Business Administration Project Topics

The Effect of Motivation on the Performance of Employees in Nestle Nigeria Plc

The Effect of Motivation on the Performance of Employees in Nestle Nigeria Plc

The Effect of Motivation on the Performance of Employees in Nestle Nigeria Plc

Chapter One

Objectives of the Study

The General Objective of the study is to examine the impact of motivation on organization productivity in the case of Nestle Nigeria PLC. In addition to the main objective, the study is carried out to achieve the following specific objectives:

  1. To find out the motivational incentives that affect employee productivity in Nestle Nigeria PLC
  2. To determine the relationship between employee motivation and productivity
  3. To find out the current employees’ level of motivation

CHAPTER TWO

LITERATURE REVIEW

MOTIVATION – AN OVERVIEW

Given the given emphasis in recent years on people as a key source of competitive advantage, it is not surprising to see corporate initiatives introduced to “buy” employee commitment. (Mick Marchington and Arden Wilkson, 2008).To motivate is to create a desire or willingness to perform in the manner in which managers want to get the work done which is distinct from the capacity to work. Mullins (1996) states that „‟the underlying concept of motivation is some driving force within individuals by which they attempt to achieve some goals in order to fulfill certain needs‟‟.  It is a feeling or an urge to do or not to do a thing to fulfill certain need. It is important for management to know and understand what motivates people as it affect work productivity, recruitment and retention. Also employees must think through what expectations they have of work and whether they are happy with their lot.

DEFINITIONS

The term motivation was originally derived from the Latin word “Movere” which means, “to move”.

Kreitner (2001) defines motivation as the psychological process that gives behavior purpose and direction.

Robert Kreitner and Ageloo Kinicki (2001) explain motivation as those psychological processes that cause the arousal, direction and persistence of voluntary actions that are goal directed.

A motive is a reason for doing something. Motivation is concerned with the factors that influence people to behave in certain ways. The three components of motivation as identifed by Arnold et al (1991) are:

Direction:   What the person is trying to do.

Effort:         How hard a person is trying.

Persistence: How long a person keeps on trying. (Armstrong, 2006)

 SOURCES OF MOTIVATION

INTRINSIC MOTIVATION

This stems from direct relationship between the worker and the task and is usually applied. Feelings of achievement, accomplishment, challenge and competence derived from performing ones job are examples of intrinsic motivators. A sheer interest in the job itself.

EXTRINSIC MOTIVATION

This stems from work environment external to the task and is usually applied by someone other than the person being motivated. Pay, fringe benefits, company policies and various forms of supervision are examples of extrinsic motivation.

MOTIVATIONAL IMPLICATIONS OF INTRINSIC ANDEXTRINSIC REWARDS

According to Steers and Porter (1987), although most people work for some mix of intrinsic and extrinsic rewards, people clearly differ as to which is the more

Compelling motivational force. If a manager always praises an achievement, the motivated individual who excels largely for the feelings of intrinsic satisfaction, will begin to look on his manager as fake. Even within the extrinsic rewards arena, people look for different types of reward. Praise may be perfectly acceptable to the person motivated by the relatedness needs or affiliation, but may do nothing for the person expecting a more tangible pay-off.

Research initiated by Deci (1971) offers evidence that when too many extrinsic rewards are provided, work effort may decline. He found that the introduction of extrinsic rewards for work previously performed for intrinsic pleasure tends to reduce motivation. Over- abundant extrinsic rewards are likely to lessen the need to seek intrinsic satisfaction. People may perceive extrinsic rewards as diminishing their control of the work situation. However, if rewards serve primarily as feedback, this negative effect is minimal.

To get the best from their people, managers should emphasize anticipated reward value, whether extrinsic or intrinsic (Bratt, 1991). The manager‟s job is to strengthen effort productivity-reward expectancies. For employees who have difficulty attributing outcomes to their productivity, managers must make sure they realize productivity-reward connections and provide productivity feedback.

 

CHAPTER THREE

RESEARCH METHODOLOGY

Research Design

In defining research design, Odo (1992:43), stated that research design implies outlining the name of equipment and other materials the research intends using, applying some to successfully execute the practical aspect of the research study.

A descriptive survey method was used for this study. It is important to determine the method and procedure adopted in this research report since it gives the reader background information on how to evaluate the findings and conclusion.

Population of the Study

The researcher has chosen Nestle Nigeria PLC as the studied population in order to find a possible solution to which involve a total of 300 staffs, which include top and junior staffs.

CHAPTER FOUR

DATA ANALYSIS AND DISCUSSION OF RESULTS

Respondents Demographic Characteristics

 

CHAPTER FIVE

SUMMARY, CONCLUSIONS AND RECOMMENDATIONS

Summary of Major Findings

The study was carried out solely to identify the impact of motivation on employees’ job productivity in Nestle Nigeria PLC. Accordingly, the major findings were derived from data discussion, analysis and interpretations as follows.

The study clearly depicted that the working environment of the company is conducive and suitable. Majority of the employee’s agreed on its conduciveness, suitability but regarding with providing the materials and equipment’s that are need for the job, the company is very poor in supplying those materials timely 48.11% of employees were not satisfied with the availability of materials.

Almost all the respondents believe that the reward and incentive system is not based on productivity and they are highly discouraged by the system. This implies that there is biased system in giving rewards to employees. Majority of the employees 42.2% believed that rewards are not given timely.

When employees get recognized and appreciated, they do their best to prove the skill, talents and abilities they have However, All employees’ replied that there is no recognition and appreciation from their boss.

The majority (81.80%) of employees disagreed that there is unsatisfactory relationship among employees and managers of the company, and also the relationship between employees is also discouraging, 34% of them claim that the relationship is poor. 52.6 % of the respondents indicated that there is no complaint handling mechanism in the company.

30.6 % of respondents strongly agreed that the trainings given in the company improved their skills, knowledge, and encourage them to stay at the company but regarding with the time interval of the training program majority of the respondents (36.9%) take only one training program over the past five years.

45.9% of respondents strongly disagreed that the financial aspects like bonus, allowance are not satisfying. This implies when individuals are motivated their effort towards the job will decrease.

98% of employees believed that the promotion system is not fair that makes the employee’s de motivated.

l  The majority of respondents claim that the base of promotion in the company is based on the productivity of the employee’s. Concerning how the evaluation is conducted, the majority of the respondents are evaluated on semi-annually bases. Regarding with feedback time employees replied that they never get their feedback at all. The study also revealed that the concern of management towards communicating productivity standards of the company is very poor.

  • The results of the descriptive statistical analysis also indicated that, employees were not motivated by the motivational variables. Job security, salary, recognition, management communication style, reward and promotion of the company. However, employees were less motivated with training and working environment.

Conclusions

Based on the findings, working environment is positively related to employee productivity, the researcher concludes that there in fact exists positive relationship between the two. This demonstrates that when working environment is not conducive employee’s motivation to perform the job will reduce. There is a negative and insignificant relationship between Job Security and employee Productivity. Employees are not certain that job security contributed to their productivity.

There is positive and significant relationship between salary and employee productivity. However, employees were not motivated by the attractiveness of the salary because of these reason there is high turnover of bus drivers and fare collectors to other transport organizations. The researcher concluded that since the reward and incentive system of the company is not motivating to employees, the employees were forced to search a better opportunity so there is manpower turnover in the company especially bus drivers. Additionally, the reward is not given on time; this negatively affected the productivity of the employees. Employees need and want to be appreciated for the work that they do. If they do not feel managers or others are recognizing their contributions, then employees become dissatisfied and unmotivated. Employees will normally put more effort than expected if someone will notice their effort. An under-appreciated employee may do less work. Regarding this motivational variable the company employee’s are not motivated and feel like there is no recognition and appreciation for effective job productivity.

Management communication style, it’s not open door style and employees have no chance to easily communicate with the management. Majority of the peoples have no chance to complain and they don’t have the chance to participate in decision making also. There is also unsatisfactory relationship between employees each other. the company is weak in providing adequate training for its employees who have direct interaction with customers and the training is given only on one-time basis. For over the past five years, majority of the employees attended only one training program.

Majority of the employees did not agree with the promotion system of the company. Evaluation is done based on productivity of the employees, however majority of them indicated it’s based on relationship among employees each other. Regarding with evaluation feedback, the company is not quick to respond. The productivity standard is not clearly known by the employees too. The correlation result of the study showed that among the eight motivational incentive s, management communication style highly affects the productivity of employees. Next to that working environment, recognition, reward, promotion, salary, training and job security affect the productivity of the employees. The descriptive result of the study indicates that, employees were not motivated with the motivational incentive s especially job security and salary has the lowest mean value. In conclusion, motivated employees not only influence their work productivity but also the whole organization productivity and business productivity.

Recommendations

Based on the literature review, interviews and analysis done and the discussion it is clear that employees are not motivated and hence are not performing well which affecting business productivity and productivity.

Management communication motivational incentive was considered as one of the most important factors influencing employee productivity. However, employee of the company were found less motivated in terms of this motivational incentive. The company can improve the communication by conducting meetings, productivity reviews and feedback on organization productivity. Communication can be improved through productivity management. Productivity Management is not only for measurement of productivity but provides feedback to the employees. Recognitions either verbally or formally will enhance the self-esteem of the employee. Therefore, Managers should work hard in maintaining the level of satisfaction of employees by using recognition and mechanisms’ to motivate employees.

Training programmes based on training needs assessment should be implemented at Nestle Nigeria PLC. Human resource management should include elements of employee motivation and employee training and development. Employee training for employees will both equip them and be an excellent source of employee motivation. Salaries should be determined in accordance with the company job grades and salary scale. the company salary structure shall be designed to provide competitive remuneration by market standard and also offer incentive to grow to a higher step.

Every employee shall have the right to air its grievance when treated unfairly by the administration process. the company should provide the employee a way to express its feelings towards the job. For instance, suggestion box should be available for employees to express what they felt.  the company should focus on different financial packages and allowances for it’s employees. Allowances and various benefits of the company should be given to employees and should be revised.

The company shall provide the required financial, human, material, time and facility resources for the proper implementation of its organizational goals. Promotion system of the company should be given great attention. When promotions are available in the company, everyone should have equal chance of participating. Finally, the management should examine what really motivates its staff in order to enhance employees’ productivity and effectiveness.

References

  • Afshan Sultana, Sobia Irum, kamran Ahmed & Nasir Mahmood (2012). “Impact of Training on organization productivity: A Study of Telecommunication Sector in Pakistan”, Interdisciplinary Journal of Contemporary Research in Business, vol 4, no 6, pp. 646- 661.
  • Alexander, P., Ryan, R., & Deci, E. (2000). Intrinsic and extrinsic motivations: classic definitions and new directions. Contemporary Educational Psychology, 25(1), 54-567.
  • Amabile, T. M. (1993). Motivational synergy: toward new conceptualizations of intrinsic and extrinsic motivation in the workplace. Human Resource Management Review, 3 (3), 185-201.
  • Armstrong M (2006) a handbook of Human resources management practices.London: Kogan Page
  • Balk, Walter L. (1974). Why Don’t Public Administrators Take Productivity More Seriously?, Public Personnel Management; Jul/Aug74, Vol. 3, No. 4, pp.318-324
  • Baumeister, R. F., & Voh, K. D. (2004). Handbook of self-regulation: Research, theory and applications. New York: Guilford Press.
  • Bedeian, A. G. (1993). Management (3rd ed.). New York: Dryden Press
  • Bevan, Stephen, Barber, Linda, & Robinson, Dilys (1997). Keeping the Best: A Practical Guide to Retaining Key Employees, Institute for Employment Studies, IES Reports, Vol. 337.
WeCreativez WhatsApp Support
Our customer support team is here to answer your questions. Ask us anything!