IMPACT OF HUMAN RESOURCES MANANAGEMENT ON THE PERFORMANCE OF THE HOTELS AND TOURISM INDUSTRY IN NIGERIA
ABSTRACT
The study examines the impact of human resource management on the performance of the hotel and tourism in Nigeria. This study used only quoted hotels and tourism companies in the Nigeria Stock Exchange that have consistently published their audited financial report between years 2006 to 2014. A sample of four hotels and tourism companies formed the sample size of the study to ensure adequate observation for statistical testing.
The empirical results from the HAC Newey-West regression technique revealed that training and development has an insignificant positive impact on performance of the hotel and tourism industry. Pension and gratuity has a positive and insignificant impact on performance of the hotel and tourism industry. The interaction between compensation cost and employee turnover has a positive and significant impact on performance of the hotel and tourism industry at 10% level of significance.
The study therefore recommended that management should motivate the staff by compensating them with other monetary benefit that would improve their performance. It is therefore suggested thatfurther empirical work should be conducted on the subject matter by adopting other models for the empirical research design.
TABLE OF CONTENT
CHAPTER ONE: INTRODUCTION
1.1 Background to the Study    -    -    -    -    -    -    
1.2 Statement of the Problem     -    -    -    -    -    
1.3 Research Questions    -    -    -    -    -    
1.4 Objectives of the Study    -    -    -    -    -
1.5 Significance of the Study    -    -    -    -    -    
1.6 Scope of the Study     -    -    -    -    
1.7 Limitation of the Study    -    -    -    -    
CHAPTER TWO: LITERATURE REVIEW
2.1 Introduction    -    -    -    -    -    
2.2 Performance of the Hotel and Tourism Industry     -    -
2.2.1 Measurement of Organizational Performance    -    
2.3. Training and development and Performance of the
      Hotel and Tourism Industry -    -    -    -    -    
2.3.1 Pension and Gratuity and Performance of the Hotel and
        Tourism Industry    -    -    -    -    -    -    -
2.3.2 Compensation Cost and Performance of the Hotel and Tourism Industry
2.3.3 Employee Turnover and Performance of the Hotel and Tourism Industry-
CHAPTER THREE: METHODOLOGY
3.1 Introduction    -    -    -    -    -    -    -    
Research Design    -    -    -    -    -    -    -    
Population and Sampling    -    -    -    -    -    -    
3.4 Model Specification and Measurement of Variables    -    -
3.5 Research Instrument    -    -    -    -    
3.6 Sources of Data Collection    -    -    -    -    -
3.7 Data Analysis Method    -    -    -    -    
CHAPTER FOUR: PRESENTATION AND ANALYSES OF RESULT
 4.1 Introduction    -    -    -    -    -    -    -
4.2 Descriptive Statistics    -    -    -    -    -    
4.3 Correlation Matrix    -    -    -    -    -    -
4.4 Regression Results    -    -    -    -    
4.5 Discussion of Findings    -    -    -    -    
CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS
5.1 Introduction    -    -    -    -    -    -    -
5.2 Summary of Findings    -    -    -    -    -    -
5.3 Contribution to Knowledge    -    -    -    -
5.4 Conclusion    -    -    -    -    -    -    -    -
5.5 Policy Recommendations and Implications    -    -    -    
Bibliography    -    -    -    -    -    -    -    
LIST OF TABLES
Table 4.2:    Descriptive Statistics     -    -    -    -    -    -
Table 4.3    Correlation matrix of the variables     -    -    -    -
Table 4.3A: HAC Newey-West Regression Result    -    -    -    -
Table 4.3B: Newey-West Interactive Regression Result    -    -    -    
CHAPTER ONE
INTRODUCTION
1.1 Background to the Study
The objective of every organisation, whether manufacturing or service rendering organizations, require a fundamental pulling of human, material and financial resources to accomplish the desired organizational output (Ezeani, 2006).  The activities of any establishment are initiated and determined by the persons who make that institution.  Plants, offices, computers, automated equipment, will be unproductive except with human effort. The development of any organization depends largely on its human resources.  Therefore, management is conceptualized as the process of achieving the goals of the organization by utilizing people and other resources, (Audu & Gungul.2014).
Human resource management has been described in its basic form as the discipline that focuses on finding and keeping the best employees and focuses on employees as the foremost resource in any enterprise (Armstrong, 2006). The leading firms whether in the public or the private sector in the world are driven by great minds. Greer (2001) opined that human resource management aims primarily at ensuring that any given organization has in place, the people's capabilities and culture to support its strategic direction or objectives. Thus, human resource management is the process of getting the best work from each employee by providing the right incentives and job environment, all with the goal of meeting the objectives of the organization. Human resources mean the employees of an organization.  It has been proved by various scholars as the most vital aspect of management; manpower could be used interchangeably as human resources, human capital, personnel, employees etc.  Ejete-Iroh, Chukwuemeka and Jasper (2010) opined that human resources are the most important assets of every organization as policies and programmes of the organizations are solely integrated and articulated by them towards achieving the desired organizational goals.
The Nigerian tourism industry is aided by good policies and infrastructural development can be a money spinner for the economy, if and only if the industry is driven by the right kind of personnel in all its ramifications (Durodola, Ajayi & Olodede, 2011). According to Hayes and Ninemeier (2007) the products of the hospitality sector are usually lodging, food and beverage operations, entertainment and recreational activities. This consequently encouraged the springing up of some accommodation in form of inns and small hotels and subsequent larger hospitality suites, to meet such needs. This thus hospitality is said to be the world’s second oldest profession. Nigeria has since seen many important developments and changes in the relative improvement in the standard of living of a vast majority of working people. These improvements have come about as a result of many different factors including greater national productivity, stronger growth of economy, having more enlightened management and pressures from trade unions.
The contributions made by the hotel and catering industry to this general rise in standard of living are considerable, providing essential and leisure services, employment and wealth creation. Hotel development in any country is a detailed process, requiring a high level of pre-planning prior to, during and after construction (Akwara, Biu, Abutu, & Okwelume, 2014). There is still evidence in many places in Nigeria that this pre-planning has not adequately been carried out, resulting in some hotels that are unable to meet today’s and tomorrow’s ever-changing and increasing customer needs, including the fact that demand far outstrips supply, with major cities like Lagos having now shortages. Nevertheless, Tourism, of which the hotel and catering industry is a principal element is said to be a potential growth sector in Nigeria. The conditions of employment of a large number of the industry’s staff have not kept peace with those enjoyed by working people elsewhere, in spite of the technical improvements within the catering industry itself. Cooper (2008) argued that tourism lacks the basic rigors and focus common in the academic field of study, yet it can be classified as an interdisciplinary discipline and therefore conceptually diverse in explanation. Firms and operators in the hotels and tourism sector attempt to take advantage of the spirit of human adventure and the desire for leisure so as to attain economic objectives. The hotels and tourism sector is a service oriented sector which is very sensitive to issues of personal security, comfort and convenience. Ode (2001) and Okey & Ovat (2003) asserts that the availability of tourism product and services as well as tourism destination stimulate hotels and tourism development in any country. Implying that when the essential and optional components of hotel and tourism products, are available in abundance the sector will grow and develop.
1.2 Statement of the Problem
The performance of firms in the era of globalization depends on the quality of human capital accessibility for the attainment of long term corporate goals. Udo and Pawłowski (2011) see human resource management as the management, scientific engineering, technical, craft and other skills which are developed and employed in creating, designing and developing organizations and in managing and operating productive and service enterprises and economic institutions. Therefore, human resource management are composed of individuals working for an organization such as long term staff, temporary staff, contracted staff but collectively making up the most important asset of the organization. Human resource is the fundamental factor of production and labour outcome. Human resource is the outcome for effective and efficiency of employees (Khan, 2010). Therefore, rapid technological change and dynamic business environment, increasingly sophisticated customers and the importance of innovation have shifted the bases of competition for many business away from traditional physical and financial resources (Cuganesan,2006).The challenge is to ensure that organizations have capability to find, assimilate, compensate and retain human resources in the shape of talented individuals they need who can drive a global organization that is both responsive to its customers and ‘ the burgeoning opportunities of technology (Armstrong, 2006).
Briggs, Sutherland and Drummond (2007) conducted a study on service quality across all hotels in Scotland. In Nigeria, Durodola and Oloyede (2011) conducted an empirical investigation on the determination of property assets management styles in South-Western Nigeria Hotels. Some of the studies in Nigeria that are related to human resources management and performance are the work of Solomon (2009), Abdulkadir (2012) and Ukenna, Ijeoma, Anionwu and Olise (2010).  Due to the inherent problem associated with primary source of data collection through the administration of questionnaire and poor response from respondent identified in these studies. Therefore, this study attempts to fill this gap by looking at the impact of human resources management on performance of the hotel and tourism in Nigeria by secondary sources of data through cross-sectional research design. This study will also add to existing body of knowledge on the area of manpower needs of the tourism and hospitality industry in Nigeria and how this has affected the development of the sector.
1.3 Research Questions
Based on the research problem of the study stated above, the study will look at the following research questions:
what is the effect of training and development on performance of the hotel and tourism industry?
what is the effect of pension and gratuity on performance of the hotel and tourism industry?
what is the effect of compensation cost on performance of the hotel and tourism industry?
(iv)    what is the effect of employee turnover on performance of the hotel and tourism industry?
1.4 Objectives of the Study
    The major objective of the study is to examine the impact of human resource management on the     performance of the hotel and tourism in Nigeria. Specifically, the study intends to;
(i)    Determine the effect of training and development on performance of the hotel and tourism industry?
(ii)    Determine the effect of pension and gratuity on performance of the hotel and tourism industry?
(iii)    Determine the effect of compensation cost on performance of the hotel and tourism industry?
(iv)     Determine the effect of employee turnover on performance of the hotel and tourism     industry?
1.5 Significance of the Study
The research work will be beneficial to the following group of people;
Manager of Firms: The outcome of this study will enable manager of firms to adopt a sound human     resources management strategy for better performance of the organisation.
Policy Makers and Practitioners: This study will also be of high relevant to policy makers to take a proactive step for effective human resource management in committing to the performance. It would provide guide towards the selection of the best policies to achieving best performance and remaining a market leader.
Institutional Investors: the study will also be of immense benefit to investors who crave to put their     funds in firms that are doing well. This study in this direction will provide human resource development that investors need to watch out for in taking the best investment decisions.
Government: The government would also find this study of great importance as it would help them to see human resources management as the engine of good organizational performance.
Future Researcher: this study will also be relevant to researchers in Business field and management     related discipline as it provides information and empirical evidence for further research in this area.
1.6 Scope of the Study
    Though, the concept of the impact of the human resource management on the hotel and tourism     sector is so broad and significant to the continuous survival of the sector. This study will focus on     some selected quoted hotel and tourism in Nigeria Stock Exchange within the period of 2006 to 2014. The choice of this period is due to non-availability of annual financial accounts for some     quoted firms in the year 2015.  This study will use the only available quoted hotel and tourism firms that consistently maintain annual financial reports as our sample size for the study.
1.7 Limitation of the Study
In the course of conducting this research work, the research encountered some constraints. These constraints are:
Finance: The cost involved in sourcing for the available materials and other necessary information     was very high within the reach of the student researcher.
Limited Time Frame: It is necessary to place it on record that as a student, one has to undertake the study alongside other academic loads within an actually limited time frame.
Measurement of Variables: The measurement of some of the variables for the research under investigation is a major challenge in this study. These variables are employee turnover rate, training and development cost and employee compensation.