Driving Performance: Unravelling the Power of Strategic HRM in Innovativeness and Risk-Taking

Abstract

In today's dynamic business environment, understanding the intricate interplay between strategic human resource management (SHRM), innovativeness, risk-taking, and organizational performance is paramount for organizational success. This study delves into this nexus within the Iraqi telecommunications sector, utilizing a sample of 120 employees and employing Structural Equation Modelling (SEM) with Partial Least Squares (PLS) to verify the structural model. The findings underscore the pivotal role of SHRM as a mediator in shaping organizational outcomes. While strategic human resource management demonstrates a significant and positive impact on both risk-taking and organizational performance, its influence on innovativeness is found to be non-significant. These insights shed light on the nuanced dynamics within organizational contexts, emphasizing the multifaceted nature of SHRM's impact. Practical implications derived from our results offer actionable insights for industry practitioners, highlighting the strategic importance of aligning human resource practices with organizational objectives. By fostering a culture conducive to risk-taking and leveraging SHRM practices to enhance organizational performance, telecommunications firms in Iraq can navigate challenges and capitalize on opportunities in today's competitive landscape.