The impact of employees motivation on organizational productivity of microfinance institutions in Cameroon

Project Details

Department
MANAGEMENT
Project ID
MGT04
Price
5000XAF
International: $20
No of pages
75
Instruments/method
Quantitative method
Reference
YES
Analytical tool
Descriptive statistics
Format
 MS Word & PDF
Chapters
1-5

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OR

    Abstract

The study investigates the effect of motivation on organizational productivity of NPACCUL Limbe. Majority of the organization are competing to survive in the fierce market environment. Thus motivation and productivity of employee’s performance are essential in an organization in long run. On the other hand, measuring productivity is critical to an organization’s management as it highlights the evolution and or achievement of the organization. However, there’s a relatively positive relationship between employee’s motivation and organizational productivity as tested from the hypothesis of 3% level of significant assuming one tail test of Z0.03, 1.7=0.0418, P(Z ). From the above hypothesis, the result indicated that there is a significant relationship between employees’ motivation and organizational productivity. The result also reviled that extrinsic factors were considered to have more significant effects on organizational productivity than intrinsic factors. The study concluded that although both extrinsic and intrinsic factors are significant predictors of productivity, extrinsic factors appeared to be more significant or value by the respondent in the organization use in the study. Furthermore, this study also recommends that management of the organization should take appropriate measures in figuring out those factors that motivate their employees and sig ways of ensuring that they are adequately motivated in order to improve their performance and productivity levels. Finally, the study also suggested that future study should focus other industries apart from microfinance institutions in Cameroon.

Keywords: Motivation, Productivity, Organization and Employees

 

CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

Generally, most businesses, organizations and their managers are faced with numerous challenges. One of such challenges is in the area of management which refers to the utilization of resources effectively and efficiently in order to achieve an organizations goals and objectives. Some of these managerial challenges are obvious in matters concerning employees such as reimbursement, recruitment, performance management, training and career development, health and safety, benefits, motivation and administration amongst others. The human resource is the most vital of all resources among other factors of production and the human capital is what distinguishes one organization from the other (Maimuna& Rashad, 2013). Therefore, for organizations to survive and remain relevant and competitive, it is essential for them to be able to entice and maintain efficient and effective employees in a bid to enhance productivity (Sunia, 2014). This study however is centred on the aspect of motivation and focuses on the effects of employee motivation on organizational productivity.

Hellriegel (1996) viewed motivation as any influence that portrays, direct or maintains people’s goal-directed behaviours. It refers to the driving force that makes an individual act in a specific way. It is an inner drive that causes an individual to behave in a certain manner. The goal of most organizations is to improve productivity therefore factors of motivation play significant roles in improving employee job satisfaction levels. This will in turn aid in improving an organization’s productivity levels.

Employees make up the workforce of any organization as such they are an integral part of the organization. Aluko (2014) stated that an organization is only as good as the workforce that runs the organization. This is to say that when employees are motivated chances are that their morale would be high as such performance and productivity levels would increase thereby to a large extent boosting overall organizational performance level. In order to achieve high levels of productivity as such boost organizational performance or productivity, managers, therefore, need to continually seek ways of ensuring that their employees stay motivated. This is because a lack of employee motivation leads to reduced productivity which is harmful to organizational performance and continuous success.

Jennifer and George (2006) defined employee productivity as the level of effort put forth by the workforce of an organization towards achieving organizational goals and objectives. There are several ways by which a workforce can be motivated so as to enhance organizational productivity. George and Jones (2012) state that motivation can be categorized into two classes namely intrinsic and extrinsic. Intrinsic motivation arises from an employee’s internal cravings to execute a task out of self-interest rather than a need or wish for some external reward. External motivation is the type of motivation that arises when an employee is compelled to act in a specific way either as a result of that employee’s desires for external rewards or to avoid punishment.

Extrinsic motivation also helps boost an employee’s effectiveness and efficiency levels. This is because certain external factors such as adequate compensation, work environment as well as training and career development appeal to employees as such are essential in inspiring them to resourcefully and successfully discharge their duties. An organization that fails to provide a conducive work environment, compensate its workforce adequately, create room for proper training and career advancement is at risk of having a de-motivated workforce. This means that such a workforce being demoralized would fail to effectively and efficiently discharge their duties leading to low performance and productivity levels (Nwachukwu, 2004). This study, therefore, focuses on showing the effects of motivation on organizational productivity.

1.2 Statement of the Problem

Given the universal and socio-economic encounters, employee productivity has become relatively robust for most organizations to handle. The vision of every group is to have high productivity, but not all companies enjoy the opportunity of high productivity. Therefore, employee productivity is a challenge for many organizations today (Atambo, 2013). The idea of motivation, therefore, cannot be underestimated as it has proven to yield high productivity towards achieving the organizational goals or purpose of a company. Some employers attempt to offer salaries or wages to their employees not just to serve as payment but to motivate them to do their beat. The complexity of man most often does not produce the anticipated results, human needs, unfortunate by an infinite demand for things that will provide adequate satisfaction.

But satisfaction to the human being is a relative concept, saving the word which may satisfy Mr.  ‘’A’’ and might not satisfy Mr. ‘’B’’ even though both persons may show similarity in socio-cultural compositions. Therefore, this makes motivation based more on the intrinsic reward rather than the extrinsic reward (Maslow, 1954). This study focus on extrinsic motivation.

A primary investigation conducted by the researcher during his period of internship with the loan department, it was observed from the record of the 2017 financial year report for the National Port Authority at the loan department that the rate of capacity to produce result beyond target has dropped from 85% to 75%. Also, employee punctuality and commitment to duty felt from 60% to 50% (National port authority achieves, 2017).

All these are individual indicators of employee productivity. This, therefore, means that a drop in one productivity of the organization. This makes the organization not to be productivity.

It is important to note that there are several techniques through which the organization can improve the performance of its employees, however for the sake of this work; the researcher will want to scrutinize the use of motivation as a tool to boost this productivity. This is because the researcher observed the lack of fringed benefits allowances bonuses and many other tools of motivation during the primary search for this study.

1.3 Research Questions.

The main question of this study is what impact does motivation has on employees’ productivity in the loan department at national port authority corporative credit union?

  • What is the relationship between promotion and employee productivity in the loan department at the national port authority?
  • What is the relationship between training and development and employee productivity in the loan department?
  • What is the relationship between the working environment and employee productivity?
  • What is the relationship between remuneration and employee productivity in the national port authority at the loan department?

1.4 Objectives of the Study

The primary objective of this study is to investigate the impact of motivation on employees’ productivity at the national port authority in the loans department.

The specific objectives are:

  1. To evaluate the relationship between remuneration and employee performance in the loan departments.
  2. To examine the relationship between promotion and employees’ productivity at national port authority in the various departments.
  3. To evaluate the relationship between training and development and employees’ productivity in the national port authority departments.
  4. To examine the relationship between the working environment and employees’ productivity in the port authority departments.
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