EMPLOYEE DEVELOPMENT AND ORGANIZATIONAL PERFORMANCE OF COMMERCIAL BANKS IN RIVERS STATE

Abstract

The study focused on employee development and   organizational performance of commercial banks in Rivers State. The main objective was to determine the relationship between employee development and measures of organizational performance (innovativeness, customer satisfaction and competitiveness).  Three objectives, three research questions and three hypotheses guided the study. The study was anchored on the Human Capital Theory. The study adopted cross sectional survey research design. The target population was 23 commercial banks in Rivers State. The sample size was entire population of the study, thus making the study a census. A total of 23 managers served as the study’ respondents. The data were generated through the use of structured questionnaire. The study was validated by the research supervisor and two other research experts using face and content validity. The Crombach Alpha was used to determine the study’ reliability at Co-Efficient of 0.7. Mean and Standard deviation was used to answer the research questions. The Spearman Rank Order Correlation was used to test the hypotheses using SPSS version 22.0. Findings from the study revealed that employee development correlate with measures of organizational performance (innovativeness r=0. 733, P<0.05; customer satisfaction r=0.904, P<0.05 and competitiveness r=0.720, P<0.05. Therefore, the study concluded that employee development influence measures of organizational performance (innovativeness, customer satisfaction and competitiveness). Hence the study recommended that Commercial banks should institutionalize employee development as a core component of their strategic planning i.e training and development programs must be deliberately aligned with the bank’s innovation objectives