EFFECTIVE COMMUNICATION AND ORGANIZATIONAL PERFORMANCE
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EFFECTIVE COMMUNICATION AND ORGANIZATIONAL PERFORMANCE
ABSTRACT
The importance of communication in accomplishing organisational goals cannot be overstated. The current study investigates the effective communication and organisational performance of Nigerian Breweries Plc. The study used a descriptive survey research design. The study’s population includes all Nigerian Breweries Plc employees.
Simple random sampling procedures were used in the investigation. The study randomly picks 264 employees from Nigerian breweries and collects data from them using a structured questionnaire.
The questionnaire results were examined using descriptive statistics (mean and standard deviation) and inferential statistics (correlation). All of the analysis was performed using SPSS.
The study’s findings show that internal communication has a positive and significant link with financial performance; external communication improves employee job quality; and the usage of ICT has a positive and significant association with the number of tasks done by employees.
The study recommends that free communication is followed by adequate information, which has a positive and significant relationship with financial performance. The study recommends that the organization’s management ensure that free, adequate, timely, and effective communication channels are put in place, as this will help to increase their financial performance.
Chapter one
INTRODUCTION
1.1 Background of the Study
In a global company environment, nothing can be accomplished without good communication inside the organisational structure for internal and external communication.
According to a study conducted by Proctor (2018), most business organisations in Texas, USA, have used good internal and external communication as one of their hallmarks and organisational doctrines for achieving organisational performance.
Furthermore, as global competition rises, achieving organisational performance among enterprises becomes increasingly difficult. In industrialised countries such as the United States and France, obtaining organisational performance is extremely difficult
and the competitive global market economy is dependent on all factors of production (i.e., personnel, machines, and materials), which must be managed properly (O’Boyle and Hassan, 2014).
Among the production components, human resources pose the greatest difficulty since, unlike inputs, personnel management necessitates the expert management of thoughts, sentiments, and emotions in order to ensure maximum productivity. This element relies heavily on effective organisational communication.
In South Africa, organisational performance is essential, particularly from a business standpoint, because it assists an organisation in identifying the variables that should be prioritised in order to increase organisational performance.
Today, Tanzanian organisations feel that human resources are the primary source of competitive advantage, and that they can improve organisational performance by efficiently developing a connecting platform for their human resources (Gondal & Shahbaz, 2012).
Given the business environment in Nigeria, it is more important than ever to implement appropriate organisational strategies and techniques to achieve organisational performance, as business survival in Nigeria has been a subject of organisational performance as the competitive advantage of successful businesses (Adegbuyi, Adunola, Worlu, & Ajagbe, 2015).
Effective communication has a significant impact on work groups because it serves as a route for the flow of information, resources, and policies. According to Eunju (2009), organisational communication can be broadly characterised as communication among members of an organisation.
This sort of communication, in turn, comprises actions such as sending and receiving messages through multiple layers of authority, using various message systems, and discussing numerous issues of interest to the group or firm we work for (Eunju, 2009).
Several research have shown that excellent communication can improve organisational outcomes (Garnelt, Marlowe, and Pandey, 2008). Communication has an impact on people’s perceptions and attitudes of themselves, their communities, organisations, governments, and even society.
Communication is widely used as a management technique to exchange information with members, coordinate operations, minimise superfluous managerial obligations and restrictions, and, ultimately, increase organisational performance. (Eunju. 2009).
Effective communication is a tool for promoting organisational change. It is the primary driver of any organization’s growth. There is a need for interaction and understanding of management-employee relationships since it will result in improved performance for all parties involved in the communication process.
Banihashemi (2011) defines communication as a medium, a means to an end, or as the end in itself. Communication is the process of transferring information from one person to another. However, the purpose of this study is to examine effective communication and organisational performance at Nigerian Breweries Plc in Iganmu, Lagos State.
1.2 Statement of the Problem
In recent times, there have been issues regarding effective communication in various Nigerian organisations, including Nigerian Breweries Plc in Iganmu, Lagos state.
This is based on the popularity of their products, which is decided by the external communication methods implemented by the organisations.
Additionally, the organization’s performance is dependent on employee cooperation, which can be achieved through good internal communications. As a result, any breakdown in internal communication will have a negative impact on organisational performance.
Effective communication is critical to effective team performance and overall organisational performance, just as nerve connections are in the human body (Mckinney, Barker, Smith, & Davis, 2004). As a result, each organisation that recognises the value of communication incorporates it into its operations.
Because it ensures the coordination of production aspects, particularly material and human elements of the organisation, as an effective network of change and advancement.
However, based on these facts, the current study seeks to establish a link between efficient communication and Nigeria Breweries Plc’s organisational success.
This is required because Nigerian Breweries Plc’s inefficient communication has resulted in bad financial performance, poor customer service, low social responsibility, and low employee stewardship.
Furthermore, Robins (2006) stated that an effective communication process begins with the sender encoding the message, the channel decoding the message, the receiver detecting noise, and feedback. It is believed that managers spend more than 80% of their time communicating with others.
Because most basic management processes, such as planning, organising, leading, and controlling, require efficient communication. Based on these, the current study investigates approaches that might be implemented to improve the communication system.
In general, the importance of efficient communication in any corporate organisation cannot be overstated; it is the mechanism by which people engage and collaborate effectively. This indicates that excellent communication is essential for organisational success. Communication skills are essential in all human endeavours, including business.
According to Stephen (2011), communication is an important aspect in guiding and mobilising the workforce to achieve the organisational goals or objectives.
Creating understanding improves cooperation and promotes good performance. According to Williams (2007), savvy managers recognise that effective, direct communication between managers and employees is critical to success.
Importantly, as the globe gets more interconnected, the importance of efficient communication grows. The necessity to be visible to the rest of the world has prompted many organisations to adopt new technology that will improve organisational effectiveness. There are numerous issues that affect communication, including gender differences, the role of silence, government inference, and cross-cultural inference.
Many organisational problems stem from an inability to communicate effectively. As a result, it is critical to emphasise that in communication, emotions, surroundings, psychological, and technical features of the medium are all relevant to improving organisational performance. Okoye (2004) believes that psychological transmission extends beyond information reception to include interpretation and feedback.
According to (Lee, 2003; Scott, 2004), communication breakdowns are the root cause of the majority of organisational conflict. According to Chudi-Oji (2013), despite the commendable functions of efficient communication in boosting organisational performance
it is unfortunate that some organisations only pay lip service to the upkeep of effective communication systems. Therefore, the current research tries to figure out the communication gap in Nigerian Breweries Plc.
1.3 GOALS OF THE STUDY
The basic purpose of this study is to analyse effective communication and organisational performance at Nigerian Breweries Plc, while the specific objectives are as follows:
Examine the relationship between internal communication and financial performance at Nigerian Breweries Plc in Iganmu, Lagos State.
Identify external communication approaches that increase job quality at Nigerian Breweries Plc, Iganmu, Lagos State.
Determine the impact of ICT use on task completion rates at Nigerian Breweries Plc, Iganmu, Lagos State.
1.4 RESEARCH QUESTIONS.
What is the relationship between internal communication and financial performance at Nigerian Breweries Plc, Iganmu, Lagos State?
What external communication tactics promote job quality at Nigerian Breweries Plc, Iganmu, Lagos State?
How does the usage of ICT affect the number of tasks performed at Nigerian Breweries Plc, Iganmu, Lagos State?
1.5 Hypotheses.
HO1: There is no substantial association between internal communication and financial success at Nigerian Breweries Plc Iganmu, Lagos State.
HO2: No external communication approaches increase job quality in Nigerian Breweries Plc Iganmu, Lagos State.
HO3: There is no significant relationship between the use of ICT and the number of tasks performed at Nigerian Breweries Plc, Iganmu, Lagos State.
1.6 Operationalization of Variables
Dependent variable: Organisational performance as measured by financial performance, job quality, and the number of activities done.
Independent variable: effective communication that is captured by internal communication, external communication, and the usage of ICT.
y = f(y1, y2, y3).
y = organisational performance.
Where:
Y1: Financial performance
y2 indicates job quality.
Y3 = number of completed tasks.
x = Effective communication
x = f(x1, x2, x3).
Where:
x1 = Internal communication.
x2 = External Communications
x3 = usage of ICT.
It is also possible to argue that organisational performance is dependent on effective communication.
x = f(y1, y2, y3).
Converting this functional relationship into a regression model yields:
x ₌ α0 ₊ α1y1 ₊ α2y2 ₊ α3y3 ₊ μ
A0 is a constant term in the regression model.
Α1-3 coefficients for parameter estimates of successful communication.
μ₌ Stochastic variable.
1.7 Significance of the Study
The following are the implications of this study:
The findings of this study will inform company administrators/managers, policymakers, and the general public about the advantages of effective communication as a tool for organisational performance. It will also shed light on effective communication tactics for improving organisational performance.
This research will also serve as a resource base for other scholars and researchers interested in carrying out more research in this sector, and if used, will go to an extent to provide fresh explanations to the problem.
1.8 Scope of the Study
This study is confined to Nigerian Breweries Plc Iganmu employees in Lagos State. It will also address internal and external communication tactics, as well as the organization’s usage of ICT. It will also address the organization’s financial performance, work quality, and the amount of tasks accomplished each day.
1.9 Definition of Terms
Communication is the exchange of information through speaking, writing, or utilising another medium.
Performance is the successful completion of all obligations/objectives in a manner that free the performer from all liabilities (Jaine, 2015).
Effective communication is described as verbal speech or other techniques of conveying information that make a point. Effective communication occurs when the communicator actively listens, absorbs, and comprehends the message (Chudi-Oji, 2013).
Organisational performance refers to an organization’s actual output or results as compared to its expected outputs (or aims and objectives) (Kotter, 1996).
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