Employee Motivation and Business Performance

This assignment delves into the crucial relationship between employee motivation and business performance. It requires students to examine different motivational theories, analyze how these theories influence employee behavior, and explore the impact of motivation on key aspects of business success such as productivity, innovation, and customer satisfaction. The paper also encourages students to critically evaluate real-world examples and research findings to support their arguments.

Research proposal
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TABLE OF CONTENTS
CHAPTER ONE - INTRODUCTION.................................................................................................3
Title..................................................................................................................................................3
Background......................................................................................................................................3
Background of the organization.......................................................................................................4
Statement of the problem.................................................................................................................4
Aim of the study..............................................................................................................................4
Specific objectives...........................................................................................................................4
Research questions...........................................................................................................................5
Significance of the study..................................................................................................................5
CHAPTER – 2 LITERATURE REVIEW............................................................................................6
Introduction......................................................................................................................................6
2.1 Employee motivation.................................................................................................................6
2.2 Importance of employee motivation..........................................................................................6
2.3 Motivational theories and approaches.......................................................................................7
2.4 Relationship between motivational theory and business performance....................................10
CHAPTER – 3 PROPOSED METHODOLOGIES...........................................................................11
Research philosophy......................................................................................................................11
Research approach.........................................................................................................................11
Research design.............................................................................................................................11
Data collection method..................................................................................................................11
Sample and sampling technique....................................................................................................12
Instrument for data collection........................................................................................................12
Data analysis..................................................................................................................................12
Limitation of the study...................................................................................................................12
Ethical consideration......................................................................................................................13
Timescale.......................................................................................................................................13
Resources.......................................................................................................................................14
REFERENCES...................................................................................................................................15
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CHAPTER ONE - INTRODUCTION
Title
“To identify the link between motivational theories and organization performance”- A case
study on Next Plc.
Background
Each and every business enterprise regardless their sizes can only achieve their business
targets by enduring workers commitment. In the modern business era, corporate world is facing
enormous changes due to increasing globalisation and advancement of information technology that
have a major impact on business responses. It leads to bring significant level of changes in business
operations, processes, system, employee behaviour and managerial roles and responsibilities. It
altered the way how business operates and reshaped workers behaviour and responses at workplace.
In order to fulfil the target goals, companies are required to motivate their workforce continuously
so as to endure their commitment and efforts to a maximum extent. In such respect, motivation is
regarded as psychological characteristics or activities that help managers to improve workers efforts
to deliver top-quality services to the customers (Muogbo, 2013). It is essential for the companies to
motivate, encourage and promote their workforce, so that, they can get improved efforts of their
personnel and improve their performance. In other words, motivation is a way to drive more amount
of people effort with having positive workers attitude and behaviour. It consists of both the intrinsic
and extrinsic factors, in which, extrinsic is regarded as the process of influencing business personnel
by external rewards, praise, money, positive feedback and others. However, on the other side,
intrinsic motivation refers to feeling of pleasure in performing various business activities and
operations. For instance, interested work, task specification, recognition, growth, high achievements
and increased salary are the type of intrinsic motivation factors that promote member to put their
increased efforts to render qualitative services to the customers and thereby meet their job roles and
responsibilities in the best possible manner (Reeve, 2016).
Thus, it can be said that motivational factors works as a forces that attract people to work hard
in their job and stay with it for a longer period. Motivational theories and approaches such as
Maslow’s hierarchy, ERG (Existence, Relatedness and Growth), process based theories, Herzberg’s
two factor theories etc. enable staff member to fulfil their unsatisfied needs, desires and wants by
giving their valuable, outstanding and exceptional efforts (Brown and Capozza, 2016). It is
important for every enterprise to motivate and encourage their workforce as it helps to increase their
employees’ performance, which in turn, enable organization to accomplish their targeted aims and
objectives. By putting great efforts in daily business activities and operations, establishments will
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be able to serve customers in the best possible manner and strengthen their competitive position.
Through delivering quality products and services, company can enhance their business performance
by maximizing target customer base, turnover, profitability and strategic capabilities. This research
will investigate that how motivational theories and approaches are related to business performance
to reach success in the competitive market.
Background of the organization
Next Plc is UK-based multinational clothing distribution company headquartered in Enderby,
and traded on LSE, constituents of FTSE 100 Index. It is one of the largest retail organizations
which target is to deliver top-quality, innovative, stylish and design clothing goods to the customers
to become a leader. This research study will investigate that whether there is any kind of direct or
indirect relationship exist or not between motivational theories and business performance in this
retailing organization.
Statement of the problem
Human sources are become the essential determinants of running a successful business as
employees’ productivity, skills, commitment, competencies and potential are the key to corporate
success. Without motivating workers and satisfying their need, Next Plc will not be able to conduct
operations successfully in the market. However, selection of appropriate and suitable motivational
technique and factors like allowances, bonus sharing, rewards, more responsibility and many others
assists entity to drive more workers efforts and result in higher satisfaction. Contrary to this, if Next
Plc’s managers, directors and executives do not motivate their workforce effectively than it may
face difficulties due to losing skilled and talented employees, high absenteeism, poor performance,
high turnover and late coming (Singh, 2011). This is the reason why researcher is forced to
investigate the relationship or association between various theories of motivation and organization’s
performance. By effectively identifying the linkage between both the elements, companies will be
able to use the best strategy to gain improved workers efforts and results in higher satisfaction and
productivity.
Aim of the study
This research will be conducted to examine the link between motivational theories and
business performance of Next plc.
Specific objectives
Proposed investigation will be based upon the several objectives, listed below:
To assess the importance of motivation in commercial establishments
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To investigate different ways, theories and approaches to motivate and encourage Next Plc’s
workforce
To examine and evaluate the relationship motivational theories and Next Plc’s business performance
To recommend the best strategy or ways to gain improved worker's commitment and enhance
business performance
Research questions
Q.1.Why companies require to motivating their human sources?
Q.2.Which kind of motivational theories and approaches are available to Next Plc to motivate their
business personnel?
Q.3. How motivational theories are associated with Next Plc’s organizational performance?
Q.4.Which is the best motivational approach available to Next Plc to motivate the human force and
thereby maximize business performance?
Significance of the study
This investigation will be of great significance for scholars, management, customers and
employees in enormous ways. Potential researchers and investigators will be benefited through this
study to develop conceptual findings and factual information regards to various theories of
motivation and its association with business performance to conduct their study. Management will
get benefit to encourage, promote and motivate their human capital and deliver best services to their
customer base. However, skilled, trained, talented, competent and highly motivated employees
deliver finest quality goods and services to the consumers; as a result, they will receive goods as per
their demand and expectations. Moreover, in the present time of increasing workers importance,
proposed study will be of high importance for companies spend money on different ways to
enhance people motivational level and get desired results or outcome.
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CHAPTER – 2 LITERATURE REVIEW
2.1 Introduction
This chapter of the research study will presents the findings of related articles and literatures
written earlier by number of scholars. In order to provide detailed information and findings, it will
be presented in different themes to address the research problems or issues and finding the best
resolution to overcome the same.
2.2 Literature review
2.2.1 Employee motivation
According to Devito and et.al., (2016), employee motivation is regarded as the process of level
of energy, efforts, attitude and workers commitment that positively influence staff member to put
their best efforts to accomplish their job targets. It is a process of supporting staff member so that
they can move themselves towards goal-focused behaviour. Supporting these, as per the view point
of Bigdeli and et.al., (2016), motivation refers to psychological process aims to provide right
direction to the business personnel and tends to change their behaviour in purposive manner. The
main objective of this is to enable workers to satisfy their specific needs, desires and wants. It can
be regarded as driving that regulate and alter the worker’s attitude, level of efforts, direction of
execution and performing various activities and persistence of work as well.
Contrary to this, Porter Riesenmy and Fields (2016), argued that motivation is a three
dimensional process encompasses workers action, changes in behaviour or attitude and lastly
maintain that behaviour until the targeted goals are achieved. This definition of the motivation
indicates that it is a broader concept which not only brings changes in employee’s action, behaviour,
attitude, competency level, efforts but also maintain their behaviour in positive manner to achieve
their set targeted goals and objectives.
2.2.2 Importance of employee motivation
In the recent times, every establishment regardless their sizes need to encourage and promote
their human force so as to get wide range of benefits. According to Kanfer and Chen (2016),
motivation is of great importance as it helps to ensure optimum and maximum utilization of human
capital with getting their hard work, dedication and enthusiasm towards business practice. With the
help of motivation, companies will be able to build interest and willingness in workers to dedicate
put better contribution in fulfilling their job targets, roles and responsibility. Moreover, the study
also evaluated that motivated workforce works with greater efficiency and productivity, which, in
turn, improve overall staff productivity and capability. Similarly, Köhler (2016), founded that
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increasing productivity, less operational cost and enhancement of workers efficiency are the major
advantage of motivational practices at the workplace. It is beneficial for corporations to achieve
their business goals through effective and optimum utilization of human capital, co-operative and
healthy work environment, goal-focused efforts and co-ordination practices. Contrary to this,
several studies founded adverse impact of motivation on business as Bigdeli and et.al., (2016),
identified that monetary incentive to the workers increase overall business cost, which in turn,
results in declined profitability. This study also founded that punishment and disincentive to
inefficient and less-skilled workers leads to decrease staff productivity. Along with this, it also may
lead to build poor and unhealthy relationship among rewarded and not-awarded employees.
However, on the other side, in the findings of Lavergne and Pelletier (2016), it has been
presented that motivation leads to make workforce stable for a prolonged period of time by making
them loyal. Having skilled, capable, talented, qualified and competent workforce provide benefit to
the business to strengthen their strategic capabilities and competitive strength. Moreover, it leads to
build strong relationship, friendly workplace, more productivity, lower absenteeism, reduction in
lateness, declined turnover and increase stability. Along with this, satisfied workers feel better to
work with the organization because of giving respect to their outstanding efforts, enthusiasm and
contribution and desire to stay with the company for a long period.
2.2.3 Motivational theories and approaches
According to the view point of Brown and Capozza, (2016), people need high level of comfort
and pleasure while contributing their efforts and services to fulfil business targets and goals. For
this purpose, they desire to satisfy their needs, expectation and demand. Maslow’s hierarchy is
considered as best motivational theory which assist staff member to fulfil their desires step by step
ranging from basic needs to self-actualization.
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(Source: Brown and Capozza, 2016)
This theory presents that people fulfil their demand in a hierarchical order, called
“prepotency”. It means that only unsatisfied needs and wants works as a motivational factor for the
people which they wants to achieve through putting increased efforts, full dedication and hard work.
According to this model, initially, every employee have basic requirements which are related to
working conditions and environment such as air, proper ventilation, warmth, food, drink and shelter.
After fulfilling that needs, they move towards safety needs consists of protection, security,
insurance and many others. However, belongingness encompasses affection and informal
relationship, esteem needs consist of more status, responsibility and reputation and at the end, self-
actualization needs demand personal growth and development.
(Source: Moen, Heggeseth and Lome, 2016)
On the critical note, Healy (2016), presented Herzberg’s 2 factor model, in which,
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motivational and hygiene factors like incentive, better salary, rewards, appraisal, recognition,
employee engagement, workers participation and delegation and autonomy motivate workforce to
show their enthusiasm and high level of dedication to comply their job responsibilities. However,
on the other hand, de-motivational factor leads like punishment, discrimination leads to raise
dissatisfaction among workers.
(Source: Reeve, 2016)
Despite this, Anuja and Sangeetha (2016), segregated Maslow’s motivational theory into three
sub-segments that are ERG (Existence, Relatedness and Growth). Among these, Existence indicates
fundamental or basic requirement for survival in the company includes physiological and safety
needs. However, Relatedness comprises interpersonal needs consists of social and esteem
requirement whilst growth needs encompasses personal learning, growth and development via
training regards to self-actualization. Unlike Maslow’s hierarchy, ERG theory does not segregate
motivational requirement into different level. On the contrary to this, according to Moen, Heggeseth
and Lome, (2016), McCellend’s theory of motivation considers achievement, power and affiliation
requirement. Out of these, achievement refers to bringing improvements in workers performance,
power refers to authority of decision-making and affiliation refers to maintain closure and long-
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lasting interpersonal relationship at workplace. Contradicting these, Muslim, Dean and Cohen
(2016), proposed various process based motivational theories like cognitive, Locke and Latham’s
goal setting theory and Vroom’s expectancy theory to promote workers to render good efforts. In
this, expectancy theory pays high level of focus on effort-performance relationship, performance-
reward relationship and reward-personal goals relationship. Despite this, Aryee and et.al., (2016),
criticized the theory and presented reinforcement theory which states that the manner or way in
which employee conduct or behaviour is influenced are called “reinforcers”. It is a behavioural
motivational technique instead of cognitive approach and does not take into account human
elements such as feeling, expectations, responses and attitude.
2.2.4 Relationship between motivational theory and business performance
Yeheyis and et.al., (2016), expressed direct or positive relationship between motivational
theories and organization’s performance. It is because; through applying various theories of
motivation, managers will be able to improve worker’s commitments, develop positive attitude,
build high level of competency and influence them positively to give their valuable services and
contribution to meet targets. It assists business entities to create strong relationship at the
workplace, in which, each and every personnel help and co-operate with each other to finish their
team work. Likewise, Kumar and Jauhari (2016), said that motivated workforce will be always
ready to accept challenges and do complex tasks as they have positive attitude towards their
practices and put goal-oriented efforts. Higher motivation leads to increase satisfaction level among
workers, through getting increased salary, rewards, appraisal, decision-making authority, employee
involvement, participation, more responsibility, personal growth, training and development and
promotion. With the assistance of this, company will be able to attract skilled and talented
workforce to carry out their routine functions, activity and operations. As a result, businesses can
conduct hazard free operations, enhance workers satisfaction level, improve worker’s productivity,
develop health relationship at workplace and maintain coordination and cooperation as well.
Likewise, Reeve (2016), said that having satisfied and motivated human capital, companies
will be able to strengthen their capabilities to compete with rivalries. The reason behind this is
effective implementation of motivational theories, concepts and strategies enable managers and
executives to minimize absenteeism, decline staff turnover, reduce lateness and develop loyalty, as a
result, workers will be willing to stay with the specified business for a long-term period. Moreover,
not only the company but also employees will feel better because of receiving respect and praise for
their efforts, practices, hard work, enthusiasm and growth and advancement opportunities.
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CHAPTER – 3 PROPOSED METHODOLOGIES
Proposed research methodology presents various tools, techniques, designs, data collection and
analysis techniques, limitation and ethical consideration regards to the chosen topic. With reference
to the selected research issue, set of tools and techniques that researcher will use are presented
below:
Research philosophy
Philosophy is just regarded as an investigator’s belief about the way that how data will be
gathered, examined and analyzed. It consists of two terms that are epistemology and doxology.
Interpretivism and positivism are two philosophies available to researcher, out of these, first seeks
world as external and follows a single objective regards to phenomenon (Caillaud, Rose and Goepp,
2016). While, interpretivists believes that reality is relative and multiple concept, henceforth, use
rigid structural framework. Regards to the chosen study, researcher will follow multiple positivism
philosophy as more flexible research framework will be use and scholar also believed reality in
what he perceive from the study.
Research approach
Approaches to study may be of two kinds, inductive and deductive. Investigations that are of
qualitative natures apply inductive approaches, in which, they develop a theory based on the results
of data analysis (Mackey and Gass, 2015). In contrast to this, quantitative research studies employ
aimed and testing theory that is deductive approach, in which, investigator develop hypothesis on
the basis of existing theories and use a research strategy to test or judge formulated hypothesis.
Research design
Different kind of designs is available to the investigators to study the material facts and
information in relations to chosen topic such as descriptive, exploratory, analytical, case study,
correlation and others (Bryman, 2015). Proposed research study will use a descriptive survey design
to gather detailed facts and information that will describe an existing phenomenon. Investigator will
apply descriptive design as he will construct questionnaire that aims to find the facts and related
information in order to examine the impact of motivational theories on business performance.
Data collection method
Present study will be conducted by using primary data collection method, in which, survey
will be conducted to gather information regards to the selected topic directly from the senior staff.
The most important benefit of selecting this data collection technique is that it enable researcher to
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generate prominent, authentic and enough amount of material facts and data regards to the chosen
study (Bryman and Bell, 2015). However, on the other side, secondary data collection methods
consist of sources that are already available, henceforth, scholar does not need to conduct any kind
of survey, interview and observe the things. Books, articles, literatures, web information, Next Plc’s
internal company records are several kind of secondary data collection sources available to
investigator.
Sample and sampling technique
Next Plc is global cloth retailing firm, therefore, it not will be possible for the investigator to
send questionnaire to all the senior staff members, directors, leaders and executives to conduct the
study. Henceforth, scholar will use sampling technique, in which, a sample of 50 senior managers
will be selected from whom responses will be collected. It will enable researcher to identify both
the opportunities and constraints that managers face while motivating their staff members (Rojon
and Saunders, 2015). Sample will be selected using random sampling technique to mitigate the
possibility of biasness. The reason for selecting senior staff member as survey respondents is they
are well-knowledgeable about worker’s conduct, behaviour and attitude, henceforth, will be able to
give accurate information about the influencing power of motivational theories on workers
performance.
Instrument for data collection
Well-structured questionnaire will be used as research instrument for data gathering because
this instrument is extremely flexible and can be used to generate in-depth information regards to
any kind of study. It will be categorized into four sub-divisions that are demographic information,
current motivational practices, type of motivational theories and approaches and relationship or
impact of theories on business productivity (Lyon, Mšllering and Saunders, 2015). Moreover, it will
consist of different type of questions like open and close-ended, dichotomous and ranking.
Data analysis
Being a nature of qualitative investigation, frequency tables, its percentage and tabulation
will be used to examine and evaluate the findings. Moreover, graphical representation will be done
to present findings more effectively and efficiently. Thematic technique of data analysis will help to
present the outcome or results of the questionnaire in the best way (Silverman, 2016). In such
respect, theme will be designed by the researcher on the basis of survey results or findings.
Limitation of the study
 Time constraints will be the main limitation of the research, it is because; researcher will not
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have enough time to conduct exhaustive study and gather executives’ responses in a
prolonged period. This problem will be eliminated by the scholar by putting best efforts to
meet the deadline.
 Limited access to funds can also be a limitation for the proposed study, henceforth, in order
to combat that shortcoming, scholar will be require to gather enough amount of monetary
resources (Lyon, Mšllering and Saunders, 2015)..
 Slow or limited responses of the managers also will be a limitation for the investigator,
henceforth; voluntary participation will help to encourage respondents to give true
information on right time.
Ethical consideration
 Research will make sure confidentiality of data to prevent and secure valuable information
and content from the use of unauthorized party or person who are not entitled to use the
data. Moreover, adherence to the principles and laws of data protection act will be
maintained by the researcher.
 Voluntary participations will enable investigator to gather accurate information as full
consent will be receive prior to the data collection process (Rojon and Saunders, 2015).
 Alteration, modification and manipulation in gathered information will be avoided to find
out the best solution of the research problem.
Timescale
Activities/Required time period (in months) 1 2 3 4 5 6 7 8 9
Selection of topic
Understanding the research problem
Conducting findings of previous scholarly articles and
literatures
Set proposed methodology
Prepare questionnaire
Data collection via survey
Analysis of data via thematic approach, tabulation and
graphical presentation
Write findings and interpretation
Concluding the entire study
Submission to tutor
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Do modification as per provided comment of tutor
Submitting modified dissertation to tutor
Resources
In order to conduct the study, researcher will need monetary resources and equipments like
computer to present the findings via graphical illustration through Excel. It is necessary for the
researcher to gather enough and sufficient quantum of money so that study can be conducted
without any hazard or complexities. Moreover, investigator will also need time to conduct the study
thoroughly and gather information in detail. It will enable researcher to address the research issue
and problem effectively and find out the best solution of it.
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REFERENCES
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Online
Muogbo, U. S., 2013. The impact of employee motivation on business performance. [PDF]. ].
Available through: http://www.theijes.com/papers/v2-i7/Part.6/J0276070080.pdf. [Accessed
on 5th November 2016].
Singh, S., 2011. Employee motivation and Job performance relationship. [Online]. Available
through: < https://www.scribd.com/doc/102831860/Relationship-between-motivation-and-
job-performance>. [Accessed on 5th November 2016].
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