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THE EFFECT OF INTERNAL ENVIRONMENT ON EMPLOYEE PERFORMANCE: A CASE STUDY OF VITAL PRODUCTS LIMITED

Business Administration & Management Project Topics

CHAPTER ONE

INTRODUCTION

1.1  BACKGROUND OF THE STUDY

An organization is a complex entity made up of different systems and subsystems and these multiple systems need to be governed and led. Modern management is a process of creating, multiplying, distributing, preserving and perpetuating wealth and these can be also regarded as the five missions of management (Heady 1991).

People design results, accomplish results and deliver results and smart managers need to wire their result accomplishment model around people. There is need to make people knowledgeable, empowered, motivated and primed to achieve organizational objectives. Managers must explore their people to volunteer their hidden skills, emotions, talents, ambitions, and enthusiasm. Any manager who cannot get along well with his people can never achieve great results. A lonely manager can never accomplish great results.

Internal environment refers to one’s immediate surroundings. That phenomenon that makes up man’s existence including water, air, land in which one lives that influences one’s life.

In this research work, the researcher will peruse internal environment as it relates to factors that affect workers productivity and performance inherent within the organizational confines, such as management style, organizational environment, staff relationship, motivational factors-salary increase and opportunity to develop oneself. It has been established that an improved internal environment affords the organization better chances of increased performance, efficiency and productivity.

For desired results to come, line supervision is critical and managers must be available to task people and task stations. Managers need to lend that helping hand of success and result achievement. The ‘blame game’, the ‘shouting game’, and ‘I fire you’ games can never get desired results. They only intimidate task people.

The organizations’ personnel make critical difference between success and failure. The effectiveness with which organizations manage, develop, motivate and engage the willing contribution of the employees will enable them to capitalize on their expertise most efficiently. There is a link between people management and business performance.

An organization that provides its employees with better work and most conducive working environment will expect them to perform exceptionally well, and as well capitalize on their enhanced productivity in the shape of cost reduction, which will ultimately contribute to maximum return on investment. Patterson et’al (1997), suggest that the relationship between employee attitudes and company performance, is highly correlated. They suggested that managers of organizations who are eager to promote productivity and profitability should pay close attention to the attitudes of their employees in order to make them more positive.

In recent times there has been an increased consciousness of the fact that to be happy and cheerful in one’s work place, some conditions must be present even with little pay.

An employer expects nothing less from an employee than to leave up to expectation of contributing maximum input to organizational productivity. The employer amidst her expectation is saddled with the responsibility of providing a conducive environment that engenders that level of productivity she demands from the employee. The internal environment also exerts considerable pressure on human resource management. The internal environment comprises those factors that affect an organization’s human resources from inside the organization’s boundaries.

From the forgoing the researcher is geared towards unravelling the effects of internal environment on employee performance using Vital Products Limited as a case study.

 

1.2  STATEMENT OF THE PROBLEMS

Every human being as an individual has some unique characteristics, which are distinct from those of others.

 

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