High-performance work practices model: Its impact on organizational performance in the export banana industry in the Philippines

• Main Author: Bernacer, Rustico V.
• Format: text
• Language: English
• Published: Animo Repository 2005
• Subjects: Personnel management; Strategic planning; Banana trade > Philippines; Business Administration, Management, and Operations
• Online Access: https://animorepository.dlsu.edu.ph/etd_doctoral/96; https://animorepository.dlsu.edu.ph/context/etd_doctoral/article/1095/viewcontent/TG03977_F_Partial.pdf
• Institution: De La Salle University

The study is aimed at assessing the effectiveness and the efficiency of strategic human resource management (SHRM) practices being implemented by the export banana companies in Southern Philippines in managing workforce. It involved all the 28 members of the Pilipino Banana Growers and Exporters Association, Inc. (PBGEA), who are growers and exporters of bananas. Specifically, the study investigated the extent that SHRM practices, commonly called in the literature as high-performance work practices (HPWPs), affect organizational performance in the export banana industry in the Philippines. Being strategic in nature, the investigation included the respondents evaluation of environmental conditions existing in the country today. Likewise, the research also determined the increased competitiveness gained by the banana growers and exporters with respect to financial and human resources and facilities. Traditional human resource management practices which included hiring, training and development, performance appraisal, and pay and reward were also assessed according to degree of importance and current level of implementation. Finally, the study looked into the extent that the aforementioned export banana companies implement HPWPs, the factors that significantly determined the latters effective implementation, and their impact on organizational performance measured through a five-dimension approach. De La Salle Professional Schools, Inc. High-performance Work Practices: Its Impact on Organizational Performance based on the results drawn, the export banana companies have been implementing HPWPs slightly to moderately in selected areas. Leading among the HPWPs being implemented is employment test. Attitude surveys and average hours of annual training were least implemented. The three principal components or factors related to the effective implementation of HPWPs were identified as employee motivation, employment and labor relations, and selection and maintenance. Multiple regression results showed that six HPWPs are correlated with organizational performance. Six HPWPs both predict and explain the fivedimension organizational performance: seniority is most often used as promotion rule, promotion of employees with minimum merit requirement, seniority if merit is equal, attitude surveys, use of formal dispute mechanism, and employee participation programs. In the export banana companies, promotions on the basis of seniority and merit predict and explain organizational performance seniority as basis for promotion properly administered is a potent force in building morale and instilling loyalty among employees. Seniority with minimum merit requirement which gives merit or efficiency greater weight than seniority encourages all employees to give better performance. Attitude surveys determine the effectiveness of management and supervision and the policies and programs affecting employee relations. Management must admit its responsibility for solving problems that attitude surveys reveal. De La Salle Professional Schools, Inc. High-performance Work Practices: Its Impact on Organizational Performance. Finally, all forms of participation or employee involvement measures being used in the export banana companies that allow employees to have direct input in the production and the rest of the other work processes have direct and favorable impact on organizational performance. The researcher recommends that human resource management be regularly updated with the latest developments in the economic, political, socio-cultural and legal aspects of the outside environment. Other studies may also be done in other types of industry which are starting to go exports. In order to sustain the resources-based increased competitiveness gained, .the export banana companies should continuously develop competencies of human resource, upgrade facilities and efficiently allocate financial resources through training and other forms of development. To enhance productivity, the export banana companies should emphasize employee motivation, employment and labor relations, and selection and maintenance, which are components of human resource acquisition and retention, and organizational control dimensions. The researcher also recommends to develop and to implement human resource strategy with clear ends or objectives and with impact on organizational performance. Finally, the study recommends to enhance and increase the level of implementation of high-performance work practices believed to have impact on and explain organizational performance, namely, seniority is most often used as promotion rule, De La Salle Professional Schools, Inc. High-performance Work Practices: Its Impact on Organizational Performance promotion of employees who meet minimum merit requirement, seniority based promotion if merit is equal, attitude surveys, use of formal dispute mechanism and employee participation programs.