Archives

of Business Research – Vol. 9, No. 3

Publication Date: March, 03, 2021

DOI: 10.14738/abr.93.9848.
Mambula, C. J., Francis, F., & Zirra, C. T. O. (2021). Effect of Employee Involvement in Decision Making and Organization Productivity.

Archives of Business Research, 9(3). 28-34.

Effect of Employee Involvement in Decision Making and

Organization Productivity

Charles J. Mambula I (Ph.D)
Associate Professor/Chair, Department of Entrepreneurial Studies/ Director Center of
Entrepreneurial Studies & Research, Langston University School of Business, 701 Sammy
Davis Jr Dr, Langston, OK 73050, USA

Felix Francis
Department of Business Administration and Management
Adamawa State Polytechnic, P M B 2146 Yola, Nigeria

Zirra, Clifford Tizhe Oaya (PhD)
Department of Business Management Faculty of Management &amp
Social Sciences Plot 686 Cadastral Zone C OO
Kuchigoro Baze University Abuja Nigeria

ABSTRACT
The study is to examine the relationship between involvements
in decision making and organization productivity. Employee
involvement decision making (EIDM) is the extent in which
employers allow its employees to involve in organizational
decision making. The study was designed to investigate Deposit
Money Bank in Yola (Access Bank). The focus of the study was to
find out how involvements in decision making were handled in
the organization. The simple and purposive sampling
techniques were used to obtain a sample of 50 respondents for
study, the questionnaire consisting of 20 questions on the
various employee involvements in decision making in an
organization and the data collected were analysed using tables
and percentages. Finding from the study indicated that
employee involvement in decision making is an effective tool to
enhance productivity. The research revealed that allowing all
employees to involve in decision making is the best and help
increases commitment of workers as well as promoting
creativity and innovation in the organization. The paper
recommended that employees should be involved in decision
making of an organization because it makes the workers feel
part as owner of the organization; the relationship between
managers and employee should be encouraged to enhance
consultation and free flow of information in an organization.

Keywords: Employee, Involvement, Decision Making, Organization
Productivity.


Archives of Business Research (ABR) Vol 9, Issue 3, March-2021

INTRODUCTION
In today’s business environment there is intense competition, organizations are forced to
seek ways to be more flexible, adaptive, and competitive as they are faced with competitive
pressures, and rapidly change in markets. Organizations are find out that employee are the
most important asset, Success depends on involving the workforce’s to generate new ideas
and new innovation to enable them have competitive advantage over competitors.
Employee involvement decision-making (EIDM) is the extent in which employers allow its
employees to get involved in organizational decision-making. EIDM has been recognized as
managerial tools for improving organizational performance. This can be realized by way of
allowing workers’ contribute in establishing policies and procedures, for the attainment of
organizational goals. Decision-making in many organizations are done by the average
management team without considering the contribution of the employees at the lower
levels. It sometimes becomes difficult for some decision taken by top management to be
implemented, especially when it seems not to be favorable to the staffs who are mostly the
implementer. Organizational productivity is about assessing and improving the efficiency
and effectiveness organization through performance. Employee involvement in decision-
making creates a way of belonging among workers, and an enjoyable environment during
which both management and employees willingly contribute to healthy relations (Noah,
2008). Thus, workers’ involvements in decision-making are often seen as a motivational
tool for encouraging high productivity and positive attitude (Noah, 2008). Skepticism
regarding the relevance and value of employee involvement in decision-making to
Organization performance persists, and as such this study assesses the effectiveness of
employee involvement in decision-making has a significant impact on organization
productivity. Lack of participation in organizational decision-making may lead to poor
productivity in an organization and can result to conflict between management and
employees. Employee involvement in organizational decision-making is very important
because it promotes peace and unity organization concerns, also satisfy the workers desire,
and increase productivity. Employee involvement leads to efficiency and effectiveness
which causes high productivity in an organization. Employees must be involved if they're to
know the necessity for creativity and if they're to be committed to changing their behavior
at work, in new and improved ways (Singh, 2009; Kingir and Mesci, 2010). To increase the
workers' commitment in an organization with the intention of improving productivity and
good behavior, there is a need for manager to permit employee involvement in decision-
making.

LITERATURE REVIEW
Involvement in decision making is the degree at which employers allow employees to
involve in organizational decision-making and encourage them to make contribution.
Employee involvement in decision-making process gives each employee the opportunity to
contribute their opinions, and also share their knowledge with colleagues; this also
improves employee-employee and manager-employee relationship and its encouraging
teamwork among workers. Somech, (2002) found that involving employees in decision-
making making is the best thing ever in achieving organizational performance or goals
while some researchers think involving employees in decision-making is a risk on the
organization. Brownell (1982) focuses on individual influence and defines participation as
an organizational process, in which individuals are involved and have influence on relevant
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Mambula, C. J., Francis, F., & Zirra, C. T. O. (2021). Effect of Employee Involvement in Decision Making and Organization Productivity. Archives
of Business Research, 9(3). 28-34.

decisions (that have effect on them). Therefore, participation is an organizational
mechanism, giving employees the right to make decisions and the matching amount of
responsibility so that they feel aware of contributing to organizational performance with
the participation in hand, their motivation increases, which brings about both individual
benefits and organizational effectiveness (Kim, 2002). Cadwallader et al. (2010) found that
several variables determine the relationship between employees’ participation in decision-
making with organizational climate; including well-organized teamwork, good
communication, etc. Study by Ladd and Marshall (2004) stated that participation in
decision-making is vital to employees and, alongside job satisfaction, and affective
organizational commitment, is valued by them. Employees believe they're happier, due to
participation in decision-making, and therefore, the organization also gains through the
positive impact on task and performance effectiveness. Therefore, participation is an
organizational mechanism, giving employees the proper to form decision and therefore the
matching amount of responsibility in order that they feel conscious of contributing to
organizational performance, which brings about both individual benefits and
organizational effectiveness (Kim, 2002). People like, “Somech” feel involving employees in
decision-making making is the neatest thing ever in achieving organizational performance
or goals while some researchers think involving employees in deciding is a risk on the
organization. Most researches have shown that employee involvement in decision-making
will reduce staff absenteeism, increase individual commitment, improved performance,
increase job satisfaction, employees feel as being part of the organization, and this raise
their degree of worth importance within the organization (Aliyu, A. U. L. 2019). Based on
previous research, employee involvement in decision-making could have a significant and
effectiveness in an organizational productivity.

CONCEPTUAL FRAME WORK
Concept of Employee Involvement
Employee involvement is a process of allowing employees to participate and contribute in
managerial decision-making and improvement activities appropriate to their levels in the
organization. Employee involvement concern with different works design approaches and
special activities; there's at the highest of the day only one thing that differentiates one
company from another — its people. Not the merchandise, not service establishments, not
the method, not secret ingredients; ultimately any of those are often duplicated. Most
organization always recognized this and it's one among the explanations for his or her
success in the world markets — they place a tremendous value on the mixing of individuals
with organizational objectives, equipment and processes. The employees force the
organizations to deal with three key issues; communication, involvement and development.
In fact, the three issues are often used as a measure of an organization’s maturity within
employment relationship. Many people confuse communication systems like team briefings
with involvement. Involvement however is quite just the exchange of data. It is the gradual
but radical delegation of control to those closest to the method itself. Self-managed teams,
high performance work systems, are all samples of true involvement.




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URL: http://dx.doi.org/10.14738/abr.93.9848.


Archives of Business Research (ABR) Vol 9, Issue 3, March-2021

Forms of Employee Involvement

There are three major forms of employee involvement - participation management,
representative participation, and quality circles.

Participation Management
The distinct characteristics common to all or any participation management programs is
the use of joint deciding. That is, subordinates actually share a big degree of deciding
power with their immediate superiors. Participation management has, at times, been
promoted as a panacea for poor morale and low productivity. But for it to figure, the
problems during which employees become involved must be relevant to their interests, so,
they’ll be motivated, employees must have the competence and knowledge to form a useful
contribution, and there must be trust and confidence between all parties involved.

Representative Participation
This is a representation by a small group of employees who actually participate. It is the
foremost widely legislated sort of employee involvement.

Quality Circles
Quality circles are group of employees who meet regularly to consider ways of resolving
problems and improving productivity in their organization and also to discuss organization
problems, investigates causes of the problems and recommend solutions, and take
corrective actions.

Benefit of Employee Involvement in Decision Making
Involving employees in decision-making process provides the opportunity for continuous
process improvement and productivity. Employee involvement improves quality and
increases productivity, because:
• Improved organizational performance, for example, measured by reducing waste
• Improved employee commitments to change the necessary for organization survival
and growth
• Motivating employees and maximizing their contribution to the organization
• Building employee relation based on a culture of openness and trust
• Employees make better decisions using their expert knowledge of the process.
• Employees are likely to support decisions they had a part in making.
• Employees will be able to take immediate corrective measure.
• Employee involvement encourages more effective communication and cooperation.

METHODOLOGY
The study was designed to investigate the effect of employee involvement in decision
making and organizational productivity. To request opinions of the respondents from the
organization in respect of the involvement in decision making, a qualitative technique was
employed which essentially involved in-depth interviews. Considering the population of
the organization and the working environment, a population of one seventy (70) samples
was made. Sample of fifty (50) respondents out of the 70 employees was used in the study.
The sample random sampling technique was used to obtain a sample of 50 employees for
the study. The method was used because it enable the respondent have equal chance of
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Mambula, C. J., Francis, F., & Zirra, C. T. O. (2021). Effect of Employee Involvement in Decision Making and Organization Productivity. Archives
of Business Research, 9(3). 28-34.

being selected. The technique was chosen because it is simple to carry out and eliminate
personal bias. The information used for this research was gathered from primary and
secondary sources.

DATA ANALYSIS
Interpretation of Data
This section provides clear analysis and interpretation of all data collected through
questionnaire given to the employees of Access Bank Plc Yola. The responses to the
questionnaire by the respondent are presented in the form of Tables for easy
comprehension, and analysis computed using simple percentage, which forms the basis of
analysis and conclusion.

Table 1: Gender of respondents
The table below represents gender of respondents. Out of the 50 respondents, 32 were
males and 18 were females, representing 64% and 36% respectively as shown below:
Gender Frequency Percentage (%)
Male 32 64
Female 18 36
Total 50 100
Source: Field survey (2019)
Table 2: Age of respondents
The table below represent the age of the respondents, out of the 50 respondents, between
25 - 35 years, 32 employees representing 64% were between 36 - 45 years, 14 employee
representing 28% were between 46 - above years, 4 employee representing 8%.

Age Frequency Percentage (%)
25 - 35 32 64
36 - 45 14 28
46 - Above 4 8
Total 50 100
Source: Field survey (2019)
Table 3: Education Qualification of respondents
The table below represents the educational qualification of the respondent. Out of 50
respondents, 6 employee representing 12% had Master’s Degree, were 26 employee
representing 52% had B.Sc/HND, while 18 respondents representing 36% were OND/ND.

Qualification Frequency Percentage (%)

Master’s Degree 6 12
B.Sc/HND 26 52
OND/ND 18 36
Total 50 100
Source: Field survey (2019)

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Archives of Business Research (ABR) Vol 9, Issue 3, March-2021

Table 4: Participation in Work decisions

According to the questions posed and the responses, all the 80 employees testified that
meeting where all employees views can be heard are important and the respondents noted
that allowing all workers to participate in decision making process will enhance
productivity. The table 4 below summarizes the responses on participation in decision
making.
Questions No
Yes (%) (%)

Does Employee involvement in decision-making increase 50 100 - 0
productivity
Does Employee involvement in decision making increase in 50 100 - 0
workers performance
Does all employees involve in decision making 43 86 7 14

Does involvement in decision making has Influence on job 47 94 3 6
decisions
Source: Field survey (2019)

FINDINGS
A pilot study were carry during this research work with fifty (50) employee as the
respondent was used and the data collected were analysed using the above table and
percentages. The research work observed that employee involvement in decision making
increase worker performance. The study revealed that employee involvement in decision
making is an effective tool to enhance productivity. The research revealed that allowing all
employees to involve in decision making is the best and help increases commitment of
workers as well as promoting creativity and innovation in the organization. Workers were
of the view that by involving them in decision making has influence on the job and also they
feel motivated since they are recognized.

From the study, majority of the respondents were of the view that in decision making
where all employees involve is the best and has positive effect on productivity since their
views will be noted through involvement. Workers were of the view that the good
relationship with their supervisors makes it easy in consulting them on their job when
faced with challenges. It was also observed from the study that in order for employees to
have the good knowledge and skills to be involved in decision making they should be
trained to enable them participate effectively.

CONCLUSION
This article has shown that involvement in decision making can increase workers
performance; enhance productivity and efficiency of employee in an organization.
Furthermore, involvement in decision making gives employee the opportunity to
contribute their opinion and also share their knowledge with others. This improves
manager and employee relationship; employee and employee relationship; and also
encourages teamwork among workers.

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Mambula, C. J., Francis, F., & Zirra, C. T. O. (2021). Effect of Employee Involvement in Decision Making and Organization Productivity. Archives
of Business Research, 9(3). 28-34.

The researcher therefore recommends that employees should be involved in decision
making of an organization because it makes the workers feel part as owner of the
organization; the workers should be encourage to own share in the organization which will
promote good attitude towards enhance productivity. The relationship between managers
and employee should be encouraged to enhance consultation and free flow of information
in an organization. Early morning section meeting (EMSM) should also be encouraged so
that workers can contribute towards the organizational target.

References
1. Aliyu, A. U. L. (2019). Effect of employee participation in decision making in an organization
performance. International Journal of Economics & Business Volume 3, Issue 2, page 255 – 25
2. Brownell, P. (1982): A field study Examination of Budgetary Participation and Locus of Control. The
Accounting Review, 57 (4), PP 766-777.
3. Cadwallader, S., Jarvis, C. B., Bitner, M. J., Ostrom, A. L. (2010): Frontline employee motivation to
participate in service innovation implementation. Journal of the Academy of Marketing Science, 38
(2), pp. 219-239.
4. Kim, S. (2002): Participative Management and Job Satisfaction: Lessons for Management Leadership.
Public Administration Review, 62 (2) Pp 231-241.
5. Kingir, S., & Mesci, M. (2010). Factors that affect hotel employees’ motivation, the case of Bodrum.
Serbian journal of management, 5(1), 59-76.
6. Ladd, B. S., V. Marshall (2004): Participation in Decision-making: A matter of context? The Leadership
and Organizational Development Journal, 25 (8), pp. 646-662.
7. Noah, Y. (2008). A study of worker participation in management decision making within selected
establishments in Lagos, Nigeria. Journal of Social Science, 17(1), 31-39.
8. Singh, S. K. G. (2009). A Study on employee participation in decision making. Unitar E Journal, 5(1),
20-38.
9. Somech (2002) Explicating the Complexity of Participative Management: An Investigation of Multiple
Dimensions. Education Administration Quartll: 341-371.

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URL: http://dx.doi.org/10.14738/abr.93.9848.