Académique Documents
Professionnel Documents
Culture Documents
1
n
MOTIVATION
through
Compensation and Working Environment
in
Banking Sector of Pakistan
Submitted to:
Ms. Samra Javed
Submitted by:
Uzair Ur Rehman
Student ID: 10576
1|Page
Motivatio
2
n
CONTENTS
Abstract………………………………………………………. 3
Findings ………………………………………………………14
Conclusion ……………………………………………………16
Reference ……………………………………………..…….. 18
Questionnaire …………………………………………………20
2|Page
Motivatio
3
n
ABSTRACT
In any organization employee motivation is the key factor for
organizational performance. Previous studies have shown positive impact
of Working Environment and Compensation on employee’s motivation. In
this study a sample of 150 bank officer was taken by adopting non
probability convenient sampling, to investigate the relationship between
Motivation & Working Environment and Employee Motivation. Bank
employees found not highly motivated as a result of working environment
and compensation. Result showed there is a highly positive relationship of
independent variable over dependent variable.
3|Page
Motivatio
4
n
LITERATURE REVIEW
Introduction
A literature review is a clear and logical presentation of the relevant
research work done before in the same area of investigation.
Over and over again studies (Bacon et al, 1996; Deshpande and Golhar,
1994 and Julien, 1998) have emphasized that employees are key to
maintaining a competitive edge by a business. To be successful in a global
market, a firm needs a highly motivated, skilled and satisfied workforce
that can produce quality goods at low costs (Wagar, 1998).
RESEARCHERS VIEW
4|Page
Motivatio
5
n
employees with a tangible reward for their services (Bohlander, Snell, and
Sherman, 2001)
Sansone and Hareckiewicz (2000) identify that compensation benefits
energize and guide behaviors toward reaching a particular goal (Milkovich
and Newman, 2002).
Stone (1982) indicated that people are motivated by money for many
different reasons. The need to provide the basic necessities of life
motivates most people (Kovach, 1987).
Benefits, both financial and otherwise, send a powerful message to
employees of an organization as to what kind of organization management
seeks to create and maintain, and what kind of behavior and attitudes
management seeks from its employees (Beer, et al 1988).
I- Pay or Salaries
Cotton and Tuttle say that employee satisfaction with pay level is
important because it has been found to have an effect on levels of
absenteeism and turnover (Jerald, 1997).
times when promotion is rare, health premiums are on rise and overall job
satisfaction is low” (Evans, 1986).
D. M. Cable & T. A. Judge (1994) suggest that job candidates look for
organizations with reward systems that fit their personalities.
Therefore the reward issue can not be ignored, as it will create a “situation
in which the expectation or the actual goal-directed behavior of one person
or group are blocked or are about to be blocked (Steers and Black 1994).
Family Health benefits often have spillover effects in the form of loyalty
because employees see the benefits as evidence that the organization care
about its employees. (S. L. Grover and K. J. Crooker: 1995).
6|Page
Motivatio
7
n
7|Page
Motivatio
8
n
STATISTICAL DATA
Male 74%
Gender Female 26%
Above 20 years
Age 21-30 years 53%
31-40 years 28%
41-50 years 11%
Above 50 years 5%
Ph.D 1%
Master Degree 60%
Education Bechlore Degree 31%
Intermediat 8%
Others
Income (monthly) Rs.10,000-Rs.20,000 28%
Rs.21,000-Rs.30,000 38%
Rs.31,000-Rs.40,000 11%
Rs.41,000-Rs.50,000 17%
Above 50,000 6%
Work Experience Less than 6 month 5%
6 month to 1 year 32%
1 to 2 years 22%
3 to 5 years 23%
8|Page
Motivatio
9
n
9|Page
Motivatio
10
n
10 | P a g e
Motivatio
11
n
11 | P a g e
Motivatio
12
n
12 | P a g e
Motivatio
13
n
10.0
9.0
8.0
7.0
6.0
5.0
4.0
3.0
n
a M
o
tiv
2.0
1.0
0.0
1 12 23 34 45 56 67 78 89 100 111 122 133 144
Working Environment
3
M
2
n
a o
tiv
0
1 11 21 31 41 51 61 71 81 91 101 111 121 131 141
Compensation
13 | P a g e
Motivatio
14
n
FINDINGS
Descriptive results revealed positive trend of variables i.e. Working
Environment & Motivation and Compensation and Motivation. Likert
scale helped to explain the feelings of bank officers towards
Compensation, Working Environment and motivation.
14 | P a g e
Motivatio
15
n
Stone (1982) indicated that people are motivated by money for many
different reasons. The need to provide the basic necessities of life
motivates most people (Kovach, 1987).
Regression Results
The regression line expresses the best prediction of the dependent variable
(X, Motivation), on the independent variables (Y, Working Environment)
and (Z, Compensation). The regression lines equations for these variables
are as follows:
15 | P a g e
Motivatio
16
n
CONCLUSION
16 | P a g e
Motivatio
17
n
REFERENCES
1. Amabile, T. M. 1996, creativity in context, 2nd ed, Boulder, co, West view press.
2. Beer, M. and Walton, E. R. 1990 “Reward Systems and the Role of
Compensation” Manage People, Not Personnel: Motivation and performance
Appraisal. A Harvard Business Review Book, Chapter 2, pp.15-30.
3. Bohlander, G., Snell, S. and Sherman A., 2001, Managing Human Resources.
Cincinnati, OH: South-Western College Publishing
4. Carolyn Petersen, 2000, “Value of Complementary Care Rises, But Poses
Challenges,” Managed Healthcare.
5. Colvin, G. (1998). What money makes you do? Fortune 138 (4), 213-214.
6. David A. Decenzo and Stephen P. Robbins. 2002, Human Resource
Management, 7th ed. John Wiley and Sons, Inc.
7. D. M. Cable & T. A. Judge, 1994, “Pay Preferences and Job Search Decisions:
A Person-Organization Fit Perspective,” Personal Psychology 47, pp.317-48.
8. E. E. Lawler, 1971, Pay & Organizational Effectiveness: A Psychological View,
New York, McGrew-Hill, Inc.
9. Emmert, M. and Tamer W. A., 1992. Public Sector Professionals: The effect of
Public Sector Job on Motivation, Satisfaction and Work involvement. American
Review of Public Administration, Vol. 22, pp.37-48.
10. Evans M. G., 1986. Organizational behavior: The central role of motivation.
Journal of Management.
11. F. Herzberg, B. Mausner, B. Snyderman.1959, The motivation to work. New
York, Johnwiely.
12. Green Berg J, 2001. Organizational Justice as Probation and reactions:
Implications for research `and application. In Cropanzano R (ed.), Justice in
work place: form theory to practice (Vol. 2, pp. 271-302).
13. Gerhart B. (ed.), compensation in organization: Current Research and Practice,
pp. 32-60. San Francisco: Jossey-Bass.
14. Gibbons R., 1997, incentives and careers in organizations. In advances in
Economic theory and Econometrics, Vol. II, Kreps D. and Wallis K, ed.
Cambridge University press, U.K.
15. Herzberg. F. 1968, “One more time: How do you motivate employees?”
Harward business review, Vol. 46, ISS. 1, pp, 53-62
16. IRS Employment Review, 1996, “Selecting team rewards”. London , Internet
17. Jerald, G. and Robert, A. B., 1997. Behavior in Organizations: Understanding
and Managing the Human Side of Work, Upper Saddle River, NJ: Prentice-Hall,
Inc.
18. Kovach, K., 1987. What Motivates Employees? Workers and Supervisors Give
Different Answers. Business Horizons.
19. Martin, J. and Hanson, S., 1985. Sex, family wage earning status and
satisfaction with work and occupations, 12, 91-109.
20. Milkovich & Newman, 2002. Compensation, 7th ed, The McGrew-Hill
Companies, Inc.
21. R. T. Kaufman, 1992, “The Effects of Improshare on Productivity,” Industrial
and Labour Relations Review 45, pp. 311-22.
17 | P a g e
Motivatio
18
n
18 | P a g e
Motivatio
19
n
DEMOGRAPHICS
1. Gender
Male F
Female
2. Age
a) Above 20
b) 21 – 30
c) 31 – 40
d) 41 – 50
e) Above 50
3. Education Level
a) PhD
b) Post Graduate Level
c) Graduate Level
d) Intermediate Level
e) Other
________________________________________________________________
a) 10,000 – 20,000
b) 20,000 – 30,000
c) 30,000 – 40,000
d) 40,000 – 50,000
e) Above 50,000
WORK ENVIRONMENT Strongly Agree Neutral Disagree Strongly
Agree Disagree
7. I am treated with dignity and
respect by management
8. I fully utilize my skills and
abilities in the Bank.
9. Work assigned to me is
interesting, rewarding and
challenging and give me a
feeling of personal
accomplishment.
10 Bank provides an environment
. where diverse individuals can
work together effectively and
happily.
11 Bank is responsive to change and
. encourages change within the
organization in order to stay
effective in a changing
environment.
12 Bank place a great emphasis on
. honestly, integrity and ethical
behavior.
13 The amount of work expected to
. do in my job is reasonable.
14 Employees have the support and
. authority to make the decision
necessary for accomplishing
their assigned tasks.
15 Employees have the resources
. (personnel, finances, tools)
necessary to do quality work.
16 All employees at ____________
. are treated fairly regardless of
age, race, gender, family status,
veteran status, national origin,
disability, personality, thinking
style or sexual orientation.
20 | P a g e
Motivatio
21
n
21 | P a g e