Saudisation Rhetoric and Realities: Barriers to Effective Private sector participation in public policy regulatory framework

Abstract

This thesis is concerned with the method and process of Saudisation policy in the Kingdom of Saudi Arabia. The thesis examined the extent to which the Saudusation policy is regarded as a myth or reality and the factors responsible for this position. The study examined barriers to effective private sector participation in public policy regulatory framework and how modernisation of Saudi Arabia, has created a dependency on foreign workforce, due to scarce local high skilled workers. The research was based upon three case study conducted among the Ministry of Labour, The Chambers of Commerce and the Private Sector. It addresses the issue of non-participation of the Private Sector in the Saudisation Policy. The study addresses four key objectives. These were: to review the success/failure of the Saudisation; to determine the likely constraints on the private sector’s participation in the formulation of the Saudisation labour policy; to examine the barrier impinging on Saudisation implementation in the private sector; to review the extent of stakeholders’ involvement in the enactment and implementation of the Saudisation policy; and to determine the constraints on the private sector’s participation in formatting the Saudisation policy.

The case study research was conducted in the selected agencies using grounded theory approach. In each case study, questions were asked to reveal why the Private sector was not allowed to participate and how participation can be facilitated. Each case respondent was thoroughly examined through in-depth interviews and documentary analysis. The two-research approach helped in identifying the barriers to participation of the private sector in the Saudisation policy. Overall, the study not only reveals that several barriers exist to Privates sector participation but also that these barriers can be overcome. Through its findings, this research concludes that the government should enhance the involvement of the private sector in the process of making Saudisation policies and key impediments. Given the lack of attention paid to Saudisation impediments, identification of barriers implies that the conceptual framework of this research can help to show that both the ‘rulers’ and ‘ruled’ can collaborate to achieve the desired outcomes. The research findings and recommendations are of direct practical relevance for making the private sector more active in the process of Saudisation and also ensuring that implementation of such policies has benefits for all parts. Through its findings, this research concludes that the government should enhance the involvement of the private sector in the process of making Saudisation policies and key impediments. This research is of important value because it remains a source of empirical study on the subject - Workforce Localisation Policies in Private Sector Enterprises: Barriers to Effective Implementation in the Kingdom of Saudi Arabia. This area currently has a dearth of research led study. There has been little empirical study on this important economic issue. This study will provide and further theoretical and empirical data that support debate on the subject matter. Furthermore, the study will serve as a framework for management and policy makers in the Kingdom of Saudi Arabia. Whilst providing guide to management and policy makers, the study will be informative to the private sector organisations.