01.4 - The Dynamic Role of HRM in Driving Organizational Performance: A Literature Review of Paper

• Klara Prifti

  University of Tirana

  Author

• Çlirim Toci

  Baltic Defence College

  Author

• Jonida Bushi

  University of Tirana

  Author

• Boriana Vrusho

  Sports University of Tirana

  Author

• Alma Golgota

  Aleksandër Moisiu University

  Author

• Anisa Kume

  University of Tirana

  Author

In today’s dynamic economic landscape, the role of Human Resources is pivotal in driving organizational growth, adaptability, competitive advantage and long-term success. Modern organizations increasingly recognize HR not just as a support function, but as a strategic partner in achieving business objectives. This paper examines the key Human Resources Management elements that influence the higher impact of Organizational Performance through HR practices and outcomes. It also highlights the crucial role HR plays in this dynamic. Ultimately, the study reveals that a company’s competitive advantage is driven by the seamless integration and mutually reinforcing effects of these strategic HR elements. Additionally, a questionnaire-based study is being conducted among private organizations in Albania to better understand HR development’s role in fostering sustainable success. This paper focuses on the theoretical framework of HRM’s impact on organizational performance.