Getting inside the black box

Abstract

Purpose – The purpose of this paper is to explore, and eventually unlocking, the “black box” problem by addressing the potential mediating role of human capital and organizational commitment in the relationship between high performance work systems (HPWS) and perceived firm performance in the Tunisian financial industry. Design/methodology/approach – Based on the strategic human resource management (SHRM) theory, the authors developed a model that links HPWS to perceived organizational performance through human capital and employee organizational commitment. Data collected from 351 respondents was considered. Multiple regression analysis was then used to assess the research hypotheses. Findings – Data collected from 351 respondents suggest that HPWS positively affect perceived firm performance through first, enhancing the firms’ human capital; and second, developing positive organizational commitment attitude among employees. In addition, a direct relationship between HPWS and firm performance was found. Research limitations/implications – The research focussed on the perceived performance of the organization rather than financial measures. Also, because data were collected from a sample of Tunisian financial companies, results of this study are not generalizable. Originality/value – More than two decades after the earliest contributions, the SHRM scholars believe that the “black box” problem is still accurate and, therefore, needs to be addressed in an effective way. At a general and broad level, the authors believe this study contributes to the SHRM literature by successfully addressing two critical “black box” elements, i.e. human capital and organizational commitment. Also, since there is a lack in such research in Tunisia, an icon country of the Arab spring, this paper provides theoretical basis for future research and managerial implications for Tunisian business leaders and HR managers. Finally, this research is extending the current empirical SHRM literature by addressing the critical role of HRM in the largely understudied field of financial services industry.

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