Examining the Role of Skills Development in Enhancing Strategic Competitiveness in Zambia's Manufacturing, Mining and Agriculture Sectors

Abstract

This study examines the role of Skills Development in enhancing strategic competitiveness Zambia’s manufacturing, mining and agriculture sectors, a nation striving for economic diversification amid globalization and technological shifts. Organizations increasingly depend on workforce skills, knowledge, and adaptability to sustain a competitive edge. The study identifies Skills Development as a pivotal driver of innovation, employee engagement, and market responsiveness in this context. Using a mixed-methods approach, data was collected from 20 companies across mining, agriculture, manufacturing, and services via surveys and interviews. Quantitative results show 72% of surveyed companies conduct training programs regularly, although large firms employ structured, strategic approaches, while SMEs rely on reactive, ad hoc methods. Regression analysis highlights training investment as a critical predictor of strategic competitiveness (B = 0.45, p < 0.001), accounting for 48% of performance variability. Strong positive correlations were observed between training investment, innovation capability (r = 0.78), and employee engagement (r = 0.70). Qualitative findings corroborate these insights, emphasizing Continuous Human Capital Developments (CHCD) role in innovation and adaptability. Despite its benefits, CHCD faces significant barriers, including financial constraints (cited by 65% of respondents), skill mismatches (42%), and inadequate infrastructure. These challenges disproportionately affect SMEs, limiting their ability to leverage CHCD effectively. The study concludes that structured, strategically aligned Skills Development initiatives significantly enhance competitiveness. It recommends public-private partnerships, financial incentives for training, and stronger alignment between educational curricula and market demands to overcome these challenges. These measures are critical for unlocking Zambia's economic potential and achieving sustained organizational competitiveness. Keywords: Continuous Human Capital Development, Strategic Competitiveness, Innovation, Employee Engagement, Organizational Performance