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Relationship between Motivation and Employee Performance

ACKNOWLEDGEMENT

I am heartily thankful to my teacher, Mr.., whose encouragement, guidance and support from the initial to the final level enabled me to develop an understanding of the subject.

Lastly, I offer my regards and blessings to all of those who supported me in any respect during the completion of the assignment.

Akbar Ali

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Relationship between Motivation and Employee Performance

Executive Summary:

The globalization of business and the advancement of information technology have brought about changes that have revolutionized the world of work. They change the way we do business, employees and managers behave this way to manage their employees. Performance and motivate employees have become an important and complex task for administrators. The key to good performance is to find out more about the factors that motivate employees. Each director has his own way how he or she manages. The key to perform and motivate employees in
ways that lead to profits, productivity, innovation and organizational effectiveness is to understand how to motivate them towards better performance.

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Relationship between Motivation and Employee Performance

Table of contents
Pg # 1- Introduction 4 2- Motivation Theories 6 3- Corporate examples 9 4- Conclusion. 5- Recommendations. 12 13

6- References. 14

Relationship between Motivation and Employee Performance

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Understanding motivation can help increase employee performance management. Employees are divided into two types: self-motivated, and those requiring external motivation to stay motivated. Self motivated employees tend to show a good performance even if
they never provided with a lot of external motivation, but its performance increases even more if provided with that motivation. Employees certainly need external motivation to improve in performance when skillfully motivated. Highly motivated employees are highly productive employees, and do more.

manager or supervisor in the workplace only gets the job done when your employees a quality work. A productive employee is working hard when motivated by their employer. There is an old adage that you can take "a horse to water but you can not make it drink, drink only when thirsty" and with people. They will do what they do or not motivated to do.
Whether you excel in a workshop floor or in the "ivory tower" should be motivated or driven to it, either by themselves or by external stimuli.

Performance is considered as a function of ability and motivation, therefore; Job performance = f (capacity) (motivation) Capacity in turn depends on education, experience and training and its improvement is a slow and long process. On the other hand motivation can improve quickly. There are many options and uninitiated manager may not even know where to start. As a guideline, not widely seven strategies for motivation. Positive Reinforcement Expectancy / HR Treatment of people quite Effective discipline and punishment Employees meeting the needs Establish work-related goals Restructuring jobs Base rewards on job performance

These are the basic strategies, though the mixtures in the final phase of recipes vary from one workplace to the status of the situation. Basically, there is a gap between an actual situation of individuals and some desired state and the manager tries to reduce this gap.

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Motivation is, in effect, a means to reduce this gap and manipulate. It is encouraging to others in a specific way towards the goals specified otherwise by the motivator. Naturally, these goals as well as the motivation system must meet the organization's corporate policy. The motivational system must adapt to the situation and the organization. In one of the more elaborate studies on employee motivation, involving 13,000 men and 31,000 women, of Minneapolis Gas Company sought to determine what their potential employees desire more than one job. This study was conducted over a period of 20 years from 1945 to 1965 and was very revealing. The ratings for the various factors that differ only
slightly between men and women, but both groups considered security as the highest factor score. The following three factors were;

Progress Type of work Company - proud to work for Surprisingly, factors such as wages, benefits and working conditions were given a low score in both groups. So after all, and contrary to common belief,
money is not the principal motivator. (Although this should not be regarded as a signal to reward employees poorly or unfairly.)

Motivation Theories
1- Hierarchy of Needs Theory

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The psychologist Abraham Maslow's hierarchy of needs theory proposed that we are motivated by the five unsatisfied needs, arranged in hierarchical order shown in Figure 1.1, "Maslow's Hierarchy of Needs Theory", which also includes examples of each type of need in both the personal and working lives. See, for example, in the list of staffing needs in the left column. At the bottom are physiological needs (such as life-sustaining needs of food and shelter). Working in the hierarchy of needs that security experience (financial stability, physical), social needs (the need to belong and have friends), esteem needs (the need for self-respect and status), and needs self (the need to reach their full potential or achieve a creative success.)

Figure 1.1. Maslows Hierarchy-of-Needs Theory

There are two things to remember about the model of Maslow:

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Relationship between Motivation and Employee Performance

1. we must meet the lower level needs before trying to meet the needs of higher level. 2. Once we have satisfied a need no longer motivates the need for higher order takes its place. Say, for example, that you have returned to college and for various reasons that are not your fault, you're broke, hungry and homeless. Because it will probably take almost any job that
pay for food and shelter (physiological needs), to go to work repossessing cars. Fortunately, your student loan finally comes through, and enough money to feed, you can find a job that is not as risky (a need for security). Find a job as night janitor at the library, and you feel safe, you start to feel isolated from his friends, who are active during the day. Want to work among the people, not books (a social). So now joins several of his friends from the sale of pizza in the student center. This work improves your social life, but despite that they are very good at making pizzas, not terribly satisfactory. Do you want something that allows you to display their intellectual talents (an estimated need). So study hard and get a job as an intern in the governor's office. Upon graduation, moves through a series of government posts and eventually run for state senator. As you took office, you realize you've reached your full potential (self-actualization need) and a comment to himself: "There is nothing better than this."

2- Expectancy Theory Figure 1.2. Vrooms Expectancy Theory

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If you were a manager, would not you like to know how employees choose to work out hard or wrong? Would not it be nice to know if a rewards program will have provided the desired effect, i.e., motivating them to perform better in their jobs? Would not it be useful to measure the
effect of productivity gains for employees? These are the issues examined by the psychologist Victor Vroom in expectancy theory, which proposes that employees work hard to win prizes valued and believe they can get.

As you can see in Figure 1.2, "Expectancy Theory Vroom, Vroom argues that an employee will be
motivated to exercise a high level of effort for a prize in three conditions:

1. The employee believes that their efforts will result in acceptable performance. 2. The employee believes that acceptable performance will lead to the desired result or reward. 3. The employee reward values.

Corporate Examples:
1- TOYOTA Toyota is the world leader in car sales, technology and production while maintaining one of the world's most recognizable and valuable brands. At the

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Relationship between Motivation and Employee Performance

heart of its success is innovation and innovative production methods made possible by the company recognition of the value of empowering employees. Employee involvement is defined as "consist [ing] a variety of systematic methods that allow employees to participate in decisions that affect them and their relationship with the organization." At Toyota, the company has used these proven
techniques of co-determination to encourage employees, vendors, and participation in the process of decision making, as these practices "to help improve both the ability and attitude" stakeholders. In fact, one of the guiding principles of Toyota requires the company to "develop a corporate culture that enhances individual creativity and the value of teamwork, while respecting trust.

2- McDonald's McDonald's puts emphasis on training and employee development. It aims to provide
career opportunities for people to reach their potential. The firm offers both full or part time career opportunities, which helps staff to combine work with family or educational commitments. to increase employment is used to encourage employees who received their first job in the company to move into management positions. These promotions are based on the performance of the official. Over 40% of McDonald's managers started as hourly-paid staff are in restaurants. More than half of middle managers and senior of the company have risen from the position based on a restaurant.

3- Nokia Employee volunteerism is an important part of Nokia's global approach to corporate responsibility. Thousands of our employees contribute their time and effort to worthy causes in their communities. In 2008, employees in 25 countries volunteered for more than 34,000 hours of service, an increase of 5.9% from 32,000 hours a year. Through volunteering you can learn new skills and gain new perspectives. Volunteering also helps create a balance between our personal convictions and professional life. Respect for others and the environment, contributing to change, and witness how the world can be changed, one small step at a time - these are our awards. It is important to encourage and support 9|Page
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employees who want to contribute. In recognition of this, Nokia employees can take 1-2 working days annually as a day Nokia Helping Hands. This allows our employees to leave the community and contribute to good causes that interest them. 4- Nestl Nestl is a very human enterprise. We care about our people. We encourage and bring out
the best in them. We work hard to ensure they can benefit as much as his work in Nestl. The result is a tightly knit society - despite more than 250,000 people spread across the world. What are joining a common culture and a high degree of loyalty - to the Company and others?

The culture or the spirit of Nestl is difficult to describe. It's partly to do with the
openness to ideas and thoughts and the willingness to learn from each other. It is also about giving people the opportunity to add value in everything they can. While Nestl expects much of its people, which gives a lot back. There is a sense of fairness and consistency that is reflected in a right spirit and honest worker, pragmatic. Above all, Nestl is truly international. A simple example is that around 80 different nationalities are represented among the 1,600 people in our office. Every year a thousand people around the world come to our training center in Switzerland.

5-Boots Our people will be treated with respect, dignity and understanding. We clearly explain our vision, values and standards we need. We are quite reward individual effort
and value diversity.

We will provide the necessary encouragement and the opportunity to develop their careers. We will involve our employees and will welcome and encourage your input. People will be recruited for their skills, abilities, experience and ability. All employees have equal opportunities in employment. Discrimination based on race, national origin, gender, age, disability, marital status, sexual orientation, religion or belief, or any other unlawful reason is not allowed. Each employee is responsible for maintaining and implementing the equal opportunities policy of the Group in the workplace and other policies dealing with such matters.

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Conclusion It is a truism that the world is undergoing major changes. The advance of technology has brought changes in the way of doing business in all aspects. Employees are no longer just one of the companies used to produce inputs, are important assets that generate profits for the company. To adapt to these changes, the manager need for new ways to manage their employees. Previously most employees were satisfied if their basic needs met. In today's world, employees want more. Since employees are the most important resource of a company, satisfaction
and employee retention has become a major focus for managers. To do this effectively, managers must keep their employees motivated, so that valuable employees stay with the company and the best. To motivate employees is not an easy task. The motivation of the employees have to be built over a long time, and can be destroyed in one day. There are many ways to motivate employees. Each theoretical motivation comes with a different approach. The reasons vary from employee to employee, and also differ according to the business sector. To do its work effectively, managers must take time and effort to

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understand what your employees are looking at your work and try to meet these needs and desires to the extent of its capacity.

Recommendations: Below are recommended as possible areas for future research: 1.Positive reinforcement is a primary method of motivation for the use, where the official
management recognizes an employee's value and encourages him to continue the same work ethic.

2. Employees are motivated to perform exceptionally where the benefits and rewards offered. The bonds, paid vacation, a good insurance plan, promotions, stock options, salary increases and other gifts are benefits that motivate an employee to perform well. 3. When an employee needs are met, he / she will behave better. Management of allowing an employee to temporarily change his schedule due to a personal problem is an example of meeting the needs of an employee. 4. Employers must show respect for employees and give a positive review in relation to their job performance. Negative criticism can cause a poor performance
employee resentment.

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5. When you set realistic goals, employees are motivated to reach them. If the goal can not be
achieved in the given time frame, employees may give up and are less likely to do the job.

References: Aldag, RJ. & Kuzuhara, L.W. 2002 Organizational Behavior and management: an integrated skills approach. South-Western: Thomson Learning Bowen, R.B 2000. Recognizing and rewarding employees. San Franciso: McGraw Hill Braudo, C.2006 Retain good BEE staff. Entrepreneur, July 2006:4 Cummings, T.G & Worley, C.G.2001. Essentials of organization development and change. Canada: south-western college publishing, Thomson learning. Gray, R. 2004. How people work and how you can help them to give their best. Taipei: Prentice Hall, Financial Times. Jones, G.R. & George, J.M. 2003. Contemporary management. 3 rd ed. Boston: McGrawHill Kressler, H.W. 2003. Motivate and reward: performance appraisal and incentive systems for business success. Palgrave Macmillan. Martin, J, 1998. Organizational behavior. London: international Thomason business press. 13 | P a g e
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