An Evaluation of Employees’ Stress to the Organizational Performance

Abstract

This study delves into the intricate dynamics of employee s’ stress and its repercussions on organizational performance, with a specific focus on World Vision Tanzania. The primary objective was to comprehensively understand the factors amplifying employee s’ stress, assess the diverse impacts of stressors on both employees’ stress levels and organizational performance and establish the relationship between employees’ stress and organizational outcomes. Utilizing a mixed research approach, this research employed a descriptive survey design, targeting both management and staff members, with a total population of 120. The study's sample size comprised of 93 respondents for quantitative data, while qualitative insights were gleaned from 10 study participants through purposive sampling and in-depth interviews. The quantitative findings reveal that factors such as workload, job insecurity, and lack of control contribute significantly to employees’ stress at World Vision Tanzania. Qualitative insights corroborate these findings, emphasizing the pivotal role of work overload, job insecurity, and a lack of autonomy in shaping employees’ stress. Analyzing the effects of different stressors on the organization, the study highlights three notable outcomes: increased turnover, compromised service delivery, and diminished employees’ morale. These findings underscore the multifaceted impact of employee s’ stress on organizational dynamics. In exploring the relationship between employees’ stress and organizational performance, the study employs linear regression analysis. The results indicate a significant and negative relationship, with approximately 10.6% of the variability in organizational performance explained by employees’ stress. The standardized coefficient of -0.325 emphasizes the strength and direction of this relationship, signifying that as employees’ stress rises, there is a corresponding decrease in organizational performance. The high level of statistical significance (p-value of 0.001) provides robust evidence, rejecting the null hypothesis. Recommendations include implementing measures to alleviate the workload, addressing job insecurity concerns, and promoting autonomy for employees at World Vision Tanzania. Proactive strategies to improve organizational performance should focus on mitigating stressors identified, fostering a supportive work environment, and enhancing employees’ well-being. Continuous monitoring and assessment of stress levels, coupled with targeted interventions, can contribute to a healthier workplace, and sustained organizational success.