AN ASSESSMENT INTO THE IMPACT OF HUMAN RESOURCE MANAGEMENT ON PERFORMANCE OF SOCIÉTÉ NATIONALE DES HYDROCARBURES)

CHAPTER ONE

INTRODUCTION

Background of the study

Human Resource Management is an essential and necessary activity for both commercial and public sector enterprises. The process encompasses various operational objectives, including recruitment, comprehensive employee training, employee selection, employee assessment, employee motivation, fostering and maintaining positive employee relationships, and ensuring employee welfare and health in accordance with relevant state and national laws. Human resource management is the strategic use of a company's limited trained labor (Noe, Hollenbeck, Gerhart & Wright, 2017). The primary objective is to optimize the usage of the current human resources inside the firm. 

In addition to this, human resource management encompasses several functions such as job analysis, workforce planning, recruiting, compensation management, conflict resolution, and ensuring a conducive and safe working environment for workers (Abdullah & Othman, 2019). The firm use human resource management to effectively utilize its resources. Moreover, the department has a significant impact on fostering the personal and professional development of personnel. Moreover, it enhances the workers' professional aptitude and expertise. Human resource management enhances the workers' quality of work life. Hence, the importance of Human Resource Management in relation to organizational success is apparent (Francis, 2015). 

A significant number of firms have formed their human resource management department and recognize its importance in the contemporary business landscape (Collins, 2021). The significance of better performance work methods in the field of Human Resource Management cannot be overstated. While literature acknowledges the importance of Human Resource Management (HRM) for organizational effectiveness, there is a lack of extensive discussion on the specific impact of good HRM on organizational performance. In addition, there is little research available from a Saudi Arabian viewpoint that examines the impact of better performance techniques on the performance of organizations in Saudi Arabia. Human resource management (HRM) is widely acknowledged as a vital element of organizational performance in many sectors. Companies may improve employee productivity, job happiness, and overall organizational performance by implementing effective HRM practices (Anwar, 2017). Human Resource Management (HRM) involves several operations such as hiring and choosing employees, providing training and growth opportunities, managing performance, and determining pay and benefits. These activities have a substantial impact on an organization's operational and financial results (Noe et al., 2017). 

1.2 Statement of the problem

In recent times, human resource management (HRM) is a crucial factor in the success of businesses, as it has a significant impact on employee productivity and overall organizational results (Magrizos & Roumpi, 2020). The Société Nationale des Hydrocarbures (SNH) is the national oil firm of Cameroon and plays a crucial role in the exploration, production, and sale of the country's hydrocarbon resources. Although SNH's performance is strategically significant in the national economy, there is a dearth of study on the precise influence of HRM practices on it. Considering SNH's position in the energy industry, it is essential to comprehend the impact of HRM practices on its operational efficiency, employee happiness, and financial results in order to ensure its sustained development and competitive advantage (Collins, 2021). 

Previous studies have shown that the implementation of efficient Human Resource Management (HRM) methods may result in enhanced performance across many sectors (Sadikova, 2020). However, there is little understanding about the particular impact of these strategies on Social and Natural Heritage (SNH). Hence, the objective of this study is to evaluate the influence of Human Resource Management (HRM) on the performance of SNH. This research will address a significant knowledge gap in the existing literature and provide valuable insights for SNH's management and stakeholders to optimize HRM strategies and improve organizational performance. Hence, the study assess the impact of human resource management on performance of Société Nationale des Hydrocarbures).

1.3 Objective of the study

The broad objective of the study is to assess the impact of human resource management on performance of Société Nationale des Hydrocarbures). The specific objectives is as follows

Assess the human resource management practices of Société Nationale des Hydrocarbures, Cameroon.

Investigate the impact of human resource management practice on the performance of staffs in Société Nationale des Hydrocarbures.

Investigate the relationship between human resource management practices and organizational performance of Société Nationale des Hydrocarbures.

1.4 Research Questions

The following questions have been prepared for the following

What is the human resource management practice of Société Nationale des Hydrocarbures, Cameroon?

What is the impact of human resource management practice on the performance of staffs in Société Nationale des Hydrocarbures?

What is the relationship between human resource management practices and organizational performance of Société Nationale des Hydrocarbures?

1.5 Research Hypotheses

Ho: There is no significant impact of human resource management on performance of société nationale des hydrocarbures.

Ha: There is a significant impact of human resource management on performance of société nationale des hydrocarbures.

1.6 Significance of the study

The findings of the study can have broader implications for HRM policies and practices within SNH and other organizations operating in the hydrocarbon sector. By identifying best practices and areas for improvement, the study can inform policy decisions aimed at enhancing the effectiveness of HRM functions and maximizing the contribution of human resources to overall organizational performance. In the highly competitive hydrocarbon industry, human resources can serve as a source of competitive advantage. By analyzing how HRM practices contribute to SNH's performance, the study can identify areas where the company excels and areas where it can improve relative to its competitors. This insight can help SNH differentiate itself in the market and sustain its competitive position.

Empirically, the study contributes to the body of knowledge and would serve as reference for scholars and student who wishes to conduct further studies in related field.

1.7 Scope of the study

The study focuses on the impact of human resource management on performance of Société Nationale des Hydrocarbures). Empirically, the study will assess the human resource management practice of Société Nationale des Hydrocarbures, Cameroon, investigate the impact of human resource management practice on the performance of staffs in Société Nationale des Hydrocarbures and investigate the relationship between human resource management practices and organizational performance of Société Nationale des Hydrocarbures. Hence, the study is delimited to Société Nationale des Hydrocarbures.

1.8 Limitation of the study

Like in every human endeavour, the researchers encountered slight constraints while carrying out the study. Insufficient funds tend to impede the efficiency of the researcher in sourcing for the relevant materials, literature, or information and in the process of data collection (internet, questionnaire, and interview), which is why the researcher resorted to a moderate choice of sample size. More so, the researcher will simultaneously engage in this study with other academic work. As a result, the amount of time spent on research will be reduced.

1.9 Definition of terms

Human Resource Management (HRM): HRM refers to the strategic approach to the effective and efficient management of people within an organization. It involves a range of activities including recruitment, selection, training, performance management, compensation, and employee relations. The goal of HRM is to maximize employee performance in service of an employer's strategic objectives.

Performance: Performance in the context of an organization such as SNH typically refers to the efficiency and effectiveness with which the company achieves its objectives and goals. This includes financial performance, operational performance, productivity, and other measures that indicate how well the organization is functioning and meeting its targets.

Société Nationale des Hydrocarbures (SNH): SNH is the national oil company of Cameroon. It is responsible for managing the country's oil and gas resources and plays a key role in the exploration, production, and marketing of hydrocarbons. 

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