The Impact of Organizational Culture on Employee Productivity the Case of Bank of Abyssinia
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Date
2025-01-20
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AAU
Abstract
This study investigates the impact of organizational culture on employee productivity at
the Bank of Abyssinia. A descriptive survey and explanatory research design, employing a
quantitative approach, were used. The study sampled 149 employees from 10 branches,
chosen through purposive and simple stratified random sampling techniques. Data were
collected using questionnaire. The quantitative data was analyzed through descriptive
and inferential analysis. The descriptive tools namely percentage, frequency, mean and
standard deviation were used. To look for patterns and relationship between the
dependent variable and independent variables, inferential (correlation and regression)
analysis were employed. The qualitative data collected through open-ended questions
was analyzed through narrative analysis. The research focused on six specific aspects of
organizational culture: leadership style, work environment, reward and recognition,
communication practices, training and development, and work-life balance, each
assessed for its influence on employee productivity. The study examines the impact of key
aspects of organizational factors on employee productivity at the Bank of Abyssinia. The
findings reveal that while employees generally perceive leadership as supportive, areas
such as decision-making, feedback, and managerial guidance require improvement. The
work environment is seen as conducive to productivity, but workplace setup and
collaboration mechanisms need enhancement. Recognition is valued, yet misalignment
between rewards and performance affects motivation, necessitating more transparent
reward systems. Communication practices contribute to job clarity, though managerial
communication and feedback effectiveness require refinement. Training and development
programs are moderately effective, but improvements in practical application and
managerial support are needed. Work-life balance is acknowledged as beneficial, yet
inadequate institutional support highlights the need for structured policies. Statistical
analysis indicates that reward and recognition, work-life balance, and leadership style
are the most significant predictors of productivity. Addressing these key areas will
enhance employee productivity, Several recommendations were made, including
improving decision-making processes, enhancing training programs, revising reward
structures, and fostering a supportive work-life balance. The study also suggested that
further research explore the long-term impact of organizational culture interventions and
the interactions between various cultural elements on employee performance