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Employee Motivation and Its Role in Improving The Productivity and Organizational Commitment
Employee Motivation and Its Role in Improving The Productivity and Organizational Commitment
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Abstract – This study investigates the impact of employee motivation on productivity and organizational
commitment in the higher education sector. The data is collected using an online survey from 242
employees from public universities in northern Malaysia. During the analysis of the data, SPSS and
structural equation modelling are used for generating the results. The findings show that employee
motivation has a significant positive effect on employee productivity. Additionally, the effect of
employee motivation on organizational commitment is positive and statistically significant. Finally, the
results prove that organizational commitment has a significant positive effect on employee productivity.
These results carry extreme significance to policy makers in the education sector with regards to the
importance of employee motivation if they intend to enhance organizational productivity and
competitiveness.
1. Introduction
Many organizations are concerned with what they should do to accomplish high levels of
performance through their human capital (Forson, 2012). For some of the organizations to
enhance their performance, they believe that the productivity of employees can be highly
affected by their motivation, attitude, and behaviour (Kawara, 2014). Forson (2012)
illustrated that adequate motivational incentives for employees are among the best ways to
manage as well as to reach organizational objective or mission with minimum resource
usage and available human capital. On the other hand, certain issues of less motivation
may arise as they affect certain workers who go to the workplace with different
expectation, behaviours and outlooks, and become less committed to the organization.
Considering the gaps mentioned above, this study is designed to empirically test the impact
of motivation on employee productivity at public universities in Malaysia. The education
sector in Malaysia is rated as one of the main sectors that significantly contributes to the
development of the national economy. Additionally, there are few empirical studies which
have intended to test employee motivation and productivity in higher education
institutions, particularly in Malaysia. Prior researches also reveal that organizations may
achieve their goals when their employees understand their roles and responsibilities
towards the organization, and there should be continuous communication between
management, leader, and employee to set performance expectations, monitor programs,
and achieve good results. Today's economy demands organizations to invest in human
capital as they are the most valuable assets for them. Additionally, the motivation among
employees plays an important role in transforming an organization. The next section
presents the literature review about employee productivity, employee motivation, and
organizational commitment.
2. Literature Review
Over the past years, several organizations have been trying to enhance employee
productivity using different strategic techniques. Many scholars noted that the motivation
of employees and effective management play significant roles in boosting their
productivity and organizational performance (Aktar et al., 2012; Kawara, 2014; Scott,
2015; Swart, 2010). For this reason, organizational and employee’s performance have
received wide interests and captured the attentions of various scholars recently. The ability
of the management to motivate employees in an attempt to successfully reach their future
goals is fundamental (Nizam & Shah, 2015). Particularly, employees serving in both
private and public sectors need frequent motivations in order to boost their productivity
levels and accomplish their tasks as desired (Muogbo, 2013). As the performance of
employees is comprised of both motivation and capability, therefore, it is the responsibility
of the management to ensure favorable employee motivation and provide the necessary
resources for supporting this motivation (Katou, 2017; Moorhead & Griffin, 1998).
Certain scholars (Coetsee, 2002; Robbins, Judge, Odendaal, & Roodt, 2009) demonstrated
that employees’ motivation at the work place appears through their willingness to
effectively use their knowledge and skills to achieve the desired organizational objectives
in relation to their satisfaction and needs. Motivation is one of the key issues for any
organization either public or private (Muogbo, 2013; Zameer, Ali, Nisar, & Amir, 2014).
Particularly, in order to drive the success of an organization, motivation has a significant
role. Chintallo and Mahadeo (2013) revealed that all organizations, including the public or
private sector encounter the issue of employee motivation.
In the previous literature, it was reported that there are several key elements which can
enhance the commitment of employees towards an organization. The factors included
salaries and wages, job security, promotion, and bonus (Zameer et al., 2014). Rewards are
also some of the key strategies to reinforce employees’ motivation to utilize their best
capabilities to come up with innovative ideas that could improve the functionality of
business and further increase organizational performance either financially or non-
financially (Aktar et al., 2012; Kawara, 2014; Roos, 2005). As a result, employees will
exert high levels of efforts and are likely to devote their full energies to accomplish given
tasks when they feel that such efforts will be given rewards by the management.
The concern towards finding what motivates an employee has several implications for both
the theory and practice, and it has been noted in the literature over the past few years
(Haslam, Powell, & Turner, 2000). This is because the effectiveness of skilled employees
in most cases tend to be limited if they experience less motivation to perform their work
(Aktar et al., 2012). Among the key business strategies that employers can implement to
increase the productivity and motivation of their employees is to focus on a reward system
on a continuous basis (Delaney & Huselid, 1996). Basically, this system was emphasized
in the expectancy theory which states that employees usually tend to develop higher levels
of motivation to accomplish their work duties well when they are assured that there is a
positive association between their achievements and the received rewards (Aktar et al.,
2012). According to Rodriguez (2015), rewards and incentives add value to employees’
achievements, motivate them, and energize their progress by making them realize that they
have to earn for what they accomplish. The motivation will further encourage employees’
creativity and ensure their high quality of work performance (Kuranchie-Mensah &
AmponsahTawiah, 2016; Osabiya, 2015).
Previous researches showed that employee motivation was one of the key factors which
influences employee productivity (Naomi, 2011; Osabiya, 2015; Singh, 2013; Zameer et
al., 2014). Ramdhani (2008) examined the relationship between motivation and employee
productivity in higher education context and found a positive link between both of them.
They further indicated that employees’ motivation is highly correlated with the level of
productivity. Moreover, Srivastava and Barmola (2012) demonstrated that motivation is
very important for improving organizational commitment among workers, which
resultantly leads to higher levels of productivity. In other words, committed employees
tend to receive motivation at the workplace and be rewarded for good achievements.
Therefore, motivation can be considered as the driver of employee’s productivity and
organizational commitment (Al-Madi, Assal, Shrafat, & Zeglat, 2017; Bloisi, Cook, &
Hunsaker, 2007). With reference to the literature review presented above, the following
hypotheses are proposed:
H1: Employee motivation has a positive effect on employee productivity.
H2: Employee motivation has a positive effect on organizational commitment.
3. Methodology
This study adopted the quantitative methodology in which the data were gathered through
an online survey method. The participants of this study included administrative as well as
academic staff of public universities in northern Malaysia. A total of 870 questionnaires
were administered to the employees through email. To ensure that the minimum required
sample size is obtained, the questionnaires were administered to several employees after
obtaining the lists of their emails. This process was done to obtain the required sample
size. According to Yoldas (2012), using the survey technique to collect information from
larger samples is more appropriate and robust than adopting the interviews. Since the
questionnaire instrument allows for reaching a big number of populations, the online
surveys allow the researcher to reach them at a minimum cost.
The constructs of this study were measured using scales adapted from previous literature.
Specifically, a seven-item scale to measure employee motivation was taken from Curtis
and Severt (2009). To measure employee productivity, a four-item scale was taken from
the study of Lee and Brand (2010). The aforementioned scales were selected due to their
acceptable Cronbach’s alpha reliability that was more than 0.70. Finally, a five-item scale
was used to measure organizational commitment and it was taken from the study of
Mowday, Steers, and Porter (1979). All of the items were measured using the five-point
Likert scale which ranges between strongly disagree and strongly agree. After designing
the final questionnaire, three experts from higher education institutions were asked to
check and validate it before the initial distribution took place.
The responses from all participants were inserted into the SPSS after being received and
then analyzed through the structural equation modelling (SEM) using AMOS 18. Several
tests such as reliability, factor analysis, validity, and regression analysis were conducted to
generate the results of this study and to test the hypotheses. During data analysis using
AMOS, the measurement model incorporating all items was drawn to test the factor
loadings using the confirmatory factor analysis. Subsequently, the structural model was
developed to ensure the goodness of model fit and verify the presented hypotheses. The
advantages of using the structural equation modelling include the possibility to generate
greater accuracy and reliability for the results. As stated by Chin (1998), SEM is one of the
powerful statistical methods and is characterized by flexibility in modelling the
associations between a set of variables.
4. Result
The findings indicate that out of 870 online questionnaires that were administered to the
participants, only 242 were received from them. The descriptive analysis indicated that 65
(26.9%) of the respondents are male, whereas females accounted for 177 (73.1%). It also
showed that the majority of respondents (50%) represented the age cluster of 26 - 35 years
old, 7 (2.9%) came under the age cluster which ranged from 18 to 25 years, while 40.5%
are aged between 36 and 45 years old. Additionally, those whose ages ranged from 46
years old or more represented 6.6% of the overall response. On education profile, this
study has 36 (14.9%) participants who hold a diploma certificate, 79 (32.6%) have an
undergraduate certificate, 125 (51.7%) have certificates of a postgraduate degree, and 2
(0.8%) have other categories of professional certificates. It was also found that most of the
participants (69%) have a work experience of more than 5 years in their workplaces.
Testing the reliability of instrument is very important in order to confirm the internal
consistency among items. However, in this study, Cronbach’s alpha was employed because
it is the most commonly used method for calculating the reliability of constructs using a set
of items. The results revealed that all values of Cronbach’s alpha were acceptable as they
ranged from 0.774 to 0.871. Specifically, the construct of employee motivation achieved a
Cronbach’s alpha of 0.774. Moreover, organizational commitment and employee
productivity achieved high Cronbach’s alpha values of 0.871 and 0.748, respectively.
According to these findings, it can be said that the assumptions of reliability on all
constructs are fulfilled as the Cronbach’s alpha values are greater than 0.70 based on the
suggestions of Pallant (2010).
To ensure the existence of convergent validity among items, factor analyses were
examined using AMOS 18. This process was done to confirm that each unit of items are in
fact measuring the constructs that represents them. Furthermore, factor analyses were
conducted to confirm content validity. Since the measurement scales for the variables were
taken from past researches, confirmatory factor analysis is more favored than exploratory
factor analysis (EFA). The process for testing and executing factor analysis was completed
on AMOS through the measurement model which included the measurement items of all
constructs. The results showed that the loadings of all items ranged between 0.48 and 0.92
(details are shown in Appendix A). From these findings, it can be concluded that most of
the selected items surpassed the minimum required value of 0.5 in line with the
recommendations of Hair el al. (2010). Overall, the results of factor analysis are
satisfactory for all of the constructs.
After achieving a reasonable fit for factor loadings on all items which was confirmed using
the measurement model, the next step was to draw and estimate the final structural model.
This process was done to ensure an acceptable model fit through several fit values.
Overall, the findings showed that the final structural model established a reasonable fit to
the current data as p-value is significant (p=0.000). Moreover, other fit indicators (CMIN =
138.404, AGFI = 0.885, df = 62, GFI = 0.922, CFI = 0.935, TLI = 0.918, and RMSEA =
0.072) were employed in order to ascertain model fit assumptions. To verify the
hypotheses which were presented earlier, the results were then generated from the
regression table of the structural model’s output. The results presented in Table 1 indicate
that employee motivation has a positive effect on employee productivity (β = 0.772, t-
value = 8.056, p < 0.05), thus, the first hypothesis is confirmed. Moreover, the findings
supported the second hypothesis which stated that employee motivation has a positive
effect on organizational commitment (β = 0.479, t-value = 4.952, p < 0.05). Finally, the
findings revealed that organizational commitment has a significant positive effect on
employee productivity (β = 0.296, t-value = 2.146, p < 0.05), therefore, the third
hypothesis is supported.
Std.
Hypothesized Effect S.E. C.R. P Support
Estimate
H1: Employee motivation has a positive effect 0.772 0.069 8.056 *** Yes
on employee productivity.
H2: Employee motivation has a positive effect 0.479 0.097 4.952 *** Yes
on organizational commitment
H3: Organizational commitment has a positive 0.319 0.138 2.146 0.032 Yes
effect on employee productivity
The main objective of this paper was to investigate the effect of employee motivation on
productivity and organizational commitment in the higher education sector. The results
revealed that employee motivation has a significant positive effect on employee
productivity. This finding was confirmed by certain researchers who established that
motivation was a significant factor for predicting employee productivity (Korir &
Kipkebut, 2016). Masoud and Camal (2010) studied the effect of motivation on employee
productivity and reported that motivation was one of the key contributors to the
productivity of employees. Srivastava and Barmola (2012) and Emeka, Amaka, and Ejim
(2015) added that when an employee is highly motivated, his work outcomes would result
in increasing organizational productivity, effectiveness, and efficiency. Similarly, Kawara
(2014) declared that motivational rewards provide a feeling of motivation among
employees, and thus, increase their productivity levels, which provide further implications
for organizational growth and competitiveness. The practical implications from this finding
suggests that the decision makers in higher learning institutions should give a prime
attention to employees’ issues and ensure their work effectiveness by providing incentives
and rewards for good achievements. This as a result will encourage them to become more
productive and creative in doing their jobs.
Furthermore, the findings of this study provide empirical evidence that motivation has a
significant positive effect on organizational commitment and match with several previous
researches which confirmed employee motivation as a key predictor of organizational
commitment (Rafique, Tayyab, Kamran, & Ahmed, 2014; Rizal et al., 2014; Siburian,
2013). According to Alhaji and Yusoff (2012), there are different ways for enhancing
employees’ work motivation and organizational commitment, and the effectiveness of such
ways may differ according to the nature of the job, organization, and from one employee to
another. They further indicated that increased commitment depends on the efficiency of the
management in handling human resource issues at the workplace. The outcomes of this
study also showed that organizational commitment has a significant positive effect on
employee productivity. The result was confirmed by past literature (Khan et al., 2011;
Rizal et al., 2014) which reported similar conclusions. Therefore, organizations should
establish reward systems for productive employees either financially or non-financially in
order to stimulate employees’ productivity and enhance their loyalty and commitment to
the organization. Overall, the results of this paper reveal that human resource managers
should put prime emphasis towards increasing work motivation of employees and ensuring
their job satisfaction (Farouk, Abu Elanain, Obeidat, & Al-Nahyan, 2016).
Certain limitations exist in this paper which would open some avenues for future
researches. First, the data in this study were only collected from the employees of public
universities in the northern part of Malaysia. Thus, future researches should examine the
constructs used in this study in different types and contexts of industries to gain better
insights on the role of motivation in affecting employee productivity and organizational
commitment. Second, this study investigated only one predictor of employee productivity
and organizational commitment; therefore, future studies may test other variables such as
career development and work environment. Moreover, future research should seek to
develop more complete measures of employee motivation and ways to enhance employees’
motivation by tapping multiple dimensions of their job quality. Finally, this study was
conducted using a quantitative survey; thus, future researches may utilize qualitative
methods that would provide further confidence to the generalizability of the results.
Factor
Code Construct/ Item
Loading
Employee Motivation (Cronbach’s Alpha = 0.774)
MOT1 My institution provides me with job security. 0.69
MOT2 I receive supervisor’s help with my personal problems. 0.65
MOT3 In my institution, I get good wages. 0.56
MOT4 Working in this institution is interesting. 0.60
MOT6 The management of the institution shows gratitude for a job well done. 0.69
MOT7 I receive monetary incentives for a job well done. 0.75
Organizational Commitment (Cronbach’s Alpha = 0.871)
OC2 I talk positively about this institution to others. 0.77
OC3 I am proud to tell others that I am part of this institution. 0.90
OC4 I really care about the status of this institution. 0.73
OC5 For me, this is one of the best institutions for which to work. 0.77
Employee Productivity (Cronbach’s Alpha = 0.748)
PROD2 I accomplish tasks quickly and efficiently. 0.72
PROD3 I have a high standard of task accomplishment. 0.82
PROD4 My work outcomes are of high quality. 0.68
Disclosure Statement
No potential conflict of interest was reported by the authors.
Funding
No Funding
Acknowledgement
N/A
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