THE IMPACT OF ORGANIZATIONAL CULTURE ON HUMAN RESOURCE MANAGEMENT PRACTICES IN PAKISTAN: A COMPARATIVE STUDY OF PAKISTAN INTERNATIONAL AIRLINE CORPORATION (PIAC) AND NATIONAL INSURANCE COMPANY LIMITED (NICL)

Abstract

This research is focused on the issues of organizational culture and its impact on the human resources management (HRM) practices, especially in the organizations in Pakistan. After a thorough literature review, the research objectives, methodology and hypothesis were selected and through a questionnaire the selected organizations viz; Pakistan International Air Line Corporation PIAC and National Insurance Company Limited NICL) were investigated. Both are the public organizations where thousands of the employees are working together those having different ethnic background, languages and culture but they all have to adapt the organizational culture to carry on their role efficiently and to see the impact of organizational culture on HRM practices in Pakistan. A survey questionnaire was designed and used which was based on 5 point liket scale. The data analysis comprises on the characteristics of sample size the demographic characteristics of the survey and the results shows that the majority of the respondents are male, young, qualified and the research is concentrated on marketing, management and technical staff. The data analysis for the ANOVA and Correlation was carried on computer packages using the Excel program. Meanwhile ANOVA was used to find out the level of significance of variance about the socio- culture adaptation, human resource management and organizational culture in organizations viz; PICL & NICL. To test and get the proper results some reliable statistical methods such as descriptive statistics and inferential statistics were used for this purpose the Pearson correlation and ANOVA are very important. The results of P-value of socio-culture adaptation are statistically significant for PIAC and NICL, that results of PIAC shows the p-value 0.00114, which is less than 0.05 at significant level and this result have rejected the Null hypothesis of PIAC. The results of NICL p-value is 0.7271 which is larger than 0.05 significant level that result have accepted the null hypothesis. The hypothesis was “The socio-culture adaptation in organization is statistically not significant for the organizational development”. The result of p-value of HRM practices shows that the PIAC p-value is 3.42 on 0.05 significance level which accept the null hypothesis where as the results of NICL in p- value is .009394 at 0.05 at significance level which rejects the null hypothesis that xvwas “The organizational efficiency is significantly correlated with the socio-culture adaptation and HRM practices in the organization.” The result of organizational culture study shows that at the 0.05 significant level the p-value of PIAC is 2.13 which accept the Null hypothesis and at NICL, the p-value is 4.8 which also accept the null hypothesis. The said hypothesis was “the positive behavior of employees towards organizational culture in perceived to be significant when organizations perform well” is accepted in both the organizations. The other results of ANOVA have confirmed the results of p-value as mentioned in the study. Key words human resources management, organizational culture, socio-culture adaptation, organizational behavior, ANOVA, p-value, correlation, descriptive and inferential statistics.