Organizational Culture Development and Employee Retention in Rwanda’s Public Sector: Analysis of the Central Bank of Rwanda

Abstract

This study evaluates the influence of organizational culture development on employee retention at the Central Bank of Rwanda (CBR),  focusing on communication style, leadership effectiveness, and diversity and inclusion. A cross-sectional research design combined  quantitative and qualitative methods. Data were gathered from 108 respondents using structured questionnaires and interviews,  supported by secondary sources from 2018-2023. Quantitative data were analyzed using descriptive and inferential statistics, including  Pearson correlation and regression analyses, while qualitative insights explored participant perspectives. Key organizational culture factors examined included structure, leadership, communication, and values, and they were assessed against employee retention  indicators such as tenure, engagement, and performance. The study's regression analysis revealed that organizational culture  significantly influences employee retention, with an R-squared value of 0.664 and a notable F-value supporting the model's effectiveness.  Findings highlight the critical role of communication, value alignment, and collaborative culture in improving retention. The study  recommends enhancing communication and engagement, aligning organizational values with operational activities, and leveraging demographic diversity. Promoting supportive culture policies, best retention practices, and targeted training programs are emphasized  as strategies to foster employee satisfaction and organizational loyalty. Ultimately, the research underscores the importance of  organizational culture development as a vital strategy for improving retention outcomes, highlighting the need for sustained investment  in culture enhancement and effective communication.