Kurdistan Regional Government-Iraq

Ministry of Higher Education and Scientific

Research International University of Erbil

College of Business and Management

Department of General Management

Factors Affecting Employee Motivation in Non-Governmental

Organisations: A Case Study of UNICEF Erbil

Submitted by:

Dyaree M. Hussein

Mohammed K. Mustafa

Teba Sarmad

Mohammed Omer Hussein

Supervised By:

S. R. Andrea

June 20th,2020

1
 Supervisor’s Certification

I certify that this project ((Factors Affecting Employee Motivation in Non-Governmental

Organisations: A Case Study of UNICEF Erbil)) was prepared under my supervision at the
Department of General Management, College of Business, International University of Erbil as a
partial requirement for the degree of Bachelor of Science in Biology.

Name:
Degree:
Academic Title:
Date:
Signature:

Department Certification

In view of the available recommendation, I forward this project for debate by the
examining committee.

Head of Department

Name:
Degree:
Academic Title:
Date:
Signature:

i
 Certification of the examining committee and department approval

We, the examining committee, certify that we have read this project and have
examined the students in its contents and that in our opinion it is adequate as a
partial requirement for the degree of Bachelor of Science in Biology.

Member Member and Supervisor

Name: Name:
Degree: Degree:
Academic Title: Academic Title:
Date: Date:
Signature: Signature:

Head of the Committee

Name:
Degree:
Academic Title:
Date:
Signature:

Department Approval
Head of Department

Name:
Degree:
Academic Title:
Date:
Signature:

ii
 Declaration

We hereby declare that the research paper entitled “Factors Affecting Employee Motivation in
Non-Governmental Organisations: A Case Study of UNICEF Erbil” is a record of original
work done by us under the guidance of Mr. S. R. Andrea, and is submitted to the Erbil
International University. This project is submitted in partial fulfillment for Bachelor’s Degree in
General Management. The contents embodied in this research have not been submitted to any
other university or institute for the purpose of achieving any degree or diploma.

Dyaree M. Hussein

Mohammed K. Mustafa

Teba Sarmad

Mohammed O. Hassan

iii
 Abbreviations

EM: Employee Motivation

FB: Fringe Benefits

JS: Job Satisfaction

OLS Ordinary Least Squares

SPSS: Statistical Package for Social Sciences

WS: Wages and Salaries

WT: Working Time

iv
 Acknowledgements

We would like to thank Mr. S. R. Andrea for all the patience, time, and support to make this
research succeed. We would also like to thank Mr. Nahman for his continuous support, and
hoping to see him in greater positions in his career and in his life in the near future.

v
 Dedications

This research proposal is dedicated to our adviser for his inevitable guidance and supports
throughout the process.To the members of the committee, Mr. Kawa Wali, Mr. Nahman Dawood
and headed by the chairman, Mr. S.R. Andrea.

To our parents, who gave us moral and emotional support, and who are our pillars of strength in
completing the research proposal. To our friends and classmates, for their words of
encouragement and their prayers that made us persistent throughout the process. And to our
Almighty God for guiding us in the making of this proposal. We, the researchers are sincerely
indebted for your support and concern.

Dyaree M. Hussein

Mohammed K. Muastafa

Teba Sarmad

Mohammed O. Hassan

vi
 Abstract

The main aim of this research was investigating the factors that affect the motivation of workers
at the UNICEF center in Erbil. This case was from UNICEF Centre, Erbil. The study used the
descriptive type of research design whereby its population had the employees who were from
UNICEF. The study sampling frame and population had a list which all the representatives who
were working at the UNICEF. They were from the department of Human Resources. The Census
technique method was employed in the research. This assisted in selection of the respondents
who were the list which had the names of the employees which were given by the Human
Resource Department. The study is based on a purposive sample size of 100 employees and the
information of the research was gathered by the use of a questionnaire. The results were analysed
using regression analysis with the aid of SPSS version 23. The results of the study further
showed that most employees are attracted to work for NGOs such as UNICEF because of high
wages and salaries, and fringe benefits. It was established that there is a negative interaction
between working time and job satisfaction on employee motivation. This was possibly because
of the adverse effects of work family conflict.

Keywords: Employee motivation, fringe benefits, Job satisfaction, wages and salaries, working
time

vii
 Table of contents

Supervisor’s Certification..............................................................................................................i
Declaration....................................................................................................................................iii
Abbreviations................................................................................................................................iv
Acknowledgements........................................................................................................................v
Dedications....................................................................................................................................vi
Abstract........................................................................................................................................vii
Table of contents.........................................................................................................................viii
List of tables...................................................................................................................................x
List of figures................................................................................................................................xi
CHAPTER ONE: INTRODUCTION..........................................................................................1
1.1 Background of the study............................................................................................................1
1.2 Research problem......................................................................................................................2
1.3 Research objectives...................................................................................................................2
1.4 Research questions.....................................................................................................................2
1.5 Justification and Significance of Study.....................................................................................3
CHAPTER TWO: LITERATURE REVIEW.............................................................................4
2.1 Introduction................................................................................................................................4
2.2 Development of the concept of employee motivation...............................................................5
2.3 Theoretical analysis of motivation theories...............................................................................6
2.3.1 Maslow’s hierarchy of needs and its implications on job satisfaction...............................6
2.3.2 The job characteristics model and its implications on job satisfaction..............................7
2.4 Empirical literature review........................................................................................................8
.2.5 Hypothesis development on factors affecting employee motivation......................................12
2.5.1 Wages and salaries and monetary rewards.......................................................................12
2.5.2 Working time....................................................................................................................13
2.5.3 Fringe benefits..................................................................................................................13
2.5.4 Job satisfaction..................................................................................................................14
2.6 Chapter summary.....................................................................................................................14

viii
CHAPTER THREE: RESEARCH METHODOLOGY..........................................................16
3.1 Introduction..............................................................................................................................16
3.2 Research approach...................................................................................................................16
3.3 Data analysis and presentation.................................................................................................16
3.4 Population and sampling methods...........................................................................................17
3.5 Research instrument.................................................................................................................18
3.6 Reliability and validity tests....................................................................................................18
3.7 Ethical procedures...................................................................................................................18
CHAPTER FOUR: DATA ANALYSIS AND PRESENTATION..........................................19
4.1 Introduction..............................................................................................................................19
4.2 Demographic analysis of the employees.................................................................................19
4.3 Descriptive statistics analysis of the model variables..............................................................20
4.4 Model summary.......................................................................................................................21
4.5 Regression analysis..................................................................................................................21
CHAPTER FIVE: CONCLUSIONS, RECOMMENDATIONS AND SUGGESTIONS FOR
FUTURE STUDIES.....................................................................................................................23
5.1 Conclusions..............................................................................................................................23
5.2 Recommendations....................................................................................................................23
5.3 Suggestions for future studies..................................................................................................24
REFERENCES............................................................................................................................25
LIST OF APPENDICES.............................................................................................................27
Appendix I: Research questionnaire..........................................................................................27

ix
 List of tables

Table 4.1: Demographic analysis....................................................................................19

Table 4.2: Descriptive analysis.......................................................................................20
Table 4.3: Model summary.............................................................................................21
Table 4.4: Regression analysis results.............................................................................22
Table 4.5: Hypotheses results..........................................................................................22
Table 4.6: Reliability tests...............................................................................................22

x
 List of figures

Figure 2.1: Maslow’s hierarchy of needs..........................................................................6

Figure 2.2: Management decision making process model..............................................15
Figure 4.1: Position held by the NGO employees...........................................................19

xi
 CHAPTER ONE

INTRODUCTION

1.1 Background of the study

Different companies regard the demand to tackle the problem of worker’s overall motivation and
performance as a fundamental technique in the direction of the successful commercial enterprise
activity. In the previous decade, groups have changed their overall management and
performance. This has resulted from changing applied sciences and development of new ideas.
As a result, the nature of worker performance and administration has changed in the identical
period. Most of the previous researchers have recognized the nature of commercial enterprise
performance in a common company. The contemporary grasp cannot furnish us with beneficial
data and thoughts about leadership, motivation, and delight in the working environment. The
utility of quite a number of managerial strategies is a nice approach to promote enterprise overall
performance and meet the projected desires and commercial enterprise objectives.

The personnel inside an organization work collectively harmoniously regardless of the

stipulations and barriers confronted at the workplace. This is completed to fulfill precise desires
set by means of the organization. This consists of short period and long-period goals. Since
agencies and commercial enterprise businesses are a collection of people, they would be
predicted to deliver the exceptional options to the challenges faced at the organization. With the
acceptable performances and recreation of the employees, the organization or enterprise agency
will realize its competitive advantage in the market and be a chief compared to its competitors.
This explains why detailed study is applicable to define which means of motivation and offer the
first-rate techniques to promote commercial enterprise overall performance and profitability
(Brewster, 2007).

1
1.2 Research problem

Research on organizational overall performance and management has recognized some extrinsic
elements successful of improving business performance and profitability. Some research has
identified training, motivation, experience, and feedbacks as imperative to the motivation method
in an organization. There is also the opportunity of other elements and factors to have an impact
on the nature of rewards and leadership in an organization. There is the possibility that some
intrinsic factors tend to complicate the sort of relationship present between the managers in the
company and the employees. If the nature of motivation and empowerment is understood, a
company can offer the first-rate techniques to promote its enterprise performance and recognize
its potential. This calls for a find out about to take a look at the nature of leadership control,
worker motivation, and how they have an effect on organizational performance (Wierner &
Kucifora, 2000).

1.3 Research objectives

Below are the objectives that the researcher wishes to accomplish by the end of the research
study:

 To determine the factors affecting employee motivation with regards to UNICEF Erbil
workers.
 To find out how wages and salaries, working time, fringe benefits and job satisfaction are
utilized at UNICEF Erbil to boost the employee motivation

1.4 Research questions

The research will answer the questions stated below:

 What are the monetary and non-Monterey factors that influence the motivation of
workers at UNICEF support center in Erbil?
 How are wages and salaries, working time, fringe benefits and job satisfaction related to
the motivation of workers to performance at UNICEF Erbil?

2
1.5 Justification and Significance of Study

Optimizing the performance of the employees has been of great importance in both public and
private sectors. Similarly, enough attention needs to be directed towards motivating the workers
in the various departments to ensure they meet their individual and the organization’s goals. The
managers of Human resource have to ensure that they identify the reasons that prevent optimal
performance of workers. A lot of literature has focused on motivation, but none have covered
motivation in Erbil city’s humanitarian facilities. Thus, the study aims to help in identifying
motivational problems in UNICEF facility so that the researcher can come up with strategies for
minimizing these problems. Additionally, the research will help the managers in recognizing
their role in ensuring a better performance of an organization. Also, the study will inform the
policy makers to look for methods of curbing the current unwanted situation and know the
motivational problems. The research will also add on to the existing studies on the execution of
the motivational measures in Erbil city’s UNICEF Center.

3
 CHAPTER TWO

LITERATURE REVIEW

2.1 Introduction

Different organizations regard the demand to tackle the problem of worker’s overall motivation
and performance as a fundamental technique in the direction of successful commercial enterprise
activity. In the previous decade, different groups of employees have changed their overall
management and performance. This can be regarded as the result from changing applied sciences
and development of new ideas. Eventually this has led to the nature of worker performance and
administration to be changed in respectively to that period. Most of the previous researchers have
recognized the nature of commercial enterprise performance in a common company or firm. The
contemporary grasp cannot furnish us with beneficial data and thoughts about leadership,
motivation, and delight in the working environment. The utility of quite a number of managerial
strategies is a nice approach to promote enterprise overall performance and meet the projected
desires and commercial enterprise objectives; in the case of NGOs and Non-profit, to achieve
increased and better productivity from the employees.

The personnel inside an organization work collectively harmoniously regardless of the

stipulations and barriers confronted at the workplace. This is of course and on course in order to
fulfill precise desires set by means of the organization. This consists of short period and long-
period goals. Since agencies and commercial enterprise businesses are a collection of people,
they would be predicted to deliver the exceptional options to the challenges faced at the
organization. With the acceptable performances and recreation of the employees, the
organization or enterprise agency will realize its competitive advantage in the market and be a
chief compared to its competitors. This explains why detailed study is applicable to define which
means of motivation and offer the first-rate techniques to promote commercial enterprise overall
performance and profitability (Brewster, 2007).

Research on organizational overall performance and management has recognized some extrinsic
elements successful in improving organizational performance and if or when applicable,
profitability. Some research has identified training, motivation, experience, and feedbacks as

4
imperative to the motivation method in an organization. There is also the opportunity of other
elements and factors to have an impact on the nature of rewards and leadership in an
organization. There is the possibility that some intrinsic factors tend to complicate the sort of
relationship present between the managers in the company and the employees. If the nature of
motivation and empowerment is understood, an organization can offer first-rate techniques to
promote its organizational performance and recognize its potential. This calls for a find out about
to take a look at the nature of leadership control, worker motivation, and how they have an effect
on organizational performance (Wierner & Kucifora, 2000).

2.2 Development of the concept of employee motivation

The abstraction and conception of employee motivation is the aftermath of years of scientific
research in which employee productivity had been studied with regards to certain changes in
specific factors. Throughout the years many changes have happened to the management style
considered optimal and was common to use by managers. Nonetheless, initially the only
scientific management style was that of Frederick Taylor. Taylor stated that the system is more
important than the employee him or herself (Ekhsan et al. 2019). This meant that the employee
had to be put or ranked lower than the manager due to the hierarchical and management system
of the organization; this left money as the only motivation. That was the case until Elton Mayo in
1932 conducted experiments known as the Hawthorne experiments. These experiments proved to
Mayo that it is not only the money that the employees get motivated by their human factors
being fulfilled, such as socialization; this of course was in contradiction with Taylor’s theory.

After that came Kurt Lewin’s 3 step model or theory. The three steps were in respective order of
1,2,3, Unfreezing - Change – Freezing (Lorincová, et al., 2019). This, according to Lewin, is
how the manager deals with change. The unfreezing part, is the step in which the manager helps
the employees see differently on how they are doing things as in unfreezing them from their
current way of doing things. The change part, second step of the process, states that the manager
applies these changes on the employees after which they have supposedly opened their minds to
doing things differently. The third and final step, freezing. During this step the manager now
must freeze the employees to these new ways, in a way which the employees see or perceive
these new learned ways as the ways and methods of doing things during their work.

5
These theories are the bases in which the next managerial theories were induced. such as
Herzberg’s two factor theory, Theory X and Theory Y workers. in addition to that, Maslow’s
hierarchy of needs. There are other managerial models and theories such as Total Quality
Management, a somewhat Japanese style, and the Japanese themselves are the pioneers and
creators of this style of management. Other new age management styles and theories exist as
well such as Holacratic management, in which the workforce is divided into Holons (groups) and
each group has the authority to do things their own way.

2.3 Theoretical analysis of motivation theories

For the theoretical analysis of the topic of employee motivation we are regarding mainly
Maslow’s hierarchy of needs and the job characteristics model. These two theories have proven
to be of much use in the managerial studies over the years. The two theories mentioned are
different in topics as in Maslow’s hierarchy takes more of the employee’s psychological and
physiological factors while the job characteristics model focuses on the job/work itself; as in, the
job design and responsibilities.

2.3.1 Maslow’s hierarchy of needs and its implications on job satisfaction

Figure 2.1: Maslow’s hierarchy of needs

Source: Buys, Olckers and Schaap (2007).

6
The pyramid above, known as Maslow’s hierarchy of needs, lays out what Maslow deemed as
the needs required to get the employee/s to full motivation. These needs and factors have been
subdivided into two categories, deficiency and being needs. The deficiency needs are the bottom
four divisions of the pyramids. These factors categorized into the deficiency section, are those
that are motivational when they are deficient, as in they need to be given to the employee. There
is one condition not to be forgotten however, they are referred to as deficient because once these
deficiencies in them are gone, as in they have been fulfilled, they are not a motivator anymore.
As in, someone lonely would be looking for friends, and once he or has found friends, they
would not be looking for friends. In a simpler example, the employee only needs some rest
because he or she is tired, once he or she is given some rest giving them rest will not motivate
him or her anymore (Asseburg & Homberg, 2020). However, these Deficiency needs to not be
deficit, according to Maslow in order for the person to grow and move up each stage of the
hierarchy in order to eventually achieve self-actualization. This self-actualization is that being or
growth deficit. What makes this different from the rest of the hierarchy, this majorly depends on
the person him or herself. This growth need is somewhat present in every human being, it can be
that will that drives them. Anyhow, this does not make the rest any less important, as they are the
factors which pave the way towards self-actualization.

2.3.2 The job characteristics model and its implications on job satisfaction

The construct of job characteristics model focuses on planning employment in order that it
motivates someone. supported employment diagnostic survey, Hackman, Oldham, Janson, and
Purdy (1976) developed this approach. Job characteristics area unit objective characteristics of
jobs, notably the degree to that jobs area unit designed in order that they enhance the inner work
motivation and therefore the job satisfaction of job incumbents (Graves, et al., 2019). The 5 core
job options, that area unit task significance, task selection, task establish, autonomy and
feedback, believed to completely correlate with job satisfaction and performance (Hunter, 2006).
ability selection is that the ostensible selection and elaborateness of skills and abilities needed by
employment to perform it (Buys, Olckers & Schaap, 2007). Task identity needs from a employee
to perform all the tasks necessary to finish the work from getting down to the tip of the assembly
method whereas the worker’s feeling for his job that it's meaning for his colleagues and

7
organization attributable to its impact upon them is termed as task significance. once the work
provides its owner the liberty and power to exercise his own authority whereas taking the choice
is that the job feature of autonomy. once AN worker gets direct and clear data concerning his
performance on his job it's referred to as a feedback characteristic of the work. The job
characteristic model predicts that if the said job options area unit gift in an exceedingly job, the
work incumbent are going to be a lot of probably to possess high internal work motivation, prime
quality and performance, high satisfaction with the work and low absence and turnover.

2.4 Empirical literature review

According to Zeffane and Wallace (2011), management mainly depends on rewards such as
money. They act as the main factors in motivation due to the fact that according to the Maslows
power structure that deals with needs, it is considered that money is a specific reinforcement
which satisfies the needs. For example, there is need for food. According to the acquired need
theory in McClelland, money is considered to be important in the performance in the feedback
for high-need achievers. In most cases the Non-monetary rewards draw people who have so
much need for association through the recognition verbally and also the high achievers through
different jobs that are in most cases challenging. Skinner (1953) was able to say that the giving
out of remuneration in the performance of classic work model is in most cases founded on the
reinforcement theory. This theory emphasizes on the interaction between the behaviors that is
targeted. For instance, there is high performance and its consequences. The study was set from
the Herzberg’s two factors theory as well as the Skinner’s reinforcement.

Rewards are split into two categories by Armstrong (2007). One of them is monetary which
include the merit pay, base pay, commission, incentives, good allowances and bonuses. The
second group is non-monetary rewards and they include roles of decision making, recognition,
promotion, company uniforms as well as the flexibility in the working hours. Employees are
rewarded according to how they contribute competence, skills and the worth of their market. The
value of money has been understated systematically by the scientists who were able to point out
the value of feedback, hard jobs among other factors that are not monetary. They act as an
excitant to motivation. Money, nonetheless, is important to working motivation since it acts as an
object with the aid of which workers are capable to purchase the distinctive wants that they may

8
desire (Robbins et al., 2013). Researchers are able to reaffirm that most of the personnel are
given regular earnings so as to enable them meet their safety and psychological needs which
lowers the levels at which employees can be caught. Moreover, monetary factors act as a
scorecard. This is whereby workers are able to evaluate the value which the firm has been able to
place on their services and hence a factor of being valuable in the firm leads to an affirmative
effect on motivation in monetary factors (Robbins & Langton, 2007). Armstrong asserts that
reward can also act as a target through which workers pursue for and a tool that helps in the
provision of valued outcomes. It also indicates the value of the recipient to the firm and thus acts
as an enhancement. This is because it is connected with valued activity. Numerous organizations
face problems in understanding the relationship between motivation and rewards. However, the
authors are able to explain and argue that in order for the rewards to motivate an individual, it
should be detected as a reward that is direct to performance in that if its money, the amount that
is marginal should be perceived by the increases on a high performer and a fair one. They have
to be significant.

For money to be able to motivate, worth pay rises should be more than 7% of the initial salary
for the workers to be able to comprehend them as a motivation factor and be able to catch a
persons’ attention Bates (2006). Studies concerning the four techniques of employee motivation
show that money ranked second among the employees that were on the lower levels (Locke,
2008). This shows that money may not only be the motivator, but also hard to explain that it does
not motivate. In order to presume that the fiscal motivators influence people to have good
performance by Langton and Robbins (2007) it is very easy to presume that they are not
motivators of good performance. A course of studies says that people did not rate money to act
as their main motivator. In most cases, the achievements are able to be accomplished for some
other reasons apart from money and this attracts people and does not play a big role in
motivating and retaining.

Robin and Shen are able to point out that hygienic factors and salary led to dis-satisfaction and
the motivators were able to influence motivation directly above the psychological neutral level.
In a study that was done by Ellis and Penningtone (2004) the direct financial reward was able to
play a difficult role in attracting the employees who were talented. They only had an impact that
was short term on the levels of motivation of the employees.

9
A quote which was Khon by Armstrong is able to challenge what is referred to as the
behaviorist’s dogma which was about motivation and money. He ascertains that there is no
controlled scientific study which is able to find out the long duration enhancement of the works
quality which is as a result of any system of reward. On the other hand, Slater quoted by
Armstrong explains that the idea which is on the fact that people want money is information that
is spread by people who are addicted to wealth in order to make them feel better. The different
theorists therefore are in a position to point out the values of the different cohesive working
teams and the challenging jobs as well as the other factors which are non-monetary and acts as
stimuli to motivation. They should not be left aside when one is addressing the issue of
motivation in the places of work.

Non-monetary rewards have an influence on employee motivation. Kathure (2014) carried out a
research to investigate how these factors affect motivation of workers in a factory. The
researcher adopted a descriptive research design. The results of the study showed that
development opportunities, employee recognition, praises in public, and medical treatment
promoted the employees’ level of commitment at the factory. The researcher thus finds it
necessary that an organization revises their non-monetary reward system policies to boost the
rate of performance and retention. In a similar way, Shujaat & Alam (2013) conducted a study
for measuring non-monetary rewards on the motivation of workers in Pakistan banks in terms of
efficiency and effectiveness. The variables included effective communication channels,
opportunities for career development, recognition of performance, and training. The research
showed that there is a positive relation between three of the variables in contributing towards
employee motivation.

Job design is the most effective tool that is mainly used in boosting the performance of a worker.
It is the changing of the process and content of the job to raise the amends of the employee,
motivation and the quality. An efficient job design is the degree that a worker is involved in the
roles and the responsibilities (Bennett, 2013). Presently, a high number of the workers are
unhappy with the design of the job and are not assigned to do jobs that they are motivated and
encouraged to do. A job that is effectively designed brings much involvement of employees in
the works that are related with same activities that clearly forecasts the employees’ output, the
organizational success and the productivity of the department (Bates, 2006). The job design

10
plays a very crucial part in the achievement of the target of the employees and the organization
as well as the different personal goals. It refers to the specification of the methods or contents of
any given job in a way through which different stipulations of the employee are well-satisfied
(Buchanan, 1979). The requirements are technological, organizational and social needs. It is
affiliated to the procedure of the input modification to outputs and considers the human factors
as well as the organizational ones that are of great essence in achieving desirable performance. If
the employees are involved in becoming familiar with the job design it makes them to be more
motivated in participating in the achievement of objectives. Consequently, the performance of an
employee increases and it influences the effects positively (Bakker, Albrecht & Leiter, 2011).

An individual job design brings satisfaction, involvement and motivation. These workers are
exposed to more pain for their work and are able to stay extra hours and enjoy their work. They
are able to consider their work as a virtue for them as well as part of their lives. They are able to
feel that they are acquiring what they want from their jobs and are able to fulfill their roles as
ethical responsibility. These involved, motivated and delighted behaviors lead to the
enhancement of the performance of the employee and the productivity of the organization
(Knapp & Mujtaba, 2010). Adversely, if the employees are not well satisfied with their job
design, they will feel unwilling and try to be able to work correctly for the sake of the
organizational goals. Disappointed employees are not able to use their efforts but instead waste
much of their time in issues that are not productive. This is commonly observed in the public
sector organizations. These employees lead to the destruction of the organizational culture.
Employees who are not motivated and dissatisfied become a worry to the organization. This is if
they either remain, quit or decide to shift to another company they may cause high turnover of
the employees and the cost for the organization. Approaches that are related in the construction
of an effective job design are job enrichment, job rotation and job enlargement. They can be used
in engagement, encouragement and the involvement of the employees in their different works
and jobs (Knapp & Mujtaba, 2010).

Training enables one to get the knowledge and improves it, attitude and skills towards the tasks
that are related to work. This is an important motivator since it leads to long and short time
period targets for the company and the individuals (Cole, 2011). It further stated that there are a
lot of benefits that are involved with training. They include high morale where the employees

11
who get the training will have confidence in doing the work and be motivated. It also lowers the
cost of production through the elimination of risks through training where those who are trained
are able to use the equipment and materials in the right way therefore reducing wastage (Kinicki
& Fugate, 2012).

When the turnover is low, training enhances security around the places of work which reduces
the turnover of labor and absenteeism. Change in management is done through training. It can
provide the management and skills that are required in the adjustment of new situations. Training
also helps in provision of recognition, enhances responsibility among workers and the possible
increase of payment of workers and promotion. It also helps in improving the quality of staff and
their presence at the working places. The development needs and training may happen at the
three levels of organization. These levels are the Strategic level which the requirements are
discovered by the executives . This is done through the consideration of mission, goals of the
organization, problems and strategy. They should be fixed or resolved. The second one which is
the tactical level, the determinants of the needs are the middle-level officials through the
consideration of the needs of development to the cooperation and coordination that is between
the different departments thirdly, under the operational level, the lower-level managers and some
of the employees determine the needs. This is done when the problems that are related to the
various operations such as management and some of the employees while putting into
consideration the problems that are related to the operations.

They may include the problems related to performance of the department and workers. For the
formulation of the human resources training processes and the goals of development which helps
in enabling the formal and informal human resource training and the methods of development
and be able to build a personnel which enables the competitiveness and effectiveness, it is more
important considering the provision of good incoordination and integration of the needs that are
found within these levels.

.2.5 Hypothesis development on factors affecting employee motivation

2.5.1 Wages and salaries and monetary rewards

Whether it is in a for-profit or nonprofit organization, there are employees working to get a

paycheck at the end of the month or the periodical gap between each payment. In most studies

12
and theories even if wages and salaries are not the lone motivating factor, they still are a
motivating factor. In addition to that, Milton Friedman and Douglas McGregor, two great and
vastly mentioned names in the world of management and managerial studies, both agree on the
fact that money is indeed a very important aspect regarding motivation if not the only one.
Moreover, any other motivational factor’s efficiency is compared to that of wages and salaries.
Thus we can come to the fact that wages and salaries indeed play a rather large role when it
comes to the whole motivation of an individual.

● H1: Wages and salaries have significant positive effects on employee motivation

2.5.2 Working time

There are many working time plans depending on the type of work and the requirements of the
work itself. However, through analyzing other literature it is conclusive that working time indeed
affects the motivation of employees. Although the exact type of working time schedule that is
most effective in all scenarios is not exactly deductible as different areas and business sectors
have shown different results. as in one of those studies, flexible working times are shown to be
more of a motivating factor than not. Nonetheless, whenever the working times are suitable to
the preferences of the employees of a certain organization, then it can be a very significant aspect
of employee motivation.

● H2: Working time has significant positive effects on employee motivation

2.5.3 Fringe benefits

Fringe benefits can come in a vast number of forms and is an additional product or service given
to the employee. Examples of fringe benefits are such as a company car, health insurance,
education for the employee’s children, or even meals and meal plans. Employees tend to be
attracted to organizations that provide more fringe benefits for their employees. Afterall, it is
only logical that they go with such jobs especially if those fringe benefits are of value. A $1000
salary can be very attractive, but given that transportation and food is on the employees
themselves, while on the other hand if they pay $700 but a company car and 2 meals a day will

13
be the more attractive job. henceforth, we conclude that fringe benefits are important to the
motivational ways in which employees can be motivated.

● H3: Fringe benefits have significant positive effects on employee motivation

2.5.4 Job satisfaction

By job satisfaction, we are referring to the fact that the employees are indeed happy with the
work itself. The work they do, given that it is a job in which the employee feels important in and
provides value to the employee and the organization alike, this means that employee is on the
right way toward the self-actualization Maslow identified. Job satisfaction however is not easy to
attain and even more difficult to get all employees to be satisfied with their jobs. anyhow this
does not reduce from the level of importance it has towards the overall employee motivation
process.

● H4: Job satisfaction has significant positive effects on employee motivation

2.6 Chapter summary

Based on the reviewed literature, it is imperative to note that the key factors that affect employee
motivation in NGOs are wages and salaries, working time, benefits and job satisfaction. This is
highly due to the significance of each in the process of motivating the employees. For instance,
wages and salaries, in other words money is linked to most of the literature about how to
motivate the employees. Even in the case of fringe benefits, a retirement plan which is also
considered a fringe benefit, is also about money and future wages the employee will be
receiving. Getting onto fringe benefits, it basically means giving the employee certain benefits
for them to enjoy and also make them feel like they are indeed an important and valuable asset to
the organization. Working times, when not compatible with the employee’s life in terms of the
time he has to go to work and be back from work, can sometimes even determine whether the
employee is able to work with the organization in the first place. Job satisfaction further
exemplifies the case in which how important the employee feels for the organization and the

14
extent to which the job he has is compatible with what he or she feels deserves to be doing. This
can be illustrated using the conceptual framework depicted in Figure 2.2.

wages and working

salaries time

H3
H2
Fringe job
benefits satisfaction
Employee
H1 motivation H4

Figure 2.2: Conceptual framework

Source: Authors (2020)

15
 CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Introduction

This chapter provides details of the steps that were taken to carry out this study. As such, it
focuses on the research approach, data analysis and presentation, population and sampling
methods, research instrument, reliability and validity tests used to execute this study. These
methodological steps are described in detail as follows;

3.2 Research approach

A quantitative analysis approach was used in this study to examine the determinants of job
satisfaction in NGOs. This is because quantitative research approach allowed the researchers to
broaden their understanding and make detailed generalisations about determinants of job
satisfaction in NGOs (Almalki, 2016). In addition, the use of a quantitative analysis approach
was considered to be important for use in this study because of its high accuracy and objective
levels. (Baumberg, 2016). The study relies on the use of primary data collected from a random
sample of 100 employees located across Erbil in North Iraq.

3.3 Data analysis and presentation

The data analysis procedures were carried out using regression analysis which examines the
effects of the determinants of job satisfaction (independent variables) on job satisfaction
(dependent variables). A study by Gujarat (2003), mentioned that regression analysis is
important for examining thee effects of one or two variables on another. Furthermore, it is
important for examining the magnitude of effect between the variables. The conceptual
framework led to the development of an idea that

16
Employee motivation (EM) is determined by changes in wages and salaries (WS0, working time
(WT), fringe benefits (FB) and Job satisfaction (JB). This can be illustrated using the following
functional form

EM= F{FB, WS, WT, JB} ……………………………………………………………………. (1)

By integrating regression analysis concepts such as constant (α), coefficients β1 to β4 and an error
term (µ), the following regression model was formulated;

EM = α + β1FB + β1WS + β1WT + β1JB + µ ..………………………………………………. (2)

Descriptive statistics in the form of standard deviation and mean were used as part of the
univariate analysis. Pearson correlation coefficient test was also used to determine how job
satisfaction was correlated with its determinants (independent variables). The formulated
hypotheses were tested using the established regression analysis results. Tables, charts and
graphs were used to present the established findings. The data was analysed using Statistical
Package for Social Sciences (SPSS) version 23.

3.4 Population and sampling methods

The study is based on a purposive sample of 100 employees working for UNICEF in Erbil, North
Iraq. The reason behind the use of purposive sampling is that more information can be obtained
from the collected data (Woodside & Wilson, 2003). A study by Mackenzie and Knipe (2006),
contends that purposive sampling is important because it facilitates the use of various qualitative
research methods. Moreover, niche demographics of UNICEF employees can be targeted to
obtain specific data points (Saunders, Lewis & Thornhill, 2003). For these reasons among others,
the study deemed it fit to use purposive sampling to determine both the population and sample
size. In addition, the questionnaires were randomly distributed so as to accord each employee an
equal chance of participation in the study (Woodside & Wilson, 2003). As a result, 100
questionnaires were distributed to NGOs employees in Erbil.

17
3.5 Research instrument

The questionnaire was adopted from a study by Florence N. Wanjihia (2016). However,
improvements were made with the assistance of the academic supervisor to ensure that the study
remains valid and reliable in addressing current research themes. The questionnaire was
composed of two sections, that is, section A which catered for the demographic features of the
employees and Section B which dealt with the determinants of employee motivation. A five-
point Liker scale was used and this had corresponding values strongly agree, agree, neither agree
nor disagree, disagree, strongly disagree.

3.6 Reliability and validity tests

Cronbach’s alpha tests were used to determine the reliability of the variables. This is essential
because it assisted in determining the extent to which the determinants of employee motivation
are reliable in the explaining the related situation in the context of NGOs in Erbil. Basically,
Alpha values above 0.60 were considered to be reliable, 0.70 highly reliable and above 0.80
extremely reliable. Facial validity tests were conducted using 5 questionnaires that were
distributed to 5 of the 100 NGO employees located across Erbil. Insights were also provided by
the academic supervisor to ensure that the study does not have double barreled question. The
respondents expressed satisfaction with the newly developed questionnaire. Hence, the
researcher went on to distribute the questionnaire by hand.

3.7 Ethical procedures

Care was taken to ensure that the employees were fully informed of the main purpose of the
research using a written informed consent form. Furthermore, the employees were notified that
there were free to participate as well as disengage themselves from the study at any point in time.
All the used references were duly acknowledged.

18
 CHAPTER FOUR

DATA ANALYSIS AND PRESENTATION

4.1 Introduction

This chapter provides details of the analysed results that were collected from a random sample of
100 NGO employees. All the questionnaires were successfully collected from the participants
and this equates to a response rate of 100%. Thus, data analysis and presentation are based on the
collected 100 responses.

4.2 Demographic analysis of the employees

The demographic analysis provided in Table 4.1, showed that 58% of the employees were made
up of male employees as opposed to their female counterparts who constituted 42%. The highest
number of employees was in the age group of 26-33 years old and accounted for 54% of the total
number of employees (see Table 4.1).

Table 4.1: Demographic analysis

Variable Description Count Percentage

Gender Male 58 58.0
Female 42 42.0
Total 100 100
Age group 18-25 years 20 20.0
26-33 years 54 54.0
34-41 years 20 20.0
42 years + 6 6.0
Total 100 100
Educational qualification Diploma 17 17.0
BSc/BA 26 26.0
MSc/MA 54 54.0
PhD 3 3.0
Total 100 100

It was also noted that 17% of the employees has diplomas, 26% had BSc and/or BA degrees,
54% had MSc and/or MA degrees and 3 had PhD degrees. Figure 4.1, shows that 65% of the

19
employees occupied customer service positions, 23% maintenance positions, 4% clerical
positions and 8% managerial positions.

Figure 4.1: Position held by the NGO employees

Source: Authors

4.3 Descriptive statistics analysis of the model variables

Descriptive analysis was conducted for the combined model variables to establish the magnitude
of effect and responsiveness of the model variables. It was noted that the employees placed much
concern on wages and salaries as noted by a high mean value of 3.749. This was followed by
fringe benefits which had a second-high mean score of 3.729. working time was established to be
of high concern with a mean score of 3.743 since it causes work family conflicts.

Table 4.2: Descriptive analysis

Variable Mean Std. Dev

Wages and salaries 3.749 0.648
Fringe benefits 3.729 0.498
Job satisfaction 2.900 0.490
Working time 3.743 0.536

20
Huge variation in wages and salaries were noted to be capable of causing high potential
improvements or a decline in employee motivation as noted by a high standard deviation of
0.648. the second highest responsive effects were noted to be emanating from working time. This
implies that reducing working time has high potential effects on employee motivation.

4.4 Model summary

75.1% of the changes in employee motivation were noted to be explained by wages and salaries,
working time, fringe benefits and job satisfaction. This means that 24.9% of the changes in
employee motivation were explained by other variables outside the model. In addition, the F-
statistic of 48.753 was observed to be significant at 1% (0.000) and this means that the estimated
model was correctly specified.

Table 4.3: Model summary

R2 Adjusted R2 Std. error

0.751 0.743 0.4365
F-statistic = 33.650; probability = 0.000

4.5 Regression analysis

Regression analysis was used to determine how the employee motivation determinants affected
the workers motivation levels. It was noted that an increase in wages and salaries by $1 resulted
in an increase in employee motivation by 1.025. The results are consistent with the findings
made by Asseburg and Homberg (2020), which showed high wages and salaries help to cover
employee’s physiological needs. This is supported by the hidden exchange concept and
Maslow’s hierarchy of needs. A relatively similar relationship was noted to exist between fringe
benefits and employee motivation of 0.604.

The findings showed contrasting relationships between concerning the relationships that exist
between employee motivation and job satisfaction, and working time and employee motivation
of -0.386 and -0.065 respectively (Parola et al., 2019). This is possibly because a lot of employee
are motivated to work for NGOs and yet they might consider the working time and conflicting
with their family time (work-family conflict), see Table 4.4.

21
Table 4.4: Regression analysis results

Variables Coeff. Stand. err t-stat. p-value

Constant -0.455 0.275 -0.0016 0.051
Wages and salaries 1.025 0.351 2.917 0.004
Job satisfaction -0.386 0.353 -1.095 0.276
Working time -0.065 0.087 -0.744 0.458
Fringe benefits 0.604 0.076 7.982 0.000

These results also illustrated that two hypotheses were accepted and two hypotheses were
rejected as can be seen in Table 4.5 below.

Table 4.5: Hypotheses results

Variable Prob. Decision

Wages and salaries 0.004 Accept
Fringe benefits 0.276 Reject
Job satisfaction 0.458 Reject
Working time 0.000 Accept

Reliability test was done using Cronbach’s alpha to determine the variables’ internal consistency
with regards to decision making. That is, the extent to which they help explain variations in
decision making. The established results show that all the alpha values are above 0.70 and this
means that all the variables have high internal consistencies.

Table 4.6: Reliability tests

Variable Cronbach’s alpha Decision

Employee motivation 0.787 Highly reliable
Wages and salaries 0.769 Highly reliable
Fringe benefits 0.783 Highly reliable
Job satisfaction 0.898 Totally reliable
Working time 0.821 Totally reliable
CHAPTER FIVE

CONCLUSIONS, RECOMMENDATIONS AND SUGGESTIONS FOR FUTURE

STUDIES

22
5.1 Conclusions

The main focus of the study was to determine the monetary and non-Monterey factors that
influence the motivation of workers at UNICEF support center in Erbil. As such, the study
established that the notable factors that affect employee motivation are wages and salaries,
working time, fringe benefits and job satisfaction. The results of the study further showed that
most employees are attracted to work for NGOs such as UNICEF because of high wages and
salaries, and fringe benefits. These aspects are highly desirable among employees because they
assist in meeting their physiological needs as postulated by Maslow’s Hierarchy of needs. This is
also supported by the concept of hidden economic exchange. Contrasting results were obtained
with regards to the effects of working time and job satisfaction which were found to be having
negative effects on employee motivation. This suggests that high wages and salaries as well as
fringe benefits do not offer the required level of satisfaction that commensurate with the family
needs. Hence, work-family conflict makes it less motivating to work for NGOs fort most of the
employees because of the increased time spent away from their families.

5.2 Recommendations

The following recommendations were made with regards to the established conclusions;

 Performance appraisals are needed to ensure that compensation methods continue to

reflect employees’ level of contribution and performance.
 Strategic human resources management is needed to ensure that working situations and
time do not cause work-family conflicts.
 Other compensations schemes and fringe benefits can be offered to increase employees’
level of motivation.
 Job rotation and human capital development strategies can be used to improve job
satisfaction.

5.3 Suggestions for future studies

23
The study has provided detailed insights of how notable monetary and non-monetary factors
affect motivation levels of NGOs employees. Futures studies can be recommended to conduct a
comparative analysis of two or more NGOs employees.

REFERENCES

Almalki, S. (2016). Integrating Quantitative and Qualitative Data in Mixed Methods Research--
Challenges and Benefits. Journal of education and learning, 5(3), 288-296.

24
Asseburg, J., & Homberg, F. (2020). Public service motivation or sector rewards? Two studies
on the determinants of sector attraction. Review of Public Personnel Administration,
40(1), 82-111.

Baumberg Geiger, B. (2016). The stigma of claiming benefits: a quantitative study. Journal of
Social Policy, 45(2), 181-199.

Diamantidis, A. D., & Chatzoglou, P. (2019). Factors affecting employee performance: an

empirical approach. International Journal of Productivity and Performance Management.

Ekhsan, M., Aeni, N., Parashakti, R., & Fahlevi, M. (2019), November). The Impact Of
Motivation, Work Satisfaction And Compensation On Employee's ProductivityIn Coal
Companies. In 2019 1st International Conference on Engineering and Management in
Industrial System (ICOEMIS 2019). Atlantis Press.

Fingleton, B., & Arbia, G. (2008). New spatial econometric techniques and applications in
regional science. Papers in Regional Science, 87(3), 311-317.

Graves, L. M., Sarkis, J., & Gold, N. (2019). Employee proenvironmental behavior in Russia:
The roles of top management commitment, managerial leadership, and employee
motives. Resources, Conservation and Recycling, 140, 54-64.

Gujarati, D. N., & Porter, D. C. (2003). Basic econometrics (ed.). Singapore: McGrew Hill Book
Co.

Lorincová, S., Štarchoň, P., Weberová, D., Hitka, M., & Lipoldová, M. (2019). Employee
motivation as a tool to achieve sustainability of business processes. Sustainability,
11(13), 3509.

Mackenzie, N., & Knipe, S. (2006). Research dilemmas: Paradigms, methods and methodology.
Issues in educational research, 16(2), 193-205.

Parola, H. R., Harari, M. B., Herst, D. E., & Prysmakova, P. (2019). Demographic determinants
of public service motivation: a meta-analysis of PSM-age and-gender relationships.
Public Management Review, 21(10), 1397-1419.

25
Saunders, M., Lewis, P., & Thornhill, A. (2003). Research methods forbusiness students. Essex:
Prentice Hall: Financial Times.

Woodside, A. G., & Wilson, E. J. (2003). Case study research methods for theory building.
Journal of Business & Industrial Marketing.

LIST OF APPENDICES

Appendix I: Research questionnaire

26
1- what is your Gender ?

A- Male B-Female

2- What is your current work status?

A- Full time. B- Part time.

3- What is your Age ?

A- 18-25

B- 26-40

C- 41-60

D- Over 60

4- position

A- Supervisor / Management

B- Maintenance

C- Customer Service

D- Clerical

5- Years of working experience

A- Less than 1 year

B- 1 – 3 years

C- 4 – 6 years

D- 7 – 9 years

E- More than 9 years

6- What is your marital status ?

27
A- single

B- Married

C- Divorced

D- Widower

E- Unmarried partners

7- Do you have any children ?

A- Yes. B- No.

Benefits

1 - The organization has fully provided medical care depending on the contract

2 – The organization has dedicated and is allowing employees to use a fully functional Flexible
spending account

3 – The organization has allocated a functional health savings account

4 – There exists a retirement plan for the employees

5 – Time off payments are provided for the employees

6 – The organization covers for the expensive mistakes from the employees

7 – Adequate and important training has been provided to the employees from the organization

Wages and Salaries

1 – Monthly wages have been paid as agreed and on time

28
2 – Overtime hours worked have been compensated as deserved

3 – The employees are provided with paid holidays

4 – There exists pay raise plans within the organization

5 – Pay raises, if any, has been given according to contracts and agreements

6 – Employees are paid during personal time off

7 – Organization provides employees with sick leave

Working time :-

1_ working time based on your responsibility.

2_morning time is the correct time for high performance.

3_It is possible to underperform during excessive working times.

4_compensation based on increased time or liability.

5_ I can change my working time if needed.

6_I have ability to take breaks on the job if necessary.

7_ I have the ability to do work at home without going to work.

EMPLOYEE MOTIVATION

29
1- Team work adds more to the motivation

A) Strongly Agree. B) Agree. C) neither agree nor disagree. D) Disagree. E) Strongly disagree.

2- The employee in the organization feel secured in their job

A) Strongly Agree. B) Agree. C) neither agree nor disagree. D) Disagree. E) Strongly disagree.

3- Rate the statement “ Top management is interested in motivating the employee “.

A) Strongly Agree. B) Agree. C) neither agree nor disagree. D) Disagree. E) Strongly disagree.

4- The employee in the organization feel secured in their job?

A) Strongly Agree. B) Agree. C) neither agree nor disagree. D) Disagree. E) Strongly disagree.

5- I Feel that the job I do gives me a good status ?

A) Strongly Agree. B) Agree. C) neither agree nor disagree. D) Disagree. E) Strongly disagree.

6- Why are you motivated to do your work? Because I get paid to do it.

A) Strongly Agree. B) Agree. C) neither agree nor disagree. D) Disagree. E) Strongly disagree.

7- I feel that my superior always recognize the work done by me

A) Strongly Agree. B) Agree. C) neither agree nor disagree. D) Disagree. E) Strongly disagree.

Job satisfaction

30
1-Do you agree with the match between people and cultures with employers, followed by work
possibilities?

2- do workers think their credentials and qualifications match up with the requirements of their
job.

3-The Foundation seeks to develop the talents of its members.

4-Promotion based on experience or talent.

5- I can share my ideas and thoughts to make a variation or to add to the overall achievement of
the organization.

6- the management of this organization is supportive of me .

7- I feel I can easily communicate with members from all levels of this organization.

31