The Nexus between Organizational Factors and Employee Productivity: Case of Ceylon Fertilizer Company

Abstract

Labor productivity can be defined as the amount of goods and services that a worker produces with a given amount of inputs while maintaining the expected quality. In quantitative terms, labor productivity is the rate of output per worker per unit of time as compared with an established standard or expected rate of output. Hence, the purpose of this study was to examine the impact of so-called organizational factors on employee productivity. Building on the previous literature, four organizational factors were identified such as financial benefits, working environment, rules &regulations and organizational politics. Ceylon Fertilizer Company is one of the major states owned public company in the fertilizer industry. 80 Management assistant and executives’ working in Ceylon Fertilizer Company were taken as the sample. Convenient sampling method was applied to select the sample. Primary data were collected through a standard questionnaire. Data analysis was done with the aid of SPSS. Descriptive statistics, correlation analysis and regression analysis was used to analyses data. Under the descriptive analysis mean is close to answer two. It means employees agreed regarding their less productivity and poor facilitation of the organizational factors. It was found a moderate positive relationship between independent variables and employee productivity excluding the financial benefits. Financial benefits were positively, but weakly correlated with employee productivity. According the simple regression analysis there is moderate impact to productivity. Rules and regulations was found to be the most influential factor among the aforementioned organizational factors affecting employee productivity.