ORGANISATIONAL CULTURE AND EMPLOYEE PERFORMANCE

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ABSTRACT

This project examples the effect or impact of culture on employee job performance in Daewoo Nigeria limited in rivers state of Nigeria. It concerns itself with assessing, evaluating and ascertaining the overall impact of culture on productivity, improvement of skills, talents and correction of irregularities. The study adopted the survey design while the questionnaire was used in obtaining the primary data and secondary data obtained from textbook, internet etc.the population of the study include all staff in three department viz construction, assembling and administration in Daewoo nig ltd. A sample of 100 copies was obtained via purpose method out of 100 copies of questionnaire administered only 45 were retrieved which form the sample size for the analysis. Tables and simple percentage were used to analyses the data. Finding reveal that culture in one way or the other influence employee performance in Daewoo nig ltd but the same culture does not create opportunity for improvement. It was concluded that Daewoo nig ltd should step up its remuneration for staff in order to be compatible with their colleagues elsewhere. It was recommended that employee should be properly motivated e.g. housing loan and others.

 

CHAPTER ONE

INTRODUCTION

1.1     BACKGROUND OF STUDY

Today, business organisations have changed from simple to complex business structure requiring practicing manager to be complex too. Most business are not only operating in national boundaries but have cut-across the shores of national boundaries extending to other countries or nations of the world as a result of increasing demand in international trade. This trend has also added more responsibilities on the part of managers in managing this type of global business complex structure.

According to Ubeku (1975) in Amadi, (2012), in an organisation, human resources is the most valuable assets. If they are not properly managed, the attainment of organisational goals may be difficult. Managerial science deals with management of human and material inputs.

A manager is termed to be an effective or efficient manager depending on his ability to co-ordinate organise, direct and plan these inputs. In this same vein, a manager can only manage human and material inputs of the business organisation or the system. This business organisation is a system in which the manager, the human, machine, system, working together for the smooth functionality of the system.

The growth rate of multinational companies is also increasing the responsibility of business managers. Since a manager manages the human and all other inputs factors of the organisation that is managing various employees from different cultural background of the world is a huge task to handle for mangers. On the other hand they are not only managing the human behaviours in an organisation but the different cultural heritage of these employees which pose a great threat to the management in achieving organisational goal.

According to www.carla.umu.edu,culture in the context of organisation refer to the shared pattern of behaviours and interactions, cognitive construct and effective understanding that are learned through a process of socialisation. It also refers to social glue that helps holds the organisation together (robins 2000) .therefore; socialisation is a learning process whereby an individual imbibes the norms values and attributes of a society to be fully integrated into it.

Organisational cultures according to Robin (2000) refer to a system of shared meaning held by member that distinguished the organisation from other organisations. Strong organisation cultures have a great influence on the behaviour of its members because the high degree of sharednes and intensity creates an internal climate of high behavioural control. Notably at this point, national culture overrides an organisation‘s culture (Adler 1997). This means that as influential as organisational culture is in shaping employee behaviour national culture is even more influential.

The role of culture in influencing employee performance behaviour appears to be increasingly important in today workplace (case, 1996). As organisations have widened span of control, flattered structure, introduced terms, reduce formalisation and empowered employees, the shared meaning provided by a strong culture ensure that every one is pointed in the same direction.

Culture performs a number of functions within an organisation. Firstly, it has a boundary-defining role, that is, it creates distinction between one organisation and the other. Secondly, it conveys a sense of identity for organisation members. Thirdly, culture facilitates the generation of commitment to something larger than one individual self interest. Fourthly, it enhances social stability.finally, culture serves as a sense-making and control mechanism that guides and shapes the attitude and behaviour of employee’s performance.

Corporate performance serves as a way for corporations to evaluate employee’s performance and other feedback through regular periodic interactions (www.ask.com), organisations struggle mightily to meld their strategies intent with their operations leaving a gap between the strategy they develop and the ability to execute that strategy in day-to-day business.

What is needed is a better capability that guides the organisation not only what is going on financially but in terms of operation and compliance actionable management information to guide their operations and financial decisions. Developing a strategy performance management approach drives sustainable performance by aligning the activities of the management term and employee with corporate strategy.

Operationally, corporate performance which is also referred to as business performance management is a set of management and hectic processes that enable the management of an organisation’s performance achieve one or more of its pre-selected goals. Reference to non-business performance management, Sun Tsu in his article that art of god publication claimed that to succeed in war, one should have full knowledge of one’s own strength and weaknesses as well as those of one’s enemies. Lack of either set of knowledge might result in defeat. Parallel between the challenges in business and those of war.

It is  because of numerous effects that culture have on employees performance that motivate the researcher to study the effect of cultural  on the output of employees in Daewoo Nigeria limited.

1.2        STATEMENT OF THE PROBLEM

Every company lives in dynamic competitive environment and for it to survive, it has to battle for competitive advantage. Manager of various organisation have been criticized for not being responsive to the social attitudes belief, behaviours and values of particular individuals, group or societies. But attitude, behaviour and values are different for workers and employeers.this variety of values makes it difficult for managers to design an environment conducive for employee’s performance and satisfaction. It is even more difficult to respond to these forces when they are outside the enterprise. Yet managers have no choice but to take them into account in there.

Besides, it is also true as usually happens in all culture that when people standard of living improves their expectations for a better life tend to increase even faster. The result is the existences of social problem which can indeed be define as the gap between expectations and realities.

Thus, recent economic and social problem have also given rise to pressure for a better quality of life. An environment cleansed of water and air pollution, and for more liable communities with decent housing, self streets, efficient transformation and better educational and cultural opportunities.

Therefore, the study seek to examine the extend at which corporate (Daewoo) performance is affected through it culture and recommendations for improvement where necessary.

1.3       OBJECTIVE OF STUDY

In order for the researcher to carry out this research successfully, the following objectives were set:

  1. To examine the impact of organisational culture on the performance of Daewoo employees.
  2. To identify the unique needs of and behaviour of employees from various cultural background and how these behaviour fit into and enhance the overall objectives of Daewoo Nigeria limited
  3. To ascertain whether Daewoo Nigeria limited’s culture promotes the performance of its employees.
  4. To examine the extent of influence that the culture of Daewoo Nigeria limited has on employee performance.

1.4  RESEARCH QUESTION

The study is aimed at uncovering the impact of culture on employee performance using Daewoo Nigeria limited as case study. This problem under investigation is centered around the following questions:

  1. Does culture of Daewoo Nigeria limited create opportunity in improving the performance of its employees?
  2. Has the culture of Daewoo Nigeria limited any influence on its.
  3. Does any relationship exist between employee satisfaction and Daewoo Nigeria limited culture?
  4. Does the performance of Daewoo Nigeria limited depend solely on its cultures so far created?
  5. Does the need of employees from different cultural background fit into the overall objective of Daewoo Nigeria limited?

1.5 SCOPE OF STUDY

This study is design to cover how the culture of an organisation can lead to its survival using Daewoo Nigeria limited as a case study. The study therefore explores and examines critically how the NORMS, values and attitude found through socialisation by employees shape their behaviour leading to the achievement of the objective of the organisation they belong to. Therefore, the scope of this research work is limited to organisational culture and corporate performance of Daewoo Nigeria limited.

1.6   SIGNIFICANCE OF THE STUDY

This study is been undertaken to provide empirical evidence of the impact of organisational culture on corporate performance. The finding of this study will disclose or reveal the positive or negative contribution of an organisations culture to the business performance of such organisation. Its finding will serve as a blue-print to the progress of corporate organisation, firms, captains of industries, entrepreneurs, ministry of commerce etc.

This study does not lay claim to any new methodology. However ,this study hope to expand over knowledge base of the use of the descriptive or survey method in a bid to gathering data concerning the importance of organisational culture to corporate existence.

1.7   LIMITATIONS OF THE STUDY

It was discovered that research on the impact of organisational culture on corporate performance has never record adequate attention in terms of data. Lack of corporation from staff of Daewoo Nigeria limited for fear of industrial espionage from competitors posed much problem to the researcher.

Additionally, due to time constraint, the researcher does not have enough time couple with financial impediments that confined the researcher to narrow down the scope of this study to only Daewoo.

1.8   DEFINITION OF TERMS

The researcher deemed it necessary to define the following operational terms as they relate to the study

1 CORPORATE PERFORMANCE: it is all about transforming your business into a high performance organisation. It involves making decision about where to focus your business.

EMPLOYEE: this means a person who is paid to work for somebody

CULTURE: this means a shared pattern of behaviour and interactions, cognitive constructs and effective understanding that are learned through a process of socialisation.

PERFORMANCE: the efficiency and effectiveness in discharge of duty manifested expertise at work.

ORGANISATIONAL CULTURE: A widely shared value within an organisation that provides unity and cooperation to achieve common goal. It could be assumption, belief, symbols, artifects, company logo etc.

ORGANISATION: A collection of animate and inanimate objects in a given relationship that is the assemblage of men, material and methods within a defined relationship.

IMPACT: This refers to the power effect that something has on somebody or something

 

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