The linkages between human resource practices, leadership development and organisational effectiveness.

Abstract

Our research objectives are to study the relationship between Human Resource (HR) Practices and the relationship between effective leadership and organisational effectiveness. A survey was conducted by randomly chosen companies characterised as turbulent and dynamic in nature.

Our findings indicate that Recruitment and Selection practices are related to leadership actions that require qualities derived from one’s heredity or are developed from early life experiences i.e. integrity and analytical abilities. Early Identification and Planned Development practices are more related to actions that require qualities which can be developed through career experiences i.e. strong track record. Certain leadership qualities but not all can thus be developed through Human Resource Practices.

Leadership actions for managing change are also related to various aspects of organisational effectiveness. It was observed that formulating vision and strategies are related to innovation and financial performance. On the other hand, motivating subordinates and building strong and supportive relationships positively affected employee motivation and customer satisfaction.

Since it is evident that leadership for managing change is important for organisational success, conscious efforts should be made to attract and develop leaders and not just managers in an organisation. For instance, by promoting visibility to senior managers, mentoring and cross-postings. Such practices must gain support and cooperation from line managers as well as appropriate company policies. Leadership actions are unaffected by industry sector and company size. This shows that leadership is important in all firms regardless of size or sector.