RESEARCH PROJECT REPORT

On
Impact of Motivation on Employee Performance with special
reference to Manufacturing Industries of the Public Sector
Towards partial fulfillment of
Master of Business Administration (MBA)
School of Management, Babu Banarasi Das University,
Lucknow.

Guided by:

Submitted by:

Ms. Monica Kapuria

Neha Tekwani

Session 2014-2016
Babu Banarasi Das University
Sector I, Dr. Akhilesh Das Nagar, Faizabad Road, Lucknow,
(Uttar Pradesh, India).

DECLARATION

As required by Babu Banarsi Das University, I wish to state that the work embodied in the thesis
Impact of Motivation on Employee Performance with special reference to the
Manufacturing Industries in the Public Sector is original and is carried out by me as
required by the School Of Management under the guidance of my mentor Ms. Monica
Kapuria.This work has not been submitted earlier for the award of any other degree or diploma.
References have been cited and the work of thesis is clearly entered along with source of
information.

Name: - Neha Tekwani

Place: - Lucknow, Uttar Pradesh.
Date:-

ACKNOWLEDGEMENT

First of all, I wish to express my deep gratitude and thanks to God who helped me in
completing the organization study successfully. I shall remain grateful to Ms. Monica
Kapuria for her amble guidance and encouragement for completing the project work. I
am also extremely grateful to all the faculty members for their valuable suggestions and
advice regarding this work.

I express my sincere thanks to all the employees of the public sector for their cooperation
and support.

Last, but not the least I thank my parents for all the moral support and help they
provided me during the tenure of this project work.

EXECUTIVE SUMMARY
The subject matter of this research; employee motivation and performance seeks to look at how
best employees can be motivated in order to achieve high performance within a company or
organization. Managers and entrepreneurs must ensure that companies or organizations have a
competent personnel that is capable to handle this task.

The motivating factors and tactics for public sector that has revealed different approaches to
work motivation and a variety of recommended motivational factors. Public Sector Motivation
focuses on motives and action in the public domain that are intended to do well for others and
shape the well-being of society and also that public sector employees are motivated by their own
self-interests, and thus their behaviour should be controlled by extrinsic incentives.

Thus, motivating factors and tools of tactics are playing an important role in public sector to
mould for achievable good results in any public sectors companies. However, the tactics were
cleared showed that impact on motivation of public sector employees particularly in India. This
paper clearly showed that PSM approach to motivate the employees by using the various types of
tactics helped to motivating public sector employees. The strategies, relationship and various
other factors have been described in detail in order to create a basis for a full fledge result.

The study aims at administering the motivational factors that help in making the employee
performance better and much profitable in Tata Motors and Jai Ambey Packaging. 50
Respondents from each of the company are taken as sample population. The direct art structured
questionnaire was used to collect the data from the lower level staff of the sample companies.
Questions based on motivation, demotivation, compensation, satisfaction level, bonus need,
reward and performance relationship, and various other criteria were structured to know the
response from 100 respondents.

The results were obtained, analysed and interpreted on the basis of the percentage and pie charts
which predict the answers ranging from agreement to disagreement, and thus the finding on the
basis of percentage of each company was undertaken, as a means to reach to a conclusion and
also to provide suggestions for the same.

Thus, the research concludes that money might be an important basis for motivation but,
employee performance cant be improved with just financial rewards, there has to be other
factors like recognition, praise, feedback and most of all faith in the employees and their work,
which will pave a road for them to be encouraged and motivated to improve their performance
with every new day and to work in an efficient and effective way to achieve the objectives of the
organization

TABLE OF CONTENTS
Particulars
Part I
Introduction
Company profile
a About organization
b Organization chart
c Aims and objective

7-30
31-43

Part II
Objectives of the study
Research Methodology
Research Design
Data Source
Sample design
Sample type
Sample size
Sample Unit
Problems and Limitations

44
45-49

50

Part III
Data Analysis and Interpretations
Findings
Conclusion
Suggestions
Appendix (Questionnaire)
Bibliography

52-66
67-69
70-71
72-73
74-76
77

INTRODUCTION

Managers within companies or organizations are primarily responsible to ensure the tasks or job
is done through employees in the right way. To achieve this, these managers must ensure that
they have a competent personnel department for the recruitment of the best employees that are
capable to do the job. For the company to optimize employees performance there is need for the
employees to be sufficiently motivated. Therefore, motivation in theory and practice becomes a
difficult subject touching on several disciplines. Although a lot of scholarly research has been
written on motivation, this subject is not clearly understood and more often than not poorly
practiced. On this score, to best understand how motivation can impact on employees
performance one must understand human nature. In as much as motivation impacts on employee
performance, there is need to blend the appropriate motivational tools with effective management
and leadership to achieve this goal.

Notwithstanding the fact that motivation is very important to determine employees ability so do
other factors such as the resources given to an employee to do his or her job. Therefore,
successful work performance can arise from a variety of motives. For instance, two people doing
similar jobs may both be successful for different reasons, one salesperson may be motivated by
the commission earned on sales, while the other may be more concerned about meeting sales
targets. This creates a nuance in the subject matter because motivation to enhance performance
varies from person to person and from company to company. These are the challenges managers
are confronted with in designing appropriate motivation tools that will be able to meet with the
expected performance within the company. This therefore arouses more critical academic
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thinking within the subject area. In this light a lot of academic literatures from scholars and
practicing managers have ensured to resolve this intriguing academic domain on how motivation
can enhance performance.

The success of an organization depends not only on technical expertise but also on the interest of
the workers. Enthusiasm or willingness to work can be enhanced by motivation. A strong
positive motivation will increase the output of employee and native motivation will reduce their
performance. Motivationleads to job satisfaction. A person who is not motivated and not in high
morale and spirit would not be satisfied.

Dessler (2001) support that motivation as theintensity of a persons desire to engage in

someactivity. Motivation is an inner drive that initiates an employee towards goal directed
behaviour. According to Frimpong and Fan (2009) performance management is the process
through which managers ensure those employees activities and outputs are congruent with
the organizationsgoal. A highly motivated person will work hard towards the achievement of
organizational goal. Luthans (1992) says, Motivation is a combination of needs, drives and
incentives. Motivation is defined as the process that starts with physiological or
psychological deficiency or need that activates behaviour or a drive that is aimed at a goal
or incentive.

In any organisation employees would most often fulfil their organizational goals with help of
their authorities. Hence employees need to have highly efficient and productive attitudes, good
environment within the organisation. However, there are many factors contribute to productivity,
job performance.

Motivation Matters Of Public Sector:The motivational factors in public sectors are playing a vital role to bring the high performance
of the employees in any organisation. Perry and Wise conclude their arguments individuals
influencing two factors that can motivate job performance for public sector workers: recipient
contact and self-persuasion involvement. These findings support that these two factors have a
positive effect on job performance of public employees. And Belle also found that meeting the
recipient of their hard work greatly enhanced the determination, output, and productivity to take
care of the better outcome.

However, these results were obtained when the employees were asked to reflect on the social
impact of their work and then publicly promote for it. An alternative analysis reveals that
employees were exposed to contact with beneficiaries and self-persuasion involvement showed a
higher performance level. But the positive effect was stronger among employees reporting a
higher motivation before the experiment. Moreover, Belle evaluated that and he called dynamic
state of motivation, since the employees exposed to the performance had also an increase in
their level of motivation. Therefore, here the motivation factors suggests that levels of motivation
among employees may also be influenced by organizational processes.

Motivational Factors
*Recognition vs. Feedback:It was mentioned above that appreciation deals with intangible
incentives such as the show of appreciation in the form of a thump on the back or a good word
for provision of praises like award. Acknowledgment always has a positive implication and it
acknowledges good behaviour with actions. Feedback, on the other hand, can also address poor
performance and has a more formal and structured nature than recognition.

* Career Development: The motivation theories suggest that career development can serve as a
motivator and it encourage offering growth perspectives. The rationale behind these
recommendations may be different, but leading it is rooted in humans growth-need.

* Commitment: The employees need belongingness feelings to undertake actions for the sake of
the group, regardless of personal benefit.

* Participation: Participation involves consulting with people on work-related matters and

allowing lower level employees to actively take part in managers decision-making process.

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* Achievement: A number of theories emphasize the importance of the sense of success or

achievement as a behavioural driver. Others highlight the necessity of challenge in the workplace
and the benefits of clear goals. However, the opinion of these elements is interrelated in a causal
relationship.
* Working Environment: Working environment in some textbooks and articles is observed as
an employees entire surrounding in the workplace. It can believe that favourable to divide this
condition like working environment, which refers to physical conditions in the organization,such
as the availability of clean lavatories; interpersonal relationships, which refers to the atmosphere
in the organization.

Strategies of Motivating Workers

The ultimate success of organization is to ability create values sufficient to compensate for the
employees upon resources contributed. In any organisation employees putting their effort, time
and personal, economic satisfaction, workers in an putting in time and efforts for personal,
economic, and non-economic satisfaction. However, here the question is what strategies can be
used to motivate workers? The main strategies are salary and wages.

To use salaries as a motivator effectively, personnel managers must consider four major
components of a salary Structures. The importance the organization attaches to each job, these
are related to payment, incentives whichencourages workers or groups by rewarding them. The
performance of the employee based on personal special allowances, associated with factors
including scarcity of particular skills professionals. Hence, it is important to ensure that the
prevailing pay in other library or information establishments is taken into consideration in
11

determining the pay structure of their organization. Motivation is fundamentally an inside job
originates from within the individual and causes him/her to be internally stimulated. Therefore, it
is called intrinsic motivation.

Motivation can be separated in Intrinsic and Extrinsic motivation. Amabile (1993) explains
this as follows:
Individuals are intrinsically motivated when they seek enjoyment, interest, satisfaction of
curiosity, self-expression, or personal challenge in the work.
Individuals are extrinsically motivated when they engage in the work in order to obtain some
goal that is apart from the work itself. Deci (1972) describes extrinsic motivation as, money and
verbal reinforcement, mediated outside of the person, whereas intrinsic motivation is mediated
within the person.

And a person is intrinsically motivated to perform an activity if there is no apparent reward

except the activity itself or the feelings which result from the activity. Amabile (1993) argues that
employees can be either intrinsically or extrinsically motivated or even both. It seems that
intrinsic and extrinsic motivators apply differently to persons. Vroom (1964) argues that some
employees focus on intrinsic outcomes whereas others are focused on extrinsic outcomes.
According to Storyet.al. (2009), individuals high in intrinsic motivation seem to prefer
challenging cognitive tasks and can self-regulate their behavior, so offering rewards, setting
external goals, or deadlines, will do little for them, unless they are also high in extrinsic

12

motivation. For employees high in intrinsic motivation, emphasis could be placed on the engaging
nature of the task and encouragement of self-set goals and deadlines (Story et al., 2009).

Hackman and Oldham (1976) even argue that people have individual differences in response to the same
work; they differentiate between employees high and low in growth need strength. People high in growth
need strength are most likely to be motivated by jobs with high skill variety, task identity, task
significance, autonomy and feedback. And people low in strength are relatively insensitive for these
factors according to them. This statement is supported by Furnhamet.al. (1998); they argue that introverts
are more extrinsically motivated and extraverts more intrinsically motivated. However, it not only seems
that persons are differently motivated but intrinsic and extrinsic motivation also have effect on each other.

Due to a kind of natural motivational trends that humans develop, social, and physical abilities
and given the embellishment, it is possible to conclude that work motivation is the internal and
external force that influence individuals degree of choice to connect in a certain specified
behaviour with.

The Relationship between Intrinsic and Extrinsic Motivation

The distinction between intrinsic and extrinsic motivation is evident, however researchers argue that
intrinsic and extrinsic motivation also have an effect on each other. Deci (1972) claims that in some cases
extrinsic motivators can decrease intrinsic motivation. He argues that if money is administered
contingently, it decreases intrinsic motivation. But this event will not occur if the money is noncontingently distributed. Amabile (1993) reacts to this discussion by stating that although extrinsic
motivation can work in opposition to intrinsic motivation, it can also have a reinforcing effect: once the

13

scaffolding of extrinsic motivation is taken care of, intrinsic motivation can lead to high levels of
satisfaction and performance.

She also states in her research that both intrinsic and extrinsic values can motivate employees to do their
work, however intrinsic and extrinsic motivation can have very different effects on employees. In
conclusion can be stated that employees can be intrinsically and/or extrinsically motivated, to perform a
certain task (Amabile, 1993). And that extrinsic and intrinsic motivation can reinforce each other, but in
some cases extrinsic motivators can also decrease intrinsic motivation (Deci, 1972). Furthermore,
researchers argue that not all people are equally motivated; some employees are more intrinsically and
others more extrinsically motivated (Furnhamet. al., 1998).

Implication of Motivation
The most important implication for management, and special interest to managers in the public
sector to motivate for accepted good results. There were three factors, such as the effects of
motivation on employee performance; second, it establishes motivation as a managerial duty;
and third, it explicates the importance of employee motivation in the public sphere. However,
motivation is clearly a hot topic and often used as an indicator for the importance of motivation
give the impression to be increasing within the years.

The managers across the board make every effort to achieve organizational goals by increasing
efficiency and competence. Even though, many factors contribute to productivity, job
performance is viewed to be the most influential one (Mitchell, 1982,). The motivation does not

14

conclude employees level of performance. The role of motivation in performance can be

summarized in the following formula:
Performance = Ability x Understanding of the task x Motivation x Environment

Consequently, in order to perform the employees need first to have the knowledge and skills that
are required for the job. Hence, they must understand what they are required to do and have the
motivation to expand effort to do so. Providing sufficient resources to the employees with good
work environment that allows them perform them in a better way. However, the multiplication
sign in the equation that emphasizes the importance when it is equal to zero, even the most
talented employee will not deliver. Likewise, an energized and highly motivated employee can
reach good performance. The new worker or trainee, who joins the organization fully motivated
to work, yet lacks skills and experience. Therefore, the motivation is to learn and develop will
quickly compensate the weaknesses.

Theories of Motivation
The motivational theories appear repeatedly in organizational behaviour books. These theories
were classified into two groups, such as need theories and cognitive theories. The need
theories were concerned with analysing the needs and motives that affect humans
motivation. But the cognitive theories, which are also called process theories, concentrate
on the psychological and behavioural processes behind motivation (Rainey, 2009).

Maslows Hierarchy Theory of Needs

15

The explanation of motivation theories in terms of the satisfaction of basic human needs
(Greenberg/Baron, 2003). Even though, heavily bother and questioned during the years, needtheories are probably the best-known explanation for employee motivation (Robbins/Judge,
2008). B. Abraham Maslows (1943) hierarchy of needs theorizes explained that in a high order
need will become dominant only after lower level needs are satisfied. He had given five level
needs, in ascending order, are physiological (e.g. hunger, thirst, sex), safety (the desire not to
feel endangered and wish for a physically and emotionally secure environment), love (the
hunger for affectionate relations with people and belongingness), esteem (the longing for
self-respect, strength, achievement, reputation, recognition by others and appreciation),
and the need for self-actualization, which is the aspiration to becomeeverything that one is
capable of becoming. Maslows model is highly motivated to provide an easy understanding of
a complex matter (Dun ford, 1992,).

However, the theory was never validated, despite a continuous effort in an excess of testing and
researches held during the past 60 years. Moreover, the hierarchy theory argues that altered the
way managers think about their employees.

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Herzbergs Two Factor Theory

Herzberg had the notion that those factors which cause job satisfaction are the opposite to those
that causes job dissatisfaction. Herzberg survey was carried from a group of accountants and
engineers. Herzberg in his studies came up with the conclusion that employees are influenced by
two factors that are; the motivators and hygiene factors. Motivators create job satisfactions which
include achievement, recognition, autonomy and other intrinsic aspects when there are fulfilled.
On the other hand he came up the hygiene factors which will enhance dissatisfaction when they
are not fulfilled. Motivators are those factors which provide feeling of job satisfaction at work.
These factors influence the ways of work in a company; for example giving responsibility to
carry an enlarge task within an organization and providing the person with the necessary
conditions will lead to growth and advancement to higher level tasks. Motivators are those
factors which come from within an individual that is intrinsic.

These factors could be achievements, interest in the task, responsibility of enlarge task, growth
and advancement to higher level. Herzberg hygiene factors create a suitable work environment
though not increase in satisfaction. For instance low pay can cause job dissatisfaction which will
affect employees performance. Hygiene factors are essential to make sure that the work
environment does not develop into a disgruntle situation. Typical hygiene factors are salary,
working condition, status, company policies and administration. (Saiyadain 2009, 158).

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Fifty-Fifty Theory
The fifty-fifty theory was developed by John Adair as a motivational factor that could influence
company performance. From his perception fifty percent of motivation comes from within a
person and the remaining fifty percent comes from the environment, mainly from people around
us. This rule is not used to declare the exact proportions, but it tries to explain that, fifty per cent
of our motivation comes from within us and fifty per cent from an external influence, that is,
from our environment, particularly from the people around us.
These observations are indicative rather than mathematical and they may differ from person to
person. Within these important external factors the nature and quality of the leadership present is
essentially important. Hence the tough link between leadership and motivation becomes vital to
determine employees motivation. The Fifty-Fifty rule does have the benefit of reminding leaders
that they have a key role to play for the success or failure in the motivation of employees at
work. Fortunately or unfortunately not all the cards are in their hands, for they are dealing with
people who are self-motivating in various degree. These are the challenges that confront the
HRM to galvanize employee motivation with the work environment. (John 2007, 38-41).

Vrooms Expectancy Theory

The concept of the expectancy theory was first develop by Victor Vroom and was published in
1964.Victor Vroom offered an expectancy approach to the understanding of motivation. As a
result, motivation is a product of the anticipated value to a person in an action. He perceived
probability that the persons goals would be accomplished as a product of the anticipated value in
an action. Thus the Vroom model is built around the concepts of value, expectancy and force.
18

The concept of force is on the whole equivalent to motivation and may be shown to be the
algebraic sum of the products of valences and expectations.
Thus, Motivation (force) = Valence x Expectancy 11.

Valence is the strength of an individuals preference for an outcome or goal. The strength may be
negative (fear demotion or transfer to less important job) or positive (prospect for promotion).
Expectancy is the probability that a particular action will lead to a required outcome. If the
employee has a particular goal, some behavior has to be produced to accomplish that goal. The
employee has to weigh the likelihood of various behaviors that will accomplish the desired goals
and select the most successful behavior. Thus the employees motivation according to Vroom
may be augmented by changing the perception or by boosting the expectancy level through better
communication and augmenting the actual reward that will result.

Vrooms theory clarifies the relationship between the employee and the organizational goals and
recognizes the differences between employees in producing work motivation. Furthermore, this
theory is consistent with the idea that a managers job is to design an environment for
performance, necessarily taking into account the differences in various situations. Thus Vrooms
theory is quite consistent with management by objectives. However, this theory is difficult to
research and is confronted with practical difficulties in its application. (Bose 2004, 152 - 153).
Vroom tackles three beliefs and brings out with some clarity and applicability.

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Each of the beliefs deals with what employees think will happen if they put out effort to perform.
The first (B1) comprises of the relationship between effort and performance, that is, (B1) is the
employees belief about the probability that effort will lead to performance. Another definition is
that, B1 is the expectation that effort will lead to success. (B1) can be seen as the employees
belief about whether or not what is expected can be done. The second (B2) comprises with the
relationship between performance and outcomes, that is, the employees belief about the
probability that performance will lead to outcomes. B2 can be stated in different ways, that is the
employees belief about the relationship between what you do and what you get. It is the
belief about outcomes following performance and the third (B3) looks at the relationship
between outcomes and satisfaction. The third belief (B3) is the employees belief about how
satisfying or gratifying the outcomes will be. It is the belief about how fulfilling or worthwhile
they will be. It is the belief about how much value the outcomes will have in the future when
they are received, rather than what their value is now. (Green 1992).

The relationship between Employee Motivation and Job Performance

The viewpoint that motivation causes performance comes from human relations theory (Filley et al.,
1976). The relationship between employee motivation and job performance has been studied for a long
period. However, earlier research could not succeed in establishing a direct relationship between the two
(Vroom, 1964). Yet it seems that that the factors do influence each other. Petty et al. (1984) reviewed the
15 studies Vroom (1964) used in his research and added another 20 more recent studies; they concluded
that employee motivation and performance are indeed related. The results of their research indicate that
the relationship between individual, overall job satisfaction and individual job performance is more
consistent than reported in previous researches (e.g. Vroom, 1964). And Hackman and Oldham (1976)
argue that when employee satisfaction is added, a circular relationship is formed with performance,
satisfaction and motivation. The term satisfaction is also used by Herzberg (1959); he argues that when
20

intrinsic factors (motivators) are present at the job, satisfaction is likely to occur as well as an increase in
employee motivation.

Amabile (1993) states that work performances are dependent upon the individuals level of motivation;
the individuals level of motivation can be intrinsically and/or extrinsically based. It is also argued that
certain job characteristics are necessary in establishing the relationship between employee motivation and
performance (e.g. Brass, 1981; Hackman & Oldham, 1976; etc.). Brass (1981) argues that when certain
job characteristics are present in an organization, employees are better motivated and an increase in
performance is noticeable. Job characteristics refer to specific attributes or dimensions that can be used to
describe different tasks (Griffin et al., 1981). Hackman and Oldham (1976) defined five job
characteristics, which are based on the Two-Factor Theory from Herzberg (1959). Those characteristics
are: skill variety, task identity, task significance, autonomy and feedback. The results of their study
indicate that employees who work on jobs scoring high on the five characteristics, show high work
motivation, satisfaction and performance (Brass, 1981). Hackman and Oldham (1976) conclude that
employees can be motivated through the design of their work; they argue that by providing certain
intrinsic and extrinsic factors an employee can be motivated to perform well.

It can be concluded that the relationship between employee motivation and performance seems to be
circular. Starting by a high performance causing satisfaction, this increases the employees motivation to
try to perform well in the future. This circular relationship can be caused by providing opportunities for
high scores on the five job characteristics; skill variety, task identity, task significance, autonomy and
feedback

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Public Organization Employee Motivation

The Public Service Motivation theory suggest that public employees are unique and differ from
their private sector matching part insofar. The public sector employees are driven primarily by
fundamental motives rather than single ones, such as financial rewards. The idea of Public
sector employees was developed in response to the rise of the New Public Management (NPM)
movement since the beginning of the 1980s, which calls for the introduction of market-style
Mechanisms like performance-related pay into the public sphere (Perry 2008). The NPM believe
that public employees are motivated by their own self-interests, and thus their behaviour should
be controlled by incentives (Perry/Wise, 1990,).

Hence, the PSM on the other hand, the public servants are driven by higher-order needs and have
a eagerness for serving the general public good. Perry and Hondeghem (2008) offered a simple
definition, which claims that PSM focuses on motives and action in the public domain that
are intended to do good for others and shape the well-being of society.

The PSM have three categories:

Rational individuals involvement in the public sector is grounded in a wish for utility
maximization. For instance, attraction to public policy making.
Norm-Based involvement is generated by efforts to conform norms, e.g. the desire to serve
the public or self-commitment to reach social equity.

22

 Affective involvement is triggered by emotional responses to social contexts. That can be

compassion or self-sacrifice/altruism.

Current Motivational Trends

The current motivational trends were promoted from various motivation theories. These factors
move us one step forward toward real-life practice. The recommended strategies are based on
public sector motivation literature.
Strategies are also generic in fashion to allow their flexibility to a range of public organization
settings and civil-service laws.

Rewarding
Rewarding concerns tangible incentives such as promotions, increases in pay, increased
discretion, superior work assignments, provision of additional responsibility. A Reward does not
necessarily have to be a financial one. Therefore, the manager is to find out what motivates
his/her employees and make a match between employees desires and the offered

Strategy 1: Promoting for Higher Position that are Positively Relevant to Employees
In public Sector companies, promotions are rare with different positions. While promoting for
higher position, as well as recognition, managers should make sure they do not de-motivate
unrewarded employees. Therefore, it is important to keep a sense of fairness in the process by
basing rewards and recognitions on clear guidelines and by linking them to employee
performance. Only then will the rewards and recognitions achieve their full motivational
23

capacity on the one hand, and prevent grievance on the other. Moreover, a direct behaviourreward relationship will actively motivate employees to exert effort on the job.

Strategy 2: Promotion Based on Behaviour and Performance

Promotion should be based on performance with good behaviour. Promotion is an important to
have a sound behaviour-reward linkage when the rewards include financial bonuses. It can be
realized by using a performance appraisal system. Therefore, the systematic appraisal with
extremely bureaucratic and includes a great amount of paper work as well as in-depth and time
consuming appraisal talks. However, the proposal is to offer rewards only once a year and in
proximity to employee appraisals.

Strategy 3: Rewards should be offered in Combination with Annual Appraisals

Rewards as a mean to direct performance behaviour and the managers should make sure to
recognition for their hard work for the person. The awarding criteria in line with goals can be
achieved by designing values of the organization.

Strategy 4: Rewards Criteria Should Reflect Organizational Goals

The reward criteria should be the success of a Pay-For-Performance (PFP) system in the public
sector, so that the public sector employees may have an opportunity to prove their skills for
better results. However, the PFP has a reputation to have little positive impact on public
employee motivation and performance (Durant et al, 2006). But, the PFP is often unsuccessful
24

because of inadequate implementation in public sector due to lack of sufficient funding and a
weak pay-performance relationship. Therefore, the managers are called to implement a PFP
system only under certain circumstances. However, PFP can successfully motivate public
employees who are less performance and likely motivate to find their work interesting.

Strategy 5: Establish Pay-for-Performance Only Under Specific Circumstances.

Recognition
Recognition concerns for both informal and formal subtle incentives that show gratitude and
provide praise. It always has a positive implication that impacts and acknowledges good
behaviour with actions.

Strategy 6: Provide Informal Recognition

When any organisation want give recognition informal does not cost a lot, but it requires thought
and preparation. However, it is taking time and putting the thought into preparing the component
of recognition, is sometimes even more valued than the element itself.

Strategy 7: Take the Time to Prepare Formal Recognition

There are two settings to provide recognition: person-to-person and person-to-group. That is,
managers can choose whether they want to acknowledge good behaviour one-on-one with the
25

employee, or they want to make the achievement public. The latter form can be done by using
the internal electronic system, addressing the staff plenum, or by hanging accomplishment
posters on the department walls. A public recognition can motivate not only the employee in
question, but also his/her colleagues and subordinates.

Strategy 8: Use both Person-to-Person and Person-to-Group Recognition

Feeling valued is a fundamental emotional need. Employees in all ranks want to feel valued, yet
junior staff members or low-level service providers especially look for a guidance and good
word. Furthermore, recognizing one employee is not mutually exclusive to recognizing another.
Each one in his/her own time and fashion.

Strategy 9: Recognize Their Efforts as Many Employees as Possible at All Levels

Offering best things to the employees is unlike rewarding; recognition based on their efforts is
timeless and should be offered throughout the year, in particularly informal recognition.
However, managers should not automatically recognize every behaviour (especially not in a
formal way), in order not to wear out the effectiveness of the tool and make it be taken for
granted.

Strategy 10: Recognize Their Hard Work All Year Long in Appropriate Intervals.
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Feedback from the Employees

Feedback is the most important to know the managers opinion and that will continuously show
employee performance. Therefore, feedback may motivate employees and improves their
actions. However, the managers should structure feedback in a way that helps the employee to
accept the comments. Somewhat, using criticism and focusing on negative performance, a better
strategy is to have the attention on work out methods for future improvements.
Strategy 11: Focus More on Future Performance than on Past Mistakes
Feedback is the major tool for its feedback and should not be given off-handled, but rather after
granting a watchful thought to the purpose/content of the feedback as well as the way of delivery.
While structuring a feedback, managers should think about at least two concrete cases that
support each of the arguments. This will prevent bitterness and promote acceptance of the
censure. Throughout, the feedback employees should be given the opportunity to respond and
self-diagnose their performance Moreover, managers can extremely benefit if they allow 360degrees feedback, and i.e. they let the employee express his /her own feedback over the
managers performance.

Strategy 12: Be Prepared for the Feedback and Allow Employees to Respond
Timely and accurate is the key for improvement, and it prevents unacceptable practices from
becoming schedule. Managers need to remember that the negotiation of today will become the
norms of tomorrow.

27

Strategy 13: Monitor and Correct Errors of the Employees on a Timely Basis
An employees assessment plays a significant role in his/her future in the organization. Hence, it
is important that managers manuscript in details all the feedbacks they give to their staff. This
can serve later as a reference point in the next review. In organizations that managers rotate
often, it becomes even more crucial to have accepted report on staff performance, so to ensure
continuity and a swift transition.

Strategy 14: Keep a Record All Employee Feedbacks and Evaluations.

Transparency with Commitment

The feelings of belongingness may increase organizational commitment that will improve
employees to undertake actions for the sake of the group and organization. Thus, public sector
managers should make every effort to create a distinctive company identity to their teams with
which employees can identify. So to achieve the goals of organization, managers should create a
mission statement that can hand out as their team maxim.

Strategy 15: Create a Mission Statement that Bring Together as the team
Next, managers should use vigorous language with inclusive terms such as we, us, and
our, while attempting to inspire the team (Van Wart, 2008). For example, when talking about

28

the outcomes of the department, it is better to say our paper received good remarks, than the
same but with my.

Strategy 16: Build a Team as One and Spirit by Talking in Inclusive Terms
The employees should communicate their exclusivity to the rest of the organization. Especially,
successes must serve as a transom of opportunity to build the teams standing as an elite group,
since everyone wants to belong to and work for the best group.

Strategy 17: Establish a Reputation of the Best Team

Within the group managers should increase employees opportunities to meet and work together.
For example, common projects can be assigned or a seminar can be jointly attended. By the same
token, recurring staff meetings allow peers to update each other and exchange experience as a
team. Having lunch together, celebrating birthdays in the office, or having a one-day trip
together, are all means to the same end.

Strategy 18: Create Opportunities for the Team to Meet and Bond.

Responsibility
Responsibility are a matter of taste, some employees like it and wish for more, others make
efforts to avoid it. Howe ever, managers must learn their employees characters before giving
29

them more freedom. Young employees, who are at the bottom of the hierarchy chain, are
frequently very motivated by receiving responsibility.

Strategy 19: Make Sure that an Employee Really Desires of the Responsibility
When giving way responsibility, managers should clearly differentiate between their role and the
role of the employee. In general, it is suggested that managers define the task (the what to do),
whereas employees are free to come up with an implementation plan (the how to do). In
addition, managers, who presented their employees responsibility, should get off their tails and
give them a real opportunity to deliver.
Strategy 20: Define only the What to do and Let the Employee Decide on the How
In the life of an organization prospects to convey responsibility are comfortable. Still, if
managers find none, they can generate their own opportunities. For instance, an interviewee
suggested that managers build small teams in their department and make one of the employees
report on the work upgrading. Another offered to assign employees with project management
tasks. And the most creative recommendation was to nominate an employee as a deputy- or comanager.

30

MANUFACTURING INDUSTRY
Manufacturing is the production of merchandise for use or sale using labor and machines, tools,
chemical and biological processing, or formulation. The term may refer to a range of human
activity, from handicraft to high tech, but is most commonly applied to industrial production, in
which raw materials are transformed into finished goods on a large scale. Such finished goods
may be used for manufacturing other, more complex products, such as aircraft, household
appliances or automobiles, or sold to wholesalers, who in turn sell them to retailers, who then
sell them to end users and consumers.

Manufacturing takes turns under all types of economic systems. In a free market economy,
manufacturing

is

usually

directed

toward

the mass

production of products for

sale

to consumers at a profit. In a collectivist economy, manufacturing is more frequently directed by

the state to supply a centrally planned economy. In mixed market economies, manufacturing
occurs under some degree of government regulation.
31

Goals and Core Principles of all Processes:1.

2.
3.
4.

Meeting performance requirement (tolerance, strength and weight).

Meeting cost of production requirements.
Ability to reproduce quantity during mass production.
Large manufactured component should have uniform material properties throughout the
component.
General manufacturing process of a food product:

The Primary Consideration for a Manufacturing Process:

When different manufacturing and processes are considered, it is fundamental to develop an
understanding of the relationship between the process used and the properties of the finished
products. For this it is important to know what conditions a particular process will subject a

32

material to and how different manufacturing materials respond to different conditions (stress,
heat, etc.).

Manufacturing industries are the backbone of any economy. It fuels growth, productivity,
employment, and strengthens agriculture and service sectors. Astronomical growth in worldwide
distribution systems and IT, coupled with opening of trade barriers, has led to stupendous growth
of global manufacturing networks, designed to take advantage of low-waged yet efficient work
force of India. 'Indian Manufacturing' sector is broadly divided into

*Capital Goods & Engineering.

*Chemicals, Petroleum, Chemicals & Fertilizers.
* Packaging.
* Consumer non-Durables.
* Electronics, IT Hardware & peripherals.
*Gems &Jewelry.
*Leather & Leather Products.
*Mining.
*Steel & non-Ferrous Metals.
33

*Textiles & Apparels.

*Water Equipment.

From the given categories, this project focusses on the Capital Goods and Engineering and
Packaging Manufacturing Industry. The companies taken are TATA MOTORS LIMITED and
JAI AMBEY PACKAGING.

TATA MOTORS AT A GLANCE

Tata Motors Limited, a USD 42 billion organization, is a leading global automobile

manufacturer with a portfolio that covers a wide range of cars, sports vehicles, buses, trucks
anddefense vehicles. Our marque can be found on and off-road in over 175 countries around the
globe.

Tata Motors has a full range of robust vehicles to serve the unique requirements of International
Aid & Projects- possibly the only (global) manufacturer to cater to the entire spectrum of
transportation. Either as they are, or customizable with an array of special features in both design
and fitments, Tata Motors vehicles ensure safety and maneuverability in the face of rough
climate and terrains. With the reliability of its vehicles having been proven over the years, Tata

34

Motors also works closely with its clients to ensure the best operating economics for their field
transport needs. In short, your complete mobility solution provider.

CAR MANUFACTURING PROCESS

35

COMPANY PROFILE

Established in 1992 Tata Motors, Lucknow is one of the youngest production facilities of the
Company and was set up to meet the demand for Commercial Vehicles in the Indian market. The
state-of-the-art plant is strongly backed by an Engineering Research Centre and Service system
to support and cater to the complexities of automobile manufacturing with latest technology.

The Fully Built Vehicle business, which is one of our fast growing business segments, is also
established in Lucknow.

Lucknow plant rolls out commercial vehicles and is specialised in the design and manufacture of
a range of modern buses as well as chassis including Low-floor, Ultra Low-floor, CNG & Rear
Engine Buses. The Lucknow facility also specialises in manufacturing HCBS (High capacity Bus
System) buses.

36

BUSINESS TYPE

MANUFACTURER AND SUPPLIER

YEAR OF ESTABLISHMENT

1992

PRODUCTS

TIAGO, GEN XNANO, BOLT INDICA,

ZET INDIGO, SAFARI STORME,
SAFARI DICOR, SUMO GOLD, XENON
XT.

ADDRESS

FAIZABAD
LUCKNOW.

37

ROAD,

CHINHAT,

WEBSITE

www.tatamotors.com

ORGANIZATION CHART

38

39

JAI AMBEY PACKAGING

Jai Ambey (JA) Packaging, are an eminent Manufacturer, Exporter and Supplier of
Packaging Machinery. It is primarily due to the high-end engineering and designing
capabilities, we are able to fabricate highly efficient products such as Batch Coding Machines,
Blister

Packing

Machines,

Candy

Pouch

Packing

Machines, Pouch

Packing

Machines, Carton Packing Machines, Collar Type Packing Machines, and Cup Filler
Machines etc. All these products are in compliance with international quality standards, meeting
varied requirement of customers. As a result quality testing is done on regular basis, and the
aforementioned packaging machinery have swift performance with long shelf life.

Based in Lucknow, Uttar Pradesh, India, the company is a prominent Manufacturer, Exporter and
Supplier of Packaging Machines. Some of the products include Pouch Packing Machines,
Weighing, Filling & Sealing Machines, and Blister Packaging Machines etc. The machines have
innovative design and give optimum performance in all working conditions. Their efficient and
compact design is highly appreciated across all verticals. Having rich experience and thorough
understanding of the market functionality, the company is able to carry the business with result
bound solutions. Moreover, the organization is based on the guidelines of prevailing market
trends, giving due emphasis on clients drawn specifications.

40

THE PROCESS OF MACHINES

41

COMPANY PROFILE
Business Type

Exporter , Manufacturer , Supplier

Primary Competitive Advantages

Quality Product
Timely Delivery
Cost-effective
Market Goodwill

Year of Establishment

1997

Monthly Production Capacity

As Per Requirement

Product Range

Pouch Packing Machines

Cup Filler Machines
Liquid Filling Machines
Collar Type Packing Machines
Weighing, Filling & Sealing Machines
Candy Pouch Packing Machines
Blister Packaging Machines
Pneumatic Auger Filler Machines
Carton Packing Machines

42

Batch Coding Machines

Address

Lakshmi Electronic Market, Near Ambar

Hotel.
Website
Proprietor

jaiambeypackaging.com
Mr. Kaushal Chaurasia.

AIMS AND OBJECTIVES

Improve Quality:-Improving quality is a key manufacturing objective. Companies must
produce quality products that meet or exceed customers expectations and minimize
waste. Quality products can help to improve customer satisfaction, increase sales and
improve customer retention. In sectors such as aerospace, automotive or pharmaceuticals,
companies may have to meet customers or industry quality standards as a condition of
conducting business. Poor-quality products can damage a companys reputation and lead
to loss of revenue if customers move to competitors. Poor quality also increases costs
through time spent reworking defective products and the cost of replacing wasted
materials.

Reduce Costs:-Companies set cost-reduction objectives to ensure they can offer

competitive prices and make a profit. Manufacturing teams can cut costs by reducing
inventory, sourcing from lower-cost suppliers, increasing productivity, automating
processes and implementing quality processes that minimize waste and reworking. Lean
manufacturing techniques aim to minimize costs by producing more from the same

43

resources, reducing the time between receipt of raw materials and distribution to
customers, and minimizing logistics costs.

Increase Flexibility:-By setting increased flexibility as a manufacturing objective,

companies can meet a wider range of market requirements and improve competitive
advantage. Establishing flexible production facilities enables companies to offer
customized products tailored to customers needs. Companies also can produce a wider
range of model variations on the same production line. Outsourcing part of the production
to contract manufacturers can help companies achieve flexibility objectives.

Improve Supply Chain Efficiency:-Improving the efficiency of the supply chain can
help companies achieve their cost, quality and flexibility objectives. Improving
communications by implementing a secure network, for example, can ensure that all
supply chain members can respond quickly to changes in market demand or new business
opportunities. Communication throughout the supply chain also helps to avoid excessive
inventory and eliminate delays in supplying critical components. Companies may
improve supply chain integration through mergers and acquisitions so they can secure
access to strategic materials or implement consistent supply chain-wide quality standards.

Increase Sustainability:-Factors such as scarcity of raw materials, customer demands

and regulatory requirements make sustainability an important manufacturing objective.
Companies can improve green production through strategies such as getting supplies
44

from sustainable sources, making use of recycled materials, reducing the environmental
impact of their logistics operations and investing in manufacturing facilities that
minimize energy usage.

OBJECTIVES OF STUDY

The general objective of the study is to assess the impact of motivation on employee
performance in the manufacturing industries.

Specific Objectives:1. To identify the motivational factors of the employees in the sample companies.
2. To study the conceptual framework of motivation and performance of the employees.
3. To study the impact of motivation on the employee performance in sample companies.

45

RESEARCH METHODOLOGY

Research in common parlance refers to a search for knowledge. One can also define research as a
scientific and systematic search for pertinent information on a specific topic. In fact, research is
an art of scientific investigation. The Advanced Learners Dictionary of Current English lays
down the meaning of research as a careful investigation or inquiry especially through search for
new facts in any branch of knowledge. Redman and Mory define research as a
systematizedeffort to gain new knowledge.

Thus, Research methodology is the scientific way to solve the research problem. This involves
exploring all possible methods of solving the research problem; examine the alternative methods
one by one and arriving at the best possible method considering the resources at the disposal of
the researcher. Thus, when we talk of research methodology we not only talk of the research
methods but also consider the logic behind the methods we use in the context of our research
study and explain why we are using a particular method or technique and why we are not using
others so that research results are capable of being evaluated either by the researcher himself or
by others.

46

RESEARCH DESIGN
A research design is the specification of methods and procedures for acquiring the information
needed to structure or to solve problem. It is the overall operational pattern or framework of the
project that stipulated what information to be selected, from which source, by what procedures.
The research design is Descriptive as well as Analytical in this project.

Why Descriptive research?

This research is descriptive as it is based on the facts findings and survey results interpreted
through the help of questionnaire. The results describe the satisfaction level attained by the
employees through the motivational factors of company and also provide suggestions to improve
the employee performance.

Why Analytical Research?

47

The report is also found to be analytical in the sense that the facts have been analyzed to
evaluate proper results and use them as a way to measure the overall impact of motivation on
employee performance.

RESEARCH INSTRUMENTS
After the research is selected, the data collection through questionnaire, which is designed by
covering the objectives, is defined. Questions are both open and closed ended types. The
questions in the questionnaire are in the structured format.
Direct art structured questionnaire had been designed and used.

Open Ended Questions

These types of questions are used to get complaints, actual feelings and suggestions from
customers.

Closed Ended Questions

In this type, there are two kinds of questions:-Dichotomous or multiple choices.

In this project, both open and closed are followed.

48

SOURCES OF DATA
The data that is being used in study was collected from two methods:
1. Primary data
2. Secondary data

Primary Data
The primary data do not exist already in records and publications. I collected this data through
the following ways:i

Through personal interview: - The investigator follows a rigid procedure and seeks
answers to a set of pre-conceived questions through personal interviews. This method of
collecting data is usually carried out in a structured way where output depends upon the

ii

ability of the interviewer to a large extent.

Through questionnaire: - It is the most extensively used method in various economic
and business surveys.
49

Secondary Data
The secondary data refers to these data which were gathered for some offer purpose and are
already available in the firms records and business magazines, government publications,
company website, competitor website browsers. In the project, the secondary data is collected
through websites.

SAMPLE DESIGN
Introduction
The precision and accuracy of the survey results are affected by the manner to which the sample
has been chosen.

Sample:-In statistics, a sample is a subset of a population that is used to represent the

entire group as a whole. In this projectTata Motors Limited and Jai Ambey
Packaging are used as sample.

Sampling Unit:-This is that element or set of elements considered for selection in some
stage of sampling (same as the elements, in a simple single-stage sample). 50 employees
from the lower level are taken from Tata Motors and 50 employees are taken from
Jai Ambey Packaging.

Sample Size:-The number of elements in the obtained sample. The number chosen
from target population is 100.
50

Sampling Method:-Sampling method refers to the way that observations are selected
from a population to be in the sample for a sample survey. Simple Random sampling is
used.

PROBLEMS AND LIMITATION

Few of the employees were a little bit hesitant to answer the questions, this might have
deviated the findings at least to some extent.

Due to time constraints study was limited to a part of the employees, which in turn may
reflect the overall attitude of the employees.

The companies are part of the public sector, hence it is not possible to evaluate the exact
results in the research report.

The employees were not comfortable enough in sharing their experience, hence
pressurizing them to answer wasnt a right choice.

Communicating with the top management was highly not possible, hence the survey
focusses only on the lower level.
51

DATA ANALYSIS

AND

INTERPRETATION

52

Q1. What factors affect your level of motivation towards work?

RESPONSES

NO. OFRESPONDENTS/
PERCENTAGE
60
5
10
10
10
3
2
100

Financial Rewards
Praise and Acknowledgement
Public Recognition
Job Security
Working Environment
Fear
Others
TOTAL

Response

Financial Rewards

Praise And Acknowledgement

Public Recognition

Job Security

Working Environment

Fear

Others

Inference: The figure reveals thatmaximum employees opted for the financial rewards as the
most considered factor of motivation.

53

Q2. Consequently, what factors demotivate you in doing your work?

RESPONSES
Low Salary
No opportunities for learning and
advancement
Boredom
Poor Working Environment
Lack of skills needed for the job.
Others
TOTAL

NO.OF RESPONDENTS/
PERCENTAGE
25
40
5
25
5
0
100

Response

Low Salary
No opportunity for learning and advancement
Boredom
Poor Working Environment
Lack of skills needed for the job
Others

Inference: The pie chart states thatthe lack of opportunity for learning and advancement were
considered to be the most important de-motivational factor with the maximum response, with a
tie of 25% in the salary and work environment criteria.
54

Q3. What is your level of satisfaction in your work, on the scale of 1 to 7?

RESPONSES
Highly Satisfied(Above 7)
Satisfactory( 3 to 6)
Below Average ( Below 3)
TOTAL

NO. OF RESPONDENTS/
PERCENTAGE
25
55
20
100

Response

Highly Satisfied

Satisfactory

Below Average

Inference: The figure reveals 25% of the employees are more than satisfied in their jobs
While 55% of the employees gave a satisfactory answer. A certain number claims to have least
satisfaction, thus the company needs to know their opinion regarding this more.

55

Q4. What are the things that you like best in your work place?

RESPONSES
People and Work Environment.
Style of management.
Challenging and exciting work
Flexibility
Salary
Autonomy and creative freedom with job
Training and learning opportunities
Companys image
TOTAL

NO. OF RESPONDENTS/
PERCENTAGE
20
10
20
5
20
10
10
5
100

Response

People and Work Environment

Style of Management

Challenging and Exciting Job

Flexibility

Salary

Autonomy and Creativity

Training and learning opprtunities

Company's image

Inference: The pie chart reveals the fact that maximum of the employees were attracted to the
people, work environment and excitement and level of salary of their jobs while a considerable
amount of employees opted for other stated factors.
56

Q5. Do you think there should be any improvement in your work place?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
40
60
100

Agree
Disagree
TOTAL

Response

Agree

Disagree

3rd Qtr

4th Qtr

Inference: The figure clarifies explicitly that 60% of the employees are satisfied with their work
place but 40% have doubts, hence the company needs to concentrate on these 40% and know
their views in order to provide them satisfaction.

57

Q6. Do you feel well compensated for your services?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
23
30
42
3
2
100

Extremely Fair
Fair
Neutral
Low
Extremely Low
TOTAL

Response

Extremy Fair

Fair

Neutral

Low

Extremely Low

Inference: The pie depicts that 42% of the employee population is neutral with their
compensation but the company needs to concentrate on those who still arent satisfied.

58

Q7. Does the management provide its employees with adequate benefits, aside from
compensation (e.g. health insurance, life insurance, sick leave, etc.)?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
95
5
100

Agree
Disagree
Total

Response

Agree

Disagree

3rd Qtr

4th Qtr

Inference: The pie notifies us that the maximum population is absolutely satisfied with the
benefits provides but still there are 5% of the employees who feel something lacking in those
benefit policies, thus the management is in dire need to provide them the needed constraints.

59

Q8. Does company provide opportunities to further develop its employees, both
professionally and personally?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
80
20
100

Agree
Disagree
TOTAL

Response

Agree

Disagree

Inference: 80% of the employee population replies in positive for the developmental
opportunities while the 20% still feel the company needs to provide them developmental
opportunities as depicted by the pie chart.

60

Q9. Does the management maintain an open communication with its employees?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
45
25
30
100

Very Often
Often
Rarely
TOTAL

Response

Very Often

Often

Rarely

Inference: The management needs to provide an improvement in the communication system to

let the employees state their views regarding the company policies and tendencies, as depicted
from the pie chart values.

61

Q10. Do you have a good professional relationship with your superiors and office mates?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
75
25
100

Agree
Disagree
TOTAL

Response

Agree

Disagree

3rd Qtr

4th Qtr

Inference: 75% of the employees claim to have established a trustable bond with their superiors
and other colleagues of the unit, while the rest still need to work on their cordial relationships in
order to enjoy in their work place, as analyzed by the pie chart.

62

Q11. Do you think company has fair promotion opportunities?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
30
20
30
15
5
100

Extremely Fair
Fair
Neutral
Low
Extremely Low
TOTAL

Response

Extremely Fair

Fair

Neurtral

Low

Extremely Low

Inference:30% of the employee population believes that the promotional opportunity is highly
fair and 30% think that its neutral, in their working place. And there is a certain number which
consider it to be fair, while the remaining find it unsatisfactory.

63

Q12. Are you aware of the companys goals?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
65
35
100

Agree
Disagree
TOTAL

Response

Agree

Disagree

3rd Qtr

4th Qtr

Inference:The pie chart represents that 65% of the employees are aware of their companys
objectives while the 35% claim to be unaware, thus the organizations need to satisfy the unaware
ones.

64

Q13. Do you think managers are empowering employees?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
30
15
50
5
0
100

Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
TOTAL

Responses

Strongly Agree

Agree

Disagree

Strongly Disagree

Neutral

Inference:50% of the employees claim to be and not to be empowered by their managers, while
15% to 5% agreed to disagreed, and such people are the ones on whom the manager need to
concentrate as clarified by the figures and the chart obtained.

65

Q14. Do you hold the opinion that rewards should be based on performance?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
100
0
100

Agree
Disagree
TOTAL

Responses

Agree

Disagree

Inference:All employees agree on the fact that rewards should entirely be based on the
performance as given by the figure.

66

Q15. Should bonuses not be part of the company policy?

RESPONSES

NO. OF RESPONDENTS/
PERCENTAGE
0
0
20
50
30
100

Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
TOTAL

Responses

Strongly Agree

Agree

Disagree

Strongly Disagree

Neutral

Inference:Maximum employees disagreed on bonus not being part of the company policy, hence
bonuses should be part of it in order to satisfy the employees and to encourage them to work hard
as obtained by the pie chart.

67

FINDINGS

60% of the employees (40% of Tata Motors and 20% of JA) find the financial rewards as
the most motivating factor which forces them to work harder.

The de-motivational criteria is taken as lack of opportunities in learning and advancement

as estimated by 20% employees from Tata and 20% from JA, giving the exact percentage
as 40%.

The satisfaction level maintained by both the companies is found to be 55% analyzed
from the response of 25% respondents from Tata and 35% from JA.

The people, work place, exciting job, and salary are found to be the best things by the
workers, approximately giving 20% of each as derived by the response from 10%
workers from Tata and 10% from JA.

60% of the employee population (35% from Tata and 25% from JA) doesnt find any
need of improvement in their work place.

68

21%of the work force from Tata and 21% workforce from the JA (APPROX 42%) feel
neutral with their compensations.

95% of the population (40% from Tata and 55% from JA) are satisfied with the benefits
provided.

50% employees from Tata and 30% from JA (80%) are professionally and personally
developed.

45% (15% from Tata and 30% from JA) find the communication system open in their
management.

75% (35% from Tata and 40% from JA) claim to have established good professional
relationships with the superiors and office mates.

30% (15% from Tata and remaining 15% from JA) think that their companies have fair as
well as neutral promotional opportunities.

69

45% of the employees from Tata and 20% from JA (i.e. a total of 65%) are aware of the
goals and objectives of their companies.

50% of the employees (25% from Tata and 25% from JA) think that their managers are
neutral with the empowerment process of managers.

All the respondents that is a total of 100% believe that rewards should be based on the
performances.

50% of the respondents (30% from Tata and 20% from JA) think that the bonuses should
be part of the company policy.

70

CONCLUSION

Employee motivation and performance is very central in the management of employee within a
company or organization. This is because it has a direct bearing on the company productivity or
quality of services rendered. This intends has an impact on the company profits and continued
existence. As a consequence, management most continuously put in place a veritable
motivational structure so as to achieve greater performance. Due to the importance of motivation
on employee performance within the business, it has led to a lot of academic writings. This
branch of social science has posed a lot challenges to scholars, researchers and entrepreneurs.
Because of the complexity and dynamism of this academic discipline, researchers have
attempted to give a theoretical explanation on how best employees can be motivated and how
this can lead to higher performance.

Although these theories have extensively duel on how best employee motivation can lead to
higher performance; we most lost sight of the fact that theories cannot exhaustively explain
human behavior and how best employees can be motivated to achieve higher performance. This
is because theories are ideological and sometimes abstract and may aim at satisfying the curiosity
of researchers. That is why theories must be purposefully used with a guided focus. Therefore the
application of theories in social science must be well guided and the relevant parts of the theory
applied to achieve the intended desire in motivation for high performance by a company.
The interviews and questionnaire in this report creates a practical link between the theoretical
assumptions and the practical reality on how best employees can be motivated for higher

71

performance both the companies. This creates a realistic behavior on employees attitude to
motivation and performance within the case study in question. The case study equally creates a
link between the topic and the problem question, that is, why is money an insufficient motivator
for high performance. This is a direct consequence of human behavior which certainly is affected
by many factors. The dynamism of human behavior creates a dynamic approach. Therefore,
money is a motivator but money alone will not adequately or exhaustively solve the problems of
motivation for employee high performance in a company.

72

SUGGESTIONS
Make Expectations Clear
Employees without goals will be naturally aimless. Provide them with clear achievable goals and
make sure there are measurable standards in place to evaluate their performance. Victor Vrooms
work on expectancy theory supports the concept that employees must know what action they are
expected to take and that it will yield the desired performance. The employees should understand
what they are expected to do, how they are expected to do it, and how they will be judged on it.

Provide Continuous Feedback

Immediate, continuous feedback lets an employee know that their actions affect the company. Its
hard to remember specific incidents when employee performance review time rolls around.
Goal-setting theory predicts (quite obviously) that employees are motivated by setting goals and
by receiving continuous feedback on where they stand relative to those goals. More recent
research shows just how motivating it can be when employees know they are making progress.

Believe in the Employees

If the manager during an employee performance review, or in the breakroom, an employee
whose boss constantly calls him worthless, or a screw-up will feel a lot of emotions. He will not,
however, feel particularly motivated to improve his performance.Hence, this uncalled behavior
needs to be avoided in order to encourage the employees to work harder.

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Praise Publicly
Feeling under-appreciated encourages complacency theres a reason so many companies
celebrate an Employee of the Month. People love praise; they thrive on it. Some research even
suggested were willing to sacrifice incentive bonuses for public recognition. Make it a standard
practice in the office to recognize positive people and trends within the business.Announce
publicly when one of the employees made a particularly outstanding presentation, sale, or other
notable achievement. Tie an incentive to accolades, such as a bonus or a gift certificate. Praising
the employees in front of others helps motivate their continued stellar performance.

And the last point, is to make the rewards achievable for one and all, and not just a group of
employees, but all those who are striving with the company for its success.

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APPENDIX
Dear Respondent,
I Neha Tekwani, a student of Babu Banarsi Das University, studying in the School of
Management, is conducting a research project based on the Impact of Motivation on the
Employee Performance. I express my immense gratitude to you for providing me your
valuable 5 minutes time for answering the particular questions related to your work.
Please tick one option.
Q1. What factors affect your level of motivation towards work?
a.
b.
c.
d.
e.
f.
g.

Financial Rewards.
Praise and Acknowledgement.
Public Recognition.
Job Security.
Working Environment.
Fear.
Others.

Q2. Consequently, what factors demotivate you in doing your work?

a.
b.
c.
d.
e.
f.

Low Salary.
No opportunities for learning and advancement.
Boredom.
Poor Working Environment.
Lack of skills needed for the job.
Others.

Q3. What is your level of satisfaction in your work, on the scale of 1 to 7?

a. Highly Satisfied( Above 7)
b. Satisfactory( 3 to 6)
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c. Below Average( Below 3)

Q4. What are the things that you like best in your work place?
a.
b.
c.
d.
e.
f.
g.
h.

People and Work Environment.

Style of management.
Challenging and exciting work.
Flexibility.
Salary.
Autonomy and creative freedom with job.
Training and learning opportunities.
Companys image.

Q5. Do you think there should be any improvement in your work place?
a. Agree
b. Disagree.
Q6. Do you feel well compensated for your services?
a.
b.
c.
d.
e.

Extremely Fair
Fair
Neutral
Low
Extremely Low

Q7. Does the management provide its employees with adequate benefits, aside from
compensation (e.g. health insurance, life insurance, sick leave, etc.)?
a. Agree
b. Disagree

Q8. Does company provide opportunities to further develop its employees, both
professionally and personally?
a. Agree
b. Disagree

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Q9. Does the management maintain an open communication with its employees?
a. Agree.
b. Disagree.

Q10. Do you have a good professional relationship with your superiors and office mates?
a. Agree
b. Disagree.
Q11. Do you think company has fair promotion opportunities?
a.
b.
c.
d.
e.

Extremely Fair.
Fair.
Neutral
Low
Extremely Low

Q12. Are you aware of the companys goals?

a. Agree.
b. Disagree.

Q13. Do you think managers are empowering employees?

a.
b.
c.
d.
e.

Strongly Agree.
Agree.
Neutral
Disagree.
Strongly disagree.

Q14. Do you hold the opinion that rewards should be based on performance?
a. Agree.
b. Disagree.
Q15. Should bonuses not be part of the company policy?
a. Strongly Agree
b. Agree
77

c. Neutral
d. Disagree
e. Strongly Disagree

BIBLIOGRAPHY

Websites used:1.
2.
3.
4.

www.google.com
www.tatamotors.com
jaiambeypackaging.com
www.scribd.com
Books used:1. Human Resource Management.
2. Organization Behavior.
3. Motivation and Employee Performance.

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