Professional Documents
Culture Documents
Case Study
Case Study
Case Study
Introduction
In the 1990s, Tanzania initiated and implemented socio-economic and political changes
aimed at radically transforming the economy, organizations and human resource
management (HRM). In particular, it implemented IMF and World Bank Structural
Adjustment Programmes (SAPs) aimed at liberalizing the economy and improving
competition. The SAPs were also instituted to enable Tanzania to attract foreign direct
investment (FDI) and facilitate the development of the private sector (IHT, 1997; Turner,
2000; Turner and Holman, 2000). Initial assessment indicates that the liberalization
policies have helped Tanzania to increase the total value of FDI in the country from
US$47 million in 1990 to US$ 2.2 billion in 1999 (BOT, 2001).
Yaw A. Debrah, School of Business, Brunel University, Uxbridge, Middlesex, UB8 3PH, UK
(tel: 44-(0)1895-265239; fax: 44-(0)1895-269775; e-mail: Yaw.Debrah@Brunel.ac.uk); George
Ofori, School of Design & Environment, National University of Singapore, 4 Architecture Drive,
Singapore, 117566 (tel: 65-6516-3413; fax: 65-6775-5502; e-mail: bdgofori@nus.edu.sg).
The International Journal of Human Resource Management
ISSN 0958-5192 print/ISSN 1466-4399 online q 2006 Taylor & Francis
http://www.tandf.co.uk/journals
DOI: 10.1080/09585190500521425
Debrah and Ofori: Human resource development in an emerging economy 441
The increasing FDI and an emerging competitive economy have precipitated the need
to develop employees in Tanzanian organizations. Consequently, the Tanzanian
government is overhauling HRM policies including human resource development (HRD)
practices in the public sector (Debrah, 2004). In particular, it has instituted a new Public
Service Management and Employment Policy (PSMEP) to enhance, among other things,
recruitment, retention, performance management, motivation and development of
employees. This policy aims to reverse the decline in investment in human resources
during the socialist period, make HRD the lynchpin of economic development and equip
Tanzanians with skills that organizations require to compete in a globalized market
(Debrah, 2004).
In line with this policy, the government has also been urging private-sector employers
to strengthen their HRM policies and practices in order to build competitive advantage.
This is necessary because in the construction industry, multinational firms are beating
local firms for major projects (Msita, 2001a). The inability of local firms to compete for
significant projects further means that they can neither accumulate the track record, nor
the technical and managerial experience, which would put them in a position to bid
for similar, or larger, more sophisticated projects. In the view of the National Construction
Council (NCC), the unavailability of training for professionals in the industry in Tanzania
is partly responsible for the lack of competitiveness of local firms (NCC, 2001).
Research methodology
The study deploys a qualitative methodology with evidence gathered through semi-
structured interviews and analysis of documents and reports. As the focus of the research
was on professionals with expert knowledge of the industry, it was decided
a purposive/judgement sampling approach would be most appropriate. This decision
was also precipitated by our knowledge of the industry, knowledge of the population and
its elements. As indicated by Babbie (1995), with the purposive sampling it was possible
for us do a more intensive study by focusing on the key stakeholders in the industry with
444 The International Journal of Human Resource Management
knowledge of the issues pertaining to the study. With the help of the National
Construction Council (NCC) we were able to select the key institutions and organizations
that were in the position to provide data/information for the study from a list of major
stakeholders in the construction industry in Tanzania.
An advantage of this approach was that there was no critical need for an overall
sampling design to tell us in advance how many of each type of informants was needed
for the study (Bernard, 2000). Having arranged the interviews, the contact
persons/organizations suggested suitable informants for each interview. A disadvantage
of this approach is that it can result in a biased sample, but in this case, we made efforts to
avoid bias by selecting informants whose expertise cut across most sections of the
construction industry.
The semi-structured interview questions were formulated following a review of the
literature and preliminary discussions with key stakeholders. The semi-structured
interview approach was selected because it works well in research projects dealing with
managers, bureaucrats and elite members of a community who have little time to spare
(Bernard, 2000). Most of the interviews were face-to-face but group interviews were also
conducted. In both cases the interviews lasted between one-and-a-half hours and two
hours. Although the most popular language in Tanzania is Swahili, all the interviews
were conducted in English. With the high standard of English language competency of
the interviewees, there was no need for a translator. The interviews were hand written
and points were expanded in the evenings upon the return of both researchers to their
hotel. The semi-structured nature of the interviews allowed flexibility and latitude to both
the interviewer and the interviewees to probe or ask questions of clarification and follow
new leads (Burns, 2000). Because the interviews focused on the perspectives of
respondents from the same industry, the study avoided the potential drawback of lack
of comparability of information between respondents that is associated with semi-
structured interviews (Burns, 2000).
In all, 52 persons were interviewed from local and foreign construction firms (contracting
companies as well as architectural, engineering and quantity surveying consultancies);
institutional clients of the construction companies; educational institutions involved in the
training of construction professionals; the ministry responsible for construction; the agency
in charge of the development of the industry; the regulatory boards of the industry;
government departments; and professional institutions and trade associations were included.
The people and bodies interviewed were key in the construction business, the management
of the industry, the development of its personnel, or the maintenance of standards in the
various professions in the industry. The interviews took place in Dar es Salaam, the capital of
Tanzania, Arusha and Morogoro.
The researchers were also fortunate to be invited to some national conferences,
meetings and social functions held in Dar es Salaam during the fieldwork and these made
it possible for us to have informal chats with participants from other regions. The first
fieldwork took place from November to December 2001. In June 2002, one of the
researchers went back to Tanzania for further fieldwork. This made it possible
for the researchers to clarify ambiguous issues arising from the earlier field work.
As indicated above, information and data were also gathered from available literature
as well as documents provided by some of the organizations participating in the study.
In SSA context, this is significant, as public libraries are under-resourced and their
‘current’ books and periodicals often tend to be over a decade old. This, then, required
a laborious task of visiting all the pertinent institutions and plodding through their
publications, documents and other literature to extract the relevant information/data.
Often such information/data did not transcend the institution and were, therefore,
Debrah and Ofori: Human resource development in an emerging economy 445
unknown to other institutions in the industry. In other words, there was no central point
that most of the information/data on the industry and pertaining to research could be
obtained. The difficulties encountered in the course of conducting this research were akin
to those described by Kamoche (2001) on doing research in developing countries.
Content analysis method was used to analyze the data/information. The key and
substantive points derived from the empirical fieldwork were categorized according
to themes as suggested by Gillham (2000). Miles and Huberman’s (1994) approach of
‘transcendental realism’ and its components of data reduction, data display and drawing
of conclusions was applied in the content analysis. As indicated by Punch (1998), all three
components were interwoven and concurrently applied throughout the data analysis.
Currently professionals have no formal means of acquiring new techniques and competencies.
They further observed that the lack of formal post-graduate training is a major
limitation on the performance of professionals. At both the firm and industry levels:
Professionals in the industry have few opportunities for training ... Currently, there is not even
one coordinated training programme that cuts across disciplines and professions in the industry
in this country.
These views suggest that, in the main, training is not considered important in the
activities of the professional bodies.
The interviewees regarded the lack of a coordinated, structured, integrated training
programme for local construction professionals as one of the greatest problems facing the
industry. The construction process involves participants with different professional
backgrounds achieving the common aim of completing the project within cost, on time
and to the appropriate level of quality of workmanship. Thus, it is necessary for the
participants to understand their own roles and those of other participants. Integrated,
post-qualification training of professionals would help to achieve this. The interviewees
appreciated the merits of such a programme.
In the view of the professionals interviewed, the lack of a coordinated, structured,
integrated training programme has negatively impacted on the skills upgrading and
competencies of professionals in a rapidly and constantly changing technological,
economic, political and social environment. The interviewees talked about professionals
lacking skills and competencies in both technical and non-technical areas. They spoke
of their anxieties and fear of not being able to rise to future challenges posed by globalization,
446 The International Journal of Human Resource Management
regionalization, privatization and competitive pressures. One group of interviewees
commented that:
We [engineers] are now going global, with WTO coming, we are facing a serious problem because
people sitting in Washington can say “unless you are registered to our standards. . .” (sic)
Here, the interviewees were alluding to the WTO General Agreement on Trade and
Services (GATS2000) which requires common standards for the free movement of
professional services, including construction professional services, across international
boundaries. The title, International Engineer, will be used by engineers who meet the
required international standards.
Nearer home, the free trade agreement under the East African Economic Community
requires free movement of professionals in the member countries: Tanzania, Uganda and
Kenya. These globalization and regionalization trends pose threats to the job prospects of
Tanzanian professionals in the industry because they cannot work towards recognition
of competence; thus putting them at a disadvantage relative to foreign professionals, both
at home and abroad.
This threat was perceived as real as most interviewees noted that some local
contractors (firms) currently have difficulties in meeting standards set by the consultants
even on medium-sized projects. The interviewees were also painfully aware of the
problems and dangers involved in neglecting professional training as it can result in
difficulties in delivering good quality projects which meet global standards as demanded
by foreign donors and the World Bank. On this, one interviewee observed:
The whole thing is that you must come up to international standards (sic)
Interviewees also warned that if standards and performance issues are not tackled
properly this would have dire consequences for the industry and professionals. One
commented that:
The problem is performance and if we are not able to face it as an industry, we will play marginal
roles as sub-contractors and sub-sub-contractors.
On the challenges posed by privatization and the change from socialism to a free enterprise
economy, it was indicated that professionals need to acquire the knowledge and skills
necessary for winning and running the private-sector projects that form an increasingly large
proportion of projects in Tanzania. With regard to IT skills, a group of interviewees noted that:
A major issue is that of change; in particular, changes in technology. This requires the constant
updating of skills. There are many professionals and technicians in Tanzania without the
necessary IT skills to perform their design and management tasks. Thus, they are not taking
advantage of the possibilities of enhancing their productivity and the quality of their services.
At another level, interviewees stated that, as a result of the transformation from
socialism to free enterprise, professionals need to acquire new competencies and skills
for working in a competitive environment. For instance, they mentioned the need to be
competent in information and communications technology (ICT) tools to enable them
keep up with current techniques in designing, planning and management of projects, and
also to be familiar with technical innovations in the construction industry.
The deficiencies in skills and competencies mentioned by the interviewees have, in the
past, been reported to the appropriate authorities in the industry but no major effort has been
made to rectify the problems (Ministry of Works, 1977; Msita, 2001b; NCC, 2001). Table 1
provides a summary of the training needs of professionals in some local construction firms in
Tanzania identified by Meghji (1996), Norenco (1996) and Hollway (2001b).
Table 1 Areas of training deficiencies of construction professionals, identified by Meghji (1996), Norenco (1996) and Hollway (2001b)
Meghji (1996) Norenco (1996) Hollway (2001b)
(a) Professional training programmes The Contractors’ Registration Board (CRB) was
established to register contractors and monitor standards. Its main objective is to ensure that the
industry is served by competent contractors who meet ethical standards and care for the quality
of work, the environment and the safety of workmen and the public at large (Materu, 2001).
To achieve this, the CRB undertakes regulatory and developmental activities. Its strategy in
developing contractors includes: promotion of training on aspects of construction business;
dissemination of information and networking; promotion of partnership and joint ventures
between local and foreign contractors; research on construction business; and promotion of a
cooperative approach in addressing issues of credit and equipment. In response to persistent
complaints about lack of training for contactors revealed by annual surveys (e.g. a study by the
CRB found that only 28 per cent of contractors were training their personnel) it launched its
Sustainable Structured Training Programme (SSTP) in 2001 (Uriyo, 2001). It was designed
(after assessment of training needs) in response to contractors’ lack of appropriate knowledge
in tendering procedures and pricing of tenders; lack of knowledge of contract management;
lack of knowledge of finance; poor management of sites; and poor management of hired
equipment, resulting in cost overruns. The contractors also wanted regular training to be
provided on these topics (Muhegi, 2001). The training programme is aimed at enhancing the
capacity of contractors to participate effectively in infrastructure development to address core
contractor competencies (The Contractor, 2001a). It is designed to equip contractors with the
necessary technical and management skills to make them more competitive in local and
regional markets (CRB, 2001).
Previous efforts by the CRB to train contractors had been donor-dependent, short term
and project-specific in nature; and had not been properly targeted (relating the type of
training provided to the firm’s registration category). The current programme focuses on
three categories of contractors: (a) Level I – Small Contractors (Classes VI and VII; or Class
III Specialist); (b) Level II – Medium Contractors (Classes III and IV; or Class II Specialist);
450 The International Journal of Human Resource Management
and, (c) Level III – Large Contractors (Classes I and II; or Class I Specialist). The target
trainees in each of these groups are the Directors or Partners (DP), Top Executives (TE) and
Technical Supervisory staff (TS). SSTP comprises 20 modules under seven basic subjects:
(a) corporate governance; (c) construction pre-contract practice; (c) resource management;
(d) contract management; (e) construction planning, organization and control; (f) equipment
management; and, (g) occupational health and safety (OHS) on construction sites.
The training courses are offered in the major cities in Tanzania. Participants who
successfully complete the programmes are awarded Certificates of Competency
recognized by the Board as evidence of upgrading and continuing education.
(b) NCC training programme Another contractor training programme was initiated by
the NCC in 1996 as a response to the lack of training for engineers and other
professionals. Although this programme is open to all professionals in the industry it is an
initiative of the NCC only. It provides specific training on issues such as cost estimating;
contract documents and management, and financial management (Saitabau, 1999). Ad
hoc seminars are also held for contractors to develop knowledge on specific issues such
as effective pricing and bidding (Construction Business, 1997; Kinasha, 2001). The main
courses conducted by the NCC since 1996 are shown in Table 2.
The NCC also provides a training programme for consultants in the industry
(Hollway, 2001c). Under the NCC’s programme, training has extended beyond
construction industry practitioners. Since 1997, the NCC has run a programme funded by
the United States Agency for International Development (USAID) to develop the
procurement and contract administration capacity of local government authorities by
training the officials who administer projects, and the councillors who have to evaluate
the recommendations of the technical personnel.
Lack of sustainable funding. In almost all the interviews the interviewees attributed the
lack of coordinated, structured training to the absence of sustainable funding. This is not
limited to Tanzania as in many developing countries where the professional bodies are
not strong and are also financially weak, their capacity to provide such training may be
limited. In this study, the interviewees at the CRB mentioned that previous contractor
training programmes were discontinued because of financial difficulties. They were
mainly short-term and project-specific training programmes supported by foreign donors.
In almost all cases, local funding could not be secured to continue the training after the
external funding ended. Without funding, however, it is difficult to attract participants
because most prospective trainees and their employers cannot afford the fees. The
interviewees at the CRB mentioned that an 80 per cent subsidy of fees is provided to
members who participate in CRB’s training programmes, but even at this highly
subsidized rate some participants complained about the cost of the training.
Similarly, the NCC’s training programme suffers from lack of continuity in funding. The
financing of the training programmes is project based and dependent on donors.
The interviewees pointed out that sometimes advertised programmes are cancelled because
of donors’ inability or unwillingness to provide financial support. For example, recently the
World Bank withdrew support for training of contractors in Dodoma, Singida, Tabora,
Debrah and Ofori: Human resource development in an emerging economy 453
Kigoma, Mara and Rukwa regions. Likewise the UK Department for International
Development (DFID) withdrew financial assistance from a training programme for paved
road resealing contractors (Kinasha, 2001).
Likewise, the TACECA objective of promoting the quality of civil engineering works
and products through education and training is seriously undermined by lack of
funds. The TACECA training programme was initiated with the assistance of the SDC as
part of the agency’s support for Tanzania’s road rehabilitation and development
programme. At the request of TACECA, the Tanzania Roads Agency (TANROADS)
agreed to provide road projects which could be used as demonstration and trial contracts
in the training while the funding is provided by SDC. These and other training initiatives
organized by TACECA are all dependent on donor support (Construction Business
2001a; Sengenge, 2001; TACECA, 2001).
The interviewees pointed out that without donor support the professional associations
are unable to provide training to their members. They also suggested that, in order to ensure
sustainability of training programmes, some means of permanent funding should be
established.
Need for a training fund. In view of the detrimental effects of the lack of sustainable
funding on postgraduate training, almost all interviewees supported the establishment of
a fund for training construction professionals. However, they disagreed on what form the
fund should take and the basis of the fund. Most of the interviewees favoured a form of
levy system. Indeed, it was disclosed that the Institution of Engineers Tanzania (IET)
had, for many years, discussed setting up such a training fund but the authorities
disagreed with the suggestion that is should be built up through mandatory contributions.
The objection was on the basis that there are already too many construction-related
levies. Similarly, the interviewees mentioned that the Architects and Quantity Surveyors
Registration Board (AQRB) has also considered the introduction of a training levy. As
one group of interviewees noted:
The need for training has been around for almost two decades. Naturally, in a place where
people are not trained, we need to train them. But, a force to push training is needed. The
establishment of a training fund can be such a force.
The few interviewees who did not support a training fund gave various reasons for their
views. But generally they argued that existing funds such as the Vocational Education
Training (VET) Levy (the payroll-based levy paid by all sizeable employers for funding
training at trades level) should be used more effectively by broadening its functions to
include postgraduation training of professionals. Others argued that the newly established
Education Fund should also be used to cover postgraduation training of professionals in the
construction industry. Yet others argued that it is too early to set up such a fund in the industry
as there are no proper mechanisms for its administration. Although only a small number of
interviewees opposed the establishment of a training fund they were, nevertheless, a
vociferous group as the following two comments illustrate. First:
The 6 per cent training levy [i.e., VET] is enough. Everyone should get a share of it. The sector is
entitled to a certain proportion of it. I’m not in favour of another levy. Anybody legitimately
undertaking training which would develop professionals of all sectors should benefit from it [VET].
Second:
The amount of money (6 per cent now) being collected, where one-third is given to VETA and
two-thirds remains with the government, that money, if properly disbursed, could be used for
training.
454 The International Journal of Human Resource Management
One interviewee also alluded to the fact that the VETA fund is more than sufficient to
pay for the postgraduation training of professionals because he had heard that VETA was
planning to purchase bonds with its surplus funds. Some interviewees did, however,
argue that the VETA fund should not be used to train professionals because it finances
trades training which is critical to the industry.
In spite of these opposing views, one interviewee’s comment epitomizes views of those
who supported the establishment of a fund based on mandatory contributions from some of
the stakeholders to provide postgraduation training of professionals:
In a small economy, you can never do without levies. People will get used to it.
This discussion implies that the establishment of a training fund is a necessary tool in
the quest to develop the skills and competencies of professionals but the question that
looms large is who should pay for it.
Basis of training fund. The key suggestions made by the interviewees concerning the
basis of the construction training fund were that contributions to the fund should be based on: (a)
a percentage of the employer’s total payroll, payable by the industry players (clients, consultants
and contractors); (b) a percentage of the company’s turnover, payable by all the industry players
(clients, consultants, contractors); (c) a percentage of the contract sum of each project (value of
the project awarded), payable by the client; or, (d) on a proportion of annual registration fees for
companies, consultants and contractors, and individual professionals.
Several interviewees also proposed that the construction training fund should be user
based. The sources suggested for the contributions to a user-based fund included: (a) 0.1
per cent of the Roads Fund; (b) a percentage of the revenue from the usage of
infrastructure and public services such as water, to be paid by consumers; or, (c) funding
from the government alone, at least in the initial stages, as there is market failure with
respect to training. Some of the interviewees who opposed new mandatory contributions
to a training fund suggested that the fund should be: (a) taken from the then existing 6 per
cent VET Levy; (b) the previous housing levy of 4 per cent of the labour component of
costs; or, (c) taken from existing CRB fees and funds.
Discussion
The study has revealed that the professionals in the Tanzanian construction industry have
training needs mainly in the following areas: (a) business development, practice and
management; (b) finance and accounting; (c) IT; (d) environmental impact management;
(e) project management; and (f) quality management and technical engineering. They
have skill deficiencies in these areas and they need training in current technological,
economic and social developments in the industry. But the study has revealed that there is
virtually no training provided either on-the-job or off-the-job by the firms because they
are usually small-to medium-sized firms and as such do not have the training facilities.
This being the case, one would have expected the existence of an industry-wide
integrated training programme for professionals. But this is conspicuous by its absence.
Evidence from the study also points to rather inadequate training programmes for
professionals. In particular, the study reveals that training for construction professionals
in Tanzania is fragmented – some professional groups have some element of training but
456 The International Journal of Human Resource Management
it falls far short of what structured programmes aim to achieve, while others have no
provision. The existing training focuses on engineers, contractors and consultants but
there are no programmes for architects and quantity surveyors. Although the regulatory
bodies such as the Architects and Quantity Surveyors Registration Board and the
Engineers Registration Board are required by law to provide CPD, as yet they have not
instituted such a programme. Moreover, there is no overall training strategy or
programme, no central responsibility or coordination and no national training recognition
system for professionals. There is also limited or no continuity in the provision of the
training. There is no distance learning or correspondence training programme, and no
nationally recognized training programme either.
Arguably, this is not a desirable position to be in and hence there is the need for a
strategic industry-wide approach to address the training needs of professionals in the
construction industry in Tanzania. If the absence of such a training programme erodes
the competitiveness of local firms it, then, stands to reason that every effort should be
made to set up such a programme.
Perhaps, Tanzania and indeed other SSA countries can learn from the experience of
other developing countries. For example, in Singapore, Hong Kong and South Africa the
issue of nurturing a professional workforce has gained momentum in recent years. There
are attempts to reinforce the need for an integrated construction industry that is capable
of continuous improvement towards excellence in a market-driven environment
(Construction Industry Review Committee, 2001). The necessity for the construction
workforce to seek to build its expertise and keep abreast with latest developments is
emphasized. Thus, accent is placed on life-long learning and sharing of knowledge
within the industry. This view stresses the importance of structured CPD, including IPD,
but the implementation approach differs from country to country. Whereas Singapore has
made it a mandatory requirement for the annual renewal of the practising licence of
professional architects and engineers, Hong Kong urges the professional institutions
to make CPD a requirement for membership.
The construction industry in Tanzania could emulate the examples of other countries
to enhance the knowledge, skills and competencies of professionals through the
development of programmes seeking to impart acceptable best practices to professionals
in the industry in order to maintain high professional standards. As Marress (2001) and
Hollway (2000) point out, this involves building upon the initial formal higher education
system to develop professional knowledge; a period of structured training followed by an
assessment of professional competence; and continuing professional development
throughout the professional’s working life to keep him/her in touch with developments
in knowledge. The question thus arises, who should take the lead for this training in
construction industry in Tanzania?
The stakeholders in the industry would like to see the introduction of an integrated
training programme but they see sustainable funding as the greatest obstacle to the
achievement of that objective. There is no sustainable funding scheme for the existing
programmes. They depend on funding from foreign donor agencies but this is often short
term with no built-in continuity. For this reason most of the interviewees indicated that
they would like to see the introduction of a levy system to finance integrated, structured
training for professionals. The advantages of the existence of such a training programme
for individuals, clients and organizations cannot be disputed. The use of a levy system to
finance a structured training programme can help individuals to avoid obsolescence, and
respond rapidly to changes, in both business and technological environments (Kaufman,
1978; 1989; Lam, 1996). A levy system can tackle problems relating to lack of training
due to fear of poaching. More importantly, it can motivate employers to take a serious
Debrah and Ofori: Human resource development in an emerging economy 457
approach to career and performance management as any performance deficiencies can be
tackled through levy financed training (Cassen and Mavrotas, 1997; Edwards, 1997).
A levy system can create incentive for firms to invest more in the skills and competencies
of their staff, be it in the area of on-the-job training or external training (Ziderman, 2001).
Clients and society in general also benefit from the assurance that construction
professionals are being constantly trained and developed to meet required professional
standards (Hollway, 2000).
The findings of the study shed light on an important but hidden (or overlooked) aspect of
training financing in developing countries. In spite of assertions in the literature that the state
can play a useful leading or activist role in developing training programmes and linking
training to national economic development strategies (Ashton and Green, 1996; Ashton and
Sung 1994) the findings suggest that the majority of the interviewees would like the training
problems and the financing of training to be tackled by the industry itself rather than the
government. This is contrary to what prevails in most developing countries where training
and skills development are financed from general government revenue. But this, according
to Whalley and Ziderman (1990), may not be a good approach as central government
budgets may constitute a vulnerable source of finance in view of the severe budgetary
constraints and instability that are typical in many developing countries.
Perhaps, it is for this reason that the professionals in the Tanzanian construction
industry would like to have an industry solution to the training problem. They would,
however, appreciate legislative backing by the government to set up the levy. While the
majority of the interviewees were aware of the benefits and in favour of the establishment
of a levy system they were not wholly convinced that the state should take the leading
role in setting up and administering the fund. This relates to the fear of corruption in the
administration of training funds.
In Tanzania, as in many other SSA countries, corruption appears to be a critical issue
in the construction industry (Construction Business, 2000; 2001b) and negates efforts to
encourage employers to train their personnel. For example, if quality standards are not
enforced because of corruption, training does not have much merit. It is argued that
corruption is partly responsible for the marginalization of local Tanzanian contractors
because the procurement procedure and/or tendering process is not always transparent.
There is also much canvassing and backdoor dealing which render the whole
construction process unfair (Construction Business, 2000; The Contractor, 2001b). As in
other SSA countries, corruption thrives in a bureaucratic environment and this is partly
the reason why the interviewees expressed concerns about the administration of the fund
by a bureaucratic organization. It could thus be argued that, although in theory a levy
system offers potential benefits, in practice effective implementation and administration
of the system can be problematic in developing countries with corrupt bureaucracies.
The findings of the study also have some policy implications as they provide insights
for the design of training programmes for professionals in the Tanzanian construction
industry and indeed in other SSA countries. For instance, Table 3 shows the current state
of training and the desired approach to address the unsatisfactory state of training for
construction professionals.
Following this we propose that goals should be established for postgraduate training
of construction professionals in Tanzania. Table 4 shows the key objectives (goals) with
the main processes and possible outcomes.
These goals are necessary in order to combat any threats from the external
environment and to be in a position to tap the opportunities arising from it. The
external pressures include: competition arising from globalization; regionalization;
the transition from socialism to a free enterprise economy; as well as legislation requiring
458 The International Journal of Human Resource Management
professional bodies to provide training to their members. Arguably, the external
environment poses tremendous challenges for local firms. The ability of local firms to
rise to the challenges, however, depends on how well the internal environmental factors
are managed and mobilized to respond proactively and strategically to the external
environment. We argue that the training problem arises from inadequate and reactive
internal responses to gigantic external pressures rather than the severity of the external
pressures themselves. In other words, the training problem is a manifestation of the
reactive response by the industry to the external threats.
This brings us to Dougherty and Tan’s (1997) argument that in many developing
countries, the exploration of the reasons for the absence of training focuses on external
rather than internal factors. That is, training is seen as the responsibility of the
government and, where such provision does not exist, the government is blamed. Based
on the evidence from the study, it can be stated that the reasons for the lack of an
integrated training programme for professionals lie in internal rather than external
factors. Arguably, the lack of sustainable funding is the result of the inability of the
professional bodies to come together to devise a strategy on training and its appropriate
funding. Equally, the poor record of training in the industry cannot be blamed on external
forces but rather on weaknesses within the industry itself. These factors are highlighted in
Table 3. In light of these factors, we believe it is mandatory for the stakeholders in the
industry to develop key objectives/goals (see Table 4) to galvanize them into action and
to adopt meaningful measures to tackle the training problem. In order for the industry to
be able to equip its human resources with current skills and competencies and thus make
them capable of mounting a meaningful competition for contracts with foreign firms,
there must be a strategic or proactive response to the external pressures.
In this respect, this study has illuminated our understanding of the challenges posed by
environmental factors on training in SSA. The conventional wisdom is that the
challenges of managing human resources (including training) in Africa are compounded
by external environmental uncertainties such as governmental interference and socio-
cultural factors that impede planning (Kamoche, 1997, 2002; Kamoche et al., 2004;
Munene, 1991). This view assumes that the external environment is overwhelming and
nothing can be done to mitigate its harmful effects. However, evidence from this study
indicates that, at least in the construction industry in Tanzania, the stakeholders are aware
of these problematic issues and recognize that they are not insurmountable. They have
realized that external environmental uncertainties need not always be detrimental to
industries as this problem can be tamed by the adoption of appropriate and desirable
strategic responses. In the case of the construction industry an appropriate strategic
response is the mobilization of funds internally to create a sustainable training
programme for professionals. In a sense, the realization of this issue is one step towards a
solution to the training problem.
Conclusion
The study has reviewed the current state of training of professionals in the construction
industry in Tanzania. It has discussed the reasons why there is currently no structured
postgraduate programme for professionals in the industry. The study shows that training
programmes and training finance are inextricably linked and that any attempt to
introduce a training programme in a developing country should determine whether there
is a sustainable source of funding. We also argue that in a developing country
environment there is the need to ensure that both the training programme and the finance
are not derailed by bureaucratic bottlenecks and corruption.
Also, we argue that there is the need for the industry to develop a CPD programme for
professionals. We recognize that setting up a CPD programme in an environment without
strong HR planning, training and development is a difficult but not insurmountable task.
We further argue that this can begin from the firm level where a programme can be mounted
to encourage construction firms to train their personnel. The firms need to be educated on
the economic merits of training and to develop internal capabilities for training. In this
regard, a national awards scheme for companies excelling in their commitment to training
can be instituted. A training accreditation and certification scheme for the various groups
of construction professionals could be introduced, giving recognition to a graduation of
460 The International Journal of Human Resource Management
skills which professionals in each group can attain as they progress through their careers.
Companies could then be encouraged to use these as a basis for the promotion of their
personnel. Companies could also use the certification records as evidence of their
commitment to training. We argue that, wherever possible, and where the subject matter to
be covered allows it, the training of professionals from various backgrounds should be
integrated. This would help to reduce fragmentation in the industry and foster in trainees an
understanding of the roles of their compatriots from other backgrounds.
Notes
1 The term ‘professional’ is used in this paper to refer to architects, engineers and quantity
surveyors who work in managerial and/or professional roles in construction and construction
related firms in the Tanzanian construction industry.
2 The study focuses on training as a sub-component of Human Resource Development.
3 CPD is defined as: the systematic maintenance, improvement and broadening of knowledge and
skill, and the development of personal qualities necessary for the execution of professional
and technical duties throughout a person’s working life (see Hollway, 2000).
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