Explaining the role of various organizational activities in financial performance with emphasis on the mediating role of human capital (Case study: Private banks)

Document Type : Original Article

Authors

1 Assistant Professor, Department of Public Management, Central Tehran Branch, Islamic Azad University, Tehran, Iran

2 Assistant Professor, Department of Industrial Engineering, Zanjan Branch, Islamic Azad University, Zanjan, Iran

Abstract

This study aimed to study the relationship between financial performance and the diversity of organizational activities of private banks' efficiency of human resources. The research is practical in terms of purpose with a descriptive survey approach. The researcher-made questionnaire based on the standardized questionnaires of Redman and Karabulut was used to examine 384 managers and experts as a sample group, who were selected by a simple random method. For this purpose, statistical tests including Cronbach's alpha, Kolmogorov-Smirnov, and structural equations with SPSS and Smart PLS software were used. The significance of the relationship between financial performance, diversity of organizational activities, and human capital efficiency was confirmed at an error level below 1% and with a 99% confidence level. In the fitting of the model, the index value of diversity of activities, human capital efficiency, and human performance are 78%, 91%, and 82%, respectively, which shows that one of the most effective ways to increase the financial performance of private banks in the dimensions of internal trade, is to pay attention to the growth and learning of employees in the dimensions of individual and organizational efficiency, as well as diversifying their organizational activities.

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