Forum calls for optimization of human capital
Manama, July 9, 2008
Industry leaders have called for a collective move towards increasing local participation in industry by a structured approach that includes customised training and development for employees.
The call was made at the recently-concluded “Bayt.com Bahrainization Forum” which provided a conduit for the assembled participants to air their opinions and share insights on the economic, social and political drivers that influence human capital and define HR strategies in regional corporations.
Diversification from ‘safe’ jobs in the public sector and from traditional sectors like oil and gas should be encouraged, industry experts told the gathering.
Reducing employee attrition through assertive retention policies would be a key to maintaining competitive advantage in Bahrain’s increasingly dynamic economy, they said.
Bahrain’s industry leaders and HR decision makers agreed that employee loyalty, efficient training and development keys to optimising local workforce and gaining competitive advantage.
The forum found that there were a variety of challenges facing the move to localization in the country. "Very high staff turnover is affecting all organisations, alongside very low levels of employee loyalty."
"The high attrition rates within companies are compounded by the general lack of well-educated and well-trained Bahraini nationals," they said.
The colleges and universities, many felt, was not doing enough to provide the potential workforce with career-oriented education.
“One of the main challenges faced by private enterprises in Bahrain’s labour market is the problem of maintaining, engaging and developing their most vital asset – their personnel,” explained Dan Stuart, Bayt.com.
“This is particularly true of Bahrain, with training and mentoring for careers largely insufficient, and not meeting the needs of the local Bahrain job market’s demands. This must be addressed to drive greater numbers of Bahraini nationals into the workforce,” he added.
The importance of staff training and development was reflected recently in independent research commissioned by Bayt.com and YouGovSiraj.
The Consumer Confidence Index report (CCI) May 2008 clearly shows a strong lack of satisfaction with career opportunities in Bahrain. Just 21 per cent of respondents said that satisfaction with their current job and career prospects was high, with 25 per cent citing them as low, and 39 per cent neutral.
Set against this backdrop, Bahrain’s respondents were largely optimistic for their future career situation, with 46 per cent citing there will be more jobs available next year, compared to the 20 per cent who believe there will be fewer jobs available.
Repeated Bayt.com online polls have shown that opportunities for career growth and development are even more important for professionals considering a career move than immediate short-term remuneration considerations.
In a May 2008 Bayt.com online poll, over 36 per cent of all respondents indicated that opportunities for growth and advancement were the most important aspect they look for in a job versus 31 per cent selecting an attractive salary.
“Promoting loyalty and setting a strategic cohesive training and development agenda are the main keys to empowering Bahraini locals to enter and succeed in the local Bahrain job market, and while the adoption of the localization mandate is in the interests of everyone doing business in Bahrain, the best outcome would be for organizations to focus on ‘quality localization, with well trained local professionals,” Dan Stuart said.
The participants emphasized that this could be achieved by following an incentivized approach towards employee retention; through attractive long service awards, and creating enthusiasm and ownership amongst staff for their work to decrease the high attrition rates; including training fres