Applied Mathematics and Nonlinear Sciences
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Journal

Applied Mathematics and Nonlinear Sciences


Volume
& Issue

Volume 8, Issue 2


Published
on

December 20, 2023


Pages


DOI

Article

A Study on the Relationship between Human Resource Management and Firm Performance Based on VAR Modeling

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Authors

Yue Qin Affiliation:
School of Wealth Management, Ningbo University of Finance and Economics, Ningbo, Zhejiang, 315175, China.
and Di Lv Affiliation:
School of International Business and Trade, Ningbo University of Finance and Economics, Ningbo, Zhejiang, 315175, China.


Abstract

In this paper, after analyzing the VAR model, we design the Gram causality test between human resource management and enterprise performance and establish a structural equation combining multiple regression and factor analysis to explore the interrelationship between the two, in addition to evaluating enterprise performance based on mutation theory. In order to study the relationship between human resource management and enterprise performance, assumptions are made about the relationship between the two, a conceptual model of the role path relationship between human resource management and enterprise performance is established, and the proposed assumptions are empirically analyzed based on the existing literature and actual data. The results show that the coefficient of HR practices is 10.048343, which is significant at the 0.0031 level, and the goodness of fit is 0.403881, and HR practices do have a relatively significant impact on business performance, and the marginal impact is 10.048343, which indicates that HR practices significantly amplify business performance. This study confirms that human resource management is positively correlated with firm performance and that firms can optimize their human resource management strategies, which in turn will enhance their performance and provide impetus for their progress and development.


Keywords

VAR model, Time series, Structural equation, Mutation theory, Firm performance, 00A71


Citation

Qin, Y. & Lv, D. (2023). A study on the relationship between human resource management and firm performance based on VAR modeling. Applied Mathematics and Nonlinear Sciences, 8(2). https://doi.org/10.2478/amns.2023.2.01566
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Published by: Engineering Journals

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