THE ROLE OF HUMAN CAPITAL MANAGEMENT STRATEGY IN ESTABLISHING A COMPETITIVE ADVANTAGE IN ROAD CONSTRUCTION SECTOR: A CASE STUDY OF KENYA NATIONAL HIGHWAY AUTHORITY (KENHA)

Caren Chepkorir Metet

Abstract


The human factor in the strategies of organizations under the road construction sector has long been ignored, in the recent times it has gained importance and the leadership of the organization began to realize that the human factor is critical in the creating and sustaining the competitive advantage. There are a growing number of managers who achieve competitive advantage due to human resources instead of using a particular technology, the availability of financial capital and the like.. Somewhere between theory and practice, precious human capital is being misused, wasted or lost. The main objective of the study is to examine the role of human capital management strategy in establishing a competitive advantage in road construction sector. The study was guided by the following objectives: to determine the extent at which Performance measures affect establishing a competitive advantage in KeNHA, to examine how training affect establishing a competitive advantage in KeNHA, to analyze the influence of career development on  establishing a competitive advantage in KeNHA and to determine the extent at which learning capacity affect the  establishing of a competitive advantage in KeNHA.The research study found out that the four factors played a major role in determining the competitive advantages in the road construction sector. The study recommends that road construction sector have effective training systems and policy in place to ensure road construction sector enjoy competitive advantage. The study also recommends that the public sectors should use training as one of the strategies of human factor management. The road sector should also undertake performance measures as a strategy for rewarding the human factor fairly. Also road construction sector should embrace career development strategy as a way to improve the performance and productivity of the human factor in this sector. Finally, the study recommends that the road construction sector should improve the learning capacity in order to empower the employees in this sector.

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References


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Armstrong, M. A. (2009), “A Handbook of Human Resources Management,” (11th ed., Kogan Page London.

Barney, J. (1991), “Firm resources and sustained competitive advantage,” Journal of Management, Volume 17(1), p. 99-120.

Bartlett, C. A., & Ghoshal, S. (2002), “Building competitive advantage through people,” MIT Sloan Management Review, Volume 43(2), p. 34-41.

Becker, B.E., Huselid, M.A., & Urich, D. (2001), “The Human Resource Scorecard: linking People, Strategy and Performance,” Harvard Business School Press, Boston.

Bennis, W. (2007), “The challenges of leadership in the modern world,” American Psychologist,” 62, 2-5. doi: 10.1037/0003.066X.62.1.2

Bontis, N. & Fitzenz, J. (2002), “Intellectual capital ROI: A current map to human capital antecedents and consequences,” Journal of Intellectual Capital, Volume 3(3), p. 223-247.

Boxall, P., & Purcell, J. (2003), “Strategy and Human Resource Management,” Palgrave Macmillan Limited, London.

Chadwick, C., & Dabu, A. (2009), “Human Resources, human resource management, and the competitive advantage of firms: Toward a more comprehensive model of causal linkages,” Organization Science, Volume 20, p. 253-272. doi: 10. 1287/orsc.1080.0375

Crick, A. P. (2007), “Managing service workers: Exploratory insights from a sample of Jamaican service organizations,” Journal of Eastern Caribbean Studies, Volume 32(4), p. 8-30.

Du Plessis, C. (2007), “A strategic framework for sustainable construction in developing countries,” Construction Management and Economics, Volume 25, No. 1, p. 67.

Egbu C.O. (2004), “Managing knowledge and intellectual capital for improved organizational innovations in the construction industry: An examination of critical success factors,” Engineering, Construction and Architectural Management, Volume 11, No. 5, p. 301.

Hitt, M., Bierman, L., Shimizu, K., & Kochhar, R. (1998), “Direct and moderating effects of human capital on strategy and performance in professional service firms: A resource based perspective,” Academy of Management Journal, 44, 13-28. doi: 10.2307/3069334

Hsu, I. C., Lin, C. Y. Y., Lawler, J. J., & Wu, S. H. (2007), “Toward a model of organizational human capital development: Preliminary evidence from Taiwan. Asia Pacific Business Review,” Volume 13(2), p. 251-275.

Legge, K. (2005), “Human Resource Management Rhetoric and Realities,” Palgrave Macmillan Limited, London.

Love P.E.D., and Irani Z. (2004), “An exploratory study of information technology evaluation and benefits management practices of SMEs in the construction industry,” Information and Management, Volume 42, p. 227-242.

Marchington, M., & Wilkinson, A. (2008), “Human Resource Management at Work: People Management and Development,” (4th ed.), Pearson Education, Harlow.

Martinuzzi, A, Gisch-Boie, S., & Wiman, A. (2010), “Does Corporate Responsibility Pay Off?” Report for the European Commission on CSR in the Chemical, Construction and Textile sector (forthcoming).

Peck, S., (1994), “Exploring the link between Organizational Strategy and Employment Relationship: Then Role of Human Resources Management Policies,” Journal of management Studies, Volume 31(5), p. 715-36.

Pfeffer, J. (2001), “Fighting the war for Talent is Hazardous for your Organization,” Pearson Education, Stanford.

Purcell, J.(2001), “The Meaning of Strategy in Human Resource Management: A Critical Text,” (2nd ed.), :Thompson Learning, London.

Purvanova, R. K., Bono, J. E., & Dzieweczynski, J. (2006), “Transformational leadership, job characteristics, and organizational citizenship performance,” Human Performance, Issue 19, p. 1-22. doi: 10.1207/515327043hup1901_1

Sariolghalam, N., Noruzi, M. R., & Rahimi, G. R. (2010), “The enigma of physics’ quantum skills strategies in the area of management,” Modern Applied Science, Volume 4(4), p. 147-154.

Selvarajan, T. T., Ramamoorthy, N., Flood, P. C., Guthrie, J. P., MacCurtain, S., & Liu, W. (2007), “The role of human capital philosophy in promoting firm innovativeness and performance: Test of a causal model,” International Journal of Human Resource Management, Volume18(8), p. 1456-1470.

Štangl-Šusnjar, G., & Leković, B. (2009), “Performance-based pay in human resources development,” Strategic Management, Volume 14(3), p. 1-14.

Storey, J. (2007), “Human Resource Management: A Critical Text,” (3rd ed.), Thomson, London.

Vos, A. D., Dewettinck, K., & Buyens, D. (2006), “Organizational versus individual responsibility for career management: Complements or substitutes?” Working Paper, HRM Centre, Vlerick Leuven Gent Management School.

Werber, J., & DeMarie, S. (2005), “Aligning Strategic HRM and Person-Environment Fit,” Human Resource Review, Volume 15, p. 247-267.

Wright, P., Gardner, T., Moynihan, L., & Allen, M. (2005), “The relationship between HR practices and firm performance: examining causal order,” Personnel Psychology Journal, Volume 58(2), p. 409-446.




DOI: http://dx.doi.org/10.61426/sjbcm.v1i2.17

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