EFFECTS OF EMPLOYEES’ MOTIVATION ON ORGANIZATIONAL PERFORMANCE (A CASE STUDY OF ETHIOPIAN AIRLINES)

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Product Code: 00002380

No of Pages: 72

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ABSTRACT

 

This research study examined extensively the twin concept of employee motivation on organizational performance from the points of view of various theorist actively involved in the field of organizational behaviour and management.

 

The organization was chosen for the case study because of its relevance in the airline industry in Africa.

 

A total population of 100 respondents were chosen from the organization for simple random sampling techniques. The major instrument used for the collection of data were personal interviews, administration of questionnaires, library research, internet search, and textbooks.

 

Four hypotheses were formulated. The data obtained were sorted and analyzed using the simple percentage for bio-data and chi-square for testing the hypotheses. The study reveals that factors that affected employee motivation on organizational performance, the benefits, the advantages to the growth and effectiveness of the organization.

 

In summary it was recommended that managers in the airline industries of the economy should ensure that their organizations initiated programmes and incorporate policies that would enable employee to seek and achieve defined goals, while maintaining their tenure in the organization.             

 

 

 

 

TABLE OF CONTENT

Title page                                                                                 i

Certification                                                                              ii

Dedication                                                                                iii

Acknowledgement                                                           iv

Abstract                                                                                    v

Table of content                                                                        vi

 

CHAPTER ONE

INTRODUCTION

1.1     Background of the  study                                                 1

1.2     Statement of the problem                                                 2

1.3     Objective of the study                                                      3

1.4     Research questions                                                        4

1.5     Statement  of the hypothesis                                            4

1.6     Definition of terms and concepts                                      5

1.7     Scope of study                                                                6

1.8     Limitations                                                                      6

          References                                                                     7

 

CHAPTER TWO

LITERATURE REVIEW

2.1     Introduction                                                                      8

2.2     Conceptual framework                                                     11

2.3     Features of employee motivation on organizational

          performance                                                          13

2.4         The objective of the motivation on organizational

Performance                                                                   19 

2.5         Principles and values behind employees motivation 22

2.6         Employee motivation and organizational performance       22  

2.7         The importance of employee motivation                           23

References                                                                     25

 

 

CHAPTER THREE

RESEARCH  METHODOLOGY

3.1         Introduction                                                                     26

3.2         Research questions                                                        26

3.3         Sources of data                                                               26

3.4         The study population                                                       27

3.5         Sampling technique and size                                           27

3.6         Research instrument                                                       27

3.7         Method of data collection                                        28

3.8         Statement of the hypotheses                                            28

3.9         Method of data analysis                                                   29

References                                                                     30                             

 

CHAPTER FOUR

PRESENTATION AND ANALYSIS OF DATA

4.1         Introduction                                                                     31

4.2          Data presentational and analysis                                     31

4.3         Respondents characteristics                                            32

4.4         Analysis of research questions                                        34  

4.5         Testing of hypotheses                                                     47

References                                                                     56

 

CHAPTER FIVE

SUMMARY OF FINDING, CONCLUSION AND RECOMMENDATION

5.1     Introduction                                                                     57

5.2     Summary of findings                                                       57

5.3     Conclusion                                                                      58

5.4     Recommendations                                                 59  

5.5     Contributions to knowledge                                              61

Bibliography                                                                    62  

Questionnaires                                                                64         

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CHAPTER ONE

INTRODUCTION

1.1     BACKGROUND OF THE STUDY

The term motivation is derived from the Latin word movere, meaning “to move”. In this context, motivation represents “those psychological processes that cause the arousal, direction and persistence of voluntary actions that are goal directed” Terence Mitchell (1997). Managers need to understand these psychological processes if they are to successfully guide employees toward accomplishing organizational objectives. Let examines the historical roots of motivational concepts.

The concept of motivation is based on the idea that every human experience involves a causation factor and an effect from that cause. One authority maintains that there are seven essential causes. These are: (i) The urge arising from bodily needs; (ii) The urge to succeed and achieve; (iii) The urge to avoid failure and disappointment; (iv) The urge for recognition and approval; (v) The urge for security, (vi) The urge to experience something new and different; and (vii) The sex urge. The manager must be aware of these motivating forces and should use the knowledge of these forces in carrying out his assignments. 

 The concept of motivation centres on the idea that motivation is shown by a change in behaviours as a result of experience. The manager must know the various elements of human behaviour, which are the foundations of motivation. There are seven aspects of motivation advanced psychologists. These are: (i) situation, (ii) personal characteristics, (iii) goals, (iv) interpretation, (v) action, (vi) consequence, and (vii) reaction to thwarting.

The seven aspects function as individuals strive for goal attainment. Earlier experience has prepared the individual on certain ways to be personally ready for new experiences when new situations are presented, the person will interpret this new situation and respond in such a way based on the consequence that he has experienced in similar situations in the past. Previous consequences, in similar situations will bring personal goals closer and, as a result, increase personal readiness to accept the new situation. Favourable consequences do not always result and, when this occurs, the individual’s effort is said to be thwarted for lack of goal attainment.

The manager must focus on teaching employees to accept and operate new procedures in such a way that none of them feel thwarted. He must also be realistic enough to know that this ideal cannot always be attained and should give enough thought to  ways that might turn employees away from non-adaptive behaviour.

Apart from motivation and organizational performances, the organization needs to be able to evaluate effectively the employees who operating the work under review. The types of people that will be needed in the revised operation must be envisioned. Extensive job analysis, supported by appropriate job descriptions, must be obtained for the old and new operations. He also has to judge the limits occasioned by personal restraint based on the analysis. It is impossible to operate favourably without people having most of the requisite abilities.

1.2     STATEMENT OF THE PROBLEM

Every research is aimed at providing solution to an identified problem, the following problems are identify with employee motivation on organizational performance.

Supervision. To decrease demotivation in this area, you must begin by making wise decisions when you appoint someone to the role of supervisor. Be aware that good employees do not always make good supervisors. The role of supervisor is extremely difficult. It requires leadership skills and the ability to treat all employees fairly.

Salary. The old adage “you get what you pay for” tends especially to be true when it comes to staff members. Salary is not a motivator for employee, but they do want to be paid fairly.

Interpersonal relations. Remember that part of the motivation of being employed is the social contact it brings, so allow employees a reasonable amount of time for socialization (e.g., over lunch, during breaks, between customers). This will help them develop a sense of camaraderie and teamwork. At the same time, you should crack down on rudeness, inappropriate behaviour and offensive comments. If an individual continues to be disruptive, take charge of the situation, perhaps by dismissing him or her from the practice.    

1.3         OBJECTIVES OF THE STUDY

The objectives of this study are as follows:

a.       To identify the factors that motivate  employee of Ethiopian airlines  

b.       To examine the effect of these factors on organizational performance.   

c.       To identify the factors that  demotivate employees of Ethiopian airlines. 

d.       To  identify other factors that influence organizational performance of Ethiopian airlines.

1.4.    RESEARCH QUESTIONS

During the course of the research, the following are likely questions that needed proper attention:  

a.       What are the factors that motivate employees of Ethiopian airlines?  

b.       What are the factors that effect the performance of Ethiopian airlines? 

c.       How to identify the factors that demotivate the employees  of Ethiopian airlines?

d.       How to identify other factors that influence organization performance at Ethiopian airlines?  

1.5.    STATEMENT OF THE HYPOTHESES

This study aims at examining the effects of employee motivation on organizational performance at Ethiopian airlines.  The study was undertaken in a very critical manner in order to ascertain the professional effects of employee motivation on organizational performance.

The following Hypotheses were tested:

HO:    Our incentives push us to perform our jobs efficiently 

H1:     Our incentives do not push us to perform our jobs efficiently

HO:    Leadership in Ethiopian airlines enhances profitability  

H1:     Leadership in Ethiopian airlines does not enhances profitability

HO:    Promotion in Ethiopian airlines enhances low labour turnover    

H1:     Promotion in Ethiopian airlines does not enhances low labour turnover

HO:    Performance recognition in Ethiopian airlines increases efficiency  

H1:     Performance recognition in Ethiopian airlines does not  increases efficiency

 

1.6     DEFINITION OF TERMS AND CONCEPTS     

The following terms are defined as they appear in these study:

(a)        Motivation: It refers to the psychological processes that arouse and direct goal directed behaviour.

(b)        Service: This is a system that provided what the public needs, organized by the government or a private organization or company.

(c)        Efficiency: This indicates the extent to which the organization produces a given output with the least possible use of the resources.

(d)        Effectiveness: This means achieving results.

(e)        Productivity: This is the ratio of output to input be it labour or other resources.

(f)         Quality: (i) Meeting concrete demands and expectations e.g. Time, quality specifications, finances, defect rates, functions and safety guarantee.

          (ii) Meeting emotional expectation and desires e.g. attitudes, commitments, behaviour, attention, loyalty, credibility, consistency.

(g) Environment: The condition that affect the behaviour and           development of the organism.

(h)     Finance: This indicates the money used to run a business, an            activity or a project.   

(i)      Mechanism: This means a system or method for achieving a           particular goal or goals.

 

1.7.       SCOPE OF STUDY

The central aim of this research study is to identify, highlight and analyze the relationship between employee motivation and organizational performance.

Moreover, the scope of the project will cover virtually the problems militating against employee motivation on organizational performance with specific reference or emphasis on Ethiopian airlines. These problems are enormous, but this paper will limit itself to ones identified in the sector spanning over the period of four years from 2005  to 2009.

 

1.8.    LIMITATIONS

In carrying out a proper and thorough research the understated constraints were experience.

Such as epileptic supply of electricity, the reluctance attitude of the respondents, transport fare, finance constraints, accessibility to the relevant information through website, time factor as a result of commitments to the researchers  lectures, family problems, his  job and some communication problems. 

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