External environment is a firm’s aggregate of factors, exogenous to the organization that may have potential to affect organizational performance. The main objective of the study was to examine the effect of external environmental factors on organizational productivity in oil service firms in Port Harcourt, River State. Resource dependency theory was employed as the theoretical framework for the study. The study adopted survey research design. The population of the work constituted 1875 employees from 20 randomly selected oil service firms. The sample size for the study was 330 arrived at using Taro Yamane formula. The data generated through questionnaire were analyzed using multiple regression analysis. The findings revealed that technological factors have significant effect on organizational productivity and that political factors have significant effect on organizational productivity. The study further indicated that economic factors have significant effect on organizational productivity and that socio-cultural factors have significant effect on organizational productivity. It was therefore concluded that external environmental factors have significant effect on organizational productivity in oil servicing firms in Port Harcourt. The study recommended among other things that oil service firms should be proactive in dealing with the changes and trends in external environmental environment.
External Environmental Factors, Organizational Productivity, Technological Factors, Political Factors, Economic Factors and Socio-cultural Factors
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