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    Chapter 1 INTRODUCTION

    In an industry workers performance is very important because it provides products and

    service, which represent the basis for a company's success. Employees are a valuable

    resource that may contribute in several different ways to a company's activities, provided

    that the company gives them an appropriate chance (Morgan, 1!". #or achieving the

    success important keys are, how productive people are at work, their skills, motivation

    and commitment. In order to be successful, a company needs employees who act toward

    the goals of the organi$ation and have a strong desire to remain in the company

    (Molander, 1%". &uch loyalty and commitment may be generated by motivation. he

    aims of motivation are to increase productivity and ob satisfaction. )ighly motivatedpersons tend to work harder and perform more effectively in their obs than less

    motivated individuals.

    Managers who need to be aware of factors that motivate workers to make them perform

    well, ending up with )* professionals who have to understand motivation to effectively

    design and implement reward structure and systems. )owever, because of a comple+

    nature of human behavior, motivation is not easy to understand and to use. lthough,

    some of research suggested that money is not as potent as it seemed to be, many

    companies tried to implement monetary incentives as their main tool to motivateemployees. he literature on a subect of motivation shows that there are several other

    ways to motivate employees. he most well know and often cited theories can be divided

    into two categories- content theories and process theories. he first group is focused on

    what motivate people. It is represented by authors such as Maslow, Mclelland and

    )er$berg. he second category / process theories, try to find out how motivation occurs.

    0room, dams, ocke and atham created the most influential process theories. he

    points of view presented by authors of those theories in some aspects are complementary

    but in others are totally opposite. hat possibly was the reason for other researchers2

    inspiration to conduct own studies on motivation. It resulted in a number of possible

    suggestions about motivators that could play a crucial role in increasing employees2

    performance. &ome authors (3ldham 4 )ackman, 56167 awler, 1%" indicate that ob

    design plays important role in shaping employees behavior while others (*oche 4

    Mac8innon, 1!67 llender 4 llender, 197 u, 17 harenou, 1:7 Mayfield,

    Mayfield, 4 8opf, 19" suggest that leadership style and freedom given to employees

    1

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    are crucial in motivating employees. nother group of researchers (uthans 4 &takovic,

    56667 rmstrong 4 Murlis, 566;" try to prove that recognition can be used to motivate

    people to perform well. In fact, there are many more e+amples of possible motivators in

    the literature on a subect of motivation.

    In this multitude of possible options it is not easy to answer the

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    1.2 STRUCTURE OF THE PAPER

    he structure of this thesis paper can be broken down into four general parts. he first

    part is an introduction. It contains basic information about theoretical foundations of the

    thesis and the importance of the topic of motivation. he limitations of the study are

    concerned at the end of the introductory part.

    he second part is a theoretical background of the thesis. It is based on findings from the

    literature and previous research on motivation. his part contains author2s theoretical

    analysis in which he synthesi$e and e+?pound ideas upon the subect area in

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    1. LIMITATION

    @ue to the scope of this research there are several limitations that need to be addressed.

    #irstly, the present study limited its sample to a group of workers from comfit composite

    knit limited, &tandard Aroup and Ecome+ imited. his may hinder the generali$ability

    of the results. In other words, results should be generali$ed only to the population ofworkers from particular industry. )owever, it is possible that workers from other

    industries would give similar answers.

    &econdly, the list of five factors used in the

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    Chapter 2LITERATURE REVIE#

    In today2s world, the biggest task of the human?resource manager is to motivate andretain employees. Motivation is a company2s life?blood (&harma, 566%". Businesses today

    have entered a new era in the relationship between the companies themselves and their

    employees. he companies can no longer see their employees as either their loyal family

    members or as easily replaceable company resources. In this new era, employees need to

    be respected and like to be treated as valuable human capital, as even more important than

    the company2s financial capital. Employees are now becoming the main source of a

    company2s competitive advantage. herefore, how a company treats its employees

    increasingly determines whether a company is going to thrive or even to survive (awler,

    566:". s awler says, Cin the twenty?first century, treating people right is not an option7 itis a necessityD.

    Employee try to find satisfaction in what they do and as a result the manager should

    be able to understand the problems faced by his workers and find a way of satisfying their

    needs and aspiration. he general assumption is that an ade

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    Everyone has motives that are inspired by certain factors that encourage the desire to

    enhance performance (8ressler, 566:". he word CmotivationD is derived from the atin

    word movere,which means Gto move2 (8retiner, 19 in *amlall, 566;". Motivation has

    been defined as an internal drive to satisfy an unsatisfied need ()iggins, 1; in indner,19". o define motivation both in a comprehensive and e+plicit way, inder (1F",

    ocke, &haw, &aari, and atham (191", &teers and orter (1!", and 0room (1%;",

    formulate following definition- CHork motivation is a set of energetic forces that

    originate both within as beyond an individual2s being, to initiate work?related behavior,

    and to determine its form, direction, intensity, and durationD.

    he term motive usually is e+plained as desires, needs, emotions or impulses that make

    someone do something. #ollowing this definition, motivation is the state of being incited

    to action. Hhen we take into consideration work environment it becomes clear that workmotivation refers to motivation within a work setting. ypically, it refers to employees2

    motivation to perform, stay and commit in a company, cooperate, lead or support a leader,

    help customers and so forth. 3bviously, this definition from International Encyclopedia

    of 3rgani$ational &tudies (ed. Bailey 4 legg, 5669" is ust an e+ample from a mass of

    work motivation definitions which can be found in almost every paper about this topic.

    &ome authors define what motivation is by e+plaining where it comes from. In this

    approach work motivation has been defined as Ca psychological process resulting from

    the reciprocal interaction between the individual and the environment that affects a

    person2s choices, effort, and persistenceD (atham 4 Ernst, 566%". In other definitionswork motivation is associated with the goal attainment. eople are motivated to do

    something if they believe it is likely that it will bring desired result. eople who are well

    motivated take action that they e+pect will achieve their clearly defined goal (rmstrong,

    566!". 8anfer (16, as cited in Borklund, 5661" stressed that motivation is a

    phenomenon which cannot be directly observed. he only way to infer motivational

    processes is to analy$e streams of behavior caused by environmental or inherited factors

    which can be observed through their effects on abilities, beliefs, knowledge and

    personality.

    8reitner (1F", Buford, Bedeian 4inder (1F", )iggins (1;" all cited in inder

    (19" defined motivation as Cthe psychological process that gives behavior purpose and

    direction, a predisposition to behave in a purposive manner to achieve specific unmet

    needs, an unsatisfied need, and the will to achieve, respectively. #or this thesis, the

    definition of motivation by Areenberg 4 Baron (566:" is adopted, as it is more realistic

    %

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    and simple. Areenberg 4Baron defines motivation as-

    The set of processes that arouse, direct, and maintain human behavior towards attaining

    some goalD. (Areenberg 4Baron, 566:".

    2.2 SOURCES OF MOTIVATION

    &ources of motivation can be intrinsic or e+trinsic (ones 4 Aeorge, 566;". Intrinsically

    motivated behavior is behavior that is performed for one2s own sake and e+trinsically

    motivated behavior is performed to ac

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    Chapter 3THEORETICAL BAC&$ROUND

    Employee motivation is influenced by the employee himself or herself, the managementand the environment. Motivating the employee is the manager2s ob (Birkin, 566%". It is

    therefore the manager2s ob to understand what motivates the employees. Based on ocke

    and atham2s integrated model of work motivation, various theories of work=employee

    motivation will be discussed, including Maslow2s need hierarchy, Mclelland2s

    personality?based approach to employee motivation, 0room2s 0IE theory, ocke and

    atham2s goal theory, Bandura2s self?efficacy theory, Heiner2s attribution theory,

    )er$berg2s ob characteristics model, the organi$ational commitment theory and dam2s

    e

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    L erformance and outcomes

    L ttribution theory

    L ob characteristics theory

    L &atisfaction and dissatisfaction

    L 3rgani$ation policies and proceduresL @istributive and procedural ustice theory

    L 3rgani$ational commitment

    3.2 MOTIVATION THEORIES

    he subect of motivation has been present in the literature from the early beginning of

    56th entury. lthough, many theories have been developed and aplenty of research has

    been conducted, factors that motivate people to perform well at work are still a

    controversial topic. Many researchers as a starting point for their work in the field ofmotivation used the most known theories and models of motivation. rmstrong (566!" in

    his book about employee reward management summari$ed those theories in a clear and

    useful way. ccording to him, aylor2s theory of motivation to work is related to rewards

    and penalties which are directly connected to performance. Maslow2s concept of

    hierarchy of needs is less instrumental approach. It defines motivation as a result of

    peoples unsatisfied needs. )er$berg focused on a distinction between e+trinsic and

    intrinsic motivators. hose ColdD theories are definitely important, however they are not

    perfect. nalysis showed that they are characteri$ed by some significant weaknesses.

    rmstrong presents modern, process theories which approach motivation from differentperspective. s an e+ample, 0room2s e+pectancy theory e+plains that motivation e+ists

    only when relationship between performance and outcome is clear and usable. Aoal

    theory emphasi$es the role of a feedback and setting goals in relation to motivation and

    performance. #inally, E

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    3.2.1 C'(te(t the'r)e*

    he content theories are characteri$ed by emphasis on what motivates people. hey

    concern with individual goals and needs which are said to be the same for every person.

    lthough, needs, they differ in defining what those needs are. he most well?known andvery often cited author of motivational theory is Maslow human needs (#incham 4

    *hodes, 566F" behavior is driven by the e+istence of unsatisfied needs. )is hierarchy

    from psychological needs and lead through security needs, social needs, self?esteem

    needs and self?actuali$ation need on the top position

    F)+,re 3.1- Maslow2s hierarchy of needs

    ccording to Maslow, higher needs are not felt until lower needs are not fulfilled.

    dditionally, when the need is satisfied it does not influence human behavior anymore

    and as a result the focus is moved into a need which is higher in the hierarchy.

    Maslow divided needs into two categories- deficiency needs and high?order needs.

    @eficiency needs include basic needs such as hunger or thirst and a need for shelter and

    protection. Hhen these needs are satisfied people become motivated by high order needs

    such as the need for supportive and satisfactory relationships with others, needs for

    freedom, independence, recognition and achievement and finally the need to develop

    one2s potential. he self?actuali$ation which is the highest step in Maslow2s pyramid can

    be described as the ending point of gradual psychological maturation process. his final

    16

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    level is achieved by few people and unlike other needs is never fully satisfied (#incham

    4 *hodes, 566F".

    Maslow2s work on the theory of needs has been followed by other author2s who took an

    attempt to improve it. 3ne of modifications was presented in 1!: by lderfer, whodeveloped and tested model with fewer needs levels (inder,19". )is study, unlike

    Maslow2s, was based on empirical research in organi$ational settings. he theory

    suggests three general categories of human needs which are partly based on Maslow2s

    model but are not the same. lderfer2s model is named E*A and consists of e+istence

    needs, relatedness needs and growth needs. he first group is closely related to Maslow2s

    physiological needs and partly to security needs (only physical security".E+istence needs

    are concrete in nature and are usually limited. good e+ample of them in organi$ation

    setting is a salary. If money has to be divided between two groups ? the more money

    receives one group, the less gets the other group. *elatedness needs basically consist ofthe interpersonal security needs, the need for prestige and esteem from others. &atisfying

    relatedness needs re

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    better with those kinds2 of tasks. In one of their papers Mclelland2s and Burnham (1!%"

    deliberate on what makes people good managers. hey suggest that high achievement is

    an important factor that leads to the personal success but it does not necessarily make

    someone a good manager. )igh achievers work on their own success by doing everything

    personally and by receiving feedback that is crucial for them. Managers are not able to doeverything by themselves so they have to put some responsibility on others. s well as

    that, the feedback that they receive comes with a delay, so they are not able to find out

    immediately how well they performed. *egarding those facts Mclelland2s and Burnham

    stated opinion that the factor that has a great influence on being a successful manager is

    something else than a need for achievement. hey suggested that it is the need for power

    that is characteri$ed by a desire to influence people.

    Mclelland (16" found that people who desire to have some serious influence on other

    have some special traits. he high need for power usually comes with features such ascompetitiveness, assertiveness and aggressiveness which result in a negative self?image.

    he socially acceptable way to fulfill the need for power is the search for prestige by

    collecting symbols of power. eople characteri$ed by a high need for power tend to act in

    a way that makes them recogni$ed in group. #inally, they are more willing to take a risk.

    he last group of needs described by Mclelland2s model is the group of needs for

    affiliation. he term affiliation was described by tkinson, )ens, 4 0erify (1F;", as Cthe

    concern over establishing, maintaining, or restoring a positive, affective relationship with

    another person or personsD (as cited in Mclelland, 16". eople with a strong need for

    affiliation perform better in tasks which are related to affinitive incentives. In otherwords, they prefer if their work re

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    satisfaction and the opposite of dissatisfaction is no dissatisfaction. )er$berg suggests

    that satisfaction and dissatisfaction are produced by different factors. eople are satisfied

    at their work by factors related to content of that work. hose factors are called intrinsic

    motivators and contain achievement, recognition, interesting work, responsibility,

    advancement and growth. #actors that make people unhappy with their work are calleddissatisfies or hygiene factors. )er$berg found following dissatisfies- company policy,

    supervision, working conditions, interpersonal relationships, salary, status, security. Hhat

    makes them different from motivators is the fact that they are not related to the content of

    the work but to the conte+t of the ob ()er$berg,1!;". #igure 5 presents a fre

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    rocess theories are characteri$ed by a dynamic character, not static as content theories.

    he main concern is not what motivates people but how motivation occurs. rocess

    theories try to e+plain how and why peoples Gbehavior is directed to certain choices. he

    focus of all process theories is put?on Cthe role of individual2s cognitive processes in

    determining his or her level of motivationD (#incham 4 *hodes, 566F". he processtheory which seems to be the core one is the E+pectancy heory. his model was

    originally presented by 0room (1%9", however many other later researchers tried to

    adapt and develops it. 0rom2s E+pectancy theory compromises three factors- valence,

    instrumentality and e+pectancy. 0room describes valence in a relation to peoples2

    affecting preferences toward particular outcomes. he valence of outcome is positive if a

    person prefers attaining it instead of not attaining. 3ppositely, the negative valence of

    outcomes characteri$e situation when a person prefers not attaining it instead of attaining.

    he third possibility is $ero valence of outcome, which means that a person is indifferent

    between attaining outcome or not. he instrumentality is a belief that one action lead toanother. #inally, the e+pectancy is defined as a belief about likelihood that a particular

    behavior will be followed by a particular outcome (0room, 1%;". 0alues of those three

    factors can be used to calculate the motivational force of the ob,. &ummari$ing, 0room2s

    theory suggests that a ob is motivating for employees when they can see a relation

    between performance and outcome, if they have abilities to do the ob and if they see

    outcome as satisfying their needs. 0room2s theory can be a suggestion for managers to

    focus on main aspects of their subordinates perceptions. s well as that, it is helpful in

    e+plaining occupational choices and in predicting tasks that people will work most and

    least hard at (#incham 4 *hodes, 566F".

    nother group of process theories ? e

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    F)+,re 3.2.2- he E

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    Chapter RESEARCH METHODOLO$"

    Each research problem is in some way uni

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    #or collecting data a

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    is distributed according to the h)/*,are )*tr),t)'(with kdegrees of freedom. his is

    usually denoted as

    he chi?s

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    F)+,re ..2-cumulative distribution (cdf" function of chi s

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    Chapter !

    Ca;,;at)'(

    !.< CALCULATION

    his chapter will be a presentation of demographic information, result of the Heiman

    3ccupational &tress &cale and result of the chi?s

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    #actors

    Industry

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    5. )1 data is garment dependent

    :. 6.6F,6.66F

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    Ta;e !.1.- #or observed and e+pected fre

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    included- Kumber of workers at different department, number of years at present ob, age

    of the workers, gender, and marital status.

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    CHAPTER

    Re*,;t A(a;:*)* a( Re'44e(at)'(

    .1 RESULT ANAL"SIS

    :6

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    .1.1 Re*,;t a(a;:*)* 5'r *e+4e(t !.1.2

    In this segment, we have determined whether or not the maor five problems are garments

    dependent.

    *esult said that the null hypothesis )(since `5

    actual\ `5

    critical", that means the maor fiveproblems are garment independent, in other words these problems are prevalent on all

    garments and that is what we wanted prove.

    It has been determined `5critical for two different C'(5)e(e I(ter6a; CI1/ G, .F

    and F. #or all I, the value of `5actualis less than the value of `5critical.&o even for very low

    I that is F, our null hypothesis is accepted.

    .1.2 Re*,;t a(a;:*)* 5'r *e+4e(t !.1.

    In this segment, we have determined whether the problems are department dependent ornot.

    It has been determined `5criticalfor two different C'(5)e(e I(ter6a; CI1/ G, F and

    F for both I, the value of `5actualis greater than the value of `5critical.

    &o it concludes that we reect the null hypothesis )(problems are m=c independent".

    hat means problems are department dependent, in other words particular department is

    responsible for particular problem.

    .1.3 Re*,;t a(a;:*)* 5'r *e+4e(t !.3.2

    In this segment it has been determined the highest rank of motivational factor, fivecondition are selected those are mostly responsible for motivating the workers such as

    salary 4 payment, working condition, working environment, reward 4 bonus, safety.

    Nsing Heiman 3ccupational stress scale rating, the score for all factor choosing are

    determined for every selected worker. he score of 1F6 workers is then summed for every

    factor. he average score is then determined dividing by number of workers. he

    individual score is obtained dividing by number of

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    #igure %.1.1 Maor five factors (from table F.:.5"

    #igure %.1.5- Motivating factor (from table F.:.5"

    .1. A(a;:*)* '5 e4p)r)a; 5)()(+*

    In an attempt to possibly contribute to, without doubt, one of the most important issues

    facing organi$ations and their employees before today and possibly in the foreseeable

    future this thesis undertook the Cfactors that motivate meD survey among 1F6 workers of

    the Aarments. onsidered being a team of the future labor force. he results indicate that

    :5

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    the paramount and most popular motivating factor by a low margin (5%" among all the

    survey participants was that of &alary 4 wages. It is necessary to make the reader aware

    at this point that in discussing the responses or results of this survey, maor emphasis will

    be placed on the top five motivational factors ranked. he collective rank order of

    motivational factors by the entire group of 1F6 respondents for this thesis indicate that-(1" &alary 4 Hages, (5" *eward 4 Bonus, (:" Environmental ondition, (;" Horking

    ondition, (F" &afetywere considered to be the top five most important factors. (*anked

    first to fifth respectively".

    .2 RECOMMENDATION

    In general respondents in this thesis place high emphasis on &alary 4 ayments.

    #inancial motivational factors may all agree remains one of the problems andmaor concerns facing organi$ations before, today and even in the foreseeable

    future.

    romotion and bonus to be very important motivators.

    #urthermore, this thesis concludes that the important motivational value placed on

    each factor may vary according to age and gender.

    #inally, the guideline mainly dependent on organi$ation policy.

    .3 CONCLUSIONIt is a truism that the world is going through enormous changes. he advancement of

    technology has brought changes to the way business is done in every aspect. Employees

    are no longer ust one of the inputs companies use to produce7 they are important assets

    that generate profits for the company. o adapt to these changes, managers need new ways

    to manage their employees. &ince employees are a company2s most important resource,

    satisfying and retaining employees has become a maor focus for managers. o do this

    effectively, managers must keep their employees motivated, so that valuable employees

    stay in the company and perform at their best.

    o motivate employees is not an easy task. Motivation of employees has to be built up

    over a long time, and it can be destroyed in a day. here are many different ways of

    motivating employees. Every motivation theorist comes up with a different approach.

    Motivational factors differ from employee to employee, and also differ according to the

    ::

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    business sector. o do their ob effectively, managers need to take time and effort to

    understand what their employees are looking for in their work and try to meet these needs

    and wants to the best of their ability.

    REFERENCES

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    Industrial Management, vol. ;6 Issue 5, pp 5?:1.

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    rmstrong, M., 4 Murlis, ). (566;". Reward management a handbook of

    remuneration strateg! and practice, ondon- 8ogan age.

    @ckel, . (566:". The effect of retention factors on organi"ational commitment aninvestigation of high technolog! emplo!ees# Nnpublished Mom thesis. retoria-

    Nniversity of retoria.

    8reitner, *. (566;". Management, $ ed#Kew ork- )oughton Mifflin ompany.

    u, . (1". %ork Motivation, ob &tress and Employees' Hell?being. ournal of pplied

    Management &tudies , un, 0ol. 9 Issue 1, %1?%:

    awler, E. (1%". &ob 'esign and (mplo!ees Motivation# ersonnel sychology ,

    Hinter%, 0ol. 55 Issue ;, ;5%?;:F

    ocke, E.. 4 atham, A.. (16". %ork Motivation- he )igh erformance ycle.

    Molander, . (1%"-)uman Resources at %ork, hartwell?Bratt, und

    Morgan, A. (1!"-Images of *rgani"ation, &age ublications, housand 3aks

    Mayfield, . *., Mayfield, M. ., 4 8opf, . (19". The (ffects of +eader

    Motivating +anguage on ubordinate -erformance and atisfaction# )uman

    *esource Management, , #all=Hinter9, 0ol. :! Issue :=;, 5:F?5;;, visited 1 may, 5616

    Kelson, B. (566:". he top ten ways to motivate your employees.

    U3nline^vailablefrom-http-==pro

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    *oche, H. 4 Mac8innon, K. (1!6". Motivating people with meaningful work )arvard

    Business *eview, May=un!6, 0ol. ;9 Issue :, !?116

    rusak, . 4 Hilson, ).. (566:", CHhat2s the big idea> reating and capitali$ing on the

    best management thinking.D Massachusetts- )arvard Business &chool ress.

    *obbins, &.. (566:". Che truth about managing people and nothing but the truth.D

    msterdam- #inancial imes, rentice )all.

    &harma, &. (566%". C right way to motivate an employee, is to win his heartjjjD U3nline^

    vailable from- http-==www.bpoindia.org=research=win?heart.shtml U@ownloaded- 566%?

    6!?5F^

    &imons, . 4 En$, .. (566%". Motivating hotel emplo!ees be!ond the carrot and thestick# U3nline^ vailable from- http-==www.allbusiness.com=periodicals=article= ;99!:?

    1.html Uccessed- 566%?6%?6:^

    harenou, . (1:". . test of reciprocal causalit! for absenteeism . ournal of

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    rompenaars, #. 4 Hoollomas, . (566F". new paradigm for )*- dilemmas in

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    Appe()9

    M't)6at)'(a; 0,e*t)'((a)re*

    :%

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    Sa;ar: @ Pa:4e(t*-

    1. re you satisfied with your basic salary>

    a" es b" &omewhat c" Ko

    5. Is the basic salary given at the right time>a" es b" &ometimes c" Ko

    :. re you satisfied with the company incentive system>

    a" es b" &omewhat c" Ko

    #'r7)(+ C'()t)'(-

    1. re you happy with the behave of your supervisorin?charge>

    a" es b" &omewhat c" Ko

    5. )ave there any work overload>

    a" es b" &ometimes c" Ko:. are you happy with your machine and supplying accessories>

    a" es b" &omewhat c" Ko

    E(6)r'(4e(ta; '()t)'(-

    1. Hhat is the level of noise 4 dust>

    a" ow b" Medium c" )igh

    5. )ave any type reducing process for dust or noise>

    a" es b" &ometimes c" Ko

    :. )ave any recreation system>a" es b" &ometimes c" Ko

    Re8ar @ B'(,*-

    1. re you have festival bonus>

    a" es b" &ometimes c" Ko

    5. re you have any attendance bonus>

    a" es b" &ometimes c" Ko

    :. re you happy company reward system>

    a" es b" &omewhat c" Ko

    :!

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    Sa5et:-

    1. )ave any safety instruments in the industries>

    a" es b" &omewhat c" Ko

    5. re you given any compensation for accident>

    a" es b" &ometimes c" Ko :. re you have medical treatment from the company>

    a" es b" &omewhat c" Ko