LEADERSHIP COLLEGE OF MANAGEMENT AND LEADERSHIP

FACULITY OF BUSINESS AND LEADERSHIP

GRADUATE DEPARTMENT OF BUSINESS ADMINSTRATION

ORGANIZATION BEHAVIOR TERM PAPER

EMPLOYEE JOB DISSATISFACTON IN COMMERCIAL BANK OF ETHIOPIA

MULUGETA EJIGU ASRES (MBA)

August 2015
1. Employees job dissatisfaction in commercial bank of Ethiopia.
Job dissatisfaction – is an employees’ response to their job that can range from feeling of apathy, to
depression and despair, to anger, frustration and resentments, it all means a desire to quit and move on to
something better and employees’ are there right now.

- It is a mistake to think that employees will hang on because there are not many other job opining.
The job market is beginning to improve. The most self motivated employees, who are usually the
base performing ones too, will find their way to another job, if they are currently unhappy.
- Job dissatisfaction is the wake up calls for companies is not let the current economy from being
aware of the demands that are placed on their employees. Mangers must take a look at the present
work load placed on their associates compared to what was required a year or 18 months ago. If
the work required has increased and employees’ wages were frozen or increases were minimal,
then your employees are in the red zone. It is a zone of job dissatisfaction. Corporate leaders have
the power to make changes and improvements for their employees or risk turn over.
- Dissatisfied employees’ are also more likely to quit their jobs, and correlation is stronger than
what we found for absenteeism. However, a person’s general disposition toward life moderates
the job satisfaction- turn over relationship. Some individual grebes more than others and such
individuals when dissatisfied with their jobs, are less likely to quit than those who are more
positively disposed toward life. So if two employees are equally dissatisfied, the one most likely
to quit is one with the highest per disposition to be unhappy or satisfied with life in general.
Likely these individuals do not feel trapped and are willing to exert more central over the
situation and look for another job.
The audience suggests that employees express dissatisfaction in a number of ways. For example,
rather than quit, employees can complain be in subordinates steel organizational property or
avoid some of their work responsibilities.
Individuals responses to dissatisfaction to along two dimensions wither they are constructive or
distractive and whether they are active or passive. Four types of behavior requite
 Exit- actively attempting to leave the organization, including looking for a new position as
well as resigning. This is destructive action from the point of view of the organization.
 Voice- actively and constructively trying to improve conditions including suggesting
improvements, discussing problems with superiors, and some forms of union activity.
 Loyalty- passively but optimistically waiting for conditions to improve including speaking up
the organization in the faceoff external criticism and trusting the organization and its
management to do the right thing.
 Neglect – dissatisfaction expressed by passively allowing conditions to worsen.
Exist and neglect behavior encompasses our performance variables, productivity, absenteeism
and turnover but this list expands employees respond to include voice and loyalty,
constrictive behaviors that allow individuals to tolerate unpleasant situation or to revive
satisfactory working conditions. It helps as to understand situation such as those sometimes
found among unionized employees. Where low job satisfaction iscoupled with low turnover.
Union members often express dissatisfactions through the grievance procedure or through
formal contract negotiations.
2. Assessing the cause of job dissatisfaction in the commercial bank
of Ethiopia.
Organizational structure of commercial bank of Ethiopia

Causes of employees job dissatisfaction in commercial bank of Ethiopia.

1.2.1. Overwork

– CBE employees have working near 10 hour and above in a day and six days per week. The worker have
not a time to participate in the social affairs, they didn’t give enough time for their family. The employees
didn’t have a chance to do other work and it’s hard for employees to learn and develop, improve and
update with environment. This leads employees to dissatisfy. Most of the ordinary employees are
harassed by the organization doing a lot of tasks, responsibility as a same time and by operation type the
employees working time will depend on the situation after the regular working hour.

According value theory –the less people have of some aspect of the job(e.g., pay, learning opportunities)
relative to the amount they want, the more dissatisfied they will be-especially for those facets of the job
that are highly valued.
1.2.2 .Unfair Payment and benefits
Payment – a collection of money paid for employees in exchange for their service, work, performance
and efficiency. When we see the payment and benefit package according tothese organizations follows
their own payment and fringe benefit package policy. These policies gives advantage of higher officials,
managers and supervisors, but mostof employees under paid, which compared to the industry payment.
Unbalanced payment between for the input out put ratio.As equity theory said, balancing outcome and
inputs-it is important to note that equity theory deals with outcome and inputs as they perceived by
people, not necessarily by objective standard. If it is unbalance employee will dissatisfied.

-Outcome – what we get out of our jobs (ex. Pay, fringe, benefits, prestige, etc.) and

-Input – the contribution made (ex. time worked, effort exerted, units produced)

Most of the organization employees are under paid but when we compare payment and fringe benefit
between ordinary employees and higher officials it’s not fair, and the gap of payments are so exaggerated
not balanced most of front and back office employees of the commercial bank of Ethiopia (CBE) are
under paid not compatible with their contribution towards the organization productivity.

As a result employees who work long hours and still find themselves behind economically are frustrated
and dissatisfied with their jobs according to Gallup pall.

1.2.3 .Less opportunity for promotion and professional growth

-in commercial bank of Ethiopia (CBE) near 22,000employees are working regularly because of these
employees have getting higher competition for promotion. Ex. Employees hired as junior officer will
promote after one year if they are passing the exam as a customer service officer and will pose hear for
several years. Several employees commented favorable on their excitement about being a part of a rapidly
growing organization and recognized that the company’s growth would provide significant professional
and personal development opportunities for everyone.

As ERG theory –employees have existence and growth needs if it doesn’t exist employees will
dissatisfied.

As Maslow’s hierarchy of needs –employees physiological needs are absence employees will demotivate.

In addition expectance theory are other contributor to these cause –this theory claims that people will be
motivated to exert effort on the job when they believe that doing so will help them achieve the things they
want.

1.2.4 .Poor communication

 – The communication between individual groups and between managers is not clear CBE. In the absence
of information, rumors thrive; employees end up by guessing, confused and frustrated. If there is not – an
avenue to communication back to leadership for classification, it getseven worse having to spend large
amounts of time getting the information we need to do our jobs is exhausting. In CBE information is not
distributed to the whole some of higher officially only know about the information. It would sought when
internal vacancy released and common in new developed and amended procedure even about the
company’s product employees heard from different media as a same time to a customer. According to
expectancy theory, which also recognizes that job performance will be influenced by employee’s role
perception. Procedural justice theory also another contributor, which is concerned with perceived fairness
of procedures, used to make decisions about inputs, Performance and distribution of outcome. When
procedural justice is perceived to be low, motivation suffers because employees are not sure that their
input and performance levels will be accurately assessed or the outcomes will be distributed in unfair
manner.

1.2.5 .Company leadership and unsupportive management

According to behavioral approach a leaders of CBE are more emphasize concerned with production they
have low concern for people (employees)

In addition according to behavioral approach if leaders focus entirely on production employees may
conclude that no one’s cares about them or their wellbeing. Their job satisfaction and organizational
commitment may suffer as a result. On the other hand leaders of CBE have not insufficient ability,
knowledge and experience. According to contingency theory leaders are determined by three factor

-The nature of leader’s relation with groups. As CBE context these will be ignored the leaders didn’t
sought what employees need what they didn’t want

-The degree of structure in the task being performed. CBE leaders also setting a strategy and goal that are
specific, measurable but unattainable.

1.2.6 .Job insecurity and unsafely

– When we are on a sinking ship we start for the jump. Employees who work for unstable companies or
jobs deemed expandable will only invest to keep getting their pay check while they look elsewhere. In the
case of CBE as the time of recruitment the employees are agreed orally to work anywhere for getting the
job. As a result employees will enforced to go hardship and remote area that have high humidity,
temperature, unhealthy environment and in hostile area even working with no regular transportation,
electricity and water supply facilities , whichare basic for survival.

According to Maslow need hierarchy theory – the lowest order is psychologically needs those that satisfy
fundamentals biological drives, such as the needs for air, food, water and shelter staying employees
physically healthy. According this theory CBE are unable to fulfill employee some psychological needs
such as good air condition, availability of sufficient water supply, availability of health food. In addition
safety need hierarchy concerned with the need to operate in an environment that is physically and
psychological safe and secure ones free from threat of harm and even seemingly safe work settings such
as offices can be swamped with safety hazards. CBE employees are working with this trouble with
discomfort table, chair and working without cages, without comfort office. According these theory efforts
are made to spare office workers from eyestrain, worst injuries (such as the increasingly prevalent carpel
tunnel syndrome), and back pain by using specially designed computer monitors, desks and chairs.
Physical safety may also reduce such basic tools as security and fire prevention.

1.2.7 .Less independency

-most employees were placed with the independence and autonomy that they were given and expressed
satisfaction in being continually challenged in their work, being required to take on significant
responsibilities and routinely having to make important decisions. In CBE case employees haven’t
influence or direct contribution to decision making process even branch managers and supervisors are
unable to decide by their own power. Power is not fully decentralized.

1.2.8 .Working conditions problems

-are cause of job dissatisfaction in CBE. According to this Herzberg’s two factor theory of job satisfaction
have its own contribution. According the theory dissatisfaction was associated with conditions
surrounding the job, such as working condition, relations with others and so on, rather than the work
itself. Specifically, researches has shown that dissatisfaction is great under conditions that are highly over
aroused, dark, have extreme temperatures and poor air quality. These factors associated with the
conditions under which work is performed, but not directly linked to the work itself; contribute much to
the level of job dissatisfaction people experience. These are dominating factor for CBE employees.

1.2.9 .Organization policies procedures and practice problems

- CBE policy makers doesn’t deep focus on employees they rely on market. Procedures are not common
in every branch, most of procedures are unwritten and inconsistence will apply for short period of time.
The procedure changes are high frequency; it’s creating complexity and misunderstanding. In addition
CBE setting different targets and goals for different branches these create competition between different
branches these leads employees for competing branch targets and goals affects their commitment to the
organization and within the branches, the branch cascading for its employees. Employees competing each
other one’s success leads the failure to the other employees avoids team work and cooperation between
employees. As according to Herzberg hygiene factor affects the relation with other and policies and
practices effect. This theory recognized dissatisfaction is based on the presence of poor hygiene traits
there is inertia, political pressure and personality traits at play. The list of causes of dissatisfaction, the
hygiene factors is different include company policy, administration and your supervisor lead the way.

1.2.10 .Work – life balance problems

– Companies that fail to recognize the needs for employees to maintain a healthy life and work balance
are ultimately affecting their own productive levels. Even if a company can’t offer salary increases, one
way to improve job satisfaction is to create trade-offs for life and work balance instead of offering raises,
companies might consider incentives such as paid days offs, flexible scheduling and rewards such as
tickets to movies, plays, or sporting events but in CBE ignore to balance of work life.

3. Recommendation
3.1. To avoid dissatisfaction or to improve employee’s jobs satisfaction CBE
will follow the following adjustment.
3.1.1 .Amending Companies’ policies and practices

-create policies, procedures and practices that are clear, fair and appealed equally to all employees will
decrease dissatisfaction. Therefore, fairness and clarity are important and can go a long way in improving
employee attitude. CBE of policy makers should considers making clear, fair consistent work schedules
and procedures that applied to whole branch equally.

3.1.2 .Improving Salary/benefit

– Making sure employee salaries and benefits are comfortable to other organization salaries and benefits
will help raise satisfaction. To be competitive CBE must also offer competitive wages. This can help the
organization reduce turn over as employees will often be more satisfied when paid competitive wages as
opposed to is under paid. CBE must align individual economic interest with companies’ performance
paying fair benefits and salaries that much with their work load.

3.1.3 .Create interpersonal and social relation

Interpersonal and social relation allowing employees to develop a social aspect to their job may increase
satisfaction as well as develop a sense of team work. Co-worker relationship also benefits the
organization as a whole. Team work is a very important aspect of the organization productivity and
success. Moreover, when people allowed to developing work relationships they care more about putting
their own weight and not letting co-workers down. Employee’s improvement groups are a good way to
help employees interact with individuals outside of their department or organization. Specialization is a
key component of happiness. “Interacting with others gives peopled a boost in mood – surprisingly, this is
true even for introverts’’, writes Robbins

CBE can also encourage office celebrations for holidays and birthdays. These celebrations do not need to
be expensive. It can be as simple as asking everyone to bring in a covered dish. Even, when there is no
reason to celebrate, encourage employees to eat lunch together provide a comfortable eating area.
Socialization is not limited to office hours encourage out of office specialization such volunteers
programs. This gives employees a change to develop a relationship outside of the office while promoting
the company in positive way. Community service is a great way to build a positive way reputation and it
is a happiness booster for employees, “those who work to further causes they value tend to be happier and
healthier experience fewer aches and pains, and even live longer” says Robbins.

3.1.4 .Improving working condition

Improving working condition keeping up to date facilities and equipment and making sure employees
have adequate personal work space can decrease dissatisfaction. A cramped employee is frustrated
employees plus faulty equipment provides frustration in trying to get work done.

CBE must try to create good work environment or condition by facilitating materials that are necessary to
accomplish tasks like computers, chairs, tables, windows and cages. In addition the company should
avoid employees force assignment which places in sufficient facilities for leaving, in which place high
temperature, humidity .before opening any branch create a necessary conducive or good work
environment .positive work environment .which is an upbeat work place is a necessity if the work space
isn’t positive, you can’t expect the workers to be encouraging another, avoiding micromanagement,
giving positive feedback and insuring criticism is a constructive are all ways to keep the environment a
place where employees can do more than service they can thrive! So, the companies should create a
positive work environment. This may include surveying your employees to find out their needs and what
would make them more satisfied with their work. This can instituting programs such as child care
vouchers, employees discount programs or flex time. It may also include improving the physical design of
the work process for example by having more natural lighting follow up.

3.1.5. Follow up Achievement

– making sure employees are in the proper positions to utilize their talents may enhance satisfaction.
When employees are in the proper role and feel a sense of achievement and challenge their talents will be
in line with the goals best suited for them.

3.1.6 .Developing recognition and feedback

– taking the time to acknowledge a job well done can increase the likelihood of employee satisfaction.
Positive and constructive feedback boosts an employee’s moral and keeps them working in the right
direction. Here are some best practices that are important in making sure that feedback and recognition
leads to increased satisfaction.

Developmental feedback and recognition are better important – developmental feedback helps employees
make correction to their behavior and recognition or positive feedback provides recognition and supports
positive effect.

Feedback should deliver continuously as you observe employee behaviors rather than during those feared
yearly performance reviews.

Feedback should be always be straight and to the point. For example when giving negative feedbackis
sure to avoid the feedback sandwich (i.e. positive-negative-positive) at all costs – it is confusing to the
employee doesn’t communicate your intended message.

3.1.7 .Developing (providing) autonomy

– giving employees the freedom of ownership of their work may help rise satisfaction. Job satisfaction
may result when an individual knows they are responsible for the outcome of their work. Autonomy is
one of the most powerful indicators of job satisfaction. The more control has over his or her job, the more
satisfied he/she is likely to be. Providing autonomy is a way of humanizing employment, and it can be a
more powerful motivator even than monitory gain. So CBE should look ways to give employees more
control over their schedules, environment and/or work habits. For instance, the companies could offer
alternative work schedules such as flex time or tele commuting. To days employees have demanding
schedules outside of work. Because every person obligation outside of work is different, customized
schedules are a great way to improve employee satisfaction. In addition the companies should also
encourage employees to customize their work stations. This could include delay and/or equipment. This
not only gives employees control over their work environment, but it can case personal barriers such as
back pain or eyestrain.

3.1.8 .Provide developmental and advancement opportunity

Allowing employees who show high performance and loyalty, room to advance will help ensure job
satisfaction. A new time and a sense of responsibility can often increase job satisfaction in employees.
Believe it or not, the #1 contributor to voluntary turnover is lack developmental opportunities (kenexa,
2011). Personal and professional development is a crucial component for job satisfaction and motivation.
To increase job satisfaction make sure that each employees has a training development plan that is
updated on an annual basis. Also CBE should recognize that development can come in many forms

1. On the job training (OJT) learning the most effective way for employees and leaders to develop
their skills and competency particularly when it is supports the organization and established as a
formal process OJT development often includes the use of challenging stretch assignments that
places employees at the edge of their comfort zone where they will have to leverage their strength
or even develop new ones.
2. Monitoring is also an effective way for employees to not only become socialized in the
organization but also to gain the kinds of organizational knowledge that only a more senior and
established employee can provide. Monitoring provides three major functions for portages; social
support, development and role modeling(Allen, Eby, potet and Lentz, 2004)

Jobs are more than a source income. Jobs are venue for employees to grow and learn. In a survey
about employee’s motivation, employees ranked job characteristics that motivated them. Surprisingly,
high wages and promotions were not in the top three. Instead namely one desire was “full
appreciation of work being done”

CBE can create an atmosphere of growth by providing training acknowledging benchmarks, and
celebrating accomplishments. CBE should also encourage employees to take risks and learn new
skills. Employees will become bored and lose motivation if they are never given an opportunity to
expand their skills and responsibilities.

3.1.9 .Ensuring concern about job security

– Anytime the organization makes changes (large or small or engages in a formal survey) it is
important that organization let employees know that what you are doing to help the business succeed.
This message should be delivered clearly and consistently to employees. When job security concerns
are not addressed, an organization runs the risk that communications void will be filled by rumors,
concerns or fears. This could result in decreased satisfaction and increased resistance. Job security is
a very high factor in determining an employee’s job satisfaction. CBE should give an employee the
assurance that their job is secure will most likely increase job satisfaction.

3.1.10 .Take a genuine interest in employees work-life balance

– to the extent that CBE managers can offer some flexibility in schedules and understand about
family commitments, directors’ appointment and so on such sensitivity can be greatly appreciated.
Small gestures often make a big difference.

CBE should recognize work-life balance practices in times where the average house hold is changing
it’s becoming more important for an employer to recognize the delicate balancing act that it’s
employees perform between their personal life and work life. CBE must create policies respond to
common personal and family needs can be essential to maintaining employees job satisfaction.

4. Change process
 - The company will go through partial changes that are mainly focused on some policies, work
procedures, work schedules, and about working condition.

4.1. Leading and managing change process

Step1; create urgency

Identifying the potential treats and develop scenarios

Treat

- Growing competitor
- Advancement of technology
- Shifting work and employment relationships
- Changing socio cultural environment
Scenarios
- Due to this the involving global environment dissatisfied employees will seek to go other
competitor companies this affect the company’s cost and reputation.
Opportunity
-CBE was the leading bank in Ethiopia .these attracts potential labor to join in the company and
to retain existed employees.

Step 2; form a power full collation

Convince people that change is necessary: this often takes strong leader ship and visible support from
key people within their organization. By using influential leader lay to convince employees, managers
and supervisor.

Step 3: create vision for change.

A clear vision can help everyone understand why you are asking them to do something.

- Determine employee’s dissatisfaction will attack the market performance of CBE.

- Create strategy, which avoid employee dissatisfaction.

Step 4: communicate the vision

- Trying to communicate to everyone in the organization. It’s also important to “what you do is
more important and believable than you say”.
- Address employees concerns and anxiety and honesty
- Apply the vision to all aspects of the operation

Step 5: remove obstacles

- Identify, or, hire, change leaders whose main roles are to deliver the change.
- Look at the organizational structure, job dissatisfactions, and performance, and compensation
systems to ensure they are line with your vision.
- Recognize and reward people.
- Identify people who are resisting the change.
 - Take action to quickly remove barriers.

Step 6: create short term wins

- Look sure implementation without help from any strong critics of the change.
- Reward which the employees help to meet the target

Step 7: build on changes

- After wins analyze, which one is the right to avoid employees dissatisfaction and which needs
improving
- Setting goals.

Step 8: anchor the change in corporate culture

- Talk about progress every chance we get

- Include the change ideas and values when hiring and training new staff.
- Create plans to replace key leaders of change as they move on.

5. Conclusion
5.1 .Causes of employee’s dissatisfaction

- Over work-working for a long period of time within a day and a week
- Unfair payment and benefits- unbalanced payment and benefits, when we compared with their
outcome and performance
- Poor communication- unclear communication that are found between employees in the work
environment.
- Working condition absences of good work environment employees working without full facilities
and under pressure.
- Company leadership unsupportive management - the company have absence of leaders, who
initiate, inspire, energize the employees to achieve their goal.
- Less opportunity for promotion and professional growth.
- Absence of independency- power is not fully decentralized employees’ managers and supervisors
are unable to decide by their own power.
- Job insecurity and unsafety.
- Less independency.
- Organization policies, procedures and practice problems.
- Work-life balance problems.

5.2 .To avoid dissatisfaction CBE will follow the following adjustments

- Amending companies policies, procedures, and practices

- Improving salary and benefits
- Helping for achievements
- Developing recognition and feedback
 - Developing autonomy
- Provide development and advancement opportunity
- Take a genuine interest in employees work-life balance
- Ensuring concern about a job security.

Reference
- Organization behavior, student module, leaders University College, 2015.
- Kristi H edges and common cause of work place De motivation, 01.20.2014. Www.forbes . Com/
sites/ work in process / 2014.
- Dig deeper, 7 ways to improve satisfaction/ 2011.05, www.tnc .com /guides/2011.05/7 ways to
improve employee satisfaction.html
- Brian FRANCIS REDMOND; CODY GUSTAVESON; April 06 2015, job satisfaction- PSYCH:
work attitude and motivation, Wikispaces.psu.edu/display/PSYCH484/11.job satisfaction.
- Timothy shanahan, best practices for business, October 08. 2010, best practice for business:
com/2010/10/22/employees satisfaction/
- Lisa magloff, how to increase work place satisfaction, 01.05.2010, small business
.ehron.com/increase workplace satisfaction-loslo.html
- Dr. Jonvon Powell, how to improve job satisfaction, march 22.2012, www.Scontrion-powell.com
/20112/how to improve job satisfaction
- Hack man, J.R. and Oldham, G.R. (1976) motivation through the design of work: test of a theory.
Organizational behavior and human performance, 16,250-279.
- Hack man, S.R, and old man, G.R. (1980) work redesign. Reading, MA: Addison Wesley.
- Herzberg, F (1968). One more time: how do you motivate employees? Harvard Business Review,
pp. 52-62.

-employees and officials of CBE ethical principle, august .30.2005 e.c.

-commercial bank of Ethiopia,www.combanketh.et/aboutus/companyproile.aspx