The relationship between human resource management and leaders’ effectiveness among manufacturing leaders

Leaders’ effectiveness is essential for any business to reach its full potential. Emphasising the importance of leaders’ effectiveness can benefit both the employee and the employer. Leaders’ effectiveness shows a positive emotion that attaches employees to their work and the organisation can gain profit results due to effective leadership. The objective of this study is to investigate the relationship between human resource management and leaders’ effectiveness among manufacturing leaders. To achieve the objectives, four (4) variables were used in this study: staffing, performance management, training & compensation and compensation management. This study focus people working in electric, electronics & optical products, automobile, fast moving consumer goods and pharmaceutical multinational manufacturing companies in Selangor. For research methodology, the researcher used a quantitative method and the Pearson correlation method was applied to evaluate the hypotheses on the relationships between variables. The data were collected using a questionnaire method. One hundred and fifty (150) questionnaires were sent out to respondents, and hundred eight (108) were returned. The data were analysed using Statistical Package for Social Sciences (SPSS) version 27. The study indicates that all variables tested significantly affect leaders’ effectiveness. Compensation management (α = 0.824) is the least positively connected variable with scores in leaders’ effectiveness. The finding of the result recommends that to enhance leaders’ effectiveness among working individuals, management has to focus more attention on staffing,performance management, training & compensation and compensation management.