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The Moderating Effects of Strategic Human Resource on Organizational Performance of Selected NGOs in Saudi Arabia

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  • Mustafa Mohammed Al-Mawmari

    (Department of Management, Al-Madina International University, Kualalumpur-Malaysia)

  • Ismail Bin Rejab

    (Department of Management, Al-Madina International University, Kualalumpur-Malaysia)

  • Mohammad Mahmoud Alzubi

    (Department of Management, Al-Madina International University, Kualalumpur-Malaysia)

Abstract

Over the last decade, organizations have been aware of the vital role human resources play in achieving better performance. Nevertheless, non-governmental organizations are not fully aware of this problem and need to make more use of human resource strategies to improve their organizational efficiency. Thus, the purpose of this study was to examine the relationship between Strategic Human Resource Management (SHRM) and organizational performance in non-governmental organizations and to determine the extent of the impact on organizational performance of SHRM (acquisition, training, retention and internal labor market); Data were collected through hard copy questionnaires distributed to 531 management and non-management staff of non-profit organizations based in Riyadh, Al-Qassim and Al-Sharqiyah districts of Saudi Arabia. The study’s instrument included 45 items and was designed to assess the practices of Strategic Human Resources (SHR), mediator variables and organizational performance. Hypothesized relationships between SHRM, organizational performance and mediators were then tested using Structural Equation Modeling. The results of the analysis showed that SHRM was significantly and positively related to organizational performance. Moreover, the results have shown that mediator variables, such as employee engagement, play a significant role in mediating between SHRM and organizational performance. The results showed that the acquisition and retention of all four independent variables had the greatest impact on organizational performance. In addition, the results of this study indicated that the mediated variables successfully mediated between the SHRM and the operational performance of non-governmental organizations. Finally, the results may help shape the foundation for practical guidelines for administrators of non-governmental organizations of promoting human resource management activity and for workers associated with preserving their strategic edge for long-term organizational performance.

Suggested Citation

  • Mustafa Mohammed Al-Mawmari & Ismail Bin Rejab & Mohammad Mahmoud Alzubi, 2020. "The Moderating Effects of Strategic Human Resource on Organizational Performance of Selected NGOs in Saudi Arabia," International Journal of Research and Scientific Innovation, International Journal of Research and Scientific Innovation (IJRSI), vol. 7(4), pages 68-78, April.
    • Handle: RePEc:bjc:journl:v:7:y:2020:i:4:p:68-78
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    References listed on IDEAS

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    1. Alan Barrett & Philip J. O'Connell, 2001. "Does Training Generally Work? The Returns to in-Company Training," ILR Review, Cornell University, ILR School, vol. 54(3), pages 647-662, April.
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