A STUDY ON EMPLOYEE MOTIVATION

Prepared for:
Dr. Surbhi Kapur

Prepared by:
Shweta Rani
(16/FMS/MBA/056)
Yogesh
(16/FMS/MBA/068)

MANAV RACHNA INTERNATIONAL UNIVERSITY

Date of submission: 25th April 2017

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 DECLARATION

We hereby declare that the project report titled A Report on Employee

Motivation is our own work carried out in partial fulfillment of the MBA program
at Faculty of Management Studies, Manav Rachna International University. All
care has been taken to keep this report flawless and we sincerely regret any
unintended discrepancies in this report.
This work is original and has not been submitted to any other University/Institute
for an award for any degree/diploma

Date: Signature:

Place: Name:

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 ACKNOWLEDGEMENT

We would like to sincerely acknowledge the contribution of all those people who
have, directly or indirectly, been instrumental in helping me complete this project.
We take this opportunity to thank them and all our well-wishers for their relentless
encouragement and wholehearted support.
We would also like to extend our special thanks to our faculty guide,
Dr. Surbhi Kapur, FMS, MRIU for her constant cooperation and help at every step.

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 EXECUTIVE SUMMARY
The aim of this study was to analyse the trends among the working youth and
frame out conclusions based on various factors and an analysis of employee
motivation was drawn.
The following tasks were carried out:
Basic definition of motivation and how it helpful to employees and the
organization was reviewed after going through many scholarly research articles
of scholars.
Preparing a questionnaire for survey to be filled up by working population.
Analyzing the data
Non-probability judgemental sampling method was used and a sample size of 20
was taken.(keeping in mind the short time frame and the availability of employees
around)
The findings of the study were that there is a mixed response regarding the point of
motivation and various motivating factors were included to draw conclusion.

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TABLE OF CONTENTS:

S. NO. CONTENTS PAGE NO.

1. INTRODUCTION 6

2. OBJECTIVE AND SCOPE OF STUDY 7

3. LITERATURE REVIEW 7

4. METHODOLOGY AND RESEARCH 11

DESIGN
5. ANALYSIS OF DATA 13

6. FINDINGS 19

7. CONCLUSION 20

8. RECOMMENDATIONS 20

9. BIBLIOGRAPHY 20

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 1.0 INTRODUCTION:

1.1 MEANING:
According to Webster's New Collegiate Dictionary, a motive is "something (a need or desire)
that causes a person to act." Motivate, in turn, means "to provide with a motive," and motivation
is defined as "the act or process of motivating." Thus, motivation is the act or process of
providing a motive that causes a person to take some action. In most cases motivation comes
from some need that leads to behaviour that results in some type of reward when the need is
fulfilled. This definition raises a couple of basic questions.

The performance that employers look for in individuals rests on ability, motivation, and the
support individuals receive; however, motivation is often the missing variable. Motivation is the
desire within a person causing that person to act. People usually act for one reason: to reach a
goal. Thus, motivation is a goal directed drive, and it seldom occurs in a void. The words need,
want, desire, and drive are all similar to motive, from which the word motivation is derived.
Understanding motivation is important because performance, reaction to compensation, and
other HR concerns are related to motivation.

1.2 DEFINITION:
Internal and external factors that stimulate desire and energy in people to be continually
interested in and committed to a job, role, or subject, and to exert persistent effort in attaining a
goal.

Motivation results from the interactions among conscious and unconscious factors such as the
(1) intensity of desire or need,
(2) incentive or reward value of the goal, and
(3) expectations of the individual and of his or her significant others.

Motivation has been defined as: the psychological process that gives behaviour purpose and
direction, a predisposition to behave in a purposive manner to achieve specific, unmet needs, an
internal drive to satisfy an unsatisfied need and the will to achieve.

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Motivation is operationally defined as the inner force that drives individuals to accomplish
personal and organizational goals.

2.0 OBJECTIVES AND SCOPE OF STUDY

2.1 Objective of study:

Primary objective:

To study the motivation level of employees.

Secondary Objectives:

To study the effectiveness of the techniques adopted by the company in employee

motivation.
To study about the benefits and facilities provided to the employees.
To learn the employees satisfaction on the interpersonal relationship exists in the
organization.

2.2 Scope of the study:

It is always essential for a concern to access its strategies and reshape its destiny. It is necessary
for every organization to study the different aspects that affects the organization development.
Every study has a clear and specific scope. In this survey the emphasis is on the motivation of
employees. The scope of the study involves the preparation of questionnaire and analysis and
interpretation of same.

3.0 LITERATURE REVIEW

3.1: Motivation:
Definition:

Employee motivation is a reflection of the level of energy, commitment, and creativity that a
company's workers bring to their jobs.

"Psychological forces that determine the direction of a person's behaviour in an organization, a

person's level of effort and a person's level of persistence.

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3.2: Objectives:
Main Objectives of Employee Motivation are as follows:

1. The purpose of motivation is to create condition in which people are willing to work with
zeal, initiative. Interest, and enthusiasm, with a high personal and group moral satisfaction
with a sense of responsibility.

2. To increase loyalty against company.

3. For improve discipline and with pride and confidence in cohesive manner so that the goal of
an organization are achieved effectively.

4. Motivation techniques utilized to stimulate employee growth.

5. For the motivation you can buy mans time physical presence at a given place.

6. You can even buy a measured number of skilled muscular motions per hour or day.

7. Performance results from the interaction of physical, financial and human resource.

8. For the achieving a desired rate of production.

3.3: Importance of motivation:

The workforce will be better satisfied if the management provides them with opportunities to
fulfil their physiological and psychological needs. The workers will cooperate voluntarily with
the management and will contribute their maximum towards the goals of the enterprise.

1. Workers will tend to be as efficient as possible by improving upon their skills and
knowledge so that they are able to contribute to the progress of the organization. This will
also result in increased productivity.
2. The rates of labours turnover and absenteeism among the workers will be low.
3. There will be good human relations in the organization as friction among the workers
themselves and between the workers and the management will decrease.
4. The number of complaints and grievances will come down. Accident will also be low.
5. There will be increase in the quantity and quality of products. Wastage and scrap will
bless. Better quality of products will also increase the public image of the business.

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3.4: Factors that influence employees
Empowerment: Feeling trusted and empowered is a tremendous motivator.
Growth: Feeling that they are growing and developing personally
Inclusion: To belong is a fundamental need, whether as a member of a family, peer
group, network, team or company. Its human nature to want to be on the inside, not the
outside
Purpose: Today people care more about what happens tomorrow, and want to contribute
to ensuring the future of our children, and the health of our communities and planet.
Trust: The fabric that holds it all together and makes it real is trust.

3.5: Motivation concepts:

Intrinsic motivation: Intrinsic motivation refers to motivation that is driven by an
interest or enjoyment in the task itself, and exists within the individual rather than relying
on any external pressure. Intrinsic Motivation is based on taking pleasure in an activity
rather working towards an external reward.
Extrinsic motivation: Extrinsic motivation refers to the performance of an activity in
order to attain an outcome, which then contradicts intrinsic motivation. Extrinsic
motivation comes from outside of the individual. Common extrinsic motivations are
rewards like money and grades, coercion and threat of punishment. Competition is in
general extrinsic because it encourages the performer to win and beat others, not to enjoy
the intrinsic rewards of the activity. A crowd cheering on the individual and trophies are
also extrinsic incentives. Social psychological research has indicated that extrinsic
rewards can lead to over justification and a subsequent reduction in intrinsic motivation.
In one study demonstrating this effect, children who expected to be (and were) rewarded
with a ribbon and a gold star for drawing pictures spent less time playing with the
drawing materials in subsequent observations than children who were assigned to an
unexpected reward condition. For those children who received no extrinsic reward, Self-
determination theory proposes that extrinsic motivation can be internalized by the
individual if the task fits with their values and beliefs and therefore helps to fulfil their
basic psychological needs.

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3.6: Types of employee motivation:
Understanding employee motivation is necessary to the success of a company. By knowing what
encourages an employee to do his or her job, a company will be able to implement different
policies to increase the performance of the workers. In order to understand employee motivation,
one must realize that people are different. This means that different things motivate different
employees.

Achievement: One type of employee motivation is achievement. In this type of

employee motivation, the worker is driven by the goal itself. This in a sense is like
climbing a mountain because the mountain is there. Employers often make use of this by
presenting challenges to the employees. In making use of this type of employee
motivation employers often include incentives such as a promotion or cash. However, for
the employees, the incentive is only a bonus to the achievement.
Advancement: For some employees, their motivation is the prospect of rising up in the
ranks of the corporation. They work hard in order to catch the eye of the boss and
probably get a promotion. This type of employee motivation is characterized by ambition.
Of course, there are times when this type of employee motivation can be dangerous.
Sometimes, superiors may find their jobs in danger because of an advancement-motivated
employee. However, if handled properly, an employee whose motivation is advancement
can be the best in the business. As such, this type of employee motivation should be
handled carefully.
Pressure: Some employees work harder under pressure. This employee motivation is
rarely manifested consciously in a worker. It is often the case that an employee
unknowingly piles pressure on himor her and this pressure pushes them to work harder.
Sometimes, pressure is used by and employee to see just how far he or she would be able
to go. However, this type of employee motivation can have some very negative results,
considering the fact that every person has a limit. In fact, it often ends up in a breakdown
of some sort.

Fear: This is one of the most commonly used employee motivation techniques.
Employees are often threatened with termination if they fail to meet certain objectives. Of
course, if an employee does not handle pressure very well, this type of employee
motivation technique could be detrimental to his or her work performance. The key to the
best employee motivation technique is balance. You need to understand that people have
different preferences. Since it is virtually impossible to meet every employees
motivation needs, you must develop a technique that incorporates all of the elements of
employee motivation. In doing so, you will be able to ensure your companys continued
growth.

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4.0 METHODOLOGY AND RESEARCH DESIGN

4.1: Research methodology:

The procedures by which researchers go about their work of describing, explaining and
predicting phenomena are called methodology. Methods comprise the procedures used for
generating, collecting and evaluating data. Methods are ways of obtaining information useful for
assessing explanations.

Research Definition:

The definition of research given by Creswell is "Research is a process of steps used to collect
and analyse information to increase our understanding of a topic or issue". It consists of three
steps: Pose a question, collect data to answer the question, and present an answer to the question.

4.2: Research Design:

The type of research chosen for the study is descriptive research. In descriptive research various
parameters will be chosen and analysing the variations between these parameters. This was done
with an objective to find out the motivation level of the employees.

Data Sources: The data collected for the study is mainly through the distribution of
questionnaire; to be precise the data collected for study was both primary and secondary
sources.
Primary Data: Primary data is the information collected for the first time; there are
several methods in which the data is complied. In this project it was obtained by mean of
questionnaires. Questionnaire was prepared and distributed to the employees.
Secondary Data: Secondary data needed for conducting research work were collected
from company websites, library and search engines.

Research Instrument:

In this study the primary data was collected by survey technique. In this we distributed the
questionnaires to the respondents. The researcher structured the questionnaire in the form of: 1.
Close Ended Questions 2. Multiple Choice Questions

Questionnaire:

A questionnaire is a sheet of paper containing questions relating to contain specific aspect,

regarding which the researcher collects the data. Because of their flexibility the questionnaire

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method is by far the most common instrument to collect primary data. The questionnaire is given
to the respondent to be filled up.

Sampling Design:

Sampling design is to clearly define set of objective, technically called the universe to be studied.
Sampling technique used is simple random sampling method.

Sample Size:

This refers to the number of items to be selected from the universe to constitute a sample. The
sample size for this study was taken as 20 employees.

Statistical Tools Used:

The data collected was analysed by employing the following statistical technique:

Percentage Analysis:

Percentage refers to special kind of ration. It is used in making comparison between two or more
series of data. It is used to describe relationship. It is used to analyses the data. Bar charts, pie
charts were used to explain tabulation clearly.

Formula:

Percentage (%) = Number of respondents X 100

Total number of respondents

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5.0 ANALYSIS OF DATA
Table 5.1: Employee motivation with regard to increments given to employees

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 5 25
2. Agree 13 65
3. Neither agree nor disagree 1 5
4. Strongly disagree 1 5
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows about the motivation level of the employees regarding the salary
increments given to them. 65% of the employees agree with it, 25% of the employees strongly
agree, 5% of them are neutral and 5% strongly disagree.

Table 5.2: Financial incentives motivates more than non-financial

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree
2. Agree 11 55
3. Neither agree nor disagree 6 30
4. Strongly disagree 3 15
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows about the types of incentives that motivates the employees financial or
non-financial. 55% of the employees agree with it, 30% of the employees are neutral, 15% of
them strongly disagree.

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Table 5.3: Satisfaction with regard to salary drawing at present

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 2 10
2. Agree 14 70
3. Neither agree nor disagree 2 10
4. Strongly disagree 2 10
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows about the level of satisfaction with regard to salary given to them. 70%of
the employees agree with it, 10% of them are neutral, 10% strongly disagree and 10% of the
employees strongly agree.

Table 5.4: Satisfaction with regard to lunch breaks, rest breaks, and leaves provided

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 2 10
2. Agree 13 65
3. Neither agree nor disagree 5 25
4. Strongly disagree
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows about the satisfaction level of employee with their break timings. 65% of
the employees agree with it, 25% of them are neutral and 10% of the employees strongly agree.

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Table5.5: Table showing good physical working conditions providing in the organization.

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 4 20
2. Agree 14 70
3. Neither agree nor disagree 2 10
4. Strongly disagree
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows the motivation level of the employees with regard to good working
conditions of the organization. 70 % of the employees agree with it, 10% of them are neutral and
20% of the employees strongly agree.

Table 5.6: Opinion of the employees with regard to job security

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 4 20
2. Agree 14 70
3. Neither agree nor disagree 2 10
4. Strongly disagree
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows the opinion of the respondents on job security. 70% of the employees
agree with it, 10% of them are neutral and 20% of the employees strongly agree.

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Table 5.7: Retirement benefits available are sufficient.

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 6 30
2. Agree 12 60
3. Neither agree nor disagree 2 10
4. Strongly disagree
5. Disagree
TOTAL 100 20

INFERENCE:

The above table shows the opinion regarding retirement benefits provided by organization.
60%of the employees agree with it, 10% of them are neutral and 30% of the employees strongly
agree.

Table 5.8: Satisfaction with regard to Medical benefits provided.

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 2 10
2. Agree 15 70
3. Neither agree nor disagree 3 20
4. Strongly disagree
5.1 Disagree
TOTAL 20 100

INFERENCE:

The above table shows opinion of the respondents regarding medical benefits. 70% of the
employees agree with it, 20% of them are neutral and 10% of the employees strongly agree.

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Table 5.9: Table showing Visibility with top management.

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 1 5
2. Agree 15 75
3. Neither agree nor disagree 4 20
4. Strongly disagree
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows the opinion of the employees relationship with the top manager. 75% of
the employees agree with it, 20% of them are neutral and 5% of the employees strongly agree.

Table 5.10: Table showing superior recognizes the work done in the organization.

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 3 15
2. Agree 15 75
3. Neither agree nor disagree 2 10
4. Strongly disagree
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows opinion of the employee about the recognition of him from the
superior.75% of the employees agree with it, 10% of them are neutral and 15% of the employees
strongly agree.

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Table 5.11: Table showing the job gives good status in the organization.

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 4 20
2. Agree 14 70
3. Neither agree nor disagree 2 10
4. Strongly disagree
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows the status the employee gets from the job. 70% of the employees agree
with it, 10% of them are neutral and 20% of the employees strongly agree.

Table 5.12: Satisfaction with regards to responsibility and role in my work.

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree 8 40
2. Agree 11 55
3. Neither agree nor disagree 1 5
4. Strongly disagree
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows the satisfaction of the employee with the responsibility and the role of his
work. 55% of the employees agree with it, 5% of them are neutral and 40% of the employees
strongly agree.

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Table 5.13: Table showing the quality of the relationships in the informal workgroup.

S.NO PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
1. Strongly agree
2. Agree 16 80
3. Neither agree nor disagree 4 20
4. Strongly disagree
5. Disagree
TOTAL 20 100

INFERENCE:

The above table shows the relationship in the informal work group. 80% of the employees agree
with it, 20% of them are neutral.

6.0 FINDINGS
The study found that
65% of employees are motivated with regard to increments given to employees:
About 55% of the employees agree that financial incentives motivate them than non-
financial incentives.
70% employees are satisfied with salary drawings at present.
65% employees are satisfied with regards to the lunch breaks, rest breaks and leaves
provided by the organization.
Majority 70% of the employees agree good working conditions are provided in the
organization.
Majority 70% of the respondents are satisfied with the opinion of the job securities
provided.
Most of the respondents 60% agree that the retirement benefits available are sufficient.
Most of the respondents 70% of them agree that the medical benefits provided are
satisfactory.
Nearly half , 55% of the respondents are satisfied with the responsibility and role of their
work.
Majority 75% of the respondents visibility with top management are considered
important.
Most of the respondents 75% feel superior recognizes work in the organization.

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 70% of the respondents feels the job gives a good status in the organization
55% of the respondents are satisfied with regard to responsibility and role they perform.
80% are motivated due to the factor of quality of relation in informal group.

7.0 CONCLUSION
The motivational strategies used in the work group the study was performed are very good. The
employees are found to be motivated and they are happy with the pay structure, benefits, work
hours, freedom to work etc. The organization has to be appreciated for keeping the employee
highly motivated and thereby helping them to meet personal as well as organizational goals.

8.0 RECOMMENDATIONS
Motivation of employees can still be increased so as to increase the efficiency and satisfaction of
work. Some of the areas that can be improved are:

Employee- employer relations: The employer should make effort to talk to the employees
and share his/her view on various topics. Employer should encourage and support the
employee.
Employee- employee relation: Only a few of the employees trust their co-workers,
therefore this area needs improvement. Group activities should be encouraged more so
that employees can work together and thus strengthen their relation. More informal
gatherings should be encouraged so that they can know each other.
Few of the employees are not satisfied with the lunch breaks, rest breaks provided it can
be extended.
Some of the employees are not satisfied with the relationship between the top
management they should be free to speak with their employees.

9.0 BIBLIOGRAPHY
http://www.whatishumanresource.com/employee-motivation-introduction

https://en.wikipedia.org/wiki/Employee_motivation

http://www.accel-team.com/motivation/theory_01.html

http://study.com/academy/lesson/what-is-employee-motivation-theories-methods-factors.html

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ANNEXURE

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