This document provides an introduction and background to a proposed MBA thesis that will assess the impact of organizational culture on employee performance at the Commercial Bank of Eastern District in Ethiopia. The study aims to identify which cultural aspects most influence employee performance and determine the relationship between culture and performance. It will analyze the bank's culture improvement strategies and make recommendations. The significance of the study is that it could provide insights on managing culture to enhance performance and fill gaps in understanding the local context in Ethiopia. The document outlines the research questions, objectives, variables, methodology and structure of the proposed thesis.
Operation research and its application
• Operations • The activities carried out in an organization.
• Research • The process of observation and testing characterized by the scientific method. Situation, problem statement, model construction, validation, experimentation, candidate solutions.
Operation research and its application
• Operations • The activities carried out in an organization.
• Research • The process of observation and testing characterized by the scientific method. Situation, problem statement, model construction, validation, experimentation, candidate solutions.
Introduction to operations research and mathematical modeling. Development of linear programming mathematical model. Solving linear mathematical models using the graphical method and simplex method. Integer programming and solving integer models using branch and bound method.
frank and lillian gilbreth management
lillian gilbreth scientific management
frank gilbreth and lillian gilbreth
frank gilbreth management theory
the gilbreths management
frank & lillian gilbreth
frank and lillian gilbreth contributions
lillian gilbreth
lillian gilbreth biography
lillian gilbreth scientific management
what did lillian gilbreth invent
frank gilbreth and lillian gilbreth
frank and lillian gilbreth theory
lillian gilbreth quotes
lillian gilbreth theory
frank and lillian gilbreth management
frank and lillian gilbreth management
frank gilbreth and lillian gilbreth
frank and lillian gilbreth theory
lillian gilbreth theory
frank and lillian gilbreth
lillian gilbreth biography
frank and lillian gilbreth contributions
scientific management lillian moller gilbreth
advanatges and disadvanatges of lillian and gilberth theory
A research problem is a statement about an area of concern, a condition to be improved upon, a difficulty to be eliminated, or a troubling question that exists in scholarly literature, in theory, or in practice that points to the need for meaningful understanding and deliberate investigation.
The Hawthorne effect (also referred to as the observer effect) refers to a phenomenon whereby workers improve or modify an aspect of their behavior in response to the fact of change in their environment, rather than in response to the nature of the change itself. The "Hawthorne effect" study suggested that the novelty of having research conducted and the increased attention from such could lead to temporary increases in productivity.This effect was observed for minute increases in illumination. In these lighting studies, light intensity was altered to examine its effect on worker productivity. Most industrial/occupational psychology and organizational behavior textbooks refer to the illumination studies. Only occasionally are the rest of the studies mentioned
Introduction to operations research and mathematical modeling. Development of linear programming mathematical model. Solving linear mathematical models using the graphical method and simplex method. Integer programming and solving integer models using branch and bound method.
frank and lillian gilbreth management
lillian gilbreth scientific management
frank gilbreth and lillian gilbreth
frank gilbreth management theory
the gilbreths management
frank & lillian gilbreth
frank and lillian gilbreth contributions
lillian gilbreth
lillian gilbreth biography
lillian gilbreth scientific management
what did lillian gilbreth invent
frank gilbreth and lillian gilbreth
frank and lillian gilbreth theory
lillian gilbreth quotes
lillian gilbreth theory
frank and lillian gilbreth management
frank and lillian gilbreth management
frank gilbreth and lillian gilbreth
frank and lillian gilbreth theory
lillian gilbreth theory
frank and lillian gilbreth
lillian gilbreth biography
frank and lillian gilbreth contributions
scientific management lillian moller gilbreth
advanatges and disadvanatges of lillian and gilberth theory
A research problem is a statement about an area of concern, a condition to be improved upon, a difficulty to be eliminated, or a troubling question that exists in scholarly literature, in theory, or in practice that points to the need for meaningful understanding and deliberate investigation.
The Hawthorne effect (also referred to as the observer effect) refers to a phenomenon whereby workers improve or modify an aspect of their behavior in response to the fact of change in their environment, rather than in response to the nature of the change itself. The "Hawthorne effect" study suggested that the novelty of having research conducted and the increased attention from such could lead to temporary increases in productivity.This effect was observed for minute increases in illumination. In these lighting studies, light intensity was altered to examine its effect on worker productivity. Most industrial/occupational psychology and organizational behavior textbooks refer to the illumination studies. Only occasionally are the rest of the studies mentioned
2018 Inner Compass Magazine - Moving the World to a Better Place: Business, S...GCSEN Foundation
Moving the World to a Better Place: Business, Social Entrepreneurship, and Social Good. Article published in Issue #3 of Inner Compass Magazine.
The Inner Compass is an annually published magazine complete with illustrations, data, visual graphics, as well as excerpts of real world case studies. Designed to transcend the static page and spur dynamic dialogue on key issues, the articles included link seamlessly to a multi-media portal. Through the use of these multi-media links the Inner Compass encourages debate and discussion as it focuses on creating value-based leadership as its readers analyze business, human rights, and social justice.
Partnered with faculty, students, and alumni of Jesuit colleges and universities in over 112 countries, The Inner Compass is a companion publication to the Global Jesuit Case Series. The underlying objective of this and all the products we are developing is to transform how we do business, recognizing the narrow focus on shareholders and individual wealth accumulation as fundamentally flawed and unsustainable, and emphasizing instead a more holistic values-centered approach, inspired by the Ignatian principles of service, justice, human dignity, and compassion for others.
International Journal of Engineering Research and Development (IJERD)IJERD Editor
journal publishing, how to publish research paper, Call For research paper, international journal, publishing a paper, IJERD, journal of science and technology, how to get a research paper published, publishing a paper, publishing of journal, publishing of research paper, reserach and review articles, IJERD Journal, How to publish your research paper, publish research paper, open access engineering journal, Engineering journal, Mathemetics journal, Physics journal, Chemistry journal, Computer Engineering, Computer Science journal, how to submit your paper, peer reviw journal, indexed journal, reserach and review articles, engineering journal, www.ijerd.com, research journals,
yahoo journals, bing journals, International Journal of Engineering Research and Development, google journals, hard copy of journal
Inclusion and upgrading of women-owned bamboo micro-enterprises - FMCTheBambooLink
This working paper explores how value chain dynamics and variegated institutional environments affect the prospects for inclusion/exclusion and economic upgrading of women-owned micro-enterprises to the Indian bamboo value chain.
Corporate Social Responsibility Practices of Commercial Banks in Bangladesh: ...IOSR Journals
This paper explores how private commercial banks practices Corporate Social Responsibility (CSR) in Bangladesh in conserved the case of Southeast Bank Ltd.. In keeping with global movement, CSR is being seen as the source of new competition edge for the banking sectors of Bangladesh. Banks’ of Bangladesh practices CSR to not only improve community relations but also as source of significant commercial benefit. Southeast Bank Ltd. practices CSR under the rules and regulation of Bangladesh Bank. The study based on annual report of 2012 of Southeast Bank Ltd. This study shows that Southeast Bank expenses BDT36.85 million in the year 2012 in the area of education, health, community development, environmental issue, art and culture, sports etc.. Nevertheless, bank expenses highest amount in education sector through scholarship program in Bangladesh whereby school, college and university education tuition and expenses have fully paid for unconditionally. The study can help banking manger’s understand what should be done for the benefits of customers and the community for sustainability.
Accountability in Complex Organizations: World Bank Responses to Civil SocietyDr Lendy Spires
Among institutions of global governance, the World Bank is one of the most visible and most frequently targeted by civil society organizations (CSOs) located in both the global North and South.
The critiques vary widely. On one hand are those who see the Bank as the fount of a neoliberal globalizing agenda responsible for increasing poverty and indebtedness by promoting inequitable projects and policies. On the other hand are those who see the institution as a necessary multilateral actor in global development, but much in need of reform. The tactics of these civil society critics have also varied greatly, ranging from highly visible protests and confrontations about social and environmental impacts of Bank activities, to more collaborative efforts with management and staff in order to gain influence from the inside. What difference has this civil society activism made?
More specifically, how and to what extent have civil society actors furthered the accountability of the World Bank to its constituents? The case of the World Bank is important to the central question of this volume for two main reasons: the Bank has not only been a major target of civil society activism, but it has also been comparatively responsive in developing various forms of engagement with civil society, possibly more than any other multilateral institution. We begin this paper with a brief introduction to the World Bank, followed by a set of normative arguments on the key accountability challenges facing the institution. We then provide an overview of the accountability mechanisms currently in place at four different organizational levels in the World Bank.
While this approach does not enable an investigation of each mechanism in depth, it has the advantage of situating accountability efforts within a complex organizational landscape, and the roles of civil society actors within it. We then discuss, in more detail, efforts undertaken by civil society groups to increase accountability — especially in terms of the Bank’s own policies and projects. We note both the successes and failures of these reform efforts.2 Finally, we close with some reflections on the implications of our analysis for understanding the deeper structural conditions of global governance.
The Strategic Plan Implementation Of Community Empowerment Through Micro, Sma...inventionjournals
Blitar is one of town which is active in developing local economic based on cooperation and Usaha Mikro Kecil dan Menengah (UMKM). In strategic planning department of cooperation and UKM Blitar has a goal to improve the lives and build independent society. The aim of this study is to describe and analyzing the strategic planning, implementing the strategic planning and role of stakeholders in productivity society through UMKM to develop independent society. Research methods use qualitative descriptive that explains how the implementation of strategic planning in society productivity through UMKM in empowerment independent society. Data collection technique is through observation, interviews, and documentation. The method of analyzing the data is using data reduction, data display, and drawing conclusion. The result of this study is the aim and target of strategic plan at cooperation service UKM Blitar have accurate target, seeing at many UMKM at Blitar and can get many labor forces. UMKM is one of economic pillar at Blitar so, it is expected that UMKM can be developed continuously and develop independent society. The strategy of empowerment UMKM Blitar they are increasing partnership network, increasing human resource quality cooperation and UKM, strengthening monetery capital and cooperation business and UMKM and improve a volume of business. But, a Blitar government should be more active to socialize the productivity that has been existed, because many society that it do not know about the program. Stakeholders involved include Blitar cooperation and UKM department, bank, private sector, academia, LSM, BAPPEDA, and the city parliament Blitar. With empowerment it is expected to be able to decrease the poverty volume and unemployment in Blitar society can be independent.
Similar to 1 research proposal done on CBE eastern district.docx (20)
What is the TDS Return Filing Due Date for FY 2024-25.pdfseoforlegalpillers
It is crucial for the taxpayers to understand about the TDS Return Filing Due Date, so that they can fulfill your TDS obligations efficiently. Taxpayers can avoid penalties by sticking to the deadlines and by accurate filing of TDS. Timely filing of TDS will make sure about the availability of tax credits. You can also seek the professional guidance of experts like Legal Pillers for timely filing of the TDS Return.
Skye Residences | Extended Stay Residences Near Toronto Airportmarketingjdass
Experience unparalleled EXTENDED STAY and comfort at Skye Residences located just minutes from Toronto Airport. Discover sophisticated accommodations tailored for discerning travelers.
Website Link :
https://skyeresidences.com/
https://skyeresidences.com/about-us/
https://skyeresidences.com/gallery/
https://skyeresidences.com/rooms/
https://skyeresidences.com/near-by-attractions/
https://skyeresidences.com/commute/
https://skyeresidences.com/contact/
https://skyeresidences.com/queen-suite-with-sofa-bed/
https://skyeresidences.com/queen-suite-with-sofa-bed-and-balcony/
https://skyeresidences.com/queen-suite-with-sofa-bed-accessible/
https://skyeresidences.com/2-bedroom-deluxe-queen-suite-with-sofa-bed/
https://skyeresidences.com/2-bedroom-deluxe-king-queen-suite-with-sofa-bed/
https://skyeresidences.com/2-bedroom-deluxe-queen-suite-with-sofa-bed-accessible/
#Skye Residences Etobicoke, #Skye Residences Near Toronto Airport, #Skye Residences Toronto, #Skye Hotel Toronto, #Skye Hotel Near Toronto Airport, #Hotel Near Toronto Airport, #Near Toronto Airport Accommodation, #Suites Near Toronto Airport, #Etobicoke Suites Near Airport, #Hotel Near Toronto Pearson International Airport, #Toronto Airport Suite Rentals, #Pearson Airport Hotel Suites
Unveiling the Secrets How Does Generative AI Work.pdfSam H
At its core, generative artificial intelligence relies on the concept of generative models, which serve as engines that churn out entirely new data resembling their training data. It is like a sculptor who has studied so many forms found in nature and then uses this knowledge to create sculptures from his imagination that have never been seen before anywhere else. If taken to cyberspace, gans work almost the same way.
3.0 Project 2_ Developing My Brand Identity Kit.pptxtanyjahb
A personal brand exploration presentation summarizes an individual's unique qualities and goals, covering strengths, values, passions, and target audience. It helps individuals understand what makes them stand out, their desired image, and how they aim to achieve it.
Affordable Stationery Printing Services in Jaipur | Navpack n PrintNavpack & Print
Looking for professional printing services in Jaipur? Navpack n Print offers high-quality and affordable stationery printing for all your business needs. Stand out with custom stationery designs and fast turnaround times. Contact us today for a quote!
Enterprise Excellence is Inclusive Excellence.pdfKaiNexus
Enterprise excellence and inclusive excellence are closely linked, and real-world challenges have shown that both are essential to the success of any organization. To achieve enterprise excellence, organizations must focus on improving their operations and processes while creating an inclusive environment that engages everyone. In this interactive session, the facilitator will highlight commonly established business practices and how they limit our ability to engage everyone every day. More importantly, though, participants will likely gain increased awareness of what we can do differently to maximize enterprise excellence through deliberate inclusion.
What is Enterprise Excellence?
Enterprise Excellence is a holistic approach that's aimed at achieving world-class performance across all aspects of the organization.
What might I learn?
A way to engage all in creating Inclusive Excellence. Lessons from the US military and their parallels to the story of Harry Potter. How belt systems and CI teams can destroy inclusive practices. How leadership language invites people to the party. There are three things leaders can do to engage everyone every day: maximizing psychological safety to create environments where folks learn, contribute, and challenge the status quo.
Who might benefit? Anyone and everyone leading folks from the shop floor to top floor.
Dr. William Harvey is a seasoned Operations Leader with extensive experience in chemical processing, manufacturing, and operations management. At Michelman, he currently oversees multiple sites, leading teams in strategic planning and coaching/practicing continuous improvement. William is set to start his eighth year of teaching at the University of Cincinnati where he teaches marketing, finance, and management. William holds various certifications in change management, quality, leadership, operational excellence, team building, and DiSC, among others.
Memorandum Of Association Constitution of Company.pptseri bangash
www.seribangash.com
A Memorandum of Association (MOA) is a legal document that outlines the fundamental principles and objectives upon which a company operates. It serves as the company's charter or constitution and defines the scope of its activities. Here's a detailed note on the MOA:
Contents of Memorandum of Association:
Name Clause: This clause states the name of the company, which should end with words like "Limited" or "Ltd." for a public limited company and "Private Limited" or "Pvt. Ltd." for a private limited company.
https://seribangash.com/article-of-association-is-legal-doc-of-company/
Registered Office Clause: It specifies the location where the company's registered office is situated. This office is where all official communications and notices are sent.
Objective Clause: This clause delineates the main objectives for which the company is formed. It's important to define these objectives clearly, as the company cannot undertake activities beyond those mentioned in this clause.
www.seribangash.com
Liability Clause: It outlines the extent of liability of the company's members. In the case of companies limited by shares, the liability of members is limited to the amount unpaid on their shares. For companies limited by guarantee, members' liability is limited to the amount they undertake to contribute if the company is wound up.
https://seribangash.com/promotors-is-person-conceived-formation-company/
Capital Clause: This clause specifies the authorized capital of the company, i.e., the maximum amount of share capital the company is authorized to issue. It also mentions the division of this capital into shares and their respective nominal value.
Association Clause: It simply states that the subscribers wish to form a company and agree to become members of it, in accordance with the terms of the MOA.
Importance of Memorandum of Association:
Legal Requirement: The MOA is a legal requirement for the formation of a company. It must be filed with the Registrar of Companies during the incorporation process.
Constitutional Document: It serves as the company's constitutional document, defining its scope, powers, and limitations.
Protection of Members: It protects the interests of the company's members by clearly defining the objectives and limiting their liability.
External Communication: It provides clarity to external parties, such as investors, creditors, and regulatory authorities, regarding the company's objectives and powers.
https://seribangash.com/difference-public-and-private-company-law/
Binding Authority: The company and its members are bound by the provisions of the MOA. Any action taken beyond its scope may be considered ultra vires (beyond the powers) of the company and therefore void.
Amendment of MOA:
While the MOA lays down the company's fundamental principles, it is not entirely immutable. It can be amended, but only under specific circumstances and in compliance with legal procedures. Amendments typically require shareholder
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
Implicitly or explicitly all competing businesses employ a strategy to select a mix
of marketing resources. Formulating such competitive strategies fundamentally
involves recognizing relationships between elements of the marketing mix (e.g.,
price and product quality), as well as assessing competitive and market conditions
(i.e., industry structure in the language of economics).
1 research proposal done on CBE eastern district.docx
1. I
ASSESSING THE IMPACT ORGANIZATIONAL
CULTURE HAS ON EMPLOYEES’ PERFORMANCE
INCASE OF COMMERCIAL BANK OF EASTERN
DISTRICT
MBA THESIS PROPOSAL
By: ILIYAS SUFIYAN ABDELLA
RIFT VALLEY UNIVERSITY
HARAR CAMPUS
DEPARTMENT OF MBA
JUNE 2022
HARAR, ETHIOPI
2. II
ASSESSING THE IMPACT ORGANIZATIONAL
CULTURE HAS ON EMPLOYEES’ PERFORMANCE
INCASE OF COMMERCIAL BANK OF EASTERN
DISTRICT
MBA THESIS PROPOSAL
By: ILIYAS SUFIYAN ABDELLA
RIFT VALLEY UNIVERSITY
HARAR CAMPUS
DEPARTMENT OF MBA
ADVISOR: DEBELE TEZERA(PhD)
3. III
TABLE OF CONTENT
Contents Page No.
Key words------------------------------------------------------------------------------------------------I
Table of content-------------------------------------------------------------------------------------- II
List of figures and Tables----------------------------------------------------------------------------IV
Acronyms ----------------------------------------------------------------------------------------------V
Chapter One --------------------------------------------------------------------------------------------1
1. Introduction----------------------------------------------------------------------------------------1
1.1.Background of the study ------------------------------------------------------------------1
1.2.Statement of the problem------------------------------------------------------------------2
1.3.Research Question--------------------------------------------------------------------------3
1.3.1 Operational definition of the variables--------------------------------------------4
1.4.Objectives of the study --------------------------------------------------------------------6
1.4.1. General objective --------------------------------------------------------------6
1.4.2. Specific objective --------------------------------------------------------------6
1.5.Significant of the study --------------------------------------------------------------------6
1.6.Delimitation of the study------------------------------------------------------------------7
1.7.Definition of Teams------------------------------------------------------------------------7
1.8.Organization of the study -----------------------------------------------------------------8
Chapter Two -------------------------------------------------------------------------------------------9
2. Literature Review ---------------------------------------------------------------------------------9
2.1.Organizational culture ----------------------------------------------------------------------9
2.1.1. Characteristics of organizational culture-----------------------------------12
2.1.2. Elements of organizational culture-----------------------------------------13
2.1.3. Benefits of organizational culture------------------------------------------15
2.2.Employee performance---------------------------------------------------------------------16
2.2.1. Measuring performance toward organizational success-----------------17
2.3.Theoretical analysis-------------------------------------------------------------------------19
2.3.1. Schein's theory of organisational culture----------------------------------20
2.3.2. Hofethed’s cultural dimension theory--------------------------------------21
2.3.3. McGregor’s Theory X and Theory Y --------------------------------------22
2.3.4. Denison’s model---------------------------------------------------------------23
2.3.5. Deal and Kennedy’s model---------------------------------------------------24
2.3.6. O'Reilly, Chatman and Caldwell model-----------------------------------25
2.4. Theoretical and conceptual framework--------------------------------------------------25
4. IV
Chapter Three-----------------------------------------------------------------------------------------27
3. Research design and methodology-------------------------------------------------------------27
3.1. Sources of data---------------------------------------------------------------------------27
3.1.1. Primary source of data------------------------------------------------27
3.1.2. Secondary source of data---------------------------------------------27
3.2. Research design---------------------------------------------------------------------------28
3.2.1. Sampling technique----------------------------------------------------28
3.2.2. Sampling procedure and sample size--------------------------------28
3.3. Data collecting technique-----------------------------------------------------------------29
3.4. Data preparation, Presentation and analysis--------------------------------------------29
4. Time and Budget Schedule----------------------------------------------------------------------31
Time schedule------------------------------------------------------------------------------31
Budget Schedule---------------------------------------------------------------------------32
5. Bibliography---------------------------------------------------------------------------------------33
5. V
Keywords: Organisational Culture, Employee Performance And Eastern District
Commercial Bank Of Ethiopia
LIST OF FIGURES AND TABLES
Figures
Figure 1________Operational definition of the variables
Figure 2________ Theoretical and conceptual frame work
Tables
Table 1 ________ Schein's theory of organisational culture
Table 2________ CBE human resource department, 2022
Table 2_________ Time schedule
Table 3 ________ Budget schedule
6. VI
ACRONYMS
BS ____________ Balanced Score Card
CEO __________ Chief Executive Officer
CBE __________ Commercial Bank of Ethiopia
OCP __________ Organizational Culture Profile
HR ___________ Human Resource
Km __________ Kilometre
SPSS _________ Statistical Package for Social Science
Vs. ________ Versus
7. 1
CHAPTER ONE
1. Introduction
1.1 Background of the study
Commercial Bank of Ethiopia (CBE) is one of the oldest public banks
established in 1942 as a State Bank. Since then, CBE has gone through
different reforms and mergers coming out as one of the most reputable and
biggest commercial banks in the country. It has more than 22 million account
holders in its 1500 plus branches stretching throughout the country. Its
outreach to individual depositors, small and medium scale businesses and
private and public mega investment projects has made it the largest single
bank in the country to have a significant impact on the economy of the
country. CBE played a significant role as both the engine of the country’s
economic growth and mobilizing savings for further investment. In its effort in
being part of the solution for the environmental degradation and its
subsequent impact on individual citizens and businesses, CBE has the
capacity to reach out to millions in both increasing awareness and building
adaptive capacity through providing environmentally friendly credit lines.
Furthermore, as a responsible corporate institute, CBE has the mandate to
formulate Environmental and Social internal policies that reflect the current
local and global climate change realities and its subsequent impacts
particularly on its business customers and partners throughout the country.
CBE strongly believes and understands that there is an impact on communities
and the environment due its business activities which in turn will have a
significant risk on its credit lines and the overall economic growth of the
country. There need to be a comprehensive policy and guidelines that
incorporates the bank’s direct and indirect activities which creates impact on
economies, communities and the environment in which it operates. There is
8. 2
also a common consensus among the executive management, if these impacts
are not timely addressed in a systematic and comprehensive way, there could
be a significant question on the sustainability of the bank’s finance and
reputation not to mention its contribution to the economic growth of the
country. Therefore, this Environmental and Social Policy is stipulated in
anticipation of the current Environmental and Social risks while contributing
its fair share towards the national agenda of building the resilient capacity of
the climate change victim communities, businesses and projects. Furthermore,
CBE as a giant commercial bank in the country would like to be a pioneer and
role model for other public and private institutions in creating awareness of its
internal activities and reducing its environmental carbon footprints. The
stipulated Environmental and Social Policy will be fundamental component of
CBE’s Environmental and Social Management System (ESMS), which will be
led by pool of experts after it gets approval by the board of the bank. The
framework of ESMS will incorporate the specific Environmental and Social
policy and it’ll also sets the pace for suitable procedures and work..
Organizations do not exist in a vacuum but in a specific culture or socio-cultural environment.
Culture is a concept rooted in Anthropology and Sociology, where it is a key term in explaining
the existence and nature of social order culture is the shared norms and values of a social system
which are a most important aspect of a society. Culture is the collective programming of the
mind and distinguishes the member of one group or category from another and culture is
conceptualised as an aggregation of attitudes, values, norms, style, consumption and general
world view of life; its perception, expression and utility by a people that identify and distinguish
them from other people (Hofstede 1991).
One pervasive feature that distinguishes contemporary life from life in the ancient times is the
domination by large, formal and complex organizations. Modern man is everywhere in
organizations. Man is born into organizations, lives in organizations, works for organizations and
even dies in organizations. These organizations have become an inevitable feature of life. An
organization is defined as basically a structure for carrying out a particular social activity on a
9. 3
regular basis. In organization; employees are the most valuable assets and a very important
resource of a business. From planning to implementation of rules and strategies, employees are
the core ingredient. If organization were a machine, and its system would be an engine that runs
the machine, then employees would be the parts and nuts and bolts that hold the system together;
without these parts engine would just not work. To make sure that the engine keeps working in
order to keep the machine functioning properly, these nuts and bolts and engine parts need to be
greased properly. Culture acts as grease that keeps these engine parts, employees, work properly
Culture is a wide and multidimensional concept that one cannot hope to deal with in its entirety
in a single study. This is because culture is divided into two major aspects in Anthropological
and Sociological studies. The two major aspects of culture are (i) material and (ii) non-material
cultures. Material cultures overt and explicit, such as products of industry, technology, art, that
is, every visible or concrete acquisition of man in society, artefacts, such as bridges, pots,
cutlasses, hoes, houses, cooking utensils, handicrafts. These are directly observable as the
cultural products of any society. The non-material aspects of culture consist of the knowledge,
philosophy, morals, languages, motivation, attitudes, values, and norms shared and transmitted in
a society. The non-material includes work values, ethos, ideology and other behavioural traits
exhibited at work. These are sometimes referred to as the covert or implicit aspects of culture
and are acquired by members of a society. They are not visible or tangible but they are
manifested through the psychological states and behaviour of a people. The focus in this study is
on the non–material aspects of culture. Here, culture is treated as the independent variable and
the concept that determines other behaviour traits exhibited at work. The economy, politics
technology, organizational structure and context are taken as the intervening variables.
Performance is taken and treated as the dependent variable (Cotgrove, 1978).
1.2Statement of The Problem
All organizations, everywhere, function within a specific culture, and it is becoming more widely
recognized in contemporary discussions of organizational performance that managers and other
organizational practitioners have to develop an understanding of their cultural settings if their
organizations are to perform effectively. Organizational practitioners continue to be bedevilled
by a lot of management problems that have their roots in the culture of a society and those that
10. 4
impede progress toward achieving high performance. Relating to their specific cultural settings
provided the main motivation for this study. The main focus will be how to relate organizations
more closely with their cultural settings in order to enhance optimal performance. It is becoming
increasingly widely accepted among social scientists, especially managers and organizational
theorists that the patterns of management and employee behaviour in the work place are largely
culture-bound and further that there is indeed a growing body of literature concerning questions
of cultural influences on organizational behaviour and performance. Companies in dynamic
industries shared cultural values that contributed to increased stability. By the early nineties;
however, a link between organizational culture and performance had been better established by
the same before mentioned (Gordon, 1985).
Given the focal position of organizational culture in this context and despite the claims for a link
between organizational culture and employee performance, few studies appear to have actually
examined the impact of organizational culture as well as the nature of relationship between the
two. Thus, this study will be aims to investigate the impact organizational culture has on
employees’ performance within CBE Eastern district
Research Question
To this end, the study will attempt to investigate and seek answers to the following research
questions: -
What is the effect of organizational culture on employee performance in relation to
the organizations desired results?
Which aspects of organizational culture are important to employees in determining
their level of work performance?
What are the major factors influencing employee performance in relation to the
organizational culture?
11. 5
What measures are being taken by the management of the organization to improve
employee performance regarding to Culture?
1.2.1 OperationalDefinition of the Variables
Based on literature, certain parameters will be taken to understand the impact of culture on the
employee’s job performance.
I. Employee Participation
Viewpoint participation of employees considered key element for setting organizational goals.
As per theory setting goals, participation of employees can increase goals acceptance. a key
attribute is participation, which is positively related to overall effectiveness of the organization.
Participation is involved in delegating tasks as per the responsibilities of individual (Schein,
1992)
II. Innovation and Risk-taking
Creativity means to produce something from nothing, whereas innovation makes a sense that
something into the goods and services. Innovation considers an environment or a culture has
almost a divine power, which exists in the organization and cause to drive value creation. And
have identified three sets of variables that are responsible for stimulating innovation;
Organization’s structure, organizations culture and HR practices (Robbins et.al, 1996).
III. Rewards system
Theory of reinforcement described that the rewards should exploit to strengthen the appropriate
behaviours and reinforces for undesirable things performance should be detached. Organization
should have the most up-to-date technology, well designed strategic plans, comprehensive job
descriptions and inclusive training courses, but unfortunately, people are being rewarded based
on performance-related behaviours of the employees, and there is a limited impact of technology,
plans or rules. Reinforcing an organization’s culture, organization’s reward system considered a
powerful tool (Luthans, 1998).
IV. Openness of Communication
Functions of the executives were; firstly, develop the thoughts of communication considered as a
key shaping strength in organization. Good communication helps the employees to keep internal
processes to run consistently and helpful to create superior association with the people, both
12. 6
within and outside the organization. According to the viewpoint, effective communication plays
a very important role in industrial disagreements, miscommunication, gossips, and organizational
divergences (Ibid).
V. Customer Service Orientation
Employees observe the organization’s procedures as believing them well and giving wisdom of
society at workplace and got the customers report regarding the quality of services. High
service's quality could be resulted when the organizational culture communicates advanced
customer service at the top (Joel & Michelle, 2000).
Figure 1. Independent and Dependent variable
13. 7
1.3Objectives of The Study
1.3.1 General Objective
The primary objective of this study will be to assess the effect of organizational culture on
employee performance, in the case of CBE Eastern district
1.3.2 Specific Objectives
Thus, In view of answering the above research questions, the study will address the
following specific objectives:
To assess how the prevailing organizational culture in CBE contributes to the employee’s
loyalty and commitment to achieve the goals
To identify which cultural variables influence employee performance positively and
negatively,
To determine empirically the relationship between organizational culture and employee
performance,
To analyze the role of organizational culture in an employees’ performance improvement
strategies,
To evaluate business organization in order to ascertain the type of encouraging
performance vital for growth and development,
To suggest the measures to improve the conducive organizational cultural for a better
employee performance.
1.4Significance of the study
One of the significant aims of this study will be add value to the body of existing
knowledge in organizational culture and management, to come up with findings that can
be used to tackle problems arising from work situations.
The study will have expected to provide adequate information on how culture and values
can affect employee’s performance at a place of work. The study’s finding will be used to
enrich the thinking of top management on how to develop good image of the company
through enriching the company’s culture and values among its employees.
The study will also be a source of information for improvement effectiveness of the CBE
14. 8
Management and employees in general. Furthermore, the findings will strive to re-orient
the thinking and identifying a number of issues as being particularly important to the
relationship between how people are managed and the performance of the business.
Presently, there is a considerable body of literature on the relationship between culture
and organizational performance. However, it is sad to observe that most of these studies
are carried out in different socio-cultural contexts. Therefore, these findings will not be
invoked with full confidence in understanding the Eastern Ethiopian situation. In the light
of this observation, it is envisaged that the results of this study will fill some gaps and at
the same time make modest contributions to knowledge
1.5Delimitation of the Study
The study will be confined to Eastern District of Commercial Bank of Ethiopia, only at Head
quarter section of Harar, although, the Bank is a broad institution, with special attention on
reforms under National Bank of Ethiopia. The study will be mainly tries to assess the employee
perception on the impacts of organization culture towards performance after the implementation.
1.6. Definition of terms
The following terms may have different meaning. However, they will have exclusive operational
definition for this specific study.
Employee performance is the job related activities expected of a worker and how
well those activities were executed.
The Statistical Package for the Social Sciences (SPSS)is a software package used
in statistical analysis of data.
The Organizational Culture Profile (OCP) is an instrument initially developed by
O'Reilly, Chatman, and Caldwell (1991) to assess person- organization fit.
Cultural variables are differences in behaviour, outlook and values between people
from different societies.
The balanced scorecard (BSC) is a strategic planning and management system that
organizations use to: Communicate what they are trying to accomplish.
15. 9
1.8 Organization of the Study
The paper will be organized in five main chapters, the first chapter will cover the introduction
part which containing, the background of the study, statement of problem, objective of the study,
significance of the study, delimitation of the study, scope of the study and limitation of the study,
the second chapter deals with summarize review of literature which includes related theoretical
literature review that are related with Commercial Bank of Ethiopia Eastern district will be
reviewed.
The third chapter will be data collection and methodology, questioners are also will be used, the
fourth chapter will cover analysis and presentation, the secondary as well as primary data will be
analyzed and interpreted in this chapter also presents.
The final chapter will be conclusions and policy recommendations and remarks will be
obtainable, this last chapter reveals conclusions and policy implications of the study, the
concluding remarks and their policy implications will be presented as preface and appendix at
the beginning and ending part of the study.
16. 10
CHAPTER TWO
2. LITERATURE REVIEW
2.1 OrganizationalCulture
It was then developed as a concept by the business management authors in the United States.
The concept of organizational culture entered the literature with an article in Administrative
Science Quarterly published in 1979.Organizational culture is one of the most popular subject
matters in business and management, although in the organization theory literature, there is no
consensus on its definition and scope, accordingly there is widespread disagreement on the
definition and scope of the organizational culture concept stems from the following reasons
(Hofstede et.al., 1990).
Treating culture as a unitary concept reduces its value as an analytic tool.
Culture cannot be equated to power, politics or climate.
There has not been a consensus on whether organizational culture can be easily
changed
Organizational culture as series of basic assumptions a group makes in a specific order in order
to solve the issues of external adaption and internal integration. Organizational culture as the
collective programming of the mind, distinguishing the members of one group or category of
people from others. National and organizational cultures are phenomena of different structures.
At the national level, cultural differences reside in values, while, at the organizational level, they
reside in practices. Moreover, practices are the visible parts of culture, whereas values are the
invisible parts. Therefore, practices are subject to planned change, whereas values, although they
do change, they cannot be subject to planned change. Organizational culture as everything that
people have, think and do as members of their society Organizational culture is a concept that
represents the character of an organization, which directs employees in their daily working
relationships and guides them on how to behave and communicate within the organization. As
well as manifesting in an organizations' structure (schien, 1985).
17. 11
organizational culture as an important factor that influences the performance of an organization
have demonstrated that organizational culture is a source of knowledge since it enables
employees to create, acquire, share and manage knowledge. Organizational culture has a strong
bond with the competitive performance of a company that performance comes from
interdependent behaviour like cooperation, knowledge sharing and mutual assistance. Almost all
definitions of organizational culture express the sets of goal and values members of that culture
possess. Furthermore, the meanings and values that constitute organizational structure are based
on symbols, behaviours and structures held by organization members. Organizational culture
represents a perception that organization members have. However, this does not mean that
subcultures cannot be developed within an organization. Large organizations have one dominant
culture together with many subcultures. Dominant culture corresponds to common values shared
by the majority of the organizations ‘members. The culture of an organization denotes the
dominant culture of an organization (de Hilalet.al., 2009).
Organizational culture is the sum of individuals' cognitive perceptions that are developed in
relation to individuals' experience and character and also the interaction of both, as well as the
processes and events followed by the organization, including individuals’ perceptions of
workplace and of their own job. "Poorly performing employees, poor work quality, low levels of
loyalty to the organization, high levels of absenteeism and employee turnover rate, alcoholism,
stress and a bad day” are the manifestations of a problematic organizational culture Criteria that
are significant in terms of culture in an organization are appraised both in the short and long
term. Felt work load, limits of an employee's authority, clearly defined job definitions, inter-
employee relationships, feedback, team work and support, felt levels of openness and efficiency
of work objectives are among the criteria which are usually appraised in the short term. On the
other hand, long-term orientation dimension deals with factors such as loyalty and morale, felt
effectiveness of training programs, career development and felt service quality. These
dimensions serve to examine organizations in terms of four general bipolar descriptive types:
These dimensions are (Fletcher & Jones, 1992):
i. Homogeneous vs. Heterogeneous Culture
18. 12
ii. Enriched vs. Managed Culture
iii. Developing vs. Stationary Culture
iv. Balanced vs. Dissonant Culture
Organizational culture also reflects how it is perceived by the external entities, its values and
social standards, as well as its relationship forms and levels with other organizations and
individuals. Therefore, culture with such a function, is one of the most significant tools of an
organization which serves to tie organization to society and identify the place, importance and
even success of the organization in relation to society. Each organizational culture carries the
influences of the social culture and of other organizational cultures it interacts with, hence being
continuously shaped by them. Culture does not come into conflict with the society. If a new
culture is in harmony with the norms and values of the society, it could significantly contribute
to that society (Eren, 2010).
Culture is regarded as the software of mind that the culture of an organization has a lasting
impact on the performance and it is an important factor in determining the success or failure of
organizations over the coming decades. Different organizations have different cultural profiles. It
is possible that different organizations have organizational culture that does not allow the
achievement of a high performance, and this happens also in cases when the organization
consists of intelligent and logical persons, but such a kind of culture contributes to the deterrence
of the organization performance. The culture/ performance perspective establishes a relation
between strong culture and high performance (Hofstede et.al., 1990). In a strong organizational
culture, almost all the managers share common positions for the values and methods of doing
business. New employees adapt quickly to these values. The logic of how strong culture relates
to performance includes some certain ideas - the sequencing and coordination of goals come
first. In strong culture companies, employees tend to move in the same direction. The CEO of a
medium sized organization says: "I cannot imagine trying to operate in a weak or non-existent
cultural business, because it means that everybody guides their actions in 100 different ways",
therefore, there are no common ways of doing things, or the culture does not exist, thus putting
the organization at the risk of failing to unify the staff efforts to achieve the goals. Strong
cultures enhance business performance because they create a high motivation level for
19. 13
employees. This sense of ownership or loyalty makes people make great efforts and probably
reach a high achievement (Kotter&Heskett, 1992).
2.1.1. Characteristics of Organizational Culture
According to Eren, E. Four characteristics of organizational culture (Eren, 2010: 138):
Organizational culture is a learned or acquired phenomenon.
Organizational culture should be shared by the group members.
Organizational culture is not in the written text format.
Organizational culture exists in the mindset, consciousness and mind of the group
members as beliefs and values.
According to Robbins and Judge organizational culture reveals itself as steady repetitive or
emerging behavioural patterns. Seven basic characteristics of organizational culture (Robbins
and Judge, 2011: 554):
Innovation and risk taking: The extent employees are being supported in innovation and
taking risk;
Attention to detail: The extent employees pay attention to the obvious details;
Outcome orientation: The extent the management focuses on the results rather than the
procedures,
People orientation: The extent the management considers the impact of the results on the
employees in the organizations,
Team orientation: The extent employees can work as a team rather than acting
individually,
Aggressiveness: The extent employees are entrepreneurial and competitive,
Stability: The extent organizational activities are oriented towards preserving and
developing the status quo.
The seven characteristics defined above define the organizational culture. The cultural structure
that emerges sets the foundation for the shared feelings, how tasks should be performed in the
organization and mode of doing business (Robbins & Judge, 2011).
20. 14
2.1.2. Elements of Organizational Culture
Basic elements of organizational culture would be:
1. Values
2. Norms
3. Assumptions
4. Ceremonies and Rituals
5. Customs:
6. Stories
7. Myths
8. Symbols
9. Language
10. Heroes
1) Values: define what is "good and bad," hence they are closely related to the ideals shared by
members of a group. Values give us a feeling of "this is how I aspire or desire to behave". 2)
Norms: are common expressions that demonstrate what is right and what is wrong. Norms can
develop on a formal level as written laws, and on an informal level as social control. Consciously
or subconsciously, norms give us a feeling of "this is how I normally should behave" 3)
Assumptions: are usually unconscious principles that form the reference framework for how
individuals or groups act, think and feel. The difference between this system of principles and
the system of values is the naturally accepted dominance of the former in a cultural form which
renders comparison with any other option impossible. Therefore, assumptions are employed as
the reference framework for the perception of reality. Assumptions direct the value, belief and
norm system of a culture. Motivated group members, who are involved in deep self-analyses, can
search assumptions through deeper observations and more focused questions. When some of
these assumptions are well understood, it would be easier to decipher the subtle meanings of
several behavioural and man-made incidents that are observed. Furthermore, an understanding of
deeply embedded, taken-for-granted behaviours would enable us to see how ambiguous or self-
21. 15
opposite cultures may seem. Ceremonies, rituals, customs, stories, myths, symbols, languages
and heroes are among the visible forms of expressions in organizational culture (schien, 1985).
4) Ceremonies and Rituals Ceremonies are planned activities for a group of people who convene
for a special event. Such activities serve the purpose of emphasizing the success of people who
have served the organization perfectly. Thus, while such people are rewarded, they also set good
examples to others. Ceremonies are special events in order to memorize the values of an
organization. Through several ceremonies, organizations try to sustain the existence of their
cultures. 5) Customs: Customs are repetitive sequences of activities which express and reinforce
the key values of the organization such as what goals are most important, and which employees
are most important. 6) Stories: are circulating among the employees in organizations and include
narratives such as rags-to-riches, reductions in the work force, and reactions to past mistakes.
Stories anchor the present in the past, explain and legitimate current practices.7) Myths: is a
means of communication which establishes the values or identification systems of a social group
or an organization. When interesting incidents and stories about the values, founders and
members of an organization at different hierarchical levels turn into a message to convey a
certain meaning, they become myths. Myths may have both positive and negative meanings.
Myths are regarded as positive when they create an environment of sharing, or reinforce the
sense of belonging to the organization, whereas they are regarded as negative when they cause
grouping against the organization hence reinforcing the separation.8) Symbols: executives'
offices, the size of offices, office furniture, the types of automobiles executives are given, means
of transportation for business travels and attire are all examples of symbols in an organization.
Symbols conveys to employees who is important, the degree of egalitarianism top management
wishes, and the kinds of behaviours that are favoured such as risk taking, participation or
individualism.9) Language: are employees within organizations use language to identify the
culture of the organization as well as to accept and help preserve it. Unique terms are used to
identify suppliers, clients and key individuals. Hence, new employees have to become familiar
with the dominant language and jargon of the organization.10) Heroes: are very successful
individuals who have become known in an organization with the services they rendered, well
22. 16
carried out the role the organizational culture dictates, hence setting example for the
organizations (Robbins and Judge, 2011).
2.1.3. Benefits of Organizational Culture
Benefits of the organizational culture for management and employees are as follows (Eren,
2000):
The organizational culture helps employees better understand certain standards, norms
and values, hence become decisive and consistent in the pursuit of success and work in
harmony with their executives.
The organizational culture standardizes and rationalizes modes and processes of doing
business, hence positively influencing employee psychology and morale and increasing
organizational efficiency.
The organizational culture contributes to the emergence of new executives from within
the organization. On the condition that the organizational culture enables a wide
consensus, it can prevent intra-organizational factions.
The organizational culture plays a critical role in organizational communication and
interactions between individuals. The organizational culture contributes to the
development of the sense of "us" and team spirit, hence it positively impacts
organizational climate. Conflicts may arise within organizations for several reasons.
These conflicts can be rationalized and neutralized through certain standard practices and
procedures developed within the organizational culture.
The organizational culture perpetuates organizational life by circulating itself among
generations through symbols, ceremonies, heroes, slogans and stories. In a nutshell, the
organizational culture contributes to the continuity of the organization. Culture is like an
identification card. Evaluations about an organization or an institution are made by
reference to their culture.
23. 17
2.2. Employee Performance
It is essential to understand what performance means in order to improve and manage it well,
“perform’’ means to begin and carry through to completion; to take action in accordance with the
requirements of; fulfill. In addition, job performance can be defined in terms of whether
employees’ behaviours contribute to organizational goals. Performance can be seen as an
individual, group, or organizational task performance. Organizations have a vital need to
understand how to improve employee’s performance, and therefore they try to find an
explanation as to why employees fail to perform (Daniels & Harris, 2002).
Performance is an ability (both physical & psychological) to perform a particular task in a
specific method that can be evaluated as excellent, average or low in scale. Performance of
individual demonstrated in two dimensions of performance; first is the behavioural aspect and
second is outcome performance aspect. The first aspect behaviour is supposed to be matched to
the situation and specification of job. This behavioural aspect convert into accomplish the
organizational goals and objectives and this is outcome aspect which is second dimension of
performance (Campbell, 1993).
Performance is not only a productivity because of performance concerns owned a natural
behaviour to act freely as he wishes, the behaviour is still free to act cannot be separated from the
terms of an employee's formal role to enhance the effective functioning of an organization.
Labour productivity (performance) is a comparison between the results achieved with the
participation of labour per unit time, while the role of the workforce is in the efficiency of
resource use and effective. stated that the factors affecting the increase in productivity is
harmony conditions of employees and financial incentives are universal, harmonious
interdependence conditions of employment including managers and employees, while financial
incentives for employees is an element of fairness in salaries, wages, bonuses received by
employees. From the description above it can be said that if the databases must address satisfying
employees or individuals that either it will automatically perform / organizational performance is
24. 18
also good that in the end confidence in the institution or institutions stronger (Vigoda and
Goliembiewski, 2003).
There are numerous causes that affect the level of performance: internal determinants and
external determinants. Internal determinants are very important factors that affect job
performance sub-divided into two main aspects. The first aspect is the skills and abilities for a
given job that the employee has. The second aspect is the role perceptions or the requirements
for a job as an influence on work performance. This means that if one perceives his/her job role
accurately, he/she would be considered as an adequate performer. Conversely, the one who does
not perceive the requirements of the job would be considered as ineffective (Korman, 1971).
External environment determines the adequate performance of the employees. Work conditions
are an example of the external environmental factor that influences the level of performance.
There are various working conditions that people work under; some employees work indoors
other outdoors. Some are exposed to intensive noise, heat, cold, different schedule times, and
high risk of injury/illness (Muchinsky, 1993).
The physical work environment can cause stress which hinders employees from performing at
the desired level. This could be, for instance, the lack of the right tools or the breakdown of a
computer system making it impossible to use, for example: an employee complains about hisher
inability to perform due to the fact that his machine breaks down often. The employee is asked
why heshe cares, since heshe will get salary anyway, independently of the status of the
machine; and that person simply answers that heshe cannot work. Mostly importantly, the
employee is not even capable of fixing the machine because they do not possess the right
knowledge or proper training. At those moments, the employee must contact a technician
(Deming, 2000).
Performance management as a method which plays a vital role in the efficient management of
individuals and teams to get high organizational performance. It also builds shared understanding
about what is to be obtained and a process to leading and creating people which will make sure
that it is achieved. It is a technique which pertains to every action of the organization set in the
perspective of its polices of human resources, organizational culture, style and communication
25. 19
systems. The nature of the technique relies on the perspective of organization and can differ from
organization to organization. Although there is a range of actions that could be used for
calculating efficiency, highlight judgmental and evaluative procedures that take a lot along with
activity itself while interpreting efficiency. In spite of the fact that there are various behaviours
could be used for evaluating overall performance. There is close relationship between
organizational culture and performance that organizational culture is basically linked to the
practices of organization and the performance of organization is dependent on organizational
culture, thus the organizational culture increases the performance of organization (Armstrong &
Baron, 1998).
2.2.1. Measuring Performance Toward Organizational Success
The measure of success is more comprehensive company, called the Balanced Scorecard (BS).
According to the concept of the balanced scorecard performance of the company to achieve
competitive success can be seen in four areas, namely by (Kaplan and Norton 2001):
1. Financial Perspective, which in this perspective the company is required to increase
market share, increase revenue through the sale of company products. In addition, increase
cost-effectiveness and utility assets can increase the productivity of the company.
2. The customer perspective, which companies need to identify the needs of customers and
market segments. Proper identification of customer, needs help the company how to
provide service to customers. Application of the general passenger terminal include:
setting schedules departing passengers timely and orderly, increasing customer confidence
in the security and order of the terminal.
3. Internal business process perspective, which companies need to identify the processes that
are most critical to achieving the goal of increasing value for the customer (customer
perspective) and an increase in the value of financial goals.
4. Learning and growth perspective, in which the objectives set out in the financial
perspective, customer and internal business processes to identify where the organization
must excel to achieve break through performance, while goals in the learning and growth
perspective provides the infrastructure that enables the ambitious goals The third
26. 20
perspective is reached. The objectives in this perspective are to achieve excellence
controller’s outcome previous three perspectives.
2.3. Theoretical Analysis
The theoretical review will cover the below theories related to performance and organisation
culture. This study will be based on three major theories namely:
1. Schein’s theory of organisational culture,
2. Hofethed’s cultural dimension theory,
3. McGregor’sTheory X and Theory Y by,
4. Denison’s model,
5. Deal and Kennedy’s model and
6. O'Reilly, Chatman and Caldwell model
Organizational culture is the atmosphere that pervades the interior of a company or association.
Organisational culture was also identified as what was conveyed to the individuals with the
organisation, what they experienced, believed, and demonstrated. Theories of organizational
culture attempt to explain the phenomena that occur in and around individuals. The conceptual
study regarding organizational culture is often called the phenomenon of interest. Rather than a
mathematical formula, the study of organizational culture includes shared understanding,
intangible values and assumptions, and the effects culture has on human behaviour.
Understanding the phenomenon of organizational culture allows companies to strengthen their
working environments. The study of theories of organizational culture is often difficult due to the
lack of concrete evidence on veracious cultures. A shared understanding of organizational
culture is one of the different theories among private and public sector organizations. Individuals
in a company often hire like-minded individuals in order to promote
a specific, well-defined purpose. This allows the business or organization to have a singular
focus in terms of Performance. Theories on organizational culture typically have different overall
corporate mind-sets, such as ethics, profits, or philanthropy. The shared characteristics only
change through time when hiring managers replace older workers (Nadler, 1998).
27. 21
2.3.1. Schein’s - organisational culture theory
Schein's model of organizational culture is not only one of the most cited culture models but also
one that serves a high degree of abstraction and complexity reduction. It mainly consists of three
domains: basic underlying assumptions, espoused values, and artefacts. She distinguishes
between observable and unobservable elements of culture. It therefore becomes clear that there is
a certain hierarchy between these domains. Visible behaviour influences and is influenced by
unobservable assumptions through rules, stand. This is further clarified in figure 2. Artefacts are
the surface level of an organizational culture, tangible, easily seen and felt manifestations such
products, physical environment, language, technology, clothing, myths and stories, published
values, rituals and ceremonies ,etc. Espoused beliefs and values are the next level of
organisational culture, including strategies, goals, shared perceptions, shared assumptions,
norms, beliefs and values instilled by founders and leaders. Basic underlying assumptions are the
base level of organisational culture, and are the deeply-embedded, unconscious, taken for
granted assumptions that are shared with others. Any challenge of these assumptions will result
in anxiety and defensiveness. The most visible symbols should not be the only aspects used to
interpret culture; due to the ease with which they can be misinterpreted. Focusing only on visible
symbols will result in a failure to grasp the underlying basic assumptions that are fundamental to
understanding the culture. Similarly, it is important to recognize that even espoused beliefs and
values may only reflect the aspirations of a culture, and not the actuality (Schein, 2004).
Artefacts Visible organisational structures, behaviours and processes
Espoused values
Strategies, goals, rules, standards philosophies (Espoused justifications)
Basic underlying
Assumptions
Unconscious, invisible, taken for granted beliefs, perceptions, thoughts and
feelings (Ultimate source of values and actions)
Author; Schein (2004)Figure 2. Schein's theory of organisational culture
28. 22
2.3.2. Hofstede's- Cultural Dimensions Theory
Cultural differences existing in regions and nations, and the importance of international
awareness and multiculturalism for the own cultural introspection. Cultural differences reflect
differences in thinking and social action, and even in "mental programs", a term Hofstede uses
for predictable behaviour. Hofstede relates culture to ethnic and regional groups, but also
organizations, profession, family, to society and sub cultural groups, national political systems
and legislation, etc. Hofstede suggests of the need of changing "mental programs" with changing
behaviour first which will lead to value change and he suggests that however certain groups like
Jews, Gypsies and Basques have maintained their identity through centuries without changing.
Hofstede demonstrated that there are national and regional cultural groupings that affect the
behaviour of organizations and identified four dimensions of culture in his study of national
cultures the following (Hofstede, 2016):
Power distance - Different societies find different solutions on social inequality. Although
invisible, inside organizations power inequality of the "boss-subordinate’s relationships" is
functional and according to Hofstede reflects the way inequality is addressed in the society.
Power Distance Reduction theory subordinates will try to reduce the power distance between
themselves and their bosses and bosses will try to maintain or enlarge it, but there is also a
degree to which a society expects there to be differences in the levels of power (ibid.)
Uncertainty avoidance- is the coping with uncertainty about the future. Society copes with it with
technology, law and religion (however different societies have different ways to addressing it),
and according to Hofstede organizations deal with it with technology, law and rituals or in two
ways - rational and non-rational, where rituals being the non-rational. Hofstede listed as rituals
the memos and reports, some parts of the accounting system, large part of the planning and
control systems, and the nomination of experts (ibid).
Individualism vs. collectivism - disharmony of interests on personal and collective goals
Hofstede brings that society's expectations of Individualism/Collectivism will be reflected by the
employee inside the organization. Collectivist societies will have more emotional dependence of
29. 23
members on their organizations, when in equilibrium - organization is expected to show
responsibility on members. Research indicates that some people and cultures might have both
high individualism and high collectivism, for example, and someone who highly values duty to
his or her group does not necessarily give a low priority to personal freedom and self-sufficiency.
Masculinity vs. femininity - reflect whether certain society is predominantly male or female in
terms of cultural values, gender roles and power relations (ibid).
2.3.3. McGregor’s - Theory X and Theory Y
McGregor developed a philosophical view of humankind with his Theory X and Theory Y in
1960. His work is based upon Maslow's hierarch of needs theory, in that he grouped the
hierarchy into lower-order needs (Theory X) and higher-order needs (Theory Y). He suggested
that management could use either set of needs to motivate employees, but better results would be
gained by the use of Theory Y, rather than Theory X. These two opposing perceptions theorized
how people view human behaviour at work and organizational life. With Theory X assumptions,
management's role is to coerce and control employees to perform since; People have an inherent
dislike for work and will avoid it whenever possible, secondly People must be coerced,
controlled, directed, or threatened with punishment in order to get them to achieve the
organizational objectives, thirdly people prefer to be directed, do not want responsibility, and
have little or no ambition and finally people seek security above all else (McGregor, 1960).
With Theory Y assumptions, management's role is to develop the potential in employees and
help them to release that potential towards common goals since employees view; Work as natural
as play and rest, secondly People will exercise self-direction if they are committed to their own
objectives, thirdly people are committed to objectives since it is a function of the rewards
associated with their achievement, fourthly people learn to accept and seek responsibility,
creativity, ingenuity, and imagination are widely distributed among the population therefore
people are capable of using these abilities to solve an organizational problem and finally that
people have potential to propel the organizational performance. Intellectual creativity cannot be
30. 24
'programmed' and directed by Management programs but through proper impartation of cultural
values of personal responsibility and accountability. This kind of intellectual contribution to the
enterprise cannot be obtained by giving orders, by traditional supervisory practices, or by close
systems of control (ibid).
2.3.4. Denison’s model
Denison’s model has been developed staring from the approach to organizational culture.
Therefore, the core of the model is represented by the underlying beliefs and assumptions. At the
more surface-level, there are the values and the artefacts (symbols, heroes) and the behaviour. In
this model, the comparison between organizations is made according to the surface-level values
and their manifest practices. The organizational culture model of Denison is based on four
cultural traits: involvement, consistency, adaptability and mission. All these traits have been
shown to have an influence on organizational performance (Denison, 1990).
Adaptability
High performing organizations distinguish from low performing organizations by their ability to
understand and react to the competitive environment and customers. In addition, they restructure
behaviours and processes that help them to adapt. Moreover, high performing organizations
encourage new ideas and different solutions for solving problems. In addition, employees seek
new and better ways to meet customer expectations on a continuous basis. Controlled risk taking
is encouraged as the organizations learn from both successes and failures.
Mission
Successful organizations have a clear mission that shows employees why they are doing their
tasks and how the work they do help the organizational performance. Strategic direction and
intent are about multi–year strategies and high priorities are established. In successful
organizations the goals and objectives are short term. In addition, specific goals are defined so
that employees understand how their daily routines relate to the vision of the organization.
Vision represents the main reason an organization exists and competes on a certain market.
31. 25
Consistency
Consistency represents the main source of integration, coordination and control. In addition, it
helps organizations develop a set of procedures that create an internal system of governance
which is based on support that is consensual. Successful companies have a clear set of values
that support employees and managers in making consistent decisions. When facing difficult
issues and misunderstandings, the members discuss them openly and try to reach an agreement.
In these organizations, each employee is aware of the fact that their work impacts others and how
the work of others impacts them. The employees always make sure that their work is aligned
with the organizational goals and objectives.
Involvement
Highly involved organizations differentiate from the rest of the companies by creating a sense of
responsibility. This particularity creates a greater commitment to the organization and autonomy.
In these organizations, employees know kind of decisions they are allowed to take and which
ones are beyond their responsibility. In other words, employees are empowered to take decisions
in an informed framework. Employees are encouraged to work in teams and they support each
other to attain their work goals. Last but not least, the high-involved companies use training and
coaching to develop employee capability.
2.3.5. Deal and Kennedy’s model
A model of culture that is based on 4 different types of culture. They each focus on how quickly
the organization receives feedback, the way members are rewarded, and the level of risks taken
Work-hard, play-hard culture- this has rapid feedback/reward and low risk resulting in: Stress
coming from quantity of work rather than uncertainty. High-speed action leading to high-speed
recreation. Examples: Restaurants, software companies.
Tough-guy macho culture- this has rapid feedback/reward and high risk, resulting in the
following: Stress coming from high risk and potential loss/gain of reward. Focus on the present
rather than the longer-term future. Examples: police, surgeons, sports.
Process culture- this has slow feedback/reward and low risk, resulting in the following: Low
stress, plodding work, comfort and security. Stress that comes from internal politics and stupidity
32. 26
of the system. Development of bureaucracies and other ways of maintaining the status quo.
Focus on security of the past and of the future. Examples: banks, insurance companies.
Bet-the-company culture- this has slow feedback/reward and high risk, resulting in the
following: Stress coming from high risk and delay before knowing if actions have paid off. The
long view is taken, but then much work is put into making sure things happen as planned.
Examples: aircraft manufacturers, oil companies (Deal &Kennedy, 1982)
2.3.6 O'Reilly, Chatman and Caldwell Model
Developed a model based on the belief that cultures can be distinguished by values that are
reinforced within organizations. Their Organizational Culture Profile Model (OCP) is a self-
reporting tool which makes distinctions according seven categories - Innovation, Stability, and
Respect for People, Outcome Orientation, and Attention to Detail, Team Orientation, and
Aggressiveness. The model is not intended to measure how organizational culture effects
organizational performance rather it measures associations between the personalities of
individuals in the organization and the organization's culture. Employee values are measured
against organizational values to predict employee intentions to stay, and predict turnover. This is
done through instrument like OCP to measure employee commitment (O’Reilly, Chatman &
Caldwell 1991).
2.4. Theoretical and Conceptual Framework
A: Consistency Theory- According to the consistency theory, organizations tend to be effective
because they have strong cultures that are highly consistent, well-coordinated and well integrated
Employee behaviour is rooted in a set of core values and leaders and followers are skilled at
reaching an agreement even when they have differing views. This type of consistency is a
powerful source of stability and internal integration that results from a common mindset and a
high degree of conformity (Nadler, 1998).
33. 27
B: Involvement Theory- this theory is based on the idea that involvement and participation will
contribute to a sense of responsibility and ownership and hence organizational performance and
loyalty. Effective organizations empower their people, build their organizations around teams,
and develop human capability at all levels. Executives, managers and employees are committed
to their work and feel that they own a piece of the organization. People at all levels feel that they
have at least some input into decisions that will affect their work and that their work is directly
connected to the goals of the organization (ibid).
C: Adaptability Theory- this theory is based on the idea that norms and beliefs that enhance an
organization’s ability to receive, interpret and translate signals from the environment into
internal organizational and behavioural changes will promote its survival, growth and
development. Ironically, organizations that are well integrated are often the most difficult ones to
change due to the deep levels of adaptability acquired over time. Adaptable organizations are
driven by their customers, take risks and learn from their mistakes and have the capability and
experience at creating change. Such organizations are continuously changing their systems to
promote improvements and provide value for their customers (ibid).
D: Mission Theory- a shared sense of purpose, direction and strategy can coordinate and
galvanize organizational members toward collective goals. Successful organizations have a
theory is based on the idea that norms and beliefs that enhance an organization’s ability to
receive, interpret and translate signals from the environment into internal organizational and
behavioural changes will promote its survival, growth and development. Ironically, organizations
that are well integrated are often the most difficult ones to change due to the deep levels of
adaptability acquired over time. Adaptable organizations are driven by their customers, take risks
and learn from their mistakes and have the capability and experience at creating change Such
organizations are continuously changing their systems to promote improvements and provide
value for their customers (ibid).
34. 28
CHAPTER THREE
3. Research Design and Methodology
This part deals with the design and methodology that will be applied to the overall research. It
includes sources of data (primary and secondary), research design (sampling technique, sampling
procedure and sample size), data collection technique, data preparation, presentation and
analysis.
3.1. Sources of Data
This study will apply both Primary and Secondary data sources to obtain reliable and valid data:
3.1.1. Primary data source
To collect the primary data both quantitative and qualitative techniques will be applicable.
Regarding to quantitative data collection, careful designed self-administered, structured
questionnaires and will be employed, these will have adopted because they elicit specific
responses that is easy to analyse. It was also economical in terms of time since it was easy to fill.
Regarding to qualitative technique Personal interview will be applicable; it has the ability to
obtain a detail, comprehensive and fully answered questions.
3.1.2. Secondary Sources of Data
The use of secondary data is chosen to fulfil the research objectives. This is possible because
Eastern District Commercial Bank of Ethiopia; accordingly, key information about their policies,
procedures, processes and performance are widely publicised. Additionally, data will be
collected from secondary sources: such as Annual Reports and Accounts and other relevant
historical materials. Furthermore, there are considerable benefits associated with the use of
secondary data. Firstly, since the data is already in existence and widely available, the challenges
associated with the collection of primary data, especially high refusal rates can be avoided.
35. 29
Secondly, the use of secondary data can generate considerable cost and resource savings.
Thirdly, secondary data can often be higher in terms of quality than primary data.
3.2. Research design
3.2.1. Sampling technique
Stratified sampling technique, keeping in mind the effective coverage and lower cost, will be
important to select the candidates for the study because the commercial bank is classified in
departments. The stratified sampling is chosen as the technique for this study Employees will
selected from each different unit is divided into 4 strata/ four different departments namely
1) Business Development and Strategies Department 2) Finance & Investment Department3)
Human Resources and Development Department 4) Bank Academy Department, Specifically,
the stratified sampling is the technique that involves a process of stratification or segregation,
followed by random selection of subjects from each stratum. Out of these 102 employees were
selected to constitute the sample size by simple random sampling technique.
3.2.2. Sampling procedure and sample size
Determining an efficient sample size is of great significance in any research. This is because too
small samples may lead to inaccurate results, while samples that are too large may waste time
and resources.
CBE Eastern District head quarter Office and Staff size
Stratum departments No. of applications Sampling fraction No. of sample
Business Development and
Strategies Department
80 30% 24
Finance & Investment
Department
70 30% 21
36. 30
Table 2.Source: CBE Easter District Human resource department, 2016
3.3. Data collecting technique
Survey instruments-The self-administered questionnaire will be distributed to the targeted
respondents in CBE Eastern District by applying the drop-off and pick-up method, the drop-off
and pick-up technique are an effective technique as it reduces the potential non-response bias
though increase response rate. Face-to-face contact and verbal communication with the
respondents. The questionnaire was made up of 4 different sections: Section A- focused on the
demographic information of the respondents with items such as age, gender, race, educational
level, present position, level of management and working experience. Section B- had items
related to organizational culture, precisely. Section C- Concentrated on the employee
performance.
Personal interview- will be applicable for qualitative.
3.4.Data preparation, presentation and analysis
The data from the predetermined sources will be edited first, coded and summarized and present
through tables, percentages and pie charts. Simple descriptive statistical analysis will be used
with different supporting tables, pie chart, mean and simple percentages. Statistical Package for
Social Science (SPSS) version 20.0 will be applicable software to process the gathered data.
Correlation and regression analysis will be undertaken to know the relationships and its intensity
among the study variables, because some of the variables are dichotomous in nature. Grand mean
Human Resources and
Development department
130 30% 39
Bank Academy Department 60 30% 18
Total 340 30% 102
37. 31
will also applicable to conclude the result of each dimension at the end of analysis. Manual
analysis will be utilized for qualitative aspects of the analysis.
Furthermore, the use of triangulation method was adopted in this study. The triangulation
method involves the use of more than one form of data collection to test the same hypotheses
within a unified research plan. By combining methods in the same study, researchers can
partially overcome the deficiencies that flow from employing one method.
38. 32
BUDGET AND TIME SCHEDULE
3.1.Time Schedule
No Activities
Months /Years 2022
De Ja Fe Mr Ap Ma Jn Ju Au Se
1 Problem Identification &
Literature Review
X
2 Sample Design X
3 Questionnaire Development X
4 Data Collection & Organization X
5 Data Analysis & Interpretation X
6 Report Writing X
7 Submission of Paper X
8 Defense & Presentation X
39. 33
3.2. Budget Schedule
To complete the overall works of the research paper should expect to spend costs for different
activities. The costs for each activity are as shown in table.
No Description Unit per quantity Unit price in Br. Total in Br.
1 Paper sheet 290 sheet 0.50 145.00
2 Pens Number 4 item 7.00 28.00
3 Notes Book package 2pad 25.00 50.00
4 CD Re-Writable Item/Br. 3RW-Drive 20.00 60.00
5 Internet Hour/Br 72 hr. 0.35 504.00
6 Print sheet 240 sheet 1.75 420.00
7 Photocopy km 300 sheet 1 300.00
8 Phone expense Hour/Br. 15hr. 1.00 747.00
9 Transportation Km/Br. 175 1.5 262.50
10 Contingency(10%) of
total
- - - 251.65
Total 2768.15
40. 34
BIBLIOGRAPHY
1) http://www.train-francoethiopien.com/histoire_en.php
2) Armstrong, M., & Baron, A. (1998). Performance Management: The New Realities.
London: Institute of Personnel and Development.
3) Campbell, J. P., McCoy, R. A., Doppler, S. H., & Sager, C. E. (1993). A theory of
performance. In N. Schmitt & W. C. Bormann (Eds.), Personnel Selection in
Organizations San Francisco: Jossey-Bass.
4) Daniels K. & Harris C. (2002). Work, psychological well-being and performance.
Sheffield University Management School, 50, 304-309
5) Deal, T.E., Kennedy, A.A. (1982), Corporate Cultures: The Rites and Rules of
CorporateLife, Addison-Wesley,
6) Deming, W.E, (2000). Out of the crisis. Cambridge: MIT Press. (Eds.), New Perspectives
on Organizational Effectiveness. Jossey-Bass, San Francisco, CA.
7) Denison, D.R. (1984). Bringing corporate culture to the bottom line. Organizational
Dynamics
8) Denison, D.R. (1990). Corporate Culture and Organisational Effectiveness. New York:
9) De Hilal, A. V., U. Wetzel and V. Ferreira (2009). Organizational culture and
performance: Brazil Vol. 32
10) Eren, E. (2010). Örgütsel Davranışve Yönetim Psikolojisi,.Baskı, Istanbul press
11) Fletcher, B. and F. Jones (1992). Measuring Organizational Culture:
12) Hofstede, G., B. Neuijen, D. D. Ohayv and G. Sanders (1990). Measuring Organizational
Cultures: A Qualitative and Quantitative Study across Twenty Cases. Administrative
Science Quarterly, 35, 286-316.
13) Joel and Michelle, L. (2000). Reflection for Leaders Corporate Culture, Organizational
Health, and Human Potential. Journal of Employee Assistance Professional Association
Exchange.
14) Kaplan, R.S. and Norton, D.P. (2001). The Strategy-focused Organization: How
Balanced Scorecard Companies Thrive in the New Business Environment. Harvard
Business School Press, Boston, MA.
15) Korman, A.K. (1971) Industrial and organizational psychology. Englewood Cliffs, N.J.
16) Kotter, J. P. &Heskett, J. L. (1992). Corporate culture and performance. New York: Free
Press.
17) Luthans, F. (1998). Organizational Behaviour. New York Irwin/McGraw Hill
18) McGregor D. (1960). The human side of enterprise. NY: McGraw-Hill
41. 35
19) Muchinsky, P. M. (1993). Psychology applied to work: an introduction to industrial and
organizationalpsychology. London: Chapman & Hall
20) Nadler, M. & Nadler, D. (1998), Champions of change, Josey-Bass Publishers, San
Francisco.
21) O’Reilly III, C. A., et al. (1991). People and organizational culture:
22) Robbins, S. P. and T. A. Judge (2011). Organizational Behaviour, 14th Edition, Pearson
Education, Inc., New Jersey.
23) Schein, E. (1985). Organisational Culture and Leadership: A Dynamic View, San
Francisco, Josey Bass
24) Schein, E. M. (2004). Organizational culture and leadership (3rd ed.). Jossy-Bass.
25) Vigoda, E., and Goliembiewski, R.T. (2003). "Citizenship Behavior and the Spirit of
New Managerialism. A TheoreticalFramework and Challenge for Governance ".
American Review of Public Administration.Vol. No. 31. 3. September
.