Assessing the Relationship between Human Resource Strategies and Local Content in Tanzania Oil and Gas Industry

Abstract

Localisation of workforce is the major driving force for Human Resource Strategies in the OG Industry. However implementation of local content policy in the industry is facing major challenges. This study focused on assessment of HR strategies used in implementing the localisation in OG industry and also to determine the factors affecting localisation of Human Resource in the industry. Four case studies selected from the industry were employed to collect in-depth information. The study finds that all of the cases studied companies seem to be committed to local content policy. However it was observed that the practicability of their commitment to local content compliance was facing challenges during the implementation as there is a lack of locals with the needed qualifications in the industry, there are no local training institutes specialized in Oil and Gas, also many of the companies in the industry in Tanzania are new and some in early stages of their operations. It was further observed that local businesses are facing the same challenges of qualifications of locals and their business in rendering the services as per international or desired standards. Lack of localisation related HR Strategies and Government system support and commitment to the localisation seems to be the main factors affecting the localisation of Human resource in Tanzania. So in order for the Local content to be achieved, Human Resource strategies has to be localisation related and the Government has to be fully committed and support the localisation in the industry.

A Review of Job Role Localization in the Oil and Gas Industry

“…There is a dearth of studies regarding JRL in the O&G industry [27,90]. The majority of previous studies have focused on the Middle East [21,89,91] and China [8,15,92].…”