Abstract
The linkages between corporate culture, corporate performance, and human resource management (HRM) practice have been broadly investigated, but, none of the previous studieshave analyzeda mediation mechanism in the relevant research models. This article aimed to analyze the complicated linkages among corporate culture, performance, and HRM practice. Especially, it aimed to underline the mediation of HRM in the research model. The research data were collected in Vietnam as one of the quickly developing countries, receiving a humble amount of research on that issue. Multiple regression analyses were employed to scrutinize the causal correlation from corporate culture to performance, while the mediating procedures were applied to investigate the mediating mechanism. The research findings reveal that clan, adhocracy, and market cultures likely improve corporate performance, whereas hierarchy culture negatively influences corporate performance. Furthermore, HRM practice was evidenced to partially mediate the effects of clan, market, and hierarchy culture on performance. Nevertheless, it fully mediates the influence of adhocracy culture on performance. This research is one of the first to link HRM practice to the relationship between corporate culture and performance, and then explore HRM mediation. The empirical results could help researchers and business managers in developing economies more deeply understand the complicated links among corporate culture, performance in business, and the mediation of HRM practice to make better decisions on corporate culture and HRM for their enterprises. Ultimately, they can gain better corporate performance.
Highlights
Enterprises have been struggling to survive and develop in tremendously dynamic business environments (Fekete & Bocskei, 2011)
The research findings reveal that clan, adhocracy, and market cultures likely improve corporate performance, whereas hierarchy culture negatively influences corporate performance
Anchored in the discussions mentioned above, it could propose that when investigating the causal relationship between corporate culture and performance, it should address the identification of missing imperative elements, such as the practice of human resource management (HRM); and the research should be conducted in an emerging country such as Vietnam
Summary
Enterprises have been struggling to survive and develop in tremendously dynamic business environments (Fekete & Bocskei, 2011). Based on the contingency viewpoint on HRM, Li, Qin, Jiang, Zhang, and Gao (2015) explained that the relationships among the practice of HRM, job, and corporate performance are conditional upon various other variables Empirical studies on this point of view have indicated that HRM’s effectiveness is contingent on corporate characteristics, including corporate culture. Lee and Kim (2017) explicated all four corporate culture dimensions to significantly influence corporate performance Potential clarifications for this heterogeneity can be based on missing vital elements in the research model (Surroca, Tribó, &Waddock, 2010). Anchored in the discussions mentioned above, it could propose that when investigating the causal relationship between corporate culture and performance, it should address the identification of missing imperative elements, such as the practice of HRM; and the research should be conducted in an emerging country such as Vietnam.
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