Organizational restructuring and employee morale in barclays bank Kenya limited

Abstract

Organisation restructuring has become an incessant in contemporary organizations. National borders are no longer a limit to shaping organisational structures. Global organisational restructuring is often seen as a positive driving force for synergies, strategic development, competitive advantage, better shareholder value, overall effectiveness and birth of new production sites. The main purpose of the study was to evaluate the organizational restructuring and employee morale at Barclays Bank of Kenya. This research used a case study approach as the research design since the unit of analysis was one organization which is the Barclays Bank of Kenya Limited. Primary data was collected using an interview guide with open-ended questions to avoid subjectivity. The procedure involved personal interactive interviews conducted by the researcher and the interviewees. The researcher then employed content analysis as a method of data interpretation. The study established that organizational restructuring by downsizing affects the morale of employees. The study found out that trust between managers and employees are critical for effective work relationships, especially under conditions of high uncertainty or conflict; communication is one of the most dominant and important activities in organizations; employee involvement during restructuring influences employee morale and those improving employee skills through training, staff empowerment, recognition, feedback and communication; employees build trust and empowerment in the top management if they are provided for support during restructuring and this influences the employees’ morale in their work and rewarding employees almost always boosts a company's employee morale. The study made recommendations as follows: the organization must provide attractive and significant benefit packages in order to provide basic care for the employees and their dependents; promotion of a secure and functional working environment is essential for increasing morale among staff; employees must be viewed as a vital component within the institution and given a sense of value; organization should encourage open communication and abolish any barriers which may exist; The managers should encourage and motivate the line staff while carrying out their responsibilities; the management needs to set the standard and lead by example; employees are to promote morale through the expression of professionalism and positive job performance and ability to work and function as a team is essential to the corroboration of high morale.