Essay: The relationship between Job Satisfaction and Organizational Performance

Introduction

The aim of this essay is to investigate the connection between work satisfaction and
organizational success and to evaluate if there is an empirically verified relation between the two
factors and the direction and significance of the association. The findings of the research carried
out on this subject indicate that there is a strong correlation between employee happiness and
organizational success. Job satisfaction may be used to assess organizational success rather than
organizational performance that decides job satisfaction.

Body

Job satisfaction is described as the extent to which a worker feels self-motivated, fulfilled and
happy with his/her job. Job happiness arises when an employee believes like he or she has job
security, career development and a secure work environment. This ensures that the employee is
happy with the work as the job suits the standards of the worker. Satisfied workers are often
essential to the company when they strive to give the best of their skills. Any employee needs a
good job development and a work environment at work. If the employee is satisfied with their
business & job, they look to give directly to the business with all their endeavors.

Employee happiness from the point of view of the job is to earn a decent gross wage, to have a
stable job, to have a smooth professional growth, to gain incentives and appreciation and to
always have new possibilities. Job happiness for workers is an important factor for the boss to
get the most out of them. A happy employee often gives more to the business, helps manage
turnover and enable the organization expand. Employers must make sure a good job requirement
in order to retain staff and continually give people the ability to learn and develop.

Employment satisfaction refers to the overall connection between the individual and the
organization by whom it is compensated. Satisfaction implies a clear sense of achievement of
some goal or vision. Employment frustration brings a lack of commitment to work.
Remuneration and incentives provided to a worker are one of the greatest indicators of job
performance. A worker with a decent wage, rewards, promotions, health insurance options, etc.
is happier than anyone who does not have the same position. A safe working climate often brings
benefit to a worker. Every person needs to have a nice place to live, so that they can spend time
with family members and friends. Job satisfaction for workers is also the product of a strong job
satisfaction program, which guarantees that employees have more time with their families and
work. This increases the job performance of the worker.

Organizational performance implies the real production or outcomes of an entity compared

against its expected outputs (or goals and objectives). Organizational variables such as individual
and cultural factors, technologies, natural capital, economic factors, legislative policies,
economies, strategic management, workplace structure (Aims, Value, Principles & Standards),
organizational environment, driven actions and collaboration, structure, regarding the physical
assets, economic ability, style of leadership. In a mixture of these tools, the company produces
such results, such as productivity, performance, growth and the happiness of the individual.

Financial efficiency refers to the assessment of a firm's monetary strategies and operations. In
many words, in terms of the cost of dollars, sterling, euros, etc. Competitive advantage tests how
well a business or commodity performs on the market. In all other words, whether another
market share of the brand has improved, whether product updates have managed to improve
sales, etc. Shareholder benefit success looks at how well the company is enriching its owners. In
reality, many say this is the greatest indicator of organizational success. Stockholder capital
optimality and value for shareholders model are just like value for shareholders. Shareholder
valuation can also apply to the market cap of a business.

Concentrating on modern years, it might usually be suggested that employers tend to see happy
workers who feel happy at their work environment; they want to deal with individuals who have
a favorable view of the work. Employees who have a high degree of job satisfaction usually
enjoy their jobs; they see fairness in the world in which they work and sense that their job gives
them certain positive attributes, such as diversity, difficulty, fair pay and protection,
individuality, fun colleagues, etc. Staff who are satisfied at work will even dedicate their
personal time to their work, they will be imaginative and dedicated, they will explore a way to
solve any barrier that may arise in the understanding of their work, and they will support their
peers and supervisors. These employees will have exceptional results, and the businesses with
these types of workers will be profitable.
There are three types of Organizational Behavior Theories i.e., Classical, Neo-Classical and
Modern Organization Theory. Classical management methodology is predicated on the
presumption that employees have only environmental and financial needs. It does not focus on
the social needs or work satisfaction, but instead promotes the division of labor, concentrated
leadership and judgment, and maximizing income. Through classical organizational strategy,
organizations are classified into three different management levels. At the highest are the
founders, the executive board and the managers who set long-term goals for the company.
Middle managers are responsible for managing subordinates and setting departmental priorities
to fit into the expenditure of managers. At the bottom level of the chain, managers oversee day-
to-day operations, resolve staff complaints and conduct instruction. Classical managerial
approach entails a production line view of the workforce in which big tasks are split into smaller
tasks that are simple to achieve. Understanding of the significance their positions and are usually
trained in a particular field. It aims to maximize production and performance while removing the
need for multi-tasking workers. The hypothesis is that workers are inspired by financial
incentives. It suggests that workers work even harder and are more efficient if they earn bonuses
on the basis of their work. Business owners who can inspire their workers by using this
technique can be able to gain improved productivity, quality and benefit.

Neoclassical theory was an effort to integrate behavioral sciences into organizational thinking in
order to address the challenges created by classical theory methods. The basis of this
incorporation was predicated on the assumption that the job of leadership is to use workers to do
tasks in organizations. Instead of concentrating on production, processes or technologies, the
neoclassical philosophy addressed workers. Neoclassical thinkers have focused on addressing
questions on the right way to inspire, organize and assist workers within the company.
Neoclassical philosophy incorporates methods and philosophies that rely on the individual side
of the organization. There are two major roots of neoclassical theory: the development of
interpersonal interactions and the development of actions. The human relations approach
emerged from the work of many philosophers and social physicists who were interested in how
people communicate and connect within a society. The behavioral revolution came from a
variety of therapists who concentrated on the individual decisions of workers. This theory
considers the explicit and implicit modes of organization to be significant. The behavioral
method adopted in this philosophy is a further addition by neo-classical theorists. The
foundations of classical philosophy. The segregation, unit, organization and human actions were
taken as provided, but these assumptions were deemed modified by persons behaving
individually or within the framework of an organizational context.

Modern Organizational theory is essentially an extension of the organizational behavior of

structures. According to this philosophy, there is no clear management behavior or operational
style that is suitable for all circumstances. This methodology studies the enterprise as a whole.
The mutually supportive variables are adequately evaluated. Internal and external factors are
analyzed in the study of the essence of the organization. While this hypothesis has a much higher
philosophical level than earlier hypotheses, various authors have offered different views of the
method. Organization as a structure can well be described by defining the different sub-systems
inside it. Those procedures, functions, systems and codes of behavior can be defined by each
subsystem. Although the approach to processes provides a clearer interpretation of organizational
and administrative operation, it does not offer a solution for all forms of organizational
structures. The Framework Solution provides templates that do not fit any form of enterprise. A
structure suitable for one unit should not be acceptable for another. Contingency strategy implies
an operational framework that is acceptable to a single unit. A framework can only be acceptable
if it is customized to the organization. The effect of both internal and external influences should
be understood in the context of an effective organizational structure. This approach implies that
desires, conditions and circumstances of special interest should be addressed when constructing
an organizational framework.

Conclusion

Job satisfaction is an incredibly complex phenomenon that is shaped by various variables or

more generally, by a collective of factors that are often interconnected. The correlation between
work satisfaction and organizational success was greater than the link between organizational job
satisfaction and quality of work life. Job satisfaction may be seen to assess organizational
success more firmly than organizational performance decides job satisfaction.
This essay provides a major contribution to the study of the relation between job satisfaction and
organizational performance in both ways, with special focus on the importance of examining the
link between organizational performance and job satisfaction.