EFFECT OF EMPLOYEES COMMITMENT ON ORGANIZATIONAL GROWTH IN TERTIARY INSTITUTIONS

CHAPTER ONE

INTRODUCTION

1. BACKGROUND OF THE STUDY

Organizations achieve their set objectives when competent and committed employees are engaged (Khan et al, 2013). Getting committed employees who are competent and ready to give in their best in the pursuit of the objectives of the organization has been one of the problems facing most organizations especially in the service industry. Some of the indicators of a committed employee including but not limited to lack of interest in job offers elsewhere, willingness to accept responsibility, expression of job satisfaction, ability to make useful contributions, eagerness to work with less supervision and not given to unnecessary excuses (Iqra and Yahya, 2013). It is therefore important for an organization to know the aspects that play an important role or have a big impact on boosting the commitment of its employees. Employee commitment is the psychological attachment and the resulting loyalty of an employee to an organization. Employee commitment is an important part of the organization’s growth and it is the main thing as an employee committed with the organization’s goals, values, and job. It is an employee who believes in organizational goals and involves it. It will explore the certain achievement of the commitment. Employee commitment is situations where employees are reasonably connected with their job and organization. Basically, three forms of employee commitment have been explored (Klein, Molloy and Brinsfield, 2012). They are effective, continuance and normative commitments. Each of these forms has different implications for employees’ workplace behavior. Most managers consider each of these behaviours as it contributes or affects organizational growth. Employee commitment always plays a very key role in improving organizational growth. The organizational growth can be measured through a lot of ways, for example, company employee turnover, return on equity, etc. The enhancement of employee commitment can be through their involvement in assessment construction and providing them with the chance for better insight into the whole procedure of the organization’s growth measurement (Dost and Ahmed, 2011). There are some factors that determine employee commitment to organizational growth; work environment, job satisfaction, training and development, and organization social process. These are more helpful to identify employee satisfaction. And it is a positive manner in how they impact organizational development. The effect of employee commitment on organization development employee turnover reduced, increased employee job performance and increased total return shareholders.

1.2 STATEMENT OF PROBLEM

In Nigeria Tertiary educational institutions are facing a huge challenge in terms of skilled human resource capacity, which has a debilitating effect on its ability to make strides in the areas of socio-economic and organizational growth. Evidence from Ojokuku, 2013; Ologunde, Asaolu, and Elumide, 2012 and Okebukola, 2018 empirical studies shows that the need for qualified academic staff in Nigerian tertiary institutions of learning is on the increase, while, majority of the tertiary institutions in Nigeria are experiencing dearth of teaching personnel due to low motivation, low job satisfaction and lack of commitment among the lecturers, which have created negative job attitudes. Performance of academic staff is of importance because good quality tertiary education is an important avenue towards nurturing the teachers needed for universal primary education, the experienced doctors, nurses and community workers needed for better water and health facilities, the accountants, economists, and journalists required for better private business and better governance. In order for higher education to develop the above capacities, it must ensure that their staffs are well motivated in order to commit to the quality needed for socioeconomic and political development. Employee commitment has also been measured in tertiary institutions in both developed and developing countries. However, to the best knowledge of the researchers, no study has addressed the effect of employee commitment dimensions on organizational growth in academic settings in Nigeria. It is in the light that this study intends to fill the gap in knowledge by focusing on the effect of employee commitment dimensions on organizational growth in tertiary institutions in Lagos state.

1.3. AIMS AND OBJECTIVES OF THE STUDY

The major aim of the study is to evaluate effect of employee’s commitment on organizational growth in tertiary institutions. Other specific objectives are as follows;

1. To examine the level of commitment of the employees’ in tertiary institutions
2. To examine factors influencing employee commitment in tertiary institutions
3. To examine the effect of employee commitment on organizational growth in tertiary institutions
4. To examine the relationship between employee commitment and organizational growth in tertiary institutions
5. To make recommendations on how to improve the organizational growth through employee commitment.

1.4 RESEARCH QUESTIONS

1. What is the level of commitment of the employees’ in tertiary institutions?
2. What are the factors influencing employee commitment in tertiary institutions?
3. What are the effects of employee commitment on organizational growth in tertiary institutions?
4. What is the relationship between employee commitment and organizational growth in tertiary institutions?
5. What are the ways on how to improve the organizational growth through employee commitment?

1.5. RESEARCH HYPOTHESES

Hypothesis 1

H0: There is no significant effect of employee commitment on organizational growth in tertiary institutions.

H1: There is a significant effect of employee commitment on organizational growth in tertiary institutions.

Hypothesis 2

H0: There is no significant relationship between employee commitment and organizational growth in tertiary institutions.

H1: There is a significant relationship between employee commitment and organizational growth in tertiary institutions.

1.6. SIGNIFICANCE OF THE STUDY

The research will be of use especially to the organizations in Nigeria; because it will provide guidance to the management at different level and employees of tertiary institutions, and other similar organizations to understand the effect of employees’ commitment on organizational growth. This is important especially the application in the downsizing of employees. To the policymakers, the study will act as guide for establishing the best policies to effect on employee commitment so as to enable the growth of the organizations in Nigeria. The study is important to the government in the determination and establishment of a regulatory/legal framework for the organizations in Nigeria. Increased knowledge obtained on the relationship between employee commitment and growth can be applied in making policy or management decisions regarding organizational performance or organizational change. Moreover, there is lack of studies concerning employees’ commitment in the study area. Thus, this study makes suggestions to the management for further implementation, and gives a better understanding on the work environment for tertiary institutions. In addition, the study makes a contribution to future research in human resource management.

1.7. SCOPE OF THE STUDY

The study is restricted to the effect of employee’s commitment on organizational growth in tertiary institutions, case study of selected tertiary institutions in Lagos state.

1.8 LIMITATION OF STUDY

Financial constraint– Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).

Time constraint– The researcher will simultaneously engage in this study with other academic work. This consequently will cut down on the time devoted for the research work.

1.8 DEFINITION OF TERMS

Employee:An employee is an individual who was hired by an employer to do a specific job. The employee is hired by the employer after an application and interview process results in his or her selection as an employee.

Employee Commitment:Employee commitment is the attachment that an employee has on their organization due to their experiences. It can indicate the level of satisfaction, and engagement among employees. It is crucial to assess employee commitment since it is a key element in organizational success.

Organization:An organization or organisation is an entity comprising multiple people, such as an institution or an association that has a particular purpose. The word is derived from the Greek word organon, which means tool or instrument, musical instrument, and organ

Organizational Growth:A process through which the structure of a multigent system organization increases the number of its roles and links. Organizational growth is essentially a quantitative process.