Organizational culture, psychological contract, and organizational commitment in telecommunication companies in Uganda.

Abstract

The study was quantitative with a purpose of examining the prevalent types of organizational culture and psychological contract, and the relationship between organizational culture, psychological contract, and organizational commitment of employees in the telecommunication companies of Uganda. Objectives were; to examine the prevalent cultural dimension, to assess the prevalent psychological contract, to examine the influence organizational culture has on the psychological contract, to investigate the relationship between organizational culture and organizational commitment, to examine the influence of psychological contract on organizational commitment, and to investigate which dimension of organizational culture and psychological contract is a better predictor of organizational commitment in Uganda’s telecom industry. A cross sectional survey design was employed and findings revealed that; the prevalent dimension of organizational culture was hierarchical, the relational contract was prevalent, organizational culture had a positive significant relationship with the psychological contract, there was a positive significant relationship between organizational culture and organizational commitment, the psychological contract had a positive significant influence on organizational commitment, and the clan cultural dimension was a better predictor of organizational commitment.

It was concluded that much as the companies in the telecom sector wanted to enforce efficiency through rules and procedures, the individual employees preferred a warm and familial working practices. The study recommended the adoption of a clan type of culture more than the hierarchical one because clan cultures are related to affective responses such as organizational commitment.