Human Resources Development (HRD) for effective localisation of workforces. An empirical study for identifying the key success factors for the energy sector in the United Arab Emirates (UAE).

Abstract

The objective of the current study is to explore and identify the Critical Success Factors (CSFs), which impact upon the effective implementation of Human Resource Development (HRD) initiatives in support of nationalisation, and to recommend a model for practical application and future research. Accordingly the study focused on identifying and analysing the various factors in the localisation of a workforce with regard to five broad categories, namely: national level factors, organisational (policies and practices related) factors, organisational (HR related) factors, individual level (expatriate and experienced staff related) factors and individual level (UAE national related) factors. The data for the study was collected using both qualitative and quantitative methods. Qualitative methods were used to develop an in-depth case study of the Emiratisation process in an oil and gas organisation, as well as for identifying the critical success factors to be included in the survey questionnaire for collecting the quantitative data. The results of the study indicated that the critical success factors identified in the study are part of a complicated reality and need to be managed to ensure success of the localisation of a workforce. The mean scores obtained on the various factors differed significantly across the organisations or sub groups of respondents used in the study. This indicates that the impact of various factors that facilitate or constrain the localisation efforts are highly contextual and organisation specific. The findings of the study revealed valuable insights that could enrich not only future research in the area, but also the practical application of HR tools and methods to support the localisation process. The current study also developed a model for practical application and future research in the area. The model identified the role of HR strategies and tools as critical for managing the CSFs and ensuring the success of the process of localisation. The model developed in the current study also emphasises the need to define the 'success' of localisation in much broader terms, by addressing complex issues such as, employee morale and motivation, expectations of all employees, including expatriates and so forth, rather than just focusing on the number of UAE nationals employed and their competencies. The current study also identified some of the limitations of the study and highlighted suggestions for future research.