Employee Performance and Satisfaction: A Detailed Report

This report delves into the intricate relationship between employee satisfaction and productivity, challenging the notion that a happy employee is always the most productive. It argues that while satisfaction plays a crucial role, it is not the sole determinant of performance. The report explores various factors that influence productivity, including intrinsic and extrinsic rewards, such as recognition, salary increases, and benefits. It references Blumberg and Pringle's work on the link between satisfaction and productivity and Ben-Ner and Jones' research on employee participation and productivity. The report emphasizes that well-motivated employees, whether through financial incentives or recognition, are more productive. It highlights that the satisfaction level can vary, and the perceived equity of rewards is more effective than just 'happy behavior'. The report concludes that a holistic approach considering both satisfaction and motivational factors is essential for enhancing employee performance.

"A happy employee is a productive employee”. Comment.
The statement is not necessarily true. Any satisfied employee would turn out to be productive to
the point when they are satisfied. There is a varying degree of satisfaction level for all the
individuals be it low, medium or even highly productive. The satisfaction and performance are
seen to be highly inter-related as compared to the happy behavior of the employee. A perceived
equity of performance reward is highly is more effective than ‘happy behavior’ of any employee.
According to Blumberg, M and Pringles, C. (1982), usually, a happy worker is estimated out to
be a productive worker suggesting that satisfaction leads to productive performance. This quote
suggests that satisfaction in any job is the prime motive behind higher productivity. The
satisfaction can be intrinsic such as motivating an employee by recognizing his hard work and
efforts. This suggests that satisfied workers are highly productive because the satisfied workers
are comparatively more inclined towards their work as compared to the happy workers, therefore
are more productive. Therefore there are various factors which motivate the employee other than
his happy behavior namely financial rewards like the job promotion, the increase in salary,
praise, benefits, and recognition for efforts, etc. These rewards are extrinsic in nature as they are
provided by some other person whereas the intrinsic rewards are based on the human needs.
Therefore, it can be argued that "The well-motivated employees are more productive at the
workplace." (Ben‐Ner, A., & Jones, D. C., 1995).

Reference
Ben‐Ner, A., & Jones, D. C. (1995). Employee participation, ownership, and productivity: A
theoretical framework. Industrial Relations: A Journal of Economy and Society, 34(4), 532-554.
Blumberg, M., & Pringle, C. D. (1982). The missing opportunity in organizational research:
Some implications for a theory of work performance.Academy of management Review, 7(4),
560-569.