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Human Resource Planning: A Core Element in SME’s Performance? A Study in the Tema Metropolis of Ghana

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  • Daisy Ofosuhene

    (University of Cape Coast, Ghana)

  • Joyce Nartey

    (University of Cape Coast, Ghana)

Abstract

There is a growing recognition of the importance of Small and Medium-sized Enterprises (SMEs) in most economies in the world. In Ghana, SMEs are said to be a major feature of the production landscape contributing to employment creation, income generation, and poverty reduction. The notion that human resource management practices augment the performance dynamics of SMEs is not in dispute, because there have been significant empirical findings indicating the role of these practices in the performance of SMEs. This study aimed to determine the extent to which human resource planning contributes to SMEs performance dynamics in the Tema Metropolis of Ghana. Using a descriptive research survey design, the study purposively selected 40 SMEs in the Tema Metropolis of Ghana. Data collection was done through a survey questionnaire administered to 200 employees of SMEs. The study adopted the quantitative approach in analyzing the variables. The main analytical tools employed included descriptive statistics, Pearson product-moment correlation, and a simple linear regression. Results of the study indicate that human resource planning significantly contributes to the performance dynamics of SMEs. The study concludes that owners and managers of SMEs must link human resource planning policies with the strategic plans of their enterprises to ensure a regular supply of human resources to avoid uncertainty and cost and to increase the performance of these enterprises.

Suggested Citation

  • Daisy Ofosuhene & Joyce Nartey, 2019. "Human Resource Planning: A Core Element in SME’s Performance? A Study in the Tema Metropolis of Ghana," SBS Journal of Applied Business Research (SBS-JABR), SBS Swiss Business School, vol. 7, pages 4-13.
    • Handle: RePEc:bfv:journl:023
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    File URL: https://jabr.sbs.edu/vol7/SBS_JABR_Vol7_Art01.pdf
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    References listed on IDEAS

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    1. Lutz Preuss & Jack Perschke, 2010. "Slipstreaming the Larger Boats: Social Responsibility in Medium-Sized Businesses," Journal of Business Ethics, Springer, vol. 92(4), pages 531-551, April.
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