A Study on HRD Culture and Climate and Their Impact on Employees Performance at Bharat Sanchar Nigam Limited (BSNL)

 

Dr. Usha Tiwari

Faculty, Study Centre for HRD, A.P.S. University, Rewa (M.P.) India – 486 003

*Corresponding Author E-mail: skandbt@gmail.com

 


ABSTRACT:

Organisational climate is a set of characteristics of an organisation which are referred in the description employees make of the policies, practices and conditions which exist in the working environment. An organisation become dynamic and growth -oriented if their people are dynamic and proactive. Strong culture has almost considered as a driven force to improve the performance of  the employees. It enhances self confidence and commitment of employees and reduce job stress and improve the ethical behavior of the employees. Organisational culture has a positive impact on the employee's job performance.

The present paper is an attempt made to study the HRD culture and climate and their impact on employee performance at Bharat Sanchar Nigam Limited (BSNL).

The study shows the HRD culture and climate and their impact on employees performance to be good in Bharat Sanchar Nigam Limited (BSNL). The average mean and percentage scores of the overall 16 items have been computed at 3.643 (66.075).

 

KEY WORDS: HRD Culture, HRD Climate, Organisational Climate, Employees Performance, BSNL

 

 


INTRODUCTION:

Organisational climate is a set of characteristics of an organisation which are referred in the descriptions employees make of the policies, practices and conditions which exist in the working environment An organisation become dynamic and growth oriented if their people are dynamic and pro-active. The characteristics of organisation HRD climate are : individual initiative, risk tolerance, direction, integration, management support, control, identity, reward system conflict tolerance, communication patterns.

 

Organisation now are facing greater their challenges to retain their talented and competent personnel with them. Thus, talent management has become the critical goal of HR professionals. Among many others, improving the quality of HRD is reported to be one effective alternative to face these challenges. A productive and supportive environment is essential for effective learning and development in organisations.

 

 

This environment requires a culture of collaboration and team spirit, top management's commitment towards HRD initiatives and the effective implementation of various HRD sub systems.

 

Organisation's norms and values have a strong affect on all of those who are attached with the organisation. It is considered that norms are invisible but if the organisation want to improve the performance of the employees and profitability, norms are places first to look.

 

Strong culture has almost considered as a driven force to improve the performance of  the employees. It enhances self confidence and commitment of employees and reduce job stress and improve the ethical behaviour of the employees (Saffold, 1998). Organisational culture has a positive impact on the employee's job performance. Organisation success shows high return on equity and this become possible due to establishment of good employees performance management system.

 

The present paper is an attempt made to study the HRD culture and climate and their impact on employee performance at Bharat Sanchar Nigam Limited (BSNL).

OBJECTIVES OF THE STUDY:

i).    To analyses the overall work culture of the organisation.

ii).   To study the satisfaction level of the employees at personnel, interpersonal and organisational level.

iii).  To measure the effectiveness of communication system and other work process.

iv).  To study employees attitude towards their direct supervisor and senior management.

v).   To study employees attitude towards providing services to their external customer.

 

HYPOTHESIS:

The main hypothesis of study is follows -

(i)    There is a significant relationship between HRD culture and climate and organisutional effectiveness.

(ii)   HRD culture and climate is the most important instrument behind every success and failure of any organisation.

(iii)  HRD climate help to boost employee  morale, motivated and competent employees.

 

REVIEW OF LITERATURE:

George and Ronald (1993) studies how an organisations culture affects organsiational performance. Organisational culture is operationalized  by several latent variables i.e. organisational structure and purpose, organisational value, task organisation, climate and individual values and beliefs. These variables, inturn are hypothesized to affect oranisational performance. It appears that the comparison of visible aspects of culture across and within organisations can provide useful information for guiding the directions  of organisations. By investigating the variables it may eventually be possible to explain why some organisation are not performing as desired levels  of productivity.

 

Krik et al (2001) studies the degree to  which organisational climate mediates the relationship between human resource practices and customer  satisfaction. The result indicates the indirect effects of HR practices on customer  satisfaction were significant and relatively large while the direct effect was nonsignificant. The results were supportive of a social context model of the impact of human resource practices on organizational out comes.

 

Babakus (2003) suggested that top management commitment  to service quality, as manifested by frontline employees appraisal of training. empowerment and reward, has a significant effect on their perceptions of service recovery performance. The influence of management commitment to service quality on service recovery performance is mediated by frontline employees affective commitments to their organisation and job satisfaction.

 

Chan et. al. (2004) tested the direct and interactive effects of high performance human resource (HPHR) practices and organisational culture on firm performance. Although the HPHR practices were not an important influence on performance. Result indicate that organiszational culture can be a valuable resources for companies.

 

Colin (2004) suggested that person- organitisation (P-O) fit is a key element in both the level of job satisfaction and also in their level of organisational commitment whether measured by an instrument or turnover rates. Organizational culture plays an important role in the  level of job satisfaction and commitment in an organisation. Result indicate that a bureaucratic organisational culture resulted the lowest level, an innovative culture was next highest and a supportive culture had the highest level of employee job satisfaction and organisational commitment.

 

Lee (2004) investigate the possible relationship between corporate culture and organisation performance among Singaporean companies. Study has demonstrated the power of culture influencing organsiational performance. For study the organisational culture profile was used as the primary research instrument.

 

Chenhall (2005) said that the strategic performance measurement system (SPMS) provide a way to translate and measure the both financial and non financial performance. He also suggests that it is the incorporative nature of this measurement technique; provides the potential to increase the strategic competitiveness of the organisation.

 

Garry and Ivery (2006) examines relationship between human resource management (HRM), work climate, and organisational performance in the branch network of a retail bank. The result show that the correlations between climate and performance cannot be explained by their common dependence on HRM factors, and that the data are consistent with a mediation model in which the effects of HRM practices on business performance are partially mediated by work climate.

According to Bruce et. al. (2009) the relationship   between favorable organisational climate and employee turnover to be negative but the relationship between organsiational climate and customer satisfaction and financial performance to be positive.

 

Hartnell et. al. (2011) indicate that clan, adhocracy and market cultures are differentially and positively associated with the effectiveness criteria. The finding provide mixed support for the competing values framework (CVF's) nomological validity and fail to support aspects of the CVF's proposed internal structure.

 

Shahzad et. al. (2012) suggested that organisational culture has deep impact on the variety of organisations process, employees and its performance. Research shows that if employee are committed and having the same norms and value as per organisation have, can increase the performance toward achieving the overall organisation goals. Managers and leaders are recommended to develop the strong culture in the organsiation to improve the overall performance of the employees and organsiations.


 

Table 1- Item wise mean scores, percentage scores and categories of HRD culture of climate and their impact on employee performance at BSNL

S.N.

Items/Factors

Mean score

% score

CAG

1.

Organisation culture/climate effect  work performance .

3.35

58.75

Average

2.

Managers praise our performance.

3.70

67.50

Good

3.

Communication system of organisation is good.

3.50

62.50

Good

4.

Criteria for promotion is performance basis.

3.30

57.50

Average

5.

Management encourage the employee to take initiatives.

3.80

70.00

Fairly Good

6.

We enjoy team work in our department

4.20

80.00

Very good

7.

When senior delegates authority to juniors, they use it as an opportunity  to development

3.60

65.00

Good

8.

Better job security and carrier growth make be retain with BSNL

4.0

75.00

Fairly good

9.

People trust each other in organisation

3.80

70.00

Fairly good

10.

Team spirit is of high order in this organisation

3.85

71.25

Fairly good

11.

The top management goes out of way to make sure that employees enjoy their work

3.45

61.25

Good

12.

The personnel policies in this organisation facilitate employee development

3.90

72.50

Fairly Good

13.

People in this organsisation are helpful to each other.

3.55

63.75

Good

14.

Employee are encouraged to experiment with new methods and try out creative ideas.

3.30

57.5

Average

15.

The top management believes that human resources are an extremely important

3.65

66.25

Good

16.

Promotion decisions are based on the suitability of the promotion than on favoritism.

3.35

58.75

Average

 

Over all

3.643

66.075

Good

 

Categories : P = Poor,                    AV = Average,              G = Good,  FG, Fairy Good,           VG = Very Good

Source - Primary Data

Figure - 1 Item wise and overall average, percentage scores and categories of HRD culture of climate and their impact on employee performance at BSNL

 

 

 


METHODOLOGY:

With a view to analyse the HRD culture and climate and their impact on employees performance at BSNL, 16 items close ended structured questionnaires were distributed among various cadres of employees. Interview and discuasion with some employees was another tool for study. Secondary data collected from the past literature, annual reports, data maintained by the BSNL was also incorporated. The study was conducted in various offices of Rewa and Satna divisions. The scoring was simplified in percentage as per the formaula of Rao (1991) i.e.

 

Percentage Score = Mean Score - 1x25

Five categories of gradation were very good, fairly good, good, average and poor.

 

Table :2 Category wise items of HRD climate and culture and its impact on employee performance at BSNL

 

S.N.

Category

% Range

No of Item

Total

1.

Very Good

80-100%

6

01

2.

Fairly Good

70-80%

5,8,9,10,12

05

3.

Good

60-70%

2,3,7,11,13,15

06

4.

Average

50-60%

1,4,14,16

04

5.

Poor

0-50%

-

Nil

 

 

RESULT:

The Tables 1 and 2 and Fig. -1 under reference show the item wise mean score percentage score and category of the 16 items obtained during survey in the Bharat Sanchar Nigam Limited (BSNL). Some of the trends notice are given below:

The HRD culture and climate and their impact on employee performance appears to be good. The overall mean score and percentage score of 16 items has been calculated at 3.643 (66.075).

 

The most important item contributing very good score is (i) employee enjoy team work in their department (item-6); other important factors resulting is fairly good scores are (i) management encourage the employee to take initiatives (item-5), (ii) better job security and career growth make me retain with BSNL (item-8),(iii) people trust each other in organisation (item-9), (iv) team spirit is of high order in this organisation (item-10), (v) The personnel policies in this organisation facilitate employees development (item- 12).

 

The items in which BSNL scored good are - (i) management praise our performance (item-2), (ii) communication system of organisation is good (item-3) (iii) when seniors delegates authority to juniors, the juniors use it as opportunity to development (item-7); (iv) the top management goes out of way to make sure that employees enjoy their work (item-11), (v) people in this organisation are helpful to each other (item-13), the top management believes that human resources are an extremely important and that they have to be treated more humanely (item-15).

 

The factors appears average scores are (i) organisational culture/climate effect my work performance (item-1), criteria for promotion is performance basis (item-4), employees are encouraged to experiment with new methods any try out creative ideas (item-14), promotion decisions are based on the suitability of the promotion rather than on favoritism.

 

CONCLUSION:

On the basis of this study we can concluded that HRD culture and climate has a positive impact on the employee's job performance. Researcher shows that every individuals in the organisation has different culture and he/she first try to adjust him with the norms and values of the organisation. The adaptation of culture of the organisation is helpful for the employees to done their work efficiently and effectively. Performance of the employees caused for the increase in net profit of the organisation. Positive development is easier to achieve when everyone is on a common path in the organisation. Strong organisational culture is very helpful for the new employees to adopt the organisational culture/climate and to get the competitive advantage under particular conditions. Employee's commitment and group efficiency plays very crucial role to adopt the values and beliefs of the organisation and enhancing the performance of the organisation.

 

SUGGESTIONS:

Based on the above observations the suggestions which can be made at this juncture are:

(i)    Authority should motivate their employees on continuous basis.

(ii)   Authority should try their best to create such an open environment where in employees take initiative to show their work.

(iii)  All the groups of employees should be subjected to integrated and sound training policy.

(iv)  Guiding spirit should be introduced.

(v)   Personnel policy should be strengthened.

(vi)  Authorities invest considerable time and other resources for ensure development of employees.

(vii) Require more practical training for using the different apparatus and machines.

(viii) Knowledge of various safety promotional activity i.e. TQM, TPM, ISO certification norm awareness should be given.

 

REFERENCE:

1.       Babakus Emin, Yavas Ugur and Turgav Avci O.M.K. (2003): The effect of management commitment to service quality on employees affective and performance outcomes. Jour. of Academy of Management Science Vol. 31(3) pp. 272-286.

2.       Bruce Cooil, Lerzan Aksoy, Timothy L.K. and Kiersten M. Maryott (2009): The relationship of employee perceptions of organisational climate to business unit outcomes - An MPLS approach. Jour. of Service research Vol. 11 No. 03 pp.-277-294.

3.       Chan Lismen L.M., Shaffer M.A. and Snapel (2004): In search of sustained competitive advantage : the impact of organisational culture, competitive strategy and human resource management practices on firm performance. International Jour. of Human Resource  Management Vol. 15 (1) pp. 17-35.

4.       Chenhall R.H. (2005): Integrative strategic performance management system, strategic alignment of manufacturing, learning and strategic outcomes an exploratory study. Accounting Organisations and Society, 30 (5), 395-422.

5.       Collin Silvethorne (2004): The impact of organisational culture and person - organisation fit on organisational commitment and job satisfaction in Taiwan. Leadership and Organisation development Jour. Emerald group pub. limited. Vol-25, (7).

6.       emerging market case studies . Emerald Group Pub. Limited.

7.       Garry A. Gelade and Ivery Mark (2006): Management and work climate  on organisational programme. Personnel Psychology Vol. 56(2) pp. 383-404.

8.       George A.M. and Ronald H. Heck (1993): organisational culture and performance : proposing and testing a model. Organisation Science Vol.4 (2)  pp..209-225.

9.       Hertnell Chad A., VU Amy yil, Kinicki Angelo (2011) : Oganisational culture and Organisational effectiveness - A meta analytic investigation. Jour. of Applied Psychology Vol. 96(4) pp 677-694.

10.     Kirk L. Rogg., David B. Schmidt, Carlashutt and Neal Schmitt. (2001) : Human resource practices, organisational climate and customer satisfaction. Jour. of management Vol. 27 (4) 431-449.

11.     Lee S.K.J. (2004): Carporate culture and organisational  performance.

12.     Rao. T.V. (1991): Readings in Human Resource Development.  Oxford and IBH Pub. New Delhi.

13.     Shahzad F., Luqman R.A. and Khan A.R. (2012) : Impact of orgainisational culture on organisational performance. Inter disciplinary Jour. of contemporary Research in Business Vol.  3 (9) pp.975-985.

 

 

QUESTIONNAIRES:

1.       Organization culture/climate effect my work performance.

(a) Strongly Agree        (b) Agree      (c) Nether Agree Not Disagree   

(d) Disagree (e) Strongly Disagree

2.       Managers recognizes/praise our performance.

3.       Communication system of your organization is good/satisfactory

4.       Criteria for promotion is performance basis.

5.       Management of the company encourage the employee to take initiative.

6.       We enjoy team work in our group/department.

7.       When senior delegates authority to junior, the use it as an opportunity to development.

8.       Better job security and career growth make me retain with BSNL.

9.       People trust each other in organization.

10.    Team spirit is of high order in this organization.

11.    The top management goes out of way to make sure that employees enjoy their work.

12.    The personnel policies in this organization facilitate employee development

13.    People in this organization are helpful to each other.

14.    Employees are encouraged to experiment with new methods and try out creative ideas.

15.    The top management believes that human recourse are an extremely important and that they have to be treated more humanely. 

16.    Promotion decisions are based on the suitability of the promote rather than on favoritism.

 

 

 

 

Received on 21.01.2014               Modified on 25.04.2014

Accepted on 05.05.2014                © A&V Publication all right reserved

Asian J. Management 5(3): July-September, 2014 page 297-301