Effect of organizational structure on organizational performance of local governments in western Uganda: A case of Sheema district local government headquarters. A cross-sectional study.

Abstract

Background

Employee efficiency plays a crucial role in an organization’s success and long-term viability. The study aims to analyze the relationship between organizational structure and organizational performance, taking the case of Sheema District Local Government.

Methodology

The study employed a cross-sectional correlational research design. The Unit of analysis was a local government, and the study targeted all local governments in Sheema District, which provided 160 technical staff from whom a sample of 115 respondents was drawn.  Data was collected using questionnaires (which were pre-tested for validity and reliability) and interview guides. Quantitative data analysis was conducted using SPSS, and qualitative data were analyzed through thematic analysis procedures.

Results

The majority of the respondents were males (62. 2%) while the females took a minority portion of 37.8%. When asked whether the employee knew who they reported to in relation to the organizational structure, 83.7% of the respondents agreed. On whether the structure clearly defined the reporting channel and whether employees know people who reported to them, 79.8% of the respondents agreed. When asked whether they got instructions from their supervisors, respondents at 71.4% with the statement. 65.3% of the respondents also agreed to the statement that the organizational structure was regularly reviewed. Correlation analysis shows that there is a significant positive relationship between organizational structure and organizational performance, based on data generated from Sheema District (r = .758**, P≤.01).

Conclusions

 If the organization is not arranged consistently with operations and processes, the performance will be negatively affected, and vice versa.

Recommendations

Local governments should always base their organizational structures on policy and also ensure appropriate budgeting for human resource needs, in addition to lobbying the central government to provide enough human resources to fill manpower gaps for the appropriate functioning of their local governments.