Impact Of Human Capital Management On Employee Job Performance (the Case Of Wegagen Bank S.c. Addis Ababa Ethiopia.)

The study attempts to explain impact of human capital management on employee job performance. Hypotheses were developed to test the impact of HCM on employee job performance. Data was collected from Wegagen Bank S.C. by Employing sample size of 368 employees on HCM and employee job performance constructs located in Addis Ababa Ethiopia. From those 353 successful data were recollected. The reliability of the constructs was validated by Cronbach’s Alpha value. Pearson correlation and linear regression were used to test hypotheses. Results of the study show that organization’s HCM has a significant impact on employee job performance. Study results provide support to strategy of investment in human capital and its management for competitive advantage at organizational level. The main result of the regression analysis validated that HCM components, such as employee engagement, learning capacity and knowledge accessibility, have a significant and positive effect on employee job performance while leadership practice, have significant weak negative effect on employee job performance. The findings of this studies suggests that Wegagen bank can enhance their employee job performance by implementing sustainable human capital management practice. Therefore, in order to improve employee job performance Wegagen bank should implement sustainable HCM practice to strengthen and boost their future performance and leverage the competitive advantage of human capital

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