IMPACT OF HUMAN RESOURCE MANAGEMENT (HRM) PRACTICES ON EMPLOYEE PERFORMANCE (A case of Telekom Malaysia)

Abstract

Studies on HRM practices at different levels have been an area of interest for researchers for several decades because of the expansion of the industries and innovative practices which enable an organisation to retain and utilise the Human resource effectively. As the 21st century has seen a tremendous growth in the service sector especially the telecommunication industry where the service providers were growing it is crucial for the organisations to retain and care for their employees and to improve their competitive advantages. Hence this study was undertaken in a Malaysian telecom major to identify the impact of HR practices( Training, Compensation and employee participation) on employee performance. Samples were collected using questionnaire from 102 employees in order to test the hypothesis. Regression analysis was done using SPSS to find out the impact of independent variables on employee performance. It was found that there was a significant relationship and impact of training and compensation plans on employee performance whereas employee participation had less impact on employee performance.