Abstract:

High Performance Work System (HPWS) is widely promoted as a central mechanism through which organisations enhance performance and competitiveness. However, empirical evidence on the effectiveness of HPWS remains fragmented, with studies reporting both performance benefits and employee costs. Drawing on a PRISMA-based systematic literature review of 116 empirical articles published in high-quality journals between 2002 and 2025, this review synthesises organisational and employee-level outcomes of HPWS through a contingency perspective. The review reveals a consistent pattern in which HPWS are positively associated with organisational performance, while simultaneously intensifying employee strain outcomes, such as stress, burnout, and emotional exhaustion, under particular implementation and work design conditions. Moving beyond a purely descriptive distinction between effective and ineffective implementation, this review argues that negative employee outcomes are not merely unintended side effects but may be structurally embedded within performance-oriented HR systems. Specifically, the capability-enhancing effects of HPWS are primarily driven by ability and opportunity enhancing practices that build employees’ skills and enable their effective use, whereas motivation-focused practices tend to intensify performance expectations and work demands. By integrating dual-outcomes logic with a contingency perspective, the paper clarifies the conditions under which HPWS can produce mutual gains and when they result in performance-well-being trade-offs. The study concludes by outlining implications for HRM theory, managerial practices, and future research.

Please choose your submission type: Full Paper

Primary Track: Human Resource Management

Keywords: Strategic HRM;Organizational behaviour and psychological state;Performance;Stress and well-being;Recruitment and selection;Training and development

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Prof Clair Doloriert