Domestic Banks in Bangladesh Could Ensure Efficiency by Improving Human Resource Management Practices.
The paper aims to examine the influence of human resource management (HRM) practices on bank efficiency using Malmquist index of total factor productivity. The model comprises HRM index that represents the quality of HRM practices. The results are decomposed into three efficiency scores, namely, tec...
Main Authors: | , , , |
---|---|
Format: | Article |
Language: | English |
Published: |
Public Library of Science (PLoS)
2015-01-01
|
Series: | PLoS ONE |
Online Access: | http://europepmc.org/articles/PMC4519247?pdf=render |
id |
doaj-ef3e1ac449d540cdae615864701d5561 |
---|---|
record_format |
Article |
spelling |
doaj-ef3e1ac449d540cdae615864701d55612020-11-25T02:42:38ZengPublic Library of Science (PLoS)PLoS ONE1932-62032015-01-01107e012101710.1371/journal.pone.0121017Domestic Banks in Bangladesh Could Ensure Efficiency by Improving Human Resource Management Practices.Abdul Kadar Muhammad MasumMd Abul Kalam AzadKazi Enamul HoqueLoo-See BehThe paper aims to examine the influence of human resource management (HRM) practices on bank efficiency using Malmquist index of total factor productivity. The model comprises HRM index that represents the quality of HRM practices. The results are decomposed into three efficiency scores, namely, technical efficiency, pure efficiency, and scale efficiency. In this study, panel data for 44 banks in Bangladesh are used for the period 2008-2013. This paper reveals that foreign banks are ahead in converting the influence of HRM practices into efficiency scores (0.946>0.833). On the other hand, domestic banks performed better than foreign banks in terms of pure efficiency and scale efficiency. But, in terms of technical efficiency, the domestic banks are regressed by 6.7% annually whereas foreign banks are progressed with a yearly value of 5.8%. The results are robust, because the Mann-Whitney test and Kruskall-Wallis test (non-parametric tests) also confirm the same results. This study emphasizes HRM practices in the banking industry to ensure efficiency in the long-term scenario. Domestic banks are suggested to ensure continuous development in HRM practices in order to compete with foreign banks.http://europepmc.org/articles/PMC4519247?pdf=render |
collection |
DOAJ |
language |
English |
format |
Article |
sources |
DOAJ |
author |
Abdul Kadar Muhammad Masum Md Abul Kalam Azad Kazi Enamul Hoque Loo-See Beh |
spellingShingle |
Abdul Kadar Muhammad Masum Md Abul Kalam Azad Kazi Enamul Hoque Loo-See Beh Domestic Banks in Bangladesh Could Ensure Efficiency by Improving Human Resource Management Practices. PLoS ONE |
author_facet |
Abdul Kadar Muhammad Masum Md Abul Kalam Azad Kazi Enamul Hoque Loo-See Beh |
author_sort |
Abdul Kadar Muhammad Masum |
title |
Domestic Banks in Bangladesh Could Ensure Efficiency by Improving Human Resource Management Practices. |
title_short |
Domestic Banks in Bangladesh Could Ensure Efficiency by Improving Human Resource Management Practices. |
title_full |
Domestic Banks in Bangladesh Could Ensure Efficiency by Improving Human Resource Management Practices. |
title_fullStr |
Domestic Banks in Bangladesh Could Ensure Efficiency by Improving Human Resource Management Practices. |
title_full_unstemmed |
Domestic Banks in Bangladesh Could Ensure Efficiency by Improving Human Resource Management Practices. |
title_sort |
domestic banks in bangladesh could ensure efficiency by improving human resource management practices. |
publisher |
Public Library of Science (PLoS) |
series |
PLoS ONE |
issn |
1932-6203 |
publishDate |
2015-01-01 |
description |
The paper aims to examine the influence of human resource management (HRM) practices on bank efficiency using Malmquist index of total factor productivity. The model comprises HRM index that represents the quality of HRM practices. The results are decomposed into three efficiency scores, namely, technical efficiency, pure efficiency, and scale efficiency. In this study, panel data for 44 banks in Bangladesh are used for the period 2008-2013. This paper reveals that foreign banks are ahead in converting the influence of HRM practices into efficiency scores (0.946>0.833). On the other hand, domestic banks performed better than foreign banks in terms of pure efficiency and scale efficiency. But, in terms of technical efficiency, the domestic banks are regressed by 6.7% annually whereas foreign banks are progressed with a yearly value of 5.8%. The results are robust, because the Mann-Whitney test and Kruskall-Wallis test (non-parametric tests) also confirm the same results. This study emphasizes HRM practices in the banking industry to ensure efficiency in the long-term scenario. Domestic banks are suggested to ensure continuous development in HRM practices in order to compete with foreign banks. |
url |
http://europepmc.org/articles/PMC4519247?pdf=render |
work_keys_str_mv |
AT abdulkadarmuhammadmasum domesticbanksinbangladeshcouldensureefficiencybyimprovinghumanresourcemanagementpractices AT mdabulkalamazad domesticbanksinbangladeshcouldensureefficiencybyimprovinghumanresourcemanagementpractices AT kazienamulhoque domesticbanksinbangladeshcouldensureefficiencybyimprovinghumanresourcemanagementpractices AT looseebeh domesticbanksinbangladeshcouldensureefficiencybyimprovinghumanresourcemanagementpractices |
_version_ |
1724772499249430528 |