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THE ROLE OF MOTIVATION ON EMPLOYEES’
PERFORMANCE: THE CASE OF VICTORIA
COMMERCIAL BANK OF KENYA
BY
MOHAMMED ALBEITI
UNITED STATES INTERNATIONAL UNIVERSITY AFRICA
SUMMER 2015
THE ROLE OF MOTIVATION ON EMPLOYEES’
PERFORMANCE: THE CASE OF VICTORIA
COMMERCIAL BANK OF KENYA
BY
MOHAMMED ALBEITI
A Research Project Submitted to the Chandaria School of
Business in Partial Fulfillment of the Requirement for the
Degree of Masters in Business Administration (MBA)
UNITED STATES INTERNATIONAL UNIVERSITY AFRICA
SUMMER 2015
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STUDENT’S DECLARATION
I, the undersigned, declare that this is my original work and has not been submitted to any
other college, institution or university other than the United States International
University Africa in Nairobi for academic credit.
Signed: ________________________ Date: ______________________
Mohammed Ezel (ID No: 629469)
This project proposal has been presented for examination with my approval as the
appointed supervisor.
Signed: ________________________ Date: ______________________
Dr. Teresia Linge
Signed: ________________________ Date: ______________________
Dean, Chandaria School of Business
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ABSTRACT
The purpose of this study was to investigate the role of motivation on employees’
performance using the case of Victoria Commercial Bank of Kenya. This study was
guided by the following research questions. To what extent does extrinsic motivation
affect employees’ performance in Victoria Commercial Bank? To what extent does
intrinsic motivation affect employees’ performance in Victoria Commercial Bank? What
other factors affect employees’ performance in Victoria Commercial Bank?
This study adopted a descriptive research design. The population of the study was 55
employees’ of Victoria Commercial Bank of Kenya. A census sampling was done and so
the 55 employees constituted the sample size. A structured questionnaire was used to
collect the data. The questionnaire was administered by the researcher. The completed
questionnaires were edited for completeness. The data was analyzed using the statistics
package for social sciences (SPSS) computer package. The data was interpreted using
descriptive statistics through frequencies, percentages and regression analysis. The
findings were presented in the form of tables and figures.
The findings established that most of the respondents were motivated to work harder by
the acquisition stock ownership. This was followed by money motivating the employees
to do their best. Others were motivated to work harder for the highest pay raises while
others worked harder for the amount of compensation that they expect to get. However,
few of the respondents were less motivated to enhance their performance by the merit pay
provided by the management, less motivated by the extra benefits for exceptional
performance and very few respondents were less motivated by the unexpected bonus for
the best performance.
The findings established that the respondents were motivated to work harder by the
challenges encountered. This was followed by the respondents being motivated by the job
providing an opportunity for advancement opportunities for a job well done, others were
inspired to enhance their performance working hard to compete with others who are
clearly superior in skills and a large number of the respondents agreed that their job
supervisor recognizes employees for their work. However, a small number of the
respondents agreed that they were less motivated by the recognition of what they do.
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Fewer respondents mentioned that they were motivated to enhance their performance by
the company recognizing and acknowledging employees’ hard work and very few
respondents agreed that once they reach an important goal, they less strive to achieve
higher goals.
The study determined the other factors that affect employees’ performance from the
respondents involved in the study. The findings suggest that most of the respondents
agreed that training helps employees perform their tasks well. This was followed by the
terms being favourable for employees to work hard in their job, a large number of the
respondents agreed that the management listens to both verbal and non verbal
communication of individuals for enhanced performance and a significant number of the
respondents agreed that their workload is heavy to meet their performance targets. A few
number of the respondents agreed that they have good communication relationship with
their colleagues for enhanced performance and the management makes the employees’
work feel meaningful to enhance their skills.
The study concludes that stock options, profit sharing and pay have become an
increasingly popular method for rewarding teams for outstanding accomplishments.
Employees can enhance their performance as a result of challenging work responsibilities
that may lead to career fulfilments. Job training makes an important contribution to the
performance of the employees. Communication is very essential to keeping employees
motivated and helps in maintaining a high performance in the workforce.
The study recommends that stock ownership should continuously be implemented to
motivate the employees to work harder. It is recommended that the provision of job
opportunities may present the best incentives for boosting employee performance in the
long run. Effective job training plays a vital role in improving performance as well as
increasing employee productivity.
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ACKNOWLEDGEMENT
The Dalai Lama once wrote “He must have a pure, honest and warm-hearted motivation,
and on top of that, determination, optimism, hope, and the ability not to be discouraged”.
These words are a true reflection of my experience throughout this research proposal, an
experience that would not have turned successful without the involvement of individuals
whom I carry for, the utmost respect and consideration.
A warm “thank you” and appreciation goes to Dr. Teresia Linge, my supervisor, for his
keen insight, guidance, and support, and for his valuable research experience that he did
not hesitate in sharing it with me. I also thank my work colleagues for their continuous
encouragement and help provided. Finally, I want to thank my friends and family
members who had to see me in the ups and downs phases of my research proposal and
instead of going away, they have supported and encouraged me to conduct and
successfully complete this proposal.
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DEDICATION
This research proposal is dedicated to everyone who taught me the values of life,
knowledge, respect, integrity, hard work, and self improvement and to those who taught
me to simply stand up when I fall, to be all good to people, and always encouraged me to
dream and work hard towards my dreams.
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TABLE OF CONTENTS
STUDENT’S DECLARATION ....................................................................................... ii
ABSTRACT ...................................................................................................................... iii
ACKNOWLEDGEMENT ................................................................................................. v
DEDICATION .................................................................................................................. vi
TABLE OF CONTENTS ............................................................................................... vii
LIST OF TABLES ........................................................................................................... ix
CHAPTER ONE ................................................................................................................ 1
1.0 INTRODUCTION ........................................................................................................ 1
1.1 Background of the Study ............................................................................................... 1
1.2 Problem Statement ......................................................................................................... 6
1.3 Purpose of the Study ...................................................................................................... 6
1.4 Research Questions ........................................................................................................ 7
1.5 Significance of the Study ............................................................................................... 7
1.6 Scope of the Study ......................................................................................................... 8
1.7 Definition of Terms ........................................................................................................ 8
1.8 Chapter Summary .......................................................................................................... 9
CHAPTER TWO ............................................................................................................. 10
2.0 LITERATURE REVIEW ......................................................................................... 10
2.1 Introduction .................................................................................................................. 10
2.2 Extrinsic Motivation and Employees’ Performance .................................................... 10
2.3 Intrinsic Motivation and Employees’ Performance ..................................................... 15
2.4 Other Motivational Factors and Employees’ Performance .......................................... 19
2.5 Chapter Summary ........................................................................................................ 26
CHAPTER THREE ......................................................................................................... 27
3.0 RESEARCH METHODOLOGY ............................................................................. 27
3.1 Introduction .................................................................................................................. 27
3.2 Research Design ........................................................................................................... 27
3.3 Population and Sampling Design ................................................................................. 27
3.4 Data Collection Method ............................................................................................... 29
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3.5 Research Procedures .................................................................................................... 30
3.6 Data Analysis Methods ................................................................................................ 30
3.7 Chapter Summary ........................................................................................................ 30
CHAPTER FOUR ............................................................................................................ 31
4.0 RESULTS AND FINDINGS ..................................................................................... 31
4.1 Introduction .................................................................................................................. 31
4.2 General Information ..................................................................................................... 31
4.3 Extrinsic Motivation and Employees’ Performance .................................................... 34
4.4 Intrinsic Motivation and Employees’ Performance ..................................................... 36
4.5 Other Motivational Factors and Employees’ Performance .......................................... 38
4.6 Chapter Summary ........................................................................................................ 40
CHAPTER FIVE ............................................................................................................. 41
5.0 DISCUSSION, CONCLUSION AND RECOMMENDATIONS .......................... 41
5.1 Introduction .................................................................................................................. 41
5.2 Summary ...................................................................................................................... 41
5.3 Discussion .................................................................................................................... 43
5.4 Conclusions .................................................................................................................. 48
5.5 Recommendations ........................................................................................................ 49
REFERENCES ................................................................................................................. 51
APPENDICES .................................................................................................................. 56
APPENDIX A: INTRODUCTORY LETTER .............................................................. 56
APPENDIX B: QUESTIONNAIRE ............................................................................... 57
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LIST OF TABLES
Table 3.1: Total Population Distribution ........................................................................... 28
Table 3.2: Sample Size Distribution .................................................................................. 29
Table 4.1: Response Rate ................................................................................................... 31
Table 4.2: Gender of Respondents ..................................................................................... 32
Table 4.3: Age of Respondents .......................................................................................... 32
Table 4.4: Job Category of Respondents ........................................................................... 32
Table 4.5: Work Experience .............................................................................................. 33
Table 4.6: Education Level ................................................................................................ 33
Table 4.7: Extrinsic Motivation and Employees’ Performance ......................................... 34
Table 4.8: Correlation between Extrinsic Motivation and Employees’ Performance ....... 35
Table 4.9: Intrinsic Motivation and Employees’ Performance .......................................... 36
Table 4.10: Correlation between Intrinsic Motivation and Employees’ Performance ...... 37
Table 4.11: Other Motivational Factors and Employees’ Performance ............................ 38
Table 4.12: Correlation between Other Motivational Factors and Employees’ Performance . 39
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CHAPTER ONE
1.0 INTRODUCTION
1.1 Background of the Study
Since the organization is characterized by people, it is no surprise that the motivation
system is a vital factor for employee performance and the achievement of the
organizational goals. For an organization to achieve its objectives, the managers need to
be aware of the employee incentives that enhance their motivation and production (Khan,
Farooq and Ullah, 2010; Pratheepkanth, 2011). Employee performance is now recognized
as one of the most important issues facing organizations that aim to become successful in
the future (Mwanje, 2010). Hence, having a better understanding of employee motivation
is very crucial for employees’ performance.
The role of motivation on employees’ performance is the major issue in the today’s
organizations (Khan, Farooq and Ullah, 2010). In this era of globalization and
competition, employee motivation and performance are considered to be the key factors
for organizations success (Sakovska, 2012). The employees of an organization are vital to
for the organizational performance (Bennet, 2002). This is also emphasized by Harvey
and Brown (2006) who argues that people are the foundation of every organization. Also,
it is commonly said that people working for an organization, are the most valuable, the
most costly, and the most volatile of all the resources that it can use to enhance the
organizational performance. Organizations need motivated people to get things done
(Bennet, 2002; Khan, Farooq and Ullah, 2010).
Managers agree that modern business demands higher performance and more efficiency,
than in previous times. Companies are trying to increase their performance in order to
place their company ahead of the competitors (Sakovska, 2012). In this turbulent business
environment, there is need for high performing employees who are essential for the
growth and survival of the organization (Pratheepkanth, 2011). It is believed that high
performing employees can increase their innovation, high customer satisfaction,
profitability, low employee turnover, positive work attitudes, individual health, extra-role
behaviours and performance (Khan, Farooq and Ullah, 2010). This indicates that high
motivated employees who are contented with their work experience are a good formula
for organization success. This is because motivated employees want to stay with a
company, contribute to the workforce stability and performance.
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High performing employees develop new knowledge to the achievement of organization
goals. The employees respond to market opportunities, go an extra mile, are satisfied with
their jobs, committed to the organization; meet challenging goals with an urge to be
successful (Sakovska, 2012). High performing employees also have more energy which
they enthusiastically apply in their work. The employees go beyond job description,
dynamically change and arrange their jobs in a way that best fits the changing work
environment (Pınar Gungor, 2011). As compared to low performing employees, they see
no meaningfulness n their job, they detach from work, become less committed and
motivated at work (Berman, Bowman, West and Wart, 2010). However, high performing
employees influence the quality of work that leads to high growth and productivity in the
organization (Sakovska, 2012).
While most organizations see a clear need to improve employees’ performance, many
have yet to motive their employees to achieve this goal. However, a number of companies
are gaining competitive advantage through establishing effective motivation practices on
overall business performance (Sakovska, 2012). In most organizations, the current leaders
are aware that there is much to be done to ensure that they have a focused and highly
competitive workforce (Pratheepkanth, 2011). Encouraging the employees to perform
highly requires considerable effort and top management focus to a large degree in
motivating the employees to give their best (Pınar Gungor, 2011). In order for the
organization to compete effectively, managers need to motivate the employees to give
their best as part of the valuable resource unavailable in the company (Sakovska, 2012).
The motivation of the employees is the best tool in the company’s efforts to gain
competitive advantages and stay competitive.
According to Pitts (2005), one key strategy for organization performance is the ability to
attract, maintain and motivate a valuable workforce in today’s marketplace by offering
competitive incentive systems. Advocates of the expectancy theory believe that
employees will change their behaviour by working harder or prioritizing their actions if
they know that by doing so they will be rewarded with something of value to them
(Pratheepkanth, 2011). Hence, incentives are a great way to reward performance which
the organization wishes to encourage amongst its workforce (Sakovska, 2012). If the
incentive is paid in return for performance that contributes to the organizations goals and
overall objectives, it will in the long run enhance employees’ motivation leading to
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organizational effectiveness and motivation, it will also generate a positive outcome for
both employer and employee (Torrington, Hall, Taylor & Atkinson, 2009).
The principle incentive for employees’ performance is compensation. Compensation is a
form of pay received by the employee from the employer, many employers however also
have incentives packages of which wages and salaries are only a part of (Sakovska,
2012). The packages typically include bonuses, pension schemes, health insurance,
allocated cars, beneficial loans, subsidized meals, profit sharing, share options and much
more (Pitts, 2005). There are various things to think about before making decisions about
what kind of payment system is most appropriate in boasting employees’ motivation and
performance in an organization. In an organization, managers should start by asking what
objectives they are seeking to achieve (Pratheepkanth, 2011). These are likely to include
the following: minimal expenditure on wages and salaries over the long term, attracting
and retaining staff of the desired calibre, experience and qualifications (Khan, Farooq and
Ullah, 2010). Motivating the workforce so as to maximize their performance, directing
efforts and enthusiasm in specifying directions and to encourage particular types of
employees’ behaviour and to underpin and facilitate the management of organizational
change (Torrington et. al., 2009).
However, Torrington et al. (2009) warn that there is no one reward system either intrinsic
and extrinsic reward system that can achieve all the above mentioned features for all
employees to perform well in an organization at the same time since human being do not
perceive things in a uniform manner. Torrington et al. (2009) recommend that managers
are required to weigh up the advantages and disadvantages of each reward system and
decide where to put the emphasis on employee performance. On the other hand, the
incentive system which includes extrinsic and intrinsic reward system describes an
incentive strategy that brings components such as learning and development together with
aspects of the work environment into the benefits package (Khan, Farooq and Ullah,
2010). Hence, for organizations faced with many fluctuations and pressures in today's
world in order to meet their goals. They have to take employees’ motivation and
performance into their development processes and with understanding that effective
changes that will give them desired performance to accomplish organization goals (Khan,
Farooq and Ullah, 2010).
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Pınar Gungor (2011) says “Motivation is the competency or capability of a person to
change behaviour”. Motivation is a driven force that leads and directed a person toward
some specific goals. “Work motivation is set of active forces that initiates both within as
well as outside an individual’s being, to starts work-related behaviour and to determine its
form, direction, intensity and duration (Pinder, 1998). Employee motivation can improve
their performance in the organization but sometimes the goal may not be achieved
especially when the right incentive is not provided. The influence of motivation on
employees’ performance is understandable when their performance achieves the goals
and objectives of the organization (Berman et. al, 2010). Employees’ motivation raises
the level of employee satisfaction by involving them in their jobs and improving their
performance, by that the employees become creative and boosts the performance of their
organization (Kamery, 2004; Ekerman, 2006). These inner conditions are wishes, desires,
goals, activate to move in a particular direction.
Motivation is the general desire or willingness to do something. Motivation is the result
of conscious and unconscious factors such as intensity of the desire or need, incentive or
reward value of the goal and expectations of the individual. These factors play a vital role
to promote the individual performance towards the specific goal. The extrinsic and
intrinsic reward system is considered valuable in employees’ performance
(Pratheepkanth, 2011). The aim of the reward system is to maximize the positive impact
that a wide range of rewards can have on motivation, job engagement, organizational
commitments and employee performance (Armstrong & Brown, 2006). In order to
achieve internal motivation, the total reward system can be integrated with human
resource activities, business strategies and objectives to have greater impact on the
employee, performance, commitment, engagement and motivation of employees’
performance (Armstrong, 2005). It is on the basis of this that the study aims to investigate
the role of motivation on employees’ performance with a focus on Victoria Commercial
Bank of Kenya.
Victoria Commercial Bank is a medium size bank that was established in 2007 as a
finance company. The vision of the bank is to be the leading private bank providing
quality financial services with a focus on client orientation, integrity and professionalism.
The bank’s mission is to promote a culture of “client orientation” through comprehensive
understanding of the clients' business needs, based on mutual respect and trust. The bank
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also aim to provide innovative and quality financial services, while conducting business
in an accountable and transparent manner by delivering value added, sustainable and
profitable solutions to all stakeholders through an empowered, diverse and professional
team (Victoria Bank, 2014). The management of Victoria Commercial Bank has been
exemplary both in their professionalism and their willingness to take on wider
responsibilities than is normal in an institution of this type. It has proved to be a team well
chosen, well suited to one another and even better motivated to give extra performance
(Torrington et. al., 2009). The issue now that the bank is facing is keeping the employees
motivated and productive without discontinuity. In this regard, it is important for
managers to understand the type of reward system (Intrinsic or extrinsic reward system)
to motivate the employees to effectively use their skills to give their best at the workplace
(Mullin, 2010).
There is need to understand the type of reward systems that employees perceive to be the
most motivating in enhancing their performance and how the reward systems can be
developed to boost the organization performance. This is because a motivated work force
exhibits lots of enthusiasm at the workplace with the potential of accomplishing the
organization’s goals through exceptional performance (Armstrong, 2001). Cheng (2005)
states that the biggest challenge for the management of banks today is motivating the
employees for enhanced performance by offering better services to meet the customers’
expectations. One of the major functions of human resource manager is to enhance and
maintain employees’ work motivation. Human resource management’s function is to
assist the general manager or line management in keeping the employees satisfied with
their jobs by providing motivation of different kinds to enhance their performance.
The dissatisfaction is conditioned with performance. If employees are not satisfied, they
will not perform well to expected standards (Petcharak, 2004). Workplace dissatisfaction
and poor performance may lead to high employee turnover in an organization particularly
where there is little scope of opportunities for people to join other organizations but it
may affect employee’s performance badly (Mullin, 2010). The issue is keeping Victoria
bank employees motivated and productive without discontinuity. In this regard, it is
important for managers to understand the type of reward system (extrinsic or intrinsic
reward system) to use in order to motivate employees to effectively use their skills to give
their best at the workplace for the overall organizational performance (Mullin, 2010).
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There is also the need to understand the type of reward systems that employees perceive
to be the most motivating in enhancing their performance and how the reward systems
can be developed to boost the organization and employees’ performance (Pratheepkanth,
2011).
1.2 Problem Statement
There are a number of studies which have been conducted on the role of motivation on
employees’ performance. 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 and 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. 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. The results of the mentioned studies
provided conflicting findings on the role of intrinsic or extrinsic reward system on
employees’ motivation and performance. In addition, they did not focus on the Kenyan
banking sector. These studies do not provide sufficient evidence on which reward system
has greater impact on employees’ motivation and performance. Therefore this presented a
knowledge gap that this study investigated by focusing on the role of motivation through
rewards on employees’ performance.
1.3 Purpose of the Study
The main purpose of this study was to investigate the role of motivation on rewards on
employees’ performance.
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1. 4 Research Questions
This study was guided by the following research questions:
1.4.1 To what extent does extrinsic motivation affect employees’ performance in
Victoria Commercial Bank?
1.4.2 To what extent does intrinsic motivation affect employees’ performance in Victoria
Commercial Bank?
1.4.3 What are the other motivational factors which affect employees’ performance in
Victoria Commercial Bank?
1.5 Significance of the Study
This study examines the role of employees’ motivation through rewards on organizational
performance. The benefits that can accrue from this study are numerous:
1.5.1 Commercial Banks
The study aims to create awareness to Commercial Banks in Kenya on the types of
incentives that are crucial to incorporate as a means of enhancing the employees'
performance in the organization as well as enhance employee motivation and
organizational performance.
1.5.2 Employees
The study also aims to be a source of motivation and inspiration to low productive
workers in enhancing their motivation and their employers’ performance. In addition, the
results from the study will also help commercial banks cope with the central problem of
motivating their workers to give their best.
1.5.3 Human Resource Management
A good incentive system has a potential of releasing the immense untapped reservoirs of
physical and mental capabilities of the employees. A number of studies have shown that
motivation in any form plays a crucial role in determining the level of organization
performance. By satisfying human needs through the incentive system helps in increasing
motivation, better utilization of resources and lowers the cost of business operations.
Therefore, a good incentive system will direct the employees towards the accomplishment
of the organization goals.
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1.5.4 Researchers and Academicians
This study will be useful to academicians and researchers who might be interested in
pursuing research in the same area. The study will help them understand the impact of
monetary, non-monetary incentive and compensation on employees’ motivation and
performance.
1.6 Scope of the Study
The study determined the role of motivation on employees’ performance. The study was
conducted using a population of 55 employees of Victoria Commercial Bank in Nairobi
County from the following departments: operations, finance, treasury, trade finance,
human resource, marketing and credit department. The survey was conducted for a period
of four weeks beginning 15th April to 15th May 2015. However, there were a number of
limitations when carrying out the study. First, the representative sample was too small
and all the employees were encouraged to participate in the study to avoid missing
responses. In addition, some drivers of intrinsic and extrinsic motivational rewards were
limited but additional empirical review was done to overcome some generalization.
1.7 Definition of Terms
1.7.1 Compensation
Compensation is defined as any monetary or nonmonetary reward given to employees by
an employer for their endeavours (Waters-Marsh, 2008).
1.7.2 Employee Benefits
Employee benefits are the monetary and monetary incentives offered by an organization
to attract and keep employees (Waters-Marsh, 2008).
1.7.3 Employee Performance
Performance means the transformation of inputs into outputs at the lowest cost, and
includes technical issues such as raw materials, layout and how employees perform in
their jobs. Performance is directly affected by the economic climate, the situation in the
markets, changes that occur from incentive system given to people (Mwanje, 2010).
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1.7.4 Extrinsic Reward System
Extrinsic reward system can also be referred to as monetary incentives based on pay,
personal bonuses and other benefits (Khan, Farooq & Ullah, 2010).
1.7.5 Incentive
Incentive is the benefits that arise from performing a task, rendering a service or
discharging a responsibility. It comprises of monetary and non- monetary incentives that
arise from transactions between the employer and employee to include pay, personal
bonuses and other benefits (Waters-Marsh, 2008).
1.7.6 Intrinsic Reward System
Intrinsic reward system can be referred to as non-monetary incentives that have to do with
learning, development and work experience (Aldag & Kuzuhara, 2001).
1.7.7 Motivation
Motivation is the psychological processes that cause the arousal, direction, and
persistence of voluntary action that is goal oriented (Kreitner & Kinicki, 2007).
1.7.8 Motives
Motives provide direction to human behaviour as they are directed towards certain
conscious or subconscious goals (Waters-Marsh, 2008).
1.8 Chapter Summary
This chapter presents the background on the role of motivation on employees’
performance. The first chapter is divided into various main sections. Section one gives the
detailed background of the study, section two describes the problem statement in the
context of other studies. Next is the purpose of the study. Followed by the research
questions. The next section provides the significance of the study. The scope of the study
is provided as well as the working definitions of the study. Chapter two presents an
overview of the literature review according to the research questions. Chapter three is on
the research methodology. Chapter four presents on the results and findings of the study.
Chapter five presents the summary, discussion, conclusion and recommendations of the
study.
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CHAPTER TWO
2.0 LITERATURE REVIEW
2.1 Introduction
This chapter presents the literature review according to the research questions of the
study. It discusses the extent to which extrinsic motivation affects employees’
performance in banking sector, the extent to which intrinsic motivation affects
employees’ performance in the banking sector and the extent to which other factors affect
employees’ performance in the banking sector. The chapter ends with a summary of the
discussions.
2.2 Extrinsic Motivation and Employees’ Performance
Extrinsic motivation refers to someone doing something because it leads to a separable
outcome (Mullin, 2010). Extrinsic rewards may play an important role in boosting the
employee’s performance as Pierce and Gardner (2004) point out that an individual’s self-
esteem, formed around work and organizational experiences, plays a significant role in
determining employee motivation. There are various components of extrinsic
motivational factors and they include: pay, bonus programs, profit sharing and stock
options (Mullin, 2010).
2.2.1 Pay
Pay refers to the amount of money provided to workers for the accomplishment of
organization goals (Koch, 2008). Kreitner and Kinicki (2007) suggests that the
effectiveness of pay as a motivator depends on a number of circumstances, including the
value and needs of individuals and their preference for different types of financial or non-
financial rewards. Armstrong and Murlis (2004) further commented that pay is important
to people because it is instrumental in satisfying a number of their most pressing needs. It
is significant not only because of what they can buy but also a highly tangible method of
recognizing their worth, thus, improving their self-esteem and gaining esteem of others
(Khan, Farooq & Ullah, 2010). Armstrong and Murlis (2004) reflecting on intrinsic
motivation pointed out that pay in itself has no intrinsic meaning and acquires significant
motivating power only when it comes to symbolize intangible goals.
Yin and Yang (2012) found that the employee incentive of pay, distinctively impacted on
their performance. Pay was significantly correlated with job performance (Yin and Yang,
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2012). The authors recommended that pay be re-examined and adjusted to better suit the
staffs and enhance their performance. In a similar study, Rajapaksa and Rothstein (2009)
analyzed a survey conducted to discover why employees performed poorly in their jobs.
One of the most frequently indicated answers was that their pay was better in their current
position (35%) (Rajapaksa and Rothstein, 2009). When examining pay as a reason for
their production, the authors suggested that organizations concentrate more on adequate
payment system. Other recommendations by the authors included providing financial
assistance to the employees for enhanced performance (Rajapaksa and Rothstein, 2009).
To further support the aforementioned studies, Coshow (2009) found pay as a major
influence of job performance. Authors of the study found that employees who had been at
the organization for greater than 10 years were equally satisfied with pay, yet more
satisfied with benefits compared to those who had been at the organization less than two
years (Coshow., 2009). Coshow (2009) recommended that pay can be considered in most
organization to enhance the motivation and make the employees work even harder.
Dubrin (2007) explains that pay is an unquestionably form of reward. However, it is not
the only way in which organizations can reward their people. Vecchio (2006) asserted
that a good reward should be valued by its recipients and there is no question that pay is
highly important to most people. Clarifying on the shortcomings of using pay as the only
reward, Daniel (2000), comments that, although pay can be used occasionally, it should
not be the main incentive. Even though most people, in most circumstances, like pay, it
provides limited reinforcement for the cost. Pay in the form of money is soon spent and
the memory of it soon fades, whereas other tangible incentives are kept longer and act as
a constant remainder of some accomplishment (Mullin, 2010).To further support this,
Baron (2008) indicates that the link between pay as an extrinsic reward and employee
performance has yielded negative results.
In other words, performance does not increase with increased pay and does not decrease
when the worker is less motivated by the pay as a reward provided in the organization.
This finding may appear to be strange but the following reasons put forward by Baron
(2008) will support this finding. Firstly, in many work situations, change in performance
or performance is difficult as the job structure ensures work at a minimum level only. In
other words, even if the worker had to work at a faster rate, the production will continue
to move at the same pace. In addition the sharing of work resources hinders the progress
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of the workers because he or she has to wait for the specified materials. Therefore, even
if there are extremely high levels of motivation, this will do little to raise performance and
the correlation between motivation and performance is weakened. In this regard, most of
the studies indicate that there is a direct correlation between pay and the task
performance, but the correlation is not particularly strong in which the current study aims
to find out among the bank employees. Bonus programs may also play a role in boosting
employees’ performance.
2.2.2 Bonus Programs
Bonus programs are usually rewards provided to individuals for their accomplishment in
a particular task (Mullin, 2010). The bonus program has been used in different
organizations for some time now. Bonuses are frequently used in sales organizations to
encourage salespersons to generate additional business or higher profits. They can also be
used, however, to recognize group accomplishments. Indeed, increasing numbers of
businesses have switched from individual bonus programs to one which rewards
contributions to corporate performance at group, departmental, or company-wide levels
(Odell, 2005).
According to Yin and Yang (2012), small businesses interested in long-term benefits
should probably consider another type of reward. Bonuses are generally short-term
motivators. By rewarding an employee's performance for the previous year, they
encourage a short-term perspective rather than future-oriented accomplishments. In
addition, these programs need to be carefully structured to ensure they are rewarding
accomplishments above and beyond an individual or group's basic functions. Otherwise,
they run the risk of being perceived of as entitlements or regular merit pay, rather than a
reward for outstanding work. Proponents, however, contend that bonuses are a perfectly
legitimate means of rewarding outstanding performance, and they argue that such reward
system can actually be a powerful tool to encourage future top-level efforts (Odell, 2005).
Profit sharing incentives may also play a role in boosting employees’ performance.
2.2.3 Profit Sharing
Profit sharing refers to the strategy of creating a pool of monies to be disbursed to
employees by taking a stated percentage of a company’s profits (Yin & Yang, 2012). The
amount given to an employee is usually equal to a percentage of the employee's salary
13
and is disbursed after a business closes its books for the year (Rajapaksa and Rothstein,
2009). The benefits can be provided either in actual cash or via contributions to
employee's retirement plans. A benefit for a company offering this type of reward is that
it can keep fixed costs low (Ramey, Ardella and Carl, 2011).
The idea behind profit sharing is to reward employees for their contributions to a
company's achieved profit goal. It encourages employees to stay put because it is usually
structured to reward employees who stay with the company (Mullin, 2010). Most profit
sharing programs require an employee to be vested in the program over a number of years
before receiving any money (Pratheepkanth, 2011). Unless well managed, profit sharing
may not properly motivate individuals if all receive the share anyway. A team spirit
(everyone pulling together to achieve that profit) can counter this especially if it arises
from the employees and is not just management propaganda (Luthans, 2005). . Stock
options may also play a role in boosting employees’ performance.
2.2.6 Stock Options
A stock option refers to a contract between two parties in which the stock option buyer
(holder) purchases the right (but not the obligation) to buy or sell 100 shares of an
underlying stock at a predetermined price to the option seller (writer) within a fixed
period of time (Khan, Farooq and Ullah, 2010). Stock options have become an
increasingly popular method in recent years of rewarding middle management and other
employees in both mature companies and start-ups. Employee stock-option programs give
employees the right to buy a specified number of a company's shares at a fixed price for a
specified period of time (usually around ten years). They are generally authorized by a
company's board of directors and approved by its shareholders. The number of options a
company can award to employees is usually equal to a certain percentage of the
company's shares outstanding (Parker and Liz, 2001).
Stock options usually reward employees for sticking around, serving as a long-term
motivator. Once an employee has been with a company for a certain period of time
(usually around four years), he or she is fully vested in the program. If the employee
leaves the company prior to being fully vested, those options are canceled (Torrington et.
al., 2009). After an employee becomes fully vested in the program, he or she can
purchase from the company an allotted number of shares at the strike price (or the fixed
14
price originally agreed to). This purchase is known as "exercising" stock options. After
purchasing the stock, the employee can either retain it or sell it on the open market with
the difference in strike price and market price being the employee's gain in the value of
the shares (Rajapaksa and Rothstein, 2009).
Offering additional stock in this manner presents risks for both the company and the
employee. If the option's strike price is higher than the market price of the stock, the
employee's option is worthless. When an employee exercises an option, the company is
required to issue a new share of stock that can be publicly traded. The company's market
capitalization grows by the market price of the share, rather than the strike price that the
employee purchases the stock for (Khan, Farooq and Ullah, 2010). The possibility of
reduction of company earnings (impacting both the company and shareholders) arises
when the company has a greater number of shares outstanding. To keep ahead of this
possibility, earnings must increase at a rate equal to the rate at which outstanding shares
increase. Otherwise, the company must repurchase shares on the open market to reduce
the number of outstanding shares (Parker & Liz, 2001).
One benefit to offering stock options is a company's ability to take a tax deduction for
reward system expense when it issues shares to employees who are exercising their
options. Another benefit to offering options is that while they could be considered a
portion of reward system, current accounting methods do not require businesses to show
options as an expense on their books. This tends to inflate the value of a company.
Companies should think carefully about this as a benefit, however. If accounting rules
were to become more conservative, corporate earnings could be impacted as a result
(Dubrin, 2007).
Bonuses, profit sharing, and stock options can all be used to reward team and group
accomplishments. An entrepreneur can choose to reward individual or group
contributions or a combination of the two. Group-based reward systems are based on a
measurement of team performance, with individual rewards received on the basis of this
performance (Torrington et. al., 2009). While these systems encourage individual efforts
toward common business goals, they also tend to reward under-performing employees
along with average and above-average employees (Pratheepkanth, 2011). A reward
program which recognizes individual achievements in addition to team performance can
15
provide extra incentive for employees. Therefore, by rewarding outstanding performance
within the organization, it can have a positive outcome on employees’ performance
(Coshow et al., 2009). . Intrinsic motivation may also play a role in boosting employees’
performance.
2.3 Intrinsic Motivation and Employees’ Performance
Intrinsic motivation refers to doing something because it is inherently interesting or
enjoyable (Yin and Yang, 2012). Intrinsically motivated agents do not only care about
extrinsic rewards (like monetary payments), but their motivation to worker harder
depends also on factors such as their self esteem or self confidence in succeeding in a task
(Pierce and Gardner, 2004). There are various components of intrinsic motivational
factors and they include: job autonomy, professional growth, leadership, workload and
work contentment (Yin and Yang, 2012).
Such experiences are for examples signals by the organizational environment and
significant others (Pierce and Gardner, 2004). Other determinants of an employee's self
confidence are job characteristics, such as task difficulty and complexity, the environment
in which the task is performed, work quality, quantity and routine, as well as creativity
and meaningfulness of the work, or identification with the job (Gardner, 2004).
As such, the management therefore needs to understand what reward system are involved
to get employees give of their best and stretch towards their potential. Hatcher, Bleich,
Connolly, Davis, Hewlett, and Hill (2006) conducted a study to identify best practices for
motivating and retention of the older nursing workforce (ages 45-64). The authors
conducted a literature review to examine characteristics of the older employee, define
human resource policies affecting production, and discover work environment designs
that foster recruitment of older employees. The authors identified 25 individuals as
experts in hospital employee retention as well as experts in the retention of older workers.
Of the 25 experts, 13 participated in telephone interviews (Hatcher et al., 2006).
Ultimately, these 13 experts identified either the same or very similar variables to
increase organizational commitment as those identified in the literature (Hatcher et al.,
2006). Job autonomy may also play a role in boosting employees’ performance.
16
2.3.2 Job Autonomy
Job autonomy refers to the way a job provides the freedom to expand on the job duties
and responsibilities to any individual who was hired to perform it independent judgment
and discretion required to do the work. In addition to telephone interviews, Hatcher et al.
(2006) conducted a survey as a means of identifying best practices for enhancing
performance of older employees. A pilot web-based employee survey was made available
to more than 2,000 employees in a Presbyterian New Mexico healthcare system
composed of seven different hospitals, 26 ambulatory care clinics, home health care and
hospices services. The survey response rate was 200% (N=377) and did not concentrate
solely on older employees (Hatcher et al., 2006). The authors recommended autonomy as
a solution to the motivation of older employees in the overall findings to enhance their
performance. A literature review by Moseley, Jeffers, and Paterson (2008) examining the
same identified empowerment or autonomy as a solution to increasing workers
performance.
2.3.3 Professional Growth
Professional growth refers to the fulfilment career responsibilities as part of the employee
learning and skill building overtime (Mullin, 2010). Hatcher et al. (2006) found that
professional growth, such as provision of challenges, increases performance among older
employees. To further support professional growth and continuing education as indicators
for boosting the workers’ performance, Tourangeau et al. (2010) found that provisions of
challenges and support from the organization for professional development of the
employee practice are important to employees. The authors reported that opportunities for
new challenges are a motivator for boosting their performance. It was also reported that
opportunities for professional development, such as educational offerings, have the
potential to increase employees’ performance (Tourangeau et al., 2010).
Many managers and consultants tend to agree that professional growth is the best
incentives in the long run as an intrinsic reward (Pascerella, 2007). Professional growth
tends to sustain employees’ performance in the long term (Gross, 2005). In a further study
by Shaw and Schneier (2005), professional growth was found to be a more effective way
to motivate a team as compared to monetary rewards. Yin and Yang (2012) found that a
positive correlation between professional growth and job performance. Moseley, Jeffers
and Paterson (2008) recommended professional growth should be enhanced as a means of
17
continually fostering increased performance (Moseley et al., 2008). Such interventions
would promote employee motivation to give the best of their performance. Leadership
may also play a role in boosting employees’ performance.
2.3.4 Leadership
Leadership is defined as an individual who has the ability to bring about change by
looking for potential motives in followers, by seeking to satisfy higher need and fully
engage the followers through a mutual relationship to inspire the followers towards the
achievement of the group goals (Ma, Lee, Yang and Change, 2009). Tourangeau,
Cummings, Cranley, Ferron and Harvey (2006) suggested establishing leadership that
shares common interest in his or her vision, work group goals and objectives. In a later
study, Tourangeau et al. (2010) further supported the previous findings by suggesting that
leadership support, as well as relationships with the manager, are motivators for increased
employee performance. The authors also found that flexible scheduling is an equally
important variable. Based on the finding of this study, participants felt leaders who
provided flexible scheduling had a positive impact on employee performance. In most
focus groups, the leader’s capabilities, motives, and relationship with the employees
affected the employee’s performance (Tourangeau et al., 2010).
In 2009, Ma, Lee, Yang, and Chang conducted a cross-sectional study in Taiwan. This
study involved four acute care hospitals and examined employees’ performance and its
correlation with leadership characteristics. Upon approval from the institutional ethical
committees, self-reported surveys, developed by the research team, were administered to
the employees, with reminders that the questionnaires were voluntary and anonymous
(Ma et al., 2009). Ma et al. (2009) found that good leadership was the most significant
predictor of intent to improve performance. The authors recommended that organizations
implement a good leadership program to improve on employees’ performance. Also,
performance of the employees should be assessed on a regular basis and the leaders take
actions to enhance the employees’ performance (Ma et al., 2009). Work load may also
play a role in boosting employees’ performance.
2.3.5 Workload
Workload can be defined as the amount of work assigned to or expected from a worker in
a specified time period (Palumbo, McIntosh, Rambur and Naud, 2009). In a study
18
conducted by Sellgren, Kajermo, Ekvall and Tomson (2009), focus group discussions
introduced the concept of workload as having a direct impact on employees’ performance.
The authors stated that on inpatient units, where employees provide 24-hour care, patient
acuity is higher than ever due to patients living longer with increased morbidities. Sicker
patients lead to higher workload and exhaustion, and heavy workload has a negative
impact on workers performance (Sellgren et al., 2009). The authors recommended that
managers ensure adequate staffing to decrease workload, thereby increasing employee
performance. In contrast, Palumbo et al. (2009) did not identify staffing as having a direct
affect on employee performance; however, the authors recommended organizations
assure safe staffing levels. Biesheuvel (2008) indicates that a reward system resulting
from work contentment and performance are related when individual performance is seen
as a way of meeting certain goals that are valued as priority and therefore satisfying. In
other circumstance, a negative relationship exists between performance and the reward
system resulting from work contentment (job satisfaction), which supports the view of the
expectancy, or valency, theory. Work content may also play a role in boosting employees’
performance.
2.3.6 Work Contentment
Work contentment refers to the state of the mind being at ease with the work
responsibilities (Panagiotakopoulos, 2013). According to Vroom (2008) employees can
find and create motivation resulting from work contentment by: knowing why they were
employed, knowing how they fit in the work environment, learning to communicate in
their work place, making a list of their achievements, reviewing their work and changing
their jobs or professions. Some of the reasons put forward for this limited relationship
between employee performance as a result from work contentment are as follows: firstly,
many work situations do not allow for major movements for the following reasons: in
some instances employees must maintain at least some minimum level of performance to
hold on to their jobs; a worker’s performance is linked to the speed of other employees;
an employee’s performance is linked to the speed of the machinery that they operate
(Vroom, 2008).
The question of whether attitudes and employee’s performance are linked was studied,
and ultimately, evidence has shown that there is a direct correlation between attitudes and
employee’s performance. This does not imply that attitudes always translate into
19
employee’s performance directly or immediately. As a result of this assumption, it is
reasonable to expect employee’s performance resulting from work contentment to feature
prominently in several job-related activities. Many investigations have revealed that the
reward system and motivation resulting from work contentment has an effect on whether
an employee would report to work or not. According to Baron (2008), there was a
moderate inverse relationship between employee’s performance resulting from work
contentment and absences. With regard to employee turnover, the less the reward system
resulting from work contentment an employee receives from his or her job, the greater is
the possibility of the worker either resigning or finding another job elsewhere. It has often
been assumed that when workers are happy, such workers will be productive. Other
factors may also play a role in boosting employees’ performance.
2.4 Other Motivational Factors and Employees’ Performance
The other factors that may enhance employee performance include: job security, training,
work responsibilities, communication and work environment (Panagiotakopoulos, 2013).
2.4.1 Job Security
Job security is the probability that an individual will keep his or her job; a job with a high
level of job security is such that a person with the job would have a small chance of
becoming unemployed (Panagiotakopoulos, 2013). Today unemployment is an important
problem almost every country suffers from. Although the reasons may show variety, job
security seems to be in decrease in every part of the world (Ulucan, 2012). The most
prominent reasons for decreasing job security can be cited as technology,
internationalization of capital, demographic change and government policies. From this
aspect, today’s business world is experiencing a difficult period in terms of both
employees and employers (Senol, 2011). Job security, which is crucial for an employee in
terms of keeping his or her job or finding a new job, is also important for the employers
since it enables them to keep their employees or find new ones (Bakan and Buyukbese,
2014). Therefore, employers should be sensitive about the motivation of their employees
under any circumstances for the interest of their organizations. Because employees are not
machines running on physical power but social beings thinking, feeling and being
affected by their environment. For this reason, trying to understand employees can make
them feel valued and inspire them to work harder on the quality of their work (Ulucan,
2012).
20
Job security is one of the most influential means of motivating and enhancing employee
performance particularly in times of economic downturn. Employees’ belief that they will
not lose their jobs or they will be employed in the same organization as long as they want
is a significant reason for motivation (Senol, 2011). Therefore, job security is one of the
most significant variables of employee performance which expresses the general attitude
of the employee towards their job (Bakan and Buyukbeşe, 2014). Job security also plays
an important role in both social and working life because it helps individuals do not worry
about their future, contributes to maintaining labour peace, increasing organizations’
productivity and protecting social balance and values. Employees’ confidence in future
and the stability that comes with earning a livelihood are among the most essential rights
provided by job security (Ulucan, 2012). One of the main purposes of modern labour law
is also to secure these rights of employees and prevent them from losing their job without
a valid reason (Suzek, 2006).
In this respect, job security provides social benefits and it also functions as an important
motivational tool enhancing employees’ positive feelings towards their jobs. All around
the world, job security is protected by labour laws (Ulucan, 2012). On the other hand, due
to some constraints like weaknesses in enforcement of laws, employer pressure on the
governments or distinctive structure of some businesses, it is difficult to maintain job
security in the real sense (Ulucan, 2012). Particularly, in tourism sector, implementation
of job security laws is quite problematic because some hotels are seasonal and the ones
open all year round tend to employ temporary staff. For this reason, in this branch of
business psychological security provided by employers is more effective on overcoming
employee’s work anxiety than job security enforced by laws (Süzek, 2006). Therefore,
dimension of relationship between employee and management in hotels becomes more
important in the positive or negative perception of job security (Senol, 2011). The aspect
of job security and employees’ performance is an area that has always attracted the
attention of the researchers to investigate on the subject.
Coshow, Davis, and Wolosin (2009) performed a cross-sectional analysis of Press
Ganey’s Employee Perspectives survey data. Data from the original survey were collected
from January 1, 2005 to December 31, 2006. Researchers examined the effect of tenure
on job satisfaction and performance. The sample contained 56,253 registered employees
21
from 439 health care facilities in 43 states hired on different tenures from those who
worked for less than two year to more than 10 years (Coshow et al., 2009). Results of the
analysis revealed that recognition is initially high in employees during the first two years
of employment, plummets in two to five years of employment, and plateaus around five
years of employment. The authors suggested that organizations concentrate on
recognition, which was distinctly identified as a major intrinsic factor (Coshow et al.,
2009) in enhancing the workers’ performance. Professional growth may also play a role
in boosting employees’ performance. Work responsibilities may also play a role in
boosting employees’ performance.
2.4.2 Training
Training can be defined as a method of preparing an employee to perform a task by
providing them with information about the task, a demonstration of its performance, an
opportunity for the employee to imitate the demonstration and subsequent feedback
(Schermerhorn, 2010). Many business operators feel that effective job training makes an
important contribution to the performance of the employees. In the real world, employee
performance is affected by a number of factors. Employee training plays a vital role in
improving performance as well as increasing employee productivity (Griffin, 2012). This
in turn leads to placing organizations in the better positions to face competition and stay
at the top. This therefore implies an existence of a significant difference between the
organizations that train their employees and organizations that do not. Existing literature
presents evidence of an existence of obvious effects of training and development on
employee performance. Some studies have proceeded by looking at performance in terms
of employee performance in particular (Müller, 2011) while others have extended to a
general outlook of organizational performance (Schermerhorn, 2010).
In one way or another, the two are related in the sense that employee performance is a
function of organizational performance since employee performance influences general
organizational performance. In relation to the above, (Robbins, 2009) note that employee
competencies change through effective training programs. It therefore not only improves
the overall performance of the employees to effectively perform their current jobs but also
enhances the knowledge, skills an attitude of the workers necessary for the future job,
thus contributing to superior organizational performance (Griffin, 2012). Training has
been proved to generate performance improvement related benefits for the employee as
22
well as for the organization by positively influencing employee performance through the
development of employee knowledge, skills, ability, competencies and behaviour
(Schermerhorn, 2010). Moreover, other studies for example one by Pride, (2011),
elaborate on training as a means of dealing with skill deficits and performance gaps as a
way of improving employees’ performance.
According to Ulucan (2012), bridging the performance gap refers to implementing a
relevant training intervention for the sake of developing particular skills and abilities of
the employees and enhancing employee performance. He further elaborate the concept by
stating that training facilitate organization to recognize that its workers are not performing
well and a thus their knowledge, skills and attitudes needs to be molded according to the
firm needs. It is always so that employees possess a certain amount of knowledge related
to different jobs. However, it is important to note that this is not enough and employees
need to constantly adapt to new requirements of job performance. In other words,
organizations need to have continuous policies of training and retaining of employees and
thus not to wait for occurrences of skill and performance gaps. According to Numerof
(2003), employee competencies change through effective training programs. It not only
improves the overall performance of the employees to effectively perform the current job
but also enhance the knowledge, skills and attitude of the workers necessary for the future
job, thus contributing to superior organizational performance. Through training the
employee competencies are developed and enable them to implement the job related work
efficiently, and achieve firm objectives in a competitive manner. Further still,
dissatisfaction complaints, absenteeism and turnover can be greatly reduced when
employees are so well trained that can experience the direct satisfaction associated with
the sense of achievement and knowledge that they are developing their inherent
capabilities (Schermerhorn, 2010).
2.4.3 Work Responsibilities
Work responsibilities refer to a clear definition and understanding of job role, function
and responsibilities among individual and teams in the workplace (Lockwood, 2013).
Tetrick and Buffardi (2006) explained that employee performance may be affected by the
individual difference between the propensity for work involvement and job commitment.
Higher levels of involvement may negatively affect employees’ job performance. In this
study, a second model was tested that examined job involvement as a potential moderator
23
of the relationship between emotional labour and work life balance. Tetrick and Buffardi
(2006) results showed that emotional labour could bring affect the employee job
performance. Teachers who were more involved in their work tended to have a stronger
conflict between emotional labour and employee job performance. Findings suggest that
interventions are required to enhance the emotion management skills of teachers. The
development of “healthy” work role separation between work and home responsibilities
should be encouraged to ensure that the negative impact of emotional labour does not
manifest itself as negative spill over on employee performance.
Grandey and Cropanzano (2009) study on the examination of the factors that may help
employees to manage the work-home interface (such as social support) as well as increase
work-life conflict (such as long working hours). The study revealed that there was a
negative association between levels of professional commitment and employee job
performance. As professional commitment might increase the risk of work demands
spilling over into non-work activities due to excessive involvement in the work role, it led
to a negative work life balance. Fisher et al. (2013) describes work role conflict as
occurring when different people or different work functions, for instance, two supervisors
making conflicting demands on an employee. These results to negative work life balance
by not meeting one or other the supervisor expectations. In addition, there will be
negative work life balance when there are conflicting demands between work and non-
work responsibilities. Some work role may lead to stressful job situations that may affect
employee job performance. Good communication may also play a role in boosting
employees’ performance.
2.4.4 Communication
Communication can be defined as the process of exchanging ideas or opinions between
individuals in any setting (Lockwood, 2013). Adkins (2006) notes that communication is
very essential to keeping employees motivated and helps in maintaining a high
performance in the workforce. Regular communication on the staff appraisals and
performance are crucial in articulating the objectives of the business. By so doing,
employees can get a clear sense of what is expected of them. Adkins (2006) stresses
further that managers need to let ‘people know how they contribute to the company and
how they make a difference. Lockwood (2013) argues that good communication
motivates and inspires the employees. Employees should know about everything that
24
concerns them directly or indirectly and give the management an accurate detail of their
work activities as soon as possible to enhance their performance. It is important for the
management to respond appropriately to employee demands and help set up a help desk
for “other queries” to promote a healthy work life balance that would lead to enhanced
employee performance. Exchange of information between management and staff to work
together creatively enables decisions to be reached quickly and easily as well as open
plans for enhanced employees’ job performance.
Robins (2004) encourages and guides discussion about involvement and contribution.
Both formal and informal discussions are encouraged. In this case disagreements often
pave the way for consensus. Contrary views are treated with respect and disagreements,
explained fully. According to Robbins (2004), communication and thinking are important
activities in management. The management should avail itself to listen, talk, encourage
and promote healthy work life balance. The employees should be engaged in decisions
that might affect them, instead of merely informing them after the fact. Employee
concerns or new policies should be addressed and a feedback given. In case of a problem
they have pin-pointed, they should be told the way forward and even their input sought
because involving staff from an earlier stage encourages all members to feel that they can
make a difference for a healthy work life balance.
According to Evans (2010), the basic component of improved job performance is co-
operation. This brings about good employee relations and promotes loyalty and
commitment. He argues that this should be given by and expected from all members of an
organization. The root causes of repeated complaints should be found out and eradicated
without delay. The relationship among the staff should be to help them to help
themselves. In this case, it is necessary to inform staff of their ideas and success rates.
Consequently, answering staff questions and investing in new tools or training if
requested brings about major improvements in staff motivation levels. Motivation level
here can also be increased by moving towards less rather than more control (Stevenin,
2007). Staff should be open in their appearance and behaviour. The employer on the other
hand should have a good reason and an explanation for refusing a request. He should also
never offer to finance anything unless he can raise the funds. This kind of actions can
inflict a level of damage that cannot be recouped. The management has to encourage team
members to share ideas and support one another. In addition, the management should also
25
monitor individual working conditions and help staff develop their full potential (Hellen,
2008). Therefore, the management of NGOs should ensure that the working conditions,
pay and status issues, job security and working atmosphere are managed properly and in a
way that brings promotes employee job performance. Management practices may also
play a role in boosting employees’ performance.
2.4.5 Work Environment
Work environment is considered to be one of the critical roles that endear the
organization to employees (Ramlall, 2014). Factors such as job opportunities which exist
outside the organization make it essential to influence employees’ decisions to be
engaged and stay with the organization. When external attractions such as higher pay in
other organisations arise, leaders have the obligation to create a work environment for
employees that will enable them to resist such factors. This in turn enables employees to
meet their performance (earning potential) due to open communication and requisite
levels of training and support provided by such a management style (Samuel and
Chipunza, 2009). Amar (2014) discerns that modern organisational leaders are busy
eliminating organizational barriers which are in the way of employees’ creativity and
performance in their jobs, obstacles and organisational policies that create hurdles.
Organizations are recommended to eliminate barriers that can go against employee
motivation thus hindering their performance.
The management practices can be improved in removing the structures and strict
formalities which hinder employee freedom and performance. This will in turn decrease
the high turnover rate caused by the rigid organisational policies. As a result of the
satisfying social atmosphere that exists in the organisation which include happy and
friendly environment reminiscent of a family environment, employees’ intention to quit is
or under performance is eliminated (Samuel, 2008). Ramlall (2014) points out that good
working conditions and similar factors provide more scope to a manager’s role in
motivating employees to enhance their performance other than compensation. Ramlall
(2014) adds that professions should be structured so as to cultivate experiences of an
employee of responsibility, meaningfulness, and knowledge of the outcome of one’s
effort. There are three specific core factors that are desirable for making work feel
meaningful, motivating and provide the potential for high performance; they include skill
variety, task significance and task identity.
26
2.5 Chapter Summary
This chapter reviewed literature in the role of employees’ motivation through rewards on
organizational performance. It discussed the extent to which extrinsic motivation affects
employees’ performance, the extent to which intrinsic motivation affects employees’
performance and the extent to which other factors affect employees’ performance. The
next chapter is on the research methodology.
27
CHAPTER THREE
3.0 RESEARCH METHODOLOGY
3.1 Introduction
The study aimed to determine the role of motivation on employees’ performance using
the case of Victoria Commercial Bank. This chapter highlighted the various methods and
procedures the researcher will adopt in conducting the study in order to address and
answer the research objectives raised in the first chapter. This chapter was organized in
the following structure: the research design, population and sample, data collection
methods, sampling design and sample size, research procedures, data analysis methods
and lastly the chapter summary.
3.2 Research Design
This research adopted a descriptive research design. A descriptive research design is a
scientific method which involves observing and describing the behaviour of a subject
without influencing it in any way (Malhotra, 2007). In addition, a descriptive study
attempts to describe a subject, often by creating a profile of a group of problem, people or
events, through collections of data and the tabulation of frequencies on research variables
and the research reveals who, what, when, where or how much (Cooper and Schindler,
2003).
Descriptive research is considered appropriate because subjects are normally observed in
their natural set up and can result in accurate and reliable information (Britt, 2006). This
design lends itself to various approaches. This study adopted the survey approach. A
survey in form of standardized questions in a questionnaire was used to collect data. A
survey is defined by Malhotra (2007) as a method of collecting data from people about
who they are, how they think (motivations and beliefs) and what they do (behaviour).
This study was guided by three independent variables: extrinsic motivation, intrinsic
motivation and other motivational factors while the dependent variable is the employees’
performance.
3.3 Population and Sampling Design
3.3.1 Population
Cooper and Schindler (2003) describe a population as the total collection of elements
whereby references have to be made. In this study, the target population comprised of 55
28
Victoria Commercial Bank employees comprised from the following departments:
operations, finance, treasury, trade finance, human resource, marketing and credit
department. Table 3.1 indicates the total population distribution.
Table 3.1: Total Population Distribution
Departments Total Population
Operations 9
Finance 9
Treasury 8
Trade Finance 10
Human Resource 7
Marketing and Credit 12
Total 55
3.3.2 Sampling Design and Sample Size
3.3.2.1 Sampling Frame
A research sampling frame is that part of the research plan that indicates how cases are to
be selected for observation. The design therefore maps out the procedure to be followed
to draw the study’s sample. A sampling frame is a list of elements from which the sample
is actually drawn and is closely related to the population under study (Cooper &
Schindler, 2003). In this study, the sampling frame constituted of a list of the bank
employees that was obtained from the human resource department headquarter.
3.3.2.2 Sampling Techniques
The multi stage sampling technique was adopted. The sampling techniques include the
purposive sampling method in the determination of employees to be included in the study.
The purposive sampling will be used when the various sampling units satisfy certain
criteria of interest. In this study, the chosen group must be employees with Victoria
Commercial Bank. Random sampling technique (Lottery Method) will also be employed
to ensure fair representation of individual members in the groups selected for the study. A
random sample is a subset of individuals (a sample) chosen from a larger set (a
population). Each group will be chosen randomly and entirely by chance, such that each
individual has the same probability of being chosen at any stage during the sampling
process, and each individual has the same probability of being chosen for the sample
(Yates, Daniel, Moore and Starnes, 2008). This minimized bias and simplified analysis of
the results.
29
3.3.2.3 Sampling Size
Determining sample size is a very important issue for collecting an accurate result within
a quantitative survey design. The sample size is a smaller set of the larger population
(Cooper & Schindler, 2003). Cooper and Schindler argue that the sample must be
carefully selected to be representative of the population and the need for the researcher to
ensure that the subdivisions entailed in the analysis are accurately catered for. To obtain
the minimum sample, the study relied on a census. Therefore the study was based on a
census comprising of 55 employees who are sufficient and representative of the whole
population which is already too small.
Table 3.2: Sample Size Distribution
Departments Total Population Percentage Sample Size
Operations 9 100 9
Finance 9 100 9
Treasury 8 100 8
Trade Finance 10 100 10
Human Resource 7 100 7
Marketing and Credit 12 100 12
Total 55 100 55
3.4 Data Collection Method
The study used primary data collection. The data collection method is a survey and
questionnaires were used in the study. Maholtra (2007) explains that questionnaires are an
important data collection tool. In addition, the use of questionnaires was justified because
they provided an effective and efficient way of gathering information within a very short
time. Further, the questionnaires facilitated easier coding and analysis of data collected.
The questionnaires had closed ended questions divided into four sections: first section
contained the respondent’s demographics with eleven questions. The second section
addressed the extent to which extrinsic motivation affects employees’ performance with
fifteen questions. The third section looked at the extent to which intrinsic motivation
affects employees’ performance with fifteen questions. The fourth section looked at the
extent to which other factors affect employees’ performance with fifteen questions. A 5-
point likert scale was applied and it consisted of a series of statements that express
strongly agree to strongly disagree.
30
3.5 Research Procedures
The questionnaire were formulated and submitted to human resource authorities for
clarity and content validity. This was preceded by seeking the approval of the
management in data collection. After the approval and before the actual data collection
the questionnaires were pretested for efficiency among 5 respondents who were not part
of the study. This enabled the researcher to fine tune the questionnaire for objectivity and
efficiency of the process. According to Mugenda and Mugenda (2009), this ensures the
reliability of the data collected for the purposes of the research. A letter of introduction
was attached to the questionnaire explaining the purpose of the study. The questionnaires
was administered with the aid of a research assistant using drop and pick method from the
respondents during week days. Follow up reminders, which include emails, text messages
and phone calls were used to achieve high response rate. Each questionnaire was
estimated to take twenty minutes to complete and the respondents’ confidentiality was
maintained.
3.6 Data Analysis Methods
To ensure easy analysis, the questionnaires were coded according to each variable of the
study. This study used descriptive statistics. According to Mugenda and Mugenda (2009),
descriptive analysis involves a process of transforming a mass of raw data into tables,
charts, with frequency distribution and percentages, which are a vital part of making
sense of the data. In this study, the descriptive statistics were used to give meaning to the
data. Inferential statistics such as correlation and regression were used to determine the
relationship between the independent (extrinsic, intrinsic and other motivational factors)
and dependent variables (employees’ performance). Data was analyzed using Statistical
Package for Social Sciences (SPSS) program and presented using tables, and figures to
give a clear picture of the research findings at a glance.
3.7 Chapter Summary
This chapter presents the various methods and procedures the researcher adopted in
conducting the study in order to answer the research questions raised in the first chapter.
The chapter was organized in the following ways: the research design, population and
sample, data collection methods, sampling design and sample size, research procedures
and data analysis. The next chapter presents the results and findings of the study.
31
CHAPTER FOUR
4.0 RESULTS AND FINDINGS
4.1 Introduction
This chapter addresses the results and findings on the role of motivation on employees’
performance using the case of Victoria Commercial Bank of Kenya. The findings are
outlined according to specific objectives of the study. The findings are based on the
responses from the questionnaires filled and information gathered on the research
questions. The first research question determined the extent to which extrinsic motivation
affect employees’ performance. The second research objective determined the extent to
which intrinsic motivation affect employees’ performance and the third research question
established how other factors affect employees’ performance. Out of a targeted 55
respondents, 45 responded to the questionnaires. This represented an effective response
rate of 81%. The findings are presented in Table 4.1.
Table 4.1: Response Rate
Category Target Respondents Response Response Rate (%)
Employees 55 45 82
Total 55 45 82
4.2 General Information
The general information is organized in the following areas: gender, age of the
respondents, job category of respondents, work experience, education level, management
interest in motivating employees to enhance performance, satisfaction with the rewards
provided by the organization, satisfaction with implemented reward scheme and
employers having a good sense of what motivates employees.
4.2.1 Gender
The findings illustrates that 54% of the respondents were male and 46% of the
respondents were female. Thus, the findings indicate that majority of the respondents
were male employees. The findings are indicated on Table 4.2.
32
Table 4.2: Gender of Respondents
Gender of Respondents Distribution
Frequency Percent
Male 29 54
Female 25 46
Total 45 100
4.2.2 Age of the Respondents
The findings illustrated in Table 4.3 indicate that 19% of the respondents were aged
between 20 to 30 years, 53% between 31 to 45 years, 23% between 46 to 60 years and 5%
were above 61 years. Therefore, the findings indicate that most of the respondents were
below 45 years.
Table 4.3: Age of Respondents
Age of Respondents Distribution
Frequency Percent
20-30 8 19
31-45 23 53
46-60 10 23
Above 61 years 2 5
Total 43 100
4.2.3 Job Category of Respondents
The results in Table 4.4 indicated that most of the respondents were in clerical and
secretarial position (44%). This was followed by 20% in supervisory position, 14% in
management position, 13% in other position and 7% worked as support staff. This
indicates that majority of the respondents were in clerical and secretarial position.
Table 4.4: Job Category of Respondents
Job Category Distribution
Frequency Percent
Management 6 14
Supervisory 9 20
Clerical and Secretarial 19 44
Support Staff 3 7
Others 6 13
Total 44 100
33
4.2.4 Work Experience
The results indicated that most of the respondents had worked between 6 to 10 years
(29%). This was followed by 20% with more than 21 years work experience, 19%
between 2 to 5 years, 15% between 11 to 15 years, 12% between 16 to 20 years and 5%
of the respondents had less than one year work experience. This indicates that majority of
the respondents are relatively well experienced. The findings are indicated on Table 4.5.
Table 4.5: Work Experience
Education Distribution
Frequency Percent
Less than 1 year 2 5
2-5 years 8 19
6-10 years 12 29
11-15 years 6 15
16-20 years 5 12
Above 21 years 8 20
Total 40 100
4.2.5 Education Level
The results in Table 4.6 indicated that most of the respondents had university or college
level of education (59%), 22% of the respondents had high school education, 12%
polytechnic, 4% masters’ level and 2% PhD. This indicates that majority of the
respondents were relatively educated and were equally likely to provide responses on the
research questions.
Table 4.6: Education Level
Education Distribution
Frequency Percent
High School 10 22
Polytechnic 5 12
University or College Degree 27 59
Masters Level 2 4
Phd 1 2
Total 45 100
34
4.3 Extrinsic Motivation and Employees’ Performance
The study examined the extent to which extrinsic motivation affect employees’
performance from the respondents involved in the study. The findings in Table 4.7
established that most of the respondents were motivated to work harder by the acquisition
stock ownership (mean=3.65). This was followed by money motivating the employees to
do their best (mean = 3.37). Others were motivated to work harder for the highest pay
raises (mean= 3.27) while others worked harder for the amount of compensation that they
expect to get (mean = 3.20). However, few of the respondents were less motivated to
enhance their performance by the merit pay provided by the management (mean=2.67),
less motivated by the extra benefits for exceptional performance (mean=2.59) and very
few respondents were less motivated by the unexpected bonus for the best performance
(mean=2.48).
Table 4.7: Extrinsic Motivation and Employees’ Performance
Pay and Compensation Mean Ranking
Money motivates me to give my best 3.37 2
I earn the same pay as high performers 2.40 13
I earn the same pay as low performers 3.11 6
I perform well on my job to get a pay raise 2.99 8
The best performing workers in the department get the highest
pay raises 3.27 3
I work harder for salary increases and promotions 3.00 7
I work hard for the amount of compensation that I expect to get. 3.20 4
My job provides good fringe benefits for exceptional
performance. 3.18 5
I am motivated to work harder by the acquisition stock
ownership 3.65 1
My job provides extra benefits for exceptional performance. 2.59 11
I am motivated to work hard by the merit pay provided by the
management. 2.67 10
When I receive an unexpected bonus for a job, I usually give
my best performance 2.48 12
I have convenient working hours to enhance my performance. 2.69 9
4.3.1 Correlation between Extrinsic Motivation and Employees’ Performance
The aim of this section was to determine the association between the employer good
sense of employees’ motivation and extrinsic motivational reward system on employee
performance. There was significant relationship between employee motivation and the
best performing workers in the department get the highest pay raises at (r=.085, p>0.01).
There was also a significant relationship between employee motivation and the job
35
providing extra benefits for exceptional performance at (r=0.671, p>0.01). The findings
are presented in Table 4.8.
Table 4.8: Correlation between Extrinsic Motivation and Employees’ Performance
Employee Motivation
Employee Motivation Pearson Correlation 1
Sig. (2-tailed)
Money Motivates me to give my best
performance
Pearson Correlation .040
Sig. (2-tailed) .806
I earn the same pay as high performers Pearson Correlation .028
Sig. (2-tailed) .862
I earn the same pay as low performers Pearson Correlation -.048
Sig. (2-tailed) .769
I perform well on my job to get a pay
raise
Pearson Correlation .105
Sig. (2-tailed) .512
The best performing workers in the
department get the highest pay raises
Pearson Correlation .085**
Sig. (2-tailed) .000
I work harder for salary increases and
promotions
Pearson Correlation -.083
Sig. (2-tailed) .614
I work hard for the amount of
compensation that I expect to get.
Pearson Correlation -.114
Sig. (2-tailed) .485
My job provides good fringe benefits
for exceptional performance.
Pearson Correlation -.050
Sig. (2-tailed) .761
I am motivated to work harder by the
acquisition stock ownership
Pearson Correlation .082
Sig. (2-tailed) .618
My job provides extra benefits for
exceptional performance.
Pearson Correlation .671**
Sig. (2-tailed) .002
I am motivated to work hard by the
merit pay provided by the
management.
Pearson Correlation -.158
Sig. (2-tailed) .330
When I receive an unexpected bonus
for a job, I usually give my best
performance
Pearson Correlation -.186
Sig. (2-tailed) .257
I am inspired by the gifts associated
with exemplary performance.
Pearson Correlation .314
Sig. (2-tailed) .055
My supervisor stimulates enthusiasm
by rewarding extra efforts for good
performance.
Pearson Correlation .063
Sig. (2-tailed) .707
My workplace is well equipped to
enhance my performance.
Pearson Correlation .207
Sig. (2-tailed) .212
I have convenient working hours to
enhance my performance.
Pearson Correlation .020
Sig. (2-tailed) .903 *. Correlation is significant at the 0.05 level (2-tailed).
**. Correlation is significant at the 0.01 level (2-tailed).
36
4.4 Intrinsic Motivation and Employees’ Performance
The study aimed to determine the extent to which intrinsic motivation affect employee
performance from the respondents involved in the study. The findings in the established
that the respondents were motivated to work harder by the challenges encountered at
(mean= 4.33). This was followed by the respondents being motivated by the job
providing an opportunity for advancement opportunities for a job well done (mean=
3.87), others were inspired to enhance their performance working hard to compete with
others who are clearly superior in skills (means=3.80) and a large number of the
respondents agreed that their job supervisor recognizes employees for their work
(mean=3.80). However, a small number of the respondents agreed that they were less
motivated by the recognition of what they do (mean=3.35). Fewer respondents mentioned
that they were motivated to enhance their performance by the company recognizing and
acknowledging employees hard work (mean=3.16) and very few respondents agreed that
once they reach an important goal, they less strive to achieve higher goals (mean=2.77).
The findings are presented in Table 4.9.
Table 4.9: Intrinsic Motivation and Employees’ Performance
Intrinsic Motivational Rewards on Employees’ Performance
Mea
n
Ran
kin
g
I enjoy working everyday and performing at my best 3.52 11
The opportunity to be involved in organizational decision making inspires
me to give my best 3.62 7
The management allows me to take risks for exceptional performance. 3.45 12
The company recognize and acknowledges my hard work. 3.16 14
My job supervisor recognizes me for my work. 3.80 4
I strive to be recognized for whatever I do. 3.35 13
I work hard to compete with others who are clearly superior in skills. 3.80 3
My job provides an opportunity for advancement opportunities for a job
well done. 3.87 2
I am motivated to work harder by challenges 4.33 1
The competitive nature of my job makes me work harder 3.75 6
When I reach one important goal, I immediately strive for higher goals. 2.77 15
Support from my co-workers is helpful to get me motivated to be my best 3.76 5
Support from my supervisors is helpful to get me motivated in giving my
best 3.61 8
Team building programs run by the company enhances my work relation
with others 3.58 10
The management fully explains my work assignments for effective
performance. 3.60 9
37
4.4.1 Correlation between Intrinsic Motivation and Employees’ Performance
The aim of this section was to determine the association between the employer good
sense of employee motivation and intrinsic motivational reward system on employee
performance. There was significant relationship between employee motivation and the
employees enjoying to work every day at their best at (r=0.776, p>0.01). The relationship
was extended to the employees working hard to compete with others who are clearly
superior in skills at (r=0.463, p>0.01) and the importance of reaching higher goals at
(r=0.885, p>0.01). The findings are presented in Table 4.10.
Table 4.10: Correlation between Intrinsic Motivation and Employees’ Performance
Employee
Motivation
Employee Motivation Pearson Correlation 1
Sig. (2-tailed)
I enjoy working everyday at my best Pearson Correlation .776**
Sig. (2-tailed) .000
The opportunity to be involved in organizational
decision making inspires me to give my best
Pearson Correlation .183
Sig. (2-tailed) .264
The management allows me to take risks for
exceptional performance.
Pearson Correlation .095
Sig. (2-tailed) .565
The company recognizes my hard work. Pearson Correlation .337*
Sig. (2-tailed) .034
My job supervisor recognizes me for my work. Pearson Correlation .239
Sig. (2-tailed) .138
I strive to be recognized for whatever I do. Pearson Correlation .104
Sig. (2-tailed) .529
I work hard to compete with others who are
clearly superior in skills.
Pearson Correlation .463**
Sig. (2-tailed) .000
My job provides an opportunity for
advancement.
Pearson Correlation .109
Sig. (2-tailed) .508
I am motivated to work harder by challenges Pearson Correlation -.163
Sig. (2-tailed) .321
The competitive nature of my job makes me
work harder
Pearson Correlation .172
Sig. (2-tailed) .309
When I reach one important goal, I immediately
strive for higher goals.
Pearson Correlation .885**
Sig. (2-tailed) .001
The management helps me demonstrate my
competence and ability
Pearson Correlation .376
Sig. (2-tailed) .085
Support from my co-workers is helpful to get me
motivated in giving my best
Pearson Correlation .033
Sig. (2-tailed) .841
Support from my supervisors is helpful to get me
motivated in giving my best
Pearson Correlation -.051
Sig. (2-tailed) .760
Team building programs run by the company
enhances my work relation with others
Pearson Correlation .109
Sig. (2-tailed) .510
The management fully explains my work
assignments for effective performance.
Pearson Correlation .180
Sig. (2-tailed) .267 *. Correlation is significant at the 0.05 level (2-tailed).
**. Correlation is significant at the 0.01 level (2-tailed).
38
4.5 Other Motivational Factors and Employees’ Performance
The study determined how the other factors affect employee performance from the
respondents involved in the study. The findings suggests that most of the respondents
agreed that training helps employees perform their tasks well (mean = 4.25). This was
followed by the work conditions are favourable for employees to work hard in their job
(mean= 4.14), a large number of the respondents agreed that the management listens to
both verbal and non verbal communication of individuals for enhanced performance
(mean=4.09) and a significant number of the respondents agreed that their workload is
heavy to meet their performance targets at (mean=3.93).
A few number of the respondents agreed that training enhances the employee skills to
improve their performance at work (mean=3.41). Very few respondents mentioned that
there are greater demands placed on them at the workplace (mean= 3.39). A small number
of the respondents agreed that they were less motivated by work conditions to enhance
their performance (mean=3.09), fewer number of the respondents agreed that they have
good communication relationship with their colleagues for enhanced performance
(mean=3.05) and the management makes the employees work feel meaningful to enhance
their skills (mean=2.89). The findings are presented in Table 4.11.
Table 4.11: Other Motivational Factors and Employees’ Performance
Role of Other Motivational Rewards on Organization
Performance
Mean Ranking
My work conditions are favourable for me to work hard. 4.14 2
My employer inspires me to work hard. 3.43 10
Training helps me perform my tasks well. 4.25 1
Training helps me perform my duties efficiently 3.80 5
My workload is heavy to meet my performance targets 3.93 4
The management listens to both verbal and non verbal
communication of individuals like me 4.09 3
I spend a lot of time working hard at work. 3.69 7
My work conditions are friendly to enhance my performance. 3.09 13
I have good communication relationship with my colleagues 3.05 14
Training enhances my skills to improve my performance at
work. 3.41 11
There are greater demands placed on us at the workplace. 3.39 12
My job conflicts with my performance. 3.51 8
My organization structure boosts my performance. 3.76 6
Good working conditions enhance my performance. 3.45 9
The management makes my work feel meaningful. 2.89 15
39
4.5.1 Correlation between Other Motivational Factors and Employees’ Performance
The findings revealed that there was a strong relationship between employee motivation
and the work conditions being friendly to enhance employee performance at (r=0.456,
p>0.01). The relationship was extended to employees having good relations with other
employees boost their performance at (r=0.714, p>0.01). The findings are presented in
Table 4.12.
Table 4.12: Correlation between Other Motivational Factors and Employees’
Performance
Employee
Motivation
Employee Motivation Pearson Correlation 1
Sig. (2-tailed)
My work conditions are favourable for me to
work hard.
Pearson Correlation -.091
Sig. (2-tailed) .577
My employer inspires me to work hard. Pearson Correlation .056
Sig. (2-tailed) .733
Training helps me perform my tasks well. Pearson Correlation .080
Sig. (2-tailed) .623
Training helps me perform my duties
efficiently
Pearson Correlation .186
Sig. (2-tailed) .250
My workload is heavy to meet my
performance targets
Pearson Correlation .175
Sig. (2-tailed) .281
The management listens to both verbal and
non verbal communication of individuals like
me
Pearson Correlation -.064
Sig. (2-tailed) .695
I spend a lot of time working hard at work. Pearson Correlation .014
Sig. (2-tailed) .934
My work conditions are friendly to enhance
my performance.
Pearson Correlation .540**
Sig. (2-tailed) .000
I have good communication relationship with
my colleagues
Pearson Correlation .001
Sig. (2-tailed) .979
My job security improves on my performance
at work.
Pearson Correlation .075
Sig. (2-tailed) .648
There are greater demands placed on us at the
workplace.
Pearson Correlation .036
Sig. (2-tailed) .825
My job conflicts with my performance. Pearson Correlation .069
Sig. (2-tailed) .670
My good relations with other employees
boost my performance.
Pearson Correlation .714**
Sig. (2-tailed) .000
My organization structure boosts my
performance.
Pearson Correlation -.050
Sig. (2-tailed) .761
Good working conditions enhance my
performance.
Pearson Correlation .082
Sig. (2-tailed) .618
The management makes my work feel
meaningful.
Pearson Correlation -.171
Sig. (2-tailed) .299
*. Correlation is significant at the 0.05 level (2-tailed).
**. Correlation is significant at the 0.01 level (2-tailed).
40
4.6 Chapter Summary
The findings established that most of the respondents were motivated to work harder by
the acquisition stock ownership. This was followed by money motivating the employees
to do their best. Others were motivated to work harder for the highest pay raises while
others worked harder for the amount of compensation that they expect to get. However,
few of the respondents were less motivated to enhance their performance by the merit pay
provided by the management. The findings established that the respondents were
motivated to work harder by the challenges encountered. This was followed by the
respondents being motivated by the job providing an opportunity for advancement
opportunities for a job well done. However, a small number of the respondents agreed
that they were less motivated by the recognition of what they do. The study determined
how the other factors affect employee performance from the respondents involved in the
study. The findings suggest that most of the respondents agreed that training helps
employees perform their tasks well. This was followed by the terms being favourable for
employees to work hard in their job. A few number of the respondents agreed that they
have good communication relationship with their colleagues for enhanced performance
and the management makes the employees work feel meaningful to enhance their skills.
41
CHAPTER FIVE
5.0 DISCUSSION, CONCLUSION AND RECOMMENDATIONS
5.1 Introduction
In this section, the researcher provides a discussion on the findings of the research as
compared to the findings in the literature review, the summary of the study and
recommendations for further improvement on identifying the measures to be taken on the
most appropriate reward system in enhancing employees’ motivation. The research
discussion is on the basis of the research questions.
5.2 Summary
The purpose of this study was to investigate the role of motivation on employees’
performance using the case of Victoria Commercial Bank of Kenya. This study was
guided by the following research questions. To what extent does extrinsic motivation
affect employees’ performance in Victoria Commercial Bank? To what extent does
intrinsic motivation affect employees’ performance in Victoria Commercial Bank? What
other factors affect employees’ performance in Victoria Commercial Bank?
This study adopted a descriptive research design. The population of the study was 55
employees of Victoria Commercial Bank of Kenya. A census sampling was done and so
the 55 employees constituted the sample size. A structured questionnaire was used to
collect the data. The questionnaire was administered by the researcher. The completed
questionnaires were edited for completeness. The data was analyzed using the statistics
package for social sciences (SPSS) computer package. The data was interpreted using
descriptive statistics through frequencies, percentages and regression analysis. The
findings were presented in the form of tables and figures.
The findings established that most of the respondents were motivated to work harder by
the acquisition stock ownership. This was followed by money motivating the employees
to do their best. Others were motivated to work harder for the highest pay raises while
others worked harder for the amount of compensation that they expect to get. However,
few of the respondents were less motivated to enhance their performance by the merit pay
provided by the management, less motivated by the extra benefits for exceptional
42
performance and very few respondents were less motivated by the unexpected bonus for
the best performance.
The findings established that the respondents were motivated to work harder by the
challenges encountered. This was followed by the respondents being motivated by the job
providing an opportunity for advancement opportunities for a job well done, others were
inspired to enhance their performance working hard to compete with others who are
clearly superior in skills and a large number of the respondents agreed that their job
supervisor recognizes employees for their work. However, a small number of the
respondents agreed that they were less motivated by the recognition of what they do.
Fewer respondents mentioned that they were motivated to enhance their performance by
the company recognizing and acknowledging employees hard work and very few
respondents agreed that once they reach an important goal, they less strive to achieve
higher goals.
The study determined the other factors that affect employee performance from the
respondents involved in the study. The findings suggest that most of the respondents
agreed that training helps employees perform their tasks well. This was followed by the
terms being favourable for employees to work hard in their job, a large number of the
respondents agreed that the management listens to both verbal and non verbal
communication of individuals for enhanced performance and a significant number of the
respondents agreed that their workload is heavy to meet their performance targets. A few
number of the respondents agreed that they have good communication relationship with
their colleagues for enhanced performance and the management makes the employees
work feel meaningful to enhance their skills.
43
5.3 Discussion
5.3.1 Extrinsic Motivation and Employees’ Performance
Stock options have become an increasingly popular method in recent years of rewarding
middle management and other employees in both mature companies and start-ups. The
findings established that most of the respondents were motivated to work harder by the
acquisition stock ownership. Similarly, Khan, Farooq and Ullah (2010) suggests that
stock options usually reward employees for sticking around, serving as a long-term
motivator. Once an employee has been with a company for a certain period of time
(usually around four years), he or she is fully vested in the program. Torrington et al.
(2009) adds that if the employee leaves the company prior to being fully vested, those
options are cancelled
Profit sharing can also be used to reward team and group accomplishments. The findings
revealed that money motivated the employees to do their best. The benefits can be
provided in actual cash known as monetary rewards. Monetary rewards that recognize
individual achievements in addition to team performance can provide extra incentive for
employees. Similarly, Coshow et al. (2009) suggests that by rewarding outstanding
performance within the organization through monetary rewards can have a positive
outcome on employees’ performance. Mullin (2010) adds that monetary rewards
encourages employees to stay put because it is usually structured to reward employees
who stay with the company.
Pay can be provided to workers for the accomplishment of organization goals. A number
of the employees were motivated to work harder for the highest pay raises. Kreitner and
Kinicki (2007) suggests that the effectiveness of pay as a motivator depends on a number
of circumstances, including the value and needs of individuals and their preference for
different types of financial or non-financial rewards. Similarly Armstrong and Murlis
(2004) further commented that pay is important to people because it is instrumental in
satisfying a number of their most pressing needs. Khan, Farooq and Ullah (2010) adds
that pay is significant not only because of what they can buy but also a highly tangible
method of recognizing their worth, thus, improving their self-esteem and gaining esteem
of others.
44
Merit pay may have shortcomings as the only reward for recognizing employee
performance. Few of the respondents were less motivated to enhance their performance
by the merit pay provided by the management. Daniel (2000), comments that, although
merit pay can be used occasionally but should not be the main incentive for rewarding
exceptional performance. Mullin (2010) add that even though most people, in most
circumstances, like pay, it provides limited reinforcement for the cost. Pay in the form of
money is soon spent and the memory of it soon fades, whereas other tangible incentives
are kept longer and acts as a constant remainder of some accomplishment. To further
support this, Baron (2008) indicates that the link between pay as an extrinsic reward and
employee performance has yielded negative results.
Bonus programs are usually rewards provided to individuals for their accomplishment in
a particular task. However, very few respondents were less motivated by the unexpected
bonus for the best performance. This may be because bonuses are generally short-term
motivators. Odell (2005) explains that bonuses are frequently used in sales organizations
to encourage salespersons to generate additional business or higher profits. They can also
be used, however, to recognize group accomplishments. Indeed, increasing numbers of
businesses have switched from individual bonus programs to one which rewards
contributions to corporate performance at group, departmental, or company-wide levels.
Yin and Yang (2012) recommends that bonuses need to be carefully structured to ensure
they are rewarding accomplishments above and beyond an individual or group's basic
functions. Otherwise, they run the risk of being perceived of as entitlements or regular
merit pay, rather than a reward for outstanding work.
5.3.2 Intrinsic Motivation and Employees’ Performance
Employees can enhance their performance as a result of challenging work responsibilities
that may lead to career fulfilments. The findings established that the respondents were
motivated to work harder by the challenges encountered. Similarly, Hatcher et al. (2006)
found that professional growth, such as provision of challenges, increases performance
among employees. To further support this argument, Tourangeau et al. (2010) found that
the provisions of challenges and support from the organization for professional
development of the employee practice are important to employees for boosting the
workers’ performance. The authors reported that the opportunities for new challenges are
45
a motivator for boosting their performance. It was also reported that opportunities for
professional development, such as educational offerings, have the potential to increase
employee performance (Tourangeau et al., 2010).
Provision of job opportunities may present the best incentives for boosting employees’
performance in the long run. The results indicated that the respondents were motivated
by the job providing an opportunity for advancement opportunities for a job well done.
Similarly, Schneier (2005) found that professional growth through job opportunities was a
more effective way to motivate a team as compared to monetary rewards. Yin and Yang
(2012) found that a positive correlation between professional growth and job
performance. Moseley et al. (2008) recommended professional growth should be
enhanced as a means of continually fostering increased performance (Moseley et al.,
2008). Such interventions would promote employee motivation to give the best of their
performance.
Job supervisors can inspire the followers towards the achievement of the organizational
goals and employee performance. A large number of the respondents agreed that their job
supervisor recognizes employees for their work. Tourangeau et al (2010) also supports
these findings by suggesting that leadership support, as well as relationships with the
manager, are motivators for increased employee performance. The authors also found that
flexible scheduling is an equally important variable. Based on the finding of this study,
participants felt leaders who provided flexible scheduling had a positive impact on
employee performance. In most focus groups, the leader’s capabilities, motives, and
relationship with the employees affected the employee’s performance (Tourangeau et al.,
2010).
Some organizations recognize workers’ performance for a job well done. However, a
small number of the respondents agreed that they were less motivated by the recognition
of what they do. Similarly, Coshow et al., (2009) results of the analysis revealed that
recognition is initially high in employees during the first two years of employment,
plummets in two to five years of employment, and plateaus around five years of
employment. In addition, fewer respondents mentioned that they were motivated to
enhance their performance by the company recognizing and acknowledging employees
hard work.
46
Employees can find and create motivation resulting from knowing what they are
supposed to accomplish. Very few respondents agreed that once they reach an important
goal, they less strive to achieve higher goals. It seems that the respondents were not
motivated by knowing why they were employed and having a list of their achievements in
their respective professions. Perhaps, these results may be captured (Vroom, 2008)
argument that there may be limited relationship between employee performance as a
result from work contentment are as follows: firstly, many work situations do not allow
for major movements for the following reasons: in some instances employees must
maintain at least some minimum level of performance to hold on to their jobs; a worker’s
performance is linked to the speed of other employees; an employee’s performance is
linked to the speed of the machinery that they operate.
5.3.3 Other Motivational Factors and Employees’ Performance
Many business operators feel that effective job training makes an important contribution
to the performance of the employees. The findings suggest that most of the respondents
agreed that training helps employees perform their tasks well. However, a few number of
the respondents agreed that training enhances the employee skills to improve their
performance at work. This may suggest that employee performance may be affected by
other factors besides training. Some studies have proceeded by looking at performance in
terms of employee performance in particular (Müller, 2011) while others have extended
to a general outlook of organizational performance (Schermerhorn, 2010). Griffin (2012)
suggests that employee training plays a vital role in improving performance as well as
increasing employee productivity. But training is essential to placing organizations in the
better positions to face competition and stay at the top.
Clear definition and understanding of job responsibilities among individual may enhance
their performance. The findings suggest that the employees were motivated to work hard
in their job due to favorable terms. This indicates that work environment was considered
to be one of the critical roles that endear the organization to employees. Ramlall (2014)
suggests that organization leaders have the obligation to create a work environment for
employees that will enable them to give their best. This in turn enables employees to meet
their performance (earning potential) due to open communication and requisite levels of
training and support provided by such a management style (Samuel and Chipunza, 2009).
47
The management practices can be improved in removing the structures and strict
formalities which hinder employee freedom and performance. This will in turn decrease
the high turnover rate caused by the rigid organisational policies.
Also a significant number of the respondents agreed that their workload is heavy to meet
their performance targets. This indicates that higher levels of job involvement may lead to
positive employees’ job performance. The finding contradicts Grandey and Cropanzano
(2009) study that revealed a negative association between levels of professional
commitment and employee job performance. As professional commitment might increase
the risk of work demands spilling over into non-work activities due to excessive
involvement in the work role, it may lead to a negative work life balance. However, very
few respondents mentioned that there are greater demands placed on them at the
workplace. It seems that the management does not makes the employees work feel
meaningful to enhance their skills. Tetrick and Buffardi (2006) explained that employee
performance may be affected by the individual difference between the propensity for
work involvement and job commitment.
Communication is very essential to keeping employees motivated and helps in
maintaining a high performance in the workforce. A large number of the respondents
agreed that the management listens to both verbal and non verbal communication of
individuals for enhanced performance. Regular communication on the staff appraisals and
performance are crucial in articulating the objectives of the business. By so doing,
employees can get a clear sense of what is expected of them. Lockwood (2013) argues
that good communication motivates and inspires the employees. Employees should know
about everything that concerns them directly or indirectly and give the management an
accurate detail of their work activities as soon as possible to enhance their performance. It
is important for the management to respond appropriately to employee demands and help
set up a help desk to promote the exchange of information between management and staff
to work together creatively enables decisions to be reached quickly and easily as well as
open plans for enhanced employee job performance.
48
5.4 Conclusions
5.4.1 Extrinsic Motivation and Employees’ Performance
Stock options have become an increasingly popular method in recent years of rewarding
middle management and other employees in both mature companies and start-ups. Profit
sharing can also be used to reward team and group accomplishments. Pay can be provided
to workers for the accomplishment of organization goals. Merit pay may have
shortcomings as the only reward for recognizing employee performance but should not be
the main incentive for rewarding exceptional performance. Bonus programs are usually
rewards provided to individuals for their accomplishment in a particular task but they are
generally short-term motivators.
5.4.2 Intrinsic Motivation and Employees’ Performance
Employees can enhance their performance as a result of challenging work responsibilities
that may lead to career fulfilments. The provisions of challenges and support from the
organization for professional development of the employee practice are important to
employees for boosting the workers’ performance. The opportunities for new challenges
are a motivator for boosting their performance. Provision of job opportunities may
present the best incentives for boosting employee performance in the long run.
Professional growth through job opportunities was a more effective way to motivate a
team as compared to monetary rewards. Job supervisors can inspire the followers towards
the achievement of the organizational goals and employee performance. The employees
felt that the organization less recognized workers’ performance for a job well done.
5.4.3 Other Motivational Factors and Employee Performance
Many business operators feel that effective job training makes an important contribution
to the performance of the employees. Employee performance may be affected by other
factors besides training. Clear definition and understanding of job responsibilities among
individual may enhance their performance. Work environment was considered to be one
of the critical roles that endear the organization to employees. Organization leaders have
the obligation to create a work environment for employees that will enable them to give
their best. The management practices can be improved in removing the structures and
strict formalities which hinder employee freedom and performance. Higher levels of job
49
involvement may lead to positive employees’ job performance. Communication is very
essential to keeping employees motivated and helps in maintaining a high performance in
the workforce.
5.5 Recommendations
5.5.1 Recommendation for Improvement
5.5.1.1 Extrinsic Motivation and Employees’ Performance
The study recommends that stock ownership should continuously be implemented to
motivate the employees to work harder. Stock options have also become increasingly
popular for rewarding employee performance. Profit sharing should continuously be used
to reward team and group accomplishments. Rewarding outstanding performance within
the organization through monetary rewards can also have a positive outcome on
employees’ performance. Pay should continuously be used as an important tool for
boosting employee performance and in satisfying their most pressing needs. Bonuses
need to be carefully structured to ensure they are rewarding accomplishments above and
beyond an individual or group's basic functions. Otherwise, they run the risk of being
perceived of as entitlements or regular merit pay, rather than a reward for outstanding
work.
5.5.1.2 Intrinsic Motivation and Employees’ Performance
The study recommends that the provision of challenges for professional development is
important to employees for boosting the workers’ performance. It is recommended that
the provision of job opportunities may present the best incentives for boosting employee
performance in the long run. Professional growth should be enhanced as a means of
continually fostering increased performance. Leadership support can motivate and
increase employee performance. Organizations should recognize employees’ performance
for work well done. The bank should set realistic goals for the employees, encourage
work place autonomy and freedom, enable the employees to have time for study and
emotionally challenge the employees in their jobs.
50
5.5.1.3 Other Motivational Factors and Employee Performance
The study recommends that effective job training makes an important contribution to the
performance of the employee. Employee training plays a vital role in improving
performance as well as increasing employee productivity. A clear definition and
understanding of job responsibilities among individual may enhance their performance.
The management practices can be improved in removing the structures and strict
formalities which hinder employee freedom and performance. Communication is very
essential to keeping employees motivated and helps in maintaining a high performance in
the workforce. It is important for the management to respond appropriately to employee
demands and help set up a help desk to promote the exchange of information between
management and staff to work together creatively for enhanced employee job
performance.
5.5.2 Recommendations for Further Studies
The study suggests that future research could replicate the research objectives with a
focus on another industry especially in the manufacturing sector in Kenya to verify the
results.
51
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56
APPENDICES
APPENDIX A: INTRODUCTORY LETTER
To Whom It May Concern
Dear Sir/Madam,
I am a graduate student at USIU pursuing a Masters degree in Business Administration
(MBA). I have designed a questionnaire to gather information on the role of employee
rewards on organizational performance: the case of Victoria commercial bank of Kenya.
Please note that any information you give will be treated with extreme confidentiality and
at no instance will it be used for any other purpose other than for this project. Your
assistance will be highly appreciated.
I look forward to your prompt response.
Yours Faithfully,
Mohamed Albeiti (Researcher)
57
APPENDIX B: QUESTIONNAIRE
This study is a requirement for the partial fulfilment for the award of a Masters degree in
Business Administration (MBA). The purpose of this research is to determine the impact
of reward systems on employee motivation, a survey of commercial banks in Kenya.
Please note that any information you give will be treated with extreme confidentiality and
at no instance will it be used for any other purpose other than for this project. Your
assistance will be highly appreciated. I look forward to your prompt response.
Section I: General information
Kindly tick (√) where applicable and do not indicate your names or personnel number.
1. Gender Male [ ] Female [ ]
2. Age bracket 20 – 30 [ ] 31 – 45 [ ] 46 – 60 [ ] above 61 [ ]
3. Job Category
Management [ ] Supervisory [ ]
Clerical and Secretarial [ ] Support Staff [ ]
Other: ___________________
4. Work experience
Less than 1 year [ ] 2 – 5 years [ ] 6 – 10 years [ ]
11 – 15years [ ] 16– 20 years [ ] above 21 years [ ]
5. Educational Level
High School [ ] Masters Level [ ]
Polytechnic [ ] PhD [ ]
University or College Degree [ ] Other (Specify) ________________
6. Management is really interested in motivating the employees to enhance their
performance?
Strongly agree [ ] Agree [ ] Neutral [ ] Disagree [ ] Strongly Disagree [ ]
7. How far you are satisfied with the rewards provided by the organization for
exceptional performance?
Highly satisfied [ ] Satisfied [ ] Neutral [ ] Dissatisfied [ ] Highly Dissatisfied [ ]
8. Do you agree that your employer has a good sense of what will motivate you to give
your best?
Strongly agree [ ] Agree [ ] Neutral [ ] Disagree [ ] Strongly Disagree [ ]
58
Section II: Extrinsic Motivation and Employee Performance
Please indicate the extent to which you agree with the following statements by using a
scale of 1 to 5 where 1= strongly disagree and 5 = strongly agree. Please tick (√) which
best describes your opinion of the statement.
Statement
Str
ongly
Dis
agre
e
Dis
agre
e
Neu
tral
Agre
e
Str
ongly
Agre
e
9. Money motivates me to give my best 1 2 3 4 5
10. I earn the same pay as high performers 1 2 3 4 5
11. I earn the same pay as low performers
12. I perform well on my job to get a pay raise 1 2 3 4 5
13. The best performing workers in the department get
the highest pay raises
1 2 3 4 5
14. I work harder for salary increases and promotions 1 2 3 4 5
15. I work hard for the amount of compensation that I
expect to get.
1 2 3 4 5
16. My job provides good fringe benefits for
exceptional performance.
1 2 3 4 5
17. I am motivated to work harder by the acquisition
stock ownership
1 2 3 4 5
18. My job provides extra benefits for exceptional
performance.
1 2 3 4 5
19. I am motivated to work hard by the merit pay
provided by the management.
1 2 3 4 5
20. When I receive an unexpected bonus for a job, I
usually give my best performance
1 2 3 4 5
21. I am inspired by the gifts associated with
exemplary performance.
1 2 3 4 5
22. My supervisor stimulates enthusiasm by rewarding
extra efforts for good performance.
1 2 3 4 5
23. My workplace is well equipped to enhance my
performance.
1 2 3 4 5
24. I have convenient working hours to enhance my
performance.
1 2 3 4 5
59
Section III: Intrinsic Motivation and Employee Performance
Please indicate the extent to which you agree with the following statements by using a
scale of 1 to 5 where 1= strongly disagree and 5 = strongly agree. Please tick (√) which
best describes your opinion of the statement.
Statement
Str
on
gly
Dis
agre
e
Dis
agre
e
Neu
tral
Agre
e
Str
on
gly
Agre
e
25. I enjoy working everyday at my best 1 2 3 4 5
26. The opportunity to be involved in
organizational decision making inspires me to
give my best
1 2 3 4 5
27. The management allows me to take risks for
exceptional performance.
1 2 3 4 5
28. The company recognizes my hard work. 1 2 3 4 5
29. My job supervisor recognizes me for my work. 1 2 3 4 5
30. I strive to be recognized for whatever I do. 1 2 3 4 5
31. I work hard to compete with others who are
clearly superior in skills.
1 2 3 4 5
32. My job provides an opportunity for
advancement.
1 2 3 4 5
33. I am motivated to work harder by challenges 1 2 3 4 5
34. The competitive nature of my job makes me
work harder
1 2 3 4 5
35. When I reach one important goal, I
immediately strive for higher goals.
1 2 3 4 5
36. The management helps me demonstrate my
competence and ability
1 2 3 4 5
37. Support from my co-workers is helpful to get
me motivated in giving my best
1 2 3 4 5
38. Support from my supervisors is helpful to get
me motivated in giving my best
1 2 3 4 5
39. Team building programs run by the company
enhances my work relation with others
1 2 3 4 5
40. The management fully explains my work
assignments for effective performance.
1 2 3 4 5
60
Section IV: Other Motivational Factors and Employee Performance
Please indicate the extent to which you agree with the following statements by using a
scale of 1 to 5 where 1= strongly disagree and 5 = strongly agree. Please tick (√) which
best describes your opinion of the statement.
Statement
Str
on
gly
Dis
agre
e
Dis
agre
e
Neu
tral
Agre
e
Str
on
gly
Agre
e
41. My work conditions are favourable for me to
work hard.
1 2 3 4 5
42. My employer inspires me to work hard. 1 2 3 4 5
43. Training helps me perform my tasks well. 1 2 3 4 5
44. Training helps me perform my duties efficiently 1 2 3 4 5
45. My workload is heavy to meet my performance
targets
1 2 3 4 5
46. The management listens to both verbal and non
verbal communication of individuals like me
1 2 3 4 5
47. I spend a lot of time working hard at work. 1 2 3 4 5
48. My work conditions are friendly to enhance my
performance.
1 2 3 4 5
49. I have good communication relationship with my
colleagues
1 2 3 4 5
50. My job security improves on my performance at
work.
1 2 3 4 5
51. There are greater demands placed on us at the
workplace.
1 2 3 4 5
52. My job conflicts with my performance. 1 2 3 4 5
53. My good relations with other employees boost my
performance.
1 2 3 4 5
54. My organization structure boosts my performance. 1 2 3 4 5
55. Good working conditions enhance my
performance.
1 2 3 4 5
56. The management makes my work feel
meaningful.
1 2 3 4 5