The Role of Human Resource Management Practices on Palm Oil Firm’s Performance in Malaysia with Mediating Role of Organizational Learning Capabilities and Moderating Role of Organizational Support

Abstract

Human resources practices are the essential elements for high organizational performance and attain recent researchers' focus. Therefore, the current study aims to examine the role of human resource practices such as selection, training, and compensation on the firm performance of Malaysia's palm oil industry. The examination of mediating role of organizational learning capabilities and the moderating role of organizational support among the nexus of human resource practices and firm performance of palm oil industry in Malaysia is also part of the study's objectives. The data has been collected by using questionnaires, and PLS-SEM was used for analysis. The results revealed that all the predictors such as selection, training, and compensation have positive nexus with firm performance. The results also exposed that organizational support moderated the nexus of selection, training, and firm performance while organizational learning capabilities have positively mediated the nexus of selection, training, compensation, and the palm oil industry's performance in Malaysia. These findings are valuable for the policymakers who maintain the regulations related to the human resource practices that enhance firm performance.