Being thesis submitted in the department of business administration and marketing, school of management

4.2.1.1. Restatement of Hypothesis One

Hypothesis One (H₀₁): There is no significant relationship between recruitment and selection practices and corporate entrepreneurship.

To test this hypothesis, Pearson product moment correlation was used. In order to use Pearson product moment correlation, the questions related to recruitment and selection dimension of HRM practices in the questionnaire (B1 – B6) were combined to form one categorical total index of recruitment and selection practices. Also, questions relating to proactivity dimension of corporate entrepreneurship (B50 – B54), innovation dimension of corporate entrepreneurship (B55 – B62), and risk taking dimension of corporate entrepreneurship (B63 – B67) were combined to form a categorical index of corporate entrepreneurship. The result of the test of hypothesis one (1) is presented in Table 4.5 below:

Table 4.5: Pearson Product Moment Correlation on the Relationship between

Recruitment and Selection Practices and Corporate Entrepreneurship

		Recruitment and Selection Practices	Corporate Entrepreneurship
Recruitment and Selection Practices (RS)	Pearson Correlation	1	.506^**
	Sig. (2-tailed)		.000
Corporate Entrepreneurship	Pearson Correlation	.506^**	1
	Sig. (2-tailed)	.000
**. Correlation is significant at the 0.01 level (2-tailed).

Source: Field Survey Results, 2016

Interpretation

Table 4.5 shows the result of the test of relationship between recruitment and selection practices and corporate entrepreneurship for testing of hypothesis one (1) which says that there is no significant relationship between recruitment and selection practices and corporate entrepreneurship. Result in Table 4.5 indicates that there is a positive relationship between recruitment and selection practices and corporate entrepreneurship (r = 0.506). The relationship is statistically significant (Sig. = 0.000) at 0.01 level of significance. This implies that increase in the level of best practice of recruitment and selection practices would lead to an increase in the level of corporate entrepreneurship.

Decision

Based on the above results, the null hypothesis one (H₀₁) which states that there is no significant relationship between recruitment and selection practices and corporate entrepreneurship is hereby rejected. It can therefore be concluded that there is a positive and significant relationship between recruitment and selection practices and corporate entrepreneurship in the selected organizations in Lagos and Ogun States.

4.2.1.2. Discussion

The first hypothesis which says that there is no significant relationship between recruitment and selection practices and corporate entrepreneurship was designed to investigate the relationship between recruitment and selection practices and corporate entrepreneurship in the civil service and banking service industrial sectors of Ogun and Lagos States. The result of the correlation analysis procedure in Table 4.5 shows that there is a positive relationship between recruitment and selection practices and corporate entrepreneurship. Considering the P-value (0.000), this relationship is statistically significant at the level of 0.01. This finding suggests that establishments that successfully practice corporate entrepreneurship are likely to be those that pay particulars attention to best practices in recruitment and selection processes with the aim of employing employees who possesses entrepreneurial characteristics. Large majority of the respondents in both the civil service and the banking service industrial environments or sectors agreed that their establishments emphasize best practices in recruitment and selection practices and at the same time their employees display corporate entrepreneurial work behavior as shown in high and close grand means of the two practices on Table 4.3 and Table 4.4 respectively. This is logical and in line with the contention of Schmelt, (2011) that an organization can only be as entrepreneurial as the employees who made it up through the recruitment and seletion processes.

This finding negates the conclusion of Tan and Nasurdn (2011) who examined the relationship between human resource management and organization innovation and reports no significant relationship between recruitment and innovative work behaviour. This is however, in contrast to many other empirical studies supporting the finding of this study. Examples include Moris and Jones (1993) studies which showed that emphasis on proper and thorough staffing practices is associated with companies that practice corporate entrepreneurship. Also, Delancy and Huselid (1996), in a comparative study of human resource management practices and entrepreneurship among firms, found that firms which deploy sophisticated and open selection procedures to find the very best potential employees tend to identify persons that can contribute to their entrepreneurial orientation than others who do not. Schuler and MacMillan (2010), in their own study of entrepreneurial firms, also found that firms that scored high on entrepreneurial orientation (EO) tend to base their staffing practices on deliberately chosen set of key performance indicators (KP1) with regard to entrepreneurial orientation. This, according them, is because such practices enhance a better match between the entrepreneurial requirements of the firm and employees characteristics. Such firms, according to Kaya (2006) and Schuler and MacMillan (2010) tend to determine and consider the employees problems solving abilities, innovativeness and risk taking behaviour in their selection process. In such organization, new recruits would tend to be such as could show desire for action and decision making pattern that enable the organization to respond quickly to unexpected challenges and opportunities.
In this direction is the conclusion of Edralin (2010) studies. Edralin (2010) examined human resource management practices that stimulate corporate entrepreneurship among twenty large manufacturing and service companies operating in the Philipines. He established that recruitment and selection stimulate corporate entrepreneurship to produce organizational performance. Like Edralin (2010), Brizek (2014) studies were concerned with the key elements of human resource management practices creating entrepreneurial work environment in established organizations. He identified five of such elements and stressed that recruitment and selection practices, which include general, implicit, less formalized criteria; open recruitment and selection process, usage of external and internal sources and broad career paths are among the elements creating entrepreneurial work environment.

This pattern of relationship has been observed in Africa through studies like that of Dizgah, Gilaninia and Asgari (2011). Dizgah, et al., (2011) examined the relationship between human resource management practices and corporate entrepreneurship among ninety three (93) small and medium sized entrepreneurial firms in the Ginlan province of Iran. This study confirms the findings of the present study that staffing functions have a significant positive relationship with corporate entrepreneurship. Thus, it has now been realized that it is by the staffing function that employers endeavor to get the best and right person who can fully contribute their expertise to developing organization and enhance its competitiveness through entrepreneurial work behavior (Hazlina, Ahmed, Aizzat, Naurdin & Zianal, 2012). Thus, according to Schuler, et al (2010), the staffing functions should have the entrepreneurial objectives of forming an appropriate resource base of human capital that is in line with entrepreneurial orientation. Fajana, Owoyemi, Elegbede and Gbajumo-Sherif (2011), in their review of human resource management practices in Nigeria, concluded that one of the practices which human resource practitioners should learn from other countries in trying to develop entrepreneurial workforce is openness and objectivity in their recruitment and selection processes.

4.2.2. Restatement of Research Objective Two and Research Question Two.

Objective 2. Evaluate the effect of training and development practices on corporate entrepreneurship

Question 2. What is the effect of the training and development practices on corporate entrepreneurship?

Table 4.6: Respondents’ Responses on the Level Training and Development Practices.

Training And Development
S/N	To what extent would you agree that your organization adheres to the following:			NE 1	VLE 2	LE 3	ME 4	GE 5	VGE 6	Mean	SD
1.	Encouraging staff to take some responsibility for their own development		Freq	10	29	54	196	381	254	4.81	1.068
			Per%	1.1	3.1	5.8	21.2	41.2	27.5
2.	Fostering a culture of growth and personal development		Freq	9	24	56	214	429	195	4.74	1.003
			Per%	1.0	2.6	6.0	23.1	46.3	21.0
3.	Identifing its own future leaders and is ensuring their development?		Freq	8	52	64	256	382	162	4.56	1.086
			Per%	.9	5.6	6.9	27.7	41.3	17.5
4.	Investing more and adequate time in developing their managers and employees’ potentials?		Freq	21	32	74	201	434	157	4.60	1.108
			Per%	2.3	3.5	8.1	21.9	47.2	17.1
5.	Emphasizing learning and development for corporate cultural behaviors and desirable values than technical skills training?		Freq	8	64	82	217	385	165	4.52	1.144
			Per%	.9	6.9	8.9	23.6	41.8	17.9
6.	Providing important guidance on career opportunities?		Freq	15	26	82	223	422	163	4.61	1.061
			Per%	1.6	1.6	1.6	1.6	1.6	1.6
7.	Offering coaching programs for career development?		Freq	32	63	73	243	366	151	4.44	1.752
			Per%	3.4	6.8	7.9	26.2	39.4	16.3
8.	Implementing one-on-one mentoring program		Freq	37	81	117	208	239	208	4.30	1.409
			Per%	4.2	9.1	13.1	23.4	26.9	23.4
Grand Mean		4.573

Source: Field Survey Result, 2016

Interpretation

Table 4.6 presents respondents’ opinion on different aspects of training and development activities in their respective establishments in relation to best practices. The Table shows that by combining the responses under “Moderate Extent”, “Great Extent” and “Very Great Extent”, 89.9% of the respondents agreed that employees in their establishments are encouraged to take some responsibility for their own development (Mean = 4.81, Standard deviation = 1.068). 70.4% agreed that their establishment fosters a culture of growth and personal development (Mean = 4.74, Standard deviation = 1.003), 86.5% agreed that their establishment identifies its own future leaders and is ensuring their development (Mean = 4.556, standard deviation = 1.086). 86.2 agree that their establishment invests more and adequate time in developing their managers and employees’ potentials (Mean = 4.60, Standard deviation = 1.108). 82.2% of the respondents agreed that their respective establishments emphasizes learning and development for corporate cultural behaviors and desirable values than technical skills training (Mean = 4.52, Standard deviation = 1.144). 80.8% agreed that their establishments provides important guidance on career opportunities (Mean= 4.61, Standard deviation= 1. 061). 81.9% of the respondents agreed that their respective establishments offer coaching programs for career development (Mean = 4.44, Standard deviation = 1.752). 73.7% of the respondents says that their respective establishments implement one-on-one mentoring program (Mean = 4.30, Standard deviation = 1.409).

Table 4.6 suggests that the respondents believe that, on the whole, employers in both banking and civil services institutions in Lagos and Ogun States engage in best practices in training and development activities, with grand mean = 4.573, which is above the bench mark of 3.5. Table 4.4, earlier referred to, suggests that the respondents believe that, on the whole, employees in both banking and civil services institutions in Lagos and Ogun States exhibit corporate entrepreneurial work behavior, with a grand mean of 4.0979 which is above the bench mark of 3.5. The mean of the responses to each of the items is greater than 3.5 which is the bench mark for the acceptance of the particular entrepreneurial behavior as present to a reasonable extent in the organization. Comparing the results in Table 4.6 (with grand mean of 4.573) and Table 4.4 (with a grand mean of 4.0979), it can be deduced that there is a positive relationship between best practices in training and development and corporate entrepreneurship. This provides answer to research question two (2) and thus achieve research objective two (2). This is further tested in hypothesis two (2) below:

4.2.2.1. Test of hypothesis two

Hypothesis Two (H₀₂): Training practices will not have any significant effect on corporate entrepreneurship.

To test this hypothesis, simple linear regression analysis of Ordinary Least Square Method was used. The questions on training and development practices (B7-B14) were regressed on corporate entrepreneurship variables formed from the combination of questions relating to proactivity dimension of corporate entrepreneurship (B50 – B54), innovation dimension of corporate entrepreneurship (B55 – B62), and risk-taking dimension of corporate entrepreneurship (B63 – B67). The results are presented in Tables 4.7, 4.8 and 4.9.

Model_Summary_Results'>Table 4.7: Model Summary Results

Model	R	R Square	Adjusted R Square	Std. Error of the Estimate
1	.569^a	.323	.322	3.95684
a. Predictors: (Constant), Training and Development Practices (TD)

Source: Field Survey, 2016
Table 4.8: F-statistics Result of effect of training and Development practices on corporate entrepreneurship

Model		Sum of Squares	Df	Mean Square	F	Sig.
1	Regression	6998.243	1	6998.243	446.984	.000^b
	Residual	14638.916	935	15.657
	Total	21637.160	936
a. Dependent Variable: Corporate Entrepreneurship
b. Predictors: (Constant), Training and Development Practices (TD)

Source: Field Survey, 2016