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Does Human Resource Management have an effect on Organisational Performance? Initial reactions would be that Human Resource Management (HRM) did have an effect on organisational performance. Reasons for this include; labour costs are among the highest controllable costs within organisations, and increased productivity from the workforce would therefore lead to improved performance within the organisation. For organisations in the service area, employees are an essential part of the organisation's performance, as it is the employees providing the organisation's service to the customer, therefore from this information alone, there appears to be a strong link between HRM and performance. Difficulties arise however when looking at evidence for this. It is difficult to find evidence in the form of research that has not been carried out by persons with a vested interest in HRM, such as the IPD, which would therefore lead to a biased view from the outset. This has to...

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