Factors Affecting Decision Making Practice of Leaders in Enat Bank S.C
No Thumbnail Available
Date
2022-06
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Addis Ababa University
Abstract
This research study was conducted to study the factors affecting decision making practice and their effect on organizational performance in the case of Enat Bank. To investigate such effect, the study has used four factors affecting decision making practices namely state of the organization, availability of information, external conditions/ environment and personality & skills of decision makers. In order to address the objectives of the research a questionnaire was designed and distributed to randomly select 100 employees who are involved in decision making practice of Enat Bank S.C, from the total distributed questionnaire ninety two spoke back representing a response rate of 92%. Descriptive statistics and analysis of Variance or ANOVA test has been used to draw the conclusion. To examine the relationship and effect among variables, this study used Pearson correlation and multiple linear regressions. The findings of the study from regression analysis have shown that all the four factors affecting decision making practice namely state of the organization, availability of information, external conditions/ environment and personality & skills of decision makers had a positive and a statistically significant effect on organizational performance as the p-value of each variable is less than 0.05 (p-value<0.05) and positive beta coefficient. Therefore, the study concludes that all basic components of factors affecting decision making practice have impact on organizational performance and the researcher recommends that Enat Bank, has develop and establish different mechanisms to solve problems associated with decision making practices. Furthermore, this study indicates that the needs for more research related to the relationship between factors affecting decision making practice and performance with incorporating additional variables such as attitude about risk & uncertainty and behavior of customers and extend the study to be made on the entire banking industry level