The Strategic Role of Human Resource Management in Improving Organizational Performance
Keywords:
Strategic Human Resource Management; Organizational Performance; Employee Engagement; Human Capital; Organizational EffectivenessAbstract
The transformation of strategic human resource management is a central issue in modern organizational management, as the demands on organizational performance and competitiveness increase. This study aims to systematically analyze the relationship between strategic human resource management practices and organizational performance based on empirical findings in the current literature. The method used was a systematic literature study with reference to the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) guidelines. Articles are collected from reputable scientific databases, including Scopus, Google Scholar, ProQuest, and Elsevier, with a publication range of 2020-2025. Of the total 342 articles identified, after going through the screening and feasibility evaluation process, 20 articles were obtained that met the inclusion criteria for in-depth analysis. The results of the study show that strategic human resource management plays a significant role in improving organizational performance through strengthening employee competencies, work involvement, and work system effectiveness. In addition, the integration of strategic approaches in HR management has been proven to strengthen the contribution of the HR function as a strategic partner in achieving organizational goals. This research provides a theoretical contribution by enriching the synthesis of literature on strategic HR and its implications on organizational performance, as well as providing practical implications for organizations in designing performance and sustainability-oriented HR management policies.
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