Human Resource Management practices in the Ghanaian Rural-Based Banking Sector.

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The concept of Human Resource Management (HRM) and environmental influences dominate most management literature today however, the focus has been on develop ed countries with little research done on Africa especially, Ghana. The study therefore aimed at providing insight into the HRM practices found in Ghanaian rural-based banking sector using case studies of two rural-based banks in the Sekyere Kumawu and Sekyere East districts of the Ashanti Region. In setting the theoretical background of the study, HRM practices, literature as well as the institutional theory and the convergence and divergence debate were explored. However, some writers regard HRM as a cosm etic measure in the sense that an organization having a human resource department does not necessarily guarantee a change in the management of their people as asset which the concept prescribes. It is against this background that this research project is being undertaken with research questions designed to provide answers about the extent to which human resource management practices are employed by organizations. The study adopted a mixed method approach. This involved the use of questionnaire and semi-structured interviews to collect data from (80) respondents from rural -based financial institution. Both the qualitative and quantitative data collected were analyzed using a number of methods, including frequency analysis and content analysis. One of the find ings of the study was that both banks are transforming their HR department to conform to high standards set by the extremely competitive business and market environment. Several studies have linked HRM to organizational success and evidence from the two case studies supports this general view. Both banks saw the need to adopt the concept HRM even if their functions are yet to reflect a change in practice, this is attributed to the general view that HRM delivers results. Among the recommendations made were that considerations should be given to link the HRM practices with the long term objectives and the strategies of the organization. HR (Human Resource) departments must be empowered and have full knowledge of the companies‟ business strategy, needs and objectives and should be in the position to take initiatives and make contributions to organizational progress
A thesis submitted to the Department of Managerial Science, Kwame Nkrumah University of Science and Technology in partial fulfillment of the requirements for the degree of Master of Business Administration (Human Resource Management Option), 2014