Effects of HRM practices on Chinese firms' organizational performance: The moderating effect of CEO support

Abstract

There has been growing interest in the relationship between HRM practices and organizational performance, but few studies have provided evidence supporting this relationship by considering the moderating effect of CEO support. Therefore, this study intends to examine the effects of various HRM practices on organizational performance and the moderating effect of CEO support on the relationship between HRM practices and organizational performance through a survey on 215 Chinese firms. The results indicate a positive relationship between HRM practices and organizational performance and verify the moderating effect of CEO support on this relationship. This study is the first one on demonstrating the moderating effect of CEO support on the relationship between HRM practices and organizational performance in the context of Chinese firms. These findings may help adding knowledge to the Chinese firms' CEOs while considering about making HR policies and HRM activities which are mainly decided by their attitudes and participations.