Factors Affecting Employee Engagement: the case of Commercial Bank of Ethiopia
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Date
2018-06
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Addis Ababa University
Abstract
Employee Engagement (EE) is the key focus of any organization in gaining competitive
advantage; hence, employee engagement is the best tool for achieving it. In fact, employee
engagement is considered to be the most powerful factor to measure an organization’s strength
and orientation towards superior performance for goal achievement. Commercial Bank of
Ethiopia is one of the business organizations where Employee Engagement is an important issue
that determines towards such a superior performance. In spite of its appreciating benefit of EE
for enhanced performance, it didn’t get any considerable attention from the side of management .
Thus, the objective of the study is to examine factors that affect EE for the case of Commercial
Bank of Ethiopia. To achieve this objective, the study adopts a quantitative research approach,
through the use of questionnaire provided predominantly descriptive data. A total of 410
questionnaires are distributed and 386 of them are returned and correctly filled by the
respondents. For the study the researcher used a Multi-stage sampling technique, since the
population is dispersed over a wide geographic area. To examine these factors the study used
Ordinary Least Square (OLS) and Tobit Model of estimation technique. The result of the analysis
revealed that, except for internal locus of control, all variable used in the regression such as:
Job Characteristics, Reward and Recognition, Working Environment, Organization Support and
Supervisory Support were positively affect employee engagement. More importantly it is found
out that perceived supervisory support is the strongest factor that determines employee
engagement where as the least is working environment. A major policy recommendation arising
from the results could be CBE should implement the significant factors that determine Employee
Engagement for the realization of superior performance.
Description
A thesis submitted to Addis Ababa University College of Business and Economics
Department of Management in Partial fulfillment of the requirement for the degree
of Masters in Executive Business Administration
Keywords
CBE, Job characteristics, Organizational Support, Reward and Recognition