In today's competitive business environment, intellectual capital will be critical to business success. So if organizations are to generate profits through people, HR practices were particularly significant. In this article, an attempt has been made to reveal that how the use of HR practices contributed to enhance employee commitment and is in turn linked to higher levels of productivity and quality of services.

Every organization irrespective of its nature is made up of people. Utilizing employees' services, developing their skills, motivating them to reach higher levels of performance and ensuring that they continue to maintain their commitment towards the organization are essential in attaining organizational objectives. Organizations which are able to acquire, develop, stimulate and retain outstanding employees are effective and efficient. Human resource thus plays a vital role either in the success or failure of an organization. In today's competitive business environment, quality and productivity are the two important factors for the survival and growth of any organization. Satisfied employees can facilitate these two factors and thereby help the organization to compete in the market. Employees therefore deserve all the care and attention of the organization to achieve its goals and objectives and to bring out its true potential.

The very art of managing people is based on thoughtful policies and practices aimed at enhancing motivation and commitment of the workforce. An organization's practices should be "excellent practices in HR management", which will deliver benefits to all stakeholders—shareholders, creditors, suppliers, consumers and employees. The organization in turn will benefit from this. Organizations can gain competitive advantage by implementing successful HR practices. Such practices consistently generate attentiveness on the part of employees to attain business goals in the best possible and ethical manner. They are aimed at creating team spirit among the employees in the organization.

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