The Perceived Relationship between Employee Relationship Management Practices and Job Satisfaction: A Case Study of Selected Private Commercial Banks in AddisAbaba.

Abstract

The main objective of the study is to assess the perceived relationship between employee’s
relationship management practices and job satisfaction in selected private Banks in Addis
Ababa. To achieve the objectives of the study and to answer the basic research question the
researcher used explanatory research design, mixed research approach, questionnaires
and interview, exploratory and narrative approach, frequencies, percentage, mean, and
standard deviation, Pearson correlation & multiple regression analysis. The mean scores
for leadership style was greater than the rest of variables indicating that respondents are
satisfied with the leadership style practice of the selected private banks followed by HR practices, trust, communication, and shared goals and vision. The findings of the study indicated
that there is positive and significant correlation between Shared Goals and Values, Leadership Style, Trust, Communication and HR Practices and the dependent variable (job satisfaction) in the selected private banks at 1% level of significance. This implies that Shared
Goals and Values, Leadership Style, Trust, Communication and HR Practices and job satisfaction is going hand in hand in the selected private banks. The value of R Square is 0.771.
From this figure one can conclude that the explanatory variables jointly explained 77.1%
job satisfaction. The findings of the study show that all of the explanatory variables Shared
Goals and Values, Leadership Style, Trust, Communication and HRPractices had significant effects on job satisfaction. On the other hand, the results of regression analysis revealed that variables Shared Goals and Values, Leadership Style, Trust, Communication
and HR Practices had positive effect on job satisfaction. In addition, the result indicated
that Shared Goals and Value and HR practices are the most predicators of job satisfaction
in the selected private banks. ERM can work by strengthening and increasing the relationship between organizations and their employees. To reap the required objectives from ERM
there is a need to implement them according to strategy. Many companies-built strategy by
keeping an eye on their employees. The results of the research reveals that if ERM components (HR practices, communication, trust, shared goals and values and leadership styles)
are implemented in organizations and managers give it high attention it can enhance ERM
status in organizations through help employees job satisfaction in achieving tasks and targets set for their job positions and helps in developing effective communication channels
and systems so that information needs of employees are met. Banks should have clear
model for ERM. This model should contain every aspect for the employee relationships
where ERM must be a new concept the organizations adopt and implement where the employees are the key success of any organization.