MODELS OF HUMAN RESOURCES MANAGEMENT IN BANKING SECTOR OF REPUBLIC OF SRPSKA AND THEIR IMPACT ON COMPANY PERFORMANCE

With the coming of foreign companies, in our country begins to develop a modern approach to human resource management (HRM) which includes specific practices, policies and systems that affect the behavior of employees, their attitudes and work performance. This process is especially evident in the banking sector of the Republic of tries, are significantly lags in the application of modern model of HRM. Based on obtained research results we proposed specific recommendations for domestic banks with the aim of placing human resources in the function of achieving organizations’ strategic goals. Key words: human resource management, HRM practices, HRM models, business success Srpska which is mainly consisted of majority foreign‐owned banks. In addition to products created by employees, ways of service delivery, and attitude and behavior of employees according to different needs and demands of clients, are very important in banks. Accordingly, if the bank, as well as some other organization, manages with the human resources on the adequate way, they become a key factor for improving company performance and for achieving of competitive advantage. The main purpose of this paper is to consider ways of implementing of the most important HRM practices in banking sector, and to contribute to the limited empirical knowledge about this issue that exists in the Republic of Srpska. By the conducted research we found that banks with majority of equity capital from less developed countries, in relation to the banks with majority of equity capital from more developed countries, are significantly lags in the application of modern model of HRM. Based on obtained research results we proposed specific recommendations for domestic banks with the aim of placing human resources in the function of achieving organizations’ strategic goals