Thesis Title: High Performance Work Practices and Organizational Performance of Telecommunication Companies in Burundi.

Student’s Name: Yves Irakoze

Supervisors Names:

1. Dr Kadian Wanyama Wanyonyi
2. Dr. Juliana Mutinda

ABSTRACT

The telecommunication companies in Burundi have registered an unsatisfactory performance over the last few years and business survival for the service sectors heavily depends on the quality of human resources that an organization possesses. The rise in knowledge-based economies and the advancement in technology have made it a difficult task for organizations to keep a skilled and motivated workforce needed to ensure a competitive advantage. Studies on the influence of High-performance Work Practices on improved organizational performance have been conducted around the world. However, in Burundi, little research has been conducted to address this topic. Therefore, this study sought to investigate the effect of high-performance work practices on the organizational performance of telecommunication companies in Burundi. The research objectives were to determine the effect of extensive training on organizational performance, investigate the effect of performance-based pay on organizational performance, examine the effect of employee involvement on organizational performance, and evaluate the effect of flexible work arrangements on organizational performance in the telecommunication companies in Burundi. The study was anchored on the Ability, Motivation, and Opportunity (AMO) theory and was supported by the Resource-based view theory and the Social Exchange theory; which all emphasize the strategic value of human assets in ensuring improved performance. The study adopted a descriptive and explanatory research designs. The unit of analysis for this study was the telecommunication companies in Burundi, which are Viettel Burundi, Econet Wireless, and Onatel. The target population was 688 which was composed of senior managers, middle-level managers, and the operational staff in the telecommunication companies operating in Burundi. The sample size of 253 was calculated using Slovin’s formula. The study employed stratified sampling technique to build three strata where each company constituted its own stratum and a proportionate stratified method to work out the strata sample. A purposive sampling and simple random sampling were used to select respondents from each stratum. The study collected data using a structured questionnaire. Construct validity was established through KMO, Bartlett test of sphericity, and factor analysis whereas content validity was established by expert opinion. The reliability of the questionnaire was tested using Cronbach’s alpha coefficient and was above 0.7, indicating a high level of reliability. To analyze data, descriptive statistics were used to measure frequencies, percentages, means, and standard deviations.  Inferential statistics of Pearson’s Product moment correlation was used to measure the relationship between variables and the regression analysis was used to test the hypotheses. At 5% significance level, the results indicated a significantly strong positive correlation between all independent variables (extensive training, performance-based pay, employee involvement, and flexible work arrangements) and organizational performance Simple linear regression analysis concluded that high performance work practices had statistically significant effect on organizational performance of telecommunication companies in Burundi. From Multiple linear regression, it was concluded that Performance-based Pay was the highest predictor (ß=.274), then Extensive Training (ß=.264), followed by Employee Involvement (ß=.246), and Flexible Work Arrangements (ß=.141) The study recommends that telecommunication companies as well as other industries should enhance and invest more in high performance work practices by giving priority to performance-based pay, extensive training, and employee involvement. A similar study could be conducted, using alternative models, in other sectors to validate the findings and other high performances work practices not explored in this study should be investigated. Moderating factors on this relationship should also be investigated.