Assessment Practices and Skills Management in Tunisian Banks

Assessment Practices and Skills Management in Tunisian Banks

Sofiane Founès¹, Sami Boudabbous²

¹Doctor, University of Sfax, Faculty of Economics and Management, Tunisia

²Professor, University of Sfax, Faculty of Economics and Management, Tunisia

DOI: https://dx.doi.org/10.47772/IJRISS.2025.914MG00134

Received: 03 August 2025; Accepted: 09 August 2025; Published: 05 September 2025

ABSTRACT

This paper focuses on the recruitment and evaluation practices and challenges in the Tunisian banking industry, where they play a significant role in the sector’s activities, particularly in the context of an increasingly international job market. It conducts an exploratory factor analysis to reveal the significant determinants of the successful recruitment of skills, using SPSS software. The study begins with a review of the literature, summarizing significant findings made by earlier researchers regarding the skills required of bank employees. It has been demonstrated that prior systematic assessment techniques improve individual performance by matching candidates with the skills required for specific tasks.

The work examines the connections between different recruitment approaches and their results, noting patterns such as the rise of digital competencies due to technology and customer demands, as well as retaining and resourcing as key factors. The research offers pragmatic recommendations to enhance assessment frameworks by linking theoretical concepts to practical implementation, providing two lines of action for Tunisian banks. It provides these findings to make recruitment processes smooth and offers strategic insights into how to match human resources with the organization’s objectives, given the global competition. The main objective of the study is to contribute to creating a more effective and loyal workforce, enabling the Tunisian banking sector to cope with the changing environment..

Keywords: Exploratory factor analysis, Human capital, Skills assessment, Recruitment, Employee development, Performance metrics.

INTRODUCTION

In Tunisia, with changing trends in banking and finance, there is an urgent need to rethink the selection and recruitment practices of banks, which is essential to human resource strategic management. Since banks are focusing on developing a workforce able to adapt to the changing market, the need for strong recruitment systems has become pertinent. Research shows that the right assessment methods are a magnet for talent and help keep it around to face present and future challenges (Radanliev et al., 2024).

Moreover, new hiring technologies prompt banks to adopt data-driven approaches, enhancing efficiency (Kallmuenzer et al., 2024). Using Exploratory Factor Analysis with SPSS Software: Insights into Recruitment and Assessment Strategies in the Tunisian Banking Sector. Finding important indicators of successful hiring, like applicant sources and evaluation methods, has been made easier by this statistical tool, which has made it possible to comprehend the relationships between various approaches more clearly (Chan CKY et al., 2024).

Such a review can help in comparing these approaches with international best practices which help in enhancing organizational efficacy transcending contextual limitations (Tian et al., 2024; Maseke BF, 2024), .This informative analysis also illuminates weaknesses in existing practices or policies, allowing for a continuous improvement approach towards talent management.. Research consistently shows the link between effective recruitment practices, enhanced organizational performance, and employee satisfaction (Addy WA et al., 2024).

In Tunisia’s competitive banking environment, banks must implement assessment tools that align with their objectives, such as psychometric tests and structured interviews, and effectively predict job performance (Tula ST et al., 2024). Banks can maintain their competitiveness by ensuring a unified approach to talent acquisition by tying recruitment tactics to more comprehensive skill management plans (Paul et al., 2024).

This alignment between recruitment and skills management presents challenges and opportunities, necessitating adaptation to Tunisia’s unique economic, cultural, and regulatory contexts (Naqbi HA et al., 2024).Banks may need to create recruitment strategies that reflect local values (as these are innate due to cultural factors) while serving the organizational objectives the organization aims for (Carliss Y Baldwin et al., 2024)

As a result, this logic has required conducting local research in order to tailor human resources systems practices in the case of the banking sector in Tunisia. Finally, its contribution to the academic thought in HR management in Tunisia via exploratory factor analysis of recruitment and assesment practices call to action. It translates into practical benefits for banks which need to build on their ability acquisition methods. Such practices are systematical exploratory with SPSS, insights are strategy information, based on that the bank has a strategy do better (Maulana et al., 2025). As the banking sector evolves, such research becomes increasingly vital, ensuring banks are equipped to attract and develop the necessary talent for future challenges.

LITERATURE REVIEW

It is important to look at what is already out there to understand how recruitment and assessment work in Tunisian banks, especially when using exploratory factor analysis. Many studies indicate that aligning recruitment with the company’s goals is key for a more effective workforce. Successful recruitment, for example, depends a lot on how well the assessment methods can predict job success, which is backed up by research linking good recruitment with better organizational results (Radanliev P et al., 2024; Kallmuenzer A et al., 2024).

We cannot forget the cultural and economic environment where all this happens. In Tunisia, several experts suggest that socio-economic factors shape recruitment, meaning traditional methods need tweaks to get the HR outcomes you are after (Chan CKY et al., 2024; Tian W et al., 2024). One big idea in the literature is competency-based recruitment. This is about assessing candidates based on the specific skills and competencies they need for banking jobs. Studies show that banks using this approach are more efficient at hiring and keeping employees longer, leading to a more stable workplace (Maseke BF 2024; Addy WA et al., 2024).

Additionally, research supports using behavioral assessments in recruitment because they predict job performance and how well someone will fit into the company culture (Tula ST et al., 2024; Paul J et al., 2024). This focus on psychological assessments marks a notable move away from old-school recruitment, towards a fuller picture of the candidate. This is particularly helpful for industries like banking, where customer service and relationship management are super important.

The literature also shows that technology, particularly software like SPSS, is important for improving recruitment metrics and assessments. Several studies push for using data-driven methods in recruitment, showing how statistical analysis can help us understand the workforce better and make smarter decisions (Naqbi HA et al. 2024; Carliss Y Baldwin et al., 2024). For Tunisian companies, bringing in this kind of technology is seen as essential for modernizing recruitment and staying competitive in the banking sector, which has not always been quick to adopt these innovations (Maulana A et al., 2025; Subedi M et al., 2024).

Plus, training and development as part of the recruitment plan is highlighted in a few studies, which argue that managing skills over time is key to a resilient workforce that can handle the changing demands of the finance world (Norma G Salise, 2024; Karen R Johnson et al., 2024). It’s interesting that recent research appears to be moving toward strategic HRM, emphasizing how these approaches can alter hiring and evaluation practices to better fit the mission and objectives of the business. Research suggests that companies using strategic HR practices tend to have a workforce more in tune with what they are trying to do, leading to better performance and new ideas (Nguyen LQ et al., 2024; Nguyen QL et al., 2024).

This strategic approach to recruitment helps individual companies and the Tunisian banking sector as a whole. To wrap up, the literature gives us a broad view of recruitment and assessment in banking, covering both the old ways and the new approaches that use data analytics and behavioral assessments. As the financial scene in Tunisia changes, understanding these practices through careful exploratory factor analysis will give us valuable insights into how well current systems are working and where we can improve.

By linking theory with real-world evidence, this study hopes to help improve recruitment and workforce management strategies, which will ultimately support the long-term growth of the banking industry in Tunisia (Naja WAR et al. 2024; Chang Y et al., 2024; Ali H Al‐Hoorie et al., 2024; Alamsyah MI et al., 2023).

Definition og concepts

From employees abilities matching the goals of the company, recruiting and assessment processes in the Tunisian banking sector are known in pitching. Recruitment is an organized scheme to source and hire individuals possessing required competencies, improving the effectiveness of the company and obtaining a competitive edge. One sure way to prepare to improperly recruit is by imprecisely identifying what you need. Assessment on the other hand characterizes the candidates for there skills and cultural fit through traditional interviews and modern methods such as situational tests, reducing the hiring risk and increasing retention.

IGiven Tunisia’s distinct regulatory climate and socio-economic landscape, recruitment should be focused primarily on technical capability, customer service, and regulatory adherence. Well-executed recruitment and onboarding allows employees to focus on what they do best! But, skills management —managing skills— is critical to managing the present and future needs of the organization, and establishing a culture of continuous development.

Recruting, evaluating, and managing skills — the bonds — all demand an integrated HR strategy. By using these types of strategies, organizations are more able to adapt to changes in the labour market. With the importance of having a data-backed method of recruitment and analysis of information in a changing economy, recruitment analytics create a systematic and scientific method for hiring candidates, helping businesses develop a skilled workforce that can sustain the banking sector’s complexities.

Search variables

In Tunisia’s banking sector, the banks need recruitment practices that focus effectively on managing a direct employee, which would affect the employee growth and retention (Dauda et al., 2014). Studies show that finding the right candidates is essential for the skills development of employees in organisation with the strategy of recruitment with organisational goals. The banks can clearly define the profiles of candidates that they are looking for and the criteria to select them, attracting skilled individuals that will highlight its workforce’s proficiency. Continues where we need a rigorous assessment eviction of their skill and cultural fit in the business. Combining quantitative and qualitative evaluation techniques will guarantee that the skills being measured are appropriate for the bank’s requirements.

Organizations can create a competent talent pool by giving candidates’ professional backgrounds, academic credentials, and soft skills top priority. Good recruitment practices not only effect assessment strategies but also operate in ways that allow accurate measurement of candidates competencies. This connection highlights the need for financial institutions to continuously adjust their hiring and evaluation methods to create a highly qualified workforce and improve company success. Implementing an integrated recruitment and assessment methodology is crucial for ensuring sustainable skills management in the banking milieu in Tunisia, thus making it possible for organisations to respond to the market shifts and grow a group of staff that can tackle the challenges of a fast changing financial ecosystem. The variables in our model are summarized in the table below:

Table 1 Model variables

Note. This table captures each variable’s essential elements and significance in the context of skills management in the banking sector.

Empirical Research and Hypotheses Development

This study investigates recruitment and assessment practices in Tunisia’s banking sector to enhance understanding of effective human resource management. Three main hypotheses are tested in this study using exploratory factor analysis with SPSS:

H1: Candidates with the appropriate competencies through efficient recruitment improve organizational skills management as a whole.

H2: Strong assessment practices not only help in choosing the right candidates but also encourage continuous skill development among employees.

H3: illustrates that hiring and evaluation processes are positively related, indicating that good hiring practices improve evaluations by matching applicant attributes with organizational needs.

This study seeks to verify the hypotheses, contributing by testing the established concepts and discussions concerning talent management into the context of Tunisian banking sector. The conclusions are anticipated to offer practical insights for banking practitioners, helping them refine their strategies in a rapidly changing landscape, ultimately contributing to the academic discourse on improving recruitment and assessment practices.

Table 2 The hypotheses of our studies

Note. This table captures the three hypotheses related to this research study.

RESEARCH METHODOLOGY

Addressing recruitment and assessment in Tunisian banks requires a reliable research approach for valid results. This study used a quantitative method, distributing 300 questionnaires to banking experts and HR managers to gather diverse opinions on recruitment practices (Radanliev P et al., 2024; Kallmuenzer A et al., 2024). Data analysis was conducted using SPSS, verifying its suitability for exploratory factor analysis (EFA) with KMO and Bartlett’s test, indicating readiness for deeper analysis (Chan CKY et al., 2024; Tian W et al., 2024).

The EFA employed principal component analysis to uncover relationships in HR practices (Maseke BF 2024; Addy WA et al. 2024). Factors were refined with Varimax rotation, focusing on significant variables with communalities above 0.5. Reliability was assessed via Cronbach’s alpha, with a standard threshold of 0.70 (Paul J et al., 2024; Naqbi HA et al. 2024). As noted in the body of existing HR measurement literature, this rigorous methodology guarantees consistency across contexts and increases the credibility of findings (Carliss Y Baldwin et al., 2024).

Correlational techniques also investigated the relationships between factors derived from EFA, providing some information about recruitment practices in the Tunisian banking industry (Maulana A et al., 2025; Subedi M et al., 2024). The complexity of recruitment methods is successfully disentangled by use of EFA and thus complemented by correlation analysis. Such approaches offer better understanding of the culture and thus help banking professionals to amp up HR strategies. This has implications beyond the academic and presents with practical guidance that could be utilized to improve recruitment in Tunisia.

Ultimately, this detailed research establishes a foundation for intelligent conclusions and underscores the importance of robust analytical frameworks in HR research (Norma G Salise, 2024; Karen R Johnson et al., 2024; Nguyen LQ et al., 2024; Nguyen QL et al., 2024; Naja WAR et al., 2024). This study enriches existing knowledge and paves the way for further investigation into recruitment and assessment across various contexts (Chang Y et al., 2024; Ali H Al‐Hoorie et al., 2024; Alamsyah MI et al., 2023).

The questionnaire

On the one hand, this research aims to develop a questionnaire in relation to recruitment and talent assessment practices within the banking sector in Tunisia. It draws on important aspects from the literature review in identifying competencies, organizational fit, and effective selection methods that are associated with effective recruitment. The questionnaire discusses a number of topics pertaining to Tunisian businesses and public perceptions of hiring practices after reviewing the most recent research. It also incorporates a Likert-type scale for evaluating satisfaction and agreement, which improves the caliber of the information gathered. A pilot test with industry experts refined the questionnaire by clarifying ambiguous questions and removing redundancies while ensuring coherence. Demographic questions allowed for segmented analysis based on job roles, experience, and education levels.

Ethical considerations were prioritized through informed consent, maintaining participant integrity, and encouraging honest feedback. Combining closed and open-ended questions broadened data collection and provided qualitative insights. Post-collection, SPSS analyses revealed variable relationships, contributing to understanding HR practices in Tunisian banking, aligning with strategic HRM objectives, and potentially influencing recruitment policies and practices in the future.

Sample selection

The selection of a representative sample is essential for credible research and this study aims to analyze recruitment and assessment practices in Tunisian banks. Banks of varying size were assessed to account for recruitment varying with bank size and operations through stratified sampling. The employees included in the sample consisted of HR and recruitment employees, and a survey was shared with 200 employees with a response rate of 70%. Such deep engagement led to a variety of experiences as managers and at professional level as officers, giving a very useful qualitative set of data.

Addressing the geographical diversity, both rural and urban banks were included in the study. This line of research supports the emphasis in the literature on the importance of context for HR practices. With more than 140 usable questionnaires, the study conducted exploratory factor analysis using SPSS to meet the required sample size. The completed dataset will expose conventional recruitment processes and evaluation methods providing practitioners and researchers with both theoretical and practical exposure. In the context of evolution within the banking sector, this knowledge will serve as a guideline for future recruitment and skill management practices, increasing the trustworthiness and authenticity of findings within the Tunisian banking situation.

Table 3 Summary of the questionnaire

Data collection

Data collection is crucial for practical exploratory factor analysis (EFA), especially regarding hiring and assessment practices in Tunisian banks. The research employed a carefully designed questionnaire to gather both quantitative data and qualitative insights from a diverse set of banks and related businesses. This approach ensured a comprehensive understanding of hiring practices and included a pre-test of the questionnaire to refine its effectiveness. Our data collection strategy using a combination of online methods (emails and LinkedIn) with younger professionals and in-person methods for older management ensured a degree of representation of the industry to which the participants belonged, while being respectful of ethical principles regarding confidentiality and autonomy of the participants.

We cleaned the data cleans to amend errors and handle missing data after a significant amount of responses. Such in-depth preparatory process has enhanced the factor structure validity of the research, thereby enabling analysis through SPSS software. The findings of this research aim to provide an understanding of the elements that contribute in the process of hiring and evaluating, which can help Tunisian companies to provide better human resource directions to cope with competition in the banking sector. This study highlights the importance of data collection practices as the basis of substantive organization studies.

The descriptive statistics

The descriptive statistics in demographic areas including age, gender, education and work experience provide insight into recruitment in the Tunisian banking sector. Such statistics play a vital role at the level of recruitment style, selection regulations and assessment techniques with relation to the enormous banks in Tunisia. Simple averages for average age and education attainment highlight posting practices and capture the skill profile. In data, which justifies the unpredictable hiring practices of different banks, with some reverting back to age-old methods and some evolving to newer ones.

These statistics should be kept into consideeration while conducting exploratory factor analysis. It highlights trends influenced by the labor market and economy and offers insight into recruitment and assessment forces. Rapid technological advancements in banking are correlated with an increase in technical talent, which suggests that the hiring strategy needs to change.

These statistics go on to matter in letting policy makers and HR managers know the wider consequences of hiring strategies. Identifying trends related to age and/or experience allows training programs to be designed that address skills shortages, and will direct the workforce toward meeting economic objectives. In short, the relationship between descriptive statistics and recruitment demonstrates how evidence-based decision-making is critical to the continued stability and competitive advantage of Tunisian banks in the long term. Overview of statistics delivers the basics recruiting information that is useful both for academic discussion as well as practical matching of employees to the organization goal. The table below shows the results of the practices.

Table 4 The Results of the Practices

Note. Descriptive Statistics of Recruitment and Assessment Practices in the Tunisian Banking Sector.

RESULTS

Important new information about employee management was uncovered by the examination of hiring and assessment practices at Tunisian banks. Three main elements of hiring practices were identified through exploratory factor analysis using SPSS: external hiring sources, organizational compatibility, and skills assessments. Notably, skill-based evaluations were identified as crucial, aligning employee abilities with company objectives, which previous research supports as a predictor of success in the banking sector (Radanliev et al., 2024). Additionally, a growing emphasis on organizational fit reflects a trend among Tunisian banks to prioritize cultural alignment, in line with global HR practices (Kallmuenzer et al., 2024).

We identified two factors that relate to evaluation practices: methods for performance evaluation and feedback. Factors contributing to performance reviews were predominantly job-specific with peer feedback, demonstrating that performance evaluation strategies are evolving into more holistic assessment of collaborative skill (Chan CKY, 2024). This method highlights a philosophy of lifelong learning and reflects current motivation theories (Tian W et al., 2024).

In addition, the research underscored the importance of external recruiting channels that influence the talent pool of these banks. This approach allows hiring strategies to be more diversified by working with local institutions, which boosts the innovative capacity, and adaptability of banks due to their nature (Maseke BF, 2024). Such varied recruitment methods are necessary to fulfill the skills gap due to changes in the banking landscape (Addy WA et al., 2024).

Banks showed different approaches toward skill management, as revealed by descriptive statistics. While some proactively invest in employee development through training and mentorship, others reactively address skill gaps as they arise, linked to company size and market position (Tula ST et al., 2024). In conclusion, the findings underscore the interconnectedness of hiring and evaluation practices in Tunisian banks, emphasizing the need for coherent policies that enhance organizational capabilities to thrive in a dynamic financial environment (Naqbi HA et al., 2024).

The steps of factor analysis

Factor analysis is used to understand the variables influencing hiring practices within Tunisian banks. The process starts with formulating hypotheses about potential factors and verifying data adequacy using the Kaiser-Meyer-Olkin (KMO) and Bartlett’s Test of Sphericity tests. These evaluations confirm the data’s suitability for Principal Component Analysis (PCA) or Exploratory Factor Analysis (EFA). Identifying relevant factors involves assessing eigenvalues using the Kaiser criterion and scree plot analysis, further clarified through rotation techniques like Varimax and Promax. In order to determine internal reliability, researchers use Cronbach’s alpha to assess factor loadings for relationship strength, looking for scores greater than 0.7. Confirmatory Factor Analysis (CFA) verifies results and provides information on HR procedures that are suited to the particular requirements of Tunisian banks, like improving training initiatives. This structured methodology fosters improved workforce management and aligns HR strategies with dynamic business goals in Tunisia’s banking sector.

Results of Data and Factor Analysis

The exploratory factor analysis (EFA) operated on the dataset revealed a structured interaction among recruitment practices, assessment practices, and skills management within the context of Tunisian banking institutions. The analysis supports the conceptual model tested by the following hypotheses:

H1: Recruitment practices positively influence skills management

Factor loadings indicate that well-defined recruitment practices, such as clear job descriptions, strategic talent sourcing, and alignment with organizational goals, are significantly associated with higher effectiveness in skills management. The factor extraction showed that recruitment-related items formed a distinct factor with strong internal consistency (Cronbach’s Alpha > 0.70). Moreover, a positive correlation (Correlation coefficient (r) ≈ 0.62, p < 0.01 (statistically significant)) was observed between recruitment indicators and skills development metrics.

H2: Assessment practices positively influence skills management

Assessment practices emerged as another robust factor, with items relating to performance evaluation, competency appraisal, and feedback mechanisms loading significantly (> 0.6) on a second independent factor. The internal consistency was high (Cronbach’s Alpha > 0.75). Regression analysis confirmed a positive relationship between assessment practices and skills management outcomes (Standardized beta coefficient (β) ≈ 0.48, p < 0.01 (statistically significant)).

H3: Recruitment practices positively influence assessment practices

A third pathway validated in the analysis is the linkage between recruitment and assessment practices. Items measuring assessment protocols were found to correlate strongly with recruitment practice items (Correlation coefficient (r) ≈ 0.59, p < 0.01 (statistically significant)). This relationship was further confirmed by factor correlations and a confirmatory regression model (Standardized beta coefficient (β) ≈ 0.53, p < 0.01 (statistically significant).

Table 5 Summary of Factor Structure

Note. More than 60% of the total variance can be explained by the factors that were extracted, indicating that the model is adequate. The data was deemed suitable for factor analysis by the KMO measure (> 0.70) and Bartlett’s test (p < 0.001).

The EFA also observed a division in approaches to assessing recruitment, one adhering much more closely to conventional methods, using traditional formal qualifications and experience, another branch emphasizing flexibility and potential for development. This is a reflection of the fast changing nature of the banking sector that demands agility to maintain an edge. In addition, the hiring process is closely tied to employee retention, with companies that spend time and money on training reporting lower turnover rates. The analysis also highlight the complexity of skills management that recommends banks to align individual capability with business objectives. The EFA suggests reevaluating current recruitment and skills management practices to promote continuous improvement within a competitive financial landscape. The factors are distributed as follows:

Table 6 Factor Distribution

Note. Exploratory Factor Analysis Results of Recruitment and Assessment Practices in Tunisian Banking Sector.

Finding from the hypothesis testing

Results from a subsequent hypothesis testing provide significant implication regarding recruitment and assessment practices of banking institutions in Tunisia after exploratory factor analysis The purpose of this study was to shed light on how different mechanisms of recruitment relate to the effectiveness of skill management practices. Importantly, the results indicated that formal interviews are associated with choosing the right bank candidates, and that systematic approaches improve organizational performance. Finally, a behavioral assessment used in the selection process to make that prediction boosted predictive validity, which was no surprise given what research has found about the need for a good cultural fit to be successful for candidates.

SPSS statistical analysis revealed that competency-based recruitment enables companies to gain higher retention and employee satisfaction, which therefore helps enhance performance. Moreover.

The results also indicated a strong relationship between perceived fairness in recruitment practices and candidateIt enhances the reputation of an organization that promotes transparency in hiring. Health services were aptly integrated into these processes, however the use of automated recruiting tools raised broad concerns over its impact on applicant diversity, indicating one of two primary future directions for research.

In terms of skills management, the analysis highlighted that perpetual training and development increases employees productivity, especially in the fast-moving environment of the Tunisian banking landscape. Educating employees gives employers a competitive advantage. In short, the weight of the evidence indicates that management practices regarding recruitment and assessment have a huge return on investment in terms of facilitating organizational effectiveness and job engagement, reinforcing the implication of strategic human resource management for the banking sector. The results of the hypotheses are as follows:

Table 7 Validation of hypotheses

Note. Hypothesis Testing Results in the Tunisian Banking Sector.

DISCUSSION

A better understanding of recruitment and assessment practices for banks in Tunisia and skills management emerge from exploratory factor analysis. This led to a hybridization between classical assessment practices and contemporary approaches of assessment, thus being responsive to the traditional structure of companies in Tunisia and the unique environment in which they operate. According to Radanliev et al. (2024), this evolution is critically important to increase global competitiveness. highlighted. Consistent with those of Kallmuenzer et al. (2024), the growing trend of competency-based assessments, technology utilization, and the importance of soft skills  Skills. in Banking — Why Do You Need to Be Adaptable? Moreover, the integration of digital tools is considered critical as it meets the customer requirement of efficiency and customization (Chan CKY et al., 2024) that top talent are attracted to tech-driven organizations.

The analysis indicates a clear correlation between assessment practices and employee outcomes, supporting the views of Maseke BF (2024) regarding the strategic importance of recruitment for organizational success. Tunisian banks need to refine their practices to remain competitive, particularly focusing on soft skills like customer interaction, as Addy WA et al. (2024) emphasized. However, organizations face challenges implementing comprehensive frameworks that leverage technology and a broad view of candidates. Tula ST et al. (2024) suggest that the organizational culture significantly affects integrating new practices.

In conclusion, although some progress has been achieved, the quest towards perfection in recruitment and assessment in Tunisian banking continues. The main policy implications are that collaboration with training institutions is needed in order to address the skills mismatch which fosters initiatives that help to develop employment focused programs in the banking sector. This research indicates that with structured evaluations and metrics, recruitment can align itself with changing market and employee needs, which in turn affirms the positive relationship of talent management with organization performance, as Maulana et al. (2025) noted, as shown in the following graph:

Figure 1 Effectiveness of Recruitment and Assessment Practices in Tunisian Banks

Note. This chart shows the effectiveness percents for various recruitment and assessment practices in Tunisian banks. It emphasises that the integration of technology and focus on soft skills have a positive impact on employee performance outcomes and the median effect size for employee performance outcomes is the highest amongst all outcomes focusing on optional employee performance. The visualisation also highlights that all methods can be clearly compared against one another, with traditional assessment methods being view as the least effective.

Interpretation of Findings

The exploratory factor analysis on recruitment and assessment practices in Tunisian banks uncovered crucial themes — which should all play an important role in the selection process. The analysis focused on that recruitment quality is dependent on skills evaluation, candidate experience, and alignment with company culture. Effective HR emphasizes that great processes for recruiting align new employees with organization strategy and increase employee commitment and retention. And using data that shows that institutes with a holistic skills management process are more likely to choose people that meet not only the transactional needs but also align with the ethos and manner of working of the bank.

Banks use a variety of different methods of assessment: structured interviews, psychometric tests, competency-based assessment, and so on and some banks are moving away from many more traditional types of interviewing towards more analytical methods. Such techniques allow recruiters to evaluate the performance of prospective employees. Studies have shown that data-driven decision-making is becoming increasingly important in recruitment, and that modern methods for predicting success on the job are more reliable than simple, traditional methods (such as interviews and personality tests). Introduction: Changing market dynamics require more granular examination methods in the banks and become competitive in the market place.

The use of technology has brought a radical change to recruitment in banks in Tunisia. Banks have been increasingly adopting software solutions such as Applicant Tracking Systems (ATS) which help in managing applicant data efficiently along with higher accuracy in their assessments. So, of course, these technology developments have not only simplified the recruitment process but also make the way candidates experience the recruitment process much better, which helps in strengthening the employer brand in this competitive banking landscape. Although keeping executive recruiters digitally-savvy necessitates continuous training coupled with skill development,

These findings have deep consequences as recruitment practices affect performance. The Tunisian banking sector should rethink its talent attraction and retention strategies to tackle the changing financial landscape. The complexity of both the opportunities and challenges that economic landscape presents requires employees with adaptive skills and resilience. In a fast-changing professional landscape, you are recommended to conduct standardized best practices in recruitment and assessment protocols to improve performance.

Organisations need to continuously review their recruitment methodologies to invigorate themselves to roll with the punches with shifting consumer demands and market conditions. For the long run, scaling recruitment processes with respect to strategic goals, not only aids with employee satisfaction and performance, but ensures a competitive advantage in the market. The knowledge obtained from this research gives stakeholders in the banking industry a mechanism of aligning their practices with best practices in recruitment and assessment and, thereby, attracting and retaining the high-quality talent they need to succeed in the future. And, here are the graphs that summarize our results:

Figure 2 Study Results

Note. This visualization shows two graphs related to certain dimensions of recruitment practices in Tunisian banks. The visual from the bar chart illustrates the effectiveness percentages associated with key attributes, pointing to the fact that alignment with organizational culture is important. The pie chart demonstrates closer to analytical assessment methods, something that has been of ever-increasing popularity.

CONCLUSION

The exploratory factor analysis highlights the importance of recruitment and assessment in Tunisian banking, especially skills management. It indicates that companies are driven by more than just regulatory compliance in how they manage their workforce. The research found one possible answer here, too, through SPSS, that basic human resources recruitment aligning with the corporate goals will lead to higher satisfaction and retention quality of the employees, which mirrors earlier studies showing this clear interaction effect between strategic human resources and organizational success.

In addition, the analysis finds that continued examination with a flexible approach to recruitment strategies is a must to stay effective. Finally, it also supports a comprehensive strategy for skill management even going so far as to ask for a comprehensive skill assessment against critical skill sets needed in a rapidly evolving financial environment. It suggests that customized staff development training will help improve worker quality and interaction.

This paper demonstrates that the recruitment and assessment practices of Tunisian banks are naive, and the recruitment process can be more strategically driven and based on data and technology. This kind of forward-looking drive can help Banks acquire the right talent and retain it to have a seamless quality and innovation culture and maintain speed with transformations in the global financial landscape.

Theoretical contribution

This exploratory factor analysis offers valuable insights into current recruitment and assessment practices within Tunisian banks. It begins to build a fuller model of the theory by discussing how different planning and evaluation approaches work in concert to acquire and control human capital. By utilising the software SPSS well, this research presents noticeable patterns that previous literature has failed to highlight, seeking out a more rigorous analytical framework. It underlines the role of the organizational culture and job characteristics in the attraction of candidates and highlights the specificities found in Tunisia compared to Western recruitments. In general, the intention of the study is to copulate the message on how recruitment should not be perceived as a simple functional task but should be regarded as one of the vital strategies to be aligned with organizational objectives.

In addition, it will lay grounds for future research on the effects of recruitment policies on organizational effectiveness. It nurtures localized human resource strategies that embrace global best practices yet grounded in local contexts.

Managerial implications

Exploratory factor analysis of recruitment and evaluation methods in Tunisian banks reveals managerial implications for better HR practices. Banks can increase the caliber of talent they hire by using more effective hiring and assessment practices. Managers can use these factors to inform their hiring decisions, which helps them draw in applicants who are qualified and fit the company culture, which guarantees engagement and retention. Moreover, it can help in driving targeted training initiatives to fill the skill gaps — both contributing to employee up-skilling a improving individual and unit level performance helping in overall organizational effectiveness

It highlights the need for a rethink of performance reviews to reflect the skills essential to success in the fast-changing banking environment.A more comprehensive view of performance is made possible by the increased alignment with organizational strategy, which goes beyond traditional criteria as technology and customer needs change at a breakneck speed. A culture that encourages data-based decision-making enables banks to react better to market shifts while also enabling the organizations to be more resilient and gain an ability to identify trends at an early stage.

In the end, the research reiterates the importance of viewing recruiting and testing as an essential strategic planning task, not rote administrative tasks. Incorporating these components into the strategic framework, Tunisian banks are likely to enhance labour quality while stimulating the growth of the economy and become a competitive and attractive employer in the banking business of the 21st century.

Limitations of the study and future directions of research

This exploratory factor analysis discusses key features of Tunisian banks, with a special focus on recruitment aspects. This research on recruitment and skills management in Tunisia banking has a number of limitations, including: the relative small sample does not cover all its institutions, with a focus on a single urban area — there are many rural banking practices which may be different. Furthermore, this limitation restricts the generalizability of the findings. Also, survey data can reflect competitive dynamics that are shaped by organizational cultures. SPSS is also a relatively closed software and does not allow qualitative expression despite the statistical rigor it provides.

Future studies should use a mixed-methods design combining quantitative data with qualitative interviews or focus groups. The ongoing evolution of the banking landscape caused by changes in the economic and regulatory environment makes it important to continue researching these dynamics, especially using longitudinal data. Researching the impact of digital transformation on recruitment and demographic analyses by age, gender and education will contribute to diversity and equity conversations at work to adapt to new conditions in its recruitment processes.

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