LINKING EMPLOYEE ENGAGEMENT, SKILL DEVELOPMENT, KNOWLEDGE ENHANCEMENT AND FAIR REWARD SYSTEM AS CATALYSTS FOR HIGH PERFORMANCE WORK SYSTEM THROUGH STRONG HR PRACTICES

Abstract

High Performance work systems (HPWS) is the main concentration for manufacturing firms to boost their efficiency. By sensing the importance of HPWS, the current study focuses on this very issue for manufacturing of Pakistan by taking the employee engagement, skill development, knowledge enhancement and fair system as independent variables while strong human resource practices have been taken as a mediator. Small registered and manufacturing firms making sports items from Sialkot, Pakistan were the target population and data was collected from their HR personnels and owners. The main concern was that how these firms are practicing for HPWS to boost their competitive advantage, foster innovation, productivity and employees well being. By utilizing the quantitative approach, data from 256 individuals were collected from top management and HR personnels. From analysis, it was found that employee engagement, skill development, knowledge enhancement and fair reward system are the catalyst and necessary for high performance work system and these relationships are well explained through strong HR practices for manufacturing firms. These findings have  both theoretical as well as practical implications  by providing the new insights for HR professionals for optimizing the high performance work system.