The Role of Strategic Human Capital Management in the Performance of Federal Agencies

Source: Andrew Wesemann, Journal of Public Management & Social Policy, Vol. 26, No. 2, 2020
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From the abstract:
The current human capital crisis, compounded by tumultuous workforce conditions in the public sector, holds consequential implications for governmental performance. As a result, scholarship has emerged emphasizing the importance of strategic human capital management (SHCM), which is explicitly intended to curtail organizational instability and concurrently improve performance levels. There is, however, a paucity of empirical research testing whether SHCM does, in fact, influence performance in public sector organizations. In an effort to fill this gap in the literature, this study tests for such a relationship in an analysis of agencies throughout the U.S. federal government. Using data from a large sample of federal employees, within 45 agencies, hierarchical linear modeling results reveal that SHCM holds a significantly positive relationship with performance measures at the employee level, although agency level results are less conclusive. Nevertheless, findings provide foundational quantitative evidence that the performance related benefits of SHCM are generalizable to the public workforce and transcend sector boundaries.