Management development in Saudi Arabia: Preparing for a borderless world.
thesisposted on 19.11.2015, 08:43 by Mohammed Duliem. Al-Qahtany
Globalisation is a popular word in business and industry today. The term relates to viewing the marketplace as existing world-wide, breaking down trade barriers between nations. Global expansion is necessary to achieve growth and profitability when the domestic market is saturated. This places greater responsibility on management to prepare their organisation and manpower to function in new and different environments. The purpose of this study is to provide management with the tools necessary to be successful in the global marketplace. Although the focus of this study is primarily designed to assist Saudi Arabian management to participate in the global marketplace, this research can benefit management of every organisation contemplating entering the global marketplace. The emphasis of the study is on Human Resource Management (HRM) and Human Resource Development (HRD) in preparation for entrance into the global market. The methodology selected includes both primary and secondary data. The primary data was collected from 223 Saudi and non-Saudi general managers or their assistants, currently employed in Saudi Arabia. The instrument selected to collect empirical data was a questionnaire for the purpose of testing eight hypotheses. The data was compared with a study conducted by Barham and Devine in 1991. Secondary data was collected from articles, tests and publications relative to HRM and HRD and the demands of the globalised marketplace. The primary research resulted in support of some of the hypotheses and lack of support in others. An analysis of the data indicates that the differences in support of the hypotheses were based on lack of experience in the global market. The secondary research supported the view that increasing numbers of companies have had to enter the global marketplace for growth and expansion. The research supports the view that for business and industry to grow they must expand into the global marketplace. However, not all managers have the knowledge, skills, or experience to guide their organisation into larger markets. The main outcome clearly shows that before Saudi companies can enter the global marketplace they must look at their organisation to determine if their products are suitable and whether or not they have qualified personnel to support the plans for globalisation. In most cases, HRD programmes are required to prepare managers to manage in a foreign environment if they are to be successful in the new venture. A model has been designed to serve as a guideline for managers considering entering the global market. Emphasis has been placed on the need for developing managerial skills of those selected for foreign assignments. The model can assist management to have a better understanding of that which is required if the company is to be effective in a foreign environment.