INTRODUCTION

Introduction

Employees are the driving force for any organization. For achieving the organizational
goal(s) motivated employees perform the necessary tasks in the right way. Motivation
helps managers to satisfy the employees in the organizations. Therefore, managers are
aware about their employees’ motivation. Steers et al. (1996) defined that employee
motivation in the work place is the set of forces that cause employees to behave in
certain ways. According to Chaudhary and Sharma (2012) the word of motivation is
evolved from motive which means need, desire, wants or drives within the individual. It
has many multiplications which rousing individual work to execute the job or
organizational goal that included desire for money, success, recognition, job satisfaction,
team or group work. Individual overall performance is commonly determined through
three things: motivation (the want to do the job), ability (the functionality to do the job),
and the work environment (the assets wished to do the job). If a worker lacks potential
the supervisor can grant training or change the worker. If there is a resource trouble the
supervisor can right it. But if motivation is the trouble the undertaking for manager is
greater challenging. Individual conduct is a complicated phenomenon and the manager
might also be tough pressed to determine out the specific nature of the trouble and how
to resolve it. Thus, the motivation is essential because of its value as a determinant of
overall performance and due to the fact of its intangible character.

Fundamental theories of motivation focus on special elements which encourage

employee in accomplishment of organizational performance. According to the motives
and need theory (Maslow, 1943) employee have such kind of need (physiological, safety,
social, ego and self-actualization). At the same time theory of equity and justice
describes that employee strive for rights between themselves and other employees.
(Admas,1963,1965). In recent the development of motivation theory based on the
template of common quantitative solution that is clearly the prevalent way of carrying
social research today (Fiss; 2011. Ragin,).

The performance of employees is a concern for any organization because it determines

whether the organization meets its targets and goals. Various resources are necessary for
an organization to succeed and meet its targets, and this includes the human resource or

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employees (Shanks, 2012). However, skilled and talented employees may not achieve
the desired results if they lack motivation and therefore, motivation is also considered an
important value which is vital in the achievement of the organization’s goals (Osei,
2011). Due to lack of motivation employees would not give their all to the organization
as they will distribute their time to other non-work-related activities such as long lunch
hours or surfing the internet for non-work-related purposes (Shanks, 2012).

Although some of these activities may seem harmless, they may result in a loss of
effectiveness and efficiency that may be required to meet targets and goals the
organization intends to achieve (Asim, 2013). The only way to get people to work hard is
to motivate them. Today, people must understand why they are working hard. Every
individual in an organization is motivated by some different way (Dobre, 2013). The job
of a manager in the workplace is to get things done through employees. To do this the
manager should be able to motivate employees. But that is easier said than done (Dinler,
2008). According to Shahzadi et al. (2014) motivation practice and theory are difficult
subjects, touching on several disciplines. The authors state that, in spite of enormous
research, basic as well as applied, the subject of motivation is not clearly understood and
more often than not poorly practiced. Uzona (2013) states that, to understand motivation,
one must understand human nature itself, and that is where the problem of motivation
lies. He states that, human nature can be very simple, yet very complex too, and that an
understanding and appreciation of this is a prerequisite to effective employee motivation
in the workplace and therefore effective management and leadership.

Motivation can be intrinsic or extrinsic. Intrinsic motivation originates from within the
individual and causes the individual to feel stimulated internally (Re’em, 2011).
According to Burton (2012) intrinsic motivation is more about an individual’s self-
satisfaction and the reward is normally within the action itself and does not need external
factors to influence behavior. As a result, intrinsic motivation is the most important and
pervasive motivation because it is through this kind of natural motivational tendency that
humans develop cognitive, social, and physical abilities (Ryan and Deci, 2000).

However, sometimes people act because external factors have influenced them or
prompted them to act in a certain way, and this is referred to as extrinsic motivation
(Ryan and Deci, 2000). As opposed to intrinsic motivation where the reward of the
action is within the action itself, for extrinsic motivation the outcome or reward is

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separable from the activity itself (Reem, 2011). At the workplace the extrinsic
motivation would be to attain goals that are non-work related such as getting money to
pay personal bills. Burton (2012) argued that extrinsic motivation can come from a fear
of a consequence of the actions taken or not taken, such that if the manager tells the
employee to do something, it will be done because of extrinsic motivation.

Having looked at motivation, we now look at employee performance and what it entails.
In every organization, there are many factors that come into play if the organization is to
meet its targets. However, employees are the most important resource to the organization
because they contribute to innovation, adjustment and other important values that would
not be done by other resources such as machinery (Uzona, 2013). Employees mainly
perform tasks like manufacturing, marketing, production, transportation, storage,
distribution, purchasing promotion of business, finance and accounting, human resource,
research and public relations (Dinler, 2008). Employees need to give their best in all
these activities as the activities are inter-related and to achieve the organization’s goals
all have to be done properly (Yazıcı, 2008).

Organizational performance comprises the actual output or results of an organization as

measured against its intended outputs (or goals and objectives).There are three specific
field of firms outcomes encompasses organizational performance .This are financial
performance, product market performance, shareholder return ( Richard et al.
2009).Employee motivation and organizational performance are interrelated .So the
human resource of the organization are affected by the motivation .Motivation is the
main tool for best organizational performance. In organization employee or worker
perform their task and duties seriously by lead to the motivation (Azar and shafigi,
2013). In every organization employee play vital role for development of the
organization performance. The manager of the organization spends huge amount of
many to satisfy the customer but they never consider the employee motivation. An
organization may have good manager, vision, goal, but it neglects its worker or
employee that organization must face trouble situation. A satisfied employee produces
satisfactory outcomes but unsatisfied employee creates unsatisfactory result. Motivation
is very important for top level of management to supervise their employee and ensure
that they are satisfied in their jobs and tasks. If they are fully satisfied they resist the
organization aim and goal (Egan, 1998). The organization should be moving their
concentration toward the employee motivation. In the era of Globalization Company face

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various competitions in the market place if company could not effectively motivate their
employee. Company never is present in competitive environment of business (Ahmad,
2012).

1. Definition of motivation

The word “motivation” generated from a Latin word “movere”. “Movere” means to
move. Thus, it makes an image of something ascending, keeping us performing and
assisting us to reach our goals (Korth 2007). Motivation is the process of arousing and
sustaining goal directed behavior. It is inner state that causes and individual to behave in
way that ensures the accomplishment of some goal. In others words motivation explain
why people act as they do. The individual’s power, strength, direction and diligence of
effort toward achieving a goal depend on the motivation. (Page,2008). According to
Tosi, Mero and Rizzo (2000), psychological and managerial meaning is the two parts of
motivation. The psychological meaning of motivation describes the internal mental state
of an individual that relates to the initiation, direction, persistence, severity and end of
behavior. The managerial meaning of motivation states that the activity of managers and
leaders to make others in order to generate outcome aimed or plan by the organization or
by the manager which liken to a relationship between motivation, power and
performance.

2. Concept of Motivation

The underlying thinking of motivation is some using force within people via which they
strive to achieve specific purpose in order to fulfill some want or expectation. This offers
upward jab to the simple motivational model shown in Figure 1. In this model, people’s
behavior is decided by what motivates them. The ideas of Taylor, his rational economic
thinking of motivation and subsequent procedures to motivation at work fueled the
continuing debate about monetary rewards as a motivator and their impact on
productivity. In a job where there is little pleasure in the work itself or it provides little
possibility for advancement in career, private challenge or growth, many people can also
be influenced mainly if not exclusively, through money. The performance is a product of
both potential and degree of motivation.

Organizational success is based upon individuals being inspired to use their full skills
and abilities and directed to operate properly in the right vital motive for productiveness

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loss was once bad working morale. This includes absence of high quality team spirit, low
motivation, and bad feel of belonging, people feeling undervalued and poorly reward.
Different types of reward exercise may more closely complement exceptional general
strategies and are appreciably related to higher levels of perceived organizational
performance (Mullins, 2005). With an advantageous motivation philosophy and exercise
in place, productivity, high-quality and provider enhance due to the fact motivation helps
people toward achieving areas. According to Mullins (2005), a main global study via
Proud foot Consulting printed that, the most goals, gaining superb perspective, growing
the energy for change, constructing self-esteem and capability, and managing their
development and helping others. Kreitner et al. (1999)’s advice states that, even though
motivation is an indispensable contributor to job performance, it is now not the solely
one. Along with capability is also an aggregate of stage of skill; understanding about
how to entire the task; feelings and emotions; facilitating and inhibiting prerequisites no
longer below the individual’s control.

Source: The effect of employees’ motivation on organizational performance. J. Public

Adm. Policy Res. Vol. 7(4) page. 64, May 2015.

3. Characteristics of Motivation

Mitchell (1982) quoted by Mullins (2005) identified four common characteristics which
underlie the definition of motivation namely:

1. Motivation is typified as a private phenomenon: one {and all} is exclusive and all
the most important theories of motivation afford this uniqueness to be
incontestable in a technique or the opposite.
2. Motivation is usually intentional: Motivation is assumed to be to a lower place
the manager of the people behavior that are influenced through motivation, such

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 as effort exhausted, are seen as selections of action.
3. Motivation is multifaceted: - The two elements of best significance are
i. What get humans activated?
ii. The pressure of a man or woman to engage in desired behavior.

4. The motive of motivational theories is to predict behavior: Motivation is now not

the conduct itself, and it is no longer performance. Motivation issues action, and the
inner and exterior forces which affect a person’s preference of action.

4. Types of motivation

Motivation can be classified as intrinsic and extrinsic motivation. Intrinsic or internal

motivation and extrinsic or external motivation. The two motivation differs in the source
of pressure or pleasure that boost each of them.

4.1 Extrinsic motivation

It is related to tangible rewards such as salary and fringe benefits, security, promotion,
contract of service, the work environment and conditions of service. These are what need
to be done to or for people to motivate them. They are often determined at the
organizational level and may be largely outside the control of the individual managers.
Extrinsic motivators can have an immediate and powerful effect but will not necessarily
last long (Mullins, 2005; Armstrong, 2006).

4.2 Intrinsic motivation

This is related to psychological rewards such as the opportunity to use one’s ability. A
sense of challenge and achievement, receiving appreciation, positive recognition, and
being treated in a caring and considerate manner. Psychological rewards are those that
can usually be determined by the actions and behavior of the individual managers
(Mullins, 2005). Intrinsic motivators are concerned with the quality of work life, are
likely to have a deeper and longer-term effect because they are inherent in individuals
and not imposed from outside (Armstrong, 2006).

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5. Employee Motivation
Many elements like environment, capital and human assets influence how
enterprise performs. Human sources are considered as having the most impact on
the overall performance of organization. It is authentic hence to debate that an
enterprise desires to motivate its personnel in order to accomplish its cited goals
and objectives. It is apparent that motivation has been perceived in several ways.
Many researchers have tried to come up with a concise concept to formulate
motivation however all carry in distinctive ideas. Research has been performed
about this issue and many theories had been designed which significantly have an
impact on organizational behavior. For example, Herzberg’s concept of
motivation (1959) is still used nowadays. According to Staw (1976) Herzberg
used to be one of the first humans who unusual between intrinsic and extrinsic
motivation. That distinction has clarified and also helped in motivating employees
at administrative center (Staw 1976, 49-52).

6. Organizational Performance
Composition of humans which formulate impartial enterprise identification for some
unique motive is commonly acknowledged as company and getting desired effect inside
described assets is dealt with as performance. Organizational performance is the idea of
how helpful a company is in conducting the results the business enterprise aims to
generate. It performs a necessary role in accelerating organizational improvement. It is
the internet satisfaction of all materials in the method of gathering and reworking inputs
into output in an environment friendly manner (Matthew et al, 2005). Organizational
performance is described as the extent to which an organization, through the use of
positive resources, fulfills its goals except depleting its sources and except placing undue
pressure on its participants and/or society. It is the maximum combined utility of the
primary constituents (Matthew et al, 2005).
The purpose model describes organizational performance in phrases of the extent to
which a company attains its objectives. The legitimacy model regards organizational
effectiveness in terms of a historical past evaluation “of component preferences for
performance and herbal limitations on performance from an external environmental
perspective” (Zammuto. R.F, 1982).

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The constituency model considers organizational performance “as a set of a number of
statements, every reflecting the evaluative standards applied by using the various
constituencies” concerned with the organization being evaluated with an emphasis on
skill criteria (Connolly. T, 1980).
The systems useful resource model defines organizational performance “in phrases of its
(the organization’s) bargaining position, as mirrored in the capability of the organization,
in both absolute or relative terms, to exploit its surroundings in the acquisition of scarce
and valued resources” and how they utilize these sources (Yuchtman. E, 1987).
The find out about is aimed to determine the elements that amplify employee motivation
and the relationship of organizational effectiveness with worker motivation.

7. Objective of the paper

The main objective of the paper is to analyze the impact of employee motivation and
organizational performance.

The specific objectives are:

i. To determine the factors that increase employee motivation.

ii. To examine the relationship between employee motivation and organizational
performance.
iii. To find out the reinforcement perspective on motivation.
iv. To identify the popular motivational strategies.

LITERATURE REVIEW

This study sought to assess the factor that affecting the employee’s performance: a case
study of banking sector in Pakistan. The study found that Financial rewards and training
have positive impact on the performance but stress, working hours and communication
barriers has negative impact of performance in Pakistan banking sector (Aliya Iqbal et
al., 2015).

Another study explored the impact of motivation on employee’s performance of

beverage industry in Pakistan. Results from present study explores that motivation plays
a vital role toward the performance of employees in beverage industry of Pakistan
(Zammer et al., 2014).

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This study investigated the Effect of Employee Motivation on Organizational
Performance of selected manufacturing firms in Enugu State. The objectives of the study
include among others include to examine the effect of employee motivation on
organizational performance and also to determine the effect of salary as a factor that
increases motivation of employee in an organization. The study revealed that Salary,
allowance and extrinsic motivation have positive impact of employee performance
(Nnamani Emeka et al., 2015).

This study sought to examine the Impact of Employee Motivation on Organizational

Performance. An Empirical Study at Hayat University-Erbil/Iraq. The study showed that
factors such as empowerment and recognition increase employee motivation. If the
empowerment and recognition of employees is increased, their motivation to work will
also improve, as well as their accomplishments and the organizational performance (Dr.
Nadema aljaf et al., 2015).

This research examined the Impact of motivation on employee performance. A case

study of Karmasangsthan Bank limited in Bangladesh. The following study is a self-
conducted research on how motivational tools impact the performance of employee for
betterment. The study also focused on de-motivation factors affecting employee
performance negatively. But it found that extrinsic factor, job enrichment, performance
appraisal relationship, job security., authority in decision making, growth opportunity
has positive impact of employee performance (Md. Nurun Nabi et al., 2017).

The purpose of this paper was to identify the factors that effects employee motivation
and examining the relationship between organizational effectiveness and employee
motivation. The study focuses on the practice and observance of the two central factors,
empowerment and employee recognition for enhancing employee motivation which
leads to organizational effectiveness. The organizations should design their rules,
policies and organizational structures that give space to the employee to work well and
appreciate them on their tasks fulfillment and achievements. This will surely lead to
organizational growth (Quratul-Ain Manzoor, 2012).

This paper a deeper investigation is made to identify the impact of Motivation on

performance of the employees in the electronics industry in China. The study disclosed
that training and development, reward and recognition, delegation of authority has
significant impact on performance of employee (Bao and Nizam, 2015)

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The study sought to established the effect of Employee motivation and work
performance: A comparative study of mining companies in Ghana. The research result
show that Good pay, job security, health and safety, intrinsic and extrinsic factor affect
employee performance in mining industry (Elizabeth Boye Kuranchie Menash, 2016).

This study investigates the Impact of Employee Motivation on Organizational

Performance of selected manufacturing firms in Anambra State. The study reveals that
extrinsic motivation given to workers in an organization has a significant influence on
the workers performance (Muogbo U.S. 2013).

Another study inquired what kind of factors influence employee motivation in Pakistan
and finding up to which extent motivation affects the employ performance. The results
of this study show that significant and positive relationship exists between employee
motivation and employee performance. It is also concluded that intrinsic rewards have a
significant positive relationship with employee performance and employee motivation.
This study concludes that employee perceived training effectiveness has a negative
relationship with motivation. It is also proved from to their responses, they were
provided with the training courses but this training was not implemented by them in their
routine teaching as they considered it to be ineffective. They were not satisfied with the
training provided to them and this affected their motivation to teach Shahzadi et al.
(2014).

1. Historical Perspective on Motivation

To appreciate what we know about employee motivation, it is helpful to review earlier

approaches. The traditional, human relations, and human resources approaches have each
shed partial light on motivation.

1.1 The Traditional Approach

The traditional approach is best represented by the work of Frederick W. Taylor. Taylor
advocated an incentive pay system. He shows three assumptions. This are given below
i. Managers know more than workers.
ii. Economic gain is the primary motivation for performance.
iii. Work is inherently unpleasant.

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1.2 The Human Relations Approach
The human relationists emphasized the role of social processes in the work place. Their
basic assumptions were that
i. Employees want to feel useful and important.
ii. Employees have strong social needs, more important than money.
iii. Maintaining the appearances of employee participation is importance.

1.3 The Human Resource Approach

The human resources approach to motivation carries the concept of needs and motivation
one step further. The basic assumptions of human resource approaches are given
i. Employee contributions are important and valuable to both individual and
organization.
ii. Management’s job is to encourage participation and to create a work
environment that motivates employees.

2. Theories of Motivation
The number of techniques of motivations is dictated by set up theories of motivation.
Motivation is stated to fluctuate over time and according to circumstances. The following
are the theories of motivation:

i. Content theories
ii. Process theories

2.1 Content Perspective on Motivation

These theories attempt to provide an explanation for the particular things which really
inspire the man or woman at work. These theories are involved with identifying people’s
wants and their relative strengths and the intention they pursue in order to fulfill these
needs. These theories vicinity emphasis on the nature of the needs and what motivates
individuals. The foundation of these theories is the trust that the content material of
motivation consists of desires (Mullin, 2005). It is surely about taking action to satisfy
needs and identify the major desires that affect behavior. The various postulated content
theories are:

i. Maslow’s hierarchy of need theory.

ii. Alderfer’s need modified theory.

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 iii. Herzberg’s two-factor theory.
iv. McClelland’s achievement motivation theory.

2.1.1 Maslow’s hierarchy of need theory

Maslow’s full Name Abraham Maslow. He says that 5 prevalent needs motivate a
person. He arranges themes’:

2.1.1.1 Physiological or Basic needs

According to Anyim (2012) physiological or primary needs are the simple need of a
person. It includes as driving force. This is also called felt need. This want motives
physiological tension which is proven with the aid of any body’s behavior. This can be
decreased by using eating something.

Chintalloo and Mahadeo (2013) also explain physiological needs. According to them
physiological needs basically is satisfied the basic need of human. Physiological wants or
basic wishes also referred to as organic needs. Maslow said when an individual fulfills
the basic, physiological or organic desires him pass up the next level. For example: Food,
shelter, clothes, drowsing and breathing and so forth.

2.1.1.2 Safety needs

Safety needs is the desires for shelter and protection. In this need a man or woman
desires security, balance and dependency. In this a people desires freedom from
anxiousness law and order and structure. This need is additionally referred to as security
needs. For examples the employee’s or the worker’s in a non-public company demand
that the organization or organization must be supply their job security, fitness safety and
advertising safety. And at present non-public groups additionally provide the promoting
security and fitness plan, and emergency exciting and accident cover’s benefits.

2.1.1.3 Belongings needs

These needs are also acknowledged as social needs. It consists of love and belongings.
Usually man’s desires love and care. These wishes can be fulfilled by way of interplay
with coworker and colleagues. For example, the feelings of friendship, emotions of love,
caring of household or relative etc. At work having a suitable relation with crew fellow

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or colleagues. For advertising the team work and achieving the organizational purpose
the managers ought to force the workers that they must be works in groups or in a team.

2.1.1.4 Esteem needs

Esteem desires are additionally recognized as egoistic needs. In this a man wants self-
respect and the esteem of other. Man, desires or reputation, prestige, status, fame, glory,
dominance and consciousness etc. Esteem desires are tough to fulfill in some industries.
In a business enterprise a manager, be respectively treat their employees. And the
employees need to also respect the policies or the law of the organization. The workers
also appreciate every other. Example of these needs is the achievement and confidence.

2.1.1.5 Self-actualization needs

This is the perfect need. A man wants self-realization and self-development and wants to
be capable to do something. Morality, acceptance of facts, lack of prejudice, creativity,
spontaneity and hassle solving are all examples of self - actualization needs.

Figure 2. Maslow’s hierarchy of need model

Source: www.simplypsychology.org/maslow.html. (Accessed 6/6/2018)
2.1.2 Herzberg’s Two-Factor Theory
This is called motivation hygiene theory. He says human beings that having two sets of
needs.
i. Their wishes to keep away from pain as animal.
ii. Their needs to grow psyche of human. He derived this principle from
interviewing a person.
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 iii. When a character thinks well about job.
iv. When an individual think terrible about a job.
There are two factors which is end result of this investigation.
2.1.2.1 Satisfiers
Five steps are sturdy favors as job gratification acquirement, appreciation, restraint and
improvement. Last three troubles had been observed to be most huge for changes in
approach.

2.1.2.2 Dissatisfies
Company policy, supervision, salary, administrative policies, and working conditions are
motive dissatisfaction. Satisfying elements are also known as intrinsic factors and
dissatisfying elements are called extrinsic factors. These are two exceptional things.
Elimination of these dis-satisfactory factors brings peace now not motivation.

Herzberg’s Hygiene and Motivational Factors

Dissatisfiers Motivators
Working
condition
Policies and
Recognition
practices
Salary and Achievement

benefits Advancement
Supervision
Growth
Status
Responsibility
Job security
Co-worker Job Challenge

Personal life

Figure 3. Herzberg dual factor theory of motivation

Source: Retrieved from https://businessstudiesmotivation.weebly.com/hertzbergs-two-
factor-theory.html (Accessed 6/6/2018)

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2.1.3 Alderfer’s need modified theory
According to Alderfer concept is intently related to Marlow’s theory. His concept name
is ERG. Which consists of need for existence, growth?
E means existence needs.
R means relatedness need
G means growth needs

Figure 4. Relationship between Maslow’s and Alderfer’s theories of motivation.

Source: Adapted from https://businessjargons.com/alderfers-erg-theory.html
(Accessed 8/6/2018)

2.1.3.1 Existence Needs

The existence wants contains of all these desires that relate to the physiological and
protection elements of human beings and are a prerequisite for the survival. Thus, both
the physiological and security needs of Maslow are grouped into one category because of
their equal nature and a similar have an effect on the conduct of an individual.

2.1.3.2 Relatedness Needs

The relatedness desires refer to the social needs that a person seeks to set up relationships
with those for whom he cares. These wants cowl the Maslow’s social needs and a section
of esteem needs, derived from the relationship with other people.

2.1.3.3 Growth Needs

The growth desires cowl Maslow’s self-actualization needs as well as a section of esteem
wishes which are internal to the individual, such as a feeling of being unique, personnel
growth, etc. Thus, increase desires are those desires that affect a character to explore his
maximum doable in the existing environment.

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2.1.4 McClelland’s achievement motivation theory

He mounted the thought of idea on human want for accomplishment. This want to gain
has been abridged as n-ach. He says this need is fulfilled via humans to keep away from
failure and compelling desire for success such man or woman must have following
qualities.

He units judiciously hard however possible goal:

i. He takes ‘premeditated perils.

ii. He likes response on his performance.
iii. He likes particular and swift response on how he is doing.
iv. He wishes proficient co-workers in spite of private feelings. He says that this can
be taught to underdeveloped persons.

According to him there are three needs of human that are very essential and necessary.

(a)Necessity for attainment; an erudite need to outrival and exhibit in life,

(b) Necessity for power, an erudite want to lead and change the conducts and dogmas of
others,

(c) Need for connection, a speculative need for social interplay with others.

The Need for The Need for The Need for

Power Affiliation Achievement

Wants to control and influence
other
Likes to win arguments
Enjoys competition and winning
Enjoys status and recognition
Wants to belong to the group
Wants to be liked and will go
along with whatever the rest of
the group wants to do
Prefer collaboration over
competition
Sets and accomplishes
challenging goal
Takes calculated risk
Likes to receive regular
feedback on their progress and
achievements

Does not like high risk or Likes to work alone

uncertainty

Figure 5: McClelland’s achievement motivation theory

Source: http://www.whatmakesagoodleader.com/employee-motivation.html.
(Accessed 9/6/2018)

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2.2 Process Perspective on motivations

These theories are extrinsic theories and they try to identify the two relationships among
two the dynamic variables which make up motivation and the moves required to have an
effect on behavior and action. They furnish a further contribution to our understanding of
the complicated nature of work motivation (Mullins, 2005). Process theory on the
different hand is also acknowledged as cognitive principle because it is involved with
people’s perceptions of their work environment, the methods in which they interpret and
understand. According to Guest, process principle presents a a lot greater applicable
method to motivation than Maslow and Herzberg which he suggests, have been proven
through great research to be wrong. Cognitive concept can actually be greater beneficial
to managers than need theory because it gives more practical training on motivation
techniques (Armstrong, 2006). The process theories are:

i. Expectancy theory
ii. Goal theory
iii. Equity theory

2.2.1 Expectancy theory

Expectancy concept is a conventional concept of motivation and cannot be linked to a

single writer. Motivation primarily based on expectancy theory focuses on a person’s
beliefs about the relationships among effort, overall performance and rewards for doing a
job. There have been one-of-a-kind versions of which some are complex. Recent
procedures to expectancy idea have been associated with works of Vroom (Mullins,
2005).

2.2.2 Vroom’s expectancy theory

Vroom (1964) criticized Herzberg’s two-factor theory as being too established on the
content and context of the work roles of people and presented an expectancy method to
the learn about of motivation (Bloisi et al., 2003). This idea consequently is aimed at
work motivation and based on three variables particularly valence; instrumentality and
expectancy. This principle was founded on the concept that humans choose certain
consequences from their behavior over others (Mullins, 2005). He proposed that
individuals will be influenced to attain a desired intention as lengthy as they count on
their actions will reap the intention (Bloisi et al., 2003).

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Valence as a variable of this expectancy theory is the emotions about a precise
consequence or an expected delight from on outcome. It can in addition be explained as
the beauty of, or choice for a unique effect to an individual. This is derived from their
personal right but normally derived from the different effect to which they are
anticipated to lead of which accumulation of wealth from money is an example (Mullins,
2005).

2.2.3 Goal theory

Goal theory performs a key section in performance administration procedure and was
once advanced from the largely discredited management-by-objective (MBO) approach.
Motivation and overall performance are higher when individuals set unique goal, when
popular dreams are difficult, and when there are comments on performance. The primary
premise of this theory is that people’s goals or intentions play an essential phase in
finding out behavior. Goals guide people’s response and motion with the aid of directing
work behavior and performance, and lead to sure feedback. Aim setting is viewed as a
motivational method as an alternative than a formal theory of motivation. Erez and Zidon
(1984) emphasized the need for acceptance of and dedication to goal. This emphasis was
once based totally on findings that, as lengthy as they agree, traumatic goals lead to a
better overall performance than convenient ones. Erez (1977) also stressed on the
significance of comments as two pointed out: “Goals inform people to attain precise
degrees of performance, in order for them to direct and consider their actions; while
overall performance comments permit the man or woman to tune how properly a
character has been doing in relation to the goal, so that, if imperative adjustment in
effort, route or per chance task techniques can be made” (Armstrong, 2006). Individuals
with precise and difficult dreams perform higher than those with indistinct and less
complicated goals. This goes to verify dreams which are ambitious, highly targeted
possibilities for breakthrough enhancement in performance. Hannagan has suggested that
“at current goal-setting is one of the most influential theories of work motivation relevant
to all cultures” (Mullins, 2005).

Goal principle has a range of practical implications:

i. Specific performance desires need to be identified and set in order to direct

behavior and hold motivation
ii. The set dreams must be challenging however at a sensible level
18
 iii. Complete, accurate and well-timed remarks and information of consequences is
typically related with high performance.
iv. Goals can be decided both by superior or persons themselves.

2.2.4 Equity theory

Equity concept acknowledges that men and women are worried not solely with the
absolute quantity of rewards they get hold of for their efforts, however additionally with
the relationship of this amount to what others receive. Based on one’s inputs, such as
effort, experience, education, and competence, one can compare consequences such as
profits levels, increases, focus and different factors. When people perceive an imbalance
in their outcome-input ratio relative to others, anxiety is created. This anxiety gives the
foundation for motivation, as people try for what they become aware of as fairness and
equity (Robbins, 1993). One of the outstanding theories with recognize to fairness idea
was once developed through the work of J.S. Adams. Adams’ idea is possibly the most
rigorously developed declaration of how folks evaluate social change relationships
(Steers, 1983). The important elements of trade relationships in this idea are inputs and
outcomes. In a situation where an individual exchange her or his services for pay, inputs
may also include preceding work experience, education, effort on the job, and training.
two Outcomes are these elements that end result from the exchange. The most vital
outcome is in all likelihood to be pay with consequences such as supervisory treatment,
job assignments, fringe benefits, and popularity symbols taken into consideration also.
Equity principle rests upon three important assumptions (Carrell, 1978). First, the theory
holds that human’s advance beliefs about what constitutes a truthful and equitable return
for their contributions to their jobs. Second, the concept assumes that human beings have
a tendency to examine what they identify to be the alternate they have with their
employers. The other assumption is that when people accept as true with that their own
cure is not equitable, relative to the alternate they discover others to be making, they will
be motivated to take actions they deem appropriate. This thinking of equity is most
regularly interpreted in work groups as a high-quality association between an employee’s
effort or performance on the job and the pay she or he receives. Adams (1965) cautioned
that individual expectations about equity or “fair” correlation between inputs and outputs
are realized in the course of the process of socialization and via the evaluation with
inputs and effects of others. To similarly establish the motives of perceived and proper
inequity in organizations, Pinder (1984) stated that emotions of inequitable treatment
19
have a tendency to take place when “people accept as true with they are not receiving
truthful returns for their efforts and different contributions.” The assignment therefore
for corporations is to develop reward systems that are perceived to be honest and
equitable and distributing the reward in accordance with worker beliefs about their own
value to the organization.

The penalties of employees perceiving they are now not being dealt with fairly create a
range of options for the personnel (Champagne, 1989). These selections encompass the
personnel reducing them enter through directly restricting their work output, trying to
enlarge their output by means of in search of profits will increase or in search of a greater
exciting assignment. Other possibilities are to reduce the outcomes of an evaluation
different until the ratio of that person’s consequences to inputs is exceptionally equal or
growing the other’s inputs. In addition to the above mentioned the employee ought to
absolutely withdraw from the situation entirely, that is, quit the job and are searching for
employment elsewhere.

METHODOLOGY

The study of Omollo (2015) sought to assess the effect that motivation had on the job of
workers of the Kenya Commercial Bank in Migori County. This study adopted a
descriptive design because it involved interviewing or administering questionnaire to a
sample of individuals. Simple random sampling was used as no complexities where be
involved. All that was needed was a relatively small, clearly defined population. The
study employed the use of self-administered questionnaire to collect the required primary
data. Descriptive statistical analysis technique was employed to obtain useful summary
of responses. Statistical Programme of Social Scientists (SPSS) version 17 tool was used
to generate data that was presented in tables and pie charts as was necessary. Simple
random sampling was used and total sample population was 45 employees.

Same study inquired what kind of factors influence employee motivation in Pakistan and
finding up to which extent motivation affects the employ performance. Data is collected
from 160 teachers of Government and private schools by using self-administered
questionnaire. Regression analysis is applied to find the effect of employee motivation
on employee’s performance involving four variables employee motivation, employee
performance, intrinsic rewards and employee perceived training effectiveness. The

20
results of this study show that significant and positive relationship exists between
employee motivation and employee performance (Shahzadi et al., 2014).

This study sought to examine the impact of employee motivation on organizational

performance in the financial sector in Ghana. Data for the study was obtained from staff
of four sampled financial institutions in Ghana. A sample size of 80 respondents was
used for the study. This sample was selected through the simple random sampling
technique. Questionnaire was used because of its wider application, high response rate,
limited time in administration and less cost (Ibrahim, 2015).

Present research has been carried out for the purpose of measuring the effect of work
motivation on job performance of employees in Islamic Revolution Housing Foundation,
which has taken place in 2013. In this study, a sample containing 70 individuals was
randomly selected according to Morgan table among the statistic population of 85
employees in Islamic Revolution Housing Foundation. Work motivation and job
performance questionnaires were designed and the collected information were put into
data analysis and hypothesis testing by using AMOS and SPSS software (Azar and
Shafighi, 2013).

Another study was conducted to explore the relationship between the reward and
employee motivation with respect to employee performance with mediating of training.
Data is gathering from all universities in wahcantt.30 questionnaires are distributed to
each university, making a total of 150 questionnaires. But respondent is just 118 from all
150. All questions are based on the five Likert scale. All are clear, simple and able to
understand and float after the approval of the supervisor. All questionnaire distributed
personal basis (Asim, 2013)

This paper a deeper investigation is made to identify the impact of Motivation on

performance of the employees. Descriptive and explanatory design has been adopted for
this study and the survey questionnaire comprised of 20 questions prepared based on
Likert Scale (strongly disagree -1 and 5 for strongly agree). Sample size consisted of
100 employees from electronic manufacturing company in china and used simple
random probability sampling technique. Collected details were analyzed via SPSS
employing regression and correlation (Bao and Nizam, 2015).

21
This research examined the impact of motivation and recognition on employee’s
performance in public and private sector banks of Punjab and Haryana. In the current era
it is a challenge for the managers to imply strategies which motivate employees to
improve their work performance and productivity. Structured questionnaire is used to
collect the required primary data from 100 respondents in public and private sector banks
in Punjab and Haryana. Descriptive statistics, correlation, regression analysis, factor
analysis and test are used as statistical tools in analysis (Aryan and Singh, 2015).

Another study explored the impact of motivation on employee’s performance of

beverage industry in Pakistan. The data for present study has been collected from five
major cities of Pakistan using structured questionnaire. 150 questionnaires were
distributed randomly to the beverage industry (Pepsi, Coke and Gorment). To observe
the impact of motivation on employee’s performance in beverage industry used the
regression analysis and correlation analysis to examine the connection between
dependent and independent variables (Zammer et al., 2014).

Same study investigated the place of motivation on employees’ performance in the

Nigerian Banking Industry. The study was conducted in the area of Lagos Island, Nigeria
and population consisted of 5 selected banks in that location. 80 questionnaires were
distributed to the employees of selected banks, of which 67 were returned. The study
used descriptive statistics such as mean and standard deviation to answer the first 2
research questions posed in the study. The main finding of the study clearly evidenced
that motivation has an effect on employees’ performance (Alalade and Oguntodu, 2015).

Another study explored the effect of motivation on employee’s performance of

telecommunication companies in Somalia. The study was utilized descriptive research
design in order to describe the variables of the study. The target population of this study
was 5000 and sample size of 98. The Data was being collected used structured
questionnaire as a research instrument. The data was being analyzed using percentages,
frequencies, graphs and regression analysis with the help of Statistical Package for Social
Science (SPSS version 22) (Sh. Yusuf and Gichinga, 2016).

The study investigated the Effect of Employee Motivation on Organizational

Performance of selected manufacturing firms in Enugu State. The population of the study
was 120 workers of selected manufacturing firms in Enugu State. And the sample size is
103, which was gotten with Yaro Yameni formula. The study used descriptive statistics

22
to answer three research questions posed for the study. The Spearman Rank Correlation
Coefficient was used to test the three hypotheses that guided the study (Nnamani Emeka
et al., 2015).

Another study explored the impact of motivation on employee performance in the

electronics industry in China. Descriptive and explanatory design has been adopted for
this study and the survey questionnaire comprised of 20 questions prepared based on
Likert Scale (strongly disagree -1 and 5 for strongly agree). Sample size consisted of 100
employees from electronic manufacturing company in china and used simple random
probability sampling technique. Collected details were analyzed via SPSS employing
regression and correlation (Connie Baoand Ismail Nizam, 2015).

The study investigates the Impact of Employee Motivation on Organizational

Performance of selected manufacturing firms in Anambra State. 103 respondents
selected from 17 manufacturing firms across the three senatorial zones of Anambra State.
The population of the study was 120 workers of selected manufacturing firms in
Anambra State. The study used descriptive statistics (frequencies, mean, and
percentages) to answer three research questions posed for the study. The Spearman Rank
Correlation Coefficient was used to test the three hypotheses that guided the study
(Muogbo U.S., 2013)

DISCUSSION

1. Factors Affecting Employee Motivation

There are varieties of motivational factors that enlarge the presentation of employees in
an association.

1.1 Salaries and wages

If the association administration paid the purpose in position remunerations in time and
fixing the salaries then enactment of the personnel habitually increases. Otherwise no
longer well. Salaries and wages are the primary and vital motivational components that
affect the employee performance in the corporation (Agwu, 2012).

23
1.2 Bonus

Association administration can easily expand the work overall performance of the
workforces with the assist of extra benefit. We can say that extra gain is the above
revenue gives the employee’s in accordance to their performance. Bonus is a vital tool
for growing the productivity (Agwu, 2013).

1.3 Encouragements

Encouragements mean extra allowances like clinical allowance, journey allowance and
residence allowances etc. organization can enlarge the employee’s performance with the
aid of imparting this encouragement.

1.4 Job Security

Organization will increase the employee’s overall performance or productiveness by

presenting job security.

1.5 Promotion
Organization will increase the worker productiveness with the aid of promoting them.

Salaries and
wages

Bonus

Encouragement Employee Employee/

Motivation Organizational
Performance

Job Security

Promotion

Figure 6: Conceptual Framework

https://bohatala.com/impact-of-human-resource-practices-on-organizational-
performance-in-education-sector(Retrived on 8/6/2018)

24
2. Relationship between Motivation and Performance
The link between performance and motivation is a positive one; increased motivation
results
in more effort and improved performance. However, it can be argued that while higher
motivation will produce better performance, improvements in performance will increase
motivation due to resulting sense of achievement.

x
Figure 7: Motivation/Performance Relationship
P- Performance
M- Motivation

Motivation influences performance, for example when feedback is communicated to the

employees or mostly when recognition of achievement of an individual’s performance is
realized then the output of the individual is likely to increase. Motivation has that
attractiveness of certain kinds of rewards, which performance.
Productivity expresses the relationship between output from systems and inputs, which
go into their creation. Performance is related to productivity when productivity is used as
a means of measuring actual operations thus used as a way of analyzing and evaluating
performance.
𝑂𝑢𝑡𝑝𝑢𝑡
Productivity is the relationship of output to input i.e. productivity = 𝐼𝑛𝑝𝑢𝑡

If positive attitudes are developed, then productivity will increase, therefore, improved
motivation leads to high productivity.

25
3. Reinforcement Perspective on Motivation

Reinforcement perspectives explain the role of rewards as they cause behavior to change
or remain the same over time. Reinforcement theory assumes that behavior that results in
rewarding consequences is likely to be repeated, whereas behavior that results in pushing
consequences is less likely to be repeated.

3.1 Kinds of Reinforcement in Organizations

There are four basic kinds of reinforcement that can result from behavior. This are given
below

3.1.1 Positive reinforcement

Strength behavior with reward or a positive outcome after a desired behavior is

performed. when a manager observes an employee doing an especially good job and
offers praise, the praise serves to positively reinforce the behavior of good work. Other
positive reinforces in organizations include pay raises, promotions and awards.

3.1.2 Avoidance

Strengthens behavior by avoiding unpleasant consequences that would result if the

behavior is not performed. An employee come to work on time to avoid a reprimand.

3.1.3 Punishment

Weakens undesired behavior by using negative outcomes or unpleasant consequences

when the behavior is performed. When an employee is loafing, coming to late, doing
poor work, or interfering with the work of other, the manager might resort to reprimands,
discipline, or fines.

3.1.4 Extinction

Extinction can also be used to weaken behavior, especially behavior that has previously
been rewarded. When an employee tells an off-color joke and the boss laughs, the
laughter reinforces the behavior and the employee may continue to tell off-color jokes.

26
3.2 Providing Reinforcement in Organizations

Not only is the kind of reinforcement important, but so is when or how often it occurs.
Various strategies are possible for providing reinforcement. These are discussed below

3.2.1 Fixed interval schedule

Reinforcement applied at a fixed interval of time, such as regular weekly paychecks.

This method provides the least incentive for good work because employees know they
will be paid regularly regardless of their efforts.

3.2.2 Variable Interval Schedule

Variable- interval schedule provides reinforcement at varying intervals of time, such as

occasional visits by the supervisor.

3.2.3 Fixed Ratio Schedule

Fixed ratio schedule provides reinforcement after a fixed number of behaviors regardless
of the time interval involved, such as bonus for every fifth sale.

3.2.4 Variable Ratio Schedule

Variable-ratio schedule provides reinforcement after varying numbers of behaviors are

performed, such as the use of complements by a supervisor on an irregular basis.

3.2.5 Behavior Modification

Managers wanting to explicitly use reinforcement theory to motivate employees

generally do so with a technique called behavior modification, or OB Mod. A method for
applying the basic elements of reinforcement theory in an organizational setting. Specific
behavior is tied to specific forms of reinforcement.

4. Popular Motivational Strategies

Although the various theories discussed thus far provide a solid explanation for
motivation, managers must use various technique and strategies to actually apply them.
Among the most popular motivational strategies today are empowerment and
participation and alternative forms of work arrangements.

27
4.1 Empowerment and Participation

Empowerment and participation represent important method that managers can use to
enhance employee motivation. Empowerment is the process of enabling workers to set
their own work goals, make decision, and solve problems within their sphere of
responsibility and authority. Participation is the process of giving employees a voice in
making decisions about their own work. Thus, empowerment is a somewhat broader
concept that promotes participation in a wide variety of areas, including but not limited
to work itself, work context, and work environment.

4.1.1 Areas of Participation for Employees

i. Making decision about their own job.

ii. Decisions about administrative matters.
iii. Participating in decision making about broader issues of product quality.

4.1.2 Technique and issues in empowerment

a) Using work teams

i. Collections of employees empowered to plan, organize, direct, and
control their work.
b) Changing the overall method of organizing the firm by becoming more
decentralized.
c) Conditions necessary for empowerment:
i. Organization must be sincere about spreading power to lower levels
ii. Organization must be committed to empowering workers.
iii. Organization must be systematic and patient in its efforts to empower workers.
iv. Organization must be prepared to increase its commitment to training.

4.2 New Forms of Work Arrangement

Many organization today are also experimenting with a variety of alternative work
arrangements. These alternative arrangements are generally intended to enhance
employee motivation and performance by providing employees with greater flexibility in
how and when they work. Among the more popular alternative work arrangement are
variable work schedule, flexible work schedule, job sharing, and telecommuting.

28
4.2.1 Variable Work Schedule

Although there are many exception, of course, the traditional work schedule starts at 8:00
or 9:00 in the morning and ends at 5:00 in the evening, five days a week. To help counter
these problem, some businesses adopted a compressed work schedule, working a full
forty-hour week in fewer than the traditional five days.

4.2.2 Flexible Work Schedule

Another promising alternative work arrangement is flexible work schedule, sometimes

called flextime. Flextime gives employees more personal control over the times they
work. The workday is broken down into categories: flexible time and core time. All
employees must be at their workstations during core time, but they can choose their own
schedules during flexible time.

4.2.3 Job Sharing

Two part time employees share one full time job. One person may perform the job from
8:00 A.M to noon and the other from 1:00 P.M to 5:00 P.M. Job sharing may be
desirable for people who want to work only part time or when job market are tight.

4.2.4 Telecommuting

An increasing popular approach to alternative work arrangements is telecommuting.

Allowing employees to spend part of their time working offsite, usually at home. By
using e-mail, internet and other forms of information technology.

CONCLUSION

In conclusion, the motivation of employees plays one of the most vital roles in an
organization’s performance and assertively contributes to its growth and prosperities.
Therefore, it is necessary for any employer to understand what truly motivates the
employees and how to maximize the overall job performance. The theoretical framework
of the study and the findings had confirmed that the motivation of employees is affected
by two main factors which are intrinsic motivation and extrinsic motivation. The
extrinsic motivation arises from external elements such as salary or other benefit
packages. However, intrinsic motivation, which derived from the inside of a person and
seemingly related to their needs, desires, and goals has established a fact to overweigh

29
the influence of extrinsic motivation. Some examples of intrinsic motivation can be listed
as personal growth, having a work life balance, an interesting and challenging job, work
flexibility, and a good relationship with supervisors and co-workers. It is not only a
factor that motivates employees at work; it is also an important determinant for job
retention.

30
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