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Purpose

This study aims to focus on understanding how high-performance work system (HPWS) help build an agile organization by promoting employee agility (EA). This research examines how EA mediates the relationship between HPWS and organizational agility (OA) within the dynamic capability framework.

Design/methodology/approach

This study gathered data from a survey of 407 full-time employees working in the Indian electronics industry. The proposed relationships among HPWS, EA and OA were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM).

Findings

The findings indicate that HPWS significantly and positively influences both employee and OA. Further, EA partially mediates the HPWS and OA relationship.

Originality/value

The originality of the study lies in testing EA as a significant mediator in the HPWS and OA relationship. By providing evidence from the Indian electronics manufacturing industry, the study adds contextual insight to existing research and advances understanding of how the human resource system is related to agility in dynamic environments.

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