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Linking Leadership to Employees Performance: The Mediating Role of Human Resource Management

Author

Listed:
  • Nuru Siraj

    (Doctoral School of Economics & Regional Sciences, Hungarian University of Agriculture and Life Science, 2100 Gödöllő, Hungary)

  • István Hágen

    (Doctoral School of Economics & Regional Sciences, Hungarian University of Agriculture and Life Science, 2100 Gödöllő, Hungary)

  • Afriyadi Cahyadi

    (Doctoral School of Economics & Regional Sciences, Hungarian University of Agriculture and Life Science, 2100 Gödöllő, Hungary)

  • Anita Tangl

    (Doctoral School of Economics & Regional Sciences, Hungarian University of Agriculture and Life Science, 2100 Gödöllő, Hungary)

  • Goshu Desalegn

    (Doctoral School of Economics & Regional Sciences, Hungarian University of Agriculture and Life Science, 2100 Gödöllő, Hungary)

Abstract

Human resource management (HRM) practices along with appropriate leadership have a paramount role in enhancing employees’ performance. Even though there was much literature on the subject of HRM and leadership, there were still some unanswered questions about the set of HR practices that most effectively contribute to improved employees’ performance through proper leadership. The primary goal of this research was to look at how leadership quality affects employee performance, as well as the function of human resource management in mediating the relationship between leadership and employee performance in manufacturing industries in Addis Ababa, Ethiopia. The study used an explanatory and descriptive research design, and a mixed research approach (qualitative and quantitative), to achieve its goal. More specifically, a multi-stage sampling technique (simple random and purposive sampling) was employed. The data was collected from both primary and secondary sources, and analysis was made using a structural and measurement model by AMOS Version 2021. The finding of the study implies that; leadership has a positive and significant relationship with employee performance through human resource management, hence the full mediating role of human resource management was observed between leadership and employee performance. This study is novel in that, it contributes new finding to the existing literature by combining the relationship between leadership and employee performance in a single study and two different directions (direct and indirect). Hence, the recommendations can be applied by industry managers to boost employees’ performance through appropriate HRM practices and leadership by taking this finding as a benchmark. Based on the finding of the study, we recommend industry managers focus on human resource management indicators such as collaboration, involvement, actualization, perceivance, and teamwork to boost their leadership quality that deliberately influences employees’ performance.

Suggested Citation

  • Nuru Siraj & István Hágen & Afriyadi Cahyadi & Anita Tangl & Goshu Desalegn, 2022. "Linking Leadership to Employees Performance: The Mediating Role of Human Resource Management," Economies, MDPI, vol. 10(5), pages 1-21, May.
    • Handle: RePEc:gam:jecomi:v:10:y:2022:i:5:p:111-:d:812910
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    References listed on IDEAS

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    4. Jan Jonker & Bartjan W. Pennink, 2010. "The Essence of Methodology," Springer Books, in: The Essence of Research Methodology, chapter 0, pages 21-41, Springer.
    5. Xiaoyang, Tang, 2019. "Chinese Manufacturing Investments and Knowledge Transfer: A Report from Ethiopia," SAIS-CARI Policy Briefs 32/2019, Johns Hopkins University, School of Advanced International Studies (SAIS), China Africa Research Initiative (CARI).
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    Cited by:

    1. Guifang Wang & Zuraina Dato Mansor & Yee Choy Leong, 2024. "Unlocking digital performance: exploring the mediating role of employee competitive attitudes, behaviors, and dynamic capabilities in Chinese SMEs under high-involvement human resource management practice," Journal of Innovation and Entrepreneurship, Springer, vol. 13(1), pages 1-27, December.
    2. repec:bcp:journl:v:9:y:2025:i:10:p:1816-1829 is not listed on IDEAS
    3. Syarifuddin & Rahmad Ikbal & Irwan Safwadi & Bukhari Usman & Sulaiman, 2024. "The Influence of Collaboration Management, Leadership and Decision Making on Intensity Performance of Fostered Partners Through Personal Commitment of Cement Factory Pt Solusi Bangun Andalas (SBA)," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(12), pages 775-792, December.
    4. Ernest Kumi & George Kofi Amoako & Thomas Appiah & Kwasi Dartey-Baah, 2025. "The impact of digital transformation on organisational dynamics, HR practices, and wellbeing in Ghana's healthcare sector: a social exchange perspective," Future Business Journal, Springer, vol. 11(1), pages 1-25, December.

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