The Effect of Internal Marketing on Organizational Commitment: The case of Zemen Bank
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Date
2018-06-19
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Addis Ababa University
Abstract
The objective of this study was to determine the effect of internal marketing on organizational commitment in the case of Zemen Bank. The population of interest in this study was employees of Zemen bank operating in Addis Ababa head office and main branch. Five dimensions of internal marketing namely: inter functional coordination, training, understanding and differentiation, integration and motivation and job satisfaction was the independent variables, on the other hand organizational commitment (Affective commitment, Continuance commitment and Normative commitment) was the dependent variable. The study employed a survey (structured questionnaire) with a five likert scale, 212 employees were sampled from which 187 respondents returned fully completed questionnaires (87% response rate). A quantitative study with explanatory research design, Simple random sampling specifically lottery method was used; SPSS 20 was used to analyze descriptive statistics to show the demographic characteristics of the respondents and inferential statistics (multiple regression and multiple correlation) to show the effect of each dimension on organizational commitment and to show their relationship as well. Data analysis indicated that understanding & differentiation and job satisfaction have positive and statistical significant effects on the organizational commitment of employees in Zemen banks. Therefore if the bank desires to ultimately provide a better service experience for their employees, it is recommended that more attention should be directed toward enhancing organizational commitment among personnel by focusing on these two internal marketing dimensions (job satisfaction and understanding & differentiation).
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Internal marketing, organizational commitment, Zemen bank