PROF. DAVID CABABARO BUENO, AB, MA, MPM, MBA, Ed.D., DBAc Dean, Graduate School & Director, Research and Publication Office Columban College, Inc., Olongapo City and PROF. JEFFERSON MENDOZA SADERA, AB, MPM, DPA Professor, MPM Program & Program Chair, Social Science Department Columban College, Inc., Olongapo City jeffersonsadera.yahoo.com.ph ip Few organizations can evaluate their performance accurately by averaging the performance of their employees. In most cases, the performance of an organization is determined by the productivity and efficiency of higherlevel organizational entities such as departments. One aspect of performance that has attracted particular attention from public researchers is human resource management. In this venture, the researchers focused on the impact of human resource management practices (HRMP) on the work performance of the employees. Furthermore, Huselid (1995) found that HRMP such as employee recruitment and selection procedures, compensation and performance management systems, employee involvement, and employee training have a significant impact on employee turnover and productivity, and on short- and long-term corporate performance. Dean (1996) showed that, particularly in the context of a quality strategy, employee productivity is higher where the human resource management system is focused on enhancing human capital. Similarly, Patterson (1998) found significant influences of job design and employee skill development on the productivity and profitability of small- and medium-sized departments. A conceptual model of this research has been described by Kopelman (1990). He argued that HRMP designed to improve productivity also influence one or more dimensions of work climate. Changes in pay and promotion policies might be expected to alter employee perceptions of reward orientation and, possibly, of equity and fairness. Similarly, the introduction of training programs is likely also to have a positive influence on employee perceptions of task support. Thus, the influence of HRMP on performance cannot be explained without identification of suitable intervening variables, and understanding the joint and interacting roles of HRMP variables and performance is therefore a vital element in furthering understanding of performance in the LGUs in Subic, Zambales. P E R S O N N E L P R A C T I C E S Job Description Selection Performance Appraisal Training EMPLOYEE PERFORMANCE Compensation Career Planning Employee Participation Figure 1. The Conceptual Framework of the Research The study aimed to determine the relationship of human resource management practices (HRMP) and employees’ performance in the Local Government Units of Subic, Zambales. Specifically, the study sought to answer the following questions: 1. How may the HRMP in the various departments of the local government be described in relation to Job Description; Selection Process; Performance Appraisal; Training; Compensation; Career Planning; and Employee Participation? 2. How may the employee performance form the various departments be described based on the previous and latest performance evaluation conducted by the Human Resource Office? 3. Is there a significant relationship between HRMP and employee latest performance? 4. What implications can be drawn from the findings of the study toward effective and efficient utilization of personnel? The researchers utilized the descriptive-survey method of research to assess the relationship of HRMP on work performance of employees at the various departments in the Local Government Unit of Subic, Zambales. There were eighty-six (86) permanent or civil service appointee-employees involved as respondents of the study taken from the different departments in the Municipality of Subic, Zambales. The identification of the various departments and determination of the total number of respondents was secured and done with the help of the Human Resource Officer of the local government. The survey-checklist was the main instrument used to assess the HRMP of the departments. Documentary analysis was done for the work performances of employees. All data gathered through were tallied, tabulated, analyzed and interpreted accordingly using both descriptive and inferential statistics. Departments Mayor’s Office Market and Slaughterhouse Budget Planning and Development Civil Registrar Treasurer Accounting Engineering Agriculture DSWD Health Unit Assessor Total Frequency 11 9 3 4 5 12 4 12 5 4 15 2 86 Percentage 12.79 10.46 3.48 4.65 5.81 13.95 4.65 13.95 5.81 4.65 17.44 2.32 100 Table 1. Number of Respondents Per Department RESULTS Job Description WX DR 1. The duties of every job are clearly defined in our department. 4.40 SA 2. Each job in our organization has an up-to-date job description. 4.23 SA 3. The job description for each job contains all the duties performed by individual employee. 4. The actual job duties are shaped more by the employee than by the formal job description. 4.44 SA 4.56 SA 5. The job specification for each position in clearly defined. 4.40 SA 6. The duties and responsibilities of the position are matched with the job 4.34 SA 7. The defined duties in the department are strictly implemented. 4.59 SA 8. Other responsibilities assigned to the employees are related to his/her 4.57 SA 4.22 SA 4.56 SA specification. area of specialization. 9. Provision of extra responsibilities given to the employees are reflected in his/ her job description. 10. Extra responsibilities and duties given to the employees are efficiently accomplished. Selection Process WX DR 1. The selection systems followed in our department are highly scientific and rigorous. 2. Department head and HR manager participate in selection. 3.78 3. Valid and standardized tests are used when required in the selection process. 4. Selection system in our department selects those having the desired knowledge, skills and attitudes. 5. Applicants undergo structured interviews (job-related questions, same questions asked of all applicants and rating scales) before being hired. 6. Qualified employees have the opportunity to be promoted to positions of greater pay and/or responsibility within the unit. 7. Applicants for this job take formal tests (paper and pencil or work sample) before being hired. 8. The rules governing promotion of qualified employees are followed. 3.80 A 4.10 A 9. The qualification requirements for promotion are strictly implemented. 4.00 A 10. There is a clear policy on pre-selection process to come up with the short 3.90 list of qualified candidates. Average Mean 4.04 A A 4.34 SA 4.21 SA 4.20 SA 3.92 A 4.23 SA A Performance Appraisal WX DR 1. Performance of the employees is measured on the basis of objective quantifiable results. 2. Appraisal system in our department is growth and development oriented. 3. Employees are provided performance-based feedback and counseling. 4.50 SA 4.32 SA 4.21 SA 4. Employees have faith in the performance appraisal system. 4.36 SA 5. Appraisal system has a strong influence on individual and team behavior. 6. The appraisal data are used for making decisions like job rotation and/ or promotion. 7. The objectives of the appraisal system are clear to all employees. 4.33 SA 4.21 SA 4.23 SA 8. Employees in this job regularly (at least once a year) receive a formal evaluation of their performance. 9. The performance data are used for making decisions like training and staff development program. 10. The appraisal data are used for making decisions like compensation/ ranking system. Average Mean 4.78 SA 4.12 A 4.23 SA 4.33 SA Training WX DR 1 Our organization conducts extensive training programs for its employees in all aspects of quality. 2. Employees in each job will normally go through training programs every year. 3. Training needs are identified through a formal performance appraisal mechanism. 4. There are formal training programs to teach new employees the skills they need to perform their jobs. 5. New knowledge and skills are imparted to employees periodically to work in teams. 6. Training needs identified are realistic, useful and based on the business strategy of the department. 7. Sends staff to attend trainings, seminars, conferences and others from outside source. 8. Supports and develops creativity and innovation among staff. 3.77 A 4.10 A 4.00 A 3.90 A 4.21 SA 3.55 A 3.54 A 4.32 SA 9. There is sharing of acquired knowledge/skills by co-workers. 4.20 SA 10. There is educational or training leave for employees. 3.20 MA 3.88 A Average Mean Compensation WX DR 1. Job performance is an important factor in determining the incentive compensation of employees. 4.21 SA 2. Salary and other benefits are comparable to the other unit. 4.23 SA 3. Compensation is decided on the basis of competence or ability of the employee. 4. The compensation for all employees is directly linked to his/her performance. 5. Profit sharing is used as a mechanism to reward higher performance. 6. Pay raises for employees in this job are based on job performance. 4.20 SA 4.21 SA 4.22 SA 4.24 SA 7. Employees have the opportunity to earn individual bonuses for productivity, performance or other individual performance outcomes. 4.58 SA 8. Salary is received according to the number of hours and days worked on time. 9. Leave benefits/ compensations are provided by the unit. 4.56 SA 4.55 SA 10. The present salary/ compensation is satisfying. 4.33 SA 4.33 SA Average Mean WX DR 1. Individuals in this department have clear career paths. 3.43 A 2. Employee’s career aspirations within the unit are known by his/ her immediate superior. 4.22 SA 3. Employees in our unit have more than one potential position for promotion. 4. Individual growth needs are matched in this unit. 4.12 A 4.23 SA 5. Our department plans for the career and development of employees. 3.59 A 6. Our unit prefers an internal employee whenever a vacancy exists. 4.59 SA 7. Each employee is aware of his/her career path in the unit. 3.26 A 8. Each qualified employee is given opportunity for career growth within the unit. 4.41 SA 9. Growth needs is matched in this unit. 3.47 A 10. Qualified employees in our unit are directed toward potential position for promotion. Average Mean 4.21 SA 3.95 A Career Planning Employee Participation WX DR 1. Employees in this unit are allowed to make decisions related to cost and quality matters. 2. Employees in this unit asked by their superiors to participate in operations related decisions. 3. Employees are provided opportunity to suggest improvements in the way things are done here. 4. Employees have a reasonable and fair complaint process. 4.53 SA 4.22 SA 4.56 SA 4.51 SA 5. Employees are involved in quality improvement groups. 4.32 SA 6. Employees are involved in formal participation process like problem- 4.59 SA 4.76 SA 8. Superiors are respectful to the opinion of their employees. 4.65 SA 9. Decisions endorsed/ suggested by the employees are highly 4.74 SA 4.21 SA solving groups. 7. Employees are involved in roundtable discussions, or suggestion systems. considered. 10. Employees are involved in the formulation and execution of ranking and promotion system. Performance 1st 2nd Descriptive Rating 4.20 – 5.00 F % F % Rating 12 13.95 18 20.93 Outstanding 3.40 – 4.19 41 47.67 57 66.27 Very Satisfactory 2.60 – 3.39 29 33.72 11 12.79 Satisfactory 1.80 – 2.59 4 4.65 0 00 Below Satisfactory 1.00 – 1.79 0 00 0 00 Poor Total 86 100 86 100 Very Mean 3.71 4.08 Performance Previous and Latest Performances of the Local Government Employees Satisfactory Related Variables rxy Value Decision Interpretation Job Description .796 Reject Ho High Correlation Selection Process .771 Reject Ho High Correlation Performance Appraisal .843 Reject Ho High Correlation Training .821 Reject Ho High Correlation Compensation .952 Reject Ho Very High Correlation Career Planning .785 Reject Ho High Correlation Employee Participation .839 Reject Ho High Correlation Table 10. Relationship Between HRMP and Employee Performance The duties of every job were clearly defined in each department. Qualified employees have the opportunity to be promoted to positions of greater pay and/or responsibility within the department and the rules governing promotion of qualified employees. The employees were definite that the performance appraisal activity conducted was oriented toward their growth and development. Likewise, sharing of acquired knowledge/skills by co-workers was imperative for them. They were satisfied in terms of the salary received. Their career aspirations within the unit were known by their immediate superior, where in each qualified employee is given opportunity for career growth and directed toward potential position for promotion. There was growing evidence of employee participation, and they were allowed to make decisions related to cost and quality matters, asked to participate in operationsrelated decisions, and provided opportunity to suggest improvements in the way things were done. There was an increased or improvement in the performance of the employees from the previous and the latest performance evaluation. The overall performance of the municipal employees was very satisfactory. The HRMP in the various departments of Local Government have positive impact on the current performance of the employees. Thus, there was a significant relationship between HRMP and employee performance. The performance rating of the employees was directly influenced y how they were efficiently and effectively treated based on the department’s personnel management practices as assessed by them. HRMP in the various departments were geared toward efficient utilization of employees in achieving goals within any department. The Local Government of Subic should maintain and continue to provide satisfactory practice related to job description, personnel appraisal, compensation, and employee participation, and should enhance the selection process, provision of employee training, and career planning. The municipal employees should be continually properly guided by their specified duties and responsibilities and work for their career growth by attending inservice training and active participation to their respective department toward excellent performance. Provisions of training, compensation, career planning and employee participation should be enhanced to positively affect the municipal employees. The Local Government of Subic should also pursue and support programs that facilitate the recruitment, selection, training, and retention of employees who are professional and sensitive to the community. The department heads should likewise employ accepted techniques of supervision and discipline to ensure adequate performance. A parallel study should be conducted in other municipalities of Zambales to further enhance the personnel management practices among local government employees. Thank You Very Much!!!