MOTIVATIONS FOR ORGANISATIONAL PRODUCTIVITY: (A CASE STUDY OF

COCA COLA PLC, ILORIN.

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 and 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
centered on the aspect of motivation and focuses on the effects of employee motivationon
organizational productivity.

Hellriegel (2016) viewed motivation as any influence that portray, direct, or maintain
people’s goal directed behaviors. It refers to the driving force that makes an individual to 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.

George and Jones (2012) states 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
demotivated 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

James (2014) cited three warning signs of a demotivated workforce these include poor
workplace atmosphere, slipping job standards and decreased productivity. He further stated
that if any of these factors is observed to be trending downwards then there is a great chance
that the organization is dealing with a demotivated workforce. Most businesses and
organizations especially manufacturing industries have failed to recognize the importance of
motivation as a concept be it intrinsic such as employee well-being, relationship with co-
workers, relationship with managers, organizational policies etc. or extrinsic such as training
and career development, good working conditions, compensation, promotion amongst other
factors that enhance or improve employee performance as well as organizational productivity
levels.

This in turn has continued to represent major managerial concerns for decades as productivity
levels has relatively declined which has been acknowledged as a subject of growing concern
in the aspect of business and management research (Akerele, 2001). Although a lot of factors
may also be responsible or even cause a decline in productivity such as poor strategic and
structural changes in decisions and executions, lack of infrastructure, leadership styles and
organizational culture amongst others. Contemporary investigations that connects the concept
of workforce motivation and productivity has laid an emphasis on employee perspective,
needs and expectations as factors affecting their performance and productivity levels
respectively. As such investigating those factors of importance to employees in the discharge
of their duties at work has taken a new dimension.

Motivation through factors such as employee wellbeing, adequate compensation, promotion,

good relationships with co-workers and relationships with managers can enhance an
employee’s level of effectiveness and efficiency in the workplace. This is because good
relationships with co-workers promote unity and gives the employee a sense of belonging and
acceptance which in turn boosts employee performance and productivity levels. Employees
who enjoy such relationships both within and outside the work environment tend to be more
effective and efficient as such very productive in discharging their duties. Therefore
organizations should promote harmony amongst employees by organizing social functions in
a bid to bring employees together (Jibowo, 2007).

Therefore an organization’s best strategy is to provide suitable work environs that allow their
workforce to meet or exceed expectations as well as offer a range of motivators to improve
enthusiasm, performance and productivity levels

1.3 Objectives of the Study

The primary objective of this study is to acquire a deeper comprehension of how motivations
affect organizational productivity. This research therefore seeks to:

i. Determine the effect of motivations on the level of effectiveness of the workers.

ii. Determine the effect of employee relationship with managers on the level of efficiency of

the workers.

iii. Examine the influence of employee motivation on organizational productivity.

1.4 Research Questions

This study has provided answers to the following questions:

i. What effect does motivations on the level of effectiveness of the workers?

ii. How does employee relationship with managers affect the level of efficiency of the
workers?
iii. What influence does employee motivation have on organizational productivity?

1.5 Research Hypotheses

i. Motivation has no significant effect on the level of effectiveness of the worker

ii. Employee relationship with managers have no significant effect on the level of efficiency
of the worker

iii. Employee motivation does not influence organizational productivity

1.6 Significance of the Study

For this study not to be an effort in futility, it has to be useful to a number of people and
institutions among which are;

i. Organizations: The aim of this study is that the outcomes, results or findings should be
beneficial to business owners, managers and organizations especially in the locality where
this study is being conducted. This is to enable them understand the concept of motivation
and its effect on productivity. It also gives an insight to managers and business owners on the
importance of knowing their employees and ensuring adequate motivation in their
organizations.

ii. Research Institutions: This study is also relevant to research bodies and institutions in the
nation as a whole because findings would also be relevant to students and users of
information in conducting further research in areas similar to this study.

iii. Government Agencies: This research is also of paramount importance because it would
aid government agencies in making and implementing policies that would enhance the
stability, growth and development of businesses throughout the region in matters concerning
organizational productivity by seeking ways ensure that employees are adequately motivated
in their various organizations thereby increasing overall productivity and performance levels.

1.7 Scope of the Study

The scope of this study is limited to a selected beverage manufacturing organization (Coca
Cola Company, Ilorin, Kwara State, Nigeria where the study is being conducted. This study
examines employee motivation and its resulting effects on the organization’s productivity
levels. The beverage industry is being considered because research has not been done on this
area prior to now. Coca Cola company was selected because is one of the fastest growing
beverage companies currently situated in Nigeria.

1.8 Operationalization of Research Variables

This study consists of two variables, employee motivation and organizational productivity,
being the independent and dependent variables respectively. The relationship between the
two variables can be mathematically represented as follows:

Y=f(X)
Where:

Y= dependent variable = Organizational Productivity

f= Function

X = Independent variable = Employee Motivation (Intrinsic and Extrinsic)

X= Employee Motivation

Intrinsic

X1= Employee Well-being

X2= Employee Relationship with Co-workers

X3= Employee Relationship with Managers

Extrinsic

X4= Training and Career Development

X5= Compensation

X6= Work Environment

Y= Organizational Productivity

Y1= Effectiveness

Y2= Efficiency

1.9 Definition of Terms

Motivation: refers to what stimulates and guides human behaviors and how these behaviors
are sustained to attain a specific goal.

Employees: Employees are people who are hired working under contract in an organization,
hey are referred to as the workforce of an organization.

Productivity: A summary measure of the quantity and quality of work performance, with
resource deployment taken into account. It can be measured at individual, group or
organizational levels.
Organizational Productivity: A measure of how efficiently and effectively managers use
resources to achieve organizational goals.
 CHAPTER TWO

LITERATURE REVIEW

2.0 Preamble

This chapter shall extensively examine literatures that are associated and significant to the
subject of this study. The review covers the concepts, empirical and theoretical explanations
required to facilitate a complete examination and comprehension of the research. It provides
an insight of other people’s thoughts and opinions on the effects of motivation on employees
and how it affects their productivity levels.

2.1 Conceptual Review

2.1.1 Motivation

What is Motivation? James and Stoner (2019) Suggested that motivation can be seen as those
psychological characteristics of humans that contribute to an individual’s level of
commitment towards a goal. It comprises several elements that causes, directs, and sustains
an individual’s behavior in a specific way. He went further to say that motivation is one of a
number of elements that affect an organization’s productivity and performance levels
respectively. Jennifer and George (2006) defined motivation as a mental force that governs
the direction of an individual’s behavior in an organization, an individual’s level of effort,
and an individual’s level of determination when faced with obstacles. In addition she stated
that even with appropriate strategies and administrative structures in place, an organization
can only be productive if its employees are sufficiently motivated to perform at higher levels.
Hellriegel (2016) viewed motivation as any impact that brings out, guides, or sustains a
person’s goal-directed behaviors. Ivancevich (2014) Suggested that motivation refers to those
set of forces that triggers certain behaviors and regulates its form, course, intensity and
duration. Obikeze (2015) viewed motivation as the process of guiding an employee’s actions
towards a particular end via the manipulation of rewards.

Kreitner (2015) described motivation as the mental process giving behaviors the will-power,
drive, and tendency to act in a certain way in order to attain certain unsatisfied needs. Young
(2000) also suggested that motivation could be defined in relation to forces within employees
that justifies the levels, directions, and resolution as regards efforts they expend in the
workplace. George and Jones (2012) termed work motivation as self- induced forces that
control the directions and behavioural patterns of the workforce in an organization taking into
account their levels of commitment and enthusiasm towards the successful accomplishment
of set goals.

Berelson and Staines (2013) opined that motivation is an inner state that inspires actions as
well as direct and channel behavior towards a goal. Guay, Chanal, Ratelle, Marsh, Larose &
Boivin (2020) argued that motivation deals with “the motives underlying behaviors”. In
addition, (Broussard and Garrison, 2004) defined motivation simply as “those elements that
pushes an individual to act or not to act”.

Beach (2005) described motivation as the individual’s readiness to expend energy so as to

accomplish set goals. He is of the opinion that motivation relates to a person’s enthusiasm for
specific patterns or behaviors. Also he further stated that the ambitions, needs and wants of a
person may influence, direct and control their attitude. Davies (2015) suggested that the
concept of motivation entails what goes on inside a person that results certain behaviors. As
regards organizations, he stresses that an absence of motivation is reason enough for a worker
not to attain gratification from the work.

Agbeto (2012) also stated that motivation is anything that moves an individual towards a
specific goal. Furthermore Koontz (2018) argued that motivation as a term is applicable to
the drive, yearnings, needs and wishes of a person. From the above definitions it can be said
that motivation as a whole, is more or less fundamentally concerned with those forces or
elements that triggers certain human actions or behaviors. It can also be deduced that creating
a work place environment in which adequate motivation is sustained has a positive impact on
employee performance. This is because employee motivation is the core of the field of an
organization’s behavior and a high level of motivation encourages employees to be highly
productive and perform better at their jobs. However creating such an environment still poses
a challenge to managers and organizations as a whole. This problem may be based on the fact
that an organization’s productivity levels increase as the level of employee motivation rises.

2.1.2 Types of Motivation

Lin (2017) proposed that motivation can either be intrinsic or extrinsic. In the workplace as
well as other settings, motivation is often classified as being naturally extrinsic or intrinsic
(Martocchio, 2016). Lin, 2017; Ryan and Deci (2020) also identified several classes of
motivation namely; extrinsic and intrinsic motivation.
Intrinsic motivation: can be referred to as motivation derived from within the individual or
from the activity itself, it can be said to have an affirmative outcome on the conduct,
performance and well-being of an individual (Ryan and Deci, 2020).

In the workplace, it springs from impulses that are characteristic of the work itself .It is what
workers derive because of their success in completing a task. Such Intrinsically motivated
rewards comprises the chance to showcase expertise and abilities, receive gratitude, good
recognition, freedom, responsibility and mutual respect. A worker that is inherently inspired,
according to George and Jones (2012) would be devoted to his job for as long as he believes
the job is able to satisfy his wants. Intrinsically driven work conduct are behaviors performed
for one’s own sake, that is, the inspiration to work emanates from within the individual. Here
the worker is motivated because he derives happiness in doing the job.

For instance, a domestic worker in an organization whose pay is quite low compared to other
workers cleans the surroundings every time and even put in extra hours to clean not because
of an increase in pay but because of the happiness derived in doing it. Such a motivation
originates from rewards that are considered inherent to a job or activity itself such as the
pleasure an individual derives from a game of chess or the love of playing soccer. Therefore
when an individual engages in activities without any apparent inducements with the
exception of the activity itself such an individual is said to be motivated intrinsically.

On the other hand extrinsic motivated behaviors are those that are external to the activity or
the work, such as compensation, conditions of work, welfares, safety, and elevation etc. these
motivators are usually determined by the company the individual works for. Extrinsic
behaviors require workers to work hard or put in extra hours so as to get the reward that
comes with it. Workers may not like the task but are inspired by the additional benefits,
awards etc. It is a behaviour that is put up to obtain substantial or social rewards and to evade
chastisement. For instance, a receiver in a guesthouse is aware that working hard and
diligently would bring about additional benefits and even promotion may not be happy
putting in extra hours but the incentive forces him/her to work harder. George and Jones
(2012) an extrinsically inspired individual will be dedicated for as long as external rewards
are available.

For examplee, good pay has been perceived over time to be an effective strategy businesses
utilize to motivate their workforce to perform thereby improving organizational performance.
Also, most employers of labor have understood the point that for businesses to contend well
in a business setting, the performance of their workforce is very essential and crucial in
influencing the result in terms of the success of the business. Hence, it can be presumed that
the performance of a workforce is not only key to the progress, solidity and enlargement of
the business alone but also for personal advancement of the workforce as a whole.
Motivation that is considered extrinsic stems from outside of the performer. Money can be
said to be the greatest example, nevertheless coercion and the fear of punishment are also
common extrinsic motivations. In various organizations, Competition is seen as extrinsic
since it encourages the performers to win and outwit their rivals, rather than appreciate the
intrinsic rewards associated with the activity. However it is also imperative to note that
extrinsic rewards may result in over justification and a later a decrease in intrinsic motivation.
The universal difference between intrinsic and extrinsic motivation is that whereas intrinsic
motivation is triggered by internal forces or those within oneself, extrinsic motivation is
determined by external forces (Giancola, 2014).

2.1.3 Intrinsic Motivational Factors

Although there are various forms of intrinsic motivation, this study focuses on an employee’s
wellbeing, employee’s relationship with co-workers as well as their managers as factors that
may influence an employee’s productivity levels in an organization. Intrinsic motivation,
derived from within an individual or from the nature of the work itself, positively influences
behavior, wellbeing and productivity (Ryan and Deci, 2020). These factors are discussed
below;
2.1.3.1Employee Well-being

The concept of employee’s well-being in most organizations has become a thing of great
interest in recent years. In today’s world, the increasing reliance on overall market forces
places a considerable load on salary earners and those of working age as regards delivery of
goods and services. Consequently this has adversely affected the health, safety and general
wellbeing of the workforce. Therefore the well-being of a workforce cannot be
underestimated as workers also have similar needs be it physical or emotional. These needs
may vary ranging from welfare, security, health and a sense that they are capable of coping
with life. Employees now look to their organizations for assistance in achieving this because
a significant amount of their time and lives are expended at work. Most business
establishments around the globe understand the necessity for a healthy workforce as they are
crucial in enhancing an organization’s productivity levels and fiscal performance. As such,
most organizations take giant strides in a bid to improve the welfare of their workforces by
implementing several health and productivity programs that is aimed at promoting the well-
being of their workforce.

Well-being is defined as a concept that encompasses physical, financial and psychological

health, as well as a personal connection and a sense of belonging and not just the absence of
an ailment or injury. It is an extensive ideology that takes cognizance of the individual as a
whole as regards the physical and mental states of a person (Lu, Cooper & Lin, 2013).
Finally, for health and well-being programs to be successful an organization must be able to
relate effectively with their workforce and ensure that matters of great concern that may be
termed personal to staff and their relations are catered for. Some of these matters may include
their welfare packages, health-related behaviors, present and eventual monetary state of
affairs as well as their experiences in the place of work. It is imperative to note that the
attitude of a workforce provides several clues on how to obtain the best returns on health and
productivity investments. Baase (2009) stated that there are proofs showing that the health
and wellbeing of an organization’s labor force is inseparably associated with their levels of
productivity as well as the health of the nation’s economy. As such employers of labour are
also very much aware of the importance of wellbeing programs and are concerned with
seeking out better ways to improve employee wellbeing through various health protection and
promotion benefit programs.

Most organizations even allow staff to take several days off due to illness without being
deprived of their pay. Some even compensate members of their work force for not taking sick
leave by giving them additional pay (Mathis, 2017). Shellengarger (2021), also agreed that
managers give their workers paid time off, free lunch and relaxation times, vacations, leave
etc. This is done with a view to ensure that workers stay healthy and motivated thereby
increasing their levels of effectiveness and efficiency in the workplace resulting in high
productivity.
2.1.3.2 Relationship with Co-workers

An employee’s relationship with co-workers describes the associations that exist between
workers of equal levels on the hierarchy in an organization without any form of authority
over one another. Workers who enjoy great support from their co-workers are highly
industrious and find their workplace friendly. Cummins (2010) stated that employees who
have a decent affiliation with their fellow workers are usually prosperous and very productive
in the workplace even when their jobs are very stressful. This means that a co-worker’s
support is very essential in minimizing stress. Mayo, Sanchez, Pastor and Rodriguez (2012)
as well agreed that co-worker support is vital in aiding productivity in the workplace.
Although, the relationship that exists among co-workers as well as managers in relation to
support has seldom been considered, the kind of relationships a worker has in terms of
support from his co-workers has a very strong influence on his performance and productivity
levels (Schaubroeck, Cotton & Jennings, 2005).

A rational explanation of relations that exist amongst workers be it friendly or strictly

professional has an impression on the level of effectiveness and efficiency of a worker which
are elements of productivity. For instance workers who enjoy support from fellow workers
also have personal relationships outside of work and bond more with their co-workers tend to
appreciate the workplace and hence perform exceedingly well and are highly productive in
their work as opposed to those with lesser support. Employees have a sense of belonging
when they can comfortably request assistance from colleagues in the completion of certain
jobs, which promotes unity (Mitchell and Ambrose, 2017).

Good relationships with co-workers is very effective in minimizing job stress and promoting
harmony amongst the staff of an organization. This can be achieved through organized social
functions aimed at promoting the bond between members of the workforce. Existence of
effective relationships between employees and colleagues also ensures job satisfaction
(Altinoz et.al, 2012).

Such relationships with co-workers create room for flexibility in work scheduling, division of
workload among others. Co-worker interactions play a huge part in determining the conduct
of workers as regards productivity levels on the job. When workers are pleased, it is generally
due to the fact that they are contented with their jobs. This is also reflected in the quality of
their work.

Workers who derive pleasure in working with fellow workers are motivated beyond personal
factors and are often engaged with their jobs (Robbins 2004).

Consequently workers who relate well and enjoy working with their colleagues particularly
when engaged in team work are highly productive. Such workers tend to be more devoted
and motivated as opposed to their equals who lack such relationships with their co-workers.
That is to say they operate more effectively and efficiently with the success of the
organization in mind (Hoobler and Brass, 2006).

2.1.3.3 Relationship with Managers

A worker’s relationship with his/her manager describes the level of relations that exist
between workers and their superiors i.e. managers, supervisors or bosses at the various levels
on the hierarchical structure in an organization even when managers have the capacity or
possess a certain level of power over them. Workers who enjoy great support from their
managers are diligent and find their workplace friendly. As employees are the pillars of the
organization, managers must ensure that they have a cordial relationship with their workers
based on trust and mutual respect if they are to achieve high productivity levels from them.
Therefore managers are to ensure that a deliberate and well-structured initiatives are utilized
by their organizations to build foundations for solid relationships with their workforce (Rai,
2013).
Businesses and managers have a duty to cater for the needs of their workforce and this can be
achieved by ensuring that employees are involved in decision making processes, receive
feedback in terms of criticism as well as credit for their conduct and performances as well as
enjoy personal or friendly relationships rather than strictly professional relationships with
their managers (Sinha and Bajaj, 2013). Sustaining decent relationships with members of an
organization’s workforce is paramount and an effective way to closely monitor, evaluate and
control the productivity gaps of the workforce. It also boosts the individual effectiveness,
efficiency and productivity levels of workers because when managers take the time to build
and improve relations as well as guide workers in their various roles, they will in turn
produce more quality work. Only via such decent relations as well as a strong sensitivity in
management can a unified entity be built (Chapman and Goodwin, 2021).
Certainly, in large establishments, staying connected with a huge amount of workers can
prove to be an intimidating task. It may be true that members of a workforce have personal
relations with their immediate bosses, however that doesn’t always give the workers an
assurance that their organizations care for them as individuals, therefore the kind of
relationships employees share with their managers really matters as having a faithful and
dedicated workforce can be very vital to an organization as having a loyal customer base
(Gillenson and Sanders, 2015).
2.1.4 Extrinsic Motivational Factors

Also there are various forms of extrinsic motivation, this study focuses on an employee’s
work environment, compensation as well as training and career development as factors that
may influence an employee’s productivity levels in an organization. Extrinsic motivation,
derived from outside the person or from those things that are external to the work or activity
itself, positively influences behavior, performance and productivity (Ryan and Deci, 2020).
The above mentioned factors are discussed below;

2.1.4.1 Work Environment

Most businesses limit the rate at which they enhance the productivity levels of their
workforce to skill acquisition. The kind of work place or environs where a worker operates
also affects the level at which such an organization may flourish. Akinyele (2010) suggested
that about 80% of productivity concerns are as a result of the nature of a worker’s
environment in most organizations.

A favorable work setting guarantees the well-being of workers which invariably will
encourage them to apply themselves to their responsibilities with a high level of morale
which may transform into higher productivity (Akinyele, 2017).

Businesses are prone to risks and uncertainties as such the capacity of an organization to react
effectively to the challenges posed by present-day dynamic nature of economic conditions
will to a large extent be determined by how well an organization can effectively and
efficiently use the human capital at its disposal.

Brenner (2004) affirmed that the capability of an organization’s workforce to share

information throughout the system is subject to the state of their work environment. Workers
are likely to be more productive in a well-structured work environment. Furthermore, the
quality of comfort which varies in terms of the work environment also predicts the degree of
contentment as well as productivity level of workforces. This is because the productivity
levels of the workforce would not be optimal, if the state of their work environments are not
conducive. Better work environments augments worker’s productivity. Kohun (2022),
described an organization’s work environment as an entirety. That is, it encompasses all
forces, activities including other significant elements that are presently or potentially
challenging the worker’s productivity and performance levels. It is the summation of the
interrelationship existing between workers and the surroundings in which they operate.
However, in toxic environments, responsible and talented workers can be transformed
into irrational and unreliable workers as a coping strategy (Kyko, 2015). He cited several
elements that constitute a toxic work environment therefore causing a decrease in
productivity of employees and the organization as a whole. These elements are lack of
transparency in management, biased managers, administrative policies, work conditions,
interpersonal affiliations and compensation.

Yesufu (2020) claimed that the kind of conditions workers are subjected to physically in the
work place is significant to output. Managing and sustaining a work environment effectively
demands making sure the surroundings are conducive, attractive, acceptable, resourceful, and
motivating to the workforce thereby giving workers a sense of pride and purpose in the jobs
they perform (Brenner, 2004).

2.1.4.2Compensation
Compensation refers to the amount of money and benefits that an employee receives from his
organization in return for his or her contributions to the organization (Hamidi, Saberi and
Safari, 2014). This practically satisfies material, social and psychological needs of the
individual (Altinoz, Cakiroglu and Cop, 2012). Compensation or pay is linked with general
satisfaction and more closely linked with pay satisfaction (Lumley et.al, 2011).
Employees receive different kinds of benefits in the form of wages, salaries and pay. Mostly
individuals with good education, relevant skills and experience are unsatisfied with their job
and salary packages resulting in high rates of turnover and low productivity. As such
organizations make compensation plans for them in a bid to minimize the turnover and to
motivate them. In other words you can say that compensation motivates employee for better
performance and higher productivity levels. Compensation may also come in the form of
Fringe benefits which focuses on maintaining the quality in terms of lifestyle as workers,
provide them with a certain level of safety and financial security taking into consideration
their family relations. Some common examples are; retirement or pension plans, medical
insurance, education reimbursement and time off. Fringe enefits are forms of indirect
compensation provided for a worker or group of workers as a result of their status as
members of the organization (Matthias and Jackson, 2023).
Also overtime is the payment over and above the normal salary and wage rates where the
workers are paid extra for working additional hours (Tyson, 2019). Furthermore, Company
housing or house rent allowances is offered by organizations who feel obliged to help an
individual meet one of the basic needs a roof over one’s head in order to enable them have
access to reasonable accommodation while on official duty. Senior employees are provided
with accommodation which may be owned by the organization while other organizations
reimburse rent payments (Andrews, 2019). In order to avoid a decline in employee
productivity levels, workers also require health and safety packages, job security and
adequate working conditions (Hamidi et.al, 2014).

According to Allis and Ryan (2008), the cost of compensating workers that is in form of
payments, wages, and other benefits - are a huge and increasing part of operational
expenditures; yet, productivity may decrease amongst employees if such payments and
benefits are not made available to them. Simply put employees are more industrious and
productive when reasonable pay is attached to performance.

Although compensating workers may have an effect on productivity, other factors can also
increase output with little or no costs to the organization. While pay can be seen as an
example, workers also appreciate being validated if they are to be productive in the
workplace. The need to feel that their jobs are of value and contributes significantly to the
success of the organization is important to the workers. While adequately compensating them
may help, validation does not necessarily have to be financial. This is because simply
thanking them can also make an employee feel appreciated. As regards validation, workers
may also be extremely productive when they can envision where they fit in the big picture.

Workers want to be seen as an integral part of the organization as such strive to be

indispensable. They want to have a grip on every aspect of operations, which could also be
favorable to their hopes and aspirations as this may present them with the opportunity to
showcase their capabilities and skills in other areas excluding their areas of specialization.
They also need to know that they have a voice and that their managers are willing to give
listening ears to their opinions as well as involve them in decision making processes (Lake,
2020).

2.1.5 Productivity

Glen (2014) stated that the manufacturing sector is an ever changing beast and every year, the
industry is faced with fresh challenges. The author stated that virtually all media houses
constantly report the closure of industrial units, labour disputes between employers and their
employees or reductions in the labour force due to recession and other economic dynamics.
As a result, the image of manufacturing industries have been marred by low wages, high
labour turnover, inadequate working conditions, poor performance and productivity (Githinji,
2014).

Productivity can be referred to as the quantity of work that is attained in a unit of time by
means of the factors of production. These factors include technology, capital,
entrepreneurship, land and labour. It is the link between inputs and outputs and increases
when an increase in output occurs with a lesser than comparative increase in input. It also
occurs when equal amount of output is generated using fewer inputs (ILO, 2015).

Bhatti (2017) and Qureshi (2017) were of the perspective that productivity can be seen as a
measure of performance that encompasses both efficiency and effectiveness. It can also be
referred to as the ratio of output or production capacity of the workers in an organization. It is
the correlation that exists between the quantity of inputs and outputs from a clearly defined
process. The performance of a business which determines its continued existence and
development is largely dependent on the degree of productivity of its workers. Yesufu (2000)
stated that the prosperity of a nation as well as social and economic welfare of its citizens is
determined by the level of effectiveness and efficiency of its various sub components.
Productivity is a total measure of the efficiency or capacity to transform inputs that is raw
materials into finished products or services. More precisely, productivity is a measure that
indicates how well essential resources are used to accomplish specified objectives in terms of
quantity and quality within a given time frame. It is suitable when measuring the actual
output produced compared to the input of resources, taking time into consideration. Hence,
productivity ratios indicate the extent at which organizational resources are effectively and
efficiently used to produce desired outputs. Efficiency takes into account the time and
resources required to execute a given task. Therefore, it can be concluded that effectiveness
and efficiency are significant predictors of productivity

2.1.6 The Nexus between Motivation and Productivity

Generally studies conducted on the impact of motivation as it relates to workplace

productivity has drawn significant attention in the aspect of management; however it has
been basically disregarded by most establishments. This may be due to the fact that the
concept of motivation is complex and relative in the sense that what may appeal to an
individual may not appeal to another (Reilly, 2013).
Generally, most organizations through the use of incentives seek out ways to motivate their
work force. These incentives could be in form of good working conditions, work
environment and compensation amongst others. Incentives are regarded as variable payments
(monetary and non- monetary) made to workers or a team of workers based on the quantity of
output or results attained.

On the other hand, it can be seen as payments made with the purpose of stimulating workers’
performance and productivity levels towards achieving greater objectives (Banjoko, 2016).
Incentives can also be described as any compensation with the exception of basic wages or
salaries that varies based on the capacity of the workforce to attain certain standards, such as
pre-determined procedures and stated organizational goals and objectives (Martocchio,
2016). Therefore one can conclude that there is a link between motivation and productivity
this is due to the fact that a lack of motivation leads to a decrease in productivity and vice
versa.

Also, previous studies has revealed that at various points in time, low productivity levels have
beendocumented in virtually all establishments be it government or private sectors in Nigeria
(Mbogu, 2021; Ezulike, 2021; Iheriohanma, 2016); also conclusions from further studies
show that low levels of productivity can be elevated if workers are provided with adequate
motivation which may or may not be financial (Tongo, 2015).

In terms of productivity, members of a workforce may vary in terms of how much value they
bring to the organization, which is certainly not limited to the activities they perform but also
how well they perform such activities; generally organizational performance is largely
dependent on the level of productivity of the workers and various departments that make up
the organization.

Therefore it is imperative that organizations fairly reward their workforce based on relative
productivity and performance levels (Martocchio, 2016).

Finally, for workers to perform at higher levels, the organization has a crucial part to play in
ensuring that it highly motivates the members of its workforce in order to attract, retain, and
improve productivity levels of both workers and the organization as a whole (Reilly, 2013).
2.2 Theoretical Framework

Several theories on the concept of motivation has been conceptualized decades ago namely
content and process theories. Content or need theories are centered on the needs of a
workforce while process theories focus more on behaviors associated with the workforce.
According to Abbot and Doucouliagos (2003), content theories tend to acknowledge the basic
necessities, incentives and the task or job itself as significant elements that contribute to job
contentment while examining the internal factors influencing the conduct of members of a
workforce. Examples include Maslow’s hierarchy of needs theory, Herzberg’s two-factor
theory, McClelland’s theory and Alderfer’s ERG theory. Burns (2015) suggested that process
theories try to describe how behaviour is stimulated, directed, maintained and stopped. There
are four main types of process theories namely Reinforcement, Expectancy, Equity, and Goal
setting. However, only Maslow’s need theory are considered in this study.

2.2.1 Abraham Maslow’s Hierarchy of Needs Theory

In the book titled Motivation and Personality, Abraham Maslow a distinguished psychologist
postulated the Hierarchy of Needs theory (Maslow, 1954). He Stated that human needs can be
categorized into five groups and that these groups can be organized in a pecking order
ranging from the most important to the least important. These comprised needs such as basic
or physiological, safety, belongingness, esteem as well as self-actualization needs. He was of
the opinion that an individual is primarily motivated to fulfill physiological needs first before
considering others. This is because physiological needs otherwise known as basic needs are
essential for an individual’s survival. As such once these basic needs are fulfilled they are no
longer perceived as primary motivational elements by the individual who now moves up the
hierarchy seeking to fulfill safety needs. The process lingers pending when self-actualization
needs are fulfilled. In a workplace, the logic to a certain extent is quite reasonable as workers
who lack essential needs for continued existence such as food, air and water will barely be
able to make any significant impact on productivity as such would put in little effort at work.

In support, Jennifer and George (2006) agreed that individuals from all walks of life strive to
gratify five elementary needs: physiological needs, safety needs, belongingness needs, esteem
needs and self-actualization needs. They claimed that these needs form a hierarchy with the
most fundamental need that is physiological and safety needs situated at the lowest part of the
hierarchy (Jennifer & George, 2006). They were of the notion that needs at the lowest-level
should be satisfied before greater needs can be satisfied.
This theory focuses on the notion that individuals are driven by unfulfilled needs, and that the
fulfillment of needs at the bottom end of the pyramid only leads to the pursuit for the
fulfilment of those at the higher end (Maslow, 1954). This theory suggested that for an
individual to behave in an unselfish manner, every need has to be fulfilled that is both
deficiency and growth needs.

Therefore, in as much as individuals are interested in satisfying their desires, they are
advancing towards growth, which is self-actualization.

In the business setting, this implies that if workers are unable to satisfy their desires, there
would be a loss of morale to work and perform excellently in the discharge of their jobs to the
organization. Maslow believed that needs can’t be fully satisfied citing that needs that are
more or less achieved stops to be a motivator. Therefore, managers in a bid to improve
productivity need to recognize the position of members of its workforce in relation to the
hierarchy so as to be able to motivate them accordingly bearing in mind that motivational
tools should be tailored to meeting their desires (Robbins, 2001).

This theory presents businesses particularly in the area of management, an understanding of

those elements that arouse or affect a worker’s behavior and work performance levels within
a corporation. The theory posited that individuals have diverse needs that are active at
different times and that only unfulfilled needs can affect behavior (Obikeze, 2005).
Therefore, in order to adequately motivate employees at their place of work, managers are
obligated to ascertain and understand the present needs of their workforce. Maslow's model
specified basically that needs at the lower end such as physiological and security
requirements must be fulfilled before the pursuit of those top level motivators such as esteem
and self-fulfillment.

Relevance of the theory

Maslow’s theory although one of the earliest propounded theory of motivation is still very
much relevant and applicable in present day organizational settings. Despite its shortcomings,
it has been able to identify those needs that are peculiar to an individual and the effects it may
have on an individual’s performance or productivity levels in an organization. Hence, it is
vital that managers try to understand those needs affecting members of its workforce and
provide adequate motivation tailored to suit or gratify those needs. In order to achieve high
productivity levels from members of the workforce, the organization must consider
employees the backbone of the organization as such an asset to the organization. Therefore to
ensure that workers remain highly productive and in a bid to achieve continuous growth,
stability and success of the organization, Maslow’s theory posits that the needs of the
workforce must first be given due consideration.

2.3 Empirical Framework

Various studies have examined the effect of extrinsic and intrinsic motivation on a workers’
performance and productivity levels. Also most of these studies have obtained different
results from their analysis. For instance, Rewards that an individual receives be it intrinsic or
extrinsic are very essential in understanding the concept of motivation. Previous studies have
proposed that rewards leads to fulfillment and can affect a worker' to be affected, which
directly influences the performance as well as productivity levels of the employee. Lawler
(1968) stated that certain elements affect worker’s productivity levels in relation to their jobs.
First, productivity is dependent on the amount of monetary or non-monetary benefits they
actually receive as opposed to the amount they feel they deserve. Also, evaluating what other
workers receive in comparison to their own affects their individual performances, while the
worker’s contentment with both intrinsic and extrinsic rewards acquired has an effect on
overall work performance and productivity levels. Furthermore, workers vary largely in the
rewards they crave and the degree of value they attribute to each reward. Finally, it is
observed that extrinsic rewards tend to please workers more than intrinsic because they lead
to the achievement of other rewards. As such, these observations propose the necessity for a
diverse reward system.

The research carried out by lin (2007) on the assessment of intrinsic and extrinsic motivation
on employee productivity, The results gotten from the examination revealed that there was a
significant correlation between extrinsic motivation and the productivity level of the workers,
while that of intrinsic motivation was statistically less significant than extrinsic even though a
correlation also existed between intrinsic factors and workers’ productivity levels. As a result,
implications of the findings for future study were stated.

Jibowo (|2007) in the study; motivation and workplace productivity amongst workers
basically assumed the similar methods as (Herzberg, 2000). The study shows some supports
for the impact of motivation on productivity. However more value was placed on extrinsic
factors than intrinsic.
Another research by Centres and Bugental (2007), also based their inquiry on Herzberg’s
two- factor theory of motivation, which divided job variables into several groups: hygiene
factors and motivators. They utilized a population of 692 participants to test the rationality of
the theory on worker effectiveness and efficiency levels. It was revealed that at higher
professional levels, motivators or Intrinsic job elements were more appreciated, while at
lower occupational levels hygiene factors or extrinsic job elements were more appreciated.
As a result, they concluded that organizations that fulfills both intrinsic and extrinsic
elements influencing employees’ behaviour are able to gain the best out of them.

Also Taylor and Vest (2012) investigated the effect of financial incentives and its removal on
workers performance and productivity; it revealed that participants in the experimental group
who received personal inducements performed better than those in the control group. Assam
(2022) also examined the role of extrinsic and intrinsic motivation on productivity among
Nigerian workers, it showed that using a sample of employees of high and low professional
levels. The assumption that low income employees will be inherently motivated and highly
productive was not validated, and the assumption that higher incomes employees will place
great values on intrinsic motivational elements than low income employees was also not
validated. This explicitly illustrates the degree of value workers place on extrinsic
motivational elements even in the absence of any significant change in motivational levels
across various classes of employees in the organization.

(Baase, 2009) perceived that poor compensation is linked to the profitability of an

organization. Wage differences amongst high and low salary recipients was linked to the loss
of morale, lack of commitment and low productivity. Also Nwachukwu (2004) attributed the
decline in productivity levels of employees on some elements, amongst them is a company’s
failure to cater for the well being of their staff, provide adequate compensation, training and
career development, adequate working conditions, suitable working environment and failure
to promote cordial relationships amongst co-workers, managers and their organizations which
is very demoralizing to the workforce leading to reduced their levels of productivity.

An investigation which is of importance to this research, is that carried out by (Lake, 2000).
He Studied the relationship between motivation and job effectiveness of various workers
taking into account their attitudes to the job in question. The study concluded that most
workers placed more importance on extrinsic factors than intrinsic factors citing the need to
satisfy other needs as a major criteria for their choice. He also noted that majority of the
research participants cited poor work environment, inadequate working conditions and a lack
of resources as factors affecting worker efficiency levels in most organizations.

Also, in a similar research, (Akerele, 2001) equated the comparative position of ten
motivational tools such as pay, training, security, etc. considered external to the job, and
other internal factors like employee well-being, good relationships with managers,
responsibility etc. among 80 employees of an organization. It was assumed that greater value
will be put on internal rather than external job factors. However, findings failed to validate
the assumption as it was revealed that two extrinsic factors sufficient compensation and job
safety were rated as the most important tools.

The above are practical works undertaken by various scholars in the area of motivation and
productivity. Based on these empirical examinations and conclusions, one may possibly
deduce that both intrinsic and extrinsic motivational factors are very essential in improving
workers productivity levels in the workplace. As such an individual’s performance levels, can
be expected to result in higher productivity if the right motivational tools are put in place.

However, the question is “to what extent can motivation be it extrinsic or intrinsic induce
productivity levels taking into deliberation the arguments for and arguments against the fact
that motivation as a concept is complex and relative to individuals.

2.4 Gaps in Literature

Despite the increasing effects of motivation on employee productivity, there is still limited
literature on its effect in developing countries (Ofori & Aryeetey 2011). This is because while
a lot has been documented about the concept of motivation in advanced nations, most works
related to motivation in areas concerning productivity in less industrialized nations are hardly
found. In addition, it was observed that very little information was provided on intrinsic
motivational factors such as relationship with co-workers and managers as it relates to
productivity while excess information was provided with regards to extrinsic motivational
factors.

The existing studies in this relation (Lawler 1968; Lin 2007, Centres & Bugental 2007;
Nwachukwu 2004; Baase 2009; Akerele 2001; Jibowo 2007; Taylor & Vest 1992; Assam
2002) amongst others have taken a general focus on performance creating a gap on issues
related to productivity. Also, related studies in developing countries have failed to consider
the manufacturing industries in Nigeria.
Finally it was observed that very few examinations have been conducted in the aspect of
workforce motivation with respect to manufacturing industries in Nigeria. This study while
validating some empirical works has bridged the gap between existing literatures by
providing evidence on the effect of workplace motivation on employee productivity in
manufacturing industries
 CHAPTER THREE
RESEARCH METHODOLOGY
3.0 Preamble
This chapter focuses on the systematic approach for solving the research problem in the study
and highlights the instruments and techniques used to seek solutions to the research problem.
It consists of the research design, sample population, sample size determination sample
frame, sampling techniques, data collection procedure, research instruments, validity and
reliability of research instruments and methods of data analysis. The purpose of this research
is to examine the effect of employee motivation on organizational productivity. The Coca
Cola Company, Ilorin, kwara State was the only selected organization used as a study in this
research
3.1 Research Design
Coopers and Schindler (2006) suggested that the research design is the structure of
investigation aimed at identifying variables and their relationships to one another. It refers to
the blue print, plan and guidelines utilized in data analysis with respect to the study. It is a
necessary step required in a research process if research problems and hypothesis are to be
adequately addressed. Descriptive research design was used to describe some phenomena
because it aids a researcher in gathering, summarizing, presenting and interpreting
information for the purpose of clarification
3.2 Population of the study
The study population was the staff of the Coca Cola Plc. The research instrument would be
surveyed on the workforce of the organization considering the fact that they all fall under the
category of employees within an organization (Osuagwu, 2006; Ngechu, 2006).

3.3 Sample Size Determination

The sample of this study is drawn from the population of the study, i.e Management and staff
in the organization of study. During the cause of conducting the interview, the population
(which is the universal set to objective) were given questionnaire, the sampling were
randomly selected from each subpopulation were proved very useful; for comparison the
random sampling was employed in because, here every member of the parent population has
an equal probability of been selected, this means in effect that no member is deliberately
omitted except by chance.
 However, the sampling technique adopted for this study i.e. for the selection of the
sample (respondents), is the simple random sampling technique.

3.4 Sampling Frame

This is the list of all the workers used as a representative of the population in a study. It refers
to a collection of all the items that constitute a population from which a sample is drawn
(Mugenda and Mugenda, 2003). In this research, the sample frame is the list of employees of
the Coca Cola Plc.

3.5 Sampling Technique and Procedure

The simple random sampling was utilized in this study. This was done by segmenting the
workers based on their job status ranging from senior staff, junior staff, contract and casual
workers. This technique is appropriate in order to ensure that every element in the sampling
frame has an equal opportunity of being selected (Eshiteti, Okaka, Maragia, Odera &
Akerele, 2013, Oladipo & AbdulKadir, 2011; Singh & Masuku, 2014).

3.6 Data Collection Prodcedure

In order to generate data, the researcher employed two methods of data collection. The
primary and secondary methods however, the data relevant to the study are drawn mostly
from the secondary sources while data from primary sources are to complement the
secondary data.
Primary Source
As rich and useful as the secondary source are, primary data was also needed for the
research. We derived data from primary source through the use questionnaire and
observations methods.
Secondary Source
The secondary source of data collection is the use of written or printed materials like
documents, newspaper, receipts, etc secondary sources of data for our purpose constitute the
first and immediate information on the subject matter.

3.7 Research Instruments

The instrument used for data collection for in this study is the questionnaire, the
questionnaires were self-administered. A questionnaire is a structured or semi structured
instrument, an array of questions to be answered by persons in order to provide information
for a specific purpose. The questionnaire is structured about the research objectives, the
research questions and the research hypotheses (Mugenda and Mugenda, 2003). For the
purpose of this research, the questionnaire was based on close-ended questions aimed at
generating brief and specific answers from the participants. The questionnaire was adopted
and modified based on the study of Adeniji, (2011); Kibui, Gachunga, & Namusonge, (2014)
and McAllister (1995).

The questionnaire used for this study consists of three sections. Section A was based on the
respondents’ bio-data using five items, section B contained 30 statements concerning
workplace motivation and section C contained 10 statements about employee productivity.
Five-point Likert scale (5-Strongly Agreed, 4- Agree, 3-Undecided, 2- Disagree, 1- Strongly
Disagree) that best describes the extent to which the respondents agree with each items in the
questionnaire was used.

3.8 Validity of Research Instrument

The validity of test reveals the degree to which a measuring instrument measures what it is
intended to measure Norland (1990). He stated that the accuracy and significance of
inferences are based on research results. The validity of the research instrument is determined
by the amount of build in error in measurement.

Copies of the survey were made accessible to experts in this study such as my supervisor for
comments and opinions so as to create validity in terms of contrast, content, criterion and
readability in order for it to be suitable for the objectives of the study. Areas that are not
needed where removed and other areas where collected and added to the research .Also areas
considered irrelevant to the study were removed while others were collected and added to the
research work.

Content and face validity was used in determining the validity of the research. Content
validity is the extent to which a measuring instrument provides suitable coverage for current
study that is research items measure the variables of the study while face validity is face to
face check. The validity of the research instrument is to be gotten from the various questions
posed to the respondents (Ojo, 2003).
3.9 Reliability of Research Instrument

Reliability is the degree to which a measurement is consistent with similar results over time.
Measurements can be reliable and yet not useful but if measurements are useful or valid, it is
certainly reliable. Also measurements that lack reliability also lacks validity. Reliable
measurements show stability when tests are repeated with similar outcomes (Ojo, 2003).

Reliability of the research instrument involves the consistency of the result obtained with the
instrument and if the instrument gives similar, close or the same result if the study is repeated
under the same assumptions (Osuagwu, 2006). For Cronbach’s alpha test; this is relating each
measurement item with the other measurement item so as to obtain the average inter
relationship for all the paired associations. Cronbach’s alpha method of reliability is for
measuring the reliability of this research work (Ojo, 2003).

3.10 Method of Data Presentation and Analysis

For the analysis of data, the statistical package for social sciences (spss) was used. The
statistical tools used to analyze the data include the following: descriptive analysis using
frequency tables and percentages. After distributing the questionnaires, data would be
collected, coded and analyzed through the use of the Statistical Package for Social Science
(SPSS). Furthermore, distribution tables and frequency and percentages would be used for
data interpretation. Also a master data sheet will be prepared with the use of the SPSS.
Finally findings associated with the study were discussed in chapter 4.

3.11 Ethical Considerations

i. Management of the school and department were informed through a letter of introduction to
the respondents

ii. Oral consent was sought officially by the researcher from the human resource manager of
the organization

iii. Researcher ensued confidentiality and privacy of participants information

iv. The researcher avoided the use of deceptive statement and questions during the course of
the research

v. The researcher ensured that participants were not coerced but participated willingly.
vi. The researcher also ensured that no form of injury physical or mental affected the
participant