Managing human resource in a changed environment a study of Kenya's matatu industry

Abstract

Human resource is a crucial component of Kenya’s multi-billion shilling Malatu industry, which itself is a critical factor of national economic development. especially with growing need to address the problem of unemployment and poverty. The industry is not only beneficial in terms of easing demand for the growing passenger travel, it is also a big employer. But management problems have beset the industry leading to disorder and road accidents, which in turn has necessitated Government intervention. The objective of this study was to investigate the status of managing human resource in the industry in the face of the change imposed by the Government. The importance of the study lies in the need to safeguard the heavy investment in the industry through sound management, the need to effectively manage change, which is possible when research information is available, and the fact that the Govermnent stands to reap tax benefits if sound management of human resource was to be institutionlised. The study covered the 14- seater public service vehicle vans that operate within the Municipal Council of Nakuru and from Nakuru town to other parts of the country from the year 1999 to 2006. Among the limitations of the study were: low or non-response due to suspicion; wilfully giving of inaccurate information by some of the respondents; limited sampling methods; illiteracy among many operators and workers, and inadequate existing literature. Non-probability sampling methods were used to pick the sample size of 50 vehicles as the specific Matatu vehicles from which 154 study elements were picked. Data was collected using interview schedules and some observation. It was analysed using the Statistical Package for Social Science, and presented in tables, bar graphs, and pie charts. The study established that the TLB rules were l1S6fi.ll to the Matalu industry, the difficulties posed were not insurmountable except that the financial capacity to implement the permanent employment rule was limited, and that while human resource management as a management function may not be applicable to the industry, the human resource management principle is. It is recommended that the unsustainable aspects of the rules be reconsidered with the help of human resource experts and a human relations approach be used in introducing change in the industry. It is also recommended that further studies be carried out in future employing probabilistic sampling methods while also looking at human resource management in relation to the other aspects of the Transport Licensing Board rules such as speed limits and effects of limited passenger capacity