Abstract: This study on “The relationship between human
resource practices and Firm Performance is a speculative
investigation research. The purpose of this research are (1) to provide
and to understand of HRM history and current HR practices in the
Philippines (2) to examine the extent of HRM practice among its
Philippine firms effectively; (3) to investigate the relationship
between HRM practice and firm performance in the Philippines. The
survey was done to 233 companies in the Philippines. The
questionnaire is divided into three parts a) to gathers information on
the profile of respondent, b) to measures the extent to which human
resource practices are being practiced in their organization c) to
measure the organizations performance as perceived by human
resource managers and top executives as compared with their
competitors in the same industry. As a result an interesting finding
was that almost 50 percent of firm performance is affected by the
extent of implementation of HR practices in the firm. These results
show that HR practices that are in line with the organization’s
strategic goals are important for future performance.