Abstract
Performance management (PM) is a common practice used by organizations to assess and manage employees’ work. Much of PM research is closely related to management practices. Corporations in the public and nonprofit sector continuously develop PM programs to ensure the sustainability of their organizations. The study aims to analyze the impact of strategic human resources planning on the organizational performance of Jordanian public shareholding companies for senior management and functional unit managers (human resources, marketing, finance, and accounting). The researchers surveyed all the public shareholding companies registered with the Jordan Securities Commission (JSC) in 2019, wherein they found that only 60 companies applied strategic planning and human resources planning (HRP) together. Two hundred and twenty questionnaires were distributed in 52 companies surveyed, and 203 were adopted for statistical analysis. Several statistical methods were used, most notably the multiple regression analysis. The researchers found out a statistically significant impact of the strategic human resources planning (integration of HRP and strategic planning; strategic participation) on organizational performance. The results showed that adopting the strategic HRP dimensions leads to an increase in an organization’s overall productivity, employee satisfaction and reputation, as well as reduced operating costs. HR managers must understand the effectiveness of strategically designed HR practices across functions.
Highlights
In light of the increasing number of organizations and the complexity of businesses, the twenty-first century is witnessing fierce global competition, as well as interconnected, complicated, and dynamic environmental forces and influences that make it inevitable to avoid threats and seize opportunities
This research was designed to identify the effect of strategic human resources planning (HRP) on the performance of Jordanian public shareholding companies in the managers’ opinion, where two hypotheses were built, and the results of the hypotheses test were as follows: first, there is a statistically significant effect of the integration of HRP and strategic planning on the organizational performance
The results were consistent with those of Nwachukwu and Chladkova (2019), whose study points out that human resources (HR), financial resources, and strategic analysis capability are positively and significantly related to strategic performance
Summary
In light of the increasing number of organizations and the complexity of businesses, the twenty-first century is witnessing fierce global competition, as well as interconnected, complicated, and dynamic environmental forces and influences that make it inevitable to avoid threats and seize opportunities. Strategic planning is the core of the strategic management process and a managerial tool that enables organizations to deal with future events efficiently and effectively, providing them with greater control over their resources and environmental change response (Floris & Yilmaz, 2010). Traditional role of personnel management has become the role of strategic human resources (HR) management, strategic partnering, and, strategic planning process for an entire organization (Al-Omaria, Alomaria, & Aljawarneha, 2019). An organization’s mission, vision, and goals are foundational to its organizational performance, and when these guiding principles are shared at every level on the organizational ladder, they will be embraced by an engaged workforce.
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