The Impact of Human Resource Management Practices on Emplyee Performance of Large Manufacturing Firms in Yangon

This study intends to analyze the current HRM practices of large manufacturing firms in Yangon and to explore the impact of HRM practices on employee performance. The descriptive and exploratory research methods were used and 100 owners or managers and 500 employees were randomly selected from the scope of 100 private large manufacturing firms. The results describe that people management in surveyed firms could generally be characterized as still personnel management. Any acceptance and development of the HRM concept has been slow and cautious especially in most locally-owned firms. It is found that due to the insufficient knowledge on HRM, the majority of firms conduct only a few of the HRM practices. The surveyed firms apply both external and internal recruitment sources and use different selection methods for different positions. Concerning the training and development practices, the majority of firms conduct on-the-job training. Regarding performance appraisal practices, the majority of firms utilize the simple way like close observation by supervisors and managers whereas some firms apply systematic employee appraisal system. It is observed that the majority of firms design financial and non financial reward based on the specific conditions of the individual firms.According to the results, HRM practices are positively related to employee commitment, high productivity gain, low labor absenteeism and labor turnover rate. In addition, this study proved that the bundle of HRM practices has a stronger more and positive impact on employee performance