Employees’ Perception on the Effect of Organizational Culture on Business Performance; A Case Study on Ethiopian Airline Group
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Date
2024-07-10
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AAU
Abstract
The impact of organizational culture on business performance within Ethiopian Airlines exhibits both
positive and negative aspects. On the beneficial side, a robust organizational culture emphasizing
superior customer service, innovation, heightened employee satisfaction, and productivity can ultimately
translate into profitability. This study aims to explore the influence of organizational culture on business
performance, specifically focusing on the case of Ethiopian Airline Group. Employing a descriptive
research design, the study utilized both quantitative and qualitative research approaches. Drawing from
a target population of 18,970 individuals, a sample size of 391 was selected from various departments
within Ethiopian Airline Group, with 349 respondent datasets eventually analyzed. Stratified random
sampling was employed as the sampling technique. Data were sourced from published, non-published,
and other available sources, and analysis was conducted using Likert scale questionnaires, correlation,
and multiple regression analysis methods. The study investigated the impact of leadership style,
communication practices, employee engagement, and organizational structure on business
performance. Results indicated that leadership style, communication practices, employee engagement,
and organizational structure exerted positive and significant effects. Overall, Ethiopian Airline Group's
organizational culture significantly influences its business performance. Employees’ perception of
organizational culture can have a profound impact on business performance. By focusing on leadership
style, communication practices, employee engagement, and organizational structure, organizations like
Ethiopian Airlines Group can create a positive and productive work environment that enhances
employee satisfaction, performance, and ultimately, business success. It is essential for organizations to
continually evaluate and refine their organizational culture to ensure that it aligns with the needs and
expectations of employees in today's dynamic business environment. By nurturing a positive
organizational culture that prioritizes diversity, inclusivity, continual improvement, innovation, ethics,
collaboration, and employee well-being, Ethiopian Airline Group can achieve sustainable growth,
competitiveness, and performance within the aviation industry