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Woldia University Faculty of Business and Economics Departement of Management

This document is a research project submitted by three students to the Department of Management at Woldia University in partial fulfillment of the requirements for a Bachelor of Arts degree in Management. The research aims to assess the impact of organizational culture on employee commitment at Dashen Bank's Wolkite branch. The students will collect both primary data through questionnaires and secondary data from written materials. They will analyze the data and present their findings and conclusions regarding how organizational culture influences employee commitment at the bank, along with recommendations.

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0% found this document useful (0 votes)
664 views34 pages

Woldia University Faculty of Business and Economics Departement of Management

This document is a research project submitted by three students to the Department of Management at Woldia University in partial fulfillment of the requirements for a Bachelor of Arts degree in Management. The research aims to assess the impact of organizational culture on employee commitment at Dashen Bank's Wolkite branch. The students will collect both primary data through questionnaires and secondary data from written materials. They will analyze the data and present their findings and conclusions regarding how organizational culture influences employee commitment at the bank, along with recommendations.

Uploaded by

Fiteh K
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 34

WOLDIA UNIVERSITY

FACULTY OF BUSINESS AND ECONOMICS


DEPARTEMENT OF MANAGEMENT

ASSESSMENT OF ORGANIZATIONAL CULTURE ON EMPLOYEE


COMMITMENT (IN CASE OF DASHEN BANK IN WOLKITE BRANCH)

A RESEARCH PROJECT SUBMITTED TO DEPARTMENT OF


MANAGEMENT IN PARCIAL FULLFILAMENT OF THE
REQUIREMENT OF BACHLOR OF ART (B.A) IN MANAGEMENT

By:- ID NO
1. Genet Mengstie•••••••••••••••••••••••••2559/07
2. Getasew Merkebu•••••••••••••••••••••••2274/08
3. Getaye Getu•••••••••••••••••••••••••••••2276/08

Advisor:-
Nuru Siraj (MBA)
MAY, 2018
WOLDIA, AMHARA, ETHIOPIA

1
ACKNOWLEDGEMENT

First and for most we would like to thanks our almighty God for his endless help in every aspect
of ours life. Next to that we would like to express our sincere gratitude to our Advisor Mr. Nuru
Siraj for his Advise and comment in all of paper. .
It’s also fact that we would like to thanks our families for their contribution to the success of this
study and for their financially and morally support.

2
ABSTRACT

The objectives of this study were to identify the main organizational culture of Dashen bank and its
relation to employee’s commitment, to a bank’s the organizational culture and describe their
suitability to the employees and to examine the contribution of the existing organizational
culture on the employee’s commitment. In this study the researchers used primary data
questionnaire.Whereas, secondary data collected from written materials about the organization.
Census used to collect data from employees because of they were few in numbers. The collected
data effectively processed, analyzed and presented by using percentage and tabulating. The major
findings of the study was employee’s to ward doing their job, conflict tolerance behavior among
employees, and the degree of employee’s commitment to their organization were identified and the
possible conclusion and recommendation was given. To overcome this problem Dashen bank has
better to: encourage functional conflict among employees as well as the management, of Dashen
bank better to follow participatory kind of decision making, providing continuous ethics course.

Table of contents
ACKNOWLEDGEMENT ……………………………………………………………………………

3
ABSTRACT............................................................................................................
Table of Contents
LIST OF TABLES.............................................................................................................................
CHAPTER ONE..............................................................................................................................
ONE
1. INTRODUCTION......................................................................................................................
1.1 BACKGROUND OF THE STUDY.....................................................................................
1.2 STATEMENT OF THE PROBLEM.....................................................................................
1.3 Research question...............................................................................................................
1.3 OBJECTIVE OF THE STUDY...............................................................................................
1.3.1 General objective ........................................................................................................
1.3.2 Specific objective ........................................................................................................
1.4 SCOPE OF THE STUDY...................................................................................................
1.5 LIMITATION OF THE STUDY.............................................................................................
1.6 SIGNIFICANCE OF THE STUDY........................................................................................
CHAPTER TWO.............................................................................................................................
2. REVIEW OF RELATED LITERATURE.................................................................................
2.1 Definition of Organizational Culture......................................................................................
2.2 COMPONENTS OF ORGANIZATIONS CULTURE...........................................................
2.2 .1 Artifacts and Creations (level one)..................................................................................
2.2.2 Values (level two).............................................................................................................
2.2.3 Basic Underlying Assumptions or Norms (level three)....................................................
2.3 DIMENSIONS (CHARACTERISTICS) OF ORGANIZATION CULTURE........................
2.3.1 The Role of Culture in the Organization..........................................................................
2.4 TYPES OF ORGANIZATION CULTURES..........................................................................
2.4.1 The Bureaucratic or Role Culture.....................................................................................
2.4.2 The Power Culture............................................................................................................
2.4.3 Task or Matrix or Achievement Culture...........................................................................
2.4.4 Person or Support Culture................................................................................................
2.5 EMPLOYEE COMMITMENT...............................................................................................
2.5.1 Commitment Typologies..................................................................................................

4
2.5.2 Affective Commitment.....................................................................................................
2.5.3. Continuance Commitment...............................................................................................
2.5.4 Normative Commitment or Obligation.............................................................................
CHAPTER THEREE..........................................................................................................
THEREE
3. RESEARCH METHODOLOGY..............................................................................................
3.1 Research design......................................................................................................................
3.2 Target population and sampling size ......................................................................................
3.3 sampling technique.................................................................................................................
3.4 soure of data and gathering tools.............................................................................................
3.5 Data analysis and intepretation ..............................................................................................
CHAPTER FOUR...........................................................................................................................
FOUR
DATA ANALYSIS AND INTERPRETATION..............................................................................
INTERPRETATION
CHAPTER FIVE.............................................................................................................................
5. CONCLUSIONS AND RECOMMENDATIONS........................................................................
5.1 CONCLUSIONS.....................................................................................................................
5.2 RECOMMENDATION...........................................................................................................
REFERENCE....................................................................................................................................
REFERENCE
APPENDIX........................................................................................................................................

5
LIST OF TABLES
TABLE NO PAGE

1. Background of respondents……………………………………………………

2. Response regarding employees’ attitude doing their job…………………

3. Response regarding Conflict resolution mechanism of the

Organization ………………………………………………………………………..

4. Response regarding objectives and performance evaluation in the

organization …………………………………………………………………………

5. Response regarding formal hierarchy communication in the

organization…..................................................................................

6. Response regarding ways of employees’ behavior in the

organization………………………………………………………………………...

7. Response regarding ways of employees’ promotion and reward system in

the organization………………………………………………………………………

8. Response regarding employee’s commitment in the

organization…………...

9. Response regarding relationship and effect of organization culture on employees


commitment……………………………………………………………………………….

CHAPTER ONE

6
1. INTRODUCTION

1.1 BACKGROUND OF THE STUDY


It is widely accepted that, organizations and their employees do not live in a vacuum separated
from their cultural surroundings. To start with national culture asset of values, attitudes and
behaviors, includes also those which one relevant to work and the organization. These are carried
in to the work place, as part of the employees’ cultural baggage (Robbins, 2004).
Organization culture represents a common perception held by the organization members. This
was made explicit when we defined culture as a system of shared meaning we should expect,
therefore, that individuals with different backgrounds or at different levels in the organizations
(Robbins, 2005).
Employee commitment is the psychological attachments and the resulting loyalty of an employee
to an organization. It is also relative to strength of an individual’s identification and involvement
in the particular organization. (Meryer,1991).
The word organization culture has no single accepted definition. but the topic has been studied
from a variety of prospective ranging from disciplines such as anthropology and sociology to the
applied discipline of organizational behavior management since and organizational
commitment. (Robbins,2000).
The missions of the organization is to provide efficient and customer focused domestic and
international banking service by overcoming the continuous challenges for excellence through
the application of appropriate technology, and the value of the organization is to develop banking
habit in the community, to assist continuous growth of customers, estimated customers
satisfaction and keen to consciously build professionalism and service quality. (Bank report).
This study tries to address important issues about organization culture, which is part of
organizations dimension. It investigates what the culture and dashen bank (woldia adago branch)
is which is important to the development of employees’ commitment in the organization and the
impact of it on the existing level of employee’s commitment.

7
1.2STATEMENT OF THE PROBLEM
Organization culture can act as a boundary that differentiates one organization from the other.
This may encourage employee’s sense of identity. But ensuring the smooth and good functioning
of any organization in a competitive environment is highly challenging task. This task requires
good knowledge the existing values, norms, beliefs, practices and method that makes the core of
organization culture, most of employees as well as managers doesn't give enough attention to it.
Also most of organization culture is not a written rules and regulation; rather it is mind rules,
beliefs that enforce people to behave (Robbins, 1996).
Dashen bank is one of the biggest private bank in Ethiopia. It has many branches in Ethiopia,
One of them is Woldia, Adago branch. As we compare it with other private banks it proceeded
them in number of customers and this motivate the researchers to conduct a study on assessment
of its organizational culture on employee commitment. Finally the study attempted to answer the
following basic question.

1.3 Research question


The study attempted to answer the following basic question
 Is organization culture having effects on employee behavior?
 Is organizations culture having relationship with employee’s commitment?
 What is the existing culture of Dashen Bank Woldia, Adago branch?

1.3 OBJECTIVE OF THE STUDY

1.3.1 General Objective


The general objective of the study was to assess organization’s culture on employees’
commitment in case of dashen bank in woldia adago branch
1.3.2 Specific Objectives
 To describe how organization culture affects the behavior of employees.
 To identify the main organizational culture of Dashen bank and its relation to employee’s
commitment.
 To identify the existing organizations culture.

8
1.4 SCOPE OF THE STUDY

Even though, there are many banks in woldia town, this study was focused only Dashen bank

specifically in Adago since it was difficult to assess many organizations due to time and financial

constraints. The research was conducted using census survey technique. Moreover, this study

concern only organization culture on employee commitment as it is time consuming and difficult

to assess other different issues in on study area.

1.5 LIMITATION OF THE STUDY

The following were some of the limitations of the study

 Some respondents were not willing to fill out the questioner, so, the researchers cannot
collect the entire questioner, but most of the respondents were fill the questioner.
 Lake of adequate data from the organization

1.6 SIGNIFICANCE OF THE STUDY


The researchers were tried to investigate organizational culture and its relation with employee
commitment to their organization. The significance of the study.
 The study was create awareness among lower level employees, higher level
employees and other member of the bank about the need of effective and strong
organization culture.
 This study expected to be used as a tool for taking some measure of the Dashen if
there is bad culture.
 The investigators also hope that, the findings of this study will provide a support
to other researcher who is interested to conduct further study in the area.
 The study was Provide information for Dashen bank woldia adago branch about
what are the assessments of organizational culture on employee’s commitment.
 It was used for the researchers, to get experience.

9
CHAPTER TWO

2. REVIEW OF RELATED LITERATURE

2.1 Definition of Organizational Culture


Organizational culture is a term that is used to refer to a system of shared meaning held by
members that distinguishes the organization from other organization” It is concerned with “how
employees perceive the characteristics of an organization’s culture” and it” represents a common
perception held by the organization’s members” .The excitation is” that individuals with
different background or at different levels in the organization will tend to describe the
Organization’s culture in similar term. This does not mean that “there can’t be subculture with in
any given culture. Most large organizations have and numerous sets of subculture”. (Robbins,
2005).
It is elusive, intangible, implicit, and taken for granted but every organization develops a core set
of assumptions, and implicit rules that govern day- today behavior in the workplace”. They
explain it impact this way:” until new comer learn the rules, they are not accepted as fully
fledged members of the organization” and high light the fact that the punishment is
psychological, in that, transactions of the rules on the part of high-level executives or front line
employees result in universal disapproval and power full penalties, while conformity to the rules
becomes the primary basis for reward and upward mobility (Robbins, 2005).
Organizations are characterized by their goal oriented behavior, and they pursue goals and
objective that can be achieved more efficiency and effectively by the concerted action of
individual and groups. Organizations are more than means for providing goods and services.
They creates the setting in which most us spend our lives. In this respect, they have profound
influence on our behavior (Ivacevich and Matteson, 1990).
Even though organizations are more than means for providing goods and services, but we cannot
conclude that all behavior exist in the organization are not goal oriented.
It is difficult to define organizations culture, because of its close interdependence with other
dimension. There are many definition of organizational culture that is given by different
individuals.

10
Organizational culture is the set of shared assumption, values and norms that identifies what the
organization considers important and how employees in judge manager should behave….(noe
etal,1996)

2.2 Components of Organizations Culture


Many definitions of organizational culture have been proposed. Almost all of them consent that
there are different ingredients that constitute as the organization culture. Artifacts, values, and
basic assumption are major elements these levels are differs each other in terms of their visibility
and their ability to cheeped. The levels range farm visible artifacts and creation to testable values
to invisible and preconscious basic assumptions (Nelson and Quick; 1997)

2.2 .1 Artifacts and Creations (level one)


“Artifacts are the organizations visible structure and process, they are what the observer can see,
hear and feel about organization.” (Noe.et.at, 1996) this includes organization’s physical
environment, its technology and products,
The ways employees dress and are having toward one another and stories they tell about the
organization and its leader (Nelson and Quick, 1997) defines artifacts as….” Symbols of culture
in the physical and social work environment, they are the most visible and accessible level of
culture”. They emphasize personal enactment, ceremonies and rites, rituals, stories and symbols
as artifacts of culture.
 Personal enactment: - is the behavior that reflects the organizations culture through the
examination of the behavior of organization’s members. It is behaviors that reflect the
organization’s value.
 Ceremonies & rites: - are relatively elaborate set of activates that are enacted time and
again on important occasions.
 Stories: - “they are accounts of post events that illustrate and transmit deeper cultural
norm” (Singh and Chhabara, 2002).
 Rituals: - is “actions that are repeated regularly to enforce culture norms and values”
(Singh and Chhabara, 2002).

11
2.2.2 Values (level two)
These are the second level of culture and reflect underling beliefs in the organization about the
things that are important to people. Values are conscious, affective desires or wants. “Values are
the things that the members of an organization collectively see as important and which
consequently tend to guide their behavior”. (Sadler, 1995)
When we say value, there may have a difference between a company’s exposed values (what the
members say they value) and its enacted values (values reflected is the way the members actually
behave. (Nelson & Quick,1997).

2.2.3 Basic Underlying Assumptions or Norms (level three)


These are at the core and deepest level of an organization culture. According to (Noe. Et.AL,
1996) basic underlying assumptions defined as “shared view that are taken for granted and
considered as a negotiable”.
These are the deeply beliefs that guide the member behavior and tell how to think and see things.
As the depots and fundamental week of an organization’s culture it is the indispensable element
of culture. Even if, employees can disagree with other values they wouldn't ’violate these
assumption. (nelson and quick, 1997).
2.3 DIMENSIONS (CHARACTERISTICS) OF ORGANIZATION CULTURE.
Organization culture has its characteristics or dimensions that are interdependent each other. The
presence of these dimensions used to understand the organization’s culture. There are about eight
dimensions that enable us to differentiate and measure culture.
- Individual - Management contact
- Risk tolerance - Identity
- Conflict tolerance - Communication pattern
- Performance reward - Integration Structure(control)

12
2.3.1 The Role of Culture in the Organization
Culture can serve two critical functions in the organization. The first role is it creates internal
integration in the organization. This means that the guides the day-today work relationship in the
organization and determine how people communicate in the organization. The second role is
external adaptation this means how the organization meet is goals and response to outside. If
employees perform their work cooperatively, they can meet the goal of their organization. (Singh
and Chhabara, 2002).

2.4 TYPES OF ORGANIZATION CULTURES


According to (Sadler, 1995) there are about four type of culture

2.4.1 The Bureaucratic or Role Culture


These organizations have a formal structure, and operate by well- established rules and
procedures. Job dos creation establishes definite tasks for each person’s job, and procedures are
established for many work routines, communication between individuals and departments, and
the settlement, disputes and appeals. Members of the organization culture are “to do things right,
but not necessarily in during the right things”. The organization structure defines authority and
responsibility to individual mangers, which enact the role of expected their position.

2.4.2 The Power Culture


A powerful individual at the centers who control all resources and makes all decision dominates
the members of this culture. Organization with such culture can achieve outstanding performance
for a time, as long as the source of power has a strong sense of direction, exercise sound
judgment, makes the right decisions, behaves with integrity and wins loyalty from others.

2.4.3 Task or Matrix or Achievement Culture


In this culture there is no dominant or clear leader. The particular concern in this culture is to get
the job done; therefore the individual who are paramount are the experts with ability to
accomplish a particular aspect of the task organizational power is distributed to employees based
up on competence and expertise rather than charisma or the holding of a particular office so,
there will be high job satisfaction. The values will include achievement, teamwork, openness and
trust, autonomy, personal growth and development organizations with culture are flexible and
constantly changing

13
2.4.4 Person or Support Culture
This types of culture is formed in the organization whose purpose is to save the interest of the
person or the individual within it. The individual is very important and the organization structure
and system are designed to facilitate and support the work of the key individual wealth earners.
Such types of culture exist in partnership of a few individuals who do all the work of the
organization themselves.

2.5 EMPLOYEE COMMITMENT


The approach that organization theories frequently employed to understand employee behavior
in their or organization is to study “employee commitment” (organizational commitment). It is
the relative strength of an individual’s identification and involvement in a particular
organization. Also it can be defined by the following three factors.
 An acceptance of the organizations goods and value.
 A willingness to work hard for the organization
 The desire to stay with the organization.
Again as an attitude, commitment is distinctly different from the concept of job satisfaction is
commitment reflect a general affective response to the organization as a whole and the other
hand, job satisfaction reflects “ a pleasure or positive emotional state resulting from the appraisal
of one’s job or job experience” commitment is more stable than job satisfaction. Commitment
attitudes develop slowly over time, were as job satisfaction attitudes are viewed immediate
reaction to work, pay promotion opportunities, supervision and ex-workers same employees
strongly identify with the organization and feel attached to it attitude of an employee
commitment is linked to overlooking minor sources of dissatisfaction and effecting to be a
member o the organization. Strongly commitment employees also are likely to view themselves
as truly member of the organization. In contrast: low employee
commitment is associated with dissatisfaction and an expectation to leave the organization.
People who lack commitment to their organization are likely to be absent from work and quit
their job they want to view the organization as same thing apart from themselves (Specters;
2000) an the other hand, employee commitment is not only the function of the above things that
described by the specters, but also employee comment is a function of employee beliefs in future

14
payoffs, fulfillments of a debt to the organization, strong identification with the employees., and
lack of job alternatives resulting in a limited mobility.

2.5.1 Commitment Typologies


Although several conceptualization of employee commitment have appeared in organizational
literature they can be categorized under any one of the three categories.

2.5.2 Affective Commitment


It occurs when the employees’’ wishes to remain with the organization because of an emotional
Attachment. Employees who are committed affectively accept organizations goals and values,
willingness to work hard, desire to stay with the organization. It encompass locality, but it is also
a deep concern for the organization welfare. Also if viewed as a three component on emotion
comprising identification with the goals an devalues of organization, high involvement in work
activities, and loyal attachment to the organization (Nelson & Quick, 1997)., but better definition
is given by another, affective commitment is defined as in terms of internalization of the
organization’s values, willingness to put in strong effort towards helping the organization to
achieve its goals and a strong desire to keep membership of organization (Spector, 2000). It is
better definition in terms of broad coverage.

2.5.3. Continuance Commitment


It is employees’ tendency to remain in an organization because of the person cannot afford to
leave. That means same employees stay in the organization, if they leave; they will lose a great
of their investment in time, effort, and benefits. And they cannot replace this investment. The
individual believes that he has invested as a great deal of effort or time and to remain in the
organization.

2.5.4 Normative Commitment or Obligation


These types of commitment come from the value of the employee. The person believes that he or
she owes it to the organization to remain out of a sense that this is the right things to do. Because
of the obligation he or she has. Example of an organization is layout to the employee or has
supported his/her educational efforts the employee may report higher digress of normative
Commitment. Affective commitment tends to be most highly related to these outcomes. A
review of the research supports that researchers have typically focused on organizational

15
outcomes and correlated of commitment. However, more recently, researchers are beginning to
examine more individual level correctives of affective commitment like steers, week beings &
work formally conflict. (Meyer etal. 2000)

CHAPTER THREE
3. RESEARCH METHODOLOGY

3.1 Research Design


This type of research was descriptive type of research because; the researchers described
organizational culture on employee commitment with their related problems. This study was
conducted by data collection, organization and analysis of data. Descriptive research is
description of the state of affairs, as it exists at present.
3.2 Target Population and sample size
The researchers selected census method because of Dashen bank Woldia Adago main branch. it
has 33 employees would be used because the researchers easily manageable and the best for
these research.
3.3 Sampling Technique
The study was used both primary and secondary source. Primary sources were obtained from
employees. The researcher was use secondary source from books and internet.

3.4 Source of data and gathering tools


The data was employed to undertake the researchers were to gather from primary sources, by
using questionnaire method. In Addition to this primary data, secondary data was collected from
some written material such as books, and Internet etc.
3.5 Data analysis and interpretation
Once data collected from different source, it was analyzed according to the objectives of
the study. The data was been analyzed and presented by using descriptive statics, such as tables,
frequencies, percentage.

16
CHAPTER FOUR
4. DATA ANALYSIS AND INTERPRETATION
This part deals with the analysis of the data collected during the process of the research. Thirty
three (33) copies of questionnaires were distributed to employees of Dashen bank.
Out of 33 questionnaires distributed to participants 29(87.88%) were filled and returned while
the remaining 4(12.12%) were not returned due to certain problem, respondents’ inability
(refusal) to return some of the question. Thus, the response rate for the questionnaire distributed
is 87.88% and total of 29 responses were used in the data analysis procedures.

4.1 Background of respondents


Table 4.1 characteristics of respondents
No Items Responses Respondents

Number %

1 Sex Male 20 68.97


Female 9 31.03
Total 29 100
2 Age(in year) 18-25 3 10.34
26-33 8 27.59
34-41 9 31.03
42-50 6 20.69
Above 50 3 10.34
Total 29 100
3 Educational level 10-12Completed 2 6.90
Diploma 2 6.90

17
Degree 25 86.20
MBA - -

Total 29 100
4 Marital status Married 21 72.41
Single 8 27.59
Divorced - -
Total 29 100
5 Work experience 1-3 6 20.69
3-6 10 34.48
6-9 8 27.59
Above 50 5 17.24
Total 29 100

Source: Own Survey2010 E.C


As depict in the table-4.1 the distribution of participants based on their sex 20(68.97%) were
male while the remaining 9(31.03%) were female. This implies that majority of the respondents
were male.
In the same table item number 2 shows on respondent’s age, 3(10.34%) of respondents were
aged 18-25 year, 8(27.59%) of respondent were aged 26-33 year, 9(31.03%) of respondents aged
34-41 years, 6(20.69%) of respondent were age 42-50 year, 3(10.34%) of respondents were age
above 50 year. This implies that majority of the respondents were in between age 34-41.
In the same table, item number 3 shows on respondent’s education qualification, Accordingly
2(6.90%) of respondents were 10-12 completed, 2(6.90%) were diploma holders, while the
remaining 25(86.20%) were first-degree holders, This implies that majority of the respondents
were first-degree holders.
In the same table, item number 4 shows respondents marital status. Accordingly 21(72.41%) of
respondents were married, and 8(27.59%) of respondents were single. This implies that majority
of the respondents were married
Regarding the distribution of the respondents with respect to work experience, accordingly
6(20.69%) of the respondents have 1-3 year work experience 10(34,48%) of respondents have 3-
6year work experience, 8(27.59%) of respondents have 6-9 year work experience, and 5(17.24%)

18
of respondents have above 9years work experience. This implies that majority of the respondents
served the organization 3-6 year work experience

4.2 Employee’s attitude doing their job


Table-4.2 Employee’s autonomy toward doing their job
No Item Responses Respondents

Number %
1 My initiative to do the work in Strongly disagree 6 20.69
my on are no accepted on Disagree
employer commitment Neutral
16 55.17
Agree - -
Strongly agree
7 24.14
- -

Total 29 100
2 Here every body works his or Strongly disagree 3
her on job, nobody cares about Disagree
other job Neutral
9
Agree 1
Strongly agree
11
5
Total 29 100
Source: Own Survey, 2010 E.C
Table 4.2 shows on employee’s autonomy toward doing their job, the researchers wear asked
respondents whether the initiative to do the work in their own responded no accepted on

19
employee’s commitment. Accordingly, 6(20.69%) of the respondents were responded strongly
disagree, 16(55.17%) of the respondents were responded disagree, 7(24.14%) of the respondents
were responded agree.
The second item of table 4.2 indicates accordingly every body works his or her own job nobody
cares about other job. 3(10.34%) of the respondents were responded strongly disagree,
9(31.03%) of the respondents were responded disagree, 1(3.45%) of the respondents were
responded neutral,11(37.93%) of the respondents were responded and the remaining 5(17.24%)
of the respondents were responded strongly agree. this indicate that the majority of respondents
were responded response, 11(37.93%) were agree with the existence of here every body works
his or her own job nobody cares about others work.

4.3 Conflict Resolution Mechanisms of the Organization


Table-4.3 conflict resolution behavior among employees

No Items Responses Respondents

Number %
1 People bring out the Strongly disagree 2 6.90
conflict issues in the open Disagree 8 27.58
without fear of punishment Neutral - -
Agree 13 44.83
Strongly agree 6 20.69

Total 29 100

Source: Own Survey, 2010 E.C


Table 4.3 indicated that 2(6.90%) of the respondents were responded strongly agree, 8(27.58%)
of the respondents were responded disagree, 13(44.83%) of the respondents were responded
agree and the remaining 6(20.69%) of the respondents were responded strongly agree. This
indicated that the majority of respondents were responded agree with the existence of people
bring out the Conflict issue in the open without fear of punishment

20
4.4 Assess objectives and performance evaluation in the
organization
Table 4.4The existence of clear objectives and performance expectation
No Items Responses Respondents

Number %
1 The duties and responsibilities Strongly disagree 4 13.79
attached to our job are not clearly Disagree 10 34.48
informed to us Neutral 2 6.90
Agree 7 24.14
Strongly agree 6 20.69

Total 29 100

2 I try my best to make a meaningful Strongly disagree 1 3.45


contribution to my organization Disagree 3 10.35
throughout my job Neutral 2 6.90
Agree 14 48.27
Strongly agree 9 31.03

Total 29 100
Source: Own Survey, 2010 E.C
The first item of table 4.4 indicate that 4(13.79%) of the respondents were responded strongly
disagree, 10(34.48%) of the respondents were responded disagree, 2(6.90%) of the respondents
were responded neutral, 7(24.14%) of the respondents were responded agree, and the remaining
6(20.69%) of the respondents were responded strongly agree. This indicated that the majority of
respondents responds 10(34.48%) were disagree with the existence of the duties and
responsibilities attached to their job are not clearly informed to them.
The second items of table 4.4 indicate that 1(3.45%) of the respondents were responded strongly
disagree, 3(10.35%) of the respondents were responded disagree, 2(6.90%) of the respondent

21
were responded neutral, 14(48.27%) of the respondents were responded agree, and the remaining
9(31.03%) of the respondents were responded strongly agree. this indicated that the majority of
respondents responds 14(48.27%) were agree with the existence of they try their best to make a
meaningful contribution to their organization throughout their job

4.5 formal hierarchy of communication in the organization


Table 4.5 pattern communication in the organization
No Items Responses Respondents
Number %
1 We must communicate in the Strongly disagree 2 6.90
organization according to specified Disagree 2 6.90
formal hierarchy Neutral 3 10.35
Agree 15 51.32
Strongly agree 7 24.13
Total 29 100

2 We can go to our supervisor or any Strongly Disagree 3 10.35


colleagues at any time Disagree 10 34.48
Neutral 4 13.79
Agree 11 37.93
Strongly agree 1 3.45

Total 29 100
Source: Own Survey, 2010 E.C
The first items of table 4.5 indicate that on communication hierarchy, 2(6.90%) of the
respondents were responded strongly disagree,2(6.9%) of the respondents were responded
disagree, 3(10.35%)of the respondents were responded neutral,15(52.72%)of the respondents
were responded agree, and the remaining 7(24.13%) of the respondents were responded strongly
agree. This indicated that the majority of respondents response 15(51.72%) were agree with the
existence of they must communicate in the organization according to specified formal hierarchy.

22
The second items of table 4.5 indicate that 3(10.35%) of the respondents were responded
strongly disagree, 10(34.48%) of the respondents were responded disagree, 4(13.74%) of the
respondents were responded neutral, 11(37.93) of the respondents were responded agree and the
remaining 1(3.45%) were strongly agree. This indicated that the majority of respondents
response 11(37.93%) were agree with the existence of they are can go to their supervisors or any
colleagues at any time. So this implies that employees of dashen bank have freedom to raise their
idea to the supervisors/leaders of the organization. This increases employee commitment to
organizational tasks.

4.6 ways of employee’s behavior in the organization


Table 4.6 Degree of employee’s behavior in Dashen
No Items Responses Respondents

Number %

1 we are told in what way we have Strongly disagree 3 10.35

to behave in the organization Disagree 7 24.13

Neutral 2 6.90

Agree 10 34.48

Strongly agree 7 24.13

Total 29 100

Source: Own Survey, 2010 E.C


The items of tables 4.6 indicate that 3(10.35%) of the respondents were responded strongly
disagree, 7(24.13%) of the respondents were responded disagree, 2(6.90%) of the respondents
were responded neutral, 10(34.48%) of the respondents were responded agree, and the remaining
7(24.13%) of the respondents were responded strongly agree. This indicated that the majority of

23
respondents response 10(34.48%) were agree with the existence of they were told in what way
they have to behave in the organization.

4.7 ways of employee’s promotion and reward system in the


organization
Table 4.7 Attitude of employees toward promotion and reward system of
Dashen.
No Items Responses Respondents

Number %
1 In this organization Strongly disagree 1 3.45
promotion are given Disagree 7 24.13
according to seniority rather Neutral 1 3.45
than merit and ability of Agree 9 31.03
employees Strongly agree 11 37.93

Total 29 100

2 Sometimes we do not know Strongly disagree 4 13.79


way we have been rewarded Disagree 7 24.13
Neutral 2 6.90
Agree 7 24.13
Strongly agree 9 31.03

Total 29 100
Source: Own Survey, 2010 E.C
The first items of table 4.7 indicate that 1(3.45%) of the respondents were responded strongly
disagree, 7(24.14%) of the respondents were responded disagree, 1(3.45%) of the respondents
were responded neutral, 9(31.03%) of the respondents were responded agree and the remaining
11(37.93%) of the respondents were responded strongly agree .this indicated that the majority of

24
respondents responded11(37.93%) were strongly agree with the existence of in this organization
promotion were given according to seniority rather than merit and ability of employees.
The second items of table 4.7 indicate that 4(13.79%) of the respondents were responded
strongly disagree, 7(24.13%) of the respondents were responded disagree, 2(6.89%) of the
respondents were responded neutral, (24.13) of the respondent were responded agree, and the
remaining 9(31.03%) of the respondents were responded strongly agree. this indicated that the
majority of respondents responded with 9(31.03%) were strongly agree with the existence of
sometimes they do not know why they have been rewarded.

4.8 Employees’ commitment in the organization


Table 4.8 Degree of employee’s commitment to their organization
No Items Responses Respondents
Number %
1 I would be very happy to speed Strongly disagree 4 13.79
the rest of my life career with Disagree 4 13.79
this organization Neutral 2 6.90
Agree 12 41.38
Strongly agree 7 24.14
Total 29 100

2 I really feel that this Strongly disagree 3 10.34


organizations problems are my Disagree 4 13.79
own Neutral 4 13.79
Agree 9 31.03
Strongly agree 9 31.03

Total 29 100
3 One of the causes of living in Strongly disagree - -
this organization is not scarcity Disagree 9 31.03
of other job alternatives Neutral - -
elsewhere Agree 10 34.48
Strongly agree 10 34.48

Total 29 100

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Source: Own Survey, 2010 E.C
The first items of table 4.8 indicate that 4(13.79%) of the respondents were responded strongly
disagree, 4(13.79%) of the respondents were responded disagree, 2(6.90%) of the respondents
were responded neutral, 12(41.38%) of the respondents were responded agree and the remaining
7(24.14%) of the respondents were responded strongly agree. this indicated that the majority of
respondents response 12(41.38%) were agree with the existence of they would be very happy to
spend the rest of their life career with this organization.
The second items of table 4.8 indicate that 3(10.34%) of the respondents were responded
strongly disagree,4(13.79%) of the respondents were responded disagree,4(13.79) of the
respondents were responded neutral, 9(31.03%) of the respondents were responded agree, and
the remaining 9(31.03%) of the respondents were responded strongly agree. this indicated that
the majority of respondents response with 9(31.03%) were agree and 9(31.03%)of the
respondents were strongly agree with the existence of they really feel that this organizations’
problems are their own.
The third items of table 4.8 indicate that 9(31.03%) of the respondents were responded disagree,
10(34.48%) of the respondents were responded agree, and the remaining 10(34.48%) of the
respondents were responded strongly agree. This indicated that the majority of respondents
response 10(34.48%) were agree and 10(34.48% ) were strongly agree with the existence of one
of the causes of living in this organization was not scarcity of other job alternatives where.
The respondents said that, the bank with in working condition is very good by different reasons
because the organization is encouraged and promote the unity of employees. this enhance good
atmosphere in the organization and this create good organizational culture. in the organization
their is a smooth relation among employee

4.9 Describe relationship and effect of organizations culture on


employee’s commitment

26
Table 4.9 show relationship and effect of organizational culture on employee
commitment
No Items Responses Respondents

Number %
1 Organizational culture is directly related Strongly disagree 1 3.45
with employee commitment Disagree 4 13.79
Neutral 1 3.45
Agree 15 51.72
Strongly agree 8 27.59
Total 29 100
2 Organization culture have an effect on Strongly disagree 4 13.78
employee commitment Disagree 7 24.14
Neutral 1 3.45
Agree 4 13.78
Strongly agree 13 44.83
Total 29 100

Source: own Survey, 2010 E.C


In this table item-1, respondents were asked whether organization culture have a relation with
employee commitment. Accordingly,1(3.45%) of the respondents were responded strongly
disagree,4(13.79%) of the respondents were responded disagree,1(3.45%) of the respondents
were responded neutral,15(5172%)of the respondents were responded agree and the remaining
8(27.59%) of the respondents were responded strongly agree. Majority of respondents were
agree with the idea of organization culture is related with employee commitment. This implies
that organization culture have strong relation with employee commitment in the organization.
In the same table item-2, respondents were asked whether organization culture have an effect on
employee commitment. Accordingly 4(13.79%) of the respondents were responded strongly
disagree,7(24.14%)of the respondents were responded disagree,1(3.45%) of the respondents
were responded neutral, 4(13.79%)of the respondents were responded agree, and the remaining
13(44.83%)of the respondents were responded strongly agree. Majority of respondents were

27
responded strongly agree with the idea that organization culture have an effect on employee

commitment.

The respondents said that, the organization has good organizational culture. Even if the
organization don't have divers’ employee composition the general organizational culture is
interesting.
The respondents said that, to support teach banking skill, this means all workers (officers) could
be helped each other because this strengthen the organizational culture.

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CHAPTER FIVE

5. CONCLUSIONS AND RECOMMENDATIONS


5.1 CONCLUSIONS
On the basis of the major findings, the following conclusions were made.
 Employees in Dashen bank have autonomy in the work area.

 Conflicts are highly discouraged in Dashen bank. This resulted from fear of
disciplinary measure taken on the participants. This increase stress and moral
disasters among employees.
 Dashen bank has a highly bureaucratic structure and employees have to follow
and communicate according to the specified line of hierarchy even if form
communication is used to control problems easy for the management
 There are problems in promotion and reward system of Dashen bank.

 Employees were communicated about organization’s mission, vision goals and


objectives. The knowledge about why the company exists, what needs to achieve
in the future, the duties and responsibilities of each specific position will have
effect on employees feeling of belongingness to the organization but, the main
problem is that the time of communicating these thing, because communicating
organization’s mission, objective and goals are not one time task rather
continuous task until all members of Dashen bank understand the reason why
Dashen bank exist.
 Most of the employees in Dashen bank are not effectively committed. Because
effectively committed employees was stay in their organization irrespective of
anything they get in response for their organization. Also most of employees
disclosed that, they have stayed in this organization because of absence of other
better job alternatives else were.

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5.2 RECOMMENDATION
On the basis of the findings made and conclusions drawn with regard to organization culture on
employees’ commitment a case study of Dashen bank the following recommendations were
given.
 Conflicts were highly discouraged in Dashen bank. To overcome this problem, Dashen
bank has better to: encourage functional conflict among employees as well as the
management, of Dashen bank, better to follow participatory kind of decision-making,
providing continuous ethics course. When employees participate in decision making
process a must for rising conflicting idea and this pave for creativity and innovation.
 Dashen bank has problem on communication pattern. To overcome this problem the
researchers suggested that: Balancing formal and informal communication because
formal communication consume more time for decision making, Dashen bank, has to
permits the establishment of good labor association, by preparing get together program.
Also Dashen bank has problem on promotion and rewarding system. to overcome this
problem by: Balancing both seniority and ability as a base for rewarding employees
based on the situation, Rewarding employees who perform better than other, because, it
lead to encouraging creativity in the organization.

 Dashen bank has own effect with the general rule and regulation to overcome this
problem the researcher suggests that: Dashen bank should change its strict rule and
regulation about how to talk, dress by flexible rule according to interest of employees.

 Dashen bank has better to practice the following activities. Provide sound working
environment, give full responsibility to their own specific job, and create a sense of
belongingness by paying their salary match with their effort.
 Generally we try to show the organizational culture on employee’s commitment
up to these. The other researchers next to these assess widely to the same
organization or other sector.

30
REFERENCE

1. Debral L. Nelson, James compnell Quick, (1997), Organizational Behavior,


Foundations, Realities and Challenges” 2nded, west publishing company.

2. John. M. Invancevich and Michael T. Matteson, (1990) Organizational Behavior and


Management, 2nd Ed.

3. Philip Sadler (1995), Managing Change, clays Ltd England.

4. Singh and T.N Chhabra, (2002), Organization Theory and Behavior, DHANPATRAS
and co. (p) LTD, Delhi.

5. Stephan P. Robbins, (2005), Fundamentals of Management Essential Concepts and


Application, 5th Ed, prentice hall, USA.

6. Wright Neo.et AL, (1996) Management of organizations, von Hoffman press, Inc, USA.

7. Stephan p, Robbins,(2004),Fundamental of organizational behavior, 2nd Canada ed.

8. Lioyd L. Byars and Leslie W. Rue (1997), Human Resource Management, 5th Ed USA.

9. Noe, Hollenbeck, Gerhrt wright (2004), fundamental of human resource, 2nd Ed, USA.

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APPENDIX
WOLDIA UNIVERSITY
FUCULITY OF BUSINESS AND ECONOMICS
DEPARTMENT OF MANAGEMENT
 This is organization study conducting for supporting the researchers senior essay paper
entitled as assessment of organizational culture on employee commitment in dashen
bank. Is an aim to get information about your work life in the organization, The gathered
information will be kept secret and be used mainly for the researchers academic purpose
not evaluating your commitment and take same measure. we hope you will extract your
kind cooperation lies with frankly responding to this questionnaire.
Thank you for in advance
GENERAL INSTRUCTION
Please:-
 To maintain confidentiality, please do not write your name or sign anywhere in the
questionnaire
 Give your response to all the statement found in the questionnaire.
 Kindly do not consult others while responding
 Please choose among the alternative and make “x” sign on it..
 Part One:- Demographic information
 Sex:
A. Male B. Female
2. Age A. 18-25 C. 34-41 E. above 50
B. 26-33 D. 42- 50
3. Education A. 10-12 completed B. Diploma
. C. Degree D. MBA Degree

32
4. Marital status A. Married B single C Divorced

5. What is your experience?


A. 1-3 C. 6-9
B. 3-6 D. Above 9

Part Two:- Research questions

Below are some statements, which describe the possible feelings and beliefs you may have about
your organization. Please indicate your response by ticking only one of the five alternatives.
No Items Strongly Disagree Neutral Agree Strongly
disagree agree
1 My initiative to do work in my
own are not accepted on
employer commitment
2 Here every body works his or
her own job, nobody care about
others work
3 People bring out the conflict
issues in to the open without fear
of punishment
4 The duties and responsibilities
attached to our job are not
informed to us
5 I try my best to make a
meaningful contribution to my
organization throughout my job
6 We must communicate in the
organization according to
specified formal hierarchy
7 We can go to our supervisor or
any colleagues at any time

33
8 We are told in what way we have
to behave in the organization
9 In this organization promotions
are given according to seniority
rather than merit and ability of
employees
10 Sometimes we do not know why
we have been rewarded
11 I would be very happy to spend
the rest of my life career with
this organization
12 I really feel that this
organizations problems are my
won
13 One of the causes of living in
this organization is not scarcity
of other job alternative elsewhere
14 Organization culture is directly
related with employee
commitment
15 Organization culture have an
effect on employee commitment
16. How do you express your organization culture in relation to employee
commitment
••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••
••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••
17. General opinion about your organization culture?
••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••
••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••
••••••••••••••••••••••••••••••••••••

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