COMMUNICATION CHANNELS AND ORGANISATIONAL PERFORMANCE OF NIGERIAN COMPANY. A CASE STUDY OF THE NIGERIAN BOTTLING COMPANY, ABUJA,
ABSTRACT:
Working environments differ from all angles as well as their culture, economic and social development. In this context some of these organizations’ have cumbersome reporting lines, which are difficult for the employee to abide by. This study, therefore examined the effect of communication on organisational performance in Nigerian bottling company, Abuja, Nigeria. Survey research design was adopted for the study. The population of the study is 6,026 comprising the entire staff of Nigerian bottling company, Abuja, Nigeria. Taro Yamane formula was used to derive the sample size of 488. A structured questionnaire was administered resulting in a response rate of 79.9%. A confirmatory factor analysis was done to establish validity of the questionnaire. A test-retest was done using Pearson Product Moment Correlation analysis reliability for the major constructs ranging between 0.889 to 0.924. The data gathered was analyzed with the aid of Statistical Package for Social Sciences (SPSS) version 21.0 software involving frequency distributions and linear regression. Findings revealed that horizontal communication has a significant effect on organisational performance (r = 0.620, R2 = 0.384, p = 0.000< 0.05); vertical communication has a significant effect on organisational performance (r = 0.545, R2 = 0.297, p = 0.000< 0.05); and diagonal communication has a significant effect on organisational performance (r = 0.724, R2 = 0.524, p = 0.000< 0.05). From the study, it is evident that communication variables, namely, horizontal, vertical and diagonal communication, each has a significant effect on organisational performance in Nigerian bottling company, Abuja, Nigeria. Based on the findings, the study recommends that top management of manufacturing industries should emphasize the importance of latent and future needs. So as to improve the guidance of employees towards organisational goals and mission.
TABLE OF CONTENTS
Content Page
Title Page i
Certification ii
Dedication iii
Acknowledgements iv
Abstract v
Table of Contents vi
List of Tables
CHAPTER ONE: INTRODUCTION
Background to the Study
Statement of the Research Problem
Research Questions
The objective of the Study
Hypotheses
Significance of the Study
Scope of the Study
Definition of Terms
CHAPTER TWO: REVIEW OF LITERATURE
Conceptual Review
Communications
Horizontal communication
Vertical communication
Diagonal communication
Content Page
Organisational Performance
Theoretical Review
The Dynamic Capability Theory (1994)
Resource-based view of the rm
Assimilation Theory
Empirical Review
Gap in Literature
Conceptual Model
CHAPTER THREE: METHODOLOGY
Research Design
Sources of Data
Methods of Data Collection
Population of the Study
Sample Size
Sampling Technique(s)
Methods of Data Analyses
Model Specification
Validity and Reliability of the research instruments
Limitations of the Study
CHAPTER FOUR: DATA ANALYSIS, RESULTS AND DISCUSSION OF FINDINGS
Analysis, Result and Discussion of Findings
Demographic Data of Respondents
Data analysis, Interpretation and discussion
Summary Table of Findings
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS
Summary
Content Page
The implication of the Study
Conclusion
Recommendations
Contribution to Knowledge
Limitation of the Study
Suggestion for Further Studies References
Appendix A Appendix B
CHAPTER ONE
INTRODUCTION
BACKGROUND TO THE STUDY
Around the world, Businesses are demanding and tasking. For businesses to stay successful and make profits in a competitive and demanding global economic market, factors of production should be managed wisely. Human Resources constitutes challenges in view of the fact that employee management requires skilled management of thoughts, feelings as well as emotions to achieve high output. Channels of communication play a role in dealing with the difficult tasks.
Communication has crucial impacts among work groups in that organizational communication is a channel to flow information, resources, and even policies. “Organizational communication can be broadly defined as communication with one another in the context of an organization (Eisenberg & Goodall, 1997; Shockley-Zalabak, 2006)” as cited in Eunju (2009). Communication involves sending and receiving messages through various authority levels, involving message systems. Communication engages influencing the opinions and views within communities, organizations, governments. Communication is used to pass documents within members of the organization, to supervise activities, reduce manager workload. Therefore the focus of the study is on communication and organizational performance in theNigerian bottling company.
STATEMENT OF THE PROBLEM
Working environments differ from all perspectives such as culture, economic and social instigation. With such circumstances, organizations' bulky reports would be tough for the employees to understand. These reports sometimes include conflicting information, and obligations hereby making some subordinates become more answerable to a particular
superior. Intra- communication equipment which includes emails and memos are ignored by some organizations which ends up causing lack of knowledge for the employees on the mission and vision of the organization. Academic works have shown that effective communication helps employees to achieve goals. This also includes decision-making, problem solving and change-management process etc. This enables members of an organization or institution to work towards a common goal and purpose. Organizations with communication challenges continue to find the most effective channels for communicating across the subordinates.
Communication channels play an important role in organizational performance because it helps in achieving its goals and objectives. Organizations need an effective and efficient inflow of communication and communication systems in order to be able to pass information across to the society. Unlikely, there seems to be a lack of efficient and effective communication strategy at Coca Cola. Coca Cola consumers have made complaints of major delays in the processing of their orders. Communication plays an important role in coordinating and balancing all departments of an organization and to enhance organizational performance, there was a need to evaluate the organizational communication structure, channels of communication, communication policy and communication system at Coca Cola to assess how relevant and effective they are in this era of Information Technology.
RESEARCH QUESTIONS
The study will attempt the following research questions:
a. Does horizontal communication affect organisational performance in Nigerian bottling company, Abuja, Nigeria?
b. In what way does vertical communication affect organisational performance in Nigerian bottling company, Abuja, Nigeria?
c. Does diagonal communication affect organisational performance in Nigerian bottling company, Abuja, Nigeria?
OBJECTIVES OF THE STUDY
The main objective of this study is to assess the effect of communication channels on organisational performance in Nigerian bottling company, Abuja, Nigeria.
The objectives of the study are;
i. Examine the effect of horizontal communication on organisational performance in Nigerian bottling company, Abuja, Nigeria.
ii. Determine the effect of vertical communication on organisational performance in Nigerian bottling company, Abuja, Nigeria.
iii. Assess the effect of diagonal communication on organisational performance in Nigerian bottling company, Abuja, Nigeria.
RESEARCH HYPOTHESES
The hypotheses for the study are as follows:
Ho1: horizontal communication has no significant effect on organisational performance in Nigerian bottling company, Abuja, Nigeria.
Ho2: vertical communication has no significant effect on organisational performance in Nigerian bottling company, Abuja, Nigeria.
Ho3: diagonal communication has no significant effect on organisational performance in Nigerian bottling company, Abuja, Nigeria.
SIGNIFICANCE OF THE STUDY The Manufacturing Industry
The findings of the survey will be used by stakeholders in the manufacturing industry to make appropriate decisions towards adopting different technological channels in delivery services. They will understand the benefits of adopting a good communication system in their manufacturing companies. They will also appreciate the impact of information, communication and technology on organisational performance.
The Academicians and Scholars
Future researchers and scholars may use the survey as a source of reference for further research. Manufacturing sector, technological inventions depend on the survey carried out in such areas. It is important to document the research findings for future reference. They would be keen to understand the impact of technology on the organisational performance in the manufacturing industry.
The Government
The government will be interested in finding out how technology can be maximized in stimulating economic growth in manufacturing institutions. Finally, the study is meant to help in bridging the gap that currently exists between technology and service quality of the firms that take up technological innovations.
SCOPE OF THE STUDY
This study will be restricted to Nigerian bottling company, Abuja, Nigeria. The researcher will limit the research to the Nigerian bottling company, which is a major player in the manufacturing industry. The manufacturing company was picked because the level of communication practices employed by the company in getting their products out into the market is on the high level. They send messages to the employees and consumers who are the receivers and all these are done utilizing various techniques such as the people, the process and the technique.
The focus respondents for this study consists of the total number of management personnel working at a strategic level and operational level within the company. The total estimated figure for the population arrived at, based on a survey of the firm was six thousand and twenty six (6,026) personnel. Information with regards to the population number was sourced from the Nigerian Stock Exchange index April 26, 2016. Using Taro Yamane (1967) formula for sample size determination, the study was able to arrive at a sample size of four hundred and eighty eight (488) respondents including a provision for thirty percent non respondent. Sampling method to be used in this study is the stratified sampling technique simply because of the stratification variables included in the scope of the study and the study would be carried out using descriptive survey design.
DEFINITION OF TERMS
Communication: this is the exchange of information either by speaking, writing, or some other medium. It is also the means of sending or receiving information, such as mobile phones or computers.
Organisational Performance: this comprises the actual output or results of an organization as measured against its intended goals and objectives.
Horizontal communication: this form of communication flows laterally within the organization and involves persons at the same level in an organization.
Vertical communication: this is where information or messages flow between or among the subordinates and superiors of the organization.
Diagonal communication: is a way of communication between employees from different organizational units and from different hierarchical levels.
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