Influence of Organization Culture on Employee Performance in Family Owned Business: A Case Study of Betatrad Kenya Limited

Abstract

The purpose of this research project was to establish the influence of organizational culture on Employee job performance in family owned business. The following research questions were used to conduct the study: This study was guided by the following questions: To what extent does Employee involvement influence employee performance of Betatrad Kenya limited? To what extent does leadership in a family owned business influence Employee performance of Betatrad Kenya limited? To what extent does Reward systems in a family owned business influence Employee performance of Betatrad Kenya limited? This study was a descriptive survey design. This study had a population of 65. This study was a census; therefore, every employee was sampled for the study. Primary data was collected using structured questionnaire, and analysed for frequencies, percentages, correlations and regression using the Statistical Package for Social Sciences (SPSS). The finding reveal that a positive relationship between Employee Involvement and Employee Performance with r = 0.485. The results in table 4.7 also demonstrate a statistically significant effect of Employee Involvement on Employee Performance, p = 0.000. On the influence of leadership and Employee Performance the findings indicate that a positive connection between Leadership of the Business and Employee Performance with r = 0.352. The model summary also shows a coefficient of determination R square of 0.223, which signifies, that 22.4% of the variance in Employee Performance can be explained by Leadership of the Business. Finally, the study investigated the overall Influence of Reward System on Employee Performance table 4.11 shows that a 38.8% of variance in Employee Performance can be attributed to Reward System. This study has concluded that in family businesses, the owner is the overall decision maker in all matters. This study has also noted that business owners do involve employees in decision making process, however, to a limited extent. This study also concluded that the business owner played a significant role in informing employees the organizational goals, and how to attain them. Finally, this study concluded that in family led businesses, owners do encourage innovation and creativity among employees as a way of improving organizational performance. This process was essential in enhancing employee engagement and ability to solve organizational challenges. This study recommends that Betatrad should invest more in employee involvement in business operations as this enhances their performance. Secondly, this study recommends that employees should be mentored by leaders at Betatrad as a way of raising well-developed leaders that the organization can rely on to grow the business in future. Finally, this study recommends that Betatrad and other family-based businesses should develop employee reward systems that are competitive enough to encourage and attract competent and talented staff, and thus, enhance organizational performance and sustainability.