THE IMPACT OF ORGANIZATIONAL CULTURE ON EMPLOYEE PERFORMANCE A SURVEY OF SELECTED ORGANIZATIONS IN PORT HARCOURT.
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THE IMPACT OF
ORGANIZATIONAL CULTURE ON EMPLOYEE PERFORMANCE
A SURVEY OF
SELECTED ORGANIZATIONS IN PORT HARCOURT.
TABLE OF CONTENTS
Title Page i
Declaration ii
Certification iii
Dedication iv
Acknowledgment v
Abstract vi
CHAPTER
ONE: INTRODUCTION
1.1 Background
of the study 1
1.2 Statement
of the problem 2
1.3 Purpose
of the study 3
1.4 Research
questions 4
1.5 Research
hypotheses 4
1.6 Statement
of the study 5
1.7 Scope
of the study 6
1.8 Limitation
of the study 6
1.9 Definition
of terms 7
1.10 Organization of the study 9
CHAPTER
TWO: LITERATURE REVIEW
2.1 Introduction 11
2.2 concept
definition of organization culture 11
2.3 approach
to culture 15
2.4 roles
and functions of organizational culture 26
2.5 model
of organizational culture 30
2.6 employee
performance 31
2.7 theory
of performance 33
2.8 organizational
culture and employee performance 34
CHAPTER
THREE: RESEARCH METHODOLOGY
3.1 Introduction 37
3.2 Research
design 37
3.3 Sample
population 37
3.4 Sampling
size 37
3.5 Sampling
procedure 38
3.6 Sources
of data collection 39
3.7 Data
analysis techniques 40
CHAPTER
FOUR:
PRESENTATION AND ANALYSIS OF DATA
4.1 Introduction 41
4.2 data
analysis 41
4.2.1 organizational culture is
capable of shaping the behaviour
of
organizational members 42
4.2.2 organizational culture can
enhance commitment, team spirit
and dedication
to assigned duties 43
4.3.2
organizational culture has an impact on employee performance 44
4.2.4 employee
performance can enhance organizations
Productivity 45
4.2.5 employee performance can be sharpened
by the culture of the organization 46
4.2.6
organizational culture been passed on to new employee through socialization 47
4.3 test
of hypotheses 48
4.4 discussion
of findings 53
CHAPTER
FIVE: CONCLUSION AND RECOMMENDATION
5.1 Introduction 54
5.2 Summary 56
5.3 Conclusion 57
5.4 Recommendation 57
5.5 Suggestion
for further research 59
Bibliography
Appendices
Questionnaire
Spearman’s Rank Table
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Several
scholars of organizational behaviour have made it clear that organizational
culture do have an impact on employee’s performance. Incidentally, the impact
of organizational culture on employee’s performance is the main thrust (topic)
of our study.
According to Nelson and Quick (1997:512)
organizational culture has its roots in cultural anthropology. They further
stated that, as there are cultures in large human society, so are there
cultures within the business organization.
These
cultures seem to be similar to societal cultures: they are shared, communicated
through symbols and passed from generation to generation of employees. By
implication organizational culture is the blue-print upon which the activities
of both employers and employees of the organizations are based.
According
to Schein (1998:605) organizational culture is a pattern of basic assumptions
that are considered valid and are taught to new members as the way to perceive,
think and feel in the organization.
Similarly,
Urieto (1996:153) defined organizational culture as maintained attitudes,
beliefs and shared values that are the basses for an organizations activities
and actions.
Kreitner
and Kinicki (2004:476) view organizational culture as a set of shared, taken
for granted implicit assumptions that a group holds which determines how it
perceive, thinks about and reacts to its various environments. In the same
vein, Griffin (1996:528) views organizational culture as the set of values that
helps members of an organization understand what the organization stands for,
how it does things and what it consider important.
He
also describes organizational culture as a dynamic concept that is difficult to
measure or observe objectively. Griffin went further to state that
organizational culture influences the type of organizational structure adopted
by an organization as well as a host of practices, policies, and procedures
implemented in trying to achieve organizational goals and he also observed that
organizational culture helps in socializing new employees and shaping their
behaviour within the organization for optimum performance. This is achieved
through training and indoctrination, which make the employees perform
activities in the way and manner they are stipulated by the organization.
It
is very clear that once employees are able to imbibe the culture of an
organization, there is the tendency that their performance will be enhanced
because organizational culture can enhance commitment, team spirit and
dedication which in turn brings about effective and efficient performance.
1.2 STATEMENT OF THE PROBLEM
Organizational
culture provides a sense of identity to members and increases their commitment
to the organization. When members internalize the values of the organization,
they find their work intrinsically rewarding and identify with their fellow
workers.
Organizational
culture is also a sense making device for members. It provides a way for
employees to interpret the meaning of organizational events and design the way
and manner of handling these events for the success and growth of the
organization.
Organizational
culture equally reinforces the values of the organization. An organization
might undertake a cultural change in order to achieve total quality as the
number one value. Organizational culture serves as a control mechanism for
shaping the people’s behaviour.
However,
the impact of organizational culture on employees’ performance is hotly debated
by organizational behaviourists and researchers. It seems that managers attest
strongly to the positive impact of organizational culture on employee’s
performance, but it appears difficult and problematic to qualify the degree or
level of this impact. Besides, human nature is dynamic and therefore it becomes
pretty difficult to determine human behaviour. The study is therefore designed
to examine the impact of organizational culture on employee performance
considering the dynamic nature of human beings and how this can make them
perform optimally.
1.3 PURPOSE OF THE STUDY
The
purpose of the study includes the following:
1. To
show if organizational culture is capable of shaping the behaviour of
organizational members.
2. To
show how organizational culture enhances commitment, team spirit and dedication
to assigned duties.
3. To
show how to enhance good culture in the organizations.
4. To
show to manipulate culture to enhance productivity.
5. To
show the role of organizational culture on the performance of employees.
1.4 RESEARCH QUESTIONS
The
following research questions are designed to generate data for the study:
1. Is
organizational culture capable of shaping the behaviour of organizational
members?
2. Does
organizational culture enhance commitment, team spirit, and dedication to
assigned duties?
3. Can
employee performance enhance organizations productivity?
4. Can
employee performance be sharpened by the culture of the organization?
5. Does
organizational culture have an impact on employees’ performance?
6. Can
organizational culture be passed onto new employees through socialization?
1.5 RESEARCH HYPOTHESES
In
order to achieve the target of the study, the following two (2) null hypotheses
were formulated:
H01:
There is no significant relationship between organizational culture and
behaviour of organizational members.
H02:
There is no significant relationship between organizational culture and
employees’ performance.
1.6 STATEMENT OF THE STUDY
Every
study must have an impact to make on certain people, and this one is not an
exception. The study will educate employers of laobur on the necessity of
designing the kind of organizational culture that will appreciate the fact that
employees are from different cultural backgrounds.
The
study will as well acquaint employees with the actual essence of organizational
culture and how it can shape their behaviour and facilitating collective
commitment amongst then (employees). On the part of the stakeholders the study
will educate them on the need to adhere to organizational culture by playing
the game according to the rule, which means they should not do things in their
own way, rather than respecting the do’s and don’ts of the organizational
culture.
Concerning
agencies and government the study will educate them on the need to respect and
appreciate an organization’s culture instead of trying to force uncultured laws
on the organization which might bring rivalry between the organization and
government and this will have a negative effect on the economy.
The
study will also be beneficial to management students especially those taking
organizational behaviour course in the universities and other higher
institutions for their term papers and research work.
Finally,
personnel management practioneers and business management consultants will have
a lot to benefit from this study.
1.7 SCOPE OF THE STUDY
The
scope of the study will cover only five (5) organizations in Port Harcourt
which include the following.
1. Nigeria Agip Oil Company
2. Nigeria Engineering Works
3. Chevron
4. Elf
5. Nigeria Ports Authority.
1.8 LIMITATION OF THE STUDY
The
study faced certain limitations. The limitations were: scarcity of relevant
materials because the scope of the study was not widened, the researcher had
not enough funds that would have enabled her travel outside Port Harcourt to
source for the completion of the study was limited and this affect the scope of
the study.
1.9 DEFINITION OF TERMS
Certain
reoccurring terms have been defined operationally in the work as follows.
Organizational Culture
This
has to do with shared values and beliefs that underlie the organizations
identity.
Adaptive Perspective
The
assumption that an adaptive culture enhances an organization’s financial performance.
Fit Perspective
This
assumes that the strength of organizational culture is related to an
organization’s financial performance.
Values
This has to do with enduring belief in a mode
of conduct or end-state.
Espoused Values
The
stated values and norms that are preferred by an organization.
Enacted Values
The
values and norms being exhibited by employees of organization.
Normative Belief
Thoughts
and beliefs about expected behaviour and modes of conduct of members of an
organization.
1.10 ORGANIZATION OF THE STUDY
The
study is divided into five (5) different chapters. Chapter one which is the
introduction has the following sections; background of the study, statement of
the problem, purpose of the study, research questions, research hypotheses,
significance of the study, scope of the study, limitation of the study,
definition of terms and organization of the study. Chapter two borders on
literature review.
Chapter
three is research methodology and it borders on the following: research design,
research population, sample size, and sampling procedure, sources of data
collection and data analysis techniques.
Chapter
four deals with data presentation and analysis. Chapter five has to do with
summary, conclusion and recommendation.
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