Nepotism in Gulf Region Paper Example

Introduction

Weber Max thought of bureaucracy as a rational symbol of conversion from a traditional organizational process, perforated with nepotism into one which is further steady with goal prudence and value rationality (Abbasi et al., 2010. pp. 92). Max establishment is one branded with solemn formations that employ individuals depending on excellence instead of favoritism. Max Weber articulated that, "Islam could not offer the societal influence in which the individuals of the Gulf region could get lifted out of feudal unproductivity" (Esposito, 2004 pp. 45). Max argued that Islam, even at its peak was incapable of raising consciousness sufficient to positively impact economic behaviours and attitudes (Chapra, 1992. pp. 123). Even though numerous scholars have contested this thesis, hence this paper will demonstrate why and how a balanced-legal bureaucracy model has never been able to take hold of the Gulf region. The article will specifically delve into the legal background that lists all the laws and regulations that are related to governing Nepotism in the Gulf region. It also highlights the examples from mega corporates in the gulf and looks into the policies that they adopted in this matter. The paper begins by demonstrating some of the facilitators of nepotism in the Gulf region; the subsequent discussion then entails the aspects of institutionalisation of nepotism in the area which is followed by an illustration of the laws and regulation which guard against nepotism. The last portion of the article then discusses some of the barriers to the law and regulations that mitigate nepotism in the Gulf region.

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Facilitators of Nepotism in the Gulf Region

The Influence of Islamic laws on Nepotism

Studies reveal that the societal building of the Islamic laws, tend to accentuate the interdependence of household members (Dusuki, 2008. pp. 13). For instance, the inheritance laws and more fundamentally the cultural practices that generally supersede these laws usually fragment household capital between various recipients suggesting mutual possession in case of company structures and fixed assets (Dusuki, 2008. pp. 24). Occasionally defacto inheritance exercises even reemphasise the ethnic nature of inheritance that overcomes the religious restrictions.

Ali and Al-Owaihan 2008. Pp. 7, articulates that individuals should go past the surface of comprehension of heritage as a rule into considering it as a public process (Ali and Al-Owaihan 2008. pp. 7). In all esteems, facets of Islamic inheritance, both as social norm and laws, have accentuated the responsibility of the family in its protracted system. Such traditions and standards establish intimacy relationships between members of the household which inspire a set of expectations as well as obligations (Ali and Al-Owaihan 2008. pp. 11). Therefore, companies end up being possessed by a large number of the extended family, and this makes diverse members to have the right to employment as well as other related personnel decision in the same business.

The contribution of the Charitable Trust System or Waaf to Nepotism in the Gulf Region

Another contributor which is evident as a facilitator of the nepotistic behavior in the Gulf region regard the benevolent trust system or waaf that paradoxically was effective at the time of its introduction as it was easily alluded to as the reason for economic development and progress in the Arab world (Abuznaid, 2009. pp. 281). Waaf defers to the Western corporation system as it is benevolent trust and not a separate legal individual; hence it is a process where affluent people allocate part of their properties to charitable courses (Kabasakal and Dastmalchian, 2001. pp. 61). For instance, the rich person would set aside assets such as land to offer services and goods which the Islamic states did not provide to their citizens (Abdalla, 2014. pp. 25). The individual bestowing the trust would then assign herself or himself as the primary administrator of the trust funds and exclusively select close relatives for the remaining vital posts, hence nepotism.

Among some of its current manifestations, Waaf signifies the bargain between the rich and the government (Salarzehi et al., 2010. pp. 179). The former got relieved of the load of offering rudimentary community services, while the current system can safeguard their household assets from indiscriminate confiscation by that which are essentially dictatorial governments. Over time, massive quantity of wealth has been linked to the Waaf system, inaccessible for further productive manipulators and commonly subject to family or personal politics concerning authentic disposition (Abuznaid, 2006. pp. 127).

The Institutionalization of Nepotism in the Gulf States

To further elucidate the manner in which nepotism persisted in the Gulf region for decades, it is constructive to create some aspects of the theory of institutionalisation, specifically the legitimacy concept. Ali, 1992. pp.508 defines diverse categories of the organisational legitimacy which can adequately get exploited in demonstrating how nepotism turn out to be institutionalised in the Gulf region (Ali, 1992. pp. 508). The first sort is known as the pragmatic legitimacy that associates with the personal interest of the institution's closest associates. Under this circumstance of nepotism, family members form part of the institution's most right set of components and this tradition matches suitably to their concerns (Sidani and Thornberry, 2013. pp. 89). In their view, a corporate form which equivocates nepotistic deeds is not satisfying an essential element of organisation maintaining the needed partnership that is catering to the persons whose welfares are most vital-the household members (Kumar and Che Rose, 2010. pp. 91). Simply put, this denotes that family members in the Gulf region often trust that nepotism facilitates the gratification of their meanings institutions effectiveness and performance.

Ali, 2010. Pp. 696, contends that communities require massive quantities of pure trust and social capital to achieve prosperity (Ali, 2010. pp. 696). It is when the collapse of elementary organisations at a higher level turn out to be severe that household association undertake importance. This is a similar scenario when the governments convert to be lacking transparency or accountability and become arbitrary as well as when legal systems offer insufficient safety for private assets or contract application. The absence of supportive organisational structure leaves citizens with no choice but to depend on the family (Younas et al., 2017. pp. 239). Throughout much of the Gulf zone, indiscriminate societal trust, the readiness to prolong a degree of faith to individuals who are non-family members, is sternly limited (Pistrui and Fahed-Sreih, 2010. pp. 109). In such surroundings, it is objectively clear why the Gulf region people observe the dependence of household members in commercial matters and the preference for household members in acquisition primary posts.

Therefore, nepotism turns out to be entirely justifiable making practical sense; it is indeed a representation of government institutions which (historically) did not well develop. Beekun, 1997. Pp. 35, considers Gulf nations as, "countries which lack citizens" because of the substantial detach between the people and the government (Beekun, 1997. pp. 35). This has been in existence over time from the decades of political instability and hereditary rule which makes the citizens to not only depend on their governments and rulers but also rely on alternative organisations. The citizens recognise the hopelessness of their states and turn to other organisations as protection nets (Wilson, 2006. pp. 111). In the circumstance of the Gulf States, the safety nets get typified in the tribe or household members to which greater prominence gets connected than the government.

Laws and Regulations that Govern Nepotism in the Gulf States-Normative Approaches to Tackling Nepotism

Established Human Resource Policies among Different Mega-Corporate Societies

The Human Resource policies symbolise a portion of the normative configurations that are critical to initiating transformation. These entail guidelines that consider non-household members as well as their opinion regarding justice. Beekun and Badawi, 2005. Pp. 133, point out that firms with family dominance may have a positive effect on company performance if they possess an "enabling household control", a context where human resource exercises guarantee equality towards non-house members (Beekun and Badawi, 2005. pp. 133). While these exercises will still "entail built-in merits for household members" they would furthermore comprise of instruments which safeguard the welfare of non-household employees and managers. For instance, the Saudi Arabia's petrochemical giant SABIC, undertakes some the practices mentioned above in maintaining clear human resource policies concerning the firm's succession planning, remuneration as well as promotion operations (Hashim, 2010. pp. 789).

The transparency makes the non-household members of the firm find it easy to admit nepotistic exercises in succession formation upon the realisation that the precursor capitalised in developing the selected heir regarding knowledge transfer and leadership skills, all pertinent to the presumed post. Other human resource policies of SABIC comprise of clear work depiction which the firm emphasises that it must get respected, an exercise not commonly functional among the exclusive family companies in the Gulf region (Hashim, 2010. pp. 799).

Augmented attempts to inspire capacity building platforms by international non-profit organisations

An alternative approach which currently escalates the normative pressures within the Gulf region relates to attempts by the universal non-profit institutions as well as aptitude erection platforms such as the International Finance Corporation, Center for International Private Enterprise and the Global Corporate Governance Forum (Mellahi and Budhwar, 2010. pp. 685). At the domestic level, these initiatives get undertaken by the Regional-Centered Hawkamah Group in the Kingdom of Saudi Arabia and the National Steering Committee on Corporate Governance of Bahrain. These institutions among several other organisations conduct initiatives which exclusively serve the demands of mega-corporate groups, but, more fundamentally to the Gulf region, address concerns of appropriate administration for the upcoming or smaller household businesses (Mellahi and Budhwar, 2010. pp. 687). Handbooks together with books get issued, and best corporate exercises get reported to inspire a tradition of equal employment, hence developing a selection practice in which household members get encouraged to achieve a specific standard before contributing to their household business. Among the propositions created by these institutions is the necessity to establish a "family protocol or constitution" which highlights an agreed-upon approach for a member of the family participation in the commerce (Kasseem and Habib, 1998. pp. 72).

Criterions for succession and hiring also get addressed. Moreover, the organisationsemphasise on the need for the establishment of family councils or development of the board of directors of the family which is capable of overseeing practices concerning the appropriate performance and growth of non-family and family employees or reviewing the company's employment policies (Rice, 1999. pp. 355). These efforts are substantial in the sense that they help in the facilitation of overall normative setting.

Cognitive Approaches to Combating Nepotism

Dissemination of Hybrid Management Systems-Copying from other World Familiarities

In legitimising novel exercises, study reports indicate that compa...