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THE IMPACT
OF WORKPLACE STRESS ON EMPLOYEES’ PERFORMANCE IN DE-UNITED FOOD INDUSTRIES
CHAPTER ONE
INTRODUCTION
1.1
BACKGROUND OF THE STUDY
Naturale
(2007) states that stress is one situation when an individual reacts to or
faces something different to a new opportunity, the restraints and the effort
that needs to be put in according to the demand. This situation of stress can
also be argued as a powerful condition where the apparent outcome and the
preferred outcome both are equally important and unknown at same time. However,
researchers have carefully observed stress, and have figured out that the
condition of stress or the single term ‘stress’ can either excite pressure or
may create tension which in turn might be damaging. If the condition of stress
is totally unpleasant, it may turn into negativity and may throw a negative
crash on the person; this situation is commonly termed as distressed.
When the
stress is discussed especially with respect to production or manufacturing, it
will directly affect the production of work directly resulting in low amount of
output for the company. In companies such as Reliance Fresh, the work force is
quite large, and here the organization gives much concern to quality of work.
In addition, the employees should take care and closely have a look at their
absenteeism levels. If it is observed that absenteeism percent is too high, it
implies that it is somewhere associated with stress condition. It is one of the
important aspects for a company as the output and productivity levels play a
vital role to check the stress level of employees, as these create non
productivity and inefficiency. This will be a not-so-good situation for the
company as well as the employees too. According to a survey made by Smith,
Segal and Jaffe (2007), the above statement is confirmed for the survey. When
the stress, depression or anxiety is associated with work, then there will be
13.5 million loss of working days, this is according to a self-report survey by
labour force in India. This finds a fact that it is necessary for a manager to
manage the welfare of employees directly, and ensure that there is continuous
workflow without any kind of sick leaves or absenteeism levels on chart.
In their
observations, Tanova and Holtom (2008) found that in large number of
meta-analysis which can determine the reasons of employee turnover and employee
attritions, and found universal agreement could be reached about the
determinants of the both as work stress. It has been discovered, though
generally, that employee attitude and their job satisfaction alone cannot
explain the reasons of employees stress. In their study two types of stress
results have been referred to, one is physical stress and the other is mental.
Job
satisfaction is the extent to which an employee is happy with his/her job. This
can help to improve an employee’s positive attitude towards work. Stone
(2005:413) has stated that job satisfaction is the degree to which employees
have positive attitudes towards their jobs. According to Locke (1976), cited in
Fulford (2005:74), job satisfaction is a pleasurable or positive emotional
state resulting from the appraisal of one’s job or job experiences. As
aforementioned, employee turnover in the fast food industry is at a record high
due to job dissatisfaction. Absenteeism has also multiplied owing to work
related stress, as jobs in the industry are monotonous and not often rotated to
develop their skills and performance, could bring about ultimate job
satisfaction (Ukpere, 2007: 461).Ivancevich (2007:12) interjected that there
should be a feeling of the right job so that employees can be productive, since
workers spend one-third of their day at work and, therefore, require a good
working conditions, working environment and co-operative co-workers in order to
be comfortable in the workplace (Charner & Fraser, 2003:48). To keep
employees satisfied, there must be for good remuneration, medical aid and
fringe benefits in order to deliver good quality services. Workers
satisfaction, almost tantamount to workers motivation. Employees tend to
produce good quality work and good customer services when they are satisfied
and motivated. Unsatisfied workers will result in high absenteeism, low quality
outputs and high rate of employee turnover (Ivancevich, 2007:12). Poor
satisfaction of worker may be as a result of poor working conditions, less
fringe benefits, autocratic management style, and etcetera. Such vices have
adverse implications on employee performance in the workplace, particularly in
the fast food industry. Thus, job satisfaction has been recognized as an
important factor in the fast food industry to ameliorate the negative attitudes
of employees towards their job or organization as far as absenteeism and
turnover are concerned (Vallen, 1993, cited in Fulford, 2005: 74).
1.2
STATEMENT OF THE PROBLEM
According to
Lazarus (2003) stress is a phenomenon that is ubiquitous and multifaceted
(Lazarus, 2003, 19). This phenomenon can prove to be costly for organisations
as it may become the cause of increased employee turnover (Villanueva and
Djurkovic, 2009, 127). The factor of stress becomes increasingly important in
organisations and industries that are customer oriented. This is because
employees have to face conflicting demands of company, customers and supervisors.
These conflicts between employees and supervisors, employees and customers may
give rise to dissonance for employees (Ruyter, Wetzels, and Feinberg, 2001,
31).
Many
researchers argue that stress at workplace has an impact on performance in one
way or the other. Dean (2002) view work related stress as a leading cause for
low productivity in the workplace. DCS Gaumail, (2003) believes stress affects
the organizational outcomes such as decrease in performance, increase in
absenteeism and dissatisfaction. In the same breadth, Desseller (2000)
concurred that the consequences of organizational stress are far-reaching
leading to reduction in the quality and quantity of job performance. According
to Frost (2003) hardworking and valuable employees who experience negative
experiences in the workplace, have their hopes dashed, their goals derailed and
or their confidence undermined. He asserts that organization should endeavour
to identify emotional pain, when it occurs and act to intervene, potentially
lethal situations in the work place, can be reversed.
1.3
OBJECTIVES OF THE STUDY
The general
objective of this study is to examine the impact of workplace stress on
employees’ performance in De-united food industries, Ota. The specific
objectives include the following:
1. To assess
the overall impact of work stress on organizational productivity.
2. To assess
the mental and physical dangers and impact of stress on employees of De-united
food industries, Ota.
3. To
identify the impact of stress on employees’ performance at De-united food
industries, Ota.
4. To
investigate factors that leads to work stress among employees of De-united food
industries, Ota
5. To make
recommendations about stress management to De-united food industries Ota for
future considerations.
1.4 RESEARCH
QUESTIONS
The relevant
research questions related to this study include the following:
1. What is
the overall impact of work stress on organizational productivity?
2. What is
the mental and physical dangers and impact of stress on employees of De-united
food industries, Ota?
3. What is
the impact of stress on employees’ performance at De-united food industries,
Ota?
4. What are
the factors that leads to work stress among employees of De-united food
industries, Ota?
5. What are
the recommendations about stress management to De-united food industries Ota
for future considerations?
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