Effect of human resource practices on employee performance among banks in Uganda

Abstract

Human resource is vital for any organization it is one of the useful resources. If the human resources or employees of any organization will be happy, they will do their best in the organization and vice versa. This implies that the human resource practices play a critical role in the bank so as to satisfy and motivate employees to give their best to the organization and thus it is important to explore and study the HRM practices which impact on employee performance. The major objective of this study was to establish the effect of HRM practices have on employee performance in Tropical Bank. The specific objectives are; to evaluate the impact of training and development on employee performance, assess the role of performance appraisal and establish the effect of Recognition and Rewards schemes have on employee performance. The population of study comprised of all the 40 employees of the Tropical bank. Both primary and secondary data was collected. Primary data was collected using a semi-structured questionnaire. Secondary data was collected from the other published document of, library among others. Descriptive statistics method was applied to analyze the data using a statistical package for social scientists, SPSS. The analyzed results were presented on tables. Finally, correlation analysis was carried out to establish the relationship between the research variables and the results indicated that there is a relationship between HRM practices and employee performance with a positive relationship which has significant correlation (r=0.674, p<0.01).The bank should establish an active training and development for its employees. Tropical bank should carry out periodic performance appraisal by embracing performance appraisal systems that are linked with the overall banks strategy such as Merit rating, Management by Objectives (MBO) and 360-degree feedback. The human resource management should formulate and implement an active reward policy linked to the overall banks strategy.