Factors Affecting Employee Motivation: Tesco's UK Retail Analysis

This report investigates the factors affecting employee motivation within Tesco, a leading UK retail organization. The study begins with an introduction outlining the background, rationale, aims, objectives, and project plan. A comprehensive literature review explores existing research on motivation, strategies for employee motivation, and factors affecting personnel motivation, supported by various models. The research methodology section details the interpretivism philosophy, exploratory research design, inductive approach, and the use of primary data collected through questionnaires and secondary data from various sources. The report includes data analysis using thematic analysis, followed by a discussion of the findings and recommendations for improving employee motivation at Tesco. The report concludes with a summary of the findings and practical recommendations for enhancing employee engagement and retention, highlighting the significance of leadership styles and the work environment. The report is structured across five chapters, covering introduction, literature review, research methodology, data analysis, and discussion, along with conclusions and recommendations.

An investigation on factors affecting
employee motivation

EXECUTIVE SUMMARY
Human resource department of the firm is accountable for making strategies and action plans for
performing business activities in effective way by involving staff members. Present report is
based on Tesco which is a leading retailing retail organization of UK. The report describes about
factors which are affecting employee motivation at the work place. The findings of the study
revels about major factors that are accountable towards causing employee dissatisfaction.
Chapter 1 is introduction chapter in which Background, rationale of the study, aims and
objectives and project plan has been discussed.
Chapter 2 is Literature review section in which view points expressed by various scholars
have been mentioned. Research methodology section defines about techniques that has been used
in the research study. In the present study interpretivism research philosophy has been used and
exploratory research design has been used for performing the research work. Further, Inductive
approach has been used and it has helped for contributing towards emergence of new theories.
Primary and secondary data has been used in the study and primary data has been collected
through questionnaire method. It has been concluded that leadership style which is practised in
the organisation influence the motivation of the staff members at the work place.

ABSTRACT
Employees are one of the most significant assets of any organisation who supports for
meeting the goals and objectives of the firm in effective manner. It is critical that morale and
motivational level of employees should be high so that they can perform their assigned tasks and
duties in effective manner. Present study has been performed with the objective To analyse the
factors affecting employee motivation in the Tesco. On the basis of the aim of the study 3
objectives have been formulated and on the basis of that research questions have been designed
and developed. The entire study has been covered in 5 different chapters and systematic and
planned approach is used for completing the research work in effective manner.
Initially detailed project plan has been prepared and in this structure of the complete
dissertation has been described. Further, limitations of the research and gaps in the study has
been explained. Chapter 2 of the dissertation describes about the viewpoints presented by various
authors and scholars and on the basis of that detailed and meaningful information could be
gained about the selected topic. Literature review section deeply describes about the information
and data that has been used by the scholars in completing the study. In this assessment of factors
that affect motivation level of employees at the work place has been done. In the present study
scholar has used interprestivism research philosophy has been used by the scholar for gaining
deep and meaningful information about the chosen research project.
Moreover inductive approach has been used in which scholar has used various theories
for taking out meaningful information from them. Exploratory research design has been used by
the scholar for explaining the various information that is related with the present study.
Moreover, inductive approach that has been used aid for giving contribution towards the
generalization of research study in effective way. In the present dissertation, qualitative study is
being used for identifying the data so that particular about the information is delivered. Data
collection is one most significant part of the study and in the present study primary and
secondary data has been used for completing the entire project. Primary data has been used by
preparing a questionnaire and secondary data has been collected through books, journals and
other online resources. It has helped for gathering the necessary data that is required for the
completion of the study. Data analysis is one most significant part of the research study and in
this thematic analysis method has been used for evaluating the data that has been been by the

scholar. Moreover recommendations have been given for improving the motivational level of
employees of Tesco.

Table of Contents
CHAPTER 1:INTRODUCTION.....................................................................................................1
1.1 Background.......................................................................................................................1
1.2 Rationale of the study.......................................................................................................1
1.3 Research aim and objectives............................................................................................2
1.4 Research question.............................................................................................................2
1.3 Project plan.......................................................................................................................2
1.5 Methodological issues and problems................................................................................3
1.6 Limitation of the research.................................................................................................4
CHAPTER 2: LITERATURE REVIEW.........................................................................................5
2.1 Understanding the concept of motivation.........................................................................5
2.2 Evaluating the strategies applied for motivation of employees........................................7
2.3 Assessing the factors affecting motivation of personnel..................................................9
Models of Motivation ..........................................................................................................11
CHAPTER 3: RESEARCH METHODOLOGY...........................................................................12
3.1 Introduction....................................................................................................................12
3.2 Research philosophy.......................................................................................................12
3.3 Research design..............................................................................................................13
3.4 Research approach..........................................................................................................13
3.5 Research strategy............................................................................................................14
3.6 Data collection................................................................................................................14
3.7 Sampling.........................................................................................................................15
3.8 Data analysis...................................................................................................................15
3.9 Ethical consideration......................................................................................................15
3.10 Validity and reliability..................................................................................................16
CHAPTER 4: DATA ANALYSIS................................................................................................17
4.1 Introduction....................................................................................................................17
4.2 Thematic analysis...........................................................................................................17
CHAPTER 5: DISCUSSION.........................................................................................................29
CHAPTER 6: CONCLUSION AND RECOMMENDATIONS...................................................30

6.1 Conclusion......................................................................................................................30
6.2 Recommendations..........................................................................................................31
REFERENCES..............................................................................................................................33
APPENDIX....................................................................................................................................36

CHAPTER 1:INTRODUCTION
1.1 Background
Human resources are the most important assets for the business which integrate all
business related activities and support corporation in determining long run growth as well as
development of the business. It is the fact that personnel must be motivated to contribute towards
the success of the business otherwise they will leave the business and seek for another
opportunity. For this purpose, HR department of the business handle all the task related to
motivation of the personnel so they can work with higher level of positivity. It facilitates to
continue operation of the business with the higher rate of return and meet the expectations of all
associated parties. In this manner, business speed up the flow of production and support related
parties to work in the direction of growth and development (Armstrong and Taylor, 2014). There
are several kind of issues which are being faced by the organization in retaining personnel and
providing them comfortable work environment. However, it might be possible that workforce are
not happy with the pay scale, work environment and other related aspect.
Present report is based on Tesco a British Multinational grocery and general merchandise
deals in superstore, supermarket and hypermarket related products. The revenue of the business
by the financial year 2017 is £55,917 million whereas net income for the business was £(54)
million. The company is operating with the presence of approximate 476,000+ workforce who
are helping business in achieving the long as well as short term objectives. This organization
shed light on quality products and services in order to determine higher level of satisfaction
among customers (Siponen, Mahmood and Pahnila, 2014). This proves to be effective to retain
customers for longer time span and increase the market share of the business. Such kind of
scenario cannot be maintained without the assistance of skilled and knowledgeable personnel.
1.2 Rationale of the study
The motivation among workforce plays important role in deriving the higher level of
satisfaction due to its significant impact on the success. This is made possible by the help of
offering right kind of pay scale and providing the effective working condition. However, the
issue is being faced related to workforce turnover because of availability of better opportunities.
This situation do affect the performance of the business as ratio of profitability go down and
business cannot handle the significant situation related to employee turnover. Owing to this,
present study is being conducted to assess the factors affecting employee motivation. This would
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be effective to implement the better plan for the success and development of the business
through incorporation of highly skilled personnel for the long tenure (Hau and et. al., 2013).
Furthermore, business can be affected from the critical situation related to employee turnover. It
can be improved by using different tactics to boost morale of personnel such as reward program
and offering them flexible working condition and addressing their issues on time. This in turn
application of appropriate strategy can be effective for maintaining the competitive edge of the
business and improve the business scenario to a great extent (Factors Affecting Employee
Motivation, 2017).
1.3 Research aim and objectives
The research aim and objectives related to the current investigation are explained as
follows-
Aim
To analyze the factors affecting employee motivation in the Tesco
Objectives
The objectives of the study are constructed on the basis of major aim of the investigation
through which research can take decision related to the suitable methodology and apply the same
for deriving the valid outcome.
 To understand the concept of motivation in retail industry
 To evaluate the strategies adopted by Tesco on its employees for motivation
 To evaluate different factors that affect motivation of personnel working in Tesco
1.4 Research question
The research questions are prepared in accordance with the research objective for giving
the more specific direction to the study and increasing the chances of obtaining the most suitable
outcome associated with the study-
 What is the concept of motivation in retail industry?
 What are different strategies adopted by Tesco on its employees for motivation?
 What are the different factors that affect motivation of personnel working in Tesco?
1.3 Project plan
The project plan of the current study has been presented as follow which provide
information related to content of each chapter in the light of framed research aim and objectives-
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The first chapter is of introduction of the dissertation which contain general information
regarding the topic such aim, objectives, proposed methodology and background of the study.
This chapter will also include the information related to the rationale of the study so that readers
can understand regarding the same. The chapter of introduction is considered as the most
important for the readers and scholar so as to disseminate the purpose of the study and bring out
the valid results.
Literature review is the second chapter of the study which pertain secondary data
associated with the investigation. It is based on the research objectives and accordingly sources
are selected for the purpose of presentation of meaningful information. This chapter will also
provide theoretical presentation along with graph and other relevant information. In addition to
this, literature review chapter proves to be effective for drawing valid outcome as it aids to
develop deep understanding related to the research.
Third and most important chapter of research is related to the research methodology
under which important methods and aspects are explained along with the justification. The most
suitable method is explained with the help of clear justification so that reader can understand the
rationale behind selection of the same. It covers research approach, method, data collection
methods and data analysis technique etc.
The chapter after completion of research methodology is of data analysis in which all
collected data are explained analyzed in the light of research aim and objectives. In this regard,
researcher analyze the collected data so as to bring out valid outcome. This section provide the
mixture analysis of both primary and secondary data which also assist scholar in presenting the
recommendations.
Conclusion and recommendation is the last of the chapter of research paper under which
conclusion and recommendation of the study is presented. This is based on the research research
aim and objectives so as to derive the valid outcome and present the recommendations
accordingly. This is the summarized form of the analysis part and objectives mentioned under
the section of introduction.
1.5 Methodological issues and problems
Completion of entire study is not possible with incorporating suitable methods and
procedure. The researcher faces issue related to selecting the most appropriate sampling size
because of issue related to time and cost. Furthermore, there are different types of research
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design, approaches and philosophies where scholar might get confused in selecting the best.
Owing to this, type of investigation was considered to select the most appropriate method. In
addition to this, ethical consideration have been mentioned by accessing suitable mode of data
collection and analysis of the same. Therefore, methodological issues and problems are
addressed by the research in an effectual manner. This aids to accomplish the research aim and
objectives of the current investigation. This leads to arrive the suitable outcome of the research
and provide the recommendations.
1.6 Limitation of the research
Any research investigation cannot be completely perfect as each one has certain
limitation through which researcher has the suffer. The study under investigation is backed by
different resources such as primary and secondary where researcher must find the most suitable
resources to collect data from. The current investigation need to completed in relatively less time
span. Owing to this, scarcity of the time is the critical issues. However, research address the
same by using the Gantt chart method. This method facilitates to reduce overall time taken to
complete the project and accordingly researcher can schedule all research related activities.
Apart from this, limitation related to collection of primary data may face by the researcher. It is
because scarcity of time might make the procedure primary data collection critical. Owing to
this, cost effective and time effective method of data collection has been applied. This leads to
complete the research task in a most suitable manner. On the other hand, sample size cannot be
large due to cost related issue. For this purpose, it might be possible that derived results do not
present the view of entire population. Though, researcher applied suitable method to select the
standard sample size and select the right population for collection of information. Therefore,
limitation are faced by efforts are put to minimize the issue associated with the same.
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CHAPTER 2: LITERATURE REVIEW
Literature review is the most important chapter of the research which covers secondary
information from the sources such as journals, books and online articles. This section of
literature review is based on research objectives. It proves to be effective in deriving the valid
outcome and accordingly results can be presented in an effectual manner. Theoretical framework
is prepared on the basis of varied sources whereby researcher can effectively accomplish aim and
objectives.
2.1 Understanding the concept of motivation
According to Mowday, Porter and Steers (2013) motivation is used to explain the
behaviour of personnel that how they react in a specific situation so as to handle the business
related aspects. The mentioned term represent the reasons for the desires, needs and action of
personnel. He further stated that motive of a person showcase the action of person in a certain
way. Muduli and et. al., (2013) asserted that there is two fold of motivation such as intrinsic and
extrinsic where the former one reflects that person does not rely on the external pressure but shed
light on intrinsic motivation. The motivation is generally referred as the personal and internal
feeling which influence employees to work in the direction of growth and development.
Furthermore, psychological phenomenon is denoted for the motivation of workforce thereby
personnel get the power to work in the direction of growth and development. However, most of
the time need based motivation is perceived among workforce as they are direct towards the
certain goals with the help of that particular motivation level or need only. They further stated
that motivation is considered as the continuous process just because of unlimited wants of
individual. This is the reason ongoing process of motivation is applied at workplace through
which personnel become highly dedicated and motivated towards the business objective.
However, in contrast to this, as per the vies of Sokro (2012), it is more of a regeneration need of
people rather than a psychological phenomenon. It helps the employees to put their whole energy
and dedication in the task in return of motivation. It rejuvenates the competency of an individual
and he once again work with full zest. It helps in making the project successful and further helps
in development of the entity.
Menguc and et. al., (2013) stated that motivation can be either positive or negative based
on the current working environment. In case personnel are not happy with the situation presented
in the organization they would be negatively motivated and would not like to stay in the firm for
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longer time span. Apart from this, positive motivation is derived with the help of favourable
working condition and good feeling among personnel related to their environment. They further
claimed that motivation is the concept which comes under the planned process. This enables
business to shed light on goals and targets of the corporation and accordingly create the
competitive edge in the marketplace. Moreover, job satisfaction cannot be linked with the
motivation. The rationale behind the same is person get job satisfaction because of presence of
the elements which are desired and enable him or her to utilize the available skills and potential.
On the other hand, motivation generate positive feeling among personnel to work with
integration and accomplish the set targets in given time span. This reflects distinct image of the
business and make the personnel dedicated towards their targets. However, in contrast to this, as
per the views of Mikkelsen, Jacobsen and Andersen, (2017), the positive motivation step taken
by the organization may prove to be negative as well. Excess expectation from the individual
may result in negative as an undesirable outcome can be taken as a failure by him in near future.
People may also get driven by fear and anxiety of performing good.
According to Gorozidis and Papaioannou (2014) motivation is the key aspect assists
businesses to facilitate the changes and bring innovation at workplace. For example, if
employees are motivated then company can successfully create the better image. This is because
workforce will be able to render good quality of services and in the same manner customers can
be happy from the quality of services offered by the business. Therefore, better image of the
business results in attracting more qualified and skilled staff. It enables corporation to protect the
competitive edge and meet expectations of all related stakeholders in the marketplace. On the
other part, Grosse and et. al., (2015) asserted that human relations are developed on the basis of
motivation among workforce. This is because workforce will be satisfied or content from the
reward offered by employers. Such kind of situation from the healthy relations among employee
and employers through which corporation can effectively shed light on growth and development
of the business. It is the well known fact that good relationship between employee and employers
aids to ensure long run survival of the business with the increased rate of return.
Chen and et. al., (2013) stated that motivation changes the behaviour of workforce and
make them more specific towards their goals. On a critical note, employees cannot perform
effectively without motivation and right direction which is generally provided by the
management of the business. Owing to this, contribution of management is very higher in
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