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Arsi University

Department of Management-MBA
Asella Campus.
Group Assignment

Course title: Management concepts and practices (MBA-611)

Group “B” members: Id.No


1. Jemal Tunu………………….................GS/Ex/110/08
2. Ashenafi Worku.................................GS/Ex/124/08
3. Zemach Abera................................ ..GS/Ex/109/08
4. Tilahun Zewede.................................GS/Ex/113/08
5. Eyob Dinku........................................GS/Ex/119/08(Repr.)

Submitted to: Bekele Shibru (PhD.)

Jan, 2016

Asella, Ethiopia

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Contents
Abstract..........................................................................................................................................3
A. Introduction..............................................................................................................................4
B. Statement of the problem.........................................................................................................5
C. Objective of the analysis...........................................................................................................5
D. Methodology used to make the analysis..................................................................................5
E. Scope of the analysis:................................................................................................................6
F. Significance of the analysis.......................................................................................................6
G. Findings.....................................................................................................................................7
H.Conclusion................................................................................................................................13
I. Recommendation......................................................................................................................14
References.....................................................................................................................................15

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The Impacts of Organizational culture on Employee
Performance, a Meta-analytical Investigation.

Abstract
The aim of this study is to expand the base knowledge about and to test empirically
the relationship between organizational culture and employee performance. The
study adopts Meta analytical approach to explore the impact. The review is
conducted on 20 Journal from five different continents, which are published within
the past 10 years on the topic, on which we made a meta- analytical investigation.
The analysis is divided in to eight sections: a) Introduction b) statement of the
problem c) objective of the analysis d) Methodology e) scope of the analysis f)
significance used to make the analysis g) findings h) conclusion and
recommendations. The result show that at the end that, the variables are strongly
related and originations should give due attention for organizational cultural
components for enhanced employee and organizational performance.

Key words: Organizational culture, Employee performance organizational


performance, performance management and Meta analysis.

A. Introduction
Although there are variety of meanings and understanding about organizational
culture and employee performance, here they can be defined them as follow:
“organizational culture the set of shared, taken for granted implicit assumptions

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that a group holds that determines how it perceives, thinks and about reacts to
different environments”(1) Culture can also be defined as “a combination of
values, sets, believes, communications, simplification of behavior which gives
direction to people(2) Whereas, employee performance can be explained as “The
job related activities expected of a worker and how well those activities were
executed.” (3)

Other related key words also considered through the study, since they are
mentioned and studied on the journals. These includes organizational performance
is organization’s capacity to accomplish its goals effectively and efficiently using
resources.(4 ) Performance management also another concept which also explained
as, strategic and integrated approach to delivering sustainable success to
organizations by improving the performance of people who work in them by
developing the capabilities of teams and individual contributors.(5)

Generally, our study investigates the impact of organizational culture on employee


performance, on the basis of these related concepts, which are the themes of the
20 journals and our meta-analytical review.

B. Statement of the problem


Organizational culture and its impact on employee performance has been the
research topic for so many scholars and research institutes for years. They are
using different conceptual models, methodology, and instruments. Depending
on their approaches they record findings and results.
This meta-analytical review, investigates how organizational culture affects
(positively/ negatively) employee performance, given the researchers’
scenarios.
It states as: Does organizational culture has an impact on employee
performance?

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C. Objective of the analysis
The impetus behind this research is to evaluate, whether organizational culture has
an impact on employee performance.

Specifically, the study investigates:

The methodologies, instruments, approaches and results used by the authors


of the journals.
Reviews the literary concepts of the topic’s key words.
Draw quantitative and qualitative conclusions on the journals’ study
results, and give recommendations.

D. Methodology used to make the analysis:

Meta-analysis is the most well developed methodology for synthesizing


qualitative studies. Meta-analysis is ‘research of research’ which incorporate
analysis of the theory, methods and findings of existing qualitative research
studies and subsequent synthesis of insights to provide new understanding of
phenomenon.(6)

The steps followed are, first 20 studies selected from different data bases on the
topic, which was done using the key word approach. Secondly, assembling all
the studies on a tabular format and determine how they are interrelated each
other (Synthesizing translations) using comparative approach. The last step is
by expressing the synthesis, we facilitates understanding on the topic.

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E. Scope of the analysis:
The study limited only on 20 Journals, from 4 contents and 13 different
countries around the world which were published within the past 10 years only
in English language.

F. Significance of the analysis:

This study will contribute theoretical findings on the topic, after reviewing the
studies and making a conclusion, through comparative approach.
The study also invites further studies to be conducted on the topic, which
employee different methodologies and approaches.

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G. Findings.

The summary of the 20 journals presented as follow:

Journa Title and Author Findings Methodology Author/Institutions


l No.

1. Organizational Culture and “There is a significant Data collection, Okechukwu Agwa,


Employee performance In relationship between Questionnaires MBA
National Agency Food and organizational culture and Data analysis:
drugs Administration and Descriptive and inferential
employee performance and
control(NAFDAC)(7)
productivity.”
-calculated value=40.61is
>critical value=5.29.
2. Impact Assessment of (8) There no positive Data Collection: Parul Bhati
Organization culture on relationship between Survey
employee organizational culture and Data analysis:
employee performance. Comparing Tabulation and chi-
-Calculated value is >table square values
value.
3 Relationship between Organizational Culture and Data collection methods: Ul Mujeeb Ehleshan,
organizational culture and Performance managements Questioners Tahir Masoon
performance management are strongly associated, and Data Analysis Methods: Muhamed, Shakil
practice: a case University SSPS -16, Excel, Correlation and
are complimentary. Ahemd Muhammed
in Pakistan (9) ANOVA.
-calculated value=0.744is
>significant value=0.01.

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4 Impact of organizational -Organizational culture has Method of Analysis: Fakhar Shahzad,Raha
culture on organizational a positive impact on Adeel Liquman,
performance.(10) Literature review and critical
employee performance. Ayesha Rashild Khan
analysis.
and Lalarukh Shabbir.
-Adoption of organizational
culture is helpful for the
employee to do their work
effectiveness and
efficiently.

-calculated
value=2.612is<0.95
significance value.

5. Impact of Culture on -Variables; communication, Sampling: Muhammad Arif


employee. A comparison of custom, events, function Khattak,Nadeem,
private sector Universities. Convenient sampling.
rules, physical performance Ansir Ali Rajut.
(11) Data Analysis:
affects employee
performance. There no Correlation and regression.
impact on employee
performance, without these
variables of organizational
culture.

6. The Impact of Positive moderate Data collection: -Ali Ibrahim


Organizational Culture On relationship between Questioners Mohammed and
Employee performance of organizational culture and Data Analysis: Ahmed Ali Shiekh
Mogadishu SPSS.
employee performance. Abukar.
-calculated mean

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value=3.31 where
acceptable mean
value=3.48.
7. Impact of Organizational -Numerous attributes of Data collection method: -Mohammad Jasim
culture on employee organizational culture have In depth interview and observation. Uddin, Rumana huq
performance and significant positive Data analysis; Luva, Saad Md maroof
productivity. A case study Measuring significant of records
influence on organizational Hossian.
on telecommunication based on literature review.
sector In Bangladesh. (13) performance.

8. Impact of Organizational On basis of particular -Method of data analysis: Alharabi Mohammad


Culture On employee conditions organizational Literature Review. Awadh and Alyahaya
performance.(14) culture is help full in Mohammed saad.
improving performance.
9. The impact of culture on -there is a significant Data collection: -M.A. O Awko.
Organizational relationship and Self administer questioners, in
performance in selected organizational depth interview and observations.
textile firms in Nigeria. Data analysis:
performance.
(15) Percentage and cross tabulation and
-
logistic regression.

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10. Impact assessment of -there positive relationship Data collection: Olu Ojo
Corporate culture On between organizational Questioners.
Employee Job culture and employee job Sampling:
performance.(16) Stratified random sampling
performance.
-calculated value of chi- Data analysis:
square, 56.23 >table value Descriptive statistical, percentages,
and chi-square.
9.488.

11. The impact of -Organizational culture has Data collection: M.Shakil Ahemed
organizational Culture on significant positive Questioners.
performance Management relationship with the Data analysis:
practice in Practice. (17) Regression and Correlation.
performance managerial
function.
- Correlation value r=0.837.
Significance =0.736.
12. Impact of Organizational - Organizational culture has Data Collection: Angela Sinickas
culture on employee job significant positive Questioners and formal and informal
performance.(18) relationship impact on interviews.
employee job performance. Data analysis:
Correlation and regression.
13. Organizational Corporate -organizational culture has Data collection: International Journal
culture on employee direct impact on (positive Questioners Business and
performance.(19) relationship) on employee Data analysis: commerce.
performance. Literature review.
14. The Influence of -organizational culture Data collection: Jack Henry Syauta,
organizational culture, doesn’t have significant Questioners. Eka Afran Troena,
organizational influence on employee Sampling: Margont Setihan,
commitments to job.(20) Random sampling.
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performance. Data analysis: solimun.
-calculated statistical Descriptive and Inferential analysis
value=0.990, significance with partial least square (pls) and
value=0.000. sobel test.

15. An Investigation of -there is a strong positive Data collection: Tayata Rana, Anus
relationship between relationship between Questioners Sarual.
organizational culture and organizational and role Data analysis:
the employee role based correlation and Inferential
based performance.
performance. (21)

16. Organizational Culture, -there is no positive Sampling technique: Bonifce Nusaur.


Role based Employee relationship between Convenient sampling technique
performance, in Banking organizational culture and Data analysis:
sector.(22) Tabulation.
productivity and job
performance.

17. The impact of -there is strong relationship Data collection: Boniface C. Nwugwo.
Organizational culture on between organizational Secondary data
employee behavior and culture, management style collection(literatures)
attitude.(23) Data analysis:
and employee performance.
Literature reviews.
18. Examining the relationship -There is positive relation- Data collection: William Shiner.
between organizational ship between them. Survey methods.
culture and performance. Data analysis:
(24) correlation and regression

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19. Perceived Influence on -there a strong relationship Data collection: -Onimoni, Salu.
Organizational Culture and between organizational Structure questioners.
management style on culture and employee Data analysis:
Employee performance in correlation
performance.
Nigeria Banking sector.
(25) -Correlation value(r=0.514)
Significance level 0.000
20. Analysis of the relationship -there is positive Data collection: Evan Sokro
that exists between relationship between Questioners
organizational culture, organizational culture Data analysis:
motivation and Qualitative and quantitative
motivation and
performance.(26) approach, and percentage, with
performance.
tabular presentation.
-78% of respondents believe
organizational culture has
an impact on employee
performance.

*A tabular presentation of 20 journals on organizational performance and employee performance.

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H.Conclusion

Generally, all the 20 studies mainly conducted on the impact of


organization culture on employee performance, specifically out 15
journals specifically address the our topic directly, the rest five related
studies address organizational performance and performance
management, in addition to employee performance; in relation to
organizational culture.
The studies incorporate both literature reviews and quantitative research
instruments to draw their conclusions.
The studies mainly uses (70%) questioners for data collection, however the
employee different methodology like tabulation, percentile, literature
reviews, computer packages like SPSS and SPL, correlation and recreation
statistical approaches for data analysis. Other data collection used by the
researchers is structured and unstructured interviews (20%), and the rest
(10%) researchers collect data trough different literatures and make their
analysis.

Out the 20 studies, 16 or 80% of them conclude that, organizational culture


and employee performance are related and have positive relationship.
Whereas, 4 or 20% studies indicates there is no positive relationship
between organizational culture and employee or organizational
performance productivity. Also three studies support the idea of
organizational culture for improving employee/ organizational
performance.
A more detail quantitative analysis made on six journals out the twenty
journals which used similar data analysis methodologies; we found the
following cumulative effect value (mean value).

Journal No. Calculated correlation Significance value


Value
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1. 40.61 5.29

3 0.744 0.01

4. 2.612 0.95

11. 0.837 0.736

14. 0.990 0.000

19. 0.514 0.000

From the above results we calculated a mean value of 7.717 for calculated
correlation value and 1.164 mean value of significance value. Thus, the
mean value further establishes and strengthens our conclusion that
employee performance is positively affected by organizational culture.
(Note that since the rest journal used different methodologies of data
analysis we considered only their resultant effects rather than calculating
them quantitatively.)

I. Recommendation
Despite the fact that out the 20 studies under consideration, that four of
them indicates that there is no positive relationship between the two
variables (organization culture and employee performance) the rest sixteen
studies clearly show that organizational culture and employee performance
are strongly related and have significant positive relationship, it is
apparent for this meta analytical review to concluded the variables are
positively related. However, the study also invites further investigations on
the topic, since our review is limited with time frame and numerical
magnitude of the studies.

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References.
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Bass.
2. Titiev, M. (1959), Introduction to Cultural Anthropology, New York, Henry Holt
and Company.

3. Daft, R. L (2000), Organizational Theory Design (7th Ed.) Southern-Western


Collage Publishing, Thomson Learning, USA.

4. www.businessdictionary.com

5. Reynolds, R. Ablett A. (1998) Transforming the rhetoric of the organizational


Learning to the reality of the learning Organization.

6. R. Benie, S. Morelene, B. Owen, F. Dobbs, G. Crealey, A Meta Synthesis of pregnant


women’s decision-Making processes with Regard to Antenatal Screening For
Down Syndrome Journal Social Science and Medicine,2009.

7. Mba Okechukwu Agrwa, “Organizational Culture and Employee performance In


National Agency Food and drugs Administration and control (NAFDAC)”, Global
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Management, Vol. 14 Issue 2, 2014.

8. Mashal Ahmed and Samia shafiq ,”The Impact of organizational culture on


organizational performance: A case study of Telecom sector”,

9. Ul Mujeeb Ehleshan, Tahir Masoon Muhamed, Shakil Ahemd Muhammed,”


Relationship between organizational culture and performance management
practice: a case University in Pakistan” Global Journal of Management and
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10. Fakhar Shahzad,Raha Adeel Liquman, Ayesha Rashild Khan and Lalarukh
Shabbir,” Impact of organizational culture on organizational performance.,
”Interdisplinary Journal of contemporary Research in Business, Jan. 2012. Vol. 3
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26. Evan Sokro “,Analysis of the relationship that exists between organizational culture,
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