Effect of Organizational Structure on Employees' Productivity in Dangote Sugar Company
Abstract
This research analyzes the effect of organizational structure specifically, coordination, formalization, and specialization of jobs—on the employee's performance at Dangote Sugar Company. Following Contingency Theory, the study explores the impact of active coordination, formalized structure, and specialized jobs on performance. The study adopted a quantitative approach with a sample size of 133 participants. The data collection method involved the use of a structured questionnaire, and the analysis was done descriptively and inferentially through regression analysis, among other methods. From the results, it was established that all three factors have a considerable effect on performance with job specialization having the greatest impact (B = 0.330, p = 0.000) followed by formalization (B = 0.121, p = 0.039) and then coordination (B = 0.045, p = 0.000). These outcomes support the idea that accurately defined coordination enhances teamwork and efficiency, formalization improves clarity of actions, and specialization increases proficiency and productivity. On the other hand, the research also shows some negative consequences of too much formalization reducing flexibility as well as too much specialization reducing adaptability. The study posits that the best course of action is for companies to improve their coordination systems, practice a formalized structure that is flexible, and strategically plan job design to enhance performance. The study also provided additional recommendations such as establishing effective and proper communication systems and structured coordination systems for Dangote Sugar Company. Regular interdepartmental meetings, along with digital collaboration tools, clear communication channels, and well-established reporting lines will help eliminate functional redundancies and facilitate efficient workflows within the organization.
How to Cite This Article
Adi Daniel David, Daniel Ruth Tsokwa, Sunday Siman, Solomon Sylvester (2025). Effect of Organizational Structure on Employees' Productivity in Dangote Sugar Company . International Journal of Management and Organizational Research (IJMOR), 4(3), 102-108.