High-involvement Human Resource Management Research Articles

Leadership Style and Person-Environment Fit (Pe Fit) to Improve Innovative Performance through High-Involvement Human Resource Management Practices (HIHRMPs) in Pt Varia Usaha Beton Employees

In the era of globalization and competition increasing business strict, innovation has become the key to maintaining Power and competitive organization. Behavior innovation in something organization becomes a necessary factor in getting attention and being a priority to achieve success in the competitive business world. Study This study influences Leadership Style and Person-environment Fit (Pe Fit) To increase Innovative Performance through High-Involvement Human Resource Management Practices (HIHRMPs) for PT Varia Usaha Beton employees. A survey was conducted with a spread questionnaire with the help of Google Forms to all over employees totaling 144 employees. Research results state that there exists an influence significance between Leadership Style and PE fit to HIHRMPs, as well exists an influence significance between Leadership Style and PE fit to Innovative Performance and also existence influence significance between HIHRMPs to Innovative Performance. Companies can make an environment conducive to work for employees who have the creativity to create new solutions and perform innovatively.

스마트공장 고도화 수준의 조직수준 결정요인에 대한 연구

Purpose - The purpose of this study is to explore the determinants of the organizational level for the advancement of smart factory. We suggested three determinants of the organizational level such as CEO’s entrepreneurship, high-involvement human resource management, and cooperative industrial relations.
 Design/methodology/approach - The population of our survey was manufacturing SMEs, and we took a sample and conducted a survey of 232 companies. Since the level of smart factory advancement, which is a dependent variable, was measured on an ordinal scale, ordinal logistic regression analysis was used to test the hypothesis.
 Findings - The higher the level of high-involvement human resource management, the higher the level of smart factory advancement. As the level of high-involvement human resource management increases by one unit, the probability of smart factory advancement increases by 22.8%. On the other hand, the CEO's entrepreneurship did not significantly affect the level of smart factory advancement. Interestingly, the cooperative industrial relations negatively affected to the level of smart factory advancement, contrary to the hypothesis prediction.
 Research implications or Originality - This study explored determinants at the organizational level that affect the advancement of smart factories. Through this, various implications are presented for related research and policy fields.

How high-involvement HRM practices motivate knowledge sharing and innovation: the role of market turbulence

PurposeThe purpose of this paper is to examine the impact of high-involvement human resource management (HRM) practices on innovation capabilities via the mediating role of knowledge sharing (KS) behaviors. This paper also investigates the potential moderating role of market turbulence in fostering the influence of KS behaviors on two forms of innovation capability, namely exploitative and exploratory innovation.Design/methodology/approachAnalysis of moment structures and structural equation modeling are applied to examine the correlation among the latent constructs based on the survey data collected from 125 manufacturing and service firms.FindingsThe findings of this study support the mediating role of KS behaviors in the relationship between high-involvement HRM practices and aspects of innovation capability. It highlights the important role of market turbulence in strengthening the influence of KS on exploitative and exploratory innovation.Research limitations/implicationsFuture research should investigate the impact of high-involvement HRM practices on innovation capability under the moderating effects of organizational variables, such as perceived organizational support, to bring better understanding on a new mechanism to pursuit innovation.Originality/valueThe paper significantly contributes to increasing knowledge and insights into the correlation between high-involvement HRM practices and specific forms of innovation. The understanding on the mediating role of KS behaviors and the moderating role of market turbulence contribute to advancing the body of knowledge of HRM and innovation theory.

The effect of high-involvement human resource management practices on supply chain resilience and operational performance

Supply chain (SC) resilience is an increasingly important topic for practitioners and academics because it is a competitive weapon for firms to cope with SC disruptive risks. This study examines the impact of high-involvement human resource management practices on SC resilience from the ability-motivation-opportunity perspective. It also examines the relationship between the dimensions of SC resilience and operational performance. Based on data collected from 206 Chinese manufacturers, the proposed hypotheses were tested using structural equation modeling. The results indicated that employee participation played the most powerful role in improving supplier, customer, and internal resilience. Moreover, employee skills only facilitate internal and customer resilience but have no significant impact on supplier resilience. By contrast, employee incentives do not influence the dimension of SC resilience. It was also found that both internal and customer resilience have positive effects on operational performance, while supplier resilience has no significant effect. The findings contribute to literature and practice.

Promotion mechanism of high-involvement human resource management practices to employees' bootlegging: A moderated mediation model.

Bootlegging is a frontier topic in micro-innovation literature. Existing research on the external environment-antecedents of employees' bootlegging focuses mainly on organizational innovation management practices and leadership. The relationship between human resource management and employees' bootlegging is still unclear. Thus, we follow the stimuli-organism-response model and use psychological ownership theory to examine a moderated mediation model with psychological ownership as a mediator and Chinese traditionality as a moderator to interpret how and when high-involvement human resource management practices influence employees' bootlegging. We administered three-wave time-lagged surveys to 251 employees and used SEM analysis to test the hypotheses. The results show that high-involvement human resource management practices is positively related to employees' psychological ownership. Whereas psychological ownership, in turn, positively related to bootlegging. Meanwhile, employees' psychological ownership plays a significant mediating role between high-involvement human resource management practices and employees' bootlegging. The results further showed that employees' Chinese traditionality weakens the influence of psychological ownership on bootlegging and the mediating effect of employees' psychological ownership between high-involvement human resource management practices and employees' bootlegging. This study makes several contributions to the bootlegging antecedent mechanism research. Specifically, it expands the understanding of the antecedents of bootlegging from a new perspective of human resource management, enriches the bootlegging-promotive cognition path from the perspective of psychological ownership, and enriches the proximal boundary in bootlegging antecedent mechanism from the perspective of individual personality. This study also inspires enterprises in innovation and talent management.

Determinants of Radical and Incremental Innovation: The Roles of Human Resource Management Practices, Knowledge Sharing, and Market Turbulence

Aim/Purpose: Given the increasingly important role of knowledge and human resources for firms in developing and emerging countries to pursue innovation, this paper aims to study and explore the potential intermediating roles of knowledge donation and collection in linking high-involvement human resource management (HRM) practice and innovation capability. The paper also explores possible moderators of market turbulence in fostering the influences of knowledge-sharing (KS) behaviors on innovation competence in terms of incremental and radical innovation. Background: The fitness of HRM practice is critical for organizations to foster knowledge capital and internal resources for improving innovation and sustaining competitive advantage. Methodology: The study sample is 309 respondents and Structural Equation Model (SEM) was used for the analysis of the data obtained through a questionnaire survey with the aid of AMOS version 22. Contribution: This paper increases the understanding of the precursor role of high-involvement HRM practices, intermediating mechanism of KS activities, and the regulating influence of market turbulence in predicting and fostering innovation capability, thereby pushing forward the theory of HRM and innovation management. Findings: The empirical findings support the proposed hypotheses relating to the intermediating role of KS in the HRM practices-innovation relationship. It spotlights the crucial character of market turbulence in driving the domination of knowledge-sharing behaviors on incremental innovation. Recommendations for Practitioners: The proposed research model can be applied by leaders and directors to foster their organizational innovation competence. Recommendation for Researchers: Researchers are recommended to explore the influence of different models of HRM practices on innovation to identify the most effective pathway leading to innovation for firms in developing and emerging nations. Impact on Society: This paper provides valuable initiatives for firms in developing and emerging markets on how to leverage the strategic and internal resources of an organization for enhancing innovation. Future Research: Future studies should investigate the influence of HRM practices and knowledge resources to promote frugal innovation models for dealing with resource scarcity.

HRM Practices, Organizational Culture and Nurse Staffing Turnover among High-Medicaid Nursing Homes

Nurse staffing turnover has been associated with nursing home quality, such as worse resident outcomes, higher rates of infection, and hospitalizations. Nurse staffing turnover can be worse in under-resourced nursing homes, such as those with a high proportion of Medicaid residents. These organizations may lack the resources to attract and retain nurse staff, and this could contribute to higher nurse turnover. However, even within this group of under-resourced nursing homes, we observe variations in nurse turnover rates. Using the resource-based view of the firm (RBV), we explored the role that both human resource management (HRM) practices and organizational culture may have in explaining the variations in nursing staff turnover among high Medicaid nursing homes. Data consisted of survey and secondary data sources for 2017-2018. Survey data comprised 348 responses (33% response rate) from a national mailer of US nursing home administrators in high-Medicaid (85% or higher) facilities. Survey data were merged with secondary datasets including Long-Term Care Focus (LTCFocus) and the Area Health Resource File (AHRF). The dependent variables (nurse staffing turnover rates) consisted of the percentages of registered nurses (RNs)/licensed practical nurses (LPNs)/certified nurse aides (CNAs) that had voluntarily quit the organization during the past year. The first independent variable, HRM practices, consisted of three sub-scales: traditional, employee-centered, and high involvement practices. The second independent variable consisted of nursing homes’ classification into one of four organizational cultures: clan, market, hierarchical, and non-dominant. Organizational and market variables were controlled for. Data were modeled using Poisson log-linear regression, and propensity score weights were used to adjust for potential survey non-response bias. Results show that high involvement HRM practices and having a clan culture (compared to a market, hierarchical, and non-dominant culture) are associated with lower RN, LPN, and CNA staffing turnover. The findings of this study highlight the importance of organizational culture as well as HRM practices for practitioners and policy makers to more effectively target their efforts to reduce nurse turnover in high Medicaid nursing homes. By reducing turnover, these under-resourced facilities may be able to lower costs and improve their financial performance, which may ultimately reduce the likelihood of closure with implications for access to long-term care. Similarly, lower nurse staffing turnover rates may improve quality of care for a particularly vulnerable nursing home population, i.e. those with lower SES and racial/ethnic minorities.

Leadership Styles, High-Involvement Human Resource Management Practices, and Individual Employee Performance in Small and Medium Enterprises in the Digital Era

This research investigates the positive relationship between leadership styles, high-involvement human resource management practices, and individual employee performance. In this study, we adopt servant, shared, and empowering leadership to explain leadership styles in the digital era. We propose four hypotheses and design a research framework to be analyzed. We develop a self-report questionnaire and distribute it online to three hundred targeted respondents, and collect two hundred and seventy-six complete responses from November 2021 to January 2022. This research applies a quantitative method, using structural equation modeling run by SPSS and AMOS. The results reveal well-distributed data, and all the indicators of the three variables are valid and reliable. The use of CFA confirms the indicators’ validity and reliability. The GoF analysis ensures that the research model is feasible for SMEs. The hypothesis analysis shows the acceptance of H1 and H3, but the rejection of H2 and H4. Leadership styles positively affect individual employee performance and high-involvement human resource management practices in SMEs operating in Lubuklinggau. High-involvement human resource management is not a mediator of the relationship between leadership styles and individual employee performance.

Facilitating the Creativity of Governmental Employees via High-Involvement Human Resource Management Practices

The study examines some of the facilitators of governmental employees’ creativity by developing and testing a model linking perceived high-involvement human resource practices (HIHRPs) to an employee’s creativity (EC), via the mediating mechanism of an employee’s felt trust (FT). Online questionnaires were used to collect data from 241 staff members at a main governmental university in Jordan. Structural-equation modeling (SEM) via AMOS and the PROCESS macro in SPSS were used for data analysis. The study found: 1-HIHRPs as a bundle had a positive significant influence on EC, however, as discrete practices, only empowerment and competence development had significant relations with EC. 2-HIHRPs (as a bundle and as discrete practices) had positive significant influences on FT. 3-FT was positively and significantly related to EC. 4-FT mediated the relations between HIHRPs (as a bundle and as discrete practices) and EC.

Impacts of high-involvement HRM practices on organizational innovation capability: the mediating mechanism of tacit and explicit knowledge sharing

PurposeGiven the important role of knowledge sharing (KS) processes for organizational innovation, the purpose of this study is to investigate the mediating roles of tacit and explicit KS in bridging the relationship between high-involvement human resource management (HRM) practices and specific aspects of innovation capability, namely, product and process innovation.Design/methodology/approachAnalysis of moment structures and structural equation modeling are applied to examine the correlation among the constructs based on the survey data collected from 111 manufacturing and service firms.FindingsThe empirical findings reveal that KS processes positively mediate the relationship between high-involvement HRM practices and innovation capability. It highlights the important role of explicit KS in fostering aspects of innovation capability compared to the effects of tacit KS on aspect of innovation capability.Practical implicationsVietnamese firms should pay much attention to high-involvement HRM practices to improve their innovation capabilities. In addition, fostering the willingness of employees for sharing tacit knowledge (e.g. experiences, uncommon understandings and insights) and explicit knowledge (e.g. formal information, official documents and reports and procedures and policies) is one of the most optimal solutions for firms to pursuit product and process innovation capability.Originality/valueThis paper significantly contributes to increasing knowledge and insights on the correlation between high-involvement HRM practices and specific forms of innovation. The understanding on mediating role of KS processes contributes to advancing the body of knowledge of HRM practices and innovation theory.

High-involvement HRM and innovative behaviour: The mediating roles of nursing staff's autonomy and affective commitment.

AimsThe purpose of this paper was to investigate the relationship between high‐involvement human resource management, autonomy, affective organisational commitment and innovative behaviours of nursing staff who care for elderly clients.BackgroundNursing teams are increasingly required to demonstrate innovative behaviours that enhance care quality. Nursing leaders need to create environments where nursing staff have sufficient autonomy and feel a sense of commitment to support these behaviours. The appropriate implementation of these processes and practices may lead to greater involvement.MethodsA cross‐sectional survey‐based research design was employed to explore the experiences of involvement practices, autonomy, affective organisational commitment and innovative behaviours of 567 nursing staff workers from four elderly care organisations in the Netherlands.ResultsThe results demonstrate that a bundle of high‐involvement practices positively influences innovative behaviour and that affective commitment and autonomy fully mediate this relationship.ConclusionsThe study highlights the role of autonomy and commitment as routes towards translating involvement practices into nurses’ innovativeness.Implications for Nursing ManagementTo create an innovative environment, leaders need to create a positive climate by providing nurses with opportunities to enhance their competence, relatedness and autonomy through active involvement. Leaders should, therefore, encourage involvement as a mechanism to promote innovation.

High-involvement HRM practices and innovative work behavior among production-line workers: mediating role of employee's functional flexibility

PurposeFollowing “AMO” framework and resource-based theory (RBT), the current study empirically examines the relationships between high-involvement human resource management (HI HRM) practices, employee functional flexibility (FF) and innovative work behavior (IWB). Furthermore, the mediating effect of FF has also been tested.Design/methodology/approachDescriptive statistics, correlation, hierarchical regression analysis, baron and Kenny, PROCESS Macro and Sobel Test approach were used on a sample of 894 employees of manufacturing concerns.FindingsFindings revealed a direct effect of HI HRM practices on FF and IWB. In addition, the results confirm that FF positively mediates between HI HRM practices and IWB. Furthermore, three dimensions of HI HRM practices, i.e. ability-enhancing (AE), motivation-enhancing (ME) and opportunity-enhancing (OE) HRM practices also predicted FF and IWB.Practical implicationsThis study not only offers the empirical evidence to validate the findings of past researchers, but also provide insight how HI HRM practices flourish the mechanism of FF in manufacturing concerns. Furthermore, this study highlighted some interesting facts that should be meaningful options for HR managers to enhance the level of employees' FF and IWB.Originality/valueAlthough the empirical evidence is well established that HI HRM practices have a substantial contribution for organizational performance, however, there is lack of studies that empirically examine the associations among HI HRM practices, employee's competencies and behaviors, as well as the mechanism through which HI HRM practices affect work related innovative behavior. Finally, in distinguishing from the past studies, this study explores HI HRM practices as an important predictor of FF in addressing the IWB.

HRM systems and employee affective commitment: the role of employee gender

PurposeDespite decades of studies on high-involvement human resource management (HRM) systems, questions remain of whether high-involvement HRM systems can increase the commitment of women. This study aims to contribute to the growing body of research on the cross-level effect of HRM systems and practices on employee affective commitment by considering the moderating role of gender.Design/methodology/approachIntegrating social exchange theory with gender role theory, this paper proposes that gender responses to HRM practices can be different. The hypotheses were tested using data from 104 small- and medium-sized retail enterprises and 6,320 employees from Spain.FindingsThe findings generally support the study’s hypotheses, with women’s affective commitment responding more strongly and positively to employees’ aggregated perceptions of a shop-level high-involvement HRM system. The findings imply that a high-involvement HRM system can promote the affective commitment of women.Originality/valueThis study investigates the impact of both an overall HRM system and function-specific HRM sub-systems (e.g. training, information, participation and autonomy). By showing that women can be more positively affected by high-involvement HRM systems, this paper suggests that high-involvement HRM systems can be used to encourage the involvement and participation of women.

HUMAN RESOURCE MANAGEMENT PRACTICES, ORGANIZATIONAL CULTURE, AND NURSE STAFFING TURNOVER

This study examines whether nursing homes’ (NHs) human resource management (HRM) practices and organizational culture are associated with nursing staff turnover. HRM practices are classified into traditional (employment selection tests, formal performance appraisal systems, and realistic job previews); employee-centered (flexible work hours and job sharing); and high involvement (incentive based/merit pay and self-managing teams). Organizational culture consists of four types: clan culture (friendly working environment); adhocracy culture (dynamic/creative working environment); market culture (results-based organization); and hierarchy culture (formalized/structured work environment). This study used facility survey data from approximately 324 NH administrators (30% response rate) from 2017- 2018, merged with secondary data from LTCFocus, Area Health Resource File, and Medicare Cost Reports. The dependent variables consisted of RN, LPN, and CNA turnover rates (% voluntarily quit), while the independent variables comprised HRM practices and type of organizational culture. Control variables consisted of organizational (ownership, chain affiliation, size, occupancy rate, and payer mix) and county-level factors (Medicare Advantage penetration, income, education, unemployment rate, poverty, and competition). Generalized linear model results show that every unit increase in high-involvement HRM practices is associated with a reduction of 6%, 4%, and 2% in RN, LPN, and CNA turnover rates, respectively. Also compared to hierarchical cultures, nursing homes with a clan culture are associated with a reduction of 62%, 49%, and 33% in RN, LPN, and CNA turnover rates, respectively. HRM practices and organizational cultures that promote employee participation, engagement, and empowerment have the potential to reduce nurse staffing turnover rates among underresourced nursing homes.

Contextual ambidexterity and innovation in healthcare in India: the role of HRM

PurposeThe purpose of this paper is to examine innovation in the resource-constrained context of India’s healthcare industry. It is argued that the process of innovation in addressing healthcare management challenges in such a context occurs through organisational ambidexterity and that human resource management (HRM) plays an important role.Design/methodology/approachA qualitative research methodology is applied to explore the role of HR practices in facilitating contextual ambidexterity and subsequent innovations in healthcare in India. The unit of analysis is the “case” of healthcare providers in India and in-depth interview and documentary data in two case sites are analysed to reveal the role of HRM in facilitating contextual ambidexterity and innovation. Data analysis was undertaken first at a within-case and then at a cross-case analysis level using interpretive manual coding based on how the data explained the role of HRM in delivering innovative outcomes and supporting organisational ambidexterity.FindingsThe authors found evidence of the use of sets of high-involvement HRM practices for exploration of new ideas and efficiency-driven HRM practices for creating contextual ambidexterity in the case organisations. Further, managerial/leadership style was found to play an important role in creating cultures of trust, openness, risk-taking and employee empowerment, supported by an appropriate mix of intrinsic and extrinsic rewards. Finally, training was also reported as being central to creating an ambidextrous context for delivering on various innovations in these healthcare providers.Originality/valueThis study represents an exploration of innovation in the context of India’s healthcare sector through intersecting literatures of ambidexterity, innovation and HRM practices. In light of the emerging economy research context, an important empirical contribution is palpable. Moreover, through a study design which included collecting data from multiple informants on the role of human resources in facilitating innovative outcomes, the authors reveal the role of HR-related initiatives, beyond formal HR practices in creating contextual ambidexterity. This study also reveals the degree to which contextual idiosyncrasies enhance our understanding of the role of HR in facilitating innovation in emerging economies.

Adapting technology: effect of high-involvement HRM and organisational trust

ABSTRACTThis study is designed to empirically test a model of high-involvement human resource management (HIHRM), organisational trust, and technology adaptation grounded on social exchange theory in the context of the private banking sector. The proposed model intends to add to the understanding of the effect of HIHRM on technology adaptation via the mediating influence of organisational trust. Frontline employees were surveyed using a self-administered questionnaire. Results from partial least square-structural equation modelling suggest that there is a significant influence of HIHRM on technology adaptation. Organisational trust further mediates the relationship. Thus, this paper finds an answer to the ‘black box’ of human resource management (HRM) practices, explaining how HIHRM influences employees’ attitudes towards technology adaptation. The study can help management have a better understanding of the importance of employee involvement-oriented HRM in introducing and implementing a new technology through the integration of trust processes in the organisation.

Human resource management practices and nursing turnover

Background: The objective of this study is to explore the nature of the association of discrete systems of human resource management practices and the rate of voluntary turnover of registered nurses (RNs) in a large sample of Canadian acute care hospitals and nursing homes. Turnover of nursing staff is a significant issue affecting healthcare cost, quality and access. The rate of annual turnover for registered nurses has been estimated to be about 20 percent in Canada, with a total cost of almost US$27,000 for each RN. Healthcare organizations that employ large numbers of registered nurses are keen to learn more about the role that organizational policies and practices play in reducing voluntary turnover, including the role of management and its deployment of human resources. The relationship of human resource management (HRM) practices and employee turnover has generally been under-investigated. Three HRM systems, composed of bundles of discrete workplace and employment practices, were assembled in order to assess the relationship of HRM practice systems with the rate of voluntary RN turnover, at the establishment level. The three HRM practice systems constructed are: a technical HRM system that focuses on policies and practices that regulate the employee-employer relationship; a quality-of-worklife HRM system that includes a variety of employee- and family-friendly employment practices; a high-involvement HRM system that involve workplace arrangements that increase commitment, engagement and participation of employees. Method and analysis: A questionnaire was sent to the chief nursing officers of 2,208 hospitals and long-term care facilities in every province and territory of Canada, yielding valid responses from 705 establishments. Each of the three HRM practice systems is estimated at each facility and comprises eight (8) discrete employment and workplace practices. Using estimates of voluntary RN turnover as the dependent variable, the analysis featured a step-wise ordinary least squares (OLS) regression model for each practice system. Results: After controlinf for facility characteristics and local labour market conditions, the quality-of-worklife HRM employment system ( p <.05) and high-involvement HRM works system ( p <.05) are found to be associated with lower voluntary turnover, yet their overall relationship with facility turnover appears to be quite modest. Our technical HRM system is not found to be associated with facility RN turnover. Conclusion: HRM systems comprising employee-friendly employment practices and nursing high-involvement work practices may play a significant (yet modest) role in reducing RN turnover.

Do high-involvement HRM practices matter for worker creativity? a cross-level approach

Drawing on the ability–motivation–opportunity (AMO) framework, this study investigated how and when high-involvement human resource management practices (HI HRM practices) influence worker creativity. Using a sample of 3316 production-line workers from 240 manufacturing companies in South Korea, we found that (a) a bundle of HI HRM practices was positively related to individual worker creativity, (b) learning orientation strengthened the positive relationship between the HI HRM practices and worker creativity and (c) intrinsic job motivation mediated these relationships. Such findings suggest that the HI HRM practices have significant cross-level impact on individual intrinsic job motivation and creativity at work.

The effect of high-involvement human resource management practices on supply chain integration

Purpose– Taking an interdisciplinary approach, the purpose of this paper is to combine concepts from human resource management (HRM) and supply chain management (SCM) fields and explore the effects of high-involvement HRM practices on supply chain integration (SCI).Design/methodology/approach– Using empirical survey data collected from ten countries, the authors examine the specific effects of three dimensions of high-involvement HRM practices – employee skills, incentives and participation – on three types of SCI – internal integration, supplier and customer integration. The authors use structural equation modeling and the maximum-likelihood estimation method to test the proposed relationships.Findings– The results confirm the overall relevancy of HRM to SCI. However, several proposed links are not supported by the data collected.Originality/value– This study makes both theoretical and managerial contributions by empirically examining the interface between HRM and SCI. More specifically, it examines the effects of different high-involvement HRM practices on different types of SCI. The findings will not only help researchers to better understand the interface, but will also guide managers in adjusting HRM practices to achieve desired operational goals.

HRM practices and organizational performance in Oman

PurposeThe purpose of this paper is to test the relationship between high‐involvement human resource management practices and organizational performance in the Sultanate of Oman, an Arabian Gulf country.Design/methodology/approachCompanies listed in the Muscat Securities Market in the Sultanate of Oman were surveyed. The final sample consisted of 87 companies. Survey responses were subjected to statistical analysis. Financial measures of organizational performance were also used in the analysis for a subset of the sample for which these data were available.FindingsResults of the statistical analysis indicated that, after controlling for size, type of firm (publicly traded or closely held) and average industry price‐earnings ratio, high involvement human resource management practices were positively related to subjective organizational performance and an objective measure of performance, ratio of market value to book value.Research limitations/implicationsResearch limitations include measuring high‐involvement HRM practices and subjective organizational performance from the same source, assuming that HRM practices are uniform across organizational levels and using a composite measure of high‐involvement HRM practices. Future research should address these limitations.Practical implicationsThe results of the study suggest that organizations in the Arabian Gulf can enhance their performance by implementing high‐involvement HRM practices in spite of the unique national culture and special features of the labour market in the region.Originality/valueTo the best of one's knowledge, this is the first study of high‐involvement HRM practices and organizational performance in the Arabian Gulf using both subjective and objective measures of organizational performance. Unlike other studies on HRM in Oman, this study was based on data collected from private‐sector organizations.