Addressing the Issues on Employees’ Turnover Intention in the Perspective of HRM Practices in SME

Background: Employees are increasingly being recognised as a valuable source of information, especially in knowledge-based businesses. Businesses, however, suffer financial and organisational memory losses related to re-hiring and training new staff, and lost productivity and intellectual property because of employee turnover. Hence, employee turnover should be considered an essential part of human resource management. Furthermore, employees’ trust in management and human resource (HR) practices substantially impact organisational commitment (OC). Thus, anticipating employee commitment and turnover intentions is crucial, as people are the sole source for knowledge-based firms to maintain their competitive advantage. In the context of selected Tehran Renewable Energy (RE) firms, this study investigated the mediating impact of OC on the relationship between HR practices (recruitment and selection; training and development opportunities; performance appraisal and evaluation; teamwork; compensation and pay; and job security) and employee turnover intention. Methods: This is a cross-sectional study in Tehran that involved 90 experts and knowledgeable employees from four of Tehran's top RE businesses. A questionnaire was distributed to collect data which was later analysed with correlation, regression and bootstrapping analyses. Results: All six dimensions of HR practices were discovered to have an indirect impact on turnover intention and a direct impact on OC. OC among employees has an indirect effect on turnover intention. It was also revealed that the training and development opportunity has the most considerable effect on OC and turnover intention. OC was not found as a mediator between HR practices and turnover intention. Conclusions: The outcomes of this study showed that both training and development opportunities; and pay and compensation structure were found to be two significant components of HR practices in the relationship with OC. RE managers should employ appropriate HR strategies, particularly in these two dimensions, to improve an individual's degree of OC and reduce turnover intention.

Background: Employees are increasingly being recognised as a valuable source of information, especially in knowledge-based businesses. Businesses, however, suffer financial and organisational memory losses related to re-hiring and training new staff, and lost productivity and intellectual property because of employee turnover. Hence, employee turnover should be considered an essential part of human resource management. Furthermore, employees' trust in management and human resource (HR) practices substantially impact organisational commitment (OC). Thus, anticipating employee commitment and turnover intentions is crucial, as people are the sole source for knowledge-based firms to maintain their competitive advantage. In the context of selected Tehran Renewable Energy (RE) firms, this study investigated the mediating impact of OC on the relationship between HR practices (recruitment and selection; training and development opportunities; performance appraisal and evaluation; teamwork; compensation and pay; and job security) and employee turnover intention. Methods: This is a cross-sectional study in Tehran that involved 90 experts and knowledgeable employees from four of Tehran's top RE businesses. A questionnaire was distributed to collect data which was later analysed with correlation, regression and bootstrapping analyses. Results: All six dimensions of HR practices were discovered to have an indirect impact on turnover intention and a direct impact on OC. OC among employees has an indirect effect on turnover intention. It was also revealed that the training and development opportunity has the most considerable effect on OC and turnover intention. OC was not found as a mediator between HR practices and turnover intention. Conclusions: The outcomes of this study showed that both training and development opportunities; and pay and compensation structure were found to be two significant components of HR practices in the relationship with OC. RE managers should employ appropriate HR strategies, particularly in these two dimensions, to improve an individual's degree of OC and reduce turnover intention.

Background: Employees are increasingly being recognised as a valuable source of information, especially in knowledge-based businesses. Businesses, however, suffer financial and organisational memory losses related to re-hiring and training new staff, and lost productivity and intellectual property because of employee turnover. Hence, employee turnover should be considered an essential part of human resource management. Furthermore, employees' trust in management and human resource (HR) practices substantially impact organisational commitment (OC). Thus, anticipating employee commitment and turnover intentions is crucial, as people are the sole source for knowledge-based firms to maintain their competitive advantage. In the context of selected Tehran Renewable Energy (RE) firms, this study investigated the mediating impact of OC on the relationship between HR practices (recruitment and selection; training and development opportunities; performance appraisal and evaluation; teamwork; compensation and pay; and job security) and employee turnover intention. Methods: This is a cross-sectional study in Tehran that involved 90 experts and knowledgeable employees from four of Tehran's top RE businesses. A questionnaire was distributed to collect data which was later analysed with correlation, regression and bootstrapping analyses. Results: All six dimensions of HR practices were discovered to have an indirect impact on turnover intention and a direct impact on OC. OC among employees has an indirect effect on turnover intention. It was also revealed that the training and development opportunity has the most considerable effect on OC and turnover intention. OC was not found as a mediator between HR practices and turnover intention. Conclusions: The outcomes of this study showed that both training and development opportunities; and pay and compensation structure were found to be two significant components of HR practices in the relationship with OC. RE managers should employ appropriate HR strategies, particularly in these two dimensions, to improve an individual's degree of OC and reduce turnover intention.

PurposeIn large enterprises, the notion is that an organization’s business strategy is a significant determinant of its human resource (HR) practices. However, there is limited evidence in the literature of such linkages for small and medium enterprises (SMEs). The purpose of this paper is to examine the nature and extent of the relationship between the types of business strategies used and HR practices, namely, staffing, training and employee relations among SMEs.Design/methodology/approachThe authors have collected data from 168 SMEs manufacturing autoparts and purposively chosen three SME case studies to derive in-depth observations of business strategies and HR practices. Quantitative results from the survey indicate that these SMEs exhibit a logical relationship between the strategic posture of the SMEs and their adopted HR practices.FindingsThis study illustrates that SMEs operating in the risky and lesser developed labor markets of a lower-income country such as Pakistan adopt certain practices that differ considerably from firms operating in more competitive automotive markets using highly skilled labor. The findings suggest that there is a significant potential to be realized through strategically managing HR practices to achieve sustainable competitive advantage.Practical implicationsEducation of supervisors and management and suitable skill level of labor in tandem with continuous cutting edge industrial training appear to be the most successful business strategy followed by Prospector and Analyzer SMEs. For greater efficiency they need to have dedicated HR management, and financial and auditing services. Meanwhile, public sector entities as well as representative business bodies need to provide targeted practical technical and financial training and assistance to strengthen Defender and Reactor SMEs and improve their range of outputs.Originality/valueThis study contributed to the SMEs’ management literature in the context of Pakistan because there are very few studies that have examined the impact of business strategy on the HR practices in SMEs manufacturing autoparts in the automotive industry of Pakistan. The case study approach captures detailed insights and identifies the areas where the SMEs in developing countries perform differently than the SMEs in developed countries.

Manuscript type: Research paper Research aims: The aim of this paper is to investigate the impact of human resource practices, namely employee involvement and employee recognition, on normative commitments. It also attempts to determine the role of the ability, motivation and opportunity (AMO) model as a mediator in the relationship associated with human resource practices, and normative commitments. Design/Methodology/Approach: Data were collected across 168 employees, working in small and medium enterprises (SMEs) in Selangor, Malaysia. Structural equation modelling with bootstrapping estimation was used to predict and estimate the relationships. Research findings: The results indicate that both employee involvement and employee recognition have a significant impact on the normative commitment. This study however, indicates no mediation effect on both of these relationships. Theoretical contribution/Originality: This study seeks to compliment and extend the human resource (HR) practice and organisational commitment literature base by incorporating the AMO model as a mediation variable. Practitioner/Policy implication: The underlying messages to HR practitioners and also SMEs owners are that employee involvement and employee recognition are amongst the most important HR practices to be employed in the current working environment, which will soon be dominated by the millennials. Organisations should focus on exhibiting a great working environment that involves employees in daily work activities, and promotes recognition programmes that motivates employees’ retention rates. Research limitation: Data were collected through the use of a questionnaire in a designated period of time, and did not permit causal inferences. Moreover, it only focusses on service sectors of SMEs, and therefore the results may not be as generalised as one sought it to be.

Academic institutions cannot survive and perform well without competent and committed academic staff. Therefore, it is important to address the issue of faculty members’ turnover. Focus of this study is to investigate the impact of human resource practices (salary, performance appraisal, training and development) and career growth (career goal progress, professional ability development, promotion speed, and remuneration growth) on faculty members’ turnover intention. The study has used a cross sectional survey data from a sample of 270 full time faculty members of universities in Pakistan. The Partial Least Square (PLS) two step path modeling was used to test the direct and indirect hypotheses. The results indicate that salary and performance appraisals are significantly and negatively related to turnover intention. Besides, it was found that out of four dimensions of career growth, only promotion speed and remuneration growth have significant direct relationship with turnover intention. With regards to mediated relationships, it was found that organizational commitment mediates the relationships between career growth (career goal progress, promotion speed, remuneration growth) and turnover intention. These findings suggest that in order to reduce turnover intention among faculty members, the higher education institutions must institutionalize human resource policies and practices that enhance career growth and employees’ development.

In the dynamic environment of small and medium-sized enterprises (SMEs), the expertise of Talent Management (TM) and Human Resource (HR) practices is important. These include a comprehensive approach for identifying, nurturing and retaining qualified workers, which define the core structure of SMEs' organizational strength. It represent an inclusive strategy to workforce development, including recruiting, upskilling, performance optimization, and developing a working culture that is well matched to the unique subtleties and challenges that SMEs encounter. This review provides a comprehensive examination of TM and HR management (HRM) methods in the context of SMEs. It starts by stressing the significance and specifics of SMEs, emphasizing their critical role in fostering growth as well as the unique obstacles they confront as a result of resource restrictions and enterprising dynamics. The importance of TM in SMEs is highlighted its crucial role in generating organizational success and innovation. Despite the inherent difficulties of TM in SMEs, such as limited resources and talent acquisition hurdles, there are exciting opportunities for advancement. Innovations in technology, strategic collaborations and talent development programs provide opportunities for SMEs to improve their competitiveness and sustainability. By addressing these significant difficulties, this summary gives a complete review of TM and HRM practices in SMEs, emphasizing the need for specialized solutions to assist SMEs with managing the complexity of recruitment and achieving sustainable success.

The impact of Human Resource (HR) practices on the performance of state universities in Sri Lanka is analyzed in the context of mediating employee attitudes encompassing customer orientation, resource management, internal business processes, and learning and growth. The objectives of this research are to identify the determine factors influencing HR practices, organizational performance, and employee attitudes in Sri Lankan state universities. It also aims to establish the link between HR practices and organizational performance in these institutions while exploring the mediating role of employee attitude between HR Practices and organizational performance in State Universities in Sri Lanka. Ultimately, the research seeks to construct a conceptual model that delineates the conceptual relationships between HR practices and organizational performance factors within Sri Lankan state universities. This research is structured in two stages: the first phase is classified as exploratory research, during which a conceptual model is developed based on identified factors. The subsequent stage is a conclusive research design, combining descriptive and causal research methods. The researcher has collected a total of 184 articles as sample data pertaining to HR practices, organizational performance, and employee attitudes. Secondary sources were also consulted for data collection. Qualitative analysis has revealed that the factors influencing HR practices in Sri Lankan state universities encompass Recruitment and Selection (RS), Training and Development (TD), Performance Appraisal (PA), Reward Management and Compensation (RMC), Working Environment (WE), and Organizational Culture (OC). Factors influencing Organizational Performance (OP) are associated with Customers (Students), Resources (Academic and Administrative staff), Internal Business Processes (Degree programmes, etc.), Innovation, Learning, and Growth (ILG). Employee attitude factors include Job Satisfaction (JS), Employee Engagement (EE), Employee Commitment (EC), Employee Involvement (EI), as well as affective, behavioral, and cognitive components of attitude. Utilizing these identified factors, a conceptual model has been devised to elucidate the conceptual relationships between HR practices and organizational performance factors, taking into account the mediating influence of employee attitude factors.

The impact of Human Resource (HR) practices on the performance of state universities in SriLanka is analyzed in the context of mediating employee attitudes. This study has 3 objectivessuch as identification of factors of human resource practices, organizational performance, andemployee attitudes in Sri Lankan state universities, establishment of the relationship betweenHR practices and organizational performance and exploration of the mediating role of employeeattitude between HR Practices and organizational performance in State Universities in Sri Lanka.This study is based on literature review. The researcher has collected a total of 184 articles assample research articles pertaining to HR practices, organizational performance, and employeeattitudes. Based on the literature survey, researcher identified he following dimensions under thevariable of HR practices in Sri Lankan state universities encompass Recruitment and Selection(R&S), Training and Development (T&D), Performance Appraisal (PA), Reward Managementand Compensation (RM&C), Working Environment (WE), and Organizational Culture (OC).Identified dimensions of Organizational Performance (OP) are associated with Customers(Students), Resources (Human Resource, Physical Infrastructure, Financial Fund, etc.), KeyService Line/Internal Business Processes (Degree programmes, etc.), Innovation, Learning, andGrowth (ILG) consist of Teaching and Learning, Research and Development, CommunityOutreach Activities). Employee attitude variable include Job Satisfaction (JS), EmployeeEngagement (EE), Employee Commitment (EC), Employee Involvement (EI), as well asaffective, behavioral, and cognitive components of attitude. These are tentative findings forexplorative research. Utilizing these identified variables/dimensions, a conceptual model hasbeen devised to explain the conceptual relationships between HR practices and organizationalperformance factors, taking into account the mediating influence of employee attitude factors.These tentative findings will be confirmed by conclusive research in latter part of the study.

The article aims to examine the relationship between the human resource practices and employees' turnover intention in United Arab Emirates health care sector. This quantitative study utilized a structure equation model (SEM) technique with Analysis of Moment Structures (AMOS) 18 software package to analyze data and to investigate the impact of human resources practices on employees' turnover intention in United Arab Emirates health care services. Results of the study showed that human resources (HRM) practices in health care sector (recruitment and selection, performance appraisal, compensation, and career development) have significant relationship with turnover intention. However, this research was limited to the Public Health Care Sector in UAE and it is recommended to include Private health care sector. Moreover, inclusion of health care workers from different emirates such as Dubai and Sharjah will be needed in future researches. Health care facilities management should have a closer look at the significant human resource practices as an initiative to restructure HRM practices, policies, procedures to increase staff satisfaction, reduce employees' turnover intention and retain its valuable health care professionals. This article is among the first and most exhaustive ones carried out in health care sector in UAE. It explores the relationship between the human resource management practices and the employees' turnover intentions.

The article aims to examine the relationship between the human resource practices and employees' turnover intention in United Arab Emirates health care sector. This quantitative study utilized a structure equation model (SEM) technique with Analysis of Moment Structures (AMOS) 18 software package to analyze data and to investigate the impact of human resources practices on employees' turnover intention in United Arab Emirates health care services. Results of the study showed that human resources (HRM) practices in health care sector (recruitment and selection, performance appraisal, compensation, and career development) have significant relationship with turnover intention. However, this research was limited to the Public Health Care Sector in UAE and it is recommended to include Private health care sector. Moreover, inclusion of health care workers from different emirates such as Dubai and Sharjah will be needed in future researches. Health care facilities management should have a closer look at the significant human resource practices as an initiative to restructure HRM practices, policies, procedures to increase staff satisfaction, reduce employees' turnover intention and retain its valuable health care professionals. This article is among the first and most exhaustive ones carried out in health care sector in UAE. It explores the relationship between the human resource management practices and the employees' turnover intentions.

The purpose of this study is to investigate the impact of Human Resource (HR) practices on employees’ performance with moderating role of IWE. Self-administered questionnaires were distributed and data of 307 employees were collected from telecom sector of Pakistan. Findings reveal that performance appraisal and employee’s empowerment positively predict employees’ performance, while the relationship with regard to training could not be established as was expected. IWE moderate the relationship between HR practices (performance appraisal and empowerment) and employees’ performance. This study is useful since it provides insights into how IWE significantly improve the performance of employees within an organization when coupled with key HR practices.

A sample of 168 family‐owned fast growth small and medium enterprises (SMEs) was used to empirically examine the consequences of five human resource practices on sales growth performance. The results suggest that training and development, recruitment package, maintaining morale, use of performance appraisals, and competitive compensation were more important for high sales‐growth performing firms than for low sales‐growth performing firms. In addition, we examined the use of incentive compensation in the form of cash, noncash, and benefits and perks for four different levels of employees in family‐owned SMEs. The findings suggest that high sales‐growth performing firms used more cash incentive compensation at every level in the organization.

PurposeThis research identifies human resource (HR) management challenges and associated solutions of a medium-sized organization that reached a critical threshold of employees and required formalized HR systems. HR solutions focused on using labour efficiently, linking pay to performance and motivating or rewarding desired employee behaviour are identified.Design/methodology/approachThis case study involved HR data analysis and 50 semi-structured interviews (SSIs) over 4 successive phases: HR audit, problem identification and job description validation, solutions analysis and feedback on outcomes. Additionally, HR files and schedules were reviewed to determine labour usage, organizational structure and compensation.FindingsHR problems and solutions associated with job analysis (e.g. role identity, role conflict), HR planning (e.g. scheduling, motivation), employee performance management (e.g. validity, employee empowerment) and compensation (e.g. inequity, turnover intentions) issues are clearly identified.Research limitations/implicationsTraditionally, HR theory or concepts are presented in a limited or isolated manner. However, this research provides an integrative assessment of numerous interrelated, complex, core HR concepts including role conflict, equity, employee empowerment, motivation, consensus building, accountability, change champions, communication and coaching.Practical implicationsThis multi-phased, multi-stakeholder approach to small and medium enterprise (SME) management informs organizational leaders about HR problems and solutions they may encounter as they grow and require formalized HR systems. The proposed solutions can help safeguard organizational survival.Originality/valueThis research bridges HR theory with HR practices focusing specifically on SMEs. In addition, SMEs can benefit from the HR process information presented to conduct similar evidence-based HR problem and solution assessments.

This article analyzes diverse aspects of human resource management as practiced in small and medium scale businesses. The significance of human resource management has increased with the expansion of businesses at different levels due to the liberalization of market and trades across the world. The role of human resources in corporate organizations is crucial in the sense that the strength of people determines the growth of businesses. Human resources are taken as the most precious asset of SME. To reach its values the business must pay a huge importance in human resource management. The implementation of enterprise strategy relies on the employee’s quality as reflected in the entire process of engagement in the world of business. This paper has aimed to demonstrate the implementation of human resource practice and their impact in Small and Medium Enterprise (SME) performance. The data used in the paper have been from secondary sources including articles, reports and dissertations. The existing literature demonstrates the management of human resources is aspiring in the business world. Both management and implementation of human resources has influenced the success of small and medium enterprises. Indeed, the commendable management of human resource helps three fundamental intents of each enterprise: surviving, increasing and raising their incomes. The paper investigates into the role of Small Scale Enterprises (SMEs) in the manufacturing sector that contributes to the growth of economy. Indeed, small-scale enterprises are important for modern economy as it widely contributes to employment growth as well. The development of a country depends on economic prosperity. Managing human resources in businesses can help to enhance the status of corporate world that aims to multiply economy of all aspects of society. As business establishments are human organizations, people are very indispensable in its existence and success. The study has explored that human resource development is significant to any organizations ranging from small to large scale enterprise because it is well known that no business can exist without human beings. It is recommended that SMEs business should clearly define recruitment policies in consistency with the existing laws of a particular nation. Besides, there should be consistency in training activities, the owners of SMEs business should ensure that training offered to employees at all levels is pertinent to their needs. Overall, human resource management practices play a significant role in affecting labor productivity in manufacturing companies.