scholarly journals The Impact of HRM Practices on Organizational Financial Performance of Banking Sector of Pakistan

2021 ◽  
Vol 9 (2) ◽  
pp. 125-139
Author(s):  
Jehanzaib Ali ◽  
◽  
Arqum Moqeet ◽  
Shafaq Jehanzaib ◽  
◽  
...  

This research comprehensively assessed the relation between framework of human resource management (HRM) practices and organizational financial performance. The results based on a sample of banks of Pakistan demonstrate that these practices have a monetarily and measurably huge effect on financial performance of organization in short and long term. Information was gathered through a questionnaire survey and tested on random sample of 120 bank employees in Pakistan. The effect of HR practices on financial performance of association is to a limited extent dependent upon their interrelationships. The mediating model is applied where the perceived organizational support is the mediating factor among the independent variables HR practices and dependent variable the financial performance of firm. The investigation demonstrates the relationship on the information gathered by the surveys using Statistical techniques, i.e. correlation and regression. The study concluded that all tested variables have a positive relation and impact on financial performance of banks. Towards the end, the research challenges are presented to mainstream researchers and future patterns are also enlisted.

2021 ◽  
Vol 4 (7) ◽  
pp. 4-19
Author(s):  
Akmal Baltayevich Allakuliev ◽  

The article examines the interaction of the country's GDP with the state budget in the short and long term, the impact of the macro-fiscal mechanism on the country's economic growth on the example of Uzbekistan.The aim of the study is to identify dynamic correlations between the country's state budget expenditures and the economic growth of the macro-fiscal mechanism in the short and long term, as well as to analyze the approximation or rate of return of GDP and the state budget to equilibrium during various macroeconomic shocks. and hesitation.The scientific novelties of the research are:


Green Finance ◽  
2021 ◽  
Vol 3 (4) ◽  
pp. 463-481
Author(s):  
Hakan KURT ◽  
◽  
Xuhui Peng ◽  

<abstract> <p>In the past two decades, research on the relationship between corporate social performance (CSP) and corporate financial performance (CFP) has seen considerable growth; however, evidence from Turkey remains scarce, and the results are not uniform. To address this lack, this study investigates the impact of CSP on CFP from the perspective of stakeholder theory. Following the investigation of 47 publicly listed companies from the BIST Corporate Governance Index (XKURY) in the period 2014–2018. The results demonstrate that CSP positively affects CFP in both the short and long term. This study addresses the lack of Turkish experience, and the results indicate that CSP is an intangible resource in corporate strategy that can improve the competitive power of Turkish enterprises. Furthermore, the study emphasizes the positive role of CSP in short-term and long-term CFP in the Turkish context from the stakeholder perspective. The results have implications for Turkish policymakers regarding the rational use of corporate social responsibility (CSR) to promote economic development and insights for Turkish enterprises in terms of gaining stakeholders' trust and improving investors' valuation through the strategic use of CSR to achieve long-term, sustainable development of enterprise competitiveness and finance.</p> </abstract>


Author(s):  
M. Shoukat Malik ◽  
Muhammad Nadeem

The purpose of this paper is to investigate the impact of Corporate Social Responsibility on the Financial Performance of banks in the service sector of Pakistan. The data is obtained from the annual reports issued by the banks during 2008-2012. To verify the relationship between EPS, ROA, ROE, Net Profit and CSR regression models are used. The results show that there is lack of CSR in Pakistan and the regression model shows that there is positive relationship between profitability (EPS, ROA, ROE, and Net Profit) and CSR practices. The Financial institutions which implements CSR in their operations earn more profit for the long term periods.


2016 ◽  
Vol 3 (2) ◽  
pp. 58-76
Author(s):  
Syed Jawad Hussain Shahzad ◽  
Memoona Kanwal

This research work is based on the relationship that exists between the capital structure and performance of different sector's firms currently operating in the Pakistan. Capital structure decisions can be considered as the most important financial performance and risk management tools which are available to the companies' management. Capital structure can also play an important role in performance assessment, in performance management and in effective handling of ownership claims. The extensive use and heavy dependence on debt has exposed many companies to potential risk of declined performance and also to the risk of insolvency. This study analyzes the relationship between various capital structure indicators and dependence of financial performance of companies on these indicators using a broad sample covering 202 non-financial firms listed on Karachi Stock Exchange (KSE) over the period of 1999-2012. The sample firms are divided into five sectors i.e. Textile, Chemical, Cement, Food and Fuel & Energy. Financial performance of firms is quantified by Return on Assets (ROE), Return on Equity (ROE), Price-Earnings ratio (PE) and Tobin's Q (TQ). The relationship between financial performance measures and capital structure measures i.e. total debt, short term debt and long term debt is estimated using GLS fixed and random effect model. Sector wise comparison shows that majority of the sectors have similar capital structure. The impact of capital structure on the financial performance is also similar across sectors with few variations. Overall the relationship is found to be negative among capital structure and firm performance measured by ROA, ROE and PE except TQ which is positively related to Long Term Debt to total Assets (LTDA). The result of industry wise comparison contributes significantly to the existing stream of knowledge. The results indicate that lower reliance on the debt financing improves the performance of the firm whereas dependence and exposure of debt financing reduce performance. The research can be useful for the management of companies in different sectors that want to improve their performance.


2018 ◽  
Vol 41 (1) ◽  
pp. 113-132 ◽  
Author(s):  
Taghrid S. Suifan ◽  
Ayman Bahjat Abdallah ◽  
Marwa Al Janini

Purpose The purpose of this paper is to examine the effect of transformational leadership on employees’ creativity in the Jordanian banking sector through the mediating effect of perceived organizational support. Design/methodology/approach The study is based on survey data collected from 369 employees working in Jordanian banks. Validity and reliability analyses were performed, and direct and indirect effects were tested using structural equation modeling. Findings The results indicate that transformational leadership positively affects some dimensions of employees’ creativity and perceived organizational support. However, perceived organizational support is found to not be significantly related to some dimensions of employees’ creativity. Additionally, the mediating effect of perceived organizational support on the relationship between transformational leadership and some dimensions of employees’ creativity is found to not be significant. Originality/value This paper is one of the first to examine the relationship between transformational leadership and employees’ creativity through perceived organizational support, especially in an Arab country and in the banking sector.


2011 ◽  
Vol 8 (3) ◽  
pp. 28-41
Author(s):  
Suleyman Gokhan Gunay ◽  
Mustafa Heves

The aim of this paper is to show the relationship between corporate governance and bank financial performance during economic crisis. In other words, a stakeholder governance model is developed in order to test the instrumental stakeholder theory during economic crisis. It is found that the average return on equity for the group of banks that use stakeholder governance model is approximately 70% higher than the group of banks that use stockholder governance model in Turkey during the economic crisis period (2007-2009). These findings show the importance of stakeholder governance model during the economic crisis. In other words, it is found that banks immunized themselves against the effects of economic crisis in terms of their financial performance


2018 ◽  
Vol 2 (2) ◽  
pp. 01-18
Author(s):  
Ummara Fatima ◽  
Uzma Bashir

The study explores how financial performance (FP) affects the corporate social responsibility (CSR) of the banking sector of Pakistan. Further, it also elaborates the comparison between FP and CSR of Islamic and conventional banks of Pakistan. The study is based on the annual reports of banks listed at Pakistan Stock Exchange (PSE) for the years 2010-2016. The study used several panel data diagnostic tests and three regression models to check the relationship between FP and CSR of Islamic and conventional banks of Pakistan, while taking leverage and size as control variables. The results indicate that in case of conventional banks the relationship between ROE and CSR is negative. Here, the results are consistent with the agency theory which states that investment in CSR related activities is a waste of resources. While return on asset (ROA) is depicting negative and insignificant relationship with CSR, which depicts that FP does not have any impact on the investment in CSR initiatives. In the case of Islamic banks, the relationship between return on equity (ROE) and CSR is positive and significant. Here, the results support social contract and stakeholder theories. The research has important practical consequences that will help the banking industry managers to adopt optimal investment strategies about CSR related activities. The study provides guidelines to conventional banks to invest more in CSR in the same way Islamic banks are doing. The findings of the study lay some foundations upon which a more detailed analysis of CSR of banks could be based.


2003 ◽  
Vol 60 (4) ◽  
pp. 733-742 ◽  
Author(s):  
M.B Gaspar ◽  
F Leitão ◽  
M.N Santos ◽  
L Chícharo ◽  
M.D Dias ◽  
...  

Abstract The white clam Spisula solida is harvested along the entire coast of Portugal using mechanical dredges. In this study, the total direct mortality of the macrobenthic community caused by three types of clam dredges (north dredge—ND, traditional dredge—TD, and the metallic grid dredge—GD) used in the S. solida fishery was determined and compared. The relationship between mortality and catching efficiency for each type of dredge was also assessed. Our results showed significant differences for total direct mortality between the ND and both the GD and TD dredges. This difference was largely attributed to the mortality of animals that died in the dredge track as a direct result of the physical damage inflicted by the dredge passing. It was also found that the damage to uncaught individuals is directly related to gear efficiency. The lower catching efficiency of the ND (64%) led to a higher proportion of damaged individuals being left in the dredge path, when compared with the more efficient GD (98%) and TD (90%) dredges. Short and long-term implications of the impact of dredging on the composition of benthic communities are discussed. From fisheries management and ecological points of view, there are obvious advantages to introduce into the bivalve dredge fisheries more efficient and selective dredges in order to reduce the number of damaged individuals and by-catch, and consequently decreasing the impact on the macrobenthic communities.


Author(s):  
Kenan I. Alsayegh ◽  
Anas M. Z. Al-Haj Hussein ◽  
Ali H. Hatoum

This research deals with the relationship between some of the general characteristics of human resources in the Syrian banking sector, such as the level of education, training and experience, and the operational financial efficiency of this sector. The data for the human resources is collected from the employees of several private banks in Syria, then testing the relationship with the financial data derived from the annual financial statements published by those banks for year 2019, the same year of data collection. This study is the cornerstone of complementary studies, which is more specialized in the field of human resources and financial performance. The study concluded that there is no effect of the human resources efficiency on financial performance for year 2019, which raises the urgent need of conducting similar research for a range of years and more comprehensive study on the factors that effect financial performance whether in the Syrian market or other markets as a part of behavior analysis on financial market.


2020 ◽  
Vol 6 (2) ◽  
pp. 529-538
Author(s):  
Muhammad Waseem ◽  
Sher Ali ◽  
Hazrat Bilal ◽  
Arshad Ali Khan

This study was designed to evaluate the impact of high involvement HRM practices (HIHRP) on employees’ organizational citizenship behaviors (OCBs) in the context of banking sector of Pakistan. OCBs is considered as an important construct to evaluate the contextual performance of employees. In case of banking sector professionals, it is a highly desired behavior and top management has a greater interest in evaluating contextual performance in addition to the task performance of employees. This study differentiates itself from previous studies by focusing on HIHRP rather than traditional HRM practices. The data was collected from 396 officers working in top six private sector commercial banks of Pakistan. A structured questionnaire was used to collect the data and all responses were recorded on Likert scale. The data was analyzed through correlation and regression analysis and demographic characteristics of the employees were also presented through descriptive statistical techniques. The results show that different types of HIHRP positively influences employees’ OCBs. This study has both theoretical and managerial contributions by empirically examining the relationship between high involvement HRM practices and OCBs in the context of banking sector of Pakistan. The results of this study will help the researchers to better understand the relationship between HRM practices employees’ positive behavioral outcomes like OCBs. In addition, it will also guide the decision makers in adjusting HRM practices to achieve desired behaviors.


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