The Impact of Training and Development on the Perceived Organisational Performance of Saudi Tourism Companies

Abstract

Introduction: This study aimed to examine the predictive relationship between Training and Development (T&D) and Perceived Organisational Performance, while also assessing the moderating role of the Vision 2030 Program in the relationship within the Saudi Arabian tourism sector. Methods: A quantitative cross-sectional study design was followed, using a structured Likert-scale questionnaire for data collection. The study was conducted on employees in the tourism industry in Saudi Arabia which consists of more than one million employees. Participants were recruited using purposive sampling, and 450 employees were sampled for the study. The number of samples in the study was above the lowest sample size determined by G*Power analysis, which is suitable for PLS-SEM analysis. Partial Least Squares Structural Equation Modelling (PLS-SEM) was used to analyse the data. Results: The results indicate that T&D has a statistically significant and positive effect on the perceived organisational performance. The Perceived Vision 2030 Program also showed a significant direct association with organisational performance. Importantly, the moderation analysis revealed that positive perceptions of Vision 2030 strengthened the relationship between T&D and organisational performance, suggesting that institutional alignment enhances the effectiveness of internal HR practices in the healthcare sector. Conclusion: This study contributes theoretically by contextualising Human Capital and Institutional theoretical perspectives to elucidate organisational performance within a national transformative framework. Practically, it provides insights for policymakers and managers to align employee development initiatives with national strategies, enhance workforce capabilities, and strengthen organisational competitiveness.