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INFLUENCE OF ORGANIZATIONAL CULTURE TO THE 


PRODUCTIVITY OF EMPLOYEES WORKING AT
HOME ON SELECTED BPO COMPANY 
IN CAVITE

Undergraduate Thesis Submitted to the Faculty


of the Department of Management Cavite
State University Silang Campus

In partial fulfillment of the requirements for


the degree Bachelor of Science in
Business Management

DHEA ESPERANZATE 
JASMIN IVY B. MORGADO
EDUARD JOSHUA A. MESA
KHAICEE G. CUARESMA 
VHEA MEDINA

October 2022
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        Republic of the Philippines


                                             CAVITE STATE UNIVERSITY
                 Silang Campus
             Biga I Silang, Cavite

                                        DEPARTMENT OF MANAGEMENT

 
            TITLE APPROVAL SHEET
 

Authors: DHEA ESPERANZATE 


   JASMIN IVY B. MORGADO
   EDUAD JOSHUA A. MESA
   KHAICEE G. CUARESMA 
       VHEA MEDINA

Title: INFLUENCE OF ORGANIZATIONAL CULTURE TO THE 


                 PRODUCTIVITY OF EMPLOYEES WORKING AT
                          HOME ON SELECTED BPO COMPANY 
                                                  IN CAVITE

APPROVED:

MS. ZARAH CENTENO, DBA ________


                               Dept. Research Coordinator                 Date
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INFLUENCE OF ORGANIZATIONAL CULTURE TO THE 


PRODUCTIVITY OF EMPLOYEES WORKING AT
HOME ON SELECTED BPO COMPANY 
IN CAVITE

DHEA ESPERANZATE 
JASMIN IVY B. MORGADO
EDUARD JOSHUA A. MESA
KHAICEE G. CUARESMA 
VHEA MEDINA

An undergraduate thesis outline submitted to the faculty of the Department of Management


Cavite State University, Silang Cavite in partial fulfillment of the requirements for the degree of
Bachelor of Science in Business Management. Prepared under the supervision of Ms. Zarah
Centeno.

INTRODUCTION

All areas of our personal and professional life have been influenced by the COVID-19
pandemic. In response to state and local containment measures, businesses, organizations, and
institutions encouraged their employees to work remotely from home. Many workers were urged
to Work From Home (WFH) full-time during the COVID-19 outbreak. Working from home
limits an employee's possibilities to interact with coworkers and may also limit their physical
activity, such as walking to and from meetings. Secondly, doing a full-time computer job for an
extended period might result in fatigue, headaches, and eye-related problems. Full-time Work
From Home without regular face-to-face encounters and social support may affect mental
illnesses including depression and social isolation in those who live alone. Others find it
challenging to mentally detach themselves from their jobs due to blurred work-life boundaries,
which causes them to feel more stressed and anxious.
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Working remotely is becoming a more attractive option in today's culture. Numerous terms,
some of which overlap, have been used to investigate the phenomenon, such as "telecommuting,"
"virtual offices," "remote work," "location-independent working," and "home offices." Working
from home shall be done from any location except the employer-provided designated workplace.

The terms "working from home," "telecommuting," "teleworking," and "remote work" should
be used. To avoid confusion, Baker et al. (2007:38) prefer the term "remote working," and they
provide the following justification for their choice: "Reasons include that remote working has
been studied under various names (e.g., teleworking, telecommuting, working from home), with
no generally accepted definitions; terms are used differently and interchangeably from study to
study; and data gathering methods and definitions vary."

Over the past three decades, academics have examined the effects of working from home in a
variety of fields, such as business and economics, environmental sciences, and psychology (e.g.
Bailyn 1988; Henderson, Koenig and Mokhtarian 1996; Gajendran and Harrison 2007). The
literature claims that there are two key characteristics of working from home. Employees, in the
first place, do their work elsewhere. Second, there is a link between the home and the office.
Information and communication technology enable communication among coworkers and the
exchange of information (Bélanger 1999; Bailey and Kurland 2002). Additionally, according to
the research, remote work requires that employees have a proper job design. Employees that
primarily have knowledge-based jobs, limited face-to-face contacts, and a high degree of
autonomy are most suited for working from home (Bailey and Kurland 2002).

According to Afsar and Umrani (2019), developing a suitable organizational culture one that
encourages cross-departmental cooperation and the creation of functional teams to complete
specific tasks is necessary to guarantee the optimum productivity of the workforce. Employee
motivation is also necessary for them to do their jobs well. In a 2015 research, Lăzăroiu found a
correlation between high employee motivation and a happy attitude at work. On the same vein, a
positive outlook coupled with high levels of motivation help employees nurture a healthy
psychological climate, which in turn leads to a positive organizational climate, one of the key
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components of the organizational culture. The notion of organizational culture and how it affects
organizational performance and staff productivity has been examined by a number of academics
throughout the years;

According to a research by Zheng, Yang, and McLean (2011), a bad organizational culture
marked by a lack of creativity, drive, and dedication is linked to a host of detrimental effects,
from lower employee morale to poorer organizational performance. This is particularly true
when taking into account how organizational culture is used to experience the organizational
vision, systems, norms, values, and beliefs; as a result, a weak organizational culture jeopardizes
the ability of the leaders to enact useful rules and regulations to guide productivity. According to
the study by Ostroff, Kinicki, and Muhammad (2012), organizational culture influences business
decisions as well as corporate survival strategies. In order to be viewed as qualified for the role at
hand, new workers in an organization are often required to adopt the organizational culture.

People who work from home find it difficult to address problems inside the firm quickly since
there is only online contact, which puts them at risk for experiencing worry and stress that is bad
for their mental health. Moreover, working from home can create a work-family imbalance since
employees must complete their work at home while simultaneously taking care of their families.
This can lead to tension in the home and reduce employee productivity.

The manner that personnel carry out their duties and how every company operates has both
been affected by the outbreak. This notion of working from home had a significant influence on
both people and the company, in contrast to the typical work environment. The purpose of this
study is to determine how the selected BPO Company in Cavite will influence the employees’
productivity in their organization culture.
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STATEMENT OF THE PROBLEM

The study aims to understand the Influence of Organizational Culture to the Productivity of
employees working at Home on selected BPO Company in Cavite. Specifically this study shall
seek answer to the following questions:

1. What is the demographic profile of Employees in BPO Sector in terms of:


1.1 Age?
1.2 Gender?
2. How does organizational culture influence employees productivity?
3. Is there any significant relationship between organizational culture and employee
productivity?

OBJECTIVE OF THE STUDY

The study aims to determine the Influence of Organizational Culture to the Productivity of
employees working at Home on selected BPO Company in Cavite.
This study aims to:

1. Determine the demographic profile of the participants in terms of:


1.1 Age?
1.2 Gender?
2. To determine the organizational culture's influence on productivity of employees.
3. To determine the significant relationship between organizational culture and employee
productivity.
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CONCEPTUAL FRAMEWORK

Age Survey
Gender Question
naire
Intervie
ws

Input Process

Employees’ productivity

Output

Figure 1.1. IPO Diagram

The researchers will conduct a survey at a selected BPO company in Cavite on randomly
selected employees who have been working from home since the researcher wants to know the
Influence of Organizational Culture on work from home employee's productivity.
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Significance of the Study

This study aims to understand the Influence of Organizational Culture on work from home
employee's productivity. This study is significant to the following:

Employee - This study is significant to the employees of BPO companies because they will be
more informed regarding the Organizational Culture on work from home set up and its influence
to their productivity as employees of the said company.

Future Researchers - This research would be useful reference for the researchers who would
plan to make any related study precisely about the Influence of Organizational Culture on work
from home employee's productivity

Time and Place of the Study

The researchers conducted this study in selected BPO in Cavite. The researchers were given
allotted time (October 2022) to finish the preparation of chapter 1 and 2 of the study.

Scope and Limitation of the Study

This study focuses on the influence of Organizational Culture on work from home employee's
productivity. Recent related studies and literature as well as surveys will be used as reference in
gathering data on Organizational Culture on work from home employee's productivity. This
study will be focusing only on the Organizational Culture on work from home employee's
productivity.

Thus this research will not go beyond the impacts of work from home in the productivity of
employees as well as their possible solution to make this work from home setup an effective
working environment. However, the advantages and disadvantages of work from home will be
covered in this study. Moreover, this study will be conducted through a qualitative method in
gathering information.

Definition of Terms
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Productivity - A person can perform his work more efficiently. It is also a measure of
performance on how a person accomplished his work. When it comes to the telemarketing
environment, productivity is defined as the ability of the employees to communicate with
customers effectively and have a smooth transaction using the telephone. Various strategies are
shown here to win the customer's hearts and the ability to encourage them to try the company's
product to achieve the desired outcomes.

Telemarketing - This is a Sales Technique or strategy where there is an aim of selling products
and services over the telephone. It is one of the best and easiest ways to offer and promote the
company's products or services by contacting potential customers. It is cost-effective because
marketers don't have to visit the target customers just to offer products and services. All they
need is the telephone number of the target customer and explain the details of the products that
are being offered.

Work From Home -It is a telecommuting arrangement where the employees can be fully or
partially remote. They may work from a home office or in other locations. This kind of
arrangement is not requiring face-to-face interactions. That is why it lesser the opportunity for
the employees to network and interact with their co-workers. But working from home can reduce
expenses and commute, and employees can also save money and time. And it is more safe
because there is no need to go away and cause to be infected by any disease.

Influence -It is the effect that occurs in a situation. When there is a change that happens in a
company, there are different effects that are passed on to each of the employees. It is also the
ability to affect someone's behavior or individual to act in one way. This study has a positive and
negative influence or impact. Because of the different effects of working from home on the
employees, they may also perform different productivity.

Employees - They work in a telemarketing group. They are also called telemarketers who are
responsible to take calls and contact those potential employees. They are the ones who
experience various hardships due to the change in the working environment. They work behind
the telephone and are required to promote and offer products and services. Employees of
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telemarketing are the ones who show their productivity to achieve better outcomes for the
company.

Pandemic - it is when a disease spreads not just in one area, could be a country or a continent.

Covid19 – Is the illness caused by a novel coronavirus called severe acute respiratory syndrome
coronavirus, formerly known as NCov-2019.

Culture - It is a shared beliefs, values, and practices that people in the society must learn. And
when it comes to the organization, culture is the collection of values, practices, and expectations
that guides the employees to act as one and to achieve the organizational success.

BPO - Means Business Process Outsourcing and it provide support for the company. BPO in call
center job processes the incoming and outgoing service user calls for other companies.
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REVIEW OF RELATED LITERATURE

This chapter focuses on the review of related literature of local literature, local studies,
foreign literature and foreign studies from selected research materials, articles and journals. This
study has been conducted to gain a deeper understanding about the influence of work from home
on employees’ productivity regarding it.

Working/Life Balance

The ability of people to balance their professional and personal lives is becoming increasingly
crucial in the EU nations, including Latvia (2021). As the COVID-19 effects spread, this issue
took on increased significance. Work-life balance and quality of life are significantly impacted
by the effects of continuous remote working and access to the employer, stress from long-term
technology use, burnout syndrome, the need to care for sick family members while carrying out
work responsibilities, and the lack of opportunities to look for children. All of these factors have
an impact on work-life balance and quality of life.

When a person prioritizes both the needs of his or her job and the needs of their personal life
equally, work-life balance results. Greater responsibility for work obligations, working longer
hours, increased duty for the household, and employees with children are the most frequent
causes of an unbalance between work and personal life. A healthy work-life balance thereby
lowers employee stress, lowers the chance of burnout, and improves wellness. This benefits both
the business and the employee in a beneficial way (Sanfilippo, 2020).

According to research by Eurofound, although teleworkers and flexible workers are more
likely to work longer hours and overtime, have less rest intervals, and have less regular and
predictable schedules, it can also have a negative influence on how well people manage their
professional and personal lives (except for night work). Heavy workloads, availability outside of
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regular working hours, frequent interruptions, and (to an extent) a certain amount of autonomy
are the causes of this (Eurofound, 2019).

Work from Home on Employees Productivity

Business executives and policy experts are currently curious about whether WFH will endure
as a new workstyle once the COVID-19 outbreak is over. WFH production is a critical factor in
determining whether or not WFH will survive, yet there is currently a dearth of quantitative
information in this area. Studies by Etheridge et al. (2020), Barrero et al. (2021), and others that
are based on surveys of employees (Morikawa 2020). All of these studies rely on the employees'
self-reported WFH productivity since measuring the productivity of white-collar professionals,
who carry out a wide range of jobs, is very difficult.

According to Etheridge et al. (2020), most UK workers that use WFH report minimal change
in productivity compared to productivity before the pandemic. As reported by Barrero et al.
(2021), the majority of respondents who embraced WFH in the US report WFH productivity that
is equivalent to or higher than productivity on firm premises. According to (Morikawa 2020),
which was based on a 2020 poll of Japanese workers, the mean WFH productivity was between
60% and 70% compared to working in the typical workplace, and that it was lower for
employees who were only required to begin WFH after the COVID-19 pandemic had spread.

According to (INVESTING IN WOMEN, 2020) a study of 300 male and female employees
from significant private sector companies, ranging in age from 18 to 60, was ordered by the
Philippine Business Coalition for Women Empowerment and Investing in Women. The purpose
of the poll was to determine how COVID-19 might affect employees' personal and professional
life. This fact sheet contains information on the effects of COVID-19 on employment,
productivity, income, household obligations, and mental and physical health in the Philippines.
The job situation in the Philippines has been significantly impacted by COVID-19. The majority
of workers said their jobs were halted, their hours and pay were decreased, or they were
compelled to take unpaid leave. Only 37% of workers could say that COVID-19 had no effect on
their work. Six in ten families experienced economic loss. More than 60% of those impacted
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started working from home. Nearly 70% of workers, including 21% of women and 14% of men,
said the crisis didn't stop them from being equally or even more productive. A total of 4 out of 10
people reported feeling under pressure to provide extra kid and home care. 77% of women and
72% of men reported longer cleaning sessions. Importantly, 4 in 10 respondents stated that
COVID-19 had a negative impact on their physical well-being (43% of women and 41% of
men), and that 48% of women and 39% of men said that COVID-19 had a negative impact on
their mental well-being.

A US study found that there is a reduction in terms of productivity in teleworkers or


employees working at home, while their peers who worked in the offices showed an increase in
productivity. (Linos, 2020) They found that when their employees started working from their
homes the productivity of the employees increased by 9%, with a 50% drop in turnover.
However, Another US study of knowledge workers found that productivity was up mainly
because employees were spending less time in meetings and more time with customers and
partners, and non-essential activities were down by 25%. (Birkinshaw et al., 2020) Furthermore,
A study found that the increase in the productivity of home-based employees was not consistent
at all and that work from home setup was not positive for all employees. The employees working
on larger projects were most negatively affected (Bao et al., 2020). The author claimed that not
all companies' operations can be done online. It can cause a major drop-down in the productivity
of employees that are needed to perform their tasks onsite. In a qualitative study of Indonesian
employees working from home, the researchers found that WFH negatively affected women
employees who had to pick up the entire burden of the housework in the absence of domestic
help due to the lockdowns and the high expectations of society and family (Mustajab et al.,
2020). In this study, the researchers clearly stated that productivity is not consistent especially
for female employees working at home because of the numerous tasks they need to perform as
women of the family. In addition to that In a different study, the authors noticed a drop in the
productivity of employees while working from home and this was because of the difficulties in
balance

Work from Home During the Pandemic


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Since technology has been rapidly improving, companies learn more about how they can
maximize their operations even if employees are not physically working with them. Shows in a
survey conducted by Jobstreet that 52% or more than half of Filipino workers have been working
from home for years now (Gallimore, 2022). It is argued by managers and HR practitioners that
by working away from the office, employees can be more productive because they can work
during their most productive time, they are not distracted by office socializing and co-workers,
and they also have reduced commuting time. The Indonesian Ministry of Education and Culture
specifically stated: “Being in the workplace physically is not a measure of performance. The
most important thing is that, whether you are working onsite or home-based, learning continues
and continues to happen.

Only the way that turns into online learning” (Kemendikbud, 2020). The author supports the
idea of working from home as an advantage as long as the employee never stops improving their
knowledge and skills which can make them more productive, they also ensure that working from
the comfort of the home did not adversely impact the quality of education or the productivity of
staff. Based on the study of the College of Economics and Management, the lack of professional
skills that are required for the said job hinders the employee from fully adapting to the work
environment and thus constraints themselves. Also, the author added that Work from Home
setup requires the home-based employee to develop appropriate job skills that are needed in that
kind of setting, such as office skills and communication skills. Moreover, the author comes up
with a recommendation for new training models. Virtual training specifically, needs to be
provided (Zhisheng, 2021). Working from home is both a privilege and a responsibility. There
are influences brought by this setting, and it's just either good or bad.

Working from home Effectiveness during Covid-19

When we say employee productivity it tackles the efficiency and effectiveness of the workers
in completing their tasks and work responsibilities (Staples et al., 2020). This effectiveness is
measured when employees can complete their tasks and responsibilities without any waste of
resources in accordance with a predetermined deadline. Several studies have shown that
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implementing WFH has a positive impact on efficiency. A survey of IBM employees showed
that 87% of employees felt that their productivity had increased with WFH arrangements.
(Burgess, 2022). However, A global study reported in the Harvard Business Review indicated
that around two-thirds of employees working from home did not feel engaged in their work;
most of these were knowledge workers. The author shared his own experiences of working from
home for over several years where he felt very positive about a lot of things and yet he still feel
isolated and disengaged (Schawbel, 2018)

According to a survey, one benefit of working from home is having more time for family and
leisure activities. The same study demonstrates that workers who work from home experience
less stress since they are more at ease. They also noted that one benefit of working from home is
a higher level of job satisfaction. The company owner also saves on facility expenditures because
they often do not need to rent or maintain a physical office to function. Additionally, the study
noted that one drawback of working from home is that employees feel lonely and that they find it
difficult to unwind, meaning they do their tasks even when they are not supposed to past
business hours. WFH has both a high side and a low side (Pascual, 2020). Some respondents
believe they can exert themselves fully when working from home. They perceived it as a benefit,
but in this situation, interpersonal communication is also hampered by a lack of cohesion among
the employees and a lack of physical presence. Perhaps the reason millennials are into it is that
they were raised in a rapidly modernizing environment where technology serves as the primary
means of interpersonal connection. The others, however, claim that they are unable to do their
job because of the interruptions and diversions because they find it so challenging and lonely.

Organizational Culture

A research [Sivakami and Samitha, 2018] was done on 50 workers of Source Edge Software
Technologies Pvt. Ltd found a substantial and significant correlation between employee
performance and company culture. Workplace strength is a result of organizational culture. The
results also indicated that the staff is happy with the company and expects to stay there for a long
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time. The primary indication of organizational success is seen as a representative who is


especially linked to achieving the overall goals and ambitions of the company.

According to the findings of the study by Lolowang et al. (2019), organizational culture has a
significant impact on employee performance; direct leadership has no discernible impact on
employee performance; leadership has a significant impact on work motivation; work motivation
has a significant impact on employee performance; and work motivation is an excellent mediator
of the influence of leadership on employee performance.

According to Kerdpitak et al. (2020), strong organizational culture and employee


accountability are crucial for effective human resource management practices since these factors
increase employees' motivation to adapt to and support organizational goals. Additionally, a
study by Kaur et al. (2020) on work culture and employee happiness in the banking industry
discovered a significant relationship between the working environment and employee
contentment. Collaboration, information sharing, consistent understanding of the work, a creative
environment, and position clarity all contributed to an improvement in employee satisfaction
levels.

Due to the lack of a single definition, the word "organizational culture" appears to be unclear.
There are several ways to describe this phrase in research. The behavior of an organization in
various conditions is the most typical definition of organizational culture. Therefore, in cross-
cultural organizations, this notion is different. In this sense, the diversity of the staff is crucial;
the more diverse the personnel in an organization, the more diversely it will be investigated
(Bellé 2018). Additionally, it is asserted that a precise description of corporate culture as an
employee action and reaction. Organizational culture, on the other hand, is a complex web of
linkages between norms and values that influence one's perspectives.

According to Boyne, Jenkins, and Poole (2019), organizational culture is a natural process
that results from the creation of the organization, staff training, and senior management that
socialize and adapt to the particular norms throughout time. The most ideal culture that supports
the achievement of company goals would be chosen, and the wider environment would readily
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accept and implement it. It has been proposed that management uses the corporate culture as a
tool to encourage efficient conception as well as justifiable efforts. Being an effort to make these
practices better, neither the limiting nor the guiding principles have been created. As the workers'
challenges become more self-explanatory, on one another as well. A company's directors
therefore have the primary responsibility for shaping its culture and manipulating it. It is said that
the areas of direct management and explained instruction practices have been particularly noticed
as to the strength of an organizational cultural hypothesis, and that these practices have not been
readily or conceivably maintained (Ingraham 2019).
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