The effect of the motivation of the employees on their perfmormance. The Federal Public Procurement and Property Disposal Service

Master's Thesis , 2018 , 101 Pages , Grade: 2

Leadership and Human Resources - Miscellaneous

Motivation seems to be one of the most important tools of Human Resource Management. Organizations design motivation systems to encourage employees to perform in the most effective way but also to attract potential candidates. Employee motivation is a significant psychological aspect of management. To maximize the effort and performance of employees, there should be a mechanism of motivation.

This study sought to investigate the effect of employees’ motivational factors on employee’s performance with special reference to federal Public procurement and property disposal service. This study was conducted based on the data gathered from employees of federal public procurement and property disposal service. This study adopted explanatory research design. The target population for this study was 177 employees of federal
Public procurement and property disposal service. A census sampling was done and so the 123 employees constituted the sample size. A representative sample was drawn from this population using probabilistic sampling technique (simple random sampling) to select sample elements from the organization. The data collection tool was the questionnaires which contained closed ended Survey and face to-face interviews. Out of 123 questionnaires that have been distributed, all were usable. The mean value of the five point likert scale values of the dependent and various independent variables were taken as motivational factors which determine the performance of the employees. The analysis of the data was done with the help of the Statistical Package for Social Sciences (SPSS) and EViews.

The research results found that Payment, promotion, Co-worker relation, supervision and Career development as major influencing factors for employee’s performance. Whereas responsiveness were found to have insignificant effect on employee’s performance in federal public procurement and property disposal service. The study recommended that to increase employees performance, organizations need to focus on modern
pay package, having sound leadership, promotion of staffs, smooth co-worker relationship and plan and execute shorter and long term training.

Table of Contents

Acknowledgment

List of Table

List of Figure

List of abbreviation\acronyms

Abstract

CHAPTER ONE
INTRODUCTION
1.1. Background of the Study
1.2. Statements of the problem
1.3. Research Questions
1.4. Research Objectives
1.4.1. General Objectives
1.4.2. Specific Objectives
1.5. Significance of the Study
1.6. Scope of the Study
1.7. Limitation of the study
1.8. Operational Definition of terms
1.9. Organization of the Study

CHAPTER TWO
REVIEW OF RELATED LITERATURE
2.1. Introduction
2.2. Concepts of Motivation
2.3. Importance of Motivation
2.4. Types of Motivation
2.4.1. Extrinsic and Intrinsic Motivation
2.5. Motivation Theories
2.5.1. Content (needs) Theory
2.5.2. Maslow’s Hierarchy of Needs Theory
2.5.3. ERG theory (Alderfer)
2.5.4. McClelland’s Achievement–Affiliation–Power Needs
2.6. Job Satisfaction and Herzberg’s two-factor Theory of Motivation
2.7. Motivation and Job Satisfaction
2.8. Employee’s Performance
2.9. Dimensions of motivation
2.10. Empirical literature and hypothesis
2.11. Justification of model used
2.11.1. Payment
2.11.2. Promotion
2.11.3. Co-worker relation
2.11.4. Responsiveness
2.11.5. Supervision
2.11.6. Career Development
2.11.7. Performance
2.12. Conceptual Framework of the model
2.13. Summary of Review literature

CHAPTER THREE
RESEARCH DESIGN AND APPROACH
3.1. Introduction
3.2. Research Design
3.3. Research Methods and Techniques
3.4. Population and Sampling
3.4.1. Sample Design
3.4.2. Target Population
3.5. Sampling size and Technique
3.6. Data Collection Instruments
3.7. Questionnaires
3.8. Interviews
3.9. Sources of Data
3.9.1. Primary data sources
3.9.2. Secondary data sources
3.10. Model Specification
3.11. Data analysis and interpretation
3.12. Pilot Testing
3.13. Ethical Consideration
3.14. Measurement: Validity and Reliability

CHAPTER FOUR
PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA
4.1. Introduction
4.2. Response Rate on Questionnaire
4.3. Demographic Characteristics of Respondents
4.4. Survey Results
4.4.1. The Existing motivational plan used by the organization
4.4.1.1. Payment
4.4.1.2. Promotion
4.4.2. The major motivational techniques that helps to improve employee performance
4.4.2.1. Co-worker relation
4.4.2.2. Responsiveness
4.4.3. The effect employees Motivation on employees’ performance
4.4.3.1. Supervision (leadership)
4.4.3.2. Career Development
4.4.3.3. Employees’ performance
4.5. Mean and Standard Deviation of Variable
4.6. Test results for the Classical Linear Regression Model assumptions
4.6.1. Model Specification
4.6.2. Autocorrelation
4.6.3. Multicollinearity
4.6.4. Heteroskedasticity
4.6.5. Normality
4.7. Hypothesis Testing Using Multiple Regressions
4.7.1. Payment
4.7.2. Promotion
4.7.3. Co-worker relation
4.7.4. Responsiveness
4.7.5. Supervision
4.7.6. Career development

CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
5.1. Summary of findings
5.2. Conclusion
5.3. Recommendations
5.4. Suggestions for Future Research

Reference

Appendices

List of Table

Table 1 Relationships of Maslow, ERG and McClelland's model

Table 2 Reliability Test (Cronbach's Alpha)

Table 3 Respondents’ level of education

Table 4 Descriptive statistics of Payment

Table 5 Descriptive statistics of Promotion

Table 6 Descriptive statistics of co-worker relation

Table 7 Descriptive statistics of Responsiveness

Table 8 Descriptive statistics of Supervision (leadership)

Table 9 Descriptive statistics of Career Development

Table 10 Descriptive statistics of Employees performance

Table 11 Mean and standard deviation of variables

Table 12 Model Specification

Table 13 Autocorrelation

Table 14 Multicollinearity

Table 15 Heteroskedasticity Test

Table 16 multiple regression results

List of Figure

Figure 1 The process of motivation

Figure 2 Maslow’s Hierarchy needs

Figure 3 Conceptual Framework of the model

Figure 4 Respondents’ Gender

Figure 5 Respondents’ Age

Figure 6 Work Experiences of Respondent

Figure 7 Respondents’ Basic salary

Figure 8 Respondents’ position

Figure 9 Normality Test

List of abbreviation\acronyms

Abbildung in dieser Leseprobe nicht enthalten

Abstract

Motivation seems to be one of the most important tools of Human Resource Management. Organizations design motivation systems to encourage employees to perform in the most effective way but also to attract potential candidates. Employee motivation is a significant psychological aspect of management. To maximize the effort and performance of employees, there should be a mechanism of motivation. This study sought to investigate the effect of employees’ motivational factors on employee’s performance with special reference to federal Public procurement and property disposal service. This study was conducted based on the data gathered from employees of federal public procurement and property disposal service. This study adopted explanatory research design. The target population for this study was 177 employees of federal Public procurement and property disposal service. A census sampling was done and so the 123 employees constituted the sample size. A representative sample was drawn from this population using probabilistic sampling technique (simple random sampling) to select sample elements from the organization. The data collection tool was the questionnaires which contained closed ended Survey and face to-face interviews. Out of 123 questionnaires that have been distributed, all were usable. The mean value of the five point likert scale values of the dependent and various independent variables were taken as motivational factors which determine the performance of the employees. The analysis of the data was done with the help of the Statistical Package for Social Sciences (SPSS) and EViews 9. The research results found that Payment, promotion, Co-worker relation, supervision and Career development as major influencing factors for employee’s performance. Whereas responsiveness were found to have insignificant effect on employee’s performance in federal public procurement and property disposal service. The study recommended that to increase employees performance, organizations need to focus on modern pay package, having sound leadership, promotion of staffs, smo oth co-worker relationship and plan and execute shorter and long term training.

Keywords: modern pay package, Sound leadership, promotion as motivational factors, employee’s performance .

CHAPTER ONE
INTRODUCTION

This chapter deals with the introductory part of the study. It includes background information, problem statement, basic research questions, objectives, significance, Scope, Limitation of the study, organization of the study and Operational definition of terms.

1.1. Background of the Study

At the present time, employee’s motivation comes to be a very essential element in every employee’s performance. Employee motivation becomes crucial because it can influence employees to perform an upright performance in their job. It is for the reason that without employee motivation employees will not have the sprit to work very well in order to achieve the organization goal, in addition, motivation can rise the employee ability and strengthens in their work so that the employees’ can effort properly Ghani (2011).

Motivation is a topic that is widely researched. Halfway the twentieth century the pioneer motivational theories arose, namely Maslow’s hierarchy of needs (1943), Herzberg’s two-factor theory (1959) and Vroom’s expectancy theory (1964). Those researches focused on motivation in general and employee motivation more specifically Keijzers (2010).

Motivation is the process that [advances, guides, boosts and sustains] behavior and performance. Motivation promotes workers towards the actions which helps them to achieve a preferred task. Employee’s efficiency is a way which can inspire people to their work and can bring more work motivation to their commitment on their own jobs. Performance is considered as a multi-dimensional concept. One of them is Job performance, it is categorized as behavioral and performance aspect. The behavioral aspect refers to what people do while at work which means the action itself. The performance aspect is identified as specific behaviors such as sales conversation with customers, programming computer software and teaching statistic to undergraduate students. This concept explains that only actions can be scaled or counted Rizwan et al (2010).

It has been truly found out that highly satisfied and motivated employees following a pattern of daily work management have been the core strength not only for employees’ performance but also for most successful organizations Navdeep & Pankaj (2010).

Today organization with relative ease changes their material needs, equipment, goods and services to other organization, or to other countries. But the only one resource which is not easily exchangeable is human resource. Thus we can safely conclude that human resource is very important or most competitive asset of any organization that cannot be exchangeable that aid organizations gain their competitive edge. According to Hashim et al (2014) define human resources or human assets as workers or employee of any organization. Within this context Azar and Shafighi (2013) and Shehzad et al (2014), note employee is the most important resource of an organization. The failures or success of an organization can be summed up to the inputs initiated from its human resource. The factors that initiate the performance of employees are matter of key interest for researchers. In fact motivation is the best tool for best performance. Motivation will lead to the fact that workers or employees of the organization will seriously do his duties and responsibilities.

The researcher intended to find the relationship of employees’ motivation on employees’ performance. Motivated workers require an in-depth understanding of the human nature, individual differences and perceptions of appropriate with a combination of motivation. However, many managers do not give more emphasis to the concept of employees’ motivation and the relationship of employees’ performance and therefore, fail to effectively motivate and mobilize their work force effectively Cynthia & Frank (2011).

1.2. Statements of the problem

In the era of globalization and remarkable change, it is very challenging to design the behavior of employees in accordance with that of organization's requirement as workforce has lots of diversity on the basis of (Mental, physical, social and economic) ground as well Singh (2015).

Organizations employ resources necessary for their success such as human, physical and financial resources to produce intended outcome. To have and maintain the success every organization demands extraordinary abilities and sustained efforts from its employees and people as Organizations do not exist without employees Plessis, et al (2016).

There are a number of studies which have been conducted on the role and effect of motivation on employees’ performance. Nelson & Quick (2003) contend that a job with high motivation and hygiene factors leads to high performance and few complaints among employees. Employee’s performance like all other systems they do not function when their components do not work together smoothly and efficiently. In another study carried out in Kenya, Ochieng (2003) established that both intrinsic and extrinsic reward system equally played a role in secondary teachers’ performance and motivation in Migori district. In other study Pratheepkanth (2011) argued that highly performing employees at commercial bank of Sri Lanka, in Jaffna District were driven by non-financial oriented rewards which are an intrinsic motivation system. Also, Mwanje (2010) study on the staff motivation in the Bank of Uganda pointed out that promotion was indeed a vital aspect of job performance. The findings also indicated that intrinsic rewards were critical in enhancing employee performance. On the other hand, Khan, Farooq, & Ullah (2010) conducted among the commercial banks employees in Pakistan showed that pay played a critical role in employee performance. It was observed that extrinsic reward system had an impact on employee performance. Likewise recent study by,(Irshad, 2016) Establish a strong relationship between extrinsic motivational means and employee’s performance.

In Ethiopia IJAH (2013) reveals extrinsic motivation given to workers in an organization has a significant influence on the workers performance establish a relationship between extrinsic motivation and performance of employees. However intrinsic motivation was found to have no effect on employee’s performance. Negash et al (2014) stated that there is a relationship between compensation and its components and employee work motivation. Likewise, Nigussie (2014) on his study of secondary school of Jijiga city educators’ found out that there is a poor work performance due to motivational factors.

According to the researchers finding none of the previous studies in Ethiopian context has a scope of assessing public institute that has a tremendous risk of temptation and unethical conduct and require high skill, integrity, transparency as well as dynamism as Federal public procurement and Property disposal service that is responsible for the mobilization of 62% of countries budget and also accounts for 15% of GDP Bahta (2013).

Within the last two years, PPPDS has been in turmoil suffering from high employee turnover according to the unpublished data in 2016 the number of employees that leave the organization is 26 (14.7%) and in 2017 the number of employees that left the organization surges to 39 (22%) totally within 2 years the organization lost 65 (36.7%) of its employees. Costly et al (1987) points out that a high labor turnover may mean poor personnel policies, poor recruitment policies, poor supervisory practices, poor grievance procedures, or lack of motivation.

According to the annual report in 2017 G.C the organization has major problems in making timely procurement to public bodies in terms of centralized procurement along with delivery of questionable quality on the goods procured in terms of user specification while procuring both centralized and strategic procurements. Additionally, in terms of contract administration follow up and slow to penalize plaintiff suppliers as per the contract signed. In mean time the other main core activity of the organization which is disposing of an asset to the public body has equally faced a very slow process in disposing the stock of unusable public assets that has put top level management in a hot water which evidently triggered them to pressure their subordinates’ and employees craft a havoc in working environment for employees.

Thus the researcher inclines to examine empirically whether the above stated organizational problem has led to influence the motivation of employees to perform their duties.

1.3. Research Questions

This research intended to address the following questions:

1 What are the existing employee motivational tools that are applied by the organization?
2 Which motivational techniques are vital in improving employee performance at PPPDS?
3 What are the effects of employee’s motivational factors on employee’s performance in PPPDS?

1.4. Research Objectives

1.4.1. General Objectives

The main objective of the study was to examine the effect of motivation on employee’s performance with special reference to PPPDS.

1.4.2. Specific Objectives

The following research questions guided this study:-

1 To assess the existing employee motivational tools those are applied by the organization.
2 To identify the major motivational techniques that helps to improve employee performance at PPPDS.
3 To investigate the effect of employees Motivation on employees performance in PPPDS.

1.5. Significance of the Study

Knowledge of the extent to what motivates employees is paramount in public sector where high skill and rampant employment is available. The twenty first century has shown that the intangible resources such as patent, trade secret, and skilled human resource give the edge to organizations and often found to be difficult to exchange and integrate like other physical resources. Conceptually employees’ motivation is measured under different dimensions. Hence, this study primarily focuses on employee performance and motivational factors such as remuneration, promotion, Co-worker relation, responsiveness, supervision and Career development in Federal Public Procurement and Property Disposal service in 2017.The finding of this study has a great importance for the organization that help to restructure the motivations criteria, and flourish the motivations environments and be able to consider important factors in motivating employees. To future researchers, this study will intend to spur more researchers and academicians within the staff motivation related matters. To managers and administrative officers especially those who deals with human resources, its results is intending to come up with recommendations which, when read will be very useful for staff motivation matters. Also for the policy makers in tuning the existing policy as well as to top level management to use their authority within the boundary bestowed to them. Moreover, the study will add body of literature on understanding the topic, not only to employees but also to different stake holder such as employers will be benefited to this study as will make possible to compare the motivations incentives offered at one organization to other organization.

1.6. Scope of the Study

Even though, there are almost 179 Federal budgetary institutes currently in Ethiopia MoFEC, (2017). Among the sectors exposed to rent seeking i.e. Land administration, Customs and Revenue authority and Procurement activity has been branded as worst by the government FEACC (2016). Shouldering federal institutes Procurement activity as well as disposing their asset is sole responsibility of Public Procurement and Property Disposal Service. Therefore the study was delimited geographically, conceptually and methodologically. Conceptually motivation is measured using various relevant variables this study primarily focuses on the association between employee performance and motivational factors such as remuneration, promotion, Co-worker relation, responsiveness, supervision and career development. This study emphasized on empirically examining effect of motivational factors on employees’ performance of PPPDS in 2017 G.C. The target population was taken from employees of PPPDS. Based on the broader nature of the research, the study was limited to PPPDS. The researcher didn’t focus on other factors.

1.7. Limitation of the study

Every study conducted may have certain shortcomings. Hence this research was confined into investigating federal public institution that have a resemblance with public budgetary body in terms of incentives and employee administration. As it is employment policy is governed by Ministry of public service and human resource development. Public institutions that are structured as enterprise and not a part of Ministry of public service and human resource development territory will require future investigation. Furthermore when conducting this research the target population will be limited to current employees and exclude those who have already left the organization in 2017 as their current location about is unknown. This decision will expect not to influence the result of the study as the current target population and the ex-employees have a homogenous characteristic.

1.8. Operational Definition of terms

- Motivation is the word derived from the word ‘motive’ which means needs, desires, wants or drives within the persons. It is the process of stimulating or inducing people to take the desired course of action and inspiring employees to work hard to achieve a desired goal C.B.Gupta (2017).

Employee Performance: The activity of performance; of doing something fruitfully; by using knowledge as famous from simply possessing it; A performance Comprises an event in which normally one group of people the performer or Performers act in a particular way for another group of people Kavisekara (2017).

- Productivity is that which people can produce with the smallest amount effort. Productivity is a ratio to calculate how well an organization or individual, industry, country converts input belongings, labour, and materials machines etc. in to intended or expected result Chaundry & Sharma (2012) .

Co-worker relation: Coworker’s relationship contained in an organization is a type of interpersonal relationship based on two concepts: the leader-member relationship and coworkers' interactions She & Jennifer (2011).

- supervisors typically are responsible for their direct reports progress and productivity in the organization. It often includes conducting basic management skills (decision making, problem solving, planning, and delegation and meeting management) carter (2011).

Payment: which encourages workers or groups by rewarding them according to their performance; personal or special allowances, or with long service; and fringe benefits such as holidays with pay, pensions, and so on. It is also important to ensure that employee satisfaction in determining the pay structure of their organization has the power to attract, retain, and motivate individuals towards higher performance Banjoko (2010).

Responsiveness : In the context of a system can be defined as the outcome that can be achieved when institutions and institutional relationships are designed in such a way that they are cognizant and respond appropriately to the universally legitimate expectations of individuals.

Top Manager: In this study refers to heads of sections and departments within the organization.

Employees: refers to a person being hired in the federal public procurement and property disposal service.

Incentive: In this study the term identified that an incentive is a tangible or intangible reward that is designed to motivate a person or group to behave in a certain way. Additionally it is an act or promise for greater action, remuneration or benefit to an employee in recognition of achievement or better work Ojeleye (2017).

1.9. Organization of the Study

This study was organized into five chapters. The first Chapter contains the backgrounds of the study, statement of the problem, research question, the general and specific objectives, significance, scope, limitations of the study and operational definition. This is followed by chapter two which is review of related literature on the subject matter. That is the relationship between motivational packages and employees job satisfaction. Chapter three looked at the methodology of the research which comprises of the research design, sample population, sample and sampling technique and also sources of data and data collection instruments, methods of data collection and analysis. Chapter four contains with proposed data analysis. Lastly the rest chapters dealt with discussion of the result and findings and recommendation of the result was described.

CHAPTER TWO
REVIEW OF RELATED LITERATURE

2.1. Introduction

This chapter deals with some of the related literature which may have direct or indirect significance with the study. The researcher describe and explain the concepts, models and theories that are relevant in the field of motivation and necessary to facilitate a comprehensive analysis and understanding of the research question .It may be useful to conceptualize the term financial motivation and what its concepts are. A broader definition of motivation was introduced.

2.2. Concepts of Motivation

Every organization is concerned with what should be done to achieve sustained high levels of performance through its workforce. This means giving close attention to how individuals can best be motivated through means such as incentives, rewards, leadership etc and the organization context within which they carry out the work Osabiya (2015).

According to Webster’s New Collegiate Dictionary, a motive is “something a need or desire that causes a person to act”. “Motivate, in turn, means “to provide with a motive” and motivation is defined as “the act or process of motivating”. Consequently motivation is the performance or procedure of presenting an intention that origin a person to capture some accomplishment Shanks (2006).

The concept of motivation is defined and expressed by many scholars.Yet many scholars refer to Armstrong (2009) version of definition while defining motivation he state that:

Motivation is concerned with the strength and direction of behavior and the factors that influence people to behave in certain ways. The term ‘motivation’ can refer variously to the goals individuals have, the ways in which individuals choose their goals and the ways in which others try to change their behavior. Motivating other people is about getting them to move in the direction you want them to go in order to achieve a result. Motivating oneself is about setting the direction independently and then taking a course of action that will ensure you get there. Motivation can be described as goal-directed behavior. People are motivated when they expect that a course of action is likely to lead to the attainment of a goal and a valued reward-one that satisfies their needs and wants. Well-motivated people engage in discretionary behavior-in the majority of roles there is scope for individuals to decide how much effort to exert.

Motivation is one of the constructs psychologists have propounded in their quest for understanding the individual. Motivation is the willingness to exert high levels of efforts towards organizational goals conditioned by the efforts and ability to satisfy some individual needs. Motivation is an elusive concept including both the directing and energizing of behavior. While controlling people’s behavior can produce quick and dramatic results, the desired behavior tends to vanish when external controls fade away. Motivation is the process of arousing, directing and maintaining behavior towards a goal Greenberg (1999).

Motivation has an important role in encouraging someone to do the work to achieve their personal or group or company goals. The executive leaders and managers of the companies need to apply effective methods or approaches to influence the employee motivation in order to achieve better performance. Motivation of the employees can be sourced from internal (intrinsic) and external (extrinsic) value for the organization Ita (2016).

Motivation is a combination of needs, drives and incentives. Motivation is defined as the process that starts with physiological or psychological deficiency or need that activates behavior or a drive that is aimed at a goal or incentive. The underlying concept of motivation is some driving force with individuals by which they attempt to achieve some goal in order to fulfill some need or expectation Mullins (1999).

Sustaining effective and productive organizations is a prerequisite for achieving economic, social and political development. Attracting employee to organization retention of committed employees to their organization and job satisfaction are outcomes of good human resource management. Employees join and continue to work for an organization as long as their needs are reasonably satisfied.

While further strengthening the above shown approach, Luthans (1998) suggests that:

Employees are the backbone of an organization. The attainment of organizational objectives largely depends on the motivation of employees to work. Among other things employees are motivated to work when they are provided a fair financial and non-financial compensation for service rendered to the organization. “Compensation is the reward employees receive in exchange for their performance. It is concerned with wages and salaries, pay raises, and similar non-monetary exchange for employee’s performance” Motivation is the desire to achieve beyond expectations, being driven by internal rather than external factors, and to be involved in a continuous striving for improvement.” Motivation in the context of work is a psychological process that results from the interaction between an employee and the work environment and it is characterized by a certain level of willingness. The employees are willing to increase their work effort in order to obtain a specific need or desire that they hold.

It has been established that motivation is concerned with the factors that influence people to behave in certain ways.

According to Arnold (1991), motivation consists of three components:

- direction – what a person is trying to do
- effort – how hard a person is trying
- persistence – how long a person keeps on trying

Motivation theory tries to explain why people at work behave the way they do in terms of their efforts and strive for achievement. The process of motivation can be shown as follows.

Figure 1 The process of motivation

Abbildung in dieser Leseprobe nicht enthalten

Source: Armstrong (2006)

In this model motivation is initiated by the conscious or unconscious recognition of unsatisfied needs. These needs create wants which in turn become desire to achieve or obtain something. In order to satisfy the needs and wants goals are created and a behavior selected in order to achieve these goals. If the goal is achieved, the behavior is likely to be repeated when a similar need emerges. If the goal is not achieved the same action is less likely to be repeated Armstrong (2006).

2.3. Importance of Motivation

At this time in any organization motivation plays a key role in employee’s job performance. Organization first and for most they have to establish the motivational system and have to meet all the employee’s needs. Since their satisfaction is fulfilled the employees will tend to outline an independent relationship between their involuntary wish of performing the professional activity and their mood. By taking into account the company will gain a major benefit from its employee’s performances as well it will create an Effective and Efficient human resource Ioan et al (2013).

One strategy for reaching higher goals and development is motivation. Employees are motivated to render quality service and effectiveness which means that motivation is a key factor for progress within an institution or organization. Motivating employees is essential for the achievement of organizational goals Nchorbuno (2011).

The achievements of individuals and organizational goals are independent process linked by employees’ work motivation. Individuals motivate themselves to satisfy their personal goals. Therefore they invest and direct their efforts for the achievements of organizational objectives to meet with their personal goals also. It means that organizational goals are directly proportion to the personal goals of individuals Robert (2005).

2.4. Types of Motivation

Motivation at work can take place in two ways. First, people can motivate themselves by seeking, finding and carrying out work (or being given work) that satisfies their needs or at least leads them to expect that their goals will be achieved. Secondly, people can be motivated by management through such methods as pay, promotion, praise, etc Armstrong (2009).

Hence as originally identified by Herzberg (1957), there are two main broad categories of motivation i.e. extrinsic and intrinsic motivation:

2.4.1. Extrinsic and Intrinsic Motivation

- 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 necessary last long Mullins (2010).

- Intrinsic Motivation

This is related to psychological rewards such as the opportunity to use one's ability. There is also 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 (2010).

Given the complex and variable nature of needs and expectations the following is a simple and useful three fold classification for reviewing the motivation to work developed by Mullins (2010).

- Economic rewards: such as pay, fringe benefits, pension rights, material goods and security.

- Intrinsic satisfaction: derived from the nature of the work itself, interest in the job and personal growth and development. This is a personal orientation to work and be concerned about one self.

- Social relationships: such as friendships group workings, and the desire for affiliation, status and dependency.

Intrinsic motivators are concerned with the quality of work life, and are likely to have deeper and long term effect because they are inherent in individuals and are not imposed from outside Armstrong (2006).

2.5. Motivation Theories

2.5.1. Content (needs) Theory

The theory focuses on the content of motivation in the shape of needs. Its basis is the belief that an unsatisfied need creates tension and a state of disequilibrium. To restore the balance, a goal is identified that will satisfy the need, and a behavior pathway is selected that will lead to the achievement of the goal and the satisfaction of the need. All behavior is therefore motivated by unsatisfied needs Osabiya (2015).

There are three points that emerge from this model.

- First, people have a multiplicity of needs depending on themselves and the situation they are in.
- Second, they can select all sorts of goals and actions to satisfy those needs.
- Third, while we can observe their behaviour we cannot be certain of the needs and goals that motivated it.

It is unwise to assume that anyone approaches to motivation will appeal to all affected by it. Motivation policies and practices must recognize that people are different. Needs theory has been developed by Maslow, Alderfer and McClelland, as described below Armstrong & Stephen (2014).

2.5.2. Maslow’s Hierarchy of Needs Theory

Maslow (1943) was the first to use people’s needs in motivation theory. He worked with individuals having neurotic ailments and assessed their hierarchy of needs in 1943. Maslow’s theory on motivation has attracted management theorists. The hierarchies of needs according to Maslow are the following: Physiological needs, Safety needs, Love needs, Esteem needs and Self-Actualization Needs. These needs are arrange from the lower needs to the higher needs Nchorbuno (2011).

Maslow’s full Name Abraham Maslow. He says that five universal needs motivate a person. He arranges them as Hashim et al (2014).

I. Physiological or Basic needs

According to Anyim (2012) physiological or basic needs are the basic need of a person. It includes as driving force. This is also called felt need. This need causes physiological tension which is shown by any body’s behavior. This can be reduced by eating something Chintalloo & Mahadeo (2013). Also explain physiological needs. According to them physiological needs basically is satisfied the basic need of human. Physiological needs or basic needs also called biological needs. Maslow said when a person fulfills the basic, physiological or biological needs him move up the next level. For example: Food, shelter, clothes, sleeping and breathing etc(Ibid).

II. Safety needs

Safety needs is the needs for shelter and protection. In this need a person needs security, stability and dependency. In this a humans needs freedom from anxiety law and order and structure. This need is also called security needs. For examples the employee’s or the worker’s in a private organization demand that the organization or company must be provide their job security, health security and promoting safety. Nowadays private organizations also provide the promoting safety and health plan, and emergency fun and accident cover’s benefits (Ibid).

III. Belongings needs

These needs are also known as social needs. It includes love and belongings. Usually man’s needs love and care. These needs can be fulfill by interaction with coworker and colleagues. For examples feelings of friendship, feelings of love, caring of family or relative etc. At work having a good relation with group fellow or colleagues for promoting the team work and achieving the organizational goal the managers could force the workers that they must be works in groups or in a team(Ibid).

IV. Esteem needs

Esteem needs are also known as egoistic needs. In this a man needs self-respect and the esteem of other. Man needs or reputation, prestige, status, fame, glory, dominance and recognition etc. Esteem needs are difficult to satisfy in some industries. In an organization a manager should be respectively treating their employees. And the workers should also respect the policies or the law of the organization. The worker’s also respect each other. Example of these needs is the achievement and confidence (Ibid).

V. Self-actualization needs

This is the highest need. A man wants self-realization and self-development and desire to be able to do something. Morality, acceptance of facts, lack of prejudice, creativity, spontaneity and problem solving are all examples of self - actualization needs(Ibid).

Figure 2 Maslow’s Hierarchy needs

Source: Mullins (2010)

2.5.3. ERG theory (Alderfer)

Alderfer (1972) produced a more convincing and simpler theory, which postulated three primary categories of needs:

Existence needs: such as hunger and thirst – pay, fringe benefits and working conditions are other types of existence needs.

Relatedness needs: which acknowledge that people are not self-contained units but must engage in transactions with their human environment – acceptance, understanding, confirmation and influence are elements of the relatedness process.

Growth needs: which involve people in finding the opportunities to be what they are most fully and to become what they can. This is the most significant need Armstrong & Stephen (2014).

2.5.4. McClelland’s Achievement–Affiliation–Power Needs

Theory is also known as the Three-Need Theory or Learned Need Theory. Contrary to theorists who believe that individuals have identical innate needs, McClelland (1988) argues that certain needs differ from individual to individual and that they are often learned needs; with some people having higher levels of one need than others Seniwoliba & Nchorbono (2013).

He identified three needs of which the need for achievement was the most important: Armstrong & Stephen (2014).

A. The need for achievement: defied as the need for competitive success measured against a personal standard of excellence.

B. The need for affiliation: defied as the need for warm, friendly, compassionate relationships with others.

C. The need for power: defied as the need to control or influence others.

Needs theories are the basis of most work places’ motivational theories. Here is an over view of the different work places’ motivational theories it has been described so far. They show the similarities and differences between the work places’ motivational theories based on needs. Indicating some interesting relationships from distil some common truths about needs motivation theories.

Table 1 Relationships of Maslow, ERG and McClelland's model

Starting Maslow, we’ll cover the ERG model as well as McClelland's model

Abbildung in dieser Leseprobe nicht enthalten

Source: Mullins (2010).

2.6. Job Satisfaction and Herzberg’s two-factor Theory of Motivation

The theory was highly controversial claims to be the most replicated study in this area and provided the foundation for numerous other theories and frameworks in human resource development Herzberg (1987). The theory states that job satisfaction and dissatisfaction are affected by two different sets of factors. Therefore satisfaction and dissatisfaction cannot be measured on the same continuum Christina (2013).

Frederick Herzberg’s two-factor theory (also called motivation-hygiene theory) proposes that intrinsic factors are related to job satisfaction, while extrinsic factors are associated with job dissatisfaction. Generally speaking, Herzberg (1968) suggested in his Two-factor Theory of Motivation that there were two factors driving employee’s satisfaction in the workplace: motivation factors and hygiene factors. Hygiene factors, if lacking in a vocational environment, can lead to workers’ job dissatisfaction Herzberg (1986).

The role of hygiene factors is simply to prevent workers’ discontent. In other words these factors do not lead to higher levels of motivation but without them there is dissatisfaction. Unlike hygiene factors, motivation factors can truly encourage employees to work hard and enjoy their jobs. These factors involve what people actually do on the job and should be engineered into the jobs employees do in order to develop intrinsic motivation within the workforce Herzberg (1976).

2.7. Motivation and Job Satisfaction

Motivation and Job Satisfaction has been considered to be affected by economic variables and this fact cannot be denied but are not sufficient enough to have a prolonged effect. However, it is seen that appeal to then motivating economic tools and expecting from them more than needed does not seem to result in success very much. Therefore, in planning rewarding, encouraging economic tools should be employed in accordance with employees’ needs. In fact, there are ways of increasing employees’ work motivation and satisfaction other than monetary tools Moncrief (2010).

2.8. Employee’s Performance

Every human being needs to survive in the organization with full respect and honors. They stay when the organization pay more with return of the proper satisfaction. Employees have targets professional goals and targets. Different Scholars said individual performance with origination performance effects equally Masood (2013).

Good organizations are maintained to design and enable the organizations to attract highly skilled and qualified employees retain and motivate towards achieving the objectives and goals. If the employees are free that they have not getting good salary they cooking for better employee’s dissatisfaction with the compensation towards goal attainment towards goals done to be lower. Dissatisfied employees increase employee’s turnover and poor mental activity. The main objective of compensation is that employees are devoted to their work and motivated to the job Decenzo & Robbins (2002).

Employees are important parts of an organization increasing the performance. They can be motivated through financial and non-financial benefits. Employees concentrated pay or wages and similar to non-monetary exchange for the employees’ performance Holt (1993).

An evaluation of employees’ performance is necessary for several reasons such as compensation, promotion and employee’s training and feedback and personnel research. There are two main criteria used in performance appraisal namely objective and subjective criteria. Objective criteria include the assessment of quantity of work, quality of work, attendance and safety. On the other hand subjective criteria include supervisor evaluations by which employees are evaluated individually employee’s competent methods by which employees are competent with one another, peer ratings, self-appraisal and customer and subordinate ratings Masood (2013).

Breaugh (1981) states in his research that there are four different performance dimensions on which employees are measured named: quality, quantity, dependability and job knowledge. This theory combined with Vroom’s (1964) theory results in the work of Hunter (1986). Also Griffin et al (1981) concluded in their literature review that there are few true objective options to measure job performance one alternative is used in the research of Umstot, Bell, & Mitchell, in 1976. Namely, take job performance as “the average number of units produced per hour for one day adjusted for set-up and called productivity” Keijzers (2010).

Rewards and employees performance is the expected theory which means that employees are most motivated performance is more performance to receive rewards and bonus. Rewards are the key motive to increase the employee’s performance expecting the employees doing well. Giving monthly rewards also increase the performance some other views that recognition in pleasanter. The organization favorable work environment motivated the employee Freedman (1978) as cited in Rizwan & Ali (2010).

According to Robins (1996) a popular although arguably simplistic way of thinking about employee’s performance is a function of the interaction of ability and motivation that is, performance = f (A x M). If either is inadequate performance will be negatively affected. The effects of motivation on performance are dependent on the level of ability of the worker and the relationship of ability to performance is dependent on the motivation of the worker.

In addition to this, Vroom (1964), in his study entitled work and motivation found that Performance appraisal (PA) has developed over the course of a century into a complex and costly management support tool. Although the objective appraisal systems provide accurate measures of employee performance they require both organizational support and maintenance. For supervisors and managers, the appraisal system is an instrument. How they use it will depend on both their perception of the organization’s needs and how well they have been trained in its use. When the quality of an individual’s work performance is examined, PA is the preferred instrument. Ideally, PA is a lens that focuses the decision-making process on the appropriate job-related criteria. Daley (1992).

2.9. Dimensions of motivation

Every organization is concerned with what should be done to achieve sustained high levels of performance through its workforce. This means giving close attention to how individuals can be motivated through means such as incentives, rewards, leadership etc. and the organization context within which they carry out the work Armstrong (2006).The study of motivation is concerned basically with why people behave in a certain way. In general it can be described as the direction and persistence of action. It is concerned with why people choose a particular course of action in preference to others, and why they continue with chosen action, often over a long period, and in the face of difficulties and problems Mullins (2010).

2.10. Empirical literature and hypothesis

Whether in the form of wages, piecework or any other incentive pay, bonuses, stock options, company-paid insurance, or any of the other things that may be given to people for performance, money is important. The way to ensure that money has meaning, as a reward for accomplishment and as a way of giving people pleasure from accomplishment is to base compensation as much as possible on performance. Along with wages and salaries, many organizations offer incentive pay that is pay specifically designed to energize, direct, or control employees’ behavior. Incentive pay is influential because the amount paid is linked to certain predefined behaviors or outcomes.

Ojeleye (2017) Examined the impact of remuneration on employees' performance (a study of abdul gusau polytechnic, talata-mafara and state college of education maru zamfara state) Self designed questionnaire was used as the primary data collection method. The data was analyzed using descriptive statistics and inferential statistics. The representative sample of 83 employees are selected from a population the correlation analysis showed that there is positive correlation between salaries and wages (.804**) and bonus (.589**) and employees performance revealing that an increase in remuneration will lead a positive increase in employees' performance. In other words a positive change in remuneration from the employer will encourage or motivate the employees to increase their performance. This supports and reinforces the reinforcement and expectancy theory of remuneration.

- H1: There is positive and significant relationship between employee financial incentive and employee’s performance.

Christina (2014) Stated Promotion constantly go with remuneration increase, either it is made with in a grade or to the superior grade. A continuous procedure, which totally relies on the span of service and professional “competency”, is accepted at the moment of promotion to higher step in the job within a grade promotion. Tessema and Soeters (2006) concluded that there is a positive association between promotion practices and employee performance. Shahzad et al. (2008) have suggested that “there is a positive relationship of promotion practices with the university teachers” performance. In this study a researcher is going to find out the impact of promotion on employees performance for the public organization in Tanzania.

- H2: There is positive and significant relationship between promotion and employees’ performance.

One of the core relations developed in the workplace is between supervisor and employees. Positive relations with their supervisors may lead employees to have positive attitude towards their organization and, particularly, enhance their feelings of competence in performing job activities Stephen & Robbins (2001). Driscoll (1978) and Liou (1995) pointed out that trust of the subordinates and coworkers affects the rate of job satisfaction, Kistin (2005), Liao et al. (2008), and Weng et al. (2010) also indicated that trust in the leaders and coworkers affect the rate of job performance, while the relationship between the leaders and the subordinates reveals the level of confidence, trust, and respect from the subordinates to the leaders. Hackett and Guion (1985), Bass (1990), and Robbins (2003) have also mentioned that coworkers' relationship affects job satisfaction. Likewise She and Jennifer (2011) that found Coworkers' relationship has positive effect on job satisfaction.

- H3: Co-worker relationship among the employees has a positive and significant effect on the employees’ performance.

In another study carried out by Centres and Bugental (2007), they also based their research on Herzberg’s two-factor theory of motivation, which separated job variables into two group; hygiene factors and motivators. They made use of sample of 692 subjects to test the validity of two-factor theory. And it was discovered that at higher occupational level, “motivators” or intrinsic job factors were more valued, while at lower occupational level, “hygiene factors” or extrinsic job factors were more valued. From this work they concluded that organization that satisfies both extrinsic and intrinsic factor of workers get the best out of them IJAH (2013).

Daniel and Caryh (1995) additionally studied to explore the ability of the investment model to predict job satisfaction and job commitment. The result showed that job satisfaction was best predicted by the rewards and cost value of the job. Job commitment from employees and responsiveness from the top management on the other hand, was best predicted by a combination of rewards, cost values and investment size.

Nowadays the biggest task of the human resource manager is to motivate and retain employees. Motivation is an organizations life blood. A well-managed organization can motivate and retain employees and hence has the following advantages: reduce turn over, reduce absenteeism, increase productivity and improve performance. It is important for managers to understand the factors that motivate their employees to perform to the best of their ability. This study is therefore an attempt on helping managers to understand the factors that motivate their employees Tekle (2014).

According to Rima (2014) Leaders can see the heart of a problem and suggest (sometimes unusual) solutions; they have a positive self-image; they tend to be creative; they are often experts in a field and can sense change and respond accordingly. Decision making should be fast, fair and just, without unnecessary delays, critical and urgent situations should be responded to as soon as possible, to bail out their subordinates. They should be involved in all the important issues which plague their teams on a regular basis.

- H4: Responsiveness of the top management has a positive and significant effect on employee’s performance.

In order to establish the effectiveness of the supervision in relation to good performance first what did other authored was saying a number of recent studies have used an indirect effect model to examine that in training administration and found that effect of supervisor’s role in job performance were indirectly affected by the motivation to learn. For example, several studies about supervisor’s role in training programs based on a sample of 45 trainees in UK organizations Axtell et al. (1997), and 100 technical employees in North Kuching City Hall, Malaysia Ismail et al. (2008) generally showed that properly implemented supervisor’s role in training programs had increased job performance in the workplace Ismail et al. (2009)

- H5: There is positive and significant relationship between supervision andemployees’ performance.

Pareek and Rao (1992) agreed and argue that career development of employees should be seen as an investment, not a cost; and that bad performance, ignorance and low commitment to duty are very costly barriers in business. It is pointed out that the key to high levels of performance lies in having employees who are willing to work, Putting in extra effort willingly are well managed, well led, well-motivated and are always re-skilling. Career development covers an employee’s working life. It starts with, for example staff orientation, on-job training, experience, short courses, professional courses, post graduate degrees or diplomas Sarah (2010). As Cappelli & Hamori (2005) point out lack of career advancement, for any reason, damages employee’s chances of making it to the top. Their study involving 100 executives 12 brought out an interesting fact – that the longer one stays in a job the less likely his/her chances of advancement.

- H6: Career development has positive and significant influence on employee performance.

The researcher was used the above empirical works on the use of rewards as motivation for improved performance. The basic survival of every organization is it public or private limited before, today and in the foreseeable future lies in how well its work force is motivated to meet the objectives of the organization. This explains why the human resource department in today’s organization becomes a focus of its core functions. The researcher thought that motivated employees are needed in this rapid changing business world where conflicting issues confronting most managers. Most organizations now consider their human resources as their most valuable assets (a strategic or competitive advantage).

Therefore, in order to increase employee performance and also creating effectively and efficiently utilize the strategic asset, the researcher believe managers and the organization as a whole must be willing to understand and hopefully provide the factors that motivate its employees within the context of the roles and duties they perform. This is because highly motivated employees are the cause of high productivity levels and hence higher profits for the organization. Motivation is the most important influential factors not only for employee performance but also for organization’s efficiency. Some organizational facilities will waste. Every superior in the organization must motivate its subordinates for the staffs are unmotivated. Motivation is a helpful instrument in the hands of management in exciting the workforce and increases the willingness of the workers to work.

Moreover the human resource manager purpose should be to help the general manager in keeping the employees satisfied with their jobs. The aim of the organization is to support employees towards goal achievement behavior with respect to their work. The performance will be poor if the employee is not satisfied & happy. Workplace dissatisfaction frequently leads to its employee’s poor performance.

2.11. Justification of model used

There are number of motivational factors that increase the performance of employee’s in an association Jacinta (2013). At the present time a very essential question in the study of motivation is that; what motivational techniques can managers use to motivate their employees and increase performance? Despite the fact that motivation is so complex and individualized that there can be no single best answer, some of the major motivational techniques can be recognized as:

2.11.1. Payment

Pay level is not the only reason for employee’s turnover and separation but also pay system whereby employees can be satisfied or dissatisfied with the organizations. Pay system based on the seniority of employees or per the performance appraisal. Employees are satisfied with existing pay system if they believed that rewards or incentives are paid based on fairness and considered seniority or performance evaluation of all employees Herbert et al (2000).

Payment which encourages workers or groups by rewarding them according to their performance; personal or special allowances, or with long service; and fringe benefits such as holidays with pay, pensions, and so on. It is also important to ensure that employee satisfaction, in determining the pay structure of their organization has the power to attract, retain, and motivate individuals towards higher performance Banjoko (2010).

2.11.2. Promotion

Promotion is an appointment to a position requiring higher qualifications such as greater skill or longer experience and involving a higher level of responsibility, a higher rate of pay, and a title change is considered a promotion and will be classified as such in all personnel documents. A number of researchers are of the opinion that job satisfaction is strongly related to opportunities for promotion Pergamit & Vim (1999; Peterson et al. (2003) & Sclafane (1999).

According to Gupta (2011) promotion is the upward movement of an employee in the organization’s hierarchy, to another job commanding greater higher authority, higher status and better working conditions. Also Promotions are used to reward employees for better performance and to motivate them for greater effort.

2.11.3. Co-worker relation

There are empirical evidences that co-worker relations are an antecedent of job satisfaction. Research suggested that job satisfaction is related to employee opportunities for interaction with others on the job. An individual’s level of job satisfaction might be a function of personal characteristics and the characteristics of the group to which he or she belongs. Relationships with both co-workers and supervisors are important Mowday & Sutton (1993).

In addition, forwarded that work groups characterized by co-operation and understanding amongst their members tend to influence the level of job satisfaction or dissatisfaction. When cohesion is evident within a work group it usually leads to effectiveness within a group and the job becoming more enjoyable Luthans (1998).

2.11.4. Responsiveness

Responsiveness in the context of a system can be defined as the outcome that can be achieved when institutions and institutional relationships are designed in such a way that they are cognizant and respond appropriately to the universally legitimate expectations of individuals Amala (1996).

Among the words that are commonly used in the discussion of issues of responsiveness are satisfaction and quality of care. Patient satisfaction represents a complex mixture of perceived need, expectations and experience of care Smith (1992).

2.11.5. Supervision

Herzberg two-factor theory is used for this study with specific hygiene factors like organizational policy, interpersonal relations, job conditions, career stability, supervision, and guaranteed retirement fund and motivators such as personal growth, passion for the job, social responsibility, opportunity for advancement, respect, praise, recognition, and the feeling of achievement. Herzberg (1986).

Supervisors typically are responsible for their direct reports’ progress and productivity in the organization. Supervision often includes conducting basic management skills (decision making, problem solving, planning, delegation and meeting management), organizing teams, noticing the need for and designing new job roles in the group, hiring new employees, training new employees, employee performance management (setting goals, observing and giving feedback, addressing performance issues, firing employees, etc.) and ensuring conformance to personnel policies and other internal regulations. Supervisors typically have strong working knowledge of the activities in their group, e.g., how to develop their product, carry out their service Carter (1998).

The supervisors’ behaviors have two effects on the employees. First, through better training and more practice opportunities, high expectancy employees learn more skills and knowledge than a low-expectancy employee. Second, the employees become more self-confident, which results in higher motivation and willingness to set more challenging goals Mc Shane & Glinow (2008).

2.11.6. Career Development

“Career development is an organized, planned effort comprised of structured activities or processes that result in a mutual career plotting effort between employees and the organization” Gilley & Eggland (1989). Apparently, both the organization and employees have a responsibility with respect to career development. The individual responsibility is generally referred to as career planning, while the organization’s responsibility is often named career management Banjoko (2010).

The career of individuals is not only the jobs they have, but their training for fulfilling the expectation, goal, emotion, and desires related to their job role, and, as a result, progressing in that workplace with the knowledge, skill, quality and desire to work Çiğdem & Belgin (2014).

Career development is another leading factor that contributes to employees’ turnover and separation. It is defined as advancement. Career development is the pattern of work-related experiences that span the course of a person’s life. Career development is a process through which the action plans are implemented. It is where individual career plans encounter organizational realities. It is a guarantee for an employee to be promoted. Employee’s commitment towards achievement of organizational goal will be developed by creating sense of ownership among the employee of the organization Herbert et al (2000).

Generally, the existing motivation theories will help organization to adapt changes in the world of work for motivating work force and retain them for the organization productivity and success.

2.11.7. Performance

Motivated employees perform better. If you offer commission to a salesperson, she/he typically tries harder to sell more. If you thank an employee for good customer service, she/he will likely strive to duplicate it since she feels appreciated. Likewise, if you motivate by threatening to reduce the hours of an underperforming employee, she may also try harder to prevent the negative consequence of the motivation. This "carrot and stick" approach to motivation is common in many realms Vibhu & Shubham (2014).

2.12. Conceptual Framework of the model

Figure 3 shows the framework for conceptualizing and designing the relationship between employees’ motivation and employees Performance. The independent variables might have a positive or negative effect on the dependent variable. Independent variables are pay, Promotion, coworker relationship, Responsiveness, supervision and Career development and the dependent variable was employee’s performance . To see the relationship between employee motivation and employees Performance, the existing situation in PPPDS researcher has developed a model for this study as can be seen in the figure below.

From the literature review, discussed above, the researcher constructed the following inclusive research frame work was constructed to summarize the main focus and scope of this study in terms of dependent and independent variables included.

Figure 3 Conceptual Framework of the model

Abbildung in dieser Leseprobe nicht enthalten

Source: Masood (2013) slightly modified

Developed for the research employee’s motivation variables vs. employee performance

2.13. Summary of Review literature

Generally, this chapter had given an important overview of employees’ motivation and employee’s performance. Employees form based on their evaluations of how much of their needs fulfilled. Employees’ motivation is considered as a complex construct and different scholars recommended the important examining various issues in order to understand one’s motivation.

Different theories and models are available to form the constructs of employees’ motivation in an employee’s performance. The most widely used theories to understand employees’ motivation are the content theories of satisfaction. In terms of content theories, there is an emphasis on the type of goals and incentives that people endeavour to achieve satisfied and successful on the job.

CHAPTER THREE
RESEARCH DESIGN AND APPROACH

3.1. Introduction

This chapter outlines the methodology and techniques used to fulfill the objectives of the research set out in the introduction. It contained the research design, the research type, data collection techniques, population and sampling techniques, research instrument and data analysis method.

3.2. Research Design

There are two basic approaches to research quantitative and qualitative approach. The quantitative approach involves the generation of data in quantitative form which can be subjected to rigorous quantitative analysis in a formal and rigid fashion. Qualitative approach to research is concerned with subjective assessment of attitudes, opinions and behavior Kothari (2004). Most researchers argued that the best method to use for a study depends on the purpose of the research, researcher data and the accompanying research questions. Hence, this study was used mixed method design sequentially. The advantage of using mixed methods is that it enables to cross check and support the data and result collected by questionnaire Saunders, et al (2007) & Greener (2008).

The first, quantitative phase of the study was focused on identifying factors influencing in PPPDS. The primary technique for collecting the primary quantitative data was self-developed questionnaire, containing items of different formats: mainly multiple choices, asking either for one option or all that apply, self-assessment items was employed for describing demography of respondents, while the main variables was measured using the 5-point Likert type more over all the questioners are designed as close-ended questions. The quantitative research approach was employed mainly due to the reason as it allowed the researcher detach from the study human phenomena and variables in human behavior can be studied objectively Parahoo (2006).While the qualitative approach used to triangulate the data obtained through quantitative approach by using semi-structured interview questions as the primary data collection instrument to gather information and further understand the findings of the quantitative analysis thoroughly.

In order to answer the statement of the problem and meet the research objectives, the design of the study is explanatory type. Schindler and Cooper (2001) discussed that explanatory studies unlike descriptive studies, go beyond observing and describing the condition and tries to explain the reasons of the phenomenon. Explanatory research is devoted to finding causal relationships among dependent and independent variables. It does so from theory-based expectations on how and why variables should be related. Furthermore Dawson & Bob (2006) Mention that explanatory research design is to determine how events occur and which ones may influence particular outcomes and characterized by research hypotheses that specify the nature and direction of the relationships between or among variables being studied.

Therefore, this study was used explanatory method in order to test and explain hypothesis of motivational factors influencing employees’ performance in Public Procurement and Property Disposal Service.

3.3. Research Methods and Techniques

Research methods refer to the behaviour and instruments used in selecting and constructing research technique Kothari (2004). There are different research techniques and there are different methods of data collection depends on the type of research and data collected. The primary techniques are questionnaire method of data collection where a structured question was used. Structured questions (closed-ended) are those accompanied by a list of all possible alternatives from respondents from which respondents select the answer that best describes their situation Mugenda & Mugenda (2003). The study used this approach because it is more relevant to the questions raised as they analyse human behaviour it keep the respondents align their response more conveniently. They are also economical to use in terms of time and cost. Questionnaire was distributed personally to public procurement and property disposal services employees’. On the other hand an interview was conducted the Interview technique allowed for in-depth investigative on effect of employees’ motivation in public procurement and property disposal service especially in relation to employees’ performance.

For secondary data, books, journals, manuals, magazines and newspaper articles related to the motivational factors was used.

3.4. Population and Sampling

3.4.1. Sample Design

A sample design is a definite plan for obtaining a sample from a given population. It refers to the technique or the procedure the researcher would adopt in selecting items for the sample Kothari (2004). The sample design for this study as follows:-

3.4.2. Target Population

In research method population is the entire aggregation of items from which samples can be drawn. In this study, the target population was comprised from employee of PPPDS. According to the organizations database currently as of July 2017 there are 177 employees of the organization. The sample frame of this study was taken from 18 departments of the organization.

3.5. Sampling size and Technique

The sample elements were selected from each department of the organization. In the determination of sample size, three criteria are very important to gather the required data from sample respondents. These include the level of precision, the level of confidence or risk and the degree of variability in the attributes being measured that enable the researchers to determine appropriate sample size. Therefore, the total numbers of employees in the organization are 177.

Israel (1992) provides a simplified formula to calculate sample size

n = N

1+N (e) 2

Where n is the sample size, N is the population size, and e is the level of precision. By using this formula at 95% confidence level and 5% level of precision the sample size is obtained as follows:-

n=177/1+177(0.05)2

n= 123

By taking the above calculation in to consideration the researcher selected 123 respondents from the total members of employees in the organization. By having the selected numbers of respondents, the questionnaires were distributed using simple random sampling. This sampling technique was chosen as it gives each member of population fair or equal chance of being selected. It characterized by the population must contain a finite number of elements that can be listed or mapped. Every element must be mutually exclusive i.e. able to distinguish from one another and does not have any overlapping characteristics. The population must be homogenous i.e. every element contains same kind of characteristics that meets the described criteria of target population. There are multiple ways of creating a simple random sample. These include the lottery method, using a random number table, using a computer, and sampling with or without replacement Ashley (2017). The researcher use lottery method. According Mohsin (2016) one method for the selection of participants is lottery method: each element is first given a number and then numbers are individually written on slips of paper. The slips are put and mixed thoroughly in some bag or bowl. Then the decided number of slips is drawn out of it.

3.6. Data Collection Instruments

The researcher employed various methods for data collection. The study used both primary and secondary data as a source of information. The primary data was used to collect through questionnaire and interview. So, structured questionnaire were applied to gather data from the organization. The secondary data was reviewing books, previous research works, articles and journals related, annual reports and online information available that are relevant for the study.

3.7. Questionnaires

The questionnaire has two sections. Primary data was employed primarily questionnaires of employees in PPPDS. The first section contained the demographic profile of the respondents. The number of questions was 34 closed-ended questions. The reason for using closed-ended questions was to manage the respondents’ response.

All the questionnaires dealt about effects of motivational factors on employee’s performance and its sub parts of the research objectives. The questionnaires were prepared by the researcher by refereeing different secondary data. The questionnaires were a five point likert scale questions.

1=strongly disagree, i.e., very much dissatisfied with the case described

2=disagree, i.e., not satisfied with the case described

3=neutral, i.e., uncertain with the case

4=agree, i.e., feeling alright with the case described

5= strongly agree, i.e., very much supporting the case described.

According to Ayenachew (2016) the average score (mean) obtained from each item will be interpreted into degree of satisfaction as follows:

- Mean value 2 and less, indicated Disagree with the statement listed.
- Mean value greater than 2 and less than 3, indicate Neutral.
- Mean value greater than 3 indicate the respondents are Agree with the statement.

3.8. Interviews

An interview is an instance of social interaction between two individuals, the interviewer and the respondent. The interviewer fills in the instrument as the respondent answers questions he or she asks him or her Bailey (1994) the researcher employs semi-structured interviews as a second method of data collection. In the semi structured interview approach, open-ended questions are formed.Who comprised to the concerned experts in the organization who undertake tasks of administration, change management activities who are responsible for the implementation of (promotion, rewards, salary etc.); activities and also top level management who are responsible to implement policy were included to have a fair view of the organization.

[...]

• College: Addis Ababa University
• Grade: 2
• Author: Faiza Yimer (Author)
• Publication Year: 2018
• Pages: 101
• Catalog Number: V412888
• ISBN (eBook): 9783668644120
• ISBN (Book): 9783668644137
• Language: English
• Tags: federal, public, procurement, property, disposal, service