Research Article: Organization Culture and Employee Performance in Telecom Sector of Pakistan
Research Article: Organization Culture and Employee Performance in Telecom Sector of Pakistan
Research Article: Organization Culture and Employee Performance in Telecom Sector of Pakistan
Article
Organization Culture and
Employee Performance in
Telecom sector of Pakistan.
1
CONTENTS
Abstract.................................................................................................................................................4
Key words..............................................................................................................................................4
Introduction...........................................................................................................................................4
Research Questions...............................................................................................................................5
Frame Work...........................................................................................................................................5
Hypothesis.............................................................................................................................................5
Problem statement................................................................................................................................6
Objective of the study...........................................................................................................................6
Main Objective......................................................................................................................................6
Sub Objective.........................................................................................................................................6
Significance study..................................................................................................................................6
Literature Review..................................................................................................................................6
Organizational culture.......................................................................................................................6
Organizational culture create and communicate...............................................................................7
Person culture and market culture....................................................................................................8
Adaptive culture and adhocracy culture............................................................................................8
Task culture and kindred culture.......................................................................................................8
Importance of structure Culture........................................................................................................8
Types of Organizational Culture......................................................................................................10
Learning culture...............................................................................................................................10
The Advantages of a Learning Culture.............................................................................................11
Bureaucratic culture........................................................................................................................11
Competitive culture.........................................................................................................................11
Participatory culture........................................................................................................................12
Leadership Style...............................................................................................................................12
The Leadership Styles......................................................................................................................13
The Transformational Leadership....................................................................................................13
The Transactional Leadership..........................................................................................................13
Types of Leadership designs............................................................................................................13
Autocratic Leadership......................................................................................................................13
Bureaucratic leadership...................................................................................................................14
The importance of employee Performance.....................................................................................15
Effects of structure Culture on worker Performance.......................................................................15
Effects of Leadership designs on worker performance....................................................................16
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Methodology.......................................................................................................................................17
Design and Sample..............................................................................................................................17
Measures:........................................................................................................................................17
DATA ANALYSIS AND FINDINGS...........................................................................................................17
Confirmatory Factor Analysis...........................................................................................................17
Limitations and Delimitations..............................................................................................................19
Ethical considerations..........................................................................................................................19
DISCUSSION AND CONCLUSION...........................................................................................................20
Reference………………………………………………………………………………………………………………………………………..20
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FINAL TERM PROJECT:
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ABSTRACT
This study aims to research the general impact of organizational culture directly or indirectly
on employees’ job performance. The methodology of study is to search out the influence
of organizational culture on employee performance. This is often a survey-
based analysis study. The general results support that culture of organizations includes
a vital positive impact on employees’ job performance. Employees’ participation is that
the most significant issue for achieving organizational goals. This study fulfils an
acknowledged necessity and the impact of organizational culture and leadership style on
the job performance of employees.
KEY WORDS
Organizational culture, Leadership Styles, Employee Performance, Employee participation.
INTRODUCTION
Organizational culture is outlined because the underlying beliefs, assumptions, values
and ways in which of interacting that contribute to the distinctive social and
psychological surroundings of a corporation. Business leaders are important to the creation
and communication of their geographical point culture. Organizational culture refers to
culture in any style of organization together with that of faculties, universities, not-for-
profit teams, government agencies, or business entities. In business,
terms like company culture and company culture are typically wont to seek advice from an
identical idea. The culture of the geographical point controls the means staff behave amongst
themselves further like folks outside the organization. A leadership vogue may be
a leader's form of providing direction, implementing plans, and
motivating folks. Numerous authors have projected distinguishing many alternative
leadership styles as exhibited by leaders within the political, business
or alternative fields. There’s no general, overarching theory concerning employee
performance. The effectiveness with that organizations manage, develop and stimulate
their staff is a very important cornerstone for the way organizations
perform. Organizational culture to an outsized extent determines the performance of the
employees. The leadership vogue is that the manner of providing direction,
implementing methods and motivating people towards the attainment of the
required objectives. Leadership styles are replicated in attitudes and
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behaviors however these successively are the end result of advanced interactions between
the means people suppose and feel.
RESEARCH QUESTIONS
1. Do employee satisfied with organizational culture?
2. Does effective organizational culture caste an effect on employee’s performance?
3. Does effective leadership style caste an effect on employee’s performance?
FRAME WORK
HYPOTHESIS:
H1 = There is a positive relationship between presenters and workers expectations.
H2 = There is a positive relationship between workplace friendship and workers expectation
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PROBLEM STATEMENT
What is the influence of different organizational cultures and leadership styles on the
performances of employees?
MAIN OBJECTIVE
To determine the impact of Organization Culture and Employee Performance in the Telecom sector
of Pakistan.
SUB OBJECTIVE:
1. There is a positive relationship between presenters and workers expectations.
2. There is a positive relationship between workplace friendship and workers expectations.
3. There is a positive relationship between workplace attire and workers performance.
SIGNIFICANCE STUDY
Organizational culture and leadership styles are an important component in the field of
organizational behavior and business ethics. This study will create more insight and greater
need for organizational members to better understand the context of corporate culture and its
effect on employee performance. More significance of this research is to the organization
under study and more importantly all Organizations to appreciate the phenomenon of culture
and its effect on employee performance and organizational efficiency.
LITERATURE REVIEW
ORGANIZATIONAL CULTURE
Organizational culture is outlined because the underlying beliefs, assumptions, values
and ways in which of interacting that contribute to the distinctive social and
psychological setting of a company.
A more detailed definition is ‘the collection of traditions, values, policies, beliefs, and
attitudes that constitute a pervasive context for everything we do and think in an organization.
Most organizational cultures will be derived from the individual characteristics and beliefs of
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the founder and the top management team and this for many organizations are out of the
control of the organization. An organization can, however develop and implement cultural
values to help manage members behavior.
Organizational culture comprises the unwritten customs, behaviors and beliefs that determine
the "rules of the game" for decision-making, structure and power. It's based on the shared
history and traditions of the organization combined with current leadership values. In effect,
culture dictates the way we do business here and the organizational survival tactics that
facilitate assimilation and personal success.
Under this set of definitions, organizational culture is a set of shared assumptions that guide
what happens in organizations by defining appropriate behavior for various situations (Ravasi
and Schultz 2006) “Responding to organizational identity threats: Exploring the role of
organizational culture”. (Vlaar, van Fenema et al. 2008)
Organizational culture could be a system of shared assumptions, values, and beliefs
that governs however individuals behave in organizations. These shared values have a
powerful influence on the individuals within the organization and dictate however they dress,
act, and perform their jobs. Each organization develops and maintains a novel culture
that provides tips and bounds for the behavior of the members of the organization.
Organizational culture includes organization’s expectations, experiences,
philosophy, yet because the values that guide member behavior, and is expressed in member
self-image, inner workings, interactions with the skin world, and future expectations.
Culture relies on shared attitudes, beliefs, customs, and written and unwritten rules
that are developed over time and are thought-about valid (The Business Dictionary).
Culture additionally includes the organization’s vision, values, norms, systems, symbols,
language, assumptions, beliefs, and habits.(Needle 2010)
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degree employee feels a frontrunner helps him or her complete a goal. (Croen, Shaw et al.
1996)
Leaders will produce, and even be created or influenced by, many alternative geographical
point cultures. These variations will manifest themselves may be a sort of ways in
which together with, however not restricted to:
IMPORTANCE OF STRUCTURE CULTURE
A common platform wherever people add unison to earn profits moreover as a sustenance for
themselves is named a company. An area wherever people understand the dream of
creating it massive is named a company. Each organization has its distinctive variety
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of operating which frequently contributes to its culture. The beliefs, ideologies, principles and
values of a company kind its culture. The culture of the geographic point controls
the manner employees behave amongst themselves moreover like folks outside the
organization.
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The organization culture brings all the staff on a standard platform. The staff should be
treated equally and nobody ought to feel neglected or neglected at the work. It’s essential
for the staff to regulate well within the organization culture for them to deliver
their uttermost.
The work culture unites the staff Organization square measure otherwise from totally
different back grounds, families and have varied attitudes and mentalities. The
culture offers the staff a way of unity at the work.
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THE ADVANTAGES OF A LEARNING CULTURE
There square measure several edges of a cultivated learning culture in a corporation.
These embrace, however aren’t restricted to:
• Increased potency, productivity and profit
• Increased employee satisfaction and weakened turnover
• An improvement outlook among employees
• A developed sense of possession and irresponsibleness’
• Ease in succession/transition
• A culture of data inquiry and sharing
• An increased ability for staff to adapt to alter
BUREAUCRATIC CULTURE
There is a well-defined, formal, organizational work atmosphere that depends on authority,
hierarchy and procedures to stay the organization running swimmingly. There’s a
spotlight on potency, dependableness and sleek execution.
Goal: Predictability
Identity: Belonging – The organization will take care of you in exchange for loyalty.
Orientation: How things are done –accuracy, efficiency in task completion
Approach to work: Do things right
Leadership style: Authority
Downside: Red tape
COMPETITIVE CULTURE
There is a pervasive customer-focused, goal-oriented perspective with a powerful stress on
delivering results. Policies, procedures, and measures are aligned to reply to the strain of the
market and meet client wants. The setting is difficult and
competitive. Prime performers are rewarded and extremely regarded.
Goal: Winning
Identity: Meritocracy
Orientation: Results – winning
Approach to work: Do things best
Leadership style: Coach
Downside: Stress and burnout
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PARTICIPATORY CULTURE
Participatory culture is associate degree opposing thought to shopper culture —
in alternative words a culture within which non-public people (the public) don't act
as shoppers solely, however conjointly as contributors or producers. The term is most
frequently applied to the assembly or creation of some form of revealed media. (Willis 2003).
Recent advances in technologies (mostly personal computers and also the Internet) have
enabled non-public persons to make and publish such media, sometimes through the web.
Since the technology currently permits new sorts of expression and
engagement publically discourse, democratic culture not solely supports individual
creation however conjointly informal relationships that try novices with specialists.
LEADERSHIP STYLE
A leadership style may be a leader's sort of providing direction, implementing plans, and
motivating individuals. Numerous authors have projected distinguishing many
alternative leadership styles as exhibited by leaders within the political, business
or different fields. Studies on leadership style square measure conducted within the military
field, expressing Associate in Nursing approach that stresses a holistic read of leadership, as
well as however a leader's physical presence determines however others understand that
leader. The factors of physical presence during this context embrace military bearing, shape,
confidence, and resilience. The leader's understanding helps to gestate solutions and to
accumulate information to try and do the task. A leader's abstract talents apply lightsomeness,
judgment, innovation, social considerateness, and domain information.
Domain information encompasses military science and technical information further as
cultural and politics awareness. The leadership style is that the manner of providing direction,
implementing methods and motivating people towards the attainment of the
specified objectives. Leadership style square measure replicated in attitudes and
behaviors however these successively square measure the end
result of complicated interactions between the approach people assume and feel. The
researchers highlighted numerous approaches/ styles to leadership that square measure
supported completely different assumptions and theories. Because the time passed, the
analysts have figured out to evolve numerous models, theories and assumptions relating
to the leadership style.
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THE LEADERSHIP STYLES
THE TRANSFORMATIONAL LEADERSHIP
The transformational leader possesses charismatic abilities, induces moral values and tries to
develop the capabilities of the employees. This leadership gives a kind of vision.
The leadership styles which elevates the working potential and commitment of the
followers/employees to achieve the high valued tasks those which yields a maximum output.
(Avolio, Bass et al. 2004)
Consequently, the employees beneath put forward all their efforts to bring up the
organizational standards at par with the global values. At the same time, the transformational
leadership is innovative, creative to some extent, takes bold initiatives and stands firm in
collaboration with the popular will of all the units of the concern organization.
The main task of a transformational leader is to rebuild a structural framework of the
organization according to the wins and wishes of the employees keeping in view the global
standards and the contemporary situation.
TYPES OF LEADERSHIP DESIGNS
AUTOCRATIC LEADERSHIP
Autocratic leadership vogue is targeted on the boss. During this leadership the leader holds
all authority and responsibility. During this leadership, leaders build selections on their
own while not consulting subordinates. They reach selections, communicate them to
subordinates and expect prompt implementation. Autocratic
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work surroundings will commonly have very little or no flexibility. During
this quite leadership, guidelines, procedures policies are all natural additions of an autocratic
leader. Statistically, there are only a few things that may truly support autocratic leadership.
BUREAUCRATIC LEADERSHIP
Bureaucratic leadership is leadership primarily based upon fastened official
duties underneath a hierarchy of authority, applying a system of rules for management and
decision-making. This form of leadership will be advantageous in extremely regulated lines
of business, associate degreed it will be
an economical management vogue in corporations that do not need a lot of ability or
innovation from employees.
LAISSEZ-FAIRE LEADERSHIP
Laissez-faire leadership offers authority to employees. Per central, departments or
subordinates squares measure allowed to figure as they select with nominal or no
interference. Per analysis, this type of leadership has been systematically found to be the
smallest amount satisfying and least effective management vogue.
EMPLOYEE PERFORMANCE
There is no general, overarching theory concerning employee performance. The effectiveness
with that organizations manage, develop and stimulate their employees is a
crucial cornerstone for the way organizations perform. Owing
to this, folk’s management includes a vital impact on performance. Performance will
be copied back to the behavior of individuals on the workplace. Employees add an
explicit means or behave during a means that contributes to (the goals of) the organization
(Kirkpatrick, Revankar et al. 1998) Impact of People Management Practices on
Business Performance, Institute of Personnel and Development, (Majewska, Demirgo et al.
1990)
Employee performance as the ability of any employee to successfully and efficiently perform
the duties and tasks assigned to him or her within the organization. In addition, Armstrong
argues that employee performance is not just a matter of only what a group of employees
(teams) or an individual employee achieves in regard to the set goals and targets but it also
has to do with how the employees or an individual employee is willing and motivated to
uphold and promote the values of the organization. Top managers and directors are assigned
with the duty of evaluating the employee performance of each staff member on an annual or
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quarterly basis and identify gaps for improvement and they come up with strategies in
collaboration with the employees on how they can work on the gaps.
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Therefore, it's within the interest of organizations to eliminate negative factors
that hamper worker performance so as to foster a positive geographic point setting or a
positive organizational culture (Nag, Singh et al. 2011)
EFFECTS OF LEADERSHIP DESIGNS ON WORKER PERFORMANCE
The leadership styles can improve or lessen the level of employees’ performance working
under his direct auspices. To what extent, this relationship is effective with respect to
transformational or transactional leadership is the main theme of the present study. There are
certain complexities in expounding the level of performance as it is a multi-dimensional
phenomenon which should be elaborated carefully. The main theme of the performance rests
upon the interdependence of the several parameters those which are inter-related rather
strongly linked with each other. In the current study, the main parameters with respect to
performance (dependent) are the leadership styles (transformational & transactional) and the
personal attributes namely the demographics. All these, provide a strong basis to build up the
performance and in turn, the output on the part of the employees in the institutions.
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METHODOLOGY
MEASURES:
All scales used in this data analysis were ranked from 1 (strongly disagree) to 5 (strongly
Agree). Then the data is entered into pls software for analysis, and the analysis showed the
following results:
TABLE 1:
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Table one showed that there is a factor loading and the composite reliability of these
variables and average variables of these extracts according to that model. And findings reveal
that the factors indicators are greater than 0.20 which exist in diagram.
Table 2:
This table shows that indicators exist in discriminatory validity and its shows that this is
greater than the other to define the ratio of these variables.
Variables EP OC LS
Apparent leadership 0.556
Development process 0.140
Innovation procedure 0.185
Table 3:
Mediation Analysis:
Hypothesi Relationship Sample (STDEV) T Lower Upper Decision
s Mean Statistics Limit Limit
(M)
LS -> OC->EP Supported
H3 -0.153 0.767 1.536 -0.177 -0.005
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LIMITATIONS AND DELIMITATIONS
Limitations are those characteristics of a study design or methodology that set parameters on
the application or interpretation of the results of the study. Although this study has made
several contributions yet it has a few inherent limitations as well.
1. First is, though the consequences of the study are significant for telecom sector in
developing countries that outlook the specific setting in which the study was directly
bounded by the direct generalizability of results in other sectors.
2. Another restriction to this study is the possibility of the existence of self-report bias where
employees are likely to respond positively on their own knowledge, beliefs and skills.
3. The study also includes restriction arising from the use of cross-sectional data inherent in
this approach. Cross-sectional data only provides a snapshot of the outcomes and the
situation may produce different results if studied in another time-frame.
Delimitations raise to all those voluntary restrictions that surely define and state the frontier
of a research study with regard to its scope. The present study has drawn its scope in the
following ways:
As the area of interest, only telecom sector in Pakistan are used in this study to examine their impact
on employee’s performance.
ETHICAL CONSIDERATIONS:
The participation in this study would be completely charitable, which may end at any time within the
survey by the negation of the respondents are as follows:
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DISCUSSION AND CONCLUSION
This study indicated that there is a positive relation between presenters and workers expectation to
H1.The situation is energetic, so stress also increases. Lacking job satisfaction of employees, lack of
attentiveness and commitment. Second hypothesis of this research was to evaluate the relationship
between workplace friendship and workers expectation. The findings shown that employee
performance has positive relationship with workplace. Study summed up there is a positive and
relationship between workplace friendship and there expectations, so H3 accepted.
The study also showed that employee’s performance plays an important facilitating character in
understanding how workplace attire and workers performance to H4.Employees with unexpected
performances which others see and influenced by their efforts.
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