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EFFECT OF STRESS ON EMPLOYEES’ PERFORMANCE IN AN ORGANIZATION

EFFECT OF STRESS ON EMPLOYEES’ PERFORMANCE IN AN ORGANIZATION

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EFFECT OF STRESS ON EMPLOYEES’ PERFORMANCE IN AN ORGANIZATION

Chapter one

INTRODUCTION

1.1 Background of the Study

Stress is a typical occurrence in any type of profession, and people confront it in practically every area of life. Stress has been defined in several ways over the years. According to Robbins and Sanghi (2006), “a dynamic condition in which an individual is confronted with an opportunity, constraints

or demand related to what he or she desires and for which the outcome is perceived to be both uncertain and important” stress is an increasing problem in organisations and frequently has a negative impact on performance.

According to Kahn and Quinn (2010), “Stress is the result of a component of the assigned work function that has a negative influence on the individual. Occupational stress is viewed as a negative aspect of the workplace.”

It also has negative repercussions on an individual’s health, as David (2008) stated, “it can also be labelled as the damaging physical and emotional responses that occur when the job requirements do not match the workers’ skills, resources, or needs. Job stress can cause poor health and even injury.”

According to Ilo (2006, p. 6) “it is recognised world-wide as a major challenge to individual mental and physical health, and organisation health” . Although stress has both positive and negative sides, it is not always terrible.

According to Robbins and Sanghi (2006), “stress is typically discussed in a negative context; it also has a positive gain”. According to Robbins et al. (2008), “stress is not always negative or harmful, and indeed, the absence of stress is death”. However, it still has a negative impact on employee performance.

According to Usman and Ismail (2010), one of the effects of stress is on job performance, which has to be investigated. Stress has also been considered as an unavoidable part of working life, or at best a health-care concern. Neither view attempts to grasp how costly this issue is for employers.

Domestic family factors, social/people aspects, sexual factors, mental and physical problems, and so on are all potential sources of stress for individuals.

According to research, stress impairs human intellectual, emotional, and interpersonal functioning. Indeed, the intellectual, emotional, and interpersonal effects of stress play a direct role in almost every popular training and organisational development project.

The goal is to investigate and comprehend the extent to which stress influences worker efficiency and productivity in the workplace. To research how stress affects each employee’s ability to influence management efficiently, and lastly to advise and promote solutions for managers to successfully deal and handle stress in the workplace in order to achieve organisational efficiency.

As a result, effective and efficient stress management is important in the workplace in order to remove or lessen the effects of stress in both the public and private sectors, particularly among Ecobank Nigeria Plc Uyo employees.

1.2 Statement of Problem

This study aims to determine the impact of stress on employee performance. Employees endure numerous physical and mental hazards on the job, which can generate a great deal of stress.

Examples include family troubles, finances, and other personal challenges, as well as stress caused by job. Some individuals experience such high levels of stress on a daily basis that it has a substantial impact on their job performance, productivity, and overall health.

Every employee has a specific duty or function to execute that is focused towards achieving the overarching organisational goal. When an employee is under a lot of stress, the organization’s goals may not be met.

Thus, it is critical to understand how to minimise or reduce stress in order to improve daily productivity and staff performance.

1.3 Objectives of the Study

The researchers’ key aims for doing this study are:

To investigate and comprehend the impact of stress on the efficiency and productivity of people in the workplace.

Understand the sources and influences of stress on worker performance.

To explore how the impact of stress on each employee affects management efficiently.

To suggest and recommend solutions for managers to effectively address and handle workplace stressors in order to increase organisational productivity.

1.4 Research Questions.

To serve as a guide for a thorough analysis of this area of interest, the following research questions were asked:

Does working overtime have a detrimental impact on an employee’s performance?

Does the organisation compensate employees for overtime to motivate them to work hard?

Does motivation influence an employee’s job satisfaction?

Is there any way to control stress?

Does the organisation examine how a person’s health is influenced by their job?

Does a delay in the payment of a monthly wage affect employee performance?

Are there any difficulties outside of the workplace that affect an employee’s performance?

Does the bank’s workers cooperate and work as a team?

1.5 Research Hypothesis

To serve as a guide for this study, the null (Ho) and alternative (Hi) hypotheses are presented below.

Ho: The influence of stress on staff performance does not result in inefficiency or low production.

Hi: The effects of stress on employee performance result in inefficiency and low production.

Ho: Employee performance does not significantly impact organisational development.

Hi: Employee performance has an important influence in organisational growth

1.6 Significance of the Study

The reason for doing this study is to investigate the impact of stress on employee performance in both the public and private sectors. It will assist employees in being more aware of stress signs and effects, as well as avoiding them whenever possible.

It would assist Ecobank Nigeria Plc’s management and staff in developing policies that will allow trainees in any organisation to receive specialised training to suit the demands of their varied jobs. It will aid in providing accurate information for future scholars.

1.7 Scope of Study

The purpose of this study is to look at how stress affects employee performance. Furthermore, there are other stress-causing variables in the employee’s work environment.

This study focuses on the following factors: job-related, human-related, self-inflicted, societal and cultural, mental, and physical stressors. Concerning employee performance and management at Ecobank Nigeria Plc Uyo.

1.8 Definition of Terms

The concepts listed below are defined in the context of the research.

Stress is a state or reaction of an employee that arises when he is unable to satisfy the expectations of his surroundings or circumstances, or when the demands on an employee surpass or tax his adjustive resources.

Stressors are any factors in or out of the workplace that have a negative impact on employee performance.

Employee is defined as any person who works for another individual, person, or company in exchange for compensation or salary.

Environment: This refers to the external conditions and factors that influence the development and survival of a specific organism group. It also refers to the act of encircling or being surrounded.

Hazard: Anything, human or otherwise, that can cause or constitutes a hazard or risk to others.

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