Improving Organisational Performance through Human Resource Management Practices

In this age of knowledge economy, human resource is considered as the most important resource of the organisations and it has become decisive for the success of any organisation. Maintaining the quality of such human resource is most essential for the competitive advantage and sustainability of business organisations. Therefore, organisations need to focus on proactive human resource management practices to improve their overall performance. This paper reviews and focuses on certain human resource management practices like selective hiring, training and development, compensation management, performance management, information sharing, grievance redressal mechanism, employee empowerment, self managed team and recognition, that influences organisational performance. Based on the literature review, an attempt has been made to propose a conceptual model for improving organisational performance.