Influence of Participatory Decision-Making on Organization’s Productivity in Nigerian Public Sector: A Study of Nigeria Deposit Insurance Corporation (NDIC)

Abstract

The ecology of administration maintains that organisations are constantly in relationship with the
environment in which they exist. This is true because the complexity of environmental dynamics prompts
the organisation to engage in problem-solving mechanisms that necessitate a well-structured decisionmaking process that involves stakeholders’ participation. To this extent, this study examines the impact of
participatory decision-making on organisational productivity, using the NDIC as a springboard. Relying
on the Theory of Reasoned Action (TRA) and the cross-sectional research design, the study elicited
information from 226 respondents using a structured questionnaire. The research established that, with a
correlation coefficient of 0.913 and a p-value < 0.5 (0.000), there is a strong positive relationship between
active policy formulation and an organisation’s productivity. Also, with a correlation coefficient of 0.896
and a p-value < 0.5 (0.000), the study ascertained a strong positive relationship between participatory
decision-making and organisations’ productivity in NDIC. The study concludes that organisations with
participatory decision-making tend to have unified workers with effective team spirit, thereby boosting
productivity. The work recommends that organisations should endeavour to formulate policies that will
encourage active participation in decision-making. Also, organisations should ensure that impediments to
participatory decision-making are properly managed. Lastly, organisations should prioritise participatory
decision-making in all endeavours.