Article Sidebar

Download
View Article
Statistic
Read Counter : 678 Download : 560

Downloads

Download data is not yet available.

Main Article Content

Abstract

This study investigates the integration of Human Resource Management (HRM) practices and their impact on organizational financial efficiency, mediated by leadership and organizational culture. Engaging employees from diverse industries, the research utilizes purposive sampling with a minimum target of 200 participants. Primary data is collected through validated five-point Likert scale questionnaires and proceed with SMARTPLS to answer the hypotheses. Findings indicate that effective financial management practices contribute to enhancing organizational performance and serve as a foundational growth factor. Strong correlations are identified between financial management, organizational performance, leadership, organizational culture, and productivity. Investments in HRM practices influence critical aspects such as leadership, organizational culture, organizational performance, and productivity, fostering a productive work environment. Effective leadership shapes a culture aligned with organizational values, boosting team performance and productivity. The implications of these findings are vital in strategic decision-making, including resource allocation, HRM strategies, and leadership development. An integrated management approach combining financial and HRM aspects is crucial for optimizing organizational performance. Effective leadership development is key to enhancing organizational culture, performance, and productivity. Keywords: HRM Practices, Financial Management Practices, Financial Efficiency, Leadership, Organizational Culture, Productivity, Organizational Performance.

Keywords

Human Resource Management (HRM) Practice Financial Management Practice Financial Efficiency Leadership Organizational Culture Productivity Organizational Performance

Article Details

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

How to Cite
Asmini, Putra, A. H. P. K. P., & Adawiah, A. (2023). Improving Financial Efficiency through Integrated Human Resource Management and the Mediating Role of Leadership and Organizational Culture in Organizational Performance . Atestasi : Jurnal Ilmiah Akuntansi, 6(2), 546–569. https://doi.org/10.57178/atestasi.v6i2.712
Download Citation
Endnote/Zotero/Mendeley (RIS)
BibTeX

References

  1. Ammar, M., Haleem, A., Javaid, M., Walia, R., & Bahl, S. (2021). Improving material quality management and manufacturing organizations system through Industry 4.0 technologies. Materials Today: Proceedings, 45, 5089–5096. https://doi.org/https://doi.org/10.1016/j.matpr.2021.01.585
  2. Arshad Ali, A., Mahmood, A., Ikram, A., & Ahmad, A. (2020). Configuring the Drivers and Carriers of Process Innovation in Manufacturing Organizations. Journal of Open Innovation: Technology, Market, and Complexity, 6(4), 154. https://doi.org/https://doi.org/10.3390/joitmc6040154
  3. Azizi, M. R., Atlasi, R., Ziapour, A., Abbas, J., & Naemi, R. (2021). Innovative human resource management strategies during the COVID-19 pandemic: A systematic narrative review approach. Heliyon, 7(6), e07233. https://doi.org/10.1016/j.heliyon.2021.e07233
  4. Barney, J. B. (1991). Firm Reources ad Sustained Competitive Advantege. In Journal of Management (Vol. 17, Issue 1, pp. 99–120).
  5. Bloom, D. E., & Finlay, J. E. (2009). Demographic change and economic growth in Asia. Asian Economic Policy Review, 4(1), 45–64.
  6. Cardy, R. L., Gove, S., & DeMatteo, J. (2000). Dynamic and customer-oriented workplaces: implications for HRM practice and research. Journal of Quality Management, 5(2), 159–186. https://doi.org/https://doi.org/10.1016/S1084-8568(01)00019-0
  7. Chang, E., & Chin, H. (2018). Signaling or experiencing: Commitment HRM effects on recruitment and employees’ online ratings. Journal of Business Research, 84, 175–185. https://doi.org/https://doi.org/10.1016/j.jbusres.2017.11.002
  8. Clancy, D., Jacquinot, P., & Lozej, M. (2016). Government expenditure composition and fiscal policy spillovers in small open economies within a monetary union. Journal of Macroeconomics, 48, 305–326. https://doi.org/https://doi.org/10.1016/j.jmacro.2016.04.003
  9. Correia, R. J., Dias, J. G., & Teixeira, M. S. (2021). Dynamic capabilities and competitive advantages as mediator variables between market orientation and business performance. Journal of Strategy and Management, 14(2), 187–206. https://doi.org/10.1108/JSMA-12-2019-0223
  10. Coy, J. M., & Garcia-Feijoo, L. (2020). Growth options, risk dynamics, and cost of capital: Evidence from U.S. corporate control transactions. The Quarterly Review of Economics and Finance. https://doi.org/https://doi.org/10.1016/j.qref.2020.10.010
  11. Dereli, D. D. (2015). Innovation Management in Global Competition and Competitive Advantage. Procedia - Social and Behavioral Sciences, 195, 1365–1370. https://doi.org/https://doi.org/10.1016/j.sbspro.2015.06.323
  12. Diaz-Fernandez, M., Bornay-Barrachina, M., & Lopez-Cabrales, A. (2017). HRM practices and innovation performance: a panel-data approach. International Journal of Manpower, 38(3), 354–372. https://doi.org/10.1108/IJM-02-2015-0028
  13. Duran, C., Çetindere, A., & Şahan, Ö. (2014). An Analysis on the Relationship Between Total Quality Management Practices and Knowledge Management: The Case of Eskişehir. Procedia - Social and Behavioral Sciences, 109, 65–77. https://doi.org/https://doi.org/10.1016/j.sbspro.2013.12.422
  14. Durocher, S., Bujaki, M., & Brouard, F. (2016). Attracting Millennials: Legitimacy management and bottom-up socialization processes within accounting firms. Critical Perspectives on Accounting, 39, 1–24. https://doi.org/https://doi.org/10.1016/j.cpa.2016.02.002
  15. El-Chaarani, H. (2016). Exploring the impact of emotional intelligence on portfolio performance. Humanomics, 32(4), 474–497. https://doi.org/10.1108/H-02-2016-0012
  16. Eriksson, N., & Ujvari, S. (2015). Fiery Spirits in the context of institutional entrepreneurship in Swedish healthcare. Journal of Health Organization and Management, 29(4), 515–531. https://doi.org/10.1108/JHOM-09-2014-0158
  17. Evans, S., Vladimirova, D., Holgado, M., Van Fossen, K., Yang, M., Silva, E. A., & Barlow, C. Y. (2017). Business Model Innovation for Sustainability: Towards a Unified Perspective for Creation of Sustainable Business Models. Business Strategy and the Environment, 26(5), 597–608. https://doi.org/https://doi.org/10.1002/bse.1939
  18. Farouk, S., Abu Elanain, H. M., Obeidat, S. M., & Al-Nahyan, M. (2016). HRM practices and organizational performance in the UAE banking sector. International Journal of Productivity and Performance Management, 65(6), 773–791. https://doi.org/10.1108/IJPPM-01-2016-0010
  19. Fernando, G. D., Jain, S. S., & Tripathy, A. (2020). This cloud has a silver lining: Gender diversity, managerial ability, and firm performance. Journal of Business Research, 117, 484–496. https://doi.org/https://doi.org/10.1016/j.jbusres.2020.05.042
  20. Grinstein, A. (2008). The relationships between market orientation and alternative strategic orientations: A meta-analysis. European Journal of Marketing, 42(1–2), 115–134. https://doi.org/10.1108/03090560810840934
  21. Huang, X., Yang, F., Zheng, J., Feng, C., & Zhang, L. (2023). Personalized human resource management via HR analytics and artificial intelligence: Theory and implications. Asia Pacific Management Review, xxxx. https://doi.org/10.1016/j.apmrv.2023.04.004
  22. Javaid, M., Haleem, A., Pratap Singh, R., & Suman, R. (2021). Significance of Quality 4.0 towards comprehensive enhancement in manufacturing sector. Sensors International, 2, 100109. https://doi.org/https://doi.org/10.1016/j.sintl.2021.100109
  23. Jeha, H., Knio, M., & Bellos, G. (2022). The Impact of Compensation Practices on Employees’ Engagement and Motivation in Times of COVID-19. In S. B. T.-C.-19: T. G. P. through S. and S. T. Chatterjee (Ed.), COVID-19: Tackling Global Pandemics through Scientific and Social Tools (pp. 131–149). Academic Press. https://doi.org/10.1016/b978-0-323-85844-1.00004-0
  24. Keefer, Q. A. W. (2019). Decision-maker beliefs and the sunk-cost fallacy: Major League Baseball’s final-offer salary arbitration and utilization. Journal of Economic Psychology, 75, 102080. https://doi.org/https://doi.org/10.1016/j.joep.2018.06.002
  25. Kunze, L., & Suppa, N. (2017). Bowling alone or bowling at all? The effect of unemployment on social participation. Journal of Economic Behavior & Organization, 133, 213–235. https://doi.org/https://doi.org/10.1016/j.jebo.2016.11.012
  26. Kuo, T.-C., Hsu, N.-Y., Li, T. Y., & Chao, C.-J. (2021). Industry 4.0 enabling manufacturing competitiveness: Delivery performance improvement based on theory of constraints. Journal of Manufacturing Systems, 60, 152–161. https://doi.org/https://doi.org/10.1016/j.jmsy.2021.05.009
  27. Lan, S., Yang, C., & Tseng, M. L. (2019). Corporate sustainability on causal financial efficiency model in a hierarchical structure under uncertainties. Journal of Cleaner Production, 237, 117769. https://doi.org/10.1016/j.jclepro.2019.117769
  28. Lari, N. (2021). Predictors of job performance in Qatar labor market: a micro-level model. International Journal of Social Economics, 48(12), 1852–1869. https://doi.org/10.1108/IJSE-02-2021-0112
  29. Lewis, A. C., Cardy, R. L., & Huang, L. S. R. (2019). Institutional theory and HRM: A new look. Human Resource Management Review, 29(3), 316–335. https://doi.org/https://doi.org/10.1016/j.hrmr.2018.07.006
  30. Lin, C.-P., Huang, H.-T., & Huang, T. Y. (2020). The effects of responsible leadership and knowledge sharing on job performance among knowledge workers. Personnel Review, 49(9), 1879–1896. https://doi.org/10.1108/PR-12-2018-0527
  31. Linardi, F. M. (2020). Investors’ behavior and mutual fund portfolio allocations in Brazil during the global financial crisis. Latin American Journal of Central Banking, 1(1), 100007. https://doi.org/https://doi.org/10.1016/j.latcb.2020.100007
  32. Liu, Y., Combs, J. G., Ketchen, D. J., & Ireland, R. D. (2007). The value of human resource management for organizational performance. Business Horizons, 50(6), 503–511. https://doi.org/10.1016/j.bushor.2007.07.002
  33. Lombardi, R., de Villiers, C., Moscariello, N., & Pizzo, M. (2021). The disruption of blockchain in auditing – a systematic literature review and an agenda for future research. Accounting, Auditing & Accountability Journal, ahead-of-p(ahead-of-print). https://doi.org/10.1108/AAAJ-10-2020-4992
  34. Lucas, M., Bem-Haja, P., Siddiq, F., Moreira, A., & Redecker, C. (2021). The relation between in-service teachers’ digital competence and personal and contextual factors: What matters most? Computers & Education, 160, 104052. https://doi.org/https://doi.org/10.1016/j.compedu.2020.104052
  35. Ma, X. (2022). IS professionals’ information security behaviors in Chinese IT organizations for information security protection. Information Processing & Management, 59(1), 102744. https://doi.org/https://doi.org/10.1016/j.ipm.2021.102744
  36. Maqdliyan, R., & Setiawan, D. (2023). Antecedents and consequences of public sector organizational innovation. Journal of Open Innovation: Technology, Market, and Complexity, 9(2), 100042. https://doi.org/10.1016/j.joitmc.2023.100042
  37. Marchington, M. (2015). Human resource management (HRM): Too busy looking up to see where it is going longer term? Human Resource Management Review, 25(2), 176–187. https://doi.org/10.1016/j.hrmr.2015.01.007
  38. Olsen, J., Kasper, M., Kogler, C., Muehlbacher, S., & Kirchler, E. (2019). Mental accounting of income tax and value added tax among self-employed business owners. Journal of Economic Psychology, 70, 125–139. https://doi.org/https://doi.org/10.1016/j.joep.2018.12.007
  39. Otero González, L., Durán Santomil, P., & Tamayo Herrera, A. (2020). The effect of Enterprise Risk Management on the risk and the performance of Spanish listed companies. European Research on Management and Business Economics, 26(3), 111–120. https://doi.org/https://doi.org/10.1016/j.iedeen.2020.08.002
  40. Park, S. H., Lee, P. J., Lee, B. K., Roskams, M., & Haynes, B. P. (2020). Associations between job satisfaction, job characteristics, and acoustic environment in open-plan offices. Applied Acoustics, 168, 107425. https://doi.org/https://doi.org/10.1016/j.apacoust.2020.107425
  41. Poon, T. S.-C., & Law, K. K. (2020). Sustainable HRM: An extension of the paradox perspective. Human Resource Management Review, 100818. https://doi.org/https://doi.org/10.1016/j.hrmr.2020.100818
  42. Prikshat, V., Islam, M., Patel, P., Malik, A., Budhwar, P., & Gupta, S. (2023). AI-Augmented HRM: Literature review and a proposed multilevel framework for future research. Technological Forecasting and Social Change, 193, 122645. https://doi.org/https://doi.org/10.1016/j.techfore.2023.122645
  43. Renee Baptiste, N. (2008). Tightening the link between employee wellbeing at work and performance. Management Decision, 46(2), 284–309. https://doi.org/10.1108/00251740810854168
  44. Reshetko, N. I., Vakulenko, S. P., Kurenkov, P. V, Alexandrova, J., Merkulina, I., Kuzina, E. L., Vasilenko, M. A., Chebotareva, E. A., Solop, I. A., & Gašparík, J. (2021). Analysis of marketing efficiency on the example of Faraday future (Manufacturer of electronic machines). Transportation Research Procedia, 55, 348–355. https://doi.org/https://doi.org/10.1016/j.trpro.2021.07.091
  45. Sainju, B., Hartwell, C., & Edwards, J. (2021). Job satisfaction and employee turnover determinants in Fortune 50 companies: Insights from employee reviews from Indeed.com. Decision Support Systems, 148, 113582. https://doi.org/https://doi.org/10.1016/j.dss.2021.113582
  46. Sanusi, Z. M., Johari, R. J., Said, J., & Iskandar, T. (2015). The Effects of Internal Control System, Financial Management and Accountability of NPOs: The Perspective of Mosques in Malaysia. Procedia Economics and Finance, 28, 156–162. https://doi.org/https://doi.org/10.1016/S2212-5671(15)01095-3
  47. Saridakis, G., Lai, Y., & Cooper, C. L. (2017). Exploring the relationship between HRM and firm performance: A meta-analysis of longitudinal studies. Human Resource Management Review, 27(1), 87–96. https://doi.org/https://doi.org/10.1016/j.hrmr.2016.09.005
  48. Schulz, K., & Feist, M. (2021). Leveraging blockchain technology for innovative climate finance under the Green Climate Fund. Earth System Governance, 7, 100084. https://doi.org/https://doi.org/10.1016/j.esg.2020.100084
  49. Study shows both e-recruitment and training comprehensiveness help to improve employer branding. (2019). Human Resource Management International Digest, 27(5), 25–26. https://doi.org/10.1108/HRMID-05-2019-0140
  50. Tefera, C. A., & Hunsaker, W. D. (2020). Intangible assets and organizational citizenship behavior: A conceptual model. Heliyon, 6(7), e04497. https://doi.org/https://doi.org/10.1016/j.heliyon.2020.e04497
  51. Tippayawong, K. Y., Tiwaratreewit, T., & Sopadang, A. (2015). Positive Influence of Green Supply Chain Operations on Thai Electronic Firms’ Financial Performance. Procedia Engineering, 118, 683–690. https://doi.org/https://doi.org/10.1016/j.proeng.2015.08.503
  52. Treuren, G. J. M., & Fein, E. C. (2021). Perceptions of ethical climate and organizational justice as antecedents to employee performance: The mediating role of employees’ attributions of leader effectiveness. European Management Journal. https://doi.org/https://doi.org/10.1016/j.emj.2021.11.003
  53. Tzabbar, D., Tzafrir, S., & Baruch, Y. (2017). A bridge over troubled water: Replication, integration and extension of the relationship between HRM practices and organizational performance using moderating meta-analysis. Human Resource Management Review, 27(1), 134–148. https://doi.org/https://doi.org/10.1016/j.hrmr.2016.08.002
  54. Votto, A. M., Valecha, R., Najafirad, P., & Rao, H. R. (2021). Artificial Intelligence in Tactical Human Resource Management: A Systematic Literature Review. International Journal of Information Management Data Insights, 1(2), 100047. https://doi.org/10.1016/j.jjimei.2021.100047
  55. Vu, T.-V. (2022). Perceived socially responsible HRM, employee organizational identification, and job performance: the moderating effect of perceived organizational response to a global crisis. Heliyon, 8(11), e11563. https://doi.org/https://doi.org/10.1016/j.heliyon.2022.e11563
  56. Wani, J. A. B. T.-R. M. in S. S. (2023). Human Resources Management. Elsevier. https://doi.org/https://doi.org/10.1016/B978-0-323-95689-5.00051-1
  57. Wonglimpiyarat, J. (2015). New economics of innovation: Strategies to support high-tech SMEs. The Journal of High Technology Management Research, 26(2), 186–195. https://doi.org/https://doi.org/10.1016/j.hitech.2015.09.006
  58. Xiao, M., Cooke, F. L., Xu, J., & Bian, H. (2020). To what extent is corporate social responsibility part of human resource management in the Chinese context? A review of literature and future research directions. Human Resource Management Review, 30(4). https://doi.org/10.1016/j.hrmr.2019.100726
  59. Xie, Y., & Zheng, X. (2020). How does corporate learning orientation enhance industrial brand equity? The roles of firm capabilities and size. Journal of Business & Industrial Marketing, 35(2), 231–243. https://doi.org/10.1108/JBIM-10-2018-0320
  60. Yousaf, S., Imran Rasheed, M., Kaur, P., Islam, N., & Dhir, A. (2022). The dark side of phubbing in the workplace: Investigating the role of intrinsic motivation and the use of enterprise social media (ESM) in a cross-cultural setting. Journal of Business Research, 143, 81–93. https://doi.org/https://doi.org/10.1016/j.jbusres.2022.01.043
  61. Yu, J., Peng, F., Shi, X., & Yang, L. (2022). Impact of credit guarantee on firm performance: Evidence from China’s SMEs. Economic Analysis and Policy, 75, 624–636. https://doi.org/https://doi.org/10.1016/j.eap.2022.06.017
  62. Zaim, H., Ramadani, V., Dinibutun, S. R., Gërguri-Rashiti, S., & Said, D. S. (2021). Knowledge management and human resources performance: evidence from Turkish family businesses. Journal of Family Business Management, ahead-of-p(ahead-of-print). https://doi.org/10.1108/JFBM-11-2020-0108
  63. Zendehrouh, S., Gharibzadeh, S., & Towhidkhah, F. (2016). The role of time in conflict-triggered control: Extending the theory of response-conflict monitoring. Neuroscience Letters, 618, 110–114. https://doi.org/https://doi.org/10.1016/j.neulet.2016.02.062
  64. Zhao, H., Zhang, Y., Wang, W., & Cole, S. (2021). Contribution of travel participation to social integration and life satisfaction after spinal cord injury. Disability and Health Journal, 14(4), 101167. https://doi.org/https://doi.org/10.1016/j.dhjo.2021.101167
  65. Ziakkas, D., Michael, W. S., & Pechlivanis, K. (2022). The Implementation of Competency-Based Training and Assessment (CBTA) Framework in Aviation Manpower Planning. Transportation Research Procedia, 66, 226–239. https://doi.org/https://doi.org/10.1016/j.trpro.2022.12.023