FACTORS AFFECTING EMPLOYEES’ PERFORMANCE AT ZEMEN BANK S.C

Abstract

The purpose of this research was to examine the factors affecting employees’ job performance at Zemen Bank S.C. The data gathered from Head Office, Addis Ababa city branches and kiosks clearly reveals that in implementing training, motivation, leadership, organizational culture and working environment the bank faced a problem of formal follow up after training was conducted; inequitable salary and unfair promotion were observed and limitation in participating employee in decision making were also exhibited. The research has employed quantitative research approach specifically it makes use of cross sectional survey method. To make the sample more representative of the stratum it has it has employed sample size determination table and stratified method. Descriptive and inferential statistics of correlation and regression analysis were used to analyze the empirical data. Primary data were collected using five Point Likert-Scale questionnaires and of the 80 copies of questionnaire were distributed, 78 of them were properly filled and returned. SPSS was used to analyze empirical data collected through the close ended questionnaire. The independent variables are training, motivation, leadership, organizational culture and working environment whereas the dependent variable is employees’ job performance. The mean, frequency and percentile of the dependent and independent variables were computed and interpreted. Pearson correlation Coefficient (r) was used to determine the relationship between each independent variable with the dependent variable. The correlation result indicated that there were positive relationship between Motivation, Leadership and Organizational culture with employees’ performance, rejecting all null hypotheses. This implies that any increase or decrease on the Motivation, Leadership and Organizational culture will bring corresponding change on employees’ job performance. Whereas Training and Working Environment have no positive relationship with employees’ job performance which confirms the null hypothesis. And it is found that the total independent variables has a 32% influence on the dependent variable while the remaining 68% is influenced by factors which are not covered in this study. Hence, the Zemen Bank should periodically review its practice on motivation, leadership and organizational culture, in order to improve employees’ job performance