Fostering Employee Engagement through Human Resource Practices: A Case of Manufacturing Firms in Malaysia

Abstract

ABSTRACT The primary objective of this study is to determine the influence of human resource management (HRM) practices on employee engagement. HRM practices comprise of training and development, financial and non-financial recognition, fringe benefits, and supervisor-subordinate relationship. A total of 306 operational level employees in manufacturing firms in the Northern Region of Peninsular Malaysia reported on HRM practices in their respective organizations as well as their level of engagement at work. Statistical analyses were conducted to examine the influence of HRM practices on employee engagement. The findings reported a significant and positive impact of financial and non-financial recognition as well as fringe benefits on employee engagement. The regression analysis result indicated that 40 percent of total variance of employee engagement was explained by HRM practices dimensions. Discussions elaborated on the research results while implications brought to fore the theoretical and practical contributions of this study. Finally, recommendations addressed several directions for future research. Keywords: Human resource management practice; Employee engagement; Malaysia ABSTRAK Objektif utama kajian ini adalah untuk mengkaji pengaruh amalan pengurusan sumber manusia (PSM) terhadap keterlibatan pekerja. Amalan PSM terdiri daripada latihan dan pembangunan, pengiktirafan kewangan dan bukan kewangan, faedah sampingan, dan hubungan penyelia dengan pekerja. Sejumlah 306 pekerja peringkat operasi dalam syarikat perkilangan di kawasan Utara Semenanjung Malaysia telah menjawab soal-selidik mengenai amalan PSM dalam organisasi masing-masing serta tahap keterlibatan mereka di tempat kerja. Analisis statistik telah dijalankan untuk mengenalpasti pengaruh amalan PSM terhadap keterlibatan pekerja. Hasil kajian mendapati terdapat hubungan yang signifikan dan positif antara pengiktirafan kewangan dan bukan kewangan serta faedah sampingan dengan keterlibatan pekerja. Keputusan analisis regresi juga menunjukkan bahawa amalan PSM menjelaskan sebanyak 40 peratus varians dalam keterlibatan pekerja. Perbincangan memperjelaskan hasil kajian manakala implikasi menjelaskan sumbangan teoretikal dan praktikal kajian ini. Akhir sekali, cadangan kajian mengemukakan beberapa arah kajian untuk masa hadapan. Kata kunci: Amalan pengurusan sumber manusia; Keterlibatan pekerja; Malaysia