A Study of Factors Influencing Organizational Effectiveness in Indian Banks

Abstract

The purpose of the present study is primarily aimed to study the factors which influence the organizational effectiveness. The methodology comprised of the extant literature review of studies on organization effectiveness. In exploratory phase 11 baseline factors were established followed by the qualitative study in order to identify the items contributing to these factors. The present study also tried to explore the occurrence in the perceptual differences in Organizational effectiveness due to the demographic variable. In addition this study also examined the influence of these identified factors on the performance of the banks. The performance of the banks was assessed in terms of profitability. For the purpose of the study primary responses were collected from 503 Indian Bank managers of 10 Indian banks located in Uttarakhand region India. Due to the vast population size random sampling has been preferred for the study. Collected responses were analyzed using SPSS 20.0 and AMOS 20.0. After asserting the appropriateness of the collected data descriptive statistics were calculated. Next to this exploratory factor analysis and Confirmatory factor analysis were employed respectively to obtain the factor structure. Then the hypothesis were tested CFA second order was applied to specify OE as a second order factor measured by its 11 factors. Tests of differences such as independent t test and one way ANNOVA and linear regression were employed. Consecutively research findings indicates CFA model fit indicators for the proposed factors as the determinants of Organizational effectiveness were found good according to the recommended values. The measure exhibited inclusive psychometric properties as per the results from the varied reliability and validity checks. The perceptual difference in organizational effectiveness was exhibited due to demographic traits.