Human resource management practices and performance of tertiary institutions in ondo state, Nigeria

Introduction

An survival, success, and achievement of great feats are directly linked with the quality of its human resources (HR) in an ever-changing and vigorous business environment. HR, the most valuable asset that coordinates other resources such as money, time, energy, knowledge, information, and infrastructure for positive results, must be managed well and earnestly coordinated. It is a phenomenon about people’s well-being and how it is effectively and efficiently managed for positive results.

For an organization to be viable and achieve desired growth and good results, one indispensable way is to manage the HR effectively in such a manner that it will give rise to increased performance and improve the productivity of the organization. HR constructs such as planning, staffing, induction, training, appraisal, and motivation function inside an organization that focuses on the workforce. The acknowledgment and recognition of HR as an organization’s most valuable asset and unique source of competitive advantage and high-level impact is essential. Therefore, the indispensable contribution of HR to the progress and success of an institute, both in principle and significance, cannot be relegated to the background.

HR must be well organized, developed, and recognized for their significant contribution to an organization’s success. The performance of employees significantly varies with the overall performance of organizations. Mello (2005) indicated that the significant contributions of HR to the accomplishments of establishments were most critical.

A well-thought-out plan and well-implemented HR practices speak volumes about the success, survival, and productivity of an organization. HR practices are the main source of competitive advantage (1). Researchers (2, 3) recognized the significant and positive relationship that exists between HR management and employees’ performance.

Datta et al. (4) found that the HR practices in the organizations strongly indicated the efficiency of the firm. Any organization, whether service- or product-oriented, small or large, that disables the HR functions is gradually destroying its existence and survival, and the multiplier effect on overall performance cannot be overstated. Drucker (5) posited that performance is the overall growth of a business. HR plays several significant and valued roles in the success, survival, and sustainability of organizations.

This study will prove, among other things, that HR in any organization should be treated as valuable assets, managed and developed to maximize their skills and potential, and garnished with both moral and monetary incentives to turn around the organization and achieve stated objectives in a competitive society. The breakdown of any organization is a litmus test of how HR is being managed, planned, developed, and practiced. The management style in any organization is also a major determinant of HR effectiveness and efficiency.

Tension in organizations is due to a result of poor implementation of agreements, demotion of staff, reorganization of staff, and dismissals. These agitated for full implementation of CONTEDISS and CONPCASS, resulting in the deaths of three prominent union leaders (the NASU chairman, the SSANIP chairman, and the NASU secretary) on October 5, 2010. Other crises that plagued the institution included the reorganization of 32 employees in January 2013.

Also, does inadequate subvention from the government result in using two months of subvention to pay one month’s salary? Not only that, but also non-payment of salary (5 months’ arrears and promotion arrears) in 2010, 2011 (16 months’ arrears), and 2012. Further, in 2017 and 2018 promotions were put on hold. In January 2019, there were cases of demotion of staff that involved more than 10 Deputy Registrars, 20 confidential secretaries, typists, artisans, health workers (nurses, health registration workers), and executive officers. Many level 14 officers were demoted to 9 or 11, 13 or 9, and student unrest was incessant in the Polytechnic.

There were cases of student unrest in 2014, 2016, and 2017. The last incident of student unrest in 2017 was disastrous; the ICT centre of the institution was destroyed beyond description, and property worth 160 million naira was vandalized. After the incident, the students paid 12,000 naira as a reparation fee.

The study investigates the impact of HR practices on the effectiveness of tertiary institutions in Ondo State based on the aforementioned motives. Research problems generate research questions: what is the effect of recruitment and selection on the performance of tertiary institutions in Ondo State, and what is the result of training on the performance of tertiary institutions in Ondo State? Hypotheses were formulated in null (H₀) forms to test the level of significance at 0.05.

H₀₁: Recruitment and selection do not significantly impact the performance of tertiary institutions in Ondo State.

H_02: Training has no significant effect on the performance of tertiary institutions in Ondo State.

Literature review

Conceptual review

Young (6) defines a conceptual review as the diagrammatical representation that occurs between the dependent variable and the independent variable. This research work consists of five variables such as recruitment, training, compensation, and job design that influence the dependent variable, which is organizational performance. Organization’s performance has been researched in the past broadly and found that organization performance was determined by the quality of HR performs such as training, job safety, job design, motivation in addition to job satisfaction.

Training and development

As per Armstrong (2001), training is an important combination of education, coaching, and development plus strategic experience that modifies employees’ behavior in the workplace. A key factor in the success of companies and the workforce is training (7). Therefore, training must be well designed and planned, and distribution must be well executed to improve performance.

Training enhances employees’ skills, knowledge, behaviors, and other abilities for the effective performance of their jobs (8). Assuredly, training enhances performance creditably. Cheng and Ho (2001) posited that training improves employee communication, proficiency, and retention.

Compensation and reward

Compensation refers to the pay, wages, salary, and benefits that can be enjoyed by employees in the workplace (9). It is the reward system for outstanding performance in the workplace (8). The recompense system is grounded on employee performance, which improves the overall performance of the organization (10). Reimbursement policy in the workplace has a significant impact on an employee’s efficiency and the success of organizations.

Performance-based recompense positively affects employees and the performance of organizations (11). Employee satisfaction meaningfully varies with the compensation policies of the organization. According to studies, incentive pay boosts sales growth, decreases staff throughput, and has a beneficial effect on performance (12).

Human capital theory

Standard skills, knowledge, experience, and societal and individual qualities, such as creativity and invention that are present in the capacity to carry out labor and generate economic value are referred to as “human capital.” Human capital, according to Dess and Picken (13), typically refers to a person’s abilities, skills, knowledge, and understanding of a company’s workforce and managers that are necessary for the task at hand, as well as their capacity to supplement a reservoir of knowledge, skills, and understanding that completes individual learning. This idea raises questions about how individuals might enhance organizational capability and the value of their contributions by contributing their knowledge, skills, and talents.

Methodology

Research design

Yin (14) described research strategy as a comprehensive outline of how the research was carried out or conducted. This included the way data was collected, the instruments to be employed, the way the instrument was used, and the means of analyzing the collected data. This study employed a survey design to generate quantitative data and a vivid research design. Jacobs (2009) writes that descriptive research seeks to answer research questions such as “who, where, and when.”

This study’s target population is the academic and non-teaching (senior and junior) staff of Rufus Giwa Polytechnic, Owo. These types of employees will be selected based on their knowledge and experience in HR practices. The staff forte of the institution at the time the investigator arrived was 1776, namely: academic staff of 446, senior staff of 676, and junior staff of 654. The population possessed the traits and experience required to elicit the desired responses. This was shown in Table 1.

Sample and sampling techniques

Zikmund et al. (2010) define a sampling frame as a process in which a subset of individuals is selected from the entire population to make predictions that are based on statistical inference. It is required that the sample taken be a true representation of the population under consideration. Using Taro Yamane’s (1967) formula to regulate valuable and sample size, the population size was 1776, and the sample size was 327.

where

n = the sample size

N = the population under study

e = the margin of error (0.05) substituting the formula

n = 1776/(1 + 1776(0.05)2)

n = 1776/(1 + 1776(0.0025)

n = 1776/(1 + 4.44)

n = 1776/5.44

n = 327

Therefore, the sample of the study is 327 employees of Rufus Giwa Polytechnic, Owo.

Burley’s formulation was hired to determine the sample size for each category. From the application of this formula, 82 respondents were selected from the academic staff, while 125 respondents were from senior members of staff and 120 respondents were from junior members of staff, making a total of 327 respondents, as shown in the section titled, “Sample and Sampling Techniques.”

where n = number of sample size allocated to each category

n_i = total number of each category

n = total sample size

N = population of the study

Methods of data analysis

OLS regression was employed as a statistical tool to analyze and estimate the relationship between the variables involved.

Model specification

A model detailing how HR management methods affect tertiary institutions’ performance was developed. The variables concentrated on recruitment, training, compensation, and job design.

The model is

TIP = f (RS, TD, CR, JD)

where

TIP = tertiary institution performance, RS = recruitment and selection, TD = training and development, CR = compensation and reward, and JD = job design.

Model

TIP_t = B₀ + B_i RS_t + B₂TD_t + B₃CR_t + B4SD_t + μ_t

Analysis of respondents’ matrix

The samples used for analysis were gathered from three separate categories of staff at Rufus Giwa Polytechnic, Owo, namely academic staff, senior staff, and junior staff.

Table 2 shows a rate of response of 25.31% for the academic staff category, 38.27% for the senior staff category, and 36.42% for the junior staff category. The total percentage of the returned questionnaire is 99.08%, while the percentage of questions left unanswered is 0.92%. This percentage of returned copies of the questionnaire is considered adequate for this study. Godwin (15) believes 70% and above are measured as conventionally acceptable for social science research.

Table 3 shows the descriptive statistics that brought the normality test of respondents’ bio-data into action. It depicts scattering and central tendency in variables such as mean, median, standard deviation, minimum and maximum, and sum. The mean of the descriptive biodata is gender (1.27), age (2.82), marital status (1.83), education attainment (2.53), employment status (2.73), job status (1.94), and length of service (1.94).

Analysis of demographic characteristics of respondents

This section attempts to analyze data that bothers respondents’ social profiles. The demographic characteristics concerned here are gender, age, marital status, length of service, education attainment, employment status, and job status.

Table 4 shows the responses of the staff based on their gender: 235 staff members representing 72.5% are males, while 89 staff members representing 27.5% are females. However, Table 4 shows more male respondents than their female counterparts. This implies that there was no gender discrimination among sampled respondents from the Rufus Giwa Polytechnic, Owo. The graphical representation in this regard is provided in Figure 1.

Table 5 displays the age of the respondents. It shows that 37 respondents, representing 11.4%, fall between the age range of 20 and 30 years; 103 respondents, representing 31.8%, fall between the age range of 31 and 40 years; 64 respondents, representing 19.8%, fall between the age range of 41 and 50 years; and 120 respondents, representing 37%, fall between the age range of 51 and 60 years. This indicates that active and dynamic staff dominated the institution, whose opinions are germane and cannot be influenced. The graphical representation in this regard is provided in Figure 2.

Table 6 indicates 270 respondents, or 83.3%, are married, while 54 respondents, or 16.7%, are single. The study depicts that Rufus Giwa Polytechnic, Owo, is dominated by the married, and who are considered mature enough to give an unbiased response. The graphical representation in this regard is provided in Figure 3.

Table 7 indicates that 13 respondents representing 4.01% are Ph.D. degree holders, 103 respondents representing 32.79% have Master degrees, and 188 respondents representing 58.03% have B.Sc. or HND, respectively, while 20 respondents representing 6.17% have NDs or NCEs. It shows that more first-degree holders and master’s degree holders were employed in the institution and thus formed the bulk of the respondents. The graphical representation in this regard is shown in Figure 4.

Table 8 displays the employment status of the staff: 295 respondents, or 91.05%, are on the permanent appointment, 14 respondents, or 4.32%, are on part-time appointments, 4 respondents, or 1.24%, are on contract appointments, and 11 respondents, or 3.39%, are on temporary appointment. The result shows that more than 94% of the respondents secured permanent appointments and their opinions will be considered adequate for the study. The graphical representation in this regard is shown in Figure 5.

Table 9 shows the job status for the academic staff category of 82, representing 25.31%, the senior staff category of 124, representing 38.27%, and the junior staff category of 118, representing 36.42%. The overall percentage of returned questionnaires is 99.08%, with unreturned questionnaires accounting for 0.92%. The responses were at a higher rate, good for the study. The graphical representation in this regard is provided in Figure 6.

Table 10 indicates that 94 respondents, representing 29%, fall between the ranges of 1 and 10 years, while 138 respondents, representing 42.6%, fall between the ranges of 11 and 20 years, and 92 respondents, representing 28.4%, fall between the ranges of 21 and 30 years. This implies that Rufus Giwa Polytechnic, Owo, has some recently employed staff both in the academic and administrative cadres. The graphical representation in this regard is shown in Figure 7.

Test of hypotheses

The hypotheses formulated were tested at a 0.05 significance level using a regression model. The outcomes are shown in Table 11.

Findings

H₀₁: Recruitment does not significantly impact the performance of tertiary institutions in Ondo State.

Table 11 displays that a 1 unit increase in recruitment and selection signifies a 0.136 unit increase in tertiary institution performance (TIP), and this was substantial enough to justify the impression of recruitment and selection on institution presentation at Rufus Giwa Polytechnic because the t-critical value is less than the t-calculated 1.645 < 2.127 Hence, the null hypothesis that recruitment does not significantly impact a tertiary institution’s performance is rejected and alternative hypotheses are accepted. Thus, recruitment significantly affects tertiary institutions’ performance.

H_02: Training does not significantly improve the performance of tertiary institutions in Ondo State.

Table 11 shows that a 1-unit rise in training and development will bring 0.459 units of increase in tertiary institution performance (TIP), and it is statistically significant using T-test statistics. Hence, the hypothesis that training and development have no significant effect on tertiary institution performance is rejected and the alternate hypothesis is accepted. Thus, training and development have a significant effect on tertiary institutions’ performance.

Conclusions and recommendations

There is a relationship between recruitment and higher institutions’ performance, and it could be concluded that an effective recruitment and selection policy would impact positively Rufus Giwa Polytechnic’s performance. There is also a significant relationship between training and development at higher performing institutions; it is possible to conclude that well-planned and implemented training with adequate monitoring policies would improve Rufus Giwa Polytechnic’s performance.

There was a positive and significant relationship between compensation and reward in higher institution performance, so it could be concluded that a compensation and reward structure that ensures fairness, removes conflicts, pressure, and propels employees to higher performance would have a positive impact on Rufus Giwa Polytechnic’s performance.

There was a positive and significant relationship between job enterprise and a higher institution’s performance; it could be concluded that elasticity in job design would have the desired impact on the performance of Rufus Giwa Polytechnic.

About the authors

Adeyefa Oluwafemi Emmanuel is an auditor at Internal Auditing Unit, Rufus Giwa Polytechnic, Owo, Ondo State, Nigeria since 2012 to till date. He barged Master’s (M.Sc.) in Business Administration at Achievers University, Owo Ondo State. Interests in diversity management, HR management, and entrepreneurship development are current and previous research areas.

Olanitori Idowu Paul is a Paul Consult researcher, analyst, and econometrician who has taught research and data analysis at Rufus Giwa Polytechnic Owo in Ondo State, Nigeria, since 2015. At the University of Benin in Benin City, Edo State, he barged into the Economics and Statistics Bachelor’s (B.Sc.) program. Econometrics and public sector economics are the subjects of current and previous research pursuits.

References