Enhancing Performance: HRM, Employee Motivation & Productivity

This report examines the crucial role of Human Resource Management (HRM) in fostering employee motivation and its direct impact on organizational performance and productivity. It defines key HRM terms and explores the connection between motivated employees, autonomy, and self-regulation. The report references Maslow's Hierarchy of Needs to illustrate the importance of fulfilling basic employee needs for optimal performance. It further analyzes the negative consequences of low employee motivation, using the Foxconn case study to highlight issues such as harsh working conditions, inadequate pay, and a rigid management style, which led to decreased productivity and employee well-being. The report emphasizes the need for organizations to address these motivational factors to improve overall performance and create a more supportive and productive work environment.

Running head: HUMAN RESOURCE MANAGEMENT
HUMAN RESOURCE MANAGEMENT
Name of the Student:
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(3) Employee motivation, organisational performance, and organisational
productivity
Human Resource Management is recognized as a process of managing people of the
organization with a humanistic approach. HRM approaches towards manpower effectively
facilitate the ability of the manager to perceive the members of the organization as an important
resource. It is further regarded as an effective approach through which several business
enterprises can utilize the level of manpower not only for the benefits of the organization but also
for the development and self-satisfaction of the concerned people1. Thus, HRM is recognized as
a system which aims to focus on human resources development on one hand and effective
management of members of the organization on the other in order to enhance the rate of human
dignity in their employment. Furthermore the rate of motivation within an employee base has a
fundamental role in every organization which further aims to establish certain strategic
objectives for attaining high level of performance. However, there can be witnessed a direct
association between the level of motivation among employees and human resource
performance acquired at the workplace2. Thus in such situational contexts, it appears as a vital
factor to managers to effectively recognize the motivational aspects which aid employees to
perform while achieving their duties. Motivation is essentially considered as a factor which
facilitates behavioural alteration and further acts as a force which enables an employee to act
in a specific direction towards a particular aim3. Thus organizations with high degree of
1 Cascio, Wayne. Managing human resources. McGraw-Hill Education, 2018.
2 Kehoe, Rebecca R., and Patrick M. Wright. "The impact of high-performance human resource practices
on employees’ attitudes and behaviors." Journal of management 39, no. 2 (2013): 366-391.
3 Goetsch, David L., and Stanley B. Davis. Quality management for organizational excellence. Upper
Saddle River, NJ: pearson, 2014.

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motivated employees tend to be oriented towards autonomy and freedom and demonstrate
increased degree of self–regulation as compared to less enthusiastic employees. Employee
performance has been considered as essential factor which involves quantity and quality of
output along with the accommodative nature of the output4. Similarly modern theorists are of the
opinion that organizations can implement direct incentives and rewards based on the individual
performance if employee performance is effectively identified.
As factors associated to employee motivation facilitate effectual job management
amongst the employee base, a fundamentally enthusiastic employee tends to reveal high degree
of responsiveness of the definite aims and objectives which an employee must attain thereby
formulating the organization to be increase its productivity as well as performance. However,
several theories related to the conceptualization of motivation that is based on the needs and
desires of a workforce and behavioural patterns associate to the workforce. Abraham Maslow,
renowned psychologist had categorized into five groups which constitute the needs such as
basic or psychological, safety, belongingness, esteem and self-actualization requirements and
needs5. He further stated that an individual is fundamentally being encouraged and enthused in
order to accomplish several psychological needs before considering others factors. However, this
is because psychological needs further regarded as basic or essential needs act as a vital factor
for an individual’s survival. However, Maslow’s “Hierarchy of Needs Theory” tends to remain
imminent when factors of self-actualization needs and desires are successfully accomplished6.
4 Mani, Anandi, Sendhil Mullainathan, Eldar Shafir, and Jiaying Zhao. "Poverty impedes cognitive
function." science 341, no. 6149 (2013): 976-980.
5 Kaur, Avneet. "Maslow’s need hierarchy theory: Applications and criticisms." Global Journal of
Management and Business Studies 3, no. 10 (2013): 1061-1064.
6 Cao, Huanhuan, Jinhu Jiang, Lih-Bin Oh, Hao Li, Xiuwu Liao, and Zhiwu Chen. "A Maslow's hierarchy
of needs analysis of social networking services continuance." Journal of Service Management 24, no. 2 (2013): 170-
190.

3HUMAN RESOURCE MANAGEMENT
However, in a workplace the reason towards a certain context is quite rational as employees who
are devoid of essential needs for persistent existence such as food, air or water fails to
demonstrate the expected competence level to make any significant impact on productivity.
Furthermore, another source of motivation is the level of commitment by an individual
towards certain external issues whereby the most vital of all factors lie on the fact that the fact
that the employees tend to share similar goals and strategies which is further considered to be
significant measure of the strength of the organization . However, reward system in an
organization comprise of having appraisals and incentives for the employee base and
integration which is aimed for facilitating developments in the unconstrained flow of
performance and productivity from the employees in the organization7.
(4) Issues of low levels of employee motivation affect organisational performance
and productivity- Foxconn low levels of motivation
7 Alfes, Kerstin, A. D. Shantz, Catherine Truss, and E. C. Soane. "The link between perceived human
resource management practices, engagement and employee behaviour: a moderated mediation model." The
international journal of human resource management 24, no. 2 (2013): 330-351.

4HUMAN RESOURCE MANAGEMENT
As employee motivation is regarded as a major component of organisational success it is
important to note that de-motivation or lack of appreciation can result to severe disengagement
of employees in any workplace. Demotivation occurs when employees tend to lose their
inspiration and desire to take action in the assigned roles which tend to create disastrous
consequences and outcomes for an organisation. In recent times it has been noted that Foxconn
Technology Group, a subsidiary of Hon Hai Precision Industry Company Limited, Taiwanese
Company has encountered several controversies associated to the way they manage their
employee base8. However it was recognised from the series of suicides taking place in 2010
where, over 20 employees attempted to commit suicide along with 14 critical deaths of
employees9.
(1) Harsh & hazardous working condition- Work environment conditions to a greater degree
play a major determinant factor in employee performance and organizational productivity. As the
level of employees comfort associated to the assigned roles are fundamentally being determined
by workplace conditions as well as environment, poor and hazardous working conditions possess
higher degree of propensity in impacting the quality of service in manufacturing industry
measuring the rate of efficiency. As workplace constitutes of various situational contexts,
complex working environment and further being subjected to complex and conflicting demands
can reduce the rate of productivity and further lead to low level organizational performance.
Foxconn critical suicidal events have significantly shed light to the upsetting working conditions
within the factories which has led its workers develop apathy towards the organization and
8 Xu, Kaibin, and Wenqing Li. "An ethical stakeholder approach to crisis communication: A case study of
Foxconn’s 2010 employee suicide crisis." Journal of Business Ethics 117, no. 2 (2013): 371-386.
9 Qureshi, Mohammed Owais, and Rumaiya Sajjad Syed. "The impact of robotics on employment and
motivation of employees in the service sector, with special reference to health care." Safety and health at work 5, no.
4 (2014): 198-202.

5HUMAN RESOURCE MANAGEMENT
further result in the low degree of organizational productivity. Foxconn’s long hours with low
level wages have caused tremendous unconstructive impact within the organizational structure.
(2) Pay issue- Furthermore, from the view of motivating as well as rewarding employees it has
been believed that the series of suicidal events at Foxconn has casted light on the minimum
remuneration rate of 900 RMB that is regarded as highly exploitative further revealing the
unethical rewarding policies of the organisation10. Though the organisation has reportedly
signed the labour contract with the employees and adheres to timely remuneration procedure, the
minimum wage set by the organisation is considered to be inadequate in order to ensure the basic
and essential needs and requirements of the employees working in the factory. Thus it has been
stated that the monetary reward offered by Foxconn is insufficient in order to accomplish even
the physiological needs of the workers. As a result the employee base will develop a higher
degree of depression and lack of self motivation in accomplishing the established roles due to
the stress emerged for the low pay level11. Thus it has been stated that the rate of suicide
attempts significantly preceded by the event of severe depression and that can be comprehended
that low remuneration rate induced the suicide with enormous pressure encountered by factory
workers on a regular basis.
(3) Management issue- Furthermore, several reports have suggested that Foxconn’s military
leadership style has been one of the significant factors for the continuous rate of suicides
within the organisation. As the company emphasised immensely on the execution and
proficiency, it often failed to deliver compensation on time as a result, workers eventually lost
10 Branigan, Tania. 2018. "Latest Foxconn Suicide Raises Concern Over Factory Life In China". The
Guardian. https://www.theguardian.com/world/2010/may/17/foxconn-suicide-china-factory-life.
11 Elnaga, Amir, and Amen Imran. "The effect of training on employee performance." European Journal of
Business and Management 5, no. 4 (2013): 137-147.

6HUMAN RESOURCE MANAGEMENT
their level of motivation in providing any contribution towards the organisation. The
organisation constitutes military management system which is perceived as an immensely
unethical activity whereby the managerial department did not pay utmost consideration towards
accomplishing the fundamental human needs of its employee base. Thus, it can be stated that the
motivation theory of Maslow's ‘Hierarchy of Needs’ was simply not observed by the
organisation who had demonstrated immense rate of incompetence to accomplish the most
essential physiological needs of its employees such as adequate leisure time for the prolonged
working hours and providing minimum hygiene services12. Thus, it can be identified that the
stringent and rigorous military leadership technique has played a critical role in the low rate
of motivation and organisational performance of Foxconn and resulting to the inhuman
activity associated with suicide of several employees within the organisation. Thus, as suicide
cases tend to increase the level of terror within the workers these emotional effects can cause
disastrous impact if Foxconn show continuous incompetence to handle these areas of concern
and not succeed to stabilize emotional level of the workers.
12 Jerome, Nyameh. "Application of the Maslow’s hierarchy of need theory; impacts and implications on
organizational culture, human resource and employee’s performance." International Journal of Business and
Management Invention2, no. 3 (2013): 39-45.

7HUMAN RESOURCE MANAGEMENT
References
Alfes, Kerstin, A. D. Shantz, Catherine Truss, and E. C. Soane. "The link between perceived
human resource management practices, engagement and employee behaviour: a moderated
mediation model." The international journal of human resource management 24, no. 2 (2013):
330-351.
Branigan, Tania. 2018. "Latest Foxconn Suicide Raises Concern Over Factory Life In
China". The Guardian. https://www.theguardian.com/world/2010/may/17/foxconn-suicide-
china-factory-life.
Cao, Huanhuan, Jinhu Jiang, Lih-Bin Oh, Hao Li, Xiuwu Liao, and Zhiwu Chen. "A Maslow's
hierarchy of needs analysis of social networking services continuance." Journal of Service
Management 24, no. 2 (2013): 170-190.
Cascio, Wayne. Managing human resources. McGraw-Hill Education, 2018.
Elnaga, Amir, and Amen Imran. "The effect of training on employee performance." European
Journal of Business and Management 5, no. 4 (2013): 137-147.
Goetsch, David L., and Stanley B. Davis. Quality management for organizational excellence.
Upper Saddle River, NJ: pearson, 2014.
Jerome, Nyameh. "Application of the Maslow’s hierarchy of need theory; impacts and
implications on organizational culture, human resource and employee’s
performance." International Journal of Business and Management Invention2, no. 3 (2013): 39-
45.

8HUMAN RESOURCE MANAGEMENT
Kaur, Avneet. "Maslow’s need hierarchy theory: Applications and criticisms." Global Journal of
Management and Business Studies 3, no. 10 (2013): 1061-1064.
Kehoe, Rebecca R., and Patrick M. Wright. "The impact of high-performance human resource
practices on employees’ attitudes and behaviors." Journal of management 39, no. 2 (2013): 366-
391.
Mani, Anandi, Sendhil Mullainathan, Eldar Shafir, and Jiaying Zhao. "Poverty impedes
cognitive function." science 341, no. 6149 (2013): 976-980.
Qureshi, Mohammed Owais, and Rumaiya Sajjad Syed. "The impact of robotics on employment
and motivation of employees in the service sector, with special reference to health care." Safety
and health at work 5, no. 4 (2014): 198-202.
Xu, Kaibin, and Wenqing Li. "An ethical stakeholder approach to crisis communication: A case
study of Foxconn’s 2010 employee suicide crisis." Journal of Business Ethics 117, no. 2 (2013):
371-386.