The Impact of Affective Human Resources Management Practices on the Financial Performance of the Saudi Banks

This study aimed to investigate the impact of affective human resources management practices on the financial performance of the Saudi banks. In order to achieve this objective, a survey questionnaire was designed and disseminated among selected bankers working in all Saudi banks. A total of 200 questionnaires were distributed, out of which 175 responded. The researchers found out that there is a positive correlation relationship between effective HRM practices and the financial performance of the Saudi banks (FPSB). In addition, there was a positive correlation relationship between Job Description (JD), Performance Appraisal (PA), Compensation System (CS) and Human Resources Planning (HRP) with (FPSB). Furthermore, there was a negative correlation relationship between Employee Engagement (EE), Training and Development Process (TDP), and Selection and Recruitment Process (SRP). Most of the sample respondents agree that JD, PA, CS, and HRP move financial performance of Saudi banks into a positive direction. On contrary, Saudi banking staff have no confidence in (EE), (TDP), and (SRP).The study recommended that decision makers of this sector should embrace strategic human resource planning programs of their banks.