DETERMINANTS OF EMPLOYEE PERFORMANCE IN MANUFACTURING SECTOR: THE CASE OF EPHARM

Abstract

The purpose of the study is to assess effects of determinants factors (i.e. training motivation, leadership, organizational culture, and working environment) affecting employees’ performance in manufacturing sector in the case of EPHARM. A quantitative research approach with using self-administered structured questionnaire was employed. The researcher employed both descriptive and explanatory research design. A simple random sampling was used. A total of 160 responses were collected and analyzed using descriptive and inferential statistics such as mean, correlation, and regression by using SPSS version 23 as statistical tool. The result of the study showed that all five determinants of employee performance have above average mean score from the Likert scale 1 to 5. Employee performance also found to have a mean score of 4.1574. The Pearson correlation analysis result showed that there is a positive and statistically significant relationship between the determinant factors and employee performance. Organizational culture was found to be highly correlated to employee performance (0.449) followed by working environment (0.442), leadership (0.439), and motivation (0.307) and training (0.150). The study showed that 29.3% variation on the employee performance was explained by the variability of the five determinants. The result also showed that organizational culture plays the most important predictor role on employee performance followed by working environment and leadership. The study concluded that organizational culture, working environment and leadership positively influenced employee performance at EPHARM and 29.3% variation on the employee performance was explained by the five determinants of employee performance. The researcher recommends the organization to need to focus on the determinant factors to enhance employee performance.