Organizational Culture and Its Influence on Employees' Performance: The Case of Ethiopian Insurance Corporation

The aim of the study is to examine the influence of organizational culture on employee
performance in Ethiopian Insurance Corporation. Organizations do not exist in a vacuum but in
a specific culture or socio-cultural environment that influence the way their employees think,
feel, and behave. Work place culture is a very powerful force that influences an employee’s work
life. The conceptual framework was designed, taking organizational culture as independent
variables and employee performance as dependent variable. The organizational culture
questionnaire was adopted from Denison (1990) and the employee performance questionnaire
was adopted from Linda Koopmans & Claire (2014).For the study the researcher deployed
explanatory research design and Simple random sampling was used to draw sample respondents
from the six offices and ten directorates of EIC’s head office functions. The primary data was
gathered through structured questionnaire from 150 current employees of EIC Head office and
an interview with office managers and directors in EIC. The collected data was analyzed using
statistical package for social science (SPSS) version 24. Both descriptive and inferential analysis
was used to see the percentage, mean and standard deviation of demographic states and
organizational culture dimensions and was used to see relationship and influence of independent
variables on dependent variable respectively. Research findings revealed the significant
influence of four dimension of organizational culture such as involvement, consistency,
adaptability and mission on employee performance.