-points Likert Rating Scale of Strongly Agree (SA),
Agree (A), Disagree (D) and Strongly Disagree (SD).

3.5 METHOD OF DATA COLLECTION AND DISTRIBUTION

26
Questionnaires were distributed to the respondents by hand at their different offices and were
collected after they have been duly completed.

3.6 DATA ANALYSIS TECHNIQUE

Researcher analyzed the data collected with statistical tools. The data collected were
subjected to statistical analysis using Mean to find the answer to the research questions while
chi-square statistic was used to test the hypothesis formulated.
The Mean of each item is computed thus:
X = ƩFX/N
Where X = Means of the scores
X = Scores
F = Frequency
Ʃ = Summation
N = Number of respondents
The testing of hypothesis using Chi-Square which is stated as thus:
Where O = Observed frequency
E = Expected frequency
X = Chi-square
Ʃ = Summation
Where Expected frequency = No of responses Observed frequency = No of respondent.

3.7 DECISION RULES

If the calculated value of X = 0.05 is greater than the tabulated value of X = 0.05, the study
will rejects the null hypothesis (H0) and accept the alternative hypothesis (H1) and if the
calculated value of X = 0.05 is less than the tabulated value of X = 0.05, the study will accept
the null hypothesis (H0) and reject the alternative hypothesis (H1).

27
 CHAPTER FOUR

DATA PRESENTATION AND ANALYSIS

4.0 INTRODUCTION

This chapter presents the analysis of data interpretation and discussion of findings on the
research study titled ―Impact of human resources management on employees‘ performance in
organization‖.
Section A deals with bio-data of respondents while section B deals with analysis of research
questions and testing of hypothesis formulated.

4.1 ANALYSIS OF DEMOGRAPHIC OF RESPONDENTS

Table 1: Presentation of data according to distribution of questionnaires

DESCRIPTION RESPONSE PERCENTAGE (%)
Total Number 100 100
Distributed
Total Returned 90 90
Copied Lost 10 10
Total 100 100
The table above showed that 100 questionnaires were distributed to the respondents, 90 were
properly filled and returned while 10 cannot be accounted for.

Table 2: Presentation of data according to gender

GENDER NO OF RESPONDENTS PERCENTAGE (%)
Male 30 33.3
Female 60 66.7
Total 90 100
The table above showed that 30 (33.3%) of the respondents were male while 60 (66.7%) were
female. This indicates that majority of the respondents were female.

Table 3: Presentation of data according to age distribution

AGE NO OF RESPONDENTS PERCENTAGE (%)
20-30 years 40 44.4

28
31-40 years 35 38.9
41-years above years 15 16.7
Total 90 100
The table above showed that 40 (44.4%) of the respondents were between age 20-30 years
old, 35 (38.9%) were between age 31-40 yearsold while 15 (16.7%) were between age 41-
years above years old. This indicates that majority of the respondents were between age 20-
30 years old.

Table 4: Presentation of data according to marital status

GENDER NO OF RESPONDENTS PERCENTAGE (%)
Married 50 55.6
Single 40 44.4
Total 90 100
The table above showed that 50 (55.6%) of the respondents were married while 40 (44.4%)
were single. This indicates that majority of the respondents were married.

Table 5: Presentation of data according to educational background

AGE NO OF RESPONDENTS PERCENTAGE (%)
ND/NCEE 20 22.2
HND 20 22.2
BSC 40 44.5
Professional certificate 10 11.1
Total 90 100
The table above showed that 20 (22.2%) of the respondents were ND/NCE holders, 20
(22.2%) were HND holders, 40 (44.5%) were BSC holders while 10 (11.1%) were holders of
other professional certificate. This indicates that majority of the respondents were BSC
holders.

29
4.2 ANALYSIS OF RESEARCH QUESTIONS

The research questions were analyzed using mean, as showed in the table below:
Mean ≥ 2.5 indicates Agreed while Mean < 2.5 indicates Disagreed
Strongly Agreed (4); Agreed (3); Strongly Disagreed (2); Disagreed (1)

30
RESEARCH QUESTION 1: WHAT IS THE IMPACT OF HUMAN RESOURCE
MANAGER PRACTICE ON EMPLOYEES’ PERFORMANCE IN
ORGANIZATION?
Table 6: Mean, Deviation and Grand Mean of what is the impact of HUMAN RESOURCE
MANAGER practice on employees‘ performance in organization
S/N QUESTIONNAIRES X SD XG REMARK
1 Human resources management assist to increase 3.5 - 3.5 AGREED
employees‘ productivity through job analysis
2 It assists employees to implement business through 3.3 0.4 3.3 AGREED
professional guidance
3 Trainings are organized to improve cooperation and 3.8 0.1 3.8 AGREED
cordial relations among employees
4 It provides opportunity for independent minking and 2.9 0.3 2.9 AGREED
decision making
5 It enhances employees‘ commitment 4.3 - 4.3 AGREED
Table 6 above showed that respondents agreed that HUMAN RESOURCE MANAGER
practice increase employees‘ productivity, assists employees to implement business through
professional guidance, improve cooperation and cordial relations, provides opportunity for
independent minking and decision making and enhances employees‘ commitment in
organization.
RESEARCH QUESTION 2: HOW CAN HUMAN RESOURCE MANAGER AFFECT
THE EMPLOYEES’ PRODUCTIVITY AND PERFORMANCE?
Table 7: Mean, Deviation and Grand Mean on how HUMAN RESOURCE MANAGER
affect the employees‘ productivity and performance
S/N QUESTIONNAIRES X SD XG REMARK
6 It provides conduce environment for the employees 2.8 0.4 2.8 AGREED
7 It helps employees to recognize their assigned 3.7 0.1 3.7 AGREED
responsibility
8 Human resources management recommends good 3.5 - 3.5 AGREED
welfare packages for employees
9 Constant employees training improves performance 3.7 - 3.7 AGREED
and productivity

31
10 Human resources management encourage personal 2.5 0.5 2.5 AGREED
development among employees in the organization
Table 7 above showed that respondents agreed that HUMAN RESOURCE MANAGER
affect the employees‘ productivity and performance through provision conduce environment,
helps employees to recognize their assigned responsibility, recommends good welfare
packages, constant employees training and encourage personal development.

RESEARCH QUESTION 3:HOW ARE EMPLOYEES BEING MOTIVATED IN AN

ORGANIZATION?
Table 8: Mean, Deviation and Grand Mean on how employees are being motivated in an
organization
S/N QUESTIONNAIRES X SD XG REMARK
11 Promotion serves as motivation in an organization 3.9 - 3.9 AGREED
12 Regular payment of salaries of employees motivate 3.5 - 3.5 AGREED
employees in an organization
13 Encouragement of teamwork among employees 3.0 0.3 3.0 AGREED
motivate them to work effectively
14 Sponsored training and workshop attendance 2.9 0.2 2.9 AGREED
motivate employees in an organization
15 Attending frequent seminars serves as motivation to 3.1 0.2 3.1 AGREED
employees
Table 8 above showed that respondents agreedthat promotion, regular payment,
encouragement of teamwork and training and workshop motivate employees in any
organization.

32
RESEARCH QUESTION 4: WHAT IS THE EXTENT TO WHICH PERFORMANCE
WOULD AFFECT THE IMPLEMENTATION OF VARIOUS HUMAN RESOURCE
MANAGER PRACTICE?
Table 9: Mean, Deviation and Grand Mean of what is the extent to which performance would
affect the implementation of various HUMAN RESOURCE MANAGER practice
S/N QUESTIONNAIRES X SD XG REMARK
16 Availability of skilled workforce makes HUMAN 4.5 0.3 4.5 AGREED
RESOURCE MANAGER project future expansion
17 To enabled HUMAN RESOURCE MANAGER 3.0 0.4 3.0 AGREED
know which employee require training and
development
18 To determined redeployment due to the acquisition 2.7 0.5 2.7 AGREED
of higher qualification
19 To determine redundancy level of employees 2.7 0.3 2.7 AGREED
20 Recommendation for promotion, upgrading and 3.0 0.3 3.0 AGREED
awards for deserving employees
Table 9 above showed that respondents agreed with statement thatvarious HUMAN
RESOURCE MANAGER practice would affect the performance of employees through
availability of skilled workforce, training and development, redeployment due to the
acquisition of higher qualification and promotion, upgrading and awards for deserving
employees.

RESEARCH QUESTION 5: WHAT IS THE STATUS OF HUMAN RESOURCE

MANAGER PRACTICE IN AN
ORGANIZATION?
Table 10: Mean, Deviation and Grand Mean of what is the status of HUMAN RESOURCE
MANAGER practice in an organization
S/N QUESTIONNAIRES X SD XG REMARK
21 Human resources management promotes on-the-job 4.5 0.3 4.5 AGREED
manpower training of employees in organization
22 It improves orientation of employees in organization 3.0 0.4 3.0 AGREED
23 It develops teamwork spirit of employees in 2.7 0.5 2.7 AGREED

33
 organization
24 Human resources management provide for welfare 2.7 0.3 2.7 AGREED
and safety measures for the employees
25 Human resources management helps in right 3.0 0.3 3.0 AGREED
recruitment of employees in an organization
Table 10 above showed that respondent agreed thatHUMAN RESOURCE MANAGER
practice promotes on-the-job manpower training of employees, improves orientation of
employees, develops teamwork spirit of employees, provide for welfare and safety measures
for the employees and helps in right recruitment of employees in an organization.

4.3 TESTING OF HYPOTHESIS

The researcher after using analyzing the questions using (Mean, Standard deviation and
Grand Mean) to show the responses of respondents that made up the sample and also analyze
those questions which relates to the hypothesis formulated so as to determine the
effectiveness of the hypothesis and the feasibility of the whole study.
Chi-square statistics was used to test the hypothesis of the study and it is calculated thus:
X2 = ( O – E)2
E
Where O = Observed Frequency
E = Expected Frequency
X2 = Chi-Square
Ʃ = Summation
To calculate expected frequency = Total of row × Total of Column
Grand Total
TESTING OF HYPOTHESIS 1:
H1: There is significant relationship between human resources management and employees
performance
Question 1 and 2 were used to test the hypothesis
OBSERVED FREQUENCY TABLE
QUESTION QUESTION 1 QUESTION 10
SA 47 16
A 43 38

34
D 0 13
SD 0 28
TOTAL 90 90

X2 COMPUTATION TABLE
O E O–E (O – E)2 (O – E)2/E
47 31.5 15.5 240.25 7.6
43 40.5 2.5 6.25 0.15
0 6.5 - 6.5 42.25 6.5
0 11.5 -11.5 132.25 11.5
16 31.5 -15.5 240.25 7.6
38 40.5 - 2.5 6.25 0.15
13 6.5 6.5 42.25 6.5
23 11.5 11.5 132.25 11.5
TOTAL 51.5
Calculated value = 51.5
The degree of freedom will be calculated thus:
Df = (r – 1) (c – 1)
= (2 – 1) (4 – 1)
1 × 3 = 3
X2 = 3.20
DECISION RULE
The decision rules say that H0if X2c> X2tand accept H1 if otherwise reject while H1 is
accepted. Since calculated value (51.5) is greater than table value (3.20), the null hypothesis
is rejected while the alternative hypothesis was accepted. Hence it can be concluded that
there is significant relationship between Human Resources Management and employees‘
performance.

4.4 DISCUSSION OF FINDINGS

The findings revealed that regular payment of salaries of employees motivates employees in
an organization Caruth and Handlogten (2001) who stated that employees are motivated
when there are financial rewards are directly tied to their performance

35
Another finding shows that sponsored training and workshop attendance motivate employees
in an organization. This is in line with Robbins (2010) opined that human resource
management (human resource manager) is responsible for carefully selecting and training
people with the necessary skills to pursue the strategy effectively.
Finding also revealed that human resources management encourages personal development
among employees in an organization. This in line with Holbeche (2004) concluded that
human resource management facilitates the development of a human capital that meets the
requirements of business competitive strategy, so that organizational goals and mission will
be achieved.
Another finding of this study shows that human resources management assist employees to
implement business strategies successfully through professional guidance. According to Neo
(2011) human resources management is critical to success of organizations because human
capital has certain qualities that make it valuable.
Findings also revealed that to enable human resource manager know which employee require
training and development. Rohan and madhumita (2012) also supported that investing in
training employees on decision making, problem solving and interpersonal relations has
beneficial impact on the organizations level of growth.
Therefore, human resource manager has a great effect on employees‘ performance.

36
 CHAPTER FIVE

SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATION

5.1 SUMMARY OF FINDINGS

This summary finding in report of the research work title is as follows:

 Human resources management assist to increase employees‘ productivity through
job analysis
 It assist employees to implement business strategies successfully through
professional guidance
 Trainings are organized to improve cooperation and cordial relations among
employees
 It provides opportunity for independent thinking and decision making
 To determined redeployment due to the acquisition of higher qualification
 To determine redundancy level of employees
 It provides conducive environment for the employees
 Human resources management promotes employees responsiveness and
innovation
 Recommendation for promotion, upgrading and awards for deserving employees
 Human resources management helps in right recruitment of employees in an
organization

5.2 CONCLUSION

Employees are one of the critical strategic assets for any organization. Likewise, should strive
to attract the talent, well trained and enthusiastic employees and improve their performance.
Successful and good effective implementation of human resource manager empowers
employees and improves their performance positively. Employees have an important and
strategic role in enhancing positioning in significant fields such as quality of research,
academic reputation, and improving the quality of the organizational programs. Therefore,
best practices of human resource manager stimulate employee‘s performance which in turn
improves performance. So, organization must realize the importance of stimulating
employee‘s performance; many organizations are giving more attention from the top
management of human resource manager. Hence, it is vital that the organization should

37
develop their human resource manager to enhance all employees in their organization. To
increase organization employee‘s performance, the management should implement the
human resource manager includes (selection, training and development, compensation,
teamwork, cooperation and rewards, performance appraisal) in order to increase their
efficiency on the performance.

5.3 recommendations

 Organization need to have an effective recruitment policy to promote scientific

selection of prospective employees. The departments should participate in selection
process as they have different preferences in the candidates. Candidates need to be
selected based on requisite skills knowledge, attitude and qualification using
appropiate selection techniques.
 Appropriate training program for both academicians and support staff should be
organized to continuously improve the skills of employees.
 Investing in the improvement of the knowledge and skills of employees would enable
the university to develop more productive and effective employees.
 Performance appraisal should be guided by the performance management policy.
Employee‘s performance should be assessed based on quantifiable standards and
feedback be given to employees on their performance. The appraisal system should be
explicitly described specific purpose of the appraisal. Organizations that clearly state
the purpose for the appraisal reduce the confusion and ambiguity of the process. The
goal should be that everyone knows why to conduct appraisals.
 Meaningful and accurate evaluation and feedback requires clear goals be established
beforehand. Therefore a large part of the process should be devoted to determining
what actions need to be taken in the future. It is harder to correct the results of poor
planning than it is to plan correctly at the beginning.

5.4 limitation of the study

There is timeframe within which the project at which it must be submitted. There is also
financial constraint to move round the state, so only abeokuta was covered in the state and
few small scale enterprises owners were selected for the research.

38
39
REFERENCES
Adams, J. (2011). HR in all its glory. Human Resource Management International Digest,
15(5), 3 – 6.
Aguinis, N. and Kraiger, E. (2009). The impact of strategic human resourcemanagement on
organizational performance. Journal Naval Science Engineering, 6(2): 100-116.
Armstrong, R. (2006). Learned industriousness. Psychological Review, 99, 248–267.
Arthur, M (2008) Managing human resources in small organizations: What do we know;
Journal of Human Resource Management Review. 14 , p. 295−323.
Ayesh, D. (2012). Self-fulfilling prophecies in organizations. In J. Greenberg (Ed.),
Organizational behavior: The state of the science (2nd ed., pp. 91–122).
Bailey, B. (1986). Mere presence effects in humans: A review. Journal of Experimental
Social Psychology, 22, 38–77.
Boudreau, E. (2001). A confirmatory structural equations analysis of the job characteristics
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Boxall, Purcel and Wright (2007). The impact of human resources management practices on
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Western College Pub. Journal of Management, 44: 23-33.
Caruth, N. and Handlogten, D. (2001). The interactive effects of task variety, autonomy, and
feedback on attitudes and performance. Journalof Organizational Behavior, 17, 329–
347.
Deming, O, (2007). Gross job creation, Gross job description and employment Reallocation.
Quality Journal of Economic, 107(3): 819-963
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Frese, P., and Zapf, H. (2008). Human Resources Management. 7th Edition. Cape Town:
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Edith Cowan University.

40
Appendix 1
MERU INSTITUTE OF BUSINESS STUDIES
QUESTIONNAIRES
Dear Respondent,
I am Fridah Muthoni Mwaniki of Meru Institute of Business Studies , from the Department
of Business studies department.
This questionnaire was designed to collect information on a research paper titled “Impact of
human resources management on employees’ performance on organization.”
It will be highly appreciated if you could supply the required information and assist in
making this study a success by giving response in view of the questionnaire.
I promised that your opinion shall be treated with utmost confidentiality.
Thank you, for your anticipated co-operation.
Yours faithfully,

…………………………
Fridah Muthoni Mwaniki
INSTRUCTION
Kindly tick (√) to identify any option you are selecting. Please do not tick more than one
option.
SECTION A
Please tick ( ) the appropriate option
Sex: (a) Male (b) Female
Age: (a)20-30yrs (b)31-40yrs
(c)41- 50yrs (d) 51 and above
Highest Educational Qualification: (a) KCPE/KCSE (b)Masters/BSC
(c) Professional Certificate (d) Others
Marital Status: (a) Single (b) Married

(c) Divorced (d) Separated

SECTION B
NOTE: Strongly Agreed (SA), Agreed (A),
Strongly Disagreed (SD) Disagreed (D)

41
S/N STATEMENT SA A D SD
A What is the impact of HUMAN RESOURCE MANAGER practice on
employees’ performance in organization?
1 Human resources management assist to increase employees‘ productivity
through job analysis
2 It assist employees to implement business strategies successfully through
professional guidance
3 Trainings are organized to improve cooperation and cordial relations among
employees
4 It provides opportunity for independent thinking and decision making
5 It enhances employees‘ commitment
B How can HUMAN RESOURCE MANAGER affect the employees’
productivity and performance?
6 It provides conducive environment for the employees
7 It helps employees to recognize when assigned responsibility
8 Human resources management recommends good welfare packages for
employees
9 Constant employees training improves performance and productivity
10 Human resources management encourage personal development among
employees in an organization
C How are employees being motivated in an organization?
11 Promotion serves as motivation in an organization
12 Regular payment of salaries of employees motivate employees in an
organization
13 Encouragement of teamwork among employees motivate them to work
effectively
14 Sponsored training and workshop attendance motivate employees in an
organization
15 Attending frequent seminars serves as motivation to employees
D What is the extent to which performance would affect the implementation
of various HUMAN RESOURCE MANAGER practice?
16 Availability of skilled workforce makes HUMAN RESOURCE MANAGER
project for the future expansion

42
17 To enable HUMAN RESOURCE MANAGER know which employee require
training and development
18 To determined redeployment due to the acquisition of higher qualification
19 To determine redundancy level of employees
20 Recommendation for promotion, upgrading and awards for deserving
employees
E What is the status of HUMAN RESOURCE MANAGER practice in an
organization?
21 Human resources management promotes on-the-job manpower training of
employees in organization
22 It improves orientation of employees in organization
23 It develops teamwork spirit of employees in organization
24 Human resources management provide for welfare and safety measures for the
employees
25 Human resources management helps in right recruitment of employees in an
organization

43