HRM Practices and Knowledge Sharing in The Banking Sector

Abstract

The banking sector operates in a highly competitive and knowledge-intensive environment where effective human resource management and knowledge utilization are critical for sustainable performance. This study examines the relationship between HRM practices, knowledge sharing, and organizational performance in the banking sector. Specifically, it investigates the impact of HRM practices on knowledge sharing behavior among employees and evaluates whether knowledge sharing contributes to improved organizational performance. The study adopts a descriptive and explanatory research design using a quantitative approach. Primary data were collected from 120 employees working in public and private sector banks through a structured questionnaire measured on a five-point Likert scale. Statistical tools such as correlation and regression analysis were used to test the proposed hypotheses. The findings reveal that HRM practices have a significant positive effect on knowledge sharing (β = 0.652, p < 0.05). Knowledge sharing also shows a strong positive relationship with organizational performance (r = 0.704, p < 0.01). The results further indicate that knowledge sharing plays a mediating role between HRM practices and organizational performance. These findings highlight the importance of strategic HRM practices in fostering a culture of collaboration and knowledge exchange within banks. The study concludes that well-designed HR policies can enhance knowledge sharing behavior, leading to improved productivity, service quality, and overall organizational performance in the banking sector.