The Effect of Work Environment on Employees Performance on Selected Private Banks of Ethiopia

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Date

2023-07-18

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AAU

Abstract

The aim of this study was to investigate the effect of working environment on employee’s performance in the instance of five selected private banks in Ethiopia by comparing them regarding the four factors. The investigation was carried out using a method known as a descriptive research design. Two hundred Employees received surveys to complete on their own. Considering the 180returned survey forms Response rates were 90%.It allows the researcher to use the SPSS version 23 statistical tool to carry out the data analysis. Multiple regression, correlation, and descriptive analyses were therefore carried out. According to the correlation analysis, Physical Environment, Training/ Development, Communication with Supervisor and Job Aid in Work place are positively and highly associated with performance of the employee. The results of the multiple regression analysis showed Physical Environment (β=0.164), Training/ Development (β=0.22), Communication with Supervisor (β =0.217), and Job Aid in Work place (β =0.251) has an important impact on employee’s performance. The regression analysis also demonstrates (adjusted R square =0.575, p<0.05) this implies 57.5 % alterations in employee’s performance explained by a change in each independent variable individually of working environment. In general, this study revealed a favorable and strong correlation between working environment and employee’s performance in those selected banks. The report suggests those banks to keep their training and development and improve some physical environment on their other to keep them happy as those head office branch and improve communication problem of some of their senior staff and supervisor and do more on job aid at work place.

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