The Role of HRM in Enhancing Organizational Performance

The purpose of this article is to study the human resource management (HRM) relevance in innovation, environmental management and organizational performance. Through literature review on the related fields of study including resource-based view and organizational performance, information have been extracted and served as the backbone for the conceptual framework development. This paper aims to fill the gap in the organization performance literature by highlighting the contribution of HRM in influencing business organizational performance through its intermediate effect on innovation and environmental management. Managers from the manufacturing industry will be benefited by gaining better understanding on the role of human resource practices on improving sustainable performance by enabling innovation and environmental performance.