The Effect of Leadership Style and Employee Motivation Towards

Employee Performance in Clozette Indonesia

Created by : Arindra Cantona Aden (01801170028)

UNIVERSITAS PELITA HARAPAN

2021
 CHAPTER 1

Introduction

1.1 Introduction

Human resources management by definition is a process of hiring, recruiting, and

developing employees within the organization or company. Human resources

managements include of experimenting job analyses, planning, personal needs, recruiting,

training, managing wages, etc. Needs and wants for employees can be met through detail

and well-organized management process. Nowadays, we realize that the most important

thing in economy and in the organization is the improvement and quality of the

employees. This quality and improvement can be met through job satisfaction and

motivation which enable the employee to finish their task effectively. That is why

manager needs to know the current trends that could improve the employee motivation.

The term motivation comes from a Latin term “motivus” (a moving cause) which

derives a human suggestion on doing something involved in psychological motivation.

Motivation is a force which affects and stimulates action in human behaviour. Motivation

is affected by internal and external factors that drives enthusiasm and mood of the

employees to do the task and accomplish it in the most effective way. The aim of this

study is to determine the effect on giving rewards and motivation level of the employee in

a company located in Jakarta.

1.2 Research question

1. Is there a positive impact between the task given with employee’s motivation?

2. Is there a positive impact between recognition with employee’s motivation?

 3. Is there a positive impact between the amount of salary with employee’s motivation?

4. Is there a positive impact between bonus and rewards with employee’s motivation?

1.3 Research Objective

1. To investigate the positive impact between the task given with employee’s motivation

2. To investigate the positive impact between recognition with employee’s motivation

3. To investigate positive impact between the amount of salary with employee’s

motivation

4. To investigate the positive impact between bonus and rewards with employee’s

motivation.
 CHAPTER 2

Literature Review

2.1. Literature Review

Motivation of employees is the most important part in human resources management

strategy as employees are driven by their own commitment, motivation, and satisfaction

towards the task. Motivation is by definition is a force which affects and stimulates action in

human behaviour. Motivation is affected by internal and external factors that drives

enthusiasm and mood of the employees to do the task and accomplish it in the most effective

way. Motivation is an instrument that triggers human behaviours towards satisfaction

according to their desire and needs. Motivation actually can be determined by many factors

and many theories have been develop about employee’s motivation.

There are some theories that is included in this literature regarding employee’s

motivation. In order to make employees more productive and work effectively is that the

organization should create such policies like procedures or even rewards system which

believed would improve employee’s satisfaction and motivation. Organization’s performance

is determined by its human resources quality. That is why by giving rewards, motivation of

the employees will increase so that they will work more productive.

There are several theories regarding the employee’s motivation in working. There

theories are very crucial and that is why it has been applied in many organizations all over the

world. These theories has to be implemented through process and must work very well if the

managers, directors, and employees work together to create a harmony within the

organization. There are two kind of theories to determine employee’s motivation. The first is

content theories which focuses on how human behaviour could be motivated. This theory also

tries to identify our needs that is related to motivation by fulfilling these needs. The second is
process theories which discuss about a description about behavioural process of a person to

act in a certain way. Basically, this theory discusses how a person needs will relate to his

motivation to achieve his goal. These theories are explained below.

I. Maslow’s Hierarchy of needs

Abaraham Maslow formed a theory of Heirarchy of needs. Maslow’s

Heirarchy of needs is a motivational theory in psychological needs which

contains five tier model of human needs. The tier is represented with levels

within a pyramid. The lowest level in the hierarchy must be fulfilled before

moving to the higher tier. The highest level is what every worker wants to

have in the workplace. It includes psychological needs (foods, water, rest),

safety needs (security, safety), social needs (relationship with workers,

concern), esteem needs ( feeling of accomplishment), self-actualization

(achieving full potential, recognition). This theory is flexible as it is based on

external and internal factors and also based on people differences in the

workplace.

II. Herzberg Two Factors Theory

This theory argues that there are two factors that could influence employee’s

motivation in the workplace. Herzberg believes that there are factors that

could cause satisfaction and dissatisfaction among the employees. These two

factors are motivator and hygiene factors. Motivators is crucial because it

forces employees to work harder and enjoy doing their task. Motivators

include achievement, recognition, the task itself given by the employer, and

etc The factors that has direct impact to employee’s satisfaction. Hygiene

factors also takes crucial part as motivator because the absence of hygiene
 factor can cause dissatisfaction among the employees. Hygiene factors

includes policies, supervision, work condition, salary, etc. These factor can

cause dissatisfaction if it is not present, however this factor also has small

impact on employees satisfaction.

III. Three Needs Theory

McClelland theory is about employees achievement that could affect their

performance. This motivation is driven by three types of needs. These needs

are need for achievement, need for power, and need for affiliation. Workers

who have high need for achievement is believed to be the most productive

compare to others. They like to challenge themselves and do their best always.

Workers with high affiliation needs prefers to work with others. They want to

build good relationship and make friends in the workplace. Worker with high

power needs feels like that he or she is the boss. They like to control and

supervise them and lead them to success.

2.2 Hyphothesis

H1 : The task given by employer itself brings direct positive impact towards employee’s

motivation

H2 : Recognition is very crucial towards employee’s motivation

H3 : The amount of salary given is important towards employee’s motivation

H4 : Bonus and rewards have positive impact towards employee’s motivation

2.3. Research Model

The Task Itself

Recognition

Employee’s Motivation

The Amoung of Salary

Bonus and Reward

 CHAPTER 3

RESEARCH METHODOLOGY

3.1 Population

The population was taken from the employees who work at Telkomsel Cellular

company which is located in Jakarta as much as 100 employees. All employees were able to

fill in the questionnaire and all the questions are considered to be valid. Certainly there is an

obstacles for us delivering this questionnaire such as the time and place for the employees,

however at the end we were able to do it. The correspondent also did not have any difficulty

in answering the questionnaire.

3.2. Sample

Sample is the one that we are going to analyse in detail in our population. Base on the

population above, I am taking a sample from the population in Telkomsel Cellular Company

in Jakarta as much as 100 correspondents. There are 40 people in the age of 20s, 40 people in

the age of 30s to 40s, and 20 people who are senior workers. Also I am taking the

questionnaire and divided the category between a person who is already married and a

workers who are still single.

Questionnaire

NO Question 1 2 3 4 5
 1 New task

for a new

challenge

2 Recognition

is important

3 Salary is

important

4 Bonus and

rewards are

important

3.3 Analysis

From the questionnaire above which is obtained from the Telkomsel Cellular

Company, all correspondents were able to answer all the questions very well without any

difficulties. There are 40 people in the age of 20s, 40 people in the age of 30s to 40s, and 20

people who are senior workers. Also, I am taking the questionnaire and divided the category

between a person who is already married and a worker who are still single. According to the

result, there are 72 people who strongly agree (5) that recognition is important to increase

motivation. The second is that 10 people who agree that salary is important to increase

motivation. The third is that 4 people who strongly agree that the task itself important to

improve themselves and increase in motivation. The fourth is 9 people who strongly disagree

that new task is important to increase motivation. And the last 5 people who disagree that

recognition is important for motivation.

 3.4 Conclusion

After seeing the analysis from the data above, I can see direct impact that the

hypothesis has direct impact to the employee’s motivation in Telkomel Cellular Company.

However, there are still the data that has indirect impact to the result of this experiment.

Especially, salary and bonus reward are very crucial for the employee’s motivation which

makes workers drives to work more productive and help the company to increase its

performance. Just like it has been said before, human resources is the main key for company

success. Workers think that salary and bonus reward is important because money is important

for their life. It is how they can fulfil their needs and makes a living for their family. Bonus

and rewards are extra money or gift which also can be used for them adding some value that

can be useful for their life. Nowadays, we can see that working competition is more

competitive and finding a job is difficult if you are not competent. People want to have more

money and never satisfy on themselves. That is why salary and rewards are really important

for employee motivation.

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