HUMAN RESOURCE STRATEGIES AND PERFORMANCE IN

MANUFACTURING COMPANIES IN THE THREE

CITIES OF BATANGAS
Rheyzen E. Macaraig and Angelique C. Merelino
Email: angeliquemerelino16@gmail.com sir

ABSTRACT

This study was conducted to assess the Human Resource (HR) strategies in terms of Performance-Based
Incentives and Performance Appraisal, as well as the human resource performance of manufacturing
companies and to determine the relationship between the strategies and the performance. To attain these
objectives, the researchers used the descriptive method of research. The respondents of this study include
74 HR managers from the manufacturing companies based in the three cities of Batangas. The researchers
prepared questionnaire that were distributed to the respondents. Statistical tools used were mean and
Pearson’s correlation. Based on the results, the study revealed that manufacturing companies in the three
cities of Batangas had moderately efficient HR strategies and HR performance. The HR strategies were
also positively correlated with the HR performance. The study proposed a Human Resource Performance
Management System to enhance the HR performance in the manufacturing companies in the three cities
in Batangas.
1. INTRODUCTION 3rd Quarter of 2016, Manufacturing Industry
contributes to 23.8% of total GDP. Proper human
The Philippine manufacturing industry remains to resource management contributes to the total growth
be the most important sector for long-term of this industry (McKinsey Productivity Sciences
productive employment, value-added generation, Centre, 2014). When people are properly managed
and innovation. It has the highest multiplier effect they tend to perform well and be in their best shape
on the economy compared to other sectors. thus their high performance also increases the rate
Manufacturing is called the engine of the economy. of production and the same thing happens when
Many services exist because of manufacturing; and they are poor performing or vice versa. Motivation
many service jobs will disappear if manufacturing is the key term to improve the performance of
disappears. Manufacturing creates more quality and employees which is attributed to proper human
gainful employment, as it has extensive linkages not resource management. It should be done to drive out
only among its sub-sectors, but also with other fear and create trust in all levels of the organization.
industries, not to mention that it can further make Human Resource Management (HRM) deals
the services and logistics sectors more active. with how people are employed and manage in an
Increasing manufacturing activities also have organization. It covers functions related to people
spillover effects of inducing additional demand like compensation and benefits, recruitment and
from the agriculture and resource-based industries. selection, training and development, and
Industrialization, that is, promoting the resurgence performance management. These practices and
of manufacturing, can contribute to sustainable activities performed by human resource
economic development because it can employ a management to have a strong conceptual basis
wider pool of the labor force. Manufacturing can drawn from the behavioral sciences and strategic
generate employment opportunities for vocational management, human capital, and industrial relations
graduates apart from the university graduates. theories (Armstrong 2009).
Manufacturing also brings in newer technologies, An organization must meet the obligations
which can introduce quality jobs, skills, and towards its major stakeholders, shareholders,
expertise in the country. employees, and the society. To fulfill these
The Manufacturing Industry contributes to obligations and to earn long term corporate
23.25% of the Philippines’ 2015 GDP, employing objectives, management must first develop a
more than 3.2 million in the workforce. As of the harmonious relationship with the organization and
its employees. Similarly, each party must clearly
understand each function to maintain the smooth
flow of work within an organization. Employees are
expected to consistently perform the task assigned
to them effectively and efficiently while fulfilling
the standards and following the rules and
regulations set by an organization while they are
also expected by the management to be responsible
in their functions, eager to learn more skills, and
responsive to the business needs. Hence, human
resource management practices must an
organization’s human resource strategies. So, to
improve the employee’s retention towards the
organization the management should focus to
improve the human resource management practices
and their qualities (Bernardin, 2009).
There are several reasons why employees
would remain loyal to their companies. They offer
something which makes them unique and gives their
employees a sense of satisfaction and fulfillment.
And that might be the reason why these employees
remain loyal and tend to be more productive.
In Batangas, employees perform their tasks
well whenever they feel that they are valued (Ramos
et al., 2005). Naturally, Filipinos are very sensitive
and emotional about intrinsic rewards and
compensations, when they know that they are
compensated properly they tend to perform well and
contribute to the overall growth and development of
the entire establishment (Mondy et al., 2002). And
for that reason, the company owners need to ensure
that employees are performing well and paddling
their way to success to sustain the operations of the
entire organization.
2. OBJECTIVES OF THE STUDY
This study aimed to examine the relationship
between human resource strategy and performance
in manufacturing companies.
Specifically, this sought to answer the
following questions:
1. How do the respondents assess the HR strategies
in terms of:
1.1 Performance-Based Incentives; and
1.2 Performance Appraisal?
2. What is the level of HR performance as assessed
by the respondents?
3. How do HR strategies relate to the HR
performance of the company?
4. What strategies may be proposed to enhance HR
performance?
3. METHODOLOGY
The main purpose of this study is to understand the
human resource strategy and performance,
performance-based incentives, and performance
appraisal among the HR manager of the
manufacturing companies in three cities of
Batangas.
The study used the descriptive method of
research of the human resource strategy and
performance, performance-based incentives, and
performance appraisal among the HR manager in
the three cities of Batangas. This method is used to
gather information to test a hypothesis or to answer
questions concerning the currents status of the
subject of the study. In this study, the researchers
chose one HR manager of every manufacturing
company using non- probability sampling to answer
the stated question. The researchers aimed to get
rich data, full of information that helped them make
their interpretations, and in turn suggest changes
and improvements in the surveyed companies.
The researchers considered the HR
managers of different manufacturing companies in
the three cities of Batangas province as the
respondents of the study because they are the ones
who experience performance-based incentives and
performance appraisal in an organization. The study
covers 74 HR managers from the different
companies in the three cities on Batangas.
Researchers choose the said respondents because
they know that they can give them appropriate
information and provisions on pursuing the field of
HR. The researchers distributed the questionnaires
to the one hundred seven (107) HR managers of
their respective companies. There were a total of
seventy-four (74) HR managers who answered the
questionnaires because some of the HR managers of
other companies declined to answer the
questionnaires because of their busy schedules.
The study is all about the performance-based
incentives and performance appraisal on firm
human resource performance on the three cities in
Batangas.
The researchers distributed and conducted
the data gathering procedure or the survey process
using purposive sampling. This is a non-probability
sampling that involves the selection of a portion of
the population study being studied. According to
Crossman (2007), purposive sampling and is a non-
probability sample that is selected based on
characteristics of a population and the objective of
the study. Purposive sampling is also known as
judgmental, selective or subjective sampling.
The researchers used books, journal,
published thesis, and internet as their sources of
information conducting the study. The researcher-
made questionnaire was the primary data gathering
instrument due to its research, convenience, and
speed in terms of gathering information necessary in
the accomplishment of this study.
The researchers utilized the internet
published books, articles, and journals and also
books available in the library. It was June 2019
when the researchers first started preparing the
questionnaire and it was finished in July 2019.
The questionnaire was validated by their
adviser, panelists, grammarian, and statistician.
After validating the questionnaire, the researchers
tested their dry-run in Laguna because of the
similarities of the profile of the actual respondents.
The respondents for the dry run were the 20
manufacturing companies in Laguna and it was
distributed last September 2019. After the
distribution of the questionnaires, it was retrieved
and tallied by the researchers and the results were
processed by their statistician. The results showed
that the questionnaire is reliable with .896
Cronbach’s alpha.
The researchers came up with the rating scale
through the utilization of some newly published
thesis in the library and they also considered the
nature of their study. The study tends to answer the
question about performance-based incentives
contained 11 questions and was scored through its
extent of used 5 for highly efficient 4 for efficient, 3
for moderately efficient, 2 for less efficient and 1
for not efficient. In the second part of the
questionnaire, which is performance appraisal,
contained 9 close-ended questions, and will be
answered by scoring of used 5 for highly efficient 4
for efficient, 3 for moderately efficient, 2 for less
efficient, and 1 for not efficient. It takes months to
finish it.
The data gathered were subjected to the
following statistical tools. Mean was used to assess
the HR Strategies and the HR performance.
Pearson’s Correlation. This was used to determine
the relationship between HR Strategies and HR
Performance.
This part of the researcher-made
questionnaire was answered by checking the
suitable column that matched their perceptions such
as 5 for highly efficient 4 for efficient, 3 for
moderately efficient, 2 for less efficient, and 1 for
not efficient. Checking the appropriate column that
corresponded to their responses was done in scalar
values of 1-5 were used in this part of the
questionnaire.
Table 1
Scoring and Interpretation for Performance-
Based Incentives, Performance Appraisal
and Human Resource Performance
Response Mean Score Interpretation
Scale
Highly Efficient /
5 4.50-5.00
Functioning Best
Efficient /
4 3.50-4.49 Functioning Above
Average
Moderately
Efficient /
3 2.50- 3.49
Functioning
Averagely
4. Results and Discussions
The assessment on Human Resource Strategy in
terms of Performance-Based Incentives, as can be
seen, it has a composite mean of 3.18. It means that
the assessment of 74 different manufacturing
companies of Human Resource Managers in terms
of Performance-Based Incentives is moderately
efficient. That concludes that performance-based
incentive is an effective tool as used by the human
resource as part of their company strategy.
It means that people will stay as long as
they are properly compensated and incentives are
given in order to uplift their morale and keep them
motivated. Uplifting the spirits and hopes of people
really does matter because it transpires in the entire
organization (Pasia, 2019). It was found that in
Australia, HRM which is directly aligned with
strategic human resource personnel has positive
effects on HR performance. It is brought about that
people are expecting that the organization will take
good care of them and therefore they will do the
same. Nowadays, it is known as mutual benefit or
symbiotic relationship between the employees and
company owners (Andersen et al., 2009).
The first ranked item on the table states that 10. An employee may be given an Moderately
incentive other than overtime pay Efficient/
"Granting incentive pay to employees by the when they’ve worked long hours
3.28
Functioning
company" has a mean of 3.59 interpreted as averagely
efficient or functioning above average. It was 11.Employees are immediately Moderately
given ‘a pat on a back’ for a job Efficient/
followed by the item that states that "If an employee well done
3.22
Functioning
has weak performance in the company, he/she will averagely
not receive any incentives" with a 3.45 mean Moderately
Composite Mean Efficient/
interpreted as moderately efficient or functioning 3.18
Functioning
averagely. The two lowest-ranked items states that averagely
"Several times between the beginning and at end of The top two items imply the importance of
the year, a variety of “trip-to” (adventures) is having the right incentive for the employees. It
effective to help employees feel more motivated" depicts that when employees are properly taken care
with a 2.70 mean interpreted as moderately efficient of they tend to also take good care of the company.
or functioning averagely. The lowest item on the As the saying goes “an employee will not bite the
table states that "Company grants scholarship to hand of the one that feeds him/her". When an
family members of high performing employees" employee feels that the company is taking good care
with a 2.49 mean interpreted as less efficient of him/her. He / She is likely to do the same. It is
functioning below average. important that companies create a good incentive
Table 2 plan in order to create a direction and motivate the
Assessment of Human Resource Strategies in employees even more.
terms of Performance-Based Incentives Incentives motivate people to bring out the
Performance-Based Incentives Mean Interpretatio best in them. Incentive plans are formalized
n
1. Granting incentive pay to Efficient/ approaches to offering recognition and reward to
employees by the company 3.59 Functioning employees for meeting pre-established goals or
Above objectives. Incentives may include cash bonuses,
Average
2. Promoting top employee who Moderately profit sharing, additional paid vacation time, or any
have worked in the company for
3.26
Efficient/ range of prizes such as gift cards, corporate
many months or years. Functioning merchandise, or other products or services. To be
averagely
3. Providing free lunch for the Moderately effective, incentives must be clearly defined and
employees to make them more
2.96
Efficient/ considered a viable, valuable reward for the
motivated at work. Functioning
averagely
associated workload (McQuerrey, 2019).
4. Several times between the Moderately The two lowest-ranked items depict that out
beginning and at end of the year, a Efficient/ of town travels and scholarship grants or
variety of “trip-to” (adventures) is 2.70 Functioning
effective to help employees feel averagely
educational assistance should also be given focus by
more motivated. the companies which employ the workers. It is due
5.Company grants scholarship to Less efficient/ to the reason that going out of the workplace and
family members of high performing 2.49 Functioning
employees below average conducting team building activities changes the
6. If an employee has weak Moderately mood and mindset of the people and make them
performance in the company, Efficient/ more motivated. Aside from that, they feel valued
he/she will not receive any 3.45 Functioning
incentives. averagely when they are sent to study or attend trainings and
seminars for their own growth and development.
7. The company does not promote Moderately Team building brings people together by
employees who can’t perform their Efficient/
job well. 3.30 Functioning encouraging collaboration and teamwork. Fun
averagely activities that help people see each other in a
8. High performing employees are Moderately different light allow them to connect in a different
awarded
3.32
Efficient/ setting. People on your team are asked to think
Functioning
averagely
about the implications of these activities at their
9. During previous years, it is Moderately workplace. One of the most powerful reasons for
helpful that the company was able Efficient/ team building is to get results. Through a series of
to give increasingly large annual 3.39 Functioning
incentive pay to each employee averagely planned team building events that are fun and
based on their performance. motivational, teams build skills like communication,
planning, problem-solving, and conflict resolution employees are recognized. efficient/
(McDuffee 2019). This team-building activity ideas Functioning
averagely
help to facilitate long term team building through Moderately
fostering genuine connections, deeper discussions, Composite Mean efficient/
3.24
and processing. Functioning
Training of employees takes place after averagely
orientation takes place. Training is the process of The table depicts that managers assessed the
enhancing the skills, capabilities, and knowledge of HRM strategy and performance in terms of
employees for doing a particular job. Training performance as moderately efficient which means
process molds the thinking of employees and leads that the human resource management and strategy
to quality performance of employees. It is used by the organization are good and satisfying on
continuous and never-ending in nature. As the part of managers. It connotes that they are
employees grow they benefit the company as well satisfied with the strategy and practices used by the
because they perform better and it adds up to the organization because it is both just and fair for the
increase on the process and activities of the employee and employer.
organization thus improving the organizational Performance appraisal as a process designed to
performance and income of the organization improve organizational, team, and individual
(Juneja, 2015). performance. Therefore, with the right strategies
and management application, employees will be
Table 3 more motivated knowing that something good will
Assessment of Human Resource Strategies in happen to them. As a matter of fact, if people know
terms of Performance Appraisal that they have a good future in the organization,
Performance Appraisal Mea Interpretation they are more patient and tedious with their work in
n order to ensure that they will be in a position where
1. Employee performances are Moderately there is job security (Armstrong, 2013).
reviewed regularly. 3.46 Efficient/
Functioning The highest-ranked item on the table states that
averagely "Employee performances are reviewed regularly"
2.Monthly assessments are Moderately with a mean of 3.46 and interpreted as moderately
done to monitor performance 3.20 efficient/ efficient or functioning averagely. The second-
Functioning highest ranked item states that "Self-assessments are
averagely
3.Self-assessments are Moderately included in the performance evaluation activity" got
included in the performance 3.34 efficient/ a 3.34 mean interpreted as moderately efficient or
evaluation activity Functioning functioning averagely. The second among the two
averagely lowest-ranked items states that "The employees’
4. The employees working in Moderately skills are examined and validated" got a mean of
the company are updated about 3.27 efficient/
all the latest development in Functioning 3.07 interpreted as moderately efficient or
their performance. averagely functioning averagely. The lowest-ranked item on
5.The manager does proper Moderately the table states that "The managers provide
research and careful planning 3.20 efficient/ constructive criticism on the employees’
before giving appraisal to Functioning
people averagely
performance" got a mean of 3.06 interpreted as
6. The employees’ skills are Moderately moderately efficient or functioning averagely.
examined and validated. efficient/ The top-ranking items imply the importance of
3.07
Functioning periodical evaluation which is done by the managers
averagely and self-evaluation done by the employees. It
7. The 360 degree feedback is Moderately
implemented as part of efficient/
connotes that it is really relevant to assess the
3.27 performance of all the people in the organization to
appraisal system. Functioning
averagely know if they are still growing and developing and
8. The managers provide Moderately identify the weaknesses and lapses of individual
constructive criticism on the efficient/ employees. This is done in order to improve the
3.06
employees’ performance. Functioning
averagely
performance of all people in the organization and
9. The grievances of the 3.15 Moderately make them empowered individuals.
Performance evaluations are one of the most
important communication tools an organization can
use. They need not be complicated; they just need to
be done. Performance evaluations benefit both
employee and employer. It is a time to provide
feedback, recognize quality performance, and set
expectations for future job performance. It is also a
time to have candid conversations about
performance that is lacking and how performance
can be improved. Ongoing performance discussions
can assist in avoiding serious problems in the future
(Laurenz, 2011).
The lowest-ranked items speak of the examination
of skills and constructive criticisms done by
managers of the organization. It is important to
examine the skills of individual workers to identify
their weaknesses and strengths and determine if it is
at par with the requirement of the industry. The
constructive criticism will pave the way for a
healthy and better relationship in the organization. It
will improve or uplift the morale of the employee
and his/her performance in the organization as well.
Constructive criticism is a healthy way of informing
the employees about their lapses and will challenge
them to do better at work.
Constructive criticism is a valuable tool in the
workplace that allows individuals to learn and grow.
But quite often people don't realize what a great
resource it can be. The truth is, feedback and
criticism can really help all of us succeed in the
workplace and in life. Criticism is especially
beneficial at work because it shows that your
managers and peers care about you and want to see
you succeed. Receiving feedback, whether it's
positive or negative, is a good thing because it just
goes to show that your peers are invested in your
future and they want to help you learn. Rather than
letting you fail and replacing you, these people feel
that you're the right person for the job and they want
you on their team. With a little bit of guidance, you
will be an even better fit for your position and learn
a thing or two along the way (Shiflett, 2019).
Skills are needed to be assessed regularly to
check the competence of workers. It doesn’t mean
that organizations will let go of poor-performing
employees. It's a sign that the organization is
looking for ways on how to improve the
performance of the employees(Capron, 2009).
Table 4
Overall Assessment on HR Strategies
HR Strategies Mean Interpretation
Performance- Moderately Efficient/
3.18
based Incentives Functioning Averagely
Performance Moderately Efficient/
3.24
Appraisal Functioning Averagely
Moderately Efficient/
Overall 3.21
Functioning Averagely
The respondents assessed the level of human
resource strategies in terms of performance-based
incentives as moderately efficient which has a
weighted mean of 3.18. In terms of performance
appraisal, it was assessed by the respondents to be
moderately efficient with a mean of 3.24. And
lastly, the respondents assess the overall human
resource strategies to be moderately efficient with a
mean of 3.21.
It connotes that the human resource strategies
used by manufacturing companies in the three cities
of Batangas has an impact on their operations and
motivates the employees to perform well in the
organization. It means that when employees are
motivated and empowered they also perform well.
In terms of performance, when people feel that they
are valued they bring out the best in them thus they
are also doing their best and contributing to the
overall organizational growth and development.
The effective direction, motivation, and
leadership, take a business forward. Amongst all,
motivation plays a key role as it helps to identify
and satisfy the needs of employees and the
organization. Managers use various motivational
programs to encourage employees to achieve their
maximum potential leading to improved
organizational performance. HR employees have the
ability and willingness to work and improve their
performance level by obtaining relevant education
and training. For example, a highly educated
employee with experience of working in abroad is
employed because this employee has new learning
from her/his experiences to share, implement and
improve performance levels of themselves and
her/his colleagues (Maniksaly, 2019).
Table 5 shows the human resource
performance garnered a composite mean of 3.31
interpreted as moderately efficient or functioning
averagely which means that performance
management has an impact on human resource
performance.
 It is interpreted that there is an efficient Moderately
evaluation meaning that performance management Efficient/
Composite Mean 3.31
Functioning
is functioning above average of what is expected or averagely
set by the company. It is viewed that the human The business strategies paired with appropriate
resource managers and the employees working in human resource management (HRM) practices will
the manufacturing companies in three cities of have a positive effect on firm performance (Chow,
Batangas are satisfied with the implementation of 2006). Human resource management practices have
such human resource management (HRM) practices. been functional to enhancing employees' skills,
commitment, and effort, to enhance, in turn,
organizational performance.
The highest-ranking item on the table states that
"Recruiting and hiring the best candidates for a
better company" got a mean of 3.54 interpreted as
Table 5 moderately efficient or functioning averagely. It
Assessment of Level of Human Resource was followed by the second highest statement that
Performance says that "Making employees more motivated in the
Human Resource Mea Interpretatio
Performance n n
work" got a mean of 3.47 interpreted as moderately
1. Recruiting and hiring the best Efficient/ efficient or functioning averagely. The second
candidates for a better company Functioning among the two lowest items on the table states that
3.54
Above "Planning activities for good fellowship of the
Average employees towards work in a company" got a 3.22
2.Identifying the training needs Moderately
of the employee Efficient/ mean interpreted as moderately efficient or
3.24 Functioning averagely. The lowest item on the table
Functioning
averagely states that "Setting seasonal trip for the employees"
3. Handling the distribution of Moderately got a 2.88 mean interpreted as moderately efficient
employee’s benefits in the Efficient/ or functioning averagely.
3.26
workplace. Functioning
averagely The top items depict the importance of hiring the
4. Setting seasonal trip for the Moderately best candidate or applicant for a better company. It
employees.
2.88
Efficient/ is really important to hire the best people to yield
Functioning positive and better results. About the first statement,
averagely
it is also important to keep the employees motivated
5. Providing employee Moderately
opportunities for self-evaluation Efficient/ to keep their morale high and be a consistent top
3.23 worker or employee in the organization.
which are important to achieve Functioning
goals. averagely Hiring the right employees for your business is
6. Planning activities for good Moderately important no matter what kind of work you’re in.
fellowship of the employees Efficient/
towards work in a company.
3.22
Functioning
Having quality employees will help your company
averagely run and grow. However, it can be a daunting task to
7.Scheduling trainings and Moderately recruit and keep top talent. Reviewing resumes and
seminar for the employees’
3.45
Efficient/ browsing profiles is only part of the job. Hiring
development Functioning managers need to have strategies in place to help
averagely
8. Answering questions that Moderately
weed out candidates who aren’t a good fit, and
employees have Efficient/ determine who the best people are to help lead the
3.42
Functioning company to success (Balance Point Team, 2016).
averagely Employee motivation is a critical aspect of the
9.Maintaining a record of top Moderately workplace which leads to the performance of the
employees monthly Efficient/
3.38
Functioning department and even the company. Motivating your
averagely employees needs to be a routine. Some companies
10.Making employees more Moderately sadly fail to understand the importance of employee
motivated in the work Efficient/ motivation. Research shows that many companies
3.47
Functioning have disengaged employees with low motivation;
averagely
only 13% of employees are engaged at work only happen through the use of the right and
(Heryati, 2019). effective activities for business organizations. If
The lowest item depicts that planning fellowship managers will only apply the activities to achieve
activities to promote good relationships and the targets, the organizational goal and effectiveness
seasonal trips is relevant to create a good ambiance will be achieved in no time at all (Capron, 2009).
and build stronger relationships among the people in Table 6 shows the correlations among
the organization. It is really important to go outside performance-based incentives, performance
of the office and do some team building activities appraisal, overall human resource strategy, and
outside the organization to promote cohesiveness human resource performance. It shows that there are
and stronger relationships with people. Part of that relationships among the variables being correlated.
trip includes the activities planned designed to In terms of the relationship between
promote/ build a stronger bond within the performance-based incentives and human resource
organization. performance, the correlation value is 0.656 which
Team buildings are important because it facilitates means that there is a moderate positive relationship
better communication – Activities that create between the two variables. In terms of the
discussion enable open communication among relationship between performance appraisal and
employees, and between employees and human resource performance, the correlation value
management. This can improve office relationships is 0.748 which means that there is a strong positive
and in turn, the quality of work done. It motivates relationship between the two variables. In terms of
employees to be better. Team leadership and team overall human resource strategy and human
building go hand in hand. The more comfortable resource performance, the correlation value is 0.774
your employees are to express their ideas and which means that there is also a strong positive
opinions, the more confident they will become. This relationship between the two variables. These
will motivate them to take on new challenges. results generally imply that the more efficient the
Promotes creativity – Taking a team outside of an human resource strategies are, the better the human
office setting and exposing them to new experiences resource performance.
will force them to think outside of their normal
routine. Working together with other team members Table 6
can ignite creativity and fresh ideas, which are great Correlations between Human Resource
qualities to bring back to the office. Develops Strategies and Human Resource
problem-solving skills – In public relations a crisis Performance
can happen at any time. Team building activities Performa
Human Perform Human
that require co-workers to work together to solve Resource
nce-
ance Over Resource
Based
problems can improve the ability to think rationally Strategie
Incentive
Appraisa all Perform
s l ance
and strategically. Teams that can determine when a s
problem arises and know what they can do about it, Performa Pearson
can then effectively take charge when a real crisis nce- Correlat 1 .639 .913 .656
Based ion
occurs. Breaks the barrier – Team building increases Incentive
the trust factor with your employees. Often in s p-value . .000 .000 .000
corporate settings, there is a disconnect between the Pearson
leadership team and employees because the Performa Correlat .639 1 .897 .748
employees sense too large of a gap between the two. nce ion
Appraisal
Team building exercises allow leadership to be seen p-value .000 . .000 .000
as a colleague rather than a boss, which can do
Pearson
wonders for employee morale (Red Shoes Inc., Correlat .913 .897 1 .774
2019). Overall ion
Activities designed to promote the good relationship
p-value .000 .000 . .000
and motivate individual workers are relevant to their
performance. It boosts their morale and also uplifts
their performance. When workers are motivated Proposed Performance Management Matrix
they tend to bring out their best effort and that will
 This part of the study gives the set of
intervention activities suggested or recommended
by the researchers based on the result of the findings
on the human resource strategies and performance
of manufacturing companies in three cities of
Batangas.
As the saying goes “prevention is better than
cure.” With the presence of strategies like this, the
organization will be able to provide an instant
solution to possible issues that may arise shortly. It
is important to use the following strategies as a
guide to their daily operations to maximize the
firms’ activities. As a rule of thumb, it is important
to create contingency plans to ensure that future
problems that might hurt the firm is created thus the
existence of these strategies matters.
The table shows the proposed performance
management strategy for manufacturing companies.
The first area discusses that Performance-Based
Incentives are found to be moderately functioning.
It indicates that in terms of performance-based
incentives, the firm is on the right track or course.
The objective is to strive to continually improve its
Based on the findings, Performance Appraisal is
performance-based incentives and make it more
found to be moderately functioning. It indicates that
appealing on the part of the employees. The design
the performance appraisal is also on the average or
strategy is to organize brainstorming activities to
good level/ The objective is to continuously
gather feedback and prepare for the benchmarking
improve the performance appraisal system. The
activities to improve the current status of the firm. It
strategies that should be done by the firm would be
should be done to assess the current performance-
about the organization benchmarking with the best
based incentives of the firm and compare it with
practices of related firms to improve its current
other organizations to improve it. And the activities
status. It should be followed up with activities that
that should be done in line with the strategies are
the firm may implement a new and holistic
related to the attendance to seminars and trips
approach in terms of appraising the performance of
should be organized to expose the employees to
the individual worker. The activity intends to
different activities that will motivate the employees.
promote a new and fair approach in the assessment
The persons involved are both management and
of the appraisal system of the organization. It
staff and it would be reflected in the improved
involves the management and the HR department.
performance of employees and management
The success indicators of such activity would be an
interactions. improved and holistic approach in the appraisal
Table 7
system.
Proposed Performance Management Strategy for AndManufacturing Companies
lastly, the HR Performance is found to
Key Objective Performance Specific Activities Person Success
Concern Management be moderately functioning. It
Involvemen has the same
Indicators
Areas & interpretation as thet first two key areas. The
Findings Strategy to objective intends to maintain the HR performance
Enhance HR
and further ensure the success of all of its activities.
The firm should The HR office Seminars and Trips Management Improved
strive to may organize should be organized and staff performance of
Performance continually brainstorming to expose the employees and
-Based improve its activities to employees to management
Incentives is performance gather feedbacks different activities interactions
found to be based incentives and prepare for which will motivate
moderately and make it the the employyees
functioning more appealing benchmarking
on the part of activities to
the employees improve the
current status of
the firm

Performance The firms The organization The firm may Management Improved and
5. CONCLUSIONS AND
RECOMMENDATIONS
Based on the foregoing findings of the study, the
following conclusions were drawn by the
researchers:
1. The assessment of Human Resource
Strategy and Performance in terms of Performance-
Based Incentives is moderately efficient or
functioning averagely. The assessment of Human
Resource Strategy and Performance in terms of
performance appraisal on the other hand got a
moderately efficient or functioning averagely
assessment.
2. The level of HR performance Moderately
Efficient or functioning averagely. It means that the
HR performance of manufacturing companies in
selected companies in the three cities of Batangas
based on the assessment of the respondent is using
the right system and producing the right results.
3. There is a moderate positive relationship
between performance-based incentives and human
resource performance; there is a strong positive
relationship between performance appraisal and
human resource performance, and there is also a
strong positive relationship overall human resource
strategy and human resource performance.
4. The proposed Human Resource
Performance Management System is designed to
enhance the performance of the human resource
department of manufacturing companies.
Based on the findings and conclusions
drawn from the study, the researchers recommended
the following measures
1.The management may plan scheduled
benchmarking activities or trips to observe best
practices in other related organizations in terms of
HR strategies particularly in Performance-based
Incentives and Performance Appraisal.
2. The company may set criteria to
determine employees who will be receiving
scholarship grants as well as the creation of the
committee involved.
3. The management may periodically
conduct assessments/ validation through exams and
observations to determine the level of knowledge
and skills of employees
4. The managers may organize trips and pep
talks to make the employees comfortable and open
their performance and how they were evaluated in a
positive or constructive manner
5. The management may strategize by
creating a committee dedicated only for the
planning and creation of activities and events for
employees
6. The management may allocate budget
intended for tours or benchmarking which will
improve the knowledge and satisfaction of
individual employees.
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