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BUSINESS ADMINISTRATION UNDERGRADUATE PROJECT TOPICS

ORGANIZATIONAL RIGIDITY ON OUTPUT PERFORMANCE

ORGANIZATIONAL RIGIDITY ON OUTPUT PERFORMANCE

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ORGANIZATIONAL RIGIDITY ON OUTPUT PERFORMANCE

ABSTRACT

The study studied the impact of organisational rigidity on output performance, using Cadbury Plc as a case study.

The study used a survey approach and a purposive sampling technique to pick 450 employees from management, senior, and junior levels. Data from respondents was collected using a well-constructed questionnaire that was determined to be valid and trustworthy. The data collected through the delivery of questionnaires was analysed using Pearson correlation analysis.

The study found a positive and substantial correlation between organisational rigidity and output performance (r=.896; p<0.05). This implies that organisational rigidity is an important and powerful predictor of output performance in Nigeria.

The study found that organisational rigidity has a significant impact on production performance in a Nigerian manufacturing firm.

The study proposed that: Organization(s) should be viewed as an element of a society in which people bring different ideologies from their own society into the organisation

so such organisations will possess the paradoxical quality of being “part of” or “a part” of a society; organisational rigidity in any organisation must foster success and should be viewed as one of the most important factors that can account for an organization’s success or failure;

Organisational development in firms must have specific features that can increase sustainability on the basis of effectiveness; the improvement in output performance in all organisations must contribute to employee commitment, whereas norms, values, and objectives should contribute to organisational rigidity.

Chapter one

INTRODUCTION

1.0 Introduction

In today’s competitive world, the ability to stimulate output performance has become vital to an organization’s existence. Organisational rigidity is one of the most important variables influencing an organization’s responsiveness to the external environment (Schein, 1985).

An organization’s common strict values serve as a foundation for influencing and directing employee behaviour. According to research, organisations that rely on internal stability and conformity to rigidity rather than an open systems approach (Senge, 1990) to deal with today’s fast-moving

technology-driven external environment are at a significant competitive disadvantage because they lack the capacity to produce meaningful output. However, the current study is looking into the impact of organisational rigidity on output performance.

1.1 Background of the Study

Given the significance of stability in increasing firm output performance, some research have attempted to uncover the characteristics that can increase organisational stiffness (Koc & Ceylan, 2007). Organisational rigidity is currently thought to have a significant impact on output performance.

Because organisational rigidity influences employee behaviour, staff may take output performance as a core value of the organisation and become more involved in it (Hartmann, 2006).

The concept of considering organisations as stiff is a recent phenomena that emerged as an independent determinant influencing employee performance and output performance. In conjunction with the growing academic interest in this idea, academics have attempted to uncover and elaborate the theoretical construct that underpins rigidity in order to produce a more thorough theory.

Organization(s) are components of a society, and people bring various ideologies from their own culture to the organisation. Organisations have the paradoxical feature of being “part of” or “a part” of a society, and they are immersed in a social framework.

The norms that have kept the organisation running must remain constant. Organisations are communities in their own right, with distinct rules and values; organisational rigidity promotes success, and it is thus one of the most essential variables that might explain an organization’s success or failure.

Organisational rigidity is an anthropological word that refers to the underlying ideas, beliefs, and norms of conduct that define a society (Alvesson, 2002; Huczynski and Buchaman, 2001; Smith, Kleiner, & Brian, 1987).

Numerous theoretical disputes have revolved around whether organisational rigidity should be managed in the same manner that other organisational factors can be controlled.

Organisational development has some unique characteristics that can improve sustainability on the basis of effectiveness. Increased output performance correlates to employee engagement, whereas norms, values, and objectives contribute to organisational rigidity (Awadh & Saad, 2013).

Most of us devote a significant portion of our time to organisations. Organisational behaviour related to practitioners’ values and beliefs is built on inflexible features and norms that influence personality and organisational performance (Sondergaard, 1994).

These stiff organisational components and personality influence organisational conduct and sustainability (Schwartz, 1994). Several studies have revealed a substantial association between organisational rigidity and sustainability.

Output performance is the actual output or results of an organisation as compared to its expected outputs (or goals and objectives). One of the most prominent reasons for the interest in organisational rigidity is the belief that certain organisational rigid values result in improved output performance (Ilies & Gavrea).

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