New research shows how HRM systems can strengthen employee well-being and performance

In his doctoral thesis, Stefan Santokhie examines how HRM systems are related to employee well-being and performance at employee, team and organisational level.

Santokhie found that HRM has a positive relationship with employee well-being and performance and employee well-being is an explanatory mechanism of the HRM and organisational performance relationship. 

Santokhie explains: “According to my findings, employees experience better well-being with an HRM system that consists of practices that aim to improve abilities, motivation and organisational opportunities which mutually reinforce each other. I also found that employee well-being is a key factor that explains why HRM systems help teams and organisations perform better.”

HRM systems can be either a valuable resource that supports employees or a demand that strains them. 

“HRM systems should give employees the resources they need to manage the demands of their work,” Santokhie notes. “When resources outweigh demands, employee well-being improves and better performance at individual, team and organisational levels follows.”

Santokhie’s results show that HRM systems are positively related to employee well-being and that well-being helps explain the link between HRM and organisational performance. These findings offer strong support for the mutual-gains perspective. 

“Based on my findings, organisations could improve and develop their HRM practices and systems to positively build and support employee well-being and performance. This should ultimately also lead to positive increases in team and organisational performance which would benefit both the organisation and employees,” Santokhie summarises.

Santokhie also credits the following co-authors who played a valuable part in his doctoral research: Assistant Professor Susanne Beijer, Dr. Anton Beletskiy, Professor Mats Ehrnrooth, Dr. Maria Gaudiino, Professor Sven Hauff, Professor Denise Salin, Assistant Professor Robbie van Aert, Professor Marc van Veldhoven, and Professor Karina van de Voorde. 

You can read the full thesis here: Human Resource Management (HRM), Employee Well-being and Performance: Empirical, Conceptual and Meta-Analytic Essays

Stefan Santokhie will defend his thesis on the 18th of December 2025 at 12:00 at Hanken School of Economics, Arkadiankatu 22, Helsinki. 

The doctoral defense will be held in hybrid form. Participants can attend on site or via video conference.

Opponent: Professor Karin Sanders, School of Management & Governance, UNSW Business School, UNSW Sydney, Australia
Custos: Professor Mats Ehrnrooth, Hanken School of Economics