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     2026:7/2

International Journal of Multidisciplinary Research and Growth Evaluation

ISSN: (Print) | 2582-7138 (Online) | Impact Factor: 9.54 | Open Access

An Examination into the Effects of Organizational Culture on Financial Performance: A case of Nitrogen Chemicals Zambia Limited

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Abstract

The study aimed at determining the influence of organizational culture on the financial performance in the Zambian parastatal sector using the case of Nitrogen Chemicals of Zambia. To achieve this, the research objectives were; to explore the challenges encountered by Supervisors in driving a positive organizational culture at Nitrogen Chemicals of Zambia; to assess the nature of the relationship between organizational culture and financial performance of Nitrogen Chemicals of Zambia; to establish organizational cultural factors that predict financial performance at NCZ. The concurrent mixed method design which allows the collection and analysis of both quantitative and qualitative data simultaneously was used. The researcher used a combination of stratified and purposive sampling techniques, due to the pragmatic research approach that was adopted. The sample size was derived from the target population of 420 employees at NCZ using the Taro Yamane’s formula, and 204 participants were involved in this study as per calculation. The sample size for the qualitative data was 15. This was determined using theoretical data saturation concept. The study employed questionnaires and interviews for primary data collection and annual reports, the strategic plan for NCZ for secondary data collection. To analyze the data collected using qualitative and quantitative methods, thematic, correlational analysis, and binary logistic regression analysis were used. The study findings revealed that organizational culture does have an effect on financial performance at NCZ. However, this effect is dependent on the measure to which the various aspects of organizational culture have been exercised. Using SPSS version 24, the results obtained demonstrate that a strong and positive organizational culture plays a role in improving the productivity, satisfaction, and engagement of employees. It also has a direct influence on the attainment of the company’s objectives, its longevity, and its profitability. The study concluded that certain cultural aspects such as employee satisfaction, employee commitment and employee engagements could provide valuable insights that could inform strategies for improving the company’s overall financial performance and contribute to the broader discourse on the role of organizational culture in parastatals and the internal challenges that happen between supervisors and employees during the enforcement process. The following recommendations were made: A change management strategy must be implemented; implementing an information dissemination strategy; Implementing a performance management system; infusion of both clan and market cultures as this would help foster great teamwork and strong employee engagement, which are important drivers of employee and organizational performance; NCZ needs to diversify.

 

How to Cite This Article

Rhoda K Mwale, Moses Phiri (2025). An Examination into the Effects of Organizational Culture on Financial Performance: A case of Nitrogen Chemicals Zambia Limited . International Journal of Multidisciplinary Research and Growth Evaluation (IJMRGE), 6(3), 81-92.

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