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Employee Participation In Decision Making And Its Impact On Productivity

(A Case Study Of Anammco)

5 Chapters
|
116 Pages
|
14,912 Words

Employee participation in decision-making processes within organizations has shown to have a profound effect on productivity levels. By involving employees in the decision-making process, companies can tap into their diverse expertise, insights, and perspectives, fostering a more inclusive and collaborative work environment. This participatory approach not only empowers employees but also enhances their sense of ownership and commitment to organizational goals, leading to increased motivation and engagement. Moreover, when employees feel valued and respected for their input, they are more likely to demonstrate higher levels of job satisfaction and loyalty, ultimately contributing to improved productivity and overall organizational performance. Additionally, involving employees in decision-making can lead to the identification and implementation of innovative solutions to challenges, as frontline workers often possess unique insights into operational issues. As a result, organizations that prioritize employee participation in decision-making are better positioned to adapt to changing market dynamics and achieve sustainable competitive advantages.

ABSTRACT

The purpose of this study is to examine employees participation in decision making and its impact in ANAMMCO imited Enugu.
To carryout this study, data were collected frm primary and secondary data. The main data instrument is the questionnaire, the data are presented table and analysed with frequencies and percentages.
Having analyzed the data, the following findings were made:
(1) Decision-making in ANAMMCO is jointly done by management and employees. However, employees participation is limited.
(2) Employees participation makes them feel recognized, responsible and committed.
Employees moral is boosted by this as they are motivated. This increased their productivity and the overall performance of the organization.

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TABLE OF CONTENT

Title page
Approval page
Dedication
Acknowledgement
Abstract
Table of contents
List of tables

CHAPTER ONE
1.0 Introduction
1.1 Background of the study
1.2 Statement of problem
1.3 Purpose of the study
1.4 Scope of the study
1.5 Research question
1.6 Research hypothesis.
1.7 Significance of study
1.8 Limitation of the study
1.9 Definition of terms
References

CHAPTER TWO
2.0 review of related literature
2.1 The concept of participation
2.2 Factors that influence participation
2.3 prerequisities for participation
2.4 Forms of employee participation
2.5 Different needs for participation
2.6 Views expressed concerning participation
2.7 Constraints to participation
2.8 Arguments for participation.
2.9 Arguments against participation
References

CHAPTER THREE
3.0 Research design and methodology
3.1 research design
3.2 Area of the study
3.3 Population of the study
3.4 Sample and sampling procedure
3.5 Instrument for data collection
3.6 Validation of the instrument
3.7 Reliability of the instrument
3.8 Method of data collection
3.9 Method of data analysis
References

CHAPTER FOUR
4.0 Data presentation and analysis
4.1 Presentation and analysis of data.
4.2 Testing of hypothesis
4.3 Summary of results
References

CHAPTER FIVE
5.0 Discussion, recommendation and conclusion
5.1 Discussion of results/findings
5.2 Conclusion
5.2 Implication (s) of results/findings
5.3 Recommendations
5.4 Suggestions for further research

BIBLIOGRAPHY
APPENDIX I
APPENDIX II

CHAPTER ONE

INTRODUCTION
1.1 BACKGROUND OF THE STUDY
It should be recanted that a decision is a choice where by a person forms a conclusion about a situation. Costello, 1. Wand Zalkind, S.S. (1963 P. 334), confined the term decision making, to a choice process, choosing one from among several possibilities, however, decision theory in Costello, T. w et al (1963, P 387) largely considers decision asking the process of making a single choice among course of action at a particular point in time this depicts a course of behavior about what must be done or vice versa. Decision is however, the point at which plans, policies and objectives are translated into concrete actions. Planning engenders decisions guided by company policy and objectives, policies, procedures and programmes. The aim of decision making is to channel human behavior towards a future goal.
Decision-making is however, one of the most germane activities of management. It has been the preoccupation of all the management of multifarious organization ranging from small-scale organzation to multinational corporations.
Managers many at times consider decision making to be the heart of their job in that they must always choose what is to be done. Who will do it, when where and most the time now it will be done.
Traditionally, managers influence the ordinary employees and specifically, their immediate subordinates in the organization. This has resulted in managers making unnatural decision even in areas effecting their subordinates.
In Germany, around 1951, a low enacted which provides for code termination and requires labour membership in the supervisory hoard and executive committee of certain large corporations. However the participation of labour in decision making process resulted to relatively and peaceful labour management relations.
Additionally, the Japanese management uses decision making by consensus in which lower-level employees initiate the idea and submit it to the next higher-level unit it reaches the desk of the top executive. If the proposal is approved, it is returned to the initiator for implementation.
It is in this context, that the research wishes to assess the employee participation in decision making and its impact on productivity in Nigerian public sector organizations, using ANAMMCO as a case study.

1.2 STATEMENT OF THE PROBLEM.
There has been lost of controversy as to whether an employee should participate in managerial decision making or not. Some writers argued that employees should contribute in making decision more especially where it affects them or their jobs. It is expected that such participation will serve as training and testing ground for future members of upper management.
In Nigeria, experts that refuted the above assertion see the arrangement as a symptom of mal- organization. They maintained that, qualified, reasonably, honest and company oriented individuals are not available at these lower organizational levels. But, the big question is, qualified individuals really available? All these underlay the need for an investigation study.

1.3 PURPOSE OF THE STUDY
The general purpose of this empirical study is to assess the impact of employees participation in managerial decision making in public sector organization in Nigeria with reference to ANAMMCO Ltd.
The specific objective are:-
1) To assess the impact of employee participation in management decision – making ANAMMCO Ltd.
2) To ascertain the impact of employee participation or non-participation in management decision on productivity of the organization.
3) To make recommendations based on the research findings.

1.4 SCOPE OF THE STUDY
This research work focuses particularly on the impact of employee participation in decision making and organizational productivity using ANAMMCO Ltd., Enugu as a case study.

1.5 RESEARCH QUESTIONS
In a view to accomplishing this research work effectively the research poses the followings.
1) Do management staff make decision without pre and post discussion and consultation with employees?
2) Do management change decision when rejected by employees?
3) To what extent do employee participate in decision making?
4) How often do employees meet to discuss with managers?

1.6 RESEARCH HYPOTHESIS
The researcher formulates the following hypothesis based on the objectives and problems of this research work.
Ho: management staff makes decision without pre and post discussion and consultation with employees.
Hi: management staff make decision when rejected by employees.

Ho: That the management of ANAMMCO Ltd. do not change decisions when rejected by employees.
Hi: That the management of ANAMMCO Ltd. change decisions when rejected by employees.

1.7 SIGNFICANCE OF THE STUDY
This research work will be relevant to the mangers and employees of ANAMMCO Ltd.. It will also be beneficial to other public sector organization in Nigeria- it will also be of prodigious importance to government, academicals potential and future researchers on the issue of employee participation in managerial decision making.
This empirical study is also germane to the researcher since it is a partial requirement for the award higher National Diploma in Business Administration and management.

1.8 LIMITATIONNS OF THE STUDY
A work of this nature is not easy to consummate or accomplish. And, as a result, financial problem, time constraints, apathy on the part of respondents and bureaucratic procedures involved in releasing data seriously affected the study.
1.9 DEFINITION OF TERMS
1. Decision making – The selection from among alternative of a course of action.
2. MANAGEMENT – management is made up of top and middle level management. Top management includes: share holders, board of Directors managing, Director or the chief Executive / General manager (ie management above departmental level) middle management includes heads of Department, managers, Deputy and Assistant managers.
3. PRODUCTIVITY:- A measure of how well resources are brought together in organizations and utilized for accomplishing a set of results.
4. GERMANE:- Relevant, important or pertinent.
5. HEART OF THEIR JOB:- As it is used in the research work means their main job.

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Employee Participation In Decision Making And Its Impact On Productivity:

Employee participation in decision-making can have a significant impact on productivity within an organization. This concept is often referred to as employee involvement or participative management. When employees are given the opportunity to contribute their ideas, opinions, and expertise to the decision-making process, it can lead to several positive outcomes for both the employees and the organization:

  1. Increased Motivation and Job Satisfaction: When employees feel that their input is valued and that they have a say in the decisions that affect their work, they tend to be more motivated and satisfied with their jobs. This can lead to higher levels of engagement and commitment to the organization.
  2. Improved Problem Solving: Employees at various levels of an organization often have unique insights and perspectives. Involving them in decision-making can lead to better problem-solving by tapping into this diverse pool of knowledge and experience.
  3. Enhanced Creativity and Innovation: Employee participation can foster a culture of innovation. Employees who are encouraged to share their ideas and are involved in decision-making processes are more likely to come up with creative solutions and new approaches to challenges.
  4. Better Decision Quality: Group decision-making, when done effectively, can lead to better decisions. Employees can provide different viewpoints and challenge assumptions, leading to more well-rounded and thoughtful choices.
  5. Increased Accountability: When employees have a say in decisions, they often feel a greater sense of ownership over the outcomes. This increased accountability can lead to better performance and a higher commitment to achieving the goals set by the organization.
  6. Faster Implementation: Involving employees in decision-making can expedite the implementation of decisions because those who are responsible for carrying out the decisions are often more motivated to do so when they have been involved in the process.
  7. Reduced Resistance to Change: Employees are more likely to embrace and support changes when they have had a voice in the decision-making process. This can reduce resistance and make organizational transitions smoother.
  8. Development of Leadership Skills: Allowing employees to participate in decision-making can help in identifying and nurturing future leaders within the organization. It provides employees with opportunities to develop leadership and decision-making skills.

However, it’s important to note that employee participation in decision-making is not without challenges:

  1. Time-Consuming: Involving employees in decision-making can be time-consuming, especially for complex or large-scale decisions.
  2. Conflict: Differences of opinion can lead to conflicts if not managed effectively.
  3. Not Suitable for All Decisions: Some decisions, especially those requiring confidentiality or quick action, may not be suitable for extensive employee participation.
  4. Resistance from Management: Some managers may resist sharing decision-making authority with employees due to concerns about losing control.

To maximize the positive impact of employee participation on productivity, organizations need to strike a balance between involving employees in decisions and ensuring that decisions are made efficiently and effectively. It’s also crucial to create a supportive culture that values employee input and provides the necessary training and resources for employees to participate effectively in decision-making processes.