Essay on my Work
CENTRAL UNIVERSITY
IMPACT OF ORGAIZATIONAL CULTURE ON EMPLOYEES’ WORK PERFORMANCE A STUDY AT ANGLOGOLD ASHANTI (IDUAPRIEM MINE)
BY
GODWIN EDEM FIANYO
-)
LONG ESSAY SUBMITTED TO THE DEPARTMENT OF HUMAN RESOURCE MANAGEMENT, CENTRAL BUSINESS SCHOOL IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE AWARD OF BACHELOR OF SCIENCE DEGREE IN BUSINESS ADMINISTRATION (HUMAN RESOURCE MANAGEMENT).
JULY 2020
DECLARATION
CANDIDATE’S DECLARATION
I hereby declare that the preparation of the project work was supervised in accordance with the guidelines of supervision of project work laid down by Central University.
CANDIDATE
FIANYO EDEM GODWIN
SIGNATURE
…………………………………..
Date……………………………...
SUPERVISOR’S DECLARATION
I hereby declare that the preparation of the project work was supervised in accordance with the guidelines of supervision of project work laid down by Central University.
SUPERVISOR
EVANS SOKRO (PhD)
SIGNATURE
…………………………………
Date……………………………
ACKNOWLEDGEMENT
I thank God for his blessings and guidance given onto me to work through this academic journey and also for making available all of His wisdom, mercy and the resources needed to make the completion of this project to see the light of day. I express my uttermost appreciation to my parents Mr. Philip Fianyo and Mrs. Angelina Fianyo for their care, assistance and support throughout the period of my project work.
I acknowledge the irrefutable support and expert knowledge of my supervisor, Dr. Evans Sokro whose high standards immensely delivered the push I needed to complete my research. You are indeed a model worth learning from. Your generosity and willingness in guiding me through this journey is greatly appreciated.
I would also like to thank the staff (Junior and Senior) of AngloGold Ashanti who were invited to participate in the data collection and responded and to all other Mine workers who willingly participated in my data collection by responding to my questionnaires. I genuinely express my gratitude to the various authors whose works have been cited in this research. Finally, my appreciation to family, friends and colleagues who assisted me in any form to complete this research work.
ABSTRACT
The main aim of this research is to investigate the relationship between organizational culture and employee work performance. The specific objectives are to examine the effect of organizational culture on employee work performance as well as analyze the relationship between organizational culture and work performance.
A quantitative research design was adopted to carry out the study. The target population for the study was 60 employees working for the company and the sampling frame consisted of employees from both the senior and junior staff of the organization. The study utilized a stratified sampling technique to draw a sample and a proportionate of 60 employees from the overall population of 600 were sampled under the strata. A questionnaire was used as a tool for data collection. An inferential statistics procedure (regression and correlation analysis) were used to draw inferences about the population under the study. Data was analysed using Statistical Package for Social Sciences (SPSS) version 16 and the analysed data and are presented in tables, graphs and charts.
The findings revealed that organizational culture has a significant impact on employees’ work performance. The study recommends that organizations pay more attention to the surface level culture since it has the greatest impact on employees’ performance. The study also recommends that management should come up with sound policies that will create an environment for employees to understand the role of espoused values as part of the culture which will enhance their performance.
DEDICATION
This project work is dedicated to my ever-loving parents, my sisters, my baby brother and my entire family and also to my supervisor Dr. Evans Sokro and to everyone that helped me through the project successfully. Thank you all and God richly bless you.
TABLE OF CONTENTS
DECLARATIONii
ACKNOWLEDGEMENTiii
ABSTRACTiv
DEDICATIONv
TABLE OF CONTENTvi
CHAPTER ONE1 - 10
Introduction1
Problem statement3
Objective of the study5
Research Hypothesis6
Significance of the study7
Definition of terms8
Scope of the study………………………………………………………………………………………..……………....9
CHAPTER TWO11 - 30
Introduction11
Definitions and Concepts12
Culture model………………………………………………………………………………………………14
Performance concept………………………………………………………………………..17
performance model19
Determinants of performance21
Theoretical framework23
Empirical Studies on culture25
Empirical Studies on performance27
CHAPTER THREE31 - 36
METHODOLOGY31
Introduction31
Research Design31
Population Sample33
Research instrument33
Data Collection35
Data analysis36
CHAPTER FOUR37 - 53
Introduction38
Descriptive Statistics38
Inferential Statistics45
Discussion of Research Hypotheses52
Hypothesis 1:52
Hypothesis 253
Hypothesis 353
CHAPTER FIVE54 - 58
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS54
Introduction54
Summary of Findings55
Conclusion56
Recommendations56
Areas for Further Research58
REFERENCES59 - 66
APPENDIX II- QUESTIONNAIRE67 - 69
CHAPTER ONE
INTRODUCTION
Background of the study
For every successful organization, there is a culture created to share a set of beliefs and are supported by strategies and structure of the organization. A strong organizational culture creates awareness of employees knowing what is expected of them from top management in every situation. It also creates a belief that employee’s response to a situation should be the best. The culture also motivates employees by creating a notion of being rewarded for practicing and demonstrating organizational values. There is a significant link between strong culture and high financial performance (Waterman & Peter, 1982).
To the human resource manager, there always lies a vital decision to keep in existence a formidable organizational culture, from the recruitment stage to selecting employees who would be ready to share the beliefs of the organization and ensure the prosperity of the organizational objectives. Through culture, employers may manage the performance of employees by developing orientation and training programs that outlines and ensures the institution of core values and also ensuring the recognition and compensation of employees who incorporate the values.
An organization’s culture establishes proper behaviors in the organization. Culture deals with beliefs shared among people in a society [employees in an organization], values accepted by leaders [management] which are communicated to subordinates and are enforced through diverse methods. In the long run, the purpose is to properly shape the perceptions, behaviors and understanding of the subordinates(employees). Organizational culture communicates clearly about their values and how those values define their organizations to determine how the organizations run. In the sense that there Is a significant variation between industries. Different cultures meet in different organization.
Contrary, ineffective organizational culture can cause a massive fall in the organization with its leadership. Ineffective culture instigates disengaged employees, high turnover, poor customer relations and lower profits. An organizations culture may impact its sales, profits, recruitment and the morale of employees. A proper organization attracts people to want to work with the organization. It can inspire employees to be more productive and stay positive at the job while reducing turnover and ensuring commitment. There is clearly a positive relation between an organizations culture and the performance of employees and their commitment. A right and strong corporate culture is the major key that enables firms to solve their problems (Schein, 2006).
Where there is a strong culture, comes a sense of evaluability amongst the employees. They feel the sense of control over what they do and how they deliver in a powerful way. When employees feel valued, they make decisions to achieve a greater level of performance. They get opportunities to grow and develop. There comes the chance of promotions, career development programs or employee motivation through training which in turn, propels employees in committing to their jobs.
Organizational culture and organizational practices co-exist, which affects the socio-economic value of firms. Dension(1990) links management decisions and behavioral practices to the outcome of commonly shared norms, values and beliefs that the organization transforms and experiences.
Problem Statement;
In assessing the mining industry, performances of employees are always on the rise compared to the performances in other industries where employee performance may face short term effectiveness. [ There is no general, overarching theory about employee performance. The effectiveness with which organizations manage, develop and stimulate their employees is an important cornerstone for how organizations perform] (Noordzij, 2014).
The impact of organizational culture is demonstrated through a sense of identity and unity of purpose by the members of the organization, commitment of employees to their work and existence of strategies and programs which provide guidance on what is expected (Xingwana, 2007). Frustrated managers may call for employee training, either for individual employee or a group of workers. However, the real problem may lie with ineffective organizational culture. Schein H.(1986) suggested that managers avoid (a) superficial or incorrect definitions of culture, (b) are too limited of views of what culture covers, (c) stereotyping total culture into general types, (d) simplistic views of how culture begins, evolves, and changes, (e) ignoring the effects of different organizational life stages on cultural issues; and (f) failing to recognize training and organization development's occupational cultures. There would be a need for the management to ask questions like;
Have we identified what needs to be changed?
Are we monitoring the beliefs of our employees?
Have we set any standards to shape behavior?
Is it an issue of raw structure or culture?
Could the performance of our workers improve when their behaviors, beliefs and values are properly shaped?
Organizational cultures can have varying impacts on employee performance and motivation levels (Wookeh, 2006).” The more employees think they are being part of a corporate environment and it culture, the harder the work to achieve goals” (Wookeh, 2006).
Organizations must initiate a recruitment process to attract and engage work force who share the same belief and values that would thrive the culture of the organization. Jain (2015) Good managers are able to support and reinforce an existing strong culture by being strong role models and by handling situations that may result into cultural deviations. This strengthens the culture of the organization and ensures employee’s tendency to commit to his/her job. Penrose (1959) identifies the concept of core and network as two main promising organizational paradigms that organizations and researchers should rely on since they shape the behavior of employees and the effects of competition. Aycan et al (1999) argued that organizational culture at its peak becomes a source of competitive advantage for organizations. Ogbonna and Harris (2000) research findings positively associated organizational culture with corporate performance. Shahzad et al (2013) elaborate organizational culture as the key influencer of the performance and established that a strong organizational culture is a great source of performance excellence and consistent achievement. Kozlowski and Klein (2000) also emphasized upon the presence of a strong organizational culture based on true value and belief systems in order to gain sustainability in higher performance.
Objective of the research
The core aim of this research is to investigate the effect of organizational culture on employee work performance. The specific objectives include;
Examine the effect of organizational culture on employee work performance.
Analyze the relationship between organizational culture and work performance.
Manetje and Martins(2009) recommend that researchers should analyze and understand the culture impact on work performance before carrying out studies to measure the work output. Al-Matari and Omira(2017) carried out their study to examine the relationship between corporate culture and work performance of employees and the response collected from 384 samples indicated a positive relationship between the two.
Research Questions
The study seeks to find answers to the following research questions
•What is the effect of organizational culture on employee work performance?
•What is the relationship between organizational culture and work performance?
Significant of the study:
Organizations are predominantly dynamic now and pose extensive opportunities and challenges to the corporate practitioners and policy makers. To understand such energy, it is very important to pursue the objectives in every organization. The most essential factors about the research or study is to examine, analyze and determine the impact of organizational culture on job performance and the level of productivity from the perspectives of various employees. The research will map out different cultural aspects of organizations and show the vital correlation between culture and performance. It is going to cover an enormous range of cultural traits which include behavioral and values. The research will also add value to organizations studying discipline by providing an important and justified perception towards the culture of an organization which will initiate further discussions to create an effective frame-work on the culture and its impact on performance. There would be a look at the essence of a strong corporate culture as an indication that employees are like-minded and hold similar beliefs and ethical values. These beliefs and values align with the business objectives which will prove to be effective in building teams as it creates mutual trust. When teams and employees build up these bonds, they avoid conflicts and focus on the task at hand. Strong and thriving cultures ease communication of roles and responsibilities to all individuals in the organization. Employees often know what is expected of them, how management assesses their performance and what forms or rewards provided.
Cultures in organizations mostly have varying impacts on work performance and the level of motivation workers receive. Most employees work harder to achieve goals (personal/ organizational), if they are considered as part of the corporate environment. Structuring and restructuring of the recruitment process to attract and engage available employees with shared beliefs and core values that constitute to the organization’s culture would ensure the assimilation of new skill and talent to the company that matches it beliefs hence strengthens the corporate culture and increase the work rate and output. A redirection of culture and management systems would also align the company’s objectives with the behaviors of employees in achieving the organizational goals. The most common definition of performance explains it as the degree or extent of achieving pre-assigned goals - (Shields & Brown, 2015)
Defining of the variables:
Organizational Culture
Organizational culture defines the way employee’s complete tasks and interact with each other in an organization. The culture paradigm consists of various beliefs, values, rituals and symbols that govern the operation style of the people within a firm or an organization. Corporate culture binds the work force together and provides a direction for the company. Some biggest challenges to most companies would be the cultural change, as employees may be already accustomed to a certain way of doing things.
Employee Performance – The performance of employees are evaluations that indicate how well existing employees execute task and the level of energy towards their expected work-related activities in the organization. (Shields & Brown, 2015).
Scope of the study;
The study discusses and identifies key concepts on organizational culture and its impacts referring to some strategies and practices by the work force in organizations on their work performance. The study goes ahead to present the findings of the research and determines the results between the underlying variables. Varying impacts of culture will be defined and a proposed assessment of motivation to the work force improving productivity. The research or study primarily examines the culture behaviors and practices accustomed in the mining sector, since per nature of their job, decisions are mostly based on certain beliefs, values, policies and practices. Not forgetting their major cultural practices on safety and reclamation of the environment. Samples to be collected from a mining company in Ghana to determine the correlation and impact existing between the dependent and independent variables. The study will not be focusing on the service sector or institutions known for their delivery of services as there seem to be or not a likely common practices aligned with their culture. It should take five (5) months mostly in examining, analyzing and determining the outcome and relations adorn on the underlying variables. The study once again, looks to explain and discuss Organizational culture as a discipline and a key concept influencing productivity growth. It also evaluates and define the general work performance by employees and how they could be influenced and be motivated commonly to increase work rate and level of output when certain policies and practices created by management are in play.
The samples collected would assess the mining company and their workers in Ghana. The western region seems to have a number of companies economically necessitated to extracting natural mineral resource. The study mainly focuses on AngloGold Ashanti (Iduapreim mine) and to assess their general objectives on culture and Performance.
CHAPTER TWO
Introduction
This chapter reviews early findings on the on the Impact of Organizational culture on Employees’ Work Performance. The work is intended to provide deep understanding on the research problem stated above. Literature review on the essay will also review the works of early writers on organizational culture and employees’ work performance. The chapter under study also summarizes empirical studies on the relationship that exist between organizational culture and employees’ performance at work. It would one way or another review culture and commitment leading to employees’ performance as well as provides a conceptual frame-work that guides the study.
Concept of organizational culture
There has been a major attention geared towards the concept of organizational culture in recent times which also is a major objective in organizational management. Organizational culture has clearly been defined by various writers.
According to Armstrong(2009), Organizational/Corporate culture is defined as the unique pattern of shared values, attitudes, rituals, beliefs, norms, expectations, socialization and assumptions of employees in the organization. In simplest form, Organizational culture encompasses the shared values and beliefs of employees within the organization mainly policed by management of the organization. Mullins (1999) also defines organizational culture as the collection of traditions, values, beliefs, policies and attitudes that constitute a pervasive context for everything one does and thinks of in the organization. The shared values and norms among members of every organization creates a fine distinction between them and the organization. Collins & Porras(2000) were also of the view that organizational Culture amongst several definitions, meant a system of shared meaning held by members that distinguish one organization from others. The said shared meanings characterize the nature and image of a corporation. Arnold(2005) also wrote describing organizational culture as the distinctive norms, beliefs, principles and behaviors that compounds to give and distinctive character to an organization. Martins & Martins (2003) defined Organizational Culture in relation to the definitions from Collins and Porras and Arnold. So clearly, from their definitions, Organizational culture distinguishes one organization from the others.
Schein (1985) defined culture as a pattern of shared basic assumptions that the group learned as it solved problems of external adaptation and internal integration that has worked well enough to be considered valid and therefore, to be taught to new members as the correct way to perceive, think and feel in relation to those problems. Members within the organization adapt and integrate with the shared beliefs and assumptions. These shared assumptions become a normal way of doing things and are accepted in the organization. They are passed on to every new member who adapts and become a belief system of the organization. This is to say, Organizational Culture reveals the way of doing things in order to understand the environment and life in the organization. Life in the organization is very essential and it is very important employees understand the life in the organization in order to have beneficial lessons from predecessors. It is just right to write that Organizational Culture depicts the personality of the organization and employees’ normal behavior.
Also Wallach (1983) defined organizational culture as the understanding of beliefs, values, norms and philosophies of how things work. He then divided culture into three main categories namely Bureaucratic, Innovative and Supportive Cultures.
According to him, bureaucratic culture is based on power and control with well stated responsibilities and authority.
Innovative culture has a creative, result oriented, challenging work environment and supportive culture displays team work, encouragement and trusted working environment. Organizational culture generally assumes that there is the existence of shared beliefs and values that employees hold among them with the organization. The definition specifically refers to values, beliefs, attitudes and assumptions held by individuals or every individual in the organization. This is to enable employees know what the organization is about, it’s vision and policies towards them. It shows them how to behave in that environment. (Lundy & Cowling, 1996) wrote the most common and basic definition of organizational culture as “the way we do things around here (organization)”. Several definitions made mention of organizational culture being a shared understanding of belief, values, norms, assumptions among members of an organization. The shared understanding of beliefs determines the level of understanding that members work with within the organization. Therefore, organizational culture could only be seen when members or the organization agree to share to protect what the organization stands for.
Organizational culture model
According to Schein (1985), to understand organizational culture and as a primary influencer to change in any organization, organizational learning, organizational development and planned change need to be looked at. According to him, each organizational culture has three levels, Surface, Espoused and Basic assumption.
Conceptual Framework
Kothari (2004) define a conceptual framework as a visual or written product, that “explains, either graphically or in narrative form, the main things to be studied, the key factors, concepts or variables-and the presumed relationships among them”. The conceptual framework of this study will consist of the independent variables of surface level culture, Espoused culture and Basic assumption culture. These relationships are represented in the Figure below. The dominant direction of influence is illustrated by the direction of the pointed arrows where the independent variables directly influence the dependent variable of employee performance. Hypotheses for research will be generated from questionnaire under all three phases of organizational culture mentioned above.
Independent variable Dependent variable
Surface level: According to Schein (1985), surface level deals with cultural symbols, language, physical environment and tangible products. These are some relics that can be seen around the organization and even among the work force of the organization. Relics or artifacts are physical and socially constructed environment of an organization. They may include office equipment, space, rules and even procedures. It is easy to observe at the surface level but it might be difficult for outsiders to understand the environment created.
Hellriegel et al (2001) The most overt level of the organizational culture is the use of words (slang), sometimes jargon, gestures, pictures and other physical objects that insinuates meaning within the culture of the organization. It signifies meaning for an individual or a group and also affects individual’s interaction socially with his/her organization. Symbols are cultural representations of what’s real. Every culture with its own experience and difference in perceptions has its own set of symbols associated with it. This reinforces the norms and values available to the company. For example, the logo for AngloGold Ashanti has a distinct and aesthetically printed lion on which signifies a shared meaning. Another surface level includes the physical environment which also includes the language and background differences. Even though these artifacts are common in organizations, they are somehow difficult to interpret.
Espoused values: According to Schein (1985), espoused values include the leadership values of every organization. Espoused values are organization’s legal values which are executed by the employer for members to follow. They are related morally and ethically. Values therefore have been defined as comprehensive inclinations for one state of affairs offered to others to which emotions are committed and by which one group discriminates itself from other groups. Values refer to such preferences as freedom over equality or vice-versa. All organization cultures instigate from shared values and later become an assumption shared among members in the organization. To determine the impact of culture on work performance, the researcher will develop a hypothesis as part of research questions to measure the influence of espoused values in an organization.
Basic assumption: According to Schein(1985) basic assumption includes thoughts, perceptions and beliefs. It embodies beliefs and reliabilities of human nature that are taken for granted. It comprises of how problem within organizations are preserved especially when they are monotonous in nature. He said basic assumption guides the perceptions, feelings and emotions of individual members in the organization about things that run it.
Examples of shared assumptions are the rules, Laws and policies that govern the organization. Each of the level in the culture of an organization is most created within the organization and are relatable with one another. The levels of organizational culture start with the easiest identifiable to more difficult to interpret. The interaction between the surface level, the espoused level and the basic assumption level are used to communicate organizational culture when there is the necessity to withstand it. Through the surface level, the organizational culture is able to communicate to all levels of management. The languages, symbols, physical environment and the tangible products interconnects with the adherents of the organization. This communication helps members to apprehend the values of the organization assumed by management of the organization grounded on the organization’s vision. Members complete the organizational goals when the values are shared among them within the organization. Eventually, these organizational values become the basic assumption of the members within the organization.
Concept of employee performance
It is well known that the companies which know how to use and invest in their resources can grow faster. This is mainly considered a managerial responsibility and the results depend not only on management's capabilities, but also on the employees. Thus, a high performing employee will be targeted to remain within the company as long as possible for the benefits he brings and for the positive image he creates. With high performance, also the expectations increase, for both the employee and the employer. The paper also aims to highlight those aspects that influence employees’ performance, the strategies that are being used to stimulate their potential and to retain them, to show how their performance results contribute to company's growth and development, as well as management's repercussion in this process. This is one of the most imperative aspects that must be taken into description when talking about the internal marketing of an organization. Realization of performance to the top level becomes more and more challenging, given the continuous development of the companies and the continuous increase of the marketing standards. It assumes not only providing quality of the service and products, but also having a performance-oriented workforce. According to Armstrong (2006) and Gruman and Saks (2011), they considered that performance management is a critical aspect of the organizational culture. That performance management is an organized process of the assignment forecasting and setting of a continuous performance monetarization, development of the performing capacity, occasional performance evaluation and high performance decompensation (United States Office of Personnel Management, 2001). (Pitt & Foreman, 1999) talk about performance as resource consumer factor. Thus, the higher performance uncertainty within the employer-employee exchange will increase the negotiation cost. If the conversation is complex, the value adding is possible only on long term, and the performance ambiguity rises. Thus, the opportunity levels and desires must be defined as clearly as possible and to propose a conceivable interpretation, the communication has a huge significance and one must pay a special attention to the ways this is executed, as efficient as possible. According to Massey and Dawes (2006), one must take into account three variables of communication, for this to be successfully completed: frequency, bidirectional and quality. The appropriate communication will lead to relationship consolidation. Schweitzer and Lyons (2008) highlighted the importance of a high value relationship creation between the employees and employers. For this to be conceivable, those types of potential workforce must be identified and these individuals must be recruited in an employment relationship, which will develop into remunerations for both the employer and employees. This will inevitably lead to the increase in performance. The point is to create a feeling of safety and to reduce the fear of failure. Fear leads to disorganization and poor performance. The employees must feel secure and this can be proficient by creating assurance that they have the necessary and relevant knowledge in relation to their jobs.
Employees’ performance model
According to (Stewart, 2010), norms and values of organizational culture highly affect those who are directly or indirectly involved with the organization. These norms are invisible but have a great impact on the performance of employees and organization’s profit. He also suggested that norms and values are the first thing to look out for in the organizational culture. Established literature indicates certain parameters that are considered to understand the impact of culture on employees’ job performance.
Employee participation
Schein - (1992) considered participation of employees as a key element for setting organizational goals. As per goal-setting theory, participation of employees can increase goal acceptance. According to Zairi (1992), a key attribute is participation, which is positively related to overall effectiveness of the organization. He also stated that participation involves delegating tasks as per the individual’s responsibilities.
Innovation and risk
To be creative means to produce something from nothing, whereas innovation makes sense of converting that something into goods and services. Innovation is considered an environment or a culture that has almost a divine control which exists in the organization and which cause to drive value creation. Robbins et al (1996) identified three sets of variables that are responsible for stimulating innovation: organization’s structure, organization’s culture and Hunan resource practices.
Rewards system
Theory of reinforcement designated that the rewards should be oppressed to reinforce appropriate behaviors only and urge for undesirable performance should be impassive. (M. Latham, 1998) stated that an organization should have the most up-to-date technology, well-designed strategic plans, comprehensive job descriptions and inclusive training courses, but unfortunately, people are being rewarded based on performance-related behaviors of the employees. There is a limited impact of technology, plans or rules. It is proven that for reinforcing an organization’s culture, the organization’s reward system is considered a prevailing tool.
Effective communication
Chester Barnard wrote that functions of the executives were to develop the communication considered as a key shaping strength in an organization (Luthans, 1998) Good communication helps the employees to keep running internal processes consistently and also helps to create superior association with the people, both within and outside the organization. According to (Luthans, 1998), effective communication plays a very important role in industrial disagreements, miscommunication, gossips and organizational divergences.
Customer service orientation
Joel and Michelle (2000) stated that employees observe the organization’s procedures as believing them well and giving wisdom of society at workplace and got the customers’ report regarding the quality of services. High service quality could result when the organizational culture communicates advanced customer service at the top
Determinants of Employee’s Performance
Weatherly et al (2003) believe that people are the most important assets. Many managers are not aware that investment in people leads to improved business results. Development of human capital in an organization is a vital thing to advance employee performance. Subanidja & Rajassa (2016) specified that human capital, knowledge management, and other factors relate to the company's performance. Employee performance is the result of company activities Bernardin and Russel (1993) and Ahmad S. Ruby and Tika (2014).
Further, they said that there are a number of factors that influence performance. Initial studies show that standard Operating Procedure(SOP) has been standardized and implemented since 1992, and it has been classified in their respective job description in detail in each department. Furthermore, goals and targets for each division have been planned or agreed upon and recorded at each end of the year. Robbins and Coulter (1999) said, there are three steps in organization for an open system. There are input, process and output. In the input process, it consists of raw materials, human resources, capital, and information. In the process there are activities of employees, management and technology actions and their operation procedures. In the output process consists of current products and services, financial results, information and human results. Specifically, the design of human capital in three steps are then divided into three stages, namely strategic planning, human capital, and human capital acquisition information system (Sunarwa, 2011). Each stage has an element and measurability of performance indicators to employees. This study analyzes the prevailing factor employee performance based design concept, the process of human capital.
Empirical Studies on Organizational Culture
Organizational Culture has a significant impact on behaviors in the organization. This was proven by early researchers in their writings. Some of such researchers are Clugston (2000); Denise (1990); Kotter and Heskett (1992); Rowe et al (1992), Wasti (2003). Culture in organizations determines various behaviors in the organization by identifying the organizational goals and methods to achieve such goals, the interactions between the employees purported to achieve the organizational goals. Muhammad Suleman et al (2010) found out that the success of every organization depends on how effective their culture is in relation to the three levels of culture, surface level, espoused level and basic assumptions.
In a study to examine organizational culture and its themes, Maull et al (2001) came up with four essential themes that are relevant in every organization. They came up with the first theme which was that organizational culture is a learned identity. The key feature of the theme is that culture is used as the correct way for new employees to behave, thereby, culture can perpetuate organizational survival and growth. The second theme they came up with is the fact that culture is viewed as a belief system. Sun (2008), note that, in order to understand the far-researching sense of the culture theme, organizational culture should be approached in two different dimensions. And they are; the guiding themes and the daily themes. The guiding theme is a belief that provides the context for the practical beliefs of everyday life while the daily beliefs are also part of the company culture and can be described as the rules and feelings about everyday behavior.
The third theme of culture is the strategy of the culture. Sun (2008) also proved this in a study while examining organizational culture and its themes, and that any culture program in an organization is not separated, because any change of cultural program is always taking place within a formal and informal strategic planning processes. The last theme according to (Maull et al, 2001) is that Culture is seen as a mental programming. The study Martins et al (2003) found out that the managerial tools such as strategic planning, goals, tasks, technology, structure, communication, decision making, cooperation and interpersonal relationships are used to play an indirect role to affect behavior within an organization. Cameron et al (1999 & 2006) conducted a study to examine how competing values of discretion and flexibility and the focus of internal and external orientation affects company characteristics. It was found out that none of the culture clan, adhocracy, hierarchy and market is inherently better than another just as no culture is necessarily better than the other.
The four dimensions above, according to them, represents what the company feels is the best and most appropriate way to function. Zain et al (2009) examined the effect of four characteristics of organizational culture, these characteristics are; organizational teamwork, Organizational communication, Reward and recognition and training and development. These characteristics were important determinants of organizational performance. Agwu (2013) also found out that, there exists a significant relationship between organizational culture and employees’ work performance. However, studies by some early researchers like [CITATION Lah94 \l 1033 ]showed only a weak association between organizational culture and work performance. Research conducted on the influence of firms’ size and culture in six Australian companies found a positive culture relation associated with the employees’ work performance.
Empirical Studies on Employees’ work performance.
Generally, researcher’s termed performance to direct the range of measurements of efficiency and input & output efficiency (Stannack, 1996). According to Barney (1991) performance is a continuous process to controversial matter between organizational researches. Performance by employees in an organization does not only mean to define problem but it is also for solution of problem M. Heffernam & Patrick Flood (2000). Daft (2000), said that employees’ performance is the organization’s capability to accomplish its goals effectively and efficiently using resources available to the organization. As similar to Daft, (Richardo, 2001) said that achieving organizational goals and objectives is known as organizational performance by the workforce or resources of the organization. (Richardo, 2001) suggested that organizations success shows high return on equity and this become possible due to establishment of good employees’ performance management system. It is therefore, very necessary for organizations to make performance measurement system to evaluate the performance of the employees, which is very cooperative to assessing the achievement of organizational goals and to develop strategic plans for the organization. Strategic performance measurement system (SPMS) is an approach to measure the performance of workers rather than traditionally. (Chenhall, 2005), believed that the SPMS offer a way to expound and measure both financial and non-financial performance. He also suggested that the technique is of incorporative nature to provide the possible increase to the strategic competitiveness of the organization. Chenhall (2005), Vein, Burns & Mckinnon (1993), also agreed that the use of multiple performance measures of financial and non-financial is normally the best for owner and management, which is helpful to enhance protection to the strong events outside the organizations. Organizations now, focus on the management of non-financial or intangible assets like services, quality and performance, not on the assets which are monetary in nature Norton & Kaplan (2001). There is a need for proper performance measurement system to measure and assess the performance of employee either financial or non-financial. (Norton & Kaplan, 2001), then suggested that Balance Scorecard (BSC) is one of most important SPMS tool. Balance Scorecard provides help or frame work to ensure that the strategy is understood into rational set of performance measurement. “Balance Scorecard” is a supportive tool to focus on the organization’s improvement on communication, setting organizational goal and giving feedback on strategy (Anthony & Govindarajan, 1998).
The assertion that organizational culture shares a direct relation to performance is introduced on the obvious role that culture can play in affect competitive advantage. Rousseau (1990) managed to overcome some of the limitations in measuring the culture of organization. At the end, results showed that there is no direct correlation between culture and employees performance. After analytically reviewing the methodologies and findings of recent studies, it is expected that there is a positive relation between culture and performance (Lim, 1995). Practitioners and academics suggested that the performance of employees in an organization is dependent on the degree to which the values of the culture of an organization are widely and systematically shared (Denison, 1990).
CHAPTER THREE
Methodology
Introduction
The previous chapter reviewed the relevant literature and linked organizational culture with employees’ work performance. This chapter outlines the methods used to examine the research questions proposed earlier. Both primary and secondary data collection were undertaken to identify the relationship between organizational culture and performance of employees to the relevant outcome variables. This chapter discusses the research design, Population, sample and sample procedure, research instrument, method of data collection and data analysis technique.
Research design
According to Malhorta (2004), research design is a framework or blueprint for conducting a research project. It should clearly detail the procedural steps that are necessary to obtain the required information. According to Zikmund (2000), a research design is a master plan that specifies the methods and procedures for collecting and analyzing the needed information. The quantitative model of survey is most relevant to the research as quantitative research is oriented towards measurability and reliability. Questionnaire was used for this survey. According to Yorkshire and Humber (2009) - Questionnaires are a useful option to consider when conducting a survey, they can be cheaper than other methods and quicker if the sample is large and wide. However, due to the lack of personal contact between the respondent and the researcher, the design and layout of the questionnaire is all important. From a quantitative reasoning and gathering of employee logic, a questionnaire was intended for workers especially in the private sector (mine workers) containing 20 items. They are in two parts. The first part contains 10 items concerning how culturally working procedures, policies and practices are undertaking in the organization. The next section also contains 10 items concerned with employee’s performance, how they have been influenced or motivated by policies and practices by management towards productivity. In all, this project contains 20 items which seeks to balance the correlation that exists between organizational culture and employee work performance. The research or study mostly examines the culture behaviors and practices in the mining sector, since per nature of their jobs, decisions are mostly based on certain beliefs, values, policies and practices and as per the size of the sample, the researcher wants to obtain adequate and formal responses. It is only logical to go by the quantitative method. Samples collected from the mining companies in Ghana determines the relationship and impact existing between the culture and how they see their performance being affected.
According to Crossan (2003) the study of methodology is crucial in as much as it can help the researcher to specify the research methods to be used in a study. In justifying the decision of quantitative method, quantitative research is used to find information by collecting numerical records that can be rotated into useful measurements. It is used to record people’s opinions, attitudes and behaviors. Quantitative studies regularly ensemble a larger sample population, it can be explored through questionnaires, surveys, online polls, etc. According to Proctor (2003), the object of descriptive(quantitative) research is to generate an accurate understanding of behaviors, events or situations. Quantitative Research gathers a larger amount of responses. The researcher decided to gather his sample research through the quantitative research method with a questionnaire, designed to gain the personal opinions of members of my target sample. He projected to gain a wide range of responses from different views in the population. Malhorta (2004) contends that descriptive(quantitative) research is conducted to achieve different goals such as describe the characteristics of relevant groups, estimate the percentage of units in a specific population, determine the perceptions, determine the degree to which such variables are associated and finally to make specific predictions. Some major benefit in creating this questionnaire is that it enhances easy comparison when analyzing the results and he can gain large amounts of data. Once he decided upon who the target sample will be, he intended to group respondents into subgroups so he can gain deeper understandings into the needs and requirements of his target sample. The goal in using the quantitative research study is to determine the relationship between an organizational culture [ independent variable] and employees’ work performance [dependent variable] within the population. Quantitative research designs are descriptive in the sense that it usually measures once and also experimental, measuring before and after a treatment.
Population sample and sample procedure
The sample is made up of 600 employees. The Anglo-Gold Ashanti Iduapreim mine has a total of about 1,700 workers but 600 are local employees on the company’s payroll the remaining 1,100 workers are third parties, mostly contracted companies. The company has its senior staff estimated to have about 200 members and 400 junior staff workers. To make this exercise as accurate as possible, a proportionate number to the entire population of both groups will be given out for response. He gave out questionnaire to 10% of the entire population of the senior staff, which is 20, and with the junior staff of 400 members, 10% which is 40 were invited to participate in the exercise. Respondents will be asked to indicate their age, gender, work experience and their staff position. This will improve the accuracy and representativeness of the results from both sub groups and reduce sampling bias.
Fusch & Ness (2015) noted that there is no single sample size for achieving data saturation as this varies from study to study. The sample size to achieve data saturation depends on the research approach. The contemplation for the right sample size was based on a realistic assessment of the variability of the target population; the level of experience of the research; and the timeline for the study, as discussed by Dworkin (2012).
Research Instrument
A questionnaire instrument consisting of a series of questions was used for my research in gathering information from respondents. Questionnaires tend to have advantages over some other types of surveys, in that, they are cheap, do not require as much struggle from the questioner, and often gives standardized answers that make it simple to compile research data. However, such standardized answers may sometimes frustrate questioners as the possible answers may not be accurately represented by respondents. Questionnaires are also suddenly limited by the fact that respondents must be able to read the questions and respond to them. Questionnaires always contain a number of questions that respondents have to respond to in a set format. A discrepancy is made between the open-ended and closed-ended questions. An open-ended question asks the respondent to formulate his own answer, whereas a closed-ended question has the respondent pick an answer from a given number of options. The response options for a closed-ended question should be exhaustive and equally exclusive. The study presents a close-ended questionnaire for participants and it’s in the form of ordinal – ploytomous scale with more than two options to choose from but in order.
Data collection and procedure
Performance and balanced organizational culture were measured by using five-point Likert-type scale ranging from (1) strongly agree to (5) strongly disagree. The instrument for measuring organizational performance was adapted from Norton & Kaplan (2001) balanced scorecard. In early studies, authors decided to ignore the financial performance feature for three reasons 1. it was not possible to get any hard financial data, 2. the respondents may not have access to this information and 3. the authors believe that a question regarding financial performance would not offer appreciated information on the reality of the financial position of the company. Since Kaplan and Norton see the financial measures of the balanced scorecard as being at the end of the causal chain where one of the four standpoints drives the next (Norton & Kaplan, 2001), it was implicit that a coherent and accurate representation could be gained without this information. Therefore, the 10 questions that measured the organizational performance were based on the three constructs of (Norton & Kaplan, 2001): 1 customer orientation, 2) organizational effectiveness and 3. learning and growth. Organizational performance was also measured using a five-point Likert rating scale ranging from (1) very true to (5) “so not true”. The questionnaire contains two sections, 1) organizational culture and 2) organizational performance. 60 questionnaires were sent to employees and managers participants from which all questionnaires were answered and returned to be analyzed. The survey consisted of questions referring to managers and employees’ opinions of the impact of organization culture on organizational work performance. The data were collected by email. The majority of the respondents were male, since the mines tend to employ more of the gender due to the nature of the job and skill required. The largest age group was between 25 and 45.
Method of Data analyses
The primary source of data was subjected to a series of factor and reliability analyses as opening tests of their performance within the entire survey. The Anderson and Gerbig (1988) two stage procedure was followed. Starting with fact-finding factor analyses, which were run for each set of hypotheses which attained the supposedly expected factor solutions. At this stage, the primary data were subjected to a series of analyses as an initial examination of their performance in the sample. The second form of constructs tends to provides descriptive information for the views and opinions of employees’ interest in their jobs. In examining the hypothesis reliability, which processes the internal uniformity of the variables it shows the extent to which they indicate a common underlying relationship between the research constructs. Exploratory factor analysis (EFA) was employed to analyze the interrelationships between the variables, and to describe such variables in relations of their common underlying factors (Hair et al., 2006). Tabachnick and Fidell (2001) commended that the use of EFA to regulate the factor structure of measures, scan internal reliability and determine underlying structures in relatively large sets of variables.
CHAPTER FOUR
RESULTS AND DISCUSSION
Introduction;
This chapter validates the results obtained from data gathered from the survey questionnaire. It gives a detailed discussion of the responses to the research linking it to the literature on Impact of organizational culture on employees’ work performance. Responses have been analyzed and being presented in tables and charts below to simplify understanding. The demographic profile of the study sample has been described using descriptive statistics and standard multiple regressions. Pearson Correlation was used in the inferential statistics with the aid of the SPSS version 26. This chapter shall focus on the procedural analysis of the 2 sections of the survey questionnaire to investigate all 2 research constructs stated in Chapter Three of the study. To do this, the 3 hypothesis of the study will be statistically explored.
Table 0.0 Descriptive Statistics
Name
Gender
Age
Staff of the company you belong
Years of experience in the company
N
Valid-
Missing
0
0
0
0
0
Table 1 clearly shows the gender of respondents, which recorded a majority of 78.3% as males against 21.7 % as females. Based on the sample, it may be substantial that more males than females are employed in the mining industry. It shows that the mining industry primarily is being conquered by males. This effect is reasonable and may or may not be logical due to the nature of the work carried out in this in the industry.
Table 2. Staff of the company you belong (source; questionnaire data)
Frequency
Percent
Valid Percent
Cumulative Percent
Valid
Senior staff-
Junior staff-
Total-
-2020
The table 2 also shows the distribution of respondents by their current position (Senior/Junior Staff). It displays that out of the 60 respondents, 40 representing 66.7% of the respondents were junior staff and 20 representing 33.3% of the respondents were senior staff. There was no option of response for contractors since all contractors under the company do not fall directly under the administration of the company. From the analyzed data, it is perceived that a greater percentage of the work populace under AngloGold Ashanti (Iduapreim mine) are employees on lower-level, demonstrating that the number of employees at the higher level of the organization is trifling.
The ages of respondents are shown in Table 3 which presents a strong frequency distribution of various age groups within the mining company. Out of the study sample of 60, the average age of the sample was 40years, where 40 was also the median age with a fair number of employees aging either above 40years or below 40years. With the minimum age of 24 in the sample, respondents with ages 32 and above but below 40 recorded the least percentage falling under the 25percentile. This was followed by the employees with ages 40 - 45 years, recording the average percentage in the 50percentile and then employees of 46years to the maximum age of 60years recorded the highest percentage, fallen in the 75percentile. This data indicates that even though the mining industry is dominated by the adult’s population, a bigger percentage of the employees are also the youth. This percentage of youthful population is stereotypically more physically fit for the industry compared to the aging population which is challenged by physical and psychological work problems.
It is also seen that most of the adults above the youthful stages are employees in the senior staff who don’t need to get physically involved with operations. From this data we can infer that employees of the mining industry are mostly between the ages of 30 – 45 years and that the industry contains more active people than old and weak people. This could mean or not that energetic and healthy persons are more preferable choice of employers in the industry because of the nature of their job operations. It was in the hope of this research that the respondents would not fall below the age of 18 years since the law of Ghana inhibits employers from recruiting such persons and label them as minors. Section 91 (subsection 1) of the Children’s Act (1998), Act 560, states that the minimum age of the employment of children for hazardous work is 18 years. Section 1 of the same Act 560 defined a child as ‘a person below the age of 18 years’.
-2020
Table 4 of the descriptive statistics illustrates the years of experience of the respondents in the sample. The table shows that the 60 respondents represent 100% of the sample population and out of the total percentage, 1.7% have working experience of 3years, 11.7% have working experience of 4 years, 10% have been working for 5 years, 20% of the respondents have worked for 6years, 13.3% for 7 years, 16.7% for 8 years, 3.3% for 9 years, 15% for 10 years, 5% for 11 years and 3.3% have had working experience of 13 years in the company. With the lowest percentage of 1.7% having worked for 3years and the highest percentages of 20% of 6years working experience, followed by 16.7% for 8 years and 15% for 10 years of work in the industry, it is clear that employees are able to hold onto their jobs in the mine and work for quite a long while. This research also draws concerns to the low percentages of employees who have been in the mine for a decade and over. It is presumed that the industry seeks to recruit new and innovative personnel after decades of operations as developmental strategies to help increase their operational processes.
Inferential Statistics (Correlation & Regression)
The key intention of the study is to evaluate the relationship between organizational culture and the performances of employees in organizations. For that matter, inferential statistics of correlation and multiple regression analysis have been used and the results are presented below.
CORRELATIONA of MAIN VARIABLES (ORGANIZATIONAL CULTURE & EMPLOYEES’ PERFORMANCE)
Table 5. correlation (H 1)
Correlations
Surface level culture
employees performance
Surface level culture
Pearson Correlation
1
.875**
Sig. (2-tailed)
.000
N
60
60
employees performance
Pearson Correlation
.875**
1
Sig. (2-tailed)
.000
N
60
60
**. Correlation is significant at the 0.01 level (2-tailed).
In analyzing the data, we found a positive significant relationship between the main variables as shown in the table 5 above. Surface level culture and Employees work performance both with sig. level (p <0.01) indicating they do have a positive significant relationship. Surface level culture deals with the overall and tangible cultural attributes in the company as shown in chapter 2, making it the main variable of organizational culture to employees’ performance. This leads us to accept such hypothesis of main variables which state Organizational culture has a significant impact on employees’ work performance. A strong organizational culture impacts the work performance in the mining company and vice versa.
And also, from our questionnaire submitted to 60 respondents from AngloGold Ashanti for analyses, we used Pearson r for our statistics since our hypotheses are quantitative, ordinal and Likert to determine the correlation between some categorical ordinal variables under the ‘Espoused values’ and ‘Basic Assumption’ in order to find relationships between them as subsequent hypotheses. The results in the correlation table below indicates that there are relationships between these levels of organizational culture and indicators of employee’s performance.
Table 6. correlation analysis on indicator hypotheses under main variables (H2)
Basic assumption culture
culture as a discipline for effective work
Basic assumption culture
Pearson Correlation
1
.277*
Sig. (2-tailed)
.032
N
60
60
culture as a discipline for effective work
Pearson Correlation
.277*
1
Sig. (2-tailed)
.032
N
60
60
*. Correlation is significant at the 0.05 level (2-tailed). Source; (field data 2020)
Table 7. Correlations (H3)
Espoused values
organizational value increase performance
Espoused values
Pearson Correlation
1
.272*
Sig. (2-tailed)
.036
N
60
60
organizational value increase performance
Pearson Correlation
.272*
1
Sig. (2-tailed)
.036
N
60
60
*. Correlation is significant at the 0.05 level (2-tailed). Source; (field data 2020)
Regarding the relationship between the Basic assumption level of culture and the indicator of employees’ performance in table 6, the hypothesis clearly shows that people adhering to culture change in an organization has a significant correlation with culture as a discipline for effective work to improve performance. Both variables have a P value (sig. level p<0.05). Even though the results indicate that adhering to culture change has a significantly weak correlation with culture as a discipline for effective performance (r = .277), the relationship between these two variables is significantly positive, meaning a fair number of people willing to adhere to culture change in an organization may strengthen the company’s discipline in culture to ensure effective work and improve performance.
In table 7 hypothesis (3), espoused values also have a moderate but significant level of correlation with employees’ performance (r = .272) which also indicate that the relationship between these two variables is significantly a positive one, meaning the values of the organisation are culturally align with the production values which might constitute the overall values of the organization encouraging performance, the performance of employees increase and become more effective.
Table 8a. Regression analysis on Organizational culture and Employees Performance (H1)
Model Summary
Model
R
R Square
Adjusted R Square
Std. Error of the Estimate
1
.875a
.765
.761
.33490
a. Predictors: (Constant), Surface level culture
Table 8b
ANOVAa
Model
Sum of Squares
df
Mean Square
F
Sig.
1
Regression-
.000b
Residual
6.505
58
.112
Total-
a. Dependent Variable: employees performance
b. Predictors: (Constant), Surface level culture
Table 9. Regression analysis on H2
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t
Sig.
B
Std. Error
Beta
1
(Constant)
1.391
.326
4.263
.000
Basic assumption culture
.297
.135
-
.032
a. Dependent Variable: culture as a discipline for effective performance Source; (field data 2020)
Table 10a Regression analysis of H3
Model Summary
Model
R
R Square
Adjusted R Square
Std. Error of the Estimate
1
.272a
.074
.058
.69903
a. Predictors: (Constant), espoused values
Table 10b.
ANOVAa
Model
Sum of Squares
df
Mean Square
F
Sig.
1
Regression-
.036b
Residual-
.489
Total-
a. Dependent Variable: organizational value increase performance
b. Predictors: (Constant), espoused values Source;(field data 2020)
Discussion of Findings
The research hypotheses analysed in the regression are in relation to the impact of organizational culture on employees work performance. The correlation in hypothesis 1 established a significant positive relationship between Surface level culture and employees’ performance. The Pearson r correlation coefficient was conducted to verify this assumption and it showed that there is a significant relationship between the main variables, r = 0.875 where sig (p < 0.01), as seen in Table 5.
Determining the predictability of the dependent variable (employees’ performance) by the independent variable (Surface level culture), a linear regression was decided. The result of the regression analysis is reported to be r/β = 0.875, p < 0.01, as shown in Table 8a and 8b. This means Surface level culture (organizational culture) statistically has a strong positive significant relationship in predicting employees work performance. Also with it positivity, it means a weak Surface level culture will reduce employees’ work performance and vice versa. The table also shows the significant predictability by Surface level culture to employees’ work performance with (F [1,58] = 189.267)
With the significant relationship between the main variables in (hypothesis 1), the variables in subsequent hypotheses under the Basic assumption and Espoused values variables also predicted each other and shared a significant relationship with indicators of effective employees’ performance as concluded in the Pearson r correlation in table 6 and table 7. In conducting the linear regression, the culture of basic assumption in the organization (r =.277, p<0.05) contributes importantly as an organizational culture factor to the prediction of employees’ work performance as shown in table 9 above, this explains that, when employees accept and work under strong organizational culture and also accept changes in innovation processes, information sharing, control and flexibility in system, decision-making processes etc. workers become culturally discipline and work in alignment with the organization’s principles with effectiveness towards the organizational goals, thereby, increasing their performances. This is successively followed by;
Espoused values as organizational culture also predicted the employees’ work performance where the overall organizational values increase employees’ performance and effectiveness with (r .272, p< 0.05) as shown in table 10a and 10b. From the questionnaire under the Espoused values of an organization, when culture values meet production values it is found to predict employees’ work performance which has a significant positive relationship with (F {1,58} = 4.623, r .272, p< 0.05). This implies that there is a tendency that employees work performance would improve if the culture values of the organization are aligned with the production values to become the overall organizational value of the company. In other words, strong cultural values would improve the effectiveness of employees’ work.
CHAPTER FIVE
SUMMARY, CONCLUSIONS, RECOMMENDATIONS & FURTHER STUDIES
Introduction
This chapter presents the summary of the study findings, discussions, conclusions and recommendation of the research. The research based on the information gathered and recommendations for ensuring employee performance upheld at Anglo Gold Ashanti (Iduapreim mine) despite the dynamism in organizational culture. The chapter also contains suggestions of related studies that may be carried out in the future.
Summary of Findings
Questionnaires were the main data collection tools that were used and they were allocated to a population sample of 60 respondents of whom 60 returned well filled questionnaires that were valid for the study, which gave the study a 99.9% response rate. Hence with a vast amount of time collecting the responses, all questionnaires were duly returned. Findings from the field showed that, in relation to the first hypothesis (main variables) that sought to determine the influence of Surface level culture on employee performance at AngloGold Ashanti, a Pearson r correlation and a Likert point of scale under the SPSS software was used, where the analysis showed a significant relation between the variables with a P value (sig < 0.01), whereas r was recorded as 0.875. The mean and standard deviation scores were computed, among the organizational culture factors which influenced employee performance at AngloGold Ashanti.
In relation to the second hypothesis which sought to analyze the influence of basic assumption on employee performance at AGL, from the responses on a correlation data from the questions that were closely tied to organizational culture that read, ‘people adhering to cultural change for improvement’ to a variable that read ‘organization believe in culture as a discipline for effective performance’ the responses were calculated to have a P value (sig < 0.05) and r = 0.277 showing that there is a significant relationship between the basic assumption culture and the performance of the employees. This was further indicated by the test in the Std. Deviation of .326 and Coefficient of variation 13.5 percent
In the final hypothesis, that sought to determine the influence of espoused values as organizational culture on employee performance at AngloGold Ashanti, a number of responses were arrived at. The senior staff and junior staff both in engagement with the questions as employees of the company were tied to the variables which read “culture values meet production values” to predict the effectiveness of “organizational values increase performance of employees” and from the responses from both staff, reveling culture and performances by employees, with a P value (sig < 0.05) and r = .272. This means that the variables shared a significant relationship projecting the case of culture influencing performance of employees in AngloGold Ashanti.
Conclusion
From the structure of issues that have come into making the study, starting from the literature review, the information gathered in the field, the summary of the findings, the research concluded that the performance of employees at AngloGold Ashanti (Iduapriem mine) just like any other mining company in Ghana is significantly influenced by the surface level culture of the organization.
The research also settles that basic assumption culture has an immense influence on the performance of employees in AngloGold just like any other mine field across the nation and possibly Africa. [CITATION Sch85 \l 1033 ]basic assumption includes thoughts, perceptions and beliefs. It embodies beliefs and reliabilities of human nature that are taken for granted. He said basic assumption guides the perceptions, feelings and emotions of individual members in the organization about things that run it.
Finally, from the study conducted, the espoused values of AngloGold Ashanti are issues that momentarily put employees to check regarding any shortcomings and avoid bizarre level of input from employees, because the overall values are culturally promoted in the sense of increasing performance of employees at AngloGold Ashanti. [CITATION Sch85 \l 1033 ]espoused values include the leadership values of every organization.
Recommendations
Centered on the findings of the study the researcher makes the following recommendations:
Primarily, the researcher recommends that since the performance of employees at AngloGold Ashanti is influenced by surface level culture of the organization, there should be plans by the management and other to encourage and strengthen the surface culture.
Secondly, the researcher recommends that since basic assumption culture has an influence in the performance of employees, management and other stakeholders should come up with strategies of strengthening the means in which problems in the organization are preserved especially when they are monotonous in nature.
Also, the researcher recommends that espoused values need to be checked and strengthened since they morally and ethically affect the performance of employees and also to ensure that the overall legal values are executed at AGL. Strategies should be adopted and relevant preferences as freedom for employees be tailor-made to increase their performance.
Finally, this study recommends that organizational culture is an ideal factor to performance whose significance can never be avoided since it has an influence on the performance of employees at the AGL, and therefore all employees and the management need to pay attention to this aspect of the organization and do relevant checks and balances needed to be put in place to enhance performance and increase production.
Suggestive theses for the study
Additional study is essential in a number of areas regarding organizational culture and employees’ work performance especially in mining companies. Further research will help improve the knowledge in the area and also find answers to the challenges that constrain effective employees’ performance and application of HR policies with regard to the impact of organizational culture on employees’ work performance. The researcher suggests further study in the following areas:
1. The influence of organizational culture on employees’ performance based on a telecommunication company, tele one headquarter.
2. Effect of employee perceived organizational culture on performance, a moderating effect on management maturity.
3. Influence of national culture and balanced organizational culture on hotel industry’s performance
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APPENDIX II - QUESTIONNAIRE
Dear Respondent,
This survey has been designed to elicit information regarding the effect of organizational culture on employee work performance. Please be assured that your responses shall be treated confidential and your identity is totally anonymous.
PLEASE TICK IN THE BOX YOUR STAFF OF WORK: SENIOR STAFF [ ] JUNIOR STAFF [ ]
Please Indicate your [ Age, Gender, Years of work in the company below
Age:
Gender:
Years of work:
1. Organization culture is a thing and important.
Strongly Agree Agree neutral Disagree Strongly Disagree
[ ] [ ] [ ] [ ] [ ]
2. Culture in the organization creates easy procedures here.
Strongly Agree Agree neutral Disagree Strongly Disagree
[ ] [ ] [ ] [ ] [ ]
3. Most management policies and practices are as result of organizational culture.
Strongly Agree Agree neutral Disagree Strongly Disagree
[ ] [ ] [ ] [ ] [ ]
4. Most people in the organization are encouraged to work in alignment with the organizational culture.
Strongly Agree Agree neutral Disagree Strongly Disagree
[ ] [ ] [ ] [ ] [ ]
5. Employees here adhere to cultural changes for self-improvement.
Strongly Agree Agree neutral Disagree Strongly Disagree
[ ] [ ] [ ] [ ] [ ]
6. Cultural changes in the organization more often meet organization’s goals.
Strongly Agree Agree neutral Disagree Strongly Disagree
[ ] [ ] [ ] [ ] [ ]
7. Cultural values in the organization meet production values.
Strongly Agree Agree neutral Disagree Strongly Disagree
[ ] [ ] [ ] [ ] [ ]
8. Practices and communication in the organization are cultural norms of the organization.
Strongly Agree Agree neutral Disagree Strongly Disagree
[ ] [ ] [ ] [ ] [ ]
9. Employees reacts to culture changes.
Strongly Agree Agree neutral Disagree Strongly Disagree
[ ] [ ] [ ] [ ] [ ]
10. As an employee, you believe in the culture of the organization.
Strongly Agree Agree neutral Disagree Strongly Disagree
[ ] [ ] [ ] [ ] [ ]
B PART – Responses to these statements will help us understand how employees view the rate of their individual performance and how productive they could become under the influence of the company’s culture.
Please tick once in the column under the responses as answers to the statements.
STATEMENT
VERY TRUE
TRUE
MAY BE
NOT TRUE
SO NOT TRUE
Cultural structure affects performance here
Organizational values increase performance values of employees
Cultural changes are well communicated to enhance performance.
Performance in the organization compliments our self-motivation to adapt
Respecting the decisions of cultural policies makes work easy and effective
Changes in leadership style affects the culture and work performance
Employees’ work ethics for effective performance is influenced by employees’ understanding of culture
High rate Performance of employees is an evident of exiting cultural values in the company
Both management and subordinates believe in culture as flexible but a discipline structure for effective performance
Culture encourages team work hence high performance