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Abstract

This study examines the effect of human resource management (HRM) practices on employee satisfaction and loyalty at Shwe Mahar Mae Khong (SMK) Network Co., Ltd. HRM plays a crucial role in shaping organizational success by influencing employee satisfaction and loyalty. The research explores how key HRM practices such as recruitment and selection, training and development, performance appraisal, and compensation and benefits affect employee satisfaction and how satisfaction, in turn, influences employee loyalty. A quantitative approach was used, collecting primary data from 100 employees through structured questionnaires and secondary data from company records and relevant literature. Linear regression analysis was employed to analyze the relationships between these HRM practices, employee satisfaction, and loyalty. The findings revealed that all four HRM practices significantly positively influence employee satisfaction, with performance appraisal being the most influential factor. Moreover, employee satisfaction was found to be positively correlated with employee loyalty, meaning that satisfied employees are more likely to remain loyal to the organization. In this regard, Shwe Mahar Mae Khong (SMK) Network Co., Ltd. should place more emphasis on formulating and implementing strong performance appraisal systems and policies that enable the organization to strengthen employee loyalty.

Author: MIN KHANT OO