The Impact of Human Relations Practice on Organizational Performance: Evidence from Rural Banks in Ghana

Abstract

Human relation is a definitive management function which help to establish and maintain a mutual line of communication, understanding, acceptance and cooperation between and organization and its human. The purpose of the study was to investigate the impact of human relations practices on organizational performance in selected Rural Banks in the Ashanti Region of Ghana. The study used a quantitative research approach and a non-probability sampling method. The demographic data was evaluated using frequencies and percentages, while the Statistical Package for Social Sciences (SPSS) version 26 was used for the analysis. The study found that effective human relation practices and policies have a significant positive impact on employee satisfaction and ultimately improve the overall organizational performance of banks in the rural areas. It was recommended that organizations should educate their employees on the importance of human relations and how it can improve productivity. Also, management of the selected rural banks should prioritize employ-ee engagement, by creating a positive work environment, providing job security and opportunities for training and development.