The Influence of Effective Communication on Employee Engagement and the Successful Implementation of Organizational Strategies: The Case of Hibret Bank Addis Ababa South and East District Branches

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2024-06-20

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A.A.U

Abstract

In the dynamic and competitive business landscape, effective communication is crucial for organizational success. It plays a significant role in executing organizational strategies by fostering harmony and alignment within the company. In today’s fast-paced environment, communication is the lifeblood of any organization. Existing research predominantly examines the relationship between communication and strategy, or communication and employee engagement, but rarely integrates these aspects to explore how communication fosters employee engagement and subsequently influences a company's success in strategy implementation. This research is aimed to examine the mediating role of employee engagement in the relationship between effective communication and the successful implementation of organizational strategies at Hibret Bank's south and east district branches. A combination of descriptive and exploratory research designs was employed, and a cluster sampling technique based on geographical location was used to select a representative sample of 270 employees. Questionnaires were distributed to employees across 9 selected clusters with a total of 42 branches. Both descriptive and inferential statistical techniques were used for data analysis. Descriptive statistics, such as frequency distribution, mean, and standard deviations, were utilized, while inferential statistics included correlation and multiple linear regression methods. Results indicate that verbal communication and written communication significantly enhance strategy implementation. Additionally, efficiency of communication positively influences both strategy implementation and employee engagement. Interestingly, while verbal communication did not directly impact employee engagement, written communication and efficiency of communication were found to positively correlate with higher levels of employee engagement. Moreover, employee engagement was identified as a significant mediator in the relationships between written communication and strategy implementation, as well as between efficiency of communication and strategy implementation. These findings underscore the importance of fostering clear and efficient communication channels to drive successful strategy implementation through enhanced employee engagement

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