Term Paper

Topic- Organizational Culture and Job Satisfaction

Course Title- Organizational Behavior

Submitted To :
Shayla Khanam
Assistant Professor
United International University

Submitted by :
Ema Akhter 111 171 071
Syed Sajid Ahmed 111 171 225
Nahian Akhtar 111 172 116
Hasan Shahriyar 111 171 059
Sabbir Hossain 111 171 219
 Letter of Transmittal
20th August, 2019

To

Shayla Khanam

Assistant Professor

United International University

Subject: A study on organizational culture and job satisfaction of Nestle Bangladesh Limited

Dear ma’am,

Here is the report you assigned us to prepare, on “Organizational Culture and Job Satisfaction”
for this course. In this report, we tried to analyze the organizational culture and job satisfaction
of the multinational company, Nestle Bangladesh Limited. We have covered all the necessary
elements that should be included in this report. Besides, we are still students and in the process
of developing our skills. So, we hope that you will be kind enough to consider the limitations of
this report.

Thank you for giving us such an opportunity for working on the topic. We will be honored to
provide you any additional information, if necessary.

Sincerely yours –

Ema Akhter 111 171 071

Syed Sajid Ahmed 111 171 225
Nahian Akhtar 111 172 116
Hasan Shahriyar 111 171 059
Sabbir Hossain 111 171 219
 Contents
Letter of Transmittal..................................................................................................2
Executive Summary...................................................................................................4
Introduction...............................................................................................................5
Literature Review......................................................................................................7
Objectives of the Study.............................................................................................9
Methodology of the Study......................................................................................10
Findings of the Study...............................................................................................10
Conclusion and Recommendation..........................................................................25
Appendix.................................................................................................................26
References............................................................................................................26
Questionnaire.......................................................................................................26
 Executive Summary

This report has been created to assess the organizational culture and job satisfaction of the
employees at Nestle Bangladesh Limited. This report was created for academic purposes only.
We used both primary and secondary data to conduct this research. The secondary data was
collected from the internet and the primary data was collected through questionnaires of a
survey. The representative sample moderately can represent the condition of the culture and the
job satisfaction but since we only used a small sample and since situations at every organization
is always changing, it is best to rely on this data moderately and go through other secondary data
available before making any decisions.

On assessing the organizational culture of NBL, we discovered that it scores high in innovation
and risk taking, which means that their culture can withstand any changes occurring and take
quick appropriate action when necessary. It scored high in communication, people orientation,
team orientation and stability. Its scores on attention to detail were inconclusive and confusing.

On assessing the job satisfaction of the employees of Nestle Bangladesh Limited, we discovered
that it scores high on the work itself ,job condition, corporate social responsibility and
personality. It scored moderate on supervision but it scored very low on pay and behavior of
coworkers.

This report was created by university students who didn’t experience a job life at NBL. Hence
there will be lots of shortcomings and limitations. We are hoping that with the help of this we
will be able to gain more knowledge and understand the organization from organizational
behavior perspective.
 Introduction

This report has been created to assess the organizational culture and job satisfaction of Nestle
Bangladesh Limited. In order to assess the job satisfaction of the employees we considered
factors like the work itself, pay, supervision, coworkers, the different job conditions, personality
of the employees, corporate social responsibilities and the overall satisfaction of the employees.
To assess the organizational culture of the company, we considered factors such as
communication, innovation and risk taking, attention to detail, people orientation, team
orientation and stability. A survey was created by our group with well structured questions and it
was conducted at Nestle Bangladesh Limited’s office in Tejgaon, Dhaka. We tried to collect data
from every department, but we could only cover a few due to restrictions. But we still believe the
representative sample is still very useful.

Nestle Bangladesh Limited is a wholly owned subsidiary of Nestle S.A. Switzerland. It is

operating in the food industry. The factory is located 55 Kilometers from Dhaka and produces
instant noodles, chocolate drinks & repacks milks and infant nutrition product .The company
wants to be recognized as the most successful food and drinks company in Bangladesh ,
generating sustainable, profitable growth to benefit shareholders and employees. Nestlé is
world’s biggest health, nutrition and wellness organization. Although globally it is twice in size
of its closest fast moving consumer goods competitors, the business expansion is still in the
growing stage in Bangladesh. However, recently it has experienced an organic growth of 40%
and this trend has been expected to continue in upcoming years.

In 1994, Nestlé Bangladesh Limited began its operation in Bangladesh. Its total authorized
capital is TK1.5 billion and total paid up capital is TK 1.1 billion. The only factory of the
company in Bangladesh is situated at Sreepur, 55 km north of Dhaka. The factory produces the
instant noodles and cereals and repacks milks, soups, beverages and infant nutrition products.

Today Nestlé Bangladesh Ltd. is a strongly positioned organization. The Company

is continuously growing through the policy of constant innovation, concentrating on its
core competencies and its commitment to high quality food to the people of Bangladesh. Since
the beginning of Nestlé’s operation in Bangladesh, the chairman of the company has been Mr.
Latifur Rahman, one of the top industrialists of the country, his firm Transcom used to import the
products of Nestlé. His business house Transcom is still involved in wide range of business like
beverage, pharmaceutical, electronics, newspaper, tea export, fast food franchises etc. Still he
remains as an honorary chairman of the company.

In Bangladesh Nestlé’s vision is-to be recognized as the most successful food and
drink Company in Bangladesh, generating sustainable, profitable growth and continuously
improving results to the benefit of shareholders and employees
 Literature Review
The organizational culture and job satisfaction of employees of Nestle Bangladesh Limited has
been assessed many times over the last decade. The assessments were usually carried out by the
students of all the reputed Universities that we have and they were mostly internship reports. One
such report was made by Maisha Mofiz Esha of Brac University under the supervision of
Mohammad Rezaur Razzak who is the Associate Professor & Head of Operations of Brac
University. After completing her internship for 6 months in HR department in the reward team
she discovered the following-

 As an employee, she learnt various skills, gained knowledge and could form a good
network.
 To get the internship, she had to pass an interview and an aptitude test. Based on the
results of these, Nestle Bangladesh limited decides a suitable department for the
employees, regardless of what their majors are.
 Internship is a yearlong and employees are rotated every 3 months (if there is vacancy)
 To get an interview, an employee should have a high CGPA,strong interpersonal skills
and team management skills.
 The company provides stress management therapies such as yoga to improve job
performance. These therapies increase job satisfaction.
 Employees have to work in the organization for eight and a half hours
 It is mandatory for managers to motivate their employees
 Their organizational culture frowns upon loose talks, dirty politics and blame games
 Their performance appraisal system helps to motivate employees
 Employees have a great relationship with each other
 The managers are helpful towards their interns and teach them with care.
 The department heads and the directors are also very helpful
 The relationship between the line managers and their bosses are also very friendly.
 The interns there are highly satisfied because-
 Managers are well behaved and helpful
 They find their work interesting
 They are even more satisfied when the work is repetitive
 The heavy work load doesn’t reduce their satisfaction
 Low absenteeism due to being satisfied by Nestle’s culture
 Full time employees are also highly satisfied.
 Objectives of the Study
The primary objectives of this study are-

 To assess the organizational culture of Nestle Bangladesh Limited

 To assess the job satisfaction of the employees of Nestle Bangladesh Limited

To achieve our primary objectives, we need to have some secondary objectives. For each
primary objective, we will have some secondary objectives. They are-

To assess the organizational culture we need to assess the following factors-

 Communication
 Innovation and Risk Taking
 Attention to detail
 People orientation,
 Team orientation
 Stability

To assess the Job satisfaction of the employees, we need to assess the following-

 Work itself
 Pay
 Supervision
 Coworkers
 Job conditions
 Personality
 Corporate social responsibilities
 Overall satisfaction
 Methodology of the Study
To carry out our assessment, we used both primary and secondary data. The secondary data was
mostly collected from the internet from various websites. The primary data was collected with
the help of a well structured survey. In sample survey, we take a sample from total population
and conduct a study on a topic. It is a quick method which is not very costly, but it may give
biased and sometimes wrong answers. The data gathering tool that we used is questionnaires.
Questionnaires are close-ended questions; choices are given and individuals have to choose from
those choices. It gives specific answers and saves time but it may give biased answers and
individuals may misinterpret the questions as well.

We collected data from Nestle Bangladesh Limited’s office at Nina Kabbo, Tejgaon, Dhaka. We
tried to collect data from all departments but due to restrictions, we could only cover a few. Our
sample size was 50 and we mostly took data from interns and a few line managers. The
employees were given 20 minutes time to complete answering the questions and it took us
around 1.5 hours to complete the survey.

Findings of the Study

We surveyed 50 different employees. The questions and the results of assessment of
organizational culture are given below-

Q1) Communication between the departments are very open

No. of Employees
30

25

20

15
No. of Employees
10

Out of 50 employees, 28 people strongly agreed that the communication between the
departments is open. Nine of them somewhat agreed that the communication is open but 6 of
them couldn’t decide if the communication is open or not (we believe that these candidates must
be new interns). Four of them somewhat disagreed and 3 of them strongly disagreed. Since the
maximum numbers of employees believe that the communication is open, we can say that in the
organizational culture of Nestle Bangladesh, the communication between the departments is
open.

Q2) Communication channels are very open here among employees

No. of Employees
35
30
25
20
15 No. of Employees
10
5
0

Out of 50 employees, 32 people strongly agreed that the communication channels are very open
here among employees. Seven of them somewhat agreed that the communication is open but 8 of
them couldn’t decide if the communication is open or not (again,we believe that these candidates
must be new interns). Two of them somewhat disagreed and only one of them strongly
disagreed. Therefore, we can conclude that the employees communicate with each other a lot and
they have a very friendly and social environment.

Q3) Communication channels are very open here among management and workers

No. of Employees
45
40
35
30
25
20
No. of Employees
15
10
5
0

A very surprising result! Out of 50 employees, 40 people strongly agreed that the communication
channels are very open here among management and workers. Eight of them somewhat agreed
that the communication is open and 2 of them couldn’t decide if the communication is open or .
No one in the representative sample somewhat disagreed or strongly disagreed! This coincides
with our primary data collected from Maisha Mofiz Esha who stated in her internship report that
the managers at Nestle are quite helpful and tend to communicate a lot and they teach with a lot
of care.

So overall we can say that the communication across the organization is quite strong. This means
that the culture of the organization is quite friendly, social and the organization tries its best to
make employees feel the sense of belongingness at work. It also indicates that their team work is
very effective and that every employee gets clear instructions from their superiors. This creates
an overall good and effective environment for working. Not only that, all the departments work
together effectively to achieve organizational success as well.

Q4) Creative decisions that incur risk or change are NOT encouraged.

No. of Employees
20
18
16
14
12
10
8 No. of Employees
6
4
2
0

Eighteen out of fifty of the employees couldn’t decide if creative decisions are supported by the
culture of the organization. We believe these employees might be interns who are currently in the
process of learning and job rotation. That’s why they didn’t get the chance to be involved in
decision making situations yet. Or these employees might be those line managers who don’t
want to be/ need to be involved in any decision making process. Or they could just be those line
managers or officers who don’t have much autonomy.

Three out of fifty strongly disagreed that creative decisions are not encouraged. These employees
are probably those managers who have a lot of autonomy and have a strong foundation on
decision making skills. This also means that these employees suggested something or made
decisions that had positive impacts on the organization. Four of them somewhat disagreed and
we can say the same about them. Fifteen of them strongly agreed that the employees creative
decisions are not encouraged and ten of them somewhat agreed.
Since maximum employees, 25 to be exact, agreed that creative decisions are not encouraged, we
can say that the culture of the organization is not innovative and they do mind taking risks. But
we shouldn’t make any conclusion from this data since 50% thought that creative decisions are
not encouraged, 36% couldn’t even decide if such a thing happens and about 14% were sure that
creative decisions are encouraged. That’s why, to find out more about the organizational culture,
we asked more questions on this.

Q5) This organization is very supportive of change

No. of Employees
14
12
10
8
6 No. of Employees
4
2
0

Thirteen out of fifty employees somewhat agreed that the organization is supportive of change
and nine out of fifty strongly agreed that the organization is supportive of change. We believe
these employees( 22 to be exact) must be from the marketing and sales department since they
always have to adapt to the changes in the marketing environment and we all know how dynamic
it has become, especially because of the internet and the social media. Ten of them couldn’t
decide if the organization supports change. We believe that these are either new employees or
they work in a position where not much change is necessary. Eleven of them somewhat
disagreed and seven of them strongly disagreed. So a total of eighteen people didn’t believe that
the organization supported change. These employees probably work in the finance or accounting
department where the employees have to carry out certain methods without which the objective
wouldn’t be achieved. This means that their outcomes are mostly predictable and no change in
the work is needed.

Since maximum people agreed that the organization is supportive to change, we can say that the
culture is innovative and doesn’t mind taking risks.

Q6) . Most people in this organization are encouraged to make suggestions for
improvement.
 No. of Employees
25

20

15

10 No. of Employees

Twenty three out of fifty strongly agreed and eleven of them somewhat agreed. This
means that maximum number of employees, thirty three to be exact, believe that they are
encouraged to give suggestions on any improvement of the company. This means that
maximum employees feel valued since their suggestions are important to the organization.
This also increases the satisfaction of the employees a lot .Three of them couldn’t decide
and eight of them somewhat disagreed and seven of them strongly disagreed.

Since the maximum number of employees believes that their suggestions are encouraged,
we can say that the culture is innovative and takes risks by taking suggestions from
employees in the hope of any improvement possible.

Q)7 Changes suggested by employees are usually implemented.

No. of Employees
16
14
12
10
8
6 No. of Employees
4
2
0

Fourteen out of fifty employees tend to disagree and eleven of them strongly disagreed
that the changes suggested by the employees are implemented. This means that although
all employees are suggested to suggest any sort of improvement, only suggestions that will
give feasible improvements are implemented. So, the organization does take risks, but they
only take it when there is a maximum possibility of a feasible improvement. Six of them
couldn’t decide if their suggestions are implemented. Thirteen people strongly agreed and
six people somewhat agreed that their suggestions are usually implemented. We believe
that these are mostly experienced managers who give expert suggestions.

Our findings have led us to believe that the culture of Nestle Bangladesh Limited is
innovative and they do like to take well calculated risks.

Q8) I am always expected to be accurate in my work

No. of Employees
16
14
12
10
8
6 No. of Employees
4
2
0

Fourteen out of fifty somewhat agreed and twelve of them strongly agreed that they are
always expected to be accurate in their work. We believe that these employees must be
interns who are in the process of training and learning and that are why they always have
to be accurate. They still didn’t reach the stage in which they would develop their own
creative ways to perform a task in their own way to achieve their objectives. Or maybe the
nature of the work requires that the employees always perform their work accurately. Five
of them couldn’t decide if they are expected to be accurate. Ten of them somewhat
disagreed and nine of them strongly disagreed that they are expected to be accurate. These
employees might be those employees who are very experienced and have developed their
own efficient ways to achieve their objectives and they are not required to be accurate in
their method, only achieving the objective is the main focus.

Since maximum of the employees believe that they need to be accurate in their work, we
can conclude that the employees need to put a lot of attention to their details.

Q9) Even the slightest deviation from accuracy and precision causes dissatisfaction from
superiors
 No. of Employees
20
18
16
14
12
10
8 No. of Employees
6
4
2
0

Fifteen out of fifty strongly disagreed and eighteen of them somewhat agreed that even
slightest deviation from precision causes dissatisfaction. These results are a bit
contradictory since this means that maximum number of people don’t really have to be
accurate in their work. This also means that they are highly encouraged to develop their
own ways to achieve their goals. Two of them couldn’t decide and seven of them strongly
agreed and 8 of them somewhat agreed to this.

Based on the results we got, it is very difficult to conclude if the organization pays
attention to detail or not.

Q10) Management actively solicits input from employees before major decisions are made

No. of Employees
35
30

25
20
15
No. of Employees
10
5
0

Thirty three out of fifty strongly agreed and seven somewhat agreed that employees
opinions are asked before taking any decisions. This means that the organization is coring
high on people orientation since managers think about how their decisions would impact
the people of their organization and even discuss and ask about their opinion on it. One of
them couldn’t decide, five of them somewhat disagreed and four of them highly disagreed.

Q11) I can trust our management and believe what it says.

 No. of Employees
30

25

20

15
No. of Employees
10

Twenty seven out of fifty strongly agreed and eleven of them somewhat agreed that they
trust the organization. Two of them couldn’t decide, six of the somewhat disagreed and four
of them strongly disagreed. Since the organization scored high on the on trusting the
organization, we can conclude that their culture is highly people oriented because their
activities gained trust of their employees.

Q12) Most of your work activities are organized around team

No. of Employees
35

30
25
20
15 No. of Employees
10
5
0

Thirty one out of fifty strongly agreed and nine of them somewhat agreed that most of their
work involves team works. Eight of them somewhat disagreed and two of them strongly
disagreed. No one found it hard to decide. Hence we can conclude that their culture is team
oriented.

Q13) Following certain rules is always mandatory.

No. of Employees
35
30
25
20
15
No. of Employees
10
5
0
Twenty-nine out of fifty strongly agreed and nine of them somewhat agreed that they always
need to follow some certain rules. No one found it hard to decide. Seven of them somewhat
disagreed and five of them strongly disagreed. From here, we can conclude that their culture
is highly stable.

The questions and the results of assessment Job Satisfaction are given below-

Q14) The work I do is very interesting

No. of Employees
35
30
25
20
15
No. of Employees
10
5
0

Thirty four out of fifty strongly agreed and four of them somewhat agreed that that the work that
they do is interesting. Eight of them somewhat disagreed and four of them strongly disagreed, so
they believe that their work isn’t that much interesting. So we can conclude that the work at
Nestle is interesting to the employees, which means that their work satisfies them

Q15) All employees receive periodical trainings

No. of Employees
50
45
40
35
30
25
20 No. of Employees
15
10
5
0

Almost all employees were sure that they get periodical trainings, only one of them couldn’t
decide if they get periodical trainings. So we can conclude that the employees are trained
periodically which helps them develop new skills to work which in turn can increase their
satisfaction.

Q16) My work requires a variety of skills

No. of Employees
40
35
30
25
20
15 No. of Employees
10
5
0

Maximum number of employees believes that their work requires a variety of skills. Only a few
disagree. Having a variety of skills is a part of job conditions. Existence of variety of skills tends
to motivate their employees and increase their satisfaction

From these results we can conclude that the organization scores high on job conditions.

Q17) My immediate supervisor respects me as an individual

No. of Employees
20
18
16
14
12
10
8 No. of Employees
6
4
2
0

Maximum employees tend to disagree, 18 employees to be exact, and 9 employees strongly

disagree. Since maximum employees believe that their supervisor doesn’t respect them, we can
say it scores low on behavior from supervisor. This is a problem since this can cause or is
causing dissatisfaction among the employees.

Q18) My supervisors are always helpful

 No. of Employees
25

20

15

10 No. of Employees

Maximum employees believe that their supervisors are helpful and five of them somewhat
disagreed and one couldn’t decide if their supervisors were supportive or not. Four of them
strongly disagreed. This shows that the organization has scored high on good supervision

Q19) My supervisors have always been supportive

No. of Employees
40
35
30
25
20
15 No. of Employees
10
5
0

Maximum employees strongly agree that their supervisors are supportive and a few somewhat
disagreed and some couldn’t decide if their supervisors were supportive or not. Four of them
disagreed . This shows that the organization has scored high on good supervision.

Q20) My supervisor is open to constructive criticism

 No. of Employees
25

20

15

10 No. of Employees

A greater number of employees couldn’t decide if their supervisors were open to constructive
criticism. This can mean that they probably never really practiced constructive criticism with
their supervisors. Maximum employees disagreed. This means that they probably practiced it and
were considered disrespectful. A very small number of people agreed that supervisors were open
to constructive criticism. In this case, the supervision is scoring low for the NBL organization

Q21) I am satisfied with the company’s benefits package.

No. of Employees
20
18
16
14
12
10
8 No. of Employees
6
4
2
0

The results show that maximum employees are not satisfied with their benefits package, some
couldn’t decide if they were satisfied or not, or they just didn’t want to reveal that they were
dissatisfied. Only a few employees said that they were satisfied with their benefits package

Q22) I know someone who works at the same position as I do and he/she earns more than me

No. of Employees
18
16
14
12
10
8
No. of Employees
6
4
2
0
Maximum employees believe that if they were doing the same job somewhere else, they would
get paid more. This means that maximum employees,30 to be exact, are not satisfied with their
pay and the rest are satisfied with their pay, which is very low in number.

Q23) My coworkers are friendly and help me whenever I get stuck with something.

No. of Employees
18
16
14
12
10
8
No. of Employees
6
4
2
0

Seventeen out of fifty couldn’t decide if their co workers are helpful or not or they just didn’t
want to reveal anything negative about their co workers. Thirteen of them somewhat agreed that
their coworkers were helpful. A total of 20 people believe that their coworkers are not helpful.
This can create a negative environment for the employees and cause them to feel dissatisfied.

Q24) I am an optimistic person

No. of Employees
20
18
16
14
12
10
8 No. of Employees
6
4
2
0

About thirty people believed that they were not optimistic. This means that the representative
sample contains employees who are pessimistic and these people are more likely to get
dissatisfied no matter what the situation is. Seven of them couldn’t decide and thirteen of them
were sure that they were optimistic. Nestle should assess the personality of the employees they
hier and try to avoid pessimistic personalities if possible.

Q25) I am best suited for the work I do

 No. of Employees
35
30

25
20
15 No. of Employees
10
5

Maximum employees believe that they are best suited for their jobs. This means that they are
most likely to be satisfied with their jobs.

Q26) Even if the task is new, I believe that if I try and learn, I will be able to perform the task.

No. of Employees
40
35
30
25
20
15 No. of Employees

10
5
0

A maximum number of employees believe that if they try, they can learn new things and adapt to
the new job requirement. Such people are less likely to be dissatisfied and are always motivated.
A very small number of people believe that they cannot adapt to changes.

Q27) My company cares how its products impact consumers’ health

No. of Employees
50
45
40
35
30
25
20 No. of Employees
15
10
5
0
Almost all the employees believe that Nestle Bangladesh Limited sells food that are good for
their consumers’ health and doesn’t harm them in any way. This means that they believe that
their company takes the corporate social responsibility very seriously. When employees see that
their organization is involved in CSR, their satisfaction and trust towards the organization
increases so does their organizational commitment.

Q28) If a better job in a different company is offered, I will go and join

No. of Employees
30

25

20

15
No. of Employees
10

A very alarming result! Maximum employees agreed that they would join another company if
they are offered a better job. This means that currently, their commitment towards the
organization is very low. This mean that overall, they are not satisfied with their job. The human
Resource Management should take this matter very seriously and plan programmes retain their
employees.
 Conclusion and Recommendation

Nestle Bangladesh Limited started its journey in Bangladesh in 1994 and it has been thriving
ever since. Being a multinational company, it still has done a wonderful job at understanding our
culture and adapting to the needs of the consumers of this country. It has a a very warm and
welcoming organizational culture which is perfect for the interns since they have managers who
teach with a lot of care. I believe that most of the employees there are satisfied with their jobs but
I would like to give some recommendations-

 NBL should offer better salaries to their employees and better reward packages
 NBL should encourage organizational citizenship behavior
 Supervisors should be trained to be open to constructive criticism and employees should
have the freedom to inform supervisors about their shortcomings
 Employees and supervisors should respect reach other equally
 NBL should assess the personality of the employees more before hiring them.
 Appendix

References
The following website was used in the month of August as a reference to complete the literature
review- ‘http://dspace.bracu.ac.bd

Questionnaire
A sample of the questionnaire has been attached in the next page.