COLLEGE OF BUSINESS AND ECONOMICS

DEPARTMENT OF PUBLIC ADMINISTRATION AND DEVELOPMENT MANAGEMENT

THE EFFECT OF EMPLOYEE MOTIVATION ON ORGANIZATIONAL PERFORMANCE IN CASE OF

COMMERCIAL BANK OF ETHIOPIA,IN HOSANA TOWN .

A SENIOR ESSAY SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE

BACHELOR OF ARTS DEGREE IN PUBLIC ADMINISTRATION AND DEVELOPMENT MANAGEMENT

BY: ALIYI MOHAMMED ALI ID. NO. WCU1306223

ADVISOR: LAPISO E. (MA)

February, 2024
HOSSANA , ETHIOPIA

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ACKNOWLEDGEMENT

Most of all I thank God for the peace and Health that he has given me because peace
and health come from the creator not from man. Next, I would like to thank my main
advisor Mr.LAPISO(MR)2 support of me by scarifying He is time and knowledge through showing
the direction how to accomplish this research. Then I would like to thanks the staff of
the commercial bank of Ethiopia, Hossana town for providing me with the relevant data
honestly.

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 ABSTRACT

The main aim of this study was to identify the effects of employee motivation

on the organizational performance of CBE, Hossana town. The descriptive and

explanatory research design was used and analyzed quantitatively by SPSS (V23). All

(10) branches of CBE were used to take an adequate sample size and 156 employees

selected by Yamane's (1967) formula from the total of 255 employees through

systematic sampling method. Primary sources of data were used through questioner

based on a 5point Likert scale that range from strongly disagree to strongly agree.

Descriptive and inferential analyses such as standard deviation, mean, Pearson

correlation and linear regression analysis were used. All Management indicators have a

positive and strong effect on organizational performance of CBE, Hossana town at α =

0.05 and the developed hypothesis confirmed that has an effect on organizational

performance. Further, system quality, intension to use, net benefit, and user

satisfaction were found to have a high significant effect on organization performance of

CBE, Hossana town at a p-value of .000 while the left of two variables information

quality and service quality has an effect on organizational performance of CBE,

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Hossana town at α =.05 with a p-value of .012 & .010 respectively. Based on the

research result it is recommended for CBE, Hossana town should make MIS of the bank

always available to system users, hiring and training MIS specialists, providing

material and human resources supporting MIS and assess the overall practice of MIS

from time to time.

Keywords: - The Management of the should be approachable organizational performance,

and listen the comment of Employees problems in CBE, Hossana town, Central region, Ethiopia

List of table
Page
TABLE 4.1 AGE, SEX, EDUCATIONAL LEVEL AND MARTIAL TUTUS OF RESPONDENTS............
....................................................................................................................................... 21
TABLE 4. 2. RESPONSE ON MOTIVATIONAL PRACTICE IN ORGANIZATION................................22
TABLE 4. 3, RESPONSE ABOUT MOTIVATIONAL IMPACT ON PRODUCTIVELY...........................
....................................................................................................................................... 23
TABLE 4.4. RESPONSE ABOUT ADDITIONAL REWARD SYSTEM..................................................
....................................................................................................................................... 24

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TABLE 4. 5. RESPONSE ON SECURITY OF JOB..............................................................................24
TABLE 4.6 RESPONSE ABOUT PUNCTUALITY OF EMPLOYE.........................................................25
TABLE 4. 7. RESPONSE ON STAYING IN ORGANIZATION.............................................................26
TABLE 4.8 RESPONSE ABOUT EFFECT OF MO...............................................................................27
TABLE 4.9. RESPONSE ON ABSENTEEISM OF EMPLOYEES..........................................................27
TABLE 4.10. RESPONSE ON WHO FAIRLY REWARDED IN THE ORGANIZATION.........................
....................................................................................................................................... 28

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LISTS OF FIGURES

Figure 2.1: conceptual frame work of the study ......................................................................................32

Figure 4.1: Gender of Respondents ..........................................................................................................45

Figure 4.2 : Respondents age group..........................................................................................................46

Figure 4.3 : Respondents field of specialization.......................................................................................47

Figure 4.4 : Respondents Educational Background..................................................................................48

Figure 4.5 : Respondents organizational position.....................................................................................49

Figure 4.6 : Respondents years of experience in the organization .........................................................50

6

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Table of Contents
ACKNOWLEDGEMENT........................................................................................................................................... II
ABSTRACT............................................................................................................................................................ III
LIST OF TABLE....................................................................................................................................................... IV
LISTS OF FIGURES.................................................................................................................................................. V
CHAPTER ONE......................................................................................................................................................... 1
1. INTRODUCTION.................................................................................................................................................. 1
BACKGROUND OF THE STUDY................................................................................................................................ 1
1.2. BACK GROUND OF THE ORGANIZATION................................................................................................................... 2
1.3. STATEMENT OF PROBLEM.................................................................................................................................... 4
1.3.1 Research Question.................................................................................................................................. 5
1.4 OBJECTIVES OF THE STUDY.................................................................................................................................. 5
1.4.1 General objective................................................................................................................................... 5
1.4.2. Specific objective................................................................................................................................... 5
1.4. SIGNIFICANCE OF THE STUDY................................................................................................................................ 6
1.5. SCOPE OF THE STUDY......................................................................................................................................... 6
1.6. LIMITATION OF THE STUDY................................................................................................................................... 7
1.7. STRUCTURE OF THE THESIS.................................................................................................................................. 8
CHAPTER TWO........................................................................................................................................................ 9
REVIEWOFRELATEDLITERATURE............................................................................................................................. 9
THEORETICALFRAMEWORK......................................................................................................................................... 9
REVIEW OF RELATED LITERATURE........................................................................................................................... 9
2.1 MOTIVATION..................................................................................................................................................... 9
2.2 HOW TO MOTIVATE EMPLOYEES............................................................................................................................. 9
2.3 CHALLENGES OF MOTIVATION............................................................................................................................... 9
2.4 IMPORTANCE OF MOTIVATION............................................................................................................................. 10
2.5 SOURCE OF MOTIVATION................................................................................................................................... 10
2.6 THEORIES OF MOTIVATION................................................................................................................................. 11
2.6.1 Maslow theory...................................................................................................................................... 11
2.6.2 Alderperson ERG theory........................................................................................................................ 11
2.6.3 McClelland’s Theory.............................................................................................................................. 12
2.6.4 Motivation, Performance and Job satisfaction...................................................................................... 13
2.6.5 Consequence of Job dissoliation............................................................................................................ 13
2.7.ORGANIZATIONAL PERFORMANCE........................................................................................................................ 17
2.9. . CONCEPTUAL FRAMEWORK OF THE STUDY......................................................................................................... 20
CHAPTER THREE................................................................................................................................................... 22
3.RESEARCHMETHODOLOGY................................................................................................................................ 22
3.1. RESEARCH DESIGN........................................................................................................................................... 22
n. 3.2.2.Data collection................................................................................................................................. 23
3.3. VALIDITY AND RELIABILITY................................................................................................................................. 23
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 3.3.2 Reliability of the instrument.................................................................................................................. 23
3.4.POPULATIONOFTHESTUDY.................................................................................................................................. 25
3.5SAMPLEDESIGN................................................................................................................................................. 26
3.5.1Samplingtechnique................................................................................................................................ 26
3.5.2.Samplesize............................................................................................................................................ 27
3.7. Model specification................................................................................................................................ 28
3.8. DESCRIPTION OF STUDY VARIABLES...................................................................................................................... 29
3.9. ETHICAL CONSIDERATION.................................................................................................................................. 30
CHAPTER FOUR..................................................................................................................................................... 31
4.DATA ANALYSIS AND DICUSSION OF THE........................................................................................................... 31
4.1. INTRODUCTION............................................................................................................................................... 31
4.2. DEMOGRAPHIC CHARACTERISTICS OF RESPONDENTS................................................................................................ 32
CHAPTER FIVE....................................................................................................................................................... 39
5.2. RECOMMENDATIONS........................................................................................................................................ 40
REFERENCES......................................................................................................................................................... 41
Appendix............................................................................................................................................................... 42

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 CHAPTER ONE

1. Introduction

Background of the Study

The success of any business depends largely on the motivation of the employees. Human resource are essential to

prosperity, productivity and performance of any company. Motivation is the key to creating an environment where the

optimal performance is possible. The practice of motivational factors require from an employer determines the performance

of employees and the success and failure of the organization. The relationship between the performance and motivation

clearly shows that manager should hire individual who have the ability to do what is requires. According to (Hucznsky

2001, p: 321).

The development and growth of business organization in competitive business environment is depends on the efficient

utilization of resource. The performance of organization is affected by different factors such as motivation, working

condition, and job security. Taking this in to account motivating employees helps organization to get competitive

advantage. No doubt that the survival of an organization largely depends on effective and efficient management of its

resource. Human resource is one of these that needs to be well managed. It plays a crucial role in achieving both the long-

run and short- run objectives of an organization. Managing people is not as easy as managing resource. This is due to the

complex nature of human being and as a result in as single organization different people may have different personalities,

attitudes, beliefs and values. Managers must use different strategies and skills to wards motivating employee for the survival

and best performance of organization.

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1.2. Back ground of the organization

The agreement that was reached in 1905 between emperor minilik II and Mr., Magillivray, representative of the
British owned national bank of Egypt marked the introduction of modern banking in Ethiopia.
Following the agreement, the first bank called bank of Abyssinia was in gurated in February 16, 1906 by emperor
and the bank was totally managed by the Egyptian National bank. By 1931, bank of Abyssinia was legally
replaced by bank of Ethiopia shortly after emperor Haile Selassie came to power.
The new bank, bank of Ethiopia, was purely Ethiopian institution and east the first indigenous bank in Africa
and established by official decree on August 29, 1931 with a capital of Birr 750,000 (http:en, Wikipedia,
org/wiki/ commercial bank of Ethiopia) The first indigenous bank which functions as both as commercial bank
and central Bank was established in 1963, under the name of state of Ethiopia. In 1963, new banking law split the
state bank of Ethiopia to central and commercial banking namely national bank of Ethiopia (NBE) and
commercial bank of Ethiopia (CBE). The former was responsible for supervision of banks in the country. The
national bank of Ethiopia with more power and duties started its operation in January 1, 1964.Following the
incorporation as a share company on December 16, 1963 as per percolation No, 207/1997s o October 1963 took
over the commercial bank activates of the former state bank of Ethiopia. it started operation on January 1,1964
with a capital of birr 22 million in the new commercial bank of Ethiopia, in contrast , with the former state bank
of Ethiopia, all employees where Ethiopians (http://www.teh history of corporate, com)
Consequently, the present day commercial bank of Ethiopia was established under proclamation No, 184 of
August 1980.- According to this proclamation the main objectives of the commercial bank of Ethiopia are as
follows:-
1. To extend commercial banking services throughout the country
2. To extend loans, credits and all other banking facilities to any person fore specific purpose and periods.
3. To encourage the mobilization of saving by making the people aware of the use of banking.
4. To spread widely banking habits among the people.

Moreover, according to this proclamation, the bank shall have the responsibility to perform the following duties in
accordance with the general directives issued to it by the supervising authority, namely the national bank of
Ethiopian.
1. Receive saving demand and time deposits
2. Make loans and advances
3. Draw, accept, discount, buy and sell bill of exchange, drafts, and promissory notes payable within or outside
Ethiopia.
4. Issue letter of credit.
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5. Buy, sell, hold or other wise deal in foreign exchange,
6. Control the end use of credit loans, and other facilities that provides to its customers.
7. Act as an agent for persons and in this capacity, engage in the sale of money and shares.
8. Negotiate, under write or issue bond
9. Keeping safes securities, jewelry, precious metal and other valuables materials.
10. Issue cheques and travelers cheques and generally deal with cheques.
11. Hold, acquire and sell negotiable instrument and security by the government or private person.
12. Performs such other banking activities as are customarily carried out by commercial bank.

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1.3. Statement of problem

Employee motivational programs go a long way towards ensuring employees feel

appreciates and bad. This alone can help with employee’s motivation across the
board. The great thing about this program is they are very individualize.
Motivational program increase motivation because they are not only encouraging
productivity performance but also show employees the company cares. (Hucznsky,
2001).

Motivates employees are happy on behave of the job and strive for increasing
productivity of the business. They also try to develop a new mechanism of doing a
job so as to improve their productivity. In contract to this, poor motivation leads to
eradicate the productivity of the organization by a means of unpunctual and
absenteeism. (Bernard.et al, 2002)
The study focus on the motivational tools that management generally uses to
employees. motivation are financial and non-financial motivational. Financial
motivation include like reward, piece rate wage and the non-financial motivation
also include motivation status, responsibility, making job pleasant and interesting.
The poor performance of employees is decrease the productivity and employee lay
off from work.
Dissatisfaction of the employee lead to turn over which has adverse effect on
organization performance. Then the organization should satisfy those who were
dissatisfied.

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 1.3.1 Research Question
This study has aimed to answer the following questions:

1.  1)What is the effect of system quality on organizational performance?

2.  What is the effect of information quality on organizational performance?

3.  What is the effect of service quality on organizational performance?

4.  What is the effect of intention to use on organizational performance?

5.  What is the effect of user satisfaction on organizational performance?

 What is the effect of net benefits on organizational performance?

1.4 Objectives of the study
1.4.1 General objective
The general objective of the study was to examine the effects of MIS on the
organizational performance of a commercial bank of Ethiopia, Hossana town.

1.4.2. Specific objective of the study

 To examine the effect of system quality on organizational performance.

 To examine the effect of information quality on organizational performance.
 To examine the effect of service quality on organizational performance.
 To examine the effect of intention to use (use) on organizational performance.
 To examine the effect of user satisfaction on organizational performance.
 To examine the effect of net benefits on organizational performance.5

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1.4. 3.Significance of the study

The study has the following importance for concerned stakeholders.

The study enables the organization to know their strength and weakness and then
to follow the way to motivate and increase their productivity in easy way. The study
also provide relevant information to this on varies level of management, employees
and labor union leads to understand the importance of motivational factors on
performance of employee. Lastly, it create awareness to minimize the problem
related to employee motivation.

1.5. Scope of the study

The scope of this study limited to the effect of employee motivation of performance in case of commercial bank
of Ethiopia in DireDawa branch. Since studying the effects of all factors on employees’ performance is
unmanageable, the researcher tries to limit the factors to salary and rewards, career development, participation
and safety and healthy work environment. The study is also limits to one company, CBE in Dire Dawa branch due
to limits knowledge, skill and financial resource that the researcher has.

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1.6. Limitation of the study
Conducting this study there was limitation that the researcher faces are under the following.
Data’s needed for analysis concerning motivation can be gained from primary data,
since most of the data arerelated to attitude of employees.
Shortage of time for gathering all necessary data from the organization.
Lack of financial resource is the major constraint.
archers7

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1.7. Structure of the Thesis

The study was organized into five chapters. The first chapter presents the introduction

part which contains: background to the study, a statement of the problem, research

hypotheses, general and specific objectives of the study, the significance of the study,

the Scope of the study, and the structure of the thesis. The second chapter is about

literature review, which incorporates: theoretical review, empirical review, and

conceptual framework of the study. While the third chapter contains a brief description

of the research design, as well as the methods in which the data were collected,

presented, and analyzed. The fourth chapter presents, analyzes, and interprets the data

related to the objective of the study. Finally, the fifth chapter was about conclusions,

recommendations, and suggestions to future researchers8

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CHAPTER TWO

REVIEWOFRELATEDLITERATURE

Theoreticalframework

Review of Related Literature

The employee motivation has major impact on economic performance of the firm. The firm used different
essential resource for its economic performance. Especially human resource is most and significant and ingredient
part of resource and managers apply a variety of motivational scheme to give employees highly productive and
always they stand for a common good of firm. This chapter tries to present the theoretical aspects of motivation.
(staff@incentivequotes.com)

2.1 Motivation
There is no standard definition of motivation but there are number of common agreement. Motivation has to do
three broads are as with respect to individuals behavior. Source (Anderson 1989. PP63).

Direction what someone is trying?

Persistence has along someone continual trying.
Effort how hard someone is trying
According to Bernard Berenson and Gram A. Steiner” motivation is an energized action at channels behavior
reward’s the goals”.

2.2 How to motivate employees

The successful managers has known how to motivate their employees. Even though everyone is motivated by
different needs, most people tell that two of most important issues they look for the company are mutual respect
and personal involvement. There are some ways motivating employees are
Be aware of moral level of your organization.
Involve employees in decision making.
Outline job responsibilities.

2.3 Challenges of Motivation

Motivation in practice and theory are difficult issues conducting on several
disciplines. In spite of research basic as well as applied, the subject of motivation not
clearly understood more often than not poorly practiced. People in the organization
come from different places with respect to attitudes towards job peers, subordinates,

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 organizational rules and procedures. As a result of these mangers or organization
encounter big problem of having different outlook and at same goals and objective
achieved by integrating and coordinating people. Source (plunkent, 1997.PP390).

2.4 Importance of motivation

Motivation is important because of its determinants factors on performance and its intangible character. The
performance of individual’s is determined by
Motivation ‘the desire to do the job
Ability; the capability to do the job
The work environment the goals, material and information. Motivation process begins with needs as deficiency.
Motivated employees are a tower of the company and they will binges dramatically change in every activities of
their performance and they are more productive to be effective manager needs to understand what motivates
employees within the context of they perform. Source (Bowen and Radian Krishna, 9191 W.W.W. jo.oxgn).

2.5 Source of motivation

1. Positive motivation; involves proper recognition of employees effort and appreciation of employees
contribution towards organizational goals achievement. Some of these are delegation of Authority and
responsibility to subordinates participation indecision making..
2. Negative motivation; is based up on use of force, power and treats. The fear of punishment or unfavorable
consequence affects the behavior change
3. Extrinsic motivation; is induced by external factors which are primarily financial in nature.
4. Intrinsic motivation, it stems from feeling achievement and accomplishment and is concerned with state of self-
actualization in which the satisfaction of accomplishment something worthwhile motivates the employees. It’s
self-generated and independent of financial rewards like recognition, responsibilities, esteem needs source
(Chand an 1995. PP 57).

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2.6 Theories of Motivation

This station present various theories of motivation proposed by

different individuals and section
2.6.1 Maslow theory
Maslow theory is a hierarchy need theory which is popular theories of
motivation and it’s
Based on the following facts.
Man is not always satisfied with it on hand. He is always in need of
something which he does not have.
Human needs are unlimited, that is if one need is satisfied the other
need will be activate and the process continuous in definitely. Maslow
need hierarchy, source (Diver, 1994.PP14).
Maslow categorize the need in to the following five.
The physiological needs; involves a need for basic thing like food,
water, shelter and sex, when this fundamentals needs are not meet no
other higher level needs will act as motivation. On another way, once
primary needs satisfied, safety or security needs are activities.
Safety needs; include protection from physical harm, economic
disaster and futuristic needs in that they represent a desire to ensure
ability to physical need.
Social need; is need for belongingness and love that comes in to play
only when physical and safety need are reasonable secured.
Esteem needs; include self-respect and feeling of competency and the
need for recognition and administration in the eyes of other.
Self-actualization; The process of making actual persons perception of
his/ her real self. Aracely attained self-actualization impulse to become
when one is capable of becomes of Achieving ones full potential in the
most creative self-motivated way source ( Resenabaum, 1982 PP75).

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2.6.2 Alderperson ERG theory
The ERG need theory, developed by Clayton alderperson is a
refinement of Maslow’s need hierarchy, Instead of manioc’s five needs,
ERG Theory condenses these five need in to three needs.
Existence needs- these needs are roughly compatibilities to the
physiological and safety needs of Maslow’s models are satisfied
primarily by material incentives. These include the need for shelter
physical and safety from threats on people’s existence and well-being.
Relatedness needs- these roughly correspond to social and esteem in Maslow’s hierarchy.
These needs are satisfied by personal relationship and social interaction with others. It
involves open communication and honest exchange of thought and feelings with other
organizational members.

Growth needs’. These are needs to develop and grow and reach the five potential that
person is capable of reaching. Their needs are fulfilled by strong personal involvement in
organization environment and look for new opportunities and challenge. ERG different from
Maslow’s in proposing that may be motivated by more than one kind of needs at the time.
While Maslow proposes that in the hierarchy needs, a person will satisfy the lower level
need before he moves up to the next levels of needs and will say at the need until it is
satisfied. ERG Theory suggests that if the person is frustrated in satisfying his needs at a
given level, he will move back to the lower level needs. (Wright Patrice 1996, PP: 364- 366).

2.6.3 McClelland’s Theory

David McClelland’s theory and his associate John Atkinson proposed another important
Theory of motivation and achievement of motivation. According to theory organization
offers an opportunity to satisfy of at least three needs (Davis, 1989 PP: 104)

The need for achievement (n- Ach)

Achievement motivation is driven some people have to overcome challenges and

obstacles in the pursuit of goals. An individual with this drive wishes to develop
and grow up the ladders of success characteristics of Achievement oriented.
Employees are work harder when they perceives that they will receive personnel
credit for their efforts when there is only moderate risk of failure and when they
receive specific feedback about past performance.
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Need for Affiliation
Affiliation motivation is a drive to relate to people on social basic. Affiliation oriented people work better
when they are complimented for their favorable attitudes and cooperation. They receive inner satisfaction
from being with friends and they want the job freedom to develop those relation.
Need for Power
Power motivation is drive to influence people and change situation. Power motivated people wish to create an
impact on their organization and are willing to taking risks to do so Once this power is obtained it may be uses
either constructively or destructively. Power motivated people make excellent managers if their drives are per
instructional power instead of personnel power.

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2.6.4 Motivation, Performance and Job satisfaction

It has often been said that a happy employee is a productive and happy
employee must be satisfied with his job, Job. Satisfaction can be
defined as the extent of positive feeling of attitudes that individuals
have towards their job feels, good about it and values his job highest
on other and serious job dissatisfaction results in stress and tension
which is usually the cause of a variety of physiological disorder
(Chandara 1995. PP: 87).
2.6.5 Consequence of Job dissoliation

Job dissatisfaction produce low mental among workers and low mental
at workers. Some of the indicators to low morale are:- Employees
unrest, the workers may not attend to his job properly, may be involved
in a day a reaming, be forgetful or just may not care. If this unrest affect
a sufficient numbers of workers, they may take a collective action such
as go slows, worker stoppage sticks and other allied group actions.

Absenteeism: job satisfaction is highly related to absenteeism. Studies have found that less
satisfaction employers are more likely to be absent from work due to “Avoidable reason”.
Management must be concerned with excessive absenteeism for it disrupts production and
business operation.

Employee turnover: high turnover distributes normal operation and continuously replacing
the employee who leave is costly and both technical and economically undesirable. Turn
over may be voluntary which initiated by the employee and may be due to Job d
issatisfaction or other personal reason beyond management control.

EARLY retirement: These has been that employee who choose early retirement tend to hold
less positive attitudes, challenges and, work opportunities are less likely to seek
requirement than employees with lower levels jobs.

ways to motivate employees

No longer can leader hire workers and expects to get motivated individuals. Learning how to motivate is now one
43
of the most relevant and essential skills leaders can possess in to days ever-changing work place. This guide
provides some insight in to human motivation by offering 77 practical suggestion for motivating works. Today,
leader usually must go beyond the day –to –day operation and “though decisions”. Leaders in today’s society are
expected to be social scientist, and the great leaders of today and tomorrow are those gifted individuals who have
mastered the art of motivation. The ability to understand people and to be able to tap in to their respective motives
are the skills that make difference in today’s society.

What separates exceptional leaders from ordinary leaders is the ability to inspire and motivate employees. In
recent studies, researcher at the university of Nebraske-Lincol examined source of motivation of Nebraska
workers in urban and rural settings. The results have demonstrated that five unique source of motivation exist:
Intrinsic process-motivated by fun
Instrumental-motivated by reword
Self-concept-external motivated by reputation
Self-concept- internal motivated by challenge
Goal internalization- motivated by cause or purpose
Each of the five sources requires different organizational and leadership characteristics to tap in to them.
Exceptional leaders will find ways to tap into each source. Those who tap into just one or two will motivate only
a small percentage of their workers and be less effective.

Motivating workers
This section includes a list of 43 ways to motivate workers by gapping in to each of the five source of motivation;
fun, rewards, reputation, challenge, and purpose.
Fun
Some workers really want to enjoy the work they do. Many who enjoy activities they participate in at work place
look forward to the day each morning.
There are 10 things leaders can do to make the work place and the experience of workers more enjoyable for
workers:

A, Find out which task are each of your employee’s favorites.

B, Find ways to assign more of the tasks they enjoy and fewer of the once they don not like to do
C, if you are a good joke teller, tell tots of them.
D, if you are not much of a joke taller, buy a joke book.
E, Plan societal event for your employees.
F, Make sure that every meeting has some scheduled fun time

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H, Always start a meeting with something social
G, Do something interesting with the lunch room
I, Create a quote of the week
J, Sponsor a company bar becue
There are 10 ways to motivate people motivate by rewords:
A, Create incentive laden pay scales (les output-lespay)
B, Create sale contest
C, Create clear work objective and goals.
D, Remind workers of what they will get for their efforts.
E, Create incentives attached to predetermined objectives and task.
F, Give special reward to top performers on a regular basis.
G, Offer extra holiday time for outstanding performers.
H, Be fair, these workers will watch closely to see what the consequence are of very one’s actions.
I, Follow through on all of your promises.
J, Make sure that workers do not receive perks if they have not earned them.

Reputation

Eight ways to motivate persons who are motivated by reputation

A, Give workers a lots of feedback about the way they are performing.
B, Give PRAISE in front of other people
C, Criticize these individuals only in private (never of in front of others)
D, Tell your workers that you appreciate the work they do
E, Tell people they are important both to the business and to you
F, Ask workers if anything interesting happened to them this weekend.
G, Make sure that you give credit to everyone that contribute
H, Put up pictures and biographies of all your employees in accentual place

Challenges
Six ways to motivate people motivate by challenges:
Stay out of their way and let them do the work if they know how to do it.
Assign tasks that requires their skills and talents
Find ways to help them to continually develop their abilities.
Avoid assigning mundane tasks to those workers.

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Give them a challenge, then get out of their way.
Give them autonomy to structure and perform their job as they see best.
Purpose
Nine ways to motivate people high in purpose or goal internalization are listed below.
Communicate the purpose of the task being assigned.
Make sure the company has vision and mission that it is pursuing.
Communicate the organization’s vision and purpose and on daily basis.
Refer to the purpose of organization and “why we exist” when outline strategies and goals.
Remind employees of who depends on this organization to succeed.
Discuss why (in terms of contributing to the mission) things need to occur.
Remind workers how their efforts make a difference for the company in its pursuit of it vision
Make links between their work and the company vision so they can see how they fit into the bigger picture.
Include works in the visioning and strategies planning process that they feel they have a stake in the
organizational outcomes.
Source: www.janrubs.unl.edu/pases/publicatindijsp?publication=1999

Employee motivation impact on organizational performance

Maintaining stability

Employees are a company livelihood. How they feel about the work they are doing and the result received from
that work directly impact on organization performance and ultimately, its stability. For instance, if an
organization employees are highly motivated and protective, they will do whatever is necessary to achieve the
goals of the organization as well s keep track of industry performance to address any potential challenges. This
two-prong approach builds an organization’s stability. An organization whose employees have low motivation is
completely vulnerable to both internal and external challenges because its employees are not going the extra mile
to maintain the organizations stability and unstable organization under forms.

Reduction in productivity

Lack of motivation equates to less work being accomplished, productivity does not disappear; it is usually
transferred to aspects not related to the organizations worktaking longer lunches cost the organization time and
. Things like personal conversation, internet surfins or

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money. Reduced productivity can be detrimental to an organization performance and future success

Negative changes to reputation

Low employee motivation could be due to decreased success of the organization,

negative effects from the economy or drastic hages or uncertainty within the
organization. No matter what the cause, having the reputation of having unpleasant
work environment due to low employee motivation will ultimately impact how
existing and potential clients or parents view working with an organization. A
reputation can precede on organization and indicate its future in the industry

Source: www.ehow.combuisenss
.

43
2.7.Organizational performance

The literal meaning of performance is “the mood or function of

operation quality”(Azeez and Yaakub, 2019a ; Azeez and Yaakub, 2019b)
Organizational performance is quantitative information and must
provide detailed descriptions of the organization's pre-planned
accomplishment of targets, priorities, values, strategies, schedules,
policies, and procedures to achieve economic objectives such as
sustainability or continuity (Almansoori, 2021).However, only
measuring quantitative aspects of the organization is not acceptable
because organizations have their assets that could not be measured
numerically, because performance is the outcome of both quantitative
and qualitative factors. So,focusing only on financial/quantitative/
aspects has a negative impact on the organization's competitive
advantage. So, Organizational performance “is not one-dimensional
theoretical construct nor is it likely to be characterized with a single
operational measure” (Tetyana and Popa, 2009). Al-Taai, (2021),
describe organizational performance as overall performance based on
performance resources (the value of resource utilization), output
performance (the ability of an organization to deliver the highest quality
product or service to ensure customer satisfaction), and flexibility
performance (organization ability to coup up when changes occur
within and outside of the organization). And concern for employees and
customers is a contemporary business issue to that organization's
focus (Tetyana and Popa, 2009 ; Ishaq Bhatti and Awan, 2013) based on
the fact that they are driving forces of any organizations performance.
Organizational performance is measured with different dimensions
such as financial perspectives, market, and shareholder value, and
sometimes production capacity (Mohamed, A.O. and performance may
be analyzed (Mohamed, A.O. and Mohamud, 2021)

Organizational performance is the achievement of measurable goals that are

dependent on leadership decisions and strategies that contribute to benefit,
profitability, and19organizational learning, as well as employee engagement and
43
dedication to the organization's performance (Abubakar et al., 2019).
Measuring input, activities, output, and the result is all part of measuring
organizational performance. It is important to understand what resources were used to
manufacture a specific product or service (input), what steps were taken in the
manufacturing phase
(process), what product or services were generated in what quality (output), and what
effect did the produced product or service have (Nalwoga and Van Dijk,
2016).Generally, organization performance measurement into two dimensions like: -
objective and subjective measurement. An objective measure of performance is
focused on financial aspects such as - ROI (return on investment), ROA (Return on
Asset), NI (net income), and others. Even this measurement is called Accounting
measurement which depends on the accounting rule of GAAP (General accepted
accounting principle). When it comes to a subjective measure of performance, it
measures organization performance based on information gathered from leaders,
managers, and other concerning bodies in each business unit of the organization
(Nalwoga and Van Dijk, 2016).
Authors such as; ( Tetyana and Popa, 2009 ; Kaplan, and Norton, 1992) criticize the
objective (financial) method because of its focus only on the current performance of
the organization than a long run condition of the organization and even all
organizations
may not have objective data which is based on accounting or financiaal perspectives
in such cases it is mandatory to use subjective measure.
Performance measurement is depending on the nature of the organization we are
going to deal with. For example, a performance measure for private and public
organizations is different. In the case of private organizations, we can measure
through models such as EFQM (European Foundation for quality management)
excellence and BSC (Balance sore card). But, the performance measurements used to
measure 20organizational performance in case of public organizations are like the
value chain

43
 model and the framework for performance assessment (Nalwoga and Van jk, 2016).

2.8.Empirical review

This part of the literature indicates a detailed explanation of previous researches done on MIS and
organizational performance by many authors to develop hypotheses and conceptual framework of the study.
There are many studies done in MIS discussed as follows:-

Yusuf Munirat et al., (2014); the study was conducted in Abuja, North-Central

Nigeria with the title of “The Impact of Management Information System (MIS) on the Performance of
Business Organization in Nigeria” to examine the impact of Management Information System on corporate
performance. The data collected from randomly selected

five government areas was analyzed by using non-parametric simple percentage and Ztest statistical technique
employed to test hypothesis. Further the study found that the performance of business organization influenced
by lack of management skill which

reduce both effective MIS performance and organizations market competition ability. Khresat, (2015); the
main aim of the study was examining the relationship between management information system and
organizational performance telecommunication 21icompanies of Jordan. The study used the data collected
from 100 employees of 10

branches of telecommunication companies. The study result shows that employees of

telecommunication companies have positive attitude on MIS and they use MIS in
work place. Finally, the study concludes that the telecommunication companies of
Jordan
were fully depending on MIS and found statistically significant relationship between
MIS and organization performance. Young-Harry et al., (2018); The study conducted
to examine the relationship between
management information system and organizational performance of Seven Up
bottling company in Aba and Port Harcourt. Based on Likert scale ranges from 1 to 5
questionnaires were distributed to the sample of 117 respondents from randomly
chosen seven up company analyzed through descriptive statistics and Spearman’s
rank correlation. The study finding suggests that MIS and organizational performance
has
strong positive significant relationship between seven up bottling company and
organizational performance2121 Emmanuel, Mary , and Nkiru, (2019); the study
43
aimed to examine the effect of
management information system on organizational performance of in selected deposit
money banks in south east Nigeria. Multiple linear regression analysis method was
employed to analysis the data collected from 384 employees of seven selected banks
in
a study area. The result of analysis confirms that MIS has a significant effect on
organizational performance of selected banks of south east Nigeria. Even the study
recommended the selected banks of the study area to update MIS continuously and
top management should support MIS to improve organizational performance. 2222

43
 2.9. . Conceptual Framework of the Study

According to Yusuf Munirat et al.,(2014), MIS enhances good communication among

workers, record and store information, disseminate gathered information throughout
the institution, reduce expenses incurred for manual activities and support the
organization's strategic goal by showing the direction.
It is known that the concept of MIS is important to the organization, but the only thing
we have to be aware of is how MIS affects organizational performance whether it is
positively or negatively that is the reason why most of the researchers of IS deal with it.
Urbach &,Müller, (2012) suggested that to understand the effect of MIS in an
organization it is better to use the information system success model proposed by
(DeLone and McLean, 2003).
This study attempted to study the effect of MIS on organizational performance of CBE,
Hossana branch with six dimensions provided by DeLone and McLane (2003) such as
information quality, system quality, service quality, user satisfaction, system use, and
net benefits. The study used the Balanced Score Card (BSC) model which includes four components
that are discussed in detail in the theoretical part; those are financial perspectives (FP),
customer’s perspectives (CP), internal perspectives (IP), and Learning and growth
(L&G) , Robert, and Norton, (1992) to measure the organizational performance of
CBE, Hossana town.The dependent variable for this study was organizational performance (FP, CP, IP
&L&G), and the independent variable was MIS (information quality, system quality,
service quality, user satisfaction, system use, and net benefits).23

43
 Independentvariable ////////// Dependentvariable

Managementinformationsystem

Systemquality

(Organizationalperformance)
Informationquality
Servicequality

Servicequality

Usersatisfaction

IntensiontoUse

InforSystemmationuseq
ualityUse
satisfaction
Netbenefit

Netbenefits

Figure2.1:conceptualframeworkofthestudy
Source:Azeez ansdYaakub,(2019a) &Azeez andYaakub, (2019b)

43
CHAPTER THREE

3.RESEARCHMETHODOLOGY
Outline of the research methodology includes- Research approach and design, data
source and collection method, validity and reliability of the study, the target
population of the study, sampling technique and sample size, method of data analysis,
model specification, and description of study variable going to discuss.

3.1. Research design

Research design is the overall plan for combining conceptual research problems with
relevant empirical research (Tesfaye, 2018).
The purpose of this study was to examine the effect of the Management Information
System on the Organizational performance of CBE, Hossana town. This study used
both descriptive and explanatory research design to examine the effects of MIS and
describe what effect does MIS on the organizational performance of CBE, Hossana
town.
The explanatory research design offers a modern framework that goes beyond the
traditional descriptive and explorative case study approaches, allowing cases to be
used more systematically in research to fail to reject or reject hypotheses and
construct theoretical models (Fisher and Ziviani, 2004). Explanatory research design
helps to examine the cause and effect relationship between dependent and
independent variables. In this study, an explanatory research design was used to test
six developed hypotheses whether it fails to be rejected or rejected, and a kind of
relationship among
independent and dependent variables. Descriptive studies can be purely descriptive,

or they can be descriptive comparative to describe and compare naturally occurring

groups, such as gender, education, or age groups. Further, it focuses on describing
people, events, or things in their natural setting to which the researcher does not
change any of the variables; instead, he or she simply describes the sample and/or
43
 variables, (Siedlecki, 2020)26The quantitative approach focuses on gathering new
data from a broad population
under the issue and analyzing the data which focuses on the goal and

measures it through actions and opinions, which aids the researcher in describing the results, (Rahi, 2017).
In this regard, the study used questioner as the tool to collect data from respondents.

26 3.2. Data source and collection tool

3.2.1. Data source

The study used primary sources. The primary source was obtained fromemployees of the commercial bank
of Ethiopia of Hossana town.

3.2.2.Data collection tool

This study used questioner to collect the data to achieve the desired objective
of the study. A five-point Likert scale questioner was used and distributed to
respondents (employees) of the commercial bank of Ethiopia, Hossana town. A five-
point Likert scale questioner was used for the accomplishment of this study because it
is important in reducing confusion during questioner filling and it is easy for a
researcher to analyze
the research once the questioner is returned, (Rahi, 2017).The scale ranges from
strongly disagree to strongly agree. 1, stands for strongly disagree, 2, stands for
disagree, 3, stands for neutral, 4, stands for agree, and 5 stands for strongly agree.
The questioner used in this study has three parts. Part one questioner about
respondents’ demographic information, part two questioners about MIS dimensions
and the last part are about a questioner on organizational performance.

The study adopted 24 Questionnaires of MIS indicators from, Azeez and Yaakub,
(2019a) & Azeez and Yaakub, (2019b) and 12 questionnaires of organizational
performance adopted from, Mafini and Pooe, (2013) ,and (Blackmon, 2008). At the
end questioner was distributed to each 10 CBE. Hossana town based on their sample
frame identified.

43
3.3. validity and Reliability of the instrument

3.3.1. Validity of the instrument

Validity is concerned with whether the researcher is studying the phenomena he claims to be researching
or not. Validity is compromised if the researcher's research strategy is unintentionally more or less than
the reported phenomena (McKinnon, 1988).Accordingly, the research instruments used in this study were
based on the review of

related literature and then reviewed by advisors; senior colleagues, and peers to its validity. This study
adopted instruments from (Azeez and Yaakub, 2019a; Azeez and Yaakub, 2019b; Mafini and Pooe, 2013;
and Blackmon, 2008) to measure MIS indicators and organization performance based on the literature
evidence

3.3.2 Reliability of the instrument

According to Wei, (2018), Reliability reveals how bias-free it is, and so ensures
consistent measurement across time and the various elements in the instruments. This
study used the Cronbach alpha method to measure the reliability (internal
consistency) of the data collection instruments. And as noted by, Spiliotopoulou,
(2009) the researchers (Bland & Altman,1997) claimed that the outcome measure's
internal
consistency was acceptable to meet the standard of 0.70, which is normally used to
assess acceptable reliability. Accordingly, the Cronbach alpha value for all

43
 Table3.1:ReliabilityStatistics

Construct Variables Cronbach Number

Alpha ofitems

MIS Systemquality .819 4

indicators(independent Informationquality .746 4

variables) Servicequality .764 4

Intensiontouse .801 4

Usersatisfaction .776 4

Netbenefit .756 4

Dependent variable Financialperspectives .780 3

(Organization Customersperspectives .88 3
performance) Internalprocess .75 3

perspectives

Employeelearningand .80 3

growth

Source:surveyquestioner,2021

3.4.Populationofthestudy
Thetargetpopulationofthestudywasemployees ofthecommercialbankofEthiopia,
Hossana town. Currently, 10 CBE branches are operating in Hossana town which has
255 employees.

43
 Table3.2:Studypopulation andbranchGradeof banks

No Branchname Number of Percentagesof BranchGrade

employees employees

1 Hossana 47 18.43% 4

2 Wachamo 43 17% 3

3 Bobecho 38 15% 3

4 Batena 32 12.55% 3

5 SecheDuna 28 11% 2

6 Selme 18 7% 2

7 GofarMeda 13 5% 1

8 NegestEleni 11 4% 1

9 AmbechoGodea 14 5.5% 1

10 Aekmura 11 4% 1

Total 255 100 -

Source:CBE,Hossanatown,2021

3.529Sampledesign
Sample design refers to the methods that are used in selecting a sample from the
population and imply techniques and formulas to draw a sample from the total
population of the study area (Trotter, 2012).

3.5.129Samplingtechnique
All 10 CBE branches operating at Hossana town were selected to make the data more

accurate and to give equal chances for all CBE branches at Hossana town.

The study was used a systematic sampling technique to which assures that each unit

has an equal chance of being included in the sample to which the first unit is chosen

using random numbers that are chosen automatically according to a specified pattern

(Shalabh, 2006) . To give equal chances for all employees of the bank branches of the

43
 sampling method was used. From 10 branches of CBE, Hossana town the
studyusedthesamplefromeachbranchbasedsampleproportionbytakingeveryKthelementfr
om each branch.
K=N/n

3.5.2.Samplesize
Thetotalpopulationofthestudywas255, whichincludesallemployeesfrom10bank
branches.
Samle size determination for this study was done by using Yamane (1967) formula to

distribute the population.30

n
= 1+N (e)2
N

Thisforrmula was used to calculate the sample sizes in this study in the assumption
that a 95% confidence level, and e = 5%. Where n is the sample size, N is the
population size, and e is the level of precision (or the acceptable sampling error).
Based on this simplified formula, the sample size “n” is determined as follows:
Population size (N) =
255, Sampling error (e) = 5% = 0.05, hence the sample size n is determined as:30
n =N=255=255= 156

1+N(e)2 1+255(0.05)2 1.6375

The sample proportion for each branch of the CBE, Hossana town identified based on
the following formula:-30
ni=n*Ni
N

Where

ni: stands for a sample size of each bank branches30

43
n: standsfortheoverallsample sizeobtained bytheYamane formula.

Ni: standsforthetotal populationof eachbranch bank.

Basedontheabove formula, thefollowingsamplesizeproportion wasderived:-

Table3.3:Sampleframeofthestudy

No Branchname Number of Proportion of

sample Size
employees

1 Hossana 47 29

2 Wachamo 43 26

3 Bobecho 38 23

4 Batena 32 20

5 SecheDuna 28 17

6 Selmea 18 10

7 GofarMeda 13 8

8 NgestEleni 11 7

9 AmbechoGodea 14 9

10 Aekmura 11 7

Total 255 156

Source: -CBE, Hossanatown,2021

3.6.Method of dataanalysis
The study was conducted by using both descriptive and inferential statistics.
Descriptive statistics used to describe demographic information andresponses of
respondents through frequency, means, and standarddeviation.Inferential statistics
usually a means of survey research where a sample of a population is studied to
determine its characteristics, and it is then inferred that the population has the same
characteristics (Chauhan, p . 15, 2012).
Linear regression analysis was used to test the statistical significance of the
relationship that exists between the independent and dependent variables.31
3.7. Model specification

Linear regression analysis is a general system for examining the relationship of a

collection of independent variables to a single dependent, (Aiken et al., 2012). It

enables to explain the dependent variable by a linear combination of more than two

explanatory or independent variables, (Park et al., 2018). So, it is better to work with

multiple linear regression analysis to determine the degree of the prediction and control

to examine the relevant factors and relational expression can be used to predict and

control another dependent variable by the operation of one or more variables, (Wei,

2018).The study used multiple linear regression analysis to examine the effect of MIS

(Information quality, service quality, system use, system quality, user satisfaction, and

net benefits) on organizational performance of CBE, Hossana Tow32

The study used multiple linear regression analysis to examine the effect of MIS
(Information quality, service quality, system use, system quality, user satisfaction, and
net benefits) on organizational performance of CBE, Hossana Town.32

3.8. Description of study variables

Dependent variable
The dependent variable of the study is organizational performance.
Organizational performance is overall performance measured based on performance
resources, output performance, and flexibility performance (Al-taai, 2021) .
BSC model measures organizational performance based on four perspectives such as -
Financial perspective, Customer perspective, Internal-business-processesperspective,
Internal-business-processes perspective, and Learning and growth perspective.
According to, (Blackmon, 2008 ; Mafini and Pooe, 2013) :-
Financial perspective—measured based on effective cost control, efficient resource
utilization, and good financial performance. Customer perspective— encompasses such
measures as customers’ expectations, customers’ satisfaction and, loyalty.
Internal-business-processes perspective—it is measured by working culture, service deli
3.9. Ethical consideration

Many ethical considerations must be taken into account when conducting research.
From those many ethical considerations, the first and the most is the data collection for
this study was done by permission given by the college of business and economics
research committee. All participants in this study were appropriately informed about
the purpose of the research and the data was collected based on their willingness and
permission without any enforcement and hidden information. In addition to this, the
collected data were analyzed based on its collection result rather than personalizing the
result for achieving the subjective goal of the researcher. Finally, reviewed articles,
journals, magazines, books, thesis, and other published and unpublished documents
were cited as per request of scientific study, and plagiarism issue for this study was
checked before submission of the document33
CHAPTER FOUR

4.DATA ANALYSIS AND DICUSSION OF THE

RESULTS

4.1. Introduction

This chapter deals with the description of the analysis, and interpretation of the
databased on the information obtained from the questionnaires and documents. Most
relevant data for the study were obtained through questionnaires distributed to
employees of the commercial bank of Ethiopia Hossana.The researcher distributed a
total of 156 questionnaires and out of which 136 questionnaires were returned with a
return rate of 87%. Because of various reasons, the rest 20 questionnaires (19%) were
not returned. The data presentation and analysis were based on responses obtained
from the employees of CBE, Hossana town through questionnaires. After the
presentation of the demographic characteristics of the
respondents, the study deals with the presentation, analysis, and interpretation of data
collected from the questionnaires.Collected data through questionnaires were analyzed
with the Statistical Package forSocial Science (SPSS v.23). The responses of employees
on all given variables other than the demographic variables were measured based on
the five-point Likert scale with 1= Strongly Disagree, 2 = Disagree, 3 = Neutral, 4=
Agree, and 5= Strongly Agree. The demographic variables such as gender, age, the field
ofspecialization,educational background, organizational position, and years of
experience were measured based on the following techniques using SPSS software. In
the case of gender, values were provided as Male=1 and Female =2. For the age groups,
values were provided as age ranges <30 =1, age ranges (31-36) =2, age ranges (37-42)
=3, age
ranges (43-48) =4 and age ranges >48 =5. For field of specialization, values were
provided as Accounting & Finance =1, Banking & Finance =2, Management =3, =
Business Administration 4, Marketing management = 5, Economics= 6 and other than
34
 these fields =7. For Educational Background, values were provided as Diploma =1,
First university Degree =2, Masters Degree =3, and Doctorate Degree =4. For
organizational positions values were provided manager =1, officer =2, Auditor =3,
other = 4 other than these organizational positions.

For experience in organizations values were provided as years of experience ranges

from <3yrs = 1, 3-6yrs = 2, 6-9yrs = 3, 9-12yrs = 4, and above 12 yrs = 5.35

4.2. Demographic characteristics of respondents

The demographic information discussed in this part is about employees of
commercial bank of Ethiopia Hossana town in terms of sex, age, the field of
specialization, educational background, positions in the organization, and yrs of
experience in a current organization.

4.2.1. Demographic variables analysis

4.2.1.1. Gender of respondents35

Figure4.1:Genderof Respondents
Source:surveyquestioner, 2024
Respondents Age group

Figure2.2:Respondentsagegroup
Source:surveyquestioner, 2024

Asdepictedfromfigure4.2,therespondents34.6%wereintheageofBelow30,58.8% in the
age of 31-36 and 6.6% in the age of 37- 42. This shows that majority of respondents
(employees) in CBE were aged between 31-36 years old followed by below 30 years
old. This shows that most of the employees were at the age which highly motivated to
work and adapting management information system with more interaction to
computers system.
Respondentsfield of specialization

Figure4.3:Respondentsfieldof specialization
Source:Surveyquestioner,2021

For the variable field of specialization as it is seen from figure 4.3, most of the
employeesofCBE,Hossanatownwerespecializedwithmanagement32.35%followed
byAccounting holders 19.85%, Economics 14.71%, Business administration 13.97%,
Banking & financing 5.88% and 2.94% of respondents replied on other option. This
implies that the majority of employees of CBE, Hossana town were specialized in
business-related fields.
Educational Background of Respondents

Figure4.4:RespondentsEducationalBackground
Source:survey questioner,2021

As it is seen from figure 4.4 the educational background for the employees in CBE
(Hossana town) shows that 69.12% and 30.88% of the respondents were holding
academic qualifications of First University Degree and Masters Degree with different
business-related fields of specialization respectively. This enhances the commercial
bank of Ethiopia, Hossana town to reduce any system confusion because ofknowledge
incompatibility.
Respondents organizational position

Figure4.5:Respondents organizational position

Source:surveyquestioner, 2021

Source: survey questioner, 2021

As depicted from figure 4.5 respondents' organizational position show that 72.79 %,
14.71%, & 5.88% of CBE, Hossana town employees were possessed officer, manager
& auditor position in an organization. However, 6.62% were replied in “other” option
that may they possess the position that not specified in this study demographic
profile. 39
4.2.1.6Respondents years of experience in theorganization

Figure4.6:Respondentsyearsofexperienceintheorganization
Source:surveyquestioner,2021
As indicated in figure 4.6 respondents years of experience in an organization show
that
31.62 %, 50%, 13.24%, 2.94% & 2.21 % employees of CBE, Hossana town were an
experience of below 3yr, 3-6yr, 6-9yr, 9-12yr and above 12 yr respectively stayed in
the
bank industry. This indicates that the half of employees of CBE Hossana town were
with the experience ranges from 3-6 years, which is one of an important asset to the
bank because more experienced employees’ plays a great role in organizational
performance.41
4.3. The current Organizational performance of CBE
Organizational performance is a concept that measures the overall organization in
terms of financial, customer perspectives, employee learning perspectives, and
internal
business process Perspectives as was discussed in the literature part of the study.
Based
on these there were 12 questioners were distributed to respondents based on the
five-point Likert scale model with 1=Strongly Disagree, 2=Disagree, 3=Neutral,
4=Agree, and 5=Strongly Agree.Organizational performance analyzed and
presented via Mean and Std. .
41
CHAPTER FIVE

CONCLUSION AND RECOMMENDATION

This chapter deals with conclusions, recommendations and suggestions for future research direction.

5.1. Conclusions

The main aim of this study was to examine the effect of management information systems on the
organizational performance of the commercial bank of Ethiopia, Hossana town.

The demographic analysis of respondents for this study was measured by Gender, age, the field of
specialization, educational background, current position, and years of experience. Accordingly, the majority of
respondents are males and aged in the range of 31-36. Regarding field of specialization, education
background, and organizational

position Majority of the respondents are specialized by management, first university degree holders, and work
at officer positions respectively. In terms of year of experience majority of respondents fall between 3-6 years of
experience in the banking industry. Organizational performance for this study was measured by financial
perspectives,

customers’ perspectives, internal process perspectives, and employees' learning and growth. Financial
perspectives of organizational performance at CBE, Hossana town shows that there is effective cost control,
good financial performance position, and efficient resource management that resulted from an existing
management information system.
5.2. Recommendations

Based on the data findings and conclusions, all six management information system
indicators such as system quality, informational quality, net benefits, intention to use,
service quality, and user satisfaction were found to positively affect the organizational
performance of the commercial bank of Ethiopia, Hossana town. Therefore, the
following recommendations were forwarded to CBE, Hossana town to further
improve the bank's organizational performance from detailed result analysis.

 Based on the result of finding system quality has positive and significant effect on
organizational performance of CBE, Hossana town. It is highly

recommendable to CBE, branches operating in Hossana town to improve

system quality to make the organizational performance good in all aspects

through making MIS of the bank always available to system users by applying

tight follow up on system requirement and practice from time to time.

 Service quality of MIS influences the organizational performance of CBE,

Hossana town positively and significantly. Based on the result of findings CBE,

Hossana town is recommendable to improve the service quality of MIS through hiring
and training MIS specialists who handle the breakdown of the systemthat reduce the
performance of system.

 Based on finding CBE, Hosanna town is recommendable to increase intension to

use of employees (system users) through providing material and human resources
supporting MIS, providing a training program to system users, making the system
itself too attractive and easier to users with flexible and sophisticated technology.
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 Appendix
WACHEMO UNIVERSITY
School of business and economics
A questionnaire developed to collect the data from employees. This
Questionnaire is designed to collect data on the effect of employee
Motivation on organization performance.
Dear respondents, the purpose of this questionnaire is to collect data for the study
about effect of employee motivation on organizationperformance in case of Hossana branch.. Responding to this
questionnaire will not create any harm. Therefore you are kindly requested to respond with confidence while you
are asked.

No need to write your name

Put a “X: mark for your answer
Please give brief description for open ended questions.
For closed end question give your answer on the space provided.
Iv Respondents back ground/
1.1 Sex male 5 female 5
1.2 Age less than 25 years 5 26-35 years 5
36- 45 years 5 46 -55 years5 above 56 5
1.3 Education level
Diploma 5 first Degree 5 PHD 5
Master (2nd Degree) 5
1.4 Marital status
Married 5 Widow 5 UN married 5 Divorce 5

1)is there motivational practice in your organization?

Yes 5 No 5
2) If you said “yes” for question one which types of motivation?
Financial 5 non-financial 5

3)Do you think you would be happy on your organization performance?

Yes No
4) If yes in above question what is your contribution?
………………………………………………………………………………………………………………………
…………………………………………………
5) If you said “NO” for above question what is your reason?
……………………………………………………………………………..
……………………………………………………………………………
6) What is your opinion about the payment system of organization?
Satisfied 5 neutral 5
Very satisfied 5 dissatisfied 5
7) Is there any additional- reward system to those who perform better?
Agree 5 Disagree 5
Strong Agree Strong Disagree
8) If agree in above question what are they? …………………………………….
9) What do you think about job security of the organization?
Satisfied 5 neutral 5 Dissatisfied 5
10) ARE you happy and punctual for your job?
Yes 5 No 5
11) If you responded for question 10 “No” what is the reason?
…………………………………………………………………………..
……………………………………………………………………………..
12) Is there positive effect of motivation on preformance in your organization?
Agree Dis agree
Strong agree Strong disagree
13) Is there effect Absenteeism of employees from job on the organization performance?
Agree Disagree Strong Agree Strong Disagree

14) Your salary level is satisfactory?

Satisfied Dissatisfied
Very Satisfied Neutral
15) Employees are fairly rewarded in your organization?
Agree Disagree
Strong agree Strong disagree