Title:
ORGANIZATIONAL CULTURE AND PERCEIVED FINANCIAL PERFORMANCE IN SELECTED COMMERCIAL BANKS: AN EMPIRICAL STUDY FROM NEPAL

Authors:
Rohit Kumar Shrestha, PhD and Rajesh Kumar Poudel, Nepal

Abstract:
The objectives of this research were to examine the association of corporate culture with perceived financial performance and to determine the influence of corporate culture on perceived financial performance in selected Nepalese commercial banks. This study was a descriptive and causalcomparative research design that was carried out through the survey technique. A quantitative technique was applied for this study. Primary data were used for the study. In Nepal, there are currently a total of 20 commercial banks that were statistical population organizations of the study. Among them, Agricultural Development Bank Limited (ADBL) and Rastriya Banijya Bank Limited (RBBL) as government-owned and managed banks, Prabhu Bank Limited as a public sector bank, and Himalayan Bank Limited (HBL) as a joint venture bank were taken as sample organizations. The sample size of this study was 387, which is based on the purposive sampling technique. Inferential statistics were used to analyze the data. The findings show that strong correlations were found among independent variables and perceived financial performances in sampled commercial banks. Adaptability and involvement have a significant positive influence on perceived financial performance. On the contrary, consistency has an inverse and insignificant influence on financial performance. On the other hand, mission has a positive and insignificant influence on perceived financial performance. It can be concluded that adaptability and involvement have a strong influence on financial performance, however, consistency and mission do not. Further studies may be carried out in other public and private sectors including other variables and techniques. Banking organizations have to adopt appropriate organizational culture as new managerial methods to accomplish super financial performance in the current kaleidoscope-changing circumstances.