Abstract:
The main objective is to examine the effect of teamwork on organizational performance in the case of
Abay Garment Factory S.C. in Gondar city. The study used quantitative research approaches using
both descriptive and explanatory research design. The study based on goal setting theory. Target
population of the study was employee of Abay Garment Share Company. The study used simple
random sampling technique and selected 210 representatives from population. Quantitative data
collected through Likert scale questionnaire. After collection of data both descriptive statistical
analysis and inferential statistical analysis was used. Descriptive statistics of frequency, mean and
standard deviation and inferential statistics of correlation and multiple linear regressions was used
through SPSS 20. Based on the findings of the study, teamwork significantly enhances organizational
performance at Abay Garment Share Company, with team leadership and communication being the
most influential factors. Abay Garment Share Company should prioritize strengthening team
leadership and structured communication to maximize performance outcomes.