Impact of job satisfaction on employee performance: A case study of British Petroleum

Running head: EMPLOYEE ENGAGEMENT
Impact of Job Satisfaction on Employee Performance: A Case Study of British Petroleum
Name of the Student:
Name of the University:
Author’s Note:

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Acknowledgement
I would like to thank my supervisor to give the chance to work on the research study based on
“Impact of job satisfaction on employee performance: A case study of British Petroleum” I
would like to thank my all co-workers who have helped me to conduct and accomplish this
research study.
I would like to express my thankfulness to my supervisor Mr.-------------------------------------- for
his help and support in every step of my research study. Without his guidance it was not possible
for me to conduct this research and to collect proper data. I am grateful to my parents for their
support and love during my research study. I would like to thank every participant those have
taken part actively in the research survey and helped me to gather reliable and real-time data for
my study.
Thanking You
Yours Sincerely
(Signature)

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Abstract
Maximum organizations in the global world are now focusing on enhancing the job satisfaction
level in order to get competitive advantages. In UK, the job satisfaction level is low in
comparison to other developing countries. From the various studies it has been identified that
high turnover has been occurred in many organizations of UK due low level of job satisfaction
among the employees. This study highlights the current issues regarding the poor job satisfaction
in British Petroleum. However, BP has been facing employee retention problem due to their low
compensation program. The employees in this organization are not satisfied with their current
compensation planning, which also affects their job satisfaction level in this organization. The
first chapter of this research study includes research aim, objective, questions and problem
statement. From which it has been identified that poor job satisfaction among the employees is a
big challenge for business industry, which need to minimize. Second chapter of this study shows
a brief literature regarding the factors of job satisfaction, employee performance, motivational
theories and impact of job satisfaction on employee performance. Maslow’s and Herzberg Two
actor theories are used in this section to understand the basic needs and motivation al techniques.
Chapter there includes a brief explanation of research methodology. However, the primary
quantitative data collection method has been taken and the survey is used to collect quantitative
data. Questionnaires have used to gather information and the sample size is 150 employees of
BP. Secondary analysis has been applied in literature review section. Quantitative analysis is
significant for this study to gather authentic data.

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Chapter four and Chapter five focus on the research findings and possible recommendations for
the current issues. Current findings show that job satisfaction has both positive and negative
impact on employee performance. Hence, application of reward program, establishment of
positive work culture and employee engagement will be helpful for BP to enhance the job
satisfaction level in their organization.

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Table of Contents
Chapter 1: Introduction....................................................................................................................8
1.1 Introduction............................................................................................................................8
1.2 Background of the Study.......................................................................................................8
1.3 Company Background.........................................................................................................10
1.4 Research Rationale..............................................................................................................10
1.5 Research Aim.......................................................................................................................11
1.6 Research Objectives.............................................................................................................11
1.7 Research Questions..............................................................................................................12
1.8 Research Hypothesis............................................................................................................12
1.9 Structure of the Research Study..........................................................................................12
Chapter 2: Literature Review.........................................................................................................14
2.1 Concept of the job satisfaction and employee performance................................................14
2.2 Conceptual Framework........................................................................................................15
2.4 Potential factors of the job satisfaction................................................................................15
2.3 Significance of the job satisfaction on employee performance...........................................16
2.4 Maslow’s hierarchy of needs theory for Job satisfaction....................................................17

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2.5 Herzberg's motivator-hygiene theory..................................................................................19
2.6 Application of Job characteristics model.............................................................................20
2.7 Effect of job satisfaction on employee performance...........................................................21
2.8 Gap in the Literature............................................................................................................22
Chapter 3: Research Methodology................................................................................................23
3.1 Research Onion....................................................................................................................23
3.2 Research Philosophy............................................................................................................24
3.3 Research Approach..............................................................................................................24
3.4 Research Design..................................................................................................................25
3.5 Data collection method........................................................................................................25
3.6 Sampling method, sample size, and sampling technique....................................................26
3.7 Data Analysis.......................................................................................................................27
3.8 Ethical Consideration...........................................................................................................27
3.9 Limitation of the research study..........................................................................................27
4.0 Time Frame..........................................................................................................................28
Chapter 4: Data Analysis and Discussion......................................................................................29
4.1 Empirical Results:................................................................................................................29
4.1.1 Quantitative data analysis.................................................................................................29
4.2 Summary of the findings.....................................................................................................43
Chapter 5: Conclusion and Recommendations..............................................................................45

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5.1 Conclusion...........................................................................................................................45
5.2 Linking with objectives.......................................................................................................45
5.4 Limitation of the Research...................................................................................................49
5.5 Future Scope of the Study....................................................................................................49
References......................................................................................................................................50
Appendix 1.....................................................................................................................................54
Appendix 2.....................................................................................................................................55

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List of Tables
Table 1: Demographic Analysis....................................................................................................32
Table 2: Importance of job satisfaction on employee performance..............................................33
Table 3: Job satisfaction BP..........................................................................................................34
Table 4: Effect of poor compensation planning on job satisfaction..............................................36
Table 5: Factors of Job Satisfaction...............................................................................................37
Table 6: Comparison of Job satisfaction level of BP with other organizations.............................39
Table 7: Major consequences of poor job satisfaction in BP........................................................41
Table 8: Positive effects of Job satisfaction..................................................................................42
Table 9: Suggestions to improve job satisfaction level in BP.......................................................44
Table 10: Action planning for establishing a good working culture.............................................50
Table 11: Implementation of reward and compensation planning................................................50
Table 12: Action plan for Employee engagement in decision making..........................................51