Exploring the employees’ views and experiences on the contribution of foreign direct investment on knowledge and skills transfer at Diamond Namibia, Windhoek

Abstract

This study explored the views and experiences of employees at Diamond Namibia, Windhoek. The study focused on the influence and impact of Foreign Direct Investment on the transfer of knowledge and skills. Foreign Direct Investment is seen as a critical driver of economic development in many emerging economies, often leading to knowledge and skills spillover effects. However, limited research has examined the specific perspectives of employees within the context of a Namibian gemstone enterprise. This study explored the employees' views and experiences regarding the contribution of Foreign Direct Investment to knowledge and skills transfers at Diamond Namibia. The study used a qualitative case study design which allowed in-depth investigations of a single entity. This study used non probability sampling in a form of heterogeneous purposeful sampling. Fifteen (15), employees participated in this study. Data was collected by using face-to-face semi structured interviews. The study reveals that Foreign Direct Investment plays a significant role in knowledge transfer at Diamond Namibia. Employees recognised the value of FDI in bringing new expertise and technology to the company. The findings highlight that FDI might lead to the overall stability of the Namibian economy. The findings of the study indicate that FDI contributes to knowledge and skills transfer. The company should implement mentorship programs that pair experienced employees, both local and foreign, with newer employees. This could facilitate the transfer of tacit knowledge, provide guidance, and foster relationships that enhance knowledge and skills transfer. The study recommends that, the understudy should be made mandatory by the government for smooth transfer of knowledge and skills by passing legislation or regulations that require organisations, particularly those receiving significant benefits from government support or foreign direct investment, to establish mandatory understudy programs as a condition of their operation. The study was limited to a narrow segment of the total population of fifteen (15) employees who participated in this study. The researcher experienced some difficulties in getting the target population as most of them insisted on denying the researcher access to generate data from their respective companies. The study findings indicated that the mechanisms through which knowledge and skills transfers occur are multifaceted. Collaborative efforts, training programs, and knowledge-sharing platforms facilitated by foreign investors have been instrumental in fostering a culture of continuous learning and skill development within the organisation. Therefore, for future study, it is important to include the government because the government is critical in decision-making processes, as well as in the implementation of rules and regulations. In addition, the researcher recommends an analysis on the impact of FDI on growth. The study is different from the previous ones as they have used the quantitative research paradigm. Moreover, the previous reviewed studies were not properly contextualized in terms of ontological and epistemological aspect compare to this study, hence, the uniqueness of this study.