HI6008 Business Research: Employee Motivation and Performance Analysis

This business research report, prepared for HI6008 at Holmes Institute, investigates the critical relationship between employee motivation and organizational performance. The report begins by establishing the significance of employee motivation in fostering organizational success, highlighting its impact on employee engagement, staff turnover, and overall business outcomes. The literature review explores various factors influencing employee motivation, including leadership approaches, reward and recognition programs, and transparent communication. The research problem is identified as a need to understand the correlation between employee motivation and organizational performance, with specific objectives to identify key motivational factors, assess their impact on performance, and suggest strategies for improvement. The report poses research questions to guide the investigation, covering factors influencing motivation and performance, the relationship between them, and recommended activities. The report concludes by referencing relevant academic sources to support the findings.

Running head: BUSINESS RESEARCH
BUSINESS RESEARCH
Name of the student
Name of the university
Author note

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Topic: Influence of employee motivation on Organizational Performance
Background
The uninterrupted functioning of the organizations are specifically based on the
contribution of motivated employees. Kontoghiorghes (2016) defined employee motivation as
one of the major priorities of an organization as it enables the same in safeguarding the
performance. The application of HR best practices in the organizational processes enables an
organization in keeping the employees motivated. Afsar, Badir and Kiani (2016) observed
employee motivation as the key contributing factor to the organizational performance. Moreover,
Siengthai and Pila-Ngarm (2016) stated that employee motivation minimizes the rate of staff
turnover and thereby supports the continuous functioning of the different processes that are
framed by the businesses. In this relation, the organizations undertake modifications in the HR
procedures and policies with the objective of retaining the trust and confidence of the employees.
In a longitudinal survey, Ramdhani, Ramdhani and Ainissyifa (2017) found that
employee loyalty towards an organization is specifically based on the level of motivation.
Moreover, through the research of Hanaysha and Tahir (2016) it has been found that employee
satisfaction and employee motivation are directly proportional to each other. The rate of
employee motivation determines the level of engagement of the same towards achieving the
common goals of the venture, while maximizing the performance. Therefore, the research will
aim at delineating the correlation between employee motivation and the organizational
performance.

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Significance
The research will provide critical insights for the future researchers in developing factors
and general issues that are faced by the organizations while keeping the workforce motivated.
The research will enumerate the relationship between employee motivation and the performance
of the organizations. Therefore, the research will assess the different factors that influence
employee motivation and organizational performance respectively and thereby correlate the
factors. On the other hand, the research will act as a general guideline for the entrepreneurs and
management personnel in identifying the needs of employee motivation and the manner in which
it influences organizational performance. Therefore, the research will enable the entrepreneurs in
developing potency of improving the workforce motivation with the objective of developing the
organizational performance.
Literature review
Rahim and Jam’an (2018) stated that employee motivation plays a significant role in
influencing the performance of the organizations. The employees are motivated through the
approach of the leaders, the rewards and recognition programs and transparency of the processes.
In this relation, Al-Musadieq et al. (2018) opined that the leaders directly influence employee
motivation through steady links of communication and treatments that are met out to the
workforce. The improved communication between the management and the employees does not
only motivates the workforce but also resolves the issues that are faced by the same while
operating in the respective job positions. The resolution of the issues develops a relation of
mutual trust and confidence among the workforce and the management which influence the
loyalty and motivating of the employees. On the other hand, Siahaan (2017) opined that the
increased communication among the management and the workforce empowers transparency in

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the process designs which encourages the increased involvement of the employees in the
different processes. Therefore, the leadership approach that is initiated by the management
personnel of an organization greatly influence motivation among the employees.
Ramdhani, Ramdhani and Ainissyifa (2017) stated that the reward and recognition
processes that are implemented by the organizations motivated the employees for better
performance. In this relation, the rewards that are provided by the organizations in the financial
form encourages the maximized engagement of the employees. On the other hand, recognition
provides psychological satisfaction to the employees while increasing their trust and
commitment towards the ventures. In a survey it has been found that more than 67% of the
employees resign from their respective job positions for the reason of lack of loyalty enforced
through absence of recognition programs (Hanaysha and Tahir 2016). Huang et al. (2016) stated
that the introduction of fair recognition programs by the organizations enables the management
in inducing friendly competition among the employees which again contributes to the
organizational performance. Therefore, it might be stated that the retention of the employees’
morale, commitment and loyalty towards the organization enables a venture in maximizing the
performance of the same while sustenance in competitive business environments.
The modifications in the organizational operations are reflected through the increased
commitment, mutual trust and satisfaction of the employees while operating on their respective
job positions. Therefore, Siengthai and Pila-Ngarm (2016) noted that the modernized
organizations conduct staff surveys with the purpose of understanding the different issues that
are faced by the employees in their respective jobs and mitigate the same while adhering to their
psycho- social needs. Hanaysha and Tahir (2016) stated that organizational performance is
relatively hooked on the collaborative functioning of the employees and the minimized staff

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turnover rates. The staff turnovers brings in inconsistencies to the organizational operations. On
the other hand, the HR best practices not only empowers the employees at work but also
motivates the same to undertake the operations as per the sustenance based needs of the venture.
In this relation, Siahaan (2017) detailed that the specific management based operations and the
organizational culture critically contributes to the factors relating to employee motivation.
The improved engagement of the employees in the different processes are based on the
level of satiety while serving their individual job roles. In this relation, Afsar, Badir and Kiani
(2016) opined that the application of Maslow’s Hierarchy of needs enables an organization in
identifying the needs of the employees while motivating the same. The improved rate of
employee motivation enables an organization in maximizing the engagement of the workforce in
the different processes while influencing change readiness among the same. Employee
engagement in the different processes enables an organization in ensuring the productivity off
the same. On the other hand, the employee centric strategies that are framed by the organizations
enables the same in retaining the trust and confidence of the customers. Therefore, in this
connection, the increased rate of organizational performance is strictly reliant on the employee
motivation while being engaged in the different operations.
Research problem
The research will be conducted with the view of identifying the correlation between
employee motivation and organizational performance. It has been noted that lower levels of
employee motivation affects the organizational operations through maximized rate of staff
turnovers. On the other hand, satisfaction, trust and loyalty of the employees play an important
role in improving the performance of the venture. Therefore, the research will examine the

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relationship of employee motivation and the manner in which it influences the performance of
the organizations.
Research objectives
The research objectives for the study will be:
 To identify the factors that influence the rate of employee motivation
 To examine the factors that influence organizational performance
 To evaluate the correlation between employee motivation and organizational
performance
 To suggest recommended activities for improving employee motivation and thereby the
organizational performance
Research questions
The research questions that will be addressed during the study are:
 What are the factors that influence the rate of employee motivation?
 What are the factors that influence organizational performance?
 How is organizational performance related to employee motivation?
 What are the recommended activities for improving employee motivation and thereby the
organizational performance?

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References
Afsar, B., Badir, Y. and Kiani, U.S., 2016. Linking spiritual leadership and employee pro-
environmental behavior: The influence of workplace spirituality, intrinsic motivation, and
environmental passion. Journal of Environmental Psychology, 45, pp.79-88.
Al-Musadieq, M., Nurjannah, Kusdi, R., Solimun, S. and Achmad Rinaldo, F.A. 2018, "The
mediating effect of work motivation on the influence of job design and organizational culture
against HR performance", The Journal of Management Development, vol. 37, no. 6, pp. 452-
469.
Hanaysha, J. and Tahir, P.R., 2016. Examining the effects of employee empowerment,
teamwork, and employee training on job satisfaction. Procedia-Social and Behavioral
Sciences, 219, pp.272-282.
Huang, L.C., Ahlstrom, D., Lee, A.Y.P., Chen, S.Y. and Hsieh, M.J., 2016. High performance
work systems, employee well-being, and job involvement: An empirical study. Personnel
Review, 45(2), pp.296-314.
Kontoghiorghes, C., 2016. Linking high performance organizational culture and talent
management: satisfaction/motivation and organizational commitment as mediators. The
International Journal of Human Resource Management, 27(16), pp.1833-1853.
Rahim, A.R. and Jam’an, A., 2018. The analysis of influence of motivation and organizational
commitment on employees’ performance in Telkom Kandatel Gorontalo Province. Problems
and Perspectives in Management, 16(4), p.429.

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Ramdhani, A., Ramdhani, M.A. and Ainissyifa, H., 2017. Conceptual Framework of Corporate
Culture Influenced on Employees Commitment to Organization. International Business
Management, 11(3), pp.826-830.
Ramdhani, A., Ramdhani, M.A. and Ainissyifa, H., 2017. Conceptual Framework of Corporate
Culture Influenced on Employees Commitment to Organization. International Business
Management, 11(3), pp.826-830.
Siahaan, E., 2017. Antecedents of employee performance and the influence on employee job
satisfaction in banking service sector in Indonesia. Banks and Bank Systems, 12(4), pp.75-89.
Siengthai, S. and Pila-Ngarm, P., 2016, August. The interaction effect of job redesign and job
satisfaction on employee performance. In Evidence-based HRM: a Global Forum for Empirical
Scholarship (Vol. 4, No. 2, pp. 162-180). Emerald Group Publishing Limited.