ABSTRACT
This
study is based on the effect of organizational culture on employee’s
performance. (A study of Hardis and Dromedas Umunya, Anambra State). The study
adopts the following object; to determine the relationship between training and
development on employee’s competency, to examine the relationship between
reward and productivity within the organization, to ascertain how recruitment
can enhance the market share of the organization. The descriptive survey
research design was adopted and a sample size of 133 (one hundred and thirty
three) was gotten using Taro Yamani formula out of the population of a total of (200) staff. 133 questionnaires were administered to the respondents
and 120 was returned, which was used for the data. Three research questions was
used for the study. The data for the
study was gathered with a five point likert scale questionnaire. Analyses were made through the latest version of
statistical package for social sciences (SPSS} a well-known software for the
statistically data analysis, so that effective conclusion can be drawn.
From the study, it was indicated that training and development increases the employee
competence. The findings show thatreward has a significant increase on the
performance of the organization. Finally it was processed from the study that
recruitment can positively enhance the market share of the organization. The
study recommends that Organization should provide a flexible culture; these
will provide such working environment to employees in which they will work
easily and independently without feeling any burden. Company should provide
employee with a clear career path and career development opportunities by
giving them training, seminars and workshops and this will increase their performance in the organization.
CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
Organizations are a constituent of people
with different ideological orientations, values, opinions, and attitudes coming
together cooperatively to achieve a goal. It therefore implies that the belief
system, goals, objectives, philosophies are all part of the corporate culture
of any organization, which are learned by every member of the organization.
Organizational culture is one of the essential tools in understanding the
behavior of people in organizations. It is a persuasive force that controls an
employee’s work life; the thread that binds the entire organization together.
In the other hand, organizational performance involves engaging in recurring
activities aimed at establishing organizational goals, monitoring progress
toward the goals, and making adjustments to achieve those goals more effectively and
efficiently (Omoregbe and Umemezia, 2017). It also means having the different parts of an organization
work together to achieve great results which are
measured in terms of the value being delivered (Hopkins, 2004).
It is very necessary for an organization to
establish an organizational culture to maintain its position in market. The
organizational culture has to be developed to provide support to an
organization and bring continuous improvement. The culture of an organization
is very important for the progress of an organization because it impacts on
employee commitment and their retention as well. If the culture of an
organization is flexible it will provide such working environment to employees
in which they may work easily and independently without feeling any burden.
Every organization wants employee commitment because it is very important for
an organizational effectiveness. If the employees understand the organizational
culture properly so that there may be improvement in their performance the
reason is that the employee‘s performance is the base of an organization.
Organizational outcomes and success is derived by the individual contribution
in the organization at all levels. If every individual performs according to
the expected standards then organizational performance will be enhanced. It is
for this reason that job performance is considered an extremely important
criterion that translates into organizational outcomes and success; making it
the backbone of every organization (Salihu, Rayyan and Umar, 2016).
However, Organizational outcomes and success
is derived by the individual contribution in the organization at all levels. If
every individual performs according to the expected standards then
organizational performance will be enhanced. This therefore explains the reason
why a good amount of time and resources have been invested in carrying out
research in this field (Omondi,
2014). Conversely, Organizational outcomes and success is derived by the
individual contribution in the organization at all levels. If every individual
performs according to the expected standards then organizational performance
will be enhanced but if they don’t perform as directed and according to
expected standard it will retard the organization’s success.
Organizational culture comprises the
unwritten customs, behaviors and beliefs that determine the "rules of the
game" for decision-making, structure and power. It's based on the shared
history and traditions of the organization combined with current leadership
values. In effect, culture dictates the way we do business here and the
organizational survival tactics that facilitate assimilation and personal
success (Dave and Urich, 2011). With a strong organizational culture, employees
do things because they believe it's the right thing to do and feel they'll be
rewarded for their actions. However, if the leadership team lacks integrity or
stop diversity, powerful cultures can change into cults, cliques, castes and
insider clubs. Organizational culture can be treated as a series of distinctive
characteristics of a specific organization. Some modern definitions of
organizational culture are dynamic, directed at creativity, innovations and
entrepreneurship. Therefore, this study will focus on the effect of
organizational culture on employee performance Hardis and Dromedas in Umunya,
Anambra State.
1.2 Statement of the Problem
Since employees are seen as the greatest and
most valuable assets that implement and complement other factors of production
in an organization. Increased competition, globalization, alliances and major
work force department have created a greater need for organizational culture.
Managing organizational culture is emerging as one of the key managerial
challenges in the 21st century.
Nevertheless, organizational culture affects
the performance and productivity of organizations in a tremendous way such as
poor corporate governance and poor corporate culture are responsible for the
problems faced by good organizations in Nigeria. In several instances, it has
been shown that most employees in the organizations do not have the knowledge
of its vision, mission and strategic goals.
Many
of the companies might have a bureaucratic culture that do not promote
entrepreneurial and risk-taking initiatives and no clear communication between
management and employees. Therefore, in the bid to proffer solution to the
above problems, the study to access the effect of organizational culture on
employee performance at Hardis and DromedasUmunya, Anambra State.
1.3 Objectives of the Study.
The broad objective of the study is to
examine the effect of organizational culture on employee performance at Hardis
and Dromedas.
And the specific objectives is:
1. To determine the relationship between
training and development on employees competency.
2. To examine the relationship between reward
and productivity within the organization.
3. To ascertain how recruitment can enhance the
market share of the organization.
1.4 Research
Question
The following research question were
formulated for this study
1. What is the relationship between training and
development on employee’s competency?
2. What is the extent of relationship between
reward and productivity within the organization?
3. How can recruitment enhance the market share
of the organization?
1.5 Research Hypotheses
The hypothesis are tested to show how
significant the research question and hypothesis are verified. The following
hypothesis are formulated to guide this study;
H0: Training
and development has no significant relationship on employee competency?
H1: Training
and development has a significant relationship on employee competency?
H0: Reward has no significant increase on the
productivity of the organization?
H1: Reward has significant increase on the
productivity of the organization?
H0: Recruitment cannot positively enhance the
market share of the organization?
H1: Recruitment can positively enhance the market
share of the organization?
1.6 Significant of the Study
This study will be helpful for future researchers in gaining secondary
information and can serve as literature review for potential references. It
will also serve as a centerpiece idea to other students willing to pursue
research in a similar field.
Secondly, this research will help the government in making some
decisions about insurance organizations in the country like healthcare
insurance, how much tax returns insurance companies are expected to pay back to
the government, some favorable decisions to the insurance companies about the
working conditions and pay for their employees.
Thirdly, the analysis of this research study will provide important
details pertaining to the culture of firms in the insurance industry. The
details gained will provide firms in this sector with requisite knowledge that
will enable them identify culturally related strengths, leverage their
company‘s overall strength as well as address cultural weakness that hamper
success.
Finally, the company under study in
particular will be of immense benefit in that the management will be able to
use the information produced after the research is complete to re-engineer and
restructure the organization‘s culture in order to improve their employee job
performance and by extension organizational performance. The management can
also use some of the information to formulate a strategy for the organization.
And, for the employees of the organization under study, this research will
enable them gain a better understanding of their role in shaping the
organization‘s culture and how this influences their performance and by extension
the overall performance of the organization.
1.7 Scope of the Study
This study on the effect of organizational
culture on employees’ performance covers Hardis and Dromedas in Umunya, Anambra
State.
1.8 Definition of Terms
1.8.1 Organizational
culture
This is a system of shared values, beliefs,
norms which governs the way people behave in an organization. This strong
values has a strong influence on the people in the organization and dictate how
they dress, act and perform their jobs.
1.8.2 Employee
An individual who works part time of full
time under a contract of employment, whether oral or written, express or
implied, and has recognized rights and duties.it can also be a person who is
below the executive level who is hired by another to perform a service
especially for wages or salary and is under others control.
1.8.3 Performance
The accomplishment of a given task measured
against a preset known standard of accuracy, completeness, cost, and speed. In
a contract, performance is deemed to be the fulfilment of an obligation, in a
manner that releases the performance from all liabilities under the contact.
1.8.4
Training and Development
Training and development can be described as
"an educational process which involves the sharpening of skills, concepts,
changing of attitude and gaining more knowledge to enhance the performance of
employees.
1.8.5 Employee Competency
This can be defined as the ability of an
individual to do a job properly. This is a set of defined behaviors that
provide a structured guide enabling the identification, evaluation and
development of the behaviors in individual employees.
1.8.6
Reward
This can be seen as money or another kind of
payment that is given or received for something that has been done or that is
offered for something that might be done.
1.8.7
Productivity
A
measure of the efficiency of a person, machine, factory, system, etc., in
converting inputs into useful outputs. This is computed by dividing average
output per period by the total costs incurred or resources (capital, energy,
material, personnel) consumed in that period. Productivity is a critical
determinant of cost efficiency.
1.8.8 Recruitment
Refers
to the overall process of attracting, shortlisting, selecting and appointing
suitable candidates for jobs (either
permanent or temporary) within an organization.Recruitment can also refer to
processes involved in choosing individuals for unpaid roles.
1.8.9
Market share
Out of total purchases of a customer of a
product or service, what percentage goes to a company defines its market share.
Market
share is calculated by taking the company's sales over the period and dividing
it by the total sales of the industry over the same period. This metric is used
to give a general idea of the size of a company in relation to its market and
its competitors.
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