Premium Essay

Employee Motivation and Performance

In:

Submitted By avanisidd
Words 17870
Pages 72
[pic]

Master of Business Administration (MBA)

An analysis of the Effects of Rewards and Compensation on Employees’ Motivation and Performance

Dissertation submitted in fulfillment of the requirements to the University of Wales for the award of the Degree
Of
Master of Business Administration (MBA)

April 2012

DECLARATION

This work has not previously been accepted in substance for any degree and is not being concurrently submitted in candidature for any degree.

|Signed | |(Candidate) |
|Date | | |

STATEMENT 1

This thesis is the result of my own investigations, except where otherwise stated. The correction services have been used, the extent and nature of the correction is clearly marked in a footnote(s). Other sources are acknowledged by footnotes giving explicit references. A bibliography is appended.

|Signed | |(Candidate) |
|Date | | |

STATEMENT 2

I hereby give consent for my thesis, if accepted, to be available for photocopying and for inter-library loan, and for the title and summary to be made available to outside organizations.

|Signed | |(Candidate) |
|Date | | |

Candidates on whose behalf a bar on access has been approved by the University should use the following version of Statement 2:

I hereby give

Similar Documents

Premium Essay

Impact Of Motivation On Employee Performance

...Backround of study Motivation is the answer to the development in work performance among employees. Many research and observations have shown that employees who are well motivated perform efficiently and are more productive in their work place. Employees’ motivation has been a major interest among organizations. Many organizations search for the best ways to improve job performance and productivity. The term ‘motivation’ was initially derived from a latin word ‘movere’ meaning to ‘move’. The achievement and the survival of any organization are normally defined by the workers amount of commitment the individuals put into it and the productivity of the workers. The compensation given to the employees and...

Words: 1172 - Pages: 5

Premium Essay

Impact of Motivation on Employee Performance

...Global Advanced Research Journal of Management and Business Studies Vol. 1(4) pp. 126-133, May, 2012 Available online http://garj.org/garjmbs/index.htm Copyright © 2012 Global Advanced Research Journals Full Length Research Paper Impact of Motivation on the working performance of employees- A case study of Pakistan. Akbar Ali1, Maira Abrar2 , Jahanzaib Haider 1 Bahaudin Zakariya University, Multan, Sub-Campus, Dera Ghazi Khan, Pakistan. Tel: 92-331-7304678, 2 3 Bahaudin Zakariya University, Multan, Sub-Campus, Dera Ghazi Khan, Pakistan. Bahaudin Zakariya University, Multan, Sub-Campus, Dera Ghazi Khan, Pakistan. Tel: 92-331-3312626, Accepted 10 April, 2012 Motives are key to human behavior. It plays an important role in performance and other activities and as such the manager should know what motivation is and how subordinates can are motivated towards performance. This study investigates the role of motivation on employees’ performance as the history of explaining human or animal behavior is not new.” why did one do what one did “had been the subject of working even in the past, some human behavior was explained as an outcome of demos impedance and this explanation was unscientific. Efforts were also made to determine principles which could explain human behavior. McDougall emphasized that man’s social behavior can be explained in terms of instincts which was later on criticized. Freud used “unconscious metal process” to explain behavior especially...

Words: 3951 - Pages: 16

Premium Essay

Employee Motivation and Organisational Performance

...Executive Summary This report discusses and examines employee motivation in an IT organisation. The report examines the benefits of employee motivation followed by the various theories concerning motivation. The initial portion of the report focuses on the benefits of employee motivation which is followed by a discussion of motivation theories – content theories and process theories. The report further tries to outline the various options or methods followed by organisations to drive higher levels of motivation among the workforce. The methods included in the report addresses the various rewards and recognition options, use of scorecards, fun and recreational activities, communication channels, learning and growth opportunities and corporate social responsibility as methods to effectively drive employee motivation levels. The report recommends the establishment of a basic framework with respect to hygiene factors of a workplace in order to successfully drive initiatives to motivate workforce. Further, the report concludes on the note that various other factors including cultural, political, social and spiritual needs should be considered while arriving at a combination of methods to drive higher levels of motivation. Success of the initiative would depend upon the appropriateness of technique and timeliness beyond other factors. Table of Contents Executive Summary ..........................................................................................

Words: 2957 - Pages: 12

Premium Essay

Pay for Performance: Effect on Employee Motivation

...Pay for Performance: It’s Effect on Employee Motivation Name Course Title Professor’s Name Date Pay for Performance: The Effect on Employee Motivation Managers are continuously looking for ways to motivate their employees. Many methods have been tried and many methods have failed. Consequentially, human resource professionals and managers continue to work to develop effective performance management systems which serve to motivate employees, with an end result of improved morale and increased productivity. Designing an effective performance management program, combined with the appropriate compensation methods, can serve as tools to inspire and motivate employees to improve and/or maintain the highest levels of performance. Compensation administrators are encouraging the use of pay-for-performance plans to meet this goal. Pay-for-performance plans motivate employees to be productive and perform at higher levels by linking their pay directly to their pay. The idea behind pay-for-performance plans is that money serves to motivate employees to perform. Maslow’s theory of motivation “suggests that employee needs are arranged in priority order such that lower-order needs must be satisfied before higher-order needs become motivating” (Leonard, 2010, p. 121) with the lowest level of needs being basic biological needs and the highest level being self-fulfillment. When an individual is on the lower levels of the spectrum and trying to fulfill his/her basic...

Words: 4107 - Pages: 17

Premium Essay

Manager’s Personality Affects Organizational Performance and Employee Motivation

...organizational performance and employee motivation ” we need to have a clear idea what each component of the topic means. If we break down the topic the key words are : A manager is a person in an organization who directly supports, supervises and helps activate the work efforts and performance accomplishment of others. (Schermerhorn, 2010) A manager performs the functions of planning, organizing, leading and controlling. A manager plays interpersonal, informational and decisional roles. An effective manager successfully helps others achieve high performance and satisfaction in their work. For a manager to have high performance they need communication, teamwork, self management, leadership, critical thinking and professionalism. Personality is the profile of characteristics making a person unique from others. (Schermerhorn, 2010) According to Gordon Allport, personality is the dynamic organization within the individuals of those psychophysical systems that determine his unique adjustments to his environment. It is important for managers for : Hiring decisions : help managers forecast who is best for a job and Better understand and effectively manage the people working. Personality is rooted to heredity however it does change over time. Organizational performance is a process of value creation. (Schermerhorn, 2010) There are three ways in which this can be measured : Productivity - quantity and quality of work performance with resource utilization considered, Performance effectiveness...

Words: 329 - Pages: 2

Premium Essay

Performance Management: Linking Rewards to Performance

...Name: Professor Name: Course/code: Date: Performance Management: Linking Rewards to Performance The goal of this project is to provide Human Resource Professionals with useful guidelines for developing and implementing performance management through rewards. Performance Management are the strategies and techniques that emphasizes on performance of employees as a way of achieving managerial goals and objectives (Murlis p.78). Performance management also refers to perfecting, harmonizing and promoting quality of employee work to ensure customers satisfaction thus leading to high return to stockholders. Performance management foster clarification of task and expectations, improvement of individual and organizational productivity and provides a basis for making employee-related decisions (Shippmann p.605). In conclusion Performance Management uses Human Resource strategies such as reward systems and performance Appraisal to motivate employees towards performance. Performance management can be viewed as a tool to improve on employee motivation for high performance (Cokins, p.58) With the view of finding out the impact of rewards I conducted an interview with the Human Resource Manager, Mr Brandon Jefferson of Coca Cola Kenya branch. Mr. Jefferson said that Coca Cola performance largely depends on employee inputs and outputs. He said that their employees are rewarded annually through intrinsic and extrinsic rewards. He noted that at the beginning of the year the company records...

Words: 1808 - Pages: 8

Premium Essay

Ldr 531 Creating a Plan for Positive Influence

...workplace helps maintain a team’s motivation, satisfaction, and performance. Leaders in the workplace must ensure employees are properly inspired to complete the task at hand. This paper will show the importance and capacity motivation, satisfaction, and performance has on a team. Motivation Employee motivation increases employee satisfaction. Various ways managers and leaders can motivate employees are job security benefits, recognition of hard work, compensation, paid time off, and a safe work environment (Heathfield, para. 8). Different forms of motivation work for different people because everyone has separate interests so managers must keep this in mind when motivating teams to achieve the tasks or goal. Any team thrives on motivation and only good communication can foster motivation. According to (Robbins & Judge, 2011), “Communication fosters motivation by clarifying to employees what they must do, how well they are doing, and how to improve performance if it is subpar.” Motivation creates satisfaction and enhanced performance for employees and the team. Satisfaction A satisfied employee tends to perform better and brings more productivity to the team because a satisfied employee creates a good work environment. Employee satisfaction is defined as the individual employee’s general attitude toward the job (HumanResources, para. 2). Improving employee satisfaction is beneficial to the organization and managers can improve employee satisfaction by making an acquaintance...

Words: 639 - Pages: 3

Premium Essay

Leaders as Motivators

...is via motivation. When a leader motivates, he/she wields an implied sense of power, albeit organizational or personal. To motivate effectively, leaders must be cognizant that motivation requires a physical action, there must be a need by employees to want to be motivated, and there must be an emotional commitment to be motivated (Filson, 2013). It goes without saying, the process of motivation requires more than a leader’s action eliciting a reaction to accomplish a task by an employee. To motivate, a leader must understand the inner workings of people management and performance. This begins with understanding the theories of motivation. Theories of Motivation Motivation theories explain individual performance and the amount of effort as well as the direction the performance exhibits. Motivation theories are subdivided into categories (contact, process, and behaviors). This handbook will concentrate on behavior. In other words, how one makes decisions to achieve what one wants. The process is best explained via the Expectancy Theory, Goal-setting Theory, and the Equity Theory of Motivation. The Expectancy Theory of Motivation is based on three components. First, there is expectancy; one’s efforts resulting in achieving the desired performance goals. This is dependent on personal beliefs, the difficulty in achieving the goals, and the degree of control over goal outcomes. Second, there is instrumentality; one’s belief that meeting the expected performance yields...

Words: 1012 - Pages: 5

Premium Essay

Motivation

...Motivation 1 Motivation Lesette Sanchez MT 302: Organizational Behavior Motivation 2 It is very important that management understands what motivates employees. In order for management to have employees reach the maximum level of work performance, it is very important for management to understand what motivates employees. Due to employees responding in different ways towards their jobs and company practices, motivation is not an easy task for management. Management needs to find out what is causing this employee to produce low levels of work performance, to be able to motivate (Allen, 1998). There are several reasons that can affect an employee’s motivation. These reasons are individual differences, job characteristics, and organizational practices. The individual differences can be personal needs, values, and attitudes, interests and abilities that are being brought to the job. Job characteristic is what determines the limitations and challenges of the position. Organizational practices are company rules, policies from human resources, practices from management and rewards given by the company. Management must figure out how these reasons affect the employee’s work performance (Allen, 1998). Management must also know how to satisfy employee needs. This can also be provided by motivation. This need can be anything that is required, desired, or useful to the employee. In order for management to be able to motivate the employee...

Words: 670 - Pages: 3

Premium Essay

Employee Motivation

...Employee motivation Importance of employee motivation How Employee motivation contributes to productivity How employee motivation contributes to Job satisfaction Best Practices Importance of Employee Motivation For a long time, employees where considered in companies as just an input in the production; but in order for a human being to perform in effective levels it is important for the employee to be motivated. Motivating employees was an important topic as far back as 1789. Samuel Slater, a pioneer who introduced textile manufacturing to America, was concerned about creating a work setting where it was comfortable for workers to do their jobs. (Gibson, 2012, P.125). Motivation is the way business and personal goals are achieved. Motivation is important for any organization, doesn’t matter if the organization is team based or if the employees work independently. The mission and vision of the organization must be aligned with the individuals that work within, this is of high significance for creating a high level of motivation that can lead to higher productivity, financial gain and work quality. The final outcome of any activity within the organization will be outlined by the level of motivation of the employees, without motivation, all capabilities and experiences ere futile. Motivation is what moves productivity, similar to gasoline to an engine, if the engine does not have any fuel, it will not run. It is very common to see how the human resources department...

Words: 1834 - Pages: 8

Premium Essay

Motivation

...Motivation Curt J. Howes Organization Performance Strategies Since the early 1900’s, organizations and behavioral scientists have studied how to improve the productivity of employees. During the Industrial Era of the early 1900’s Frederick Taylor became famous for his work on improving employee performance through time and motion studies. This proved to increase worker efficiency, but it had the downside of lower motivation and morale. Employees felt like machines required to leave their thinking and ideas outside the workplace. Later on it was discovered, somewhat by accident, (Hawthorne studies) that increased management attention to employees appeared to increase employee performance. This launched a revived era of employee motivation through what was called human relations. Better communication and open dialogue from managers accompanied by increased attention to the personal interests and needs of employees were thought to improve motivation and performance. These social based approaches did improve how employees felt about the workplace, but in the long run did little to sustain improved performance. Since that time, organizational research has confirmed several approaches that have a significant positive impact on employee motivation and performance. Goal Setting: Perhaps the most fundamental approach to improve employee motivation is by setting goals and holding individuals accountable for those goals. Goals not only align employee behavior to what is...

Words: 1086 - Pages: 5

Premium Essay

Motivation Plan

...Motivation Plan Jonathan Grace LDR/531 September 23, 2014 Edythe McNickle Motivation Plan In today world every business organization has a diverse workforce and each employee has a specific motivation and emotion. Understanding the challengers involved in creating an environment that combines the employees’ motivation, satisfactions, and job performance in an organized and an effective workplace is what a good manager should understand. A manager must create a plan incorporating the employees’ job satisfaction, motivation, and performance. The perception of both managers and employees are ensuring that the viewpoints are incorporated into the plan for optimistic influence. According to Robbins and Judge (2013), “Motivation is the method that accounts for a direction, individual intensify, and persistence of an effort toward a specific goal. Satisfaction is defined as the “fulfillment of a need or want” and performance is defined as “the execution of an action or fulfillment of a clam, promise, or request.” Motivation, satisfaction, and performance are important aspects that a manger must utilize with people and each aspect can be define as a success or failure of the employees or as a team. The manager will be able to increase an employee motivation, satisfaction, and performance, if a manager has a positive influence within his or her span of control. Most manager can influence a variation of tools in increasing and gauging employee motivation, satisfaction...

Words: 932 - Pages: 4

Premium Essay

Research Proposal

...Strength of anticipated findings and how they relate to aims and objectives of study: 10 Part-B Title: Employee motivation and its impact on employee performance, a case of Tesco, UK Introduction: Employee motivation is demarcated as the inclination or exertion applied by the worker in demand to accomplish objectives of the association and this occurrence of motivation is widespread and outcomes because of some disappointed requirements of the worker. (Armstrong, 2009) The elementary motivation procedure has four phases; a single has assured fondness and fascinations and hatreds that he/she desires to accomplish. When these requirements and yearnings are not pleased, a determination or motivation is shaped in that individual to attain that aim. Motivating the employees is thoroughly connected to the customer’s contentment and retention. If the worker is not motivated in workplace and is not pleased to the job that he/she is executing then he will not be capable to aid the consumer with packed commitment and decency. Consumer’s satisfaction is heavily reliant on consumer facilities work. (Werner, 2009) The administrations which are convoluted in the service industry like Tesco are very intense to center on their consumer services level by inspiring their customer services workers as it unswervingly touches the employee job performances and their outcomes and which directly influences consumer’s satisfaction level definitely or destructively. Companies...

Words: 2737 - Pages: 11

Premium Essay

Performance Issues

...HR Performance Issues and Motivation Vada Taborn BUS610: Organizational Behavior Instructor: Martin McDermott Date: December 22, 2014 HR Performance Issues and Motivation It is common for motivation to be used in the workplace in order for goals to be reached by employees. In the workplace, it is absolutely necessary that both management and employees are able to concentrate on their work. There are many things that can motivate someone into acting or behaving a certain way. A person’s productivity can be determined by the motivation that they receive not only from their work environment but also from outside influences. Money is not the only influence that can motivate an employee. Sometimes showing an employee how much their hard work is appreciated can motivate them into working harder. There are many motivational problems that can make it very difficult for goals to be reached. Motivational problems may come from the workplace, while others occur outside the workplace, but all of them can influence a worker’s performance. A person’s personal life can be the most common motivation problem. It is necessary to separate personal life and work but it is sometimes difficult to do and family affairs may affect performance at the workplace. There is always a need to be able to totally focus on work in order for organizational goals to be reached. The issues that a person has in their person life can be motivation problems that make it hard for goals to be attained. Some of the personal...

Words: 1326 - Pages: 6

Premium Essay

Management Concepts - Employee Motivation & Rewards

...Introduction: In the recent years, employers have recognised that the success of business is closely influenced by the motivation and professional capacity of their workforces. Accordingly, companies are faced with the challenge of increasing the level of employee commitment, job satisfaction and motivation (Greene, 2001). In this regard, it is important for companies to take into consideration the impact of employee needs, morale and expectations and to negotiate appropriate work arrangements for motivating employees as part of performance recognition. The following paper presents a discussion on the importance of employee motivation in the workplace. The discussion is mainly based on literature review and points that employee motivation is necessary for improved work performance. The paper has explored the important contributing played by work-life balance and financial incentives in improving employee motivation. The research indicates that the two factors foster loyalty by employees, increased performance and commitment, which are essential indications of motivation. The concept of Employee Motivation and Rewards Most discussions of motivation begin with the concept of individual needs – the unfulfilled physiological or psychological desires of an individual. Content theories of motivation use individual needs to explain the behaviours and attitudes of people at work. The basic logic is straightforward. People have needs. They engage in behaviours to obtain extrinsic...

Words: 2388 - Pages: 10