Effect of Employee’s Commitment on Organizational Performance: A Case of Selected Public Service Sector, Guji Zone, Oromia, Ethiopia

Abstract

This research investigates the effect of employee commitment on organizational performance in a specific public sector in Oromia, Ethiopia's Guji Zone. Using an explanatory sequential method design and a quantitative research approach, survey data from 398 respondents at the zonal and district levels were chosen using probability sampling procedures. Of these, 390 responses were valid. The structural equation modeling (SEM) analysis utilizing SPSS v26 and AMOS v23 was based on the three-component model of dedication and the Balanced Scorecard framework. The results showed that normative commitment had the biggest positive effect on organizational performance (β =.255, p <.001), followed by emotional commitment (β =.197) and continuance (β =.231).There are important theoretical and practical implications to these findings. Normative commitment should be given top priority by public sector managers in the research area through staff practices that respect community service and include local norms into organizational effectiveness performance reviews. Based on the finding, meaningful work and supportive leadership can generate affective engagement, assurances of clear career advancement, job stability, and pension benefits can encourage ongoing commitment. In order to improve organizational effectiveness, it is advised that public sector executives be required to establish strategic intentions that are in line with merit-based placement, innovation, health and safety, transparent hiring, and motivational systems on HRM practices.