title page the impact of job satisfaction on employee

i

Title Page

THE IMPACT OF JOB SATISFACTION ON EMPLOYEE

PERFORMANCE IN GOVERNMENT OWNED ENTERPRISES

BY

OKEKE, CHIKAODILI P

PG/MBA/08/53186

FOR THE AWARD OF MASTERS IN BUSINESS ADMINISTRATION

(MBA)

DEPARTMENT OF MANAGEMENT

UNIVERSITY OF NIGERIA

ENUGU CAMPUS

MARCH, 2010

SUPERVISOR: CHIEF J.A. EZEH

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CERTIFICATION

I, Okeke Chikaodili P. a postgraduate Student of the Department of

Management with registration number PG/MBA/08/53186, has satisfactorily

completed the requirements of the course work and the research work for the

award of Master Degree in Business Administration.

The work embodied in the report is original and has not been submitted in part

or full for any other degree of this or any other University.

---------------------------------- --------------------------------- OKEKE, CHIKAODILI P. Date PG/MBA/08/53186

------------------------------------- ----------------------------------- CHIEF J.A. EZEH Date Supervisor

----------------------------- ---------------------------------- MR. CHUKWU C.O. Date Head of Department

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DEDICATION

This research work is dedicated to God Almighty who makes impossibility

possible. I am always thankful to God Almighty.

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ACKNOWLEDGEMENT

I offer my first thank and gratitude to God for his protection and guidance and

for making it possible for me to complete this project.

I deeply appreciate the love, understanding, moral and financial assistance given

to my by my caring husband, Engr. Emeka Akwuba.

I would like to express my humble gratitude to my supervisor, Chief J.A. Ezeh

for his patience, criticisms and encouragement.

I could not have gone far in this work and in my academic pursuit generally

without the undiluted love, support and prayers of my beloved parents Mr. and

Mrs. P.N. Okeke, my brothers Pastor Ifeanyichukwu, my only sister Pastor

Uche, Ikechukwu, Chigozie, Chukwuebuka and Uzochukwu.

I am very grateful to my friends who contributed in one way or the other to see

that this work comes through. May God continue to bless and provide for you

all.

I love you all.

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ABSTRACT

The topic of this project report on the Impact of Job Satisfaction on employee performance in Government Owned Enterprises (GOE’s). There was a time when it was considered sound economic policy for government to establish and invest in corporation and enterprises. It was then agreed that government owned enterprises were better for stimulating and accelerating natural economic development rather than private initiative. This research therefore aimed at investigating, identifying, analysis and presenting research findings on the Impact of Job Satisfaction on employee performance. To achieve the above aims, research hypothesis were formulated to that whether promotion has no impact on job satisfaction, there is no relationship between salary and job satisfaction and conducive environment does not contribute to job satisfaction in government owned enterprises. The researcher made use of research questionnaire, which were designed and distributed to staff of these government owned enterprises. The method of analysis is the use of tables, percentage and chi-square. The major finding of the research is that promotion has a significant relationship with job satisfaction, there is relationship between salary and job satisfaction and conductive environment contribute to job satisfaction among employee in government owned enterprises. In view of the above findings the study recommended that: 1.Government owned enterprises should see increase/prompt payment as a motivation factor, that can increase productivity in the organization. 2. Government should use employee inputs as a criteria for promotion of workers, because most of these workers in government are idle. 3. Government should make the working environment conducive, so that the workers, can see their working environment as their second home. 4. Government owned enterprises should adopt management by objective in which employee should be part in decision making of the organization so that all hands will be on deck. 5. The structure of the organization should be restructure so that there will be cordial relationship between the employees and employer. 6.Working conditions should be improved and sustainable to enhance performance. 7. Management should be sensitive to the difference in needs and values among the employee. Every individual is unique and will respond differently to attempts to motive him or her. 8. Management should be sensitive to employees, complaints about low pay and unchallenging work. Too often management delude them into thinking that employees dissatisfaction can be lessened by painting work area piping in music, giving out a few more words of praise, or giving people longer work breaks.

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TABLE OF CONTENTS

Title Page i

Certification ii

Dedication iii

Acknowledgement iv

Abstract v

Table of Content vi

CHAPTER ONE: INTRODUCTION

1.1 Background of the Study 1

1.2 Statement of Problem 4

1.3 Objectives of the Study 6

1.4 Research Questions 7

1.5 Research Hypothesis 7

1.6 Significance of the Study 7

1.7 Scope and Limitation 8

1.8 Delimitations of the Study 9

1.9 Definition of Terms 9

CHAPTER TWO: LITERATURE REVIEW

2.1 Motivation – Definition and Meaning 12

2.2 The Nature of Motivation 13

2.3 Types of Motivation 14

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2.4 Motivational Tools 14

2.5 Theories of Motivation 15

2.6 Importance of Motivation 26

2.7 Management by Objective 27

2.8 Employee Satisfaction 32

2.9 Employee Performance and Satisfaction 37

References

CHAPTER THREE: RESEARCH METHODOLOGY

3.1 Introduction 44

3.2 Research Design 44

3.3 Sources of Date 44

3.4 Instruments for Data Collection 45

3.5 Population of the Study 45

3.6 Pilot Survey 45

3.7 Reliability and Validity of Data and Test Instruments 46

3.8 Data Treatment Techniques 46

References 48

CHAPTER FOUR: PRESENTATION AND ANALYSIS OF DATA

4.1 Data Presentation 49

4.2 Data Analysis 50

4.3 Test of Hypothesis 59

References

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CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND

RECOMMENDATIONS

5.1 Summary of Findings 68

5.2 Conclusion 69

5.3 Recommendations 70

References 73

Bibliography 74

Appendixes 76

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

The importance of qualified manpower in the social, political and

economic development of any nation can hardly be over emphasized. No nation

is known to have attained and sustained high level of economic growth and

development without ample supply of manpower.

Of all the factors that unlock the forces of economic and development, a

country’s human resources is the most vital because without, it all the other

factors have to wait. (Nwachukwu 1988, p-128)

Positive changes in the quality of work force according to Nwachukwu,

account for rapid economic development that has taken place in advanced

countries, Kuznet in Nwachukwu once observed that “the major capital stock of

an industrially advance country is not its physical equipment; it is the body of

ix

knowledge amassed from tested findings and discoveries of empirical science,

and the capacity and training of its population to use this knowledge”.

At the organization level, the essence of any manpower programme is to

enhance the welfare of workers by maximizing their skills as well as the quality

and quality of their employment opportunity and by so doing add to their

economic strength (Nwachukwu ibid). Thus all employee programme are

aimed at human resource development and utilization bearing in mind that a

well-motivated and satisfied manpower is an asset to an organization, which

enhances productivity. In a real sense, three important elements, money, man

and material make up any business enterprises. While each of these elements is

particularly importance in any organization, it is however the people or the

human element that is often responsible for the success of an organization.

It is not uncommon to experience a situation where competing firms buy

materials in the same market, secure their money from the same sources and

employ their personnel in the same area, yet one company emerges as being

more productive and profitable than the other.

A study of such circumstances more often than not reveals that the

difference in the performance is due to the fact that one company has a more

“satisfied” work force, hence more productive. With this illustration,

people/manpower determine the success of enterprises.

A well-known management theorist, Rensis Likert concludes, “All the

activities of any enterprises are initiated and determined by persons who make

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up that institution, underscores the importance of employee function. Plant,

offices, computers, equipment and all else that a modern firm uses are

unproductive except for human effort and direction. Of all the tasks of

management, managing the human component is the central and most important

task because, all else depend on how well is done” (Likert quoted in Iyayi 1989,

p.151). Personnel/employee administration is that organization or enterprises

function which is especially concerned with the management of the human

component in organizations.

This human component pervades the entire organization and because of

this, it follows that the performance of the personnel, or at least an important

part of it, devolves on all individuals and managers who in one way or another

have responsibility for the performance of one or more subordinates in the

organization. The management function of leading, directing and motivating

are all personnel functions, which all management must perform. A manager

who fails in any of these respects is also likely to fail in the performance of

his/her primary responsibility even if such responsibility is for production,

accounting or marketing (Iyayi ibid).

The fact that all managers perform personnel functions is however, not to

imply that they are all personnel managers. In every organization, there is a

distinct department or section that is specifically charged with the responsibility

of initiating and formulating policy as well as providing advice, service and

control of all personnel matters. Thus, although the people designated as

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personnel managers perform all the personnel functions of all managers, they in

addition, usually have broad human skills, and specific technical skills for

dealing with people oriented problems in the organization. The personnel

manager usually applies his/her technical skills in dealing with issues that arise

in the following major areas: employment, training and development, transfer,

promotion and lay off, wage and salary administration, health and safety,

discipline and discharge, industrial and labour relations, employee benefits and

services, and personnel and behaviourial research.

The above, constitute staff conditions of service, which is the hub of

personnel management and on which depends industrial peace, industrial

expansion and the general well being of the staff and the organization ( Abah

1997, p.238).

Staff conditions of service vary from business to business, from industry

to industry and more significantly from government owned businesses to

privately owned ones and among government and private business enterprises,

which in turn accounts for the wide difference in job satisfaction and employee

performance in the various organizations. It is based on the foregoing that this

study dwelt on the impact of job satisfaction on employee performance with

special emphasis on government owned enterprises in Nigeria.

1.2 STATEMENT OF PROBLEM

Nigeria, like many other countries of the developing world became

vigorously involved in accelerating the wheels of economic and industrial

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development of her economy. She became actively involved in the

establishment of public enterprise and government businesses covering a large

complex spectrum of public utility, infrastructure facilities, strategic enterprises,

industries and commerce.

Since independence in 1960, the country has either inherited or

established such organizations as the Nigerian Railway Corporation, Nigerian

Airways, among many other corporations. However, the management of these

companies over the years has left much to be desired. For instance the Nigerian

Airways according to the Director General of Bureau of public enterprise is a

bankrupt company.

Reeling out the statistics about the organization, Director General of

Bureau of Public Enterprises said Nigerian Airways has 400 million Dolars

Debt. It has 2000 employees and one plane. It also has 40 million Dolars in

pension liabilities. This type of scenario applies to almost every government

owned company/corporation in Nigeria and has equally affected job satisfaction

and employee performance in them.

Management influences and determines the performance of employees.

But many managers in Government Owned Enterprises in Nigeria are either

lacking in the elementary principles of organizational behaviour or are not given

the free hand to run their firms. They do not know how to identify employees’

goals and link rewards to motivate employees.

xiii

It has been observed that all the work related Nigerians possesse factors

necessary for productivity. The only thing lacking is the

supervisory/managerial abilities to harness these talents. Based on the fore

going, the study sought answers to the following questions:

a. What is the nature of supervisory/managerial practices in

government owned companies?

b. How has this affected job satisfaction and employee

performance?

c. Are the motivational and other management practices in

Government Owned Enterprises adequate to ensure job

satisfaction and enhance employee performance?

d. Do the supervisors/managers of Government Owned

Enterprises follow establishment management practices in

taking decisions affecting the employees?

1.3 OBJECTIVES OF THE STUDY

The objectives of the study are;

1. To identify the role of promotion on job satisfaction among staff.

2. To determine effect of salary on job satisfaction among staff.

3. To identify the important of conductive environment on job

satisfaction.

1.4 RESEARCH QUESTIONS

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1. What is the relationship between promotion and job satisfaction

among staff?

2. Is there any relationship between salary and job satisfaction among

staff?

3. To what extent does conducive environment contribute to job

satisfaction among staff?

1.5 RESEARCH HYPOTHESES

1. There is no relationship between promotion and job satisfaction

among staff

2. There is no relationship between salary and job satisfaction among

staff

3. Conducive environment does not contribute to satisfaction among

staff.

1.6 SIGNIFICANCE OF THE STUDY

Management of Government Owned Enterprises has been a thorny issue

in Nigeria and has generated quite a high number of debates and literature in the

last two decades. This study is therefore significant because it will add to the

existing body of literature in this areas.

It is also significant because it would provide information on the trend

and journey so far in the management of Government Owned Enterprises. The

results of the study will be discerning as it will reveal how much job satisfaction

xv

is obtainable in the government owned enterprises as well as how these have

affected employee productivity in the organizations.

Since independence, government in establishment of businesses and

maintaining them has invested so much; yet not much has been recorded in the

area of productivity and employee morale.

According, this study will be useful to economists, management

practitioners, students and the general public because it will provide direction

on the way forward. The recommendations are useful because they will serve

as advice to the government on what ought to be the appropriate relationship

between government and the businesses.

Finally, the study is significant because it is an academic exercise

required in partial fulfillment for the award of a Master Degree in Business

Administration.

1.7 SCOPE AND LIMITATION

The scope of the study covers Enugu, the Capital of Enugu State. The

concern of the study was the government owned companies within the city.

Enugu served as capital of defunct Eastern Region, East Central State, and old

Anambra State hence its good number of government businesses, which are

either headquartered in the city or have regional offices there. Such companies

studied are the Enugu State Transport Company (ENTRACO), Hotel

presidential, Enugu, Nigeria Railway Corporation, Eastern Regional Office

xvi

among others. These companies were established to make profits, as aim yet to

be met.

This study has quite a number of significant limitations to it. The first

was that the researcher as a worker has to combine her work with the study and

this was not easy. Additionally the study was conducted during the period of

fuel scarcity this resulting in high cost of transportation and in some most cases,

low attendance by staff of the organizations visited for the distribution of

questionnaires. Conducting a study of this nature in our environment receptive

of answering the oral questions while others did not take time off of study the

questionnaire hence few of the discard due to wrong filling. These limitations

did not affect the outcome of the study in any way.

1.8 DELIMITATIONS OF THE STUDY

As already mentioned, Government Owned Enterprises like PHCN etc

were established to provide infrastructure services. For this group of

Government Owned Enterprises, performance is in the area of efficiency of

services provided. There are other categories of Government Owned

Enterprises established purely for profit making. For this group performance

comes in the area what is made in terms of profits.

This study is delimited mostly to the second group where it is assumed

that the impact of job satisfaction on productivity is felt more. This implies that

only companies established purely for profit were considered for the study. The

xvii

above delimitation was considered normal for a study of this nature in a

developing country like ours with paucity of data.

1.9 DEFINITION OF TERMS

1. Motivation: This is a process of stimulating people to action in order to

achieve desired goals or accomplish a desired task: Hezbong, Fedenick

(1964). The motivation Hygiene concept and problems of manpower

personnel Administration January – February.

2. Personnel Administration is that organization or enterprises function

which is especially concerned with the management of the human

component in organization. Abah, Norbert C. (1997) Public Personnel

Administration Enugu: Jeen Publishers Ltd.

3. NA – Nigerian Airways. Sun Newspaper April 20, 2003

4. B.P.E.- Bureau of Public Enterprises Sun Newspaper April 20, 2003

5. MBO: Management by objective Ordiorne, CT Politics of Implementing

MBO” Business Horizon June 1974

xviii

REFERENCES

Abah, Norbert C. (1997) Public Personnel Administration Enugu: Jeen

Publishers

Fubara, Bedford A. (1989) Government in Business in Pita Ejiofor (Ed) (1989)

Foundations of Business Administration, Onitsha: Africana Fep-

Publishers Ltd

Iyayi Festus (1989): Elements of Personnel Management, in Pita Ejiofor (Ed)

(1989) Ibid.

Nwachukwu C.C. (1988)” Management: Theory and Practice, Onitsha: Africana

Fep Publishers Limited

xix

Nasir el Rufai “Statistics of Nigeria Airways” Interview in the Sun Newspaper

April 20, 2003

CHAPTER TWO

LITERATURE REVIEW

2.1 DEFINITION OF MOTIVATION

According to Igboeli, (1990: 137) the word motivation comes from the

latin word- movere which means to move. It is a general term that refers to all

those inner forces such as desires, drives or motives wishes, and so forth, which

kindle, direct and sustain behaviour toward a goal.

Molokwu (1993:92) defines it as a process of stimulating people to action

in order to achieve desired goals or accomplish a desired task. It also refers to

efforts made to satisfy the basic physical, psychological, economic, emotional,

xx

spiritual, political, mental drive or need of the individual either in group or as a

person. It is a synthesis of how employees think and feel about their jobs, their

working conditions, their supervisors, their organization and fellow workers.

Applyby in his book “Modern Business Administration” defines

motivation as the urges, aspirations, drives and needs of human beings that

direct or explain their behaviour. According to him, motivation may be

described as keenness for a particular pattern of behaviour. Vroom gives the

definition of motivation as a process of governing choice made by a person or a

lower organism among alternative forms of voluntary action.

Further more, motivation is understanding the needs or urges which

prompt people to do things and provide ways of helping them satisfy these

needs through the organization, while at the same time harnessing their

contribution to satisfy the organizational needs.

Productivity and motivation of employees are subjects of considerable

concern to management, both of government and private organizations all over

the world.

2.2 THE NATURE OF MOTIVATION

As managing involves the creation and maintenance of an environment

for the performance of individuals working together in groups towards the

accomplishment of common objectives. It is obvious that a manager cannot do

this without known what motivates peoples. The basic element characteristics

xxi

in people is the potential energy to behave in many different ways. Whatever

stimulates this energy need is the issue here.

People differ in their ways of itemizing needs and establishing priority.

These needs and their priority over others cause certain behaviours to take

place. Such behaviour directed towards a particular goal or want which the

person has learned will satisfy the need. In our complex society, satisfaction of

these need entails searching and obtaining employment from which to secure

money. Any single act executed by a particular person may be reflecting a

number of different needs. It is conceivable that at times, the act of behaviour

fails to effect satisfaction. Usually, alternative acts are thereby energyed in

search of satisfaction. If all acts fail, one often labels the person as frustrated.

There is an inter-relationship between job satisfaction/dissatisfaction and

motivation. The important point is that job satisfaction and dissatisfaction are

affected by different sets of factors and have different effects on employee’s

motivation and performance. It is a phenomenon most fundamentally based in

the physiological state of the individual. In simple terms motivation can be

understood as the forces of response to the existing needs of the organism.

2.4 MOTIVATIONAL TOOLS

It is important for every manager to bear in mind that employees come to

an organization with their needs, desires and motivations already determined.

Furthermore, the content to which workers expend energy in working towards

xxii

the corporate goal depends on how well their personal needs for job security,

interest status and prestige can be achieved.

In this perceptive, the challenge to management, therefore is to recognize

and understand the impact of the various motivational tools that exist. These

tools includes:

1. Increase in wages and salaries

2. Providing job security

3. Promoting workers as and when due devoid of favouritism

4. Job enrichment

5. Objective testing and appraisal

6. Increase responsibilities

7. Authority and accountability

8. Understanding or realizing the subordinates goals aspirations

9. Provision of welfare services and recreational programmes.

10. Staff development programme within and outside the company

11. Recognition of labour unions and management associations

12. Fringe benefits- leaves allowance, housing, bonus etc

13. Effective communication listening to employees views

14 Staff participation in decision making especially in matters

concerning them.

15. Good working environment for efficient performances of workers

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When the above tools of motivation are carefully manipulated by the

organization, they will result in conducive psychological climate in which

workers feel good and happy with the company, identifying with the goals and

feeling motivated enough to make the invested capital, plants and materials

function for the realization of the organizational goals.

2.5 THEORIES OF MOTIVATION

The major theories of motivation have come to us from authors such as

Abraham Maslow, Douglas Mc-Gregor, Frederick Herzberg, David Mc-

Clelland, and Victor Vroom. There is also the contribution of Rensis Likert in

his Human relations Theory as well as the classical theory of motivation.

1. Frederick Taylor: known as “The father of scientific management” who

is inseparably tied with the classical theory was of the view that men

could produce more if only they earn more. His plan was unique in that it

greatly increased the reward for high productivity. Thus, men were able

to double their wages under the system. It is clear that the classical

theory makes the assumption that money is the best motivation. The

power of money as a motivator has never been generally established with

total agreement. People exist who can be motivated by money just as

those who have none beyond being motivated by money. Tailors

classical theory fails to specify other important considerations that affect

individual motivation to work, by trying to make money the simple

solution (Uzoma op cit).

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2. The Need Theory: Abraham Maslow:

Most people never reach the point where they no longer want more

money. But there definitely comes a time when we begin to think that

there is more to derive out of life than mere pay packets. Abraham

Maslow (1970,p.35-50) has constructed a continuum of the human needs

that motivate. This is popularly known as the Need hierarchy. These

needs are:

(a) Physical Needs: These needs are associated with man’s strong

drive towards self-preservation. They includes shelter, food and

water.

(b) Security Needs: The two types of security needs are physical and

economic. In as much as physical security is important, people

however lay greater emphasis on economic security. They want to

be secure against loss of income, unemployment and lack of

income in one’s old age.

(c) Social Needs: people need to feel relevant and accepted in any

group they are identified with. They also need to have some

influence over other group members.

(d) Esteem Needs: These are highlighted in the fact that man needs

recognition in whatever he does, status and prestige.

(e) Self-Actualisation Needs: This is the need to do what one is best

suited for. Some people aspire to be politicians, leaders and

xxv

dictators and are consequently power-hungry. Such people believe

they are best suited for these, in terms of their skill and ability.

Such factors as higher responsibility/advancement, challenging

work, growth opportunity etc is all included here. It may be

convenient at this point, to combine physiological and security

needs into lower or “economic” needs.

3. The Two Factors Theory: (Herzberg)

Herzberg conducted experiments on motivation, and drawing from the

data collected, be identified two vital factor in every job. First, there are

certain elements in a job that he, called “maintenance factors” or hygiene

factors, which include adequate salary, adequate working conditions, job

security and fringe benefits. From Herzber’s point of view, these things

are necessary for the worker to even begin to be motivated. The

“maintenance factors” are those which when not present, will cause

dissatisfaction, and if present will prevent dissatisfaction, but will not

motivate people to greater performance. Herzberg (1964, p.3-7) has

named these maintenance factors, the “Hygiene” factors in a poor

analogy I must say with the way the term is used in preventive medicine.

He concluded that their were ten maintenance factors, namely:

(i) Company policy and administration

(ii) Technical supervision

(iii) Salary

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(iv) Interpersonal relations with supervisor

(v) Interpersonal relation with peers

(vi) Interpersonal relations with subordinates

(vii) Job security

(viii) Personal life

(ix) Working conditions

(x) Status

Beyond the maintenance factors Herzberg calls the remaining ones the

motivational factors. These are the things that could really bring about positive

attitudes and motivation. However, if these are lacking positive attitude and

motivation will not emerge. The motivational factors, which he called

‘satisfiers’ includes:

(i) Recognition

(ii) Achievement

(iii) Advancement

(iv) The work itself

(v) The possibility of growth

(vi) Responsibility

The insight into the motivational process that was gained via Herzberg’s

research blends very well with Maslow’s theory. For instance, Herzberg’s

maintenance factors are roughly-equivalent to Maslow’s lower (economic).

Needs – the things a worker must have to begin with. Herzberg’s motivational

xxvii

factors correspond with Maslow’s higher level needs. The significance of the

two factor theory lies in the recognition that those organizations or individual

managers who have traditionally approached the subject of motivation from a

purely maintenance (or hygiene) perspective, have been seriously deluding

themselves in some ways, because all they have succeeded in doing in most

cases is preventing dissatisfaction. No positive motivation has this resulted

beyond the neutral level. Furthermore, managers are often limited in their

control over wages- one of the most important elements of the hygiene

(maintenance) factors. Therefore, not only the effectiveness of money as a

motivator in question, but also the extent to which any individual manager has

control over it. Managers cannot motivate people with incentives over which

they have no control (Uzoma 1989 op cit p.168).

4. Theories X and Y: MCGREGOR

From previous theories, several factors exist that motivate people. The

manner, in which any of the theories is applied, will be determined by the

concepts about man himself. (McGregor 1960), come up with two theories in

explaining man and motivation, which he calls Theory X and Theory Y.

Theory x Assumptions According to Mcgregor are:

i. the average man dislikes work and will avoid it the extent he can

ii. therefore most people have to be forced or threatened with punishment to

get them to make the effort necessary to accomplish organizational goals.

xxviii

iii. the average individuals is basically passive and therefore prefers to be

directed, rather than to assume any risk or responsibility. Above all else,

he prefers security.

A manager who fits into the theory X group leans towards an

organizational climate of centralized authority, close control and automatic

leadership.

The Theory Y Assumptions are:

i. work is as natural to man as play or rest and therefore, cannot be avoided.

ii. self-motivation and inherent satisfaction in work will be achieved in

situations where the individual is committed to organizational goals.

Hence, coercion is not the only form of influence that can be used to

accomplish organizational goals.

iii. commitment is a crucial factor in motivation, and it is a function of the

rewards coming from it.

iv. the average individual learns to accept and even seek responsibility given

the proper environment.

v. contrary to popular stereotypes, the ability to be creative and innovative

in the solution of organizational problems is widely and not narrowly

distributed in the population.

vi. in modern business and organizations, human intellectual potentialities

are only partially realized.

xxix

The manager who operates on Theory Y feels that an effective

organizational climate has greater decentralization of authority, relies less on

coercion and control, has a democratic leadership style, and more participation

in the decision process.

The question often arises as to which management philosophy and

organizational climate produces the best result. One might be tempted to favour

Theory Y because it is humanistic on the surface and less authoritative then

Theory X. But sentiments alone are not enough in making judgement because

there are occasions when Theory X is called for, while Theory Y works

brilliantly in others. Perhaps the optimum theory would be called Theory Z, in

which case, the manager would have to apply both approaches at one time or

another (Uwick, 1970, p.14-21).

5. Expectancy/Instrumentality Theories: VROOM

Instrumentality is the relationship between an individual’s goals or the

rewards he desires and the organizational objectives that he is expected to

fulfill. It exists when a person sees that attaining an organizational objective,

such as high productivity, will result in receiving the reward he deserves: wages

(Literer in Ejiofor op cit p.218). To make a recapitulation of the meaning of the

term, it can be said to refer to the individual’s perception of the degree of

relationship between the level out come and the second level outcome. (ibid-

p.152). the instrumentality theory attempts to relate effort to rewards. It

xxx

however looks like an unattainable goal in its real sense because in many

Nigerian organizations; rewards are tied to favouritism and nepotism. The

practice has resulted in “bad attitude to work”, among Nigeria workers. The

favoured worker becomes lax knowing that he will always get an unexpected

strike of “good-luck” from his “master”. While those discriminated against,

perceiving that nothing would be forth-coming by way of rewards, become

disenchanted and refuse to put in their best through absenteeism, lateness to

work, slow work pace and many other subtle means, such as stealing office

stationery/equipment, conversion of office petty cash all in the attempt to

reward themselves.

CONDITIONS OF OPTIMUM MOTIVATION

Ejiofor (op cit p.210) has set out four conditions that must be met in the

application of the instrumentality theory for optimum motivation, namely:

i. The employer/organization must hold out rewards desired by the worker

ii. The worker must perceive that the desired reward can be obtained only

through the execution of more effort on his part.

iii. The reward must be achievable, and as immediately as possible.

iv. The worker must be mentally and physically able to strive for the reward.

The questions now are: Can the employer/organization hold out rewards?

Is it willing to give out reward as immediately as they have been genuinely

earned? Does the worker perceive that the desired reward can be obtained only

xxxi

through the exertion of greater effort on his part? To the extent that these

questions are answered positively, to that extent are workers motivated.

6. Achievement Motivation: MC-CLELLAND

There is a view on motivation that some people have a compelling drive

to succeed for the sake of succeed alone. David Mc-Clelland (1961) in Uzoma

op cit) has been the primary advocate of this view and he has named these “need

to achieve” the “n-Ach) motive.

After years of research, Mc-clelland described high achievers as:

i. People who seek to do things better

ii. People who seek situations where they can attain personal responsibility

for finding solution to problems;

iii. people who dislike succeeding by chance

vi. People who seek out opportunity where their desires to achieve will not

be thwarted.

v. People who seek and use concrete, measurable feed back of the results of

their actions.

vi. people who develop comprehensive plan to help them attain their goals.

The implications of n-Ach research are far-reaching. It drives people to

act on the basis of an internally induced stimulus, rather than relying on

externally imposed motivators. Further understanding of the concepts behind n-

Ach research can assist administrators in explaining and predicting employees

behaviour.

xxxii

The findings of the research conducted by Oloko (1977) suggest that the

Nigerian worker does not perceive that his advancement depends much on how

hard he works. Majority of those he interviewed were of the view that workers

were promoted “mostly for being bosses” favourites” while few believed that

promotion was based exclusively on skill and effort. These findings are in

reality negation of the postulations of the instrumentality theory. In place of

hand work, the Nigerian sees fate and favouritism as the path to successes. In

the words of Pita Ejiofor, the Nigerian “follows the rational path, the road he

believes led others to their gold mines. He assuges fate and the gods by offering

sacrifices wearing success claims, attending spiritual churches and joining

secret societies and social clubs (Ejiofor op cit. 2-4).

7. THE MISSING LINK

If rewards could be seen as inputs, and motivation as outputs, then there

appears to be what Ejiofor calls “the missing link in the motivational efforts of

many of our employers/organizations, which do not bring about the desired

motivation output, from the initiation reward inputs. The result therefore, is that

while enjoying many Nigerians are still not motivated to produce. Why is it so?

What is the missing link in the motivational chain? Vroom’s Expentancy

Theory (1964) throws much light on this. He explains that motivation depends

not just on the outcome desired by the worker, but also on the instrumentality of

effort. That is the relationship perceived by the worker between his own effort

(hard work, honestly, loyality, putting oneself last) and the desired outcome

xxxiii

(promotion, commendation, salary, movements, modals, trophics, and

recognition in the community) Building on vroom’s theory, Pita Ejiofor

identified four critical variables in workers motivation from which he later drew

up the preconditions for instrumentality.

8. A CONTINGENCY MODEL

Theories tend to make everything so simph because they carry an element

of truth. However they still present us with a world of incompleteness. We can

see from the scholarly erudition of notable writes that there is no universally

consistent motivational device applicable to everyone. Not all persons are

motivated by money or by jobs that are enriched/self-actualising. There are

people who are equally motivated by such factors as education, level of

aspirations, need for achievements, desire for autonomy attainment and

responsibility, to mentio0n but a few, therefore, one can conclude that what

motivates people varies from case to case.

2.6 IMPORTANCE OF MOTIVATION

For the purpose of this study, the researcher has advanced the underlisted

as the importance and need for motivation in an organization.

1. Motivation engages job satisfaction, which is effective relation of

feelings by an employee on how happy or satisfied he is with his

job supervisors, co-worker, pay. Pay and his current and future

career progress and potentials.

xxxiv

2. Motivation assists managers to understand the needs or urges

which prompt people to do things and provides ways of helping

them to satisfy these needs through the organization, while at the

same time harnessing their contribution to satisfy organizational

needs.

3. Motivation of employees brings about job satisfaction and reduces

the rate of labour turnover and absenteeism.

4. Employees feel that they are important members of the

organization and that their contribution is important towards the

attainment of the firms goals.

5. It eliminates industrial crisis by the workers out of dissatisfaction

of one kind or another.

6. It brings about employees commitment to the achievement of the

organizational goals.

7. It guarantees high productivity

8. It enables late workers to put in his best performance in the

organizations work.

9. It could generate lasting harmony in the organization between

worker and employers.

2.7 MANAGEMENT BY OBJECTIVE (MBO)

Employees are also motivated when management integrates their goals

into the organizational goal through MBO. Management by objectives is one of

xxxv

the latest methods advocated by Peter Drucker et al for achieving organizational

objectives.

The basic concepts is that top executives and managers should all be

involved in determining company objectives, defining major areas of

responsibility, and integrating them into the goal of the employees (Drucker

1964).

ORDWRNE DEFINES MBO AS: A process whereby superior and

subordinate managers of an organization jointly identify its common goals,

define each individuals major areas of responsibility in terms of the results

expected of him and use these measures as a guide for operating the unit and

assessing the contribution (Ordiorne 1965, p.49). Carroll (1973, p.3) sees MBO

as a process by which Managers and their subordinates participate jointly in

setting goals, activities and target dates as well as the evaluation of performance

as it relates, to established objectives.

Management by objectives is one of the most effective ways of

integrating activities and balancing organizational objectives. Peter Drucker

postulates that company objectives should be set in all the major areas such as:

1. Productivity

2. Market standing

3. Innovation

4. Physical and financial resources

5. Profitability

xxxvi

6. manager performance and development

7. Public relations or responsibility and

8. Worker performance and attitude.

MBO converts company objectives into individual goals, as a result it

contributes to higher levels of job satisfaction. By integrating employee goals

to company goals, there is goal congruency, which will help to elicit employee

commitment with resultant increase in productivity. MBO is often called

“management by results”. By this method, both the manager and employees are

evaluated by results achieved…. There is need for collaboration among the

vatriosu units and departments since success depends on the co-operation of

every department or unit understand the goals being pursued. Therefore,

everyone ought to get committed and pull towards the predetermined direction.

If everyone understands what is expected of him, goal ambiguity which gives

rise to frustration will be eliminated. In appraising the manager, he is assessed

in terms of his regular duties and responsibilities. He is assessed by his

technical competence, managerial skills and by his ability to enhance the career

prospects of his subordinates and anticipate changes in the manpower position

of the organization.

Advantages of MBO

Research according to Nwachukwu (1988, p.126) has shown that there

are many advantages in the use of MBO in organization.

Some of the major advantages are:

xxxvii

1. It allows subordinates to help plan control their own performance,

which results in a stronger motivation to do the best possible job.

2. It helps to integrate company goals of profit, productivity market

standing, human resources, social roles and technical growth.

3. It is one of the best way to integrating activities and balance

organizational objectives.

4. It is a very useful performance technique where particular are

evaluated on the basis of their contribution to overall goals rather

than on such characteristics as personality traits.

One of the strategic advantages of MBO especially in Nigeria is to aid in

personnel development. This is an individual need, which is integrated in the

organization objectives. Raia (1974, p.51) emphasized the importance of

personnel development when he pointed out that in its importance lay “an its

potential to improve current performance, to combat technological and

managerial obsolescence, to prepare the individual for additional responsibility

and advancement, and to increase his level of motivation and commitment to his

total set of job objectives”. Goal setting is the most important aspect of MBO

and therein lays the advantages. Raia has summarized the steps necessary for

establishing the goals.

The important Points to Note Include

1. The objectives must be related to organizational goals and strategic

plans.

xxxviii

2. The objectives have to be quantified or measurable.

3. They must be realistic in order to be achievable

4. They must be ample resources to make their attainment possible.

5. There must be appraisal on performance to know what objectives

are being met.

6. Objectives need be resolved into writing to make sure they are

clear, concise and intelligible.

7. The objectives must be communicated to all who are to be involved

in their accomplishment and they must be given the opportunity to

integrate their own goals into the overall objective.

8. All objective must be in the key areas of company performance and

must be made current by constant review.

Implementing MBO

The three steps necessary for the implementation of MBO in an

organization according to Orediorne (1974 p.12-13) are: authoritarian

education, persuasion and coercion. This means that the participants are to be

educated to appreciate the need for MBO and the advantages to be derived.

This would involve persuasion. Although Ordiorne believes that persuasion has

given rise to the failure of many MBO’s. it is still a good method to use in

certain circumstances. Persuasion is bad when it replaces education and total

xxxix

appreciation of the benefits to be derived from MBO programme. MBO takes

time, effort and commitment from all the participants and requires that a clear

sense of direction be given by the organization for it to produce the desired

effect.

Authoritarian method is used when there is resistance. The lower level

management and employees may not be enthusiastic about the programme for it

requires initiative and dedication that they are unaccustomed to. One of the

criticisms made against MBO is that excessive time is spent on persuasion, in

canceling and over emphasis on quantitative measures.

MBO is a good device as it helps to obtain total commitment of all the

organization to work together to achieve a common objective, which could have

been otherwise very difficult.

2.8 EMPLOYEE SATISFACTION

Employee satisfaction is the aim of most managers. The contention is

that a satisfied employee has a better attitude to work than a dissatisfied

employee. It was once believed that satisfaction would lead to higher

productivity. Research findings point to the fact that satisfied employee is not

necessarily productive. Thus there is no consistent correlation between

productivity and job satisfaction. (Ivancevich, 1970, p.139-151). Studies show,

xl

however, that job satisfaction correlates negatively with increased absenteeism

rate, labour turnover and poor morale.

Commenting on the lack of correlation between employee satisfaction

and productivity, Kahn observed that no significant relationships were

discovered between any of the indexes of satisfaction and the productivity of the

work group. In other words, employees in highly productive work groups were

no more likely than employees in low producing group to be satisfied with their

job and the company, or with their financial and status reward (Kahn 1960

p.277).

These studies consistently point out that a satisfied employee does not out

produce an unsatisfied employee but they do not claim that satisfaction is the

cause of low productivity or poor attitude to work. An employees who is

satisfied and motivated is an ideal employee. What satisfies employees is many

and varied. Factors such as gender, position, personal characteristics of the job

holder level of education, income level, supervision, relationship with co-

workers, size of the work group, job content, to mention but a few, are some of

the major factors that influences employee job satisfaction.

Employee job satisfaction is influenced by the equitable distribution of

organisational favours. Perceived inequity affects employee job satisfaction.

The ability of an employee to perform his work up to expected standards

influences job satisfaction.

xli

An employee who is capable of performing an assigned task derives

intrinsic reward from it, as he is capable of accomplishing something. He sees

himself as having some control over his environment and may perceive himself

as an achiever. This reward increases when the organization recognizes his

contribution and gives him added incentive in the way of promotion or other

privileges. If the employee believes that what he receives is equal to what other

employees who have achieved level of productivity are entitled, he derives

satisfaction. Extrinsic reward includes all forms of format recognition,

promotion, advancement, pay, amenities, fringe benefits, and a pat on the back.

These originate from the organization.

Intrinsic reward is an inner feeling of satisfaction originating from work

well done, achievement, personal growth, status or power possessed and

informal recognition. This inner warmth a form of self gratification is very

sustaining. Many employees will stay in the organization if they are denied

extrinsic reward but possess intrinsic reward. Where the later is lacking, the

employee is very likely to leave the organization, or become very tanty, play

truancy and characteristically, show a very poor attitude to work. Satisfaction is

very closely related to absenteeism and labour turnover (Nwachukwu op cit

p.201). Nwachukwu posits that job satisfaction is important because it

influences absenteeism and tardiness and to a less extent, turnover of labour but

not performance. It costs a lot of money to recruit and train employees

therefore no company can survive continuous high turnover of employee or

xlii

unexcused absenteeism. Job satisfaction affects staff turnover to an extent

because turnover is also influenced by availability of alternative job

opportunities. A dissatisfied employee does not resign his position unless

another equally attractive position is available.

Job performance can lead to job satisfaction. Job performance on the

other hand, is a factor of other variables such as technology ability supervision

and motivation.

Job Description Index (JDI)

Such (1960) isolated five factors that influenced job satisfaction. These

five factors were:

1. Work on the present job

2. Present pay

3. Opportunity for promotion

4. Supervision on the job

5. People on the job.

Smith observes that job satisfaction must be considered as a feeling,

which has arisen in the worker as a response to the total job situation. It is

equally true that job satisfaction is influenced by opportunities open to the

worker.

An employee who has limited alternative job opportunities are bound to

rationalize on this and derive satisfaction from what he has available. Another

xliii

employee who has opportunities is bound to complain and constantly think of

his opportunity cost and this affects his total job satisfaction.

The usefulness of the JDI is that the scale used has proven discriminate

and convergent validity (Ibid).

Work On the Present Job

It is believed that one of the major factors that influence job satisfaction

is work on the present job. The JDI attempts to find out if the job is fascinating,

routine, satisfying, boring, pleasant, tiresome, challenging or frustrating.

Whether an employee works hard or not, derives satisfaction from the job or

not, is influenced by the way he perceives the work (Nwachukwu op cit p.204).

Present Pay

According to HJerzberg, money is a dissatisfier despite the fact that

people have a sentimental attachment to it. As pointed out, money can be seen

as a symbol of achievement, success, status, prestige or power, above all there

are some people who have to work in order to maintain a large family or to meet

their physiological needs. Possession of a large amount of money gives one a

feeling that one has control over one’s environment. The JDI scale tries to find

out from an employee if the pay is adequate, or less than he deserves:

Opportunity for Promotion

An average employee looks forward to the day when he will earn a

promotion. Promotion is a reward for past performances, an encouragement to

nudge him to continue to excel. It is a vote of confidence and a blessing.

xliv

Promotion is a motivator of behaviour. An employee who is denied promotion

for a long time gets frustrated. The way an employee perceives his opportunity

for promotion influences his job satisfaction. Thus the JDI solicits information

from the employee on such issues as whether there is opportunity for promotion,

a dead end job, unfair promotion policy, promotion on ability and so on.

People on the Present Job

Co-workers of an employee influence his total job satisfaction. The

Hawthorne studies highlighted the importance of interpersonal relationship on a

job. If a worker associates with people who are committed and are motivated,

he could get motivated and increase his productivity. Interest and enthusiasm

are infectious. The JDI attempts to find out from the worker if co-workers are

stimulating, boring, slow, ambitious, stupid, fast, responsible, loyal, talk too

much, etc.

Supervision on the Job

The supervisor can make or break an employee. He is nearest to the

operative employee and performs the lynchpin function. The way he relates to

his subordinate and the way the employees perceive him influence their

satisfaction. The supervisor to a large extent determines how organizational

favours are distributed. Characteristics such as ask my advice, hard to pause,

knows the job well, lazy, influential, impolite etc are included in the JDI scale.

The JDI according to Nwachukwu is very useful instrument for

measuring job satisfaction. It is not only measures what is available in a job

xlv

situation but also what an employee perceives he should get from alternatives

open to him.

2.9 EMPLOYEE PERFORMANCE AND SATISFACTION

The essence of all motivational efforts is to increase employee

performance/productivity. Motivated workers out-produce unmotivated

employees. The factors that influence employee productivity are different from

the factors that influence satisfaction. Factors that influence productivity of an

employee include:

1. Ability

2. Possession or lack of technological know-how or skill

3. Possession or lack of physiological drive

4. Managerial ability and

5. Attitude, and technology employed (Nwachukwu 1988)

Ability

Different people are endowed with different abilities from birth. Those

who are strong, talented and specially gifted excel in one field of endeavour or

the other. We have people who have a fair for figures and others who resent it.

People who are physically weal are out-produced by those who are physically

strong and better built.

Skill

xlvi

Skill is required through training. Lack of skill could be due to the lack

of opportunity to acquire training during childhood, due to family

circumstances, lack of interest or any other reason.

Lack of Physiological Drive

Some people make a minimal demand on themselves. Their expectations

are low and they lack the drive. These people appear content with what they

have however small or big.

Employees who lack the competitive spirit lag behind those who are self-

motivated in maintenance factors and shy away from responsibility or

challenges.

Management Ability

One of the sky functions of management is to utilize people in the

accomplishment of organizational objectives. To accomplish these objectives,

management must not only create a favourable environment in which the

employees must work but also motivate employees to greater performance.

When management fails to motivate an employee the employee, becomes a

liability to the organization rotates. They set the pace, influence efficiency by

the choice of technology to be employed and determine the organizational

climate that prevails. Thus, an organizations ability to be productive or not

depends on how labour is utilized.

Attitude

xlvii

An employee with poor attitude to work and the organization is a low

producer. Attitude is observable and could be infectious. Employees who have

a bad attitude to work tend to fit into McGregor’s Theory X. they work because

of the compulsion of their economic circumstances. Poor attitude could be due

to lack of motivation poor work design that robs the employee of his intrinsic

reward, or factors unconnected with work environment and beyond the control

of management.

Technology

The type of technology in use in an organization influences employee

productivity. Obsolete equipment reduces output, increase stoppages, and bad

products. Where management employs good techniques and innovative

approaches, productivity is bound to increase. Productivity is very important in

management for it is a reflection of managements effectiveness and efficiency.

According to Lawler and Porter an individual’s efforts, abilities and traits

and task perception determine his performance. The role of environmental

factors in performance is three directional. They influence effort (energy

expanded) and task directions which are the behaviours the employee believes,

are required for the accomplishment of his task. Environmental factors include

education, supervision, organizational design, company policies, social

expectations, training, values and situational factors in the organization. It is

not sufficient to make the effort, the employee must have the abilities,

understand his role in the organization and have a good perception of the best

xlviii

way to channel his energies in the attainment of desired results. Management

should encourage productivity by making the employees aware of the reasons

behind the functions they are performing and providing the support required to

obtain sustained effort. The employees in any organization differ in attitude,

knowledge, skills health and physical vigour. In the same way, their

productivity differs. It is the functions of management to device ways of

encouraging higher productivity. This is accomplished through training and

development, motivation and judicious use of organizational favour.

REFERENCES

Carrol, Stephen J. and Henry Tosi, (1973) Management by Objectives:

Application and Research New York.

xlix

Drucker, Peter (1964): The Practice of Management, New York Harper and

Row Publishers

Ejiofor, Pita N.O. (1981): Management in Nigeria: Theories and Issues Onitsha:

African Fep Publishers Limited.

Faunce W. (1968): Social Problems of an Industrial Organisation, New York

Macraw Hill Book Company

French J.P. and R.D. Coaplon (1978): “Organisational Stress and Individual

Strain in A. Marrowed, The Failure of Success New York:

American Management Association

Herzberg, Frederick (1964): The Motivation Hygiene Concept and Problems of

Manpower Personnel Administration January-February

Invancevich J.M. A Study of the Impact of Management by Objective on

perceived Need Satisfaction Personnel Psychology Vol, 23, 1970

kalm Robert I. “Productivity and Job Satisfaction” Personnel Psychology Vol.

3, No., 13. autumn 1960,

Lickert, Rensis Quoted in Uzoma Ahamefule (1989) “Motivation and

Management Styles in Ejiofor PNO (Ed) Foundations of Business

Administration Onitsha: African Fep Publishers

Litterer, J.A. (1973): The Analysis of Organisations 2nd Edition, New York,

John Wiley and Sons Ltd

Herzberg, Federick (1964): The Motivation Hygiene Concept and Problems of

l

Manpower” Personnel Administration January-February

Maier, Norman Ra. Et al “Superior Subordinate Communication in

Management: American Management Association Research

Studies, No. 52 1961 Quoted in Uzoma op cit

Maslow, Abraham, (1970), Motivation and Personality 2nd Edition, New York,

Henper and Row Publishers

Mc-Clelland, David C. (1961) The Achieving Society: New York, Van

Nostrand Reinhold

McGregor, Douglas (1960): The Human Side of Enterprise, New York,

McGraw Hill Book Company.

Nwachukwu, C.C. (1988): Management Theory and practice, Onitsha, Africana

Feb Publishers Limited

Oloko, Olatunde, “Incentives and Records for Effect”, Management in Nigeria

Vol 15, No.5 June/July, 1977.

Olusanya, G.O. (2003); “Human Resources Management: The Value System

Approach, Paper Presented at the 6th Annual Eastern Zonal

Conference of the Institute of Personnel Management, March 28,

2003.

Ordiorne, G. “Politics of Implementing MBO”, Business Horizon June 1974

Smith Patricia C. “The Measurement of Satisfaction in Work” Quoted in

Nwachukwu op cit

li

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 INTRODUCTION

lii

This chapter centres on the method that will be used to gather data for the

purpose of this study, the chapter will describe the research design, sources or

data, and population of the study. Other issues it will examine are reliabilities

and validity of the instrument for gathering.

3.2 RESEARCH DESIGN

Research is simply the blue print which the researcher intend to use

carryout the research task and for the purpose of this study, the survey research

method will be used so as to build the impact on job satisfaction and employee

performance.

3.3 SOURCES OF DATA

The data to be used for the research work will be obtained specifically

from two sources namely Primary and Secondary sources.

(a) Primary sources: Primary data are those sourced from personal

interview, observation and use of questionnaire

(b) Secondary sources: The secondary sources will involves the use of

existing but related data, which were produced by earlier

researchers for the purpose of contributing their quota to the

problem under study. The secondary data for this study include

journal, magazines, periodical, text books and internet.

3.4 INSTRUMENTS FOR DATA COLLECTION

liii

The instruments for data collection issued in this research include the

structured questionnaire, observation and interview.

3.5 POPULATION OF THE STUDY

The study population for the work includes all staff in the three selected

organization.

Table 3.1 Staff of the three Orgainisation

S/N NAMES OF ORGANIZATION NUMBER OF STAFF

1 NRC ENUGU 110

2 HOTEL PRESIDENTIAL 70

3 ENTRACO 70

TOTAL 250

Sources: Fieldheart 2010

3.6 PILOT SURVEY

In order to find possible faults which would be corrected before full

application of the research instrument to the population of the study the

researcher conducted a pilot study or survey with which the questionnaire was

pretested. The researcher administered few copies of questionnaire which were

carefully constructed to a randomly selected target sample for completion. At

the end of the exercise observation and criticism made were corrected.

3.7 RELIABILITY AND VALIDITY OF DATA AND TEST

INSTRUMENT

liv

3.7.1 Reliability of Data

The research observed from the pretested questionnaire that most of the

responses on the questionnaire were consistently, showing the research

instrument.

3.7.2 Validity of Measurement

The researcher was convinced that research instrument was valid after

pre-testing the questionnaire for the study and the responses on the

questionnaire showed that it measured and provided answers to achieve

the purpose of the research study.

3.8 DATA TREATMENT TECHNIQUE

The primary data collected for this study were first grouped according as

response and presented using percentage and tables for presentation aid and

analysis. Simple percentages were used in the presentation of some aspects of

the data collected. After the preliminary presentation and analysis chi-square

statistic was used to text the hypotheses formulated for this study. The

procedure for using chi-square (x2) analytical method is as show below.

X2 (oi - ei)

Ei

Where oi = observed frequency

Ei = expected frequency

O = ei = N = total frequency

lv

Degree of freedom (D.f) = (Number of rows - 1 x number of column - 1).

REFERENCE

Black, J.A. (1999) Methods and Issue in Research John Wiley and Sons Ltd

lvi

London

Osuala, E.C. (1987) Introduction to Research Methodology African FAP

Publishers Limited Nigeria, New Edition

CHAPTER FOUR

4.0 PRESENTATION AND ANALYSIS OF DATA

lvii

This chapter deals with the report and analysis of data obtained from the

research questionnaires. This analysis is solely based on the responses from the

questionnaire which are relevant to the objective of the study. The chapter will

also test the formulated hypotheses with the relevant sections of the questions to

find out whether such proposal will be accepted or rejected.

Table 4.1 Questionnaire Distribution

NAME OF

FIRMS

NUMBER

DISTRIBUTED

NUMBER

RETURNED

NOT

RETURNED

NRC ENUGU 110 105 5

HOTEL

PRESIDENTIAL

70 66 4

ENTRACO 70 64 6

TOTAL 250 235 15

SOURCE: FIELDWORK 2010

In the table above, 250 questionnaires were distributed, 235 was returned

and 15 was not returned.

4.2 ANALYSIS OF QUESTIONNAIRE

Table 4.2.1 Job Satisfaction and Output Organisations

lviii

RESPONSES NRC ENUGU HOTEL PRESIDENTIAL

ENTRACO TOTAL

FREQ % FREQ % FREQ % FREQ %

YES 90 85 45 68 40 62 175 74

NO 5 5 10 15 10 16 25 11

NOT ALWAYS 10 10 11 17 14 22 35 15

TOTAL 105 100 66 100 64 100 235 100

SOURCE: Fieldwork 2010

The table above indicates that out of 235 respondents from these firms,

175 (74%) said that job satisfaction produce an increase of output, 25 (11%)

respondents said No, that job satisfaction does not produce an increase of output

while 35 (15%) said not always.

Table 4.2.2 General Working Condition

Organization


ENTRACO TOTAL


Satisfactory 100 95 50 76 55 86 205 87

Unsatisfactory 1 1 6 9 2 3 9 4

Just good 3 3 10 15 7 11 20 9

Bad 1 1 - - - - 1 -

Total 105 100 66 100 64 100 235 100

Refit shows that out of 235 respondent from these firms, 205(87%) said

that good working condition determines the level of satisfaction which an

lix

employee will have, 9(4%) said with good working condition, workers still

remain undsatisfactory, which 20(9%) said environment produce just good

satisfaction and 1said working condition has nothing to do with satisfaction.

Table 4.2.3 Effect of Increase in Salaries

RESPONSES NRC ENUGU HOTEL

PRESIDENTIAL

ENTRACO TOTAL


More productive 86 82 56 85 50 78 192 82

Just satisfied 14 13 8 12 10 16 32 14

Unchanged 5 5 2 3 4 6 11 4

TOTAL 105 100 66 100 64 100 235 100


From the above table, out of 235 respondents, 192 (82%) said the effect

of increase in salaries make them to be more productive, 32(14%) said just

satisfied which 11(14%) said that the increase of salaries has nothing to add that

they remain unchanged, when there is increase in salary.

Table 4.2.4 Gain of Employer from Job Satisfaction Organisation

RESPONSES NRC ENUGU HOTEL ENTRACO TOTAL

lx

PRESIDENTIAL


YES 105 100 66 100 64 100 235 100

NO - - - - - - - -

TOTAL 105 100 66 100 64 100 235 100


From the table above, the researcher discovered that the entire staff of the

three organizations under study believed that their employers will gain a lot if

their staff are satisfy.

Table 4.2.5. Gain of the Employer Organisations


ENTRACO TOTAL


Increased performance

and productivity

60 57 30 45 40 63 130 55

Dedicated staff 10 10 5 8 4 6 19 8

Loyalty and obedience to

employer

20 19 5 8 6 9 31 14

Achievement of

established goal

15 14 26 25 14 22 55 23

Total 105 100 66 100 64 100 235 100


This table indicates that the staff of the organizations under research, out

of 235 respondents, 130(55%) said that employers’ gain through increased

lxi

performance and productivity, 19(8%) said dedicated staff, 31(14%) said that it

attract loyalty and obedience to employer while 55(23%) said that employers’

gain through achieving the organizational goal.

Table 4.2.6 Staff-Boss Relationship


PRESIDENTIAL

ENTRACO TOTAL


Cordial 90 86 55 83 60 94 205 87

Bossy 15 14 11 17 4 6 30 13

TOTAL 105 100 66 100 64 100 235 100


The table above indicates that out of 235 respondents from the firms

under study 205(87%) said that there is cordial relationship that exist between

the staff and Boss of these organizations while 30(13%) said that Bossy

relationship exist.

Table 4.2.7 Workers Opinion Above his Organisational Job


lxii

PRESIDENTIAL


It is boring and

monotorious

20 19 7 11 5 8 32 14

It is exciting 70 67 50 76 45 70 165 70

It is frustrating 6 6 3 4 5 8 14 6

It is depressing 5 5 4 6 6 9 15 6

I feel unconcern 4 4 2 3 3 5 9 4

Total 105 100 66 100 64 100 235 100


From the table above, it shows that out of 235 respondents from the study

organization, 32(14%) said that the content of the job is boring and monotorious

which result to dissatisfaction among workers but 165(70%) said that the

content of their job is exciting which produce job satisfaction, 14(6%)

respondents said that it has frustrating content which lead to lack of interest,

while 15(6%) said depressing and 9(4%) said that they feel unconcerned about

their job because they lack satisfaction on their job.

Table 4.2.8 Positive Communication Process


lxiii

PRESIDENTIAL


Yes 95 90 55 83 60 94 210 89

No 10 10 11 17 4 6 25 11

TOTAL 105 100 66 100 64 235 100


The table above shows that out of 235 respondents, 210(89%) said that

positive communication contributes to job satisfaction, while 25(11%) said No

that positive communication has nothing to contribute to job satisfaction.

Table 4.2.9 Promotion of Staff Organisation


PRESIDENTIAL

ENTRACO TOTAL


Agreed 98 93 60 90 59 92 217 92

Uncertain 2 2 3 5 1 2 6 3

Disagreed 5 5 3 5 4 6 12 5

TOTAL 105 100 66 100 64 00 235 100


The table above shows that out ot 235 respondents, 217(92%) said that

promotion of staff in their organization attract job satisfaction, 6(3%) said they

are uncertain about promotion being a tool for job satisfaction which 12(5%)

lxiv

respondents said that they disagreed that promotion contribute to job

satisfaction.

Table 4.2.10 Causes of Dissatisfaction Organisations


PRESIDENTIA

L

ENTRACO TOTAL


Poor pay package 50 48 20 30 30 47 100 43

Does not enhance any

social recognition

40 38 30 46 10 16 80 34

Unconducive

environment

15 14 16 24 24 37 55 23

TOTAL 105 100 66 100 64 100 235 100


The table above shows that out of 235 respondents of the firms under

study, 100(43%) said that what causes dissatisfaction is poor pay package,

80(34%) said that there is no social recognition while 55(23%) said lack of

conducive environment contribute the dissatisfaction among workers.

Table 4.2.11 Employees Involvement in Decision making Organisation

lxv


PRESIDENTIAL

ENTRACO TOTAL


Yes 100 95 40 61 30 47 170 72

No 5 5 26 39 34 53 65 28

TOTAL 105 100 66 100 64 100 235 100


The table above indicates that out of 235 respondents, 170(72%) said that

employees’ involvement enhance job satisfaction among worker while 65(28%)

said No, it does not enhance job satisfaction.

Table 4.2.12 Position in your Organisations


PRESIDENTIAL

ENTRACO TOTAL


Junior worker 80 76 48 73 50 78 178 76

Middle/supervis

or

15 14 12 18 10 16 37 15

Senior level 10 10 6 9 4 6 20 9

TOTAL 105 100 66 100 64 100 235 100


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The table shows that in the firms under study out of 235 respondents

178(76%) are Junior workers, 37(15%) are middle/supervisors while 20(9%) are

senior level manager.

Table 4.2.13 Age Bracket (Organisation)


PRESIDENTIAL

ENTRACO TOTAL


20-30 30 29 40 61 30 47 100 43

31-40 40 38 10 15 18 28 68 29

41-50 25 24 9 14 10 16 44 18

51-60 10 9 7 10 6 9 23 10

Total 105 100 66 100 64 100 235 100


The table show that out of 235 respondents, 100(43%) fall within the

bracket of 20-30, 68(29%) fall within 31-40, while 44(18%) fall within 41-50

and 23(10%) fall within 51-60.

lxvii

Table 4.2.14 Educational Qualification


PRESIDENTIAL

ENTRACO TOTAL


SSCE 10 10 30 45 20 31 60 26

OND 30 29 20 29 10 16 60 26

BSC/HND 60 57 10 16 30 47 100 42

MSC 5 4 6 10 4 6 15 6

TOTAL 105 100 66 100 64 100 235 100


The table above indicates that out of 235 respondents from firms under

study, 60(26%) have SSCE as qualification, 60(26%) have OND, 100(42%)

have B.Sc/HND as qualification while 15(6%) have M.Sc as qualification.

Table 4.3 HYPOTHESES TESTING

To test the hypothesis listed in chapter one (Ho1, Ho2, Ho3) the research

will use chi square distribution in all the test, the researcher will utilizes 95%

(0.05) significant level.

Decision Rule

If X2C > X2t, reject Ho accept H1

Testing of Hypothesis One

Ho: There is no relationship between promotion and job satisfaction

H1: There is relationship between promotion and job satisfaction

lxviii

Table 4.3.1 Table show the relationship between promotion and job

Satisfaction Promotion

Job

satis

fact

ion

Salary

increment

New

Office

Jos

security

Total

Increase in

output

95 54 40 189

Punctual at

work

10 12 24 46

Total 105 66 64 235

Expected frequency = Row total x Column total

Grand total

Cell1 = E1 189 x 105 = 84

235

Cell2 = E2 = 189 x 66 = 53

235

Cell3 = E3 = 189 x 64 = 51

235

Cell 4 = E4 = 46 x 105 = 20

235

lxix

Cell 5 = E5 = 46 x 66 = 13

235

Cell6 = E6 = 46 x 64 = 13

235

Chi-square (X2) calculation

O E O-E O-E2 O-E2

E

95 84 11 121 1

54 53 1 1 0

40 51 -11 121 2

10 20 -10 100 5

12 13 -1 1 0

24 13 11 121 9

17

Degree of freedom

df = (m – 1) (n – 1)

df = (3 – 1) (2 – 1)

df = 2 x 1 = 2

Test at 95% (0.05) significance

Calculated chi-square = x2c = 17

Tabulated chi-square = x2t = 5.991

lxx

Decision Rule

We reject the Ho and accept H1

Conclusion

Since x2c is 17 and x2t is 5.991. It follows that x2c > x2t and therefore we

reject the null hypothesis and accept the alternative hypothesis. This proves that

there is relationship between promotion and job satisfaction.

Hypothesis Two

Ho: There is no relationship between salary and job satisfaction

H1: There is relationship between salary and job satisfaction

Table 4.3.2 Table show the relationship between salary and job satisfaction

Salary

Job

satis

fact

ion

Productive Satisfied Committed Total

Satisfactory 90 40 50 180

Unsatisfactory 15 26 14 55

Total 105 66 64 235


Grand total

Cell1 = E1 180 x 105 = 80

235

Cell2 = E2 = 180 x 66 = 50

235

lxxi

Cell3 = E3 = 180 x 64 = 49

235

Cell 4 = E4 = 55 x 105 = 25

235

Cell 5 = E5 = 55 x 66 = 15

235

Cell6 = E6 = 55 x 64 = 15

235


O E O-E O-E2 O-E2

E

90 80 10 100 1

40 50 10 100 2

50 49 -1 1 0

15 25 10 100 4

26 15 11 121 8

14 15 1 1 0

15

lxxii

Degree of freedom

df = (m – 1) (n – 1)

df = (3 – 1) (2 – 1)

df = 2 x 1 = 2

df = 2

Test at 95% (0.05) significance level



Decision Rule


Conclusion

Since x2c is 15 and x2t is 5.991. It follows that x2c > x2t and therefore we

reject the null hypothesis and accept the alternative hypothesis. This proves that

there is relationship between salary and job satisfaction.

Hypothesis Three

Ho: Conducive environment does not contribute to job satisfaction

H1: Conducive environment contribute to job satisfaction

lxxiii

Table 4.3.3 Table show the Contribution of Conducive Environment on Job

Satisfaction Conducive Environment

Job

satis

fact

ion

Committed Satisfied productive Total

High 85 40 50 175

Low 20 26 14 60

Total 105 66 64 235


Grand total

Cell1 = E1 = 175 x 105 = 78

235

Cell2 = E2 = 175 x 66 = 49

235

Cell3 = E3 = 175 x 64 = 47

235

Cell 4 = E4 = 60 x 105 = 17

235

Cell 5 = E5 = 60 x 64 = 16

235

lxxiv


O E O-E O-E2 O-E2

E

85 78 7 49 1

40 49 9 81 2

50 47 3 9 0

20 27 7 49 1

26 17 9 81 5

14 16 2 4 0

9

Degree of freedom

df = (m – 1) (n – 1)

df = (3 – 1) (2 – 1)

df = 2 x 1 = 2

Test at 95% (0.05) significance



Decision Rule


lxxv

Conclusion

Since x2c is 9 and x2t is 5.991. It follows that x2c > x2t and therefore we reject

the null hypothesis and accept the alternative hypothesis. This proves that

conducive environment contribute to job satisfaction.

lxxvi

REFERENCES

Andrew, K.R. (1971), The Concept of Corporate Strategy, Home wood Illinois:

Don Jones Publishers

Fubara, Bedford A. (1989) “Government in Business” in Ejiofor PNO (Ed)

Foundations of Business Administration, Onitsha: Africana Feb

Publishers

Hussey D.E. (1981) in Fubara Ibid

Thune, S.S. and R.J. House “where Long Range Planning pays Off” Business

Horizons August, 1970

lxxvii

CHAPTER FIVE

SUMMARY OF FINDINGS, CONCLUSIONS AND

RECOMMENDATIONS

5.1 SUMMARY OF FINDINGS

1. Hypothesis one which state, that there is no relationship between

promotion and job satisfaction, was rejected. From the test of

hypothesis, it was showed that there is relationship between

promotion and job satisfaction. This therefore point to the fact

that most government owned enterprises use promotion to induce

job satisfaction among their employees.

2. Hypothesis two which states that conducive environment does not

contribute to job satisfaction, was not accepted, the test established

that conducive environment contribute to job satisfaction, which

applied that managers should made their working environment

conducive.

3. Hypothesis three which states, that salary does not has relationship

for job satisfaction which was rejected, because based on the

satisfied analysis research revealed that the calculated chi square

(x2c = 15) is greater that the table or critical chi-square (x2t =

5.911). This research shows that the Hull hypothesis (Ho) was

rejected and alternative hypothesis was accepted which state that

salary has relationship with job satisfaction.

lxxviii

Other findings are:

1. Employees in government owned enterprises are poorly motivated,

and this affect the level of their output.

2. They are faced with the problem of working under unconducive

environment, this cause most employee not to put in their best.

3. It was also discovered that staff- Boss relationship boost job

satisfaction.

4. Government don’t understand the impact of increase in salaries,

base on that they don’t see the need for increase in the salary.

5. As found in this study imployees are not fully involved in decision

making.

5.2 CONCLUSION

This study has been an attempt to examine the impact of job satisfaction

on organizational performance among government owned enterprises. Having

gone through the whole length of data analysis hypothesis testing and summary,

the following conclusions are hereby drawn most of the varied problem

encountered, have been unvested since most of these problem is as result of

poor management of the government owned enterprises. It look into

productivity will be increased.

5.3 RECOMMENDATION

If the benefits of job satisfaction are to be achieved and if it is to make its

fullest impact in increasing productivity in government owned enterprises like

lxxix

other firms that induce job satisfaction among their employees. It will be

necessary to make the following recommendation:

1. Government owned enterprises should see increase/prompt

payment as a motivation factor, that can increase productivity in

the organization.

2. Government should use employee inputs as a criteria for promotion

of workers, because most of these workers in government are idle.

3. Government should make the working environment conducive, so

that the workers, can see their working environment as their second

home.

4. Government owned enterprises should adopt management by

objective in which employee should be part in decision making of

the organization so that all hands will be on deck.

5. The structure of the organization should be restructure so that there

will be cordial relationship between the employees and employer.

6. Working conditions should be improved and sustainable to

enhance performance.

7. Management should be sensitive to the difference in needs and

values among the employee. Every individual is unique and will

respond differently to attempts to motive him or her.

8. Management should be sensitive to employees, complaints about

low pay and unchallenging work. Too often management delude

lxxx

them into thinking that employees dissatisfaction can be lessened

by painting work area piping in music, giving out a few more

words of praise, or giving people longer work breaks.

lxxxi

REFERENCES

Morse, Gardiner and Roger L. Martin “What Motivates you in your Jobs:

Money or Satisfaction” Management Talk, Sunday Champion

April 6, 2003.

Olusanya, G.O., “Human Resources Management. The Value System

Approach” Paper Presented at the 6th Annual Easter Zonal

Conference of the Institute of Personnel Management 28th March,

2003.

lxxxii

BIBLIOGRAPHY

Book

Abah, Norbert C. (1997) Personnel Administration, Enugu Joen Publisher

Carrol, Stephen J. and Henry Tosi (1973); Management By Objectives:

Application and Research, New York: Macmillian Company

Drucker, Peter (1964); The Practice of Management New York: Parper and

Row Publishers

Ejiofor, Pita N.O. 91981); Management in Nigeria Theories and Issues Onitsha:

Africana Feb Publishers Limited

Faunce, W. 91968): Social Problems of an Industrial Organisation, New York:

Macraw Hill Book Company

Litterer, J.A. (1973), The Analysis of Organisations 2nd Edition, New York,

John Wiley and Sons Ltd.

Maslow, Abraham (1970); Motivation and Personality 2nd WEdition, New

York: Harper and Row Publishers

Mc-Clelland, David C. (1961); The Achieving Society, New York: Douglas

(1960), The Human Side of Enterprises New York: Mcgraw Hill

Book Company.

Nwachukwu, C.C. (1988); Management, Theory and Practice, Onitsha: Africana

Feb Publishers Limted

Zikmund, William G. (1982), Exploring Marketing Research, Himsdale, and

Winston: CBS College Publishing

lxxxiii

Journals, Newspapers and Seminar Papers

Herzberg, Fredrick: “The Motivation Hygiene Concept and Problems of

Manpower” Personnel Administration, January-February 1964,

Psychology Vol. 23, 1970

Kahn, Robert L. “Productivity and Job Satisfaction” Personnel Psychology Vol.

3, Autumn 1960”

Livision, Henry, “Asinine Attitude Towards Motivation”, Harvard Business

Review Vol. 51, No. 1, January/February 1973

Morse, Gardiner and Roger L. Martin “What Motivates you in your Jobs:

Money or Satisfaction”, Management Talk, Sunday Champion

Newspaper April 6, 2003

Nasire el Rufai, “Statistics of Nigeria Airways”, The Sun Newspapers April

20,2003

Olusanya, G.O. “Human Resources Management, The Value system Approach”

Paper Present at the 6th Annual Easter Zonal Conference of the

Institute of Personnel Management 28th March, 2003

Oloko, Oladeinde, “Incentives and Records for Effect”, Management in Nigeria

Vol. 15, No. 5 june/July, 1977

Ordiorne, G. “Politics of Implementing MBO”, Business Horizon June 1974

Thune S.S. and R.J. House, “Where Long Range Planning Pays Off” Business

Horizons, August 1970

lxxxiv

APPENDIX

Department of Management University of Nigeria Enugu Campus 9th 2010

Dear Respondent,

I am a Postgraduate Student of Management Department in the above

named school. I am currently pursuing a Master Degree in Business

Administration (MBA Management). I am carrying out a research on “The

Impact of Job Satisfaction on Employee Performance in Government Owned

Enterprises”. The purpose of writing is to solicit your support and assistance by

supplying answers to the question in the attached questionnaire. Please answer

by ticking (√) against any option chosen and comment briefly in the spaces

provided. I, however wish to assure you that this is purely an academic exercise

and any information supplied will be treated with confidence and will be used

purely for academic purposes.

Thanks for your cooperation and assistance.

Yours faithfully,

OKEKE, CHIKAODILI P.

lxxxv

QUESTIONNAIRE 1. Name:…………………………………………………………………… 2. Does job satisfaction contributes to your organizational output?

(a) Yes ( ) (b) No ( )

3. How do you feel about your working environment?

(a) satisfactory ( ) (b) unsatisfactory ( )

(c) Just good ( ) (d) bad

4. What are the effect of increase in salary of your organisation?

(a) more productive ( ) (b) just satisfied ( )

(c) unchange

5. Is there any gain derive by the employer if job satisfaction exist?

(a) Yes ( ) (b) No ( )

6. What are these gains the employer has?

(a) dedicated staff ( )

(b) loyalty or obedient to employer ( )

(c) achievement of established goal ( )

7. What is the nature of relationship that exist between the managers and

subordinate in your organization?

(a) Cordial ( ) (b) Bossy ( )

8. What do you have to say about the content of your job?

(a) It is boring and monotonous ( )

(b) It is exciting ( )

lxxxvi

(c) It is frustrating

(d) It is depressing

9. Does positive communication contribute to job satisfaction?

(a) Yes ( ) (b) No ( )

10. Do promotion contribute to job satisfaction?

(a) Yes ( ) (b) No ( )

11. what are the causes of dissatisfaction in your organisation?

(a) poor pay package ( )

(b) Lack of social recognition ( )

(c) unconducive environment ( )

12. Do employees involve in decision making in your organisation?

(a) Yes ( ) (b) No ( )

13. What is your position in your organisation?

(a) Junior worker ( ) (b) middle supervisor ( )

(c) senior level ( )

14. Your Age bracket?

(a) 20 - 30 ( ) (b) 31 - 40 ( )

(c) 41 – 50 ( ) (d) 51 - 60 ( )

15. Academic qualification

(a) SSCE/GCE ( )

(b) OND ( )

(c) B.Sc/HND ( )

(d) M.Sc/MBA ( )

lxxxvii

title page the impact of job satisfaction on employee

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