Effects of Selected Organizational Practices on Competitive Advantage of Lake Oil Limited

Abstract

The purpose of this study is to determine the effects of selected organizational practices on competitive advantage of Lake Oil Limited. The study was based on the following specific objectives; to determine the effect of organizational culture on competitive advantage at Lake Oil Limited, to determine the effect of rewards and recognition strategies on competitive advantage at Lake Oil Limited and to determine the effect of organizational communication strategies on competitive advantage at Lake Oil Limited. This study deployed descriptive research design in integrating various elements of the study. A population of 113 employees working at Lake Oil Limited formed the target population, census sampling technique was deployed allowing the research to study the entire population of the study. A closed-ended questionnaire aided the data collection process from the target respondents. Inferential statistics were used in analyzing correlation and regression analysis. Descriptive Statistics analyzed mean and standard deviation. A Statistical Package for Social Sciences (SPSS) version 24 was used in analyzing statistical data. The findings were presented in tables and figures. The first objective of this study sought to determine the effect of organizational culture on competitive advantage. The findings showed a significant and positive association between organizational culture (independent variable) and competitive advantage (dependent variable), r (0.675); p-value < 0.01. The second objective of the study aimed at determining the effect of rewards and recognition on competitive advantage. The findings showed a significant and positive association between rewards and recognition (independent variable) and competitive advantage (dependent variable), r (0.939); p-value < 0.01. The third objective of the study aimed at determining the effect of organizational communication on competitive advantage. The findings showed a significant and positive association between organizational communication (independent variable) and competitive advantage (dependent variable), r (0.659); p-value < 0.01. This study concludes that there exists a positive and statistically association between organizational culture and competitive advantage. Organizational culture is a cognitive framework that is made up of values, attitudes, behaviors norms and expectations or a pattern of arrangement, behavior which has been adopted by the organization and accepted way of solving issues within the organization. This study concludes that an organization that can maintain a positive culture is likely to enjoy several benefits as members of the company identify with the culture, the working environment tends to become more enjoyable boosting their morale. This study concludes that there is a strong relationship between rewards and recognition and competitive advantage. Employees will work had if they were well recognized and their work rewarded accordingly enabling organizations to attract competitive advantage through its employees in the long run. This study concludes that there is a significant relationship between organizational communication and competitive advantage. Communication is an integral part of the organizational process as the flow of communication up and down the organizational hierarchy has its effects on efficiency, decision-making and morale of the organizations today. This study recommends that Lake Oil Limited should cultivate an adaptability. This will be essential since adaptive culture encourages entrepreneurial values, norms, and beliefs that support the capacity of the organization to detect, interpret, and translate signals from the environment into new behavior responses. This study recommends that it is important for Lake Oil Limited to determine if the reward or recognition has appealed to an employee and if the resulting behavior or the outcomes of the worker from the appeal of recognition or regard relates to and achieves the expected performance that has been set forth in the mission of the organization. Lake oil should consider the use of rewards and recognition as performance motivators must also be considered as part of the company’s competitive advantage strategy. Lake Oil Limited should rely on organizational communication strategy to communicate value proposition both internally and externally to ensure that there is a clear understanding of what it intends to achieve. The company can also rely on communication to foster collaboration among its customers, collaboration allows companies to capitalize on creative potential of a diverse workforce depends.