1. Introduction
The role of human resource management (HRM) has undergone a transformation in the contemporary worldwide and networked business environment, shifting from a purely administrative function to a strategic catalyst for achieving organizational performance [
1]. HRM techniques are of significant importance in influencing an organization's culture, employee conduct, and general governance [
2]. Kjaer [
3], went all over in search of a way in which governance might be widely defined and positioned in a manner that is at the center where it can reflect certain duties. His efforts prove to be fruitless as he comes to the realization that "Governance" refers to something that is much bigger than "Government" and that it is about "steering" and "the rules of the game." The overall goal of good governance is to improve the standard of living of a nation's population to the greatest extent possible. The governance process begins with each operation beginning with the administration of an organization's human re-sources [
4]. This is the first stage in each operation. Since this appears to be the first and most important step in governance because it is the step that would gather the best people expected to provide the best governance in order to achieve the highest well-being of people in a country, the purpose of this current paper is to investigate the strategies for establishing effective governance via human resource management practices in Saudi Arabia.
In contrast to several countries, the Kingdom of Saudi Arabia is founded upon traditional values [
5]. In the specific setting of Saudi Arabia, a country known for its distinct cultural norms, values, and religious sensitivities, the incorporation of governance strategies has become of utmost significance. Nevertheless, it is intriguing to note that Saudi Arabia, a nation governed by a monarch and founded upon a hierarchical structure built on clans, possesses its own constitution [
6]. The cultural and socie-tal aspects of Saudi Arabia have positioned the kingdom as a highly profitable labour market [
7]. When considering the significance of HRM in Saudi Arabia, it is necessary to evaluate the composition of the workforce, as it is significantly impacted by the prevailing labour relations [
8]. According to a report by Reuters, the current population of Saudi Arabia stands at 32.2 million individuals [
9]. It is noteworthy that approximately 42% of this population comprises foreign nationals, while Saudi citizens make up the remaining 58%. Furthermore, the report highlights that a significant proportion of Saudi citizens, specifically 63%, fall under the age of 30. This implies that Saudi Arabia possesses a favorable position to effectively respond to the demographic dynamics of a heterogeneous, young, and swiftly evolving labor force. It may achieve this by devising strategies that specifically tackle the distinctive obstacles and prospects arising from this demographic structure.
One of the major research problem this study highlight lies with the strategies that can be device for establishing effective governance through HRM practices in Saudi Arabia, there are challenges in general with HRM practices falling within the realm of research problem. The influence on HRM practices could transcends societal issues and include the examination of information availability and many more [
10]. It is noteworthy to establish the prevalence of foreign personnel in the private sector, which can reach as high as 95%, can be attributed to governance [
11]. Cultural conceptions have a significant impact on the strategies and practices employed, particularly in the context of managing and resolving balance of labour force in Saudi Arabia [
12]. The workforce in Saudi Arabia demonstrates a notable degree of diversity. The formation of good governance is a crucial component in attaining organizational success, and its achievement relies on several factors, including leadership, transparency, accountability, and ethical behaviour [
13].
This study identifies another area of research that deserves significant attention, which pertains to the examination of the concerns associated with the large impact of HRM strategies on various criteria. The potential to cultivate an environment characterized by integrity can be realized by implementing ethical HRM practices [
14]. However, the extent to which this can be quantified remains uncertain. The effectiveness of aligning employee behavior with the basic values of an organization through the implementation of HRM strategies and practices remains uncertain. Furthermore, there remains a lack of certainty regarding the potential impact of implementing HRM practices on the improvement of open-ness and accountability within organizational decision-making processes [
15]. While Saudi organizations strive to improve governance effectiveness, comply with legal obligations, and establish a reputation for ethical behavior by incorporating ethical principles into their HRM strategies [
16], the method for quantifying the extent of this contribution remains unclear.
An additional research problem that this study is willing to solves lies with the issue of introducing of integrated functional and strategic aspects of HRM on governance in Saudi Arabia, as high-lighted by Allui and Sahni [
17]. The alignment of Saudi Arabia's situation with the integration on the influence of governmental action on both the commercial and public sectors has a substantial effect on the decision-making process of HRM techniques in Saudi Arabia [
18]. These procedures are shaped by both the established norms within the sector and the conventions and decisions made by the monarchy Therefore, one may suggest that while the inherent unpredictability of the corporate environment, the possibility of conflicts emerging remains substantiated in governance. HRM processes may sometimes give rise to conflicts in governance, which are considered to be an inherent element of these practices [
19]. This is because disputes can work as catalysts for facilitating organizational modifications and transformations [
20].
There exists a lack of research investigating the specific strategies employed by firms in Saudi Arabia to incorporate strategic concepts of governance through HRM policies, and the subsequent impact on governance. This study found it necessary to examines the impact of HRM practices on governance outcomes, with a specific emphasis on the key criteria associated to the success of HRM practices. These factors offer valuable and actionable insights for companies seeking to enhance governance procedures. As a result, the current study contributes in the following ways:
The study also contributes in highlighting the needs for the integration of ethics and HRM as a crucial aspect of governance. The research emphasizes the significance of incorporating ethical concepts into HRM policies and practices to promote effective governance. The prioritization of ethics offers a distinct framework for businesses seeking to synchronize their principles with their systems of governance.
The study acknowledges the importance of HRM in fostering ethical leadership within a business. This study also posits that the implementation of ethical leadership, facilitated by HRM practices, is crucial in fostering governance excellence.
The research advocates for a comprehensive approach to HRM and governance, surpassing the basic adherence to regulatory requirements. The promotion of perceiving HRM as an essential component of governance is advocated, urging firms to consider not just compliance with legal requirements but also the cultivation of a corporate environment characterized by accountability, transparency, and ethical obligations.
Apart from this current section, which provides the background of the research, the remaining section are organized as follows:
Section 2 presents the theoretical framework of the research.
Section 3 pro-vides the research-related work.
Section 4 presents the analysis and presentation of the results.
Section 5 presents the discussion.
Section 6 provides the implications of the study.
Section 7 presents the limitations and recommendations for future work. Finally, Section 8 presents the conclusion of the research
3. Related Work
A significant fraction of research inquiries carried out in Saudi Arabia may center on the analysis of human resource management (HRM) practices inside the public sector [
27]. The examination of the recruitment, retention, and professional development of government workers is a crucial aspect to consider, as the effectiveness of governance heavily relies on a competent and motivated workforce [
28]. Previous academic research has mostly concentrated on examining the impact of HRM practices inside Saudi firms on governance, employing various viewpoints [
29]. Numerous scholarly inquiries delve into various facets pertaining to HRM strategies, challenges in governance, the congruence of HR with governance objectives, cultural influences, governmental regulations, leadership dynamics, measurement methodologies, exemplary approaches, and the impediments encountered within these domains [
30]. This research provides useful insights into the optimization of HRM processes, specifically within the unique context of Saudi Arabia, with the aim of enhancing governance.
According to Al-Taweel [
30], managers exhibit a noticeable deficiency in fully comprehending the prospective impact of high-performance work practices in facilitating the advancement of health services in many domains. This study investigates the impact of implementing high-performance work practices within the realm of human resource management in select healthcare clinics situated in the Kingdom of Saudi Arabia. The results indicate that the implementation of high-performance work practices has a significant role in the attainment of organizational objectives, as it enhances employee performance, productivity, and the overall quality of healthcare services provided by health dispensaries. Additionally, it contributes to the improvement of institutional features and performance.
Abaker et al. [
31] identified a gap in the existing body of information regarding middle eastern countries, specifically in relation to empirical research undertaken in Saudi Arabia. Their study aimed to investigate the effects of organizational policies and practices on diversity management within the Saudi private sector. The results indicate that the implementation of Saudization, retention strategies, compensation packages including perks, and health insurance policies have a substantial impact on diversity management within the commercial sector in Saudi Arabia.
Cherif [
32] did a study to investigate the correlation among work satisfaction, turnover rate, human resource management, employee job satisfaction, and organizational commitment in the banking industry in Saudi Arabia. The objective of the study was to examine if a strong sense of job satisfaction among bank employees can effectively reduce the occurrence of low turnover rates. The study's results demonstrate a direct relationship between human resource management and both employee job satisfaction and organizational commitment. Conversely, there was a direct association between employee job satisfaction and organizational commitment.
Alshaikhmubarak [
33] identified a knowledge vacuum pertaining to human resource management (HRM) practices in the public higher education sector of Saudi Arabia. The study aims to investigate the influence of high-performance HRM practices on the research performance and career success of academics. The Findings indicate that the implementation of effective human resource strategies, such as internal mobility and recognition, significantly influenced the career success of faculty members. Additionally, it was observed that the influence of these policies on career success was mediated by research performance.
According to the research conducted by Salih and Dolah [
34], contemporary firms are actively seeking effective strategies to improve their managerial competencies and get desired outcomes in their commercial operations. This study aims to examine the influence of human resources availability on the implementation of business excellence models. The study reveals the identification of five key success factors for the implementation of business excellence models in Saudi nonprofit organizations. These factors encompass the capabilities of data analysis and reporting, effective communication within the organization, the strategy and approach employed during implementation, the utilization of bench-marking practices, and the adoption of a well-defined governance framework.
Qazi and Miralam [
35] argue that human resources are a vital organizational asset that enables an organization to maintain its effectiveness and value. They further assert that the banking sector in Saudi Arabia is currently grappling with intense competition, economic challenges, and the implementation of Saudization policies, particularly in relation to human resources. This study aims to investigate the impact of human resource procedures on job satisfaction among employees in the private sector banking industry in Saudi Arabia. The results of the study indicate that training does not have a statistically significant impact on job satisfaction. However, other human resource management strategies such as performance appraisal, teamwork, employee engagement, and remuneration demonstrate a positive and statistically significant influence on job satisfaction.
According to Al Doghan [
36], there has been a dearth of research investigating the impact of human resource management techniques and work environment on teacher retention. Therefore, this study aims to investigate the impact of human resource management techniques and work environment on faculty retention in the specific context of Saudi Arabia. The results suggest that faculty retention is positively affected by training and development, remuneration and benefits, and work environment. How-ever, no significant correlation was observed between recruitment and selection, as well as the performance rating system, and faculty retention.
The study conducted by Al-Kazlah and Badkook [
37] aimed to assess the efficacy of HRM practices in enhancing employees' intrinsic motivation and originality. The researchers established a connection between HRM practices and the aforementioned outcomes, leading to the investigation of the impact of HRM practices on workers' enthusiasm and ingenuity. The results suggest that job design as a whole has a noteworthy and substantial influence on employees' motivation. Specifically, the dimensions of task significance, feedback, and autonomy are identified as the most influential aspects of job design. Additionally, job training is found to have a considerable and favorable effect on intrinsic motivation.
Al-Hanawi et al. [
38] conducted a study to examine the state of healthcare human resource development in Saudi Arabia, given the country's ongoing transformative phase. The study's results indicate that the implementation of Saudization and the 'Nitaqat' program have shown to be influential in advancing the Saudization objectives within the private sector. Furthermore, there exists a significant opportunity to include young, skilled Saudi individuals into the healthcare industry.
This study has identified a "research gap" in the existing literature, as it has observed that previous studies have not adequately considered the "Employee Perspectives" when examining the impact of HR practices on governance. By incorporating insights from employees at different hierarchical levels, this study aims to provide a comprehensive understanding of how HR practices influence governance from multiple viewpoints. Moreover, an additional "gap in the literature" exists in terms of the limited investigation into the viewpoints of other stakeholders, such as governmental bodies, industrial groups, and non-governmental organizations.
5. Data Analysis and Presentation of the Results
The focus of the analysis of the data is on the directions in which the research aims should proceed. When it comes to the objectives of the research, they were formulated in such a way that each aim concentrates on another subject for discussion. Therefore, the themes for each of the study objectives are as follows: "RO1: Cultural norms, Values, and Religious Sensitivities prevalent" "RO2: Enhance employee engagement and performance" "RO3: Customize HR practices to reflect local cultural" "RO4: Assess the impact of culturally adapted HR practices".
5.1. Cultural norms, Values, and Religious Sensitivities prevalent
The primary factors contributing to the attainment of the first research objective involve the examination of cultural norms, values, and religious sensitivities that are present in Saudi Arabia and their influence on human resources practices and governance. A considerable amount of responses was obtained from the 35 participants. The findings indicate that cultural norms in Saudi Arabia place a strong emphasis on the veneration of older individuals and the significance of familial bonds. The aforementioned values exert an influence on individuals' approaches to human resources decision-making and communication. Respondents R-4, R-6, R-13, and R-16 have provided comments that are closely related to a specific response from respondent R-9, who expressed that.:
“Respect for senior staff is highly valued in our organization. Because of this, we have to rethink our approach to team building and leadership."
This implies that exhibiting reverence towards senior personnel within a specific cultural context. The level of respect has a substantial impact on the manner in which teams are structured and leadership decisions are formulated within a certain cultural framework. Likewise, it has been disclosed that the incorporation of religious practices influences the tactics employed for the establishment of efficient governance through human resource management practices. Several respondents (R-1, R-14, R22, R33) share similar responses with respondent R8, indicating that:
"We view faith as a powerful tool for managing employees, complete with regular feedback, goal-setting, and evaluations of progress. Using Islamic principles to create open and honest appraisals of performance.".
This implies that an efficient governance approach through Human Resource Management Practice highlights the significance of integrating religious concepts, namely Islamic values, within the performance management system. This entails the adoption of strategies such as consistent feedback, objective establishment of objectives, and comprehensive assessments of performance, all while ensuring that performance evaluations are handled in a just and transparent manner, in accordance with the norms of Islamic ethics. Moreover, the incorporation of religious sensitivity constitutes a crucial aspect in the formulation of policy codes. They guarantee that personnel conform to Islamic values.
The focus of analysis centers on the effects of good governance. The significance of culture and religion as influential factors in shaping HR practices and governance decisions inside a business was emphasized. The comprehension and acknowledgement of cultural values and norms are crucial in upholding impartiality and equality in human resources practices and governance endeavors. Neglecting to adhere to this practice may result in discrepancies and disputes that impede the efficacy of governance. It is imperative to establish congruence between human resources practices and the objectives and principles of the firm, while simultaneously upholding religious convictions, in order to sustain a workplace atmosphere that fosters unity and inclusivity. Ineffectively managing these sensitivities might result in discriminatory practices or exclusionary measures, so compromising the fundamental tenets of good governance
5.2. Enhancement of Employee Engagement and Performance
The primary factors contributing to the attainment of the second research objective are to the augmentation of employee engagement and performance within the context of Saudi Arabia, hence influencing human resource practices and governance. The analysis of problems and opportunities associated with the integration of cultural adaptation into HR policy is of utmost importance in the context of enhancing employee engagement and performance. According to one participant (R-2), it is disclosed that:
"Making sure all of your teams and departments are on the same page with their cultural adjustments can be difficult. We don't want to set a precedent of inequality."
This implies that ensuring consistent and uniform application of cultural adjustments or changes across various departments and teams within a company poses a challenge. The primary objective is to mitigate the potential for disparities or inequities in the implementation of these cultural adjustments throughout different segments of the business. Put simply, organizations strive to guarantee uniformity in the implementation of cultural changes, aiming to minimize any disparities or variations experienced by individuals within the organization.
Maintaining uniformity within a company can often provide challenges. Companies make concerted efforts to guarantee that all employees derive advantages from these changes. Several participants share a similar perspective on this matter, including respondents R-5, R-7, R-10, R-12, R-19, and R-20. However, respondent R-35 presents an alternative viewpoint:
We observed that regulations that suited different cultures had a positive effect on morale. When employers cater to their workers' cultural preferences, morale soars."
This implies that the firm has noted that when they customize their rules and practices to correspond with the cultural backgrounds and preferences of its employees, it yields a favorable effect on employee morale. In essence, when employees see that their cultural needs and values are acknowledged and honored by the firm, they are inclined to have a greater sense of appreciation and job satisfaction. Consequently, this phenomenon engenders elevated levels of morale, thereby potentially yielding augmented levels of motivation, productivity, and overall job satisfaction within the labor force.
The implementation of cultural modifications by the organization resulted in a discernible improvement in employee satisfaction. The organization values the fact that employees demonstrate concern for their overall welfare. A prevailing perspective among the respondents is that there exists an opportunity to use the advantages brought out by diverse teams. When organizations modify their human resources procedures, they effectively leverage the capabilities and talents of people from diverse backgrounds. One participant (R-15) disclosed that:
"When we modify our approaches to human resources, our multicultural teams flourish. It's incredible to witness firsthand how diversity of thought sparks innovation."
This implies that when organizations adapt their human resources (HR) processes to accommodate the variety of their teams, there is a notable enhancement in the performance of these varied teams. The term "thrive" connotes that these teams not only exhibit efficient functioning, but also demonstrate exceptional performance. The aforementioned statement further emphasizes that the presence of varied experiences and opinions within these teams contributes to the cultivation of a dynamic and innovative atmosphere. The amalgamation of diverse viewpoints and backgrounds ultimately amplifies ingenuity, hence fostering inventive resolutions and methodologies for a multitude of obstacles and endeavors.
Another problem linked with organizational practices in the field of Human Resource Management (HRM) is the need to prevent tokenism. The organization seeks to authentically incorporate cultural modifications rather than only superficially implementing them. One participant (R-21) disclosed that:
""It's more than just checking off a list. We take care to guarantee that the changes are functional, not only attractive."
This suggestion highlights the organization's dedication to surpassing mere cosmetic adherence to specific rules or standards, commonly referred to as "box-ticking." On the contrary, their commitment is in the creation of modifications that are both meaningful and substantial. The term "meaningful" connotes that these alterations possess an authentic intention and importance, surpassing mere symbolism or superficiality. The company prioritizes the implementation of meaningful reforms, particularly in relation to diversity and inclusion, in order to generate substantial and beneficial outcomes, as opposed to only engaging in cosmetic or symbolic actions. The desired outcome of these changes is to yield concrete advantages and enhancements, rather than merely giving the appearance of adherence.
The solution pertaining to the attainment of objective 2 collectively focuses on the significant influence of culturally sensitive human resources practices on the promotion of effective governance within a company. The implementation of HR strategies that are attuned to cultural sensitivities plays a significant role in fostering a favorable work environment and enhancing the effectiveness of governance. This observation highlights the correlation between cultural sensitivity and effective governance. Culturally sensitive practices foster an inclusive and harmonious work environment, being a crucial element of effective governance. This statement highlights the organization's dedication to incorporating cultural sensitivity into its human resources policies and processes, acknowledging the advantageous influence it has on employee engagement and performance. The authors also recognize the difficulties associated with these approaches and underscore their significance in cultivating a favorable work atmosphere and improving overall governance efficacy. The integration of cultural sensitivity with principles of good governance exemplifies a comprehensive and inclusive approach to organizational administration.
5.3. Customize HR Practices to Reflect Local Cultural
The need of customizing HR procedures to incorporate local cultural issues while ensuring consistency with business objectives cannot be overstated in the realm of governance. The accomplishment of research objective 3 is of utmost importance. Typically, the responses pertaining to this matter entail the active involvement of employees in the process. In this manner, companies customize their HR procedures to align with cultural requirements, while also ensuring that these policies effectively contribute to the achievement of business objectives. The user's text is already academic in nature. No rewriting is necessary. One participant (R-18) discloses that:
"The participation of workers is crucial. They shed light on how to better coordinate cultural shifts with long-term objectives."
This underscores the need of engaging employees in the organizational culture change process. The inclusion of employees' thoughts and viewpoints is crucial in order to align these modifications with the strategic objectives of the firm. Employee participation is crucial in ensuring the successful integration of cultural changes into the organization's overarching strategic direction. Moreover, organizations strive to achieve equilibrium by tailoring certain elements while maintaining consistent basic principles. In this manner, cultural respect is upheld while simultaneously maintaining consistency. One participant disclosed [R-11] that:
“Changes need not lead to breakdowns. We strike a balance between localizing for the culture and keeping the structure of the company intact"
This suggests that organizations should prioritize the incorporation of personalized changes to meet cultural differences, while also ensuring that they maintain a sense of equilibrium. This implies that individuals exhibit caution in order to prevent the occurrence of chaos or confusion within the organization. The organization endeavors to accommodate cultural requirements while yet upholding the fundamental structure and systematic nature of its operations. Moreover, leadership assumes a crucial function in providing guidance for endeavors related to cultural adaptation. The commitment and example established by companies establish the prevailing atmosphere within the entire firm. One of the respondents [R-17] indicates that:
"Leaders send a powerful message to the rest of the firm when they actively promote and demonstrate cultural adaptability."
This implies that organizations undervalue the significant impact of leadership in fostering cultural adaptation inside the company. The act of leaders openly demonstrating and endorsing cultural adaptation conveys a significant message to the entire organization. This statement underscores the significance of accepting cultural diversity and promotes the adoption of such behavior among employees, thereby cultivating a more inclusive and culturally sensitive business culture. From an alternative perspective, the human resources practices implemented by firms can be likened to a mosaic, wherein each individual element represents a cultural factor, while simultaneously maintaining a coherent alignment with our organizational objectives. One participant [R-1] discloses that:
"Imagine a mosaic, where each tile stands for a different facet of culture. They make a lovely and harmonious whole when put together"
This suggests that organizations employ the metaphor of a mosaic to communicate the concept that the convergence of diverse cultural subtleties results in a cohesive and integrated organism. Similar to how individual tiles add to the overall aesthetic appeal of a mosaic, the integration and respectful acknowledgement of cultural variations within an organization or community contribute to a diverse and harmonious collective entity.
The comments collectively highlight the organization's dedication to harmonizing human resources processes with cultural norms and strategic objectives, all while upholding principles of justice and uniformity. Furthermore, they acknowledge the significance of leadership in promoting cultural sensitivity and its advantageous effects on effective governance and the unity of a company. The implementation of this comprehensive strategy exemplifies a commitment to advancing concepts of effective governance within a society characterized by cultural diversity.
5.4. Assessing the Impact of Culturally Adapted HR Practices
The primary factors contributing to the attainment of the final research objective are the evaluation of the influence of culturally tailored human resource strategies on governance outcomes, including transparency, accountability, and ethical conduct. Cultural adaption serves to bolster transparency within a business by fostering a sense of value and trust among employees. Individuals are more inclined to participate in open conversation. Several respondents, including R-1, R-6, and R-19, share a same perspective on this issue. However, it is worth noting that respondent R-11 presents a different viewpoint:
There will be more trust between us if we take cultural sensitivity into account. By treating each worker with respect, transparency is fostered naturally."
This implies that fostering an environment of cultural sensitivity inside the firm contributes to the establishment of trust among employees. Transparency is an inherent outcome of recognizing the viewpoints and cultural backgrounds of all employees, once trust has been established. Cultural sensitivity is fundamentally associated with the establishment of trust, which subsequently fosters transparency within the organizational context. Likewise, it has been seen by organizations that the use of culturally tailored human resources practices can effectively mitigate resistance to change. Employees possess a comprehensive understanding that alterations are in accordance with their deeply held principles and beliefs. One participant disclosed that:
"When employees can see that changes are made with their values in mind, they are more likely to embrace the change. A more optimistic outlook on organizational change is fostered as a result"
This finding indicates that employees are more inclined to have a favorable attitude towards organizational changes when they think that these changes align with their values and cultural preferences. Put simply, when adjustments take into account and coincide with the values of employees, it facilitates smoother transitions and enhances the likelihood of the workforce willingly accepting organizational shifts.
Another noteworthy concern pertains to the concept of "Ethical behavior," which is reinforced when employees experience a profound feeling of affiliation. Cultural adaptations have a significant role in fostering a sense of belonging. One participant disclosed that:
"Cultural adjustments foster an atmosphere where workers feel appreciated. Because of this, morality and accountability flourish naturally."
This indicates that cultural sensitivity training helps create a work climate where all employees feel valued. This, in turn, encourages workers to act ethically and gives them a greater feeling of responsibility. Culture-specific adjustments help foster an atmosphere at work that values honesty and responsibility.
Businesses found that when HR policies and procedures were modified to local customs, workers were more likely to come forward with allegations of wrongdoing. The results of one survey showed:
“When workers feel their cultural identities are valued by management, they are more inclined to speak up when problems arise”. When employees think that their firm demonstrates respect for their cultural backgrounds, they are more likely to exhibit a willingness to disclose difficulties or challenges. This phenomenon can be attributed to the fact that the cultivation of respect within the workplace promotes a heightened sense of accountability among employees, hence motivating them to actively engage in the identification and resolution of organizational challenges.
5.5. Findings from DEMATEL Evaluation
"The key sustainable strategies criteria for effective human resource management practices has been uncovered," according to the qualitative interview summary. Four primary criteria were identified: “Cultural Norms”, “Cultural Adaptation”, “Cultural Reflection”, and “Cultural Governance”. As a result, the DEMATEL technique has been applied to uncovered the main interaction among the criteria and also the cause and effect of these criteria.
"The key sustainable strategies criteria for effective HRM practices" is a title or heading that provides an overview of the fundamental components that are required for human resource management practices to be successful and to last for an extended period of time. For the purpose of the DEMATEL analysis, a code that is appropriate for these four criteria has been made available. As a result,
Table 3 provides the names of each of them together with the criteria that have been coded.
This research operational definition of “Cultural norms” refer to the collective standards, beliefs, and behaviors that are widely acknowledged and followed within a Saudi Arabi’s community or society. In the realm of human resource management, having a comprehensive grasp of cultural norms is essential for establishing an inclusive workplace atmosphere and promoting efficient communication and collaboration among individuals with varying backgrounds.
Similarly, the “Cultural adaptation” views from this research is the act of modifying one's behavior, beliefs, and expectations to align with the cultural practices, norms, and expectations of a new or unfamiliar cultural setting. In the realm of HR management, cultural adaptation refers to the implementation of policies and procedures that acknowledge and accommodate the cultural variety of employees. This approach aims to enhance employee engagement, contentment, and productivity.
The “Cultural reflection” as defined by this research is the process of carefully analyzing and assessing the cultural dynamics inside an organization, which includes its values, norms, and practices. HR management may foster cultural introspection by facilitating transparent dialogues, feedback loops, and programs that foster self-awareness and comprehension of cultural disparities among employees.
Finally, “Cultural governance” is operationally defined by this research as the methodical administration and supervision of cultural elements within an organization to guarantee they are in line with its values, aims, and objectives. In the realm of HR management, cultural governance refers to the creation of policies, procedures, and systems that aim to foster diversity, justice, and inclusion. It also involves dealing with cultural matters and conflicts in a just and transparent manner.
A Likert scale that spanned from 0 (which indicated "no influence") to 4 (which meant "high influence") was used to link the items that were utilized for the DEMATEL. This scale was used for each and every question. Each and every one of the thirty-five experts provided their responses, which were subsequently incorporated into a non-negative direct relation matrix with dimensions of n×n, based on equation 1, within a spreadsheet that was developed using Microsoft Excel (refer to the matrices that are provided below).:
The average of the
n×n non-negative direct relation matrix, that is the mean total of decision matrices (Z) is derived from equation 2 and presented in the matrices below:
Equation 3 was used to calculate the total decision normalized direct influence matrix. The reason for the calculation of the total decision normalized direct impact matrix serves as a basic of streamlining the data for understanding the complex relationships and dynamics that exist inside a decision-making environment. This, in turn, ultimately contributes to improved decision-making and problem-solving abilities.
The first thing that has to be done is to determine the total number of rows and columns in order to determine which cell in a matrix has the highest value. After that, divide all of the values of the matrices by the largest number in order to obtain the result, which is the normalized matrix D that is presented below:
For the purpose of generating the total relation matrix, it is necessary to have an identity matrix
i. The total relation matrix is constructed using the identity matrix serving as a baseline or starting point for the construction of the matrix. A square matrix is commonly used to represent the identity matrix in the context of DEMATEL. In this matrix, all of the diagonal members are equal to 1, while all of the other elements are equal to 0. The absence of any links or influences between the factors is represented by this matrix because it is empty. This identity matrix not only assists in determining the direct ties that exist between components, but it also provides assistance in determining the indirect relationships that exist between factors.
Similarly, after establishing the identity matrix, the next is to build a matrix by subtracting identity matrix from the direct relationships matrix
i-D. The new matrix will establish both direct and indirect relationship. Relationships that are direct indicate the immediate impact of one element on another, while indirect interactions indicate the impact that one factor has on another through intermediate factors. By performing matrix subtraction between the identity matrix and the total relation matrix, it is possible to isolate and analyses the direct relationships between factors individually.
The next is to take the inverse of the matrix above
. One way to normalize the matrix is by taking its inverse, which ensures that the influence values are confined to a standardized range, making understanding and comparison easier. The use of the inverse operation converts the values in the matrix into influence scores, which accurately represent the magnitude and direction of effect between factors.
After finding the inverse matrix, the next step is to establish the total relation matrix T using Equation 4. This matrix is an essential tool for analyzing the interrelationships among various factors or criteria within a complex system. The total relation matrix
provides a comprehensive analysis of the relationships between factors, offering valuable insights into the dynamics of the system being studied.
From the total relation matrix T, the criteria that are pertinent to the career path can be determine by Equation 5. Where r and c values represent the magnitude and orientation of the associations between criteria. Examining the differences in rows and columns, their sum offers valuable understanding of the cause-and-effect connections between crucial elements and the career paths of academic employees in Saudi Arabia. Negative differences emphasize criteria that are predominantly influenced by other criteria of the academic setting, whereas positive differences show criteria that have a stronger impact on influencing career paths. Gaining insight into these processes can provide valuable information for implementing strategic interventions and policies that aim to foster career progression and empowerment within the academic sector in Saudi Arabia.
In this particular instance,
Table 4 demonstrates that there is a negative difference in two criteria. This indicates that these criteria have a greater impact as an outcome rather than as a factor. Within this particular framework, it suggests that the "Cultural Adaptation" and "Cultural Governance" are greatly impacted by "Cultural Norms" and "Cultural Reflection". These criteria can serve as outcomes or consequences of the "Cultural Norms" and "Cultural Reflection" criteria. This means that improvements in "Cultural Adaptation" and "Cultural Governance" are likely to occur as a result of changes in the aspects of "Cultural Norms" and "Cultural Reflection".
On the other hand, a positive difference suggests that the criterion has a greater impact as a cause rather than as an effect. criteria such "Cultural Norms" and "Cultural Reflection" can have a considerable impact on Cultural Adaptation" and "Cultural Governance". The identification of positive differences reveals the criteria that influence changes in many elements of Cultural Adaptation" and "Cultural Governance", indicating specific areas where interventions or initiatives should be focused to improve HRM practices.
The final stage of DEMATEL entails creating an interaction diagram. To do this, the research must determine a threshold value (α) by utilizing Equation 6. Identifying major linkages among components inside the system is essential. The threshold value serves to differentiate between robust and feeble interactions, facilitating a more lucid reading of the interaction diagram. The threshold value (α) is established to distinguish between impactful and non-impactful links. Therefore, the threshold value obtained while using equation 6 is “7.783599781” (see
Table 5). The bolded values are the values that are above the threshold. Criteria that have connection strengths above the threshold value are regarded to have substantial interactions, whereas those with connection strengths below the threshold value are deemed to have negligible interactions.
The interaction diagram shown in
Figure 1 makes it abundantly evident, through the use of an arrow, that "Cultural Reflection" exerts a more significant influence on all of the criteria. The reason for this is that there are three links emanating from it that point to all of the other criteria, but there is no arrow that points to it. For that reason this research can coclude from DEMATEL evalaution that “Cultural reflection”" is the key sustainable strategies criteria for effective human resource management practices in Saudi Arabia. This means that carefully analysing and assessing the cultural dynamics within an organisation in Saudi Arabia, which includes the Saudi values and practices of the organisation, encourages cultural introspection by making it easier for employees to understand the cultural differences that exist among them.
6. Discussion
The primary outcome of this study is linked to the attainment of the research goals. The primary research objectives are to the analysis of the outcomes within the specified scope. The cultural significance of demonstrating reverence towards older individuals within Saudi Arabian society has been un-veiled. This statement highlights the significance of cultural norms in shaping human resource practices and governance. This discovery is linked to the "Cultural Adaptation Theory." The correlation lies in the adaptation of HR processes to incorporate the principle of respecting elders, which in turn promotes a healthy work environment and enhances governance effectiveness. This implies that when firms modify their human resources strategies to align with cultural demands, it frequently results in increased levels of employee engagement and satisfaction. Consequently, this phenomenon leads to the enhancement of staff morale and, ultimately, augments the overall effectiveness of governance inside the firm. To clarify, the alignment of human resources strategies with cultural requirements can yield favorable outcomes for employee well-being and, as a result, governance results.
In relation to the attainment of the remaining objectives, an additional significant discovery pertaining to them is linked to the concept of "Diversity Benefits." This finding underscores the merits of harnessing heterogeneous teams by means of culturally adapting human resource methods. This suggests that acknowledging the merits of diversity underscores the benefits of employing heterogeneous teams inside a business. The aforementioned benefits are frequently attained through the modification of human resources processes in order to meet diverse cultural backgrounds and individual requirements. The proposition posits that the implementation of cultural adaptation within human resources practices can enable firms to effectively leverage the benefits of diversity, hence exerting a favorable influence on governance and overall performance. This assertion is substantiated by the theoretical framework known as "Diversity and Inclusion Theory." Organizations can harness the potential of diverse view-points, resulting in creativity, employee satisfaction, and effective governance, by modifying their HR policies to accommodate individuals from different backgrounds.
Additionally, it has been disclosed that the concept of "Meaningful Adaptation" emphasizes the significance of authentic cultural adaptations that provide substantial worth, as opposed to cosmetic modifications. It is imperative to underscore the significance of avoiding superficial or token gestures while implementing cultural modifications, as emphasized by T. On the contrary, it is imperative that mission statements possess significance and authentically align with the cultural principles and requirements of the firm and its workforce. The emphasis on meaningful adaptation holds significance in the realm of governance as it guarantees the authentic integration of cultural concerns into an organization's procedures, hence potentially enhancing decision-making processes and improving the efficacy of governance. This assertion is substantiated by the "Ethical Governance and Compliance Theory." The demonstration of authenticity in cultural adaptations is indicative of ethical conduct, fostering trust among employees and facilitating the establishment of effective governance. These interpretations offer a more profound comprehension of Human Resource Management (HRM) within the framework of the study objectives and related theories. The authors illustrate the manner in which each subtheme exemplifies the complexities involved in adjusting human resources procedures to conform with cultural norms, bolster employee engagement, and contribute to efficient governance within the context of Saudi Arabia.