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EFFECT OF BUSINESS COMMUNICATION ON MANAGERS

PERFORMANCE IN FEDERAL POLYTECHNIC, MUBI

BY

ABUBAKAR AHMED DONKA


17D/420267

BEING A PROJECT SUBMITTED TO THE DEPARTMENT OF


BUSINESS ADMINISTRATION, ADAMAWA STATE UNIVERSITY,
MUBI, IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE
AWARD OF A BACHELOR DEGREE OF SCIENCE IN BUSINESS
ADMINISTRATION.

JUNE, 2023
DEDICATION
i
I dedicated this project to the Almighty God who has made this research works
success

ii
DECLARATION

This project is entirely my work. It has not been presented previously in any form.

I hereby wish to point out that all information used in the write-up are

acknowledged by means of reference, so I am responsible for all errors of omission

or commission in the project.

__________________ _______________
Abubakar Ahmed Donka Date
(17D/420267)

iii
CERTIFICATION

This project report entitled “Effect of Business Communication on Managers

Performance in Federal Polytechnic, Mubi” has been duly presented by Ahmed

Abubakar Donka with matriculation number 17D/420267 of the Department of

Business Administration, Faculty of Social and Management Sciences, Adamawa

State University, Mubi and has been approved by the following examiners:

PROJECT SUPERVISOR
Name: Prof. Sanusi Bello
Signature:…………………………………………
Date:………………………………………………..

HEAD OF DEPARTMENT
Name: Prof. Itodo John Itodo
Signature:…………………………………………
Date:………………………………………………..

EXTERNAL EXAMINER
Name:……………………………………….……..
Signature:…………………………………………
Date:………………………………………………..

iv
ACKNOWLEDGEMENT
I sincerely express my gratitude and appreciated to God Almighty who gave me

the knowledge and strength to start and complete this research work. To him alone

all the glory forever and ever Ameen.

I am highly indebted to my supervisor Prof. Sanusi Bello who inspire of his tight

schedule was able to go through this research work, sir your fatherly advice and

intellectual guidance have been a tremendous contribution towards the completion

of this work. And also the Head of Department Dr. Prof. Itodo John Itodo . last but

not the least are my lecturers in the department of Business Administration Dr.

Aliyu Umar Fudamu, Dr. Hamman Adama Yahaya, Mr. Francis Micheal, Dr.

Stephen Pembi, Mallam Sadiq Abdulaziz, Mallam Auwal Mohammed Abdullahi,

Dr. Babuli Ibrahim and Dr. Rachael Amos Musa for their guidance and knowledge

impacted to me . May God bless them all.

I also appreciate my lovely parents my mum and dad Mr and Mrs. Abubakar

Abdullahi for all their support both financially and prayerfully.

I also appreciate my love ones, friends for their love and care that made it possible

for me to obtain the necessary information for this project. God bless you and

rewards you all.

v
ABSTRACT
Due to the impact of effective communication on managerial performance in the
private sector This project work focused on the effect of poor communication skills
on the performance of secretaries and the study was carried out in Nigeria Agip
Oil Company, Port Harcourt, Rivers State. In carrying out this research, forty (40)
managers and secretaries were used as the population. In line with this, (4)
research questions were posed, questionnaires were distributed and retrieved from
the respondents. Copies of the questionnaire were analyzed with tables and it was
from this table that analysis of the effect of poor communication skill was shown.
The major finding was that communication is an indispensable tool needed for the
effective performance of secretaries and the ineffective and inefficient placement of
this prevents the management in an organization to accurately evaluate or
appraisal performance and set target. It also examined the communication skills,
communication method, and communication as they affect the effectiveness of the
organization. In conclusion, the method of communication, information
technology, media and channel of communication can affect the organization both
negatively and positively. Recommendation such as organization should study and
examine carefully how their method and system of communication affect the
performance of their secretaries so as to either educate them or to change the
system to meet up with the current standard of communication was made.

vi
TABLE OF CONTENTS

Title page - - - - - - - - i
Declaration - - - - - - - - ii
Certification- - - - - - - - iii
Dedication - - - - - - - - iv
Acknowledgement - - - - - - - v
Abstract - - - - - - - - vii
Table of contents - - - - - - - viii

CHAPTER ONE:INTRODUCTION
1.1 Background to the study - - - - - 1
1.2 Statement of The Problem - - - - 2
1.3 Research Question - - - - - - 3
1.4 Research Hypothesis - - - - - 3
1.5 Objective of The Study - - - - - 4
1.6 Significance of The Study - - - - - 4
1.7 Scope of the Study - - - - - - 4
1.8 Limitation of the Study - - - - - 5
1.9 Definition of Terms - - - - - - 6
CHAPTER TWO: LITERATURE REVIEW
2.1 Introduction - - - - - - - 8
2.1 Literature review and theoretical frame work - - 8
2.1. Online shopping Trend in Nigeria - - - 8
2.1.2 Effect of online marketing on the global economy 15
2.1.3 Online marketing and business performance- - - 15
2.1.4 Online service quality and customer satisfaction 15
2.2 Factors militating against online shopping 15
2.2.1 Trust affection in online shopping 15

vii
2.2.2 Perceived 16
2.2.3 Attitude 16
2.2.4 Perceived behavioural control 17
2.2.5 Domain specific innovativeness 18
2.3 Theoretical framework 20
2.3.1The disconfirmation theory 20
2.3.2The technology acceptance model 23
2.4 Empirical review 26
2.5Gap in literature 29

CHAPTER THREE: RESEARCH METHODOLOGY


3.1 Introduction - - - - - - - 38
3.2 Research design - - -- - - - 39
3.3 Sample - - - - - - - 39
3.4 sampling - - - - - - - - 40
3.5 Sources of Data Collected - - - - 41
3.6 Sources of Data Analysis - - - - - 41
3.7 Methods Data analysis - - - - - 42
3.8 Test of Validity and Reliability- - - - 43

CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS


4.1 Introduction - - - - - - - 43
4.2 Data Representation - - - - - 44
4.3 Data analysis - - - - - - 45
4.4 Test of Hypothesis - - - - - - 49
CHAPTER FIVE: SUMMARY, CONCLUSION AND
RECOMMENDATIONS
5.1 Summary - - - - -- - - 50
5.2 Conclusion - - - - - - - 58
5.3 Recommendations - - - - - - 58
Bibliography - - - - - - - 61
Appendices - - - - - - - 63

viii
CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

Around the world, Businesses are demanding and tasking. For businesses to stay

successfuland make profits in a competitive and demanding global economic

market, factors of production should be managed wisely. Human Resources

constitutes challenges in view ofthe fact that employee management requires

skilled management of thoughts, feelings as well as emotions to achieve high

output. Channels of communication play a role in dealing with the difficult tasks.

Communication has crucial impacts among work groups in that organizational

communication is a channel to flow information, resources, and even policies.

“Organizational communication can be broadly defined as communication with

one another in the context of an organization (Eisenberg & Goodall, 1997;

Shockley-Zalabak, 2006)” as cited in Eunju (2009). Communication involves

sending and receiving messages through various authority levels, involving

message systems. Communication engages influencing the opinions and views

within communities, organizations, governments. Communication is used to pass

documents within members of the organization, to supervise activities, reduce

1
manager workload. Therefore the focus of the study is on communication and

organizational performance in Adamawa State University Mubi

1.2 Statement of the problem

Working environments differ from all perspectives such as culture, economic and

social instigation. With such circumstances, organizations' bulky reports would be

tough for the employees to understand. These reports sometimes include

conflicting information, and obligations hereby making some subordinates become

more answerable to a particular superior. Intra- communication equipment which

includes emails and memos are ignored by some organizations which ends up

causing lack of knowledge for the employees on the mission and vision of the

organization. Academic works have shown that effective communication helps

employees to achieve goals. This also includes decision-making, problem solving

and change-management process etc. This enables members of an organization or

institution to work towards a common goal and purpose. Organizations with

communication challenges continue to find the most effective channels for

communicating

across the subordinates. Communication channels play an important role in

organizational performance because it helps in achieving its goals and objectives.

Organizations need an effective and efficient inflow of communication and

communication systems in order to be able to pass information


2
across to the society. Unlikely, there seems to be a lack of efficient and effective

communication strategy at Coca Cola. Coca Cola consumers have made

complaints of major delays in the processing of their orders. Communication plays

an important role in coordinating and balancing all departments of an organization

and to enhance organizational performance, there was a need to evaluate the

organizational communication structure, channels of communication,

communication policy and communication system at Adamawa State University

Mubi to assess how relevant and effective they are in this era of Information

Technology.

1.3 Research Questions

The study will attempt the following research questions:

i. Does horizontal communication affect organisational performance in

Nigerian bottling company, Abuja, Nigeria?

ii. In what way does vertical communication affect organisational performance

in Nigerian bottling company, Abuja, Nigeria?

iii. Does diagonal communication affect organisational performance in Nigerian

bottling company, Abuja, Nigeria?

1.4 Objectives of the Study

3
The main objective of this study is to assess the effect of communication channels

on organisational performance in Nigerian bottling company, Abuja, Nigeria. The

objectives of the study are;

i. Examine the effect of horizontal communication on organisational

performance in Nigerian bottling company, Abuja, Nigeria.

ii. Determine the effect of vertical communication on organisational

performance in Nigerian bottling company, Abuja, Nigeria.

iii. Assess the effect of diagonal communication on organisational performance

in Nigerian bottling company, Abuja, Nigeria.

1.5 Research Hypotheses

The hypotheses for the study are as follows:

Ho1: horizontal communication has no significant effect on organisational

performance in Nigerian bottling company, Abuja, Nigeria.

Ho2: vertical communication has no significant effect on organisational

performance in Nigerian bottling company, Abuja, Nigeria.

Ho3: diagonal communication has no significant effect on organisational

performance in Nigerian bottling company, Abuja, Nigeria.

1.6 Scope of the Study

4
This study will be restricted to Nigerian bottling company, Abuja, Nigeria. The

researcher will limit the research to the Nigerian bottling company, which is a

major player in the manufacturing industry. The manufacturing company was

picked because the level of communication practices employed by the company in

getting their products out into the market is on the high level. They send messages

to the employees and consumers who are the receivers and all these are done

utilizing various techniques such as the people, the process and the technique.

The focus respondents for this study consists of the total number of management

personnel working at a strategic level and operational level within the company.

The total estimated figure for the population arrived at, based on a survey of the

firm was six thousand and twenty six (6,026) personnel. Information with regards

to the population number was sourced from the Nigerian Stock Exchange index

April 26, 2016. Using Taro Yamane (1967) formula for sample size determination,

the study was able to arrive at a sample size of four hundred and eighty eight (488)

respondents including a provision for thirty percent non respondent. Sampling

method to be used in this study is the stratified sampling technique simply because

of the stratification variables included in the scope of the study and the study

would be carried out using descriptive survey design.

1.7 Significance of the Study

5
The Manufacturing Industry The findings of the survey will be used by

stakeholders in the manufacturing industry to make appropriate decisions towards

adopting different technological channels in delivery services. They will

understand the benefits of adopting a good communication system in their

manufacturing companies. They will also appreciate the impact of information,

communication and technology on organisational performance. The Academicians

and Scholars

Future researchers and scholars may use the survey as a source of reference for

further research. Manufacturing sector, technological inventions depend on the

survey carried out in such areas. It is important to document the research findings

for future reference. They would be keen to understand the impact of technology

on the organisational performance in the manufacturing industry.

The Government The government will be interested in finding out how technology

can be maximized in stimulating economic growth in manufacturing institutions.

Finally, the study is meant to help in bridging the gap that currently exists between

technology and service quality of the firms that take up technological innovations.

1.8 Definition of Terms

Communication: this is the exchange of information either by speaking, writing,

or some other medium. It is also the means of sending or receiving information,

such as mobile phones or computers.


6
Organisational Performance: this comprises the actual output or results of an

organization as measured against its intended goals and objectives.

Horizontal communication: this form of communication flows laterally within

the

organization and involves persons at the same level in an organization.

Vertical communication: this is where information or messages flow between or

among the subordinates and superiors of the organization.

Diagonal communication: is a way of communication between employees from

different organizational units and from different hierarchical level

7
CHAPTER TWO

LITERATURE REVIEW

2.1 Introduction

This chapter presents the conceptual review, theoretical review and empirical

review from prior research and relevant literature on the following research

variables communication and organizational performance. The theory discussed in

this study is the Dynamic capability theory. How the theory relates to this study

and the reason for pursuing this research are discussed.

2.2 Conceptual Clarification

2.2.1 Communication

Communication covers all activities that an individual does when he wants to make

a transformation in someone else’s mind. This is a meaning bridge between an

8
individual or individuals and organization. Communication contains expressing,

listening and understanding. It is further theorized that employees are likely to be

more productive if their performance is rewarded assuming that the reward

received has value to them, as argued by the expectancy theory (Vroom, 2015).

Communication is vital in organizations such that Orpen (2013) argued

that communication has a vital role in the accomplishment or failure of

any organization. it is used to resolve the contradictions in work organization in

order that such organization may progress. People must come together, think

together, work together, learn together and advance together. Human interaction

allows man to forge new horizons and explore new possibilities. According to Ince

and Gül (2015) communication is the exchange of ideas, emotions and opinions

through words, letters and symbols among two or more people. He states that this

may be defined as a technical fact. Yet it is uncertain whether

symbols are transferred truly or not, to what extent symbols meet the transmitted

message and how effective transmitted fact on the receiver (Kalla, 2015; Baltas &

Baltas, 2012). Without communication, through readings, listening (the receptive

skills), speaking and writing (the productive skills) mankind would find it difficult

to unravel some of the mysteries of life. Those things that we are ignorant of or

have knowledge of, or that we have doubts about can be explained to us better

through communication.

9
Altinöz (2018) defines communication as a means through which the task and the

resources needed to carry out an assignment, the roles and duties and the expected

results are made known to the subordinates. This means that communication is the

transfer of information (a message) from one person to another. Thus effective

communication is therefore the transfer of message, followed by feedback, from

the receiver to the sender, indicating an understanding of the message. The Multi-

dimensional aspect of the notion of communication along with its analyses from

different viewpoints affect its definition, communication is needed to review,

conceptualize and direct interaction in an organization. Employee communication

is the dissemination of information which is related to the daily

performance of an employer’s job and also important if the worker is expected to

be an effective member of staff. It connotes a consideration of human beings as a

vital resource (Buchanan & Doyle 2014). Communication is the transfer of

information from a sender to a receiver, with the message being understood by the

receiver. Myers and Myers (2012) defined organizational communication as “the

central binding force that permits coordination among people and thus allows for

organized behaviour,” and Rogers and Rogers (2016) who argue that “the

behaviour of individuals in organizations is best understood from a communication

point of view.”

10
In many ways, organizations have evolved in directions that make the latter view

more appropriate. Changes confronting organizations and the associated changes in

organizational forms have made organizational communication increasingly

important to overall organizational functioning. Communication is said to be the

foundation for sound management, communication helps greater coordination and

interaction among workers, good communication helps in motivating the workers,

and communication helps in establishing links between different hierarchies and

functions of management, communication clears confusion, misunderstanding and

delays in administration, it helps in achieving maximum productivity with

minimum cost, it helps in building genuine human relation. Communication is not

only an essential aspect of these recent organizational changes, but effective

communication can be seen as the foundation of modern organizations (Grenier &

Metes 2012; D‟Aprix 2016; Witherspoon 2017; von Krogh et al. 2000). Effective

communication is needed for management to develop and sustain a competitive

advantage for organizational performance and improvement (Aviolio, Lado, Boyd

& Wright, 2012; Rowe, 2011). The association between employee satisfaction and

job performance suggests that an important contributor to the employee‟s

engagement within the organization is the leader employee relationship. Foong

(2011) concludes that managers use leadership behaviours to influence employees.

Lee and Chuang (2009) explain that an excellent leader not only inspires

11
subordinates, giving

them the potential to enhance efficiency, but also meets their requirements in the

process of achieving organizational goals. How a leader communicates is as

important as to how he leads. The leader is the guiding force within a group and

organization. A leadership style that resonates with followers will allow the leader

to achieve greater employee productivity. Conversely, poor leadership styles lead

to poor communication and can have negative effects on workers performance and

in turn productivity. The process by which employees are made aware of

organizational goals and their involvement in the achievement of them is

recognized

to play an important role in fostering job commitment (Anderson & Martin, 1995;

Haskins, 1996). Goris et al. (2000) and Ooi et al. (2006) find organizational

communication to have an important positive association with affective

commitment, whilst (Brunetto & Farr-Whartons‟ 2004) findings “suggest a strong

relationship between communication processes and job satisfaction and affective

job commitment”. Research shows that when employee needs are met through

satisfying communication, employees are more likely to build effective work

relationships. (Tsai & Chuang 2009). This “research satisfaction” – “the total of an

individual’s satisfaction with information flow and relationship variables” (Tsai &

Chuang 2009) has been correlated with key variables such as job performance and

12
turnover rates. Further, “certain facets of employees ‟communication satisfaction

that exhibit both information and relationship features supervisory communication,

personal feedback, and communication climate were found to be the major

dimensions of communication-job performance relationships” (Tsai & Chuang

2009). In other words, the ways in which information flows in an organization is

critical to the way that personnel understand their relationship to and within the

organization. In short, as Chen (2008) stated, each passing study seems to reveal

“that the relationship between internal/employee communication and corporate

effectiveness is more significant than what has previously been assumed”. The

implementation stage is an operations-oriented phase where managers must make

things happen. Arguably it is the most demanding and time-consuming part of the

strategic management process. It requires preparing a strategic plan that sets out

annual objectives, establishes an effective organizational structure, fixes a budget,

develops a viable information system and generally devises a work plan for job

execution. It also involves motivating employees, creating a supportive culture,

allocating resources and linking employee compensation to the organization

(Thompson, 2014). There is little controversy regarding the labeling of the goal

orientation topic in the sixty articles that we have reviewed. Sashittal and Wilemon

(2015) have pointed out that some terms synonymous with “implementation”, such

as “execution”, and “actualization of goals” are often employed in the management

13
literature, but are not frequently used by managers themselves. As far as the terms

„execution‟ or „executing‟ in the strategic context are concerned, most of the 60

articles in our literature review, use strategic implementation as a key word or as a

part of the title and only very few use the term strategy execution.

Communication Process

Communication process involves the following:

a. Sender: The sender/encoder is the initiator of the message. The sender can be an

individual, group or organization with ideas, desires, needs to transmit to other

parties.

b. Encoding: This is a process that selects the appropriate language which the

receiver understands. Examples of encoding include making signals, symbols, and

letters.

c. Message: Message refers to idea, thoughts, emotions etc, put into a symbol,

figure, sign, etc.

d. Channel: This is a means by which a message is conveyed from one party to the

other parties. The sender must make sure that the appropriate channel is used to

transmit a message.

e. Receiver: This is the recipient(s) of the transmitted information. If the

information is not received by the receiver, then there is no communication.

14
f. Decoding: Decoding is a process that occurs at the reception level where

impulses, figures and symbols are interpreted and translated into meaningful

information. Communication can only occur when both the encoder (sender) and

decoder (receiver) attach the same or at least similar meanings to the symbols that

make up the message.

g. Noise: Noise is anything that disturbs and interferes with the flow of

communication noise can occur either internally (wrong encoding, transmission,

interruption etc) or externally (confined environment).

2.2.2 Horizontal Communication

This is also called lateral communication. It is the transmission of messages along

the same lateral or similar level in an organization. This occurs between team

members, between different teams and employees on the same or similar level. The

use of horizontal communication is on the increase because of the interactive

electronic communication technologies such as e-mail and phone messages that

greatly enhance horizontal communication by making it possible to establish

learning communities and virtual teams of employees who work together even in

different locations. Horizontal communication is related to communication

between employees at the same level of business activity, with the purpose of

15
increasing the total employee activity, which contributes to more effective

functioning and business in the sports organisation. Buble points out that “through

horizontal channels, we ensure information distribution, coordination and solution

of interdepartmental problems” (Buble, 2010:190). Companies use work teams

which integrate the work flow processes instead of having specialists who

exclusively deal with one function or product. That is why, in an organisation

divided into cross-functional teams, horizontal communication among the team

members is extremely important to achieve individual and team goals (Lehman and

Dufrene, 2015:9).

2.2.3 Vertical Communication

Vertical communication is an organization communication that involves two

different movements, that is, from “up down” and from “down to up” along the

organizational hierarchy. It comprises downward and upward communication.

(i) Downward Communication: this refers to movement of information from

the top management to the lowest officers.

(ii) Upward Communication: this is the pattern trough which superior gets

necessary feedback on subordinates' actions. Vertical top-down

communication implies communication which flows from the

16
management to the employee, and bottom-up communication flows from

the employee to the management. When it comes to vertical top-down

communication, it should be pointed out that a disadvantage of this type of

communication is the inability to inform the management on how and in

what way the employees understand their assigned demands or tasks, and

the

inability to listen to the employee’s beat as the fundamental factor in a

sports institution, together with pupils or students. “Katz and Kahn

identified five categories of downward communications:

1. Communication of organisational goals and mission

2. task instructions and training (how)

3. task rationale (why)

4.communication about rules, policies, procedures 5. performance and

other feedback to subordinates (Rouse and Rouse, 2005:27).

It is important to emphasise that neither will provide actual results in sports

organisations, unless they are two-way. Just as Cutlip states, “the goals of

communication are to identify, establish and maintain mutually beneficial

relationships between the organisation and the employees on whom its

success or failure depends (Cutlip et al., 1985, according to Theaker,

17
2003).

2.2.4 Diagonal Communication

Diagonal communication refers to communication between managers and

workers located in different functional divisions (Wilson, 2012). Although

both vertical and horizontal communication continue to be important, these

terms no longer adequately capture communication needs and flows in most

modern organizations. The concept of diagonal communication was

introduced to capture the new communication challenges associated with

new organizational forms, such as matrix and project-based organizations.

Diagonal communication is practiced in situations where members of the

organization cannot communicate through other channels. Individuals in an

organization typically communicate with co-workers in their departments

who have attained the same status they have, or they

communicate with their direct superiors or subordinates. Diagonal

communication routes depart from these hierarchical norms by engaging

individuals who work at different levels and in different departments.

Diagonal communications have several important functions; however,

they're not without risk.

2.2.5 Organizational Performance

18
Performance is the end result of activities carried out and for any business it

is concerned with the general efficiency or productivity. Two ways to deal with

performance have been recognized in literature: the financial or “salesbased” and

the non-financial or “firm-based". Whereas the financial is measured with

dimensions such as profitability, growth, productivity, level of sales revenue,

market share and product, return on investments, product added value; the non-

financial is measured in terms of employee development, customer satisfaction, job

satisfaction and efficient organizational internal processes (Eniola &Ektebang,

2014). Therefore, the practice of strategic management is justified in terms of its

ability to improve organizations’ performance (Agha et al., 2011). Organizational

performance comprises the actual output or results of an organization as measured

against its intended outputs (or goals and objectives). The performance of any

business organization is affected by the strategies in place within that organization

(Mutuku, 2005). Strategies determine the long term performance of the firm.

Business managers must therefore monitor customer needs and preferences,

competitors’ actions, technology development, and the performance of internal

processes, as well as the overall financial condition of the business and develop

appropriate strategies. Performance is normally measured using standards which

are usually detailed expressions of strategic objectives. They are also the measures

of acceptable performance results. Measures used to assess organizational

19
performance depend on the organization and the objectives that need to be

achieved. These objectives are normally established in the strategy formulation

stage of the strategy management process and they could include: profitability,

market share

and cost reduction among others. Thompson et al., (2007) identified two distinct

performance yardsticks. They are those relating to financial performance and those

relating to strategic performance. Those relating to strategic performance are the

outcomes that indicate if a company is strengthening its market standing,

competitive vitality and future business prospects.

Conventionally an organization’s performance can be gauged using its current

financial data. Strategy level performance measurement should include both

financial and operating measures. Chakravarthy (1986) studied firms operating in

the computer industry and concluded that financial performance measures are

inadequate indicators of a broader construct, ‘’excellence’’. This is partly due to

the fact that financial indicators largely ignore the interests of stakeholders other

than stockholders. Chakravarthy (1986) argued that future oriented indicators, such

as investment in R&D, should also be part of the measurement and control system.

A study by Ernst and Young’s Center for Business Innovation (Daily, Certo&

Dalton, 2002) found that investment analysts who considered nonfinancial as well

as financial performance indicators were more accurate in their earnings estimates

20
than those who just used financial indicators. This suggests that a comprehensive

performance evaluation system has greater predictive validity than one that is

purely financially oriented. In view of the above, most studies on organizational

performance use a variety of financial and nonfinancial success measures.

2.3 Theoretical Framework

Theories and Models have developed so that communication and

organizational performance can grow. Such models and theories can be argued to

form the framework to many studies as they support the development of

hypotheses and ultimately give rise to new findings which enlarge a particular.

Such theory as considered in this study is the Dynamic capability theory.

2.3.1 The Dynamic Capability Theory (1994)

The DCT was initially introduced by David Teece and Gary Pisano in 1994.

According to Teece & Pisano (1994) in the past successful companies pursued a

“resource-based strategy of accumulating valuable technological assets, often

reserved by a defensive approach towards intellectual property”p.. Dynamic

capability theory is an outgrowth of resource-based view theory. While resource-

based view theory is concerned with how a firm can achieve competitive

advantage, dynamic capability theory is more concerned about short term

competitive advantage that can be used to build longer term competitive advantage

21
for development and sustainability (Lim et al., 2012). Dynamic capability theory

focuses on the ability of a firm to quickly learn changes and innovations that are

coming up in the business environment, build strategic assets that would enable

them to compete and or transform assets that are existing within the firm to suit

changes that are occurring within the business environment so as to increase

business performance. The criticisms of dynamic capability theory are that the

theory is incomplete in terms of specifics (Arend & Bromiley, 2011). Critics have

outlined that the theory is not able to explain when there is need for a change and

when not to change (Vos & Schiele, 2014). Also, there were no specific details

explaining organisation pricing and opportunity costs of changes created within the

organisation and as such there is a need to properly align the theory with a theory

of the organisation (Li & Liu, 2014). Here the dynamic capability theory mainly

discusses changes so as to achieve organisation survival but fails to examine the

cost of changes and at what equilibrium cost can a change be effected so as not to

affect organisational performance and sustainability (Arend & Bromiley, 2011).

Another criticism of the dynamic capability theory is that the theory lacks

definitional bounds that appear to be inconclusive and elastic (Arend & Bromiley,

2011). Attempts were made to define this theory and clarify some of the concerns

raised for the theory by Eisenhardt and Martin (2000).

22
However, the theory still does not resolve the measurement challenges in terms of

what constitutes a dynamic capability, thus making dynamic capability to appear

everywhere whether at the operational level or at the environmental level.

Dynamic capability theory assumes capabilities are firm-specific processes,

activities or routines, and also put the immutability of the firm capability to build

and reconfigure the resource base as the key to attaining competitive advantage

(Lin & Wu, 2014).

Leonard-Barton, (1992) argues that dynamic capabilities allow firms to continually

have a competitive advantage and may help firms to avoid developing core

rigidities which inhibit development of inertia and stifle innovation. Eisenhardt and

Martin, (2000) opined that dynamic capabilities involve the organisational

processes by which resources are utilized to create growth and adaptation within

changing environments and permit the renewal and reconfiguration of a firm’s

resources. Further, Ambrosini, Bowman and Collier (2009) point that four different

outcomes may result from the deployment of dynamic capabilities. First,

they can lead to sustainable competitive advantage if the resource base created is

not imitated over a long period of time and the rent is sustained. Secondly, they can

lead to temporary advantage. Third, they may only give competitive advantage if

their effect on the resource base is simply by allowing the firm to operate in the

industry rather than to outperform rivals.

23
Finally, the deployment of dynamic capabilities may lead to failure if the resulting

resource stock is irrelevant to the market. For the purpose of this study also, the

dynamic capability theory will be an anchor theory. The rationale for selecting it is

that, it shares similar assumptions with the resource-based view theory of firms,

however, it incorporates internal and external cultural and strategic factors such as

institutional and market position which are vital considering the dynamic and

turbulent nature of the present-day business environment making it useful for

assessing impact of organisational culture and corporate competitiveness.

2.3.2 Resource-based view of the rm

The resource based view of rm (RBV) originated from the work on Penrose (1959)

and was formalized into a theory by Barney (l99l).It focused on resource as an

analytical unit for understanding rm-level sustained competitive advantage. The

RBV recognizes the value of a firm’s resources and capabilities, and is determined

by the market context within which the rm is operating. Its basic assumption is

considered as the asset that can be acquired and owned by a company.

Furthermore, it assumes that through resource procurement, production,

distribution, and consumption, rms generate competitive advantage. It suggests

that for an organization to achieve its objectives, it needs to structure its internal

capabilities to the external environment. The key internal intangible resources and

24
the external market conditions may be used as a framework to investigate the

development of this unique strategy dimension.

Since its introduction into the strategic management literature, the resource-based

view (RBV) of the firm (Wernerfelt, 1984; Barney, 1986; 1991; 2001; Conner,

1991) has earned great attention among scholars as a framework for explaining the

conditions under which a firm may gain sustained competitive advantage. Strategy

researchers have emphasized the importance to consider the opportunities and

constraints faced by firms as a result of their resource base as well as the industry

characteristics when investigating a firm’s decision concerning its growth (Delios

& Beamish, 1999).

Wernerfelt (1984) introduced the notion that firms should be analyzed from the

resource side at the level of the firm, not just from the product side at the level of

industry while Barney (1986,1991) argues that a firm has the potential to generate

sustained competitive advantage from resources that are valuable, rare, inimitable,

and non-substitutable (VRIN). These resources can be viewed as bundles of

tangible and intangible assets, such as a firm’s management skills, its

organizational processes and routines, and the information and knowledge under its

control (Barney, Wright and Ketchen, 2001) tied semi permanently to

the firm (Wernerfelt, 1984). To distinguish resources as inputs and capabilities

within the firm to enable it to select, deploy, and organize them, the concept of
25
“dynamic capabilities” was coined to mean ‘firm’s processes that use resources to

integrate, reconfigure, gain and release other resources to match and create market

change. Therefore, dynamic capabilities are organizational and strategic routines

by which firms achieve new resource configurations as markets emerge, collide,

split, evolve and die (Eisenhardt & Martin, 2000). In his argument, Leiblein (2003)

indicated that RBV assumes that firms are profit maximizing

entities directed by boundedly rational managers operating in distinctive markets

that are to a reasonable extent predictable and moving towards equilibrium. RBV

challenges the market based view of economists by regarding resources and

competitive advantage as factorsspecific to a firm rather than general to the

industrial environment (Tseng, Tansuhaj, Hallagan, and McCullough, 2007). On

scope of application of RBV, Connor (2002) argues that the RBV applies only to

large firms with significant market power. Although the resource based view is

considered an influential management theory it has been criticized to be

conceptually vague and redundant, with limited focus on the mechanisms by which

resources actually contribute to competitive advantage (Eisenhardt & Martin,

2000)However, this argument, though plausible to the extent that smaller, nimbler

firms do not

have adequate resources for SCA, is nullified on the grounds that intangible

resources havecapability to generate SCA even in small firms. However, the RBV

26
only applies to firms striving to achieve SCA not those satisfied with their

competitive position (Kraaijenbrink, et al., 2010). Critiques have also argued that

SCA is not actually achievable since both the skills and resources, and the way the

organization uses them must constantly change leading to the

creation of continuously changing temporary advantages (Fiol, 2001). In a

dynamic

environment, firms cannot derive SCA from static resources.

Both address resources and actions as important drivers of competitive advantage

and superior performance, but each focuses on one of these factors at the expense

of the other. The RBV primarily addresses resources, or the tangible and intangible

factors of firm control. Specially, this research argues that valuable and rare

resources provide the basis of competitive advantage and make superior

performance. A relatively overlooked assumption in the RBV is that rms know

how to leverage their resources to gain competitive advantage, which in turn can

lead to superior performance.

2.3.3 Assimilation Theory

Assimilation theory is based on Festinger’s (1957) dissonance theory. Dissonance

theory posits that consumers make some kind of cognitive comparison between

expectations about the product and service and the perceived product and service

performance (Peyton, Pitts, & Kamery, 2003).


27
This view of the consumer post-usage evaluation was introduced into the

satisfaction literature in the form of assimilation theory (Anderson, 1973).

According to Anderson (1973), consumers seek to avoid dissonance by adjusting

perceptions about a given product and service to bring it more in line with

expectations (Peyton, Pitts, & Kamery, 2003). Consumers can also reduce the

tension resulting from a discrepancy between expectations and product and service

performance either by distorting expectations so that they coincide with perceived

product and service performance or by raising the level of satisfaction by

minimizing the relative importance of the dis-confirmation experienced(Olson &

Dover, 1979). Payton et al (2012) argues that Assimilation theory has a number of

shortcomings. First, the approach assumes that there is a relationship between

expectation and satisfaction but does not specify how disconfirmation of an

expectation leads to either satisfaction or dissatisfaction (Peyton, Pitts, & Kamery,

2008). Second, the theory also assumes that consumers are motivated enough to

adjust either their expectations or their perceptions about the performance of the

product and service (Forman, 2007). A number of researchers have found that

controlling for actual product and service performance can lead to a positive

relationship between expectation and satisfaction (Olson & Dover, 2004).

Therefore, it would appear that dissatisfaction could never occur unless the

evaluative processes were to begin with negative consumer expectations (Bitner,

28
2005). Attempts by researchers to empirically test the assimilation contrast model

have met with varied results. For instance, Anderson (1994) and Olson & Dover

(1979) found some evidence to support the assimilation theory approach. In

debating both of these studies, Oliver (1980) argues that Anderson (1994) and

Olson & Dover (1979) findings cannot be accepted because they only measured

expectations and supposed that there were perceptual differences between

disconfirmation or satisfaction. This criticism is of some significance because

researchers do not actually measure satisfaction or dissatisfaction; instead,

researchers usually assumed that it is the perception ofdisconfirmation that leads to

satisfaction or dissatisfaction (Hoveland, 1957). In contradiction to the findings

supporting the assimilation theory, Cadotte, Woodruff & Jenkins(1983) reported

negative correlation between expectation and disconfirmation. They therefore

resolved that satisfaction is truly an “additive function of the two concepts”.

Further, Peyton (2003) asserts that uncertainty was created by results of study from

the work of Oliver (1977), which found no relationship between expectation and

disconfirmation.

Moreover, Olshavsky & Miller (1972) in “consumer expectations, product

performance and perceived product quality” supported the assimilation-contrast

theory. However, it has been found that if the discrepancy was too large to be

assimilated, then the contrast effect occurs.

29
2.4 EMPIRICAL REVIEW

Two studies focused on communication and learning. Heide studied the role of

ICT,

particularly the Intranet, for learning in Ericsson Mobile (2012) and Jimes analyses

the relation between communication and learning in two case companies (2015).

Both authors depart from a social constructionist view on organizations and

communication, and they clearly employ an interpretive perspective. Jimes

dissociates herself from the view that communication is a learning tool, and that

learning is a communication product. In return, she emphasizes sense making

processes. Her purpose is to find concepts to explain the relation

between communication and learning, and she highlights two: local conversations

and text negotiations. The results of the research concur with the results of Ekman

(2014), previously mentioned above. Ekman establishes that learning in her case

companies takes place in everyday conversations and in conversations on texts,

which in turn create new texts that structure the organizations. The rhetoric of

managers and the narratives of co-workers form textual expressions of

organizational change and organizational problems. Ekman sees that

co-workers' sense making and understanding are built on interaction of these

linguistic expressions. She considers that organizations ought to pay attention to

everyday conversations. They are important both to innovation oriented and

30
decentralized activities, as well as for centralized and routine activities (Jimes

2015).

One of the conclusions made by Heide is just that conversations are the most

important medium to people’s potential to learn (Heide, 2012). All mediation via

technical and digital media involve information losses, which in turn affects the

receivers’ possibilities to interpret and understand the senders’ intentions – and to

convert information into knowledge. Heide considers Intranets have advantages as

learning tools. They enhance availability of information, they give co-workers

better insight into the organization and its processes, and it has a democratizing

role, since more people gain access to information. The managers’ distributive role

diminishes in importance, while the collected information in the Intranet is part of

the organizational memory and forms an important resource to the

organization as a whole and to individual co-workers. In turn they acquire a more

active role in information seeking, and experience an enlarged freedom. However,

the use of ICT is not solely positive. Some disadvantages pointed out by Heide are

that managers no longer know if co-workers have received and made sense of the

information. Obstacles that render seeking and acquiring information complicated

are information overload, structural problems making information difficult to find,

lack of time, distrust and interpretation of difficulties. The web is good for storing

and distribution of information; but in everyday practice, many situations are

31
characterized by insecurity and ambiguity – in those cases more information does

not necessarily help, but rather guidance on interpretation of the

matter is what is needed (Weick 2015) is. Heide’s study shows that work-related

communication primarily goes through”private channels” such as conversations

and e-mail (Heide, 2002). Kaplan and Norton (1998) proposed that there is a close

connection between organizational learning and organizational performance; in

order to embolden the learning environment in the organization, the top manager is

the key person encouraging this to take place. In more detail, Marr (2016) said that

it is essential that not only do top management need to participate in supporting a

learning environment but also all organization members. To do so, he suggested

that the organization needs to encourage organizational learning through asocial

context in which members can share knowledge both tacitly and explicitly, and

encourage commitment, collaboration, mutual respect and a sense of belonging.

Organizational members need to feel important to the community to create value as

a whole. In an even more complex example from the service business sector,

Singapore Airlines has encouraged all of its staff to share and relocate knowledge

jointly. This leads to the development of an ‘organizational identity’, so that all

members feel that they are important to the organization and are fully willing to

serve customers to the best of their ability (Chong2017). To encourage learning in

the organization, Singapore Airlines provided training from the lowest to the top

32
positions of the organization. Eventually, as in the healthcare industry, Liu et al.

(2016) and Rusnakova et al. (2014) established that customer satisfactions had

been raised and, in turn, organizational performance had been improved.

Researchers generally view organizational performance by two main measures:

Objective and subjective. For example, Waybright and Kemp (2012) compared

objective measures to the scores of league sports; financial statements help the

scorekeepers, or accountants, to collect financial data about how well the

organization has scored; data such as sales volumes, profits

or return on assets is taken from financial records and externally recorded and

audited accounts. Against this solid evidence which determines which team wins,

there are subjective measures as reported by respondents themselves (Wall et al.

2014).

Traditional analysts emphasize that organizational performance for small business

ventures embraces explanations of why people start their ventures, what problems

business ownership overcomes and generates for the owners or top management,

and specifically what the firm’ stop management actually desire to achieve for

themselves (Beaver and Jennings 2011; Chaganti and Chaganti 1983; Marlow and

Patton 2013; Thorpe 2001). Different organizations have different purposes in

running their business; therefore, the determined goals of each organization may be

different and the levels of organizational performance may be varied (Fan et al.

33
2014). Organizational performance could be defined as the ability to reach a

desired objective or the degree to which anticipated results are achieved

(Stefan 2005). It could also be well-defined multi-dimensionally by looking at four

different categories: achieving organizational goals, increasing resourcefulness,

satisfying customers and improving internal processes (Cameron 1986; Redshaw

2001). Organizational performance also serves the purpose of monitoring

performance, identifying the areas that require attention, enhancing motivation,

improving communications and strengthening accountability (Waggoner et al.

1999).

Today’s organizations are run by multi and cross functional teams which show

little tolerance for unquestioned authority. To deal with this situation, the art of

persuasion and the effort to find the correct emotional match with your audience is

necessary. This match means that it is not enough for communication to be a one-

way ticket(Torrington and Hall, 1991) as cited in Rajhans 2012.

Oyetunde & Oladejo (2012) in a study titled “communication approach and firms

performance: appraisal of Nigerian Bottling Company(CocaCola), Ilorin-Nigeria”

submitted that research findings no doubt have validated the synerginous

relationship between communication approach and efficient performance of NBC,

Ilorin plant. They also recommended that there can still be more room for

34
improvement and consequently better performance if management embraces the

following recommendations:

(i) More clarity of ideas before attempting to communicate; Communication

messages that are precise and are of short run often possess long run

importance;

(ii) All stakeholders should be encouraged to be good listeners;

(iii) Immediate actions must be accompanied and accomplished with

communication; and

(iv) Communication that would be effective require a follow up and effective

feedback mechanism process.

2.5 Summary of Literature Review

Kukule (2012) in” Internal communication crisis and its impact on

organization’s performance” cited that the importance of symmetry has been

marked by Gruning and Hunt, describing symmetric communication as a source

and a recipient which cannot be separated but are equal participants of a

communication process seeking(striving for) mutual understanding and

proportional two-way effect(Grunig, Grunig A. Larissa,1989). The research

work, carried out under the auspices of the paper, points at the lack of

symmetric approach in internal communication, which is marked by the

35
research participants (not

representing the dominant coalition) as an important cause of the problem and

of crisis in the organization He opined that lack of leadership, unclear

managerial style and incomprehension of employees’ need for information

created a fundamental problem in the organization’s internal communication.

Furthermore, the role of informal communication and “grape-vine telegraph” in

an organization’s communication is viewed as one of crucial factors influencing

organization’s operations and may become a threat to an organization. He

further suggested that organizational crises may not only be caused by external

conditions which are difficult to control for an organization, but also by internal

factors which are closely linked to communication problems in the

organization.

2.5 Gap in Literature

This literature provides in-depth knowledge on the subject under study; however,

most of the studies were not completely directed towards communications and

organizational performance and more specifically in the manufacturing industries.

Therefore, this study is further situated in selected manufacturing companies in

Abuja and will also look at communications and organisational performance of the

selected manufacturing company stated in this study. It is believed by the

researcher that there has been consistent neglect in research in this area especially
36
in the manufacturing industries which could lead to a disservice to the sector and

also the economy at large. Hence, the study will be based on the premise that

probably there are not many studies in the field. Thus, the study will examine how

horizontal communication, vertical communication and diagonal communication

as parameters for organisational communications will affect the overall

performance

37
CHAPTER THREE

RESEARCH METHODLOGY

3.1 Introduction

This chapter of the study explained how the research has been accomplished. That

is what the data consist of and how data was collected, organized, and analyzed.

Thus, it consists of research design, population and sample size, sampling

technique, sources of data and method of data analysis.

3.2 Research Design

Descriptive survey research design has been adopted for this project and the aim is

to show the various relationships that exist among variables of the study.

3.3 Area of the Study

Nigeria is one of the countries that were colonized by British Government. She

gains her Independence on 1st October, 1960. Nigeria is made up of 36 states and

Abuja as the Federal Capital Territory (from 12 th December, 1991). The states (in

Nigeria) are structured into six geographical zones and 774 Local Government

Area. She has 92,376,364 square kilometers land area and the population

38
approximately 184 million (NPC 2017). Nigeria is located in West Africa,

bordering the North Atlantic Ocean between Berlin and Cameroon. The National

symbols are; Coat of arm, Nigeria flag (green and white) which signifies peace and

progress (Yar’zever, 2014)

The country has Human resources and wide range of favourable climate (Humid

sub-tropical) vegetation is the high forest zone which further made up of the

mangrove or swamp and the rain forest, while the savanah is made up of grassland

scrub forest. The mean maximum temperature is about 34.44 OC


per 300 meters of

latitudes (Anyanwu, 1997).

The Nigeria currencies are Naira and kobo. She has a legal tax system which is

British oriented, VAT of 5% (introduced January, 1994). Nigeria is operating

mixed economy in which government control their enterprises.

Nigeria coat of arms is an emblem which shows the unity of the country and it

stands for authority and power. The black shaded in the coat of arm represents the

good soil of Nigeria, the eagle represents the strength of Nigeria. The mark on the

shield which looks like letter “Y” represents the river Niger and Benue which

flows through parts of Nigeria (Akande, 1997).

Nigeria remains the most populous nation in Africa, comprising of varying ethnic

groups, variety of customs, traditions and dialects. English Language is the lingual

– Franca but the following are the most popular of literature, Hausa –

39
predominantly in the North, Yoruba – predominantly in the Western part, Igbo –

predominantly in the Eastern part (Akande, 2013).

Nigeria like other African countries is a conglomeration of ethnic groups brought

together to form a modern state by the influence of power, of the former colonial

masters. The country practices three (3) major religions which are Christianity,

Islam and Traditional worshipers (Akande, 2013).

Nigeria exhibits most of the common characteristics of developing countries. That

is depending on primary production for export (Agriculture), high dependency on

imported raw materials for production, high population growth, suffer from wide

spread poverty and rising unemployment. Mostly deal with tribal, ethnic and

religion conflicts in spite the favourable weather, climate, vegetation and various

resources, Nigeria is still bedeviled by poverty and high income concentration

among small group of business and politicians, lack of executive capacity, over

dependence on petroleum and importation of goods and services (Anyanwu, 1997).

Nigeria has wide range of abundant resources (Natural and Artificial).

Physiographical, the country consists of several extensive plateau surface including

the Jos Plateau, the Udi Plateau and the North central plains. There are two marked

seasons; Wet and Dry Seasons. The rainy season usually last from April to late

October and the dry season from November to March. However, out of the 25% of

the total land area, only 12% is cultivated with high dependence on oil revenue

40
(about 80% of government revenue and 90% of export earning overall). Nigeria is

OPECs fourth largest producer in the world (Akande, 2013).

3.4 Population of the Study

The population of the study is for the sake of time and accessibility of .

3.5 Sample Size and Sampling Technique

Due to insufficient time, finance and the problem of accessibility, the researcher

narrows the sample size to 200 hundred person both customers and bank staff.

3.5.1 Sample Size

The sample size use for the study is the sample size of 200 hundred person both

customers and bank staff.

3.5.2 Sampling technique

The sampling technique used is cluster sampling. The sample size is arrived at

using Yaro Yamane formula to calculate the sample size of 293,991 population.

Thus the Yaro Yamane formula is stated as:

n= N _
1 + N (e)2

3.6 Sources of Data

The study made use of both primary and secondary data. The primary source of

data is the questionnaire while the secondary source of data is the internet,

textbooks.

41
3.7 Research Instrument

To ensure validity of this research, administrative questionnaires would be


administered as a source of collecting primary data to make sure that relevant
information are gathered from the research work.

However, other sources such as the use of questionnaire would be used for
gathering meaningful information which will give a large range of latitude to the
researcher so as to draw a reasonable and accurate conclusion.

3.8 Validity of the Instrument

The instrument used in the collection of data is questionnaire. This was

appropriately moderated. The respondents were administered with the

questionnaires to complete, with or without disclosing their identities. The

questionnaire was designed in such a way that the questions are anchored to five

scale responses of strongly agree, agree, undecided, disagree and strongly

disagreed.

3.9 Methods of Data Analysis

For the purpose of analyzing the data collected, simple percentage arrangement

technique is used and the chi-square statistics. The sample percentage is given as:

SP= No. of Response x 100

Total No. of response

42
For the purpose of testing the hypotheses, chi-square is used and is expressed as

follows:

x2 = Σ (fo – fe)2

fe

Where:

x2 = Chi-square

Σ = Summation symbol

fo = observed frequency

fe = expected frequency

Decision criterion:

Reject the null hypotheses (H0) if the x2 calculated value exceeds the x2 critical

value otherwise, accept.

43
CHAPTER FOUR

DATA PRESENTATION, ANALYSIS AND FINDINGS

4.1 Introduction

This chapter gives a breakdown of data retrieved. It presents the data analysis,
results and discussions and findings in the study. The tables with the percentages
are tools for descriptive analysis of data in the Nigerian bottling company, Abuja,
Nigeria. A questionnaire served as the basis for statistical analysis in which data
retrieved was analyzed using appropriate statistical tools. Inferential statistics was
carried out using simple linear regression, so as to understand the effect of
communication on organisational performance in Nigerian bottling company,
Abuja, Nigeria. Findings in the study were discussed.

4.2 Data presentation

Table 4.1 Questionnaire response rate

S/N Number

1 Administered Questionnaires 488

2 Returned questionnaires 390

44
3 Unreturned questionnaires 98

5 Percentage used 79.9%

6 Percentage not used 20.1%

Total percentage 100%


Source: Research Study, 2023

4.2.1 DEMOGRAPHIC DATA OF RESPONDENTS

Copies of the questionnaire were administered directly to the decision making

officers such as the chief executives, directors, general managers, marketing and

sales executives, managers, and also to the middle and lower level employees, of

selected manufacturing companies in Abuja.

Out of four hundred and eighty eight (488) copies of the questionnaire distributed,
three hundred and ninety (390) copies were retrieved from the field. The overall
response rate for the study is 79.9%. A non response rate of 20.1% was recorded
for the study, which occurred as a result of busy schedule, inadequate time and
loss of questionnaire on the part of the respondents.

Four demographic variables were- Gender, Age, Educational qualification and


Marital Status. Table 4.2 shows the gender sampled distribution.

Table 4.2: Gender variables

Variables Frequency Percent% Valid Percent Cumulative


% Percent%

Male 208 53.3 53.3 53.3


Female 182 46.7 46.7 100.0

45
Total 390 100.0 100.0
Source: Researcher’s Field Survey (2023)

Table 4.2 reveals that 208(53.3%) of respondents were male, while 182 (46.7)

were female.

This shows that male respondents participated more in the study than female

respondents.

Table 4.3: Classification of Respondents by Age

Variables Frequency Percent% Valid Percent Cumulative Percent

(Age) % %

25-30 years 102 26.2 26.2 26.2

31-35 years 160 41.0 41.0 67.2

36- 40 years 92 23.6 23.6 90.8

41 and above 36 9.2 9.2 100.0

Total 390 100.0 100.0

Source: Researcher’s Field Survey (2023)

46
Table 4.3 shows that 102 (26.2%) of the respondents were between the ages of

25- 30 years, and 160 (41.0%) were between the ages of of 31-35 years, while 92

(23.6%) were between the ages of 36-40 years, however 36 (9.2%) were at the

age of 41 years and above; by implication most respondents were between the

ages of 31-35 years.

Table 4.4: Educational Qualification variables

Variables Frequency Percentage Valid Percent Cumulative

% % Percent%

B.Sc 120 26.2 26.2 26.2

MSc / 156 41.0 41.0 67.2

MBA

P.hD 65 23.6 23.6 90.8

Others 49 9.2 9.2 100.0

Total 390 100.0 100.0

Source: Researcher’s Field Survey (2023)

Table 4.4 shows the qualifications based on educational levels. 120(26.2%) of

respondents possessed the B.Sc degree, 156 (41.0%) had an MSc / MBA degree,

47
and 65 (23.6%) were P.hD holders. 49 (9.2%) had other degrees. 56.67% had an

MSc/ MBA or higher degree.

Table 4.5: Marital Status variables

Variables Frequency Percentage % Valid Percent Cumulative Percent

% %

Single 103 26.4 26.4 26.4

Married 208 53.3 53.3 79.7

Divorced 79 20.3 20.3 100.0

Total 390 100.0 100.0

Source: Researcher’s Field Survey (2023)

Table 4.5 shows the marital status of respondents. Where 103 (26.4%) of the

respondents surveyed were single, while 208 (53.3%) surveyed were married, and

79 (20.3%) were divorced; by implication most respondents were married.

48
4.3 Descriptive Statistics

Table 4.6Descriptive analysis of Horizontal Communication

S/N
Horizontal
Communication Very High Undecide Low Very low Mea Std
high d n Dev.
1 Communication 276 % 104 8 0 0 5.68 0.54
between (70.8) ) (26.7%) (2.1%) (0.0) (0.0)
employees at the
same level
2 Electronic 231 129 25 2 0 5.49 0.71
%
communication (59.2 (33.1%) (6.4%) (0.5%) (0.0)
)
technologies
3 Information 203 % 130 33 5 0 5.30 0.89
distribution (52.1 ) (33.3%) (8.5%) (1.3%) (0.0)
4 Coordination 183 % 139 42 8 0 5.22 0.96
(46.9 ) (35.6%) (10.8%) (2.1%) (0.0)
5 Solution of 177 78 14 31 68 4.40 1.95
%
interdepartmental (45.4 (20.0%) (3.6%) (7.9%) (17.4%)
)
problems

Overall Average 5.22 1.01


Source: Researcher’s Field Survey 2023.

49
Table 4.6: The descriptive analysis shows 276 (70.8%) respondents indicated that

Communication between employees at the same level is very high, 104 (26.7%)

respondents indicated high and 8 (2.1%) indicated Undecided . The respondents

on average indicated that Communication between employees at the same level is

very high (Mean = 5.68, STD = 0.54).

In addition, 231 (59.2%) respondents indicated that electronic communication

technologies are very high, 129 (33.1%) indicated high, 25 (6.4%) indicated

Undecided and 2(0.5%) indicated low. On the average the respondents indicated

that electronic communication technologies are very high (Mean = 5.49, STD =

0.71). On Information distribution, 203 (52.1%) respondents indicated very high,

130 (33.3%) indicated high, 33 (8.5%) Undecided and 5(1.3%) low. The

respondents on average indicated that Information distribution is very high (Mean

= 5.30, STD

= 0.89). Further, the results revealed that 183(46.9%) respondents indicated that

Coordination is very high, 139 (35.6%) indicated high, 42(10.8%)

Undecided and 9 (2.1%) low, none is missing. The respondents on average

indicated that Coordination is very high (Mean = 5.22, STD = 0.96). Also, 177

(45.4%) respondents indicated that Solution of interdepartmental problems was

very high, 78 (20.0%) indicated high, 14 (3.6%) Undecided , 31 (7.9%) low and

50
68 (17.4%) very low. The respondents on average indicated that Solution of

interdepartmental problems is very high (Mean = 4.40, STD = 1.95).

4.4 Research Questions

Research 1: To examine the effect of horizontal communication on organisational

performance in Nigerian bottling company, Abuja, Nigeria.

Research Question 1: How does horizontal communication affect organisational

performance in Nigerian bottling company, Abuja, Nigeria?

The result in this section represents the frequency interpretation of the responses

of participating employees of cola bottling company, Abuja, Nigeria to the effect

of horizontal communication on organisational performance.

Test of Hypothesis One

Hypothesis 1 (H01): Horizontal communication has no significant effect on

organisational performance in Nigerian bottling company, Abuja, Nigeria.

Model 1 for (H01) is stated as Y= f (x1) and Y = α0 + ß1x1 + µ

51
Linear Regression Analysis between horizontal communication and

organisational performance

Model Summary

R R Adjuste
Mod Std. Error
Square d R
e of the
Squar
l Estimate
e
.620 .38 2.7724
1 .383
a
4 3
a. Predictors: (Constant), HRZC

ANOVAa

Model Sum of df Mean F Sig.


Squares Square
1 242.330 .000b
Regression 1862.633 1862.633
38 7.686
Residual 2982.303
1 8
38
Total 4844.936
9
a. Dependent Variable: ORGP
b.Predictors: (Constant), HRZC
Coefficientsa

Model Unstandardized Standardized t Sig.


Coefficients Coefficients
B Std. Error Beta
7.055 1.182 5.970 .000
1 (Constant)
HRZC .701 .045 .620 15.567 .000
a. Dependent Variable: ORGP
52
Source: Research Study, 2023

The hypothesis one was tested between horizontal communication and

organisational performance. The correlation value in the analysis is given as r =

0.620 which explains the level of relationship between horizontal communication

and organisational performance. This implies therefore that a 62.0% relationship

or correlation exists between horizontal communication and organisational

performance. The coefficient of determination R2 = 0.383. This explains the

impact of horizontal communication on organisational performance. 38.3%

indicates the changes that occur positively in organisational performance can be

accounted for by horizontal communication.

The result in the table therefore showed that there is a statistically determinant

relationship between horizontal communication and organisational performance

in Nigerian bottling company, Abuja, Nigeria as the probability of the t-calculated

is equal to 0.000 which is less than 0.005 or 5%. Hence the null hypothesis that

states that horizontal communication has no significant effect on organisational

performance in Nigerian bottling company, Abuja, Nigeria is hereby rejected.

4.6 Summary of Findings

The findings are consistent with the findings of Ekman (2014) who established

that learning in her case companies takes place in everyday conversations and in

53
conversations on texts, which in turn create new texts that structure the

organizations. The rhetoric of managers and the narratives of co-workers form

textual expressions of organizational change and organizational problems. Ekman

sees that co-workers' sense making and understanding are built on interaction of

these linguistic expressions. She considers that organizations ought to pay

attention to everyday conversations. They are important both to innovation

oriented and decentralized activities, as well as for centralized and routine

activities (Jimes 2015).

One of the conclusions made by Heide is just that conversations are the most

important medium to people’s potential to learn (Heide, 2012). All mediation via

technical and digital media involve information losses, which in turn affects the

receivers’ possibilities to interpret and understand the senders’ intentions – and to

convert information into knowledge. Heide considers Intranets have advantages as

learning tools. They enhance availability of information, they give co-workers

better insight into the organization and its processes, and it has a democratizing

role, since more people gain access to information.

The managers’ distributive role diminishes in importance, while the collected

information in the Intranet is part of the organizational memory and forms an

important resource to the organization as a whole and to individual co-workers. In

54
turn they acquire a more active role in information seeking, and experience an

enlarged freedom. However, the use of ICT is not solely positive. Some

disadvantages pointed out by Heide are that managers no longer know if co-

workers have received and made sense of the information.

Restatement of Objective and Research Question 2

Research Objective 2: To determine the effect of vertical communication on

organisational performance in Nigerian bottling company, Abuja, Nigeria.

Research Question 2: Does vertical communication affect organisational

performance in Nigerian bottling company, Abuja, Nigeria?

This results of the frequency interpretation of the responses show that there is an

effect of vertical communication on organisational performance.

Benchmark scale of interpretation of mean.

Where: 1= 0-1.5, 2= 1.6-2.5, 3= 2.6-3.5, 4= 3.6-4.5, 5=4.6-5.5, 6=5.6-6.

55
Table 4.7 Descriptive analysis of Vertical Communication

Vertical Very High Undecided Low Very Mea Std Dev.


Communication high low n
1 Communication of 179 170 32 6 0 5.68 0.54
organisational (45.9%) (43.6% (8.2%) (1.5) (0.0)
goals and mission )
2 Task instructions 183 145 46 6 2 5.49 0.71
and training (46.9%) (37.2% (11.8%) (1.5%) (0.5)
)
3 Communication of 197 114 54 8 0 5.30 0.89
task rationale (50.5%) (29.2% (13.8%) (2.1%) (0.0)
)
4 Communication 178 160 32 3 0 5.22 0.96
about rules, (45.6%) (41.0% (8.2%) (0.8%) (0.0)
policies, )
procedures
5 Performance and 211 94 49 16 0 4.40 1.95
other feedback (54.1%) (24.1% (12.6%) (4.1%) (0%)
from subordinates )
Overall Average 5.22 1.01
Source: Researcher’s Field Survey 2023.

Table 4.7 represents the results of the descriptive analysis. 179 (45.9%)

respondents indicated that Communication of organisational goals and mission is

very high, 170 (43.6%)respondents indicated high, 32(8.2%) indicated Undecided

and 6(1.5%) indicated low. The respondents on average indicated that the

56
Communication of organisational goals and mission is very high (Mean = 5.68,

STD = 0.54).

In addition, the result revealed that 183 (46.9%)respondents indicated that Task

instructions and training is very high, 145 (37.2%) indicated high, 46 (11.8%)

indicated Undecided , 6(1.5%) indicated low and 2(0.5%) indicated very low. The

respondents on average indicated that Task instructions and training is very high

(Mean = 5.49, STD = 0.71). On Communication of task rationale, 197 (50.5%)

respondents indicated very high, 114 (29.2%) indicated high, 54 (13.8%)

Undecided and 8(2.1%) low. The respondents on average indicated that

Communication of task rationale is very high (Mean = 5.30, STD = 0.89).

Further, the results revealed that 178(45.6%) respondents indicated that

Communication about rules, policies, procedures is very high, 160 (41.0%)

indicated high, 32(8.2%) Undecided and 3(0.8%) low, none is missing. On the

average, respondents indicated that Communication about rules, policies,

procedures is very high (Mean = 5.22, STD = 0.96). Also, 211 (54.1%)

respondents indicated that Performance and other feedback from subordinates was

very high, 94 (24.1%) indicated high, 49 (12.6%) Undecided and 16 (4.1%)

low. The respondents indicated that

57
Performance and other feedback from subordinates is very high (Mean = 4.40,

STD = 1.95).

Test of Hypothesis Two

Hypothesis 2 (H 02):

Vertical communication has no significant effect on organisational

performance in Nigerian bottling company, Abuja, Nigeria.

Model 1 for (H02) is stated as Y= f (x2) and Y = α0 + ß2x2 + µ

Linear Regression Analysis between vertical communication and

organisational performance

Model Summary

Mode R R Square Adjusted R Std. Error of the


l Square Estimate
1 .545a .297 .295 2.96327
a. Predictors: (Constant), VERC

ANOVAa

Model Sum of df Mean F Sig.


Squares Square
1 Regression 1437.917 1 1437.917 163.754 .000b

58
38
Residual 3407.019 8.781
8
38
Total 4844.936
9
a. Dependent Variable: ORGP

b. Predictors: (Constant), VERC

Coefficientsa

Mode Unstandardized Standardize t Sig.


l Coefficients d
Coefficient
s
B Std. Error Beta
(Constant 8.71 1.30 6.67 .00
1 ) 3 6 0 0
VERC .633 .049 .545 12.79 .00
7 0

a. Dependent Variable: ORGP

Source: Research Study, 2023

Interpretation

The hypothesis two was tested between vertical communication and

organisational performance. The correlation value in the analysis is given as r =

0.545 which explains the level of relationship between vertical communication

and organisational performance. This implies therefore that a 54.5% relationship

59
or correlation exists between vertical communication and organisational

performance. The coefficient of determination R2 = 0.297. This explains the

deterministic impact of vertical communication on organisational performance.

This indicates that 29.7% of the changes that occur positively in organisational

performance can be accounted for by vertical communication.

The result in the table therefore showed that there is a statistically determinant

relationship between vertical communication and organisational performance in

Nigerian bottling company, Abuja, Nigeria as the probability of the t-calculated is

equal to 0.000 which is less than 0.005 or 5%. Hence the null hypothesis that

states that vertical communication has no significant effect on organisational

performance in Nigerian bottling company, Abuja, Nigeria is hereby rejected.

The findings discovered from this study is consistent with the findings of Marr

(2016) who said that it is essential that not only top management need to

participate in supporting a learning environment but also all organization

members. To do so, he suggested that the organization needs to encourage

organizational learning through a social context in which members can share

knowledge both tacitly and explicitly, and encourage commitment, collaboration,

mutual respect and a sense of belonging. Evidence shows that organizational

performance is used to determine organizational learning in different areas (see,

for example, Murray 2013; Panayides 2017; Pemberton et al. 2001; Spicer and
60
Sadler-Smith 2016; Vakola and Rezgui 2000; Vincent and Ross 2001). Similarly,

a variety of approaches to evaluating organizational performance have been

applied to help continue learning in the organization (see, for example, Afiouni

2017; Aragon-Correa et al. 2007; Chang and Lee 2007; Michie and Sheehan-

Quinn 2011; Michie and Zumitzavan 2012). Marr (2016) recommended that it is

important to create a learning environment in the organization in order to heighten

organizational performance. Kaplan and Norton (1998) proposed that there is a

close connection between organizational learning and organizational

performance; in order to embolden the learning environment in the organization,

the top manager is the key person encouraging this to take place.

Today’s organizations are run by multi and cross functional teams which show

little tolerance for unquestioned authority. To deal with this situation, the art of

persuasion and the effort to find the correct emotional match with your audience

is necessary. This match means that it is not enough for communication to be a

one-way ticket(Torrington and Hall, 1991) as cited in Rajhans 2012.

Oyetunde & Oladejo (2012) in a study titled “communication approach and firms

performance: appraisal of Nigerian Bottling Company(CocaCola), Ilorin-Nigeria”

submitted that research findings no doubt have validated the synerginous

relationship between communication approach and efficient performance of NBC,

61
Ilorin plant. They also recommended that there can still be more room for

improvement and consequently better performance if management embraces the

following recommendations: (i) More clarity of ideas before attempting to

communicate; Communication messages that are precise and are of short run

often possess long run importance; (viii) All stakeholders should be encouraged to

be good listeners; (ix) Immediate actions must be accompanied and accomplished

with communication; and (x) Communication that would be effective require a

follow up and effective feedback mechanism process.

Kukule (2012) in” Internal communication crisis and its impact on organization’s

performance” cited that the importance of symmetry has been marked by Gruning

and Hunt, describing symmetric communication as a source and a recipient which

cannot be separated but are equal participants of a communication process

seeking(striving for) mutual understanding and proportional two-way effect

(Grunig, Grunig A. Larissa,1989). The research work, carried out under the

auspices of the paper, points at the lack of symmetric approach in internal

communication, which is marked by the research participants (not representing

the dominant coalition) as an important cause of the problem and of crisis in the

organization He opined that lack of leadership, unclear managerial style and

incomprehension of employees’ need for information created a fundamental

problem in the organization’s internal communication.

62
Restatement of Objective and Research Question 3

Research Objective 3: To assess the effect of diagonal communication on

organisational performance in Nigerian bottling company, Abuja, Nigeria.

Research Question 1: How does diagonal communication affect organisational

performance in Nigerian bottling company, Abuja, Nigeria?

This section shows the results of the frequency interpretation of the responses of

participating employees of Nigerian bottling company, Abuja, Nigeria to the

effect of diagonal communication on organisational performance.

Table 4.8 Descriptive analysis of Diagonal Communications

S/N Diagonal
Communications
Ver High Undecided Low Very Mean Std Dev.
y low
high
1 Communication 109 ) 89 64 51 12 5.68 0.54
between (27.9 (22.8) (16.4) (13.1) (3.1)
managers and
workers in
different
functional
divisions
2 Communication 36 24 98 96 41 5.49 0.71
with new (9.2) (6.2) (25.1) (24.6) (10.5)
organizational
procedures
3 Communication 35 21 49 124 60 5.30 0.89
through other (9.0) (5.4) (12.6) (31.8) (15.4)

63
channels
4 Communicate 56 ) 30 89 138 9 5.22 0.96
businesses within (14.4 (7.7) (22.8) (35.4) (2.3)
the organization

5 Communication 31 7 112 135 27 4.40 1.95


with direct (7.9) (1.8) (28.7) (34.6) (6.9)
superiors or
subordinates
Overall Average 5.22 1.01
Source: Researcher’s Field Survey 2023.
Table 4.8 Present results of descriptive statistics on Diagonal Communications.

The results of the descriptive analysis revealed that 109 (27.9%) of the

respondents indicated that Communication between managers and workers in

different functional divisions is very high, 89 (22.8%) of the respondents

indicated high, 64(16.4%) indicated Undecided, 51(13.1%) indicated low and

12(3.1%) indicated very low none is missing. On the average the respondents

indicated that Communication between managers and workers in different

functional divisions is very high (Mean = 5.68, STD = 0.54).

In addition, the result revealed that 36 (9.2%) of the respondents indicated that

Communication with new organizational procedures is very high, 24 (6.2%)

indicated high, 98 (25.1%) indicated Undecided , 96(24.6%) indicated low and

41(10.5%) indicated very low. On the average the respondents indicated that

Communication with new organizational procedures is low (Mean = 4.30, STD =

64
0.71). On Communication through other channels, 35 (9.0%)respondents

indicated very high, 21 (5.4%) indicated high, 49 (12.6%) Undecided ,

124(31.8%) low and 60(15.4%) very low. On the average the respondents

indicated that Communication through other channels is low (Mean = 5.30, STD

= 0.89). Further, the results revealed that 56(14.4%) respondents indicated that

Communicate businesses within the organization is very high, 30 (7.7%) indicated

high, 89(22.8%) Undecided , 138 (35.4%) low and 9 (2.3%) very low. The

respondents on average indicated that Communicate businesses within the

organization is low (Mean = 5.22, STD = 0.96). Also, 31 (7.9%) respondents

indicated that Communication with direct superiors or subordinates is very high, 7

(1.8%) indicated high, 112 (28.7%) Undecided , 135(34.6%) low and 27 (6.9%)

very low.

The respondents on average indicated that Positive image in the eyes of the target

audience is low (Mean = 4.40, STD = 1.95).

Research Question 3: How does diagonal communication affect organisational

performance in Nigerian bottling company, Abuja, Nigeria?

From Table 4.8 and 4.9, the answer to the research question one can be found,

which is that there is a positive relationship between diagonal communication and

organisational performance.

65
Test of Hypothesis Three

Hypothesis 3 (H03): diagonal communication has no significant effect on

organisational performance in Nigerian bottling company, Abuja, Nigeria.

Model 3 for (H03 ) is stated as Y= f (x3 ) and Y = α0 + ß3 x 3 + µ

66
Table 4.9 Linear Regression Analysis between diagonal communication and

organisational performance.

Model three Unstandardized Standardize T Sig.


Y = a0 + β3x3 Coefficients d
+ Coefficients

µ B Std. Beta
Error

(Consta 9.416 .539 17.47 .000


nt) 0

Diagona .652 .032 .724 20.64 .000


3
l 7
commu
n
ication

a. Dependent Variable: organisational performance


b. r= 0.724 R 2= 0.524 F- stat =
426.3 11

Source: Research Study, 2023

Interpretation

The hypothesis one was tested between diagonal communication and

organisational performance. The correlation value in the analysis is given as r =

0.724 which explains the level of relationship between diagonal communication

and organisational performance. This implies therefore that a 72.4% relationship

67
or correlation exists between diagonal communication and organisational

performance. The coefficient of determination R2 = 0.524. This explains the

deterministic impact of diagonal communication on organisational performance.

This indicates that 52.4% of the changes that occur positively in loyalty of

customers can be accounted for by diagonal communication.

A constant value (alpha) of 9.416 which is the predicted value of the dependent

variable measure (organisational performance) when the predictor is set at 0 and

the coefficient of independent variable (beta = 0.652) the size of the coefficient of

independent variable measure giving that the size of the effect it has on the

dependent variable is 0.652. The prediction component as shown in Table 4.10 is

the t-value and significance. The t-statistic is the coefficient divided by its

standard error. If 95% of the t-distribution is closer to the mean than the t-value,

then the coefficient will have a p-value of 5%. The p-value indicates that the

independent variable measures diagonal communication. The result indicates

satisfactory goodness of fit between the independent variable (diagonal

communication) and dependent variable (organisational performance). It also

shows that the F-value which is the mean square model divided by the mean

square residual yielded F=426.311.

The result in Table 4.10 therefore showed that there is a statistically determinant

relationship between diagonal communication and organisational performance of


68
selected manufacturing companies in Lagos State as the probability of the t-

calculated is equal to 0.000 which is less than 0.005 or 5%. Hence the null

hypothesis that says diagonal communication has no significant effect on

organisational performance of selected manufacturing companies in Lagos State

is hereby rejected.

4.7 Discussion of Findings

The findings discovered from this study is consistent with the findings of Marr

(2016) who said that it is essential that not only top management need to

participate in supporting a learning environment but also all organization

members. To do so, he suggested that the organization needs to encourage

organizational learning through a social context in which members can share

knowledge both tacitly and explicitly, and encourage commitment, collaboration,

mutual respect and a sense of belonging. Evidence shows that organizational

performance is used to determine organizational learning in different areas (see,

for example, Murray 2013; Panayides 2017; Pemberton et al. 2001; Spicer and

Sadler-Smith 2016; Vakola and Rezgui 2000; Vincent and Ross 2001). Similarly,

a variety of approaches to evaluating organizational performance have been

applied to help continue learning in the organization (see, for example, Afiouni

2017; Aragon-Correa et al. 2007; Chang and Lee 2007; Michie and Sheehan-

69
Quinn 2011; Michie and Zumitzavan 2012). Marr (2016) recommended that it is

important to create a learning environment in the organization in order to heighten

organizational performance. Kaplan and Norton (1998) proposed that there is a

close connection between organizational learning and organizational

performance; in order to embolden the learning environment in the organization,

the top manager is the key person encouraging this to take place.

Today’s organizations are run by multi and cross functional teams which show

little tolerance for unquestioned authority. To deal with this situation, the art of

persuasion and the effort to find the correct emotional match with your audience

is necessary. This match means that it is not enough for communication to be a

one-way ticket (Torrington and Hall, 1991) as cited in Rajhans 2012.

Oyetunde & Oladejo (2012) in a study titled “communication approach and firms

performance: appraisal of Nigerian Bottling Company (CocaCola), Ilorin-

Nigeria” submitted that research findings no doubt have validated the synerginous

relationship between communication approach and efficient performance of NBC,

Ilorin plant. They also recommended that there can still be more room for

improvement and consequently better performance if management embraces the

following recommendations: (i) More clarity of ideas before attempting to

communicate; (ii) Communication messages that are precise and are of short run

70
often possess long run importance; (iii) All stakeholders should be encouraged to

be good listeners; (iv) Immediate actions must be accompanied and accomplished

with communication; and (v) Communication that would be effective require a

follow up and effective feedback mechanism process.

Kukule (2012) in” Internal communication crisis and its impact on organization’s

performance” cited that the importance of symmetry has been marked by Gruning

and Hunt, describing symmetric communication as a source and a recipient which

cannot be separated but are equal participants of a communication process

seeking(striving for) mutual understanding and proportional two-way effect

(Grunig, Grunig A. Larissa,1989). The research work, carried out under the

auspices of the paper, points at the lack of symmetric approach in internal

communication, which is marked by the research participants (not representing

the dominant coalition) as an important cause of the problem and of crisis in the

organization He opined that lack of leadership, unclear managerial style and

incomprehension of employees’ need for information created a fundamental

problem in the organization’s internal communication.

S/N Organizational
Performance
Ver High Undecided Low Very Mean Std
y low Dev.

71
high
1 Profitability 212% 128 35 5 0 5.68 0.54
(54.4) (32.8%) (9.0%) (1.3%) (0.0)
2 Sales 133% 133 63 22 11 5.49 0.71
(34.1) (34.1%) (16.2%) (5.6%) (2.8)
3 Service 193% 96 56 16 0 5.30 0.89
delivery (49.5) (24.6%) (14.4%) (4.1%) (0.0)
4 Customer 125% 152 54 26 4 5.22 0.96
loyalty (32.1) (39.0%) (13.8%) (6.7%) (1.0%)
5 Positive image 229 107 28 2 9 4.40 1.95
%
in the eyes of (58.7 (27.4%) (7.2%) (0.5%) (2.3%)
)
target audience
Overall
5.22 1.01
Average
Table 4.8 DESCRIPTIVE ANALYSIS OF ORGANIZATIONAL

PERFORMANCE.

Source: Researcher’s Field Survey 2020.

Table 4.8 represents the descriptive statistics on Diagonal Communications. The

results of the descriptive analysis revealed that 109 (27.9%) respondents indicated

that Communication among managers and workers in different functional sectors

is very high, 89 (22.8%) respondents indicated high, 64(16.4%) indicated

Undecided, 51(13.1%) indicated low and 12(3.1%) indicated very low. The

respondents on average indicated that Communication among managers and

workers in different functional sectors is very high (Mean = 5.68, STD = 0.54).

72
In addition, the results revealed 36 (9.2%) respondents indicated that

Communication with new organizational procedures is very high, 24 (6.2%)

indicated high, 98 (25.1%) indicated Undecided, 96(24.6%) indicated low and

41(10.5%) indicated very low. The respondents on average indicated that

Communication with new organizational procedures is low (Mean = 4.30, STD =

0.71). On Communication through other channels, 35 (9.0%)respondents

indicated very high, 21 (5.4%) indicated high, 49 (12.6%) Undecided ,

124(31.8%) low and 60(15.4%) very low. The respondents on average indicated

that Communication through other channels is low (Mean = 5.30, STD = 0.89).

Further, the results revealed that 56(14.4%)respondents indicated that

Communicate businesses within the organization is very high, 30 (7.7%) indicated

high, 89(22.8%) Undecided , 138 (35.4%) low and 9 (2.3%) very low. On the

average, respondents indicated that Communicate businesses within the

organization is low (Mean = 5.22, STD = 0.96). Also, 31 (7.9%) respondents

indicated that Communication with direct superiors or subordinates is very high, 7

(1.8%) indicated high, 112 (28.7%) Undecided , 135(34.6%) low and 27 (6.9%)

very low. On the average,

respondents indicated that Positive image in the eyes of the target audience is low

(Mean = 4.40, STD = 1.95).

73
4.9 Summary Table of Findings

The result of the entire hypothesis tested can be summarized in the table as we

have below: Table 4.10 Summary Table of Findings

S/N Models Apriori expectations

P < 0.5; HO1 was


Y = α0 + ß1x1 + µ ................ (1)
1 rejected

P < 0.5; HO2 was


Y = α0 + ß2x2 + µ ................ (2)
2 rejected

P < 0.5; HO3 was


3 Y = α0 + ß3x 3 + µ ................ (3)
rejected
Source: Research Study, 2023

From Table 4.10, we can see that the hypothesis proposed for models 1, 2 and 3

were rejected because their p values were less than 0.05 meaning that analysis

was significant.

CHAPTER FIVE

74
SUMMARY, CONCLUSION AND RECOMMENDATIONS

This chapter summarizes the analysis and interpretation of the study and provides

recommendations for the problems identified in the study and suggestions for

further areas of research.

5.1 Summary

The study focuses on Communication and Organizational Performance in

Nigerian bottling company, Abuja, Nigeria. Communication refers to exchange of

information by speaking, writing, or using some other medium. It also signifies

sending or receiving documents, for example through use of computers. The

variables used to measure communication are horizontal communication, vertical

communication and diagonal communication. Organizational performance is the

actual output or results of an organization as measured against its intended outputs

(or goals and objectives). The first chapter deals with the background of the study,

identified appropriate problems related to the study, outlined the objectives of the

study, formulated appropriate research questions and hypotheses. The chapter also

highlighted the scope and significance of the study and gave operational

definition of terms and variables used in the study.

The second chapter conceptually and empirically reviews related literatures

relevant to the communication and organizational performance including


75
variables considered in the study. Relevant theories related to the study were

identified and a conceptual model of communication and organizational

performance was constructed based on the review of the extant literature.

Chapter three presents the methodology used in the study. The chapter presents

research design, sources of data, method of data collection, population of the

study, sample size, sampling technique, method of data analysis, study variables

and measurement/model specification, validity and reliability of research

instrument and limitation of the study. The study adopts descriptive survey

research design. The population for the study is six thousand and twenty six

(6,026) consisting of management personnel as well supporting personnel

working at the strategic and operational level within the firm. Taro Yamane

(1967) formulae for sample size determination, was adopted for determining

sample size for the study. Based on the population estimate, the study arrives at a

sample size of four hundred and eighty eight (488) units. Stratified sampling

technique was also used in determining sample size proportions. The study made

use of a six point questionnaire for collecting data and simple linear regression

analysis was chosen to determine the relationship between identified hypotheses.

Chapter four presents the analysis, results and discussion of major findings. The

analysis was done through descriptive and inferential statistics. Descriptive

analysis interpreted the respondent demographic information. The use of


76
percentages and frequency distribution tables aided with the statistical package for

social sciences (SPSS) was used in analyzing and interpreting data. Inferential

analysis was used to determine possible effect of variables of communication on

variables of organisational performance in the selected manufacturing companies

through the employment of simple linear regression analysis. Data generated from

the questionnaire was sorted, arranged, coded, analyzed and substituted in the

functional equations to obtain simple regression models and establish statistical

significance of communication and organisational performance variables and the

final acceptance or rejection of the hypothesis were made.

From the analysis carried out the study reveals that 208 (53.3%) of the

respondents were male, 160 (41.0%) were between the ages of 31-35 years, 156

(41.0%) had the MSc / MBA and 208 (53.3%) surveyed were married. The study

established resultant effect of communication on organisational performance of

the selected manufacturing companies. The result also showed that the two

independent variables established a positive effect with the dependent variable.

Here are the results of hypothesis testing:

i. Horizontal communication will significantly have effect on organisational

performance in the manufacturing industry at a significant (sig =0.000 <

0.05),

77
R2 =0.384 and t-statistic=5.970

ii. Vertical communication will significantly have effect on organisational

performance in the manufacturing industry at a significant (sig =0.000 <

0.05), R2 =0.297. and t-statistic=6.670

iii. Diagonal communication will significantly have effect on organisational

performance in the manufacturing industry at a significant (sig =0.000 <

0.05), R2 =0.524. and t-statistic=20.647

5.1.1 Implication of Findings

The findings have implications for policy makers and management of Nigerian

bottling company on the importance of communication and how best to manage

the factors so as to achieve and maintain sustainable organisational performance

over time.

5.1.2 Policy makers

Coordinated policies and strategies promote the comprehension and also the

adaptability of manufacturing companies to approach organisational performance

in a regulatory manner. It presents manufacturing companies opportunities to

operate within the confines of governmental policies to favour both local and

foreign manufacturing industries. These regulatory systems give every

78
manufacturing company the same opportunity for their technology to facilitate

their business operations, sustainable business advisory and training services,

simplified regulations as well as affordable relevant infrastructure. Coordinated

policies encourage research for the growth of any successful company.

5.1.3 Manufacturing company

This study provides for managing of manufacturing companies and business

professionals; this study also provides an intriguing insight into communication

that affects their ability to achieve organisational performance among competitors

in the industry. Thus, manufacturing companies should place more emphasis in

re-enforcing competencies to ensure their business environment, strategies,

approach to work and staff quality are fully optimized so as to be a force to

reckon within the company in which they operate. The aim of every organization

should be to achieve organisational growth, gain adequate training, career

advancement programs and opportunities to increase their staff quality.

5.1.4 Society

This study contributes to the extant literature on communication and

organisational performance which serves as a basis for potential researchers in

Nigerian higher education institutions.

79
5.2 Conclusion

The following conclusion can be derived from the analysis:

1. There is a significant relationship between horizontal communication and

organisational performance in Nigerian bottling company, Abuja, Nigeria.

The analysis caro0This is evident in the positive relationship that was

obtained from the analysis. The regression or coefficient of determination

value that was obtained in the analysis also confirms our conclusion on the

significant relationship between horizontal communication on

organisational performance in Nigerian bottling company, Abuja, Nigeria.

2. Vertical communication significantly impacts organisational performance

in Nigerian bottling company, Abuja, Nigeria. The analysis carried out also

showed that to a great extent that vertical communication is an important

prerequisite to achieve organisational performance.

5.3 Recommendations

Based on the findings of the study, the following recommendations are to be

considered and implemented by stakeholders:

80
1. To improve the guidance of employees towards organisational goals and

mission, top management of manufacturing industries should emphasize the

importance of latent and future needs.

2. Good managers in manufacturing and service companies should help to

manage change, discuss the changes with employees, encourage

participation and place adaptable people in key posts. They should always

think about what really motivates and excite their employees.

3. The organization should be consistent and not conflicting about its

communication because it creates better awareness, reinforces the message

and helps in building a solid brand while conflicting messages confuses and

scares customers away.

4. Firms should also create inter-departmental communications to ensure that

each group is able to identify unexpected problems or challenges.

5. Proper training must be accorded to employees of manufacturing

companies. This will yield better performance results.

81
5.4 Contribution to Knowledge

5.4.1 Concept

For concepts, the reviews of relevant literature provided a wealth of information

and important background to different concepts related to communication and

organizational performance performance. The study also looked at key

communication variables such as horizontal communication and vertical

communication and how they might affect organisational performance. This study

therefore enhances the understanding of researchers and managers in companies

about these variables which help to deliver clearer, consistent and compelling

messages that can facilitate higher sales turnover. The study also introduced new

definitions for the concept of communication and organisational performance.

5.4.2 Theories

Dynamic capability theory succeeds in getting the firms to speedily coordinate

and reconfigure externally sourced competences in order to achieve short-term

competitive advantage leading to organisational development and sustainability.

Dynamic capability theory is an outgrowth of resource-based view theory. While

resource-based view theory is concerned with how a firm can achieve competitive

advantage, dynamic capability theory is more concerned about short term

82
competitive advantage that can be used to build longer term competitive

advantage for development and sustainability.

5.4.3 Empirics

This study established the communication between horizontal communication and

organisational performance. The findings also revealed that vertical

communication relates to organisational performance and also has a positive

impact on the other. This study contributes to the empirics by establishing that the

impact of communication on organisational performance is key and should be

evaluated by manufacturing companies to aid in achieving organisational growth

and development.

5.5 Limitation of the Study

The study experienced some shortcomings that limit the interpretations and

generalization of the findings and as such serve as the basis for suggestions into

further research. Some of the limitations identified in the study include:

Firstly, the use of subjective self-reported perceptual measures in assessing the

study. Even though attempts were made to identify the best respondents, the

accuracy of self-perceptions might be strongly influenced by the respondents

experience and frame of references at a point in time. Another limitation is that

83
the scope of the study is too narrow, as it considered just one manufacturing

company as result of this, the findings of the study cannot be generalized in a

larger context across the cultures of other countries, sectors and business

environment, as these may give different relationships between communication

and organisational performance of companies.

Lastly, the research model was validated based on cross-sectional data, the survey

research is limited in its capacity due to access to funding and time to accurately

reflect the prolonged formation of communication and their contribution to

organizational performance. More rigorous research, therefore, can be conducted

on longitudinal data.

5.6 Suggestion for Further Studies

To overcome the limitation of the study the researcher suggests the need for

further investigations which are:

1. Future studies should adopt the use of reliable secondary data which are

non perceptual in nature and that could reflect firms activities and

performance over time, rather than using subjective self-reported perceptual

measures in assessing the study.

2. In the study, only one manufacturing company was examined within the

sector, due to the fact that it’s possessed unique characteristics and is

84
ranked high in the industry. Future research should examine the research

variables in other research contexts, sectors, countries and business

environments so as to increase the generalizability of the findings.

3. Lastly, one of the shortcomings of cross-sectional research design is that

information or data are collected only once at different locations. Future

research could carry out this study using longitudinal research design,

which takes into cognizance performance over a period of time.

85
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