The Impact of Strategic Human Resource Management Practices on Competitive Advantage Sustainability: The Mediation of Human Capital Development and Employee Commitment

Abstract

Academic institutions like other business organizations strive to achieve, maintain, and sustain their competitive advantages. In this study, we examined the influence of the “strategic human resources management (HRM) practices” on the achievement of “competitive advantages” that will be sustainable, with an evaluation of the mediating role of “human capital” development, and the commitment of employees in an academic environment. Six hundred questionnaires were randomly distributed to the employees of selected universities in Erbil City of Iraq. Structural equation modeling (SEM) techniques were employed for the analysis with the use of Smart Partial Least Square PLS. Findings from our study revealed a linear and positive influence of the strategic HRM on the sustainability of “competitive advantages”; strategic HRM was also found to positively influence human capital development and the commitment of employees to the institutions; the influence of both human capital development and employees’ commitment were found to have a partial mediation in the strategic HRM practices and sustainable competitive advantage (SCA) relationship. Finally, theoretical and management implications were suggested.