A CRITICAL ASSESSMENT ON THE IMPACT OF HUMAN RESOURCE MANAGEMENT ON THE PERFORMANCE OF HOSPITALITY INDUSTRY OF CAMEROON

CHAPTER ONE

INTRODUCTION

1.1 Background of the Study 

An organization's capacity to accomplish its aims and objectives and create a long-lasting competitive advantage in the market is greatly influenced by the function of human resource management (HRM) within the company (Abuelhassan & Elsayed, 2020). However, by cultivating and improving the skills, attitudes, behaviors, and performance of human capital resources (Domínguez-Falcón, Martín-Santana, & De Saá-Pérez, 2018). This is accomplished through the policies that each company adopts as well as the strategies it employs to draw in and keep the best workers for its requirements (Juhdi et al., 2019). Furthermore, according to Tučková, and Jabbour (2019), HRM practices involves all organizational endeavors devoted to the administration of the human resource pool and guaranteeing that those resources are utilized in the pursuit of organizational objectives. Similarly, Delery and Doty (2019), asserts that human resource management practices encompass a coherent set of policies and strategies crafted to ensure that a company's human capital contributes effectively to the attainment of its business objectives. Beyond that, human resources represent a distinct asset within an organization that significantly impacts its success and competitive positioning (Becker and Huselid, 2019; Wright et al., 2021). However, this significance is particularly pronounced in labor-intensive service sectors, such as the hotel industry, where the human element plays a pivotal role in organizational success due to the critical interaction between employees and guests at the service interface (Kandampully et al., 2021). Additionally, the management of human resources (HR) remains a key determinant of tourism production and directly influences destination competitiveness (Murphy and Price, 2018).  

The hospitality industry, characterized by its heavy reliance on labor, offers significant employment opportunities. However, one of the primary challenges faced by labor-intensive industries like hotels is the considerable cost associated with staffing. Consequently, higher levels of employee performance (EP) are seen as a means to decrease the necessary workforce for maintaining hotel operations, thereby reducing labor expenses. Consequently, EP holds substantial importance within the industry, and its assessment constitutes a noteworthy aspect of operational management performance. Within hospitality industry, measuring EP is regarded as an effective method for providing performance feedback to employees and serves as a significant motivational tool for enhancing performance (Pritchard et al., 2022). Therefore, a survey will be conducted in order to critically assess on the impact of human resource management on the performance of hospitality industry of Cameroon.

1.2 Statement of the Problem

The role of Human Resource Management (HRM) within an organization is a significant factor in the organization’s ability to achieve its organizational goals and objectives, and to develop a sustainable competitive advantage within the industry’s marketplace (Abuelhassan & Elsayed, 2020).However, Cappelli and Neumark (2021) argue that focusing on human resource management (HRM) within a single industry offers advantages. They suggest that this approach ensures comparability in measuring organizational performance across different observations due to the homogeneous nature of the population under study. Ichniowski et al. (2018) support this perspective by contending that studies confined to a specific industry yield more precise measurements of organizational performance, HRM practices, and control variables. Despite the labor-intensive nature of the hotel industry, limited research has been conducted on the impact of HRM practices on organizational performance within this sector. Existing studies have primarily focused on individual HRM practices and their effects on performance (Maxwell et al., 2020; Watson et al., 2018). However, the findings of these studies may be biased to some degree, as a single practice can only capture a fraction of the broader impacts of HRM practices. Thus, it is in the light of these that the study seeks to critically assess on the impact of human resource management on the performance of hospitality industry of Cameroon.

1.3  Objectives of the Study

The main purpose of this study is to critically assess on the impact of human resource management on the performance of hospitality industry of Cameroon. Specifically, the study will;

1.Assess the current human resource management practices adopted by hospitality businesses in Cameroon.

2.Assess the impact of HRM strategies on employee performance within the hospitality sector.

3.Determine the relationship between HRM practices and key performance indicators (KPIs) in the hospitality industry.

4.Investigate the challenges  faced by hospitality businesses in implementing effective HRM practices.

1.4 Research Questions

The following questions have been prepared for the study:

How do hospitality businesses in Cameroon currently manage their human resources, and what practices do they adopt?

What is the impact of human resource management (HRM) strategies on employee performance within the hospitality sector in Cameroon?

What is the correlation between HRM practices and key performance indicators (KPIs) in the hospitality industry of Cameroon?

What are the challenges encountered by hospitality businesses in Cameroon when it comes to implementing effective HRM practices?

1.5 Research Hypothesis

H0: There is no significant impact of human resource management on the performance of hospitality industry of Cameroon.

Ha: There is a significant impact of human resource management on the performance of hospitality industry of Cameroon.

1.6 Significance of the Study

Hospitality industry managers, marketers, public relations practitioners and human resurce officers in Cameroon's hospitality sector will benefit from the findings of this study. They will have an understanding of how HRM practices influence the performance of hospitality industry of Cameroon and how they can enhance their strategies to improve. Further more, the findings of this study will be used by government agencies in charge of economic development and tourism to create laws and policies that encourage efficient public relations strategies used by the hospitality sector, therefore boosting the nation's travel and tourist industry. Additionally, subsequent researchers will use it as a literature review. This means that other students who may decide to conduct studies in this area will have the opportunity to use this study as available literature that can be subjected to critical review. Invariably, the result of the study contributes immensely to the body of academic knowledge with regard to a critical assessment on the impact of human resource management on the performance of hospitality industry of Cameroon.

1.6 Scope of the study

The scope of this study is boarded on a critical assessment on the impact of human resource management on the performance of hospitality industry of Cameroon. Empirically, this study will assess the current human resource management practices adopted by hospitality businesses in Cameroon, assess the impact of HRM strategies on employee performance within the hospitality sector, determine the relationship between HRM practices and key performance indicators (KPIs) in the hospitality industry and investigate the challenges  faced by hospitality businesses in implementing effective HRM practices.

Geographically, the study will be delimited to employees of some selected hotels in Kumba, Cameroon.

1.7 Limitation of the study

In the course of carrying out this study, the researcher experienced some constraints, which included time constraints, financial constraints, language barriers, and the attitude of the respondents. In addition, there was the element of researcher bias. Here, the researcher possessed some biases that may have been reflected in the way the data was collected, the type of people interviewed or sampled, and how the data gathered was interpreted thereafter. The potential for all this to influence the findings and conclusions could not be downplayed. 

More so, the findings of this study are limited to the sample population in the study area, hence they may not be suitable for use in comparison to other schools, local governments, states, and other countries in the world.

 1.8 Definition of Terms

Performance: refers to the manner in which someone or something functions or operates, often evaluated against specific criteria or standards.

Hospitality Industry: encompasses businesses and services that cater to the needs and preferences of travelers, tourists, and guests. It includes various sectors such as lodging (hotels, motels, resorts), food and beverage services (restaurants, cafes, bars), event planning, tourism services, entertainment, and transportation.

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