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ACKNOWLEDGEMENT
ACKNOWLEDGMENT
The summer training gives an opportunity to form the real situation & make our self aware about the
real world problem.
I extend my sincere gratitude to our most venerable Mr. Devendra Malik
(Chairman, SSIM, Moradabad), Mr.V.K.S.Malik (Vice-Chairman, SSIM, Moradabad),
Dr.A.K.Tyagi (Director, SSIM, Moradabad), Dr. S.S. Chauhan (Dy. Director),
Mr.A.K. Upadhyay (H.O.D., SSIM, Moradabad) for providing me an opportunity to work on this
project. Other than this I would like to thank my Project Incharge & Internal guide
Mrs. Chhavi Mehrotra, whose able guidelines helped me to prepare this report.
I am also thankful to all faculty members, Librarian Sir and Computer Lab Staff who have encouraged
and supported me. All because of their kind consideration and cooperation I could able to complete
this report.
I would also like to thank Mr. Parth Bhattacharya (HR Manager) TATA Motors, Pantnagar who
has granted the permission to complete the training and supervised me and spared his/her valuable time
for suggestions and help.
At last, I would like to thank my family and ALMIGHTY GOD, as without their blessings and support
the project could not have been completed.
Prem Veer Singh
Roll No.- 11131031
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PREFACE
PREFACE
I Prem Veer Singh hereby declare that this Research Project Report entitled “EMPLOYEE
MOTIVATION IN COMMUNICATION INDUSTRY WITH SPECIAL REFERENCE TO
VODAFONE COMMUNICATION” submitted in the partial fulfillment of the requirement of Post
Graduate Diploma in Management (PGDM) from SSIM, Moradabad It is Based on Primary &
secondary data found by me in various departments,
Books, magazines and websites & Collected by me in under guidance of my Project Guide Mrs.
Chhavi Mehrotra
Prem Veer Singh
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EXECUTIVE SUMMARY
EXECUTIVE SUMMARY
The present report is prepared for the partial fulfillment of PGDM- III Sem and as a part of
curriculum. This is an attempt to determine and do a “EMPLOYEE MOTIVATION IN
COMMUNICATION INDUSTRY WITH SPECIAL REFERENCE TO VODAFONE
COMMUNICATION” The report has two sections, in its first section company profile is given,
where as in second section, research methodology is given which includes sample design, analysis on
sample and findings are given. Suggestions with respect to the survey for future improvement is given
to improve the survey because there competitors have also taken up the survey.
At the end of the report limitations, Conclusion of the research. Last there is Bibliography.
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INTRODUCTION
INTRODUCTION
MOTIVATION:Motivation is the activation or energization of goal-oriented behavior. Motivation is said to
be intrinsic or extrinsic. The term is generally used for humans but, theoretically, it can also be
used to describe the causes for animal behavior as well. This article refers to human
motivation. According to various theories, motivation may be rooted in the basic need to
minimize physical pain and maximize pleasure, or it may include specific needs such as eating
and resting, or a desired object, hobby, goal, state of being, ideal, or it may be attributed to
less-apparent reasons such as altruism, selfishness, morality, or avoiding mortality.
Conceptually, motivation should not be confused with either volition or optimism.
Motivation is defined as an urge in an individual to perform goal directed behavior. Therefore,
motivation cannot be inflicted from outside but it is an intrinsic desire in a man to achieve the
target goal through performance or activity.
Motives are expression of person’s need. Hence, they are personal and internal. Incentives on
the other hand are external to the person. They are made part of work environment by
management in order to encourage workers to accomplish task. The motivational model
indicates that a sense of felt deprivation generates needs and such needs create tension in an
individual. The individual perceive and makes cost benefit analysis on the ways and means of
releasing such tension. Once such perception is cleared, individual pounces upon the activities
and achieves some results. If it is success he feels rewarded and falls in the cycle of
motivation again. If it is failure he feels punished and once again after due modification of
ways and means pounces back on the cycle or feels frustrated. Therefore, motivation leads to a
goal directed behavior.
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When people join an organization, they bring with them certain needs that affect on-the-job
performance. Some of these needs are physiological ; others are related to psychological and
social values. The later are much more difficult to determine and satisfy, and they vary greatly
from one to another. Maslow has developed a hierarchy of needs as follows : physiological,
security, social, esteem, and self-actualization needs. They interact with the environment to
shape on-the-job wants that are the basis of motivation. In addition, motivation is affected by
people’s perceptions, including their feelings of equity or fairness in a situation.
According to a model developed by Herzberg, motivation is influenced by maintenance and
motivational factors. Important motivational factors are the work itself, achievement, growth,
responsibility, advancement and recognition. These are primarily intrinsic motivators rather
than extrinsic ones. The Maslow and Herzberg models have many similarities because they
both focus on needs, but they do so from somewhat different points of view.
Two different models of motivation are the expectancy model and behavior modification. The
expectancy model states that motivation is a product of how much one wants something and
the probability that a certain action will lead to it. The formula is valence X expectancy =
motivation. Valence is the strength of a person’s performance for one outcome in relation to
others. Expectancy is the strength of belief that a given act will be followed by particular
outcomes.
Behavior modification states that behavior depends on its consequences. It is achieved through
operant condition. Its various approaches include positive and negative reinforcement,
shaping, and extinction. Punishment normally is not used. Reinforcement can be continuous or
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partial. Criticism of behavior modification are that it manipulates people and does not apply
very well in complex work environments.
Cognitive models dominate thinking about motivation, but behavior modification is finding
increasing use. Most attention has been given to type A motivation (macromotivation) ; but in
order to build a complete motivational environment, more emphasis must be given to type B
motivation (micromotivation).
USE AND IMPORTANCE OF TOPIC
Managers have the opportunity to influence the motivation of employees through design of
their jobs. Well-designed jobs help accomplish two important goals: getting the necessary
work done in a timely and competent manner, and motivating and challenging employees.
Both the business and the employee benefit from successful job design. Poorly designed jobs
leave to chance whether the expected tasks will get done in a timely and competent manner.
Poorly designed jobs, moreover, are likely to be discouraging, boring and frustrating to
employees. Even if employees would otherwise be enthused, competent and productive,
poorly designed jobs almost certainly lead to employee
disappointment. Managers have the responsibility of designing jobs. If they ignore this
responsibility, employees will design their own jobs. Not surprisingly, the jobs designed by
employees are more likely to be attuned to employee experiences and preferences than to the
goals of the business. Neither the business nor the employees are long-term winners from
managers defaulting job design to employees. Job design starts with determining the duties,
tasks and activities for each job.
The process of determining the content of jobs is called job analysis. Job analysis is
sometimes considered the foundation of human resource management. The content of jobs,
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job descriptions, hiring, orientation and training are all built on what is learned from job
analysis. In this paper, we will consider four keys to the design of jobs that motivate and
challenge employees: job analysis, job design, characteristics of desirable jobs and fine tuning
of jobs through job enrichment and adjusted work schedules to further increase their capacity
to motivate and challenge employees.
Job Analysis
Job analysis is a process of obtaining the information necessary for job design. Job analysis
requires efficient collection of data about existing jobs and needs that new jobs are to address.
A manager has several important sources of data about job needs. In most businesses, the
people now doing a job understand it best. Their experiences and insights are critical to
understanding what the job is, the extent to which it is meeting the needs of the business and
opportunities for an improved design. A cautionary note to keep in mind is that employees
may fail to understand that job analysis is a process of gathering data about the job not an
evaluation of the person doing the job. Managers need to explain carefully to employees that
the goal is to improve their jobs not find a substitute
for annual performance reviews. Supervisors can add additional understanding of a job. In
many farm and ranch businesses, managers and supervisors have often done many of the jobs
in the business. Therefore, their experiences in the job are a valuable source of information.
Job analysis should generate data about tasks, duties and responsibilities of the person in the
job. For a milker, the tasks, duties and responsibilities might include: with one other person,
prepare and milk 300 cows; examine cows for health problems; clean milking equipment and
milking parlor after milking; and perform preventive maintenance on the milking equipment.
The equipment that will be operated and tools used are also included in job analysis. For an
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officer manager, the list of equipment and tools might include a computer, copy machine, fax
machine, paper shredder and telephone. The job analysis also shows the knowledge, skills,
abilities, experience and licenses
necessary for the job and the performance standards for the person doing the job. For a truck
driver, this list might include at least two years of experience in over-the-road driving, valid
commercial license and no moving violations during the last two years. The performance
standards might be safe operation of the truck, no moving violations and timely delivery and
pick ups as assigned. Determination of physical demands is also important for some jobs, e.g.,
be able to lift a 50-pound box to a height of 48 inches and carry the box 20 yards. It is difficult
to illustrate the importance of job analysis with a few simplistic examples. Perhaps a set of
questions can give an added sense of the importance of job analysis. Note that all of the
questions are trying to clarify what is or is not a part of the job being analyzed.
• Does the officer manager need to know how to design a computerized payroll system or will
the person in the position simply be doing payroll with a system already in place?
• Is the truck driver responsible for routine maintenance of the truck?
• Is the head milker responsible for annual performance evaluations of milkers or are these to
be done by the herdsperson?
• Does the crop manager help plan the year’s cropping plan or just carry out the plan
developed by the farm manager?
• Is the cow manager responsible for decisions about which cows to cull or is this the
responsibility of the herdsperson?
• Who is authorized to buy parts for machinery repair?
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• Who is authorized to answer questions raised by a newspaper reporter who makes an
unannounced visit to the ranch or farm?
One can easily see from this short list of questions that the importance of job analysis grows
as a business grows, becomes more complex, and involves more employees. At some point in
size and complexity of a business, managers must either take a more systematic approach to
job design or deal with the many problems of inconsistency across employees, supervisors and
crews. Job analysis also paves the way for determination of policies, procedures and rules to
guide employee decisions. Job analysis and the resulting job design do not provide all the
guidelines for employee behavior. Policies, procedures and rules complement job design.
Job Design
After the job analysis has provided the necessary job data, managers are ready to design jobs.
The job analysis provides an important reminder to keep employees in mind as jobs are
designed. Job design is the structuring of jobs to improve the efficiency of the business and
improve employee satisfaction. Uninteresting or boring jobs will cause problems. Employers
can capitalize on employees’ interests and the advantages they see in farm work. To illustrate,
people who love animals are motivated by the opportunity to work with animals. Jobs
emphasizing animals attract such people. Some people like machinery much more than
animals. Others enjoy repairing machinery more than operating it. Some people like office
work; others want to be outdoors. Job design provides guidelines to help get appropriate fit
between employees and their jobs. The results of the job analysis make it possible to design
jobs while taking into consideration the tasks that must be accomplished for the business to
succeed. Managers can add consideration of what individuals want in their jobs. Sometimes
minor changes in job design can dramatically improve a job in the employee’s view, e.g.,
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changing a calf feeder’s job to include, or no longer include, explanation of calf care to farm
visitors. Another example is asking the employee to work closely with the veterinarian to
improve calf health instead of simply reporting problems to a supervisor who in turn talks
with the veterinarian.
Job design cannot overcome the fact that no job is perfect. Farm jobs have some
disadvantages managers need to address when designing jobs. Each of the following job
qualities responds to often stated disadvantages of farm work: reasonable number of work
hours per day and per week, proper equipment in good repair, well lighted and ventilated work
areas, training, some flexibility in scheduling work hours and regular communication with the
supervisor. Paying little attention to these common concerns about farm jobs makes it almost
certain that employees will not be satisfied with the jobs.
Definition: Job Enlargement is the horizontal expansion of a job. It involves the addition of
tasks at the same level of skill and responsibility. It is done to keep workers from getting
bored. It is different than job enrichment (see sidebar).
Examples: Small companies may not have as many opportunities for promotions, so they try
to motivate employees through job enlargement.
Job Characteristics
Anticipating what job characteristics will help motivate employees is important in job design.
Managers can do their best to give each job the following five key characteristics.
First, design jobs whenever possible to encourage employees to use a variety of skills. Remind
yourself of the reasons that assembly line jobs are boring. Standing in one place using only
one or two skills doing the same thing repeatedly is not satisfying for most people. One reason
that many workers like varied work is that they get to use a variety of skills.
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Second, design jobs whenever possible so that an employee does a total job, e.g., all aspects of
calf raising as contrasted with just feeding or a milker position that includes more
responsibilities than just milking. Even such a simple task as repairing gates may be more
satisfying if one person has the responsibility to do everything including determining what
parts are needed, buying parts, taking the gate apart, replacing parts, reassembling and testing
to be sure everything is in order.
Third, design jobs so that the employee understands the significance of his or her job to the
farm. Why is power washing important? Why is calf raising important? What contribution is
the person making by doing a good job with dry cows? What problems are caused later on if
pigs are not given proper care? The employee should have answers to these kinds of basic
questions.
Fourth, design jobs so that each employee has responsibility, challenge, freedom and the
opportunity to be creative. This requires the supervisor or owner/operator of the farm to
delegate some authority. Delegation can be a powerful tool for improving a job. “You can do
the job however you want as long as you get results.” Such powerful words, such effective
de3
legation and such important responsibility are likely to have positive impacts on employees.
Finally, make feedback a part of job design. Well-designed jobs anticipate the need for
communication. Most employees want to know what is expected of them in the job, how they
are doing, how they can improve, what latitude they have in changing how they do their tasks,
what should be discussed with a supervisor and when the discussion should occur. Employees
rarely complain about too much communication with their supervisor. They often want more
communication.
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Ergonomics
The tradition in farm and ranch work is to expect the person to adjust to the tool. A “one size
fits all” mentality is common. The size may refer to an operator’s seat, chairs for a staff
meeting, volume of music in the milking parlor or length of handle on a tool. The message is,
“You need to adjust.”
Ergonomics turns the “one size fits all” mentality on its head. Ergonomics asks how the
machine can be made to fit the person rather than how the person can fit the machine.
Examples include adjustable operator seats, flexible lighting, variable temperature controls,
padded floors, safety equipment, work areas adjustable to appropriate heights and angles and
comfortable yet durable work clothes.
An increasingly diverse work force has made ergonomics more important. Men and women
may use the same equipment. A 65-year-old man 5 feet 6 inches tall may take a turn operating
a machine usually operated by a 20-year-old man 6 feet 6 inches tall. Clearly, it makes no
sense to expect all employees to adjust to an unadjustable machine. Job design can contribute
to employee motivation by taking advantage of the many advances that have been made
through ergonomics.
Job Enrichment
Sometimes employees want more from their jobs than is now possible. Job enrichment is a
response to employees ready for more responsibility, variety and challenge. Wanting more is
only part of what is required to make job enrichment a success. Employees must be able to
handle the enriched jobs that are being developed for them. Managers need to consider
carefully each employee’s physical capabilities, mental skills, organizational competence and
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capacity for learning before inviting an employee to take on an enriched job. Forcing more on
employees than they are capable of handling
will likely hurt the business and frustrate the employees. The usual dimensions of job
enrichment in the farm and ranch setting include thefollowing:
• Make a job more challenging by making it more difficult. The job may be made more
difficult, for example, by including more problem-solving, increasing the number of people
with whom cooperation is necessary, increasing the complexity of tasks included in the job
and providing less specific directions and rules.
• Assign challenging new tasks that the employee must learn to do through selfstudy, off-site
training, on-the-job training, experimentation and/or contact with others who have the
necessary expertise.
• Delegate responsibility and authority to an employee. Some examples include delegated
responsibility and authority to: improve a part of the business such as pig mortality, resolve a
specific problem such as employee turnover or gather the necessary information for
determining the best alternative for replacing a major piece of machinery.
• Ask the employee to become the farm’s expert in an area of interest to him or her, e.g., corn
varieties.
• Provide the employee with performance reports about enterprises or major cost categories
and ask that he or she provide analysis and suggestion on how to improve performance.
Job enrichment is a tool for improving employee motivation through satisfying a need for
more challenge. Job enrichment pays more attention to employee needs than to needs of the
business. In particular, job enrichment responds to employee need for achievement, self-
esteem and self-fulfillment. Job enrichment is likely to be counterproductive when employees
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do not have these higher level needs. Such employees are likely to see job enrichment as little
more than employers trying to take advantage of them and frustrating them unnecessarily. Job
enrichment has compensation implications. One would expect that an employee who takes on
an enriched job with no loss in work quality would realize some financial benefit. However,
the impetus for job enrichment is increased motivation through more challenging work rather
than higher pay through more responsibility. Job enrichment recognizes that non-monetary
rewards are important to job satisfaction. Furthermore, to have a sense of progress in their
careers, many employees need more
than gradually increasing compensation. Job enrichment meets the need for nonmonetary
progress by providing a steady increase in challenges and professional development.
Work Schedules
The eight-hour work day/40 hours per week is the standard for most of the country’s labor
force. For several reasons, this has never been the standard for farm and ranch work. The Fair
Labor Standards Act exempts farm and ranch work from overtime pay requirements when the
workweek exceeds 40 hours. Thus, a farm or ranch employer can have a standard workweek
of six, ten-hour days and have the same hourly pay rate for all 60 hours. The work ethic
common to farming and ranching also contributes to acceptance of long workweeks. The
seasonal nature of agriculture requires an all out
effort during some weeks of the year. Consequently, work schedules have been dictated more
by how to get the work done than by seeking ways to increase employee motivation. Some
employers outside agriculture have made adjustments to traditional work schedules. Most
common are flexible beginning and ending times, a compressed workweek and job sharing.
These adjustments remain uncommon in agriculture. Nevertheless, farm and ranch managers
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sometimes have the option of changing traditional work schedules. Flexible beginning and
ending times, usually called flextime, eliminate common beginning and ending times for
employees doing the same job. Instead, employers permit employees to choose daily starting
and quitting times. To illustrate, a manager with five employees might have two beginning
work at 7:00 a.m., one beginning at 8:30 and two beginning at 9:30. The manager might also
offer flexibility in both time and length of the mid-day break. Quitting times would also vary
greatly.
Flextime obviously cannot work in many situations. A crew working on a multiperson task
would need to have common starting and quitting times. For example, harvesting might
require a two-person crew. Milking might require a three-person crew. On the other hand,
employees may have individual responsibilities that do not overlap with the work of other
employees thus making flextime a possibility. A farm office with a single employee might not
open until 8:00 a.m. even though all other employees start at 6:00 a.m.
Employees are generally enthusiastic about flextime because of the control it gives them over
their work and nonwork schedules. Employers like the positive impacts of flextime on
productivity, tardiness and absenteeism but not the increased difficulty of monitoring workers.
The compressed workweek has a reduced number of days worked each week with a
corresponding increase in number of hours worked each day. A compressed workweek might
be four days, each 12 hours long, rather than six days, each 8 hours long. The compressed
workweek is incompatible with many jobs and the stamina of some employees. Nevertheless,
it does provide an alternative to the traditional five or six day workweek. Employees with
compressed workweeks report liking three days off each
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week. Job sharing involves two or more people sharing a single job. The most common form
of job sharing is a full-time position being converted to two part-time positions. The two part-
timers split the full-time compensation. Each person typically works three days out of five,
two days alone and one with the other person.
There are some potentially attractive applications of job sharing to farm employment. For
example, a dairy farm that has a morning milking and an evening milking could use job
sharing. Three part-time people might be hired for the morning milking instead of one full-
time person. The three part-time people would be hired and trained together. Then they would
be responsible for their own scheduling to be sure that one of the three was available for each
morning milking, seven days per week, year around. The three could even be given the
responsibility for recruiting and training a
fourth person if necessary. Experience is so limited with job sharing in agriculture that an
employer would benefit from finding a nonfarm employer and employee with job sharing
experience to gain their insights about the pros and cons.
Concluding Comment
Job design is a tool for helping to motivate and challenge employees. Like all other
motivational tools, it fails to provide a magical answer for all employees in all situations.
Nevertheless, inattention to job analysis, job design, job enrichment and work scheduling
means that motivation problems will be created that need not be created. Employees are likely
to appreciate an employer’s efforts to make their jobs as motivational and challenging as
feasible. Many employees will welcome the opportunity to help improve their jobs. They will
see the benefits for themselves and for the business. Traditional jobs can be changed. An
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employer’s imagination and creativity applied to job design have the potential to yield
impressive results.
Other relevant points
How does Profit sharing work? The company contributes a portion of its pre-tax profits to a pool
that will be distributed among eligible employees. The amount distributed to each employee may be
weighted by the employee's base salary so that employees with higher base salaries receive a slightly
higher amount of the shared pool of profits. Generally this is done on an annual basis.
Advantages
Brings groups of employees to work together toward a common goal (the
success/benefit of the company).
Helps employees focus on profitability.
The costs of implementing the plan rise and fall with the company's revenues.
Enhances commitment to organizational goals.
Disadvantages
The pay for each employee moves up or down together (no individual differences for
merit or performance).
Focuses only on the goal of profitability (which may be at the expense of quality).
For smaller companies, these plans may result in drastic swings in earnings for
employees which the employees may find difficult to manage their personal finances.
Adherence to the FLSA requires employers to recalculate each worker's "regular rate"
of pay. To overcome this limitation, employers may restrict this type of compensation
to exempt employees.
What is Skill Based Pay?
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The payment of additional salary or hourly pay to employees for learning, and being able to
perform, additional tasks or skills. It is sometimes expanded to compensate employees for
demonstrating relevant competencies.
How does Skill Based Pay work?
Jobs, or groups of jobs, are divided into component parts. Employees are hired into a base job
level that presumes that they either know or will develop proficiency in a core set of tasks. To
encourage them to learn additional skills, the organization provides additional training on
other skill sets and commits to raise their base pay level once they demonstrate a satisfactory
level of competence with each skill set.
Why was Skill Based Pay developed?
In its simplest form, Skill Based Pay has been used to allow an employee to "cover" for an
absent co-worker. It has been used since at least the 1940's for assembly line workers. It has
recently been "re-discovered" as organizations attempt to downsize and cross-train workers.
"Quality" oriented organizations use the cross training process to help employees understand
the broader organization and product demands. Skill Based Pay is often used to stimulate
employee interest in training that will provide them with a broader focus.
What obstacles does Skill Based Pay face?
While Skill Based Pay has significant benefits, successful programs need to address the
following issues:
Skill Block Definition: Describing reasonable sized skill sets requires thoughtful attention
from people very familiar with the job to group skills into logical, useful clusters. Skill sets
should be significant enough to demonstrate real competency differences, but small enough to
allow them to be mastered within a reasonable time frame.
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Skill Set Pricing: A rational process needs to be employed to determine how large a salary
increase (or incentive) is appropriate for each skill set. This may relate to the competitive
value of the skills, the amount of effort required to perform the additional tasks, the difficulty
of learning the skill set, or some other process accepted as reasonable by those affected.
Skill Validation Tests: In order to verify that the skills are at designated levels, it is necessary
to develop credible tests to validate the employee's competency. The tests typically include
comprehension (including theoretical background), sample performance tests (including
precision and speed), and troubleshooting abilities.
Skill Currency Assurances: Many organizations require that employees periodically either
actually perform the tasks for specified time intervals or take "re-certification" tests to assure
that they are maintaining the skills for which they are being compensated.
Technological Changes: As organizations change, the necessary skill sets change. The entire
Skill Based Pay process needs to include an ongoing process to assure that the skills being
compensated for still have value to the organization.
Training Cost/Time: By their very nature, Skill Based Pay programs encourage employees to
focus on learning new activities rather than performing their base job. This results in
"downtime" that must be covered by other employees and often also requires trainer time from
elsewhere in the organization. Many organizations limit the amount of time that employees
can spend on training, and/or require them to spend a specified amount of time before they can
train or take the test for a new skill set.
Payroll Costs: If every employee becomes proficient in all of the tasks, the organization not
only would have thorough back-up capacity, it would have higher payroll costs than it would
have if employees only knew their own job. In most cases, the organization does not need
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every employee to know every job. Accordingly, it must decide how much redundancy is
beneficial. Many organizations limit the number of employees that they are willing to pay for
certain skill sets in order to control payroll expense.
Legal Considerations: Organizations need to consider the potential legal exposure that may
accompany a Skill Based Pay program. Firms should be sure that the process does not
discriminate against employees in protected classes and that they compensate non-exempt
employees for on-the-job training time.
Where does Skill Based Pay Work?
Although its genesis has been in blue collar environments, Skill Based Pay is being
successfully used in a wide cross section of non-exempt and professional positions. It is even
being used for managerial level positions, although it is often called "responsibility based pay"
when managers demonstrate the competence to oversee multiple functions.
The key elements that appear to be critical for Skill Based Pay to work include:
-- thoughtful program design that stays current with changing technologies,
-- carefully designed skill elements, that are accepted as relevant and reasonable both by
management and the employees covered by the program,
-- consistent, even handed program administration that is seen as operating the program with
integrity, and
-- interested managers that support the cross-training intent of the program.
What is the best way to implement a Skill Based Pay program?
ECI recommends, once the decision to consider a Skill Based Pay program has been made,
that the organization use a participative task force to
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review the components of the various jobs being considered,
identify specific skills where 1) the company would benefit by having more employees
that could perform the skill and/or 2) current skill levels are insufficient to meet either the
quantity or quality of desired performance levels,
determine whether a valid training and certification program exists or could be
developed for the skills,
determine the relative value of the skills - which requires selecting a valuation process,
determine how the defined skill sets, certification process and relative values relate to
employee perceptions and concerns,
develop program cost estimates under various scenarios,
develop an implementation process, including determining:
-- how to handle employees who already have the skills,
-- whether any adjustments to base pay levels are required,
-- what "safety" procedures will be used to assure that program abuses do not occur,
-- how the program will be communicated to employees and supervisors,
-- what monitoring and adjustment procedures will be used, and
-- who will be responsible for the program.
obtain management approvals, and
implement the program, perhaps on a test basis.
How long does it take to implement Skill Based Pay?
While the answer will clearly vary based on the number of jobs included and the level of
commitment to the effort made by the organization, Skill Based Pay programs normally
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require four to six months to implement. This is partly due to the number of issues that must
be addressed. More significantly, time is required to obtain input from a broad number of
participants who know the existing jobs and who will be interested in the program. Programs
that are developed in a participatory manner are much more likely to succeed since the
program elements are more likely to be perceived as relevant and reasonable.
What Alternatives to Skill Based Pay Exist?
Presuming that the objective is to increase employee knowledge of job skills and to provide
increased work force flexibility in covering needed functions, ECI identifies the following
alternatives to Skill Based Pay:
Job Rotation: By merely having employees do other jobs periodically, the
organization can be sure that more than one person knows the job. Psychological studies have
shown this form of job enrichment increases employee's interest in the job even if no extra pay
is involved.
Certification/Training Incentives: Employees completing approved internal or
external training programs might be given cash bonuses or other recognition awards (like the
"Mr. Goodwrench" program) to recognize their increased value. These are typically one-time
payments that do not increase the employees salary.
Merit Pay: If the training and flexibility is worthwhile and benefits the organization, it
is possible to use a traditional merit pay approach to reward the employee's for their increased
value.
Promotions: By developing a career ladder that allows employees to be promoted to
higher levels based on the number of skills they have and their performance on the job, the
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concepts of a skill based pay program can be incorporated into a traditional salary program
through the definition of the various job levels.
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OBJECTIVES OF THE STUDY
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OBJECTIVE OF THE STUDY
1. To Analysis the impact of various motivational tools on employees of communication
with special reference to Vodafone Communication.
2. To study various factors which motivate employees in Vodafone Communication.
3. To learn the employee’s satisfaction on the interpersonal relationship exists in the
organization.
4. To provide the practical suggestion for the improvement of organization’s
performance.
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SCOPE & IMPORTANCE
SCOPE & IMPORTANCE
To know the behaviour of the employee in the service sector.
What are the expectations of the employee in the service sector.
Why the attrition rate is increasing.
What are the factors forcing the employees to leave the organisation/service
sector.
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32
COMPANY PROFILE
COMPANY PROFILE
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Introduction:
Vodafone is a mobile network operator headquartered in Berkshire, England, UK. It is
the largest mobile telecommunications network company in the world by turnover and
has a market value of about £75 billion (August 2008). Vodafone currently has operations
in 25 countries and partner networks in a further 42 countries.
The name Vodafone comes from Vo ice da ta fone , chosen by the company to "reflect the
provision of voice and data services over mobile phones."
As of 2006 Vodafone had an estimated 260 million customers in 25 markets across 5
continents. On this measure, it is the second largest mobile telecom group in the world
behind China Mobile.
In the United States, Vodafone owns 45% of Verizon Wireless.
2.2) Mission:
Vodafone is primarily a user of technology rather than a developer of it, and this fact is
reflected in the emphasis of our work program on enabling new applications of mobile
communications, using new technology for new services, research for improving
operational efficiency and quality of our networks, and providing technology vision and
leadership that can contribute directly to business decisions.
2.3) Vision:
Our Vision is to be the world’s mobile communication leader – enriching customers’
lives, helping individuals, businesses and Communities be more connected in a mobile
world.
History:
In 1982 Racal Electronics plc's subsidiary Racal Strategic Radio Ltd. won one of two UK
cellular telephone network licenses. The network, known as Racal Vodafone was 80%
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owned by Racal, with Millicom and the Hambros Technology Trust owning 15% and 5%
respectively. Vodafone was launched on 1 January 1985. Racal Strategic Radio was
renamed Racal Telecommunications Group Limited in 1985. On 29 December 1986
Racal Electronics bought out the minority shareholders of Vodafone for GB£110 million.
In September 1988 the company was again renamed Racal Telecom and on 26 October
1988 Racal Electronics floated 20% of the company. The flotation valued Racal Telecom
at GB£1.7 billion On 16 September 1991 Racal Telecom was demerged from Racal
Electronics as Vodafone Group.
In July 1996 Vodafone acquired the two thirds of Talkland it did not already own for
£30.6 million. On 19 November 1996, in a defensive move, Vodafone purchased Peoples
Phone for £77 million, a 181 store chain whose customers were overwhelmingly using
Vodafone's network. In a similar move the company acquired the 80% of Astec
Communications that it did not own, a service provider with 21 stores.
In 1997 Vodafone introduced its Speech mark logo, as it is a quotation mark in a circle;
the O's in the Vodafone logotype are opening and closing quotation marks, suggesting
conversation.
On 29 June 1999 Vodafone completed its purchase of AirTouch Communications, Inc.
and changed its name to Vodafone Airtouch plc. Trading of the new company
commenced on 30 June 1999. To approve the merger, Vodafone sold its 17.2% stake in
E-Plus Mobilfunk. The acquisition gave Vodafone a 35% share of Mannesmann, owner
of the largest German mobile network.
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Vodafone’s original logo used until the introduction of the speech mark logo in 1998.
On 21 September 1999 Vodafone agreed to merge its U.S. wireless assets with those of
Bell Atlantic Corp to form Verizon Wireless. The merger was completed on 4 April
2000.
In November 1999 Vodafone made an unsolicited bid for Mannesmann, which was
rejected. Vodafone's interest in Mannesmann had been increased by the latter's purchase
of Orange, the UK mobile operator. Chris Gent would later say Mannesmann's move into
the UK broke a "gentleman's agreement" not to compete in each other's home territory.
The hostile takeover provoked strong protest in Germany and a "titanic struggle" which
saw Mannesmann resists Vodafone's efforts. However, on 3 February 2000 the
Mannesmann board agreed to an increased offer of £112bn, then the largest corporate
merger ever. The EU approved the merger in April 2000. The conglomerate was
subsequently broken up and all manufacturing related operations sold off.
On 28 July 2000 the Company reverted to its former name, Vodafone Group Plc. In April
2001 the first 3G voice call was made on Vodafone United Kingdom's 3G network. In
2001 the Company took over Eircell, then part of eircom in Ireland, and rebranded it as
Vodafone Ireland. It then went on to acquire Japan's third-largest mobile operator J-
Phone, which had introduced camera phones first in Japan.
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On 17 December 2001 Vodafone introduced the concept of "Partner Networks" by
signing TDC Mobil of Denmark. The new concept involved the introduction of Vodafone
international services to the local market, without the need of investment by Vodafone.
The concept would be used to extend the Vodafone brand and services into markets
where it does not have stakes in local operators. Vodafone services would be marketed
under the dual-brand scheme, where the Vodafone brand is added at the end of the local
brand. (i.e., TDC Mobil-Vodafone etc.)
In February 2002 Finland was added into the mobile community, as Radiolinja is signed
as a Partner Network. Radiolinja later changed its named to Elisa. Later that year the
Company rebranded Japan's J-sky mobile internet service as Vodafone live! and on 3
December 2002 the Vodafone brand was introduced in the Estonian market with signing
of a Partner Network Agreement with Radiolinja (Eesti). Radiolinja (Eesti) later changed
its name to Elisa.
On 7 January 2003 the Company signed a group-wide Partner agreement with mobilkom
Austria. As a result, Austria, Croatia, and Slovenia were added to the community. In
April 2003 Og Vodafone was introduced in the Icelandic market and in May 2003
Vodafone Italy (Omnitel Pronto-Italia) was rebranded Vodafone Italy. On 21 July 2003
Lithuania was added to the community, with the signing of a Partner Network agreement
with Bitė.
In February 2004 Vodafone signed a Partner Network Agreement with Luxembourg's
LuxGSM and a Partner Network Agreement with Cyta of Cyprus. Cyta agreed to rename
its mobile phone operations to Cytamobile-Vodafone. In April 2004 the Company
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purchased Singlepoint airtime provider from John Caudwell (Caudwell Group) and
approx 1.5million customers onto its base for £405million, adding sites in Stoke on Trent
(England) to existing sites in Newbury (HQ), Birmingham, Warrington and Banbury. In
November 2004 Vodafone introduced 3G services into Europe.
In June 2005 the Company increased its participation in Romania's Connex to 99% and
also bought the Czech mobile operator Oskar. On 1 July 2005 Oskar of the Czech
Republic was rebranded as Oskar-Vodafone. Later that year on 17 October 2005
Vodafone Portugal launched a revised logo, using new text designed by Dalton Maag,
and a 3D version of the Speech mark logo, but still retaining a red background and white
writing (or vice versa). Also, various operating companies started to drop the use of the
SIM card pattern in the company logo. (The rebranding of Oskar-Vodafone and Connex-
Vodafone also does not use the SIM card pattern.) A custom typeface by Dalton Maag
(based on their font family InterFace) formed part of the new identity.
On 28 October 2005 Connex in Romania was rebranded as Connex-Vodafone and on 31
October 2005 the Company reached an agreement to sell Vodafone Sweden to Telenor
for approximately €1 billion. After the sale, Vodafone Sweden became a Partner
Network. In December 2005 Vodafone won an auction to buy Turkey's second-largest
mobile phone company, Telsim, for $4.5 billion. In December 2005 Vodafone Spain
became the second member of the group to adopt the revised logo: it was phased in over
the following six months in other countries.
In 2006 the Company rebranded its Stoke-on-Trent site as Stoke Premier Centre, a centre
of expertise for the company dealing with Customer Care for its higher value customers,
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technical support, sales and credit control. All cancellations and upgrades started to be
dealt with by this call centre. On 5 January 2006 Vodafone announced the completion of
the sale of Vodafone Sweden to Telenor. On February 2006 the Company closed its
Birmingham Call Centre. In 1 February 2006 Oskar Vodafone became
Vodafone Czech Republic, adopting the revised logo and on 22 February 2006 the
Company announced that it was extending its footprint to Bulgaria with the signing of
Partner Network Agreement with Mobiltel, which is part of mobilkom Austria group.
On 12 March 2006 former chief, Sir Christopher Gent, who was appointed the honorary
post Chairman for Life in 2003, quits following rumours of boardroom rifts. In April
2006 the Company announced that it has signed an extension to its Partner Network
Agreement with BITE Group, enabling its Latvian subsidiary "BITE Latvija" to become
the latest member of Vodafone's global partner community. Also in April 2006 Vodafone
Sweden changed its name to Telenor Sverige AB and Connex-Vodafone became
Vodafone Romania, also adopting the new logo. On 30 May 2006 Vodafone announced
the biggest loss in British corporate history (£14.9 billion) and plans to cut 400 jobs; it
reported one-off costs of £23.5 billion due to the revaluation of its Mannesmann
subsidiary. On 24 July 2006 the respected head of Vodafone Europe, Bill Morrow, quit
unexpectedly and on 25 August 2006 the Company announced the sale of its 25% stake
in Belgium's Proximus for €2 billion. After the deal, Proximus was still part of the
community as a Partner Network. On 5 October 2006 Vodafone announced the first
single brand partnership with Og Vodafone which would operate under the name
Vodafone Iceland and on 19 December 2006 the Company announced the sale of its 25%
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stake in Switzerland's Swisscom for CHF4.25 billion (£1.8 billion). After the deal,
Swisscom would still be part of the community as a Partner Network. Finally in
December 2006 the Company completed the acquisition of Aspective, an enterprise
applications systems integrator in the UK, signaling Vodafone's intent to grow a
significant presence and revenues in the ICT marketplace.
Early in January 2007 Telsim in Turkey adopted Vodafone dual branding as Telsim
Vodafone and on 1 April 2007 Telsim Vodafone Turkey dropped its original brand and
became Vodafone Turkey. On 1 May 2007 Vodafone added Jersey and Guernsey to the
community, as Airtel was signed as Partner Network in both crown dependencies. In June
2007 the Vodafone live! Mobile Internet portal in the UK was relaunched. Front page
was now charged for and previously "bundled" data allowance was removed from
existing contract terms. All users were given access to the "full" web rather than a Walled
Garden and Vodafone became the first mobile network to focus an entire media
campaign on its newly launched mobile Internet portal in the UK. On 1 August 2007
Vodafone Portugal launched Vodafone Messenger, a service with Windows Live
Messenger and Yahoo! Messenger.
On 17 April 2008 Vodafone extended its footprint to Serbia as VIP mobile was added to
the community as a Partner Network and on 20 May 2008 the Company added VIP
Operator as a Partner Network thereby extending the global footprint to Macedonia. In
May 2008 Kall of the Faroe Islands rebranded as Vodafone Faroe Islands.
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On 30 October 2008, the company announced a strategic, non-equity partnership with
MTS group of Russia. The agreement adds Russia, Armenia, Turkmenistan, Ukraine, and
Uzbekistan to the group footprint.
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PRODUCT PROFILE
VODAFONE ESSAR
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Introduction:
Vodafone Essar, previously Hutchison Essar is a cellular operator in India that covers 21
telecom circles in India. Despite the official name being Vodafone Essar, its products are
simply branded Vodafone. It offers both prepaid and postpaid GSM cellular phone
coverage throughout India and is especially strong in the major metros.
Vodafone Essar provides 2G services based on 900 MHz and 1800 MHz digital GSM
technology, offering voice and data services in 22 of the country's 23 licence areas.
Ownership:
Vodafone Essar is owned by Vodafone 52%, Essar Group 33%, and other Indian
nationals, 15%.
On February 11, 2007, Vodafone agreed to acquire the controlling interest of 67% held
by Li Ka Shing Holdings in Hutch-Essar for US$11.1 billion, pipping Reliance
Communications, Hinduja Group, and Essar Group, which is the owner of the remaining
33%. The whole company was valued at USD 18.8 billion. The transaction closed on
May 8, 2007.
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Previous brands:
In December 2006, Hutch Essar re-launched the "Hutch" brand nationwide, consolidating
its services under a single identity. The Company entered into agreement with NTT
DoCoMo to launch i-mode mobile Internet service in India during 2007.
The company used to be named Hutchison Essar, reflecting the name of its previous
owner, Hutchison. However, the brand was marketed as Hutch. After getting the
necessary government approvals with regards to the acquisition of a majority by the
Vodafone Group, the company was rebranded as Vodafone Essar. The marketing brand
was officially changed to Vodafone on 20 September 2007.
On September 20, 2007 Hutch becomes Vodafone in one of the biggest brand transition
exercises in recent times.
Vodafone Essar is spending somewhere in the region of Rs 250 crores on this high-
profile transition being unveiled today. Along with the transition, cheap cell phones have
been launched in the Indian market under the Vodafone brand. There are plans to launch
co-branded handsets sourced from global vendors as well.
A popular daily quoted a Vodafone Essar director as saying that "the objective is to
leverage Vodafone Group's global scale in bringing millions of low-cost handsets from
across-the-world into India."
While there is no revealing the prices of the low-cost Vodafone handsets, the industry is
abuzz that prices might start at Rs 666, undercutting Reliance Communications' much-
hyped 'Rang Barse' with cheap handsets beginning at Rs 777.46
Meanwhile, Vodafone Essar sources said there would be no discounts or subsidized
handset offers -- rather handset-bundled schemes for customers.
Incidentally, China's ZTE, which is looking to set-up a manufacturing unit in the country,
is expected to provide several Vodafone handsets in India. Earlier this year, Vodafone
penned a global low-cost handset procurement deal with ZTE
SWOT Analysis
SWOT Analysis is a strategic planning method used to evaluate the Strengths,
Weaknesses, Opportunities, and Threats involved in a project or in a business venture. It
involves specifying the objective of the business venture or project and identifying the
internal and external factors that are favorable and unfavorable to achieving that
objective. The technique is credited to Albert Humphrey, who led a research project at
Stanford University in the 1960s and 1970s using data from Fortune 500 companies.
Internal
Strengths Weaknesses
Leadership Position
Global Brand Strength
High Geographical reach
Centralized Control – Low Flexibility
High Consumer churn rates
External
Opportunities Threats
Expanding marketing boundaries
Growth through 3G
Strategic Alliances
Increased Competition
Market saturation in Europe
Emergencies of Low cost Brands
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SWOT ANALYSIS OF VODAFONE
Strengths:
The main strength of Vodafone within the telecommunications market lies in its
brand image and recognition. Vodafone, having established a global presence and having
invested highly in marketing a differentiated image by promoting a Vodafone life style,
currently enjoys a differentiating advantage that, if exploited properly, can offer a lead in
competition. The presence of Vodafone in numerous countries within Europe as well as
in all part of the world enhances this image. It allows customers to travel and enjoy easily
the services of their home country operator. In the few countries that Vodafone is not
physically present (e.g. Norway) it has well established strategic alliances which allow
for a better service of mobile clients.
Weaknesses:
The expansion of Vodafone has been completed at the expense of direct control of
its operations. The company grew through a process of acquisitions of national
telecommunications companies (e.g. the acquisition of the third biggest Czech mobile
phone operator, Cesky mobile) rather than organic growth. This increased its subscribers’
base quickly, offering direct market knowledge and immediate additions of customer
bases at the expense of direct effective control of the subsidiaries. At the same time
though, it implicitly imposed a centralized operational structure for the group, nominating
the UK headquarters as the leading business unit running a much centralised marketing
and handset procurement at group level. This has resulted in the neglect of local markets
and local differences, allowing market share to be gained by smaller local competitors.
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Due to the highly saturated Western European market this has resulted in an increase in
the price elasticity of demand, with consumers becoming continuously price oriented.
This has resulted in high customer churn rates reaching the level of 32.8% in the UK
compared to O2’s 24%.
Opportunities:
The telecommunications market, even though highly saturated in some regions
offers great potential due to the ageing population and the sophistication of the
consumers. It offers great opportunities through a careful market segmentation and
exploitation of particular profitable segments. Different strategies should be pursued –
simple phones and simplified pricing plans to the ageing population and more updated,
sophisticated solutions for younger generations. The expanding Boundaries of the market
could provide further opportunities by allowing Vodafone to enter more aggressively into
fixed‐line service and to better enjoy the benefits of its high investment in 3G technology.
Moreover the company has undertaken its first steps in establishing strategic alliances to
develop customized solutions for end‐users: Vodafone recently announced two new
partnerships, one with supermarket group ASDA to launch an ASDA branded mobile
service in the UK, and another with electrical retailer DSG International to provide
mobile solutions to small businesses. This could further be enhanced to avoid being a
late‐entrant in this new method of distribution which offers access to a wide potential
customer base.
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Threats:
The European part of Vodafone’s market is characterized by existing high levels
of competition. Major brands such as O2 and T‐Mobile are exploiting the price sensitivity
of customers and in this way they are building a stronger image and presence in the
market. Indirect competition is also increasing further, through the presence of Skype and
other related (not only voice) Internet‐based services. This combined with the upcoming
European legislative measures is expected to limit further the tariffs for the network
providers imposing further need for price cuts which could harm the bottom line
profitability of the company.
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EMPLOYEE MOTIVATION AT VODAFONE COMMUNICATION
Staff Recognitation Schemes
Organizations have different structural devices to motivate their employees. Various Staff
motivation schemes have been established in the civil service and they are briefly
summarized below for your reference. You may like to make use of these schemes, in
addition to your own initiatives, to achieve your goal of enhancing staff motivation.
I. Staff Motivation Scheme
The objectives of the Staff Motivation Scheme are to promote staff awareness of
departments' performance pledges, enhance commitment to them and to motivate staff
towards continuous improvement of service in pursuance of the spirit of serving the
community. The award is in kind and its maximum value is Rs. 1,000 for an individual
and, for a team , Rs. 1,000 per team member.
II. Staff Suggestions Scheme
It aims to encourage staff to make suggestions for improving the efficiency of the civil
service. Award ranges from a certificate of commendation to a cash award of up to
Rs15,000.
III. Customer Service Award Scheme
The objectives of the scheme are to award staff who provide good customer service; to
motivate staff to enhance their efforts in providing good customer service; and to further
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promote a customer focused service culture in the civil service. Awards for the winners
include trophies, souvenir pins and gift coupons.
IV. Staff Recognition/Performance Incentive Schemes in Trading Fund
Departments
Trading Fund departments have developed performance incentive schemes. The winners
receive an award in kind in recognition of improvement in performance as measured by a
set of balanced, objective and pre-determined indicators reflecting efficiency,
effectiveness and standard of service.
V. Long Service Travel Award Scheme
The scheme aims to reward long-serving officers with consistent good performance. It
operates on the basis of granting travel allowance to non-directorate local officers, and
their spouses, selected on the basis of length of service and performance.
VI. Long and Meritorious Service Award Scheme
Civilian staffs with long and meritorious service are granted an award on their 20th, 30th
and 40th year of service, as follows -
a 20 Years' Meritorious Service Certificate; or
a 30 Years' Meritorious Service Certificate plus a commemorative gold pin; or
a 40 Years' Meritorious Service Certificate photo-engraved on a metal plate with a
wooden stand.
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VII. Commendation Letters
Commendation letters may be issued to officers who have made a substantial contribution
towards enhancing the efficiency or the image of their bureau/department; or performed
an exceptionally meritorious act warranting special recognition.
Performance Management System
Motivation is in many ways the key to the success of Human Resource Management.
Managers should aim to increase performance through self-motivation, rather than having
to use external motivation (i.e. the imposition of rules and continual improvements to
conditions of service) to bring about higher standards of performance.
Motivation should be built into the performance management system where supervisors
will have the opportunity to communicate and motivate staff on their performances.
Supervisors may adopt the following ways to motivate their staff:
Discuss with staff from time to time especially at the beginning of the appraisal
period and during performance review meetings, what their work goals and
targets are and how they should be accomplished.
Provide feedback on what staff have done well and where improvement could be
made.
Encourage staff to express their views on their performance.
Assess the staff's performance throughout the appraisal period rather than
focusing on periods where their performance was particularly good or bad.
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Discuss ways to empower staff.
Consider training and/or development needs of staff and work out for them
corresponding training and development plans to raise the capability of staff for
performance improvement.
Employee Motivation: Non-Cash Incentives
Employees need motivation – to stay, to work and to be efficient. Without that extra
scoop, organisations may find themselves in an unenviable position where they are
placed so well in the market but have lost their vital resources to drive them forward or to
retain their market share.
While employee motivation is a wide subject, let’s focus on Incentives as a way of
keeping folks happy. Incentives may be cash or non-cash. Cash incentives are those given
to employees, which involve monetary compensation
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or rewards for the exemplary work done to the company’s cause. Non-cash incentives are
other non-monetary forms of recognition of the staffs’ contributions towards
organisational improvements and making them perform better towards enhancing the
bottom-line. Employee Recognition Schemes form a vital part of the non-cash incentive
programme.
There is a subtle difference between Non-cash incentives and “Employee Recognition
Schemes”. Non-cash incentives are proactive and forward-looking, in that they set a
target and desired level of performance standard and measure actual performance to
judge if an employee is eligible for the incentives. In essence, the performance level and
standards are spelt out for the employee to aim for and work towards.
Employee Recognition Schemes, on the other hand, go by past performances to decide on
eligibility for the incentive. This scheme may not specifically mention the target level of
performance or the incentive that would be awarded for performance. This is more
informal and selection may be subjective. For instance, schemes like “Employee of the
Month” or “Rising Star of the year” may be announced at the beginning of the year, but
the awards may be decided based on actual performance of the staff in question.
Non-cash incentives could involve awarding of points based on performance, special
merchandise given away, travel allowances and reimbursements, retail vouchers that
could be exchanged for merchandise or activities, trips and events.
The rationale behind non-cash incentives is that, employees may not always see cash
incentives as the best motivation. While monetary compensation may be good enough to
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retain employees in the organisation, it is the non-cash incentives that make the employee
put in that extra effort and strive towards achieving and surpassing the goals set by the
management. Whatever the relative effectiveness of cash and non-cash incentives, it is
clear that organisations can not do away with non-cash incentives that may satisfy some
of the innate needs of employees, as in terms of social activities or recognitions by peers.
How to Motivate Employees during a Recession
Instead of ignoring the pink elephant in the room, it’s vital to take initiative and
implement strategy to keep your employees motivated towards a common goal.
How to Motivate Employees During a Recession
Without communicating effectively, obtaining creative contribution, empowering your
staff and sourcing leadership to the right individuals, you could be headed towards a
downward spiral.
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The first and most necessary step is communication. During a recession rumors may swirl
causing a level of panic and unease. Uncertainty sits in which propels employees to fear
for their jobs, to fear for demotion or in a worst case scenario, that the company will
crumble.
Informing employees of the situation at hand and explaining the steps the company is
taking to combat market conditions will provide stability in the workplace. An example
points to a recent commercial that was created by GM. The commercial addressed the
situation GM is facing and explained that there was a time that their prior business model,
which carried several brands, made sense.
Now the focus is on fewer brands that highlight efficiency and economies of scale. They
admitted that their pricing structure could no longer compete. They admitted that
restructuring was the only way they could survive. They basically admitted that they
FAILED and are now having to implement a change in fundamental business strategy to
compete once again. This was a very straight forward approach that not only addressed
the condition of the auto industry but also gave a glimpse into GM’s direction and
integrity.
During harsh economic times, employees will often feel that the company failed them or
failed business objectives. When the company needs to shift its focus and change
business strategy during a recession it can be a difficult transition and employees may
feel they are in the dark. It’s imperative that employees are made a central cog in the
process of refocusing resources and objectives.
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Not only does this provide for additional perspective from an array of minds but it also
empowers employees to feel that their opinion and ideas are worthy of consideration and
perhaps integration. Empowerment is an excellent source of motivation and motivation is
ultimately a central force in driving change in the workplace.
When company layoffs have employees chewing off their fingernails in anticipation of
the big axe, it’s crucial to inform the remaining employees that they remain for a reason.
Only the strongest survive and hearing that the company feels that they are a core
element in rebuilding the companies foundation towards success will also empower the
employees; this is called recognition. Recognizing employees’ contributions and their
place in the workforce reinforces their position and motivates them to continue forward
despite the doom and gloom references.
Lastly, it is essential to identify your cream of the crop. This group can act as your mouth
piece, prophesizing the company position and agenda. A disconnect can exist between
management and staff so identifying the leaders among the staff and empowering them
through additional duties and responsibilities can have a trickle down effect that changes
the culture from dismal to positive.
Although recessions often result in a focus on numbers and expense reduction, it’s
imperative to implement strategy to keep your employees motivated and excited for the
brighter days ahead. After all, who wouldn’t want to be accredited for helping turn the
company around?
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TOPIC DETAIL
TOPIC DETAIL
Employers have a need to keep employees from leaving and going to work for other
companies. This is true because of the great costs associated with hiring and retraining
new employees. The best way to retain employees is by providing them with job
satisfaction and opportunities for advancement in their careers. The saying, good help is
hard to find, is even truer these days than ever before because the job market is becoming
increasingly tight (Eskildesen 2000, Hammer 2000).
Eskildsen and Nussler (2000) suggest that employers are fighting to get talented
employees in order to maintain a prosperous business. Ray Hammer (2000) as well as
many other researchers/authors agree. Mark Parrott (2000) believes that, there is a
straight line between employee satisfaction and customer satisfaction. He believes that
today’s employees pose a complete new set of challenges, especially when businesses are
forced to confront one of the tightest labor markets in decades. Therefore, it is getting
more difficult to retain employees, as the pool of talent is becoming more-andmore
tapped-out. The research below, which focuses primarily on employee retention through
job satisfaction, supports this contention.
Employees that are satisfied and happy in with their jobs are more dedicated to doing a
good job and taking care of customers that sustain the operation (Hammer 2000; Marini
2000; Denton 2000). Job satisfaction is something that working people seek and a key
element of employee retention.
Every person will have his or her own definition of what it means to be satisfied with a
job. Studies show that employees who are satisfied with their jobs are more productive,
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creative and be more likely to be retained by the company (Eskildsen & Dahlgaard 2000;
Kim 2000; Kirby 2000; Lee 2000; Money 2000; Wagner 2000).
Research has shown that there may be many environmental features that can be created
and maintained to give employees job satisfaction. Pay and benefits, communication
(Brewer 2000; Employee 2000; Money 2000; Wagner 2000), motivation, justice (Kirby
2000; Tristram 2000) and leisure time (Rabbit 2000; Wilson 2000) all seem to play a part
as to whether employees are satisfied with their jobs, according to studies.
The second goal of this research is to help readers find his or her definition of job
satisfaction. I believe that this compilation of data will educate and inform the working
masses to see the benefits of creating workplaces that derive more job satisfaction,
retaining employees and in turn, keeping our economy healthy and our society happier.
There is a definite need to analyze the elements of employee retention through job
satisfaction. Considering the positive effects on the economy that can be derived from
satisfied-happy employees. Promotional materials for presentation can be created,
highlighting these recommendations for employee satisfaction practices for both
employers and employees.
NATURE OF THE STUDY
This study will look at employee retention. A random sample of 100 people from varying
occupations in non-management positions will be surveyed to learn about their
perceptions about job satisfaction as it relates to employee retention. Results will be
collected, analyzed and descriptive data will be presented. A review of the literature on
employee retention will be conducted. The study will include recommendations for better
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practices aimed at identification of effective occupational strategies to aid in retaining
employees through job satisfaction.
ASSUMPTIONS
The following are assumptions upon which this study is based:
1. Employee retention and job satisfaction are linked.
2. Identification of employee perceptions about job satisfaction will offer a basis for
identifying recommendations for practice, which will contribute, to job satisfaction.
3. The use of a questionnaire to determine employee satisfaction perceptions will result in
honest and useful feedback for purpose of analysis.
QUESTIONS TO BE ANSWERED
The study will attempt to answer the following questions:
1. What are the connections between job satisfaction and employee retentions?
2. What are the primary characteristics in a work-environment that will derive employee
satisfaction?
METHODOLOGY
These steps will be followed to answer the above questions:
1. Review the literature on job satisfaction and employee retention.
2. Based on the information obtained from the review of literature, a questionnaire will be
developed to identify employee perceptions about job satisfaction and employee
retention.
3. The sample population of workers will come from varying fields of occupations, with
the exception of management positions.
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4. The questionnaire developed for use in this study will be analyzed and fieldtested for
validity using workers from a single occupation or trade, in nonmanagement positions,
who are not participating in the study. Prior to finalization of the questionnaire,
appropriate revisions will be made.
5. The information gathered by questionnaire will be sorted and analyzed and categorized
and appropriate inferential statistics will be generated.
6. Recommendation for practice will be derived from the analysis of the data collected.
THE FINAL PROJECT
Results from this study will be printed in report format to be published in professional
magazines. Materials will be produced for a seminar on employee retention to
professional organizations.
PLAN FOR REVIEWING THE LITERATURE
The review of literature will tentatively include: job satisfaction, career development and
benefits, leisure time, communication and environmental factors. If needed, additional
elements of employee retention may be considered. Computer and catalog searches for
“job satisfaction and employee retention,” will be covered for recommendations within
the past five years. The King County Library (KCLS.org) and Chapman University
Library Network System will be used as well.
Motivation therefore, though is a dominant intrinsic urge in an individual yet the leader
of the team can guide the ways and means by which the followers can satisfy their needs.
It is obviously difficult to motivate an individual since he is guided by expressed
motivation or unconscious motivation and multiplicity of motivational sequences. It is
easy to introduce a team motivation or group motivation where the individual
63
idiosyncrasy looses importance and the group goal becomes the target. It is then not
motivation per se but a group morale - an “espirit de corps” i.e. a sense of group activity
with desire for high achievement of the group goal where an individual can comfortably
ignore his personal goals or needs. Such morale is mostly psychological in nature and not
physiological.
A leader’s job is, therefore, to inculcate the extirpation of the group morale if he proposes
to achieve the target through his follows where equal weight is given to performance of
task and welfare of the followers, a stage of suspended pendulum or middle of the road
method.
Motivation is the will to work. This comes from the enjoyment of the work itself and/or
from the desire to achieve certain goals e.g. earn more money or achieve promotion.
Managers spend considerable time working out how best to motivate their workers and
there are a number of different opinions about how this can be best done.
A well-motivated workforce can provide the following advantages:
Better productivity (amount produced per employee). This can lead to lower unit
costs of production and so enable a firm to sell its product at a lower price
Lower levels of absenteeism as the employees are content with their working
lives
Lower levels of staff turnover (the number of employees leaving the business).
This can lead to lower training and recruitment costs
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Improved industrial relations with trade unions
Contented workers give the firm a good reputation as an employer so making it
easier to recruit the best workers
Motivated employees are likely to improve product quality or the customer
service associated with a product
The job of a manager in the workplace is to get things done through employees. To do
this the manager should be able to motivate employees. But that's easier said than done!
Motivation practice and theory are difficult subjects, touching on several disciplines.
In spite of enormous research, basic as well as applied, the subject of motivation is not
clearly understood and more often than not poorly practiced. To understand motivation
one must understand human nature itself. And there lies the problem!
65
Human nature can be very simple, yet very complex too. An understanding and
appreciation of this is a prerequisite to effective employee motivation in the workplace
and therefore effective management and leadership.
Employee motivation principles?
Quite apart from the benefit and moral value of an altruistic approach to treating
colleagues as human beings and respecting human dignity in all its forms, research and
observations show that well motivated employees are more productive and creative. The
inverse also holds true. The schematic below indicates the potential contribution the
practical application of the principles this paper has on reducing work content in the
organization.
Total work content Total ineffective time
A B C D
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BASIC
Work content of product or service
Work content
ADDED
By defect in design or specification
Work content
ADDED
Inefficient method of manufacture of operation
Ineffective time
Due to fault of management
Ineffective time
Due to fault of workers
Motivation is the key to performance improvement
There is an old saying you can take a horse to the water but you cannot force it to drink; it
will drink only if it's thirsty - so with people. They will do what they want to do or
otherwise motivated to do. Whether it is to excel on the workshop floor or in the 'ivory
tower' they must be motivated or driven to it, either by themselves or through external
stimulus.
Are they born with the self-motivation or drive? Yes and no. If no, they can be motivated,
for motivation is a skill which can and must be learnt. This is essential for any business to
survive and succeed.
Performance is considered to be a function of ability and motivation, thus:
Job performance =f(ability)(motivation)
Ability in turn depends on education, experience and training and its improvement is a
slow and long process. On the other hand motivation can be improved quickly. There are
many options and an uninitiated manager may not even know where to start. As a
guideline, there are broadly seven strategies for motivation.
Positive reinforcement / high expectations
67
Effective discipline and punishment
Treating people fairly
Satisfying employees needs
Setting work related goals
Restructuring jobs
Base rewards on job performance
These are the basic strategies, though the mix in the final 'recipe' will vary from
workplace situation to situation. Essentially, there is a gap between an individuals actual
state and some desired state and the manager tries to reduce this gap.
Motivation is, in effect, a means to reduce and manipulate this gap. It is inducing others
in a specific way towards goals specifically stated by the motivator. Naturally, these
goals as also the motivation system must conform to the corporate policy of the
organization. The motivational system must be tailored to the situation and to the
organization.
In one of the most elaborate studies on employee motivation, involving 31,000 men and
13,000 women, the Minneapolis Gas Company sought to determine what their potential
employees desire most from a job. This study was carried out during a 20 year period
from 1945 to 1965 and was quite revealing. The ratings for the various factors differed
only slightly between men and women, but both groups considered security as the highest
rated factor. The next three factors were;
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advancement
type of work
company - proud to work for
Surprisingly, factors such as pay, benefits and working conditions were given a low
rating by both groups. So after all, and contrary to common belief, money is not the
prime motivator. (Though this should not be regarded as a signal to reward employees
poorly or unfairly.)
69
Application of employee motivation theory to the workplace
Job satisfaction - is there a trend?
This is the title of a study carried out by the US Department of Labor among 1500
workers, who were asked to rate the job factors, from a list of 23, which they considered
important starting from the most important factor.
Their findings (Sanzotta (1977)) are contained in the table below.
Job Satisfaction Findings
White-collar workers Blue-collar workers
A. Interesting work A. Good pay
B. Opportunities for development B. Enough help and resources
C. Enough information C. Job security
D. Enough authority D. Enough information
E. Enough help and resources E. Interesting work
F. Friendly, helpful coworkers F. Friendly, helpful co-workers
G. See results of own efforts G.Clearly defined responsibilities
H. Competent supervision H.See results of own work
I. Clearly defined responsibilities I. Enough Authority
J. Good pay J. Competent supervision
It is interesting that out of the 23 job factors listed for the survey, yet with the exception
of two items (white-collar workers' choice (B) and blue-collar workers' choice (C))
groups selected the same top ten factors, although with different rankings. It is significant
70
that good pay was considered as the most important factor by the blue-collar workers, but
it ranked as the least important for white-collar workers.
Individualize motivation policies
It is well known that individual behavior is intensely personal and unique, yet companies
seek to use the same policies to motivate everyone. This is mainly for convenience and
ease compared to catering for individual oddities (Lindstone (1978)). 'Tailoring' the
policy to the needs of each individual is difficult but is far more effective and can pay
handsome dividends. Fairness, decisiveness, giving praise and constructive criticism can
be more effective than money in the matter of motivation.
Leadership is considered synonymous (Tack (1979)) with motivation, and the best form
of leadership is designated as SAL, situation adaptable leadership. In this style of
leadership, one is never surprised or shocked, leadership must begin with the chief
executive and it is more a matter of adaptation than of imparting knowledge. Ultimately,
it is the leadership quality which leads to the success of a company through team building
and motivating its people.
'The one-minute manager'
A contemporary bestseller (Blanchard & Johnson (1983)) aimed at managers who seek to
make star performers of their subordinates. To start with, the manager sets a goal, e.g.
one page read in one minute, and it is seen to be achieved by 'one minute' of praising or
reprimand as the case may be. But to be effective, these must be given (a) promptly, (b)
in specific terms, and the behavior, rather than the person, should be praised or
reprimanded.
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Tips for Motivating your Team During a Recession
The recession is viral and it has spread like wildfire. Few businesses have escaped the
effects of the ongoing economic recession. The downturn has made it difficult to manage
morale and take care of employee needs. Workplace motivation has plummeted, and
things are only threatening to get worse. It is important to keep your team motivated
during this recession. Here are six great tips for motivating your team in the face of
adversity.
Be Honest
Honesty is the best policy when it comes to motivating your team. Employees will be
questioning how their jobs and lives will be impacted by the recession. Don’t sugarcoat
the information that you provide. Deliver clear messages and be honest about what is
going on in your business.
Stop Gossip in its Tracks
Gossip is the number one killer of workplace motivation. Rumors about layoffs,
cutbacks, or pay freezes can set your employees’ minds in motion. When you hear
rumors floating around the workplace, squelch them as quickly as possible. If something
becomes pervasive and problematic, you might have to hold a special meeting to boost
Don’t Let Fear Cause Paralysis
Whenever there is a crisis of any kind, fear is often times a factor that gets teams off
track. With the many threats that recession poses, your employees will be extremely
susceptible to fear. Don’t let fear have a negative impact on team motivation. Exercise
control over the things which can actually be controlled, and dismiss worries about those
which cannot.
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Recognize and Reward Accomplishments
Motivating your team with recognition and rewards for accomplishments is the most
effective means of keeping things moving during this recession. While there may not be
money in the budget for tangible rewards, a certificate of recognition, thank you note, or
pat on the back goes a long way when it comes to workplace motivation.
Implementing a combination of these strategies can enhance team motivation in your
workplace. The most important thing to remember during this recession is that people and
relationships need to be managed with care while it is upon us. Keep the lines of
communication between you and your employees open so that you can be successful in
stopping the spread of fear and encouraging teamwork. While you cannot control the
economy, you can exercise some influence over workplace motivation.
Business owners need to ensure that their employees are productive and eager to do the
best job possible--this is especially true during today’s challenging economic times. Yet
every industry and every organization has people who simply do not produce work in the
quality that they are capable of providing. That can create costly problems for a manager.
Leaders often miss the mark when trying to ramp up employee productivity. Let’s debunk
some motivational myths.
1. Money motivates. Of course, if you pay some enough money, they will do almost any
job. And when you give bonuses to reward past behavior, the recipients are usually very
happy (unless they were expecting a larger bonus). The staff does a better job following
the glow that accompanies added money.
However, studies find this happiness is short-lived. Within six months, individuals have
difficulty recalling that bonus and it does not seem to have the same impact it did within
73
the first few weeks or months of receiving it. That’s because money, in and of itself, will
not continuously motivate individuals.
It’s the recognition and status that are the true motivators for the increased output. Take
for example, the high tech salesperson who sold more product than anyone else in the
department. The boss rewards that employee with a bonus. Everyone knows who the
bonus recipient is, and she is proud of her accomplishments--the high earner gains
recognition from colleagues and clients. Recognition and status are two key sources of
motivation. So while money can serve to motivate, its effects are often short term at best.
What should you do? Set up situations that allow the employee to feel a sense of
accomplishment. Employees respond most to opportunities for achievement, recognition,
growth, job enrichment and job enlargement.
2. Just keep them happy. Employers often go to great lengths to keep their employees
happy--some offer game rooms; others have phones with free long-distance access. The
theory here is that if we can keep the employees happy during their break time, it will
translate into increased motivation and productivity. Unfortunately, this is not very
effective.
Employees actually enjoy their break times, look forward to them, and may even linger
during them. But the satisfaction found during the break times does not necessarily
translate into better or higher quality job performance.
3. Ignore Conflict. Few people, especially in the professional world, enjoy conflict. Most
bosses and employees alike would rather “let something go” or “sweep it under the rug”
than make an issue out of it. Too many managers are concerned about being liked that
74
they don’t fulfill their responsibilities to catch problems quickly. Not addressing an
employee’s problematic behavior doesn’t help any one.
4. Some people just aren’t motivated. This is a very common misconception. Everyone
is motivated--but for different reasons. Walking through the offices, the manager may see
someone playing computer games or sending personal email, this could be seen as the
individual is not motivated because he’s not attending to the job tasks. But that may not
be entirely correct. At that moment, the “aimless” employee is motivated, perhaps even
highly motivated. But that motivation is not work directed, nor is it productive for the
company.
The challenge here is for the leader to discover what actually motivates that employee
and match up those elements with the worker’s job description. (This point also assumes
that the employee is worth keeping.)
5. Smart employees don’t need to be motivated. Being “smart” carries an important
cachet in American society. Everyone wants to have smart people working for them
because these people are quick to learn, adapt and produce. Employers may erroneously
believe that they don’t need to spend much time or attention on these staffers.
Unfortunately, intelligence and self-motivation do not necessarily go hand-in-hand. There
are plenty of smart employees who haven’t been able to find out just what motivates
them personally; they tend to get bored or frustrated easily. The result is a lack of interest
and a lack of productivity.
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So what does an employer do? A smart employer creates the atmosphere that allows and
encourages the employee to be motivated. That employer also gets to know what his staff
is interested in doing to advance company goals and what parts of the job description are
interesting or exciting verses boring.
10 Quick Ways to Motivate
1. Praise the employee for a job well done--or even partially well done.
2. If an employee is bored, involve that individual in a discussion about ways to
create a more satisfying career path, including promotions based on concrete
outcomes.
3. State your clear expectations for task accomplishment.
4. Ensure that the job description involves a variety of tasks.
5. Ensure that the employee sees that what she’s doing impacts the whole process or
task that others will also be part of.
6. Make sure that the employee feels that what he/she is doing is meaningful.
7. Provide feedback along the way, pointing out both positive and negative aspects.
8. Allow for an appropriate amount of autonomy for the employee based on previous
and anticipated accomplishment.
9. Increase the depth and breadth of what the employee is currently doing.
10. Provide the employee with adequate opportunity to succeed.
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Fig (2.1)
The above five basic needs are regarded as striving needs which make a person do things.
The first model indicates the ranking of different needs. The second is more helpful in
indicating how the satisfaction of the higher needs is based on the satisfaction of lower
needs. It also shows how the number of person who has experienced the fulfillment of the
higher needs gradually tapers off.
Physiological or Body Needs: - The individual move up the ladder responding first to
the physiological needs for nourishment, clothing and shelter. These physical needs must
be equated with pay rate, pay practices and to an extent with physical condition of the
job.
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Self- Actualization
Ego Needs
Social Needs
Safety Needs
Physiological Needs
Safety: - The next in order of needs is safety needs, the need to be free from danger,
either from other people or from environment. The individual want to assured, once his
bodily needs are satisfied, that they are secure and will continue to be satisfied for
foreseeable feature. The safety needs may take the form of job security, security against
disease, misfortune, old age etc as also against industrial injury. Such needs are generally
met by safety laws, measure of social security, protective labor laws and collective
agreements.
Social needs: - Going up the scale of needs the individual feels the desire to work in a
cohesive group and develop a sense of belonging and identification with a group. He
feels the need to love and be loved and the need to belong and be identified with a group.
In a large organization it is not easy to build up social relations. However close
relationship can be built up with at least some fellow workers. Every employee wants too
feel that he is wanted or accepted and that he is not an alien facing a hostile group.
Ego or Esteem Needs: - These needs are reflected in our desire for status and
recognition, respect and prestige in the work group or work place such as is conferred by
the recognition of ones merit by promotion, by participation in management and by
fulfillment of workers urge for self expression. Some of the needs relate to ones esteem
e.g.; need for achievement, self confidence, knowledge, competence etc. On the job, this
means praise for a job but more important it means a feeling by employee that at all times
he has the respect of his supervisor as a person and as a contributor to the organizational
goals.
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Self realization or Actualization needs: - This upper level need is one which when
satisfied provide insights to support future research regarding strategic guidance for
organization that are both providing and using reward/recognition programs makes the
employee give up the dependence on others or on the environment. He becomes growth
oriented, self oriented, directed, detached and creative. This need reflects a state defined
in terms of the extent to which an individual attains his personnel goal. This is the need
which totally lies within oneself and there is no demand from any external situation or
person.
Adams Equity Theory
Employee compares her/his job inputs outcome ratio with that of reference. If the
employee perceives inequity, she/he will act to correct the inequity: lower productivity,
reduced quality, increased absenteeism, voluntary resignation.
Vrooms Expectation Theory
Vroom’s theory is based on the belief that employee effort will lead to performance and
performance will lead to rewards (Vroom, 1964). Reward may be either positive or
negative. The more positive the reward the more likely the employee will be highly
motivated. Conversely, the more negative the reward the less likely the employee will be
motivated.
Two Factor Theory
Douglas McGregor introduced the theory with the help of two views; X assumptions are
conservative in style Assumptions are modern in style.
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X Theory
Individuals inherently dislike work.
People must be coerced or controlled to do work to achieve the objectives.
People prefer to be directed
Y Theory
People view work as being as natural as play and rest
People will exercise self direction and control towards achieving objectives they
are committed to
People learn to accept and seek responsibility.
Types of Motivation.
Intrinsic motivation occurs when people are internally motivated to do something
because it either brings them pleasure, they think it is important, or they feel that what
they are learning is morally significant.
Extrinsic motivation comes into play when a student is compelled to do something or act
a certain way because of factors external to him or her (like money or good grades)
Incentives
An incentive is something which stimulates a person towards some goal. It activates
human needs and creates the desire to work. Thus, an incentive is a means of motivation.
In organizations, increase in incentive leads to better performance and vice versa.
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Need for Incentives
Man is a wanting animal. He continues to want something or other. He is never fully
satisfied. If one need is satisfied, the other need need arises. In order to motivate the
employees, the management should try to satisfy their needs. For this purpose, both
financial and non financial incentives may be used by the management to motivate the
workers. Financial incentives or motivators are those which are associated with money.
They include wages and salaries, fringe benefits, bonus, retirement benefits etc. Non
financial motivators are those which are not associated with monetary rewards. They
include intangible incentives like ego-satisfaction, self-actualization and responsibility.
1. Consequences - Never use threats. They’ll turn people against you. But making people
aware of the negative consequences of not getting results (for everyone involved) can
have a big impact. This one is also big for self motivation. If you don’t get your act
together, will you ever get what you want?
2. Pleasure - This is the old carrot on a stick technique. Providing pleasurable rewards
creates eager and productive people.
3. Performance incentives - Appeal to people’s selfish nature. Give them the
opportunity to earn more for themselves by earning more for you.
4. Detailed instructions - If you want a specific result, give specific instructions. People
work better when they know exactly what’s expected
5. Short and long term goals - Use both short and long term goals to guide the action
process and create an overall philosophy.
6. Kindness - Get people on your side and they’ll want to help you. Piss them off and
they’ll do everything they can to screw you over.
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7. Deadlines - Many people are most productive right before a big deadline. They also
have a hard time focusing until that deadline is looming overhead. Use this to your
advantage by setting up a series of mini-deadlines building up to an end result.
8. Team Spirit - Create an environment of camaraderie. People work more effectively
when they feel like part of team — they don’t want to let others down.
9. Educate the masses. Help employees improve their professional skills by providing
on-the-job training or in-house career development. Allow them to attend workshops and
seminars related to the industry. Encourage them to attend adult education classes paid
for by the company. Employees will feel you are investing in them, and this will translate
into an improved job performance.
10. Recognize achievement - Make a point to recognize achievements one-on-one and
also in group settings. People like to see that their work isn’t being ignored.
11. Personal stake - Think about the personal stake of others. What do they need? By
understanding this you’ll be able to keep people happy and productive.
12. Concentrate on outcomes - No one likes to work with someone standing over their
shoulder. Focus on outcomes — make it clear what you want and cut people loose to get
it done on their own.
13. Trust and Respect - Give people the trust and respect they deserve and they’ll
respond to requests much more favorably.
14. Create challenges - People are happy when they’re progressing towards a goal. Give
them the opportunity to face new and difficult problems and they’ll be more enthusiastic.
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15. Let people be creative - Don’t expect everyone to do things your way. Allowing
people to be creative creates a more optimistic environment and can lead to awesome
new ideas.
16. Constructive criticism - Often people don’t realize what they’re doing wrong. Let
them know. Most people want to improve and will make an effort once they know how to
do it.
17. Demand improvement - Don’t let people stagnate. Each time someone advances
raise the bar a little higher (especially for yourself).
18. Make it fun - Work is most enjoyable when it doesn’t feel like work at all. Let
people have fun and the positive environment will lead to better results.
19. Create opportunities - Give people the opportunity to advance. Let them know that
hard work will pay off.
20. Communication - Keep the communication channels open. By being aware of
potential problems you can fix them before a serious dispute arises.
21. Make it stimulating - Mix it up. Don’t ask people to do the same boring tasks all the
time. A stimulating environment creates enthusiasm and the opportunity for “big picture”
thinking. Master these key points and you’ll increase motivation with a bit of hard work.
22. Honor your promises. Getting people to give their all requires following through on
promises. If you tell an employee that he or she will be considered for a bonus if numbers
improve or productivity increases, you’d better put your money where your mouth is.
Failure to follow through on promises will result in a loss of trust -- not only that person’s
trust, but the trust of every employee that hears the story.
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23. Provide career coaching. Help employees reach the next level professionally by
providing on-site coaching. Bring in professionals to provide one-on-one counseling,
which can help people learn how to overcome personal or professional obstacles on their
career paths.
24. Match tasks to talents. You can improve employee motivation by improving
employee confidence. Assign individuals with tasks you know they will enjoy or will
be particularly good at. An employee who is successful at one thing will have the self-
confidence to tackle other projects with renewed energy and excitement.
25. Build a foundation. It’s important to build a solid foundation for your employees so
they feel invested in the company. Tell them about the history of the business and your
vision for the future. Ask them about their expectations and career goals, as well as how
you can help them feel part of the team. When any new employee starts, make sure he or
she receives a thorough welcome orientation.
INCENTIVES
Financial Incentives Non-financial incentives
- Wages and Salaries. - Competition - Bonus - Group recognition- Medical reimbursement - Job security- Insurance - Praise - Housing facility - Knowledge of result- Retirement benefits. - Workers participation.
- Suggestion system.
- Opportunities for growth
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Motivation is the key to performance improvement
There is an old saying you can take a horse to the water but you cannot force it to drink; it
will drink only if it's thirsty - so with people. They will do what they want to do or
otherwise motivated to do. Whether it is to excel on the workshop floor or in the 'ivory
tower' they must be motivated or driven to it, either by themselves or through external
stimulus.
Are they born with the self-motivation or drive? Yes and no. If no, they can be motivated,
for motivation is a skill which can and must be learnt. This is essential for any business to
survive and succeed.
Performance is considered to be a function of ability and motivation, thus:
Job performance =f(ability)(motivation)
Ability in turn depends on education, experience and training and its improvement is a
slow and long process. On the other hand motivation can be improved quickly. There are
many options and an uninitiated manager may not even know where to start. As a
guideline, there are broadly seven strategies for motivation.
There are broadly seven strategies for motivation.
Positive reinforcement / high expectations
Effective discipline and punishment
Treating people fairly
85
Satisfying employees needs
Setting work related goals
Restructuring jobs
Base rewards on job performance
Essentially, there is a gap between an individual’s actual state and some desired state and
the manager tries to reduce this gap. Motivation is, in effect, a means to reduce and
manipulate this gap.
86
RESEARCH METHODOLOGY
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RESEARCH METHODOLOGY
“Research design is the plan structure and strategy of investigation conceived so as to
obtain answers to research questions and to control variance.”
Types of Research designs
1. Exploratory (Qualitative)
2. Conclusive or Descriptive (Quantitative)
3. Causal
Exploratory research is further subdivided into –
a. Search of Secondary Data
b. Case Study
c. Survey of exports
Survey Area: The area assigned for the survey was City of Moradabad.
METHODS OF DATA COLLECTION
he information collected should be both accurate and relevant, as per the requirements of
the researcher, who has to work out a suitable data collection method. Data collection
methods can be broadly classified into two methods .
(i) Primary methods
(ii) Secondary Methods
PRIMARY METHODS
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Data colleted directly by a researcher is known as primary data. The methods used
for collection primary data may be:
a. Survey
b. Observation
SECONDARY METHODS
Data not originally collected for use in the research project under consideration, but
rather for use by some other person or for use some other project is term secondary data.
There are several ways by which secondary data can be classified. One of the most useful
in by source. Which immediately suggests the classification of internal and external
source.
Sources of Primary Data
QUESTIONNAIRE
The Questionnaire was designed type. Constructing and implementing questions is
one of the most challenging tasks of conducting marketing research. The problems
facings the marketing research is to look deep into the process of human communication
and thinking.
Questionnaire designing also becomes important and necessary when he overseas
that unless the information during discussion or there wise is not noted down, it basic
form will be distorted.
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The term questionnaire refers to a self-administered process whereby the respondent
himself reads the questions and records his answer without the assistance of an
interviewer.
TYPES OF QUESTIONNAIRE
A questionnaire can take any form, but they are generally categorized according to
the structures and directness. Structure refers to the degree to which the questions and
possible responses are formed and standardized. Researchers have categorized
questionnaire into two different categories.
a. Structured
b. Semi-Structured
c. Unstructured
SAMPLING PLAN
POPULATION : 115
SAMPLE SIZE : 50
SAMPLING UNIT : Service personal, Business personal
SAMPLE PROCEDURE: ‘Convenience Sampling Method ’
SAMPLING METHOD: ‘Personal Interview’
90
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DATA ANALYSIS &
INTERPRETATION
DATA ANALYSIS & INTERPRETATION
DESCRIPTIVE STATISTICS
1. Response about the support from the HR department
SL NO
PARTICULAR
NUMBER OF
RESPONDENTS PERCENTAGE
1 Highly satisfied 18 36
2 Satisfied 29 58
3 Neutral 3 6
4 Dissatisfied 0 0
5 Highly satisfied 0 0
Total 50 100
(Table 1)
(Chart 1)
INTERPRETATION
The table shows that 58% of the respondents are satisfied with the support they are getting from the HR department.
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2. Management is interested in motivating the employees
SL NO
PARTICULAR
NUMBER OF
RESPONDENTS PERCENTAGE
1 Strongly Agree 27 54
2 Agree 20 40
3 Neutral 3 6
4 Disagree 0 0
5 Strongly Disagree 0 0
Total 50 100
(Table 2)
Management is interested in motivating the employees
54
40
30 0
0
10
20
30
40
50
60
StronglyAgree
Agree Netural Disagree StronglyDisagree
Series1
(Chart 2)
INTERPRETATION
The table shows that 54% of the respondents are strongly agreeing that the management is interested in motivating the employees.
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The type of incentives motivates you more
30%
18%
52%
Financial Incentives
Non Financial Incentives
Both
3. The type of incentives motivates you more
SL NO
PARTICULAR
NUMBER OF
RESPONDENTS PERCENTAGE
1 Financial Incentives 15 30
2 Non financial Incentives 9 18
3 Both 26 52
Total 50 100
(Table 3)
(Chart 3)
INTERPRETATION
The table shows that 52% of the respondents are expressing that both financial and non
financial incentives will equally motivate them.
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Satisfaction with the present incentives provided by the organization
36%
58%
6%0% 0%
0%
10%
20%
30%
40%
50%
60%
70%
HighlySatisfied
Satisfied Netural Dissatisfied highlyDissatisfied
4. Satisfaction with the present incentives scheme
SL NO
PARTICULAR
NUMBER OF
RESPONDENTS PERCENTAGE
1 Highly satisfied 18 36
2 Satisfied 29 58
3 Neutral 3 6
4 Dissatisfied 0 0
5 Highly satisfied 0 0
Total 50 100
(Table 4)
(Chart 4)
INTERPRETATION
The table shows that 58% of the respondents are satisfied with the present incentive
scheme of the organization.
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Eagerness of the company in acknowledging the work of employees
36%
58%
6%0% 0%
0%
10%
20%
30%
40%
50%
60%
70%
StronglyAgree
Agree Netural Disagree StronglyDisagree
5.The company is eagerness in recognizing and acknowledging employee’s work
SL NO
PARTICULAR
NUMBER OF
RESPONDENTS PERCENTAGE
1 Strongly Agree 18 36
2 Agree 29 58
3 Neutral 3 6
4 Disagree 0 0
5 Strongly Disagree 0 0
Total 50 100
(Table 5)
(Chart 5)
INTERPRETATION
From the study, 58% of employees agreed that the company is eager in recognizing and
acknowledging their work, 36% strongly agreed and only 6% showed neutral response.
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Periodical increase in salary
24%
46%
6%
18%
6%
0%5%
10%
15%20%25%30%35%
40%45%50%
StronglyAgree
Agree Netural Disagree StronglyDisagree
Series1
6. Periodical increase in salary
SL NO
PARTICULAR
NUMBER OF
RESPONDENTS PERCENTAGE
1 Strongly Agree 12 24
2 Agree 23 46
3 Neutral 3 6
4 Disagree 9 18
5 Strongly Disagree 3 6
Total 50 100
(Table 6)
(Chart 6)
INTERPRETATION
The table shows 46% of employees agree that there is a periodical increase in the salary.
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Job security exist in the company
30%
36%
22%
6% 6%
0%
5%
10%
15%
20%
25%
30%
35%
40%
Strongly Agree Agree Netural Disagree Strongly Disagree
7. Job Security existing in the company.
SL NO
PARTICULAR
NUMBER OF
RESPONDENTS PERCENTAGE
1 Strongly Agree 15 30
2 Agree 18 36
3 Neutral 11 22
4 Disagree 3 6
5 Strongly Disagree 3 6
Total 50 100
(Table 7)
(Chart 7)
INTERPRETATION
The table shows 35% of employees agree with good job security that exist in the
company.98
Good relations with co-workers
30%
54%
16%
0% 0%0%
10%
20%
30%
40%
50%
60%
Strongly Agree Agree Netural Disagree Strongly Disagree
8. Good relations with the co-workers.
SL NO
PARTICULAR
NUMBER OF
RESPONDENTS PERCENTAGE
1 Strongly Agree 15 30
2 Agree 27 54
3 Neutral 8 16
4 Disagree 0 0
5 Strongly Disagree 0 0
Total 50 100
(Table 8)
(Chart 8)
INTERPRETATION
The table shows 54% of the respondents agree that they have good relations with co-
worker.99
Effective performance appraisal system.
20%
46%
16%12%
6%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
Strongly Agree Agree Netural Disagree Strongly Disagree
9.Effective performance appraisal system.
SL NO
PARTICULAR
NUMBER OF
RESPONDENTS PERCENTAGE
1 Strongly Agree 10 20
2 Agree 23 46
3 Neutral 8 16
4 Disagree 6 12
5 Strongly Disagree 3 6
Total 50 100
(Table 9)
(Chart 9)
INTERPRETATION
The table shows 46% of the respondents agree to effective performance appraisal system
existing in the company.
100
18%
52%
18%
6% 6%
0%
10%
20%
30%
40%
50%
60%
StronglyAgree
Agree Netural Disagree StronglyDisagree
Effective promotional opportunities in present job
10. Effective promotional opportunities in present job,
SL NO
PARTICULAR
NUMBER OF
RESPONDENTS PERCENTAGE
1 Strongly Agree 9 18
2 Agree 26 52
3 Neutral 9 18
4 Disagree 3 6
5 Strongly Disagree 3 6
Total 50 100
(Table 10)
(Chart 10)
INTERPRETATION
The table shows 52% of the respondents agree with effective promotional opportunities
in their present job.
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102
FINDINGS
FINDINGS
54% of the respondents are strongly agreeing that the management is interested in
motivating the employees.
52% of the respondents are expressing that both financial and non financial
incentives will equally motivate them.
58% of the respondents are satisfied with the present incentive scheme of the
organization.
58% of employees agreed that the company is eager in recognizing and
acknowledging their work, 36% strongly agreed and only 6% showed neutral
response.
46% of employees agree that there is a periodical increase in the salary.
35% of employees agree with good job security that exist in the company.
54% of the respondents agree that they have good relations with co-worker.
46% of the respondents agree to effective performance appraisal system existing
in the company.
52% of the respondents agree with effective promotional opportunities in their
present job.
103
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CONCLUSION
CONCLUSION
This document aims at providing employees and management members with the
information that can be beneficial both personally and professionally. Every business
enterprise has multiple objectives including of adequate profit for payment of a
reasonable rate of return to the owners and for investment in business through satisfaction
of customers, maintenance of a contended workforce and creation of a public image. The
basic job of management of any business is the effective utilization of available human
resources, technological, financial and physical resources for the achievement of the
business objectives.
This project entitled as “Employee motivation” was done to find out the factors which
will motivate the employees. The study undertakes various efforts to analyze all of them
in great details. The researcher in this project at the outset gives the clear idea of the
entire department existing in the company. From the study, the researcher was able to
find some of the important factors which motivate the employees. Factors like financial
incentives and non financial inventive, performance appraisal system, good relationship
with co-workers, promotional opportunities in the present job, employee participation in
decision making are very much effect the level employee motivation. It is also clear from
the study that the company is so eager in motivating their employees and their present
effort for it so far effective.
The human resources can play an important role in the realization of the objectives.
Employees work in the organization for the satisfaction of their needs. If the human
resources are not properly motivated, the management will not be able to accomplish the
105
desired results. Therefore, human resources should be managed with utmost care to
inspire, encourage and impel them to contribute their maximum for the achievement of
the business objectives.
The findings of the study are follows
The Vodafone Communication. has a well defined organization structure.
There is a harmonious relationship is exist in the organization between employees
and management.
The employees are really motivated by the management.
The employees are satisfied with the present incentive plan of the company.
Most of the workers agreed that the company is eager in recognizing and
acknowledging their work.
The study reveals that there is a good relationship exists among employees.
Majority of the employees agreed that there job security to their present job.
The company is providing good safety measures for ensuring the employees
safety.
From the study it is clear that most of employees agrees to the fact that
performance appraisal activities and support from the coworkers in helpful to get
motivated.
The study reveals that increase in the salary will motivates the employees more.
The incentives and other benefits will influence the performance of the
employees.
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SUGGESTIONS
SUGGESTIONS
The suggestions for the findings from the study are follows
Most of the employees agree that the performance appraisal activities are helpful
to get motivated, so the company should try to improve performance appraisal
system, so that they can improve their performance.
Non financial incentive plans should also be implemented; it can improve the
productivity level of the employees.
Organization should give importance to communication between employees and
gain co-ordination through it.
Skills of the employees should be appreciated.
Better carrier development opportunities should be given to the employees for
their improvement.
If the centralized system of management is changed to a decentralized one, then
there would be active and committed participation of staff for the success of the
organization
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109
LIMITATIONS
LIMITATIONS
The limitations of the study are the following
The data was collected through questionnaire. The responds from the respondents
may not be accurate.
The sample taken for the study was only 50 and the results drawn may not be
accurate.
Since the organization has strict control, it acts as another barrier for getting data.
Another difficulty was very limited time-span of the project.
Lack of experience of Researcher.
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BIBLIOGRAPHY
BIBLIOGRAPHY
Ashwathpa K.“Human resources management” fifth dtion, Tata McGraw hill.
Clark, Donald. Performance, Learning, Leadership, and Knowledge. “History
of Learning and Training.” Accessed 21 June 2005.
Jha R.N “Personal growth training and development”Savera
publicationGupta, Kavita. A Practical Guide to Needs Assessment. San
Francisco: Jossey-Bass/Pfeiffer, 1999.
Kothari C.R “Research Methodology” Second Edition, Wishwa Prakashan.
WEBLIOGRAPHY :
http://www.google.co.in
http://www.recognitionrewards.com
http://www.vodafone.com/start/media_relations/news/local_press_releases/
portugal/portugal_press_release/vodafone_had_highest.html
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QUESTIONNAIRE
1. Response about the support from the HR department
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ANNEXURE
Highly satisfied
Satisfied
Neutral
Dissatisfied
Highly satisfied
2. Management is interested in motivating the employees
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
3. The type of incentives motivates you more
Financial Incentives
Non financial Incentives
Both
4. Satisfaction with the present incentives scheme
Highly satisfied
Satisfied
Neutral
Dissatisfied
Highly satisfied
5. The company is eagerness in recognizing and acknowledging employee’s work
Strongly Agree
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Agree
Neutral
Disagree
Strongly Disagree
6. Periodical increase in salary
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
7. Job Security existing in the company.
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
8. Good relations with the co-workers.
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
9.Effective performance appraisal system.
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Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
10. Effective promotional opportunities in present job,
Strongly Agree
Agree
Neutral
Disagree
Strongly Disagree
116