Abstract:
The purpose of this study was to perceive effects of human resource management practice on
employee performance with a special reference to agricultural multipurpose cooperatives union
in kellem wollega zone. Human resource management practice was evaluated by recruitment
and selection, job autonomy, training and development, employee participation, reward and
compensation, and performance appraisal. Mixed research approaches are used to gather and
analyze the study's data. HRM practices and employees' performances in the union are a lack
of skills, knowledge, the inability to identify training needs, and a lack of performance
evaluation. Out of 90 employees 90 were selected using census method. questionnaires are the
tools utilized to gather data and analyzed using descriptive statistical analysis and inferential
analysis methods. Correlation analysis was assessed to figure out the relationship between HRM
practices and employee performance, multiple regression analysis was done to assess the
influence of HRM on employee performance, ANOVAA and Cronbach Alpha was also tested. As
a result, there are important connections between recruitment and selection, training and
development, and Job autonomy, Reward and compensation, Employee Participation &
Performance Appraisal. As recommendations, the union needs to identify gaps that need to be
filled through training and appraise individuals with exemplary work in order to increase the
productivity of the union. HRM should also apply development and growth of employees
applying long training and education to surpass employees’ performance which enabled the
union. The study also suggests that the agricultural multipurpose cooperative unions establish a
network with higher universities and HRM Networks because it is difficult for the agricultural
multipurpose cooperative unions to find suitable professionals.