Examining the Relationship between Relational e-HRM and Organizational Performance: A Study of the Banks of Lahore during the COVID-19 Pandemic

Abstract

The current study empirically investigated the implementation of relational e-HRM practices in banks and examined their relationship with the overall organizational performance of the banks in Lahore during COVID-19 pandemic. It also highlighted the issues that managers face during the implementation of relational e-HRM practices. The mixed method approach was adopted to conduct this cross-sectional study. Commercial banks with their head offices in Lahore were chosen and 171 branches were selected randomly. The purposive sampling technique was used to collect qualitative data and semi-structured interviews of sixteen (16) branch managers were carried out online. Qualitative data was analyzed thematically while covariance-based structural equation modeling (CB-SEM) was used to understand the effect of e-HRM practices on organizational performance. Most of the banks were found to have implemented all the relational e-HRM practices except e-selection which was implemented only in two branches. Relational e-HRM practices showed a positive effect on the overall performance of banks during COVID-19 pandemic. Centralized decision- making, limited autonomy of bank branches, presence of senior, computer illiterate employees, and inadequate financial resources were found to obstruct the implementation of e-HRM practices. The current research added to the e-HRM literature and examined the association between relational e-HRM practices and overall organizational performance in the context of banks operating in Lahore which apparently was never done before. Only the top commercial banks operating in Lahore, one of the largest metropolitans in Pakistan, were included in this study. The generalizability of findings may be enhanced with further studies.