Abstract:
This research paper discussed the effect of organizational culture on employees’ performance in
case of Development Bank of Ethiopia. The objective of this study was to investigate the effect
of four organizational culture traits namely, involvement, consistency, adaptability and
mission on employee performance in Development Bank of Ethiopia (DBE). The thesis adopts
explanatory research with quantitative research approach. Data for the study was collected
from 84 employees by census, using survey questionnaire. Both inferential and descriptive
analysis are used to see the relationship and effect of independent variables on dependent
variable. The results show that the four traits measuring organizational culture were all
positively related with employee’s performance. Moreover, involvement is the most contributing
organizational culture traits in the prediction of employee performance with beta value .654.
The other three organizational culture traits, in their descending order of standardized
coefficients are mission, consistency and adaptability. Furthermore, statistically significant
result for the three organizational culture traits: involvement, mission, and consistency,
indicate that there is significant relationship with employees’ performance. However,
adaptability doesn’t have significant effect on employee performance as per the result of
regression analysis.
