Rmm Assign 4

8/13/2019 Rmm Assign 4

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PROJECT ID: MBAMHR

Project Title: The impact of human resource management practices

Research Method (Section L)

Program: MBA 2010-14

Project Leader Name: Muhammad Waqas Farooq , Email: [email protected]

, Mobile No: 0324-4745334,

Group Members

Class Sr# Reg # Name Presentation Marks(Leave following fields empty)

Maximum 20 MinutesTime Dressing Content Other

35 L1F10MBAM2256 Muhammad Waqas Farooq

34 L1F10MBAM2276 Tahira Aziz

08 L1F10MBAM0249 Rabia Basri

Leave Following Boxes Empty (to be filled by Prof. Irfan Saleem)

Description Status

Timely Hardcopy Submission (10 Marks)Report Formatting (Marks 20)

APA (Marks 10)

Timely Softcopies Submissions(doc, spss, ppt)

10+10+10 Marks

Report Quality Marks (100)

Plagiarism (100):

Presentation Time by Group
mailto:[email protected]:[email protected]:[email protected]:[email protected]


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Introduction:

Significance:

Human assets are recognized the most imperative holding of a conglomeration. A set of

dissimilar yet interrelated activities, roles, and methodologies that are guided at luring,

improving, and keeping up immovable human resources. Administration of this framework has

expanded more consideration from utility conglomerations than from assembling

conglomerations. Innovations and imaginative manufacturing practices apart from everyone else

can do next to no to improve operational exhibition unless the imperative human asset

administration (HRM) practices are in place to structure a constant socio- specialized framework.

Research questions:

1. How organization performance will be related to the seven HR practices?

2. How the degree of dissimilarity between an organizations existing HRM

system related to the organization performance?

3. How the ideal type HRM system will be related to the organization

performance?

Introduction of company

Nishat Mills Limited(NML)

Nishat Mills Limited, (NML), commenced business in 1951 as a partnership concern, which was

converted into private Limited company in 1959. Nishat Mills Limited (Nishat) is the single

largest textile company in Pakistan and also is public limited company, listed on all three

Pakistani stock exchanges. The Group's perform the activities is to manufacture spins, combs,

weaves, bleaches, dyes, prints, stitches, buys and sells textiles. It deals in yarn, linen, cloth and

other goods and fabrics made from raw cotton, synthetic fibre and cloth and generate,

accumulate, distribute and supply electricity. The Group's plants are located at Faisalabad,


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Sheikhupura, Lahore and Feroze Watwan. 9000 employees of the company and also ISO 9001

certified and recently achieved by SA 8000 certificate.

Company profile:

Nishat is playing a significant role in the private sector by adding value to cotton and the cotton

based economy, Nishat Group ranks among the top five business houses in Pakistan in terms of

sales and assets. . Today, Nishat is considered to be at par with multinationals operating locally

in terms of its quality products and management skills. The company Annual turnover is 17

billion Rupees, company earn 14 billion rupees for textile and also pay tax of 2,080 million

Rupees annually.

We are focus on the Nishat Chunain Power LTD.it is a part of NML.

Data finding and conclusion :

Given at the time of conducting or solving the questionnaire.

Literature review:

Definition of variables with relationshipHUMAN RESOURCE MANAGEMENT PRACTICES:

Researcher (Legare, 1998) said that recent trends toward globalization and mergers and

acquisitions in the business world make the study of HRM practices in the context of country and

industry a necessity.

1. Manufacturing and human resources fit:According to Bratton et al (2001), Staffing refers to find the people with suitable

skills abilities, knowledge and experience to fill jobs in the work Organization.

(Cappelli and Singh 1993; Kogut and Zander 1992; Pfeffer 1994) stated that the

argument is consistent with recent work asserting that human resources can be a


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primary source of sustainable competitive advantage for a firm. Cronbachs alpha for

the measure for this sample was 0.80.

H1: Manufacturing and human resources fit is positively related with organizational

performance.

2. Behavior and attitude:Mullin (1996) stated that "treat the selection as you would when conducting due

diligence during a planned acquisition." HR practices affect performance in part by

affecting employee perceptions, attitudes, and behaviors (Ostroff and Bowen 2000;

Wright etal. 2001). Cronbachs alpha for the measure for this sample was 0.89.

H2: Behavior and attitude is positively related with organizational performance.

3. Team activities:(Kaplan & Norton, 2006 and 2007) explains teamwork as with the creation of work

teams to solve problems or develop opportunities. (Dweck and Leggett, 1988; Eliott

and Dweck, 1988; VandeWalle et al., 1999) stated that taking a developmental,

problem solving perspective, rather than a judgmental one can help individuals learn

from their experience and improve their organizational performance . Cro nbachs

alpha for the measure for this sample was 0.91.

H3: Team activities have positive effect on organization performance.

4. Interaction facilitation:We are surprised by this observation since Germany, under a national industrial and

educational policy, offers apprenticeship training to secondary school students to

facilitate the school-to-work transition (MacDuffie and Kochan, 1995). The level of

trust and type of relationship between superior and subordinate may determinewhether or not an incentive will be perceived as controlling by the subordinate (Kohn,

1993; Taylor, 1989). Cronbachs alpha for the measure for this sample was 0.89.

H4: Interaction facilitation has positive effect on organization performance.

5. Incentives to meet objectives:


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Snell and Dean (1992) further stress that a firm invests in employees to strengthen its

human capital, but the firm does not actually own this human capital. Brand's (1998)

research with 3M suggests that senior management must have a long-term

commitment with regard to their employees' careers. Cronbachs alpha for the

measure for this sample was 0.92.

H5: Incentives to meet objectives increase the organization performance.

6. Training on job skills:Coff (1997) stated that the human capital theory recognizes employee skills,

experience, and knowledge as assets with the potential to generate economic rent.

According to (Karen 2004), increased awareness and further experience will help the

early adopters better understand the issue around outsourcing and avoid the pitfalls so

that they can take better advantage of the benefits. Cronbachs alpha for the measure

for this sample was 0.78.

H6: Training on job skills has positive impact on organization performance.

7. Training in multi functions:Carmichael and MacLeod (1993) show how training workers in multiple skills will

also make an employment security pledge more credible. Crossley & Hiscock, 1992;Korteling, 1991; McDowd & Craik, 1988) stated that some studies have found larger

age-related differences in performance in less rather than more complex

tasks. Cronbachs alpha for the measure for this sample was 0.85.

H7: Training in multi functions improve the organization performance.

8. Communication of strategy:

According to (Tzafrir etal. 2004) involving the development of formal systems for thecontribution of ideas and suggestions and of plans for organizational communication.

Koufteros Vonderemb and Jayara, (2005) stated that supplier integration reduces the

internal complexity of projects and improves the coordination of communications and

information exchange with external human and technological resources. Cronbachs

alpha for the measure for this sample was 0.92.


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H9: Organization commitment has positive effect on organization performance.

9. Feedback on performance:(March & Simon, 1958; Thompson, 1967) stated that Continuous employee feedback

and developmental performance appraisal would likely be of great value to

manufacturers pursuing flexibility strategies because unpredictable environments

require mutual adjustment for coordination. Cronbachs alpha for the measure for

this sample was 0.88.

H9 : Feedback is negatively related to organization performance.

10. Organizational commitment (Mediating variable):

Huselid et al (1997) attest that there is broad agreement in the literature that strategicHRM . . . involves designing and implementing a set of internally consistent p olicies

and practices that ensure a firms human capital contributes to the achievement of its

business objectives. Anderson etal. (1994) stated that an employee with strong

organizational commitment will be highly motivated to expend energy on

organizational tasks. Cronbachs alpha for the measure for this sample was 0.89.

11. Organizational performance:An increasing body of research has addressed the implications of fit within HRM

function for organizational performance (Ichniowski, Shaw and Prennushi 1997;

Ichniowski and Shaw 1999, 2003). Much of the previous research on the relationship

between HRM practices and organizational performance has concentrated on a single

HR practice, such as compensation, selection, etc. (Gerhart and Milkovich, 1990).

Theory:

We take Pfeffer (1998), seven HRM practices as a proposed theory. We will be testing the HRMtheory at the plant or operations level of the organization.


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Theoretical framework:

Dependent variable is organization performance, which is the variable of primary interest. We

attempt to explain the variance in the dependent variable by the nine independent variables of (1)

Manufacturing and human resources fit, (2) Behavior and attitude, (3)Team activities, (4)

Interaction facilitation, (5) Incentives to meet objectives, (6)Training on job skills, (7) Training in

multi functions, (8) Communication of strategy, (9) Feedback on performance. Organization

commitment is the mediating variable and its between the dependent and independent variables.


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Schematic diagram:

Independent

variablesMediating variable Dependent variable


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