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1. Masters of Business Administration Thesis Proposal On Effects of strategic human resource management practice on organizational competitiveness the case of commercial banks operating in Wolkite city BY: TEGODE ADANE ADVISOR : TAMRU YIHUN (PhD) August ,2024 Wolkite university. Ethiopia

2. outline Background of study Statement of the Problem Research Objectives Research Hypothesis Scope of the Study Significance of the study RESEARCH METHODOLOGY Research Design Target Population Data Type and Sources Model Specification Financial requirement of the proposed

3. 1.1 Background of study Strategic management of human resources represents a transformation that is relatively new in the field of human resource management. An important role of strategic human resource management is about focusing the management in employees as a tool to gain competitive advantage (Nahar R., 2015). Guest (1997) documented that strategic human resource management strategy such as strategic compensations and rewards, strategic training and development, strategic performance appraisal, strategic selection and hiring will lead to quality work which altimetry increase the performance of the organization.

4. Cont’… Strategic human resource management has been defined as aligning of human resource function of a firm with its overall strategic goals and objectives. It also means accepting human resource management function as a strategic partner in the formulation of the company’s strategies as well as in the implementation of these strategies (Hendry, 1990). To this end, many authors have maintained that strategic human resource management is straight forwardly linked to organizational performance Therefore, this study will conduct in Commercial Banks Wolkite town Branches to explore the Effect of strategic human resource management and organizational competitiveness

5. 1.2 Statement of the Problem The Ethiopian banking industry is characterized by highly profitable, concentrated and moderately competitive (Zerayehu, 2015). Banks in the Ethiopian case is competing in terms of service quality and efficiency including use of technological advances and branch network expansions (Emebet K. 2017,) Ethiopian banking industry is suffering with high labour turnover and has high flow of employees from one bank to another bank to facilitate their life style by comparing their bank pay scale and benefit package with other banks. In addition, some employees look on other competent organizations, specifically private companies with in an expectation of better HRM practices particularly reward management practice, nice work environment and high satisfaction from the job (Gebrehiwot, 2008).

6. Cont’… . There are insufficient researches in the Effect of strategic human resource management practices on organizational competitive Ethiopian context. Most of the research conducted in Ethiopia in SHRM area focused on the assessment of SHRM practices and assessment of SHRM-OP . It is also rare to see abundant researches in the Ethiopian context related to SHRM Organizational competitiveness practice in banking sector. . So, the researcher tried to fill this gap by investigate additional evidence to support how the effects of strategic human resources management practices related with Organizational competitive from banking sectors contexts . That is why this study will conduct to investigate the Effect of strategic human resource management practice on organizational competitiveness in the case of Commercial Banks. a

7. 1.3. Research Objectives 1.3.1 General Objective The general objective of this study will to investigate the Effect of strategic human resource management practices on organizational competitiveness . 1 .3.2 Specific Objectives The specific objectives of this research are: To examine the Effect of strategic recruitment and selection on organizational competitiveness To explore the Effect of strategic reward and compensation on organizational competitiveness To show the link between strategic training and development on organizational competitiveness To analyze the relationship of strategic performance appraisal with organizational competitiveness .

8. 1.4 Research Hypothesis The following research hypotheses are formulated to guide the study to its logical conclusion. H1: Strategic recruitment and selection practices have a positive and significant effect on organizational competitiveness. H2: Strategic rewards and compensation management have a positive and significant effect on organizational competitiveness. H3: Strategic training and development practices have a positive and significant effect on organizational competitiveness. H4: Strategic performance appraisal practices have a positive and significant effect on organizational competitiveness.

9. 1.5 Scope of the Study This study will limit in terms of geography, target groups and issues. Geographically the study will delimit to only Wolkite branches of Commercial Banks. The target groups are professional employees recruit by the bank including the managers and excluding supporting staff. The scope of this study will delimit only to examine the effect of the four SHRM practices (strategic recruitment and selection, strategic reward and compensation, strategic training and development, and strategic performance appraisal) on organizational competitiveness.

10. 1.6 Significance of the study The finding of this research will be expected to have the following importance : The findings of the study are believed to be primarily significant to the Commercial Banks. The results can enable the management of Commercial Banks to establish effective human resource strategies to achieve optimal organizational competitiveness. It can help the management in planning for the development and implementation of effective and efficient human resource strategies that can lead to improved competitive of the banks. It might also help other researchers working in related topics as a reference

11. CHAPTER THREE 3.RESEARCH METHODOLOGY 3.1 Research Design This study will use descriptive research design to show the effect of strategic human resource management practices on organizational competitiveness in commercial banks in Wolkite Town. According to ( Polit & Beck, 2003) in a descriptive study, researchers observe, count, delineate, and classify

12. Explanatory research type will be use so as to generate complete and in-depth information through gathering quantitative data from the target respondents. Therefore, to meet the objectives both explanatory and descriptive research designs will employ. The study use quantitative approach where research approach is the procedure and strategy of data collection, analysis, and interpretation.

13. 3.2 Target Population and Sampling Technique 3.2.1Target Population The target population of this study is employees of commercial banks in Wolkite town in Ethiopia. According to the researcher observing (2024) there are twenty registered commercial banks in Wolkite town Ethiopia.

14. Cont'… For the purpose of this study among the total of twenty commercial banks in Wolkite town. Ten are select by systematic random sampling method according to their year of establishment the banks are sorted and the first bank is randomly select, after that every 2 nd bank from the list is select. Accordingly, the first bank Awash Bank is randomly select from the first two and then the 4 th Bank of Abyssinia , 6 th Hibret Bank, 8 th Cooperative Bank of Oromia bank,10 th Bunna Bank,12 th Berhan Bank, 14 th Global Bank Ethiopia,16 th Amhara Bank ,18th Tsehay Bank, and finally the 20 th Ahadu bank Bank is select with a systematic random sampling method.

15. No Name of bank No of employee branches Est. Target Population 1 Commercial bank of Ethiopia 126 5 1942 Awash Bank 18 2 Awash Bank 18 2 1994 3 Dashen Bank 12 2 1995 Bank of Abyssinia 24 4 Bank of Abyssinia 24 3 1996 5 Wegagen Bank 7 1 1997 Hibret Bank 13 6 Hibret Bank 13 2 1998 7 Nib international Bank 34 5 1999 Cooperative Bank of Oromia 7 8 Cooperative Bank of Oromia 7 1 2005 9 Oromia Bank 7 1 2008 Bunna Bank 7 10 Bunna Bank 7 1 2009 11 Abay Bank 7 1 2010 Berhan Bank 7 12 Berhan Bank 7 1 2010 13 Addis International Bank 6 1 2011 Global Bank Ethiopia 5 14 Global Bank Ethiopia 5 1 2012 15 Enat Bank 6 1 2013 Amhara Bank 7 16 Amhara Bank 7 1 2021 17 Hijra Bank 6 1 2021 Tsehay Bank 5 18 Tsehay Bank 5 1 2021 19 Zamzam Bank 12 2 2021 Ahadu Bank 10 20 Ahadu Bank 10 1 2022 Total 326 35 108

16. Table 3.2 Sample size No Name of banks Populations 1 Awash Bank 18 2 Bank of Abyssinia 24 3 Hibret Bank 13 4 Cooperative Bank of Oromia 7 5 Bunna Bank 7 6 Berhan Bank 7 7 Global Bank Ethiopia 5 8 Amhara Bank 7 9 Tsehay Bank 5 10 Ahadu Bank 10   Total 103 )

17. 3.3 Data Type and Sources, Instruments These study will use both primary and secondary data sources . Primary data will be collect through questionnaires from the employees of the Banks the branch’s Important and reliable secondary data will collect from different documents from review of related literature, published journals, newsletters, internal records and relevant documents, website (Internet), human resource books, brochures, annual reports and magazines, articles and other available sources

18. 3.4 Data Analysis Techniques To analyze the data, both descriptive and inferential analysis techniques are employed. After making the necessary coding, the data will analyze using Statistical Packages for Social Science (SPSS- Version 20). Descriptive analysis will use to measure the distribution of the data collected across the Demographic variables, independent and dependent variables and present by graphs, frequency distributions and percentages to analyse the demographic characteristics of respondents. This will be achieve through summary statistics, which includes the mean values and percentages which will compute for each variable in this study

19. Cont'… will the second data analysis technique employed and through this; Pearson correlation analysis and multiple regression analysis are undertake to measure the association and relationship between SHRM practices and organization competitiveness. multiple linear regression analysis will use to examine the effect of SHRM practices on Organizational competitiveness

20. 3.5 Model Specification From the model independent variables which the study will focus on are the four SHRM practices namely, strategic recruitment and selection, strategic training and development, strategic compensation and rewards and Strategic Performance Appraisal. From the model the dependent variable considered for this study will Organizational competitiveness. Model specification OC = β0 + β1SRS + β2SRC + β3STD + β4SPA + U Where, OC = Organizational competitiveness (dependent variable) β0 = Constant Term β1, β2, β3, β4, = Beta coefficients SRS = Strategic recruitment and selection SRC = Strategic reward and compensation STD = Strategic training and development SPA= Strategic Performance appraisal U = standard error

21. 3.6 Test of Validity Validity is the degree to which an instrument measures what it is supposed to measure. To ensure validity expert opinion, comment from colleagues and supervisor, and backing up the items developed through literature helps in ensuring validity (Kothari, 2004). The survey instrument for this study utilized different scales that will develop by the research. However, these scales are use in different context previously, thus current study will validate the questionnaire in commercial banks in Wolkite.

22. 3.7 Test of Reliability Reliability is the degree to which data collection method or methods yield consistent findings, similar observations will be made or conclusions reach by other research or there is transparency in how sense will make from the raw data. Reliability is the consistency of the measurement, meaning that a scale or measurement tool should consistently reflect the construct it is measuring over time. The inter-item consistency of the present research instrument will conduct by using Cronbach's alpha coefficient which is the most common measure of scale reliability developed by Cronbach (1951).

23. 3.8 Financial requirement of the proposed Items Quantity Unite cost Total amount in birr Purpose of the payment Paper 3 packet 500 1,500 For print Internet     6000 searching idea Not book 4 150 600 writing idea Pen 10 30 300 writing idea Phone card 10 100 1,000 Call Print 3 1000 3000 Document Binding thesis 5 1000 5,000   Accommodation     3000   transportation     600   Total     21,000  

24. 3.9 Action plan No Activities to be implemented Time of implementing the activities 1 Preparing proposal of the thesis From until march 28,2024 G.C 2 Organizing literature review From April 01, _10,2024 G.C 3 Developing instrument From April 11_August 13,2024 G.C 4 Distribute and collect questionnaires From August15 –Sep15,2024 G.C 5 Analysing and interpreting of data FromSep16_ Oct15,2024 6 Submission of first draft From Oct16,2024 7 Submission of second draft From Oct 30,2024 8 Submission of final thesis From Nob 1, 2024 9 Defense As per the university schedule

25. Thank you for your attention