The Effectiveness of HRM Crisis Management Practices in Enhancing the Performance of Employees and Organizations in Lebanon

This research identifies the HR practices that have been applied by HR managers and departments to manage the current financial and economic crisis taking place in Lebanon. It also aimed at assessing the impact of these practices on increasing employees? performance, and accordingly its impact on improving the overall organizational performance in comparison to the impact of the market situation on the overall organizational performance. To conduct the study, a literature review was composed. It indicated that employee performance is determined by the management practices and that it would definitely affect the organizational performance. Moreover, it also highlighted how the macro - environmental factors affect the organizational performance. The literature review provided some insights on the Lebanese market and indicated the cruelty of the crisis taking place. To collect primary data, a quantitative research was done through a questionnaire and analyzed through SPSS. Accordingly HR managers had to change their goals and objectives, reduce HR budget on HR activities, add more control on employee?s performance, release the least productive employees and promote the high performers, work on motivating employees and communicating information, and interfere to prevent conflicts. The HR practices proved to be effective in increasing employee performance, however, this increase in employee performance was not effective enough to increase the organizational performance, as the market situation proved to be greatly influential and more impactful than employee performance.