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This report presents a description about the HPWS which is utilised by a business organisation that can be used in a fundamental approach to improve the performance of employees and organisation. HPWS is also called as the high involvement or also as high commitment organisation and is similar in nature with that of the total quality management within an organisation to increase the profitability of a business organisation. There are a number of practices that are included in the effective implementation of HPWS such as recruitment, selection and these practices have resulted in the improvement of business organisation.
Performance appraisal, training and compensation are some of the HPWS system which is implemented to improve the performance of employees within a competitive environment. Performance of employees can be improved with an aim to develop better skills, opportunities and motivation so that better performance can be obtained from employees and the profitability of organisation can be obtained.
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