Abstract
This study evaluates Organizational Structure on the performance of employees at Benue State University, Makurdi. The study seeks to achieve the following objective: To access the effect of complexity structure on employee performance in Benue State University, Makurdi; to evaluate the effect of formalization structure on employee performance in Benue State University, Makurdi; to examine the effect of centralized structure on employee performance in Benue State University, Makurdi; The study focused on the employees of Benue State University, Makurdi, with the population of six hundred and twelve (612) administrative and academics. The sample size of two hundred and forty-one (241) was drawn from the population using the Taro Yamane formula. The study made use of primary data with a questionnaire as the instrument for data collection. Regression analysis was adopted to analyse the data with the aid of Statistical Packages for Social Sciences (SPSS 21). The study found that complexity, formalized, and centralized structure have a significant effect on employee performance at Benue State University, Makurdi. The study concluded that organizational performance largely depends on the structure of the organization. It is therefore recommended that the management of Benue State University, Makurdi should analyse the effectiveness and efficiency of its organization by ensuring that proper and suitable structures are put in place and implemented to achieve set goals. Organizations should also endeavour to have a well-structured mechanism for them to attain laid down objectives.
Keywords: Organizational Structure, Complexity structure, Formalized structure, Centralized structure. Employee performance.
Introduction
The structure of an organization is the set of relations that exist between different roles of that organization (Grossi, 2007). It is a system, which helps in identifying the functions of each role in an organization. Attaining organizational goals require relationship among different organizational parts or systems known as organizational structure. The structure of an organization is responsible for the functioning of the entire system and hence it should be designed in such a way that it is aimed at achieving the goals set by a particular organization and as well facilitates its growth. Organizational structure shapes performance which means a poorly designed structure will give rise to poor performance and as well, and a good performance acquires a good shaped and functional structure (Csaszer, 2008). Organizational structure is the keystone of any organization and all its functions and activities are interlinked and dependent on organizational structure (Denicolo, 2013). The foundation of any organization is principally the structure in which it is built and which is likewise in charge of the way it performs. Structure does not only mean the physical design but rather the way an organization works in accomplishing its objectives. The structure of any organization is an important guide to the activities carried out in such an organization. These organs in the Institutions are core entities that collaborate with external forces and these external forces routinely interact with and shape the policies and procedures of the institution’s internal organizational structures.
The organizational structure can be described as being complex because of the fragmentation style in arrangement, hierarchy in structure, involvement in decision-making, centralization of authority, and the level of formalization (Denicolo, 2013). The organizational structure shows how the organisation’s activities are allocated, coordinated and supervised, and directed towards the attainment of organizational goals and objectives. The structure defines the way power, roles, responsibilities, control, coordination as well as flows of information between levels of the organization are directed for effective and efficient performance (Renani, Ghaderi & Mahmoudi, 2017). The structure of an organization impacts the relationship and communication that exist between the employees for effective performance since the interaction among them as regards the structure influence the channels of communication (Denicolo, 2013).
Organizational structure has three main dimensions; complexity, formalization, and centralization (McLaughlin, 2018). Complexity is the separation of duties within the organization into a vertical or horizontal manner. Horizontal is when duties are separated within the united levels in an organization while vertical is the organizational hierarchy from the lower level to the top. Formalisation looks at the degree of rules, policies, and procedures that allows the employee to discharge their ability in form of creativity, and autonomy in the workplace as well as give the employee the leverage to learn more and be creative. Organisations with high formalization have explicit rules and regulations that sometimes obstruct the impulsiveness and flexibility required for creativity and innovation for organizational growth and expansion. Centralisation otherwise known as rigid authority structure is the structure that does not allow employee participation thereby reducing their communication, involvement, and commitment toward organizational goal attainment. Decisions are made hierarchical thereby reducing motivation and innovation that are critical to the performance of the organization.
Performance globally is about intentional behavior, which can be individual or organizational; performance has a quality that can be either high or low (Geert & Halligan, 2015). Performance is about the standard of the actions and can also be conceptualized as competence or capacity. Performance is conceptualized with attention to both the quality of actions and that of achievements and sustainable results. Employee performance relates to how the employees in an organization exercise their ability toward the attainment of organizational objectives and goals (Muhammad, Jasfar & Arafah, 2019).
The complicated character of the structure currently in operation in most of the higher institutions in Nigeria has paved the way for different crises such as funding, admission, the crisis of staff and students, management practices, and so on. However, the capability of the management team in the universities to achieve desired results (personal and organizational) centered majorly on the managerial skills, attitudes, and styles adopted for the day-to-day administration of the system. The Nigerian universities have witnessed various management styles depending on who is the Chief Executive; but the general features or characteristics of the universities in the area of management like involvement in decision-making through the use of a committee system, decentralised system through functional and spatial distribution of authority and responsibilities, formalization and documentation of issues, and a host of others. Paradoxically, the institutional leaders are supposed to maximally achieve the goals of the institution. That is, the need to investigate how the organizational structure could affect employee and student personnel management practices in Nigerian universities (Abdulkareem & Gabadeen, 2015).
EFFECT OF ORGANIZATIONAL STRUCTURE ON THE PERFORMANCE OF EMPLOYEES IN BENUE STATE UNIVERSITY, MAKURDI-NIGERIA
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