Employees’ Involvement in Decision Making and the Performance of Selected Small-Scale Enterprises in Lagos State, Nigeria

Abstract

The study examined the effect of employees’ involvement in decision making on the performance of selected small-scale enterprises in Lagos State, Nigeria. Structured questionnaire was used to collect data from 253 respondents out of 6,746 registered small-scale enterprises through multistage sampling method. Simple regression analysis was used to analyze the data collected in order to examine the effect of independent variable (employees’ involvement) on dependent variable, performance (profitability and market share). The result showed that the predictor variable namely employees’ involvement has 54.6 percent variance of selected small-scale enterprises’ performance. From the findings of the study, it can be concluded that employees’ involvement in decision making has significant effect on the performance of selected small-scale enterprises. In line with this, the study, therefore, recommended that small scale business owner/managers should pay particular attention to the need for involving their employees in decision making processes.