Research On The Impact Of The HRM Strength On The Enterprise Performance

After the farewell to the growth of GDP within an approximate range of 10 percent in the past 30 years, the average GDP growth of China has declined to 7.6 percent in the past 3 years.The growth speed indicates that China has stepped into a new situation in which the economic development will maintain a medium-high speed for many years. As the cells of the market economy, enterprises are confronted with many economic problems, for instance, the slow recovery of the global economy, the downturn of the domestic macro economy, the adjustment of industrial structure, the excess production capacity, the growth deficiency of the small and medium-sized enterprises and trade friction. Enterprises have to enhance their core competitiveness in the severe market environment. They should focus on the internal surroundings and factors, especially the cultivation, development and conservation of the human resources.With the change of market demand and the transition of management situation, enterprises’ emphasis on the people-oriented and harmonious management ideas is increasingly stronger.Playing an important role in the enterprise, human resource management(HRM) should not only stay on the stage of the personnel matters and institutional construction, but also promote the implementation and evaluation of the specific HRM activities. Only through the constant change of HRM practices, can the emprise increase the efficiency of management and give play to the value of employees, and finally improve the enterprise performance.However, although many Chinese enterprises attach importance to the HRM and invest large costs in the establishment of improved HRM system, the communication of the policy connotation and intention is obscure. Moreover, the implementation of the practical activities is not powerful.Therefore, the HRM is unable to deep into the Organization Gene to measure the employee’s psychological perception and the mechanism of HRM actions. The HRM staffs and ordinary employees don’t know how to improve their actions and attitudes to have a positive effect on the enterprise performance.Based on the analysis of the related literature and starting from the background, this paper put forward a research frame and three primary hypotheses of the relationship between HRM strength,organizational climate and enterprise performance. The main body of whole study includes 6chapters listed below.Chapter One is the preface including the background, significance, object, main content,approach and innovation of the research. The problem is raised in this part too. The research background and significance consists of two aspects of practice and theory.Chapter Two is the literature review. It integrates the concepts, dimensions, measurements and related empirical studies of HRM strength, organizational climate and enterprise performance into the comprehensive analysis and comments on them. Especially, it makes a detailed comparison between organizational climate and culture to clarify the differences and relationships,avoiding confusing the two concepts.Chapter Three is the research design which raises three primary hypotheses depending on the sense-making theory, social cognitive theory and social information processing theory. The three hypotheses are about the relationships of HRM strength and enterprise performance,organizational climate and enterprise performance, the moderating effect of organizational climate.In addition, the author translated the scale of HRM strength and adopted the scales of organizational climate and enterprise performance which developed or amended by the scholars.The rest of this part is the samples and questionnaire of the survey.Chapter Four is data analysis and hypothesis testing. Firstly, Cronbach’α coefficient and confirmatory factor analysis(CFA) are used to test the reliability and validity of the scales. The second part is the descriptive statistics of the total samples and the main variables. Thirdly,independent samples T test and analysis of variance(ANOVA) are used to analyze the variance of control variables on main variables. Most importantly, the fourth part uses correlation analysis,regression analysis and hierarchical regression to test the three sets of hypotheses.Chapter five is the discussions on research results and policy suggestions on HRM. This part discusses the results of the data analysis in detail and raises proposals which integrate HRM strength and organizational climate into a unit. At the aspect of HRM strength, it put forward five suggestions that enterprises should strengthen the execution of the HRM system, should make the distinctiveness of HRM strength more explicit, and should keep the consistency of HRM strength,and should reach the consensus of HRM strength, and should establish a performance appraisal system accordingly. At the aspect of organizational climate, it proposes three measures to build friendly-trust type of relationships, to foster fair-democratic style of management, and to weak hierarchical obstacle of execution. We hope that the suggestions have positive influence on the improvement of the HRM strength in enterprises.Chapter Six summarizes the research and outlooks the future. The summary illustrates the detailed procedure of the research and explains the deficiency of the research from the perspectives of scales and indicators. Moreover, it elaborates the research orientation in the future.In a word, the paper takes advantage of an integration of qualitative and quantitative methodsto investigate the relationships between HRM strength, organizational climate and enterprise performance. The results indicate that the HRM strength and its three dimensions have a significantly positive effect on the enterprise performance, the organizational climate and its three dimensions have a significantly positive effect on the enterprise performance, the organizational climate plays a moderating role in the relationship between the HRM strength and the enterprise performance.