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BUSINESS ADMINISTRATION UNDERGRADUATE PROJECT TOPICS

EFFECT OF MOTIVATION ON ORGANIZATION PERFORMANCE

EFFECT OF MOTIVATION ON ORGANIZATION PERFORMANCE

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EFFECT OF MOTIVATION ON ORGANIZATION PERFORMANCE

Chapter one

INTRODUCTION

1.1 Background for the Study

Motivation is described as the internal and external driving forces that cause an individual to conduct an activity, establish the limits and forms of activity, and provide activities focused towards reaching specific goals [Duică, 2008: 142].

The question is whether motivation has an impact on people’s performance at work. Research confirms that there is a link between motivation and performance [Deci & Gagne, 2005].

Employees comprise any organization’s workforce and are thus an essential component of the organisation. Aluko (2014) noted that an organisation is only as good as the people who administer it.

This is to imply that when people are motivated, their morale is likely to be strong, as performance and productivity levels grow, so significantly improving overall organisational performance.

To attain high levels of productivity and so improve organisational performance or productivity, managers must constantly seek new ways to keep their people motivated.

This is because a lack of staff motivation results in lower production, which is detrimental to organisational performance and long-term success. Jennifer and George (2006) defined employee productivity as the level of effort expended by an organization’s personnel in order to achieve organisational goals and objectives. There are various methods for motivating a staff to increase organisational productivity.

According to George and Jones (2012), motivation falls into two categories: intrinsic and extrinsic. Intrinsic motivation stems from an employee’s inherent desire to complete a task for self-interest rather than a necessity or desire for an external reward.

External motivation occurs when an employee is pushed to operate in a given way, either because of a desire for external benefits or to avoid punishment.

 

The success or failure of every organisation is determined on its employees’ motivation and dedication to their task. Motivation is critical for increasing staff productivity and performance. Employee motivation is intimately related to employee dedication, productivity, and corporate profitability.

An organisation should understand its staff, including who are exceptional workers and who require training. Every employee has unique motivational reasons that drive them to accomplish their jobs effectively and efficiently. Some personnel are motivated by recognition, while others are driven by rewards. Organisations should understand their employees’ requirements.

Motivated personnel are productive, joyful, devoted, and delighted with their jobs. Ouchi (2004) stated that organisations are more profitable, successful, and efficient when their employees have trust in them, which leads to productivity and a high degree of involvement.

According to Karen Oman, humans are reciprocal. If you treat your employees well, they will treat you well. If you treat them poorly, they will treat you horribly.

This study is aimed to investigate the role of motivation in the management of people at work; no system runs smoothly without it, and no organisation achieves its goals without motivating its employees.

Jishi (2009) defines motivated employees as staff retention and loyalty, which will result in corporate success in the short term. This study, however, will look into the impact of motivation on organisations, utilising the Nigeria Bottling Company as a case study.

1.2 Statement of Problem

Business organisations in Nigeria, particularly in the manufacturing industry, have failed to recognise the importance of motivation as a concept, whether it is intrinsic, such as employee well-being, relationships with coworkers, relationships with managers, organisational policies, etc., or extrinsic

such as training and career development, good working conditions, compensation, promotion, among other factors that enhance or improve employee performance as well as organisational productivity.

However, a variety of other variables, such as inadequate strategic and structural changes in decisions and executions, a lack of infrastructure, leadership styles, and organisational culture, may also be to blame or cause a loss in productivity.

Recent research on the notion of workforce motivation and productivity has focused on employee viewpoint, needs, and expectations as elements influencing their performance and productivity levels, respectively.

Most manufacturing industries are more concerned with profit maximisation, which is impossible because unless employees are willing to work and their performance improves, the organisation cannot maximise profits.

Therefore, the purpose of this research is to investigate the effect of motivation on organisational performance using Nigeria Bottling Company (NBC) as a case study.

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