Employee Benefit Motivation

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1 ACKNOWLEDGEMENT

Transcript of Employee Benefit Motivation

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ACKNOWLEDGEMENT

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ACKNOWLEDGMENT

The summer training gives an opportunity to form the real situation & make our self aware about the

real world problem.

I extend my sincere gratitude to our most venerable Mr. Devendra Malik

(Chairman, SSIM, Moradabad), Mr.V.K.S.Malik (Vice-Chairman, SSIM, Moradabad),

Dr.A.K.Tyagi (Director, SSIM, Moradabad), Dr. S.S. Chauhan (Dy. Director),

Mr.A.K. Upadhyay (H.O.D., SSIM, Moradabad) for providing me an opportunity to work on this

project. Other than this I would like to thank my Project Incharge & Internal guide

Mrs. Chhavi Mehrotra, whose able guidelines helped me to prepare this report.

I am also thankful to all faculty members, Librarian Sir and Computer Lab Staff who have encouraged

and supported me. All because of their kind consideration and cooperation I could able to complete

this report.

I would also like to thank Mr. Parth Bhattacharya (HR Manager) TATA Motors, Pantnagar who

has granted the permission to complete the training and supervised me and spared his/her valuable time

for suggestions and help.

At last, I would like to thank my family and ALMIGHTY GOD, as without their blessings and support

the project could not have been completed.

Prem Veer Singh

Roll No.- 11131031

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PREFACE

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PREFACE

I Prem Veer Singh hereby declare that this Research Project Report entitled “EMPLOYEE

MOTIVATION IN COMMUNICATION INDUSTRY WITH SPECIAL REFERENCE TO

VODAFONE COMMUNICATION” submitted in the partial fulfillment of the requirement of Post

Graduate Diploma in Management (PGDM) from SSIM, Moradabad It is Based on Primary &

secondary data found by me in various departments,

Books, magazines and websites & Collected by me in under guidance of my Project Guide Mrs.

Chhavi Mehrotra

Prem Veer Singh

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EXECUTIVE SUMMARY

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EXECUTIVE SUMMARY

The present report is prepared for the partial fulfillment of PGDM- III Sem and as a part of

curriculum. This is an attempt to determine and do a “EMPLOYEE MOTIVATION IN

COMMUNICATION INDUSTRY WITH SPECIAL REFERENCE TO VODAFONE

COMMUNICATION” The report has two sections, in its first section company profile is given,

where as in second section, research methodology is given which includes sample design, analysis on

sample and findings are given. Suggestions with respect to the survey for future improvement is given

to improve the survey because there competitors have also taken up the survey.

At the end of the report limitations, Conclusion of the research. Last there is Bibliography.

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INTRODUCTION

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INTRODUCTION

MOTIVATION:Motivation is the activation or energization of goal-oriented behavior. Motivation is said to

be intrinsic or extrinsic. The term is generally used for humans but, theoretically, it can also be

used to describe the causes for animal behavior as well. This article refers to human

motivation. According to various theories, motivation may be rooted in the basic need to

minimize physical pain and maximize pleasure, or it may include specific needs such as eating

and resting, or a desired object, hobby, goal, state of being, ideal, or it may be attributed to

less-apparent reasons such as altruism, selfishness, morality, or avoiding mortality.

Conceptually, motivation should not be confused with either volition or optimism.

Motivation is defined as an urge in an individual to perform goal directed behavior. Therefore,

motivation cannot be inflicted from outside but it is an intrinsic desire in a man to achieve the

target goal through performance or activity.

Motives are expression of person’s need. Hence, they are personal and internal. Incentives on

the other hand are external to the person. They are made part of work environment by

management in order to encourage workers to accomplish task. The motivational model

indicates that a sense of felt deprivation generates needs and such needs create tension in an

individual. The individual perceive and makes cost benefit analysis on the ways and means of

releasing such tension. Once such perception is cleared, individual pounces upon the activities

and achieves some results. If it is success he feels rewarded and falls in the cycle of

motivation again. If it is failure he feels punished and once again after due modification of

ways and means pounces back on the cycle or feels frustrated. Therefore, motivation leads to a

goal directed behavior.

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When people join an organization, they bring with them certain needs that affect on-the-job

performance. Some of these needs are physiological ; others are related to psychological and

social values. The later are much more difficult to determine and satisfy, and they vary greatly

from one to another. Maslow has developed a hierarchy of needs as follows : physiological,

security, social, esteem, and self-actualization needs. They interact with the environment to

shape on-the-job wants that are the basis of motivation. In addition, motivation is affected by

people’s perceptions, including their feelings of equity or fairness in a situation.

According to a model developed by Herzberg, motivation is influenced by maintenance and

motivational factors. Important motivational factors are the work itself, achievement, growth,

responsibility, advancement and recognition. These are primarily intrinsic motivators rather

than extrinsic ones. The Maslow and Herzberg models have many similarities because they

both focus on needs, but they do so from somewhat different points of view.

Two different models of motivation are the expectancy model and behavior modification. The

expectancy model states that motivation is a product of how much one wants something and

the probability that a certain action will lead to it. The formula is valence X expectancy =

motivation. Valence is the strength of a person’s performance for one outcome in relation to

others. Expectancy is the strength of belief that a given act will be followed by particular

outcomes.

Behavior modification states that behavior depends on its consequences. It is achieved through

operant condition. Its various approaches include positive and negative reinforcement,

shaping, and extinction. Punishment normally is not used. Reinforcement can be continuous or

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partial. Criticism of behavior modification are that it manipulates people and does not apply

very well in complex work environments.

Cognitive models dominate thinking about motivation, but behavior modification is finding

increasing use. Most attention has been given to type A motivation (macromotivation) ; but in

order to build a complete motivational environment, more emphasis must be given to type B

motivation (micromotivation).

USE AND IMPORTANCE OF TOPIC

Managers have the opportunity to influence the motivation of employees through design of

their jobs. Well-designed jobs help accomplish two important goals: getting the necessary

work done in a timely and competent manner, and motivating and challenging employees.

Both the business and the employee benefit from successful job design. Poorly designed jobs

leave to chance whether the expected tasks will get done in a timely and competent manner.

Poorly designed jobs, moreover, are likely to be discouraging, boring and frustrating to

employees. Even if employees would otherwise be enthused, competent and productive,

poorly designed jobs almost certainly lead to employee

disappointment. Managers have the responsibility of designing jobs. If they ignore this

responsibility, employees will design their own jobs. Not surprisingly, the jobs designed by

employees are more likely to be attuned to employee experiences and preferences than to the

goals of the business. Neither the business nor the employees are long-term winners from

managers defaulting job design to employees. Job design starts with determining the duties,

tasks and activities for each job.

The process of determining the content of jobs is called job analysis. Job analysis is

sometimes considered the foundation of human resource management. The content of jobs,

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job descriptions, hiring, orientation and training are all built on what is learned from job

analysis. In this paper, we will consider four keys to the design of jobs that motivate and

challenge employees: job analysis, job design, characteristics of desirable jobs and fine tuning

of jobs through job enrichment and adjusted work schedules to further increase their capacity

to motivate and challenge employees.

Job Analysis

Job analysis is a process of obtaining the information necessary for job design. Job analysis

requires efficient collection of data about existing jobs and needs that new jobs are to address.

A manager has several important sources of data about job needs. In most businesses, the

people now doing a job understand it best. Their experiences and insights are critical to

understanding what the job is, the extent to which it is meeting the needs of the business and

opportunities for an improved design. A cautionary note to keep in mind is that employees

may fail to understand that job analysis is a process of gathering data about the job not an

evaluation of the person doing the job. Managers need to explain carefully to employees that

the goal is to improve their jobs not find a substitute

for annual performance reviews. Supervisors can add additional understanding of a job. In

many farm and ranch businesses, managers and supervisors have often done many of the jobs

in the business. Therefore, their experiences in the job are a valuable source of information.

Job analysis should generate data about tasks, duties and responsibilities of the person in the

job. For a milker, the tasks, duties and responsibilities might include: with one other person,

prepare and milk 300 cows; examine cows for health problems; clean milking equipment and

milking parlor after milking; and perform preventive maintenance on the milking equipment.

The equipment that will be operated and tools used are also included in job analysis. For an

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officer manager, the list of equipment and tools might include a computer, copy machine, fax

machine, paper shredder and telephone. The job analysis also shows the knowledge, skills,

abilities, experience and licenses

necessary for the job and the performance standards for the person doing the job. For a truck

driver, this list might include at least two years of experience in over-the-road driving, valid

commercial license and no moving violations during the last two years. The performance

standards might be safe operation of the truck, no moving violations and timely delivery and

pick ups as assigned. Determination of physical demands is also important for some jobs, e.g.,

be able to lift a 50-pound box to a height of 48 inches and carry the box 20 yards. It is difficult

to illustrate the importance of job analysis with a few simplistic examples. Perhaps a set of

questions can give an added sense of the importance of job analysis. Note that all of the

questions are trying to clarify what is or is not a part of the job being analyzed.

• Does the officer manager need to know how to design a computerized payroll system or will

the person in the position simply be doing payroll with a system already in place?

• Is the truck driver responsible for routine maintenance of the truck?

• Is the head milker responsible for annual performance evaluations of milkers or are these to

be done by the herdsperson?

• Does the crop manager help plan the year’s cropping plan or just carry out the plan

developed by the farm manager?

• Is the cow manager responsible for decisions about which cows to cull or is this the

responsibility of the herdsperson?

• Who is authorized to buy parts for machinery repair?

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• Who is authorized to answer questions raised by a newspaper reporter who makes an

unannounced visit to the ranch or farm?

One can easily see from this short list of questions that the importance of job analysis grows

as a business grows, becomes more complex, and involves more employees. At some point in

size and complexity of a business, managers must either take a more systematic approach to

job design or deal with the many problems of inconsistency across employees, supervisors and

crews. Job analysis also paves the way for determination of policies, procedures and rules to

guide employee decisions. Job analysis and the resulting job design do not provide all the

guidelines for employee behavior. Policies, procedures and rules complement job design.

Job Design

After the job analysis has provided the necessary job data, managers are ready to design jobs.

The job analysis provides an important reminder to keep employees in mind as jobs are

designed. Job design is the structuring of jobs to improve the efficiency of the business and

improve employee satisfaction. Uninteresting or boring jobs will cause problems. Employers

can capitalize on employees’ interests and the advantages they see in farm work. To illustrate,

people who love animals are motivated by the opportunity to work with animals. Jobs

emphasizing animals attract such people. Some people like machinery much more than

animals. Others enjoy repairing machinery more than operating it. Some people like office

work; others want to be outdoors. Job design provides guidelines to help get appropriate fit

between employees and their jobs. The results of the job analysis make it possible to design

jobs while taking into consideration the tasks that must be accomplished for the business to

succeed. Managers can add consideration of what individuals want in their jobs. Sometimes

minor changes in job design can dramatically improve a job in the employee’s view, e.g.,

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changing a calf feeder’s job to include, or no longer include, explanation of calf care to farm

visitors. Another example is asking the employee to work closely with the veterinarian to

improve calf health instead of simply reporting problems to a supervisor who in turn talks

with the veterinarian.

Job design cannot overcome the fact that no job is perfect. Farm jobs have some

disadvantages managers need to address when designing jobs. Each of the following job

qualities responds to often stated disadvantages of farm work: reasonable number of work

hours per day and per week, proper equipment in good repair, well lighted and ventilated work

areas, training, some flexibility in scheduling work hours and regular communication with the

supervisor. Paying little attention to these common concerns about farm jobs makes it almost

certain that employees will not be satisfied with the jobs.

Definition: Job Enlargement is the horizontal expansion of a job. It involves the addition of

tasks at the same level of skill and responsibility. It is done to keep workers from getting

bored. It is different than job enrichment (see sidebar).

Examples: Small companies may not have as many opportunities for promotions, so they try

to motivate employees through job enlargement.

Job Characteristics

Anticipating what job characteristics will help motivate employees is important in job design.

Managers can do their best to give each job the following five key characteristics.

First, design jobs whenever possible to encourage employees to use a variety of skills. Remind

yourself of the reasons that assembly line jobs are boring. Standing in one place using only

one or two skills doing the same thing repeatedly is not satisfying for most people. One reason

that many workers like varied work is that they get to use a variety of skills.

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Second, design jobs whenever possible so that an employee does a total job, e.g., all aspects of

calf raising as contrasted with just feeding or a milker position that includes more

responsibilities than just milking. Even such a simple task as repairing gates may be more

satisfying if one person has the responsibility to do everything including determining what

parts are needed, buying parts, taking the gate apart, replacing parts, reassembling and testing

to be sure everything is in order.

Third, design jobs so that the employee understands the significance of his or her job to the

farm. Why is power washing important? Why is calf raising important? What contribution is

the person making by doing a good job with dry cows? What problems are caused later on if

pigs are not given proper care? The employee should have answers to these kinds of basic

questions.

Fourth, design jobs so that each employee has responsibility, challenge, freedom and the

opportunity to be creative. This requires the supervisor or owner/operator of the farm to

delegate some authority. Delegation can be a powerful tool for improving a job. “You can do

the job however you want as long as you get results.” Such powerful words, such effective

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legation and such important responsibility are likely to have positive impacts on employees.

Finally, make feedback a part of job design. Well-designed jobs anticipate the need for

communication. Most employees want to know what is expected of them in the job, how they

are doing, how they can improve, what latitude they have in changing how they do their tasks,

what should be discussed with a supervisor and when the discussion should occur. Employees

rarely complain about too much communication with their supervisor. They often want more

communication.

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Ergonomics

The tradition in farm and ranch work is to expect the person to adjust to the tool. A “one size

fits all” mentality is common. The size may refer to an operator’s seat, chairs for a staff

meeting, volume of music in the milking parlor or length of handle on a tool. The message is,

“You need to adjust.”

Ergonomics turns the “one size fits all” mentality on its head. Ergonomics asks how the

machine can be made to fit the person rather than how the person can fit the machine.

Examples include adjustable operator seats, flexible lighting, variable temperature controls,

padded floors, safety equipment, work areas adjustable to appropriate heights and angles and

comfortable yet durable work clothes.

An increasingly diverse work force has made ergonomics more important. Men and women

may use the same equipment. A 65-year-old man 5 feet 6 inches tall may take a turn operating

a machine usually operated by a 20-year-old man 6 feet 6 inches tall. Clearly, it makes no

sense to expect all employees to adjust to an unadjustable machine. Job design can contribute

to employee motivation by taking advantage of the many advances that have been made

through ergonomics.

Job Enrichment

Sometimes employees want more from their jobs than is now possible. Job enrichment is a

response to employees ready for more responsibility, variety and challenge. Wanting more is

only part of what is required to make job enrichment a success. Employees must be able to

handle the enriched jobs that are being developed for them. Managers need to consider

carefully each employee’s physical capabilities, mental skills, organizational competence and

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capacity for learning before inviting an employee to take on an enriched job. Forcing more on

employees than they are capable of handling

will likely hurt the business and frustrate the employees. The usual dimensions of job

enrichment in the farm and ranch setting include thefollowing:

• Make a job more challenging by making it more difficult. The job may be made more

difficult, for example, by including more problem-solving, increasing the number of people

with whom cooperation is necessary, increasing the complexity of tasks included in the job

and providing less specific directions and rules.

• Assign challenging new tasks that the employee must learn to do through selfstudy, off-site

training, on-the-job training, experimentation and/or contact with others who have the

necessary expertise.

• Delegate responsibility and authority to an employee. Some examples include delegated

responsibility and authority to: improve a part of the business such as pig mortality, resolve a

specific problem such as employee turnover or gather the necessary information for

determining the best alternative for replacing a major piece of machinery.

• Ask the employee to become the farm’s expert in an area of interest to him or her, e.g., corn

varieties.

• Provide the employee with performance reports about enterprises or major cost categories

and ask that he or she provide analysis and suggestion on how to improve performance.

Job enrichment is a tool for improving employee motivation through satisfying a need for

more challenge. Job enrichment pays more attention to employee needs than to needs of the

business. In particular, job enrichment responds to employee need for achievement, self-

esteem and self-fulfillment. Job enrichment is likely to be counterproductive when employees

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do not have these higher level needs. Such employees are likely to see job enrichment as little

more than employers trying to take advantage of them and frustrating them unnecessarily. Job

enrichment has compensation implications. One would expect that an employee who takes on

an enriched job with no loss in work quality would realize some financial benefit. However,

the impetus for job enrichment is increased motivation through more challenging work rather

than higher pay through more responsibility. Job enrichment recognizes that non-monetary

rewards are important to job satisfaction. Furthermore, to have a sense of progress in their

careers, many employees need more

than gradually increasing compensation. Job enrichment meets the need for nonmonetary

progress by providing a steady increase in challenges and professional development.

Work Schedules

The eight-hour work day/40 hours per week is the standard for most of the country’s labor

force. For several reasons, this has never been the standard for farm and ranch work. The Fair

Labor Standards Act exempts farm and ranch work from overtime pay requirements when the

workweek exceeds 40 hours. Thus, a farm or ranch employer can have a standard workweek

of six, ten-hour days and have the same hourly pay rate for all 60 hours. The work ethic

common to farming and ranching also contributes to acceptance of long workweeks. The

seasonal nature of agriculture requires an all out

effort during some weeks of the year. Consequently, work schedules have been dictated more

by how to get the work done than by seeking ways to increase employee motivation. Some

employers outside agriculture have made adjustments to traditional work schedules. Most

common are flexible beginning and ending times, a compressed workweek and job sharing.

These adjustments remain uncommon in agriculture. Nevertheless, farm and ranch managers

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sometimes have the option of changing traditional work schedules. Flexible beginning and

ending times, usually called flextime, eliminate common beginning and ending times for

employees doing the same job. Instead, employers permit employees to choose daily starting

and quitting times. To illustrate, a manager with five employees might have two beginning

work at 7:00 a.m., one beginning at 8:30 and two beginning at 9:30. The manager might also

offer flexibility in both time and length of the mid-day break. Quitting times would also vary

greatly.

Flextime obviously cannot work in many situations. A crew working on a multiperson task

would need to have common starting and quitting times. For example, harvesting might

require a two-person crew. Milking might require a three-person crew. On the other hand,

employees may have individual responsibilities that do not overlap with the work of other

employees thus making flextime a possibility. A farm office with a single employee might not

open until 8:00 a.m. even though all other employees start at 6:00 a.m.

Employees are generally enthusiastic about flextime because of the control it gives them over

their work and nonwork schedules. Employers like the positive impacts of flextime on

productivity, tardiness and absenteeism but not the increased difficulty of monitoring workers.

The compressed workweek has a reduced number of days worked each week with a

corresponding increase in number of hours worked each day. A compressed workweek might

be four days, each 12 hours long, rather than six days, each 8 hours long. The compressed

workweek is incompatible with many jobs and the stamina of some employees. Nevertheless,

it does provide an alternative to the traditional five or six day workweek. Employees with

compressed workweeks report liking three days off each

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week. Job sharing involves two or more people sharing a single job. The most common form

of job sharing is a full-time position being converted to two part-time positions. The two part-

timers split the full-time compensation. Each person typically works three days out of five,

two days alone and one with the other person.

There are some potentially attractive applications of job sharing to farm employment. For

example, a dairy farm that has a morning milking and an evening milking could use job

sharing. Three part-time people might be hired for the morning milking instead of one full-

time person. The three part-time people would be hired and trained together. Then they would

be responsible for their own scheduling to be sure that one of the three was available for each

morning milking, seven days per week, year around. The three could even be given the

responsibility for recruiting and training a

fourth person if necessary. Experience is so limited with job sharing in agriculture that an

employer would benefit from finding a nonfarm employer and employee with job sharing

experience to gain their insights about the pros and cons.

Concluding Comment

Job design is a tool for helping to motivate and challenge employees. Like all other

motivational tools, it fails to provide a magical answer for all employees in all situations.

Nevertheless, inattention to job analysis, job design, job enrichment and work scheduling

means that motivation problems will be created that need not be created. Employees are likely

to appreciate an employer’s efforts to make their jobs as motivational and challenging as

feasible. Many employees will welcome the opportunity to help improve their jobs. They will

see the benefits for themselves and for the business. Traditional jobs can be changed. An

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employer’s imagination and creativity applied to job design have the potential to yield

impressive results.

Other relevant points

How does Profit sharing work? The company contributes a portion of its pre-tax profits to a pool

that will be distributed among eligible employees. The amount distributed to each employee may be

weighted by the employee's base salary so that employees with higher base salaries receive a slightly

higher amount of the shared pool of profits. Generally this is done on an annual basis.

Advantages

Brings groups of employees to work together toward a common goal (the

success/benefit of the company).

Helps employees focus on profitability.

The costs of implementing the plan rise and fall with the company's revenues.

Enhances commitment to organizational goals.

Disadvantages

The pay for each employee moves up or down together (no individual differences for

merit or performance).

Focuses only on the goal of profitability (which may be at the expense of quality).

For smaller companies, these plans may result in drastic swings in earnings for

employees which the employees may find difficult to manage their personal finances.

Adherence to the FLSA requires employers to recalculate each worker's "regular rate"

of pay. To overcome this limitation, employers may restrict this type of compensation

to exempt employees.

What is Skill Based Pay?

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The payment of additional salary or hourly pay to employees for learning, and being able to

perform, additional tasks or skills. It is sometimes expanded to compensate employees for

demonstrating relevant competencies.

 How does Skill Based Pay work?

Jobs, or groups of jobs, are divided into component parts. Employees are hired into a base job

level that presumes that they either know or will develop proficiency in a core set of tasks. To

encourage them to learn additional skills, the organization provides additional training on

other skill sets and commits to raise their base pay level once they demonstrate a satisfactory

level of competence with each skill set.

 Why was Skill Based Pay developed?

In its simplest form, Skill Based Pay has been used to allow an employee to "cover" for an

absent co-worker. It has been used since at least the 1940's for assembly line workers. It has

recently been "re-discovered" as organizations attempt to downsize and cross-train workers.

"Quality" oriented organizations use the cross training process to help employees understand

the broader organization and product demands. Skill Based Pay is often used to stimulate

employee interest in training that will provide them with a broader focus.

 What obstacles does Skill Based Pay face?

While Skill Based Pay has significant benefits, successful programs need to address the

following issues:

Skill Block Definition: Describing reasonable sized skill sets requires thoughtful attention

from people very familiar with the job to group skills into logical, useful clusters. Skill sets

should be significant enough to demonstrate real competency differences, but small enough to

allow them to be mastered within a reasonable time frame.

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Skill Set Pricing: A rational process needs to be employed to determine how large a salary

increase (or incentive) is appropriate for each skill set. This may relate to the competitive

value of the skills, the amount of effort required to perform the additional tasks, the difficulty

of learning the skill set, or some other process accepted as reasonable by those affected.

Skill Validation Tests: In order to verify that the skills are at designated levels, it is necessary

to develop credible tests to validate the employee's competency. The tests typically include

comprehension (including theoretical background), sample performance tests (including

precision and speed), and troubleshooting abilities.

Skill Currency Assurances: Many organizations require that employees periodically either

actually perform the tasks for specified time intervals or take "re-certification" tests to assure

that they are maintaining the skills for which they are being compensated.

Technological Changes: As organizations change, the necessary skill sets change. The entire

Skill Based Pay process needs to include an ongoing process to assure that the skills being

compensated for still have value to the organization.

Training Cost/Time: By their very nature, Skill Based Pay programs encourage employees to

focus on learning new activities rather than performing their base job. This results in

"downtime" that must be covered by other employees and often also requires trainer time from

elsewhere in the organization. Many organizations limit the amount of time that employees

can spend on training, and/or require them to spend a specified amount of time before they can

train or take the test for a new skill set.

Payroll Costs: If every employee becomes proficient in all of the tasks, the organization not

only would have thorough back-up capacity, it would have higher payroll costs than it would

have if employees only knew their own job. In most cases, the organization does not need

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every employee to know every job. Accordingly, it must decide how much redundancy is

beneficial. Many organizations limit the number of employees that they are willing to pay for

certain skill sets in order to control payroll expense.

Legal Considerations: Organizations need to consider the potential legal exposure that may

accompany a Skill Based Pay program. Firms should be sure that the process does not

discriminate against employees in protected classes and that they compensate non-exempt

employees for on-the-job training time.

 Where does Skill Based Pay Work?

Although its genesis has been in blue collar environments, Skill Based Pay is being

successfully used in a wide cross section of non-exempt and professional positions. It is even

being used for managerial level positions, although it is often called "responsibility based pay"

when managers demonstrate the competence to oversee multiple functions.

The key elements that appear to be critical for Skill Based Pay to work include:

-- thoughtful program design that stays current with changing technologies,

-- carefully designed skill elements, that are accepted as relevant and reasonable both by

management and the employees covered by the program,

-- consistent, even handed program administration that is seen as operating the program with

integrity, and

-- interested managers that support the cross-training intent of the program.

 What is the best way to implement a Skill Based Pay program?

ECI recommends, once the decision to consider a Skill Based Pay program has been made,

that the organization use a participative task force to

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review the components of the various jobs being considered,

identify specific skills where 1) the company would benefit by having more employees

that could perform the skill and/or 2) current skill levels are insufficient to meet either the

quantity or quality of desired performance levels,

determine whether a valid training and certification program exists or could be

developed for the skills,

determine the relative value of the skills - which requires selecting a valuation process,

determine how the defined skill sets, certification process and relative values relate to

employee perceptions and concerns,

develop program cost estimates under various scenarios,

develop an implementation process, including determining:

-- how to handle employees who already have the skills,

-- whether any adjustments to base pay levels are required,

-- what "safety" procedures will be used to assure that program abuses do not occur,

-- how the program will be communicated to employees and supervisors,

-- what monitoring and adjustment procedures will be used, and

-- who will be responsible for the program.

obtain management approvals, and

implement the program, perhaps on a test basis.

 How long does it take to implement Skill Based Pay?

While the answer will clearly vary based on the number of jobs included and the level of

commitment to the effort made by the organization, Skill Based Pay programs normally

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require four to six months to implement. This is partly due to the number of issues that must

be addressed. More significantly, time is required to obtain input from a broad number of

participants who know the existing jobs and who will be interested in the program. Programs

that are developed in a participatory manner are much more likely to succeed since the

program elements are more likely to be perceived as relevant and reasonable.

 What Alternatives to Skill Based Pay Exist?

Presuming that the objective is to increase employee knowledge of job skills and to provide

increased work force flexibility in covering needed functions, ECI identifies the following

alternatives to Skill Based Pay:

Job Rotation: By merely having employees do other jobs periodically, the

organization can be sure that more than one person knows the job. Psychological studies have

shown this form of job enrichment increases employee's interest in the job even if no extra pay

is involved.

Certification/Training Incentives: Employees completing approved internal or

external training programs might be given cash bonuses or other recognition awards (like the

"Mr. Goodwrench" program) to recognize their increased value. These are typically one-time

payments that do not increase the employees salary.

Merit Pay: If the training and flexibility is worthwhile and benefits the organization, it

is possible to use a traditional merit pay approach to reward the employee's for their increased

value.

Promotions: By developing a career ladder that allows employees to be promoted to

higher levels based on the number of skills they have and their performance on the job, the

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concepts of a skill based pay program can be incorporated into a traditional salary program

through the definition of the various job levels.

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OBJECTIVES OF THE STUDY

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OBJECTIVE OF THE STUDY

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1. To Analysis the impact of various motivational tools on employees of communication

with special reference to Vodafone Communication.

2. To study various factors which motivate employees in Vodafone Communication.

3. To learn the employee’s satisfaction on the interpersonal relationship exists in the

organization.

4. To provide the practical suggestion for the improvement of organization’s

performance.

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SCOPE & IMPORTANCE

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SCOPE & IMPORTANCE

To know the behaviour of the employee in the service sector.

What are the expectations of the employee in the service sector.

Why the attrition rate is increasing.

What are the factors forcing the employees to leave the organisation/service

sector.

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COMPANY PROFILE

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COMPANY PROFILE

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Introduction:

Vodafone is a mobile network operator headquartered in Berkshire, England, UK. It is

the largest mobile telecommunications network company in the world by turnover and

has a market value of about £75 billion (August 2008). Vodafone currently has operations

in 25 countries and partner networks in a further 42 countries.

The name Vodafone comes from Vo ice da ta fone , chosen by the company to "reflect the

provision of voice and data services over mobile phones."

As of 2006 Vodafone had an estimated 260 million customers in 25 markets across 5

continents. On this measure, it is the second largest mobile telecom group in the world

behind China Mobile.

In the United States, Vodafone owns 45% of Verizon Wireless.

2.2) Mission:

Vodafone is primarily a user of technology rather than a developer of it, and this fact is

reflected in the emphasis of our work program on enabling new applications of mobile

communications, using new technology for new services, research for improving

operational efficiency and quality of our networks, and providing technology vision and

leadership that can contribute directly to business decisions.

2.3) Vision:

Our Vision is to be the world’s mobile communication leader – enriching customers’

lives, helping individuals, businesses and Communities be more connected in a mobile

world.

History:

In 1982 Racal Electronics plc's subsidiary Racal Strategic Radio Ltd. won one of two UK

cellular telephone network licenses. The network, known as Racal Vodafone was 80%

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owned by Racal, with Millicom and the Hambros Technology Trust owning 15% and 5%

respectively. Vodafone was launched on 1 January 1985. Racal Strategic Radio was

renamed Racal Telecommunications Group Limited in 1985. On 29 December 1986

Racal Electronics bought out the minority shareholders of Vodafone for GB£110 million.

In September 1988 the company was again renamed Racal Telecom and on 26 October

1988 Racal Electronics floated 20% of the company. The flotation valued Racal Telecom

at GB£1.7 billion On 16 September 1991 Racal Telecom was demerged from Racal

Electronics as Vodafone Group.

In July 1996 Vodafone acquired the two thirds of Talkland it did not already own for

£30.6 million. On 19 November 1996, in a defensive move, Vodafone purchased Peoples

Phone for £77 million, a 181 store chain whose customers were overwhelmingly using

Vodafone's network. In a similar move the company acquired the 80% of Astec

Communications that it did not own, a service provider with 21 stores.

In 1997 Vodafone introduced its Speech mark logo, as it is a quotation mark in a circle;

the O's in the Vodafone logotype are opening and closing quotation marks, suggesting

conversation.

On 29 June 1999 Vodafone completed its purchase of AirTouch Communications, Inc.

and changed its name to Vodafone Airtouch plc. Trading of the new company

commenced on 30 June 1999. To approve the merger, Vodafone sold its 17.2% stake in

E-Plus Mobilfunk. The acquisition gave Vodafone a 35% share of Mannesmann, owner

of the largest German mobile network.

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Vodafone’s original logo used until the introduction of the speech mark logo in 1998.

On 21 September 1999 Vodafone agreed to merge its U.S. wireless assets with those of

Bell Atlantic Corp to form Verizon Wireless. The merger was completed on 4 April

2000.

In November 1999 Vodafone made an unsolicited bid for Mannesmann, which was

rejected. Vodafone's interest in Mannesmann had been increased by the latter's purchase

of Orange, the UK mobile operator. Chris Gent would later say Mannesmann's move into

the UK broke a "gentleman's agreement" not to compete in each other's home territory.

The hostile takeover provoked strong protest in Germany and a "titanic struggle" which

saw Mannesmann resists Vodafone's efforts. However, on 3 February 2000 the

Mannesmann board agreed to an increased offer of £112bn, then the largest corporate

merger ever. The EU approved the merger in April 2000. The conglomerate was

subsequently broken up and all manufacturing related operations sold off.

On 28 July 2000 the Company reverted to its former name, Vodafone Group Plc. In April

2001 the first 3G voice call was made on Vodafone United Kingdom's 3G network. In

2001 the Company took over Eircell, then part of eircom in Ireland, and rebranded it as

Vodafone Ireland. It then went on to acquire Japan's third-largest mobile operator J-

Phone, which had introduced camera phones first in Japan.

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On 17 December 2001 Vodafone introduced the concept of "Partner Networks" by

signing TDC Mobil of Denmark. The new concept involved the introduction of Vodafone

international services to the local market, without the need of investment by Vodafone.

The concept would be used to extend the Vodafone brand and services into markets

where it does not have stakes in local operators. Vodafone services would be marketed

under the dual-brand scheme, where the Vodafone brand is added at the end of the local

brand. (i.e., TDC Mobil-Vodafone etc.)

In February 2002 Finland was added into the mobile community, as Radiolinja is signed

as a Partner Network. Radiolinja later changed its named to Elisa. Later that year the

Company rebranded Japan's J-sky mobile internet service as Vodafone live! and on 3

December 2002 the Vodafone brand was introduced in the Estonian market with signing

of a Partner Network Agreement with Radiolinja (Eesti). Radiolinja (Eesti) later changed

its name to Elisa.

On 7 January 2003 the Company signed a group-wide Partner agreement with mobilkom

Austria. As a result, Austria, Croatia, and Slovenia were added to the community. In

April 2003 Og Vodafone was introduced in the Icelandic market and in May 2003

Vodafone Italy (Omnitel Pronto-Italia) was rebranded Vodafone Italy. On 21 July 2003

Lithuania was added to the community, with the signing of a Partner Network agreement

with Bitė.

In February 2004 Vodafone signed a Partner Network Agreement with Luxembourg's

LuxGSM and a Partner Network Agreement with Cyta of Cyprus. Cyta agreed to rename

its mobile phone operations to Cytamobile-Vodafone. In April 2004 the Company

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purchased Singlepoint airtime provider from John Caudwell (Caudwell Group) and

approx 1.5million customers onto its base for £405million, adding sites in Stoke on Trent

(England) to existing sites in Newbury (HQ), Birmingham, Warrington and Banbury. In

November 2004 Vodafone introduced 3G services into Europe.

In June 2005 the Company increased its participation in Romania's Connex to 99% and

also bought the Czech mobile operator Oskar. On 1 July 2005 Oskar of the Czech

Republic was rebranded as Oskar-Vodafone. Later that year on 17 October 2005

Vodafone Portugal launched a revised logo, using new text designed by Dalton Maag,

and a 3D version of the Speech mark logo, but still retaining a red background and white

writing (or vice versa). Also, various operating companies started to drop the use of the

SIM card pattern in the company logo. (The rebranding of Oskar-Vodafone and Connex-

Vodafone also does not use the SIM card pattern.) A custom typeface by Dalton Maag

(based on their font family InterFace) formed part of the new identity.

On 28 October 2005 Connex in Romania was rebranded as Connex-Vodafone and on 31

October 2005 the Company reached an agreement to sell Vodafone Sweden to Telenor

for approximately €1 billion. After the sale, Vodafone Sweden became a Partner

Network. In December 2005 Vodafone won an auction to buy Turkey's second-largest

mobile phone company, Telsim, for $4.5 billion. In December 2005 Vodafone Spain

became the second member of the group to adopt the revised logo: it was phased in over

the following six months in other countries.

In 2006 the Company rebranded its Stoke-on-Trent site as Stoke Premier Centre, a centre

of expertise for the company dealing with Customer Care for its higher value customers,

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technical support, sales and credit control. All cancellations and upgrades started to be

dealt with by this call centre. On 5 January 2006 Vodafone announced the completion of

the sale of Vodafone Sweden to Telenor. On February 2006 the Company closed its

Birmingham Call Centre. In 1 February 2006 Oskar Vodafone became

Vodafone Czech Republic, adopting the revised logo and on 22 February 2006 the

Company announced that it was extending its footprint to Bulgaria with the signing of

Partner Network Agreement with Mobiltel, which is part of mobilkom Austria group.

On 12 March 2006 former chief, Sir Christopher Gent, who was appointed the honorary

post Chairman for Life in 2003, quits following rumours of boardroom rifts. In April

2006 the Company announced that it has signed an extension to its Partner Network

Agreement with BITE Group, enabling its Latvian subsidiary "BITE Latvija" to become

the latest member of Vodafone's global partner community. Also in April 2006 Vodafone

Sweden changed its name to Telenor Sverige AB and Connex-Vodafone became

Vodafone Romania, also adopting the new logo. On 30 May 2006 Vodafone announced

the biggest loss in British corporate history (£14.9 billion) and plans to cut 400 jobs; it

reported one-off costs of £23.5 billion due to the revaluation of its Mannesmann

subsidiary. On 24 July 2006 the respected head of Vodafone Europe, Bill Morrow, quit

unexpectedly and on 25 August 2006 the Company announced the sale of its 25% stake

in Belgium's Proximus for €2 billion. After the deal, Proximus was still part of the

community as a Partner Network. On 5 October 2006 Vodafone announced the first

single brand partnership with Og Vodafone which would operate under the name

Vodafone Iceland and on 19 December 2006 the Company announced the sale of its 25%

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stake in Switzerland's Swisscom for CHF4.25 billion (£1.8 billion). After the deal,

Swisscom would still be part of the community as a Partner Network. Finally in

December 2006 the Company completed the acquisition of Aspective, an enterprise

applications systems integrator in the UK, signaling Vodafone's intent to grow a

significant presence and revenues in the ICT marketplace.

Early in January 2007 Telsim in Turkey adopted Vodafone dual branding as Telsim

Vodafone and on 1 April 2007 Telsim Vodafone Turkey dropped its original brand and

became Vodafone Turkey. On 1 May 2007 Vodafone added Jersey and Guernsey to the

community, as Airtel was signed as Partner Network in both crown dependencies. In June

2007 the Vodafone live! Mobile Internet portal in the UK was relaunched. Front page

was now charged for and previously "bundled" data allowance was removed from

existing contract terms. All users were given access to the "full" web rather than a Walled

Garden and Vodafone became the first mobile network to focus an entire media

campaign on its newly launched mobile Internet portal in the UK. On 1 August 2007

Vodafone Portugal launched Vodafone Messenger, a service with Windows Live

Messenger and Yahoo! Messenger.

On 17 April 2008 Vodafone extended its footprint to Serbia as VIP mobile was added to

the community as a Partner Network and on 20 May 2008 the Company added VIP

Operator as a Partner Network thereby extending the global footprint to Macedonia. In

May 2008 Kall of the Faroe Islands rebranded as Vodafone Faroe Islands.

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On 30 October 2008, the company announced a strategic, non-equity partnership with

MTS group of Russia. The agreement adds Russia, Armenia, Turkmenistan, Ukraine, and

Uzbekistan to the group footprint.

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PRODUCT PROFILE

VODAFONE ESSAR

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Introduction:

Vodafone Essar, previously Hutchison Essar is a cellular operator in India that covers 21

telecom circles in India. Despite the official name being Vodafone Essar, its products are

simply branded Vodafone. It offers both prepaid and postpaid GSM cellular phone

coverage throughout India and is especially strong in the major metros.

Vodafone Essar provides 2G services based on 900 MHz and 1800 MHz digital GSM

technology, offering voice and data services in 22 of the country's 23 licence areas.

Ownership:

Vodafone Essar is owned by Vodafone 52%, Essar Group 33%, and other Indian

nationals, 15%.

On February 11, 2007, Vodafone agreed to acquire the controlling interest of 67% held

by Li Ka Shing Holdings in Hutch-Essar for US$11.1 billion, pipping Reliance

Communications, Hinduja Group, and Essar Group, which is the owner of the remaining

33%. The whole company was valued at USD 18.8 billion. The transaction closed on

May 8, 2007.

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Previous brands:

In December 2006, Hutch Essar re-launched the "Hutch" brand nationwide, consolidating

its services under a single identity. The Company entered into agreement with NTT

DoCoMo to launch i-mode mobile Internet service in India during 2007.

The company used to be named Hutchison Essar, reflecting the name of its previous

owner, Hutchison. However, the brand was marketed as Hutch. After getting the

necessary government approvals with regards to the acquisition of a majority by the

Vodafone Group, the company was rebranded as Vodafone Essar. The marketing brand

was officially changed to Vodafone on 20 September 2007.

On September 20, 2007 Hutch becomes Vodafone in one of the biggest brand transition

exercises in recent times.

Vodafone Essar is spending somewhere in the region of Rs 250 crores on this high-

profile transition being unveiled today. Along with the transition, cheap cell phones have

been launched in the Indian market under the Vodafone brand. There are plans to launch

co-branded handsets sourced from global vendors as well.

A popular daily quoted a Vodafone Essar director as saying that "the objective is to

leverage Vodafone Group's global scale in bringing millions of low-cost handsets from

across-the-world into India."

While there is no revealing the prices of the low-cost Vodafone handsets, the industry is

abuzz that prices might start at Rs 666, undercutting Reliance Communications' much-

hyped 'Rang Barse' with cheap handsets beginning at Rs 777.46

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Meanwhile, Vodafone Essar sources said there would be no discounts or subsidized

handset offers -- rather handset-bundled schemes for customers.

Incidentally, China's ZTE, which is looking to set-up a manufacturing unit in the country,

is expected to provide several Vodafone handsets in India. Earlier this year, Vodafone

penned a global low-cost handset procurement deal with ZTE

SWOT Analysis

SWOT Analysis is a strategic planning method used to evaluate the Strengths,

Weaknesses, Opportunities, and Threats involved in a project or in a business venture. It

involves specifying the objective of the business venture or project and identifying the

internal and external factors that are favorable and unfavorable to achieving that

objective. The technique is credited to Albert Humphrey, who led a research project at

Stanford University in the 1960s and 1970s using data from Fortune 500 companies.

Internal

Strengths Weaknesses

Leadership Position

Global Brand Strength

High Geographical reach

Centralized Control – Low Flexibility

High Consumer churn rates

External

Opportunities Threats

Expanding marketing boundaries

Growth through 3G

Strategic Alliances

Increased Competition

Market saturation in Europe

Emergencies of Low cost Brands

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SWOT ANALYSIS OF VODAFONE

Strengths:

The main strength of Vodafone within the telecommunications market lies in its

brand image and recognition. Vodafone, having established a global presence and having

invested highly in marketing a differentiated image by promoting a Vodafone life style,

currently enjoys a differentiating advantage that, if exploited properly, can offer a lead in

competition. The presence of Vodafone in numerous countries within Europe as well as

in all part of the world enhances this image. It allows customers to travel and enjoy easily

the services of their home country operator. In the few countries that Vodafone is not

physically present (e.g. Norway) it has well established strategic alliances which allow

for a better service of mobile clients.

Weaknesses:

The expansion of Vodafone has been completed at the expense of direct control of

its operations. The company grew through a process of acquisitions of national

telecommunications companies (e.g. the acquisition of the third biggest Czech mobile

phone operator, Cesky mobile) rather than organic growth. This increased its subscribers’

base quickly, offering direct market knowledge and immediate additions of customer

bases at the expense of direct effective control of the subsidiaries. At the same time

though, it implicitly imposed a centralized operational structure for the group, nominating

the UK headquarters as the leading business unit running a much centralised marketing

and handset procurement at group level. This has resulted in the neglect of local markets

and local differences, allowing market share to be gained by smaller local competitors.

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Due to the highly saturated Western European market this has resulted in an increase in

the price elasticity of demand, with consumers becoming continuously price oriented.

This has resulted in high customer churn rates reaching the level of 32.8% in the UK

compared to O2’s 24%.

Opportunities:

The telecommunications market, even though highly saturated in some regions

offers great potential due to the ageing population and the sophistication of the

consumers. It offers great opportunities through a careful market segmentation and

exploitation of particular profitable segments. Different strategies should be pursued –

simple phones and simplified pricing plans to the ageing population and more updated,

sophisticated solutions for younger generations. The expanding Boundaries of the market

could provide further opportunities by allowing Vodafone to enter more aggressively into

fixed‐line service and to better enjoy the benefits of its high investment in 3G technology.

Moreover the company has undertaken its first steps in establishing strategic alliances to

develop customized solutions for end‐users: Vodafone recently announced two new

partnerships, one with supermarket group ASDA to launch an ASDA branded mobile

service in the UK, and another with electrical retailer DSG International to provide

mobile solutions to small businesses. This could further be enhanced to avoid being a

late‐entrant in this new method of distribution which offers access to a wide potential

customer base.

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Threats:

The European part of Vodafone’s market is characterized by existing high levels

of competition. Major brands such as O2 and T‐Mobile are exploiting the price sensitivity

of customers and in this way they are building a stronger image and presence in the

market. Indirect competition is also increasing further, through the presence of Skype and

other related (not only voice) Internet‐based services. This combined with the upcoming

European legislative measures is expected to limit further the tariffs for the network

providers imposing further need for price cuts which could harm the bottom line

profitability of the company.

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EMPLOYEE MOTIVATION AT VODAFONE COMMUNICATION

Staff Recognitation Schemes

Organizations have different structural devices to motivate their employees. Various Staff

motivation schemes have been established in the civil service and they are briefly

summarized below for your reference. You may like to make use of these schemes, in

addition to your own initiatives, to achieve your goal of enhancing staff motivation.

I. Staff Motivation Scheme

The objectives of the Staff Motivation Scheme are to promote staff awareness of

departments' performance pledges, enhance commitment to them and to motivate staff

towards continuous improvement of service in pursuance of the spirit of serving the

community. The award is in kind and its maximum value is Rs. 1,000 for an individual

and, for a team , Rs. 1,000 per team member.

II. Staff Suggestions Scheme

It aims to encourage staff to make suggestions for improving the efficiency of the civil

service. Award ranges from a certificate of commendation to a cash award of up to

Rs15,000.

III. Customer Service Award Scheme

The objectives of the scheme are to award staff who provide good customer service; to

motivate staff to enhance their efforts in providing good customer service; and to further

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promote a customer focused service culture in the civil service. Awards for the winners

include trophies, souvenir pins and gift coupons.

IV. Staff Recognition/Performance Incentive Schemes in Trading Fund

Departments

Trading Fund departments have developed performance incentive schemes. The winners

receive an award in kind in recognition of improvement in performance as measured by a

set of balanced, objective and pre-determined indicators reflecting efficiency,

effectiveness and standard of service.

V. Long Service Travel Award Scheme

The scheme aims to reward long-serving officers with consistent good performance. It

operates on the basis of granting travel allowance to non-directorate local officers, and

their spouses, selected on the basis of length of service and performance.

VI. Long and Meritorious Service Award Scheme

Civilian staffs with long and meritorious service are granted an award on their 20th, 30th

and 40th year of service, as follows -

a 20 Years' Meritorious Service Certificate; or

a 30 Years' Meritorious Service Certificate plus a commemorative gold pin; or

a 40 Years' Meritorious Service Certificate photo-engraved on a metal plate with a

wooden stand.

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VII. Commendation Letters

Commendation letters may be issued to officers who have made a substantial contribution

towards enhancing the efficiency or the image of their bureau/department; or performed

an exceptionally meritorious act warranting special recognition.

  Performance Management System

Motivation is in many ways the key to the success of Human Resource Management.

Managers should aim to increase performance through self-motivation, rather than having

to use external motivation (i.e. the imposition of rules and continual improvements to

conditions of service) to bring about higher standards of performance.

Motivation should be built into the performance management system where supervisors

will have the opportunity to communicate and motivate staff on their performances.

Supervisors may adopt the following ways to motivate their staff:

Discuss with staff from time to time especially at the beginning of the appraisal

period and during performance review meetings, what their work goals and

targets are and how they should be accomplished.

Provide feedback on what staff have done well and where improvement could be

made.

Encourage staff to express their views on their performance.

Assess the staff's performance throughout the appraisal period rather than

focusing on periods where their performance was particularly good or bad.

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Discuss ways to empower staff.

Consider training and/or development needs of staff and work out for them

corresponding training and development plans to raise the capability of staff for

performance improvement.

Employee Motivation: Non-Cash Incentives

Employees need motivation – to stay, to work and to be efficient. Without that extra

scoop, organisations may find themselves in an unenviable position where they are

placed so well in the market but have lost their vital resources to drive them forward or to

retain their market share.

While employee motivation is a wide subject, let’s focus on Incentives as a way of

keeping folks happy. Incentives may be cash or non-cash. Cash incentives are those given

to employees, which involve monetary compensation

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or rewards for the exemplary work done to the company’s cause. Non-cash incentives are

other non-monetary forms of recognition of the staffs’ contributions towards

organisational improvements and making them perform better towards enhancing the

bottom-line. Employee Recognition Schemes form a vital part of the non-cash incentive

programme.

There is a subtle difference between Non-cash incentives and “Employee Recognition

Schemes”. Non-cash incentives are proactive and forward-looking, in that they set a

target and desired level of performance standard and measure actual performance to

judge if an employee is eligible for the incentives. In essence, the performance level and

standards are spelt out for the employee to aim for and work towards.

Employee Recognition Schemes, on the other hand, go by past performances to decide on

eligibility for the incentive. This scheme may not specifically mention the target level of

performance or the incentive that would be awarded for performance. This is more

informal and selection may be subjective. For instance, schemes like “Employee of the

Month” or “Rising Star of the year” may be announced at the beginning of the year, but

the awards may be decided based on actual performance of the staff in question.

Non-cash incentives could involve awarding of points based on performance, special

merchandise given away, travel allowances and reimbursements, retail vouchers that

could be exchanged for merchandise or activities, trips and events.

The rationale behind non-cash incentives is that, employees may not always see cash

incentives as the best motivation. While monetary compensation may be good enough to

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retain employees in the organisation, it is the non-cash incentives that make the employee

put in that extra effort and strive towards achieving and surpassing the goals set by the

management. Whatever the relative effectiveness of cash and non-cash incentives, it is

clear that organisations can not do away with non-cash incentives that may satisfy some

of the innate needs of employees, as in terms of social activities or recognitions by peers.

How to Motivate Employees during a Recession

Instead of ignoring the pink elephant in the room, it’s vital to take initiative and

implement strategy to keep your employees motivated towards a common goal.

How to Motivate Employees During a Recession

Without communicating effectively, obtaining creative contribution, empowering your

staff and sourcing leadership to the right individuals, you could be headed towards a

downward spiral.

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The first and most necessary step is communication. During a recession rumors may swirl

causing a level of panic and unease. Uncertainty sits in which propels employees to fear

for their jobs, to fear for demotion or in a worst case scenario, that the company will

crumble.

Informing employees of the situation at hand and explaining the steps the company is

taking to combat market conditions will provide stability in the workplace. An example

points to a recent commercial that was created by GM. The commercial addressed the

situation GM is facing and explained that there was a time that their prior business model,

which carried several brands, made sense.

Now the focus is on fewer brands that highlight efficiency and economies of scale. They

admitted that their pricing structure could no longer compete. They admitted that

restructuring was the only way they could survive. They basically admitted that they

FAILED and are now having to implement a change in fundamental business strategy to

compete once again. This was a very straight forward approach that not only addressed

the condition of the auto industry but also gave a glimpse into GM’s direction and

integrity.

During harsh economic times, employees will often feel that the company failed them or

failed business objectives.  When the company needs to shift its focus and change

business strategy during a recession it can be a difficult transition and employees may

feel they are in the dark. It’s imperative that employees are made a central cog in the

process of refocusing resources and objectives.

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Not only does this provide for additional perspective from an array of minds but it also

empowers employees to feel that their opinion and ideas are worthy of consideration and

perhaps integration. Empowerment is an excellent source of motivation and motivation is

ultimately a central force in driving change in the workplace.

When company layoffs have employees chewing off their fingernails in anticipation of

the big axe, it’s crucial to inform the remaining employees that they remain for a reason.

Only the strongest survive and hearing that the company feels that they are a core

element in rebuilding the companies foundation towards success will also empower the

employees; this is called recognition. Recognizing employees’ contributions and their

place in the workforce reinforces their position and motivates them to continue forward

despite the doom and gloom references.

Lastly, it is essential to identify your cream of the crop. This group can act as your mouth

piece, prophesizing the company position and agenda. A disconnect can exist between

management and staff so identifying the leaders among the staff and empowering them

through additional duties and responsibilities can have a trickle down effect that changes

the culture from dismal to positive.

Although recessions often result in a focus on numbers and expense reduction, it’s

imperative to implement strategy to keep your employees motivated and excited for the

brighter days ahead. After all, who wouldn’t want to be accredited for helping turn the

company around?

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TOPIC DETAIL

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TOPIC DETAIL

Employers have a need to keep employees from leaving and going to work for other

companies. This is true because of the great costs associated with hiring and retraining

new employees. The best way to retain employees is by providing them with job

satisfaction and opportunities for advancement in their careers. The saying, good help is

hard to find, is even truer these days than ever before because the job market is becoming

increasingly tight (Eskildesen 2000, Hammer 2000).

Eskildsen and Nussler (2000) suggest that employers are fighting to get talented

employees in order to maintain a prosperous business. Ray Hammer (2000) as well as

many other researchers/authors agree. Mark Parrott (2000) believes that, there is a

straight line between employee satisfaction and customer satisfaction. He believes that

today’s employees pose a complete new set of challenges, especially when businesses are

forced to confront one of the tightest labor markets in decades. Therefore, it is getting

more difficult to retain employees, as the pool of talent is becoming more-andmore

tapped-out. The research below, which focuses primarily on employee retention through

job satisfaction, supports this contention.

Employees that are satisfied and happy in with their jobs are more dedicated to doing a

good job and taking care of customers that sustain the operation (Hammer 2000; Marini

2000; Denton 2000). Job satisfaction is something that working people seek and a key

element of employee retention.

Every person will have his or her own definition of what it means to be satisfied with a

job. Studies show that employees who are satisfied with their jobs are more productive,

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creative and be more likely to be retained by the company (Eskildsen & Dahlgaard 2000;

Kim 2000; Kirby 2000; Lee 2000; Money 2000; Wagner 2000).

Research has shown that there may be many environmental features that can be created

and maintained to give employees job satisfaction. Pay and benefits, communication

(Brewer 2000; Employee 2000; Money 2000; Wagner 2000), motivation, justice (Kirby

2000; Tristram 2000) and leisure time (Rabbit 2000; Wilson 2000) all seem to play a part

as to whether employees are satisfied with their jobs, according to studies.

The second goal of this research is to help readers find his or her definition of job

satisfaction. I believe that this compilation of data will educate and inform the working

masses to see the benefits of creating workplaces that derive more job satisfaction,

retaining employees and in turn, keeping our economy healthy and our society happier.

There is a definite need to analyze the elements of employee retention through job

satisfaction. Considering the positive effects on the economy that can be derived from

satisfied-happy employees. Promotional materials for presentation can be created,

highlighting these recommendations for employee satisfaction practices for both

employers and employees.

NATURE OF THE STUDY

This study will look at employee retention. A random sample of 100 people from varying

occupations in non-management positions will be surveyed to learn about their

perceptions about job satisfaction as it relates to employee retention. Results will be

collected, analyzed and descriptive data will be presented. A review of the literature on

employee retention will be conducted. The study will include recommendations for better

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practices aimed at identification of effective occupational strategies to aid in retaining

employees through job satisfaction.

ASSUMPTIONS

The following are assumptions upon which this study is based:

1. Employee retention and job satisfaction are linked.

2. Identification of employee perceptions about job satisfaction will offer a basis for

identifying recommendations for practice, which will contribute, to job satisfaction.

3. The use of a questionnaire to determine employee satisfaction perceptions will result in

honest and useful feedback for purpose of analysis.

QUESTIONS TO BE ANSWERED

The study will attempt to answer the following questions:

1. What are the connections between job satisfaction and employee retentions?

2. What are the primary characteristics in a work-environment that will derive employee

satisfaction?

METHODOLOGY

These steps will be followed to answer the above questions:

1. Review the literature on job satisfaction and employee retention.

2. Based on the information obtained from the review of literature, a questionnaire will be

developed to identify employee perceptions about job satisfaction and employee

retention.

3. The sample population of workers will come from varying fields of occupations, with

the exception of management positions.

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4. The questionnaire developed for use in this study will be analyzed and fieldtested for

validity using workers from a single occupation or trade, in nonmanagement positions,

who are not participating in the study. Prior to finalization of the questionnaire,

appropriate revisions will be made.

5. The information gathered by questionnaire will be sorted and analyzed and categorized

and appropriate inferential statistics will be generated.

6. Recommendation for practice will be derived from the analysis of the data collected.

THE FINAL PROJECT

Results from this study will be printed in report format to be published in professional

magazines. Materials will be produced for a seminar on employee retention to

professional organizations.

PLAN FOR REVIEWING THE LITERATURE

The review of literature will tentatively include: job satisfaction, career development and

benefits, leisure time, communication and environmental factors. If needed, additional

elements of employee retention may be considered. Computer and catalog searches for

“job satisfaction and employee retention,” will be covered for recommendations within

the past five years. The King County Library (KCLS.org) and Chapman University

Library Network System will be used as well.

Motivation therefore, though is a dominant intrinsic urge in an individual yet the leader

of the team can guide the ways and means by which the followers can satisfy their needs.

It is obviously difficult to motivate an individual since he is guided by expressed

motivation or unconscious motivation and multiplicity of motivational sequences. It is

easy to introduce a team motivation or group motivation where the individual

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idiosyncrasy looses importance and the group goal becomes the target. It is then not

motivation per se but a group morale - an “espirit de corps” i.e. a sense of group activity

with desire for high achievement of the group goal where an individual can comfortably

ignore his personal goals or needs. Such morale is mostly psychological in nature and not

physiological.

A leader’s job is, therefore, to inculcate the extirpation of the group morale if he proposes

to achieve the target through his follows where equal weight is given to performance of

task and welfare of the followers, a stage of suspended pendulum or middle of the road

method.

Motivation is the will to work. This comes from the enjoyment of the work itself and/or

from the desire to achieve certain goals e.g. earn more money or achieve promotion.

Managers spend considerable time working out how best to motivate their workers and

there are a number of different opinions about how this can be best done.

A well-motivated workforce can provide the following advantages:

Better productivity (amount produced per employee). This can lead to lower unit

costs of production and so enable a firm to sell its product at a lower price

Lower levels of absenteeism as the employees are content with their working

lives

Lower levels of staff turnover (the number of employees leaving the business).

This can lead to lower training and recruitment costs

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Improved industrial relations with trade unions

Contented workers give the firm a good reputation as an employer so making it

easier to recruit the best workers

Motivated employees are likely to improve product quality or the customer

service associated with a product

The job of a manager in the workplace is to get things done through employees. To do

this the manager should be able to motivate employees. But that's easier said than done!

Motivation practice and theory are difficult subjects, touching on several disciplines.

In spite of enormous research, basic as well as applied, the subject of motivation is not

clearly understood and more often than not poorly practiced. To understand motivation

one must understand human nature itself. And there lies the problem!

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Human nature can be very simple, yet very complex too. An understanding and

appreciation of this is a prerequisite to effective employee motivation in the workplace

and therefore effective management and leadership.

Employee motivation principles?

Quite apart from the benefit and moral value of an altruistic approach to treating

colleagues as human beings and respecting human dignity in all its forms, research and

observations show that well motivated employees are more productive and creative. The

inverse also holds true. The schematic below indicates the potential contribution the

practical application of the principles this paper has on reducing work content in the

organization.

Total work content Total ineffective time

A B C D

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BASIC

Work content of product or service

Work content

ADDED

By defect in design or specification

Work content

ADDED

Inefficient method of manufacture of operation

Ineffective time

Due to fault of management

Ineffective time

Due to fault of workers

Motivation is the key to performance improvement

There is an old saying you can take a horse to the water but you cannot force it to drink; it

will drink only if it's thirsty - so with people. They will do what they want to do or

otherwise motivated to do. Whether it is to excel on the workshop floor or in the 'ivory

tower' they must be motivated or driven to it, either by themselves or through external

stimulus.

Are they born with the self-motivation or drive? Yes and no. If no, they can be motivated,

for motivation is a skill which can and must be learnt. This is essential for any business to

survive and succeed.

Performance is considered to be a function of ability and motivation, thus:

Job performance =f(ability)(motivation)

Ability in turn depends on education, experience and training and its improvement is a

slow and long process. On the other hand motivation can be improved quickly. There are

many options and an uninitiated manager may not even know where to start. As a

guideline, there are broadly seven strategies for motivation.

Positive reinforcement / high expectations

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Effective discipline and punishment

Treating people fairly

Satisfying employees needs

Setting work related goals

Restructuring jobs

Base rewards on job performance

These are the basic strategies, though the mix in the final 'recipe' will vary from

workplace situation to situation. Essentially, there is a gap between an individuals actual

state and some desired state and the manager tries to reduce this gap.

Motivation is, in effect, a means to reduce and manipulate this gap. It is inducing others

in a specific way towards goals specifically stated by the motivator. Naturally, these

goals as also the motivation system must conform to the corporate policy of the

organization. The motivational system must be tailored to the situation and to the

organization.

In one of the most elaborate studies on employee motivation, involving 31,000 men and

13,000 women, the Minneapolis Gas Company sought to determine what their potential

employees desire most from a job. This study was carried out during a 20 year period

from 1945 to 1965 and was quite revealing. The ratings for the various factors differed

only slightly between men and women, but both groups considered security as the highest

rated factor. The next three factors were;

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advancement

type of work

company - proud to work for

Surprisingly, factors such as pay, benefits and working conditions were given a low

rating by both groups. So after all, and contrary to common belief, money is not the

prime motivator. (Though this should not be regarded as a signal to reward employees

poorly or unfairly.)

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Application of employee motivation theory to the workplace

Job satisfaction - is there a trend?

This is the title of a study carried out by the US Department of Labor among 1500

workers, who were asked to rate the job factors, from a list of 23, which they considered

important starting from the most important factor.

Their findings (Sanzotta (1977)) are contained in the table below.

Job Satisfaction Findings

White-collar workers Blue-collar workers

A. Interesting work A. Good pay

B. Opportunities for development B. Enough help and resources

C. Enough information C. Job security

D. Enough authority D. Enough information

E. Enough help and resources E. Interesting work

F. Friendly, helpful coworkers F. Friendly, helpful co-workers

G. See results of own efforts G.Clearly defined responsibilities

H. Competent supervision H.See results of own work

I. Clearly defined responsibilities I. Enough Authority

J. Good pay J. Competent supervision

It is interesting that out of the 23 job factors listed for the survey, yet with the exception

of two items (white-collar workers' choice (B) and blue-collar workers' choice (C))

groups selected the same top ten factors, although with different rankings. It is significant

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that good pay was considered as the most important factor by the blue-collar workers, but

it ranked as the least important for white-collar workers.

Individualize motivation policies

It is well known that individual behavior is intensely personal and unique, yet companies

seek to use the same policies to motivate everyone. This is mainly for convenience and

ease compared to catering for individual oddities (Lindstone (1978)). 'Tailoring' the

policy to the needs of each individual is difficult but is far more effective and can pay

handsome dividends. Fairness, decisiveness, giving praise and constructive criticism can

be more effective than money in the matter of motivation.

Leadership is considered synonymous (Tack (1979)) with motivation, and the best form

of leadership is designated as SAL, situation adaptable leadership. In this style of

leadership, one is never surprised or shocked, leadership must begin with the chief

executive and it is more a matter of adaptation than of imparting knowledge. Ultimately,

it is the leadership quality which leads to the success of a company through team building

and motivating its people.

'The one-minute manager'

A contemporary bestseller (Blanchard & Johnson (1983)) aimed at managers who seek to

make star performers of their subordinates. To start with, the manager sets a goal, e.g.

one page read in one minute, and it is seen to be achieved by 'one minute' of praising or

reprimand as the case may be. But to be effective, these must be given (a) promptly, (b)

in specific terms, and the behavior, rather than the person, should be praised or

reprimanded.

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Tips for Motivating your Team During a Recession

The recession is viral and it has spread like wildfire. Few businesses have escaped the

effects of the ongoing economic recession. The downturn has made it difficult to manage

morale and take care of employee needs. Workplace motivation has plummeted, and

things are only threatening to get worse. It is important to keep your team motivated

during this recession. Here are six great tips for motivating your team in the face of

adversity.

Be Honest

Honesty is the best policy when it comes to motivating your team. Employees will be

questioning how their jobs and lives will be impacted by the recession. Don’t sugarcoat

the information that you provide. Deliver clear messages and be honest about what is

going on in your business.

Stop Gossip in its Tracks

Gossip is the number one killer of workplace motivation. Rumors about layoffs,

cutbacks, or pay freezes can set your employees’ minds in motion. When you hear

rumors floating around the workplace, squelch them as quickly as possible. If something

becomes pervasive and problematic, you might have to hold a special meeting to boost

Don’t Let Fear Cause Paralysis

Whenever there is a crisis of any kind, fear is often times a factor that gets teams off

track. With the many threats that recession poses, your employees will be extremely

susceptible to fear. Don’t let fear have a negative impact on team motivation. Exercise

control over the things which can actually be controlled, and dismiss worries about those

which cannot.

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Recognize and Reward Accomplishments

Motivating your team with recognition and rewards for accomplishments is the most

effective means of keeping things moving during this recession. While there may not be

money in the budget for tangible rewards, a certificate of recognition, thank you note, or

pat on the back goes a long way when it comes to workplace motivation.

Implementing a combination of these strategies can enhance team motivation in your

workplace. The most important thing to remember during this recession is that people and

relationships need to be managed with care while it is upon us. Keep the lines of

communication between you and your employees open so that you can be successful in

stopping the spread of fear and encouraging teamwork. While you cannot control the

economy, you can exercise some influence over workplace motivation.

Business owners need to ensure that their employees are productive and eager to do the

best job possible--this is especially true during today’s challenging economic times. Yet

every industry and every organization has people who simply do not produce work in the

quality that they are capable of providing. That can create costly problems for a manager.

Leaders often miss the mark when trying to ramp up employee productivity. Let’s debunk

some motivational myths.

1. Money motivates. Of course, if you pay some enough money, they will do almost any

job. And when you give bonuses to reward past behavior, the recipients are usually very

happy (unless they were expecting a larger bonus).  The staff does a better job following

the glow that accompanies added money.

However, studies find this happiness is short-lived. Within six months, individuals have

difficulty recalling that bonus and it does not seem to have the same impact it did within

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the first few weeks or months of receiving it. That’s because money, in and of itself, will

not continuously motivate individuals.

It’s the recognition and status that are the true motivators for the increased output.  Take

for example, the high tech salesperson who sold more product than anyone else in the

department. The boss rewards that employee with a bonus. Everyone knows who the

bonus recipient is, and she is proud of her accomplishments--the high earner gains

recognition from colleagues and clients. Recognition and status are two key sources of

motivation. So while money can serve to motivate, its effects are often short term at best.

What should you do? Set up situations that allow the employee to feel a sense of

accomplishment.  Employees respond most to opportunities for achievement, recognition,

growth, job enrichment and job enlargement.

2. Just keep them happy. Employers often go to great lengths to keep their employees

happy--some offer game rooms; others have phones with free long-distance access. The

theory here is that if we can keep the employees happy during their break time, it will

translate into increased motivation and productivity. Unfortunately, this is not very

effective.

Employees actually enjoy their break times, look forward to them, and may even linger

during them. But the satisfaction found during the break times does not necessarily

translate into better or higher quality job performance.

3. Ignore Conflict. Few people, especially in the professional world, enjoy conflict. Most

bosses and employees alike would rather “let something go” or “sweep it under the rug”

than make an issue out of it. Too many managers are concerned about being liked that

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they don’t fulfill their responsibilities to catch problems quickly. Not addressing an

employee’s problematic behavior doesn’t help any one.

4. Some people just aren’t motivated. This is a very common misconception. Everyone

is motivated--but for different reasons. Walking through the offices, the manager may see

someone playing computer games or sending personal email, this could be seen as the

individual is not motivated because he’s not attending to the job tasks. But that may not

be entirely correct.  At that moment, the “aimless” employee is motivated, perhaps even

highly motivated. But that motivation is not work directed, nor is it productive for the

company.

The challenge here is for the leader to discover what actually motivates that employee

and match up those elements with the worker’s job description. (This point also assumes

that the employee is worth keeping.)

5. Smart employees don’t need to be motivated. Being “smart” carries an important

cachet in American society. Everyone wants to have smart people working for them

because these people are quick to learn, adapt and produce. Employers may erroneously

believe that they don’t need to spend much time or attention on these staffers.

Unfortunately, intelligence and self-motivation do not necessarily go hand-in-hand. There

are plenty of smart employees who haven’t been able to find out just what motivates

them personally; they tend to get bored or frustrated easily. The result is a lack of interest

and a lack of productivity.

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So what does an employer do? A smart employer creates the atmosphere that allows and

encourages the employee to be motivated. That employer also gets to know what his staff

is interested in doing to advance company goals and what parts of the job description are

interesting or exciting verses boring.

10 Quick Ways to Motivate

1. Praise the employee for a job well done--or even partially well done.

2. If an employee is bored, involve that individual in a discussion about ways to

create a more satisfying career path, including promotions based on concrete

outcomes.

3. State your clear expectations for task accomplishment.

4. Ensure that the job description involves a variety of tasks.

5. Ensure that the employee sees that what she’s doing impacts the whole process or

task that others will also be part of.

6. Make sure that the employee feels that what he/she is doing is meaningful.

7. Provide feedback along the way, pointing out both positive and negative aspects.

8. Allow for an appropriate amount of autonomy for the employee based on previous

and anticipated accomplishment.

9. Increase the depth and breadth of what the employee is currently doing.

10. Provide the employee with adequate opportunity to succeed.

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Fig (2.1)

The above five basic needs are regarded as striving needs which make a person do things.

The first model indicates the ranking of different needs. The second is more helpful in

indicating how the satisfaction of the higher needs is based on the satisfaction of lower

needs. It also shows how the number of person who has experienced the fulfillment of the

higher needs gradually tapers off.

Physiological or Body Needs: - The individual move up the ladder responding first to

the physiological needs for nourishment, clothing and shelter. These physical needs must

be equated with pay rate, pay practices and to an extent with physical condition of the

job.

77

Self- Actualization

Ego Needs

Social Needs

Safety Needs

Physiological Needs

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Safety: - The next in order of needs is safety needs, the need to be free from danger,

either from other people or from environment. The individual want to assured, once his

bodily needs are satisfied, that they are secure and will continue to be satisfied for

foreseeable feature. The safety needs may take the form of job security, security against

disease, misfortune, old age etc as also against industrial injury. Such needs are generally

met by safety laws, measure of social security, protective labor laws and collective

agreements.

Social needs: - Going up the scale of needs the individual feels the desire to work in a

cohesive group and develop a sense of belonging and identification with a group. He

feels the need to love and be loved and the need to belong and be identified with a group.

In a large organization it is not easy to build up social relations. However close

relationship can be built up with at least some fellow workers. Every employee wants too

feel that he is wanted or accepted and that he is not an alien facing a hostile group.

Ego or Esteem Needs: - These needs are reflected in our desire for status and

recognition, respect and prestige in the work group or work place such as is conferred by

the recognition of ones merit by promotion, by participation in management and by

fulfillment of workers urge for self expression. Some of the needs relate to ones esteem

e.g.; need for achievement, self confidence, knowledge, competence etc. On the job, this

means praise for a job but more important it means a feeling by employee that at all times

he has the respect of his supervisor as a person and as a contributor to the organizational

goals.

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Self realization or Actualization needs: - This upper level need is one which when

satisfied provide insights to support future research regarding strategic guidance for

organization that are both providing and using reward/recognition programs makes the

employee give up the dependence on others or on the environment. He becomes growth

oriented, self oriented, directed, detached and creative. This need reflects a state defined

in terms of the extent to which an individual attains his personnel goal. This is the need

which totally lies within oneself and there is no demand from any external situation or

person.

Adams Equity Theory

Employee compares her/his job inputs outcome ratio with that of reference. If the

employee perceives inequity, she/he will act to correct the inequity: lower productivity,

reduced quality, increased absenteeism, voluntary resignation.

Vrooms Expectation Theory

Vroom’s theory is based on the belief that employee effort will lead to performance and

performance will lead to rewards (Vroom, 1964). Reward may be either positive or

negative. The more positive the reward the more likely the employee will be highly

motivated. Conversely, the more negative the reward the less likely the employee will be

motivated.

Two Factor Theory

Douglas McGregor introduced the theory with the help of two views; X assumptions are

conservative in style Assumptions are modern in style.

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X Theory

Individuals inherently dislike work.

People must be coerced or controlled to do work to achieve the objectives.

People prefer to be directed

Y Theory

People view work as being as natural as play and rest

People will exercise self direction and control towards achieving objectives they

are committed to

People learn to accept and seek responsibility.

Types of Motivation.

Intrinsic motivation occurs when people are internally motivated to do something

because it either brings them pleasure, they think it is important, or they feel that what

they are learning is morally significant.

Extrinsic motivation comes into play when a student is compelled to do something or act

a certain way because of factors external to him or her (like money or good grades)

Incentives

An incentive is something which stimulates a person towards some goal. It activates

human needs and creates the desire to work. Thus, an incentive is a means of motivation.

In organizations, increase in incentive leads to better performance and vice versa.

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Need for Incentives

Man is a wanting animal. He continues to want something or other. He is never fully

satisfied. If one need is satisfied, the other need need arises. In order to motivate the

employees, the management should try to satisfy their needs. For this purpose, both

financial and non financial incentives may be used by the management to motivate the

workers. Financial incentives or motivators are those which are associated with money.

They include wages and salaries, fringe benefits, bonus, retirement benefits etc. Non

financial motivators are those which are not associated with monetary rewards. They

include intangible incentives like ego-satisfaction, self-actualization and responsibility.

1. Consequences - Never use threats. They’ll turn people against you. But making people

aware of the negative consequences of not getting results (for everyone involved) can

have a big impact. This one is also big for self motivation. If you don’t get your act

together, will you ever get what you want?

2. Pleasure - This is the old carrot on a stick technique. Providing pleasurable rewards

creates eager and productive people.

3. Performance incentives - Appeal to people’s selfish nature. Give them the

opportunity to earn more for themselves by earning more for you.

4. Detailed instructions - If you want a specific result, give specific instructions. People

work better when they know exactly what’s expected

5. Short and long term goals - Use both short and long term goals to guide the action

process and create an overall philosophy.

6. Kindness - Get people on your side and they’ll want to help you. Piss them off and

they’ll do everything they can to screw you over.

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7. Deadlines - Many people are most productive right before a big deadline. They also

have a hard time focusing until that deadline is looming overhead. Use this to your

advantage by setting up a series of mini-deadlines building up to an end result.

8. Team Spirit - Create an environment of camaraderie. People work more effectively

when they feel like part of team — they don’t want to let others down.

9. Educate the masses. Help employees improve their professional skills by providing

on-the-job training or in-house career development. Allow them to attend workshops and

seminars related to the industry. Encourage them to attend adult education classes paid

for by the company. Employees will feel you are investing in them, and this will translate

into an improved job performance.

10. Recognize achievement - Make a point to recognize achievements one-on-one and

also in group settings. People like to see that their work isn’t being ignored.

11. Personal stake - Think about the personal stake of others. What do they need? By

understanding this you’ll be able to keep people happy and productive.

12. Concentrate on outcomes - No one likes to work with someone standing over their

shoulder. Focus on outcomes — make it clear what you want and cut people loose to get

it done on their own.

13. Trust and Respect - Give people the trust and respect they deserve and they’ll

respond to requests much more favorably.

14. Create challenges - People are happy when they’re progressing towards a goal. Give

them the opportunity to face new and difficult problems and they’ll be more enthusiastic.

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15. Let people be creative - Don’t expect everyone to do things your way. Allowing

people to be creative creates a more optimistic environment and can lead to awesome

new ideas.

16. Constructive criticism - Often people don’t realize what they’re doing wrong. Let

them know. Most people want to improve and will make an effort once they know how to

do it.

17. Demand improvement - Don’t let people stagnate. Each time someone advances

raise the bar a little higher (especially for yourself).

18. Make it fun - Work is most enjoyable when it doesn’t feel like work at all. Let

people have fun and the positive environment will lead to better results.

19. Create opportunities - Give people the opportunity to advance. Let them know that

hard work will pay off.

20. Communication - Keep the communication channels open. By being aware of

potential problems you can fix them before a serious dispute arises.

21. Make it stimulating - Mix it up. Don’t ask people to do the same boring tasks all the

time. A stimulating environment creates enthusiasm and the opportunity for “big picture”

thinking. Master these key points and you’ll increase motivation with a bit of hard work.

22. Honor your promises. Getting people to give their all requires following through on

promises. If you tell an employee that he or she will be considered for a bonus if numbers

improve or productivity increases, you’d better put your money where your mouth is.

Failure to follow through on promises will result in a loss of trust -- not only that person’s

trust, but the trust of every employee that hears the story.

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23. Provide career coaching. Help employees reach the next level professionally by

providing on-site coaching. Bring in professionals to provide one-on-one counseling,

which can help people learn how to overcome personal or professional obstacles on their

career paths.

24. Match tasks to talents. You can improve employee motivation by improving

employee confidence. Assign individuals with tasks you know they will enjoy or will

be particularly good at. An employee who is successful at one thing will have the self-

confidence to tackle other projects with renewed energy and excitement.

25. Build a foundation. It’s important to build a solid foundation for your employees so

they feel invested in the company. Tell them about the history of the business and your

vision for the future. Ask them about their expectations and career goals, as well as how

you can help them feel part of the team. When any new employee starts, make sure he or

she receives a thorough welcome orientation.

INCENTIVES

Financial Incentives Non-financial incentives

- Wages and Salaries. - Competition - Bonus - Group recognition- Medical reimbursement - Job security- Insurance - Praise - Housing facility - Knowledge of result- Retirement benefits. - Workers participation.

- Suggestion system.

- Opportunities for growth

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Motivation is the key to performance improvement

There is an old saying you can take a horse to the water but you cannot force it to drink; it

will drink only if it's thirsty - so with people. They will do what they want to do or

otherwise motivated to do. Whether it is to excel on the workshop floor or in the 'ivory

tower' they must be motivated or driven to it, either by themselves or through external

stimulus.

Are they born with the self-motivation or drive? Yes and no. If no, they can be motivated,

for motivation is a skill which can and must be learnt. This is essential for any business to

survive and succeed.

Performance is considered to be a function of ability and motivation, thus:

Job performance =f(ability)(motivation)

Ability in turn depends on education, experience and training and its improvement is a

slow and long process. On the other hand motivation can be improved quickly. There are

many options and an uninitiated manager may not even know where to start. As a

guideline, there are broadly seven strategies for motivation.

There are broadly seven strategies for motivation.

Positive reinforcement / high expectations

Effective discipline and punishment

Treating people fairly

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Satisfying employees needs

Setting work related goals

Restructuring jobs

Base rewards on job performance

Essentially, there is a gap between an individual’s actual state and some desired state and

the manager tries to reduce this gap. Motivation is, in effect, a means to reduce and

manipulate this gap.

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RESEARCH METHODOLOGY

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RESEARCH METHODOLOGY

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“Research design is the plan structure and strategy of investigation conceived so as to

obtain answers to research questions and to control variance.”

Types of Research designs

1. Exploratory (Qualitative)

2. Conclusive or Descriptive (Quantitative)

3. Causal

Exploratory research is further subdivided into –

a. Search of Secondary Data

b. Case Study

c. Survey of exports

Survey Area: The area assigned for the survey was City of Moradabad.

METHODS OF DATA COLLECTION

he information collected should be both accurate and relevant, as per the requirements of

the researcher, who has to work out a suitable data collection method. Data collection

methods can be broadly classified into two methods .

(i) Primary methods

(ii) Secondary Methods

PRIMARY METHODS

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Data colleted directly by a researcher is known as primary data. The methods used

for collection primary data may be:

a. Survey

b. Observation

SECONDARY METHODS

Data not originally collected for use in the research project under consideration, but

rather for use by some other person or for use some other project is term secondary data.

There are several ways by which secondary data can be classified. One of the most useful

in by source. Which immediately suggests the classification of internal and external

source.

Sources of Primary Data

QUESTIONNAIRE

The Questionnaire was designed type. Constructing and implementing questions is

one of the most challenging tasks of conducting marketing research. The problems

facings the marketing research is to look deep into the process of human communication

and thinking.

Questionnaire designing also becomes important and necessary when he overseas

that unless the information during discussion or there wise is not noted down, it basic

form will be distorted.

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The term questionnaire refers to a self-administered process whereby the respondent

himself reads the questions and records his answer without the assistance of an

interviewer.

TYPES OF QUESTIONNAIRE

A questionnaire can take any form, but they are generally categorized according to

the structures and directness. Structure refers to the degree to which the questions and

possible responses are formed and standardized. Researchers have categorized

questionnaire into two different categories.

a. Structured

b. Semi-Structured

c. Unstructured

SAMPLING PLAN

POPULATION : 115

SAMPLE SIZE : 50

SAMPLING UNIT : Service personal, Business personal

SAMPLE PROCEDURE: ‘Convenience Sampling Method ’

SAMPLING METHOD: ‘Personal Interview’

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DATA ANALYSIS &

INTERPRETATION

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DATA ANALYSIS & INTERPRETATION

DESCRIPTIVE STATISTICS

1. Response about the support from the HR department

SL NO

PARTICULAR

NUMBER OF

RESPONDENTS PERCENTAGE

1 Highly satisfied 18 36

2 Satisfied 29 58

3 Neutral 3 6

4 Dissatisfied 0 0

5 Highly satisfied 0 0

Total 50 100

(Table 1)

(Chart 1)

INTERPRETATION

The table shows that 58% of the respondents are satisfied with the support they are getting from the HR department.

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2. Management is interested in motivating the employees

SL NO

PARTICULAR

NUMBER OF

RESPONDENTS PERCENTAGE

1 Strongly Agree 27 54

2 Agree 20 40

3 Neutral 3 6

4 Disagree 0 0

5 Strongly Disagree 0 0

Total 50 100

(Table 2)

Management is interested in motivating the employees

54

40

30 0

0

10

20

30

40

50

60

StronglyAgree

Agree Netural Disagree StronglyDisagree

Series1

(Chart 2)

INTERPRETATION

The table shows that 54% of the respondents are strongly agreeing that the management is interested in motivating the employees.

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The type of incentives motivates you more

30%

18%

52%

Financial Incentives

Non Financial Incentives

Both

3. The type of incentives motivates you more

SL NO

PARTICULAR

NUMBER OF

RESPONDENTS PERCENTAGE

1 Financial Incentives 15 30

2 Non financial Incentives 9 18

3 Both 26 52

Total 50 100

(Table 3)

(Chart 3)

INTERPRETATION

The table shows that 52% of the respondents are expressing that both financial and non

financial incentives will equally motivate them.

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Satisfaction with the present incentives provided by the organization

36%

58%

6%0% 0%

0%

10%

20%

30%

40%

50%

60%

70%

HighlySatisfied

Satisfied Netural Dissatisfied highlyDissatisfied

4. Satisfaction with the present incentives scheme

SL NO

PARTICULAR

NUMBER OF

RESPONDENTS PERCENTAGE

1 Highly satisfied 18 36

2 Satisfied 29 58

3 Neutral 3 6

4 Dissatisfied 0 0

5 Highly satisfied 0 0

Total 50 100

(Table 4)

(Chart 4)

INTERPRETATION

The table shows that 58% of the respondents are satisfied with the present incentive

scheme of the organization.

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Eagerness of the company in acknowledging the work of employees

36%

58%

6%0% 0%

0%

10%

20%

30%

40%

50%

60%

70%

StronglyAgree

Agree Netural Disagree StronglyDisagree

5.The company is eagerness in recognizing and acknowledging employee’s work

SL NO

PARTICULAR

NUMBER OF

RESPONDENTS PERCENTAGE

1 Strongly Agree 18 36

2 Agree 29 58

3 Neutral 3 6

4 Disagree 0 0

5 Strongly Disagree 0 0

Total 50 100

(Table 5)

(Chart 5)

INTERPRETATION

From the study, 58% of employees agreed that the company is eager in recognizing and

acknowledging their work, 36% strongly agreed and only 6% showed neutral response.

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Periodical increase in salary

24%

46%

6%

18%

6%

0%5%

10%

15%20%25%30%35%

40%45%50%

StronglyAgree

Agree Netural Disagree StronglyDisagree

Series1

6. Periodical increase in salary

SL NO

PARTICULAR

NUMBER OF

RESPONDENTS PERCENTAGE

1 Strongly Agree 12 24

2 Agree 23 46

3 Neutral 3 6

4 Disagree 9 18

5 Strongly Disagree 3 6

Total 50 100

(Table 6)

(Chart 6)

INTERPRETATION

The table shows 46% of employees agree that there is a periodical increase in the salary.

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Job security exist in the company

30%

36%

22%

6% 6%

0%

5%

10%

15%

20%

25%

30%

35%

40%

Strongly Agree Agree Netural Disagree Strongly Disagree

7. Job Security existing in the company.

SL NO

PARTICULAR

NUMBER OF

RESPONDENTS PERCENTAGE

1 Strongly Agree 15 30

2 Agree 18 36

3 Neutral 11 22

4 Disagree 3 6

5 Strongly Disagree 3 6

Total 50 100

(Table 7)

(Chart 7)

INTERPRETATION

The table shows 35% of employees agree with good job security that exist in the

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Good relations with co-workers

30%

54%

16%

0% 0%0%

10%

20%

30%

40%

50%

60%

Strongly Agree Agree Netural Disagree Strongly Disagree

8. Good relations with the co-workers.

SL NO

PARTICULAR

NUMBER OF

RESPONDENTS PERCENTAGE

1 Strongly Agree 15 30

2 Agree 27 54

3 Neutral 8 16

4 Disagree 0 0

5 Strongly Disagree 0 0

Total 50 100

(Table 8)

(Chart 8)

INTERPRETATION

The table shows 54% of the respondents agree that they have good relations with co-

worker.99

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Effective performance appraisal system.

20%

46%

16%12%

6%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Strongly Agree Agree Netural Disagree Strongly Disagree

9.Effective performance appraisal system.

SL NO

PARTICULAR

NUMBER OF

RESPONDENTS PERCENTAGE

1 Strongly Agree 10 20

2 Agree 23 46

3 Neutral 8 16

4 Disagree 6 12

5 Strongly Disagree 3 6

Total 50 100

(Table 9)

(Chart 9)

INTERPRETATION

The table shows 46% of the respondents agree to effective performance appraisal system

existing in the company.

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18%

52%

18%

6% 6%

0%

10%

20%

30%

40%

50%

60%

StronglyAgree

Agree Netural Disagree StronglyDisagree

Effective promotional opportunities in present job

10. Effective promotional opportunities in present job,

SL NO

PARTICULAR

NUMBER OF

RESPONDENTS PERCENTAGE

1 Strongly Agree 9 18

2 Agree 26 52

3 Neutral 9 18

4 Disagree 3 6

5 Strongly Disagree 3 6

Total 50 100

(Table 10)

(Chart 10)

INTERPRETATION

The table shows 52% of the respondents agree with effective promotional opportunities

in their present job.

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102

FINDINGS

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FINDINGS

54% of the respondents are strongly agreeing that the management is interested in

motivating the employees.

52% of the respondents are expressing that both financial and non financial

incentives will equally motivate them.

58% of the respondents are satisfied with the present incentive scheme of the

organization.

58% of employees agreed that the company is eager in recognizing and

acknowledging their work, 36% strongly agreed and only 6% showed neutral

response.

46% of employees agree that there is a periodical increase in the salary.

35% of employees agree with good job security that exist in the company.

54% of the respondents agree that they have good relations with co-worker.

46% of the respondents agree to effective performance appraisal system existing

in the company.

52% of the respondents agree with effective promotional opportunities in their

present job.

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CONCLUSION

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CONCLUSION

This document aims at providing employees and management members with the

information that can be beneficial both personally and professionally. Every business

enterprise has multiple objectives including of adequate profit for payment of a

reasonable rate of return to the owners and for investment in business through satisfaction

of customers, maintenance of a contended workforce and creation of a public image. The

basic job of management of any business is the effective utilization of available human

resources, technological, financial and physical resources for the achievement of the

business objectives.

This project entitled as “Employee motivation” was done to find out the factors which

will motivate the employees. The study undertakes various efforts to analyze all of them

in great details. The researcher in this project at the outset gives the clear idea of the

entire department existing in the company. From the study, the researcher was able to

find some of the important factors which motivate the employees. Factors like financial

incentives and non financial inventive, performance appraisal system, good relationship

with co-workers, promotional opportunities in the present job, employee participation in

decision making are very much effect the level employee motivation. It is also clear from

the study that the company is so eager in motivating their employees and their present

effort for it so far effective.

The human resources can play an important role in the realization of the objectives.

Employees work in the organization for the satisfaction of their needs. If the human

resources are not properly motivated, the management will not be able to accomplish the

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desired results. Therefore, human resources should be managed with utmost care to

inspire, encourage and impel them to contribute their maximum for the achievement of

the business objectives.

The findings of the study are follows

The Vodafone Communication. has a well defined organization structure.

There is a harmonious relationship is exist in the organization between employees

and management.

The employees are really motivated by the management.

The employees are satisfied with the present incentive plan of the company.

Most of the workers agreed that the company is eager in recognizing and

acknowledging their work.

The study reveals that there is a good relationship exists among employees.

Majority of the employees agreed that there job security to their present job.

The company is providing good safety measures for ensuring the employees

safety.

From the study it is clear that most of employees agrees to the fact that

performance appraisal activities and support from the coworkers in helpful to get

motivated.

The study reveals that increase in the salary will motivates the employees more.

The incentives and other benefits will influence the performance of the

employees.

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SUGGESTIONS

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SUGGESTIONS

The suggestions for the findings from the study are follows

Most of the employees agree that the performance appraisal activities are helpful

to get motivated, so the company should try to improve performance appraisal

system, so that they can improve their performance.

Non financial incentive plans should also be implemented; it can improve the

productivity level of the employees.

Organization should give importance to communication between employees and

gain co-ordination through it.

Skills of the employees should be appreciated.

Better carrier development opportunities should be given to the employees for

their improvement.

If the centralized system of management is changed to a decentralized one, then

there would be active and committed participation of staff for the success of the

organization

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109

LIMITATIONS

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LIMITATIONS

The limitations of the study are the following

The data was collected through questionnaire. The responds from the respondents

may not be accurate.

The sample taken for the study was only 50 and the results drawn may not be

accurate.

Since the organization has strict control, it acts as another barrier for getting data.

Another difficulty was very limited time-span of the project.

Lack of experience of Researcher.

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BIBLIOGRAPHY

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BIBLIOGRAPHY

Ashwathpa K.“Human resources management” fifth dtion, Tata McGraw hill.

Clark, Donald. Performance, Learning, Leadership, and Knowledge. “History

of Learning and Training.” Accessed 21 June 2005.

Jha R.N “Personal growth training and development”Savera

publicationGupta, Kavita. A Practical Guide to Needs Assessment. San

Francisco: Jossey-Bass/Pfeiffer, 1999.

Kothari C.R “Research Methodology” Second Edition, Wishwa Prakashan.

WEBLIOGRAPHY :

http://www.google.co.in

http://www.recognitionrewards.com

http://www.vodafone.com/start/media_relations/news/local_press_releases/

portugal/portugal_press_release/vodafone_had_highest.html

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QUESTIONNAIRE

1. Response about the support from the HR department

113

ANNEXURE

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Highly satisfied

Satisfied

Neutral

Dissatisfied

Highly satisfied

2. Management is interested in motivating the employees

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

3. The type of incentives motivates you more

Financial Incentives

Non financial Incentives

Both

4. Satisfaction with the present incentives scheme

Highly satisfied

Satisfied

Neutral

Dissatisfied

Highly satisfied

5. The company is eagerness in recognizing and acknowledging employee’s work

Strongly Agree

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Agree

Neutral

Disagree

Strongly Disagree

6. Periodical increase in salary

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

7. Job Security existing in the company.

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

8. Good relations with the co-workers.

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

9.Effective performance appraisal system.

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Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

10. Effective promotional opportunities in present job,

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

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