Influence of Employee Engagement on Organisational Productivity: The Study Based On IGA Supermarket in Australia

Running head: Branding and Sales 1
Influence of Employee Engagement on Organisational Productivity: The Study Based On
IGA Supermarket in Australia
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Table of Contents
SECTION I.................................................................................................................................3
INTRODUCTION..................................................................................................................3
PROBLEM STATEMENT....................................................................................................4
RESEARCH AIM AND OBJECTIVES................................................................................5
PROJECT JUSTIFICATION.................................................................................................5
EXPECTED RESEARCH OUTCOME.................................................................................5
SECTION II...............................................................................................................................7
CONCEPTUAL FRAMEWORK AND RESEARCH HYPOTHESIS..................................7
METHODOLOGY...............................................................................................................12
SECTION III............................................................................................................................15
ORGANIZATION OF THE STUDY..................................................................................15
GANTT CHART..................................................................................................................15
PROJECT BUDGET AND BUDGET JUSTIFICATION...................................................16
REFERENCES.........................................................................................................................18
APPENDICES..........................................................................................................................22

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SECTION I
INTRODUCTION
The present period of globalization which is characteristic of change demands the attention of
the management of human resources for the success of the organization. The stiff competitive
market has also made organizations appreciate the need for fully linking their workforce with
their job and the enterprise. There has been a particular focus of scholars and researchers on
operational and process improvements to improve organizational performance as opposed to
the traditional methods (Demerouti, Mostert, & Bakker, 2010; Yu, Ramanathan, & Nath,
2014). This approach emphasizes on dealing with employee engagement to make sure that
those in charge of managing the systems in addition to the skills have the right attitude to
work in a suitable workplace environment. There is a clear connection between employee
engagement and organizational performance. Bakker & Schaufeli (2008) found out that
engaged workforce is more proactive, cooperative, accountable, self-starters and aim at
quality performance. Therefore, an additional research in this area will be important in
contributing to the body of knowledge.
The objective of this proposal is to carry out a complete research on the impacts of employee
engagement on organizational performance, with a particular focus on Independent Grocers
of Australia (IGA). The study will focus on the Australian supermarket sector because it is
the leading in low employee engagement, which has been attributed to low employee
retention rate. The retail sector of Australia shows that 25% of the workforce is not engaged
and 18% drop of organizational productivity is attributed to disengaged staff, thus causing an
overall drop in 56% quality (IGA, 2018). Independent Grocers of Australia (IGA) deals in
general products and groceries. The enterprise has outlet stores in South Australia, Tasmania,
and Western Australia. It had a 5% increase in employee turnover rate in 2017 and hence low
production.

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The study is organized into three sections. The first section forms the introduction, problem
statement, study objectives, project justification, and expected outcomes. Section two consists
of the literature review and research design. Lastly, the third section involves the organization
of the study, Gantt chart, and the proposed budget.
PROBLEM STATEMENT
Employee engagement is a new construct in HR literature. Employees that are engaged with
their work and employer are better performers since they are motivated in additional to
individual aspects. They become more focused and encouraged that those disengaged. As a
result, they are more effective at work and key players in the success of the company. Macey
& Schneider (2008) describes engagement as the way in which the employee feels regarding
the job and the manner in which he/she is treated in the workplace. Employee engagement is
correctly perceived as the primary determinant of productivity. A workforce that is fully
engaged makes the employees more enthusiastic and zealous towards their work,
consequently, workplace coherence is developed as a culture (Kompaso & Sridevi, 2010). A
conducive workplace environment is thus made by the employees themselves which foster
better ideas and innovations thus improving organizational productivity.
Several businesses have experienced reduced production due to high turnover rates and
consequently, close down. In 2017 the Australian retail sector experienced a 56% drop in
quality (IGA, 2018). The quality drop in the supermarket sector has been attributed to the
absence of employee engagement. In such a case it is important to examine the causes of the
drop in quality and this study will attempt to fill the gap with empirical evidence of the
causes and effects of the drop in quality in the IGA supermarkets in relation to employee
engagement.

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RESEARCH AIM AND OBJECTIVES
The general aim of this study is to examine the influence of employee engagement on
organizational productivity with IGA supermarkets as the case study. The specific research
objectives include:
1. To find out the Factors influencing employee engagement at the IGA Australia
workplace
2. To ascertain the Effects of employee engagement on organizational performance of
IGA Australia
3. To provide Recommendations for employee engagement for improved organizational
productivity in IGA Australia
PROJECT JUSTIFICATION
This proposal is to be carried out with the help of critical review of literature and response
from the employees of IGA supermarket in South Australia. This is due to the reduction in
quality across the supermarket sector in addition to high turnover rates. In such a scenario,
the proposal is to generate the following advantages:
The study will provide an insight to the interested parties on how employee engagement
influences organizational performance.
The management of IGA supermarkets can use the findings of this study to develop their
strategies for improvement. This is because this research will give them the right focus on
how to address organizational productivity.
Policymakers, scholars, and shareholders will find this proposal outcomes important while
making key management decisions
EXPECTED RESEARCH OUTCOME
The findings of this research will provide an analytical framework for evaluating the
influence of employee engagement on organizational performance. Even if business

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operations and workplace culture may vary between organizations, this study will be
beneficial in providing an insight and broad perspective regarding organizational
performance and help understand the factors that primarily determine employee engagement.
The study objectives of this proposal will be answered based on the collected data, outcomes
and analysis that will be undertaken. The study findings will be significant academic findings
for the identified problem. Any upcoming business enterprises will also find the outcomes
important so that they can focus on major issues affecting organizational performance.