Effects of Organizational Citizenship Behavior on Organizational Performance: The Case of Awash Bank, Addis Ababa District
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Date
2024-05-11
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A.A.U
Abstract
Organizational Citizenship Behavior is a set of behaviors that are not part of the formal requirements of a job, but helps the effectiveness of organizations. Despite this definition, employees often consider these behaviors optional and they cannot be officially recognized for organizations. The present study investigates the effect of Organizational Citizenship Behavior (OCB) on organizational performance, focusing on Awash Bank in Addis Ababa District. Employing an explanatory research design, a quantitative approach was used and data was collected from 150 bank workers using structured questionnaires designed in five points Likert scale. To analyse the data and address the research objectives, correlation and multiple linear regression analysis were employed.
The results reveal a strong positive correlation with coefficient score of 0.926, the correlation output tells us that the predictor variables included in the model have a statistically significant association with the dependent variable (organizational performance). Altruism emerges as a robust predictor (B = .417, p < 0.001), indicating the significance of employees' willingness to assist others in driving organizational success. Similarly, civic virtue exhibits a strong positive relationship (B = 0.377, p < 0.001), emphasizing the role of pro-social behaviors in enhancing organizational outcomes. However, the study also revealed that sincerity, conscientiousness, and courtesy do not exhibit a statistically significant effect on organizational performance, indicating that, while there may not be conclusive evidence of their direct impact, further investigation is warranted to determine their potential contributions. Overall, this study contributes to the understanding of the link between organizational citizenship behaviour and performance and highlights the importance of various employees’ traits in the context of the Bank. Based on the study's findings, Awash Bank should prioritize positive organizational citizenship behaviors such as altruism, integrity, civic virtue, and sportsmanship through training programs and recognition systems. Thus, managers should enhance effective nurturing of desired behaviors, and a balance should be struck between individual traits and organizational needs. Fostering a culture of positive Organizational Citizenship Behavior and investing in further research and development initiatives are also recommended to foster continuous improvement and innovation within the Bank.