Employee Motivation and Its Impact on H&M's Operations in Retail

This report delves into the critical concept of employee motivation and its significant role within the fashion retail industry, using H&M as a primary case study. The introduction emphasizes employee motivation as a key factor in enhancing employee performance, operational efficiency, and overall company success. The report outlines research objectives, questions, and the rationale behind the investigation, highlighting the importance of understanding employee motivation strategies. A comprehensive literature review explores the role of employee motivation, focusing on its impact on productivity and competitive advantage. It also examines the methods H&M employs to motivate its employees, such as training, incentives, and management support, and how these strategies influence the company's operations and customer satisfaction. The conclusion summarizes the importance of employee motivation in fashion retail and the need for strategies to keep employees engaged and committed to achieving organizational goals.

ASSESSING THE
CONCEPT OF
EMPLOYEE
MOTIVATION AND ITS
SIGNIFICANCE IN
OPERATION OF
FASHION RETAIL
INDUSTRY
Table of Contents

TOPIC: “ Assessing the concept of employee motivation and its significance in operation of
fashion retail industry”.....................................................................................................................3
INTRODUCTION ..........................................................................................................................3
Aim..............................................................................................................................................3
Research Objectives....................................................................................................................4
Research Questions.....................................................................................................................4
Rationale ....................................................................................................................................4
LITERATURE REVIEW................................................................................................................4
The role of employee motivation................................................................................................5
The methods used for employee motivation in H&M................................................................5
The influence of employee motivation over operations of H&M ..............................................5
REFERENCES................................................................................................................................7

TOPIC: “ Assessing the concept of employee motivation and its significance in
operation of fashion retail industry”
INTRODUCTION
Employee motivation is consider to be critical aspect of an organisation which leads to
better performance of employees in a functional department or even the company. There are
number of techniques which an organisation uses in order to motivate the employees as the
motivation allows the staff members to remain connected with the organisational goals and
contribute their efforts toward accomplishing it (Razalan and et. al., 2017). The employees are
motivated by adopting several different strategies such as monetary benefits in term of
incentives, bonus etc. or non monetary actions such as appreciation, promotions, free trip, parties
etc. These all support in keeping the employees motivated toward their job roles and
responsibility along with keeping them satisfied with the organisational practices. This further
contribute toward enhancing their performance in term of productivity and manner they perform
operation which leads to the enhancement of efficiency among the employees related with
working as well as overall performance of organisation.
In order to perform in depth study over the topic and importance of employees motivation
H&M organisation is taken into consideration which is a larger multinational fashion retailers
that offers a range of fashionable clothing for customers belongs to different categories. It
maintains a chain of store throughout out the world and also opt a digital channel in order to
perform sales transactions by approaching customer lives at several different location. Hence, the
employees motivation plays a crucial role within the operational efficiency as well as success of
H&M (Blázquez, 2014). This is so because the employees are the one who have a direct
interaction with the customers at its physical store and if employees are not satisfied with their
job then they don't put much efforts to keep customers retained and satisfied as a result of which
it directly affect the performance of h&M. Therefore, by keeping employees motivative and
directed toward the goal it become easier to get better performance and operational efficiency.
Aim
To determine the role of employee motivation and its significance on operations of
fashion retail organisation. A case on H&M.

Research Objectives
 To determine the role of employee motivation
 To identify the methods used for employee motivation in H&M.
 To ascertain the influence of employee motivation over operations of H&M.
Research Questions
 What is the role of employee motivation ?
 What are the several methods used for employee motivation in H&M ?
 What is the influence of employee motivation over operations of H&M ?
Rationale
The main aim behind conducting this report is to determine the role of employees
motivation within the organisation as well as its influence over the operational practices. This
will help in determining the main factors which contribute toward motivating employees so that
it become easier to keep the employees committed toward their personal as well as organisational
goals (Ozdamar Ertekin and Atik, 2015). Hence the conduction of investigation support the
researcher in enhancing their knowledge in term of employees motivation importance as well as
its role in enhancing the level of operations that get performed within organisation. Along with
this it also support in gaining and understanding regarding several type of tactics or methods that
are used in order to keep the employees motivated.
The main purpose behind selecting this topic is that employee motivation has now
considered to be the biggest challenge for an organisation. This is because as compare to prior
time, now a days the performance as well as success of organisation is much depend over the
employees and several companies run over the employee oriented practices. As a result of which
it is one of the most common concern for several organisation (Longoni, Golini and Cagliano,
2014). Therefore, by conducting investigation over this it become easier to identify several
methods used for keeping employees motivated so that they can retained for longer period of
time which support in achieving the higher productivity and profitability of organisation.
LITERATURE REVIEW

The role of employee motivation
According to the view point of Jason Hippe, 2015, motivation within workplace is refers
to a behaviour which make employees to showcase their willingness for exerting higher level of
contribution toward the organisational goals. The motivated employees help in improving the
organisational productivity as well as achieving the competitive edge. This is because they
remain connected within the affairs of organisation, handle the uncertainty much easily, put
efforts toward resolving issues and try to improve the operational efficiency. These all
contributed toward keeping the employees aligned with the organisational goals so that better
performance can be achieved.
The methods used for employee motivation in H&M
As per the view point of Lăzăroiu, 2015 Employee motivation plays a crucial role within
the performance as well as profitability of the organisation as employees are consider as the most
essential resources of an organisation who consists of several sort of skills and capability that
combined support in performing the operations effectively. This is because by keeping the
employees motivated it become easier to influence them in term of combining their skills,
knowledge and capability to perform the operations in best possible manner to achieve greater
success. H&M is one of the biggest international retailer which belies that employees
performance get affected by the perception they have toward the organisational practices. Hence
in order to keep them aligned in operations it is crucial to keep them motivated. In order motivate
its employees H&M mainly focuses over providing training to its employees for upgrading their
skills and knowledge to perform well. Despite of this it also offer incentives for better
performance and are being motivated by the management team on continuous basis by guiding
them and encouraging to perform well.
The influence of employee motivation over operations of H&M
As per the view point of Nurun Nabi, 2017., Employees are consider as the heart of
organisation and for performing the operations smoothly, employees cooperation are crucial as
they put their effort for the accomplishment of organisational goals. Therefore it is crucial for an
organisation to maintain good relationship with its employees as it support in keeping the
employees motivated. The H&M organisation focuses toward having a meeting with its

employees in order to get a view over the area that can be improved in order to perform
operations effectively. This in turn help in keeping employees motivated by providing them
value as a result of which they get more involved in the operations and as a result of which
positive outcomes can be extracted out of it.

REFERENCES
Books & Journals
Blázquez, M., 2014. Fashion shopping in multichannel retail: The role of technology in
enhancing the customer experience. International Journal of Electronic
Commerce, 18(4), pp.97-116.
Lăzăroiu, G., 2015. Work motivation and organizational behavior. Contemporary Readings in
Law and Social Justice, 7(2), pp.66-75.
Lee, S. and Ha-Brookshire, J., 2017. Ethical climate and job attitude in fashion retail employees’
turnover intention, and perceived organizational sustainability performance: A cross-
sectional study. Sustainability, 9(3), p.465.
Longoni, A., Golini, R. and Cagliano, R., 2014. The role of new forms of work organization in
developing sustainability strategies in operations. International Journal of Production
Economics, 147, pp.147-160.
Lozano, R., 2015. A holistic perspective on corporate sustainability drivers. Corporate Social
Responsibility and Environmental Management, 22(1), pp.32-44.
Lueg, R., Pedersen, M. M. and Clemmensen, S. N., 2015. The role of corporate sustainability in
a low‐cost business model–A case study in the Scandinavian fashion industry. Business
Strategy and the Environment, 24(5), pp.344-359.
Maria Correia Loureiro, S., J. Miranda, F. and Breazeale, M., 2014. Who needs delight? The
greater impact of value, trust and satisfaction in utilitarian, frequent-use retail. Journal
of Service Management, 25(1), pp.101-124.
Morgan, E., 2015. ‘Plan A’: analysing business model innovation for sustainable consumption in
mass-market clothes retailing. Journal of Corporate Citizenship, (57), pp.73-98.
Noe, R. A., and et. al., 2014. Employee Development: Issues in Construct Definition and
Investigation ofAntecedents. Improving Training Effectiveness in WorkOrganizations,
ed. JK Ford, SWJ Kozlowski, K. Kraiger, E. Salas, and MS Teachout (Mahwah, NJ:
Lawrence Erlbaum, 1997), pp.153-189.
Ozdamar Ertekin, Z. and Atik, D., 2015. Sustainable markets: Motivating factors, barriers, and
remedies for mobilization of slow fashion. Journal of Macromarketing, 35(1), pp.53-69.
Razalan, D. M. And et. al., 2017. Local retailers’ perspectives on social
responsibility. International Journal of Retail & Distribution Management, 45(2),
pp.211-226.
Sarros, J. and et. al., 2014. Leaders and their use of motivating language. Leadership &
Organization Development Journal, 35(3), pp.226-240.
Yu, W., Ramanathan, R. and Nath, P., 2014. The impacts of marketing and operations
capabilities on financial performance in the UK retail sector: A resource-based
perspective. Industrial Marketing Management, 43(1), pp.25-31.
Online
Hippe. J. 2015. The Role of Motivation in the Workplace. [Online] Available through:
<http://execdev.kenan-flagler.unc.edu/blog/the-role-of-motivation-in-the-workplace>./
Nabi. N. 2017. Impact of Motivation on Employee Performances. [Online] Available
through:<https://www.omicsonline.org/open-access/impact-of-motivation-on-
employee-performances-a-case-study-of-karmasangsthan-bank-limited-
bangladesh-.php?aid=86681>./