TO EXPLORE THE EFFECT OF TALENT MANAGEMENT STRATEGIC APPROACH ON THE PERFORMANCE OF OIL AND GAS MULTINATIONAL CORPORATIONS: A CASE STUDY OF SAUDI ARABIA

Abstract

Saudi Arabia’s multinational oil and gas sector is pivotal to the nation’s economic development; however, challenges persist in attracting, engaging, and retaining talent within this sector. A limited increase in qualified local talent, coupled with evolving organisational needs, restricts workforce sustainability and development. The implementation of strategic talent management practices remains limited, affected by national policies, inconsistencies in execution, and alignment with long-term objectives. This study explores the effect of strategic talent management approaches on organisational performance within multinational oil and gas corporations operating in Saudi Arabia. Existing research predominantly focuses on conceptual perspectives of talent management within developed economies, leaving a notable gap in empirical studies within emerging markets such as Saudi Arabia. There is insufficient research examining the long-term effects of talent management strategies on organisational performance and their alignment with national objectives within the oil and gas sector. This research addresses this gap by investigating how talent management practices—recruitment, engagement, and retention—are adopted, adapted, operationalised, and perceived by stakeholders to support organisational performance. The study employs the Resource-Based View and Expectancy Theory as complementary lenses to understand how strategic talent management drives competitive advantage within policy-constrained environments. The thesis adopted a qualitative case study methodology using semi-structured interviews with 68 participants, which comprised of senior and middle managers and employees through purposive and snowball sampling strategies to gather insights into strategic talent management practices. Thematic analysis was used and was supported by NVivo software to assist in organising and coding the data. The findings revealed that talent management is perceived as a strategic driver of competitive advantage, with leadership support influencing its effective adaptation. Strategic approaches prioritised internal recruitment and mobility, engagement initiatives, and structured retention mechanisms, supported by talent pools and transparent performance appraisal systems, to ensure sustainability, motivation, and workforce development. Challenges identified include national policy constraints, strategic misalignment, talent shortages, and retention difficulties. The study concludes that effective talent management practices contribute to enhanced organisational performance by promoting workforce stability, engagement, and leadership pipeline development. It recommends that senior leaders and human resources practitioners prioritise consistency, strategic alignment, transparent appraisal systems, and employee-centred engagement and retention initiatives to enhance talent sustainability and operational excellence within Saudi oil and gas multinational corporations.