The paper "Human Resource Development in Small and Medium Enterprises in Saudi Arabia" is a good example of a human resources case study. Small and medium enterprises are considered one of the most capable and efficient instruments for accelerating the rate of social and economic developments (Sharma, 2011). Besides being the origin of large scale enterprises, SMEs provide an ideal environment for training workers and developing their skills and help in facilitating the turnover of small investments. From this perspective, governments all over the world have paid great attention to these businesses by enacting laws to provide the infrastructural framework that would contribute to their development. In Saudi Arabia, SME’ s represent more than 90% of total enterprises and account for 25% of the Kingdom’ s total employment.
Nevertheless, the contribution of these businesses to the country’ s GDP remains significantly low compared to the prevailing average in industrialized countries (Shalaby, 2004). In the European Union, about 23 million SMEs represent 99% of enterprises in the vast economic block and are a key driver for economic growth, employment, innovation ad social integration (Chin-Ju, 2010).
One of the union’ s policies is to promote successful entrepreneurship and business environment for SMEs and allow them to realize their potentials in the global economy. In North and South America, SMEs are a prominent feature of national economies and continue to play a key role in bridging economic gaps between countries and reducing wealth inequalities in households (Heneman, Tansky & Camp, 2000). Despite their potentials to contribute to increased economic growth and development, SMEs are facing many challenges across the globe. In Saudi Arabia for instance, SMEs are faced with the challenge of obtaining enough funds to meet their expansion needs. Research Aims and Objectives In the past few decades, the Human Resource has come into focus as an important function in the growth and development of SMEs.
This research paper aims to investigate HRD practices in Small and Medium Enterprises in Saudi Arabia.
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