ASSESSMENT OF HUMAN CAPACITY UTILIZATION ON ORGANIZATION PERFORMANCE OF MICROFINANCE BANKS IN KWARA STATE, NIGERIA

Abstract

The challenging environmental dynamics, had contributed considerably to identification of
human capacity utilization (person-post fit) relevance in the assessment of organization
performance. This study explores Human Capacity Utilization and Performance of Micro
Finance Banks across the three senatorial constituencies, of Kwara State. Using descriptive
and a cross sectional survey, population of study made up of 36 Microfinance Banks,,
purposely selected with not less than five (5) years operational existence from the three (3)
divisions of Kwara State. Staffs focus comprising of management staff, administrative and
technical staff. The sample size is 108 respondents, on an average of three (3) persons from
.a Microfinance Banks gotten from Researchers’ Advisers Table. Simple Random Sampling
was adopted to administer the copies of 5- options Likert Scale Questionnaire to collect
data; Multiple Regression was used to test the hypotheses. Findings shows that, from
hypothesis one and two, alternate hypothesis was accepted which states that there is
significant effect of knowledge accessibility on organizational efficiency, and that, there is
significant influence of workforce optimization on organizational profitability. The study
concludes that microfinance banks need improve their services delivery as staffs are not
fully trained, thus limiting competencies and competitiveness ability needed to meet the
bank’s target. The study recommends that the need to remain afloat and relevant to purpose
of doing business requires strong capacity development support and knowledge of
innovation ideas just like the new generational banks; hence the Nigerian Microfinance
banks need to have a well-defined organizational job structure, bank job responsibilities to
enhance human resource utilization.