Effects of Employees Commitment on Organizational Performance

Effects of Employees Commitment on Organizational Performance

Project / Seminar Material
Reference ID: PS-15081-TM

DEDICATION

This research material titled “Effects of Employees Commitment on Organizational Performance” is dedicated to God for his enabling grace, and to all computer enthusiasts who contributed to make life a pleasant experience during my research documentation.

ACKNOWLEDGEMENT

I extend my sincere gratitude to all those who contributed to the completion of this project. Special thanks to my Supervisor (Name of your Supervisor), the Head of Department (Name of your HOD), the Lecturers in the department of Human Resource Management (HRM), Book Authors and Profound Scholars of existing or related project material on “Effects of Employees Commitment on Organizational Performance” for their invaluable guidance, support, and expertise throughout the journey.

I am also grateful to your study area (mention any funding organizations, if applicable) for their financial assistance. This research would not have been possible without the encouragement and assistance of some stakeholders (mention any mentors, teachers, or colleagues). Additionally, I would like to acknowledge the understanding and patience of my family and friends during this endeavor. Your unwavering support has been a constant source of motivation. Thank you all for being part of this meaningful endeavor.


Effects of Employees Commitment on Organizational Performance

TABLE OF CONTENTS

PRELIMINARY PAGES


CHAPTER ONE

INTRODUCTION

  • 1.1 Introduction
  • 1.2 Background of Study
  • 1.3 Statement of Problems
  • 1.4 Aim and Objectives of Study
  • 1.5 Research Questions
  • 1.6 Research Hypothesis
  • 1.7 Significance of Study
  • 1.8 Scope of Study
  • 1.9 Limitations of the Study
  • 1.10 Definition of Terms

CHAPTER TWO

LITERATURE REVIEW

  • 2.1 Introduction
  • 2.2 Conceptual Review
  • 2.3 Theoretical Framework
  • 2.3.1 Employee Commitment
  • 2.3.2 Organization Performance
  • 2.3.3 Employees Job Satisfaction
  • 2.3.4 Reasons for Employee Commitment Motivation
  • 2.3.5 Employees Job Involvement
  • 2.4 Employee Commitment on Organization Performance
  • 2.5 Employee Commitment and Workers Performance
  • 2.6 Determinants Of Employee Commitment
  • 2.7 Empirical Studies

CHAPTER THREE

RESEARCH METHODOLOGY

  • 3.1 Introduction
  • 3.2 Research Design
  • 3.3 Population of Study
  • 3.4 Sampling and Sampling Technique
  • 3.5 Validation of Research Instrument
  • 3.6 Method of Data Collection
  • 3.7 Method of Data Analysis
  • 3.8 Questionnaire
  • 3.8.1 Interview
  • 3.8.2 Key Informants Interview
  • 3.8.3 Observation
  • 3.9 Ethical Consideration
  • 3.10 Statistical Analysis

CHAPTER FOUR

DATA ANALYSIS, RESULT AND DISCUSSION

  • 4.1 Introduction
  • 4.2 Presentation and Analysis of Data
  • 4.3 Test of Hypothesis 1
  • 4.4 Test of Hypothesis 2
  • 4.5 Test of Hypothesis 3
  • 4.6 Discussion of Findings

CHAPTER FIVE

SUMMARY, CONCLUSION AND RECOMMENDATION

  • 5.1 Introduction
  • 5.2 Summary of Findings
  • 5.3 Conclusion
  • 5.4 Recommendation

REFERENCES

APPENDIX A - “QUESTIONNAIRE”

ABSTRACT

Employee commitment can be defined as the degree to which the employee feels devoted to their organization. The study was carried out to examine the Effects of Employees Commitment on Organizational Performance. In achieving this aim, the following specific objectives were laid out to determine the effect of employee commitment in relation to job satisfaction, ascertain whether motivation improve employees’ commitment to work, and ascertain whether employee’s commitment determines organizational Performance. The research design used in this report is descriptive design, utilizing questionnaire method to obtain information from the respondents for this project. A total of 200 (two hundred) respondents were selected for this study to represent the entire population of the study. For null hypotheses were formulated and tested using the one-way ANOVA and the t-test statistical tools at zero point zero five (0.05) level of significance. Primary data were collected from the primary source which questionnaire was used as an instrument of data collection while secondary data were sources from textbooks, journals, newspapers and the internet were employed. The data were presented on a frequency distribution table and analyzed using simple percentage, while hypothesis was tested using chi-square test. The findings from this study will help to highlight those areas where there are problems among staff and thus will be of great benefit to the authorities of higher institutions and the policy makers. Based on the findings, it is recommended that the management of companies are advised to hire employees who are likely to become linked to the organization. Before they hire workers, they will have to look for congruence between the individual’s values and goals and the organization’s values and goals.


Effects of Employees Commitment on Organizational Performance

CHAPTER ONE

1.1 Introduction

Employee commitment can be defined as the degree to which the employee feels devoted to their organization (Akintayo, 2010). Employee commitment is necessary for every organization in order to have extraordinary performance for long term basis. Presently the employees want to give their outstanding performance individual as well as in the team work. Those things prove that increase the employees commitment level that actually increase the organization performance (Peace, 2014). However, employees would also want to be the part of the organization which provides a good income, secure job and opportunity for development (Hunjra, 2010). Similarly, Ongori (2007) described employee commitment as an effective response to the whole organization and the degree of attachment or loyalty employees feel towards the organization.

As a prelude to other parts of this study, this chapter will discuss the background upon which this study was initiated, the statement of problems that led to this study, the Aim and Objectives of the study. Others are Significance of the study, Scope of work, Research hypothesis and questions, Limitations of the Study and Definition of technical terms.


1.2 Background of Study

Organizations value commitment among their employees because it is typically assumed to reduce withdrawal behaviour, such as lateness, absenteeism and turnover. Hence, there is no doubt that these values appear to have potentially serious consequences for overall organizational performance. Most organizations have realized that the performance of their workers plays a vital role in determining the success of the organization (Zheng, 2010; Ajila and Awonusi, 2004). As such, it is important for employers and managers alike to know how to get the best of their workers. One of the antecedent determinants of workers’ performance is believed to be employee commitment (Ali, 2010; Ajila and Awonusi, 2004). As such, it is important for employers and managers alike to know how to get the best of their workers.

Employee commitment has become one of the most popular work attitudes studied by practitioners and researchers. Akintayo (2010) and Tumwesigye (2010) noted that one of the reasons why commitment has attracted research attention is that organizations depend on committed employees to create and maintain competitive advantage and achieve superior performance.

Commitment employees who are highly motivated to contribute their time and energy to the pursuit of organizational goals are increasingly acknowledged to be the primary asset available to an organization (Hunjra, 2010). They provide the intellectual capital that, for many organizations, has become their most critical asset (Hunjra, 2010). Furthermore, employees who share a commitment to the organization and their collective well- being are more suitable to generate the social capital that facilitates organizational learning.

Modern day Organization is concerned with the analysis and diagnosis of the factor that determine organizational effectiveness, and the planning and delivery of programmes to increase that effectiveness. Organizations want to obtain the commitment of their employees. Management would like its employees to identify with the values, norms and artefacts of the organization, hence the need for organizational culture. Management needs to explain and imbibe its culture in its employees; this will enable the employee to get familiar with the organizational system. During this process of explanation, the employee learns about the organizational culture and decides whether he can cope with it or not. This means that each organization is a learning environment. It is the proper understanding of the organizational culture that the performance of theemployee in the organization. Performance is the extent to which an individual is carrying out assignment or task. It refers to the degree of accomplishment of the task that makes up an employee’s job (Cascio, 2006).

Commitment has a rational element: Most people consciously decide to make commitments, then they thoughtfully plan and carry out the actions required to fulfill them (Meyer, et al, 2004).Because commitments require an investment of time as well as mental and emotional energy, most people make them with the expectation of reciprocation. That is, people assume that in exchange for their commitment, they will get something of value in return such as favors, affection, gifts, attention, goods, money and property. From this perspective, this paper sheds light on the importance of a multidimensional view of employee commitment. This paper starts with an assumption that the previous concept of organizational commitment may not tell the whole story about individual performance and Performance. Identifying multiple foci of employee commitment beyond the organization helps explain various motivational bases among employees toward Performance improvement efforts.

Therefore, in Nigeria where the research was carried out, the activities that was conducted is to examine the Effects of Employees Commitment on Organizational Performance.


1.3 Statement of Problems

Investigation revealed that the problem of this study bore from the fact that there is a wide discrepancy between employees’ efforts towards work and what he or she receives or get in return for that effort. In the world of work, as particularly in an organizational setting, employees and employers have traditionally made a tacit agreement: In exchange for workers’ commitment, coca cola’s governing bodies would provide forms of value for employees, such as secure jobs and fair compensation. But rather unfortunate, the employees irrespective of their level or ranking in Coca-cola.

As a result, workers in the organization have embarked on series of protest in order protect their work conditions and improve welfare package. Reciprocity affects the intensity of a commitment. When an entity or individual to whom someone has made a commitment fails to come through with the expected exchange, the commitment erodes. This study therefore, looked into the effect of employee’s commitment on organizational Performance using coca-cola, Company in Edo state.


1.4 Aim and Objectives of Study

The aim of the study is to examine the Effects of Employees Commitment on Organizational Performance. In achieving this aim, the following specific objectives were laid out as follows:

  1. To determine the effect of employee commitment in relation to job satisfaction.
  2. To ascertain whether motivation improve employees’ commitment to work, and
  3. To ascertain whether employee’s commitment determines organizational Performance.

1.5 Research Questions

The study came up with research questions so as to be able to ascertain the above stated objectives. The specific research questions for the study are stated below as follows:

  • Does motivation improve employees’ commitment to work?
  • Does the level of employee’s commitment determine organizational Performance?
  • What is the level of employee commitment in relation to job satisfaction in Coca-cola?

1.6 Research Hypothesis

In order to pursue the objective of this study, the following generalized statements have been designed to guide and aids in obtaining the result for the experiment to be conducted. For this work, the null hypothesis will be represented with H0 while the alternative hypothesis will be represented with hypothesis H1.

Hypothesis One

  • H0: There is no significant relationship between job satisfaction and employees’ commitment
  • H1: There is a significant relationship between job satisfaction and employees’ commitment

Hypothesis Two

  • H0: There is no significant relationship between motivation of employees and employees’ commitment to work
  • H2: There is a significant relationship between motivation of employees and employees’ commitment to work

Hypothesis Three

  • H0: There is no significant relationship between employee’s commitment and increased performance/Performance
  • H3: There is a significant relationship between employee’s commitment and increased performance/Performance

1.7 Significance of Study

The findings from this study will help to highlight those areas where there are problems among staff and thus will be of great benefit to the authorities of higher institutions and the policy makers. The results of this study would hopefully be significant in the sense that it would enable both the Management of universities to better understand how the various motivational factors could be harnessed to inspire staff to increase and sustain Performance.

The findings from this study would help to further highlight the likely problems of frustrations and how motivation can be used to either reduce or eliminate these problems amongst staff of the organization (Coca-cola).

This study will be of immense benefit to other researchers who intend to know more on this study and can also be used by non-researchers to build more on their research work. This study contributes to knowledge and could serve as a guide for other study.


1.8 Scope of Study

The scope of the research is focused on the Effects of Employees Commitment on Organizational Performance. The study covers the various techniques of employees commitment and theories of motivation as they impact on employees Performance in an organization. The study covers between 2010 and 2011.


1.9 Limitations of the Study

During the course of this study, many things militated against its completion, some of which are:

  1. Time Constraint: The time frame given to accomplish this project was very short due to school academic calendar and it was carried out under pressure which made the researcher not to implement some necessary features.
  2. Research material: availability of research material is a major setback to the scope of the study.
  3. Frequent power failure: This made the researcher append more money on fuel to ensure sustainable power.
  4. Financial Constraint: Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).

1.10 Definition of Terms

Morale: Moral refers to staff emotional and mental level of zeal.

Employees’ commitment: This can be defined as both a willingness to persist in a course of action and reluctance to change plans, often owing to a sense of obligation to stay the course.

Employees: Are the workers in an organization, working for the accomplishment of the organizational goals. In this study, the employees are those staffs of the organization, the Coca-cola, Edo state.

Performance: It is the relationship between the amount of one or more inputs and the amount of outputs from a clearly identified process. That is the outcome performance of an organization or individual.

CHAPTER TWO

2.0 Literature Review

2.1 Introduction

This chapter focuses on the review of related literature. A literature review includes the current knowledge as well as theoretical and methodological contributions to a particular topic. It documents the state of the art with respect to the topic you are writing. It surveys the literature in the topic selected. In this research work the literature review includes the …

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