The Effect of Human Resource Management Practices on Project Success: The Case of Ethiopian Engineering Corporation, Addis Ababa
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Date
2026-10-03
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. Addis ababa university
Abstract
This research explored how Human Resource Management (HRM) affected the success of projects at Ethiopian Engineering Corporation. The study sought to identify the key HRM aspects that affect the success of projects, including recruitment and selection, training and development, performance appraisal, rewards and compensation, and health and safety practices. The research adopted quantitative research methodology with an explanatory research design. Primary data was collected by distributing structured questionnaires to employees who have project work experience in the last five years. In all, 100 respondents participated in the research. Statistical Package for Social Sciences (SPSS) version 23 was used for the analysis of data collected. This involved descriptive statistics, correlation, ANOVA, and multiple regressions. The results showed that employees held positive views about the HRM and Health, safety and environmental (HSE) practices employed in the organization. According to descriptive analysis, high means were obtained for all HRM practices and for the project success indicators. It was observed through correlation analysis that performance appraisal, compensation and rewards, and HSE practices have very strong and significant correlations with the success of projects. Out of all variables mentioned above, it was observed that HSE practices had the highest correlation with project success. Furthermore, through regression analysis it was found that compensation and reward and HSE practices have significant positive effects on project success whereas recruitment and selection, training and development, and performance appraisal did not have significant effects on project success. ANOVA revealed that the regression model was statistically significant. It explained 73.1 percent of the variance of project success. From the findings, there is no doubt that an efficient HRM and HSE system is instrumental in enhancing project efficiency within the company. In view of this, the study suggests that the organization should focus on building a robust reward system for its employees, improve workplace safety measures, and refine its HRM processes.
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Keywords
-Human Resource Management (HRM), Project Success, Recruitment and Selection, Rewards and Compensation, Health, Safety and Environment (HSE)