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EFFECT OF
GOOD HUMAN RELATIONS ON ORGANIZATIONAL PERFORMANCE
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
According to
Onasanya (1990) human relations consist of the relationship between an
individual and another and a group of people at the work place, social
gathering or community. He stated that good human relations between staff and
management will result in mutual understanding and cooperation which will lead
to the attainment of organizational performance. This implies that the
organization management will have to maintain good relationship with all
members of staff at all levels in the organization. Hicks and Byers (1972),
postulate that human relations requires the integration of all employees into
the organization so as to motivates them to work cooperatively so as to attain economic, psychological and social
satisfaction. They emphasized that many factors influence a person’s behavior
and attitude such as appearance, health, emotion, age, sex, education,
religion, nationality and culture and environment, also frustration leads to
resentment among staff. Consequently the fundamental objective of human
relation is to create a sense of belonging and commitment among staff so that
they can feel they are important to the organization. This requires essentially
building a participative and integrated workforce. Organizational performance
is viewed as the actual output or results attained by a firm when compared with
the intended outputs, goals and objectives. According to Richard et al. (2009),
three essential areas of outcomes: 1 shareholder return (total shareholder
return, economic value added, etc. 2 financial performance (profits, return on
assets, return on investment, etc.); 3 product market performance (sales,
market share, etc.); constitute organizational performance. The research
therefore seek to investigate the Effect
of good human relations on organizational performance with a case study of prudent energy oghara
1.2 STATEMENT OF THE PROBLEM
The practice
of many organization using the traditional method of management propounded by federick Taylor with
emphasy of maximizing output through the
efficient management of the production process without regard to the human
factor constitute one fundamental reason for poor human relation in many
organization. A significant drift occurred to proffer solution to the
deficiency of the classical approach to management when the human relations
theorists led by Elton Mayo emphasized the human factor as social being which
need to be recognized and given the environment to interact with fellow workers
cooperatively to proffer solution to common problem at work. This they
advocated will lead to employee motivation, satisfaction and productivity. This
implies that even with the best of technology, if the human beings or workers
needs are not given attention organizational goals may not be achieved.
Consequently human relation was considered to be vital in providing the worker
a sense of belonging to the organization. They were of the opinion that worker
is interested in the satisfaction of their social needs at work, and of
influence of group members; Therefore the management must create an environment
for people to satisfy their social needs. Gullerman (1966) therefore views
human relations as the way employee think, respond and interact with each
other. Consequently with the advent of the human relations it was vital to consider workers not only as a factor of production, but as human beings with
feelings,wants,attitude,and desire, which need to be attended to by both the
management and organizational members so as to enhance mutual understanding,
integration and satisfaction of workers .Therefore the advent and growth of the human relations movement led to
the recognition and fulfillment of employees needs which actuated employee motivation and productivity resulting
in organizational performance. Consequently the problem confronting the
research is to appraise the Effect of good human relations on organizational
performance (a case study of prudent energy oghara)
1.3 OBJECTIVES OF THE STUDY
To determine
the Effect of good human relations on organizational performance (a case study
To determine
the effect of good human relation on the organizational performance of prudent
energy oghara.
1.4 RESEARCH QUESTIONS
What is the
nature of the effect of human relation on organizational performance?
What is the
nature of the effect of human relation on the organizational performance of
prudent energy oghara?
1.5 SIGNIFICANCE OF THE STUDY
The study is
particularly significant considering the vital role of the human resource in
accomplishing the aims and objective of the organization
Therefore
the recognition and fulfillment of employees needs leads to good human relation
in the organization and consequently organizational performance. No
organization ever succeeded without the effective contribution of its employees
1.6 RESEARCH HYPOTHESIS
Ho The
effect of human relation on the organizational performance of prudent energy
oghara is negative
Hi The
effect of human relation on the organizational performance of prudent energy
oghara is positive.
1.7 SCOPE OF THE STUDY
The study
focuses on the appraisal of the effect of human relation on organizational
performance with a case study of prudent energy oghara
1.8 LIMITATIONS OF THE STUDY
The study
was confronted by some constraints including logistics and geographical
factors.
1.9
DEFINITION OF TERMS
Organizational
performance is viewed as the actual output or results attained by a firm when
compared with the intended outputs, goals and objectives. According to Richard
et al. (2009), three essential areas of outcomes: 1 shareholder return (total
shareholder return, economic value added, etc. 2 financial performance
(profits, return on assets, return on investment, etc.); 3 product market
performance (sales, market share, etc.); constitute organizational performance.
HUMAN
RELATION
Human
relations consist of the relationship between an individual and another and a
group of people at the work place, social gathering or community. He stated
that good human relations between staff and management will result in mutual
understanding and cooperation which will lead to the attainment of
organizational performance. This implies that the organization management will
have to maintain good relationship with all members of staff at all levels in
the organization.
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