Organizational behaviour : Two-factor theory and Motivation

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Two-factor theory and Motivation

Project Report for subject Organizational Behavior

At

Directi By

Renzil D’cruz

http://RenzilDe.com

http://about.me/renzilde

http://linkedin.com/in/renzilde

Presented to

D.I. Cabral

http://renzilde.com/

http://about.me/renzilde

http://linkedin.com/in/renzilde

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INDEX

Sr.

No

Topic Page

No.

1. Acknowledgements 3

2. Abstract 4

3. Company Profile 8

4. Objective of study : Two-factor

theory and Motivation

10

5. Methodology 12

6. Questionnaire 13

7. Findings 17

8. Analysis 28

9. Recommendations 30

10. Conclusion 31

11. Bibliography 32

12. Annexure 32

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Acknowledgements

I would like to thank Margaret Rodrigues-D’souza Sr.

Manager - Human Resources at Directi

for allowing me to carry out the much necessary survey

and employee interaction and helping me to with

necessary information.

Along with that, my former manger Mr. Anish Tripathi,

Head of User-Experience Design Group, Media.net

(Directi) for support and encouragement.

Also, I would like to express my thanks to my friends and

former collogue for their help and wishes for successful

completion of this project.

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Abstract

Objective: Certain factors in the workplace that cause job

satisfaction, while a separate set of factors cause dissatisfaction,

satisfaction leads to motivation.

This project has been undertaken to focus on factors for

satisfaction, dissatisfaction and motivation based on Dual-

Factor Theory amongst employees of Directi Pvt.ltd.

Actual Study: Based on a questionnaire was designed and a

sample set of 15 employees were selected to be surveyed based

on this questionnaire. A survey web page is mailed to employees

from different departments and based on their response data is

generated.

Findings: The results from the questionnaire were analyzed

statistically and findings presented graphically for easy

reference.

The findings showed that the employees are quite motivated to

work because of the work culture events and activities.

Conclusion: From the observation based on survey, we analysis

that the overall employee engagement and employee motivation

is satisfactory. The company provides best HR policies and

activities to learn and opportunities for advancement in career.

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Introduction

The Two-factor theory (also known as Herzberg's motivation-

hygiene theory and Dual-Factor Theory) states that there are

certain factors in the workplace that cause job satisfaction, while

a separate set of factors cause dissatisfaction

Psychologist, Frederick Herzberg, set out to determine

which work factors (such as wages, job security, or

advancement) made people feel good about their jobs and

which factors made them feel bad about their jobs. He

surveyed workers, analyzed the results, and concluded

that to understand employee satisfaction (or

dissatisfaction), he had to divide work factors into two

categories:

Motivation factors. Those factors that are strong

contributors to job satisfaction

Hygiene factors. Those factors that are not strong

contributors to satisfaction but that must be present to

meet a worker’s expectations and prevent job

dissatisfaction

“Herzberg’s Two-Factor Theory” illustrates Herzberg’s

two-factor theory. Note that motivation factors (such as

promotion opportunities) relate to the nature of the work

itself and the way the employee performs it. Hygiene

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factors (such as physical working conditions) relate to the

environment in which it’s performed. (Note, too, the

similarity between Herzberg’s motivation factors and

Maslow’s esteem and self-actualization needs.)

Essentially, hygiene factors are needed to ensure an employee is

not dissatisfied. Motivation factors are needed to motivate an

employee to higher performance. Herzberg also further

classified our actions and how and why we do them, for

example, if you perform a work related action because you have

to then that is classed as movement, but if you perform a work

related action because you want to then that is classed as

motivation.

Unlike Maslow, who offered little data to support his ideas,

Herzberg and others have presented considerable empirical

evidence to confirm the motivation-hygiene theory, although

their work has been criticized on methodological grounds.

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Motivation Conditions

Internal – Suggest that variables within the individual

give rise to motivation and behavior – Example:

Maslow’s hierarchy of needs theory

Process – Emphasize the nature of the interaction

between the individual and the environment –

Example: Expectancy theory

External – Focus on environmental elements to

explain behavior – Example: Two-factor theory

Motivational Drives

Affiliation motivational drive: They want tolerate

themselves with others in the organization.

Competence motivational drive: They want to

perform high quality work and they want to

improve/develop their skills in the work place.

Power motivational drive: They want to influence

other people and the organization as a whole.

In sort Two-factor theory divides work factors into

motivation factors (those that are strong contributors to

job satisfaction) and hygiene factors (those that, though

not strong contributors to satisfaction, must be present to

prevent job dissatisfaction). To increase satisfaction (and

motivate someone to perform better), managers must

address motivation factors.

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Company Profile

About Directi

Directi is a global internet company with various diversified

businesses. It has customers in over 200 countries. Its business

units have offices in the United States, China, UAE & India.

Directi was started by Bhavin Turakhia and Divyank Turakhia

in 1998.

Directi (http://www.directi.com) is a 350+ million dollars group

of Businesses, that develop innovative mass-market Web

Products serving millions of Customers worldwide.

25+ Internet Software Products for a Global audience

1,000,000+ Customers and 50,000+ channel partners (growing

at >120% p.a.)

Their products include - domain registration, web hosting,

online advertising, communication and collaboration

applications and instant messaging software.

Directi (http://www.directi.com) is a 350+ million dollars group

of Businesses, that develop innovative mass-market Web

Products serving millions of Customers worldwide.

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VISION

"Everything the BYTE touches is our kingdom"

MISSION

Directi believes in indigenous development. We conceptualize,

develop, sell, and support all our Products. We control all

aspects of our Products and Services. This results in greater

control over quality and better alignment with our vision.

Directi focuses on innovation. We invest in creating high-

margin, growth-intensive intellectual property as opposed to

low-margin, capital-intensive infrastructure projects.

Directi believes in agile processes and process automation.

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Objective of study : Two-factor theory

Motivation is to inspire people to work, individually or in

groups in the ways such as to produce best results. It is the will

to act. It is the willingness to exert high levels of effort towards

organizational goals, conditioned by the efforts and ability to

satisfy some individual need.

Motivation factors. Those factors that are strong

contributors to job satisfaction and Hygiene factors.

Those factors that are not strong contributors to

satisfaction but that must be present to meet a worker’s

expectations and prevent job dissatisfaction.

The survey aims at gauging level of motivation, know the

underlying causes and the general impact on the work place and

work culture. Directi as a company motivating youth and

attracting young generation crowd through flexible company

policies and work environment. Also observe impact of

motivation through external factors such as

Company policy and administration

Supervision

Interpersonal relations

Working conditions

Salary

Status

Security

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Achievement

Achievement recognition

Work itself

Responsibility

Advancement

Growth

Fringe Benefit

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Methodology

The study sample constituted of 15 respondents.

A well form survey is conducted online through intranet directi

and mail is send to random people from various department they

replied to mail and data is generated

The statistical tools used for analyzing the data collected are bar

diagrams and pie diagrams.

Observation method was followed for internal company

information from company literature on the website and other

published materials.

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Questionnaire

Please check the right selection

A. I am fairly compensated for my position and responsibility

1. Strongly Agree 2.Agree 3.Neutral 4.Disagree 5.Strongly Disagree

B. I felt Directi’s Benefits plans are able to meet my needs


C. My Manger has impeccable integrity and extremely honest


D. How far you are satisfied with the incentives provided by the organization?


E.I am clear about my role assignment and responsibilities


F. I am known in dept. because of reorganization of my work


G. I am respected as individual


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H. My department functioned decently


I. I have good working with team members


J. The communication that I receive from top management is timely and accurate


K. Effective promotional opportunities in the organization appraisal process and

bonuses


L. Fun Fridays and other activities helps you to get motivated


M. Performance appraisal activities are helpful to get motivated


N. Support from the co-worker is helpful to get motivated Company

recognize and acknowledge your work


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O. Rank the following factors which motivates you the most?

(Rank 1, 2, 3, 4, 5, 6 respectively)

a) Salary increase

b) Promotion

c) Incentives

d) Personality Development Classes

e) Recognition

f) Saturday Activities

P. Do you think that the incentives and other benefits will influence your

performance?


Q. Does the management involve you in decision making which are connected to

your department?

a) Yes

b) No

c) Occasionally

d) Mostly

R. Are you satisfied with your pay package?


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S. What is your level of satisfaction regarding superior – subordinate relationship?


T. I am able to maintain a good work-life balance


U. Directi is fun place to work


V. Any further suggestions that you would like to put forward?

………………………………………………………………………………………

………………………………………………………………………………………

Pros…………………………………………………………………………………

Cons…………………………………………………………………………………

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Findings

Employee Ratings A. I am fairly compensated for my position and responsibility

B. I felt Directi’s Benefits plans are able to meet my needs

A

StronglyAgree

Agree

Neutral

B

StronglyAgree

Agree

Neutral

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C. My Manger has impeccable integrity and extremely honest

D. How far you are satisfied with the incentives provided by the organization?

E.I am clear about my role assignment and responsibilities

StronglyAgree

Agree Neutral Disagree StronglyDisagree

0

5

10

C

C

StronglyAgree


0

5

10

D

D

0

10

E

E

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F. I am known in dept. because of reorganization of my work

G. I am respected as individual

H. My department functioned decently

StronglyAgree


0

5

10

F

F

StronglyAgree


0

5

G

G

StronglyAgree


0

5

10

H

H

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I. I have good working with team members

J. The communication that I receive from top management is timely and accurate

K. Effective promotional opportunities in the organization appraisal process and bonuses

StronglyAgree


0

5

I

I

StronglyAgree


0

5

10

J

J

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L. Fun Fridays and other activities helps you to get motivated

M. Performance appraisal activities are helpful to get motivated

02468

K

K

L

StronglyAgree

Agree

Neutral

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N. Support from the co-worker is helpful to get motivated

O. Rank the following factors which motivates you the most?

(Rank 1, 2, 3, 4, 5, 6 respectively)

a) Salary increase

b) Promotion

c) Incentives

d) Personality Development Classes

R

Strongly Agree

Agree

Neutral

Disagree

StronglyAgree


05

10

N

N

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e) Recognition

f) Other Activities

P. Do you think that the incentives and other benefits will influence your performance?

0%20%40%60%80%

100% OtherActivities

Recognition

PersonalityDevelopmentClasses

P

StronglyAgree

Agree

Neutral

Disagree

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Q. Does the management involve you in decision making which are connected to your

department?

R. Are you satisfied with your pay package?

S. What is your level of satisfaction regarding superior – subordinate relationship?

Q

Yes

No

Ocassionally

Mostly

R

StronglyAgree

Agree

Neutral

Disagree

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T. I am able to maintain a good work-life balance

U. Directi is fun place to work

S

Yes

No

Ocassionally

Mostly

T

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

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V.Responce

“Young, Vibrant company with a growing ambition for the future.”

Pros – The opportunity to learn the many aspects of the Online industry is

unmatched.

Cons – Well settled individuals at junior management and lower levels, makes it

difficult to ascertain growth for a new employee

“An OK place”

Pros – We work on interesting technology. Open Source is encouraged. There is a

lot of freedom to choose what you work on.

Cons – A over-engineering culture. Ad hoc management processes. Occasional

micro-management. An inability to attract experienced lateral hires.

U

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

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Finding

A.From the above trend it can be concluded that the

management is doing enough to make sure employees are kept

involved as well as accountable for their jobs.

Time and again the management communicates the short term

and long term goals to the employees, for them to feel secured

and know what to look forward to in the organization and know

about the opportunities which also help them carve their future

path.

B. From the above trend it was found that both monetary as well

as non monetary benefits are prevalent in the company. The

employees are motivated with the company initiatives and both

monetary as well as non monetary incentives are important to

them.

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Analysis

From the above findings, we can say that the company shares a

very healthy relationship with its employees and helps them

grow as individuals. Thus, it proves that the employee

expectations are met by the management.

The relevant questionnaire reveals the attitude of employees

towards the management is good and the level of satisfaction

among the employees which is very high.

By the very nature of the industry, employee engagement

activities happen on a large scale. This could be due to the kind

of employees a service industry would usually hire. Employee

engagement activities:

There are several employee engagement activities that are

carried out in order to keep the employees motivated. The

company operates for 5 days a week and alternate Saturdays are

working. On the working Saturday they have various

engagement activities planned.

Whereas I recognize how critical extrinsic motivation is–we all

need to be rewarded fairly for the job that we do-in my

experience the most effective factors relating to employee

motivation are related to intrinsic motivation:

1. Empowerment

2. Growth

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3. Inclusion

4. Purpose

5. Trust

Accuracy of information is also very necessary in this industry

as the data contains of patient’s medical information. Hence the

employees are reviewed on a continuous basis. The best

performer or the person who exceeds the targets is rewarded too.

Ways to Motivate People

Training

Coaching

Task assignments

Rewards contingent on good performance

Valued rewards availably

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Recommendations

In My opinion

Attrition rate in this industry is very high because of the

monotonous nature of work which is why the employees

need to be kept involved in activities.

Should Hire some senior employee which will be helpful

for flow of growth

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Conclusion

My experience in this company

What are the main reasons for people to consider long

careers in this organization? Good work environment, transparency

What are the main reasons because of which employees

leave the organization? Salary constraints, better opportunities.

What does the company do to create a work environment

which ensures employees are more productive and

motivated? Directi encourages employees to be what they are and be

comfortable while working. One of the most motivating factors

is casual wear.

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Biography

Refer links

http://www.web-books.com/eLibrary/NC/B0/B66/057MB66.html

http://en.wikipedia.org/wiki/Two-factor_theory

Annexure

User-Experience: field in computer graphics

Organizational behaviour : Two-factor theory and Motivation

Education

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