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ROLE OF ORGANISATIONAL CULTURE ON EMPLOYEE PERFORMANCE:A CASE STUDY OF POSTAL CORPORATION OF KENYA
Carlvin S.E MasakhaliaJomo Kenyatta University of Agriculture and Technology
ABSTRACTOrganization culture refers to the specific collection of values and norms that are shared by people and groups in an organization that control the way they interact with each other and with stakeholdersoutside the organization.There is little doubt among experts that a relationship exists between organization culture and employee performance however there has been very little empirical research that exists to support this. The study was conducted at PCK one of the largest state firms with branches all over the country. Specific objectives of the study were examining the elements of organization culture such as control systems, ritualism, routines, symbols, stories and myths in relation to how they affect employee performance in. To achieve this aim the research methodology adopted a descriptive research design. The target population of the study was the entire staff of PCK. However, due to resource and time constraints the sample frame used in the methodology only targeted the GPO Mombasa staff. The main research instruments for the study were questionnaires although observations and record analysis were also used to collect data. Responses gathered were represented by pie charts, line charts and bar graphs. Data processing and analysis involved use of SPSS Statistics version 22.0.0.0. Conclusions found that indeed the various elements of organization culture: control systems, ritualism, routines, symbols, stories and myths all play a role in influencing employee performance. Therefore the study recommends that PCK and other firms both in private and public practice need to appreciate, monitor and recognize the role organization culture has on employee performance.Keywords: Organization, Culture, Employee, Performance
INTRODUCTIONCooke (2010) defines culture as the behaviors that members believe are required to fit in and meet expectations within their organization. Organizational culture is reflected in the way people perform tasks, set objectives, and administer the necessary resources to achieve objectives. Strong culture is said to exist where staff respond to stimulus because of their alignment to organizational values. In such environments, strong cultures help firms operate like well-oiled machines, engaging in outstanding execution with only minor adjustments to existing procedures as needed. Conversely, there is weak culture where there is little alignment with organizational values, and control must be exercised through extensive procedures and bureaucracy. Research shows that organizations that foster strong cultures have clear values that give employees a reason to embrace the culture. A "strong" culture may be especially beneficial to firms operating in the service sector since members of these organizations are responsible for delivering the service and for evaluations important constituents make about firms. Cooke (2010) describes that organizations may derive the following benefits from developing strong and productive cultures: better aligning the company towards achieving its vision, mission, and goals, high employee motivation and loyalty, increased team cohesiveness among the company's various departments and divisions, promoting consistency and encouraging coordination and control within the company and shaping employee behavior at work, enabling the organization to be more efficient. Irving (1972) defined group thinking as a quick and easy way to refer to a mode of thinking that people engage when they are deeply involved in a cohesive in-group, when the members' strivings for unanimity override their motivation to realistically appraise alternatives of action. Where culture is strong, people do
things because they believe it is the right thing to do thus there is a risk of another phenomenon, groupthink. This is a state in which even if they have different ideas, do not challenge organizational thinking, and therefore there is a reduced capacity for innovative thoughts.
LITERATURE REVIEWTheoretical FrameworkCultural WebRavasi & Schultz (2006), state that organizational culture is a set of shared mental assumptions that guide interpretation and action in organizations by defining appropriate behavior for various situations.Organizational culture is the collective behavior of humans who are part of an organization and the meanings that the people attach to their actions. Culture includes the organization values, visions, norms, working language, systems, symbols, beliefs and rituals/habits (Schultz, 2006). It is also the pattern of such collective behaviors and assumptions that are taught to new organizational members as a way of perceiving, and even thinking and feeling.
Figure 2.1: Cultural Web Source: Researcher, 2014
A cultural web identifies a number of elements that can be used to describe or influence organizational culture as follows (Johnson, 1988): The Paradigm, this represents what the organization is about; what it does; its mission; its values. Control Systems represents the processes in place to monitor what is going on. Organizational Structures describe reporting lines, hierarchies, and the way that work flows through the business. Power Structures focuses on who makes the decisions, how widely spread is power, and on what is power based on. Symbols represent organizational logos and designs, but also extend to symbols of power such as parking spaces and executive washrooms (Johnson, 1988). Rituals and Routines describe management meetings; board reports and so on may become more habitual than necessary. Stories and Myths describe build up about people and events, and convey a message about what is valued within the organization. Johnson (1988), these elements may overlap for instance power structures may depend on control systems, which may exploit the very rituals that generate stories which may not be true.
Schein Model of Organizational Culture
Schein (2009), Deal & Kennedy (2000), Denison (1990) and many others state that organizations often have very differing cultures as well as subcultures. Several methods have been used to classify organizational culture. While there is no single "type" of organizational culture and organizational cultures vary widely from one organization to the next, commonalities do exist and some researchers have developed models to describe different indicators of organizational cultures.
According to Schein (1992), culture is the most difficult organizational attribute to change, outlasting organizational products, services, founders and leadership and all other physical attributes of the organization. His organizational model illuminates culture from the standpoint of the observer, described by three cognitive levels of organizational culture. The first and most cursory level of model is organizational attributes that can be seen, felt and heard by the uninitiated observer collectively known as artifacts (Schien, 1992).
Schein (1992) describes artifacts as the tangible aspects of culture shared by members of an organization. Included are the facilities, offices, furnishings, visible awards and recognition, the way that its members dress, how each person visibly interacts with each other and with organizational outsiders, and even company slogans, mission statements and other operational creeds. Artifacts comprise the physical components of the organization that relay cultural meaning. Schein (1992), verbal behavioral and physical artifacts are the surface manifestations of organizational culture. Language, stories, and myths are examples of verbal artifacts and are represented in rituals and ceremonies. Rituals, the collective interpersonal behavior and values as demonstrated by that behavior, constitute the fabric of an organization's culture. The contents of myths, stories, and sagas reveal the history of an organization and influence how people understand what their organization values and believe.
The next and the second level of the model are the shared values (Schien, 1992). This deals with the professed culture of an organization's members. Shared values are individuals’ preferences regarding certain aspects of the organization’s culture for instance loyalty and customer service. At this level, local and personal values are widely expressed within the organization. Basic beliefs and assumptions include individuals' impressions about the trustworthiness and supportiveness of an organization, and are often deeply ingrained within the organization’s culture (Schien, 1992). Organizational behavior at this level usually can be studied by interviewing the organization's membership and using questionnaires to gather attitudes about organizational membership.
The third and deepest level, the organization's tacit assumptions are found (Schien, 1992). These are the elements of culture that are unseen and not cognitively identified in everyday interactions between organizational members. Additionally, these are the elements of culture which are often taboo to discuss inside the organization. Many of these 'unspoken rules' exist without the conscious knowledge of the membership. Those with sufficient experience to understand this deepest level of organizational culture usually become acclimatized to its attributes over time, thus reinforcing the invisibility of their existence (Schien, 1992). Surveys and casual interviews with organizational members cannot draw out these attributes rather much more in-depth means is required to first identify then understand organizational culture at
this level. Notably, culture at this level is the underlying and driving element often missed by organizational behaviorists.
This model, helps to make paradoxical organizational behaviors becomes more apparent (Schien, 1992). For instance, an organization can profess highly aesthetic and moral standards at the second level of the model while simultaneously displaying curiously opposing behavior at the third and deepest level of culture. Superficially, organizational rewards can imply one organizational norm but at the deepest level imply something completely different. This insight offers an understanding of the difficulty that organizational newcomers have in assimilating organizational culture and why it takes time to become acclimatized. It also explains why organizational change agents usually fail to achieve their goals: underlying tacit cultural norms are generally not understood before would-be change agents begin their actions (Schien, 1992).
Employee PerformanceEmployee performance management is a process of establishing ashared workforce understanding about what is to be achieved at an organization level (Cameron & Quinn, 1990). It is about aligning the organizational objectives with the employees' agreed measures, skills, competency requirements, development plans and the delivery of results. The emphasis is on improvement, learning and development in order to achieve the overall business strategy and to create a high performance workforce
Figure 2.2: Graphical View of the Difference between Performance Appraisal and ManagementSource: http:// www.peoplestreme.com
Noe et al. (2000), performance management and performance appraisal are two important measures of employee performance. Performance Management is used to ensure that employees' activities and outcomes are congruent with the organization’s objectives and entails specifying those activities and outcomes that will result in the firm successfully implementing the strategy (Noe et al. 2000). Performance appraisal properly describes a process of judging past performance and not measuring that performance against clear and agreed objectives.
Cameron& Quinn Organization Culture and Performance ModelCameron & Quinn (1990) made a research on organizational effectiveness and success. Based on the Competing Values Framework, they developed the Organizational Culture Assessment Instrument that distinguishes four culture types. Competing values produce polarities like flexibility vs. stability and internal vs. external focus. These two polarities were found to be most important in defining organizational success and affect employee performance (Cameron& Quinn, 1990). The polarities construct a quadrant with four types of culture: clan culture (internal focus and flexible) describes a friendly workplace where leaders act like father figures; adhocracy culture (external focus and flexible) describes a dynamic workplace with
leaders that stimulate innovation; market culture (external focus and controlled) describes a competitive workplace with leaders like hard drivers; hierarchy culture (internal focus and controlled) describes a structured and formalized workplace where leaders act like coordinators.
Cameron & Quinn (1990) designated six key aspects that will form organizational culture which can be assessed in the OCAI thus producing a mix of the four archetypes of culture. Each organization or team will have its unique mix of culture types. Clan cultures are most strongly associated with positive employee attitudes and product and service quality, whereas market cultures are most strongly related with innovation and financial effectiveness criteria. The primary belief in market cultures is that clear goals and contingent rewards motivate employees to aggressively perform and meet stakeholders' expectations; a core belief in clan cultures is that the organization’s trust in and commitment to employees facilitates open communication and employee involvement. These differing results suggest that it is important for executive leaders to consider the match between strategic initiatives and organizational culture when determining how to embed a culture that produces competitive advantage (Cameron& Quinn, 1990). By assessing the current organizational culture as well as the preferred situation, the gap and direction to change can be made visible as a first step to changing organizational culture.
Control SystemsJohnson (1988) describes control systems in the cultural web as the ways that the organization is controlled.These are systems that are used to observe and monitor various aspects of the organization will make a significant contribution to shaping the organizational culture. They include budgets, financial reporting, surveys of customers and employees, training, quality systems and remuneration/rewards including the way they are measured and distributed within the organization
Controlling is one of the managerial functions like planning, organizing, staffing and directing (Weber, 1897). It is an important function because it helps to check the errors and to take the corrective action so that deviation from standards are minimized and stated goals of the organization are achieved in a desired manner.The concept of organizational control is implicit in the bureaucratic theory Weber (1897). The direction for organizational control comes from the goals and strategic plans of the organization. General plans are translated into specific performance measures such as share of the market, earnings, return on investment, and budgets. The process of organizational control is to review and evaluate the performance of the system against these established norms. Rewards for meeting or exceeding standards may range from special recognition to salary increases or promotions. On the other hand, a failure to meet expectations may signal the need to reorganize or redesign.
Carmazzi Organization Culture Model on ControlsCarmazzi (2007) describes organizational culture based on how control systems affect the effectiveness and level of commitment of the people and within that culture. In order to break the cycle and evolve a culture and the commitment of those in it, leaders need to understand their role in the psychological dynamics behind the culture and make adjustments that will
move it to the next level. Carmazzi (2007) stated five levels of organizational culture. The Blame culture, this culture cultivates distrust and fear, people blame each other to avoid being reprimanded or put down, this results in no new ideas or personal initiative because people don’t want to risk being wrong. Multi-directional culture, this culture cultivates minimized cross-department communication and cooperation. Loyalty is only to specific groups (departments). Each department becomes a clique and is often critical of other departments which in turn create lots of gossip. The lack of cooperation and multi direction is manifested in the organizations inefficiency (Carmazzi, 2007).
Live and let live culture, this culture is complacency (Carmazzi, 2007). It manifests mental stagnation and low creativity. People here have little future vision and have given up their passion. There is average cooperation and communication and things do work, but they do not grow. People have developed their personal relationships and decided who to stay away from, there is not much left to learn. Brand congruent culture, people in this culture believe in the product or service of the organization, they feel good about what their company is trying to achieve and cooperate to achieve it (Carmazzi, 2007). People here are passionate and seem to have similar goals in the organization. They use personal resources to actively solve problems and while they don’t always accept the actions of management or others around them, they see their job as important. Most everyone in this culture is operating at the level of group.
Leadership enriched culture, people view the organization as an extension of themselves, and they feel good about what they personally achieve through the organization and have exceptional cooperation (Carmazzi, 2007). Individual goals are aligned with the goals of the organization and people will do what it takes to make things happen. As a group, the organization is more like family providing personal fulfillment which often transcends ego so people are consistently bringing out the best in each other. In this culture, leaders do not develop followers, but develop other leaders. Everyone in this culture operates at the same level of organization.
Rituals Johnson (1988) describes rituals and routines as the daily behavior and actions of people that signal acceptable behavior. This determines what is expected to happen in given situations, and what is valued by management. Several different kinds of rites that affect organizational culture: rites of passage: employees move into new roles, rites of degradation: employees have power taken away from them, rites of enhancement: public recognition for an employee’s accomplishments, rites of renewal: improve existing social structures, rites of conflict reduction: resolve arguments between certain members or groups, rites of integration: reawaken feelings of membership in the organization.
Schein (1985) describes rituals and routines as the third and deepest level, the organization's tacit assumptions are found. These are the elements of culture that are unseen and not cognitively identified in everyday interactions between organizational members. Additionally, these are the elements of culture which are often taboo to discuss inside the organization. Many of these 'unspoken rules' exist without the conscious knowledge of the membership. Those with sufficient experience to understand this deepest level of organizational culture usually become
acclimatized to its attributes over time, thus reinforcing the invisibility of their existence. Surveys and casual interviews with organizational members cannot draw out these attributes rather much more in-depth means is required to first identify then understand organizational culture at this level. Notably, culture at this level is the underlying and driving element often missed by organizational behaviorists.
Schein (1985) makes paradoxical organizational behaviors become more apparent. For instance, an organization can profess highly aesthetic and moral standards at the second level of Schein's model while simultaneously displaying curiously opposing behavior at the third and deepest level of culture. Superficially, organizational rewards can imply one organizational norm but at the deepest level imply something completely different. This insight offers an understanding of the difficulty that organizational newcomers have in assimilating organizational culture and why it takes time to become acclimatized. It also explains why organizational change agents usually fail to achieve their goals: underlying tacit cultural norms are generally not understood before would-be change agents begin their actions. Merely understanding culture at the deepest level may be insufficient to institute cultural change because the dynamics of interpersonal relationships (often under threatening conditions) are added to the dynamics of organizational culture while attempts are made to institute change.
Organization SymbolsAccording to Johnsons (1988) symbols are visual representations of the company.The symbols prevalent in an organization contribute towards its culture and these include the dress code whether is it a formal or informal, status symbols or the apparent lack of them for instance parking places, directors dining room, building layout; how are offices allocated and role models; which members of the organization are regarded as role models.Schein (1985) describes symbolism as organizational attributes that can be seen, felt and heard by the uninitiated observer. Included are the facilities, offices, furnishings, visible awards and recognition, the way that its members dress, and how each person visibly interacts with each other and with organizational outsiders.
According to Schein (1992), symbols are important in an organization for 2 reasons; external adaptation and internal integration. External adaptation reflects an evolutionary approach to organizational culture and suggests that cultures develop and persist because they help an organization to survive and flourish. If the culture is valuable, then it holds the potential for generating sustained competitive advantages.
Internal integration on the other hand is an important function since social structures are required for organizations to exist. Organizational practices are learned through socialization at the workplace. Work environments reinforce culture on a daily basis by encouraging employees to exercise cultural values. Organizational culture is shaped by multiple factors, including the following: external environment, industry, size and nature of the organization’s workforce, technologies the organization uses and the organization’s history and ownership.
Stories and Myths
Clark (1972), storytelling is an important device of human sense-making. We all tell stories about things that are important to us, that we think are worth being remembered and shared with others. Seldom are these stories truly accurate accounts of events. Rather, they are selective accounts that stress certain aspects while downplaying others, usually in accordance with the role of the narrator (Baumeister, 1997).
Storytelling pervades the world of modern organizations. As an organizational phenomenon, storytelling was first described by Selznick (1957) and Clark (1972), but subsequent research failed to follow up their lead. While myths, legends and fables have for long been a legitimate object of analysis in anthropology, it was the renewed interest in the concept of culture during the early 1980s that “rediscovered” storytelling in organizations (Martin, 1982). Unfortunately, the following wave of publications on organizational stories did not lead to a unifying definition of organizational stories. Most researchers are rather vague on clarifying what distinguishes organizational stories from other types of stories. While certain motives may be more prevalent in organizational stories, the distinction between organizational stories and other types of stories is not one of content. Rather, the concept of an organizational story usually refers to a shared account as opposed to an individual account.
Gabriel (1991) refers to any story that is told repeatedly in an organization as “organizational.” This approach appears unsatisfying, because it does not distinguish between individual and shared accounts. Covin et al. (1994), insist that the motives of a story need to be shared by a “sufficient” number of members of an organization for the story to become an organizational story. While this approach seems to be more promising, it still does not answer the question of how many members constitute a sufficient amount. The question becomes even more difficult when the researcher abandons the view of organizational cultures as monolithic and unifying. If one takes into account the diverse sub-cultures of an organization, it becomes clear that an organizational story need not be shared by all, or even the majority of the organization’s members to be “organizational.
Stories are especially suited to tie the members of group efficiency, because it acts as a prescriptive rule that governs employee behavior and to generate a feeling of commitment among them (Clark 1972; Martin & Powers 1983). They achieve this effect by adding an emotional element to formal membership in the organization, thereby creating loyalty that on occasion leads to a quasi-religious dedication to the organization (Tommerup, 1990). It should have become clear that questions of organizational control occupy a central position in the literature on organizational storytelling.
Critique of Existing LiteratureOrganization culture is an important aspect in most organizations as Schein (2002), suggests that an organization's culture develops to help it cope with its environment. However unlike what most writers suggest organizations do not have a single culture and cultural engineering may not reflect the interests of all stakeholders within an organization.
Parker (2000) has suggested that many of the assumptions of those putting forward theories of organizational culture are not new. They reflect a long-standing tension between cultural and structural (or informal and formal) versions of what organizations are. Further, it is reasonable
to suggest that complex organizations might have many cultures, and that such sub-cultures might overlap and contradict each other. The neat typologies of cultural suggest by various management writers rarely acknowledge such complexities, or the various economic contradictions that exist in capitalist organizations.
Summary of LiteratureBased on the literature review it is clear that organization culture is a set of understandings or meanings shared by a group of people that are largely tacit among members and are clearly relevant and distinctive to the particular group which are also passed on to new members. It consists of interrelated elements including power structures, control systems, stories and symbols as well as rituals and routines that help to make up a "paradigm”. The paradigm describes the pattern or model of the work environment. By analyzing the elements in each, one can begin to see the bigger picture of the culture in organization: what is working, what isn't working, and what needs to be changed and therefore appreciate the role organization culture on employee performance in an organization.
Research GapsBased on the literature review, there is little doubt among experts that a relationship exists between organization culture and individual performance. Organizational culture impacts the level of employee creativity, the strength of employee motivation, and the reporting of unethical behavior. However, there is very little empirical research that exists to support this and creates a knowledge gap therefore more research is needed to support these conclusions. The study aims to fill this knowledge gap. The findings and recommendations will provide evidence of whether or not organization culture and employee performance are related. Postal Corporation of Kenya is also undergoing several transformations rebranding, developing new products and services and change of management staff aimed to improve performance the findings and recommendations of the study will fill the knowledge gap on the ways in which organization culture can enhance performance at the state corporation and other similar institutions.
METHODOLOGYResearch DesignKothari (2005) describes descriptive research design as a blue print for collection, measurement and analysis of data. This was used in the study since it is usually useful in assessing attitudes and opinions about events, individuals or procedures. Descriptive survey designs are used in preliminary and exploratory studies to allow researchers gather information, summarize, present and interpret for the purpose of clarification of facts and ideas (Orodho, 2002). It helps to identify the nature of factors involved in a given situation, determine the degree in which they exist and discover the links that exist between these factors. In the study this also helped the researcher to easily analyze the findings.Mugenda & Mugenda (1999) defines populations as the entire set of individuals, events or objects with common observable characteristics. The target population of the study was the entire staffs of Postal Corporation of Kenya who are 2,266 as shown on Table 3.1. The organization has a functional organization structure consisting of the several departments as follows: human resource, finance and accounts, sales, operations, information technology and transport/logistics. Also, this study targeted and covered all departments including the support staff and messengers.
Sample Design and Sample SizeThis research involved use of cluster and purposive sampling to create the sample design. This helped to ensure a representative sample is obtained from the population. According to Mugenda & Mugenda (1999), a representative sample is that in which at least 10% of the population is represented. Postal Corporation is very expansive geographically and it would be require a lot of resources to obtain a sample from all its stations country wide. As a result, the cluster sampling where the primary sampling unit is a geographical area was used. The sample frame for this study was the entire staff of the GPO Mombasa office which comprises of 218 employees. The sample consisted of at least a minimum of 10% of employees from each department who were selected from different functional areas in the organization. This approach was used because it best ensures control of the sample size, increases statistical efficiency and provides data to represent and analyze subgroups. Purposive sampling was used in the study mainly in obtaining responses from the top management. In purposive sampling the investigator uses own judgment and prior knowledge to choose people for the sample that best serve the purpose of the study. Therefore, the researcher also deliberately seeked responses from long serving and experienced management staff who were more knowledgeable about the organization. To provide more accurate findings the researcher also endeavored to obtain at least 50 responses still ensuring that at least10% representation is maintained for each and every category.
Data CollectionThe researcher seeked a letter of introduction from JKUAT Mombasa authorizing him to conduct the study by way of collection of data: a step that helped him to get information a lot more easily from the respondents compared to if there wasn’t one. The letter was be presented to the HR Manager who in turn published a memo to the departmental heads alerting them that there would be a survey conducted in the organization so that the rest of the staff are fully aware in advance that the researcher would present questionnaires and the purposes of the study. With the help of an assistant the researcher distributed questionnaires. Making good use of interpersonal skills the researcher and his assistant endeavored to convince the respondents to fill in the questionnaires; assisting the respondents where difficulties were envisaged.
Research InstrumentsThere are several ways of collecting the appropriate data which differ considerably in the context of financial resources as well as time. Some ways of collecting data are: observation, questionnaires and record analysis. However, this research was compiled using information obtained from questionnaires administered by the researcher because this mode is usually cheaper to administer, does not require training of the researcher to distribute and collect the questionnaire. Also more elaborate data could be obtained from the questionnaire which has both structured and subjective questions. Although the questionnaires cannot be applied to illiterate personnel the researcher still used them since they cover a large audience and exhibit privacy: especially with questions that cannot be answered face to face and the respondents would be willing to give information especially those of sensitive issues. However, according to Kothari (2004) questionnaires have a shortfall the researcher cannot probe for further information and may not be able to control who fills the questionnaire. The response rate may therefore have been low.
Pre-Testing InstrumentsQuestionnaires were first pretested on 10% of the sample frame to ascertain clarity and objectivity of data instruments. The purpose of having this pilot study was to reaffirm the relevance and to ensure fewer flaws of the instruments administered after necessary amendments if at all any were made.
ValidityAccording to Kothari (2009), validity is the most critical criterion and indicates the degree to which the instrument measures what it is supposed to measure. It can also be thought of as utility. In other words validity refers to the extent to which differences found with measuring instruments reflects true differences among those being tested. The answered the question of how a researcher could determine validity without reaffirming knowledge. This study considered two types of validity: Content validity provided adequate coverage of the topic under the study. It related to the researchers ability to predict some outcomes or estimate the existence of a current situation. Criterion validity related to the degree to which scores on a test can be accounted for by the exploratory constructs of sound theory. These criteria were tests conducted and met in order to ensure our measuring instrument were valid and resulted in correct measurement.
ReliabilityKothari (2009) describes reliability as an important test of sound measurement. A measuring instrument is reliable if it provides consistent results. A reliable measuring instrument does contribute to validity, but a reliable instrument needs not to be a valid instrument. Reliability is therefore not as significant as validity though it is easier to assess. In this research, two aspects of reliability namely stability and equivalence deserved special mention. The reliability of this study was improved in two ways one is by standardizing the conditions under which the measurements takes place .Ensured that the external source of variation such as boredom, fatigue were minimized to the least possible extent this improved the stability aspect. Second, by carefully designing directions for measurement with no variations from group to group improve the equivalence aspect. The reliability aspect was concerned with securing consistent results in repeated measurement of the same person and with the same instrument. The equivalence aspect considered how much error may get introduced by different investigators or different samples of the items being studied.
Data Processing and AnalysisAccording to Cooper & Schindler (2003), where research is concerned with finding out who, what, where, when and how much, the study is descriptive. The specific objectives of this research involved examining the relationships that exist between control systems, rituals, routines, organization symbols, stories, myths and employee performance in Postal Corporation of Kenya. As a result data processing and analysis mainly involved correlation and regression as the main descriptive statistical measures. Correlation and regression are useful measures when investigating relationships between two or more variables which can be either be positively or negatively correlated. The research endeavored to generate other measures such as mean, mode, median, percentiles and quartiles that were used in analysis. These
measures were to be generated using SPSS and then exported to Ms Word document. The findings obtained from analysis would then be used to come up with the summary, conclusions and recommendations. These were to be done as described below: Once the data started flowing in, attention turned to data analysis. The main steps of the data analysis were to be. Editing that involved the checking of raw data so that as far practically possible errors or points of confusion in the data are eliminated. The main purpose here was setting quality standards on the raw data so that the analysis could take place with minimal confusion. The researcher would be able to detect errors and omissions, correct and amend where possible and certify that minimal data quality is achieved. Coding that involved the assigning of numbers or their symbols to answers so that the responses could be grouped into a limited number of classes or groups. Finally tabulation that consisted of counting the numbers of responses that fit each category this would take the form of simple or cross tabulation.
Data PresentationFrom the analysis the researcher was able to come up with presentations that were both quantitative and qualitative. Pie charts were to be used to present the data on the findings of the study. A pie chart represents the data as a portion of 360 degrees circle. A pie chart is useful for small amounts of data but not very good for representing a large number of variables. Bar charts were also to be used in data presentation of the findings of the study. A bar chart represents the data as a bar- the height of the bar representing the size of the value. In summary, for this study, qualitative presentation were to be made using statistical methods which included: the development of instruments and methods of measurement, manipulation of variables, collection of empirical data, modeling and analysis of data and evaluation of results.
RESULTSFindings on gender
Figure 4.1: GenderSource: Researcher 2014
DiscussionAccording to the survey 69.2 percent of the populations are male while 30.8 are female. This shows that there are more male employees in the organization than the female employees.
Findings on designationsTable 4.1: Designation
Frequency Percent Valid PercentCumulative
PercentSenior Manager 3 5.8 5.8 5.8Manager 10 19.2 19.2 25.0Supervisor 10 19.2 19.2 44.2Officer 18 34.6 34.6 78.8Other 11 21.2 21.2 100.0Total 52 100.0 100.0
Source: Researcher 2014
DiscussionAccording to the respondents, senior management is represented by 5.8%, managers form 19.2%, officers 34.6% while support staff and drivers is represented by 21.2%. This shows that majority of the employees are officers and operational level employees compared to in middle and strategic /executive management levels.
Finding on departments
Figure 4.2: DepartmentSource: Researcher 2014
DiscussionAccording to the respondents, the operations department has the highest number employees; this is followed by transport, then the information technology, accounts, human resource and sales department. This can be explained by the fact that logistics and roles of postal services are carried out by operations department and therefore need a large number of personnel.
Findings on duration of employment
Figure 4.3: Duration of employmentSource: Researcher 2014
DiscussionAccording to the study, majority of the employees in the state corporation have worked for over 10 years. Fewer have worked for 5-10 years and 0-5 years. This shows that the organization has a high employee retention rate and low turnover culture.
Findings on education backgroundTable 4.2: Education Background
Frequency Percent Valid PercentCumulative
PercentHigh school 31 59.6 59.6 59.6Diploma 17 32.7 32.7 92.3Graduate 4 7.7 7.7 100.0Total 52 100.0 100.0
Source: Researcher 2014
DiscussionAccording to the findings, majority of employees are high school leavers 59.2%, diploma holders 32.7% and graduates are 7.7%. This shows the organization culture is more work based than knowledge based in achieving the goals of the corporation. As a result focus is on labor intensive employees who do not have high educational qualifications. However, in the tactical level there are employees are highly educated to enhance in management issues in the organization.
Findings on performance measurement
Figure 4.4: Performance MeasurementSource: Researcher 2014
DiscussionMajority of the respondents claimed that performance is measured against clear goals and objectives; some however mentioned that it is against past performance. A small percentage of the respondents were not sure. According to these findings the organization mainly focuses on performance against clear goals and objectives and has a performance oriented culture.
Findings on budgets
Figure 4.5: BudgetsSource: Researcher 2014
DiscussionMajority of the respondents claim that budgets enhance performance, a few claimed that it highly enhances while very few were not sure and claimed that it inhibits. Generally most respondents were positive and optimistic about budgets as a control in the organization.
Findings on financial reportingTable 4.3: Financial Reporting
Frequency Percent Valid PercentCumulative
PercentNot sure 6 11.5 11.5 11.5Highly inhibits 6 11.5 11.5 23.1Inhibits 2 3.8 3.8 26.9No effect 3 5.8 5.8 32.7Enhances 27 51.9 51.9 84.6Highly enhances 8 15.4 15.4 100.0Total 52 100.0 100.0Source: Researcher 2014
DiscussionAccording to the findings, 51.9 % of the respondents said that financial reporting enhances performance, 15.4 % said it highly enhances, 11.5 % were not sure. This generally shows that majority of the respondents agree that financial reporting improves their performance.
Findings on remuneration/rewards
Figure 4.6: Remuneration/RewardsSource: Researcher 2014
DiscussionAccording to the survey, majority of the respondents claimed that remuneration/ rewards enhance performance. Also some claimed that it highly enhances while a few percentage were not sure.
Findings on quality systems
Figure 4.7: Quality systemsSource: Researcher 2014
DiscussionAccording to the survey majority of the respondents claimed that quality systems both enhance and highly enhances performance. However a few claimed that they not sure, it inhibits or has no effect on performance.
Findings on trainingTable 4.4: Training
Frequency Percent Valid PercentCumulative
Percent
Not sure 6 11.5 11.5 11.5Highly inhibits 2 3.8 3.8 15.4Inhibits 4 7.7 7.7 23.1No effect 5 9.6 9.6 32.7Enhances 25 48.1 48.1 80.8Highly enhances 10 19.2 19.2 100.0Total 52 100.0 100.0Source: Researcher 2014
DiscussionAccording to the responses, 48.1% and 19.2% of the employees claimed that training enhances and highly enhances employee performance respectively. 11.5% were not sure while 3.8%, 7.7%, 9.6% claimed that training highly inhibits, inhibits and has no effect on employee performance respectively.
Findings on survey of employeesTable 4.5: Survey of employees
Frequency Percent Valid PercentCumulative
PercentNot sure 4 7.7 7.7 7.7Inhibits 2 3.8 3.8 11.5No effect 6 11.5 11.5 23.1Enhances 30 57.7 57.7 80.8Highly enhances 10 19.2 19.2 100.0Total 52 100.0 100.0Not sure 4 7.7 7.7 7.7Source: Researcher 2014
DiscussionAccording to the response of the respondents on survey of employees, 57.7% and 19.2% claimed that it enhances and highly enhances employee performance respectively. However the rest 7.7%, 3.8%, 11.5% claimed that survey of employees in terms of suggestions and feedback were not sure, claimed that it inhibits, has no effect respectively.
Findings on psychological dynamics behind the culture of the organization manifested as a result of control systems
Figure 4.8: Psychological dynamics behind culture manifested as a result of controlsystemsSource: Researcher 2014
DiscussionAccording to the responses, majority of the employees claimed that the control systems result in loyalty only to specific groups’ with minimal cross department communication and cooperation. Also several claimed that it leads to mental stagnation and low creativity where people have little future vision. Few were not sure and claimed that it leads to distrust and fear. However, the least responded that control systems lead people who are passionate and have similar goals with the organization that they can use personal resources to actively solve organization problems.
Findings on survey of customersTable 4.6: Survey of customers
Frequency Percent Valid PercentCumulative Percent
Highly inhibits 4 7.7 7.7 7.7Inhibits 8 15.4 15.4 23.1No effect 21 40.4 40.4 63.5Enhances 19 36.5 36.5 100.0Total 52 100.0 100.0
DiscussionAccording to the respondents, 40.4% claimed that surveying of customers for feedback has no effect on their performance. On the other hand 36.5%, 15.4% and 7.7% claimed that survey of customers enhances, inhibits and highly inhibits employee performance respectively.
Findings on feedback, rewards and levels of risksTable 4.7: Feedback, rewards and levels of risks
Frequency Percent Valid PercentCumulative
Percent36 69.2 69.2 69.212 23.1 23.1 92.34 7.7 7.7 100.0
52 100.0 100.0
Source: Researcher 2014
DiscussionAccording to the responses, 69.2% of the respondents claimed the organization has a slow feedback/reward and low risk, 23.1% claimed there is slow feedback/reward and high risk. While 7.7% were not sure.
Findings on rites of passage
Figure 4.9: Rites of passage: employees moving to new rolesSource: Researcher 2014
DiscussionMajority of the respondents claimed that rites of passage into new roles either had no effect or were not sure of if it affected employees’ performance. More the respondents claimed that it enhances and highly enhances compared to those who claimed that it inhibits performance.
Findings on rites of degradation: employees power been taken away from them
Figure 4.10: Rites of degradation: employee’s powers been taken away from themSource: Researcher 2014
DiscussionAccording to the respondents, 50% claimed that rites of degradation employees powers been taken away from them enhances performance. 25%, 21.2% and 3.8% claimed that it highly enhances, inhibits and were not sure respectively.
Findings on rites of enhancement: public recognition for an employee’s accomplishment
Figure 4.11: Rites of enhancement: public recognition for an employee’s accomplishmentsSource: Researcher 2014
DiscussionAccording to the survey, 48.1% of the respondents claimed that rites of enhancement: public recognition of employees accomplishes enhances employee’s performance. 28.8%, 11.5%, 11.5% claimed that it highly enhances, not sure and no effect respectively.
Findings on rites of renewal: improve existing social structuresTable 4.8: Rites of renewal: improve existing social structures
Frequency Percent Valid PercentCumulative
PercentNot sure 14 26.9 26.9 26.9Inhibits 4 7.7 7.7 34.6No effect 18 34.6 34.6 69.2Enhances 12 23.1 23.1 92.3Highly enhances 4 7.7 7.7 100.0Total 52 100.0 100.0
Source: Researcher 2014
DiscussionAccording to the survey, 34.6% of the respondents said that rites of renewal: improve existing social structures has no effect on employee performance. Further on regard to the rites of renewal 26.9%, 23.1%, 7.7% and 7.7% said that they were not sure, inhibits, enhances and highly enhances employee performance respectively.
Findings on rites of conflict reduction: resolve arguments between certain members or groups
Figure 4.12: Rites of conflict reduction: resolve arguments between certain members or groupsSource: Researcher 2014
DiscussionAccording to the survey, 59.6% of the respondents claimed that rites of conflict reduction: resolve an argument between certain members’ enhances employee performance. 17.3% said it highly enhances while 7.7%, 5.8%, 5.8% and 3.8% said that it inhibits, not sure, highly inhibits and has no effect employee performance.
Findings on job routines/operations (daily, weekly, monthly, annual) & work procedures
Table 4.9: Job routines/operations (daily, weekly, monthly, annual) & work procedures
Frequency Percent Valid PercentCumulative
PercentNot sure 8 15.4 15.4 15.4Inhibits 14 26.9 26.9 42.3No effect 13 25.0 25.0 67.3Enhances 9 17.3 17.3 84.6Highly enhances 8 15.4 15.4 100.0Total 52 100.0 100.0
Source: Researcher 2014
DiscussionAccording the responses, 26.9% said that the job routines/operations and work procedures inhibit employees performance and 25% said it has no effect. 17.3%, 15.4%, 15.4% said that it enhances, not sure and highly enhances respectively.
Findings on visual representations of the company-logo, trademark, brand nameand color representation
Figure 4.13: Visual representations of the company-logo, trademark, brand name and color representationSource: Researcher 2014
DiscussionsAccording to 50% and 32.7% of the respondents, visual representations of the company-logo, trademark, brand name and color representation enhance and highly enhance employee’s performance respectively. Moreover, 5.8% responded as not sure, highly inhibits and no effect on employee performance.
Findings on offices; building layout and office allocations
Figure 4.14: Offices; building layout and office allocationsSource: Researcher 2014
Discussion42.3% and 26.9% of the respondents claimed the office building layout and office allocations inhibit and highly inhibit employee performance respectively. Further, 13.5%, 9.6% and 7.7% of the respondents said it highly enhances, has no effect and enhances employee performance respectively.
Findings on status symbols or the apparent lack of them for instance parking places, director’s dining room
Table 4.10: Status symbols or the apparent lack of them for instance parking places, director’s dining room
Frequency Percent Valid PercentCumulative
PercentHighly inhibits 10 19.2 19.2 19.2Inhibits 32 61.5 61.5 80.8No effect 4 7.7 7.7 88.5Enhances 6 11.5 11.5 100.0Total 52 100.0 100.0
Source: Researcher 2014
DiscussionAccording to the respondents, 61.5% and 19.2% said that status symbols or the apparent lack of them for instance parking places, director’s dining room inhibits employee performance. On the other hand 11.5% and 7.7% said that it enhances and has no effect on employee performance respectively.
Findings on organization facilities- furnishing (furniture), equipment, plant and machinery
Figure 4.15: Organization facilities- Furnishing (Furniture), equipment, plant and machinerySource: Researcher 2014
Discussion61.5% of the respondents said that organization facilities- furnishing (furniture), equipment, plant and machinery inhibits employee performance. 23.1% and 15.4% said that it has no effect and highly inhibits employee performance respectively.
Findings on dress code whether formal or informal
Table 4.11: Dress code whether formal or informal
Frequency Percent Valid PercentCumulative
PercentNot sure 4 7.7 7.7 7.7No effect 8 15.4 15.4 23.1Enhances 30 57.7 57.7 80.8Highly enhances 10 19.2 19.2 100.0Total 52 100.0 100.0
Source: Researcher 2014
DiscussionAccording to the respondents 57.7% and 19.2% said that the dress code whether formal and informal enhances and highly enhances the employee performance respectively. Further 15.4% and 7.7% respectively said that it has no effect and were not sure respectively.
Findings on how each person visibly interacts with each other and with organizational outsiders
Figure 4.16: How each person visibly interacts with each other and with organizational outsidersSource: Researcher 2014
DiscussionAccording to the responses, 73.1% of the respondents claimed that how each person visibly interacts with each other and with organizational outsiders enhances employee performance. 11.5%, 7.7% and 7.7% said that it inhibits, has no effect and highly enhances employee performance.
Findings on visible awards and recognition
Table 4.12: Visible awards and recognition
Frequency Percent Valid PercentCumulative
PercentNot sure 5 9.6 9.8 9.8
Highly inhibits 14 26.9 27.5 37.3
Inhibits 26 50.0 51.0 88.2
No effect 6 11.5 11.8 100.0
Total 51 98.1 100.0 100.0
Source: Researcher 2014
DiscussionAccording to 50% of the respondents visible awards and recognition inhibits employee performance. 26.9%, 11.5% and 26.9% claimed that it highly inhibits, has no effect and were not sure respectively on the effect of visible awards and recognition on employee performance.
Findings on members of the organization regarded as role models
Figure 4.17: Members of the organization regarded as role modelsSource: Researcher 2014
Discussion94.2% of the respondents said that members of the organization regarded as role models enhance employee performance. Further, 3.8% said that it has no effect.
Findings on whether stories and myths in the organization affect the level of employee performance
Figure 4.18: Do stories and myths in the organization affect the level of employee performanceSource: Researcher 2014
DiscussionAccording to responses all the respondents agree that stories and myths shared in the organization affect the level of performance for instance, stories about the history of the organization, its founders and successful employees in the organization.
Findings on stories especially suited to tie members of the group together and to generate a feeling of commitment among them.
Table 4.13: Stories especially suited to tie members of the group together and to generate a feeling of commitment among them
Frequency Percent Valid PercentCumulative
PercentIneffective 2 3.8 3.8 3.8Average 8 15.4 15.4 19.2Effective 34 65.4 65.4 84.6Highly effective 8 15.4 15.4 100.0Total 52 100.0 100.0Ineffective 2 3.8 3.8 3.8
Source: Researcher 2014
DiscussionAccording to the responses, 65.4% and 15.4 % of the respondents said that stories especially suited to tie members of the group together and generate a feeling of commitment among them is effective and highly effective on employee performance. Further 15.4% and 3.8% claimed that it averagely influences and is ineffective in influencing employee performance.
Findings on stories used to propagate the management’s philosophy among employees
Figure 4.19: Stories used to propagate the management’s philosophy among employees.Source: Researcher 2014
DiscussionMajority of the respondents claimed that stories used to propagate the management’s philosophy are effective in influencing employee performance. 65.4% said that it is effective compared to 25%, 7.7% and 1.9% who claimed that it is average, ineffective and were not sure respectively.
Findings on stories conveying the interpersonal norms that govern an organization.they are especially suited to introduce newcomers to “how things are done around here”.
Table 4.14: Stories conveying the interpersonal norms that govern an organization. They are especially suited to introduce newcomers to “how things are done around here”.
Frequency Percent Valid PercentCumulative
PercentNot sure 5 9.6 9.6 9.6Effective 35 67.3 67.3 76.9Highly effective 12 23.1 23.1 100.0Total 52 100.0 100.0
Source: Researcher 2014
DiscussionAccording to the responses majority of the responded said that stories conveying the interpersonal norms that govern an organization. They are especially suited to introduce newcomers to “how things are done around here” are effective in influencing employee performance. 67.3% and 23.1% said that it is effectively and highly effective respectively which is more compared to 9.6% who claimed were not sure.
Findings on stories maintaining and legitimizing institutional arrangements
Figure 4.20: Stories maintaining and legitimizing institutional arrangementsSource: Researcher 2014
DiscussionAccording to the respondents, 42.3% and 9.6% said that stories maintaining and legitimizing institutional arrangements are effective and highly effective in influencing employee performance. On the other hand 32.7% and 15.4% said it is average and were not sure respectively.
Findings on mythical stories of creation of the organization and challenges faced.
Figure 4.21: Mythical stories of “creation of the organization” and “challenges faced Source: Researcher 2014
DiscussionMajority of the respondents claimed that mythical stories of “creation of the organization” and “challenges faced and overcome” are effective in influencing employee performance where 73.1% of the respondents claimed that it is effective. On the other hand 13.5% and 13.5% were not sure and average respectively.
CONCLUSIONSFrom the findings and the summary of findings the following conclusions can be made on the role of organizational culture on employee performancea case study of Postal Corporation of Kenya.Gender: Majority of the employees at the state corporation are male compared to female counterparts. Department: The organization has a functional organization structure. The operations department has the highest number employees; this is followed by transport, then the information technology, accounts, human resource and sales department. This can be explained by the fact that logistics and roles of postal services are carried out by operations department and therefore need a large number of personnel. Education background: A majority of employees are high school leavers and diploma holders. The organization has very few university graduates attributing the organization culture is more work based than knowledge based in achieving the goals of the corporation. Performance measurement: The organization has a performance oriented culture and performance is mainly measured against clear goals and objectives and not against past performance as can be assumed with most state corporations.
Control systemsBased on the findings of the research study the followings facts can be concluded about the relationship between control systems and employee performance in postal corporation of Kenya: The organization employs controls systems which form part of the organization culture and this affect employee performance. Control systems enhance employee performance in an organization. Control systems examined in this study: budgets, financial reporting, quality systems, training, and surveying of customers and surveying of employees are appreciated by employees to enhance employee performance. There is a positive correlation between control systems and employee performance in the organization. The more control tools are used for example budgets, financial reporting, quality systems, training, and surveying of customers and
employees the better the employee performance. Although controls enhance employee performance there are areas in the control systems that draw dissatisfaction by some employees for instance surveying of customers and need improvement.
RitualsBased on the findings of the research study the followings facts can be concluded about the relationship between rituals and employee performance in postal corporation of Kenya: The organization has rituals which form part of the organization culture of the corporation. Rituals mainly enhance employee performance however a few rituals have no noticeable effect. Rites of degradation, rites of enhancement: public recognition of employees and rites of conflict reduction: resolve an argument between certain members’ are regarded to enhance employee performance. On the other hand, rites of passage and rites of renewal of employees into new roles have no noticeable effect.
Organization symbolsBased on the findings of the research study the followings facts can be concluded about the relationship between organization symbols and employee performance in postal corporation of Kenya: The organization has various organization symbols that form part of the organization culture. Organizational symbols influence employee performance in two different ways; some enhance while others inhibit employee performance. The organizational symbols that enhance performance make the employees feel more part of the organization for instance visual representations, company-logo, trademark, dress code, brand name and color representation as seen in the study. On the other hand, there are organization symbols that inhibit employee performance especially when of poor quality or low standards for instance status symbols or the apparent lack of them such as parking places, director’s dining room, office building layout and office allocations as seen in the study where most respondents claimed inhibit employee performance respectively.
Stories, mythsBased on the findings of the research study the followings facts can be concluded about the relationship between stories, myths and employee performance in postal corporation of Kenya:The corporation has stories and myths that form part of the organization culture. Stories and myths shared in the organization affect the level of performance. Stories and myths particularly about the history of the organization highly enhance employee performance. Stories and myths enable employees to understand the vision and mission: where the organization is coming from and where it is going. Stories especially suited to tie members of the group together and generate a feeling of commitment among them enhance employee performance. Stories used to propagate the management’s philosophy enhance employee performance. Stories conveying the interpersonal norms that govern an organization especially those suited to introduce newcomers to “how things are done around here” enhance employee performance.Stories maintaining and legitimizing institutional arrangements enhance employee performance. Mythical stories of “creation of the organization” and “challenges faced and overcome” enhance employee performance.
RECOMMENDATIONSFrom the research study the following recommendations can be made on the role of organizational culture on employee performancea case study of Postal Corporation of Kenya.Organizations should appreciate that controls systems form part of the elements of organization culture and affects employee performance. Control systems for instance budgets, financial reporting, quality systems, training, and surveying of customers and surveying of employees should be adopted by organizations to enhance employee performance based on the fact that there is a positive correlation between control systems and employee performance in the organization.
Organizations need to continuously monitor and check the effectiveness of the controls since although they enhance employee performance there are areas in the control systems that draw dissatisfaction by some employees. Organization should recognize that rituals form part of the organization culture in an organization. Organizations should be strategic on the adoption of rituals in the organization since although some rituals enhance employee performance others have no noticeable effect or can even inhibit employee performance. Organization need to appreciate that various organization symbols that form part of the elements of the organization culture. Organizations should be strategic on the adoption of organizational symbols in the organization to ensure use of only symbols that enhance employee performance for instance visual representations, company-logo, trademark, dress code, brand name and color representations. This is based on the fact that organizational symbols influence employee performance in two different ways; some enhance while others inhibit employee performance. On the other hand organizations should identify and avoid or improve lapses on organizational symbols that inhibit performance.
Organizations should recognize that stories and myths that form part of the organization culture and affect the level of employee performance. Organizations need to encourage stories and myths particularly those that enhance organization performance for example: stories and myths about the history of the organization highly, stories and myths enable employees to understand the vision and mission of the organization, stories especially suited to tie members of the group together and generate a feeling of commitment among them, stories used to propagate the management’s philosophy and stories conveying the interpersonal norms that govern an organization especially those suited to introduce newcomers to “how things are done around here” enhance employee performance.
ACKNOWLEDGEMENTI am most sincerely grateful to God for the opportunity, knowledge, strength and health given to me to conduct this research project. I earnestly believe that it would be useful not only for Postal Corporation of Kenya but also other organizations at large. I am really indebted to so many who helped me to make this research a success in particular my supervisor DrMugambi for the dedicated and sincere guidance, the HR Manager Mombasa Ms. Fauzia for granting me permission and freely introducing me to the organization, the human resource department staff for spending a lot of time explaining to me about the corporation and the great support offered to me in terms of communication resources with the staff ,the entire staff of the Mombasa for your cooperation, clarifications and responses this would not be possible without you. I also gratefully remember my dedicated lecturers DrOtieno, DrKerongo, Mr. Adet, Mr. Njoroge,
Mrs. Datche and all others for their steadfast support and guidance in completing of my course work and this research work. I sincerely thank you all for granting me the knowledge that I have used in this study and forever in my career. Last but not least, I gratefully remember everyone who helped in any way in this research as well as in my studies at the university.
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