The effects of HR strategic partnerships with business on organisational performance : experience of the Cambodian banking sector

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Chui, Chanthy
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Master of Business
Unitec Institute of Technology
Du Plessis, Andries
Newlands, Ken
Masters Thesis
Ngā Upoko Tukutuku (Māori subject headings)
strategic alliances
organisational performance
financial services industry
human resources management (HRM)
Chui, C. (2015) The effects of HR strategic partnerships with business on organisational performance : experience of the Cambodian banking sector. An unpublished thesis submitted in partial fulfillment of the requirements for the degree of Master of Business Unitec Institute of Technology, New Zealand.
Fast changing globalisation, technological advancement, social and demographic changes and increasing international competition require Human Resource practitioners to play a completely new role as strategic partners to the business. HR leaders are required to provide consulting and strategic support by taking a pro-active, long-term, mission-related approach to human resource management initiatives to achieve organisational goals through people with the use of HR strategies and practices. Empirical studies carried out in the field of strategic human resource management suggest that HR strategic partnerships bring positive impacts to the business resulting in an improvement in organisational excellence. This study employs a mixed method of qualitative and quantitative approaches to examine the research question; whether or not the current HR strategic partnerships in the business are effective in the Cambodian banking sector, and, what is the extent of the effectiveness of the partnerships on the organisational performance? Questionnaires and semi-structured interviews were used as data collection techniques. A total of one hundred supervisors, managers and line managers took part in the survey while ten HR Managers and HR Business Partners (HR BPs) participated in the interviews. The findings of the study revealed that effective HR strategic partnering affects organisational performance positively and that HR strategic partners play an increasingly important role in helping the firm to achieve its business objectives. In addition, it was found out that current HR practices in the Cambodian banking sector were up to expectation in terms of being strategic; however, due to a number of challenges in performing their strategic role, current HR leaders could only achieve a moderate extent of HR effectiveness, leaving several areas for improvement. Findings on the skillset required from HR business partners revealed that in order to effectively perform an HR strategic role, HR business partners must possess business understanding and financial acumen, coupled with a wide range of HR competencies and personal qualities. It is strongly recommended that HR business partners must work in partnership with the business to ensure positive outcomes.
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