Means, Standard Deviations for Study Variables
| Descriptive Statistics | |||||
|---|---|---|---|---|---|
| Variable | Observations | Mean | Std. Dev. | Min | Max |
| HR Dept. effectiveness (top) | 150 | 4.16 | 0.36 | 3.00 | 5.00 |
| HR Dept. effectiveness (HR) | 149 | 3.85 | 0.41 | 3.00 | 5.00 |
| HR Dept. effectiveness (line) | 145 | 3.90 | 0.35 | 2.00 | 5.00 |
| Org performance | 150 | 4.15 | 0.38 | 2.86 | 5.00 |
| Market performance | 150 | 3.95 | 0.49 | 2.25 | 5.00 |
| Employee productivity | 140 | 13.02 | 0.89 | 10.52 | 15.35 |
| Firm growth | 141 | 107.69 | 25.71 | 0.00 | 213.33 |
| Sales growth | 140 | 18.11 | 86.58 | -150.00 | 927.41 |
Regression Results for Associations Between HR Department Effectiveness and Operational Outcomes
| Variables | Employee productivity | Employee productivity | Employee productivity | Firm growth | Firm growth | Firm growth |
|---|---|---|---|---|---|---|
| HR Dept. effectiveness (top) | –0.330 (0.288) | 4.019 (6.791) | ||||
| HR Dept. effectiveness (HR) | 0.130 (0.185) | 15.95*** (5.503) | ||||
| HR Dept. effectiveness (line) | –0.0854 (0.152) | 18.54** (8.196) | ||||
| Observations | 133 | 133 | 130 | 141 | 141 | 137 |
| R-squared full model | 0.253 | 0.246 | 0.292 | 0.132 | 0.186 | 0.189 |
| R-squared controls only | 0.243 | 0.243 | 0.291 | 0.129 | 0.129 | 0.133 |
Correlations for Study Variables
| Correlations | ||||||||
|---|---|---|---|---|---|---|---|---|
| Variable | HR Dept. effectiveness (top) | HR Dept. effectiveness (HR) | HR Dept. effectiveness (line) | Org performance | Market performance | Employee productivity | Firm growth | Sales growth |
| HR Dept. effectiveness (top) | 1 | |||||||
| HR Dept. effectiveness (HR) | 0.077 | 1 | ||||||
| HR Dept. effectiveness (line) | 0.146* | 0.494*** | 1 | |||||
| Org performance | 0.881*** | 0.248*** | 0.318*** | 1 | ||||
| Market performance | 0.603*** | 0.184** | 0.321*** | 0.758*** | 1 | |||
| Employee productivity | –0.032 | 0.077 | 0.020 | –0.056* | –0.017 | 1 | ||
| Firm growth | 0.111 | 0.241*** | 0.277*** | 0.179** | 0.305*** | 0.009 | 1 | |
| Sales growth | –0.001 | 0.129 | 0.093 | 0.039 | 0.111 | 0.009 | 0.168* | 1 |
Results of the Tests for Equality of the Regression Coefficients for Firm Outcomes
| Top managers = HR managers | Top managers = line managers | HR managers = line managers | ||||
|---|---|---|---|---|---|---|
| Z statistics | p-value | Z statistics | p-value | Z statistics | p-value | |
| Employee productivity | 1.34 | 0.179 | 0.75 | 0.452 | 0.90 | 0.368 |
| Firm growth | 1.36 | 0.172 | 1.36 | 0.172 | 0.26 | 0.793 |
Regression Results for Associations Between HR Department Effectiveness and Firms’ Outcomes
| Variables | Org performance | Org performance | Org performance | Market performance | Market performance | Market performance | Sales growth | Sales growth | Sales growth |
|---|---|---|---|---|---|---|---|---|---|
| HR Dept. effectiveness (top) | 0.942*** (0.0765) | 0.874*** (0.140) | –35.84 (31.24) | ||||||
| HR Dept. effectiveness (HR) | 0.184** (0.0804) | 0.160 (0.109) | 17.91* (10.41) | ||||||
| HR Dept. effectiveness (line) | 0.320*** (0.107) | 0.440*** (0.142) | 4.238 (22.04) | ||||||
| Observations | 141 | 141 | 137 | 141 | 141 | 137 | 133 | 133 | 130 |
| R-squared full model | 0.809 | 0.370 | 0.416 | 0.472 | 0.240 | 0.306 | 0.176 | 0.170 | 0.177 |
| R-squared controls only | 0.333 | 0.333 | 0.335 | 0.223 | 0.223 | 0.218 | 0.164 | 0.164 | 0.177 |