Project Report

A training report submitted in partial fulfilment of the requirements

for the award of the Degree of Master of Business Administration

(Industry Integrated), New Delhi Institute of Management Studies.

Gauhati University on

“Employee motivation in Sahara India Pariwar”

Under the organisation supervision of:

Miss. Kakoli Kishore

Sahara India Pariwar.

Prepared and Submitted:

Shruti Nigam

G.U. Registration No. 1001- 090 of 2010-2012

1

Students Declaration

I hereby declare that the Training Report conducted at

Sahara India Pariwar,

Under the supervision of

Miss. Kakoli Kishore

Submitted in Partial fulfilment of the requirements of the

degree of

Master of Business Administration (Industry

Integrated)

To

New Delhi Institute of Management Studies

Gauhati University

Is my original work and the same has not been submitted for the

award of any other Degree/ diploma/ fellowship or other similar titles

or prizes

Place:

Shruti Nigam

Date:

Reg. No.1001-090

2

Index

Contents Page no.

3

Acknowledgement

Preface

Company Profile

Project Topic: Employee Motivation

2

3

4 - 30

31 – 57

Acknowledgement

Summer training is the important part of MBA course, both as a link

between theory and actual industrial practices as well as an

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opportunity for hands on experience in a corporate environment. I

therefore, consider myself fortunate to receive the training in an

esteemed organisation Sahara India Pariwar.

I would like thank Sahara India Pariwar for giving me this

opportunity to understand the dynamics of the industry.

Yet the opportunity could not have been utilized without the

guidance and support of many individuals who although held varied

positions, but were equally instrumental for successful completion of

my summer training. I would like to take this opportunity to express

my humble gratitude to Ms. Kakoli Kishore for her kind support and

guidance.

It would be unfair on my part if i fail to extend my heartfelt gratitude

to training and development section of corporate HR.

In addition to this i would also like to express gratitude to the

respected faculty member for their invaluable inputs and direction

that rendered success of the training.

I would also like to express my heartfelt thanks to my family and all

the persons who gave me valuable guidance and support in every

stage throughout the phase of my entire project work.

Preface

5

Employees are company’s most important assets. They can make or

break the fortunes of a business. In today’s highly competitive

business environment, employees should be given ample

opportunities for their self development.

The ever changing business environment has engendered a

continuous evolution in the working environment within

organisations which have seen the emergence of and increasing

emphasis on the employee welfare aspect.

In today’s corporate work culture, the employee welfare activities

are being accorded with the status of a separate function which is

usually carried out by the HR/ Administration Department.

This report is based on the understanding of the existing policies

and the introduction of the new policies which are for the welfare of

the employees of Sahara India Pariwar.

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Introduction

Sahara India Pariwar is a major entity on the corporate scene having

diversified business interests that include Finance, Infrastructure

and Housing, Media and Entertainment, Consumer Products,

Manufacturing, Services and Trading.

“WE CHASE QUALITY, QUANTITY CHASES US”

Before

Present

Established in 1978 from

Gorakhpur.

With 3 workers.

With 15 dependents only.

With a asset of only 2000

only.

With 1 establishment.

With no trade union.

Headquarters at Lucknow.

With 9.10 lac workers.

With the 45.50 lac

dependents.

With a asset of

50,000crore.

With1707 establishments.

With no trade union.

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With no owner. With no owner.

Important Points:

The employees at Sahara India Pariwar greet each other by

saying “Sahara Pranaam”

Sahara India Pariwar has been official sponsors of the Indian

Cricket Team and Indian Hockey team.

Sahara holds a Guinness world record for planting 125,256,

trees by 1400 volunteers.

Conducts mass marriage ceremony of 101 underprivileged

girls every year.

SAHARASHRI

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Sahara India Pariwar – Philosophy “Collective

Materialism”

In any human relationship, it becomes imperative to take into

consideration the materialism aspect of life – we do so but by giving

it second priority. The first priority is given to emotional aspect and

with perfect blending. Of materialism with emotionalism results in

continuous, collective growth for collective sharing and caring. That

gives an impetus to our philosophy – “collective materialism”

On the basis of this philosophy of Collective Materialism they have

always given importance to fact of profit earning is in the

quantitative aspect where as the proper utilisation of profit is the

quantitative aspect.

Profit Sharing

Awards

and

achievements of Subrata Roy

The ITA TV ICON Award (2007)

Mother Teresa Millennium award for renowned Industrialist (2005)

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Global Leadership award (2004)

Businessmen of the year award (2002)

Best Industrialist (2002)

National citizen award (2001)

Karmveer Samman (1995)

Baba-e-rozgar (1992)

Noble citizen award (1986)

Saharasri has also written two books “ Shanti, Sukh, Santushti” and “Maan samman

Atmasamman” on the philosophy of life.

Basic Principles

SAHARA INDIA PARIWAR believes and works according to the following

principles:

Emotion      before    Economics

Principles   before   Profit

Values         before    Wealth

Man             before    Money

Country     before    Religion

Quality       before    Quantity

Conscience before   Corporation

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Family         before    Fortune

OVERVIEW

Sahara India Pariwar is a major entity on the corporate scene having diversified

business interests that include Finance, Infrastructure & Housing, Media &

Entertainment, Consumer Products, Manufacturing, and Services & Trading.

Quality is our essence and we, at Sahara India Pariwar , have always stressed on the

Qualitative aspect. Consequently in this run for quality, quantity has always pursued

us. We look forward to reaching the zenith and reaffirm our commitment to the

process of sound nation-building. “We chase Quality & Quantity chase us ,is the main

motto of Sahara India Pariwar.

Core Commitments - Our Strength

Emotion

Emotion is in Performance of genuine duties towards the loved ones

primarily in their benefit, from their point of view. EMOTION is THE

KEY that generates the required energy and enthusiasm for desired

quality performance.

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Discipline

The enthusiastic obedience of laws and orders, which are given by

the rightful authority.

Duty

The enthusiastic obedience of laws and orders, which are given by

CONSCIENCE.

No Discrimination

Never should we discriminate in any of our actions, reactions,

attitudes, decisions, conclusions, in any of our expressions while

caring for the six health’s of other human beings, namely physical,

material, mental, emotional, social and professional health’s.

Quality

Results from honoring Rules, Regulations, Commitments, Values,

Fairness, Performance of Duties by honestly balancing one's own

and others' reasonable point of view in the matters of Material &

Emotional aspects.

Give Respect

To definitely make others feel important and respected by giving

sincere regard to others' feelings, reasonable wishes & thoughts

with an open and receptive mind and warmth.

Self-Respect

To develop a sense of respect for oneself in others' mind, that is to

generated warm feelings for oneself among others on a

continuous basis.

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Truth

Means total transparency in action, reaction, attitude and all other

expressions and the conviction to follow the right course.

Collective Materialism

Means to progress and prosper together for collective sharing and

caring and not individually or for a select group.

Religion

There is a religion higher than religion itself - it is NATIONALITY. We

may practice our religion in the confines of our homes, but outside,

we should be Indians and only Indians. Nationality is thus above

religion but HUMANKIND is above Nationality.

Absolute Honesty

People generally manipulate and deceive for achieving their

unreasonable desires and greed if others do not or can not see, hear

or understand. But we firmly believe that our mind inside knows the

truth and we should be absolutely honest to our mind inside and

accordingly our actions, reactions, directions, decisions and all our

expressions should be present in all human dealings.

Collective Social Responsibility

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Sahara India Pariwar is committed to make determined efforts to help India emerge as

a developed nation. It has always acted as a catalyst in the developmental projects.

Bharat Parva -

It is a religion higher than religion itself- it is the Indian Nationality. It is celebrated on

every 26th January and 15th August with a spirit of gaiety.

Utsav yatra –

Sahara Utsav yatra (year 2002) was the journey with “Bharat Mata” to catalyse the

feelings of nationalism within every Indian. The yatra encompassed more than

24,000km , covering over 400 destinations across India in two phases.

Our Social Concern

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Sahara welfare foundation, the social development unit of Sahara India Pariwar, is

engaged in social welfare projects, alleviating people’s sufferings and bringing to

them new rays of hope and a brighter tomorrow. The projects of Sahara Welfare

Foundation focus on women and disabled who are economically marginalised and

deprived people and communities irrespective of age , caste, class, gender or race are

able to participate activity in the process of their development so that they may lead a

life of dignity and respect.

Sports and cultural Activities

Sporting activities are among the most spirited healthy and energetic facets of our

society. Sahara India Pariwar has been the official sponsor of the Indian Cricket Team

from the year 2001 onwards, Asia’s oldest football league, Calcutta Football League,

official sponsor of Indian Team since 2003 and patronized “ sheeshmahal” cricket

tournament which is one of the oldest summer cricket tournaments of India. Sahara

bagged the much converted Indian Premier League franchise and it’s team, Sahara

Pune Warriors is now port of very prestigious cricket league. New Indian Premier

League team named as warriors which means fighters.

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WHAT

A commitment of Sahara India Pariwar to the genuine needs and rights of anybody &

everybody - Be it to a depositor, newspaper reader, consumer .... all business

associates and Sahara India Family Members. 

NEED  

India needs effective consumer protection and protection of workers' genuine rights.

There are various agencies, promising protection & action. But no external body can

provide justice unless the company becomes 'QUALITY CONSCIOUS' WITH

STRICTLY NO DISCRIMINATION POLICY AND JUSTICE CONSCIOUSNESS

as its very dominating nature.

MOTTO  

We not only believe but practice NO DISCRIMINATION, JUSTICE & HIGH

QUALITY - means enthusiastic, productive performance of duty "KARTAVYA'

towards the consumer', workers' genuine satisfaction.

AIM  

To provide justice - be it a matter of the tiniest imperfection or injustice in our

COMMITMENT - products or services. direct or indirect, short term or long term.

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WHERE  

Kindly rush your grievances/suggestions or any queries related to Sahara India

Pariwar to the nearest Sahara establishment and/or to:

Business Activities

Sahara India Life Insurance Company Ltd.

The first wholly Indian Owned Private Life Insurance Company with presence in

most parts of the country. It has a team of well-trained and committed professional

advisors with special focus on rural areas and the less affluent segments of the Indian

society. The company offers an exhaustive range of competitive products that caters to

individuals of all ages and segments along with prompt and quality customer services

and support.

Sahara India Life Insurance Company Ltd. (SILICL) is today the first wholly Indian-

owned Life Insurance Company in the private sector. We launched our operations on

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SAHARA INDIA

PARIWAR

30 October 2004 after being granted license to operate as a life insurer in India by

Insurance Regulatory and Development Authority on 6 February 2004. 

Finance

The range of Categories:

Unit Linked Plans

Pension Plan

Children Plan

Money Back Plan

Endowment Plan

Term Assurance Plan

Group Insurance Plans  

We also offer Accident Benefit and Critical Illness Riders. SILICL has been set up

with the state-of-the-art technology. Leading Actuarial consultants M/s Watson Wyatt

Consulting Pvt. Ltd. train our officials on Actuarial VIP software system and other

matters including product development and pricing. 

SAHARA ASSET MANAGEMENT COMPANY PRIVATE LIMITED

  A Disciplined and Professional Fund House in Asset Management

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With a view to offering its investors, a mutual fund that is truly mutual, Sahara

Mutual Fund has established itself as a transparent and professional Fund House.

The Fund House endeavors to provide professional expertise to its investors in

managing their mutual fund investments, diversify their portfolios and reduce their

investment risks by focusing on superior Risk Adjusted returns. Sahara Mutual Fund

offers products in the equity and debt segments to its investors namely Sahara Tax

Gain Fund, Sahara Growth Fund, Sahara Mid cap Fund, Sahara Wealth Plus Fund,

Sahara Infrastructure Fund, Sahara Power & Natural Resources Fund, Sahara Banking

& Financial Services Fund, Sahara Super 20 Fund, Sahara Star Value Fund, Sahara

Liquid Fund, Sahara Gilt Fund, Sahara Income Fund, Sahara Short Term Bond Fund,

Sahara Interval Fund and Sahara Classic Fund.

All the schemes have shown consistent superior performances over various time

periods.

Infrastructure

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• Sahara Housing finance Corporation Limited

• A National Housing Bank regulated & BSE listed company. In India, housing

finance market is around Rs. 1, 20,000 cores (USD 25,000 million) with a growth

rate of around 20%.

• Sahara Housing finance Corporation Limited was founded in August 2002 with its

registered corporate office at Kolkata. SHCL commenced retail-lending business in

May 2004 with professionals from the industry and fully integrated on-line systems

solution backed by strong procedures and underwriting standards. Today we operate

from four regions viz. Kolkata, Lucknow, Hyderabad and Mumbai and have a branch

each in Kolkata, Asansol, Siliguri, Lucknow, Gorakhpur, Pune, Hyderabad,

Vijaywada and Mumbai. We serve our clientele through our attractive and competitive

home loan schemes. Specially tailored schemes for the allotters of Sahara City Homes

are also being worked out. We are expanding our business by increasing the number

of business

Real Estate

SAHARA CITY HOMES: The world's largest chain of integrated townships ranging

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from approx. 80-300 acres offering amenities superbly matched to international

standards being developed in number of Tier I, Tier II & Tier III cities across India. A

Sahara City Homes Integrated township shall typically consist of a gated community

with residential units in the form of apartment towers, townhouses and individual

houses together with the following facilities and amenities :-

• Air-conditioned Township

• A centrally air-conditioned School imparting a thoughtful combination of academic

curriculum, personality development & extracurricular activities

• A Hospital providing multi-specialty high-end secondary care with state-of-the-art

medicine facility centre

• A Mall-cum-Multiplex with an ideal combination of lavish showrooms, designer

outlets and convenience stores

• A Hotel having state-of-the-art international class facilities with dedicated executive

clubs

• A well-equipped Club and Community Centre having facilities for indoor/outdoor

games, swimming pool and a fitness centre

• Multi Level Security with State-of-the-art centralized control station and Centralized

electronic control room with high boundary wall & high grill fencing on top

• Central Park equipped with floodlights (hence playable day & night) - a mega venue

with sprawling greenery to provide space and ambience in the heart of the township

• Large multi-disciplinary sports playground

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• A large swimming pool, skating rink, wave pool, food joints and change rooms having

conveniences and shower nearby

• Club and Community Centre having the facilities of indoor and outdoor games,

swimming pool and a well-equipped fitness centre for aerobics, gymnasium, sauna

and Jacuzzi.

Hospitality

SAHARA STAR, MUMBAI

A world-class 5-Star Hotel spread over 7.42 acres and located adjacent to the Mumbai

domestic airport, it is the flagship hotel project of Sahara India Pariwar. Currently, it

has 210 guest rooms, 13 suites and 9 restaurants which is expandable to 412 rooms

and 13 restaurants. It contains some of the best modern features like World's largest

pillar less clear-to-sky dome of its kind, World's first Hemisphere-shaped Glass

Elevators, Marine Aquarium, Lagoon area, Inward and Outward facing rooms, Glass

Roof rooms, Spacious Parking and shall have amenities like Sahara Health and

Wellness Centre, Multi-cuisine restaurants and Preview theatre.

Health care

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• SAHARA HOSPITAL, LUCKNOW  

A state-of-the-art, multi-specialty, tertiary care hospital providing

world class facilities with more than 50 super specialties and latest

generation equipments under one roof. This hospital got operational

in February 2009 and is currently operating with approximately 350

beds, including 120 bed Critical Care Infrastructure and expandable

to 554 beds. It is spread on 31 acres and contains ultra-modern

centre for preventive and alternative medicines like Ayurveda,

Homoeopathy, Naturopathy and Yoga for Holistic approach

Media

Entertainment Channel 

SAHARA ONE : 24 hours digitally encrypted Entertainment Channel

spread globally.

• FILMY : 24 hours digitally encrypted Movie Channel

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• Cinema Production

SAHARA ONE MOTION PICTURES : Has always provided a platform

for unique and quality cinema and continues its quest to entertain

all kind of audience. It has released over 35 films and won 5 National

Awards

• Film City  

Developing world-class film city on around 100 acres of land with an

investment of 

180 cores (USD 41.74 million) approximately and with an Academy.

• SAMAY : Round-the-clock free-to-air National Hindi news channel.

National Regional News Channel

SAHARA SAMAY  

SAHARA SAMAY: Round-the-clock 36 city specific Regional news

channels. New channel

Sahara One

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Sahara Filmy

Sahara Firangi

Sahara Samay

Aalmi Sahara

Sahara Samay NCR

Sahara Mumbai

Sahara Samay M.P/Chattisgarh

Sahara Samay Bihar/Jarkhand

Sahara Samay U.P/Uttaranchal

Print Media

Sahara has also forayed into the print medium.3 In print industry Sahara has one

national weekly magazine in English, 7 ions of Hindi Daily Newspaper Rashtriya

Sahara, nine ions of Urdu Daily Newspaper Roznama Rashtriya Sahara and one

International Urdu Weekly.

Rashtriya Sahara

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Lucknow

Gorakhpur

Kanpur

New Delhi

Dehradun

Patna

Varanasi

Sahara Time

Roznama Rashtriya Sahara

Aalmi Sahara

Bazm-e-Sahara

Tourism

Under its tourism business Sahara has launched Sahara Global - an integrated travel

and tourism service provider for domestic and international services

Handicrafts

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Araria Jute Project: Is engaged in creating diversified jute products e.g.

Blankets, Carpets, Floor covering, Handicrafts, Jute Chappals etc.

Kasturi Handicrafts: Retail Store Chain offering apparel for Women, Home

Furnishings, Silk Carpets and Rugs, Fashion Accessories, Jewellery of Gold & Silver,

Precious Stones and Artificial Jewellery, Chandeliers, Marble, Wooden, Stone and Art

Metal ware and Leather Products.

Recognitions

The Brand Trust Report listed Sahara in the top 100 most trusted brands of India. The

report was published by Trust Research Advice.

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Corporate Human Resource in Sahara

India.

The various functions being performed in the HR department of

Sahara India Pariwar are as follows:

Manpower Planning

Recruitment

Training and development

Payroll Management

IR and Legal

Statutory Cell

Welfare

Provident Fund

Full and Final settlement

HR Initiatives

Dak and Dispatch

Time Office

Manpower Planning : Manpower planning cell is the major cell of

corporate HR. The activities being performed in this cell serve as a

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root to other activities of corporate HR and also the end process

activities are reported to this cell.

Recruitment : Recruitment is the process of finding and attracting

applicants for employment, process begins with new recruiters are

sought and ends when submitted. The result is a pool of applicants

from which new employees are selected.

Training and Development : The objective of training and

development function is to transform the employees for becoming

more productive by enhancing their knowledge, skills and attitude in

order to achieve performance excellence and creating the

atmosphere of continuous learning and development.

Payroll Management : This particular section deals with all salary

or payment to employee related matters. Payroll deals with 3 types

of payments.

1. Salary : Salary is given to those employees who are appointed on the

base of their experience.

2. Stipend: Stipend is paid to those employees who are either fresher

or are in their probation period.

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3. Daily Wages : Daily wages are payment on daily basis. They are

made to those employees whose services requirement can be arisen

anytime depending upon the situation.

IR and Legal : IR and Legal section is that of organisations which

deals in with all the disciplinary issues of the company. Another

major issue in which the company deals in with is unauthorised

absence.

Statutory Cell : In this cell the legal matters are looked into. Legal

matters, issues related to the workers of the organisation, which are

to be looked into, being under the governmental parameters.

Welfare : This cell deals in the welfare of the employees working in

the company. It looks into the policies regarding their benefits of the

directly and indirectly towards even the lowest cadres of the

organisation.

1. Education facility

2. Leave travel allowance

3. Marriage help

4. Festival advance

5. Medical help

6. Security fund scheme

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Provident Fund : Provident Fund is a record maintained by the

organisation for its employees. It is now opened on the day of

joining of the employee. Each month entry is made in the PF account

of the employee by sacrificing a particular amount from his/her

salary.

Full and Final Settlement : To settle down all the funds (payable)

to the kartavya yogis after their from the services.

1. Provident Fund

2. Gratuity

3. Payables

4. Pension

HR Initiatives : This is a department takes care of all the initiatives

taken by and in the HR department. It looks after all the policy

formulation and changes in the policies of the employees of the

organisation. Besides this HR initiative conducts a couple of exams

for the employees of the Sahara India are as follows:

1 MPIR (Maha Parva Interim relief): This exam is conducted quarterly

in a year across India. It is conducted both online and on interview

basis. It is mandatory for all the new employees up to the level of

Assistant manager. It is conducted with the coordination of Sahara

Next.

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2 Promotional Exam: This exam is of all the IT employees. It is

mandatory for them to attempt it unless they become programmers.

The main purpose behind the conduction of this exam is to keep a

check on the technical knowledge of the employee.

Dak and Dispatch : The objective of the function is to monitor the

correspondence made by the kartavyayogis of corporate HR. It

involves the database management regarding the incoming and

outgoing correspondence of the department.

Function:

1. Online Attendance Management.

2. Attendance Register Maintenance.

3. Leave managnament.

Employee Motivation

Management’s basic job is the effective utilization of human resources for

achievements of organizational objectives. The personal management is concerned

with organizing human resources in such a way to get maximum output to the

enterprise and to develop the talent of people at work to the fullest satisfaction.

Employee motivation is one of the major issues faced by every by organisation. It is

the major task of every manager to motivate his subordinates or to create the will to

work among the subordinates. A manager has to make appropriate use of motivation

to enthuse the employees to follow them. Motivation is an important function in every

32

organisation.

Motivation is a dynamic HR process. It is important to motivate the

employees and get the desired efforts from them to achieve

organisational objectives. While motivating any person the

organisation has to take care about the intrinsic and extrinsic needs

of the employees. One of the most important duties of the modern

manager is to get things done through people. He has to bring the

employees into contact with the organisation in such a way that the

objectives of both groups are achieved. He must know how to utilise

human as well as non-human resources while translating goals into

action.

Human Resources are heterogeneous. They consist of many

different individuals; each of whom has a unique personality, a

combination of different emotional responses to different stimuli,

and different values, attitudes, motives and models of thought.

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Human beings behave in widely differing and complicated ways.

Their reactions to promise, praise or criticism.

Modern employees are better educated, possess greater skills, have

more sophisticated technology available for their use.

A human being himself determines what he contributes. If is

motivated, he will work for an organisation more efficiently and

effectively.

What is Motivation?

“Motivation is the process of boosting the morale of employees to encourage them to

willingly give their best in accomplishing assigned tasks”

Motivation is the set forces that cause people to behave in different

ways.

Motivation is a process of governing choices. This process may be

“internal or external”to the individual, that arouses enthusiasm, and

persistence to pursue a certain course of action. Motivation process

starts with a physiological or physiological deficiency or need that

activities behaviour or drive that is aimed at a goal or incentive.

Motivation is a behavioural syndrome. If the gap gets reduced

employees feel motivated and contribute their best for achieving

organisations objective.

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Motivation process follows defined steps, which as a continuum,

need to be periodically reviewed and strategized to ensure its

proper renewal. This helps to maintain the motivation of employees,

which is evident from their behavioural congruence, matching

organisational objectives. Need deficiency centres on extrinsic and

intrinsic needs. Extrinsic needs are those which are related to

material and tangible gains. Increased pay, incentives, bonus, better

medical facilities, better retirement benefits are the extrinsic needs.

Intrinsic needs are needs which are related to mental satisfaction

and are abstract in nature. Increased status, challenge, sense of

belonging, scope for growth and creativity.

Motivation is an internal feeling: motivation points to energetic

forces within individuals that drive them to behave in certain ways

and, to environmental forces trigger these drives.

Motivation produces goal- directed behaviour: motivation has got a

profound influence on human behaviour, it harness human energy to

organisational requirements. There is the notion of goal orientation

on the part of individuals; their behaviour is directed towards

something.

Motivation is either negative or positive: positive motivation offers

something precious to the person in the is of additional pay,

incentives, praise, for satisfactory performance. Negative motivation

or stick approach emphasises penalties while controlling

performance.

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Motivation means bargaining: Behaviour is what people do.

Motivation is why they do it. It focuses on workers and organisations

endeavouring to find what payouts to workers in exchange for what

degree of corporation from workers will be satisfactory to both

parties.

Before motivation motive comes. Motive is the inner state that

activates and directs the behaviour of individuals towards certain

goals.

Motivation is a complete process

1. Motive is hypothetical construct. It cannot be seen. We observe

individuals putting effort.

2. Individual may have a host of needs that are continuously changing

and, sometimes in conflict with each other. It becomes difficult to

measure motivation.

3. People satisfy their needs in many ways.

4. Promoting an employee to a new and more challenging task may

intensify the drive to work harder in anticipation of the next

promotion.

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5. Goal directed behaviour does not always lead to need satisfaction.

Generalised model of motivation process

Importance of motivation

The success an organisation depends on how efficiently managers

are able to motivate their subordinates.

1. Productive use of resources : Modern organisations work through

physical, financial and human resources. The utilisation of physical

and financial resources depends on the willingness of people to

work. Motivation enables people to convert physical and financial

resources into useful products.

2. Increased efficiency and output : Motivation enables people to work

enthusiastically. Motivation bridges the gap between the ability to

work and the willingness to perform wholeheartedly to thereby

increase the overall efficiency and output.

3. Achievement of goals : Motivation causes goal-directed behaviour. It

helps people to move in a desired direction and earn rewards. If

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motivation

Behaviour

Goal

Tension

Reduction

Need

people are not motivated properly motivated, no useful purpose can

be served by planning, organising and staffing functions.

Development of friendly relations: Motivation brings employees closer to the

organisation. The needs of employees are met through attractive rewards, promotional

opportunities. Their morale is increased and they take interest in the organisation.

Determinants of Motivation

There are three types of forces which generally influence human behaviour.

1. Forces operating within the individuals.

2. Forces operating within the organisation.

3. Forces operating within the environment.

Individual : Human needs are, both numerous and complex. Each

person is different and variety of items may prove to be motivating,

depending upon the needs of the individuals. It is the duty of the

manager to match the needs and expectations to the type of

rewards available.

Organisations: The climate of the organisation must be conductive

to human performance. Climate plays an important part in

determining workers motivation. The organisation climate is

determined by a number of variables such as its leadership style.

Environmen t: Culture, norms, customs, images and attributes

accorded by society to particular jobs, professions and occupations

and the workers home life. An individual may prefer to do the job of

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an officer rather than serve as a college teacher. Such factors social

status, social acceptance plays an important role in motivating of

people.

Theories of Motivation

Motivation theory has evolved through three different eras:

traditional approach, the human relations approach and the human

resource approach. The traditional approach to employee motivation

is best represented by scientific management philosophy. The

approach believed that management knew more about the jobs

being performed than the workers did. The human approach

relations stated that employees have strong social needs. If they are

involved in organisational work, they can exercise self- direction and

self- control. Social needs are more important than money in

motivating employees. It states that people are capable of making

genuine contribution if proper conditions exist.

Three types of theories have evolved, to capture the essence of

these approaches namely, content theories, reinforcement theories

and process theories.

Content theories : Offers insight into the needs of people in

organisations and help managers understands how need can be

satisfied in the workplace. This theory offers ways to profile or

39

analyze individuals to identify the needs that motivate their

behaviour.

Process theories : Focuses on why people choose certain

behavioural options to satisfy their needs and how to evaluate their

satisfaction after they have satisfied these goals. Seek to

understand the thought processes that take minds of people and act

to motivate their behaviour.

Reinforcement theories : focuses on employee learning of

desired behaviours. They argue that behaviour that results in

rewarding consequences is likely to be repeated, whereas behaviour

that results in punishing consequences.

Content Theories

Maslow Hierarchy of Needs Theory

Maslow Hierarchy of needs theory proposes that people are

motivated by multiple needs and that these needs exist in a

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hierarchical order. The essential components of the theory may be

stated:

Adult motives are complex: No single motive determines behaviour,

a number of motives operate at the same time.

Needs form a hierarchy: Lower level needs must at least partly be

satisfied before higher level needs emerge. A higher order need

cannot become an active motivating force until the preceding lower

order need is essentially satisfied.

A satisfied need is not a motivator: A need that is unsatisfied

activates seeking behaviour.

There is a distinction between needs: Higher level needs can be

satisfied in many more ways than the lower level needs.

People seek growth: They want to move up the hierarchy of needs.

No person is content at the physiological level.

Types of needs

1. Physiological needs : Physiological needs are the biological needs

required to preserve human life; these needs include food, clothing

and shelter. These needs must be met at least partly before higher

level needs emerge. They exert a tremendous influence on

behaviour. They are the most powerful of motivating stimuli. These

take precedence over the other needs. Physiological needs

dominate when all needs are unsatisfied. Physiological needs have

certain features in common:

They are relatively independent of each other.

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They can be identified with a particular organ of the body.

Physiological needs are essentially finite. An individual demands

only a particular amount of these needs.

They must be met repeatedly within relatively short time periods to

remain fulfilled.

Satisfaction of physiological needs is usually associated not with

money itself. The value of money diminishes as one goes up the

hierarchy.

2. Safety needs : Once physiological needs become relatively well

gratified, the safety needs begin to manifest them and dominate

human behaviour. These include:

Protection

Economic safety

Desire for orderly, predictable environment.

The desire to know the limits of acceptable.

Maslow stressed emotional as well as physical safety. Organisations

can influence these security needs either positively – through

pension schemes, insurance plans- or negatively by arousing fears

fired or laid off.

3. Higher safety needs : The love needs: After the lower needs have

been satisfied, the social or love needs become important

motivators of behaviour. Social needs tend to be stronger for some

people than for others and stronger in certain situations. Social

needs have certain features in common:

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They provide meaning to work life. Individuals are not treated as

glorified machine tools in the production process. They seek

affiliation because they desire to have beliefs confirmed.

Social needs are regarded as secondary because they are not

essential to preserve human life. They are nebulous because they

represent needs of the minds and spirit, rather than of the physical

body.

Social needs are substantially infinite.

Social needs are primarily satisfied through symbolic behaviour of

psychic and social content.

4. Esteem needs : Esteem needs are two fold in nature: self esteem and

esteem of others. Self esteem needs include those for self

confidence, achievement, competence, self respect, knowledge and

for independence and freedom. The second group of esteem needs

are those that are related to ones reputation: needs for status,

recognition, appreciation and the deserved respect of ones fellows.

Esteem needs have certain features in common:

They do not become motivators until lower level needs are

reasonably satisfied.

These needs are in satiable: unlike lower other needs, these needs

are rarely satisfied.

Satisfaction of esteem needs produces feelings of self confidence,

worth, strength, capability and adequacy.

The modern organisation offers few opportunities for the satisfaction

of these needs to people at lower levels in the hierarchy.

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5. Self – Actualisation needs : These are the needs for realizing ones

own potentialities for continued self development. Self actualisation

is the desire to become what one is capable of becoming. Self

actualisation is a growth need. Self actualisation needs have certain

features in common:

The specific form that these needs take will vary greatly from person

to person

Self realisation is not necessarily a creative urge. It does not mean

that one must always create poems, novels, paintings, and

experiments.

The way self- actualisation is expressed can change over the life

cycle.

These needs are continuously motivational.

These needs are psychological in nature and are substantially

infinite.

The conditions modern life give only limited opportunity for these

needs to obtain expression.

Evaluation

Theoretical difficulties: The need hierarchy theory is almost a non

testable theory. This theory has received consistent support some of

the propositions are totally rejected, while others receive mixed and

unquestionable support.

Research methodology: It is a clinically derived theory and its unit of

analysis is the individual.

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Needs crucial determine of behaviour: the concept of needs is

introspective in nature. It is difficult to catalogue the multifarious

needs of individuals. The assumption that needs is the factors.

Individual differences: Individuals differ in the relative intensity of

their various needs. Different people have different needs.

The theory is a set whole of factors affecting individual need

structure race, position in authority structure. Managers do not have

substantial amount of time for each employee in the Maslow need

priority model. The need priority model is useful because of its rich,

comprehensive view of needs. The theory is still relevant because

needs no matter how they are classified are important for

understanding behaviour.

Alderfers ERG model

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Alderfers ERG theory is a less restrictive model of the motivation

process. It represents a simplification of Maslow’s need priority

theory, noise but by reducing only by reducing the number of need

categories but by removing the restriction about the activation of

needs in any hierarchal order.

When an individual is continuously frustrated in his attempts to

appease his growth needs and an individual may redirect his efforts

toward these lower level needs.

There is a difference and a similarity between the two theories:

Similarities:

The overall structure of need is the same. This theory is only a

reconfigured need hierarchy model. Both models deal with

movements upward in the hierarchy.

Differences:

This theory provides a specific mechanism for downward movement

in the hierarchy which Maslow does not provide. According to this

theory in addition to satisfaction progression, frustration regression

can also occur if you fail to satisfy needs at a certain level.

Physiological needs: Extrinsic needs required to preserve human

life. They include all what Maslow termed as physiological needs

relating to material safety.

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Social needs: They refer to all socially intended needs that is how

people relate to their surrounding social environment. These include

the need for meaningful social and interpersonal relationships.

Esteem self actualisation needs: Growth needs they reflect the

individuals desire to be self confident, productive and creative; the

desire to engage in tasks that require the full utilisation of abilities

and that develop additional capabilities/ skills.

Achievement motivation theory

Some people have an intense desire to accomplish and show

excellence. Achievement, power and affiliation are three important

needs that help to understand human motivation in organisational

settings.

Power : this is the need to dominate, influence and control people.

Power speaks about the ability to manipulate or control the activities

of others. People with a high need for power look for positions of

leadership. They like to set goals, make decisions and direct

activities.

Affiliation need : the need for affiliation is a social need, for

companionship and support, for developing meaningful relationships

with people. Persons who have high need for affiliation view the

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organisation. They are motivated by jobs that demand frequent

interaction with co-workers. Such people are not likely to succeed

well at tasks that force them to work in isolation.

Achievement need : This is the need for challenge, for personal

accomplishment and success in competitive. A person with a high

need for achievement has the three distinct characteristics:

Achievers prefer jobs Personal Responsibility

That offer Feedback

Moderate Risks

High achievers flourish in competitive situations. They prefer

challenging assignments. They are willing to work hard and want

jobs that stretch their abilities fully. They are not motivated by

money. Theory has a significant implication for managers. If the

needs of employees can be measured accurately, organisations can

improve the selection and placement processes. People with high

need foe achievement may be placed on challenging, difficult jobs.

People with a high need for power may be trained foe leadership

positions. If the organisation is able to achieve a fit between need

intensities and job characteristics, improved performance is

guaranteed.

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Herzberg’s two factor theory

The theory originally was derived by analysing “critical

incidents”written by 200 engineers and accountants in nine different

companies in Pittsburgh Area USA. Herzberg and his associates

conducted extensive interviews with the professional subjects in

study. The research approach was simplistic and built around the

questions. This approach has been repeated many times with a

variety of job holders. The result indicated that when people talked

about feeling good or satisfied they mentioned features intrinsic to

the job and when people talked about dissatisfaction with the job

they talked about factors extrinsic to the job.

Hygiene Factors (Maintenance Factors)

Hygiene factors represent the need to avoid pain in the

environment. They are not an intrinsic part of job, but they are

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related to the conditions under which a job is performed. They are

associated with negative feelings. They are environment related

factors, Hygiene. They must be viewed as preventive measures that

remove sources of dissatisfaction from the environment. Hygiene

factors produce no growth in worker output but they prevent loss in

performance caused by work restriction.

Motivators: Motivators are associated with positive feelings of

employees about the job. They are related to the content of the job.

They make people satisfied with the job. If managers wish to

increase motivation and performance above average level, they

must enrich the work. Motivators are necessary to keep job

satisfaction and job performance high.

Differences in Maslow’s and Herzberg’s

Motivation theories

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Issue Maslow Herzberg

Type of theory

The satisfaction

performance

relationship

Effect of need

satisfaction

Descriptive

Unsatisfied needs

energise behaviour.

A satisfied need is

not a motivator.

Prescriptive

Need cause

performance.

A satisfied need is

not a motivator.

Need order

Effect of pay

Effect of needs

View of motivation

Worker level

Hierarchy of needs

Pay is a motivator

All needs are

motivators

Macro view- deals

with all aspects of

existence.

Relevant for all

workers.

No hierarchy

Pay is not a

motivator

Only some needs are

motivators.

Macro view- deals

primarily with work

motivation.

Probably more

relevant foe white

collar professionals.

Herzberg’s Contribution

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Hertzberg’s two factor theory has made a significant contribution

toward improving manager’s basic understanding of human

behaviour. He drew attention of managers to the importance of job

content factors in work motivation which had been neglected

previously. The theory focuses too much attention on satisfaction or

dissatisfaction rather on the performance level of the individual.

Much importance is not given to such factors like status, pay, and

interpersonal relationships. Motivation, satisfaction and performance

are all separate variables and relate in different ways from was

assumed by Herzberg.

Theory X and Theory Y

Theory X

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Theory X contends that people have inherent dislike of work and will

avoid it, whenever possible. Most people, being lazy, prefer to be

directed, want to avoid responsibility and are relatively unambitious.

They must be coerced, controlled, directed or even threatened with

punishment to get them to work towards organisational goals.

External control is clearly appropriate for dealing with such

unreliable, irresponsible and immature people. Managers have to be

strict and authoritarian, if subordinates are to accomplish anything.

Theory X assumes that lower- order needs dominate human

behaviour.

Theory Y

Theory Y presents a much more optimistic view of human nature. It

assumes that people are not, by nature, lazy and unreliable. They

direct themselves towards objectives if their achievements are

rewarded. Most people have the capacity to accept, even to seek

responsibility as well as to apply imagination, ingenuinity, and

creativity to organisational problems. If the organisational goals

climate is conductive, people are eager to work, and they derive a

great deal of satisfaction from work, and they are capable of doing a

good job. Theory Y assumes that higher- order needs dominate

human behaviour.

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Equity Theory

Adams equity theory is one of the popular social exchange theories

and is, the most rigorously developed statement of how individuals

evaluate social exchange relationships. It is probably the clearest of

the process theories.

Major components of the equity theory

Person: These are the people who perceive themselves in relation

to other people.

Other: These are the people that are the basis of the comparisons

made.

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Inputs: These are the total of the individuals assets brought to the

work environment. They include educational level, work experience,

skills and talents.

Outcomes: These are all the outcomes or rewards individuals derive

from their jobs. They include pay, benefits, promotional

opportunities and status.

Expectancy theory

Expectancy theory is one of the most ambitious theories developed

in the area of organisational behaviour. It accommodates a number

of motivational determinants in its theoretical framework. It is one of

the most complete theories for detailing not only people feel and

behave but also why they react also.

It is sufficiently general so as to be useful in a wide variety of

situations. It considers employee needs, organisational rewards, and

task performance, as well as their contingency relationships in

particular works situations.

Key Variables in the model

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The expectancy theory is based upon a relation- economic view of

people. It views people as having their own needs and expectations

of what they desire from their work

They use these to decide on which company to join and how hard to

work on the job.

The theory assumes that people are decision- makers who choose

among alternatives by selecting the one that appears most desirable

at the times. Motivation depends on the situation facing people and

how it satisfies their desires.

There are three factors under which expectancy theory is built:

Valence: People have preferences (valences) for various outcomes

or incentives that are potentially available to them. Valence refers to

the personal value workers place on the rewards they believe they

will receive performing. The valence is the value person places on

the rewards that he expects to receive from the organisation. It

reflects the strength of a person desire for or attraction to the

outcome of a particular course of action.

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Expectancy: Expectancy refers to the perceived relationship

between a given level of effort and a given level of performance. It

refers to the extent to which the person believes that his efforts will

lead to the first level outcome (performance).

Instrumentality: It refers to the relationship between performance

and rewards. It provides answer to such questions. A workers belief

about the likelihood of being rewarded in accordance with his level

of performance. It refers to the person’s perception of the

relationship between high performance and promotion. The

willingness to expand effort depends on the negative or positive

valence attached to an outcome. Expectancy and valence combine

multiplicatively to determine motivation. The expectancy theory

emphasises expected behaviours and is concerned with

expectations. It makes a strong argument in favour of having

rewards contingent upon successful performance. Vroom’s

expectancy theory appears to be the most popular motivation

theory.

Goal Setting Theory

Motivation is a result of rational and intentional behaviour. The

direction of the behaviour is a function of the goals individuals set,

and their efforts toward achieving these goals. These goals should

be moderately difficult. They should be a type that employee will

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accept and commit to accomplishing. Goal commitment is the

dedication which individuals extend toward reaching the set

objective.

The theory maintains that relevant and challenging goals which take

care of individual’s capabilities should be developed. The process is

facilitated by the involvement of workers in organisational goal

setting.

Reinforcement theory

The reinforcement theory states that behaviour that results in

rewarding consequences is likely to be repeated, whereas the

behaviour that results in punishing consequences is likely to be

repeated. “Reinforcement is anything that causes a given behaviour

to

Be repeated or inhibited”

There are four types of reinforcement:

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Positive reinforcement: It is a method of strengthening behaviour with rewards or

positive outcomes after desired behaviour is performed.

Negative reinforcement: Sometimes it is termed as avoidance, learning, negative

reinforcement occurs when unpleasant or undesirable situation is removed or

withdrawn.

Extinction: Extinction is an effective method of controlling undesirable behaviour.

It refers to non reinforcement. It is based on the principle that if a response is not

reinforced it eventually disappear. Extinction is a behavioural strategy that does not

promote desirable behaviours but can reduce undesirable behaviours.

Punishment: Punishment is a control device employed in organisations to

discourage and reduce annoying behaviours of others. Punishment reduces the

response frequency; it weakens the behaviour.

Behaviour modification

Organisation behaviour modification is the name given to the set of techniques by

which reinforcement theory is used to modify human behaviour.

“Organisation behaviour modification is the systematic reinforcement of desirable

work behaviour and the non- reinforcement or unwanted work behaviour”

There are four steps of behaviour modification

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Define the target behaviour

Develop performance goals

Assess performance progress

Match performance with employees.

How to motivate employees

Recognise individual differences: Every employee has different needs. They also

differ in term of attitude, personalities and other variables.

Match people to jobs: People with high growth needs perform better on challenging

jobs.

Use goals: Provide specific goals. Make people understand that they can achieve the

goals in a smooth way.

Morale and Productivity

Morale refers to the positive feelings of an employee toward his

work, colleagues, employer and the organisation. Morale building is

an important job of every manager because high morale makes the

work more pleasant and helps in improving productivity, rewards.

High productivity by using scientific management, time studies and

close supervision.

Conclusion

The study concludes that, the motivational program procedure in Sahara India Pariwar

is found effective but not highly effective. The study on employee motivation

highlighted so many factors which will help to motivate the employees. The study was

conducted among 15 employees and collected information through structured

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questionnaire. The Study helped to findings, which were related with employee

motivational, programs which are provided in the Sahara India Pariwar.

The performance appraisal activities really play a major role in motivating the

employees of the organization. It is a major factor that makes an employee feels good

in his work and results in his satisfaction too. The organization can still concentrate on

specific areas which are evolved from this study in order to make the motivational

programs more effective. Only if the employees are properly motivated- they work

well and only if they work well the organization is going to benefit out it. Steps should

be taken to improve the motivational programs procedure in the future. The

suggestions of this report may help in this direction.

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