Journal of Economics, Management and Trade

This study examined the effect of human resource strategy formulation process on HR strategy outcome. Drawing on three modes of strategy formulation process namely rational, adaptive, and interactive, a cross-sectional research design was adopted. Using structured questionnaires, data were collected from HR managers/ directors from 53 state corporations in Tanzania. Correlations analysis was also performed to find out the direction of the relationship among study variables. Multiple regression analysis was employed to test a number of hypothesized relationships. A request for HR strategy document was made to State Corporations if one existed. Findings indicates that 18 out of 53 had HR strategy document and 34 had none. Results further demonstrate that rational HR strategy formulation accounted for 22.6 and adaptive HR strategy explained 6.3 percent of the variation in HR strategy outcome, while interactive human resource strategy has no significant relationship with human resource strategy outcome. This study concludes that the outcome of HR strategies in the public sector organizations is the function of rational and adaptive HR strategy formulation processes and that very few have documents of HR strategies. Public sector organization are urged to adopt interactive HR strategy formulation process to easy implementation of the HR strategy.