The Impact of Employee’s Participation in Decision-making in Nigerian Public Sectors. ( a Case Study of Power Holding Company of Nigeria Enugu )
Abstract
The impact of employee participation in decision-making in Nigerian public sectors was investigated in this study, with a specific focus on the Power Holding Company of Nigeria (PHCN) Enugu. A survey research design was adopted to collect data from a sample of 120 respondents. A structured questionnaire was designed to gather information regarding employee participation in decision-making processes within the organization. The collected data were presented and analyzed using SPSS26. Hypotheses were tested using t-tests to examine the relationships between employee participation and organizational outcomes. The main findings of the study indicated a positive relationship between employee participation and various organizational outcomes. The analysis revealed that higher levels of employee participation were associated with improved performance, job satisfaction, and innovation within PHCN Enugu. These findings suggest that involving employees in decision-making processes enhances organizational effectiveness and employee well-being. The study also identified the significance of employee trust, fairness, and positive exchange relationships in fostering greater employee participation. Based on the findings, the study concluded that employee participation plays a crucial role in enhancing organizational outcomes within the Nigerian public sector. It promotes transparency, accountability, and citizen satisfaction while fostering a supportive and empowering work environment. The study recommended that organizations within the Nigerian public sector, including PHCN Enugu, should prioritize employee participation in decision-making processes. This can be achieved by creating channels for meaningful employee input, recognizing and rewarding contributions, and fostering a culture of trust and open communication.
CHAPTER ONE
INTRODUCTION
Background to the Study
In recent years, there has been a growing acknowledgement of the importance of employee participation in decision-making processes within organizations. Employee participation entails involving employees in the decision-making processes of an organization, providing them with the opportunity to contribute their ideas and opinions. This approach recognizes the valuable insights and perspectives that employees bring to the table (Bernardin & Russell, 2019).
Engaging employees in decision-making has been found to yield numerous benefits for organizations. By involving employees in the decision-making process, organizations can tap into their knowledge, skills, and experiences, which can lead to better decision outcomes. When employees feel that their opinions and ideas are valued and considered, it fosters a sense of ownership and commitment, ultimately resulting in increased employee satisfaction and loyalty (Kehoe & Wright, 2019).
Employee participation in decision-making is particularly relevant in the Nigerian public sector, where organizations such as the Power Holding Company of Nigeria (PHCN) Enugu operate. The public sector in Nigeria faces various challenges, including poor service delivery, corruption, and low employee morale, which can hinder organizational performance and the achievement of sector objectives (Ikeije, Onochie, & Nnadozie, 2019).
By exploring the impact of employee participation in decision-making within the Nigerian public sector, specifically at PHCN Enugu, a deeper understanding of organizational effectiveness and employee engagement can be gained. This research will shed light on the dynamics of decision-making in a sector that directly affects the lives of Nigerian citizens. It will provide insights into the potential benefits of involving employees in decision-making processes in the public sector, ultimately contributing to improved service delivery, reduced corruption, and enhanced employee morale.
Previous studies have primarily focused on employee participation in decision-making within the private sector, overlooking the unique challenges and dynamics of the public sector in Nigeria (Ikeije et al., 2019). Therefore, this research aims to fill this gap in the literature by specifically investigating the impact of employee participation in decision-making within the Nigerian public sector, using PHCN Enugu as a case study.
By conducting a case study at PHCN Enugu, this research will gather empirical evidence and practical insights into the relationship between employee participation and organizational outcomes in the public sector. The findings of this study will not only contribute to the existing body of knowledge but also provide valuable guidance to policymakers, managers, and leaders in the Nigerian public sector. Understanding the importance of employee participation and its positive impact on organizational performance and employee satisfaction can inform the development of strategies to foster employee engagement and enhance decision-making practices in the public sector (Aja-Okorie, 2021).
Employee participation in decision-making has gained significant attention in the Nigerian public sector due to its potential impact on organizational effectiveness. Within this context, the Power Holding Company of Nigeria (PHCN) Enugu serves as a critical player in the power supply industry, offering an intriguing setting to explore the effects of employee participation. Nigeria’s public sector has been grappling with various challenges, including poor service delivery, corruption, and low employee morale, which can hinder organizational performance and impede the achievement of sector objectives (Ikeije, Onochie, & Nnadozie, 2019).
Given these challenges, it becomes crucial to examine the impact of employee participation in decision-making within the Nigerian public sector, specifically focusing on PHCN Enugu. By investigating the dynamics of organizational effectiveness and employee engagement in this context, valuable insights can be gained. Understanding the relationship between employee participation and organizational outcomes can help identify strategies to enhance service delivery, mitigate corruption, and improve employee morale.
The Nigerian public sector has unique characteristics that distinguish it from the private sector, necessitating specific research attention (Ikeije et al., 2019). By conducting a case study at PHCN Enugu, this research aims to fill the gap in the existing literature by focusing on the impact of employee participation in decision-making within the Nigerian public sector. The study seeks to provide empirical evidence and practical insights that can inform policymakers, managers, and leaders in the public sector on the importance of fostering employee participation for organizational effectiveness and employee engagement.
The concept of employee participation in decision-making aligns with the shift towards more democratic and inclusive approaches to management. Scholars argue that employee involvement in decision-making not only enhances organizational performance but also contributes to the well-being of employees by providing them with a sense of autonomy, empowerment, and ownership (Borucki & Burke, 2019). By giving employees a voice and involving them in decision-making, organizations can create a supportive work environment that fosters employee motivation, satisfaction, and commitment (Trivellas, Reklitis, & Platis, 2020).
While employee participation has been extensively studied in various contexts, there is a dearth of research specifically focusing on the Nigerian public sector, especially at PHCN Enugu. Existing studies have primarily focused on private-sector organizations, overlooking the unique challenges and dynamics of the public sector (Ikeije et al., 2019). Thus, this study aims to bridge this research gap by investigating the impact of employee participation in decision-making within the Nigerian public sector, using PHCN Enugu as a case study.
Understanding the implications of employee participation in decision-making at PHCN Enugu can contribute to improving organizational performance, service delivery, and employee satisfaction in the Nigerian public sector. It can also inform policymakers, managers, and leaders within the sector on the importance of fostering employee participation and involvement in decision-making processes (Aja-Okorie, 2021). By providing empirical evidence on the relationship between employee participation and organizational outcomes, this study can offer valuable insights and recommendations for enhancing decision-making practices and employee engagement in the public sector.
Statement of Problem
The Nigerian public sector, including organizations like the Power Holding Company of Nigeria (PHCN) Enugu, faces various challenges that hinder organizational performance and impede the achievement of sector objectives. These challenges include poor service delivery, corruption, and low employee morale (Ikeije, Onochie, & Nnadozie, 2019). In this context, the impact of employee participation in decision-making becomes a critical area of investigation.
Despite the recognized benefits of employee participation in decision-making, there is limited research specifically focusing on the Nigerian public sector, particularly at PHCN Enugu. This research gap hinders the understanding of how employee participation can effectively address the challenges faced by the public sector in Nigeria.
Therefore, the statement of the problem revolves around the need to investigate the impact of employee participation in decision-making in the Nigerian public sector, with a specific focus on PHCN Enugu. The research aims to determine the level of employee participation, assess its impact on organizational performance, and identify the factors that influence employee participation in decision-making within this context.
By addressing this gap in the literature, the study seeks to provide empirical evidence and practical insights into the potential benefits of employee participation in decision-making for the Nigerian public sector. Understanding the relationship between employee participation and organizational outcomes can inform policymakers, managers, and leaders in the public sector about the importance of fostering employee engagement and involvement in decision-making processes. Ultimately, this research aims to contribute to the improvement of organizational performance, service delivery, and employee satisfaction in the Nigerian public sector, particularly at PHCN Enugu.
Objectives of the Study
The study has three specific objectives:
- To assess the level of employee participation in decision-making at PHCN Enugu.
- To examine the impact of employee participation in decision-making on organizational performance at PHCN Enugu.
- To identify the factors that influence employee participation in decision-making at PHCN Enugu.
Research Questions
To achieve the objectives of this study, the following research questions were addressed:
- What is the level of employee participation in decision-making at PHCN Enugu?
- What is the impact of employee participation in decision-making on organizational performance at PHCN Enugu?
- What are the factors that influence employee participation in decision-making at PHCN Enugu?
Research Hypotheses
To guide the analysis, the following research hypotheses are formulated:
- There is no significant relationship between employee participation in decision-making and organizational performance at PHCN Enugu.
- There is no significant relationship between employee participation in decision-making and organizational performance at PHCN Enugu.
- There is no significant relationship between employee participation in decision-making and employee satisfaction at PHCN Enugu. H₁: There is a significant relationship between employee participation in decision-making and employee satisfaction at PHCN Enugu.
Significance of the Study
The significance of this study extends to various stakeholders, including students, scholars, business decision-makers, and stakeholders in the business sectors.
For students, this study provides valuable insights into the impact of employee participation in decision-making within the Nigerian public sector. It offers a practical application of theoretical concepts and exposes students to the complexities and challenges faced by organizations in the Nigerian context. Students can learn about the dynamics of organizational effectiveness, employee engagement, and the role of decision-making in achieving organizational goals. The findings of this study can serve as a foundation for further research and can contribute to the knowledge base of students pursuing degrees in fields such as business administration, human resources, and public administration.
Scholars in the field of organizational behaviour and management can benefit from this study by expanding the existing body of literature on employee participation in decision-making. The research findings can provide empirical evidence to support or challenge existing theories and concepts. Scholars can build upon the findings of this study and delve deeper into specific aspects or explore alternative methodologies for studying employee participation. The study can also stimulate further research on the Nigerian public sector and contribute to the understanding of its unique challenges and dynamics.
Business decision-makers, including managers and leaders, can gain practical insights from this study. The findings can inform decision-making practices within their organizations, highlighting the benefits of involving employees in decision-making processes. Understanding the impact of employee participation on organizational performance can guide managers in developing strategies to enhance employee engagement, improve service delivery, and address challenges such as corruption and low employee morale. The study’s recommendations can serve as a roadmap for implementing effective employee participation initiatives and can contribute to the overall success and sustainability of businesses in the Nigerian public sector.
Stakeholders in the business sectors, including government officials, policymakers, and industry associations, can also benefit from this study. The research findings can inform policy decisions and initiatives aimed at improving the Nigerian public sector. The study can highlight the importance of creating an enabling environment for employee participation and can guide stakeholders in developing frameworks and guidelines for effective decision-making practices. Ultimately, the study’s outcomes can contribute to the overall development and growth of the Nigerian business sectors, leading to improved organizational performance, increased employee satisfaction, and enhanced service delivery.
In summary, this study holds significant relevance to students, scholars, business decision-makers, and stakeholders in the business sectors. It provides valuable insights, practical recommendations, and a deeper understanding of the impact of employee participation in decision-making within the Nigerian public sector, contributing to the advancement of knowledge, informed decision-making, and the overall development of businesses and organizations in the Nigerian context.
Scope and Limitations of the Study
The scope of this study focused on examining the impact of employee participation in decision-making within the Nigerian public sector, with a specific case study of the Power Holding Company of Nigeria (PHCN) Enugu. The study aimed to investigate the level of employee participation, assess its impact on organizational performance, and identify the factors that influenced employee participation in decision-making within this context.
The research was conducted within a specific timeframe and primarily relied on primary data obtained through surveys and interviews. The study involved employees at different levels within PHCN Enugu, including frontline staff, supervisors, and managers, to capture a comprehensive understanding of employee participation and its implications.
It is important to note that the findings of this study could not be generalized to all Nigerian public sector organizations due to the unique characteristics and context of PHCN Enugu. Additionally, the study’s focus was limited to the impact of employee participation on organizational performance and employee satisfaction, while other potential outcomes or variables were not thoroughly explored.
Despite these limitations, the study contributed to the existing literature on employee participation in decision-making within the Nigerian public sector, providing valuable insights and practical recommendations for enhancing organizational effectiveness and employee engagement in this specific context.
Operational Definition of Terms
To ensure clarity and understanding, the following key terms used in this study are operationally defined:
Employee Participation: The involvement of employees in decision-making processes, including their active engagement in identifying problems, generating solutions, and contributing to the decision-making process.
Decision-making: The process of selecting a course of action from available alternatives to solve problems or make improvements in the organization.
Organizational Performance: The extent to which an organization achieves its goals and objectives, as measured by various indicators such as productivity, efficiency, and customer satisfaction.
Employee Satisfaction: The degree of contentment and fulfilment employees experience in their work environment, including their level of involvement, recognition, and overall job satisfaction.
Organization of the Study
This study is organized into five chapters. Chapter One provides an introduction to the research topic, including the background, problem statement, objectives, research questions, hypotheses, significance, scope, limitations, and operational definitions of key terms. Chapter Two presents a comprehensive review of relevant literature. Chapter Three describes the research methodology, including the research design, data collection procedures, and data analysis techniques. Chapter Four presents the findings and analysis of the collected data. Finally, Chapter Five summarizes the study’s main findings, draws conclusions, and provides recommendations for future research and practice.
REFERENCES
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- Trivellas, P., Reklitis, P., & Platis, C. (2020). The relationship between employee participation in decision making and job satisfaction: A mediator analysis. Employee Relations, 42(6), 1302-1323.
- Vroom, V. H., & Jago, A. G. (2020). The role of the situation in leadership. Like leadership (4th ed., pp. 89-119). Routledge.
- Yusuf, O., & Ogunnaike, O. O. (2022). Employee participation in decision-making and job satisfaction in the Nigerian civil service: A mixed-methods study. Journal of Public Administration, Finance and Law, 16(1), 80-92.
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