ISBN:978-967-5770-41-8
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ISBN:978-967-5770-41-8
Issues and Challenging of Education System in Saudi Arabia
Lujain Ahmed Ehsan Mandourah*
UniversitiTeknologi MARA, Shah Alam
lujain_uitm@hotmail.com
Sarminah Samad
Universiti Teknologi MARA, Shah Alam
sarminasamad@gmail.com
*
Corresponding author
Managing Business towards Green Economy: Issues, Challenges, and Opportunities
ME265
ISBN:978-967-5770-41-8
Abstract:
Purpose: This study aims to highlight factors affecting the quality of education system in Saudi
Arabia as well as the organizations’ effectiveness. As these issues have risen because of the
number of unqualified Saudis in the workplace who are also not prepared to work in the private
sectors. Moreover, it is also revealed that the large and increasing percentage of expatriates is
not giving the opportunities for the local to get hired. However, it is also found that the workers’
qualification is related to the quality of education they have attained. Theses raising issues,
made the government to introduce an employing program “Saudization” for the organizations
to give the priority for the employing to the locals and graduates.
Design/methodology/approach: This is a concept paper representing the challenging faced
by the education system in Saudi Arabia using primary data and previous studies done by the
researchers about the education, labors, organizations and statistics in Saudi Arabia.
Findings: This paper suggesting a need for a framework to study the challenging and role of
education in Saudi Arabia and its effect to the organizations and employing system in Saudi
Arabia.
Originality/value: This paper aims to highlight current situation of the education system in
Saudi Arabia in the production of not only quality graduates, but also well-trained employees.
Other than that, this paper intends to highlight factors affecting the quality of education system
in Saudi Arabia as well as the organizations’ effectiveness.
Keywords: Quality of education, Saudi Arabia education, factors for quality education,
reducing expatriates in Saudi, Saudi Arabia.
Managing Business towards Green Economy: Issues, Challenges, and Opportunities
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ISBN:978-967-5770-41-8
1. Introduction
The rise of economy from public sector in the Kingdom of Saudi Arabia resulted in the increase
of demand for workers. From the total of Saudi population, more than 20% are expatriates, far
higher than the minimum percentage allowed. Consequently, this has resulted in a dilemma
related to unemployment among Saudi citizens. This dilemma has led to the call for
“Saudization”, which is established in the seventh development plan (2000-2004) by the
government to reduce the problem of unemployment among Saudis. However, as what usually
happens to many new systems, there are several problems that need to be given attention to.
One of the problems identified is the number of unqualified Saudis in the workplace who are
also not prepared to work in the private sectors. It is also found that the workers’ qualification
is related to the quality of education they have attained. Therefore, this paper aims to highlight
current situation of the education system in Saudi Arabia in the production of not only quality
graduates, but also well-trained employees. Other than that, this paper intends to highlight
factors affecting the quality of education system in Saudi Arabia as well as the organizations’
effectiveness.
2. Saudi Arabia Background
Islam was born in Saudi Arabia over 1400 years ago. Other than that, Saudi Arabia is also the
home to Muslim’s two holiest mosques. Masjid Al-haram, the first holy mosque is located in
Makkah, whereas Masjid an-Nabawi is in Medina. Following that, the King of Saudi Arabia is
officially known as the Custodian of the Two Holy Mosques. These two holy lands are the
centre of Muslims to gather and perform their Hajj and umrah (visit) every year
Managing Business towards Green Economy: Issues, Challenges, and Opportunities
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Hajj is the pilgrimage to Makkah make by Muslims from all over the world provided with they
are permissible conditions (Mohammad Asad & Henderson, 2005) physically, mentally and
financially at least once in a lifetime. Umrah, on the other hand, involves a visit to the holy
cities but with no limited period of time (Mohammad Asad & Henderson, 2005). International
pilgrims in both Hajj and umrah accounted for more than half of the total tourists in 2000
(Mohammad Asad & Henderson, 2005) and the figure accumulates vastly every year. As a
consequent, there is a real opportunity in tourism in Saudi Arabia not only because of the two
holy cities, but also other factors such as the growing youthful population, the increase in
education status as well as the rise in the disposable income (Telmesani, 2011).
The CIA World Factbook (2012) stated that the modern Saudi was founded in 1932 by King
Abd al-Aziz bin Abd al-Rahman Al-Saud (Ibn Saud) as a result of a 30-year campaign to bring
most of the Arab Peninsula to unity. This has brought changes to its geography, as well as
demographic feature. Even its economic resources have gone through major and multiple
transformation, from the reliance on the tourism, to the production of oil, and the innovation
of public sector that encourage entrepreneurship among local residents.
Saudi Arabia encompasses 2.8 million square kilometres of area, and its population was
approximately 27.136.977 in 2010. Its capital city is Riyadh and its currency is Saudi Riyal
(SR). English is widely spoken in business circles but the official language of Saudi Arabia is
Arabic and Islam is the main and formal religion in the Kingdom. The government rules the
Kingdom based on Islamic principles.
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The legal system implemented in Saudi is known as Islamic Sharia. This principle influences
social custom of the people. The Kingdom of Saudi Arabia is a member of several international
assemblies such as the Gulf Cooperation Council (GCC), United Nations, League of Arab
States, Organization of the Islamic Conference (OIC), and Organization of Petroleum
Exporting Countries (OPEC). It is also associated with many international organizations,
including the World Bank, the International Monetary Fund, and the World Trade Organization
(WTO), and is a signatory of the Nuclear Non-Proliferation Treaty (Royal Embassy of Saudi
Arabia, 2012).
3. Economy of Saudi Arabia
One of the meaningful and biggest histories in Saudi Arabia is the discovery of oil on the 3rd
of March 1953. The Kingdom has since transformed from a purely trade-based economy to the
largest exporter of petroleum in the world (Communicaid Group, 2009). This economic
strategy helped Saudi Arabia in creating a greater industrial base and opened up the country to
the global business world (Global Research Economy – Saudi Arabia, 2012). In 2010, Saudi
Arabia was declared as the first country to produce 10,520,000 barrels of oil per day (CIA
Factbook, 2012). However, the economic growth in Saudi Arabia is facing a solemn
descending inclination from 6.8% in 2011 to 3.1% in 2012. This is probably because of the
current oil production rate which shows that oil reserves in the country are predicted to last for
only another 90 years (Royal Embassy of Saudi Arabia, 2012). The government of Saudi
Arabia has started to take a big step to recover its economy not only for the Kingdom, but also
for the people. The government works hard in shifting the Kingdom’s free market economy
from an oil-based to other economy resources. The focus is on the global economic powers,
infrastructure development, as well as the promotion of public sector (Global Research
Economy – Saudi Arabia, 2012).
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The private sector has come to increasingly important role in the Saudi economy as it accounts
for 48% of the gross domestic product (GDP) (Royal Embassy of Saudi Arabia, 2012).
Consequently, the economy experts anticipated that the government will be allocating more
expenses on the non-oil sector in the Kingdom to help recovering the future economy. This
notion is supported by various studies reporting that Saudi economy is fast growing in global
economic, regional political risks and private sector (Gamble, 2011).
3.1 Expatriates, Unemployment and Saudization - in Saudi Arabia
In 2012, the Kingdom has recorded slight increment in the number of employed population
among Saudis from 2011, but the number has definitely increased vastly from 2007. 2013
Euromonitor International reported the percentage rate of unemployment in 2012 at 5.1% from
5.7% in 2007. However, the percentage is based on the total number of population that shows
important growth every year. The youth population in the Kingdom is recorded at 3.9 million
in 2009 (Ninth Development Plan, 2010-2014). This has led to the focus of Saudi government
in employment issue mainly in providing sufficient opportunity to its large youth population.
Around 28.2% of the youth in the Kingdom are aged from 15 to 24. From the total, 23.6% are
males and 45.8% are females (The CIA World Factbook, 2008).
Regardless the high percentage of young people among the locals, there is a serious shortage
of skilled human resources, but at the same time the Kingdom is facing a high unemployment
rate especially among the graduates (Akeel, 2003; Elmaghraby, 2011). Moreover, according to
the Ministry of Labour in Saudi Arabia, the large and increasing percentage of expatriates (8.8
million in 2009) is also an increasing concern of the government (Al-Husseini, 2009). The
increasing number of foreign workers shows that the Kingdom’s economic development
depends a lot on the expatriates. This particular issue with the high rate of unemployment have
led the government embark on the introduction and implementation of Saudization program.
Saudization is engaged as a mean to decrease and minimize the number of expat workers. Other
than that, it is hoped that the implementation of this program help the government in its attempt
to reduce the amount of money being remitted to other countries other than to highlight the
unemployment problems in Saudi Arabia (Al-Mulhim, 2011).
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According to the Arab News, a Saudi daily, a spokesperson of the Ministry of Labour reported
that it is important to make sure the number of long-term expatriates in the Kingdom does not
exceed 20% from the total of Saudi population. This important movement, according to Adel
Fakih, the Saudi Labour Minister, will help to make sure that unemployment rate among Saudi
nationals decline by 50% within the next three years (El-Shenawi, 2011).
The unemployment rate is directly related to education, and education is directly related to
economy development of the Kingdom. As the status of education in Saudi Arabia has started
to rise, hence the special attention provided by the Ministry of Education and the Saudi
government in general (The Ministry of Education, 2004). The provision of education to Saudi
locals should be able to cater the needs for experts in various areas of available industries in
Saudi Arabia (For Profit Education in GCC, 2010) provided with ample of opportunity by local
and foreign employees in Saudi.
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4. Education in Saudi Arabia
Traditionally, education in Saudi Arabia was restricted only to reading, writing, and reciting of
the Qur’an with higher education only in religious studies existed in the main cities of the
Kingdom. However, Saudi Arabia’s education system has gone through massive
transformation towards the end of nineteenth century. A few private schools started to offer
non-religious subjects in their academic but this could only be found in some of the larger
towns. In 1930s, government-sponsored education began but still in 1932, education was only
made available to the children of wealthy families living in major cities. Education at the time
required a lot of money. The education system has gone through massive improvement
following the Kingdom’s economic transformation. In 1957, the first university that does not
only offer religious programs was opened. In 1964, the government started to provide
education for female populations. Besides that, the government was keen to establish education
system through the development of education plans in throughout 1970s to 1980s. As a result,
the literacy rate among Saudi men and women increased tremendously between 1970s and
1990s from 15% of men and 2% of women to 73% and 48% respectively. Currently, Saudi
Arabia has 24 public and eight private higher institutions, 25,000 schools and several colleges
and other institutions for education (Royal Embassy of Saudi Arabia, 2012).
The education system in Saudi Arabia is under the management of three agencies namely the
Ministry of Education, the Ministry of Higher Education, and the Technical and Vocational
Training Corporation. 51.4% of schools in Saudi Arabia are managed by The Ministry of
Education. Besides that, the ministry is also managing 3.4% of the General Presidency and 6%
of other public institutions (Ministry of Education, 1992). The Kingdom’s education system
emphasizes Islamic education for every child. They are also practicing centralized educational
systems. One thing that can only be found in Saudi Arabia and not in other nations is the
segregation between men and women especially in education system, and this is also practiced
in other places in Saudi such as shopping mall and restaurants. In Saudi Arabia, there are
universities only for men and others are only for women students (Saudi Arabia - Educational
System—overview).
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The Saudi Arabia government pays special attention to provide education for groups of gender.
According to Department of Information Technology report, a total of SR83, 614, 802 was
allocated for the Ministry of Education in 2009-2010. A sum of SR41, 102, 532 from the total
was used to fund Saudi males’ education and another SR42, 512, 270 was for females’
education fund, in 2009 its allocated 25percent from the total budget (Mohammed, 2013). The
budget allocation for education purposes in Saudi shows that the government is giving more
attention and focus to its development especially for the locals.
The education system in Saudi Arabia is divided into three stages. Early formal education starts
with elementary level involving children aged from six to 11. Each child will go through a sixyear elementary education before they are eligible to go to intermediate level. Intermediate
education starts at the age of 12 until 14 and each child will do intermediate level for three
years.
Finally, before students are qualified to further in the higher education, they will have to
complete secondary level for three years starting from the age of 12 to 14. As stated by Saudi
Arabian Cultural Mission, students at secondary level are required to choose one from two
major streams, which are, 1) Regular Secondary Education; 2) Vocational and Technical
Secondary Education.
Managing Business towards Green Economy: Issues, Challenges, and Opportunities
ME265
ISBN:978-967-5770-41-8
The Ministry of Education in Saudi Arabia did not stop their education development program
at the national level as they also have program designed for Saudis living abroad and it is also
opened for non-Saudi Muslim students. 5,000 students were registered with Saudi schools
abroad at various levels in 2002 with more than 600 teachers trained and under the supervision
of the Directorate-General of Saudi Schools Abroad under the management of the Ministry of
Education. There are Saudi schools in Austria, Great Britain, Germany, Russia, France, Spain,
Italy, Turkey and the USA. Definitely there are also Saudi schools in various Muslim countries
such as Morocco, Malaysia, Indonesia and Djibouti (The Saudi Arabian Information Resource,
2002). The government takes it as their responsibility to provide as much religious education
opened for other Muslims worldwide.
4.1 Education performance in Saudi Arabia
In Saudi Arabian society, performance is regarded as the most important aspect of people’s
work life. In the industry, individual’s performance is essentially measured in terms of how
well he or she contributes for the success of an organization. His or her performance is also
measured based on the ability in achieving goals (Shaw, 2009). Similarly, students’
performance is also measured in almost the same way it is assessed in the workplace. In either
places or environment, good performance refers to the accomplishment of the goals and
policies of the educational system. However, although performance assessment shares the same
meaning and methods of measurement in industrial and education sector, but they do not share
the same input and output. In the latter sector the input is the academic and education resources
provided for every student. The output from education sector is the skilled and knowledgeable
graduates (Al-Turki, 2002). According to Al-Turki (2002), the performance of the graduates
could be used to assess the quality of education and academic resources although not entirely,
but at least part of it. Academic organizations are responsible to make sure the accomplishment
of their objectives which are to effectively implement educational plans and goals, as well as
to successfully produce skilled and highly qualified human resource that are ready to serve
their workplace and society (Al-Turki, 2002).
Managing Business towards Green Economy: Issues, Challenges, and Opportunities
ME265
ISBN:978-967-5770-41-8
4.2 Factors Affecting the Education System in Saudi Arabia
The Saudi government has allocated a huge amount of funds and budget for the expenditure
related to education sector. Nevertheless, there are certain barriers to the development of this
system that need to be addressed effectively and efficiently. According to Khan (2012), the
common barriers in education include factors such as linguistic barrier, motivation of the
students and the teachers. The researcher added that other factors that contribute to the barrier
are the conflicts in understanding and playing successful teachers’ role, as well as the
development and execution of characteristics, strategies, training and professional
development for both learners and teachers as a motivation booster. In addition to the barrier,
Baki (2004) emphasized on the consequence of the limited and poor English language skills
among the young and adult learners in Saudi Arabia as one of the reasons for their below
standard performance. This is supported by Khan (2012) who stated that the language barrier
involving the use and command of English was identified as the issue that contributes in the
great consequence in Saudi Arabia education system. The situation has got worse because
teachers who are responsible to teach English are not adequately trained with appropriate and
high-standard English. Consequently, this resulted in ineffective teaching which then leads to
poor performance of the students (Baki, 2004). Unfortunately, majority of educators and
teachers in Saudi Arabia are not interested in undergoing advanced training and development
(Khan, 2011), thus, their own performance could not be improved any further. Therefore, Khan
(2012) suggested that the failure of the students in achieving the educational targets could be a
result of the failure of the administrators and policy makers in dealing with the barriers within
the educational system. The researcher recommended education agencies in Saudi Arabia to
take on various plans and actions in attempt to minimize the recognized barriers. Other than
the weak education system and management in Saudi Arabia, Al-Adwan (2012) said that the
socio-culture scenario in the country could also strongly affect the education system and the
learning culture of the people. Al-Rashdan (n.d) concluded that a positive culture, effective
policies, and a sound economy could lead to positive learning outcomes.
Managing Business towards Green Economy: Issues, Challenges, and Opportunities
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ISBN:978-967-5770-41-8
In his report, Rashdan also mentioned that a serious problem in the education system of the
Arab world is the separation of the society environs and education. The education system and
society are supposed to be interrelated. However, since the education system is controlled by
the government in the Arab world, educational organizations have limited control over their
policies, which affects the education performance, and therefore, academic performance. As it
is well known, government-controlled education systems are very sensitive, as those in charge
can enhance, revise and evaluate success factors that indeed contribute to the production of
high quality academic systems and highly skilled graduates (Al-Rashdan, NA; Jalil, 2009).
Education in Companies and Business Organizations
There is no doubt that knowledge has its own significance role in individuals’ and
organizations’ development. In various companies, Knowledge Management is known as an
approach for employers to seek for effective ways in improving organizational capabilities to
stay competitive. As stated by Zack (1999), Knowledge Management in organization is
regarded as effective strategic assets for both long-term and short-term development.
Organization learning literature has highlighted several importance of knowledge in the
learning process and outcomes (Schulz, 2001). The growth of an organization requires massive
and in-depth attention to the management of knowledge (Maier, 2002). However, tools in
Knowledge Management are not perceived as a substitute to knowledge, but they are used to
deliver data and information effectively to the right person (Spiegler, 2000).
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Knowledge Management, according to Newman (1991) is the integration of a number of
processes starting with the creation, dissemination, and knowledge operation. Knapp (1998) in
the later discovery viewed Knowledge Management as a “strategic and systematic approach to
capitalize on what an organization knows.” On the other hand, other researcher (Bontis, 2001)
listed a longer list of processes in the management of knowledge, such as; knowledge
identification, knowledge acquisition, knowledge development, knowledge sharing and
distribution, knowledge utilization, as well as knowledge retention.
Soon (2011) identified relationships between individual knowledge and Knowledge
Management in order to achieve the objective in the development of the information
technology. However, the researcher (Soon, 2011) also mentioned about the lacking in
Knowledge Management in the early 2000s but many developed and developing countries have
slowly improved in that particular area. However as in Saudi Arabia, Knowledge Management
is a new concept that is still at its introduction and testing level. Nevertheless, it is a relief
knowing that the authorities in education sector are showing a great interest in improving the
current state of Knowledge Management in education (Al-Hussain, 2012). Al-Hussain (2012)
added that other than interest in Knowledge Management in education, they are also showing
a great attention in the development of research and government sectors. In government sector,
one of the main challenges faced by government superiors is knowledge conservation and
dissemination to improve public services (Sinclair, 2006). Nevertheless, neither government
sector nor private sector should ignore the importance of Knowledge Management to bring
their organizations up and stay competitive at national and international level.
Following that, there have been several seminars conducted in the area of the Knowledge
Management. In one of the seminars titled Knowledge and Information Community, Dr.
Khaled Alsabti mentioned that in the attempt to provide improvement in Knowledge
Management in Saudi Arabia, there are some barriers that need to be addressed effectively. Dr.
Khaled Alsabti named poverty, literacy, weak infrastructure, and lack of international IT
cooperation in the lists of barriers, while other speakers in the seminar emphasized on the need
of creating the knowledge and technology in the Arab world as the source of the development
and innovation in the Arab region for Arab people.
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Besides barriers in Knowledge Management, there are also barriers in the process of learning
in the Kingdom of Saudi Arabia. Al-Hussain (2012) listed the lack of training among learners
and educators, disability, lack of opportunity and low motivational level to carry out knowledge
sharing, as well as no motivation to continue the learning process as the main challenges faced
by education sector in Saudi Arabia. Other than that, there is also minimum support in
organization culture for continuous learning, as well as the absence of skills in knowledge in
organizational management and resources, as well as organizational skills and unclear learning
objective and goals among individuals in both professional and semi-professional environment.
5. Conclusion
One of the obvious dilemmas in the business world is the effectiveness in the performance and
competitive advantage of the companies. In this paper there are highlighting issues in the
education and business world in Saudi Arabia. These issues including the graduates and their
knowledge, practices and skills are basically the most affecting factors to the business in Saudi
Arabia. Therefore, there is a need for a framework to study the success for those organizations
that contributed with their human capital and graduates. However, scholars have mentioned
that human capital is including the experience, aptitudes and knowledge of people; also include
their inclination to share these qualities with the organization to create value. Therefore, in
Saudi Arabia there is a need to emphasis more in the human capital practicing and quality and
their contributing to the business performance effectiveness. As well as the quality of the
graduates and the development of the knowledge management is also needed.
Managing Business towards Green Economy: Issues, Challenges, and Opportunities
ME265
ISBN:978-967-5770-41-8
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