High Performance Work Systems (HPWS) have been widely adopted by organizations seeking competitive advantages through enhanced employee performance.This study critically evaluates the effectiveness of HPWS in human resource practices by examining both positive and negative outcomes.Drawing on existing literature, this paper analyzes how HPWS influences organisational performance through mechanisms such as employee empowerment, incentive-based compensation, and high-trust relations.The findings indicate that HPWS generates positive outcomes including increased job satisfaction, organisational commitment, and employee autonomy, which contribute to improved organizational performance and economic returns.However, this study also identifies significant negative consequences, including work intensification, increased turnover intentions, and psychological strain resulting from excessive work pressure and blurred work-family boundaries.Based on these findings, this paper proposes two key recommendations for organisations: implementing comprehensive supervision mechanisms to regulate employee decision-making processes, and establishing optimal balance points to maximize positive effects while minimizing negative impacts.The results suggest that organisations must adopt a critical and balanced approach when implementing HPWS to achieve sustainable mutual gains for both employers and employees.
Sijie Zhang (Thu,) studied this question.