Chapter 1-5

CHAPTER ONE
INTRODUCTION
1.1 Background to the Study
Employee performance is fundamental component that facilitates organizational
growth and sustainability, specifically being affected by the reward system employed in an
organization (Ngulube, 2015). Over the last few decades the world business environment has
undergone a radical transformation. The world, has become smaller, not physical, but in
terms of communications, competition and economics. This has radically changed the way
successful organizations do business and how they look at their employees. This
transformation has impacted the private sector significantly and is impacting the public sector
as well both indirect and indirect ways.
An organizations reward system shapes its culture and defines for the employee what
type of behaviours the organization want to pay for and reinforce. Every organization
attempts to control the competence and capabilities of its people in order to accomplish its
goals, the difference is in the methodology. Lawler (2017) argues that control can best be
obtained through incentives pay, close supervision, hierarchy and the careful delineation of
responsibilities. The new logic management the approach involves employees in the business
of the organization, looks to them for innovation and solutions and rewards them when the
business succeeds. Some of what is drawing this change is an increased competition to obtain
and retain human capital. According to Wyatt (2018) 83% of surveyed companies reported
difficulty in recruiting 10 employees that have the skills that are critical to the succeed.
Wiscombe (2017) explains on a study that was conducted by Lawler that bothered on
rationale of reinforcing the conception that intrinsic offers have a noteworthy outcome on
the performance of an organization in the study, carried out in 2017, Lawler questioned
administrators and workers from 34 corporation in Australia and conclude that the
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acknowledgement of employees via the provision of intrinsic gifts augmented enthusiasm,
amplified employee performance, was providing a realistic feedback means, assisted in
receiving work completed enhanced organization productivity and was also facilitating the
attainment of the administrators personal as well as professional goals. Reddy (2016)
underscores the need for intrinsic incentives in the workplace in Austrialia Redd’s finding
insisted that recognition also serves to encourage employees to believe in themselves, to
deliver quality products and services and to generate loyalty to the organization.
Intrinsic rewards are any benefits employees receive from an employer or job that is
above beyond the compensation package for the purpose of attracting to the company as well
as retaining and motivating the employees. While attempting to explain the concept of
intrinsic reward, Jennifer et al., (2018) point out that the powerful existence and the success
of the organizations is defined through how they make their employee more satisfied. Hafiza
et al, (2017), further equated intrinsic reward to intrinsic rewards that happens during
managing the job itself like satisfaction of a finished task in an effective manner, career
advancements through promotion, job security and personal recognition. From the conceptual
perspective intrinsic rewards which the study intends to adopt include promotion,
appreciation and delegation due to their effect on employee performance.
Promotion which is a form of recognizing one’s outstanding performance help to
satisfy employee’s need for security, belonging and personal growth promoted individuals
tend to increase their commitment, conversely those who are by passed for promotion feel
they have not treated fairly, their commitment decreases and their absenteeism increases.
Further research by Amstrong (2018) revealed that promotions in organization are considered
as a big reward to good performance and because most promotions come with challenging
tasks, they are seen as a tool for performance improvement especially where they are done
objectively.
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1.2 Statement of the Problem
The ways in which employee are valued and rewarded can make a considerable
impact on the effectiveness of the organization, and is at the heart of the employment
relationship. Failure of adoption of ample reward frameworks can have a significant negative
effect on the motivation, commitment and morale of employees, hence a decline in
organizational performance and effectiveness. Many organizations are suffering from high
turnover rates and down falls because they do not apply intrinsic rewards that may only need
little effort (Aktar, Sachu and Ali, 2017).
Additionally, though organizations are channeling more resources in boosting
organization performance, there is widespread ignorance on how employee performance
could increase when managers and human resource personnel use intrinsic rewards on
employees, the relationship existing between the kind of rewards and performance and how
effective they can be utilized in an organization.
Most importantly, the high cost of monetary rewards, forces employers to give to
employees sparingly, out of the failure to realize that small offers like recognition and open
communication can be given at very little cost and could boost employee performance to a
great extent. This proves the facts that most organizations are far away from realizing the
importance of intrinsic rewards; hence they continue offering monetary ones that can never
be enough for employees. Although everyone needs to obtain the smallest of essentials to
live, employees prefer the benefits of intrinsic gifts and incentives for motivation in the
workplace. This implies that; regardless of how monetary incentives have been used widely
in organizations, sometimes they discourage creativity in the workplace, a concept that can be
achieved via the use of intrinsic rewards like career development via free trainings and work
orientation.
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1.3 Research Questions
i. What is the relationship between appreciation and employee performance in Uni-
Lever Nigeria Plc Lagos.
ii. What is the relationship between promotion and employee performance in Uni-Lever
Nigeria Plc Lagos.
iii. What is the relationship between delegation/participation and employee performance
in Uni-Lever Nigeria Plc Lagos.
1.4 Objective of the Study
Generally, the aim and objective of the study was to investigate the influence of
intrinsic rewards on employee performance in Uni-lever Nigeria Plc Lagos, the main
objectives of this study is to investigate the following issues
i. To determine the relationship between appreciation and employee performance in
Uni-Lever Nigeria Plc Lagos
ii. To determine the relationship between promotion and employee performance in Uni-
iii. To examine the relationship between delegation/participation and employee
performance in Uni-Lever Nigeria Plc Lagos.
1.5 Statement of Hypotheses
Hypothesis 1
Ho: There is no significant relationship between appreciation and employee performance in
Uni-Lever Nigeria Plc Lagos.
Hi: There is significant relationship between appreciation and employee performance in Uni-
4
Hypothesis 2
Ho: There is not significant relationship between promotion and employee performance in
Uni-lever Nigeria plc lagos.
Hi: There is significant relationship between promotion and employee performance in Uni-
Hypothesis 3
Ho: There is no significant relationship between delegation/participation and employee
Hi: There is significant relationship between delegation/participation and employee
1.6 Significance of the Study
The study is of great importance as the result of the research will be useful to the
management of issues surrounding organizational management and corresponding influence
that Intrinsic rewards may have on workers performance. With the acquired information, the
management will come up with intrinsic rewards strategies to aid Uni-Lever Nigeria Plc
Lagos in enhancing their competitive edge.
Additionally, findings of the study will be useful to prospective investors who are
willing to invest in Uni-lever Nigeria plc Lagos as they formulate strategies for enhanced
performance of the organizations they invest in. Furthermore; this study will be helpful to
future researchers and scholars who may develop an interest of undertaking studies in a
similar field concerning Intrinsic rewards and their influence on the performance of
employees. The result of this research will consequently add to the level of knowledge that
exist on issues of intrinsic rewards and organizational performance which may be useful to
the student of higher institutions.
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1.7 Scope of the Study
The scope of the research work was centred on Uni-Lever Nigeria Plc Lagos. It is the
study of intrinsic rewards and its impact on the performance of employee in Uni-Lever
Nigeria Plc Lagos. This study is limited by the ability to get the required information needed
as the company tried to protects its secret for security purpose.
Another problem faced was the questionnaire. Some of the workers were too busy to
fill the questionnaire and as a result not all questionnaire administered were returned.
1.8 Operational Definition of Key Terms
Intrinsic Rewards: these are non-money or non-monetary inducement that influence staff to
be committed to their work which includes, praise, recognition etc. Is an intangible award of
recognition, a sense of achievement, or a conscious satisfaction because intrinsic rewards are
intangible, they usually arise from within the person who is doing the activity or behavior, so
intrinsic to the person doing the activity or behavior.
Employee Performance: This is accomplishment of a given task measured against preset
known standards of accuracy completeness, cost and speed. Amstrong (2014) further states
that performance refers to an evaluation of the results of person’s behavior. That is;
determining how well or poorly person has accomplished task or done a job.
Recognition: recognition is defined in many ways some defined it as a reward or celebrating
a success at work while others defined it as earning an incentive for reaching a goal all of
these terms are related to recognition in one way or another (Global Recognition and
incorporated) Armstrong (2016) agrees that recognition is one of the most powerful
motivator. In this context, recognition shall consider the managers need to know how they
have achieved their objectives and appreciated.
Employee Participation: Is the process whereby employees are involved in decision making
processes, rather than simply acting on orders. Employee participation is part of a process of
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empowerment in the workplace. Empowerment involves decentralizing power with the
organization to individual decision makers further down the line. Employee participation is
also referred to as employee involvement.
Rewards: Employee rewards is concerned with both financial and Intrinsic rewards and
embraces the philosophies strategies polices plans and processes used by organization to
develop and maintain rewards and reward system.
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CHAPTER TWO
LITERATURE REVIEW
2.1 Conceptual Framework
2.1.1 The Concept of Intrinsic Rewards
Rewards that are used for appreciating employees in an organization benefits both the
workers and the employers. When workers are acknowledged for suitable performance as
well as productivity, they acquire augmented morale, satisfaction for their job and in addition
to involvement in executive functions. As a result, organizations experience superior
effectiveness and competence on top of an augment in sales and efficiency. Through
organizational rewards, workers and employers enjoy an affirmative and fruitful working
environment. There are two basic types of rewards in the workplace.
The first type of rewards is monetary rewards. People work so as to satisfy their
requirements and these requirements may be met by monetary rewards. Monetary rewards are
refund in cash and in form of money for a given work done by workers in the company
(Hansen, 2018). Workers would go any level to enhance their cash income as they will do
something to avoid their source of income from being removed. The fact that workers fear to
lose their jobs, cash has been a very efficient motivator only because money is necessary for
continued existence in an economy (Dunham, 2017). Monetary reward in modern society is
the most transferable means of satisfying fundamental requirements (Kohn, 2018).
Physiological satisfaction, protection and social requirements may only be attained with
money (Kepner, 2017).
The effort-to-performance expectation is sturdily persuaded by the performance
assessment which is frequently part of the reward system. A worker is probable to use extra
effort if he or she understands that performance will be assessed, appraised, and rewarded. 18
The expectancy of performance-to-outcome is influenced by the level to which the worker
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thinks that performance will be followed by rewards (Allen, 2017). Lastly, every reward or
potential reward has to some extent different value for every individual. An individual can
want a promotion more than reimbursement; somebody else can want only the opposite
(Nelson, 2018). When a company rewards a whole work group or team for its performance,
collaboration among the members typically enhances. Though, competition among different
teams for rewards may cause decline in whole performance under definite situations. The
most general team or group rewards are plans of gain sharing, where worker teams which
meet certain objectives share in the gains measured against performance targets (Shutan,
2018). Frequently, programs of gain sharing emphasize on quality enhancement, reduction of
cost, and other quantifiable results (Kepner, 2018).
Despite the positive role monetary rewards have played, employees have a tendency
to have different approach and a manner towards money rewards (Hansen, 2017). The most
general of the different reaction to salary and wages by employees is that once it crosses
lowest levels, it is regarded as a measure of fairness. (Kohn, 2016) posited intrinsic rewards
as extreme benefits made accessible to staff and are regarded as an addition to salaries and
wages. It contains direct as well as indirect reimbursement (Shutan, 2018). The direct
reimbursement can contain profit-sharing, illness pay, pension plans, and so on (Kerachsky,
2015). The indirect reimbursement can include welfare services, social as well as recreational
facilities, etc. Pay, if merely it could be correctly packaged would someway lead to the
desired approach to work. Perception of employee of his pay with respect to other employees
of same position could influence the satisfaction, which he obtains from the job. The aim of
monetary rewards is to reward workers for outstanding performance through money (Nelson,
2017). Monetary rewards contain profit sharing, stock options, and project bonuses,
scheduled and warrant bonuses (Allen, 2016). The aim of monetary rewards is to reward
employees for brilliant job performance by opportunities.
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The second form is intrinsic rewards. Intrinsic rewards gifts reward the performance
of employees through opportunities and perks. The rewards are inclusive of recognition,
opportunities for training, independent working environment and so forth. The Intrinsic
rewards are crucial to a worker due to their ability of allowing workers to acquire new skills
as well as to pursue opportunities for advancement. For instance, a worker who graduated
recently from school may consider a training program that is exemplary as better compared to
his salary because of the feeling that the training has the ability to benefit him or her in the
career that he holds (Allen, 2017).
Although standard organizations often have hardship experiences when offering
incentives that are Intrinsic rewards, the extremes are not a negative as they could be thought
of. This means that the benefits are higher when utilizing Intrinsic rewards gifts in
organizations. Intrinsic rewards have the ability of enhancing creativity among the associates
of an organization because when employees become aware that they will receive gifts that
lack a monetary value, they tend to worker even harder so as to rise above the limits as
opposed to just complying with organizational rules and requirements (Shutan, 2010). This
occurs because competitions among the employees are normally curbed so that every
employee can work to better his career life as well as to achieve the goals of the organization
that he/she works for. For instance, when workers become informed that they may get a T-
shirt, they tend to work harder in order to give a better outcome in every task that they are
assigned. This has the implication that intrinsic rewards incentives enhance teamwork in
organization, from the management up to the lower level employees (Ballentine, 217).
Through an economy of downward spiral that is normally constant, employers have a duty to
keep on 20 finding out about what rewards are appropriate for employee motivation without
necessarily having to break the bank (Appelbaum, 2018). Intrinsic rewards are known to
motivate employees on job performance as also develop interest on the organizations that
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they serve. As a result, the interest in job by employees creates happiness, which in turn leads
to job satisfaction; thus benefiting both the organization and the employee (Sorauren, 2018).
Generally, rewards exhibit a high rate of influence towards the performance of
employees in any organization as postulated by Stannack (2017). A vast number of theories
have been proposed regarding the influence of rewards on employee performance; however,
this study will look into Abraham Maslow’s hierarchy of needs theory as those that are
crucial in underpinning the concept of the influence of intrinsic rewards on employee
performance.
Figure 2.1: Conceptual model
INTRINSIC REWARDS
Appreciation
Recognition
Regular praise
Promotion EMPLOYEE PERFORMANCE
Advancement Productivity
Higher job title Effectiveness
Higher level responsibilities
Delegation/participation
Decision making Dependent Variables
Empowerment
Trust
Independent Variables
2.1.2 Appreciation
According to the researcher, appreciation is a critical part of the work experience
which motivates employees to improve on performance. Every person has the need to be
appreciated for their effort. Sometimes, an employer may not have to spend much or think of
other various ideas to reward their employees, simple recognition in the form of saying thank
you, recognizing strength over weakness, complementing good work behavior, praise, a
letter, an email, or a public announcement can let them feel recognized and appreciated.
Employers can also provide challenges to everyone by creating healthy competition among
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their subordinates. Conduct contests such as search for the employee of the month or
employee of the year and give the winners some nice business plaques (Baron, 2010).
According to Govindarajulu (2004), employees expect appreciation from supervisors
and often praise beats out financial rewards. Baron (cited in Danish 2010) argues that when
we appreciate and acknowledge the staff in terms of their identification, their working
capacity and performance is very high. The experience of a “recognized” employee, “to be
recognized formally gives an extra motivation and makes one wonder what he or she should
do to keep the momentum going” (Kabuye, 2013).
Managers need to prioritize employee recognition and ensure a positive, productive,
innovative organizational climate. Provide employee recognition to say thank you and to
encourage more of the actions and thinking that you believe will make your organization
successful. People who feel appreciated are more positive about themselves and their ability
to contribute. People with positive self-esteem are potentially your best employees. These
beliefs about employee recognition are common among employers even if not commonly
carried out (Moorhead & Griffin, 1998)
Similarly, Hadijimanolis, (2000) says that the prosperity and survival of the
organization can be interpreted by analyzing the way they treat their employees. This is
because valued employees of a firm become an asset for that firm and give competitive
advantage in the long run. While the organization as a whole and individual departments are
responsible for providing resources and programs for recognition activities, employee
recognition is fundamentally about relationships. Employees want their contributions and
efforts to be acknowledged by those they work with on a day-to-day basis, including
managers and peers
Similarly, Hadijimanolis, (2000) says that the prosperity and survival of the
organization can be interpreted by analyzing the way they treat their employees. This is
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because valued employees of a firm become an asset for that firm and give competitive
advantage in the long run. While the organization as a whole and individual departments are
responsible for providing resources and programs for recognition activities, employee
recognition is fundamentally about relationships. Employees want their contributions and
efforts to be acknowledged by those they work with on a day-to-day basis, including
managers and peers.
Having a better understanding on how important appreciation and gratitude are on a
personal level and how it directly impacts the workplace, makes it possible to create an
appreciation plan that fits company values, mission, culture and most importantly, something
all employees can participate in and benefit from (Armstrong, 2008).
2.1.3 Promotion
Beardwell (2004) contends that promotion shows a high value the employer places on
the worker. It can lead to an increase in employee’s satisfaction, motivation and commitment.
Meanwhile, Souza’s (2002) study revealed that promotion plays an important role in
organizational career development process. Similarly, Muhammad et al, (2011) noted that
promotion enhanced employees’ commitment to organizational performance.
On the other hand, Mann (2010) asserts that promotion which is a form of recognizing
one’s outstanding performance helps to satisfy employees’ need for security, belonging and
personal growth. Promoted individuals tend to increase their commitment, conversely those
who are by passed for promotion feel they are not treated fairly, their commitment decreases
and their absenteeism increases.
According to Wayne (1998), promotion psychologically helps to satisfy employees’
needs for security, sense of belonging and personal growth. Beardwell (2004) also observed
that competition for promotion encourages employees to increase their level of effort and this
improves on their performance. In one of his studies, it was found out that one employee had
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to quit her job because she had been promised a promotion after her studies but the promise
was not fulfilled.
Further research by Armstrong (2008) revealed that promotions in organizations are
considered as a big reward to good performance and because most promotions come with
challenging tasks, they are seen as a tool for performance improvement especially where they
are done objectively.
According to Doeringer and Piore (2011) promotion is the advancement in gaining
higher positions Similarly, Okumbe (2009) asserts that promotion involves the advancement
of a worker to a better job in terms of more skill, responsibilities, status and remuneration.
Promotions should be used by the organizational management to place the most competent
and productive worker on each job. Doeringer and Piore (2011), say that in order to develop
skills and abilities specific to the company, its significant from an organizational perspective
to retain employees for a long period of time and promote them in accordance with their
company’s specific skills and abilities. Decenzo and Robins (2012) in their definition of
promotion as a sequence of positions occupied by a person during the course of a lifetime,
state that every employee has once been or will be promoted. However, this is a narrow view
of looking at promotion because, although promotion looks at upward movement along the
career curve, there are cases when individuals occupy positions less favorable than their
previous jobs and it does not follow then that their performance will be enhanced. Jacoby
(2010) and Morishima (2006), indicate that promotion opportunities increase the level of
individual performance and organizational commitment among workers in their career
advancement, influences the workers behaviors and attitudes such as motivation and
organizational commitment, particularly in the case of stable employment. In upholding the
views of Jacoby (2010) and Morishima (2006), Pigors and Myers (2013), submitted that, not
only seniority of long service or experience that deserves promotion but promotions should
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be a reward to encourage those employees who make a successful effort to increase their
knowledge or skill. They continue to say that in a case where the promotion criteria for
promotion is not clearly defined, management needs records of performance appraisal, if it is
fairly to administer a promotion policy based upon employee competence.
Organizations for example, attach promotions to higher positions to academic and/or
professional achievements (Muya & Kang’ethe, 2009). The two authors in their investigation
recognize the need to promote staff depending either academically or administratively,
depending on the needs and policies of the institution. Tournament Theory propounded by
Lazear & Rosen, (2011), states that when an organization insufficiently monitors its
employees’ behaviors such that it possesses imperfect information regarding employees skills
and abilities, it is effective to administer a competition of career advancement based on the
indication of their exhibited abilities (i.e. through the rank order of job performance that
reflects employees‟ skills and abilities demonstrated on the job). If tournament participants
recognize that rewards presented to winners (i.e. prestigious positions), are beneficial, they
will work hard in pursuit of the prizes. Findings from this study revealed that awarding prizes
or gifts to best performers can contribute to improved performance.
In other words, winnings from career competition between promoted and non-
promoted employees are incentives to work hard and perform well. It further states that it is
effective to administer a competition of career advancement based on the indication of
employees‟ exhibited abilities (i.e. through the rank order of job performance that reflects
their skills and abilities demonstrated on the job). In addition, employees are promoted solely
on the basis of their tenure and experiences in the organization. According to the tournament
theory, the effectiveness of promotion depends on the presence of job security (i.e. promotion
opportunities motivate employees whose job security is maintained while are motivated by
wages when employment is unstable).
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Mottaz (2008) holds the view that in an effort to uplift the quality of performance of
employees, the staff development programs should intend to base the promotion of
employees on the results of their performance. Musaazi, cited by Maicibi and Nkata (2005)
observe that as for promotion, we see advancement into positions with greater challenges,
more responsibility and more authority than in the previous job.
According to them, promotions bring about an increased feeling of self worth, high
salary and higher status in the organization. They however, warn that promotion is neither
transfer nor downward or upward movement. Many employees decide to leave an
organization rather than accept a transfer and in order to ensure that employees accept
transfers, promotions and downward movements as development opportunities, organizations
can provide information about the content, challenges and potential benefits of the new job ad
location. Muya & Kang’ethe (2012), add that since promotion whether academic or
administrative is very appealing regardless of the consequential wage increase, it acts as a
strong incentive mechanism provided employees value the higher positions in the context of
long-term employment which is common.
On the other hand, the speed of advancement is lagged because slow promotion
causes employees to stay in the promotion competition for a long time and maintains a high
level of motivation and job performance. In general, employees are willing to work hard in
pursuit of promotion. Kaguhangire (2009), in her study on staff development programs and
promotional procedures at Makerere University, found out that the criteria for promotion of
academic staff is not clear and non-academic staff are marginalized in accessing the program.
While upholding the view by Kaguhangire (2009), Pool et al (2010), in their investigation on
Australian women and careers, further advanced the justification for promotion criteria. They
found out that though older dons were more likely to express satisfaction with position on
pay scale, it was then useful to note that no overriding age differences in academic
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performance with remuneration. By contrast, age showed predictive influence on job
performance with promotion. Relative to gender and promotion, women dons more than men,
were highly disenchanted with promotion criteria and was said that no evidence was revealed
to show a gender difference with academic promotion. This study however, did not reveal to
what extent promotion influenced employee performance, which gap this research intended to
fill. It was expected that from the study, employees whose expectations are met by the
district, most of the time, will tend exhibit to higher performance than those who find a
mismatch between the District and their expectation. Pool et al (2006) found that, promotion,
an intrinsic aspect of academic work, contributed to don’s academic work. There are striking
persistent differences between senior and junior dons, however, to suggest that promotion
among women academics was dependent on rank.
Previous studies suggest that promotion opportunities are important determinants of
performance. For example, Mottaz (2008) has shown that promotion opportunities for
advancement have a positive effect on employee job performance and organizational
commitment. The importance of promotion opportunities as a significant determinant of
organizational commitment was also identified by Quarles (2006) who in his study on the
commitment of internal auditors, Inter alia, the strength of organizational commitment states
that promotion was one of the principle determining factors of propensity to stay. However,
performance-based promotion has the potential to undermine supportive relations amongst
workers; hence, it represents a “two-edged sword” (Kaczynski, 2002).
While many of the above studies observed an actual positive impact on promotion
especially on personal needs on individual basis, others came to a mixed bag of positive and
negative impacts, while others actually suggested negative ones. During the study, it was
established that promotion indicates the confidence supervisors have in their employees, and
this encourages them to perform better.
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2.1.4 Delegation
According to Sengul, Gimeno, and Dial (2012), delegation or empowering one to act
on behalf of another is a sine qua non (outcome) of the modern firm. Lupia (2001) indicates
that delegation occurs when some people ask others to perform tasks on their behalf. For
most of us, delegation is an important part of our daily life. Delegation of decision making to
managers is efficient when managers allocate resources, including their own efforts, in ways
that do not divert from owners’ objectives (Sengul et al, 2012).
The researcher posits that delegation of the Human Resource decision-making process
to departments, restructuring the job classification and adjusting tools for improving
workforce planning motivates employees to improve performance. In addition, low
managerial delegation and decision-making should also be strongly centralized.
According to Barron (2010), there is a direct correlation between how involved
delegated employees are in the decision making in their department or team and their overall
morale, motivation, and satisfaction with their jobs which prevents them from quitting from
their job. Therefore, if employees are delegated to participate in decision making, they get
motivated to retain their jobs and improve performance. Companies and departments who
have a higher level of employee involvement in decision making show higher levels of
employee motivation, satisfaction and employee performance.
Jenkins (2013) states that, there are many benefits of delegating and involving
employees in the decision making of your company or department. When employees are
involved in the decision making, they feel that people in ownership and management
positions value them as a significant contributor to the team’s success. When people feel
valued, they will usually raise their level of effort and commitment to ensure the
department’s or company’s success and will perform better.
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Relatedly, Mwondah (2007) avers that managers and supervisors need to have clearly
defined responsibilities and accountabilities delegated to subordinates for integrity and
corruption prevention in the areas of work directly under their control in the Inspectorate of
Government. That the Inspectorate of Government manual as the code of conduct for staff
places heavy responsibility on supervisors to ensure that staff under them perform delegated
duties properly and are not corrupt.
Musaazi (2008) indicates that delegation increases flexibility in the organization as
every problem is no longer referred to a central authority for a decision to be taken. For
instance, employees can take decisions without referring each and every issue to the
principal. In this case, delegation permits the making of decisions with least delay. Gardner et
al (2006) adds that delegation provides an employee the opportunity to exercise self -
direction and control, which signals to the employee that he or she is considered by the
supervisor/organisation to be able, task competent, organisationally important, and needs
satisfying. In here, it is emerged that delegation promotes flexibility in decision making
without having to wait for the top managers and also provides chance for self direction of the
employees. It became the researchers’ interest to analyse how employees in their departments
made decisions without waiting for their supervisor’s orders hence getting motivated to work
harder.
According to Bryan (2010) departmentalization which is a form of delegation
contributes to improved employee performance. Departmentalized firms can largely benefit
from this division of their work activities. Often coordination and control are provincial, and
made much easier, as those top managers can view the various activities of their employees,
and how they are performing within this specified department. Departmentalization enables
an organization to exploit each department as a profit centre. A profit centre can be described
as a separate department which is held accountable for its own profits as well costs. In here, it
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emerges that with delegation coordination and control are provincial that is at the lower levels
and this makes it much easier exploit each department as a profit centre.
According to Cliffs (2010), delegation is the downward transfer of authority from a
manager to a subordinate. Most organizations today encourage managers to delegate
authority in order to provide maximum flexibility in meeting customer needs. In addition,
delegation leads to empowerment, in that people have the freedom to contribute ideas and do
their jobs in the best possible ways. This involvement can increase job satisfaction for the
individual and frequently results in better job performance. Without delegation, managers do
all the work themselves and under utilise their workers. What arose in this literature was that
delegation leads to empowerment for people have the freedom to contribute ideas and do
their jobs in the best possible ways. Accordingly, this increased employee performance.
Matthew (2010), states that delegation is an integral part of every employee's work.
Delegation is independent of the size of the organization, and an employee requires either
upward or downward delegation, based on his/her position in the organizational hierarchy.
Delegating downwards is more commonplace and it stems from the employee's position in
the hierarchy. Though the concept of delegating upwards is not popular, it forms an essential
aspect of delegation at the workplace. Delegation is used to tap into the skills and resources
already within the group, avoid burning out a few leaders, get things done, prevent the group
from getting too dependent on one or two leaders, enhance the functioning of the team, allow
everyone to feel a part of the effort and the success, groom new successors and enable new
skill development in the team. Succession planning is a dynamic, ongoing process of
systematically identifying, assessing and developing leadership talent for future assignments
and tasks. It provides a pool of talented and skilled personnel who are ready to take up
advanced roles and bigger responsibilities. In this literature it emerges that delegation helps to
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tap into the skills, avoiding burning out a few leaders and allows allow everyone to feel a part
of the effort and the success automatically leading to job satisfaction.
Delegating makes followers feel a deeper sense of responsibility and ownership of the
organization. This is an avenue for recognizing good member contributions and the
supervisor as a leader has the opportunity to try out some new growth producing behaviors.
The followers are challenged by new and different responsibilities; the load of responsibility
is more equally shared among a larger number of members; followers become more aware of
the broad functioning of the organization (Student Organization Centre, 2007).
In here it pointed out that delegation increases the employees’ effort as they
understand the organization. The granting of freedom to act by superior is evidence of
confidence in the subordinate. The subordinate responds by developing a constructive sense
of responsibility (Rao & Narayana, 2007). Delegating work to the specialists who possess the
detailed knowledge for realistic decision making makes tasks to be performed quickly and
efficiently. Control can be maintained through periodic reports, special reports, informal
meetings, and personal visits (Musaazi, 2008).
Musaazi (2008) points out that it is generally recognized that the organizational man
desires self esteem and needs fulfillment. These in turn motivate people to contribute more
towards objectives of the organization they work for. Delegation therefore gives people the
freedom to direct their own activities, to assume responsibility and thereby satisfy their ego
needs. Employees develop a sense of participation in the running of their school when they
are given some voice in the decisions which affect them in their day-to-day work. In here, it
emerges that with delegation work is performed quickly and efficiently because ego needs are
satisfied.
21
2.1.5 The Concept of Employee Performance
Development of organizations relies on various factors that are meant for improving
sustainability in relation to the effectiveness of an organization. When productivity is
improved, the commitment of workers is as well improved because the values of an
organization, its culture and also the norms improve. Systems in organizations are usually
based on culture that is effectively established because it helps in keeping working
environments strong. The most important aspect of employee performance is that it helps in
improving the establishment of a strong organizational culture in an organization. In this
regard, the performance of workforce has long been considered as a foundation for many
organizations because it leads to the expected developments. Employee’ loyalty has its basis
on the awareness as well as the knowledge of the culture of an organization, which in turn
improves the behaviour of organizations whose operations are objective driven (Brooks,
2016). The culture of organizations has been broadly discussed in a study conducted by
Administrative Science quarterly (as cited in Pettigrew, 2015). Employee’s basis regarding
norms and values on the management of a particular organization aids in the improvement of
15 the performance of employees. Quality awareness leads to improved employee as well as
organizational development.
The extent to which the achievements of a particular employee fulfill the mission of
the organization that he/she works for is normally known as ‘performance’ (Cascio, 2016).
Performance as a concept has earlier on been understood in different ways by various
academicians and researchers; however, the majority of scholars have always related
performance with transactional efficiency dimension and the efficiency of an organization
towards achieving its goals (Stannack, 2018; Barne, 2018). An employee’s job is put together
by the degree to which an employee achieves targets as per the definition of the
organization’s mission, which in turn gives the definition of performance boundaries (Cascio,
22
2017). Particular researchers have been long identifying dissimilar deliberations, attitudes and
viewpoints of performance because it aids in measuring contributed inputs as well as output
measures of effectiveness that result in transactional relationship (Stannack, 2017). An
organization’s ability in establishing the ideal association with resources such as capital
demonstrates effective as well as efficient resources management (Daft, 2016). For
achievement of goals and organizational objectives, ample strategies have since the beginning
of time been premeditated on the basis of the performance of organizations (Richardo, 2016).
The equity that has its foundation on elevated returns aids in successful managerial skills of
an organization resources in order for performance to improve (Ricardo, 2017).
McClay, Campbell and Cudeck (2018) have defined the performance of a job as those
actions or behaviors that are crucial to the organizational goals. Similarly, Campbell (2018)
views ‘performance’ as demonstrated behavior or something that is done by employees for
the performance of an organization, and the assessment is effected via the outcome of
performance that is operational in relation to sales, turnover, income, volume in addition to
shareholders dividend that has been declared by an organization, the quality and service
quantity. In this regard the performance on job as a concept cannot be termed as a concept
that is singly unified, rather, a concept having numerous viewpoints that contains a variety of
behaviors. For instance industries dealing with services produce goods that are insubstantial
and services quality has its predictions done according to the performance that is immediate
from employees that are in service. Thus, the conclusions based on these arguments are that
the performance on job is obtained via employees efforts (O’Hara, 2017).
Managers have the ability to influence performance as well as cohorts in an indirect
way via the creation of a suitable working environment for employees, the development of a
philosophy that is suitable that aids employees in shaping their commitment to the
23
achievement of the goals set by the organization they are working for as well as in the
articulation of strategies as stated by Avery (2018).
Further, Brown and Leigh (2017) affirmed that the climate of an organization is
normally anticipated to posse’s links that are progressive the satisfaction of workers, the
satisfaction of customers, monetary performance as well as employees turnover. Blanchard
and Witts (2016) argued that in case institutions fail to take time in actively recognizing and
rewarding high-quality performance, job desire for workers deteriorates with each triumph
that goes unrecognized. The feedback in performance gives motivation to the workers’ desire
so that they do even better. Agarwal (2018) asserted that if workers are engaged in decision
making and also participation in transformations execution of those issues affecting them,
they are capable of implementing transformations at a faster rate accompanied by higher
performance as opposed to workers who in their organizations only get informed about the
revolution. In the same note, across (2017) contended that workforce does not execute duties
well in circumstances where there is no recognition and independence is not ascertained,
predominantly when workers have already acquired skills that are adequate for working
autonomously.
The independent variable which is performance of employees is an important factor in
an organization, which is measurable in relation to organization and employee productivity.
Also, organizational employee performance can also be measured in terms of how effective
the operations are, in addition to service delivery which is the main goal of an organization.
Employee performance can be measured in terms of independent variables which are the
intrinsic rewards, including recognition/appreciation, promotion and delegation/participation.
For the intervening variables which include culture, management practices, stakeholder
involvement as well as open communication; these are the conditions that must be put in
24
place for the performance of an organization to be as the original objectives. These can be
measured in terms of the level of appropriateness.
Each independent variables mentioned above has a specific influence in the dependent
variable which is employee performance. Appreciation enhances job satisfaction, which in
turn enhances an organization performance. Additionally, promotion leads to increase in
employee’s satisfaction, motivation and commitment. It brings about an increased feeling of
self-worth and higher status in the organization. Furthermore delegation and participation
involved bringing employees into decision making by this they get motivated to retain their
jobs and improve performance.
2.2 Empirical Review
Rajendran, Mosisa and Nedelea (2017) investigated the impacts that intrinsic rewards
have on the performance on employees in an agricultural research center in Ethiopia and
found out that there is a strong correlation between the two variables. Incentives such as job
satisfaction, autonomy, recognition in the organization, and job security induce the
employees with morale towards improving their work results and hence achievement of
organizational goals. In addition, Murpy (2015) writes that non-pay values and rewards such
as participation in decision-making processes improve motivation of employees including the
ability to innovate and perform more in the organization. The author adds that this
relationship is a proof that money is not a strong contributor to employee performance and
does not lead to components such as improved behaviors, improved cooperation with
management, and longer working period for the employees. Use of non-pay rewards is also a
less costly practice in an organization and hence easier to implement.
A study conducted by Kvaløy, Nieken, and Schöttner (2015) emphasized on the role
played by non-monetary incentives in enhancing the performance of employees. In the study
dubbed “Hidden benefits of reward: A field experiment on motivation and monetary
25
incentives,” Kvaløy, Nieken, and Schöttner (2015) cite motivational talk as a critical source
of motivation to the employees that actually makes a difference in their performance.
Notably, motivational talk increased the output of employees by close to 20% compared to
performance pay, in addition to necessitating a 40% reduction in the ratio of mistakes by the
employees.
A study conducted by Giauque, Anderfuhren-Biget, and Varone (2013) demonstrated
that HRM practices that promoted intrinsic work incentives were positively associated with
perceived organizational performance. According to the authors mentioned above, HRM
activities promoting intrinsic work incentives were instrumental in enhancing job enrichment,
professional development, individual appraisal, and participation, thereby impacting
positively on the performance of the organization.
Many literatures of organizational behavior and human resource management have
noted that non-monetary incentives are effective in motivating employees in organizations.
As argued by Abdullah and Hooi (2013), these types of incentives establish the links between
organizational performance and desired behaviors of employees. Organizations that pay
attention to intrinsic rewards as forms of motivations to employees are seen as caring
organizations. For example, use of rewards such as recognition and appreciation of
employees are seen as though they care more than those organizations that use increased
salaries and bonuses for motivation. Other forms of non-monetary incentives that have a
direct impact on job satisfaction includes; employees’ autonomy, self-determination
encouragement, and effort optimization.
The most common form of motivation used is regular review of employees’ salaries
and wages. The argument of Abdullah and Hooi (2013) is that these are not effective means
of motivating employees. Norway is one of the countries that have the government
employees allowed to self-evaluate themselves before performance evaluation by the
26
government institutions. According to OECD (2008), after self-evaluation, there is a final
evaluation that is conducted and anchored on dialogue as opposed to using control tools.
On the other hand, Giauque, Anderfuhren-Biget, and Varone (2013) explain that there
is inadequate and insufficient empirical evidence to support the assumption that public sector
motivation (PSM) has a direct and meaningful impact on the performance of public
employees. According to Giauque, Anderfuhren-Biget, and Varone (2013), the performance
of public employees hinges not only on the PSM but also on multiple other factors, including
organizational commitment, job satisfaction, and organizational citizenship behaviour.
Recognition is another component of intrinsic rewards for employees. This is an
informal, timely, or a formal acknowledgment of the importance that an individual employee
or a team of workers have in an organization (Banya, 2017). Employee recognition is an
acknowledgement that the effort that a worker puts in his or her workplace enables the
organization to achieve its objectives. It is an important component of employee motivation.
This form of increasing morale of workers is recognized internationally as an important way
of making the employee feel like part of the organization. The method also has a strong
impact on the performance of an employee, where, with a feeling that he or she is valued and
that the effort put correlates with the performance of an organization, he or she gets the
impetus to put more effort. As written by Banya (2017), employee recognition causes an
economical increase in the performance of workers.
Employee recognition is a simple and cheap way of motivating employees. In a field
experiment to determine the level of influence that employee recognition has on performance
of workers, Bradler, Dur, Neckermann and Non (2016) write that employees consider a
thank-you from the management as a strong gift and a feeling of appreciation by the
management. The employees feel the need to reciprocate. Importantly, the reciprocity is
natural which comes through increasing their efforts towards achieving the goals set by the
27
organizations. Literatures on employee recognition have focused on the increase of wages or
bonuses to the employees. However, as written by Bradler, Dur, Neckermann and Non (2016)
employee recognition does not necessarily have to involve finances.
There is a relationship between employee performance and participative decision-
making. Elele (2010) defines participative decision-making as the decision by the employers
to encourage their employees to participate or share knowledge in decision-making processes.
The leader allows the employees to have input on how best to improve the organization
through achievement of goals. Traditionally, decision-making processes were a preserve of
top management. The decisions are then given to the employees to implement. In this, regard,
therefore, employees were only to rubber-stamp the decisions, whether favorable or
unfavorable to them. The result is a de-motivated workforce. The employees implement the
decisions without much thought hence lack of morale to improve their efforts. However,
when they are allowed to have their inputs considered in the final organizational blueprint,
they will be ready and motivated to implement the decisions. They get the feeling that they
have played a part in the success of the company.
Critical in participative decision-making by employees is the quality of management.
As written by Scott-Ladd and Marshall (2004), collaborative process of making decisions in
an organization improves the quality of outcome of the processes and also the quality of
management when the decisions are implemented. Employees are important publics of any
organization. They determine the visibility of the organization to other people; for example,
customers and also the profitability of the companies. In public organizations, employees
give the government or the organization the needed positive view. Overall, participative
decision-making by employees increase their behaviors and attitudes, improve the quality of
decisions and management and improve the productivity of companies.
28
2.3 Theoretical Framework
2.3.1 Abraham Maslow’s Hierarchy of Needs
Abraham Maslow defined need as a physiological or psychological deficiency that a person
feels the compulsion to satisfy. This need can create tensions that can influence a person's
work attitudes and behaviors. Maslow formed a theory based on his definition of need that
proposes that humans are motivated by multiple needs and that these needs exist in a
hierarchical order. His premise is that only unsatisfied need can influence behavior; a
satisfied need is not a motivator (Ramlall, 2004).
Figure 2.2 Maslow’s theory hierarchy needs
Source: Ramlall, S. (2004)
A person starts at the bottom of the hierarchy (pyramid) and will initially seek to
satisfy basic needs (e.g. food, shelter).Once these physiological needs have been satisfied,
they are no longer a motivator. The individual moves up to the next level. Safety needs at
work could include physical safety (e.g. protective clothing) as well as protection against
unemployment, loss of income through sickness etc).Social needs recognize that most people
want to belong to a group. These would include the need for love and belonging (e.g.
working with colleague who supports you at work, teamwork, communication). Esteem needs
29
are about being given recognition for a job well done. They reflect the fact that many people
seek the esteem and respect of others. A promotion at work might achieve this. Self-
actualization is about how people think about themselves - this is often measured by the
extent of success and/or challenge at work (Ramlall, 2004).One should also take care that
employees don’t just work for financial incentives. One should create an environment where
employees like to come to work because they enjoy their jobs hence increase performance.
Incentives also motivate the employees when you want them to go that extra mile to achieve
your targets. Maslow's model has great potential appeal in the business world. The message is
clear - if management can find out which level each employee has reached, then they can
decide on suitable rewards (Ramlall, 2004).
30
CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Research Design
Research design is a plan for the collection, measurement and analysis of data based
on the research questions of the study (Sekeran and Bougie 2016). Also it is defined as a
blueprint for a study that specifies procedures to be followed by a researcher in order to
achieve research objectives.
A cross-sectional study design was adopted for this research because it enables an in-
depth study and facilitates the collection of data at a one point in time, as Sekaran (2017)
suggests. In addition, the study adopted a triangulation of both quantitative and qualitative
approaches to assess the contributions of intrinsic rewards on the performance of employee in
Uni-Lever Nigeria Plc Lagos. In this case, the quantitative approach allowed the researcher to
solicit information expressed in numerical format while the qualitative approach
complemented the quantitative approach by soliciting more detailed information expressed in
textual format (Mugenda & Mugenda, 2016).
The quantitative approach was used in order to quantify incidents to describe
conditions and to assess the contributions of the independent variable to the dependent
variable using the information gained from the questionnaire. The quantitative approach was
used to give the explanation of events and description using interview a-schedule for point in
time (Amin, 2018). The study was both descriptive and analytical where descriptive involved
survey and facts finding enquiring of different kinds while analytical involved the use of facts
or information already available and then analyze them to make a critical evaluation.
3.2 Population of the Study
A population is any group of individuals who have one or more characteristics in
common that are of interest to the researcher. It is also defined as the entire group of people
31
element that the researcher wants to study (Sekaran and Bougie, 2016).
The total population under consideration is 850 staff of Uni-lever Plc, Lagos. Below is the
breakdown of the total population
Table 3.2.1: Population of the study
S/N Category of Staff Population

1. Male staff 600
2. Female staff 250
Total 850
3.2.1 Determination of the Sample Size
A sample may be defined as a subset of the population (Kumar et al., 2016; Sekaran
and Bougie, 2016). The need to take sample in a study becomes necessary for the following
reasons. First, practically, it is not always possible to study the entire population of the study.
Second, samples are taken because of the need to generalized research findings. There are
different ways of determining the sample size of a study. For the sake of the study Yamane’s
(2018) formula is used to determine the sample size.
The formula is:
N
n=
1+N ¿ ¿
Where, n = sample size
N = Total Population
e = Significance level (5%) = 0.05
The sample size is calculated thus: using the population of the study
N
n=
1+N ¿ ¿
N = 850
e = 0.05
850
n=
1+850 ¿ ¿
32
850
n=
1+850 ¿ ¿
850
n=
1+2.125
850
n=
3.125
n = 272
The sample size based on Yamane’s formula is 272.
3.2.2 Sampling and Sampling Techniques
Sampling is defined as the process of choosing adequate number of elements from the
population so that a study of the sample and an understanding of its characteristics make it
possible to generalize such characteristics to the entire population (Sekaran and Bougie,
2016).
For the purpose of this study simple random sampling technique was used, it is a
selection procedure in which the choice of a particular element into that sample does not
hinder the choice of other element of being selected into the sample,. In other word all the
element has equal chance of being selected.
3.3 Sources of Data
The major sources of data collection were used by researcher in the process of
gathering and collecting data required for the research work. These were the primary and
secondary sources of data.
Primary data are first hand information collected by the researcher on the variable
examined in the study. Primary data can be obtained from individuals, focus groups, or
panels. Primary data can be collected through interviews, questionnaires, or observations.
Secondary data on the other hand are information obtained from sources that already exist.
Secondary data can be obtained from sources, like company records, government
publications websites, journals, Theses and the internet (Otache 2016). Methods of data
33
collection are techniques of collecting data. Data are usually collected through qualitative and
quantitative method (Taket, 2018). For the study, both qualitative and quantitative data was
collected through the aid of questionnaires and interview schedules. Qualitative approaches
aim to address the ‘how’ and ‘why’ of a program and tend to use unstructured methods of
data collection to fully explore the topic.
3.4.1 Validity and Reliability of the Research Instrument
The question administered and statistical instrument used for data collection and
analysis respectively were thoroughly read and examined by the researcher. In addition a
statistician from the department of math and statistic and a lecturer from a language
department critically read through the instrument and approved them. Finally, they were
examined and satisfied by the project supervisor.
3.5 Methods of Data Collection
Data were obtained from both primary and secondary sources. Primary data are
materials which the investigator originates for the purpose of the enquiry at hand. They were
obtained through Questionnaires. They are considered appropriate for the study.
3.5.1 Method of Data Presentation and Analysis
The data of this research work was analyzed with use of tables, simple percentage and
chi-square test formula. Simple percentage was used to compute the responses from the
respondent and this involved the use of table, while chi-square formula was used to test the
hypothesis. The chi-square test formula goes thus:
X 2 =∑ ¿ ¿
Where, X 2 = chi-square
O = observed frequency
E = expected frequency
∑ = summation
34
The decision rule:
Reject Ho if X cal > X 2 tab
Accept Ho if X cal < X 2 tab
3.6 Justification for Methodology Used in this Study
The methodology used in this study is valid and reliable. The method used to collect
data i.e. questionnaire of which is a reliable test of the research instrument will be used to
determine the consistency of the respondent. Inconsistent response cannot be used for
decision making as it may lead to wrong conclusion.
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
35
4.1 Data Presentation
For the purpose of data analysis two hundred seventy two (272) copies of
questionnaire were distributed to the workers in Uni-Lever Nigeria Plc Lagos and only one
hundred and ninety (190) copies were dully completed and returned. Table and percentage
are used to present the result and indicate the degree of such responses in each case and
conclusion shall be made from the computation with the highest frequency and percentage.
4.2 Data Analysis and Results
Table 4.2.1: What is your Gender?
Gender Number of respondents Percentage (%)

Male 120 63.2
Female 70 36.8
Total 190 100
Source: Administered questionnaire (2022)
Interpretation: the above table shows that one hundred and twenty (120) respondents,
representing 63.2% of studied sample are male while seventy (70) respondents representing
36.8% are female. This implies that most of the workers are male.
Table 4.2.2: Shows that frequency and percentage distribution of respondents age
Ages (years) Numbers of respondent Percentage %

18-25 44 23.2
26-35 50 26.3
36-45 60 31.6
46 and above 35 18.9
Total 190 100
Interpretation: table 4.2.2 above shows that forty-four (44) respondents representing 23.2% of
the studied sample are within the age bracket of 18-25 years, fifty (50) respondents
representing 26.3% are within 26-35 years, sixty (60) respondents representing 31.6% are
within the 36-45 years while thirty-six respondents, representing 18.9% are 45 years and
above. This implies that most of the workers are with the age bracket 36-45 years.
Table 4.2.3: Shows the frequency and percentage of marital status
36
Marital status Number of respondents Percentage %
Single 85 44.7
Married 90 47.4
Divorced 7 3.7
Widow 8 4.2
Total 190 100
Source: Administered questionnaire (2022).
Interpretation: the above table 4.2.3 shows that eighty five (85) respondents representing
44.7% of the studied sample are single and ninety (90) respondents representing 47.4% are
married, seven (7) respondents representing 3.7% are divorced while eight (8) respondents
representing 4.2% are widow. This implies that, most of the workers are married.
Table 4.2.4: Whether the employees have any idea about Intrinsic Reward
Option Number of respondents Percentages (%)

Yes 130 68.4
No 60 31.6
Total 190 100
Interpretation: The above table 4.3.4 shows that one hundred and thirty (130) respondent
representing 68.4% of the studied samples have idea about Intrinsic rewards while sixty (60)
of the respondents representing 31.6% do not have idea about Intrinsic rewards. This implies
that most of the workers in Uni-Lever Nigeria Plc Lagos have idea about intrinsic rewards.
Table 4.2.5: Shows the frequency and percentage of the respondents to decide whether
intrinsic rewards have effect on employee’s performance?
Option Number of respondents Percentage (%)

Yes 170 89.5
No 20 10.5
Total 190 100
Interpretation: the above table 4.2.5 shows that one hundred and seventy respondents
representing 89.5% of the studied sample agreed that Intrinsic rewards has effect on
employee’s performance whelk twenty (20) respondents representing 10.5% says that it has
no effect on employee’s performance. It implies that intrinsic reward has effect on
37
employee’s performance with a percentage of 89.5%.
Table 4.2.6: Whether there is a significant relationship between appreciation and
employee’s performance

Yes 165 86.8
No 25 13.2
Total 190 100
Interpretation: the above table 4.2.6 shows that one hundred and sixty five (165) respondent
representing 86.8% of the studied sample agreed that appreciation has a significant
relationship with employee’s performance while twenty five (25) respondents representing
13.2% says there is no significant relationship between appreciation and employee’s
performance. This implies that, there is a significant relationship between appreciation and
employee’s performance with percentage rate of 86.8%
Table 4.2.7: Whether there is a relationship between promotion and employees
performance

Yes 180 94.7
No 10 5.3
Total 190 100
Source: Administered question (2022).
Interpretation: Table 4.2.7 above shows that one hundred and eighty (180) respondents
representing 94.7% of the studied sample says that there is a relationship between promotion
and employee’s performance while ten (10) respondents representing 5.3% says that there is
no relationship between promotion and employee’s performance. This implies that there is a
relationship between promotion and employee’s performance with a percentage rate of 94.7%
38
Table 4.2.8: Whether there is a relationship between delegation/participation and
employee’s performance

Yes 173 91.1
No 17 8.9
Total 190 100
Interpretation: Table 4.2.8 above shows that one hundred seventy three (173) respondents
representing 91.1% of the studied sample say that there is a relationship between
delegation/participation and employee’s performance while seventeen (17) respondents
representing 8.9% disagreed. This implies that, there is a relationship between
delegation/participation and employee’s performance with a percentage rate of 91.1%
Table 4.2.9: Whether the absence of Intrinsic rewards can leads to low employee’s
performance

Yes 179 94.2
No 11 5.8
Total 190 100
Interpretation: table 4.2.9 above shows that one hundred seventy-nine respondents
representing 94.2% of the studied agreed that absence of intrinsic rewards can leads to low
employee’s performance while eleven (11) respondents representing 5.8% disagreed. This
implies absence of intrinsic rewards in an organization can leads to low employee’s
performance.
4.3 Test of Hypotheses
Hypotheses are tested to determine whether or not the hypotheses are valid. Usually,
description and casual designs are often concluded with hypotheses test.
The purpose of testing hypothesis is to compare the researchers educated guess with
empirical reality, therefore, the hypotheses stated in chapter one of this study shall be testing
39
using chi-square to draw a conclusion between null hypothesis and alternative hypothesis
Below is the chi-square formula:
X 2 =∑ ¿ ¿
Where: Oi = observe frequency
Ei = expected frequency
∑ = summation
Chi-square calculated:
The hypotheses are tested using 5% (0.05) level of significant and the degree of freedom is df
= n-1, df = 2-1
Decision rule: if X 2 calculated is greater that X 2 tabulated then reject the null hypothesis (Ho)
and accept the alternative hypothesis (Hi) else accept Ho.
Test of hypothesis I
Ho: There is no significant relationship between appreciation and employee’s performance.
Hi: There is significant relationship between appreciation and employee’s performance
Using table 4.2.6: Whether there is significant relationship between appreciation and
employee’s performance.

Yes 165 86.8
No 25 13.2
Total 190 100
Table 4.3.1: Contingency table
Option Oi Ei Oi- E i (Oi- E i)2 ¿¿

Yes 165 95 70 4900 52
NO 25 95 -70 4900 52
Total 190 104
Source: compiled by the researcher (2022)
190
Expected frequency ( E i) = = 95
2
40
2
X =¿ ¿
Using 5% (0.05) level of significant degree of freedom n–1 = 2 – 1 = 1

2
X Tabulated value = 3.841
2
X Calculated value = 104
Decision rule: Since X 2 calculated (104) is greater X 2 tabulated (3.841) the researcher
therefore, reject the Null hypothesis (Ho) and accept the alternative hypothesis (Hi) and
concluded that there is significant relationship between appreciation and employee’s
performance.
Test Hypotheses 2
Ho: There is no significant relationship between promotion and employee’s performance in
Uni-Lever Nigeria Plc Lagos
Hi: There is significant relationship between promotion and employee’s performance in Uni-
Using Table 4.2.7: Whether there is a relationship between promotion and employee’s
performance.

Yes 180 94.7
No 10 5.3
Total 190 100
Option Oi Ei Oi- E i (Oi- E i)2 ¿¿

Yes 180 95 85 7225 70
No 10 95 -85 7225 70
Total 190 140
Source: compiled by the researcher (2022)
190
Expected frequency ( E i) = = 95
2
2
X =¿ ¿
41
Using 5% (0.05) level of significant, degree of freedom n-1 = 2 – 1 = 1
X 2 Tabulated value = 3.841

2
Decision Rule: Since X 2 calculated (140) is greater than X 2 tabulated (3.841) the researcher
should therefore, reject the Null hypothesis (Ho) and accept the alternative hypothesis (Hi)
and concluded that there is relationship between promotion and employees performance.
Test hypothesis 3
Ho: There is no significant relationship between delegation/participation and employee’s
performance in Uni-Lever Nigeria Plc Lagos
Hi: There is significant relationship between delegation/participation and employee’s
performance in Uni-Lever Nigeria Plc Lagos
Using table 4.2.8: Whether there is a relationship between delegation/participation and
employee’s performance.
Option Number of respondents Percentages (%)

Yes 173 91.1
No 17 8.9
Total 190 100
Option Oi Oi- E i (Oi- E i)2 ¿¿

Yes 173 95 78 64
No 17 95 -78 64
Total 190 128
Source: compiled by researcher (2022)
190
Expected frequency (Ei) = 95
2
2
X =¿ ¿
Using 5% (0.05) level significant, degree of freedom n – 1 = 2 – 1 = 1
42
2
X Tabulated value = 3.841
2
Decision Rule: Since X 2 calucated (128) is greater than X 2 Tabulated (3.841) the researcher,
reject the Null hypothesis (Ho) and accept the alternative hypothesis (Hi) and conclude that
there is a significant relationship between delegation/participation and employee’s
performance.
4.4 Discussion of Findings
Appreciation and Employee performance
During the study, it was revealed that the company acknowledges employees’
individual achievement. The study further found that when employees receive an award, they
will be encouraged to work harder. This was corroborated by Govindarajulu (2016), who
noted that employees expect appreciation from supervisors and often praise them.
Study findings further revealed that if employees at Uni-Lever Nigeria Plc receive
gifts, they may be motivated to work harder. This is corroborated by (Baron, 2018) who
asserts that every person has the need to be appreciated for their effort. Sometimes, an
employer may not have to spend much or think of other various ideas to reward their
employees, simple recognition in the form of saying thank you, recognizing strength over
weakness, complementing good work behavior, praise, a letter, an email, or a public
announcement can let them feel recognized and appreciated.
Similarly, receiving a letter of praise may increase employees’ zeal to work. This is
supported by Moorhead and Grifin (2017) who noted that people who feel appreciated are
more positive about themselves and their ability to contribute. This further confirms that
appreciating employees improves their performance. This corroborated by Armstrong (2016)
who contends that appreciating and showing gratitude to employees encourages them to
perform better. In addition to the above, the study revealed that staff recognition policies are
43
in place. Some of them include certificates of appreciation, gifts, and promotion. Relatedly,
the study revealed that certificate of recognition may motivate most employees to put more
efforts in their work. This is supported by Hadijimanolis, (2017) who noted that employees
want their contributions and efforts to be acknowledged by those they work with on a day-to-
day basis, including managers and peers.
Promotion and Employee performance
During the study, it was revealed that challenging tasks motivate employees to work
harder and that enhancing employees’ commitment encourages them to perform better.
Promotion shows that employees’ efforts are highly appreciated. This is in line with
Beardwell (2017) who contends that promotion shows a high value the employer places on
the worker which increase employees’ satisfaction, motivation and commitment at work.
In addition, the study revealed that the way promotions are effected makes employees
willing to work hard at the Organization. Employees who have the required qualifications,
skills and competencies are always encouraged to apply for promotion through both internal
and external adverts. This is supported by Souza’s (2016) study which revealed that
promotion plays an important role in organizational career development process. Similarly,
Muhammad et al, (2017) noted that promotion enhanced employees’ commitment to
organizational performance.
Relatedly, study findings revealed that promotion in Uni-Lever Nigeria Plc Lagos is
got upon satisfactory performance and that there is equal opportunity for promotion. The
Organization was also found to offer promotion to employees who attain academic
achievement in case an employment opportunity shows up. This means that employees who
possess the required academic qualifications are always given priority which motivates them
to work harder. This is corroborated by Mann (2017) who asserted that promoted individuals
tend to increase their commitment, conversely those who are by passed for promotion feel
44
they have not treated fairly, their commitment decreases and their absenteeism increases. In
line with this, Jacoby (2016) and Morishima (2017), indicate that promotion opportunities
increase the level of individual performance and organizational commitment among workers
in their career advancement influences the workers behaviors and attitudes such as motivation
and organizational commitment, particularly in the case of stable employment. Therefore
employee promotion based on merit motivates employees to improve their performance. This
corroborates with the finding from this study, that promoting employees on merit motivates
them to work harder. This is further supported by Muya & Kang’ethe (2017), who noted that
is very appealing regardless of the consequential wage increase, it acts as a strong incentive
mechanism provided employees value the higher positions in the context of long-term
employment which is common.
Delegation/participation and Employee performance
According to study findings, allocating employees responsibilities outside their scope
of work makes them work harder. This is a sign of confidence in them, and an opportunity for
career growth and development. However, delegation/participation is effective when
managers allocate resources to the people assigned responsibilities. This is supported by
Sengul et al., (2017) who stated that delegation/participation of decision making to managers
is efficient when managers allocate resources, including their own efforts, in ways that do not
divert from owners’ objectives.
Relatedly, the study found that special assignments increase employees’ motivation to
work harder. However, when offered special assignments, there is need to clearly define the
responsibilities assigned to the subordinate. This is corroborate by Mwondha (2018) who
stated that managers and supervisors need to have clearly defined responsibilities and
accountabilities delegated to subordinates for integrity and corruption prevention in areas of
work directly under their control. The study further revealed that swapping tasks with
45
employees for days makes employees improve the way they work. This is largely because
they are able to acquire a variety of skills which enhance their performance. Similarly, the
study found that working in acting capacity enhances employees’ motivation to work hard.
When employees are made to work in acting capacity, they are given opportunity to take on
work in the same capacity which prepares them for career growth. This is corroborated by
Lupia (2018) who avers that delegation/participation occurs when some people ask other to
perform on their behalf, and that delegation/participation is an important part of employees’
daily life since it offers them opportunities for career growth. This was similar to the finding
that most employees feel empowered when work is delegated to them.
46
CHAPTER FIVE
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
5.1 Summary
The findings indicated that there is a positive relationship between appreciation and
employee performance. Findings further revealed that there is a positive relationship between
promotion and employee performance. In addition, findings revealed that there is a positive
relationship between delegation/participation and employee performance.
5.2 Conclusions
Base on study findings, it was concluded that if employees are appreciated by
acknowledging their individual achievement, receiving rewards and gifts as well as letters of
praise for good performance, they will be motivated to perform well. It was also learnt that
appreciating employees verbally, or giving them certificates and other gifts makes them feel
valued which in turn motivates them to improve performance.
It was further concluded that assigning employees challenging work enhances their
commitment to the job, thereby improving performance. It was therefore learnt that if
employees are promoted, they are encouraged to work harder to maintain their positions or
even be promoted to higher positions and also retained at the Organization.
It was concluded that delegating special assignments to employees, swapping tasks
with employees for days and allowing others to work in acting capacity improve employee
performance. It was further learnt that delegation/participation is a sign of confidence and
trust in employees, and it encourages them to perform better, hence good performance for the
Organization.
5.3 Recommendations
1. The study recommends that Uni-Lever Nigeria Plc Lagos should improve its intrinsic
reward system. This can be done through identifying best performance in each
47
department at the end of the year and offer them awards of gifts and other items that
motivate employees to improve performance.
2. The study further recommends that if employee’s works in acting capacity for a period of
two years have the required qualifications, and have demonstrated their capacity to
deliver outputs they should be promoted and confirmed in such positions. The
Organization should not recruit staff from outside to fill such vacancies. This will
motivate employees and encourage them to improve their performance.
3. The study recommends that “employees be” should be to be involved in decision making
in order to enhance their commitment to work. They should be allowed to participate in
meetings from where they can contribute ideas and make decisions that lead to improved
performance. The study further recommends that managers should clearly define the
responsibilities delegated to subordinates for effective execution and implementation.
5.4 Managerial Implications of the Study
Since it has been discovered that Intrinsic Reward enhance employees performance
the management of the Uni-lever Plc Lagos must make arrangement for establishment of
policies towards improving their intrinsic rewards system through regular appreciation
promotion and delegation/participation to give the employees sense of belonging in order to
motivate them towards increase performance. The findings therefore demand managers to
embrace various intrinsic rewards to improve employee’s performance which result to overall
increase organizational productivity.
5.4 Limitation of the Study
The study is limited by the ability to get the required information needed as the
company tried to protect its secret, for security purpose. Another problem faced was the
questionnaire. Some of the workers were too busy to fill the questionnaire and as a result not
all questionnaires administered were returned. In addition, this study was only limited to one
48
organization since the time offered for the project could not allow the researcher to carry out
a comprehensive study on various organizations.
5.6 Suggestions for Future Studies
The study has reviewed on the influence of intrinsic rewards and employee
performance at Uni-Lever Plc Lagos. The same study should be conducted in other
institutions with the same roles to see if similar results would be obtained. Also, the in
influence of other rewards apart from the ones herein addressed should also be established as
a way of promoting success in every organization.
49
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52
APPENDIX 1
Department of Business
Administration and Management
School of Business Studies
Federal Polytechnic,
P.M.B 1037,
Idah,
Kogi State.
July, 2022
The staff,
Uni-Lever Nigeria Plc
Lagos,
Nigeria.
Dear sir/Madam
RESEARCH QUESTIONNAIRE
I am a final year student of the department of Business Administration and
management of the above named school undertaking a research titled: Intrinsic rewards and
the performance of employee of Uni-Lever Nigeria Plc Lagos the research is being embarked
upon in partial fulfillment of the requirement for the award of Higher National Diploma
(HND) in Business Administration and Management and for the reason, the research is purely
academic in nature and all the information given will be handled confidentially and with care.
Therefore, I plead your indulgence to help me to tick the appropriate answers to the
question as this will help me to get the necessary information needed to solve the problem at
hand. Thanks.
Yours faithfully,
Eze Blessing Ngozika
53
APPENDIX 2
QUESTIONNAIRE
Instruction: Please tick and fill where appropriate
1. Sex:
(a) Male [ ]
(b) Female [ ]
2. Age range:
(a) 18-25 [ ]
(b) 26-35 [ ]
(c) 36-45 [ ]
(d) 45 above [ ]
3. Marital status:
(a) Single [ ]
(b) Married [ ]
(c) Divorced [ ]
(d) Widow [ ]
4. What is your qualification?

(a) SSCE/GCE [ ]
(b) ND/NCE [ ]
(c) HND/BSC and above [ ]
SECTION B
1. Is an intrinsic reward important in an organization?
(a) Yes [ ]
(b) No [ ]
2. Uni-Lever acknowledges my individual achievement.

(a) Yes [ ]
(b) No [ ]
3. When I receive an award, I may be encouraged to work.

(a) Yes [ ]
(b) No [ ]
4. Staff recognition policies are in place in this organization.

(a) Yes [ ]
(b) No [ ]
5. When my recognition is recognized, I feel encourage to do more for the organization.

(a) Yes [ ]
(b) No [ ]
6. Challenging task may motivate me to work harder.

(a) Yes [ ]
(b) No [ ]
54
7. Promotion in this organization is got upon satisfactory performance.
(a) Yes [ ]
(b) No [ ]
8. There are equal opportunities for promotion.

(a) Yes [ ]
(b) No [ ]
9. Enhancing my commitment encourages me to perform better.

(a) Yes [ ]
(b) No [ ]
10. My organization offers me promotion when I attain academic achievement.

(a) Yes [ ]
(b) No [ ]
11. Promoting employees on merit motivates me to work harder.

(a) Yes [ ]
(b) No [ ]
12. Allocating me responsibilities outside motivation to work harder.

(a) Yes [ ]
(b) No [ ]
13. Special assignment increases my motivation to work harder.

(a) Yes [ ]
(b) No [ ]
14. I feel empowered when work is delegated to me.

(a) Yes [ ]
(b) No [ ]
15. Participating in decision making enhances my commitment to work.

(a) Yes [ ]
(b) No [ ]
16. Working in acting capacity enhances my motivation to work.

(a) Yes [ ]
(b) No [ ]
17. Defining the responsibilities delegated to me encourages me to work.

(a) Yes [ ]
(b) No [ ]
18. Swapping tasks with employees for day makes me improve the way I work.
(a) Yes [ ]
(b) No [ ]
55
19. If I receive gifts I may be motivated to work harder.
(a) Yes [ ]
(b) No [ ]
20. There is efficiency service delivery in Uni-Lever Nigeria Plc Lagos.

(a) Yes [ ]
(b) No [ ]
21. Projects are always completed all time.

(a) Yes [ ]
(b) No [ ]
22. I accomplished/complete the tasks given to me in time.

(a) Yes [ ]
(b) No [ ]
23. Staff usually complete targets set for them to achieve.

(a) Yes [ ]
(b) No [ ]
56

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CHAPTER ONE

1.1 Background to the Study

Employee performance is fundamental component that facilitates organizational

as well both indirect and indirect ways.

amplified employee performance, was providing a realistic feedback means, assisted in

attainment of the administrators personal as well as professional goals. Reddy (2016)

insisted that recognition also serves to encourage employees to believe in themselves, to

appreciation and delegation due to their effect on employee performance.

Promotion which is a form of recognizing one’s outstanding performance help to

effect on the motivation, commitment and morale of employees, hence a decline in

little effort (Aktar, Sachu and Ali, 2017).

Additionally, though organizations are channeling more resources in boosting

organization performance, there is widespread ignorance on how employee performance

effective they can be utilized in an organization.

i. What is the relationship between appreciation and employee performance in Uni-

Lever Nigeria Plc Lagos.

Nigeria Plc Lagos.

iii. What is the relationship between delegation/participation and employee performance

in Uni-Lever Nigeria Plc Lagos.

1.4 Objective of the Study

objectives of this study is to investigate the following issues

i. To determine the relationship between appreciation and employee performance in

Uni-Lever Nigeria Plc Lagos

Lever Nigeria Plc Lagos.

iii. To examine the relationship between delegation/participation and employee

performance in Uni-Lever Nigeria Plc Lagos.

1.5 Statement of Hypotheses

Ho: There is no significant relationship between appreciation and employee performance in

Uni-Lever Nigeria Plc Lagos.

Lever Nigeria Plc Lagos.

Uni-lever Nigeria plc lagos.

Lever Nigeria Plc Lagos.

Ho: There is no significant relationship between delegation/participation and employee

performance in Uni-Lever Nigeria Plc Lagos.

Hi: There is significant relationship between delegation/participation and employee

performance in Uni-Lever Nigeria Plc Lagos.

1.6 Significance of the Study

management of issues surrounding organizational management and corresponding influence

Lagos in enhancing their competitive edge.

the student of higher institutions.

as the company tried to protects its secret for security purpose.

1.8 Operational Definition of Key Terms

recognition, a sense of achievement, or a conscious satisfaction because intrinsic rewards are

intrinsic to the person doing the activity or behavior.

Employee Performance: This is accomplishment of a given task measured against preset

Recognition: recognition is defined in many ways some defined it as a reward or celebrating

have achieved their objectives and appreciated.

also referred to as employee involvement.

develop and maintain rewards and reward system.

2.1 Conceptual Framework

2.1.1 The Concept of Intrinsic Rewards

to involvement in executive functions. As a result, organizations experience superior

effectiveness and competence on top of an augment in sales and efficiency. Through

environment. There are two basic types of rewards in the workplace.

continued existence in an economy (Dunham, 2017). Monetary reward in modern society is

the most transferable means of satisfying fundamental requirements (Kohn, 2018).

money (Kepner, 2017).

The effort-to-performance expectation is sturdily persuaded by the performance

The expectancy of performance-to-outcome is influenced by the level to which the worker

2018). Frequently, programs of gain sharing emphasize on quality enhancement, reduction of

cost, and other quantifiable results (Kepner, 2018).

employees for brilliant job performance by opportunities.

career that he holds (Allen, 2017).

Although standard organizations often have hardship experiences when offering