(W) Project On Impact of Motivation On Employee Performance

A STUDY ON IMPACT OF MOTIVATION ON EMPLOYEE
PERFORMANCE IN WESTERN INTERNATIONAL LLC
Project report submitted in partial fulfilment of the requirement

for the award of degree of
MASTER OF BUSINESS ADMINISTRATION (MBA)

IN
HUMAN RESOURCE MANAGEMENT
Submitted by
Risvana Hiba Zubair
1702007767
Under the guidance of

MD. HAROON ANWAR
Guide Reg No: Mbadl0013
March-2019
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ACKNOWLEDGEMENT
First and foremost, I thank Almighty God for his blessing and for his great help in getting this
project completed.
I would like to express my special thanks and gratitude to my family and friends for their
guidance, insights, ideas, and encouragement throughout the research and to my project guide
Mr. Haroon Anwar for his never ceasing encouragement through this course and the research
process.
I wish to take this opportunity to thank the Sikkim Manipal University for having projects as a
part of the MBA curriculum and Western International Group LLC for giving an opportunity
to do this project.
I hope that I have manifested my sincere attempts to represent all the information to the best of
my ability.
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BONAFIDE CERTIFICATE
Certified that this project report titled ‘IMPACT OF MOTIVATION ON EMPLOYEE

PERFORMANCE' IN WESTERN INTERNATIONAL GROUP (L.L.C) is the bonafide
work of RISVANA HIBA ZUBAIR who carried out the project work under my supervision in
the partial fulfilment of the requirements for the award of the MBA degree.
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DECLARATION BY THE STUDENT
I Risvana Hiba Zubair bearing Reg. No1702007767 hereby declare that this project report
entitled “Impact of motivation on employee performance' in Western International Group
(L.L.C)” has been prepared by me towards the partial fulfilment of the requirement for the
award of the Master of Business Administration (MBA) Degree under the guidance of MD.
Haroon Anwar.
I also declare that this project report is my original work and has not been previously submitted
for the award of any Degree, Diploma, Fellowship, or other similar titles.
Place: Calicut RISVANA HIBA ZUBAIR

Date: 13/03/2019 Reg. No.1702007767
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EXECUTIVE SUMMARY
The study set out to investigate the relationship between motivation and the level of employee
performance. The study had three objectives: to examine the motivation practices used in
Western International LLC, to analyze whether employee motivation is directly connected to
employee performance and to establish the relationship between Impact of Motivation on
Employee Performance.
To achieve the set objectives the study used stratified random sampling in sample selection by
grouping the employees according to management levels. There after simple random sampling was
applied to select respondents.
The study revealed that Western International LLC carries out motivation of its employees in many
ways including promotion of consistently good workers and treating the workers equally, training
and development, incentives, benefits and recognition. The study further revealed that motivation
is the major factor that affects employee performance. The study showed a direct strong and
positive relationship between employee motivation and the performance of Western International
LLC staff which is evidenced by the test.
Conclusively, the researcher found out that motivation has a positive influence on employee
productivity and that if the management of Western International LLC strengthens their motivation
practices, employees would perform more excellently hence attaining organizational goals.
The researcher recommends that the company should always carry out through study on the
various motivational practices that can motivate the specific employees such that they can apply
the right tools appealing to the employees since the company’s biggest challenge had been using
particular motivational tools which would act as dissatisfies to some employees.
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LIST OF TABLES
No Name of table Page no.
1 Gender 46
2 Age 47
3 Marital status 48
4 Nationality 49
5 How long have you been working in the organization? 50
6 Designation 51
7 Are you motivated with your job? 52
8 Are you motivated to perform in your full potential and capacity to the best 53
of your organization?
9 How are you motivated to perform in your job? 54
10 How optimistic do you feel about your future success with the company? 55
11 How well do you think you are appreciated at your work place? 56
12 How well do you think the following aspects run at your workplace, so that 57
they boost your motivation?
13 Fair and equitable remuneration increases the morale and productivity? 58
14 Do you think the use of well established procedures helps in redressing 59
employee grievances in your organization?
15 Which structure your company follows? 60
16 How is your relationship with managers and other heads in terms of 61
communication and exchange of ideas?
17 The sound human right practices like safety measures, discipline rules, 62
welfare activities, equal compensation, etc. helps to build morale in the
employees?
18 Do you think that high status or position of an employee plays an important 63
role in motivating an employee?
19 Do you feel motivated to work in a team? 64
20 Is there a healthy competition among the employees in your company 65
which encourages the people to work harder?
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21 Do you think that job security plays an important role in motivating the 66
employees than the income?
22 Does your company makes you participate in decision making process? 67
23 Do you feel recognition of work motivates the employees? 68
24 How interesting is your job when it comes to performing a task? 69
25 How often your company gives promotion to its employees? 70
26 Did you get chance to get promoted? 71
27 Do you agree promotion increases responsibilities, prestige and power? 72
28 Do you think that good performance leads to promotion every time? 73
29 Can you say that you are fairly satisfied with my job? 74
30 Cross tabulation: age and team 75
31 Cross tabulation: competition and task 76,77
32 Cross tabulation: age and optimistic 78,79
33 Cross tabulation: marital status and full potential 80,81
34 Hypothesis 1 82,83
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LIST OF FIGURES
No Name of figure Page no.
1 McGregor theory x and theory y 21
2 Maslow’s hierarchy needs theory 22
3 Alderfer's erg theory 23
4 Herzberg’s motivation-hygiene theory 24
5 McClelland’s needs theory of motivation 26
6 The porter and Lawler motivation model 29
7 Equity theory 30
8 Goal setting theory of motivation 31
9 Skinner’s reinforcement theory 33
10 Western international group 41
LIST OF SYMBOLS AND ABBREVIATIONS

No Name of symbols and abbreviations Page no.
1 Ho - Null Hypothesis 42
2 H1 - Alternative hypothesis 42
3 WIG – Western International Group (L.L.C) 40
4 ETC - et cetera 13,40,62,98
5 DF - The degrees of freedom 83,85,87,89
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TABLE OF CONTENTS
Chapter Topic Page no.
1 Title of the project
 Cover page and title page 1
 Acknowledgement 2
 Bonafide certificate 3
 Declaration by the student 4
 Executive summary 5
 List of tables 6
 List of figures 8
 List of symbols and abbreviations 8
 Table of contents 9
2 Introduction of the study
 Introduction 12
2.1 Problem statement 13
2.2 Need and importance 14
3 Objective(s) of the study 16
4 Literature review
4.1 Concept of motivation 17
4.2 Theories of motivation 19
 McGregor’s theory of motivation (theory x and theory y) 19
 Maslow’s hierarchy needs theory 21
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 Alderfers erg theory 23
 Herzberg’s motivation-hygiene theory 24
 McClelland’s needs theory of motivation 25
 The expectancy theory of motivation 27
 The vroom theory and practice 28
 The porter and Lawler motivation model 28
 Equity theory 30
 Goal setting theory of motivation 31
 Skinner’s reinforcement theory 32
4.3 Special motivational techniques 33
4.4 Job enrichment 36
4.5 Limitations of job enrichment 37
4.6 Making job enrichment effective 37
4.7 A system and contingency approach to motivation 39
4.8 Summary 39
4.9 Organisational profile 40
5 Research methodology 42
5.1 Research hypotheses 42
5.2 Research model 43
5.3 Research plan 43
5.4 Sampling plan 44
5.5 Research procedure 45
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6 Data analysis & interpretation 46
7 Results & discussions 90
8 Suggestions and recommendations 90
9 Limitations and scope of future research 92
10 Conclusion 93
11 Bibliography 94
12 Appendix 95
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2. INTRODUCTION
This chapter starts by presenting a brief of the overview selected topic of thesis. At the end of
this discussion the research problem is stated and the main purpose and importance of this thesis
is established.
Motivation should be viewed as a continuous and dynamic process of activating and building the
workforce of an organization. Motivation is the word derived from the word ’motive’ which
means needs, desires, wants or drives within the individuals. It is the process of stimulating
people to actions to accomplish the goals. An individual's motivation may be inspired by others
or events (extrinsic motivation) or it may come from within the individual (intrinsic motivation).
Motivation has been considered as one of the most important reasons that inspire a person to
move forward. Before you build a motivational strategy, the first step need to take is to
understand what motivates your employees. What drives them to their peak performance will
better help you develop programs that both motivate and retain the best employees for your
business.
Motivation is actually a combination of factors that operate within each individual and requires a
combination of approaches. In general sense, motivation can be referred as a combination of
motive and action. Vroom has suggested that performance can be thought of a multiplicative
function of motivation and ability. {P=F (M.A)}. The model of motivation is based upon a
definition of motivation as "a process governing choices made by persons or lower organisms
among alternative form of voluntary activity". Also, research reveals that an employee's ability
only partially determines his output or productivity. The other major determinant is his
motivation level.
Employee motivation plays a vital role in the management field; both theoretically and
practically. It is said that one of the important functions of human resource manager is to ensure
job commitment at the workplace, which can only be achieved through motivation. There is
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general agreement that people are motivated in situations where (1) they can participate, (2) they
can feel accomplishment and receive recognition for their work, (3) where the communication is
frequent and (4) there are opportunities for career and knowledge growth. "A central concern of
industrial relations is the identification and measurement of factors associated with individual
differences in employee job performance.” And this identification and measurement are the basic
function of motivational factors or tools. Motivation is crucial for good performance and
therefore it is increasingly important to study what motivates employees for better performance.
2.1 PROBLEM STATEMENT
Motivation can be specified as a management process, which encourages people to work better
for the overall benefit of the organization, by providing them motives, which are based on their
unfulfilled needs. The matter arising is: “why managers need to motivate employees?”
(Herzberg, 1959). According to Smith (1994) it is because of the survival of the company.
Amabile (1993) contributed to this statement by arguing that it is necessary for managers and
leaders of organization to learn to understand and effectively deal with their employee’s
motivation; since motivated employees’ are the pillars of successful organization in present and
future century. She also indicates that unmotivated employees may probably contribute little
effort in their jobs. When employees are well motivated, they help the organization to grow and
survive in fast changing workplaces (Lindner 1998, 36). Lindner also indicates that the most
difficult role of managers is to motivate employee, because what motivates employees changes
always (Bowen and Radhakrishna 1991, 16-22). Although a lot of scholarly research has been
written on motivation, this subject is not clearly understood and more often than not poorly
practiced. On this score, to best understand how motivation can impact on employee´s
performance one must understand human nature. In as much as motivation impacts on employee
performance, there is need to blend the appropriate motivational tools with effective
management and leadership to achieve this goal.
The fundamental problem, dealt with is what drives or induces people to exploit their potential
resources in the way they do in organizations? The issue of motivation and performance are they
positively related? By focusing on the financial aspect of motivation problem like bonus system,
allowances perks, salaries, etc. By paying attention to the financial aspect of motivation, I intend
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to probe in to the role this aspect has on enhancing employee’s performance. I believe, financial
motivation has become the most concern in today’s organization, and tying to Masllow’s basic
needs, non-financial aspect only comes in when financial motivation has failed. Gibson,
Ivancevich, Donnelly, (2004, Pp 214) a space is then set for non-financial measures. Though in
some situation, it is being operated side by side. But as a research topic for my thesis I will
employ the financial aspects of motivation used by the agents of organization in enhancing their
employee’s performance and the extent to which non-financial aspects of motivation turn to
enhance employee’s performance.
2.2 NEED AND IMPORTANCE:
Motivating your employees is vital to any business. A motivated workforce means a highly
productive staff, all of which will help you achieve your business goals. And this should be a
main objective in your organizational and business plan.
Before you build a motivational strategy, the first step you need to take is to understand what
motivates your employees. What drives them to their peak performance will better help you
develop programs that both motivate and retain the best employees for your business.
While not every employee will be motivated by the same thing, focusing on a list of key
motivating programs can help. Your plan can include everything from monetary incentives,
rewards and recognitions, building programs that support work-life balance, to simply creating a
fun, relaxed office environment. The opportunities are endless and the reward substantial.
Employee incentive programs are one of the easiest ways to incentivize your workforce. While
not every program needs to be monetary in nature, should you have limited budgets, the end
results are the same; employees become more motivated when they are recognized and rewarded
for good work.
These types of programs could include anything from bonus pools, rewards recognitions such as
"Employee of the Month", to spotlighting employees on corporate websites or internal intranets.
All will make employees feel connected and part of the success of the business.
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Many employers leave feedback for their annual reviews alone; this can be detrimental.
Employees need to feel recognized and appreciated, and taking time out to give a simple
"thanks" for a job well done is another strong employee motivator. Frequently acknowledge
good work.
Employees want to feel that they are good at their jobs; they seek face-to-face feedback from
their managers. This should also include constructive criticism needed to address issues and help
employees perform their jobs more effectively. While conducting formal reviews should be part
of your ongoing strategy, periodic reviews and impromptu sessions will provide your employees
with the feedback they need to succeed.
Employees want to feel that they are being heard, and more so in team environments. This will
help them feel that their opinions matter and they have a role in defining the success of your
business.
Set a positive tone. The tone of any company begins at the top and trickles down; it’s your job to
inspire your employees to have and create a positive environment. This can be accomplished by
employing simple techniques from asking your receptionist to greet everyone with a smile, to
encouraging employees to express their ideas openly.
The importance of employee motivation cannot be down-played. Ultimately when employees are
motivated this increases productivity, lowers turnover, and improves overall performance.
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3. OBJECTIVES OF THE STUDY
When managers learn about employee motivation, they must learn its definition, strategies
behind it and influencing factors. According to business consultant John Correll, with the help of
employee motivation practices, a company will experience improved job performance and
productivity, fewer workplace issues, better problem solving, progress and the realization of
goals.
The primary aim of this study is to understand the relationship between employee work
motivation and employee’s performance. The study also analyzes the main motivation theories
and approaches commonly used and followed. Knowing these approaches will allow the
organization taking the decision about the type of motivation approach to be used effectively. In
order to do so, the following objectives should be achieved:
 Investigate the commonly used motivation theories and approaches.
 Examine the impact of different approaches of motivation on employees’ performance in the

workplace.
 To analyze whether employee motivation is directly connected to employee performance.
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4. LITERATURE REVIEW
In this section I will describe and explain the concepts, models and theories that are relevant in
the field of motivation and necessary to facilitate a comprehensive analysis and understanding of
the research question .It may be useful to conceptualize the term financial motivation and what
its concepts are. A broader definition of motivation will be introduced.
4.1: WHAT IS MOTIVATION?
Motivation by definition refers to what activates, directs human behavior and how this behavior
is sustained to achieve a particular goal. Also it can be defined as set of processes that arouse,
direct and maintain human behavior towards attaining some goals. Jones (1955) argues that”
Motivation is concerned with how behavior gets started, is energized, is sustained, is directed, is
stopped and what kind of subjective reaction is present in the organization while all this is going
on.”
According to Greenberg and Baron (2000 p190) this definition could be divided into three main
parts. The first part looks at arousal that deals with the drive, or energy behind individual (s)
action. People turn to be guided by their interest in making a good impression on others, doing
interesting work and being successful in what they do. The second part referring to the choice
people make and the direction their behavior takes. The last part deals with maintaining behavior
clearly defining how long people have to persist at attempting to meet their goals.
Kreitner (1995), Buford, Bedeian & Linder (1995), Higgins (1994) all cited in Linder defined
motivation as “the psychological process that gives behavior purpose and direction, a
predisposition to behave in a purposive manner to achieve specific unmet needs, an unsatisfied
need, and the will to achieve, respectively.
Young suggest that motivation can be defined in a variety of ways, depending on who you ask
.Ask someone on the street; you may get a response like “it’s what drives us” or “It’s what
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makes us do the things we do.” Therefore motivation is the force within an individual that
account for the level, direction, and persistence of effort expended at work”.
Halepota (2005) defines motivation as “a person’s active participation and commitment to

achieve the prescribed results” Halepota further presents that the concept of motivation is
abstract because different strategies produce different results at different times and there is no
single strategy that can produce guaranteed favorable results all the times.” According to
Antomioni (1999), “the amount of effort people are willing to put in their work depends on the
degree to which they feel their motivational needs will be satisfied. On the other hand,
individuals become de-motivated if they feel something in the organization prevents them from
attaining good outcomes.
It can be observed from the above definitions that, motivation in general, is more or less
basically concern with factors or events that moves, leads, and drives certain human action or
inaction over a given period of time given the prevailing conditions. Furthermore the definitions
suggest that there need to be an” invisible force” to push people to do something in return. It
could also be deduced from the definition that having a motivated work force or creating an
environment in which high levels of motivation are maintained remains a challenge for today’s
management. . This challenge may emanate from the simple fact that motivation is not a fixed
trait –as it could change with changes in personal, psychological, financial or social factors.
For this thesis, the definition of motivation by Greenberg & Baron (2003) is adopted, as it is
more realistic and simple as it considers the individual and his performance. Greenberg &Baron
defines motivation as: “The set of processes that arouse, direct, and maintain human behavior
towards attaining some goal”. (Greenberg &Baron, 2003)
Bassett-Jones &Lloyd (2005) presents those two views of human nature underlay early research
into employee motivation. The first view focuses on Taylorism, which viewed people as
basically lazy and work –shy”, and thus held that these set of employees can only be motivated
by external stimulation. The second view was based on Hawthorn findings, which held the view
that employees are motivated to work well for “its own sake” as well as for the social and
monetary benefits this type of motivation according to this school was internally motivated.
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4.2- THEORIES OF MOTIVATION:
The study of motivation has created two major theoretical bodies of knowledge applicable to the
design of employee or channel partner motivation programs: Content Theories and Process
Theories. These theories have many applications for incentive program planners.
CONTENT THEORIES
Content theories focus on the factors within a person that energize, direct, sustain and stop
behavior. They look at the specific needs that motivate people.
 MCGREGOR’S THEORY OF MOTIVATION (THEORY X AND THEORY Y):
One view about the nature of people has been expressed by Douglass McGregor in his Theory X
and Theory Y. Managing, McGregor suggests, must start with the basic question of how
managers see themselves in relation to others. This viewpoint requires some thought on the
perception of human nature. Theories X and Y are two sets of assumptions about the nature of
people. McGregor chose these terms because he wanted neutral terminology without any
connotation of being ‘good’ or ‘bad’.
THEORY X ASSUMPTIONS:
The “traditional” assumptions about the nature of people, according to McGregor, are included
in Theory X as follows:
 Average human beings have an inherent dislike of work and will avoid it if they can.
 Because of this human characteristic of disliking work, most people must be coerced,
controlled, directed, and threatened with punishment to get them to put forth adequate effort
toward the achievement of organizational objectives.
 Average human beings prefer to be directed, wish to avoid responsibility, have relatively
little ambition, and want security above all.
THEORY Y ASSUMPTIONS:
McGregor sees the assumptions under Theory Y as follows:
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 The expenditure of physical and mental effort in work is as natural as play or rest.
 External control and the threat of punishment are not the only means for producing effort
toward organizational objectives. People will exercise self-direction and self-control in the
service of objectives to which they are committed.
 The degree of commitment to objectives is in proportion to the size of the rewards associated
with their achievement.
 Average human being learns, under proper conditions, not only to accept responsibility but
also to seek it.
 The capacity to exercise a relatively high degree of imagination, ingenuity, creativity in the
solution of organizational problems is widely, not narrowly, distributed in the population.
 Under the conditions of modern industrial life, the intellectual potentialities of the average
human being are only partially utilized.
These two sets of assumptions obviously are fundamentally different. Theory X is pessimistic,
static, and rigid. Control is primarily external, imposed on the subordinate by the superior. In
contrast, Theory Y is optimistic, dynamic and flexible with an emphasis on self-direction and the
integration of individual needs with organizational demands. There is little doubt that each set of
assumptions will affect the way managers carry out their managerial functions and activities.
CLARIFICATION OF THE THEORIES:
McGregor was apparently concerned that Theory X and Theory Y might be misinterpreted. The
following points will clarify some of the areas of misunderstanding and keep the assumptions in
proper perspective. First, Theories X and Theory Y assumptions are just that, they are
assumptions only. They are not prescriptions or suggestions for managerial strategies. Rather,
these assumptions must be tested against reality. Furthermore, they are intuitive deductions and
are not based on research. Second, Theories X and Y do not imply “hard” or “soft” management.
The “hard” approach may produce resistance and antagonism. The “soft” approach may result in
Laissez-faire management and is not congruent with Theory Y. The effective manager
recognizes the dignity and capabilities, as well as the limitations, of people and adjusts behavior
as demanded by the situation. Third, Theory X and Theory Y are not to be viewed as being on a
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continuous scale, with X and Y on opposite extremes. They are not a matter of degree; rather,
they are completely different views of people.
 MASLOW’S HIERARCHY NEEDS THEORY:
One of the most widely mentioned theories of motivation is the hierarchy of needs theory put
forth by psychologist Abraham Maslow. Maslow saw human needs in the form of a hierarchy,
ascending from the lowest to the highest; and he concluded that, when one set of needs is
satisfied, the kind of need is ceases to be a motivator.
THE NEEDS HIERARCHY:
The basic human needs placed by Maslow in an ascending order of importance are these:
 Physiological needs: These are the basic needs for sustaining human life itself, such as food,
water, warmth, shelter, and sleep. Maslow took the position that, until these needs are
satisfied to the degree necessary to maintain life, other needs will not motivate people.
 Security, or safety, needs: People want to be free of physical danger and of the fear of losing
a job, property, food, or shelter.
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 Love and belonging: Since people are social beings, they need to belong, to be accepted by
others.
 Esteem needs: According to Maslow, once people begin to satisfy their need to belong, they
tend to want to be held in esteem both by themselves and by others. This kind of need
produces such satisfactions as power, prestige, status, and self-confidence.
 Need for self-actualization: Maslow regards this as the highest need in his hierarchy. It is the
desire to become what one is capable of becoming – to maximize one’s potential and to
accomplish something.
QUESTIONING THE NEEDS HIERARCHY:
Maslow’s concept of a hierarchy of needs has been subjected to considerable research. Edward
Lawler and J. Lloyd Suttle collected data on 187 managers in two different organizations over a
period of 6 to 12 months. They found little evidence to support Maslow’s theory that human
needs from a hierarchy. They did note, however, there are two levels of needs- biological and
other needs- and that the other needs would emerge only when biological needs are reasonably
satisfied. They found further that at the higher level the strength of needs varies with the
individual: in some individuals social needs predominate, while in others self-actualization
needs are strongest.
In the other study of Maslow’s needs hierarchy involving a group of managers over a period of
five years, Douglass T. Hall and Khalil Nougaim did not find strong evidence of a hierarchy.
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They found that, as managers advance in an organization, their physiological and safety needs
tend to decrease in importance, while their needs for belonging, esteem, and self-actualization
tend to increase. They instead, however, that the upward movement of need prominence results
from upward career changes and not from the satisfaction of lower-order needs.
 ALDERFERS ERG THEORY:
The ERG Theory by Clayton Alderfer is similar to Maslow’s hierarchy of needs. However, the
ERG Theory has only three categories, existence needs (similar to Maslow’s basic needs),
relatedness needs (pertaining to satisfactorily relating to others), and growth needs (referring to
self-development, creativity, growth, and competence). Thus ERG refers to those three
categories of existence, relatedness, and growth. Alderfer suggests that one may be motivated
by needs on several levels at the same time. For example, one may go to work to make a living
(existence needs satisfaction), and at the same time one may be motivated by good relations
with coworkers. Also according to Alderfer, when people experience frustration on one level,
they may focus on the needs at a lower-level needs category.
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 HERZBERG’S MOTIVATION-HYGINE THEORY:
Maslow’s needs approach has been considerably modified by Fredrick Herzberg and his
associates. Their research purports to find a two factor theory of motivation. In one group of
needs are such things as company policy and administration, supervision, working condition,
interpersonal relations, salary, status, job security, and personal life. These were found by
Herzberg to be only dis-satisfiers and not motivators. In other words, if they exist in a work
environment in high quantity and quality, they yield no dissatisfaction. Their existence does not
motivate in the sense of yielding satisfaction; their lack of existence would, however, result in
dissatisfaction. Herzberg calls them maintenance, hygiene, or job-context factors.
In the second group, Herzberg lists certain satisfiers- and therefore motivators- all related to job-
content. They include achievement, recognition, challenging work, advancement, and growth in
the job. Their existence will yield feelings of satisfaction or no satisfaction (not dissatisfaction).
The first group of factors (the dis-satisfiers) will not motivate people in an organization; yet
they must be present, or dissatisfaction will arise. The second groups, or the job-content factors,
were found to be the real motivators because they have the potential of yielding a sense of
satisfaction. Clearly, if this theory of motivation is sound, managers must give considerable
attention to upgrading job content.
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The Herzberg research has not gone unchallenged. Some researchers have questioned
Herzberg’s investigation methods, which they said tended to prejudice the results. For example,
the well-known tendency of people to attribute good results to their own efforts and to blame
others for poor results is thought to have prejudiced Herzberg’s findings. Other researchers, not
following his methods, have arrived at conclusions that do not support the theory.
 McCLELLAND’S NEEDS THEORY OF MOTIVATION:
David C. McClelland has contributed to the understanding of motivation by identifying three

types of basic motivating needs. He classifies them as the need for power, need for affiliation,
and need for achievement. Considerable research has been done on methods of testing people
with respect to these three types of needs, and McClelland and his associates have done
substantial research, especially on the need for achievement.
All three drives- power, affiliation, and achievement- are of particular relevance to
management, since all must be recognized to make an organized enterprise work well.
NEED FOR POWER:

McClelland and other researchers have found that people with a high need for power have a
great concern with exercising influence and control. Such individuals generally are seeking
positions of leadership; they are frequently good conversationalists, though often augmentative,
they are forceful, outspoken, hardheaded and demanding, and they enjoy teaching and public
speaking.
NEED FOR AFFILIATION:
People with a high need for affiliation usually derive pleasure from being loved and tend to
avoid the pain of being rejected by a social group. As individuals, they are likely to be
concerned with maintaining pleasant social relationships, to enjoy a sense of intimacy and
understanding, to be ready to console and help others in trouble, and to enjoy friendly
interaction with others.
NEED FOR ACHIEVEMENT:
People with a high need for achievement have an intense desire for success and an equally
intense fear of failure. They want to be challenged, and they set moderately difficult (but not
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impossible) goals for themselves. They take a realistic approach to risk, they are not likely to be
gamblers but, rather, prefer to analyze and assess problems, assume personal responsibility for
getting a job done, and like specific and prompt feedback on how they are doing. They tend to
be restless, like to work long hours, and do not worry unduly about failure if it does occur, and
tend to like to run their own shows.
HOW McCLELLAND’S APPROACH APPLIES TO MANAGERS:
In research studies by McClelland and others, entrepreneurs- people who start and develop a
business or some other enterprise- showed very high need-for-achievement and fairly high
need-for-power drives but was quite low in their need for affiliation. Managers generally
showed high on achievement and power and low on affiliation, but not as high or as low as
entrepreneurs.
McClelland found the pattern of achievement motivation clearest in people in small companies,
with the president normally having very high achievement motivation. In large companies, what
is quite interesting is that he found chief executives to be only average in achievement
motivation and often stronger in power and affiliation drives. Managers in the upper-middle
level of management in such companies rated higher than their presidents in achievement
motivation. Perhaps; as McClelland indicated, these scores are understandable. The chief
executive has “arrived” while those below are striving to advance.
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PROCESS THEORIES
Process theories provide a description and analysis of how behavior is energized, directed,
sustained and stopped. Four process theories are predominant: Reinforcement, expectancy,
equity, and goal setting.
 THE EXPECTANCY THEORY OF MOTIVATION:
Another approach, one that many believe goes far in explaining how people are motivated, in
the expectancy theory. One of the leaders in advancing and explaining this theory is the
psychologist Victor H. Vroom. He holds that people will be motivated to do things to reach a
goal if they believe in the worth of that goal and if they can see that what they do will help them
in achieving it.
In a sense, this is a modern expression of what the German priest Martin Luther observed
centuries ago when he said, “Everything that is done in this world is done by hope”.
In greater detail, Vroom’s theory is that people’s motivation toward doing anything will be
determined by the value they place on the outcome of their effort (whether positive or negative)
multiplied by the confidence they have that their effort will materially aid in achieving a goal.
In his own terms, Vroom’s theory may be stated as:
Force = Valence * Expectancy
Where force is the strength of a person’s motivation, valence is the strength of an individual’s
preference for an outcome, and expectancy is the probability that a particular action will lead to
a desired outcome. When a person is indifferent about achieving a certain goal, a valence of
zero occurs; there is a negative valence when the person would rather not achieve the goal. The
result of either would be, of course, no motivation. Likewise, a person would have no
motivation to achieve a goal if the expectancy were zero or negative. The force exerted to do
something will depend on both valence and expectancy. Moreover, a motive to accomplish
some action might be determined by a desire to accomplish something else.
For example, a person might be willing to work hard to produce a product for a valence in the
form of pay. Or a manager might be willing to work hard to achieve company goals in
marketing or production for a promotion or pay valence.
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 THE VROOM THEORY AND PRACTICE:
One of the great attractions of the Vroom theory is that it recognizes the importance of
individual needs and motivations. It thus avoids some of the simplistic features of the Maslow
and Herzberg approaches. It does seem more realistic. It fits the concept of harmony of
objectives: individuals have personal goals that are different from organizational goals, but
these can be harmonized. Furthermore, Vroom’s theory is completely consistent with the system
of managing by objectives.
The strength of Vroom’s theory is also its weakness. His assumptions that perceptions of value
vary between individuals at different times and in different places appears to fit real life more
accurately. It is consistent also with the idea that a manager’s job is to design an environment
for performance, necessarily taking into account the differences in various situations. On the
other hand, the theory is difficult to apply in practice. Despite its difficulty in application, the
logical accuracy of Vroom’s theory indicates that motivation is much more complex than the
approaches of Maslow and Herzberg seem to imply.
 THE PORTER AND LAWLER MOTIVATION MODEL:
Lyman W. Porter and Edward E. Lawler derived a substantially more complete model of
motivation, built in large part on expectancy theory. In their study they applied this model
primarily to managers. It is summarized in the below figure.
28
As this model indicates, the amount of effort (the strength of motivation and energy exerted)
depends on the value of a reward plus the amount of energy a person believes is required and
the probability of receiving the reward. The perceived effort and probability of actually getting a
reward are, in turn, influenced by the experience of actual performance. Clearly, if people know
they can do a job or if they have done it, they have a better appreciation of the effort required
and know better the probability of getting a reward.
Actual performance in a job (the doing of task or the meeting of goals) is determined principally
by effort expended. But it is also greatly influenced by an individual’s ability (knowledge and
skills) to do the job and by his or her perception of what the required task is (the extent to which
the person understands the goals, required activities, and other elements of a task).
Performance, in turn, is seen as leading to intrinsic rewards (such as a sense of accomplishment
or self-actualization) and extrinsic rewards (such as working conditions and status). These
rewards by what the individual sees as equitable, lead to satisfaction. But performance also
influences sensed equitable rewards. Understandably, what the individual sees as a fair reward
for effort will necessarily affect the satisfaction desired. Likewise, the actual value of rewards
will be influenced by satisfaction.
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 EQUITY THEORY:
An important factor in motivation is whether individuals perceive the reward structure as being
fair. One way of addressing this issue is through the use of equity theory, which refers to an
individual’s subjective judgment about the fairness of the reward he or she gets, relative to the
inputs (which include many factors, such as effort, experience, and education), in comparison
with the rewards of others. J. Stacy Adams has received a great deal of credit for the
formulation of the equity (or inequity) theory. The essential aspect of the theory may be
expressed as follows:
There should be a balance of the outcomes/inputs relationship for one person in comparison
with that for another person.
If people feel that they are inequitably rewarded, they may be dissatisfied, they may reduce the
quantity or quality of output, or they may even leave the organization. If people perceive the
rewards as equitable, they probably will continue at the same level of output. If people think the
rewards are greater than what is considerable equitable, they may work harder. It is also
possible that some may discount the rewards.
These three situations are illustrated in the below figure:
One of the problems is that people may overestimate their own contributions and the rewards
others receive. Certain inequities may be tolerated for some time by employees. But prolonged
feelings of inequity may result in strong reactions to an apparently minor occurrence. For
example, an employee being reprimanded for being a few minutes late may get angry and
30
decide to quit the job, not so much because of the reprimand, but because of long-standing
feelings that the rewards for his or her contributions are inequitable in comparison with others’
rewards. Likewise, a person may be very satisfied with a weekly salary of $500 until he or she
finds out that another person doing similar work gets $10 more.
 GOAL SETTING THEORY OF MOTIVATION:
Research has shown that, to be effective, many key managerial activities have to be integrated
into a comprehensive system. Still, an important part of this system pertains to the steps
required, as shown in below figure. You will recall that the terms objectives and goals are often
used interchangeably in the management literature.
The proposition is that, for objectives to be meaningful, they must be clear, attainable and
verifiable. Indeed, clear goals, if accepted, are motivating. People want to know what is
expected of them. However, several conditions must be met including that the objectives must
be verifiable, which means that at the end of the period one must be able to measure whether the
objectives have been achieved and to what extent. Objectives such as “getting the best grades
possible in school” are not verifiable, but graduating with a 3.8 grade point average is. The
objectives must be challenging, yet they must also be reasonable. Completely unrealistic
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objectives that cannot be achieved are demotivating rather than motivating, which is an
important aim of MBO.
To gain commitment to achieving the goals, true participation in setting them is essential. In the
proper environment, individuals should be encouraged to set them by themselves. The superior,
of course, should review and approve them. Chances are that, in the proper environment, people
tend to set goals higher than their superior would set them.
 SKINNER’S REINFORCEMENT THEORY:
The psychologist B.F. Skinner of Harvard developed and interesting, but controversial,
technique for motivation. This approach, called positive reinforcement or behavior
modification, holds that individuals can be motivated by proper design of their work
environment and by praise for their performance and that punishment for poor performance
produces negative results.
Skinner and his followers do far more than praise good performance. They analyze the work
situation to determine what causes workers to act the way they do, and then they initiate
changes to eliminate troublesome areas and obstructions to performance. Specific goals are then
set with workers’ participation and assistance, prompt and regular feedback of results is made
available, and performance improvements are rewarded with recognition and praise. Even when
performance, does not equal goals, ways are found to help people and to praise them for the
good things they do. It has also been found highly useful and motivating to give people full
information on a company’s problems, especially those in which they are involved.
This technique sounds almost too simple to work, and many behavioral scientists and managers
are skeptical about its effectiveness. However, a number of prominent companies have found
the approach beneficial. Emery Air Freight Cooperation, for example, observed that this
approach saved the company a substantial amount of money by merely inducing employees to
take great pains to ensure that containers were proper and fully filled with small packages
before shipment.
Perhaps the strength of the Skinner approach is that it is so closely akin to the requirements of
good managing. It emphasizes removal of obstructions to performance, careful planning and
organizing, control through feedback, and the expansion of communication.
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4.3 SPECIAL MOTIVATIONAL TECHNIQUES:
After looking at the theories of motivation, one may well ask what they mean to managers.
What motivational techniques can managers use? While motivation is so complex and
individualized that there can be no single best answer, some of the major motivational
techniques can be identified.
 MONEY:
Money can never be overlooked as a motivator. Whether in the form of wages, piecework
(getting paid for units produced at a certain quality level) or any other incentive pay, bonuses,
stock options, company paid insurance, or any of the other things that may be given to people
for performance, money is important. And as some writers have pointed out, money is often
more than monetary value; it can also mean status or power, or other things.
Economist and most managers have tended to place money high on the scale of motivators,
while behavioral scientists tend to place it low. Probably neither view is right. But if money is
to be the kind of motivator that it can and it should be, managers must remember several things.
First money, as money, is likely to be more important to people who are raising a family, for
example, than to people who have “arrived” in the sense that their financial needs are not so
urgent. Money is an urgent means of achieving a minimum standard of living, although this
minimum has a way of getting higher as people become more affluent. An individual who was
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once satisfied with a small house and a low-priced car may now be able to derive the same
satisfaction only from a large and comfortable house and a fairly luxurious automobile. And yet
it is possible to generalize even in these terms.
Secondly, it is probably quite true that in most kinds of business and other enterprises, money is
used as a means of keeping an organization adequately staffed and not primarily as a motivator.
Enterprises usually make wages and salaries competitive within their industry and their
geographic area to attract and hold people.
Third, money as a motivator tends to be dulled somewhere by the practice of making the
salaries of the various managers in a company reasonably similar. In other words, organizations
often take great care to ensure that people on comparable levels are given the same, or nearly
the same, compensation. This is understandable, since people usually evaluate their
compensation in light of what their equals are receiving.
Fourth, if money is to be an effective motivator, people in various positions, even though at a
similar level, must be given salaries and bonuses that reflect their individual performance. Even
if a company is committed to the practice of comparable wages and salaries, a well-managed
firm need never bound to the same practice with respect to bonuses. In fact, it appears that,
unless bonuses for managers are based to major extent on individual performance, an enterprise
is not buying much motivation with them. The way to ensure that money has a meaning, as a
reward for accomplishment and as a means of giving people pleasure from accomplishment, is
to base compensation as much as possible on performance. It is almost certainly true that money
can motivate only when the prospective payment is large relative to a person’s income. The
trouble with many wage and salary increases, and even bonus payments, is that they are not
large enough to motivate the receiver. They may keep the individual from being dissatisfied and
from looking for another job, unless they are large enough to be felt.
Traditionally, pay and promotion in Japan are based on seniority.
However, in some Japanese companies, merit pay has been introduced. The reason is that some
young Japanese professionals are leaving secure positions for exciting work in Internet
companies. In order to keep employees, companies use merit pay based on performance.
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 OTHER REWARDS CONSIDERATIONS:
Implicit in most motivation theories are intrinsic and extrinsic rewards. Intrinsic rewards may
include a feeling of accomplishment, or even self-actualization. Extrinsic rewards include
benefits, recognition, status symbols, and of course money. Some compensation plans may not
provide a strong incentive, such as the hourly, weekly, or even annual salary. On the other hand,
incentive plans may be based on piecework, sales commission, merit pay, bonus plans, profit or
gain (e.g.-productivity gain) sharing, and stock options. Some companies offer “cafeteria”
compensation plans tailored to the needs and preferences of the individual employee.
The pay may be based on individual, group, and organizational performance. When the pay is
based solely on individual performance, people may compete against each other, which may
make teamwork and cooperation difficult.
On the other hand, if group performance is the sole criterion for merit pay, some individuals
may not contribute their fair share of effort. Considering organizational performance as a
criterion of bonuses, reward system is based on the notion that employees contributed to the
outstanding performance and therefore should be rewarded. To realize the benefits of
individual, group, and organizational reward systems, some companies use a combination of
plans.
 PARTICIPATION:
There is increased awareness and use of a technique that has been given strong support by
motivation theory and research, and that is participation. Only rarely are people not motivated
by being consulted on action affecting them- by being “in on the act”. In addition, most people
at the center of an operation have knowledge both of problems and of solutions to them. As a
consequence, the right kind of participation yields both motivation and knowledge valuable for
enterprise success.
Participation is also a means of recognition. It appeals to the need for affiliation and acceptance.
Above all, it gives people a sense of accomplishment. But encouraging participation should not
mean that managers weaken their position. Although they encourage participation of
subordinates on matters with which the latter can help, and although they listen carefully, they
must themselves decide on matters requiring their decisions.
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 QUALITY OF WORK LIFE:
One of the most interesting approaches to motivation is the quality of working life (QWL)
program, which is a system approach to job design and a promising development in the broad
area of job enrichment, combined with grounding in the sociotechnical systems approach to
management.
QWL, is not only a very broad approach to job enrichment but also an interdisciplinary field of
enquiry and action combining industrial and organizational psychology and sociology,
industrial engineering, organization theory and development, motivational and leadership
theory, and industrial relations.
QWL has received enthusiastic support from a number of sources. Managers have regarded it as
a promising means of dealing with stagnating productivity, especially in the United States and
Europe. Workers and union representatives have also seen it as a means of improving working
conditions and productivity and as a means of justifying higher pay. Government agencies have
been attracted to QWL, as a means of increasing productivity and reducing inflation and as a
way of obtaining industrial democracy and minimizing labor disputes.
It is no wonder that QWL, with such possible important yields, has just spreading fast,
especially in larger companies. Nor is it a surprise that leaders in adopting QWL, programs
should be such well-managed companies as General Motors, Procter and Gamble, American
Aluminum (ALCOA), and AT & T.
4.4 JOB ENRICHMENT:
Research on analysis of motivation point out the importance of making job challenging and
meaningful. This applies to the jobs of managers as well as to those of non-managers.
Job enrichment is related to Herzberg’s theory of motivation, in which factors such as
challenge, achievement, recognition, and responsibility are seen as the real motivators.
Even though his theory has not gone unchallenged, it has led to widespread internet worldwide
in developing ways to enrich job content, particularly for non-managerial employees.
Job enrichment should be distinguished from job enlargement (but some authors do not make
this distinction), Job enlargement attempts to make a job more varied by removing the dullness
associated with performing repetitive operations. It means enlarging the scope of the job by
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adding similar tasks without enhancing responsibility. For example, a production line worker
may install not only the bumper on a car but also the front hood. Critics would say that this is
simply adding one dull job to another, since it does not increase the worker’s responsibility.
In job enrichment, the attempt is to build into jobs a higher sense of challenge and achievement.
Jobs may be enriched by varieties. But they also may be enriched by (1) giving workers more
freedom in deciding about such things at work methods, sequence, and place or the acceptance
or rejection of materials; (2) encouraging participation of subordinates and interaction between
workers; (3) giving workers a feeling of personal responsibility for their tasks; (4) taking steps
to make sure that workers can see how their tasks contribute to a finished product and to the
welfare of the enterprise; (5) giving people feedback on their job performance, preferably before
their supervisors get it; and (6) involving workers in the analysis and change of physical aspects
of the work environment, such as the layout of the office or plant, temperature, lighting, and
cleanliness.
4.5 LIMITATIONS OF JOB ENRICHMENT:
Even the strongest supporters of job enrichment readily admit that there are limitations in its
application. One of these is technology, with specialized machinery and assembly line
techniques; it may not be possible to make all the jobs very meaningful. Another limitation is
costs.
General Motors tried six person and three person teams in the assembly of motor homes but
found that this approach was too difficult, slow, and costly. On the other hand, two Swedish
auto manufacturers, Saab and Volvo, have used the team approach and have found costs to be
only slightly higher, and they believe that this increase is more than offset by reduction in
absenteeism and turnover.
There is also some question as to whether workers really want job enrichment, especially of the
kind that changes the basic content of their jobs. Various surveys of worker attitudes, even the
attitudes of assembly line workers, have shown that a high percentage of workers are not
dissatisfied with their jobs and that few want “more interesting” jobs.
What these workers seem to want above all is job security and pay. Moreover, workers are
concerned that changing the nature of tasks to increase productivity may mean a loss of jobs.
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The limitations of job enrichment apply mainly to low-skill jobs. The jobs of highly skilled
workers, professionals, and managers already contain varying degrees of challenge and
accomplishment. Perhaps they could still be enriched considerably more than they are. But this
can probably be done best by management techniques such as management by objectives,
utilizing more policy guidance with delegation of authority.
4.6 MAKING JOB ENRICHMENT EFFECTIVE:
Several approaches can be used to make job enrichment appeal to higher-level motivations.
First organizations need a better understanding of what people want. As a number of motivation
researchers have painted out, wants vary with people and situations. Research has shown that
workers with few skills want such factors as job security, pay, benefits, less restrictive rules,
and more sympathetic and understanding supervisors. As people move up the ladder in an
enterprise, they find that other factors become increasingly important. But little job enrichment
research has been done on high level professionals and managers.
Second, if productivity improvement is the main goal of enrichment, the program must show
how workers will benefit. In one company with fleets of unsupervised two-person service
trucks, a program of giving these employees 25 percent of the cost savings from increased
productivity, while still making it clear that the company would profit from their efforts,
resulted in a startling rise in output and a much greater interest in these jobs.
Third, people like to be involved, to be consulted, and to be given an opportunity to offer
suggestions. They like to be considered as people. In one aerospace missile plant, increased
morale and productivity, as well as greatly reduced turnover and absenteeism, resulted from the
simple technique of having all employees’ names on placards at their workstations and having
each program group- from parts production and assembly to inspection- work in an area in
which machines and equipment were painted a different color for each group.
Fourth, people like to feel that their managers are truly concerned with their welfare. Workers
like to know what they are doing and why. They like feedback on their performance. They like
to be appreciated and recognized for their work.
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4.7 A SYSTEM AND CONTINGENCY APPROACH TO MOTIVATION:
The foregoing analysis of theory, research, and application demonstrates that motivation must
be considered from a systems and contingency point of view. Given the complexity of
motivating people with individual personalities and in different situations, the risk of failure
exists when any single motivator, or group of motivators, is applied without taking into account
these variables.
Human behavior is not a simple matter but must be looked upon as a complex system of
variables and interactions of which certain motivating factors are an important element.
4.8 SUMMARY:
Motivation is not a simple concept; rather, it pertains to various drives, desires, needs, wishes,
and other forces. Managers motivate by providing an environment that includes organization
members to contribute.
There are different views and assumptions about human nature. McGregor called his sets of
assumption about people Theory X and Theory Y. Maslow’s theory holds that human needs
form a hierarchy range from the lowest-order needs (physiological needs) to the highest-order
need (the need for self-actualization). Alderfer’s ERG Theory, which has only three categories
(Maslow has five), suggests that a person may be motivated in more than one category at the
same time.
According to Herzberg’s two factor theory, there are two sets of motivating factors. In one set
are the dis-satisfiers, which are related to the job context (circumstances, conditions). The
absence of these factors results in dissatisfaction. In the other set are the satisfiers, or
motivators, which are related to the content of the job.
Vroom’s expectancy theory of motivation suggests that people are motivated to reach a goal if
they think that the goal is worthwhile and they can see that their activities will help them
achieve the goal. The Porter and Lawler model has many variables. Essentially, performance is
a function of ability, the perception of the task required, and effort. Effort is influenced by the
value of rewards and the perceived effort-reward probability. Performance accomplishment, in
turn, is related to rewards and satisfaction.
39
Equity theory refers to an individual’s subjective judgement about the fairness of the reward
received for inputs in comparison with the rewards of others. Skinner’s Reinforcement Theory
suggests that people are motivated by praise for desirable behavior; people should participate in
setting their goals, and should receive regular feedback with recognition and praise. Goals can
motivate if they are attainable, verifiable and understood and accepted by the people who have to
achieve them. McClelland’s theory is based on the need for power, the need for affiliation, and
the need for achievement.
Special motivational techniques include using money and other rewards consideration,
encouraging participation, and improving the quality of work life. Job enrichment aims at
making jobs challenging and meaningful. Although there have been some success at job
enrichment, certain limitations must not be overlooked.
4.9 ORGANIZATIONAL PROFILE
Western International Group is a multifaceted holding group comprising of several verticals and
businesses that spread over more than half the world.
The Group is a diversified business conglomerate, which owns and manages several brands like
GEEPAS (Electronics Products), NESTO (Retail Chain with several Hypermarkets and
Department stores in the region), ROYALFORD (Household Products), YOUNGLIFE
(Garments & Innerwear), BABYPLUS (Baby Products), PARAJOHN (Luggage and Travel
Accessories), BRANDZONE (Fashion and Household Retailer), OLSENMARK (Electronics
Products), etc. and has been, in a span of 35 years, able to build a strong presence in the market.
WIG employs over 12,000 personnel from over 15 nationalities in 10 countries. Headquartered
in Dubai, the group has over the years diversified into very many business enterprises. Having
originated in the Kingdom of Bahrain, the group is firmly rooted in the Middle East, Africa,
South East Asia and Europe with new brands and divisions being added to the portfolio every
often.
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GEEPAS is the flagship brand of the group, which was introduced in the year 1984 as a modest
business in the country of Bahrain. Now the group has a wide network of offices in UK, UAE,
Bahrain, Saudi Arabia, Qatar, Kuwait, Oman, China and India. The Group’s products are
exported to over 90 countries in like European Union, Africa, Middle East, CIS Countries and
many others through its distributor and dealer network.
With the expertise and vision of its Senior Management, Western International Group is focused
to give its customer the best deals in their daily needs of life.
VISION & MISSION OF WESTERN INTERNATIONAL GROUP:
VISION:
“To be a global leader by revolutionizing affordable solutions that touch and enhances lives of
over 5 billion people”
MISSION:
“Providing Innovative and Affordable solutions to meet the needs of consumers in everyday life;
WIG improves quality of life and enhances value of Investors, Employees, Suppliers and
Customers Globally”.
 To be trusted as a company that focuses on technology, precision and innovation.

 To satisfy our customers by exceeding their expectations and offering them quality products
at a competitive cost.
 To be a model corporation providing sustainable growth opportunities for our employees.
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5. RESEARCH METHODOLOGY
Research is a systematic method of finding solutions to problems. It is essentially an

investigation, a recording and an analysis of evidence for the purpose of gaining knowledge.
According to Clifford Woody, “research comprises of defining and redefining problems,
conclusions, testing conclusions to determine whether they fit the formulated hypothesis”.
5.1 RESEARCH HYPOTHESIS
HYPOTHESIS 1:
HO: There is no relation between motivation and employee satisfaction.
H1: There is a relation between motivation and employee satisfaction. (Claim)
HYPOTHESIS 2:
HO: High morale and high productivity has no direct relation with motivation.
H1: High morale and high productivity has direct relation with motivation. (Claim)
HYPOTHESIS 3:
HO: Non-financial rewards are not related with effect from employee performance on employee
motivation.
H1: Non-financial rewards are related with effect from employee performance on employee
motivation. (Claim)
HYPOTHESIS 4:
HO: Motivation has no direct impact on promotion.
H1: Motivation has direct impact on promotion. (Claim)
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5.2 RESEARCH MODEL
A research model is a diagrammatic representation of the variables selected in the research to

study. There are four variables selected for the research based on financial rewards, non-financial
rewards, employee satisfaction, employee morale & productivity. The impact of these variables
on motivation of employee performance is evaluated by the researcher.
Employee
morale &
High
productivity
motivation
Employee Financial
on employee
satisfaction rewards
performance
Non financial
rewards
RESEARCH PLAN
A Research Design is the framework or plan for a study which is used as a guide in collecting
and analyzing the data collected. It specifies the methods and procedures for acquiring the
information needed to conduct the research effectively. A research design provides a rational
approach to research enabling one to decide in advance what to do, how to do, in investigating
the subjects. A research design is a “Blue Print” for collection, measurement and analysis of
data. It outlines how the research will be carried out. Questionnaire has been used to collect data
from the respondents; a sample size was collected.
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5.3 SAMPLING PLAN
It includes sample location, sampling frame, sampling unit and sample size. When you collect
any sort of data, especially quantitative data, whether observational, through surveys or from
secondary data, you need to decide which data to collect and from whom. This is called the
sample. A sample is a subset of the population being studied.
Sample Size: Number of the sampling units selected from the population is called the size of the
sample. Data will be collected from 30 respondents of the population.
Sample Location: Western International Group L.L.C.
Sampling technique implies the method of choosing the sample items, the two methods of
selecting sample are:
1. “Probability method” is those in which every item of the universe has an equal chance of
the inclusion in the sample.
2. “Non- probability methods” are those that do not provide every item in the universe with
known cause of being included in the sample. The selection process is partially
subjective.
In this project, samples were collected in probability method.
Method of data collection: The study employed both qualitative and quantitative research
approach. There are two types of data used. They are primary and secondary data. Primary Data
will be collected from employees using measuring instrument in the form of a structured
questionnaire, interviews after seeking prior consent from respondents to participate in the
study/survey. Secondary data’s are in the form of finished products as they have already been
treated statistically to some form or other and will be collected through the records of western
international L.L.C, Internet, journals and published data of western international L.L.C.
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5.4 RESEARCH PROCEDURE
The time frame of research: 6 Months
Statistical tool used for the research: MS-EXCEL will be used to prepare charts and graphs and
MS-WORD will be used to prepare or write the whole project. The statistical techniques which
are expected to be used for the purpose of data analysis are chi-square test and Fisher's Exact
Test.
Software: SPSS Statistics 17.0.
Data analysis and Interpretation: The data collected were grouped into research characteristics
and further subjected to segmentation and then scores (frequency) were obtained by using tall
bar. The frequency and percentage are presented in tables, graphs and chart.
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6. DATA ANALYSIS & INTERPRETATION
6.1: FREQUENCY TABLES AND GRAPHS:
Table 1: Gender
Gender
Frequency Percent Valid Percent Cumulative Percent
Valid Male 26 86.7 86.7 86.7
Female 4 13.3 13.3 100.0
Total 30 100.0 100.0
Graph 1: Gender
Interpretation:
From the table, it is clear that 86.7% of the respondents are male and 13.3% of them are females.
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Table 2: Age
Age
Valid 18 to 25 12 40.0 40.0 40.0
25 to 40 15 50.0 50.0 90.0
40 and above 3 10.0 10.0 100.0
Total 30 100.0 100.0
Graph 2: Age
Interpretation:
From the table, we can understand that an age group of 18-25 has 40% of respondents, age group
of 25-40 has 50% and above 40-age group has 10% of respondents.
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Table 3: Marital Status
Marital status
Valid Married 17 56.7 56.7 56.7
Unmarried 13 43.3 43.3 100.0
Total 30 100.0 100.0
Graph 3: Marital Status
Interpretation:
From the above table, we can understand that 56.7% of respondents are married and 43.3% are
either unmarried, single or divorce.
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Table 4: Nationality
Nationality
Valid Indian 25 83.3 83.3 83.3
Pakistani 4 13.3 13.3 96.7
If others, please specify 1 3.3 3.3 100.0
Total 30 100.0 100.0
Graph 4: Nationality
Interpretation
From the above table, we conclude that 83.3% of respondents are Indian, 13.3% are Pakistani
and 3.3% are from other countries.
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Table 5: How long have you been working in the organization?
How long have you been working in the organization?

Valid Less than 5 years 23 76.7 76.7 76.7
5 to 10 years 5 16.7 16.7 93.3
Above 10 years 2 6.7 6.7 100.0
Total 30 100.0 100.0
Graph 5: How long have you been working in the organization?
Interpretation:
From the above table, we can say that 76.7% of respondents worked less than 5 years, 5 to 10
years 16.7% and above 10 years 6.7%.
50
Table 6: Designation
Your designation: (please specify)
Valid Top level management 1 3.3 3.3 3.3
Middle level management 14 46.7 46.7 50.0
Lower level management 10 33.3 33.3 83.3
Non-management 5 16.7 16.7 100.0
Total 30 100.0 100.0
Graph 6: Designation
Interpretation
From the table, we can say that 3.3% of respondents are from top level management,
46.7% from middle level management, 33.3% from low level management and 16.7% from non-
management.
51
Table 7: Are you motivated with your job?
Are you motivated with your job?
Valid Yes 16 53.3 53.3 53.3
No 14 46.7 46.7 100.0
Total 30 100.0 100.0
Graph 7: Are you motivated with your job?
Interpretation
From the table, we can say that 53.3% of respondents are motivated and 46.7% are not
motivated.
52
Table 8: Are you motivated to perform in your full potential and capacity to the best of
your organization?
Are you motivated to perform in your full potential and capacity to the best of your
organization?
Valid Always 21 70.0 70.0 70.0
Sometimes 9 30.0 30.0 100.0
Total 30 100.0 100.0
Graph 8: Are you motivated to perform in your full potential and capacity to the best of
your organization?
Interpretation
From the above table, we can conclude that 70% of respondents answered always and rest 30%
answered sometimes.
53
Table 9: How are you motivated to perform in your job?
How are you motivated to perform in your job?
Valid Training and development 3 10.0 10.0 10.0
Incentives 8 26.7 26.7 36.7
Promotion 12 40.0 40.0 76.7
Increment 7 23.3 23.3 100.0
Total 30 100.0 100.0
Graph 9: How are you motivated to perform in your job?
Interpretation
From the table, 10% answered training and development, 26.7% answered incentives, 40%
answered promotion and 23.3% answered increment.
54
Table 10: How optimistic do you feel about your future success with the company?
How optimistic do you feel about your future success with the company?
Valid Too much 15 50.0 50.0 50.0
Little 14 46.7 46.7 96.7
Not at all 1 3.3 3.3 100.0
Total 30 100.0 100.0
Graph 10: How optimistic do you feel about your future success with the company?
Interpretation
From the table, we can say that 50% of them answered too much, 46.7% of them answered little
and 3.3% of them answered not at all.
55
Table 11: How well do you think you are appreciated at your work place?
How well do you think you are appreciated at your work place?
Valid 5 6 20.0 20.0 20.0
4 13 43.3 43.3 63.3
3 8 26.7 26.7 90.0
2 3 10.0 10.0 100.0
Total 30 100.0 100.0
Graph 11: How well do you think you are appreciated at your work place?
Interpretation:
From the above table, we conclude that respondents who feel appreciated at 5 are 20%, at 4 are
43.3%, at 3 are 26.7% and at 2 are 10%.
56
Table 12: How well do you think the following aspects run at your workplace, so that they
boost your motivation?
How well do you think the following aspects run at your workplace, so that they boost your
motivation:
Valid Money 9 30.0 30.0 30.0
Benefits 10 33.3 33.3 63.3
Promotion 9 30.0 30.0 93.3
Recognition 2 6.7 6.7 100.0
Total 30 100.0 100.0
Graph 12: How well do you think the following aspects run at your workplace, so that they
boost your motivation?
Interpretation
From the table, we can conclude that aspect of money is 30%, benefits 33.3%, promotion 30%
and recognition 6.7%.
57
Table 13: Fair and equitable remuneration increases the morale and productivity?
Fair and equitable remuneration increases the morale and productivity?
Valid Yes 15 50.0 50.0 50.0
No 15 50.0 50.0 100.0
Total 30 100.0 100.0
Graph 13: Fair and equitable remuneration increases the morale and productivity?
Interpretation
From the table, we can say that 50% of respondents said yes and other 50% said no.
58
Table 14: Do you think the use of well established procedures helps in redressing employee
grievances in your organization?
Do you think the use of well established procedures helps in redressing employee grievances
in your organization?
Valid Yes 21 70.0 70.0 70.0
No 9 30.0 30.0 100.0
Total 30 100.0 100.0
Graph 14: Do you think the use of well established procedures helps in redressing
employee grievances in your organization?
Interpretation
From the table, we can say that 70% of the respondents said yes and other 30% said no.
59
Table 15: Which structure your company follows?
Which structure your company follows?
Valid Tall Structure 30 100.0 100.0 100.0
Graph 15: Which structure your company follows?
Interpretation
From the above table, we can conclude that the company follows only tall structure.
60
Table 16: How is your relationship with managers and other heads in terms of
How is your relationship with managers and other heads in terms of communication and
exchange of ideas?
Valid Close Relationship 23 76.7 76.7 76.7
Not so close 7 23.3 23.3 100.0
Total 30 100.0 100.0
Graph 16: How is your relationship with managers and other heads in terms of
Interpretation
From the above table, we can say that 76.7% of respondents have close relationship with
managers and other 23.3% are not so close.
61
Table 17: The sound human right practices like safety measures, discipline rules, welfare
activities, equal compensation, etc. helps to build morale in the employees?
The sound human right practices like safety measures, discipline rules, welfare activities,
equal compensation, etc. helps to build morale in the employees?
Valid Yes 24 80.0 80.0 80.0
No 6 20.0 20.0 100.0
Total 30 100.0 100.0
Graph 17: The sound human right practices like safety measures, discipline rules, welfare
Interpretation
From the above table, we can say that 80% of them said yes and other 20% of them said no.
62
Table 18: Do you think that high status or position of an employee plays an important role
in motivating an employee?
Do you think that high status or position of an employee plays an important role in motivating
an employee?
Valid Yes 21 70.0 70.0 70.0
No 9 30.0 30.0 100.0
Total 30 100.0 100.0
Graph 18: Do you think that high status or position of an employee plays an important role
in motivating an employee?
Interpretation
From the table, we can conclude that 70% of the respondents said yes and other 30% said no.
63
Table 19: Do you feel motivated to work in a team?
Do you feel motivated to work in a team?
Valid Always 16 53.3 53.3 53.3
Sometimes 11 36.7 36.7 90.0
Never 3 10.0 10.0 100.0
Total 30 100.0 100.0
Graph 19: Do you feel motivated to work in a team?
Interpretation
From the above table, we can say that 53.3% of the respondents always feel motivated to work in
a team, 36.7% feel sometimes, 10% of them feel never.
64
Table 20: Is there a healthy competition among the employees in your company which
encourages the people to work harder?
Is there a healthy competition among the employees in your company which encourages
the people to work harder?
Valid Yes 29 96.7 96.7 96.7
No 1 3.3 3.3 100.0
Total 30 100.0 100.0
Graph 20: Is there a healthy competition among the employees in your company which
Interpretation
From the above table, we can conclude that 96.7% of the respondents said yes and 3.3% of them
said no.
65
Table 21: Do you think that job security plays an important role in motivating the
Do you think that job security plays an important role in motivating the employees than the
income?
Valid Yes 27 90.0 90.0 90.0
No 3 10.0 10.0 100.0
Total 30 100.0 100.0
Graph 21: Do you think that job security plays an important role in motivating the
Interpretation
From the table, we can conclude that 90% of the respondents said yes and 10% of them said no.
66
Table 22: Does your company makes you participate in decision making process?
Does your company makes you participate in decision making process?
Valid Always 12 40.0 40.0 40.0
Sometimes 17 56.7 56.7 96.7
Never 1 3.3 3.3 100.0
Total 30 100.0 100.0
Graph 22: Does your company makes you participate in decision making process?
Interpretation
From the table, we can say that 40% of the respondents said always, 56.7% said sometimes and
3.3% said never.
67
Table 23: Do you feel recognition of work motivates the employees?
Do you feel recognition of work motivates the employees?
Valid Yes 16 53.3 53.3 53.3
No 14 46.7 46.7 100.0
Total 30 100.0 100.0
Graph 23: Do you feel recognition of work motivates the employees?
Interpretation
From the above table, we can conclude that 53.3% of the respondents feel motivated by
recognition, and other 46.7% are not motivated by recognition.
68
Table 24: How interesting is your job when it comes to performing a task?
How interesting is your job when it comes to performing a task?
Valid Very 11 36.7 36.7 36.7

Interesting
Average 18 60.0 60.0 96.7
Not Interesting 1 3.3 3.3 100.0
Total 30 100.0 100.0
Graph 24: How interesting is your job when it comes to performing a task?
Interpretation
From the table, we can say that 36.7 of the respondents found it very interesting, 60% found it to
be average and other 3.3% found it not so interesting.
69
Table 25: How often your company gives promotion to its employees?
How often your company gives promotion to its employees?
Valid Yearly 18 60.0 60.0 60.0
Half Quarterly 10 33.3 33.3 93.3
Quarterly 2 6.7 6.7 100.0
Total 30 100.0 100.0
Graph 25: How often your company gives promotion to its employees?
Interpretation
From the above table, we can conclude that 60% of the respondents said yearly, 33.3% of them
said half quarterly, 6.7% of them said quarterly.
70
Table 26: Did you get chance to get promoted?
Did you get chance to get promoted?
Valid Yes 23 76.7 76.7 76.7
No 7 23.3 23.3 100.0
Total 30 100.0 100.0
Graph 26: Did you get chance to get promoted?
Interpretation
From the above table, we can conclude that 76.7% of the respondents got chance to be promoted
and 23.3% of them did not get chance.
71
Table 27: Do you agree promotion increases responsibilities, prestige and power?
Do you agree promotion increases responsibilities, prestige and power?
Valid Yes 28 93.3 93.3 93.3
No 2 6.7 6.7 100.0
Total 30 100.0 100.0
Graph 27: Do you agree promotion increases responsibilities, prestige and power?
Interpretation
From the table, we can say that 93.3%of the respondents said yes and 6.7% of them said no.
72
Table 28: Do you think that good performance leads to promotion every time?
Do you think that good performance leads to promotion every time?
Valid Always 16 53.3 53.3 53.3
Never 14 46.7 46.7 100.0
Total 30 100.0 100.0
Graph 28: Do you think that good performance leads to promotion every time?
Interpretation
From the table, we can say that 53.3% of the respondents said always and 46.7% of them said
never.
73
Table 29: Can you say that you are fairly satisfied with my job?
Can you say that you are fairly satisfied with my job?
Valid Yes 17 56.7 56.7 56.7
No 13 43.3 43.3 100.0
Total 30 100.0 100.0
Graph 29: Can you say that you are fairly satisfied with my job?
Interpretation
From the table, we can conclude that 56.7% of the respondents are satisfied with their job and
43.3% of them are not satisfied.
74
6.2: Cross Tabulation
6.2.1: Age and Team
Do you feel motivated to work in a team? * Age test Cross tabulation
Age test
18 to 25 25 to 40 40 and above Total
Do you feel motivated Always Count 8 6 2 16

to work in a team? % within Age test 66.7% 40.0% 66.7% 53.3%
Sometimes Count 3 8 0 11
% within Age test 25.0% 53.3% .0% 36.7%
Never Count 1 1 1 3
% within Age test 8.3% 6.7% 33.3% 10.0%
Total Count 12 15 3 30
% within Age test 100.0% 100.0% 100.0% 100.0%
Findings
Majority of employees in age group of 18 to 25 always feel motivated, 25 to 40 sometimes feel
motivated at work and 40 and above never feel motivated at work.
75
6.2.2 Competition and Task
Is there a healthy competition among the employees in your company which encourages the people to work
harder? * How interesting is your job when it comes to performing a task? Cross tabulation
How interesting is your job when it

comes to performing a task?
Very Not
Interesting Average Interesting Total
Is there a healthy competition Yes Count 11 17 1 29

among the employees in your
company which encourages the % within How 100.0% 94.4% 100.0% 96.7%
people to work harder? interesting is your job
when it comes to
performing a task?
No Count 0 1 0 1
% within How .0% 5.6% .0% 3.3%

interesting is your job
when it comes to
performing a task?
% within How 100.0% 100.0% 100.0% 100.0%

interesting is your job
when it comes to
performing a task?
76
Findings
Majority of people who said there is healthy competition in the company found the competition
to be average interesting in performing their job.
77
6.2.3 Age and Optimistic
Age test * How optimistic do you feel about your future success with the company? Cross
tabulation
How optimistic do you feel about

your future success with the
company?
Too much Little Not at all Total
Age test 18 to 25 Count 6 5 1 12
% within How optimistic do you 40.0% 35.7% 100.0% 40.0%

feel about your future success
with the company?
25 to 40 Count 8 7 0 15
% within How optimistic do you 53.3% 50.0% .0% 50.0%

with the company?
40 and Count 1 2 0 3
above % within How optimistic do you 6.7% 14.3% .0% 10.0%
with the company?
% within How optimistic do you 100.0% 100.0% 100.0% 100.0%

with the company?
78
Findings
Majority of people in the age group of 18 to 25 and 25 to 40 are too much optimistic about the
future success of the company. Majority of people in 40 and above were little optimistic about
the future success with the company.
79
6.2.4 Marital Status and Full Potential
Marital status test * Are you motivated to perform in your full potential and capacity to the best
of your organization? Cross tabulation
Are you motivated to perform
in your full potential and
capacity to the best of your
organization?
Always Sometimes Total
Marital status test Married Count 13 4 17
% within Are you 61.9% 44.4% 56.7%

motivated to perform in
your full potential and
capacity to the best of
your organization?
Unmarried Count 8 5 13
% within Are you 38.1% 55.6% 43.3%

your organization?
Total Count 21 9 30
% within Are you 100.0% 100.0% 100.0%

your organization?
80
Findings
Majority of married as well as unmarried people found themselves always motivated to perform
in their full potential and capacity to the best of their organization.
81
6.3 HYPOTHESIS TESTING
Hypothesis 1
HO: There is no relation between motivation and employee satisfaction.

H1: There is a relation between motivation and employee satisfaction. (Claim)
82
Chi-Square Tests
Asymp. Sig. Exact Sig. (2- Exact Sig. (1-

Value df (2-sided) sided) sided)
Pearson Chi-Square 4.693a 1 .030

Continuity Correctionb 3.229 1 .072
Likelihood Ratio 4.810 1 .028
Fisher's Exact Test .063 .035
Linear-by-Linear 4.537 1 .033
Association
N of Valid Cases 30
a. 0 cells (.0%) have expected count less than 5. The minimum expected count is 7.00
b. Computed only for a 2x2 table
P – Value = 0.030
Level of significance, α = 0.05 {assumed}
P –value < α
Therefore, reject Ho.
Findings
There is evidence to support the claim that there is a significant relation between motivation and
employee performance.
83
Hypothesis 2
HO: High morale and high productivity has no direct relation with motivation.
H1: High morale and high productivity has direct relation with motivation. (Claim)
84
Chi-Square Tests
Asymp. Sig. Exact Sig. Exact Sig.

Value df (2-sided) (2-sided) (1-sided)
Pearson Chi-Square 4.821a 1 .028

Continuity Correctionb 3.348 1 .067
Likelihood Ratio 4.963 1 .026
Linear-by-Linear 4.661 1 .031
Association
N of Valid Cases 30
P – Value = 0.028
P – Value < α Therefore, reject Ho.
Findings
There is evidence to support the claim that there is a significant relation between motivation and
employee performance.
85
Hypothesis 3
HO: Non-financial rewards are not related with effect from employee performance on employee
motivation.
H1: Non-financial rewards are related with effect from employee performance on employee
motivation. (Claim)
86
Chi-Square Tests

Pearson Chi-Square .010a 1 .919

Continuity Correctionb .000 1 1.000
Likelihood Ratio .010 1 .919
Fisher's Exact Test 1.000 .610
Linear-by-Linear .010 1 .921
Association
N of Valid Cases 30
P – Value = 0.919
P – Value ˃ α
Therefore, accept Ho.
Findings
There is no evidence to support the claim that there is a significant relation between motivation
and employee performance.
87
Hypothesis 4
HO: Motivation has no direct impact on promotion.

H1: Motivation has direct impact on promotion. (Claim)
88
Chi-Square Tests

Pearson Chi-Square .433a 1 .510

Continuity Correctionb .078 1 .781
Likelihood Ratio .433 1 .510
Linear-by-Linear .419 1 .518
Association
N of Valid Cases 30
b. Computed only for a 2x2 table P – Value = 0.510
Level of significance = 0.05 {assumed}
P – Value > α
Therefore, Accept H0.
Findings
There is no evidence to support the claim that there is a significant relation between motivation
and employee performance.
89
7. RESULTS AND DISCUSSION
The project was aimed at measuring level of motivation among the employees of Western
International Group. The correlation between tested variables and job satisfaction was tested
using hypothesis from the primary data collected from 30 respondents. Majority of the
respondents were found to be males with 86.7% while the female counterpart comprised 13.3%.
There was no gender discrimination in selecting respondents since the participants were collected
randomly. 83.3% of the respondents were Indians and 13.3% were Pakistanis and 3.3% were
from other countries. The study revealed both negative and positive aspects of the organization.
 One of the important aspect to boost motivation is benefits (33.3%) followed by money and
promotion (30% each) which concludes extra benefits to employees plays an important role
in motivation.
 Employees feel they are appreciated at their workplace and this makes close to 50%
employees motivated to do their job when appreciated.
 Another important aspect is the competition in organization which encourages employees to
work hard. 90% employees feel motivated when there is competition.
 70% employees say that high status and position motivates them.
 90% employees are of the opinion that job security is much more important than income to
motivate employees.
 Again promotion, power, prestige leads to motivation. (93.3%)
 It can be concluded that company gives promotion on yearly basis and 76.7% employees feel
that their chance of getting promoted are there because of motivation, recognition and
appreciation.
 From crosstabs we can conclude that young age group (18-25) constituting 40% of the
organization is always motivated to work in a team.
 Age groups (18-25) are more optimistic about the job.
 Married people (majority 56.7%) put in their full potential to their job as responsibility is
more on them.
 About 50% of employees are motivated with the job and give their full potential but most of
them perform well because of promotion factor which is high in the company.
90
 The company has (76%) employees who have been working in the company for less than 5
years. This shows people have less experience with the company. 40% are 18-25 years and
50% are 25-30 age groups, which show company has more young employees. Top
management consist of 3.3% employees with age group 40 and above with above 10 years of
experience. (6.7%)
 Middle management and lower management constitutes 80% of the employees in the
company who are enthusiastic and motivated to do their job.
8. SUGGESTIONS AND RECOMMENDATIONS
The chapter presents the summary of the findings of the study for the previous chapters. This
chapter includes recommendations for the study, and areas of further research suggested.
 The study shows that the employees working in the organization have less experience so
there should be exit interviews conducted to know the reason why people leave their job.
 Age group of 25-40, 40 and above is not much optimistic about their future with the
company, so corrective measures are to be taken to make them feel optimistic.
 There should be good motivational techniques used to motivate the employees of age group
25-40, 40 and above because the study shows that they feel less motivated.
 Promotion is the main basis for motivation and it should be done in company half yearly or
quarterly so that people get more motivated towards the company.
 People are more inclined towards job security and that is major motivational factor than
income so income should be given in a proper way but along with that there should be job
security and attrition state should be more so that employees stay for a long time.
91
9. LIMITATIONS AND SCOPE OF FUTURE RESEARCH
LIMITATIONS OF THE STUDY
 The company may keep some details confidential.
 Details collected through questionnaire are limited.
 The reliability of the data depends on the truthfulness of respondents.
 The results are valid for a particular period of time.
 The sample taken for the study was only 30, even though expected sample was 50 and the
results drawn may not be accurate.
 Another difficulty was very limited time-span of the project.
SCOPE OF THE RESEARCH
There are certainly more scopes for conducting research studies concerning motivation in the
future. The researcher conducted study on Geepas which is one of the several brands under
western international group. There are other brands of western international group where
researcher can expand the study. From the study above we see that motivation has a dominating
impact on employee performance, so, if we can find out more effective use of motivational tools
from these studies, it will certainly help to make our economic sectors more enriched.
92
10. CONCLUSIONS
The benefit of a motivated workforce for any company is nothing short of a win-win situation.
When people are more motivated in their jobs they have better attendance records, are healthier,
feel more valued. Workers’ involved in friendly, relaxed and congenial worker groups with
supervisors who listen to them, and show concern about the employee’s needs, become more
supportive.
This project was design to understand the importance of employee motivation in Western
International Group LLC from the human resource management perspective. This topic of study
became an area of interest after the completion of the course on human resource management.
To obtain the reaction of the employees I have used stratified random sampling in sample
selection by grouping the employees according to management levels. There after simple random
sampling was applied to select respondents. The interviews and questionnaire in this report
creates a practical link between the theoretical assumptions and the practical reality on how best
employees can be motivated for higher performance at Western International Group. It is found
that money is a motivator but money alone will not adequately or exhaustively solve the
problems of motivation for employee high performance.
Conclusively, the researcher found out that motivation has a positive influence on employee
productivity and that if the management of Western International LLC strengthens their
motivation practices, employees would perform more excellently hence attaining organizational
goals. Employee motivation and performance is very central in the management of employee
within the organization as it has a direct bearing on the company productivity or quality of
services rendered by improving teamwork and the morale of employees, reducing the operation
costs, decreasing employee’s turnover and reducing absenteeism.
. This intends has an impact on the company profits and continued existence. As a consequence
the researcher suggests that the management can continuously put in place a veritable
motivational structure so as to achieve greater performance.
93
11. BIBLIOGRAPHY
1. https://www.google.ae/webhp?sourceid=chrome-instant&ion=1&espv=2&ie=UTF-
8#q=impact+of+motivation+on+employee+performance
2. Vroom VH (1994) Work and motivation. Wiley, USA.
3. Galbraith JR, Cummings LL (1967) An empirical investigation of the motivational
determinants of task performance: interactive effects between instrumentality-valence and
motivation-ability.
4. Carton, Robert B. Hofer, Charles W 2008. Measuring Organizational Performance:
Metrics for Entrepreneurship. Edward Elgar Publishing Limited.
8#q=herzberg%27s+motivation-hygiene+theory
8#q=mcgregor+theory
8#q=alderfer%27s+erg+theory
8#q=mcclelland%27s+need+theory
8#q=expectancy+theory+of+motivation
8#q=equity+theory
8#q=goal+setting+theory+of+motivation
8#q=skinner%27s+reinforcement+theory+of+motivation
8#q=maslow%27s+theory+of+motivation
94
12.APPENDIX
TOPIC: IMPACT OF MOTIVATION ON EMPLOYEE PERFORMANCE
Questionnaire on assessing the motivation level of employees
This questionnaire is designed to understand the role of motivation in improving the performance
of employees. The study is purely for academic purpose and the information given will be treated
with utmost confidentiality. I therefore, humbly request you to spare some time and answer the
following questions.
Write or tick the appropriate response to each question.
Section A: Background Information
1. Gender:
 Male □
 Female □
2. Age:
 18-25 □
 25-40 □
 40 and above □
3. Marital Status:
 Married □
 Unmarried □
95
4. Nationality:
 Indian □
 Pakistani □
 Arab □
 If others, please specify ___________________________
5. How long have you been working in the organization

 Less than 5 years □
 5-10 years □
 Above 10 years □
6. Your designation: (please specify)

 Top level management ____________________________
 Middle level management __________________________
 Low line management _____________________________
 Non-management _________________________________
Section B: Motivational Assessment
7. Are you satisfied with your job?

 Yes □
 No □
8. Are you motivated to perform in your full potential and capacity to the best of your
organization?
 Always □
 Sometimes □
 Never □
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9. How are you motivated to perform in your job?
 Training and Development
 Incentives □
 Promotion □
 Increment □
10. How optimistic do you feel about your future success with the company?
 Too much □
 Little □
 Not at all □
11. How well do you think you are appreciated at your work place?
 5□
 4□
 3□
 2□
 1□
12. How well do you think the following aspects run at your workplace, so that they
boost your motivation :
 Money □
 Benefits □
 Promotion □
 Recognition □
13. Fair and equitable remuneration increases the morale and productivity?
 Yes □
 No □
97
14. Do you think the use of well established procedures helps in redressing employee
grievances in your organization?
 Yes □
 No □
15. Which structure your company follows?

 Tall Structure □
 Flat Structure □
16. How is your relationship with managers and other heads in terms of communication
and exchange of ideas?
 Close Relationship □
 Not so close □
17. The sound human rights practices like safety measures, discipline rules, welfare
 Yes □
 No □
18. Do you think that high status or position of an employee plays an important role in
motivating an employee?
 Yes □
 No □
19. Do you feel your company motivates you to work in a team?

 Always □
 Sometimes □
 Never □
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20. Is there a healthy competition among the employees in your company which
 Yes □
 No □
21. Do you think that job security plays an important role in motivating the employees
than the income?
 Yes □
 No □
22. Does your company makes you participate in decision making process?
 Always □
 Sometimes □
 Never □
23. Do you feel recognition of work motivates the employees?

 Yes □
 No □
24. How interesting is your job when it comes to performing a task?

 Very Interesting □
 Average □
 Not Interesting □
25. How often your company gives promotion to its present employees?
 Yearly □
 Half quarterly □
 Quarterly □
99
26. Did you get chance to get promoted?
 Yes □
 No □
27. Do you agree promotion increases responsibilities, prestige and power?

 Yes □
 No □
28. Do you think that good performance leads to promotion every time?
 Always □
 Sometimes □
29. Can you say that you are fairly satisfied with your job?
 Yes □
 No □
100

(W) Project On Impact of Motivation On Employee Performance

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(W) Project On Impact of Motivation On Employee Performance

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A STUDY ON IMPACT OF MOTIVATION ON EMPLOYEE

PERFORMANCE IN WESTERN INTERNATIONAL LLC

Project report submitted in partial fulfilment of the requirement

MASTER OF BUSINESS ADMINISTRATION (MBA)

Under the guidance of

Certified that this project report titled ‘IMPACT OF MOTIVATION ON EMPLOYEE

Place: Calicut RISVANA HIBA ZUBAIR

1 McGregor theory x and theory y 21

2 Maslow’s hierarchy needs theory 22

3 Alderfer's erg theory 23

4 Herzberg’s motivation-hygiene theory 24

5 McClelland’s needs theory of motivation 26

6 The porter and Lawler motivation model 29

8 Goal setting theory of motivation 31

9 Skinner’s reinforcement theory 33

10 Western international group 41

LIST OF SYMBOLS AND ABBREVIATIONS

3 WIG – Western International Group (L.L.C) 40

4 ETC - et cetera 13,40,62,98

5 DF - The degrees of freedom 83,85,87,89

1 Title of the project

 Cover page and title page 1

 Declaration by the student 4

 List of symbols and abbreviations 8

2 Introduction of the study

2.1 Problem statement 13

2.2 Need and importance 14

3 Objective(s) of the study 16

4.1 Concept of motivation 17

4.2 Theories of motivation 19

 McGregor’s theory of motivation (theory x and theory y) 19

 Maslow’s hierarchy needs theory 21

 Herzberg’s motivation-hygiene theory 24

 McClelland’s needs theory of motivation 25

 The expectancy theory of motivation 27

 The vroom theory and practice 28

 The porter and Lawler motivation model 28

 Goal setting theory of motivation 31

 Skinner’s reinforcement theory 32

4.3 Special motivational techniques 33

4.4 Job enrichment 36

4.5 Limitations of job enrichment 37

4.6 Making job enrichment effective 37

4.7 A system and contingency approach to motivation 39

4.9 Organisational profile 40

5.1 Research hypotheses 42

5.2 Research model 43

5.3 Research plan 43

5.4 Sampling plan 44

5.5 Research procedure 45

7 Results & discussions 90

8 Suggestions and recommendations 90

9 Limitations and scope of future research 92

2.1 PROBLEM STATEMENT

2.2 NEED AND IMPORTANCE:

 Investigate the commonly used motivation theories and approaches.

 Examine the impact of different approaches of motivation on employees’ performance in the

 To analyze whether employee motivation is directly connected to employee performance.

4.1: WHAT IS MOTIVATION?

Halepota (2005) defines motivation as “a person’s active participation and commitment to

 MCGREGOR’S THEORY OF MOTIVATION (THEORY X AND THEORY Y):

McGregor sees the assumptions under Theory Y as follows:

CLARIFICATION OF THE THEORIES: