IMPACT OF EMPLOYEE MOTIVATION ON EMPLOYEE PERFORMANCE

IMPACT OF EMPLOYEE MOTIVATION ON EMPLOYEE PERFORMANCE

ABSTRACT

One of the most important functions of management is to ensure that employee work is more satisfying and to reconcile employee motivation with organizational goals. With the diversity of current jobs, this is a dynamic challenge. What people value and enjoy is influenced by many factors, including the influence of different cultural backgrounds. This research report examines employee motivation and its impact on employee performance. The study examines some common theories of motivation that can be used in an organization to improve employee performance. The study showed that employees have their differences in terms of the concept of motivation. Various forms of theories of motivation in literature have been debated along with their applications and implications. Three questions were examined: What is motivation? What kind of motivation can best be used to increase employee performance? The results of the study show that motivation can increase or decrease employee performance. If the chosen form of motivation meets the needs of the employee, their performance increases. If, on the other hand, the chosen form of motivation does not satisfy the needs of the employee, the benefit decreases. It therefore encourages organizations to understand the motivating need of each employee to improve performance.

TABLE OF CONTENTS

TITLE PAGE - ii

DECLARATION - iii

CERTIFICATION -

DEDICATION - v

ACKNOWLEDGEMENTS - vi

CHAPTER ONE: INTRODUCTION

1.1 Background to the Study - - 1

1.2 Statement of  Problem - - 8

1.3 Objective of the Study - 10

1.4 Research Questions- - - - 11

1.5 Statement of the Hypothesis 12

1.6 Significance of  Study - 13

1.7 Scope of the Study - - 14

1.8 Definition of Key Terms - 15

CHAPTER TWO: LITERATURE REVIEW

2.1 Introduction - - - - 18

2.2 Conceptual Framework - - 33

2.3 Theoretical Framework - - 45

2.4 Empirical Review - - - 50

CHAPTER THREE: RESEARCH METHODOLOGY

3.1 Research Design -- 56

3.2 Population of the Study - 57

3.3 Sample Size - -- 57

3.4Sampling Technique - 58

3.5 Method of Data Collection - 58

3.6 Technique for Data Analysis - 59

3.7 Model Specification and Variable Definition -59

3.8 Measurement of Variables - - 59

CHAPTER FOUR: PRESENTATION AND ANALYSIS OF DATA

4.1 Presentation of Data - -- 60

4.2 Discussion of Findings - - 79

CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS

5.1 Summary - - 80

5.2 Conclusion - -- 80

5.3 Recommendations - 93

References - - 95

Appendix - - 98

CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

Motivation is the process that initiates, guides and maintains goal-oriented behaviour. It is what causes you to act. “Motivation” is frequently used to describe why a person does something. It is the driving force behind human actions.  The term motivation has received different scholarly definition. According to Baron (2017), state motivation was driven from Latin word ‘Movere’ meaning move. The act of providing people with incentives to make them act in a desired manner is considered as motivation. Motivation is the most important factor of every organization/public or a private sector. For the success of any organization, motivation plays an important role. All organization encounters the matter of motivation, whether they are in the public or private sector. (Chintallo & Mahadeo, 2013). In the view of Chaudhary and Sharima (2012), motivation word is derived from “Motive”. The meaning of ‘motive’ is needs, wants, and the desire of the person. It is articulated that employees from the most critical part of any organization. Hence, the need to influence and persuade them towards task fulfillment is also crucial. When employees are motivated by monetary and non-monetary incentives, they tend to feel more empowered to do their jobs at a consistently high level. That, in turn, helps them to feel valued and important part of an organization which correlates to increased job satisfaction. Motivation is also an external influencer which leads to the occurrence of positive changes in people’s behaviour; represented through providing rewards which fall on working individuals in exchange for services they provide to organization.

Motivation of employees has gained prominence due to its impact on their job performance, (Yimer, 2018). Performance is the process or action of performing a function or tasks. It has to do with how a person successfully carries out that task. Organizational performance relates to how successfully organized set of people with a particular purpose to perform a function. Team working can make more effective and efficient uses of employees and improve productivity. It helps employees to undertake a wider range of tasks in the organization. Motivation has been receiving a greater attention because it is an important independent variable with a positive impact on employees’ productive efficiency. To hire or keep employees who work efficiently is a necessity to achieve the organization’s objectives and maintain its vision. In order for such efficiency to continue, employers need to motivate their employees to increase their productivity, efforts and achievements.

Human resources mean the employees of any organization. So the motivation is main factor that affect the human resources of the organization. Organization should be motivating their employees for the best performance or for achieving the organizational goals. Infact, motivation is the best tool for best performance. Today, there are many discussions about motivation and the relationship of employee’s efficiency and the organizational efficiencies. According to Azar and Shafighi (2013), Motivation will lead to the fact that workers or employees of the organization will seriously do his duties and responsibilities. Attractive salaries or plays also a valuable tool and play an important role to increase employee’s performance and also increase the productivity of an organization, (Muogbo, 2013). Clearly, the success of organizations in achieving their desired goals depends highly on the readiness and efficiency of their members; when they are not motivated, their work morale will be weak, resulting in reduction of production and performance. At the same time, pleasure, happiness and satisfaction help obtain rewards and returns, which result in an increase in performance, productivity, efficiency and effectiveness. Therefore, rewards and incentives systems should be understood and the ways of utilizing those systems must be identified to motivate each employee separately. The positive employee behaviours are a mandatory profitable (win-win) situation for all parties in any direction; however, positive employee behaviours are attainable only through motivation, bonuses and employment of reward systems, (Osabiya, 2015).

The success of any facet of the business can almost be traced to motivated employees. This can be seen in today’s environment where success depends on employees using their talent. The ability to attract, retain and develop talented employees is a key feature of a successful organization. According to Mullins, (2018), states that there are individuals who bring their own perspectives, values and attributes to organization and when managed effectively can bring considerable benefits to the organization. However, when managed poorly, they have the potential to severely limit organizational growth and threaten the viability of a business. In any organization, its core is its employees, their presence and contribution is very important in such a way that they determine if the organization is going to be a success or a failure.

1.2 Statement of the Problem

The relationship between employees’ motivation and performance cannot be overemphasized. The extent to which employees are motivated in their work depends on how well those employees are able to provide output in their job. Motivation is expected to have positive effect on quality performance. Employees who are characterized by a high level of motivation show a higher work and life satisfaction. Delving deeper into motivation at the work place, there is need to find various options of strategies and practices from which managers can choose to motivate employees. Employees are motivated through bonuses, leadership positions, and encouragements.

Moreover, employee motivation and performance rely mainly on rewards and incentives. According to Dobre (2013), the incentives of employees are heavily influenced by staff performance to obtain anticipated results, where different type of sectors should construct effective incentives programmes.  In fact, studies have shown that all incentives external and internal, acquired and non-acquired, individual and non-individual affect behaviours and attitudes of employees as well as individuals. However, some employees are suited to other types, depending on the nature of their needs, desires and preferences.

There is therefore need to investigate the relationship between motivation and employee job performance. This is because, there are other factors that help employee become productivity outside motivation. It is also true that employee job performance cannot necessary come from motivation because motivation from the point of employee may not be the same from the point of employers.

1.3 Objectives of the Study

The general objective of the study is to examine the impact of employee motivation and employee job performance while the followings are the specific objectives of the study.

1. Determine the nature of employee motivation in an organization.

2. Ascertain the contributions of employee motivation to employee job performance.

3. Determine the challenges facing organization towards provision of employee motivation.

1.4 Research Questions

1. What is the nature of employee motivation in an organization?

2. What are the contributions of employee motivation to employee job performance?

3. What are the challenges facing organization towards provision of employee motivation?

1.5 Research Hypotheses

Ho₁: There is no significant nature of employee motivation in an organization

Ho₂: There is no significant contribution of employee motivation to employee job performance

Ho₃: There is no significant challenge facing organization towards provision of employee motivation.

1.6 Significant of the Study

Under this section, the significant of this study explain the benefits or the contributions or the value which the present study will add to existing body of knowledge as regards to the study as well as the people who will benefit from it. Therefore, employees will benefit from this study. In addition, the study will benefit academic researchers.

First, employee will benefit from the study because the outcome of the study will help them understand how motivation impact of employee performance and this will for enhance their attitude to work and achieving overall organizational objectives Second, the organization through its Human Resource Management will also gain from this study on how the motoivation should be designed  to help employees become productive in their job and adopting the best practice and standard practice of work performance.  

Finally, this study will form a reference paper for other researchers who might want to embark on research similar to the topics.

1.7 Scope of the Study

The scope of a study is the coverage of the study.  Scope covers the general purpose of the study, the population of the study and the geographic location of the study.  Therefore, the scope of the study is limited to the impact of employee motivation on employee job performance. The population and geographic location is limited to

1.8 Definition of Terms

Job Performance: Job performance is the level of success while carrying out some  responsibilities in the organization. Employees in an organization are indispensable assets.

Motivation: Motivation is the process that initiates, guides and maintains goal-oriented behaviour. It is what causes you to act. “Motivation” is frequently used to describe why a person does something 

Employee: This is a staff employed by an organization with a contract to perform some duties and receive rewards 

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