Carlvin MBA project

ROLE OF ORGANISATIONAL CULTURE ON EMPLOYEE PERFORMANCE:

A CASE STUDY OF POSTAL CORPORATION OF KENYA

CARLVIN S.E MASAKHALIA

A RESEARCH PROJECT SUBMITTED TO THE DEPARTMENT OF COMMERCE

AND ECONOMICS IN THE COLLEGE OF HUMAN RESOURCE AND DEVELOPMENT

IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE AWARD OF A

MASTERS OF BUSINESS ADMINISTRATION DEGREE JOMO KENYATTA

UNIVERSITY OF AGRICULTURE AND TECHNOLOGY

FEBRUARY 2015

DECLARATION

This project is my original work and has not been presented for a degree in any other any other

University.

CARLVIN S.E MASAKHALIA

REG NO: HD333-C005-2820/2011

……………………………………………………… ………………………………

Signature Date

This project has been submitted for examination with my approval as University Supervisor.

DR. FRED MWIRIGI MUGAMBI

……………………………………………………. ………………………………..

Signature Date

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DEDICATION

This work is dedicated to my dearest late mother Edith Phylys Ogeng’o your prayers, love,

encouragement and inspiration have brought me this far. Indeed there is nothing as sweet and

pure as a mother’s love. Thanks a lot and may God bless you through eternity. My sincere

gratitude to my loving wife Cecilia for being there for me at all times. I cannot count the number

of times you have been there for me. Your love, guidance and sacrifice has seen me this far. My

best friends Edwin Okumu and Humphrey Ademba: You have been my brothers from another

mother and the most practical people I have ever met in my life. Thank you.

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ACKNOWLEDGEMENT

I am most sincerely grateful to God for the opportunity, knowledge, strength and health given to

me to conduct this research project. I earnestly believe that it would be useful not only for Postal

Corporation of Kenya but also other organizations at large. I am really indebted to so many who

helped me to make this research a success in particular my supervisor Dr Mugambi for the

dedicated and sincere guidance, the HR Manager Mombasa Ms. Fauzia for granting me

permission and freely introducing me to the organization, the human resource department staff

for spending a lot of time explaining to me about the corporation and the great support offered to

me in terms of communication resources with the staff ,the entire staff of the Mombasa for your

cooperation, clarifications and responses this would not be possible without you. I also gratefully

remember my dedicated lecturers Dr Otieno, Dr Kerongo, Mr. Adet, Mr. Njoroge, Mrs. Datche

and all others for their steadfast support and guidance in completing of my course work and this

research work. I sincerely thank you all for granting me the knowledge that I have used in this

study and forever in my career. Last but not least, I gratefully remember everyone who helped in

any way in this research as well as in my studies at the university.

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ABSTRACT

Organization culture refers to the specific collection of values and norms that are shared by

people and groups in an organization that control the way they interact with each other and with

stakeholders outside the organization. This study was based on the fact that organization culture

is a key component in every organization especially in strategic management. The study aimed to

understand the role of organization culture on employee performance. There is little doubt

among experts that a relationship exists between organization culture and employee performance

however there has been very little empirical research that exists to support this. The study was

conducted at PCK one of the largest state firms with branches all over the country. This study

also aimed particularly to investigate how organization culture can be useful in improving

employee performance. Specific objectives of the study were examining the elements of

organization culture such as control systems, ritualism, routines, symbols, stories and myths in

relation to how they affect employee performance in. To achieve this aim the research

methodology adopted a descriptive research design. This is usually useful in assessing attitudes

and opinions about events, individuals or procedures. The target population of the study was the

entire staff of PCK. However, due to resource and time constraints the sample frame used in the

methodology only targeted the GPO Mombasa staff. To reduce bias, increase accuracy and

ensure equal representations the study used cluster random sampling as well as purposive

sampling in the sample design. The main research instruments for the study were questionnaires

although observations and record analysis were also used to collect data. Responses gathered

were represented by pie charts, line charts and bar graphs. Data processing and analysis involved

use of SPSS Statistics version 22.0.0.0 that was used to compute percentiles, means, variance

and distributions from the responses gathered. Conclusions found that indeed the various

elements of organization culture: control systems, ritualism, routines, symbols, stories and myths

all play a role in influencing employee performance. Therefore the study recommends that PCK

and other firms both in private and public practice need to appreciate, monitor and recognize the

role organization culture has on employee performance.

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TABLE OF CONTENTS

Page

DECLARATION..............................................................................................................................ii

DEDICATION................................................................................................................................ iii

ACKNOWLEDGEMENT...............................................................................................................iv

ABSTRACT.......................................................................................................................................v

LIST OF TABLES...........................................................................................................................xi

LIST OF FIGURES........................................................................................................................xii

DEFINITION OF TERMS...........................................................................................................xiv

ACRONYMS...................................................................................................................................xv

CHAPTER ONE: INTRODUCTION.............................................................................................1

1.1Background..................................................................................................................................1

1.2 Statement Of The Problem........................................................................................................5

1.31 General Objective.....................................................................................................................6

1.32 Specific Objective......................................................................................................................6

1.4 Research Questions....................................................................................................................7

1.5 Justification Of The Study.........................................................................................................7

1.6 Scope Of Study............................................................................................................................8

1.7 Limitations Of Study..................................................................................................................8

CHAPTER TWO: LITERATURE REVIEW................................................................................9

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2.1 Introduction.................................................................................................................................9

2.2 Theoritical Framework.............................................................................................................9

2.3 Conceptual Framework............................................................................................................13

2.3.1 Employee performance..........................................................................................................14

2.3.2 Control Systems.....................................................................................................................16

2.3.3 Rituals.....................................................................................................................................18

2.3.4 Organisational Symbols.......................................................................................................20

2.3.5 Stories & Myths......................................................................................................................21

2.4 Critique of Existing Literature...................................................................................................22

2.5 Summary of Literature................................................................................................................22

2.6 Research Gaps.............................................................................................................................23

CHAPTER THREE: RESEARCH METHODOLOGY.............................................................24

3.1 Introduction...............................................................................................................................24

3.2 Research Design........................................................................................................................24

3.4 Sample Design And Sample Size.............................................................................................26

3.5 Data Collection..........................................................................................................................27

3.6 Research Instruments...............................................................................................................28

3.7 Pre-Testing Instruments..............................................................................................................28

3.8 Data Processing & Analysis........................................................................................................30

3.9 Data Presentation........................................................................................................................31

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CHAPTER FOUR: RESEARCH FINDINGS AND DISCUSSION.........................................32

4.1 Introduction.................................................................................................................................32

4.2.1 Findings on Gender..................................................................................................................32

4.2.2 Findings on Designation..........................................................................................................33

4.2.3 Findings on Departments.........................................................................................................34

4.2.4 Findings on Duration Of Employment....................................................................................35

4.2.5 Findings on Education Background.........................................................................................36

4.2.6 Findings on Performance Management...................................................................................37

4.2.7 Findings on Budgets................................................................................................................38

4.2.8 Findings on Financial Reporting..............................................................................................39

4.2.9 Findings on Renumeration/Rewards........................................................................................40

4.2.10 Findings on Quality Systems.................................................................................................41

4.2.11 Findings on Training..............................................................................................................42

4.2.12 Findings on Survey of Employees.........................................................................................43

4.2.13 Findings on psychological dynamics behind the culture &control systems..........................44

4.2.14 Findings on Survey of Customers..........................................................................................45

4.2.15 Findings on feedback, rewards and levels of risk..................................................................45

4.2.16 Findings on rites of passage...................................................................................................46

4.2.17 Findings on rites of degradation............................................................................................47

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4.2.18 Findings on rites of enhancement, public recognition for employee’s accomplishments.....48

4.2.19 Findings on rites of renewal improving existing social structures........................................48

4.2.20 Findings on conflict reduction...............................................................................................49

4.2.21 Findings on job routines, operations (daily, weekly, monthly & annually) & work

Procedures.........................................................................................................................................50

4.2.22 Findings on visual representations of the organization..........................................................51

4.2.23 Findings on offices, building layout and office allocations...................................................52

4.2.24 Findings on status symbols or the apparent lack of them......................................................53

4.2.25 Findings on organization facilities, furnishing and plant & machinery.................................54

4.2.26 Findings on dress code whether formal or informal..............................................................55

4.2.27 Findings on how each person visibly interacts with each other and outsiders......................56

4.2.28 Findings on visible awards and recognition...........................................................................57

4.2.29 Findings on members of the organization being regarded as role models.............................58

4.2.30 Findings on whether stories and myths in the organization affect performance..................59

4.2.31 Findings on stories especially suited to tie members of the group together..........................60

4.2.32 Findings on stories used to propagate the managements philosophy among employees......61

4.2.33 Findings on stories conveying the interpersonal norms that govern an organization............62

4.2.34 Findings on stories maintaining and legitimizing institutional arrangements.......................63

4.2.35 Findings on mythical stories of creation of the organization & challenges ..........................64

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CHAPTER FIVE: CONCLUSION AND RECOMMENDATIONS.........................................65

5.1 Introduction.................................................................................................................................65

5.2 Summary of major findings........................................................................................................65

5.2.1 Control systems........................................................................................................................65

5.2.2 Rituals......................................................................................................................................66

5.2.3 Organization symbols..............................................................................................................67

5.2.4 Stories, myths...........................................................................................................................68

5.3 Conclusion..................................................................................................................................69

5.3.1 Demographic factors and employee performance...................................................................69

5.3.2 Control systems........................................................................................................................69

5.3.3 Rituals .....................................................................................................................................70

5.3.4 Organization symbols..............................................................................................................71

5.3.5 Stories, myths..........................................................................................................................71

5.4Recommendations........................................................................................................................72

REFFERENCES...............................................................................................................................74

APPENDIX I: INTRODUCTION LETTER TO RESPONDENTS.................................................78

APPENDIX II: QUESTIONNAIRE.................................................................................................79

APPENDIX III: WORK PLAN........................................................................................................85

APPENDIX IV: BUDGET...............................................................................................................86

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LIST OF TABLES

Page

Table 3.1 :Target Population.............................................................................................................25

Table 3.2: Sample Design & Sample Size........................................................................................27

Table 4.1: Designation......................................................................................................................33

Table 4.2: Education Background.....................................................................................................36

Table 4.3: Financial Reporting ........................................................................................................39

Table 4.4:Training.............................................................................................................................42

Table 4.5 : Survey of employees.......................................................................................................43

Table 4.6: Survey of customers .......................................................................................................45

Table 4.7: Feedback rewards and levels of risk................................................................................45

Table 4.8: Rites of renewal improve existing social structure..........................................................48

Table 4.9: Job routines/ operations and work procedures.................................................................50

Table 4.10: Status symbols or apparent lack of them...................................................................... 53

Table 4.11: Dress code whether formal or informal ........................................................................55

Table 4.12: Visible awards and recognition.....................................................................................57

Table 4.13: Stories especially suited to tie members of the organization together ..........................60

Table 4.14: Stories conveying interpersonal norms that govern an organization.............................62

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LIST OF FIGURES

Page

Figure 2.1: Cultural Web..................................................................................................................10

Figure 2.2: The Conceptual Frame Work.........................................................................................13

Figure 2.3:Graphical View the Difference Btw Performance Appraisal & Management ..............14

Figure 4.1:Gender............................................................................................................................32

Figure 4.2: Department.....................................................................................................................34

Figure 4.3: Duration of Employment................................................................................................35

Figure 4.4: Performance Management..............................................................................................37

Figure 4.5: Budgets...........................................................................................................................38

Figure 4.6 :Renumeration/Rewards..................................................................................................40

Figure 4.7: Quality Systems..............................................................................................................41

Figure 4.8: Psychological dynamics behind culture manifested result of control systems..............44

Figure 4.9: Rites of passage: employees moving to new roles.........................................................46

Figure 4.10: Rites of degradation: employees powers taken away from them.................................47

Figure 4.11: Rites of enhancement: public recognition for an employee’s accomplishments.........48

Figure 4.12: Rites of conflict reduction resolve arguments btw certain members or groups...........49

Figure 4.13: Visual representations of company .............................................................................51

Figure 4.14: Offices; building layout and office allocations............................................................52

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Figure 4.15: Organization facilities furnishing equipment plant and machinery.............................54

Figure 4.16: How each person visible interacts with each other & organizational outsiders...........56

Figure 4.17: Members of the organization regarded as role models.................................................58

Figure 4.18: Do stories and myths in the organization affect level ofperformance..........................59

Figure 4.19:Stories used to propagate the managements philosophy among employees.................61

Figure 4.20: Stories maintaining and legitimizing institutional arrangements.................................63

Figure 4.21: Mythical stories of creation of the organization & challenges ...................................64

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DEFINITION OF TERMS

Congruent: This is something that agrees with or is in harmony with another (Baumeister, 1997).

Culture: The integrated pattern of human behavior that includes thought speech, action and

artifacts and depends upon the human capacity for learning and transmitting knowledge to

succeeding generations (Adkins & Caldwell, 2004).

Minions: Someone who is not powerful or important and who obeys the orders of a powerful

leader or boss (Cindy, 2008).

Myths: A traditional story, especially one concerning the early history of a people or explaining

some natural or social phenomenon and typically involves supernatural beings or events (Gabriel,

1991).

Norms: A principle of right action binding upon the members of a group and serving to guide,

control or regulate proper and acceptable behavior (Cooke, 1987).

Paradigm: A framework containing the basic assumptions, ways of thinking and methodology that

are commonly accepted by members of a community, such a cognitive framework shared by

members of any discipline or group (Denison, 1990).

Paradoxical: A statement that seems to contradict itself but nonetheless be true (Hofstede, 2001).

Perpetuate: An action that causes something to continue or prevail (Fred, Allan, & Ornstein, 2011).

Symbols: Things that represents or stands for something else especially a material object

representing something abstract (Ouchi & Johnson, 1978).

Systems: A way of working, organizing or doing something which follows a fixed plan or set of

rules (Irving, 1972).

Tacit: Agreeing to something or approving it without actually saying so, often because they are

unwilling to admit to doing so (Becky, 2007).

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ACRONYMS

GPO - General Post Office

HR - Human Resource

IBM - International Business Machines

JKUAT - Jomo Kenyatta University of Agriculture and Technology

Ms - Microsoft

OCP - Organization culture Profile

OCAI - Organizational Culture Assessment Instrument

PCK - Postal Corporation of Kenya

SPSS - Statistical Package for the Social Sciences

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CHAPTER ONE

INTRODUCTION

1.1 Background

1.1.1 Organizational Culture

Cooke (2010) defines culture as the behaviors that members believe are required to fit in and

meet expectations within their organization. Organizational culture is reflected in the way people

perform tasks, set objectives, and administer the necessary resources to achieve objectives.

Culture affects the way individuals make decisions, feel, and act in response to the opportunities

and threats affecting the organization.

Strong culture is said to exist where staff respond to stimulus because of their alignment to

organizational values. In such environments, strong cultures help firms operate like well-oiled

machines, engaging in outstanding execution with only minor adjustments to existing procedures

as needed. Conversely, there is weak culture where there is little alignment with organizational

values, and control must be exercised through extensive procedures and bureaucracy. Research

shows that organizations that foster strong cultures have clear values that give employees a

reason to embrace the culture. A "strong" culture may be especially beneficial to firms operating

in the service sector since members of these organizations are responsible for delivering the

service and for evaluations important constituents make about firms.

Cooke (2010) describes that organizations may derive the following benefits from developing

strong and productive cultures: better aligning the company towards achieving its vision,

mission, and goals, high employee motivation and loyalty, increased team cohesiveness among

the company's various departments and divisions, promoting consistency and encouraging

coordination and control within the company and shaping employee behavior at work, enabling

the organization to be more efficient

Irving (1972) defined group thinking as a quick and easy way to refer to a mode of thinking that

people engage when they are deeply involved in a cohesive in-group, when the members'

strivings for unanimity override their motivation to realistically appraise alternatives of action.

Where culture is strong, people do things because they believe it is the right thing to do, and

there is a risk of another phenomenon, group thinking. This is a state in which even if they have

different ideas, do not challenge organizational thinking, and therefore there is a reduced

capacity for innovative thoughts. This could occur, for example, where there is heavy reliance on

a central charismatic figure in the organization, or where there is an evangelical belief in the

organization' values, or also in groups where a friendly climate is at the base of their identity

(avoidance of conflict). In fact, groupthink is very common and happens all the time, in almost

every group. Members that are defiant are often turned down or seen as a negative influence by

the rest of the group because they bring conflict. Innovative organizations need individuals who

are prepared to challenge the status quo, groupthink or bureaucracy, and need procedures to

implement new ideas effectively.

Organizations should strive for what is considered a healthy organizational culture in order to

increase productivity, growth, efficiency and reduce counterproductive behavior and turnover of

employees. A variety of characteristics describe a healthy culture, including: acceptance and

appreciation for diversity, regard for and fair treatment of each employee as well as respect for

each employee’s contribution to the company, employee pride and enthusiasm for the

organization and the work performed, equal opportunity for each employee to realize their full

potential within the company, strong communication with all employees regarding policies and

company issues, strong company leaders with a strong sense of direction and purpose, ability to

compete in industry innovation and customer service, as well as price, lower than average

turnover rates (perpetuated by a healthy culture) and investment in learning, training, and

employee knowledge

Additionally, performance oriented cultures have been shown to possess statistically better

financial growth. Such cultures possess high employee involvement, strong internal

communications and an acceptance and encouragement of a healthy level of risk-taking in order

to achieve innovation. Also, organizational cultures that explicitly emphasize factors related to

2

the demands placed on them by industry technology and growth will be better performers in their

industries. According to Kotter (1992), organizations with adaptive cultures perform much better

than organizations with unadaptive cultures. An adaptive culture translates into organizational

success; it is characterized by managers paying close attention to all of their constituencies,

especially customers, initiating change when needed, and taking risks. An unadaptive culture can

significantly reduce a firm's effectiveness, disabling the firm from pursuing all its

competitive/operational options.

1.1.2 History of the Postal Corporation of Kenya

Postal Corporation of Kenya is one of the leading state corporations with a large network base

across the country. It was created in line with government goals of the liberalization of the

communications sector, the Communications Act of 1998 marked a major milestone in the

development of the sector. The then giant Kenya Posts and Telecommunications Corporation

split into three entities separately responsible for Postal and telecommunications development, as

well as regulatory functions. These are Postal Corporation of Kenya, Telkom Kenya Limited and

the Communications Commission of Kenya. Except for a few reserved areas including provision

of letter boxes and production of postage stamps, this has led to opening the postal sub-sector to

full competition. This is particularly evident in the courier and financial services portfolios.

As a result of the above circumstances, Postal Corporation of Kenya is wholly state owned

enterprise created by an Act of Parliament in 1998 to provide postal, financial and distribution

services as a public postal licensee. Since inception in 1999, Postal Corporation of Kenya is the

only entity charged with the provision of universal service obligations in fulfillment of United

Nations declaration on the right to basic communications services as a human right.

The Postal history in Kenya dates from the early years of the 17th century. A Portuguese

governor was appointed in Mombasa in 1592 and official correspondence between the town and

the outside world has been recorded from 1610 onwards, carried by ship to Arabia and India and

transmitted to Europe by the overland route. Early letters from the interior of Kenya date from

about 1848 when the missionaries sent their correspondence by native runners to the Coast for

onward transmission. By 1877 some letters from Coast were being taken north from Lamu to

3

Aden by ships of the British Steam Navigation Company, although the bulk of mail was being

transmitted via Zanzibar.

Postal Corporation of Kenya is steered by a Board of Directors appointed by the Government of

Kenya as the sole shareholder. Under the leadership of a chairman, also appointed by the

Government the board is charged with the responsibility of strategically guiding the entity. On

the management side, the organization is headed by a Chief Executive Officer under the title

Postmaster General. He reports to the board. The key departments of PCK are Mails, Courier and

Financial Services supported by the following Support departments; Logistics and Facilities

Management, Finance and Strategy, Human Resources Development and Management,

Information and Communications Technology, Legal & Marketing and Customer Service.

The state corporation has had several transformations to keep up with the market dynamics.

These include diversifying their products and services to include modern technology for instance

Posta Pay, the corporations rebranding and change of its logo is an epitome of these

transformations. In view of the rapid changes in the communications sector, the board and

management of PCK are continuously reviewing strategy to give better focus on the

corporation`s major revenue drivers that revolve around three areas: Financial, courier and mail

services. Changes in strategy have an impact on the organization culture and this will affect the

employees during implementation of the policies. In 2003, the Corporation initiated a major

restructuring exercise to transform the organization through scanning the business environment

and implementing strategies that would make it respond appropriately to market dynamics. The

key initiatives are captured in the 2003-2007 Corporate Strategic Plan.

4

1.2 Statement of the Problem

Despite organization culture being an important element in strategic management, most

organizations and even scholars have not been a keen to look at its influence on employee

performance. In the recent past, several private firms and state corporations for instance Postal

Corporation of Kenya has endeavored to improve their performance engaging in major restructuring

and reforms initiatives with little focus on the significant role organization culture plays in a firm.

Unfortunately these reforms have yielded very little fruit and these firms continue to struggle. As a

matter of fact, in 2012 Postal Corporation of Kenya did lay off several hundreds of its employees

due to the high wage bill it could not sustain despite having rebranded and restructured the previous

year. Notably, the reforms and rebranding programs had not involved change or improvements of

the organizational values, visions, norms, working language, systems, symbols, beliefs and habits

which all remained the same. Consequently, Postal Corporation of Kenya continues to struggle

losing out to its competitors the new entrant’s courier firms like G4S and bus companies like

Modern coast who also offer similar services. However, before blaming the management on failing

to focus on the significant role of organization culture on employee performance, it is important to

note that role organization culture plays on performance of employees of a firm and firms as a

whole still is not very apparent.

One of the strongest and widely recognized criticisms of theories about organization culture attempt

to categorize or pigeon hole it uses the metaphor of a plant root. Plant root is used to represent

culture, describing that it drives organizations rather than vice versa creating a further argument of

what drives the other. Definitely, there is little doubt among experts that a relationship exists

between organization culture and employee performance however, there has been very little

empirical research that exists to support and draw clear conclusions about it. Research about the

specific elements on organization culture such as control systems, rituals, routines, symbols, stories

and myths and how the each and every individual aspect relates to employee performance are very

few. A research that looks at how these specific elements of organization culture relate and affect

employee performance would provide useful knowledge that will clear any doubt of the role of

organization culture has on employee performance. Further, although organizations are the product

5

of organizational culture, we are unaware of how it shapes behavior and interaction recognized

through underlying assumptions and challenged how can we categorize it and define what it is.

Moreover today, organization culture not only affects people’s way of perception, thinking and

feeling but also decision making. For instance, hiring on the basis of culture is not a new practice

although the contrast firing is recent. Corporations such as Zappos and Netflix in the U.S also fire

based solely on cultural fit of an employee. This raises management arguments; while critics dispel

such decisions on discrimination grounds management pundits argue there is clearly no

discrimination. They claim that such employees do not accept and desire to be inclusive for the

culture of the organization and thus they do not fit in corporate culture. Uncertainties of this nature

about organization culture can be resolved and put to rest from an empirical study of its role on

employee performance in Postal Corporation of Kenya.

1.3 Objectives

1.3.1 General Objective

The general objective of the study is to investigate the role of organizational culture on employee

performance.

1.3.2 Specific Objectives

The specific objectives of the study are as follows:

1. To examine the relationship between control systems and employee performance in Postal

Corporation of Kenya.

2. To determine the influence of rituals on employee performance in Postal Corporation of Kenya.

3. To examine the relationship of organization symbols and employee performance in Postal

Corporation of Kenya.

4. To investigate the influence of stories, myths on employee performance in Postal Corporation of

Kenya.

6

1.4 Research Questions

The research questions of this study are as follows:

1. How do control systems affect employee performance in Postal Corporation of Kenya?

2. How do rituals influence employee performance in Postal Corporation of Kenya?

3. How do organization symbols affect employee performance in Postal Corporation of Kenya?

4. How do stories, myths influence and employee performance in Postal Corporation of Kenya?

1.5 Justification of The Study

Organizational culture is a very important aspect in any organization and may impact the level of

employee creativity, the strength of employee motivation, and the reporting of unethical behavior

and therefore it cannot be ignored or taken lightly. Adkins & Caldwell (2004) found that job

satisfaction was positively associated with the degree to which employees fit into both the

overall culture and subculture in which they worked. A perceived mismatch of the organization’s

culture and what employees felt the culture should be is related to a number of negative

consequences including lower job satisfaction, higher job strain, general stress, and turnover

intent.

The study is useful to Postal Corporation of Kenya and other similar organizations especially

when undergoing transformations to gain competitive advantage ahead of their competitors. Key

stakeholders of the corporation and other firms such the Government of Kenya, owners, top

management, middle managers, section heads and supervisors can use the findings in decision

making and management to enhance employee performance. The study also useful to researchers

and experts aims to clear doubt whether or not a relationship exists between organization culture

and employee performance since very little empirical research exists to support this.

7

1.6 Scope of Study

The study covered entire Postal Corporation of Kenya which forms the population for the study.

The state corporation has several branches in the country however due to limitations of time and

resources the study was done only at the GPO Mombasa branch located along Digo Road. The

research was cross-sectional covering all departments. The organization has a functional

organization structure consisting of the several departments as: human resource, accounts, sales,

operations, information technology and transport/logistics. The study also covered the support

staff and messengers in order to ensure it is fully representative and provided accurate findings

on the role of organizational culture on employee performance management for the entire

corporation.

1.7 Limitations of the Study

The limitations of this study are mainly time and financial resources. Research projects are time

consuming. However, being a student and working at the same time constrained the time

available to conduct the study. I was also the sole source of funds for this research project this

limited the research methodology that was conducted. Lastly, the availability of some employees

to be interviewed was a challenge since most field officers travel away from the office most

times.

8

CHAPTER TWO

LITERATURE REVIEW

2.1 Introduction

This chapter describes the literature review. It discusses the theoretical framework, cultural web,

models and various types of organization culture, the relationship between organization culture

and employee performance, the conceptual framework, summary of the existing literature,

critique of existing literature and the research gaps.

2.2 Theoretical Framework

2.2.1 Cultural Web

Ravasi & Schultz (2006), state that organizational culture is a set of shared mental assumptions

that guide interpretation and action in organizations by defining appropriate behavior for various

situations. Organizational culture is the collective behavior of humans who are part of an

organization and the meanings that the people attach to their actions. Culture includes the

organization values, visions, norms, working language, systems, symbols, beliefs and

rituals/habits (Schultz, 2006). It is also the pattern of such collective behaviors and assumptions

that are taught to new organizational members as a way of perceiving, and even thinking and

feeling.

9

Figure 2.1: Cultural Web

Source: Researcher, 2014

A cultural web identifies a number of elements that can be used to describe or influence

organizational culture as follows (Johnson, 1988): The Paradigm, this represents what the

organization is about; what it does; its mission; its values. Control Systems represents the

processes in place to monitor what is going on.

Organizational Structures describe reporting lines, hierarchies, and the way that work flows

through the business. Power Structures focuses on who makes the decisions, how widely spread

is power, and on what is power based on. Symbols represent organizational logos and designs,

but also extend to symbols of power such as parking spaces and executive washrooms (Johnson,

1988).

Rituals and Routines describe management meetings; board reports and so on may become more

habitual than necessary. Stories and Myths describe build up about people and events, and

convey a message about what is valued within the organization. Johnson (1988), these elements

may overlap for instance power structures may depend on control systems, which may exploit

the very rituals that generate stories which may not be true.

10

2.2.2 Schein Model Of Organizational Culture

Schein (2009), Deal & Kennedy (2000), Denison (1990) and many others state that organizations

often have very differing cultures as well as subcultures. Several methods have been used to

classify organizational culture. While there is no single "type" of organizational culture and

organizational cultures vary widely from one organization to the next, commonalities do exist

and some researchers have developed models to describe different indicators of organizational

cultures.

According to Schein (1992), culture is the most difficult organizational attribute to change,

outlasting organizational products, services, founders and leadership and all other physical

attributes of the organization. His organizational model illuminates culture from the standpoint

of the observer, described by three cognitive levels of organizational culture. The first and most

cursory level of model is organizational attributes that can be seen, felt and heard by the

uninitiated observer collectively known as artifacts (Schien, 1992).

Schein (1992) describes artifacts as the tangible aspects of culture shared by members of an

organization. Included are the facilities, offices, furnishings, visible awards and recognition, the

way that its members dress, how each person visibly interacts with each other and with

organizational outsiders, and even company slogans, mission statements and other operational

creeds. Artifacts comprise the physical components of the organization that relay cultural

meaning. Schein (1992), verbal behavioral and physical artifacts are the surface manifestations

of organizational culture. Language, stories, and myths are examples of verbal artifacts and are

represented in rituals and ceremonies. Rituals, the collective interpersonal behavior and values as

demonstrated by that behavior, constitute the fabric of an organization's culture. The contents of

myths, stories, and sagas reveal the history of an organization and influence how people

understand what their organization values and believe.

The next and the second level of the model are the shared values (Schien, 1992). This deals with

the professed culture of an organization's members. Shared values are individuals’ preferences

regarding certain aspects of the organization’s culture for instance loyalty and customer service.

11

At this level, local and personal values are widely expressed within the organization. Basic

beliefs and assumptions include individuals' impressions about the trustworthiness and

supportiveness of an organization, and are often deeply ingrained within the organization’s

culture (Schien, 1992). Organizational behavior at this level usually can be studied by

interviewing the organization's membership and using questionnaires to gather attitudes about

organizational membership.

The third and deepest level, the organization's tacit assumptions are found (Schien, 1992). These

are the elements of culture that are unseen and not cognitively identified in everyday interactions

between organizational members. Additionally, these are the elements of culture which are often

taboo to discuss inside the organization. Many of these 'unspoken rules' exist without the

conscious knowledge of the membership. Those with sufficient experience to understand this

deepest level of organizational culture usually become acclimatized to its attributes over time,

thus reinforcing the invisibility of their existence (Schien, 1992). Surveys and casual interviews

with organizational members cannot draw out these attributes rather much more in-depth means

is required to first identify then understand organizational culture at this level. Notably, culture at

this level is the underlying and driving element often missed by organizational behaviorists.

This model, helps to make paradoxical organizational behaviors becomes more apparent (Schien,

1992). For instance, an organization can profess highly aesthetic and moral standards at the

second level of the model while simultaneously displaying curiously opposing behavior at the

third and deepest level of culture. Superficially, organizational rewards can imply one

organizational norm but at the deepest level imply something completely different. This insight

offers an understanding of the difficulty that organizational newcomers have in assimilating

organizational culture and why it takes time to become acclimatized. It also explains why

organizational change agents usually fail to achieve their goals: underlying tacit cultural norms

are generally not understood before would-be change agents begin their actions (Schien, 1992).

12

2.3 Conceptual Framework

INDEPENDENT VARIABLES DEPENDENT VARIABLE

Figure 2.2 Conceptual Framework

13

Control Systems

Rituals

Organization Symbols

Employee Performance

Stories, Myths

2.3.1 Employee Performance

Employee performance management is a process of establishing a shared workforce

understanding about what is to be achieved at an organization level (Cameron & Quinn, 1990).

It is about aligning the organizational objectives with the employees' agreed measures, skills,

competency requirements, development plans and the delivery of results. The emphasis is on

improvement, learning and development in order to achieve the overall business strategy and to

create a high performance workforce

Figure 2.3: Graphical View of the Difference between Performance Appraisal and

Management

Source: (Becky, 2007)

Noe et al. (2000), performance management and performance appraisal are two important

measures of employee performance. Performance Management is used to ensure that employees'

activities and outcomes are congruent with the organization’s objectives and entails specifying

those activities and outcomes that will result in the firm successfully implementing the strategy

(Noe et al. 2000). Performance appraisal properly describes a process of judging past

performance and not measuring that performance against clear and agreed objectives.

14

2.3.1.1 Cameron & Quinn Organization Culture and Performance Model

Cameron & Quinn (1990) made a research on organizational effectiveness and success. Based on

the Competing Values Framework, they developed the Organizational Culture Assessment

Instrument that distinguishes four culture types. Competing values produce polarities like

flexibility vs. stability and internal vs. external focus. These two polarities were found to be most

important in defining organizational success and affect employee performance (Cameron &

Quinn, 1990). The polarities construct a quadrant with four types of culture: clan culture (internal

focus and flexible) describes a friendly workplace where leaders act like father figures;

adhocracy culture (external focus and flexible) describes a dynamic workplace with leaders that

stimulate innovation; market culture (external focus and controlled) describes a competitive

workplace with leaders like hard drivers; hierarchy culture (internal focus and controlled)

describes a structured and formalized workplace where leaders act like coordinators.

Cameron & Quinn (1990) designated six key aspects that will form organizational culture which

can be assessed in the OCAI thus producing a mix of the four archetypes of culture. Each

organization or team will have its unique mix of culture types. Clan cultures are most strongly

associated with positive employee attitudes and product and service quality, whereas market

cultures are most strongly related with innovation and financial effectiveness criteria. The

primary belief in market cultures is that clear goals and contingent rewards motivate employees

to aggressively perform and meet stakeholders' expectations; a core belief in clan cultures is that

the organization’s trust in and commitment to employees facilitates open communication and

employee involvement. These differing results suggest that it is important for executive leaders

to consider the match between strategic initiatives and organizational culture when determining

how to embed a culture that produces competitive advantage (Cameron & Quinn, 1990). By

assessing the current organizational culture as well as the preferred situation, the gap and

direction to change can be made visible as a first step to changing organizational culture.

15

2.3.2 Control Systems

Johnson (1988) describes control systems in the cultural web as the ways that the organization is

controlled. These are systems that are used to observe and monitor various aspects of the

organization will make a significant contribution to shaping the organizational culture. They

include budgets, financial reporting, surveys of customers and employees, training, quality

systems and remuneration/rewards including the way they are measured and distributed within

the organization

Controlling is one of the managerial functions like planning, organizing, staffing and directing

(Weber, 1897). It is an important function because it helps to check the errors and to take the

corrective action so that deviation from standards are minimized and stated goals of the

organization are achieved in a desired manner.

The concept of organizational control is implicit in the bureaucratic theory Weber (1897). The

direction for organizational control comes from the goals and strategic plans of the organization.

General plans are translated into specific performance measures such as share of the market,

earnings, return on investment, and budgets.

The process of organizational control is to review and evaluate the performance of the system

against these established norms. Rewards for meeting or exceeding standards may range from

special recognition to salary increases or promotions. On the other hand, a failure to meet

expectations may signal the need to reorganize or redesign.

2.3.2.1Carmazzi Organization Culture Model on Controls

Carmazzi (2007) describes organizational culture based on how control systems affect the

effectiveness and level of commitment of the people and within that culture. In order to break the

cycle and evolve a culture and the commitment of those in it, leaders need to understand their

role in the psychological dynamics behind the culture and make adjustments that will move it to

the next level. Carmazzi (2007) stated five levels of organizational culture. The Blame culture,

16

this culture cultivates distrust and fear, people blame each other to avoid being reprimanded or

put down, this results in no new ideas or personal initiative because people don’t want to risk

being wrong. Multi-directional culture, this culture cultivates minimized cross-department

communication and cooperation. Loyalty is only to specific groups (departments). Each

department becomes a clique and is often critical of other departments which in turn create lots

of gossip. The lack of cooperation and multi direction is manifested in the organizations

inefficiency (Carmazzi, 2007).

Live and let live culture, this culture is complacency (Carmazzi, 2007). It manifests mental

stagnation and low creativity. People here have little future vision and have given up their

passion. There is average cooperation and communication and things do work, but they do not

grow. People have developed their personal relationships and decided who to stay away from,

there is not much left to learn. Brand congruent culture, people in this culture believe in the

product or service of the organization, they feel good about what their company is trying to

achieve and cooperate to achieve it (Carmazzi, 2007). People here are passionate and seem to

have similar goals in the organization. They use personal resources to actively solve problems

and while they don’t always accept the actions of management or others around them, they see

their job as important. Most everyone in this culture is operating at the level of group.

Leadership enriched culture, people view the organization as an extension of themselves, and

they feel good about what they personally achieve through the organization and have exceptional

cooperation (Carmazzi, 2007). Individual goals are aligned with the goals of the organization and

people will do what it takes to make things happen. As a group, the organization is more like

family providing personal fulfillment which often transcends ego so people are consistently

bringing out the best in each other. In this culture, leaders do not develop followers, but develop

other leaders. Everyone in this culture operates at the same level of organization.

17

2.3.3 Rituals

Johnson (1988) describes rituals and routines as the daily behavior and actions of people that

signal acceptable behavior. This determines what is expected to happen in given situations, and

what is valued by management. Several different kinds of rites that affect organizational culture:

rites of passage: employees move into new roles, rites of degradation: employees have power

taken away from them, rites of enhancement: public recognition for an employee’s

accomplishments, rites of renewal: improve existing social structures, rites of conflict reduction:

resolve arguments between certain members or groups, rites of integration: reawaken feelings of

membership in the organization.

Schein (1985) describes rituals and routines as the third and deepest level, the organization's tacit

assumptions are found. These are the elements of culture that are unseen and not cognitively

identified in everyday interactions between organizational members. Additionally, these are the

elements of culture which are often taboo to discuss inside the organization. Many of these

'unspoken rules' exist without the conscious knowledge of the membership. Those with sufficient

experience to understand this deepest level of organizational culture usually become

acclimatized to its attributes over time, thus reinforcing the invisibility of their existence.

Surveys and casual interviews with organizational members cannot draw out these attributes

rather much more in-depth means is required to first identify then understand organizational

culture at this level. Notably, culture at this level is the underlying and driving element often

missed by organizational behaviorists.

Schein (1985) makes paradoxical organizational behaviors become more apparent. For instance,

an organization can profess highly aesthetic and moral standards at the second level of Schein's

model while simultaneously displaying curiously opposing behavior at the third and deepest

level of culture. Superficially, organizational rewards can imply one organizational norm but at

the deepest level imply something completely different. This insight offers an understanding of

the difficulty that organizational newcomers have in assimilating organizational culture and why

it takes time to become acclimatized. It also explains why organizational change agents usually

fail to achieve their goals: underlying tacit cultural norms are generally not understood before

18

would-be change agents begin their actions. Merely understanding culture at the deepest level

may be insufficient to institute cultural change because the dynamics of interpersonal

relationships (often under threatening conditions) are added to the dynamics of organizational

culture while attempts are made to institute change.

19

2.3.4 Organization Symbols

According to Johnsons (1988) symbols are visual representations of the company. The symbols

prevalent in an organization contribute towards its culture and these include the dress code

whether is it a formal or informal, status symbols or the apparent lack of them for instance

parking places, directors dining room, building layout; how are offices allocated and role

models; which members of the organization are regarded as role models.

Schein (1985) describes symbolism as organizational attributes that can be seen, felt and heard

by the uninitiated observer. Included are the facilities, offices, furnishings, visible awards and

recognition, the way that its members dress, and how each person visibly interacts with each

other and with organizational outsiders.

According to Schein (1992), symbols are important in an organization for 2 reasons; external

adaptation and internal integration. External adaptation reflects an evolutionary approach to

organizational culture and suggests that cultures develop and persist because they help an

organization to survive and flourish. If the culture is valuable, then it holds the potential for

generating sustained competitive advantages.

Internal integration on the other hand is an important function since social structures are

required for organizations to exist. Organizational practices are learned through socialization at

the workplace. Work environments reinforce culture on a daily basis by encouraging employees

to exercise cultural values. Organizational culture is shaped by multiple factors, including the

following: external environment, industry, size and nature of the organization’s workforce,

technologies the organization uses and the organization’s history and ownership.

20

2.3.5 Stories and Myths

Clark (1972), storytelling is an important device of human sense-making. We all tell stories

about things that are important to us, that we think are worth being remembered and shared with

others. Seldom are these stories truly accurate accounts of events. Rather, they are selective

accounts that stress certain aspects while downplaying others, usually in accordance with the role

of the narrator (Baumeister, 1997).

Storytelling pervades the world of modern organizations. As an organizational phenomenon,

storytelling was first described by Selznick (1957) and Clark (1972), but subsequent research

failed to follow up their lead. While myths, legends and fables have for long been a legitimate

object of analysis in anthropology, it was the renewed interest in the concept of culture during

the early 1980s that “rediscovered” storytelling in organizations (Martin, 1982). Unfortunately,

the following wave of publications on organizational stories did not lead to a unifying definition

of organizational stories. Most researchers are rather vague on clarifying what distinguishes

organizational stories from other types of stories. While certain motives may be more prevalent

in organizational stories, the distinction between organizational stories and other types of stories

is not one of content. Rather, the concept of an organizational story usually refers to a shared

account as opposed to an individual account.

Gabriel (1991) refers to any story that is told repeatedly in an organization as “organizational.”

This approach appears unsatisfying, because it does not distinguish between individual and

shared accounts. Covin et al. (1994), insist that the motives of a story need to be shared by a

“sufficient” number of members of an organization for the story to become an organizational

story. While this approach seems to be more promising, it still does not answer the question of

how many members constitute a “sufficient” amount. The question becomes even more difficult

when the researcher abandons the view of organizational cultures as monolithic and unifying. If

one takes into account the diverse sub-cultures of an organization, it becomes clear that an

organizational story need not be shared by all, or even the majority of the organization’s

members to be “organizational.

21

Stories are especially suited to tie the members of group efficiency, because it acts as a

prescriptive rule that governs employee behavior and to generate a feeling of commitment

among them (Clark 1972; Martin & Powers 1983). They achieve this effect by adding an

emotional element to formal membership in the organization, thereby creating loyalty that on

occasion leads to a quasi-religious dedication to the organization (Tommerup, 1990). It should

have become clear that questions of organizational control occupy a central position in the

literature on organizational storytelling.

2.4 Critique of Existing Literature

Organization culture is an important aspect in most organizations as Schein (2002), suggests that

an organization's culture develops to help it cope with its environment. However unlike what

most writers suggest organizations do not have a single culture and cultural engineering may not

reflect the interests of all stakeholders within an organization.

Parker (2000) has suggested that many of the assumptions of those putting forward theories of

organizational culture are not new. They reflect a long-standing tension between cultural and

structural (or informal and formal) versions of what organizations are. Further, it is reasonable to

suggest that complex organizations might have many cultures, and that such sub-cultures might

overlap and contradict each other. The neat typologies of cultural suggest by various

management writers rarely acknowledge such complexities, or the various economic

contradictions that exist in capitalist organizations.

2.5 Summary of Literature

Based on the literature review it is clear that organization culture is a set of understandings or

meanings shared by a group of people that are largely tacit among members and are clearly

relevant and distinctive to the particular group which are also passed on to new members. It

consists of interrelated elements including power structures, control systems, stories and

symbols as well as rituals and routines that help to make up a "paradigm”. The paradigm

describes the pattern or model of the work environment. By analyzing the elements in each, one

22

can begin to see the bigger picture of the culture in organization: what is working, what isn't

working, and what needs to be changed and therefore appreciate the role organization culture on

employee performance in an organization.

2.6 Research Gaps

Based on the literature review, there is little doubt among experts that a relationship exists

between organization culture and individual performance. Organizational culture impacts the

level of employee creativity, the strength of employee motivation, and the reporting of unethical

behavior. However, there is very little empirical research that exists to support this and creates a

knowledge gap therefore more research is needed to support these conclusions. The study aims

to fill this knowledge gap. The findings and recommendations will provide evidence of whether

or not organization culture and employee performance are related. Postal Corporation of Kenya

is also undergoing several transformations rebranding, developing new products and services and

change of management staff aimed to improve performance the findings and recommendations

of the study will fill the knowledge gap on the ways in which organization culture can enhance

performance at the state corporation and other similar institutions.

23

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Introduction

The chapter discusses the research design, procedure and strategies that were used in the study.

Success in research depends on whether the researcher specified what to find out and the best

way to do so (Welman & Krugen2001). Therefore, to ensure the success of this study, this

chapter describes the research design, target population, sample (sample frame), data collection

and the data processing, presentations and analysis.

3.2 Research Design

Kothari (2005) describes descriptive research design as a blue print for collection, measurement

and analysis of data. This was used in the study since it is usually useful in assessing attitudes

and opinions about events, individuals or procedures. Descriptive survey designs are used in

preliminary and exploratory studies to allow researchers gather information, summarize, present

and interpret for the purpose of clarification of facts and ideas (Orodho, 2002). It helps to

identify the nature of factors involved in a given situation, determine the degree in which they

exist and discover the links that exist between these factors. In the study this also helped the

researcher to easily analyze the findings.

3.3 Population

Mugenda & Mugenda (1999) defines populations as the entire set of individuals, events or

objects with common observable characteristics. The target population of the study was the

entire staffs of Postal Corporation of Kenya who are 2,266 as shown on Table 3.1. The

organization has a functional organization structure consisting of the several departments as

follows: human resource, finance and accounts, sales, operations, information technology and

24

transport/logistics. Also, this study targeted and covered all departments including the support

staff and messengers.

Table 3.1 Target Population

Department Number of

employees

Top management 34

Human resource 186

Accounts 297

Information technology 54

Sales 206

Operations 748

Transport/logistics 473

Support staff & messengers 188

Total 2,186

Source: Postal Corporation of Kenya (HR Dept.Est’) [2012]

25

3.4 Sample Design and Sample Size

This research involved use of cluster and purposive sampling to create the sample design. This

helped to ensure a representative sample is obtained from the population. According to Mugenda

& Mugenda (1999), a representative sample is that in which at least 10% of the population is

represented. Postal Corporation is very expansive geographically and it would be require a lot of

resources to obtain a sample from all its stations country wide. As a result, the cluster sampling

where the primary sampling unit is a geographical area was used. The sample frame for this

study was the entire staff of the GPO Mombasa office which comprises of 218 employees as

shown Table 3.2.

The sample consisted of at least a minimum of 10% of employees from each department who

were selected from different functional areas in the organization. This approach was used

because it best ensures control of the sample size, increases statistical efficiency and provides

data to represent and analyze subgroups.

Purposive sampling was used in the study mainly in obtaining responses from the top

management. In purposive sampling the investigator uses own judgment and prior knowledge to

choose people for the sample that best serve the purpose of the study. In this regard, the

researcher deliberately did seek responses from long serving and experienced management staffs

that were more knowledgeable about the organization.

To provide more accurate findings the researcher also endeavored to obtain at least 50 responses

still ensuring that at least10% representation is maintained for each and every category as shown

in Table 3.2.

26

TABLE 3.2 Sample Design & Sample size

Department Sample Sample

frame

Percentage

Sample

representation

Top Management 2 4 50%

Human Resource 4 14 28.6%

Accounts 6 25 24%

Information Technology 4 15 26.6%

Sales 2 9 22.2%

Operations 22 102 21.4%

Transport/Logistics 8 35 22.8%

Support Staff 2 15 13.3%

Total 50 218 22.9%

Source: Researcher, 2014

3.5 Data Collection

The researcher seeked a letter of introduction from JKUAT Mombasa authorizing him to conduct

the study by way of collection of data: a step that helped him to get information a lot more easily

from the respondents compared to if there wasn’t one. The letter was be presented to the HR

Manager who in turn published a memo to the departmental heads alerting them that there

would be a survey conducted in the organization so that the rest of the staff are fully aware in

advance that the researcher would present questionnaires and the purposes of the study. With the

help of an assistant the researcher distributed questionnaires. Making good use of interpersonal 27

skills the researcher and his assistant endeavored to convince the respondents to fill in the

questionnaires; assisting the respondents where difficulties were envisaged.

3.6 Research Instruments

There are several ways of collecting the appropriate data which differ considerably in the context

of financial resources as well as time. Some ways of collecting data are: observation,

questionnaires and record analysis. However, this research was compiled using information

obtained from questionnaires administered by the researcher because this mode is usually

cheaper to administer, does not require training of the researcher to distribute and collect the

questionnaire. Also more elaborate data could be obtained from the questionnaire which has both

structured and subjective questions.

Although the questionnaires cannot be applied to illiterate personnel the researcher still used

them since they cover a large audience and exhibit privacy: especially with questions that cannot

be answered face to face and the respondents would be willing to give information especially

those of sensitive issues. However, according to Kothari (2005) questionnaires have a shortfall

the researcher cannot probe for further information and may not be able to control who fills the

questionnaire. The response rate may therefore have been low.

3.7 Pre-Testing Instruments

Questionnaires were first pretested on 10% of the sample frame to ascertain clarity and

objectivity of data instruments. The purpose of having this pilot study was to reaffirm the

relevance and to ensure fewer flaws of the instruments administered after necessary amendments

if at all any were made.

28

3.7.1 Validity

According to Kothari (2005), validity is the most critical criterion and indicates the degree to

which the instrument measures what it is supposed to measure. It can also be thought of as

utility. In other words validity refers to the extent to which differences found with measuring

instruments reflects true differences among those being tested. The answered the question of how

a researcher could determine validity without reaffirming knowledge

This study considered two types of validity: Content validity provided adequate coverage of the

topic under the study. It related to the researchers ability to predict some outcomes or estimate

the existence of a current situation. Criterion validity related to the degree to which scores on a

test can be accounted for by the exploratory constructs of sound theory. These criteria were tests

conducted and met in order to ensure our measuring instrument were valid and resulted in correct

measurement.

3.7.2 Reliability

Kothari (2005) describes reliability as an important test of sound measurement. A measuring

instrument is reliable if it provides consistent results. A reliable measuring instrument does

contribute to validity, but a reliable instrument needs not to be a valid instrument. Reliability is

therefore not as significant as validity though it is easier to assess. In this research, two aspects of

reliability namely stability and equivalence deserved special mention.

The reliability of this study was improved in two ways one is by standardizing the conditions

under which the measurements takes place .Ensured that the external source of variation such as

boredom, fatigue were minimized to the least possible extent this improved the stability aspect.

Second, by carefully designing directions for measurement with no variations from group to

group improve the equivalence aspect. The reliability aspect was concerned with securing

consistent results in repeated measurement of the same person and with the same instrument. The

equivalence aspect considered how much error may get introduced by different investigators or

different samples of the items being studied.

29

3.8 Data Processing and Analysis

According to Cooper & Schindler (2003), where research is concerned with finding out who,

what, where, when and how much, the study is descriptive. The specific objectives of this

research involved examining the relationships that exist between control systems, rituals,

routines, organization symbols, stories, myths and employee performance in Postal Corporation

of Kenya. As a result data processing and analysis mainly involved correlation and regression as

the main descriptive statistical measures. Correlation and regression are useful measures when

investigating relationships between two or more variables which can be either be positively or

negatively correlated. The research endeavored to generate other measures such as mean, mode,

median, percentiles and quartiles that were used in analysis. These measures were to be

generated using SPSS Statistics version 22.0.0.0 and then exported to Ms Word document. The

findings obtained from analysis would then be used to come up with the summary, conclusions

and recommendations. These were to be done as described below:

Once the data started flowing in, attention turned to data analysis. The main steps of the data

analysis were to be. Editing that involved the checking of raw data so that as far practically

possible errors or points of confusion in the data are eliminated. The main purpose here was

setting quality standards on the raw data so that the analysis could take place with minimal

confusion. The researcher would be able to detect errors and omissions, correct and amend where

possible and certify that minimal data quality is achieved. Coding that involved the assigning of

numbers or their symbols to answers so that the responses could be grouped into a limited

number of classes or groups. Finally tabulation that consisted of counting the numbers of

responses that fit each category this would take the form of simple or cross tabulation.

30

3.9 Data Presentation

From the analysis the researcher was able to come up with presentations that were both

quantitative and qualitative. Pie charts were to be used to present the data on the findings of the

study. A pie chart represents the data as a portion of 360 degrees circle. A pie chart is useful for

small amounts of data but not very good for representing a large number of variables. Bar charts

were also to be used in data presentation of the findings of the study. A bar chart represents the

data as a bar- the height of the bar representing the size of the value. In summary, for this study,

qualitative presentation were to be made using statistical methods which included: the

development of instruments and methods of measurement, manipulation of variables, collection

of empirical data, modeling and analysis of data and evaluation of results.

31

CHAPTER FOUR

REASEARCH FINDINGS AND DISCUSSIONS

4.1 Introduction

The chapter discusses the findings on tables, bar charts and pies chart generated by SPSS

Statistics version 22.0.0.0for the data collected from the research methodology.

4.2 Findings

4.2.1 Findings on gender

Figure 4.1: Gender

Source: Researcher 201432

Discussion

According to the survey 69.2 percent of the populations are male while 30.8 are female. This

shows that there are more male employees in the organization than the female employees.

4.2.2 Findings on designations

Table 4.1: Designation

Frequency Percent Valid Percent

Cumulative

Percent

Senior Manager 3 5.8 5.8 5.8

Manager 10 19.2 19.2 25.0

Supervisor 10 19.2 19.2 44.2

Officer 18 34.6 34.6 78.8

Other 11 21.2 21.2 100.0

Total 52 100.0 100.0

Source: Researcher 2014

Discussion

According to the respondents, senior management is represented by 5.8%, managers form

19.2%, officers 34.6% while support staff and drivers is represented by 21.2%. This shows that

majority of the employees are officers and operational level employees compared to in middle

and strategic /executive management levels.

33

4.2.3 Finding on departments

Figure 4.2: Department

Source: Researcher 2014

Discussion

According to the respondents, the operations department has the highest number employees; this

is followed by transport, then the information technology, accounts, human resource and sales

department. This can be explained by the fact that logistics and roles of postal services are

carried out by operations department and therefore need a large number of personnel.

34

4.2.4 Findings on duration of employment

Figure 4.3: Duration of employment

Source: Researcher 2014

Discussion

According to the study, majority of the employees in the state corporation have worked for over

10 years. Fewer have worked for 5-10 years and 0-5 years. This shows that the organization has

a high employee retention rate and low turnover culture.

35

60%

19%

21%

4.2.5 Findings on education background

Table 4.2: Education Background

Frequency Percent Valid Percent

Cumulative

Percent

High school 31 59.6 59.6 59.6

Diploma 17 32.7 32.7 92.3

Graduate 4 7.7 7.7 100.0

Total 52 100.0 100.0

Source: Researcher 2014

Discussion

According to the findings, majority of employees are high school leavers 59.2%, diploma holders

32.7% and graduates are 7.7%. This shows the organization culture is more work based than

knowledge based in achieving the goals of the corporation. As a result focus is on labor intensive

employees who do not have high educational qualifications. However, in the tactical level there

are employees are highly educated to enhance in management issues in the organization.

36

4.2.6 Findings on performance measurement

Figure 4.4: Performance Measurement

Source: Researcher 2014

Discussion

Majority of the respondents claimed that performance is measured against clear goals and

objectives; some however mentioned that it is against past performance. A small percentage of

the respondents were not sure. According to these findings the organization mainly focuses on

performance against clear goals and objectives and has a performance oriented culture.

37

4.2.7 Findings on budgets

Figure 4.5: Budgets

Source: Researcher 2014

Discussion

Majority of the respondents claim that budgets enhance performance, a few claimed that it highly

enhances while very few were not sure and claimed that it inhibits. Generally most respondents

were positive and optimistic about budgets as a control in the organization.

38

60%

10% 10%8%

12%

4.2.8 Findings on financial reporting

Table 4.3: Financial Reporting

Frequency Percent Valid Percent

Cumulative

Percent

Not sure 6 11.5 11.5 11.5

Highly inhibits 6 11.5 11.5 23.1

Inhibits 2 3.8 3.8 26.9

No effect 3 5.8 5.8 32.7

Enhances 27 51.9 51.9 84.6

Highly enhances 8 15.4 15.4 100.0

Total 52 100.0 100.0

Source: Researcher 2014

Discussion

According to the findings, 51.9 % of the respondents said that financial reporting enhances

performance, 15.4 % said it highly enhances, 11.5 % were not sure. This generally shows that

majority of the respondents agree that financial reporting improves their performance.

39

4.2.9 Findings on remuneration/rewards

Figure 4.6: Remuneration/Rewards

Source: Researcher 2014

Discussion

According to the survey, majority of the respondents claimed that remuneration/ rewards

enhance performance. Also some claimed that it highly enhances while a few percentage were

not sure.

40

4.2.10 Findings on quality systems

Figure 4.7: Quality systems

Source: Researcher 2014

Discussion

According to the survey majority of the respondents claimed that quality systems both enhance

and highly enhances performance. However a few claimed that they not sure, it inhibits or has no

effect on performance.

41

57%

20%

9%

4%

10%

4.2.11 Findings on training

Table 4.4: Training

Frequency Percent Valid Percent

Cumulative

Percent

Not sure 6 11.5 11.5 11.5

Highly inhibits 2 3.8 3.8 15.4

Inhibits 4 7.7 7.7 23.1

No effect 5 9.6 9.6 32.7

Enhances 25 48.1 48.1 80.8

Highly enhances 10 19.2 19.2 100.0

Total 52 100.0 100.0

Source: Researcher 2014

Discussion

According to the responses, 48.1% and 19.2% of the employees claimed that training enhances

and highly enhances employee performance respectively. 11.5% were not sure while 3.8%,

7.7%, 9.6% claimed that training highly inhibits, inhibits and has no effect on employee

performance respectively.

42

4.2.12 Findings on survey of employees

Table 4.5: Survey of employees

Frequency Percent Valid Percent

Cumulative

Percent

Not sure 4 7.7 7.7 7.7

Inhibits 2 3.8 3.8 11.5

No effect 6 11.5 11.5 23.1

Enhances 30 57.7 57.7 80.8

Highly enhances 10 19.2 19.2 100.0

Total 52 100.0 100.0

Not sure 4 7.7 7.7 7.7

Source: Researcher 2014

Discussion

According to the response of the respondents on survey of employees, 57.7% and 19.2% claimed

that it enhances and highly enhances employee performance respectively. However the rest

7.7%, 3.8%, 11.5% claimed that survey of employees in terms of suggestions and feedback were

not sure, claimed that it inhibits, has no effect respectively.

43

4.2.13 Findings on psychological dynamics behind the culture of the organization

manifested as a result of control systems

Figure 4.8: Psychological dynamics behind culture manifested as a result of control systems

Source: Researcher 2014

Discussion

According to the responses, majority of the employees claimed that the control systems result in

loyalty only to specific groups’ with minimal cross department communication and cooperation.

Also several claimed that it leads to mental stagnation and low creativity where people have little

future vision. Few were not sure and claimed that it leads to distrust and fear. However, the least

responded that control systems lead people who are passionate and have similar goals with the

organization that they can use personal resources to actively solve organization problems.

44

4.2.14 Findings on survey of customers

Table 4.6: Survey of customers

Frequency Percent Valid Percent

Cumulative

Percent

Highly inhibits 4 7.7 7.7 7.7

Inhibits 8 15.4 15.4 23.1

No effect 21 40.4 40.4 63.5

Enhances 19 36.5 36.5 100.0

Total 52 100.0 100.0

Discussion

According to the respondents, 40.4% claimed that surveying of customers for feedback has no

effect on their performance. On the other hand 36.5%, 15.4% and 7.7% claimed that survey of

customers enhances, inhibits and highly inhibits employee performance respectively.

4.2.15 Findings on feedback, rewards and levels of risks

Table 4.7: Feedback, rewards and levels of risks

Frequency Percent Valid Percent

Cumulative

Percent

36 69.2 69.2 69.2

12 23.1 23.1 92.3

4 7.7 7.7 100.0

52 100.0 100.0

Source: Researcher 2014

45

Discussion

According to the responses, 69.2% of the respondents claimed the organization has a slow

feedback/reward and low risk, 23.1% claimed there is slow feedback/reward and high risk. While

7.7% were not sure.

4.2.16 Findings on rites of passage

Figure 4.9: Rites of passage: employees moving to new roles

Source: Researcher 2014

46

Discussion

Majority of the respondents claimed that rites of passage into new roles either had no effect or

were not sure of if it affected employees’ performance. More the respondents claimed that it

enhances and highly enhances compared to those who claimed that it inhibits performance.

4.2.17 Findings on rites of degradation: employees power been taken away from them

Figure 4.10: Rites of degradation: employee’s powers been taken away from them

Source: Researcher 2014

Discussion

According to the respondents, 50% claimed that rites of degradation employees powers been

taken away from them enhances performance. 25%, 21.2% and 3.8% claimed that it highly

enhances, inhibits and were not sure respectively.

47

50%

25% 21%

4%

4.2.18 Findings on rites of enhancement: public recognition for an employee’s

accomplishment

Figure 4.11: Rites of enhancement: public recognition for an employee’s accomplishments

Source: Researcher 2014

Discussion

According to the survey, 48.1% of the respondents claimed that rites of enhancement: public

recognition of employees accomplishes enhances employee’s performance. 28.8%, 11.5%,

11.5% claimed that it highly enhances, not sure and no effect respectively.

4.2.19 Findings on rites of renewal: improve existing social structures

Table 4.8: Rites of renewal: improve existing social structures

Frequency Percent Valid Percent

Cumulative

Percent

Not sure 14 26.9 26.9 26.9

Inhibits 4 7.7 7.7 34.6

No effect 18 34.6 34.6 69.2

Enhances 12 23.1 23.1 92.3

Highly enhances 4 7.7 7.7 100.0

Total 52 100.0 100.0

Source: Researcher 2014

Discussion48

According to the survey, 34.6% of the respondents said that rites of renewal: improve existing

social structures has no effect on employee performance. Further on regard to the rites of renewal

26.9%, 23.1%, 7.7% and 7.7% said that they were not sure, inhibits, enhances and highly

enhances employee performance respectively.

4.2.20 Findings on rites of conflict reduction: resolve arguments between certain members

or groups

Figure 4.12: Rites of conflict reduction: resolve arguments between certain members or

groups

Source: Researcher 2014

49

59.6%

3.8%

5.8%

5.8%

7.7%

17.3%

Discussion

According to the survey, 59.6% of the respondents claimed that rites of conflict reduction:

resolve an argument between certain members’ enhances employee performance. 17.3% said it

highly enhances while 7.7%, 5.8%, 5.8% and 3.8% said that it inhibits, not sure, highly inhibits

and has no effect employee performance.

4.2.21 Findings on job routines/operations (daily, weekly, monthly, annual) & work

procedures

Table 4.9: Job routines/operations (daily, weekly, monthly, annual) & work procedures

Frequency Percent Valid Percent

Cumulative

Percent

Not sure 8 15.4 15.4 15.4

Inhibits 14 26.9 26.9 42.3

No effect 13 25.0 25.0 67.3

Enhances 9 17.3 17.3 84.6

Highly enhances 8 15.4 15.4 100.0

Total 52 100.0 100.0

Source: Researcher 2014

Discussion

According the responses, 26.9% said that the job routines/operations and work procedures inhibit

employees performance and 25% said it has no effect. 17.3%, 15.4%, 15.4% said that it

enhances, not sure and highly enhances respectively.50

4.2.22 Findings on visual representations of the company-logo, trademark, brand nameand

color representation

Figure 4.13: Visual representations of the company-logo, trademark, brand name and color

representation

Source: Researcher 2014

Discussions

According to 50% and 32.7% of the respondents, visual representations of the company-logo,

trademark, brand name and color representation enhance and highly enhance employee’s

performance respectively. Moreover, 5.8% responded as not sure, highly inhibits and no effect

on employee performance.

51

4.2.23 Findings on offices; building layout and office allocations

Figure 4.14: Offices; building layout and office allocations

Source: Researcher 2014

Discussion

42.3% and 26.9% of the respondents claimed the office building layout and office allocations

inhibit and highly inhibit employee performance respectively. Further, 13.5%, 9.6% and 7.7% of

the respondents said it highly enhances, has no effect and enhances employee performance

respectively.

52

4.2.24 Findings on status symbols or the apparent lack of them for instance parking places,

director’s dining room

Table 4.10: Status symbols or the apparent lack of them for instance parking places,

director’s dining room

Frequency Percent Valid Percent

Cumulative

Percent

Highly inhibits 10 19.2 19.2 19.2

Inhibits 32 61.5 61.5 80.8

No effect 4 7.7 7.7 88.5

Enhances 6 11.5 11.5 100.0

Total 52 100.0 100.0

Source: Researcher 2014

Discussion

According to the respondents, 61.5% and 19.2% said that status symbols or the apparent lack of

them for instance parking places, director’s dining room inhibits employee performance. On the

other hand 11.5% and 7.7% said that it enhances and has no effect on employee performance

respectively.

53

4.2.25 Findings on organization facilities- furnishing (furniture), equipment, plant and

machinery

Figure 4.15: Organization facilities- Furnishing (Furniture), equipment, plant and

machinery

Source: Researcher 2014

Discussion

61.5% of the respondents said that organization facilities- furnishing (furniture), equipment,

plant and machinery inhibits employee performance. 23.1% and 15.4% said that it has no effect

and highly inhibits employee performance respectively.

54

4.2.26 Findings on dress code whether formal or informal

Table 4.11: Dress code whether formal or informal

Frequency Percent Valid Percent

Cumulative

Percent

Not sure 4 7.7 7.7 7.7

No effect 8 15.4 15.4 23.1

Enhances 30 57.7 57.7 80.8

Highly enhances 10 19.2 19.2 100.0

Total 52 100.0 100.0

Source: Researcher 2014

Discussion

According to the respondents 57.7% and 19.2% said that the dress code whether formal and

informal enhances and highly enhances the employee performance respectively. Further 15.4% and

7.7% respectively said that it has no effect and were not sure respectively.

55

4.2.27 Findings on how each person visibly interacts with each other and with

organizational outsiders

Figure 4.16: How each person visibly interacts with each other and with organizational

outsiders

Source: Researcher 2014

Discussion

According to the responses, 73.1% of the respondents claimed that how each person visibly

interacts with each other and with organizational outsiders enhances employee performance.

11.5%, 7.7% and 7.7% said that it inhibits, has no effect and highly enhances employee

performance.

56

4.2.28 Findings on visible awards and recognition

Table 4.12: Visible awards and recognition

Frequency Percent Valid Percent

Cumulative

Percent

Not sure 5 9.6 9.8 9.8

Highly inhibits 14 26.9 27.5 37.3

Inhibits 26 50.0 51.0 88.2

No effect 6 11.5 11.8 100.0

Total 51 98.1 100.0 100.0

Source: Researcher 2014

Discussion

According to 50% of the respondents visible awards and recognition inhibits employee

performance. 26.9%, 11.5% and 26.9% claimed that it highly inhibits, has no effect and were not

sure respectively on the effect of visible awards and recognition on employee performance.

57

4.2.29 Findings on members of the organization regarded as role models

Figure 4.17: Members of the organization regarded as role models

Source: Researcher 2014

Discussion

94.2% of the respondents said that members of the organization regarded as role models enhance

employee performance. Further, 3.8% said that it has no effect.

58

4.2.30 Findings on whether stories and myths in the organization affect the level of

employee performance

Figure 4.18: Do stories and myths in the organization affect the level of employee

performance

Source: Researcher 2014

Discussion

According to responses all the respondents agree that stories and myths shared in the

organization affect the level of performance for instance, stories about the history of the

organization, its founders and successful employees in the organization.

59

99%99%

4.2.31 Findings on stories especially suited to tie members of the group together and to

generate a feeling of commitment among them.

Table 4.13: Stories especially suited to tie members of the group together and to generate a

feeling of commitment among them

Frequency Percent Valid Percent

Cumulative

Percent

Ineffective 2 3.8 3.8 3.8

Average 8 15.4 15.4 19.2

Effective 34 65.4 65.4 84.6

Highly effective 8 15.4 15.4 100.0

Total 52 100.0 100.0

Ineffective 2 3.8 3.8 3.8

Source: Researcher 2014

Discussion

According to the responses, 65.4% and 15.4 % of the respondents said that stories especially

suited to tie members of the group together and generate a feeling of commitment among them is

effective and highly effective on employee performance. Further 15.4% and 3.8% claimed that it

averagely influences and is ineffective in influencing employee performance.

60

4.2.32 Findings on stories used to propagate the management’s philosophy among

employees

Figure 4.19: Stories used to propagate the management’s philosophy among employees.

Source: Researcher 2014

Discussion

Majority of the respondents claimed that stories used to propagate the management’s philosophy

are effective in influencing employee performance. 65.4% said that it is effective compared to

25%, 7.7% and 1.9% who claimed that it is average, ineffective and were not sure respectively.

61

4.2.33 Findings on stories conveying the interpersonal norms that govern an organization.

they are especially suited to introduce newcomers to “how things are done around here”.

Table 4.14: Stories conveying the interpersonal norms that govern an organization. They are

especially suited to introduce newcomers to “how things are done around here”.

Source: Researcher 2014

Frequency Percent Valid Percent

Cumulative

Percent

Not sure 5 9.6 9.6 9.6

Effective 35 67.3 67.3 76.9

Highly effective 12 23.1 23.1 100.0

Total 52 100.0 100.0

Discussion

According to the responses majority of the responded said that stories conveying the

interpersonal norms that govern an organization. They are especially suited to introduce

newcomers to “how things are done around here” are effective in influencing employee

performance. 67.3% and 23.1% said that it is effectively and highly effective respectively which

is more compared to 9.6% who claimed were not sure.

62

4.2.34 Findings on stories maintaining and legitimizing institutional arrangements

Figure 4.20: Stories maintaining and legitimizing institutional arrangements

Source: Researcher 2014

Discussion

According to the respondents, 42.3% and 9.6% said that stories maintaining and legitimizing

institutional arrangements are effective and highly effective in influencing employee performance. On

the other hand 32.7% and 15.4% said it is average and were not sure respectively.

63

4.2.35 Findings on mythical stories of creation of the organization and challenges faced.

Figure 4.21: Mythical stories of “creation of the organization” and “challenges faced

Source: Researcher 2014

Discussion

Majority of the respondents claimed that mythical stories of “creation of the organization” and

“challenges faced and overcome” are effective in influencing employee performance where 73.1% of

the respondents claimed that it is effective. On the other hand 13.5% and 13.5% were not sure and

average respectively.

64

CHAPTER FIVE

CONCLUSIONS AND RECOMMENDATIONS

5.1 Introduction

The chapter discusses the summary of major findings, conclusions and recommendations of the

study.

5.2 Summary of Major Findings

The main objective of the study is to investigate the role of organization culture on employee

performance. The summary of the major findings provides answers to the research questions

based on the responses obtained from conducting the study at postal corporation in order to meet

the specific objectives of the study.

5.2.1 Control Systems

On employee performance majority of the respondents said that performance is measured against

clear goals and objectives; some however mentioned that this is against past performance. On

budgets most respondents said budgets enhance employee performance, although a few

respondents claimed that it highly enhances while very few were not sure and claimed that it

inhibits. About financial reporting majority of the respondents said financial reporting enhances

employee performance. Further, on remuneration /rewards majority of the respondents claimed

that remuneration/ rewards enhance employee performance although, a small percentage was not

sure on the relationship between remuneration/rewards and employee performance. On quality

systems, most respondents claimed that quality systems enhance employee performance however

a few claimed that they not sure, it inhibits or has no effect on employee performance.

65

About training, most respondents claimed that training enhances employee performance a few

were not sure, a few claimed that it inhibits and has no effect on employee performance. On

survey of employees, majority of the respondents claimed that it enhances employee

performance however a small percentage claimed not sure, it inhibits, has no effect on employee

performance. Regarding surveying of customers, most respondents claimed that surveying of

customers for feedback has no effect on their performance although a few had different claims

for instance it enhances, inhibits and highly inhibits employee performance.

Lastly, in regard to control systems and employee performance as a whole, majority of the

employees claimed that the control systems result in loyalty only to specific groups’ with

minimal cross department communication and cooperation. Some claimed that it leads to mental

stagnation and low creativity where people have little future vision while a few were not sure and

claimed that it leads to distrust and fear. Regarding feedback/ reward and risk, majority of the

respondents claimed the organization has a slow feedback/reward and low risk.

5.2.2 Rituals

Regarding the rites of passage into new roles, majority of the respondents claimed it had no

effect or were not sure of if it affected employees’ performance although more the respondents

claimed that it enhances compared to those who claimed that it inhibits performance. About rites

of degradation many respondents claimed that it enhances employee performance while a very

small percentage claimed that it inhibits and were not sure. On rites of enhancement: public

recognition of employees most respondents claimed that it enhances employee’s performance

however a few were not sure on its effect on employee performance.

On rites of renewal majority of the respondents said that it has no effect on employee

performance although few respondents had different views some claimed it inhibits, enhances

and others were not sure. Regarding rites of conflict reduction: resolve an argument between

certain members’ many respondents claimed that it enhances employee performance while a very

small percentage had mixed views that it they were not sure, it inhibits, and has no effect on

employee performance.

66

5.2.3 Organization Symbols

Generally the findings on, visual representations of the company-logo, trademark, brand name

and color representation as organization symbols show that majority of the respondents claim

that they enhance employee’s performance respectively although a very small percentage of

respondents had different opinions as not sure, highly inhibits and no effect on employee

performance. Regarding office building layout and office allocations most respondents claimed it

inhibits employee performance respectively while a few the respondents had different views

claiming enhances and has no effect on employee performance.

On status symbols or the apparent lack of them for instance parking places, director’s dining

room most respondents said inhibits employee performance although a small percentage said that

it enhances and has no effect on employee performance. Regarding organization facilities-

furnishing (furniture), equipment, plant and machinery majority of the respondents said that it

inhibits employee performance despite a few respondents saying that it has no effect and highly

inhibits employee performance.

About dress code whether formal and informal several respondents said it enhances employee

performance although a small number of respondents said that it has no effect and were not sure.

Regarding how each person visibly interacts with each other and with organizational outsiders

majority of the respondents claimed it enhances employee performance despite a few having

different views that it inhibits and has no effect employee performance. On visible awards and

recognition most respondents claimed it inhibits employee performance while a small fraction of

respondents had different views that it has no effect and were not sure of its effect on employee

performance. Lastly on members of the organization regarded as role models majority of the

respondents said it enhances employee performance although a very small percentage said that.

67

5.2.4 Stories, Myths

Based on the research findings on stories and myths, all the respondents said that stories and

myths shared in the organization affect the level of employee performance. On stories especially

suited to tie members of the group together and generate a feeling of commitment majority of the

respondents said is effective on influencing employee performance although a few claimed that it

averagely influences and is ineffective in influencing employee performance. Regarding stories

used to propagate the management’s philosophy many respondents claimed that is effective in

influencing employee performance despite a small percentage claiming that they were not sure

and is averagely ineffective.

Regarding stories conveying the interpersonal norms that govern an organization suited to

introduce newcomers to “how things are done around here” majority of the respondents said that

are effective in influencing employee performance however a very small percentage were not

sure. Further on stories maintaining and legitimizing institutional arrangements most respondents

said are effective in influencing employee performance although a few were not sure. Finally on

mythical stories of “creation of the organization” and “challenges faced and overcome” majority

of the respondents claimed that are effective in influencing employee performance despite a

small percentage not being sure.

68

5.3 Conclusions

From the findings and the summary of findings the following conclusions can be made on the role

of organizational culture on employee performance a case study of Postal Corporation of Kenya.

5.3.1 Demographic Factors and Employee Performance

Based on the findings of the research study the followings facts can be concluded about

demographic factors and employee performance in postal corporation of Kenya:

Gender: Majority of the employees at the state corporation are male compared to female

counterparts.

Department: The organization has a functional organization structure. The operations

department has the highest number employees; this is followed by transport, then the

information technology, accounts, human resource and sales department. This can be

explained by the fact that logistics and roles of postal services are carried out by operations

department and therefore need a large number of personnel.

Education background: A majority of employees are high school leavers and diploma

holders. The organization has very few university graduates attributing the organization

culture is more work based than knowledge based in achieving the goals of the corporation.

Performance measurement: The organization has a performance oriented culture and

performance is mainly measured against clear goals and objectives and not against past

performance as can be assumed with most state corporations.

5.3.2 Control Systems

Based on the findings of the research study the followings facts can be concluded about the

relationship between control systems and employee performance in postal corporation of Kenya:

The organization employs controls systems which form part of the organization culture and this

affect employee performance.

Control systems enhance employee performance in an organization.

69

Control systems examined in this study: budgets, financial reporting, quality systems, training,

and surveying of customers and surveying of employees are appreciated by employees to

enhance employee performance.

There is a positive correlation between control systems and employee performance in the

organization. The more control tools are used for example budgets, financial reporting, quality

systems, training, and surveying of customers and employees the better the employee

performance.

Although controls enhance employee performance there are areas in the control systems that

draw dissatisfaction by some employees for instance surveying of customers and need

improvement.

5.3.3 Rituals

Based on the findings of the research study the followings facts can be concluded about the

relationship between rituals and employee performance in postal corporation of Kenya:

The organization has rituals which form part of the organization culture of the corporation.

Rituals mainly enhance employee performance however a few rituals have no noticeable effect.

Rites of degradation, rites of enhancement: public recognition of employees and rites of conflict

reduction: resolve an argument between certain members’ are regarded to enhance employee

performance. On the other hand, rites of passage and rites of renewal of employees into new

roles have no noticeable effect.

70

5.3.4 Organization Symbols

Based on the findings of the research study the followings facts can be concluded about the

relationship between organization symbols and employee performance in postal corporation of

Kenya:

The organization has various organization symbols that form part of the organization culture.

Organizational symbols influence employee performance in two different ways; some enhance

while others inhibit employee performance.

The organizational symbols that enhance performance make the employees feel more part of the

organization for instance visual representations, company-logo, trademark, dress code, brand

name and color representation as seen in the study.

On the other hand, there are organization symbols that inhibit employee performance especially

when of poor quality or low standards for instance status symbols or the apparent lack of them

such as parking places, director’s dining room, office building layout and office allocations as

seen in the study where most respondents claimed inhibit employee performance respectively.

5.3.5 Stories, Myths

Based on the findings of the research study the followings facts can be concluded about the

relationship between stories, myths and employee performance in postal corporation of Kenya:

The corporation has stories and myths that form part of the organization culture.

Stories and myths shared in the organization affect the level of performance.

Stories and myths particularly about the history of the organization highly enhance employee

performance.

71

Stories and myths enable employees to understand the vision and mission: where the

organization is coming from and where it is going.

Stories especially suited to tie members of the group together and generate a feeling of

commitment among them enhance employee performance.

Stories used to propagate the management’s philosophy enhance employee performance.

Stories conveying the interpersonal norms that govern an organization especially those suited to

introduce newcomers to “how things are done around here” enhance employee performance.

Stories maintaining and legitimizing institutional arrangements enhance employee performance.

Mythical stories of “creation of the organization” and “challenges faced and overcome” enhance

employee performance.

5.4 Recommendations

From the research study the following recommendations can be made on the role of

organizational culture on employee performance a case study of Postal Corporation of Kenya.

i. Organizations should appreciate that controls systems form part of the elements of

organization culture and affects employee performance.

ii. Control systems for instance budgets, financial reporting, quality systems, training, and

surveying of customers and surveying of employees should be adopted by organizations

to enhance employee performance based on the fact that there is a positive correlation

between control systems and employee performance in the organization.

72

iii. Organizations need to continuously monitor and check the effectiveness of the controls

since although they enhance employee performance there are areas in the control systems

that draw dissatisfaction by some employees.

iv. Organization should recognize that rituals form part of the organization culture in an

organization.

v. Organizations should be strategic on the adoption of rituals in the organization since

although some rituals enhance employee performance others have no noticeable effect or

can even inhibit employee performance. Also, organizations need to appreciate that

various organization symbols that form part of the elements of the organization culture.

vi. Organizations should be strategic on the adoption of organizational symbols in the

organization to ensure use of only symbols that enhance employee performance for

instance visual representations, company-logo, trademark, dress code, brand name and

color representations. This is based on the fact that organizational symbols influence

employee performance in two different ways; some enhance while others inhibit

employee performance. On the other hand organizations should identify and avoid or

improve lapses on organizational symbols that inhibit performance.

vii. Organizations should recognize that stories and myths that form part of the organization

culture and affect the level of employee performance.

viii. Organizations need to encourage stories and myths particularly those that enhance

organization performance for example: stories and myths about the history of the

organization highly, stories and myths enable employees to understand the vision and

mission of the organization, stories especially suited to tie members of the group together

and generate a feeling of commitment among them, stories used to propagate the

management’s philosophy and stories conveying the interpersonal norms that govern an

organization especially those suited to introduce newcomers to “how things are done

around here” enhance employee performance.

73

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APPENDICES

Appendix I

Introduction Letter To The Respondents

CARLVIN MASAKHALIA,

P.O BOX 74939-80100,

MOMBASA,

DATE……………………..

Dear Respondent,

The above named person is undertaking a master’s program at Jomo Kenyatta University of

Agriculture and Technology (JKUAT) Mombasa Campus as a student.

As a requirement the researcher is carrying out a survey on the role of organization culture on

employee performance at Postal Corporation of Kenya GPO Mombasa. The information on the

questionnaire will be used exclusively for this research purpose and all information collected shall be

kept confidential and be used only for academic purpose.

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Once you have completed the questionnaire please put it in the envelope provided for collection by

the researcher. I hope you find completing the questionnaire enjoyable. Thank you for your support

and taking time to help me.

YOURS FAITHFULLY

RESEARCHER

APPENDIX II

Questionnaire

This questionnaire has been prepared for the purposes of collecting data aimed at investigating the

role of organization culture on employee performance a case study of Postal Corporation of Kenya.

Please fill out the questionnaire by ticking where appropriate, and by providing information in your

own words, in the spaces provided. Data collected will be treated with utmost confidentiality. Do not

include your name anywhere.

Date ……………………………. Questionnaire No……………………………..

INSTRUCTIONS:

Please tick an appropriate answer.

Section A: DEMOGRAPHY

BACKGROUND INFORMATION

Gender:

Male Female

What is your designation?

Senior Manager

Manager

Supervisor

Officer

Others Specify ………………………………………….

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Which department do you work for?

Human Resource Transport Accounts

Sales & Marketing Operations Information Technology

How long have you been in the department?

0 - 5 years 5 - 10 years over 10 years

Educational Background

High School Diploma Graduate

Others specify …………………………………………….

SECTION B

PART I: Control systems and employee performance.

1. How is your performance measured?

Against clear and agreed objectives

According to past performance

Not measured

Not sure

2. In regard to measurement and distribution in the organization, kindly rank how each of the factors

mentioned below affect the level of employee performance (5–Highly enhances, 4-Enhances, 3- Average(no

effect), 2-Inhibits and 1- Highly inhibits. Rank 0 if not sure).

FACTOR 5 4 3 2 1 0

Budgets

Financial reporting

Survey of customers

Survey of employees

Training

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Quality systems

Remunerations / rewards

3. Which statement describes the psychological dynamics behind the culture in your organization

manifested as a result of the above factors (control systems)?

Distrust and fear; people blame each other to avoid being reprimanded or put down.

Loyalty is only to specific groups (departments) with minimized cross-department communication

and cooperation.

Mental stagnation and low creativity; People have little future vision and have given up their passion.

People are passionate and seem to have similar goals in the organization. They use personal resources

to actively solve problems and while they don’t always accept the actions of management or others

around them, they see their job as important.

Not sure.

4. What is the focus on how quickly your organization receives feedback, how you are rewarded, and

the level of risks taken?

Rapid feedback/reward and low risk

Rapid feedback/reward and high risk

Slow feedback/reward and low risk

Slow feedback/reward and high risk

Not sure

PART II: Rituals and Routine and employee performance.

1. In regard to rituals and routines, kindly rank how each of the following observable behaviors encountered

within your organization affect the level of employee performance (5–Highly enhances, 4-Enhances, 3-

Average(no effect), 2-Inhibits and 1- Highly inhibits. Rank 0 if not sure).

ORGANISATION BEHAVIOR 5 4 3 2 1 0

Rites of passage: employees moving into new roles.

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Rites of degradation: employees powers been taken away from

them.

Rites of enhancement: public recognition for an employee’s

accomplishments.

Rites of renewal: improve existing social structures.

Rites of conflict reduction: resolve arguments between certain

members or groups.

Rites of integration: reawakening feelings of membership in

the organization.

Job routines/ Operations (Daily, weekly, Monthly, annual) &

work procedures.

PART III: Organization symbols and employee performance.

1. In regard to symbols and employee performance, kindly rank how each of the following organizational

attributes affect the level of employee performance (5–Highly enhances, 4-Enhances, 3- Average(no effect),

2-Inhibits and 1- Highly inhibits. Rank 0 if not sure).

SYMBOL 5 4 3 2 1 0

Visual representations of the company-logo, trademark,

brand name, colors representations.

Offices; Building layout and office allocations.

Status symbols or the apparent lack of them for instance

parking places, director’s dining room.

Organization facilities- Furnishing (Furniture), equipment,

plant and machinery.

Dress code whether formal and informal.

How each person visibly interacts with each other and

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with organizational outsiders

Members of the organization regarded as role models.

Visible awards and recognition

PART IV: Stories, myths and employee performance.

1. Do stories and myths in the organization affect the level of employee performance?

Yes No

2.In regard to stories and employee performance, kindly rank the each of the following areas about stories

and myths attributes on affecting the level of employee performance (5–Highly effective, 4-Effective, 3-

Average(no effect), 2-Ineffective and 1- Very ineffective. Rank 0 if not sure).

STORIES & MYTHS 5 4 3 2 1 0

Stories especially suited to tie the members of a group together and to generate

a feeling of commitment among them.

Stories used to propagate the management’s philosophy among employees.

Stories conveying the interpersonal norms that govern an organization. They

are especially suited to introduce newcomers to “how things are done around

here”.

Stories maintaining and legitimizing institutional arrangements.

Mythical stories of “creation of the organization” and “challenges faced and

overcome”. Telling a sacred, unquestionable tale that legitimizes present

arrangements. Members of the organization regarded as role models.

Thank You

For Your

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Co-operation.

APPENDIX III

Work Plan

DATE

ACTIVITY

04.06.14

TO

11.06.14

15.07.14

TO

01.08.14

12.08.14

TO

14.08.14

20.08.14 15.09.14

TO

28.09.14

12.10.14

TO

18.10.14

20.10.14

IDENTIFY KEY

RESEARCH

AREAS

LITERATURE

REVIEW

SUBMISSION OF

PROGRESS

REPORT

PRESENTATION

OF PROPOSAL

DATA

COLLECTION

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REPORT

WRITING

PRESENTATION

OF FINAL

PROJECT

APPENDIX IV

BUDGET

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NO. ITEM COST

(KSHS)

1. Personnel cost- research assistants allowances, transport costs 25,000

2. Complimentary activities-photocopying, typing &binding 4,500

3. Fieldwork costs-postage &internet 3,500

4. Materials & supplies. Airtime & Papers 3,500

5. Reproduction of final project 2,000

6. Miscellaneous 3,000

Totals 41,500

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