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The Impact of External Environment, Organizational Structure, People and Technology on Performance of FMCG Companies in Nigeria

Year: 2025
Type: article
Abstract: This study investigates how the external environment, organizational structure, people, and technology impact the performance of Fast-Moving Consumer Goods (FMCG) companies in Nigeria. A quantitative approach surveyed 291 top-level managers from a population of 1207, employing a structured questionnaire and statistical analysis via SPSS, focusing on linear regression to evaluate the relationships between variables. The results indicate that all four factors significantly and positively influence organizational performance. Specifically, a decentralized and adaptive organizational structure and a dynamic external environment were strong predictors of improved performance, aligning with contingency theory principles. The findings also emphasize the importance of human resources; effective HR management practices, especially within a supportive and flexible organizational context, markedly enhance performance. Technology, while positively affecting performance, shows optimal impact when aligned with organizational structures that effectively integrate technological innovations. In conclusion, the study emphasizes the critical role of aligning external environment, organizational structure, people, and technology to boost organizational performance. Implications highlight the need for FMCG firms to adopt decentralized, adaptive structures and integrate strategic HR practices. Technological investments should align with organizational changes to maximize benefits. Recommendations include fostering adaptive structures, strategically integrating HR practices, aligning technology with organizational frameworks, and continuously adjusting organizational strategies to external environmental dynamics for sustained competitive advantage.
Authors: Fajembimo, Akinniyi Isaac
Institution: Babcock University
Language: English
Open Access status: diamond
OpenAlex ID: W6893247410
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