SSRN Id3563876

You might also like

Download as pdf or txt
Download as pdf or txt
You are on page 1of 68

See discussions, stats, and author profiles for this publication at: https://www.researchgate.

net/publication/341407713

AN ASSESSMENT OF THE IMPACT OF EMPLOYEE MOTIVATION ON


ORGANISATIONAL PERFORMANCE AND PRODUCTIVITY IN PUBLIC
ENTERPRISES; THE CASE OF ELECTRICITY COMPANY OF GHANA....

Thesis · May 2017


DOI: 10.13140/RG.2.2.13843.71207

CITATIONS READS

0 16,066

1 author:

Abigail Tetteh
University of Ghana
2 PUBLICATIONS 0 CITATIONS

SEE PROFILE

All content following this page was uploaded by Abigail Tetteh on 15 May 2020.

The user has requested enhancement of the downloaded file.


AN ASSESSMENT OF THE IMPACT OF EMPLOYEE MOTIVATION ON

ORGANISATIONAL PERFORMANCE AND PRODUCTIVITY IN PUBLIC

ENTERPRISES; THE CASE OF ELECTRICITY COMPANY OF GHANA, LEGON

DISTRICT.

A thesis submitted to the Department of Political Studies, in partial fulfilment of the

requirement of award of Bachelor of Arts Degree in Political Science.

BY

ABIGAIL TETTEH

MAY 2017

Electronic copy available at: https://ssrn.com/abstract=3563876


DECLARATION

I hereby declare that I originally undertook this thesis under my supervisor. It contains no

material previously published by another person or material which has been accepted for the

award of any other degree of the University, except where due acknowledgement has been

made in the text.

……………………………………………. ……………………

ABIGAIL TETTEH DATE

CERTIFIED BY:

………………………………… ……………………..

(DR.MOHAMMED ABDULAI KUYINI) DATE

Supervisor

Electronic copy available at: https://ssrn.com/abstract=3563876


DEDICATION

I dedicate this work to my……………………..

Electronic copy available at: https://ssrn.com/abstract=3563876


ACKNOWLEDGEMENT

First and foremost, I am highly indebted to the Almighty God whose divine providence has

brought me this far through the challenges of life.

I, as well, express my profound gratitude to Dr.Mohammed Abdulai Kuyini, my supervisor,

for guiding and correcting various documents of this piece with attention and care. For taking

pains to read, in between lines, through the project and made very necessary correction as and

when needed, I say bravo to him for the good done me.

To Mr. Emmanuel Acquah I say thank you for your enormous support and kind words that

have built and moulded me this far. Not forgetting Janet Osei, Zainab, Princess, Bernard,

Jemima, Alex and Emma who have always been there for me.

And to anyone who in diverse ways helped me out with this thesis, God bless you all.

Electronic copy available at: https://ssrn.com/abstract=3563876


ABSTRACT

The success or failure of any business as a matter of fact depends largely on its employees;

thus human resources are very essential to the organisation as they are the key stakeholders to

prosperity, productivity and performance. The aim of this study was to assess the impact of

employee motivation on organisational performance and productivity at Electricity Company

of Ghana, Legon District. The research work adopted a mixed approach of research design

and the case study method to provide answers to research questions formulated. A probability

design with the stratified sampling technique was employed to select and sample the opinions

of 80 workers of ECG, Legon District on the issue. Data obtained from the field survey was

later analysed using SPSS. The research made extensive use of both primary and secondary

data. Primary data was obtained by administering a well-structured questionnaire to

respondents and interviews were conducted with the lower level employees as categorised by

the researcher.

The study revealed that there is a relationship between motivation and performance and came

to a conclusion that management should put in great efforts to motivate members of staff to

enhance their performance.

The researcher recommends that management should consider the issue of employee

motivation very important to make ECG maintain its position as the only producer of

Electricity in Ghana.

Electronic copy available at: https://ssrn.com/abstract=3563876


ABBREVIATIONS

ECG – Electricity Company of Ghana

GES- Ghana Education Service

SPSS- Statistical Package for Social Sciences

Electronic copy available at: https://ssrn.com/abstract=3563876


Table of Content s

Contents Pages
DECLARATION ii
DEDICATION iii
ACKNOWLEDGEMENT iv
ABSTRACT v
ABBREVIATIONS vi
Table of Content vii
List of Tables ix
List of Figures x
CHAPTER ONE 1
INTRODUCTION 1
1.0 Background to the Study 1
1.1 Statement of the Problem 4
1.2 Purpose of the Study 5
1.3 Objectives of the Study 5
1.4 Research Questions 6
1.5 Significance of the Study 6
1.6 Overview of Methodology 7
1.7 Limitation 8
1.8 Organisation of Study 8
CHAPTER TWO 10
REVIEW OF RELATED LITERATURE 10
2.0 Introduction 10
2.1 Definition of Key Variables 10
2.1.1 Motivation 10
2.1.2 Performance 11

Electronic copy available at: https://ssrn.com/abstract=3563876


2.2 Features of Motivation 11
2.2.1 Motivational Factors 12
Monetary Factors include the following 12
Non-monetary Incentives including the following 12
2.3 Types of Motivation 14
2.3.1 Extrinsic Motivation 14
2.3.2 Intrinsic Motivation 14
2.4 Theoretical Framework 15
2.4.1 Maslow’s Hierarchy of Needs Theory 15
2.4.1.1 ​ABRAHAM MASLOW'S HIERARCHY OF NEEDS 17
2.4.2 Frederick Winslow Taylor Theory of Motivation 18
2.4.3 Herzberg’s Theory of Motivation and Hygiene Factor 19
2.5 H​ow Motivation affects Performance 21
2.6 How Employee Motivation affects Employee Performance 21
CHAPTER THREE 22
RESEARCH METHODOLOGY 22
3.0 Introduction 22
3.1 Research Design 22
3.2 Sample size 22
3.3 Sampling Techniques 23
3.4 Sources of Data 24
3.5 Data Analysis 24
3.6 History of Electricity Provision in Ghana 25
3.6.1 Institutional Profile (Electricity Company of Ghana) 26
3.6.2 Objective of the Company 27
3.6.3 Core Mandate 27
3.7 Summary 27
CHAPTER FOUR 28
DATA PRESENTATION AND ANALYSIS 28
4.0 Introduction 28
4.1 Demographic Statistics 28
4.1.1 Gender of Respondents 28
4.2 Concept of Motivation 29
4.3 Motivational Factors that Increase Performance 31

Electronic copy available at: https://ssrn.com/abstract=3563876


4.3.1 Recognition and Appreciation 31
4.3.2 Fat Salaries and Career Advancement 32
4.3.4 Good Working Environments 33
4.3.5 Interpersonal Relationship 35
4.4.1 Challenges in Motivating Employees 36
4.4.2 Deserving Workers 37
CHAPTER FIVE 40
SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATION 40
5.0 Introduction
40
5.1 Summary of Findings 40
5.2 Conclusion 43
5.3 Recommendation 44
References 45
Appendix 1 47
Appendix 2 50

Electronic copy available at: https://ssrn.com/abstract=3563876


List of Tables
Table Page
4.1 Gender of Respondents
4.2 Good and Decent Accommodation … 31
4.3 Recognition and Appreciation
4.4 Promotion and Growth …………………………………………………………………...
4.5 Additional Responsibility…………………………………………………………….......

10

Electronic copy available at: https://ssrn.com/abstract=3563876


List of Figures

Figure page
4.1 Years of Work…………………………………………………………………...............
4.2 Staff Development…………………………………………………………………….....
4.3 Career Advancement …………………………………………………………………….33
4.4 Interpersonal Relationship

11

Electronic copy available at: https://ssrn.com/abstract=3563876


4.5 Practise of Motivation
4.6 Deserving workers

12

Electronic copy available at: https://ssrn.com/abstract=3563876


CHAPTER ONE

INTRODUCTION

1.0 Background to the Study

The success of any facet of a business in part depends on the possession of motivated

employees. This is especially true and important in today’s turbulent and often chaotic

environment where commercial success depends on employees using their full potentials and

talents. The ability to attract, retain and develop talented employees is a key feature of

increased organisational productivity and performance.

Managers are first continually challenged to motivate employees to work towards helping the

organisation achieve its goals. The second is to motivate employees to work toward achieving

their own personal goals. Meeting the needs and achieving the goals of both the employer and

the employee is often difficult for managers in all types of organisations (Shanks, 2007).

Every employee or worker has his or her own set of motivation and personal incentives that

ginger him or her to work hard or not as the case may be. Some are motivated by recognition

whilst some are motivated by cash incentives. Whatever, the form of employee motivation,

the key to promoting the motivation of an employer, is understanding the incentives (Coy

2012).

Employee incentive program goes a long way towards ensuring employees feel appreciated,

cared for and deemed worthwhile. This can go a long way to help with employee motivation

across board. The good thing about motivation is that, it is individualized and as such

programs are tailored to suit the needs and wants of individual employees. Motivation does

13

Electronic copy available at: https://ssrn.com/abstract=3563876


not only encourage productive performance but also show employees how much the company

cares about them. Perhaps the most vital impact of employee motivation is that of increased

productivity or performance. This according to the literature is the central aim of adopting

employee motivational programs. Thus, if you can increase employee motivation,

productivity inevitably will follow suit (Ryan).

Motivation is the act of inspiring others to take desired action. In relation to employees,

motivation is defined as the process by which managers inspire their employees to work

towards their goals and objectives. Motivation has been defined in the literature as an

individual internal process that causes a person to act in a particular manner (Pride, 2006).

Employee motivation determines an employee’s attitude towards superiors, colleagues and

the organization as a whole. A close relationship exists between employee motivation and

performance.

In a highly competitive business environment that exists for businesses today, it is critical

that organizations retain their most efficient employees in order to attain higher efficiency

and performance levels. According to one study, an organization can lose nearly $1 million

when every ten (10) managerial and professional employees leave the organization (Ramlall,

2004). Therefore, it is vital that an efficient and talented workforce is retained. One of the

effective strategies to retain employees is through employee motivation.

Research by (Drake, 2007) has suggested that motivated employees are likely to display

superior performance. Another research by (lazaroiu, 2015) has also confirmed a positive

relationship between satisfaction of employees needs and their performance in the

organization. Therefore, employee motivation and performance are directly proportional to

each other.

Employee motivation promotes workplace harmony and increased employee performance. It

14

Electronic copy available at: https://ssrn.com/abstract=3563876


is the key to long term benefits for the company. Motivated employees means staff retention

and company loyalty, which in the short run will give birth to growth and development of

business (Al Jishi, 2009).

Leaders should try to increase the belief that good performance will result in valued rewards.

Ways of doing so include: measure job performance accurately; describe clearly the rewards

that will result from successful performance; describe how the Employee’s rewards were

based on past performance; provide examples of other employees whose good performance

has resulted in higher rewards.

In essence, leaders should link directly the specific performance they desire to the rewards

desired by employees. It is important for employees to see clearly the reward process at work.

Concrete acts must accompany statements of intent. Compensation mechanisms can be a

powerful incentive in linking performance to rewards. Compensation systems that reward

people directly based on how well they perform their jobs are known as pay-for-performance

plans (Berg.L, 2009). These may take such forms as “commission plans” used for sales

personnel, “piece-rate systems “used for factory workers and field hands, and “incentive

stock option (ISO) plans” for executives (Dunn, 2009; Mercer, Carpenter, & Wyman, 2010)

and other employees (Baker, 2011).

However, rewards linked to performance need not be monetary. Symbolic and verbal forms

of recognition for good performance can be very effective as well (Markham, Dow, &

McKee, 2002). Leaders should try to increase the expected value of rewards resulting from

desired performance. Ways of doing this include: distribution of rewards that employee’s

value, and introduction of individualize rewards.

In conclusion, the above submissions shows that employee motivation is essential to the

15

Electronic copy available at: https://ssrn.com/abstract=3563876


growth, development and success of any business entity be it small or big. In the business

world or better still the workplace, human resources are the most valued and cherished

resources above all others. Employees who receive some level of motivation are productive,

happy and highly committed to their job. The results of this on organisational performance

will be increasingly high productivity levels. This is the reason why the title of this research

“and thus the research topic” an assessment of the Impact of Employee Motivation on

Organisational Performance and Productivity of Public Enterprises; The case of Electricity

Company of Ghana, Legon District”.

1.1 Statement of the Problem

It is very optimistic to assume that every organisation can compete according to their

strategies in obtaining maximum output in terms of productivity and performance. In an

industry where uncertainties are prevalent, the growth and success of businesses are

completely threatened. With the help of employees, organisations still have their option and

chance towards future success (Byham, 2005).

One of the most important instruments used by public enterprises to spur production other

than training and development is employee motivation. This tool is being used by almost all

organisations irrespective of mission, size and customers they serve. Yet there has been much

ink in the literature on how employee motivation brings about increased productivity in

private-owned enterprises rather than public ones. This study therefore seeks to assess how

public enterprises motivate their employees and the impact this has on productivity and work

performance; using Legon district of the Electricity Company of Ghana as a case.

Over the years, successive governments have used various means to motivate employees in

the various public enterprises. There is an old saying that you can take a horse to the riverside

16

Electronic copy available at: https://ssrn.com/abstract=3563876


but you cannot force it to drink water. It will drink only if it is thirsty. This implies that public

employees will not be motivated to produce their best if the right incentives are not identified

and applied to them. Effective performance on the part of public employees is essential for

the success of public enterprises. The improved performance will in part depend on the

knowledge and skills possessed by individual employees. But if these are not supported by a

realistic motivation strategy that takes into consideration the unique instruments that are

appropriate to the different individual employees, it is unlikely that the desired results will be

achieved. Except and till, the employees of any organisation are well motivated, the goals of

an establishment will be difficult to achieve. It may be working for most privately owned

enterprises rather than the public sector hence the need to assess how public sector employ

motivation and the impact on productivity. It is against this background that the following

objectives have been formulated.

1.2 Purpose of the Study

The study seeks to examine the impact of employee motivation on organisational

performance and productivity in public enterprises.

1.3 Objectives of the Study

The objectives of the study is to examine the impact of employee motivation on

organisational performance and productivity in public enterprises.

Specifically, the study seeks to

➢ Assess the concept of motivation in public enterprises, a case of Electricity Company

of Ghana, Legon district.

➢ Evaluate motivational tools put in place by the ECG to contribute to organisational

17

Electronic copy available at: https://ssrn.com/abstract=3563876


performance and productivity.

➢ Identify challenges faced by ECG in motivating its employees

1.4 Research Questions

The study will be guided by the following research questions

➢ What is the understanding of employee motivation and an increased organisational

performance by public enterprises?

➢ What motivational methods or factors are being used by public enterprises to reward

its workers?

➢ What are some of the challenges faced by public enterprises in motivating sits

employees?

➢ What actions are being taken to deal with motivation challenges in Public enterprises?

1.5 Significance of the Study

This study is important for the following reasons;

➢ It will contribute to the body of knowledge on employee motivation in general and

public enterprises in particular.

➢ It will highlight the gap between employee motivation and organisational

performance and productivity in public enterprises.

➢ Provoke a rethink of the motivation measures in public enterprises to inform policy

reform.

➢ Raise the awareness on how employee motivation enhances organisational

performance and productivity.

➢ At the individual level, the workers of the institution will be informed as to the

18

Electronic copy available at: https://ssrn.com/abstract=3563876


motivation programs available to them and how best they can effectively utilise them

for an increase in organisational performance and productivity.

➢ At the institutional level it will help the enterprise to change or review the employee

motivational policies and strategies.

➢ At the national level, critical issues of motivation are of national concern as it will

help in the retention of workers. So this study will be important for all State-owned

enterprises as it has come at the right time and at the right place to support national

policies especially the policy to make the public sector the engine of growth of the

economy of Ghana,

1.6 Overview of Methodology

The study adopted a mixed method approach of research design. The reason behind the

adoption of such an approach is that, one method can support the other in times of difficulty.

The case study design was also used because it measures and provides an in depth analysis of

every information or data obtained about the phenomenon of investigation. The study

population comprised of members of staff at the electricity Company of Ghana, Legon

District in Accra. The research adopted questionnaire and interviews as research instruments

to solicit for information from primary. Primary data was collected by administering

well-structured questionnaires to respondents and also conducting interviews with some

members of staff at the Electricity Company of Ghana, Legon District. The questionnaire was

used to solicit for information from respondents. The questionnaire was used extensively and

it comprises of open-ended and close-ended questions. Both the open-ended and close-ended

questions focused on different research questions posed. The questionnaire was used to solicit

for information from the Manager and the members of staff at the middle level of

19

Electronic copy available at: https://ssrn.com/abstract=3563876


management. Interviews were conducted with members of staff or employees at the lower

level.

The SPSS software was finally used to process the data and create tables and charts for easy

analysis and interpretation of the information.

1.7 Limitation

The study was limited to interviews and the use of a questionnaires with the intention of

clarifying and explaining issues that emerged during the administration of questionnaire.

Another area of constraint in carrying out this study is that results of a case study cannot be

used to generalise the entire population, nevertheless the in-depth analysis is good for

contingent generalisation measure all the issues but just a sample out of the entire population

(Public enterprises). Also, time constraints and numerous work demands on the part of some

members of staff accounted for inadequate information for me as a researcher. A final

constraint was the general apathy of the Ghanaian culture towards research work which

hindered accessibility to prospective respondents who were to provide the needed

information.

1.8 Organisation of Study

This study is structured to provide a critical review of relevant information regarding an

assessment of the impact of Employee motivation on organisational performance and

productivity. The study is comprised of five chapters and it is presented as follows;

Chapter One; deals with the introduction, giving the Background to the study, Statement of

the problem, purpose, objectives, research questions, significance, Organisation of the

research, Overview of Methodology and the Limitation to the Study.

20

Electronic copy available at: https://ssrn.com/abstract=3563876


Chapter Two; reviewed the literature regarding many aspects of employee motivation and its

impact on organisational performance and productivity.

Chapter Three; presented the research methodology and focused on the research design and

method as well as the justification of sampling techniques, data collection methods and data

analysis methods.

Chapter Four focused on data presentation, which was subsequently interpreted and analysed

in relation to the research objectives and questions and discussion of findings of the study.

In Chapter Five a summary of the findings, recommendations and conclusions was sketched.

CHAPTER TWO

REVIEW OF RELATED LITERATURE

2.0 Introduction
This chapter reviews literature related to employee motivation, various theories of motivation

are critically evaluated to expose not only the strengths and weaknesses but also the gap that

need to be filled.

2.1 Definition of Key Variables

2.1.1 Motivation
(Young, 2000) Suggest that, motivation can be defined in a variety of ways, depending on

21

Electronic copy available at: https://ssrn.com/abstract=3563876


who you ask. Ask someone on the street, you may get a response like “it’s what drives us” or

“it’s what makes us to do the things we do.” Therefore “motivation is the force within an

individual that account for the level, direction and persistence of efforts expended at work”.

Employee motivation is a complex field which has a broad background in diverse disciplines

in academia including Political Science, Psychology, Sociology, Education, and Economics.

Motivation is simply defined as “what causes people to behave as they do” (Denhardt, 2008).

Motivation is an internal state that causes people to behave in a particular way to accomplish

particular goals and purposes. It is possible to observe the outward manifestation of

motivation but not motivation itself (Denhardt, 2008).

According to Greenberg and Baron (2000, p. 190), motivation can be divided into three main

parts. The first part looks at arousal that deals with the drive or energy behind individual(s)

action. People tend to be guided by their interest in making a good impression on others

doing interesting work and being successful in what they do. The second part is referring to

the choice people make and the direction their behaviour takes. The last part deals with

maintaining behaviour clearly defining how long people have persisted in attempting to meet

their goals

For the purpose of this research work, the definition by (Denhardt, 2008)will be used as the

operational definition throughout the report; that is, Motivation is simply defined as “what

causes people to behave as they do”.

2.1.2 Performance
Employee performance fundamentally rests on many dynamics like employee motivation,

performance enhancement through training and development, performance evaluation or

appraisal, employee satisfaction, job security, job re-design, compensation, organisational

22

Electronic copy available at: https://ssrn.com/abstract=3563876


hierarchy and the like.

The research defined performance as a function of ability and motivation, that is,

Job performance= f (a) (m)

(Carter, 2009)

From the equation, work performance is highly dependent upon employee abilities thus, if the

employee lack the learned skills or the innate abilities (education and capacity) to do a

particular job the performance unit will be less optimal. But in a situation where the

employee has all these backed by good motivation, job performance will ultimately be at the

optimum.

2.2 Features of Motivation


McCoy 2012 outlined in her conference paper some features of motivation;

1. It is an act of management.

2. It is a continuous process which has no end.

3. It can be positive or negative.

4. It is goal oriented and complex in nature.

5. It is an art not a science.

6. It is a system or organisational oriented.

7. It is different from job satisfaction.

2.2.1 Motivational Factors


Motivational factors are monetary and non-monetary incentives used to entice and attract

employees to work.

23

Electronic copy available at: https://ssrn.com/abstract=3563876


Monetary Factors include the following:

● Wages or salaries: salaries or wages is an essential motivation factor. Organisations

must pay their workers on time, while fixing salaries the organisation must consider

issues such as cost of living, company’s ability to pay employees on time and the like.

● Incentives: the organisation can also provide additional incentives such as medical

allowance, educational allowance and the like. The organisation may provide special

individual incentives. Such individual incentives must be given to deserving

employees for valuable initiatives, suggestions and very hard working employees who

contribute to the success of the organisation.

● Bonuses: refers to the entire payment to an employee over and above salary given as

an incentive. The employee must be given adequate rate of bonus.

Non-monetary Incentives including the following:

● Status or Job title: employees prefer and are often proud of higher designations.

● Appreciation and Recognition: Employees must be appreciated for their services to

the organisation. The praise should not come from immediate superiors but from

higher authorities.

● Delegation of authority: it motivates a subordinate to perform the tasks with

dedication and commitment. When authority is delegated, the subordinate know that

his superior has placed faith and trust in him.

● Job redesign: job redesign is when employers adjust the jobs performed by their

workers so that workers will be motivated on the job to work very hard because of the

changes in the work or job assignments. There are several types of job redesign,

namely; job rotation, job enlargement, job enrichment, alternative job schedule and

24

Electronic copy available at: https://ssrn.com/abstract=3563876


the like.

● Working conditions: provision of better working conditions such as air-conditioned

rooms, proper plant layout, proper sanitation, machines, equipment and the like

motivates employees.

● Job security: guarantee of job security devoid of the fear of dismissal is another way

of motivating employees. Employees who are kept temporary for a long time can get

frustrated and leave the job.

● Good superiors.

● Cordial relationship in the organisation.

● Performance enhancement through training and development. Performance

enhancement is the practice and process of improving the performance of workers on

the job. This means if you want workers to be more productive then increase the

quality and quantity of products, pay more attention to details, and adopt best

practices in customer services. Ultimately, with performance enhancement

organisations are more concerned about what they can do to be recognised as the

leader or among the leaders in the provision of certain services or products.

2.3 Types of Motivation


Basically, there are two types of motivation, that is extrinsic motivation and intrinsic
motivation.

2.3.1 Extrinsic Motivation


In the classical literature, extrinsic motivation has been characterised as a pale and

impoverished (even if powerful) form of motivation that contrast with intrinsic motivation.

Extrinsic motivation is a construct that pertains wherever an activity is done in other to attain

25

Electronic copy available at: https://ssrn.com/abstract=3563876


some separable outcome. Extrinsic motivation thus contrast with intrinsic motivation, which

refers to an activity simply for the enjoyment of the activity itself, rather than its instrumental

value.

Extrinsic motivation is related to tangible rewards such as salary and fringe benefits, security,

promotion, contract of services, the work environment and conditions of work. Such tangible

rewards are often determined at the organisational level and may be largely outside the

control of individual managers (Mullins, 2005).

2.3.2 Intrinsic Motivation


The phenomenon of intrinsic motivation was first acknowledged within experimental studies

of animal behaviour, where it was discovered that many organisms engage in exploratory,

playful and curiosity driven behaviours even in the absence of reinforcement or reward

(White, 1959). Intrinsic motivation has emerged as an important phenomenon for educators, a

natural wellspring of learning and achievement that be systematically catalysed or

undermined by parents and teacher practices ( Ryan & Stiller,1991).This is related to

psychological rewards such as the opportunity to use one’s ability. A sense of challenge and

achievement, receiving appreciation, positive recognition, and being treated in a caring and

considerate manner. Psychological rewards are those that can be usually determined by the

actions and behaviours of the individual manger (Mullins, 2008). Intrinsic motivators are

concerned with the quality of work life and are likely to have deeper and long term effect

because they are inherent in individuals and are not imposed from outside (Armstrong, 2006).

2.4 Theoretical Framework


There are several theories of motivation. In this study the research work will review

Maslow’s hierarchy of needs theory, Taylor’s theory of motivation and Herzberg’s theory of

26

Electronic copy available at: https://ssrn.com/abstract=3563876


motivation and hygiene factor.

2.4.1 Maslow’s Hierarchy of Needs Theory


Abraham Maslow was born in April of 1908 to Jewish immigrants from Russia. Maslow

studied law at City College of New York and Cornel. After getting married he moved to

Wisconsin so he could study at the University of Wisconsin. There he studied psychology

and earned his BS, MS and PhD in 1934. Later in 1943, Maslow discovered his theory in

which he called the hierarchy of needs. Abraham Maslow attempted to synthesize a large

body of research related to human motivation prior to Maslow, researchers generally focused

separately on such factors such as Biology, achievement or power to explain what energizes,

directs and sustains human behaviour. Maslow posited a hierarchy of human needs, each of

these needs has been satisfied if at some future time a deficiency is detected the individual

will act to remove the deficiency (Maslow, 1954).

Maslow’s Hierarchy of needs theory proposed that people have five dimensions or sets of

needs: physiological needs, safety needs, love and belonging needs, esteem needs and needs

for self-actualisation (J.E, 2008). Abraham Maslow’s theory has a central feature of

humanism and the basic needs of Maslow’s theory is the basis for motivation. Maslow’s

theory of needs postulate a hierarchy of needs from the lowest, subsistence level needs to the

highest level of self-awareness and actualisation. Once each level has been met, the theory

asserts, an individual will be motivated by and strive to progress and satisfy the next higher

level of need. The five levels of Maslow’s theory of needs are;

● Physiological needs: including food, water, sexual drive and other subsistence-related

needs.

● Safety needs: including shelter, a safe home environment, employment, a healthy safe

work environment, access to healthcare, money and other basic incentives.

27

Electronic copy available at: https://ssrn.com/abstract=3563876


● Belonging needs: including the desire for social contact and interaction, friendship,

affection and various types of support.

● Esteem needs: including status, recognition, and positive regard.

● Self-actualisation needs; including the desire for achievements, personal growth and

development and actualisation.

The movement from one level to the next level was termed satisfactory progression by

Maslow and was assumed that overtime individuals were motivated to continually progress

upward through these levels (Shanks, 2007).

28

Electronic copy available at: https://ssrn.com/abstract=3563876


2.4.1.1 ​ABRAHAM MASLOW'S HIERARCHY OF NEEDS

(Authors own source, May 2017)

A basic advantage of Maslow's need theory is how well it serves to interpret human

behaviour and motivation. It has relevance in modern-day applications, especially in the

world of business. Managers, for example, can benefit from understanding their employees’

basic human needs of friendship, job security, and recognition for a task well done. Creating

an environment which meets these needs will result in self-actualized team members who

operate at their full potential for the business.

One widely criticized disadvantage of the needs theory, however, is that in creating his

hierarchy, Maslow studied only a narrow segment of the human population. The terms in the

hierarchy, such as "self-esteem" and "security," have wildly different definitions in cultures

around the globe. Therefore, it is hard for researchers to measure these needs or to generalize

them across all human populations.

29

Electronic copy available at: https://ssrn.com/abstract=3563876


Besides cultural differences, the hierarchy also fails to take into account individual

differences. There is no evidence indicating every human being experiences the needs in the

order Maslow specified. In fact, there is little empirical evidence that supports the theory at

all (managementstudy, 2017).

2.4.2 Frederick Winslow Taylor Theory of Motivation


Frederick Winslow Taylor (1856-1917) put forward the idea that workers are motivated

mainly by pay. His theory of scientific Management argued the following:

Workers do not naturally enjoy work and so need close supervision and control. Therefore

managers should breakdown production into a series of small tasks.

Workers should be given appropriate training and tools so they can work as efficiently as

possible on one set task. Workers are then paid according to the number of items they

produce in a set of period of time-piece-rate pay. As a result workers are encouraged to work

hard and maximise their productivity.

Taylor’s methods were directly adopted as business saw the benefit of increased productivity

levels and lower unit costs. The most notable advocate was Henry Ford who used them to

design the first ever product line making ford cars. This was the start of the era of mass

production

Taylor’s approach has close links with the concept of an autocratic management style

(managers take all the decisions and simply give orders to those below them) and Me

Gregor’s Theory X approach to workers (workers are viewed as lazy and wish to avoid

responsibility).

30

Electronic copy available at: https://ssrn.com/abstract=3563876


However, workers soon came to dislike Taylor’s approach as they were being treated little

better than human machines. Firms could also afford to lay off workers as productivity levels

increased. This led to an increase in strikes and other forms of industrial action by

dis-satisfied workers (Taylor, 1911).

2.4.3 Herzberg’s Theory of Motivation and Hygiene Factor


Frederick Hertzberg was an American psychologist who was born in 1923 and passed away

in 2000. He completed his undergraduate degree at University of Pittsburgh. Hertzberg was a

management professor at Case Western Reserve University where he was able to create the

Department of Industrial Mental Health for the University. He was a well-known

psychologist focusing on management and wrote many books pertaining to the idea (Western

Libraries).

According to Frederick Hertzberg’s two-factor theory, some factors can lead to learning and

satisfaction, while others do not in spite of resulting in dissatisfaction if they are absent

altogether. Hertzberg was basically concerned with people well-being at work underpinning

his theories and academic teachings, he was basically attempting to bring more humanity and

caring into the workplace (BusinessBalls.com, 2010). According to BusinessBalls.com

(2010), examples of Hertzberg’s hygiene needs (or maintenance factors) in the workplace are:

● Policy

● Relationship with supervisor

● Work conditions

● Salary

● Company car

● Status

● Security

31

Electronic copy available at: https://ssrn.com/abstract=3563876


● Relationship with subordinates

● Personal life

Hertzberg’s research identified that true motivators were other completely different

factors, notably:

● Achievement

● Recognition

● Work itself

● Responsibility

● Advancement (BusinessBalls.com, 2010).

It is easier to actually apply Herzberg’s Theory coupled with Maslow’s Hierarchy of Needs.

This serves to strengthen Herzberg’s Theory as it simplifies its application as a strategy to

motivate employees. By identifying the needs in Maslow’s hierarchy, the hygiene and

motivation factors can be obtained and subsequently fulfilled. Herzberg recognises that true

motivation comes from within a person and not from the environment, or external factors.

However, there are a few weaknesses in Herzberg’s Theory, one of which is the standardised

scales of satisfaction. Herzberg did not take into account the various job factors that might

cause satisfaction or dissatisfaction. Some job factor scales are not purely motivation or

hygiene factors. Herzberg used a general standardised scale, which may have caused errors in

his findings. Apart from that, these unspecific job satisfaction scales are more likely to be

general morale surveys, which means that they were not based on actual job experience or

situation. The validity of the deductions drawn by Herzberg is also questionable. Herzberg

failed to recognise the existence of substantial individual differences. Different individuals

might have different needs and thus, different motivators.

32

Electronic copy available at: https://ssrn.com/abstract=3563876


Herzberg’s Theory can be applied by managers to motivate employees. By identifying the

hygiene factors, managers can fulfil the basic needs of employees and remove any element of

dissatisfaction. When employees have no dissatisfaction arising from the job environment,

they are in a better mode to be motivated.

By applying the theory, employees can be motivated by fulfilling their esteem and

self-actualisation needs. This includes a sense of achievement when they have performed

their jobs satisfactorily. Therefore, managers can fulfil this need by improving job content.

By improving job content, employees get a higher sense of achievement and work enjoyment.

When employees are happy with their jobs, the general mood improves and so does

productivity. Thus, the advantage of this theory is that managers are able to actually work on

basic needs, once identified, and then go to more complex needs of employees (Manap, 2012)

2.5 H​ow Motivation affects Performance


Motivation is the internal process that leads to behaviour that satisfies needs. Therefore the

formula;

Performance=Ability*Motivation*Resources (2*2*2=8)

Looking at the above equation carefully it shows that workers can have as much as ability

and the necessary resources at their disposal but will still fail to perform. In other words, all

that equation is depicting is that without motivation performance is usually below potential.

(Carter& Shelton, 2009)

2.6 How Employee Motivation affects Employee Performance


According to (Kotelnikov, 2000), the extent to which employees are motivated in their work

depends on how well those employees are able to produce on the job. He goes further, to

assert that motivation is expected to have a positive effect on quality performance; employees

who are characterised by a high level of motivation will definitely show higher work and life

33

Electronic copy available at: https://ssrn.com/abstract=3563876


satisfaction. Having high level of motivation might affect employees negatively, the

motivation in this case will lead to higher level of initiative and creativity from the employees

and where monitoring is difficult, motivation is therefore extremely important for ensuring

high quality performance.

CHAPTER THREE

RESEARCH METHODOLOGY

3.0 Introduction
This section presents the research methodology or approach and the method as well as the

rationale of the choices and their uses. Additionally, the research process and design, study

population and setting, sample and sampling procedures, data collection and data analysis

methods.

3.1 Research Design


Research can be defined as an activity that involves finding out, in a more or less systematic

way, things you did not know (walliman, 2011). Research design involves a series of rational

decision making choices. The research was devised following a number of the researcher’s

decision associated with the purpose of the study. In other words, the research design is a step

aimed at designing the research study in such a way that the essential data can be gathered

and analysed to arrive at a solution (sekeran, 2003).

The research design helps the researcher to conceptualise an effective plan to undertake

various techniques and task obligation to complete the research work. It also ensures

processes are suitable to attain valid, unprejudiced and truthful answers to the research

question.

34

Electronic copy available at: https://ssrn.com/abstract=3563876


3.2 Sample size
A representative sample is a sample which, for a specified set of variables resembles the

population (in that) certain specific analysis (computation of means, totals, etc.) yields results

within acceptable limits set about the corresponding population values. The mere statement

or claim that a sample is representative of a population tells us nothing (McCarthy, 1968).

The questionnaire administration and the interview were the research instruments used by the

researcher to collect data from the respondents. In all a total of 80 questionnaires were

designed and self-administered. The self-administered questionnaires were used to collect

data from the employees of Electricity Company of Ghana, Legon District. The questionnaire

had five sections; the first section comprised of the background of the respondent thus;

gender, the educational level and the number of years of work at ECG, Legon District. The

second part talked about the various forms of motivation. The third part asked employees to

indicate their degree of agreement on a scale of strongly agree to strongly disagree to the

statements in understanding the various forms of motivation. The fourth part sought to

inquire about the challenges in motivating employees. The last section sought to inquire from

respondents their general view on the measures that can help improve motivation in ECG as

well as their recommendations about employee motivation. The reason for adopting

self-administered questionnaires was to give respondents the permission to answer the

questions at their spare time in their various homes to avoid fear and panic from superiors

(Sectional Heads).

Apart from questionnaires, the study made use of interviews as an instrument to collect data

from the lower level of employees (security personnel’s and Janitors). The justification for

the interview was to give the researcher the chance to make changes to some questions when

necessary, provide additional clarifications and allow respondents add more information of

35

Electronic copy available at: https://ssrn.com/abstract=3563876


their choice.

3.3 Sampling Techniques


The probability sampling method or design was used in this study and the stratified sampling

method was employed specifically since it is the most appropriate for a case study and it

ensures a greater level of representation of all groups and reduces sampling error.

In statistics, stratified sampling is a method of sampling from a population. In statistical

surveys, when subpopulation within an overall population vary, it is the process of dividing

members of the population into homogenous sub-groups before sampling. Stratified sampling

ensures that at least one observation is picked from each of the strata, even if probability of it

being selected is close to 0. Stratified sampling is not useful when the population cannot be

exhaustively partitioned into disjoint groups (Wikipedia, n.d.).

For the purpose of this research study, the employees or members of staff of ECG were

categorised into three sections, namely, the top level employees, middle level employees and

the Lower Level Employees. The questionnaires were administered to the top level and

middle level employees whiles the interviews were conducted with the lower level

employees.

3.4 Sources of Data


Data for the study was obtained from both primary and secondary sources. With respect to

this research work, primary data was obtained from the field survey conducted with the

employees of Electricity Company of Ghana, Legon District.

Secondary sources of data were obtained from books, online articles, annual reports and

newsletters from Electricity Company of Ghana and other relevant documents in relation to

the subject matter under study.

3.5 Data Analysis


Rose and Sullivan (1993) pointed out that it is not necessary to be a mathematician or

36

Electronic copy available at: https://ssrn.com/abstract=3563876


statistician as some people might be thinking in order to develop an understanding of

quantitative data and how they can be analysed. Data analysis is concerned with sensitizing

social researchers to the use, interpretation and evaluation of relevant data rather than with

the more formal understanding of statistics. Data was analysed using Statistical Package for

Social Scientist and the results presented in graphs and charts from which key conclusions

has been drawn.

3.6 History of Electricity Provision in Ghana


The first government-sponsored public electricity supply in the country commenced in the

year 1914 at Sekondi. It was operated by the Railway Administration which extended supply

to Takoradi in 1928.

Meanwhile, the Public Works Department had commenced a limited Direct Current (DC)

supply in Accra in the year 1922, and was immediately followed by a large Alternating

Current (AC) project which commenced on 1​st​ November, 1924.

A small plant consisting of three horizontal single cylinder oil-powdered engines was

installed in Koforidua in 1925, and inaugurated by the Honourable William Omsby-Gore on

1​st April 1926. Also in 1926, work commenced on the task to provide electric lighting and

power to Kumasi. A restricted evening supply commenced in May 1927, and the Power

station was brought into full operation on 1​st​ October, 1927.

In the same year, DC supply was installed at Winneba but this was subsequently changed to

AC by extending an existing supply from Swedru. During the period 1929-30, a limited

electricity supply was extended to Tamale until a new AC plant was installed in 1938.

The next Power Station to be established was in Cape Coast, which came into being in 1932.

Subsequent to its takeover by the Electricity Department from the Public Works and

37

Electronic copy available at: https://ssrn.com/abstract=3563876


Railways on 1​st​ April, a power Station at Swedru was commissioned in 1948.

This was followed by the installation of generating plants at Oda, Dunkwa and Bolgatanga in

1948. On 27​th may, 1949, electricity supply was made available at Nsawam through the

building of an 11000 volt overhead transmission line from Accra. The Keta supply which was

included in the programme was delayed by challenges of human resources and was not

commissioned until 1955.

The Tema Power Station was commissioned in 1956, with a 3*650 KW generating set. The

Ho power station followed in 1957. Between 1961 and 1964, the Tema Station was extended

to a maximum capacity of 35,298 KW, thus making it probably the biggest single

diesel-powered generation station in Africa. It is also on record that in 1963, the Electricity

Division brought into operation the first 161,000 volts transmission system in Ghana, which

was used to transmit power from the Tema Power Station.

Test transmission of power from the Volta Dam at Akosombo started on 1​st September, 1965,

it was during this period that the Electricity Division began receiving supply from the Volta

River Authority’s 161,000 volt transmission system.

At present the Company purchases bulk of its power requirements from the Volta River

Authority (VRA), as a major supplier, and other independent power producers (IPPs) like

Sunon Asogli Thermal Power and AMERI, Karpower, SENIT power, for distribution to its

customers (ECG, 2017).

3.6.1 Institutional Profile (Electricity Company of Ghana)


The Electricity Company of Ghana is a limited liability company wholly owned by the

Government of Ghana. The company was incorporated under the companies’ code, 1963 in

February 1997. It began as the electricity Department on 1​st April 1947 and later became the

38

Electronic copy available at: https://ssrn.com/abstract=3563876


Electricity Division in 1962. It was subsequently converted into Electricity Corporation of

Ghana by NLC degree 125 in 1967.

In July 1987, the Volta River Authority set up the Northern Electricity Department (NED),

which took over from ECG the responsibility of the management of electric power

distribution in Brong-Ahafo, Northern, Upper East and Upper West regions.

The company is therefore responsible for the distribution of electricity in nine (9) Operational

Regions in the Southern part of Ghana namely, ACCRA EAST, ACCRA WEST, TEMA,

EASTERN, CENTRAL, VOLTA, WESTERN, ASHANTI and SUB-TRANSMISION, which

are further decentralised into eighty (80) operational Districts (ECG, Diary, 2017).

3.6.2 Objective of the Company


The primary objective of the company is to supply/distribute energy to the people of Ghana

within the Company’s operational areas. The company aims at operating on sound

commercial lines in the discharge of its duties. It also aims at a judicious supervision of rural

electrification projects on behalf of the Government of Ghana.

3.6.3 Core Mandate


1. To transmit, supply and distribute electricity.

2. To purchase electrical energy in bulk (from VRA) or any other supplier for

distribution.

3. To construct, reconstruct, install, assemble, repair, maintain, operate or remove

sub-transmission stations, electrical appliances and fittings installations.

4. To execute and supervise national electrification programmes on behalf of the

Government.

5. To carry out any other activity incidental or conductive to the attainment of the

objectives above (ECG, Diary, 2017).

39

Electronic copy available at: https://ssrn.com/abstract=3563876


3.7 Summary
The Chapter presented the methodology and method used in this study including information

gathering, data collection and data analysis, history of electricity provision in Ghana as well

as the Institutional Profile of the Company.

CHAPTER FOUR

DATA PRESENTATION AND ANALYSIS


4.0 Introduction
This chapter presents and analyses the responses from the field study. The chapter looks at

the personal information of the respondents and assesses the concept and tools of motivation.

4.1 Demographic Statistics


This section presents the key data on the background of respondents which enables the

researcher to determine how the background of respondents affects their responses.

4.1.1 Gender of Respondents


Table 4.1 Gender of Respondents

40

Electronic copy available at: https://ssrn.com/abstract=3563876


GENDER FREQUENCY PERCENTAGE

Male 43 53.8

Female 57 46.2

(Source; field work 2017)

The frequency table above shows the gender of respondents. Most of the respondents were

males representing 53.8% with 46.2% of the responses coming from females. This can be

attributed to the technical nature of the work. It was also observed that majority of the

respondents (55%) have attained first degree with 10% having masters and above. 31.2%

have also gone through secondary education and 3.8% of the respondents having basic

education. It is not surprising that some employees with basic level of education are part of

middle level workers. They have risen through the ranks and file of the institution.

Figure 4.1 Years of Work

(Source; field

work 2017)

This result

shows that the

vast majority

of respondents have been working at ECG for a period between 5 and 10 years. Out of the

41

Electronic copy available at: https://ssrn.com/abstract=3563876


entire population, 32.5% of the workers have been with the organisation between 10 and 15

years, 10% have worked with ECG for more than 15 years and respondents who have worked

between 1 and 5 years represented 17.5%.

4.2 Concept of Motivation


The researcher sought to find out from respondents if they are aware of any motivational

package or structure in ECG and it was revealed that 58.8% are aware of such structure. If

was further revealed that 62.5% of the workers have been motivated before since

employment whiles 37.5% have not received any form of motivation. This concept or

structure of motivation in place is highly commendable since it puts workers on their toes and

brings out the best in them. At the Legon branch of ECG, the motivation given to employees

take various forms. These includes study leave, bonuses, Christmas package, increment in

salary, transport allowance, utility allowance, appreciation, long service award, best worker

award, monthly distribution of toiletries and maintenance allowance.

Concept of motivation as used in this study are the driving forces which induces people to act

in a way so as to ensure the fulfilment of a particular need at a time.

Trust, respect and high expectation is one of such driving forces. According to the

respondents, they feel appreciated when there are signs of trust, respect and high expectations

from superiors and colleague workers. 40% and 37.5% strongly agree and agree to this

assertion respectively. 11.3% however, were undecided and strongly disagreed.

42

Electronic copy available at: https://ssrn.com/abstract=3563876


Figure 4.2 Staff Development

(Source; field work 2017)

From the figure above, staff development also plays an important role in motivation.41.3%

and 38.8% of the respondents strongly agreed and agreed respectively to staff development as

a form of motivation whiles 13.8% and 6.3% strongly disagree to the above form of

motivation.

Bonuses, good and decent accommodation and car and rental loans are also another form of

motivation. This can be associated with the strong agreement given by respondents. It is

evident that ECG workers feel motivated when they receive bonuses either monthly or

seasonally, that is, during festive occasions. Although the organisation does not accommodate

its workers, allowances are made available to deserving employees as a way of motivation.

Table 4.2 Good and Decent Accommodation

GENDER FREQUENCY PERCENTAGE

Strongly Agree 35 43.8

Agree 24 30.0

43

Electronic copy available at: https://ssrn.com/abstract=3563876


Undecided 6 7.5

Strongly disagree 8 10.0

Disagree 7 8.8

(Source; field work 2017)

From Table 4.2, it can be inferred that good and decent accommodation as a concept of

motivation was strongly agreed and agreed by 43.8% and 30% respectively with the rest,

been in disagreement.

4.3 Motivational Factors that Increase Performance


Employee performance fundamentally rests on many dynamics like employee motivation,

performance enhancements, through training and developments, performance evaluation and

appraisal, employee satisfaction, job security, job-redesign, compensation, organisational

hierarchy and the like ( Carter, 2009).

Many theories such as the Maslow Hierarchy of needs theory, Hertzberg two factor theory

and Fredrick Winslow Taylor theory of motivation assert to the fact that motivating

employees goes a long way to affect their performance.

4.3.1 Recognition and Appreciation


Respondents when interrogated on whether recognition and appreciation for a good work by

management enhances performance, majority thus 56.3% strongly agreed that after putting in

much effort at the workplace, they expect management to at least applaud, recognise and

appreciate what they do as these little things can go a long way to shoot them to do more.

However, rewards linked to performance need not be monetary. Symbolic and verbal forms

of recognition for good performance can be very effective as well (Markham, Dow, &

McKee, 2002). The opinion was shared by 33.8% who agreed, 3.8% who were not certain

about this issue whiles 5% and 1.3% strongly disagreed and disagreed respectively to the

44

Electronic copy available at: https://ssrn.com/abstract=3563876


view that recognition and appreciation can bring about an increase in performance. Naturally,

workers feel good when certain appreciative words are used to encourage them. This

motivates them to even work harder as evidenced by the responses in table 4.3. This confirms

Herzberg’s theory of motivation, which asserts that true motivation comes from within a

person and not from the environment or external factors.

Table 4.3 Recognition and Appreciation


RECOGNITION AND FREQUENCY PERCENTAGE

APPRECIATION

Strongly Agree 45 56.3

Agree 27 33.8

Undecided 3 3.8

Strongly disagree 4 5.0

Disagree 1 1.3

(Source; field work 2017)

4.3.2 Fat Salaries and Career Advancement


Salaries of workers are usually by the payment policy of the organisation. However,

outstanding workers are motivated with fat salaries as a result of their performance. Taylor

(Taylor, 1911) opined that the most important motivator of workers is salary when he said

that” non-incentive wage system encourages low productivity”. He said that, if employees

receive the same wage irrespective of their individual contribution to the goal, that they will

work less than and that employees think working at a high rate means fewer employees may

be needed which discourages employees to work more. All these analogies affected the

45

Electronic copy available at: https://ssrn.com/abstract=3563876


“unskilled” and “unmotivated” workers at the Midvale Steel Company where Taylor worked

as a manager. The results obtained from the survey however shows that 17.5% strongly

agreed to fat salaries enhancing performance whiles 46.3% agreed to fat salaries enhancing

motivation. Some respondents who were undecided were 16.3%, 15.0% strongly disagreed

and 5% totally disagreed that fat salaries can bring about an increase in performance.

Frederick Winslow Taylor in his Scientific Management Theory (Taylor, 1911), proposed

that workers cannot work without pay and as such organisations must do well to pay their

workers well with bonuses and fat salaries. This results have proven that the staff of ECG,

Legon District agrees that fat salaries can also bring about an increase in performance. The

inference to be drawn from this is that, fat salaries should be available to members of staff,

even if they will be in lower quantities.

Employees of the Electricity Company of Ghana believes in Career advancement and this can

be proven from the field survey by the majority of respondents, that is, 50% of the

population strongly agreed to this assertion, 33% of the respondents also agreed and the rest

disagreed. Some of the career advancement initiatives are workshops and various forms of

trainings.

46

Electronic copy available at: https://ssrn.com/abstract=3563876


Figure 4.3 Career Advancement

(Source; field work 2017)

Besides the workshops and the various forms of trainings, outside seminars are mostly used

as a motivating factor. Outside Seminars simply implies the organisation sponsoring an

employee to attend a seminar with respect to the work he/she is doing either home or abroad.

Most organisations prefer on-site seminars to outside seminars because of the cost efficiency

involved in it. This connotes that the workers of ECG agrees to in-house trainings and

seminars but outside seminars serves as a source of motivation for their performance. It gives

them the platform to interact with colleagues with the same level of intellect and share

objectives in life and also have travel experience. From the survey, 38.8% and 33.8% of the

respondents strongly agree and agree respectively, 23.8% of the respondents were undecided,

1.3% strongly disagreed and 2.5% disagreed to the claim that outside seminars is a

motivating factor which can led to an increase in performance. ​This is in line with Frederick

Winslow Taylor’s theory of Scientific Management (Taylor, 1911) which proposes that,

workers should be given appropriate training and tools so that they can work as efficient as

47

Electronic copy available at: https://ssrn.com/abstract=3563876


possible on one set task.

4.3.4 Good Working ​Environments

Recent studies have shown that, employees have now become more particular about the

environment in which they work. This reflected in the data collected during the field survey,

when 55% of the total respondents strongly agree to the fact that a good working

environment enhances performance of employees. The remaining 38.8% agreed, 5% were

undecided and 1.3% disagreed with this view. It is amazing to note that none of the

employees strongly disagreed to this fact. This is in line with theory as propounded by

Maslow (Maslow, 1954).

Employees of ECG believes that promotion and growth can lead to an increased

organisational performance and this is revealed in the survey. Generally, about 53% of the

total respondents surveyed on the scenario promotion and growth as a motivational factor

enhances employee performance, had a considerable number of them representing 41.3%

strongly agreed with the researcher indicating that money is not the ultimate but promotion is

the outcome of one’s hard work at the work place. A minority of 5% were undecided about

this view. It is important to note that none of the respondents strongly disagree and disagree

to promotion and growth as a factor to bring about an increase in performance. Promotion

and growth also motivate lackadaisical workers to work hard and to merit from being

promoted.

Table 4.4 Promotion and Growth


PROMOTION AND FREQUENCY PERCENTAGE

GROWTH

48

Electronic copy available at: https://ssrn.com/abstract=3563876


Strongly Agree 43 53.8

Agree 33 41.3

Undecided 4 5.0

Strongly disagree 0 0

Disagree 0 0

(Source; field work 2017)

The assurance of one’s job serves as a motivating factor to his or her job performance. In

many organisations one of the major things employees will look out for in their jobs is job

security. From the survey, 43.8% of the respondents strongly agreed that job security can

enhance the performance of both employees and the organisation. The remaining 38.8% of

the respondents agreed whiles 7.5% and 10% were undecided and strongly disagreed

respectively. Another school of thought believes that having a permanent role may cause

some workers not to work so hard but as found in ECG Legon District, having a permanent

role does not mean a permanent position. Job security actually motivated workers to work

hard.

4.3.5 Interpersonal Relationship


Interpersonal relationship means the rapport that exist between superiors and subordinates as

well as colleague workers. In an organisation where there is cordial relationship amongst

workers, there is freedom to work to the maximum capacity. In the presence of stringent

relationship, some workers are not able to put in their best. From the survey, 28.8% of the

respondents strongly agreed that interpersonal relations between superiors and their

subordinates can bring about performance enhancement whiles the majority of respondents,

that is, 56.3% agreed. The remaining 15% of the respondents were indecisive about the issue.

None of the respondents strongly disagreed or disagreed to this fact. Cordial relationship or

49

Electronic copy available at: https://ssrn.com/abstract=3563876


good interpersonal relationship in organisations improves performance of workers and helps

to achieve the organisational goals and objectives.

Figure 4.4 Interpersonal Relationship

(Source; field work 2017)

Data collected during the field survey interpreted and analysed was amazing with majority of

40% of the respondents strongly agreeing and agreeing respectively whiles another 40%

strongly disagreed. This implies that half of the respondents believe that additional

responsibility can boost their morale to give off their best which will inevitably lead to

increased performance whiles the other half of the respondents believes additional

responsibility cannot increase the performance of employees and that of the organisation. The

50

Electronic copy available at: https://ssrn.com/abstract=3563876


11.3% left were undecided, 3.8% strongly disagree and 5% disagree about additional

responsibility enhancing the performance of employees. Table 4.5 shows the trend to the

scenario.

Table 4.5 Additional Responsibility

ADDITIONAL FREQUENCY PERCENTAGE

RESPONSIBILITY

Strongly Agree 32 40.0

Agree 32 40.0

Undecided 9 11.3

Strongly disagree 3 3.8

Disagree 4 5.0

(Source; field work 2017)

The outcome of the analysis signifies that employees at ECG, Legon District believes in

being accountable and cautious in their field of work to help the company achieve its

organisational goals and objectives. This shows a very impressive and positive attitude

among the members of staff.

51

Electronic copy available at: https://ssrn.com/abstract=3563876


4.4.1 Challenges in Motivating Employees
This section reports the on the views of both top and middle level staff on the challenges

faced by the organisation in motivating employees. The researcher sought to understand

whether or not they are satisfied with the practice of motivation by the Electricity Company

of Ghana. Majority of employees representing 58.8% responded negatively which implies

that they are not satisfied with the motivational practice whiles the minority, that is, 41.2%

responded in the affirmative. This signifies that only a small percentage of the workers are

satisfied with the practice of motivation which makes it a major challenge to ECG, Legon

district

Figure 4.6 Practise of ​Motivation

52

Electronic copy available at: https://ssrn.com/abstract=3563876


(Source; field work 2017)

4.4.2 Deserving Workers

One major concern raised by most workers was that favouritism colours the process used in

motivating employees. Some believe that deserving workers are not always motivated. From

the survey, 66.3% of the respondents believed that motivated employees truly deserve the

motivational packages they receive from the organisation whiles 33.7% disagreed to the view

members of staff motivated truly deserves it.

Figure 4.6 Deserving workers

53

Electronic copy available at: https://ssrn.com/abstract=3563876


(Source; field work 2017)

These other challenges also came to light in the conduct of the research; difficulty in

selecting the deserving candidate for the best worker award as well as awarding people who

do not deserve, low self-confidence and poor expectation for success, poor planning, the

criteria for motivating employees is not encouraging, lack of supervision to determine which

employee is putting in much effort to achieve organisational goals and objectives.

Other factors such as inadequate resources, insufficient incentives and employee

dissatisfaction in relation to discrimination among employees when distributing toiletries and

other logistics were cited.

Finally, it was revealed that motivating employees is done on the basis of friendship and

individual parochial interests. Other criticisms included delay in the payment of overtime,

bonus, and allowances, lack of commitment from top level management and monopoly on the

part of some employees.

54

Electronic copy available at: https://ssrn.com/abstract=3563876


4.4.3 Conclusion

The chapter presents the findings of the study and reveals that staff development is a strong

form of motivation. Bonuses, good and decent accommodation, car and rental loans are also

forms of motivation which can cause an increase in organisational performance and

productivity.

CHAPTER FIVE

SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATION

5.1 Introduction
This aspect of the research summarises the entire report highlighting the findings as well as

55

Electronic copy available at: https://ssrn.com/abstract=3563876


conclusions and recommendations for the study.

5.1 Summary of Findings


The study assessed the impact of employee motivation on organisational performance and

productivity. The researcher sought to institute a connection between motivation, employee

performance and organisational productivity in public enterprises using ECG, Legon District

as a case. Eighty workers were sampled out of the entire population and their responses were

used to assess the relationship between motivation and performance.

The study adopted a mixed method of research design. The reason behind the adoption of

such an approach is that, one method can support the other in times of difficulty. The case

study design was also used because it measures and provides an in-depth analysis of every

information or data obtained about the phenomenon of investigation. The study population

comprised of members of staff at the ECG, Legon District in Accra. The research adopted

questionnaire and interviews as research instruments to solicit information from both primary

and secondary sources.

Literature reviewed was in relation to the various theories of motivation. Respondents who

participated in the survey were asked varied questions with respect to employee motivation;

forms of motivation, motivational factors that influence performance, challenges to

motivation, measures that can help improve motivation and finally recommendations about

how to improve employee motivation.

Date collected and analysed using SPSS showed that, employees when motivated very well

are able to work very hard which causes an increase organisational performance and

productivity.

The outcome of the research and its interpretation revealed that;

Most of the respondents were males representing 53.8% with 46.2% of the responses coming

56

Electronic copy available at: https://ssrn.com/abstract=3563876


from females. It was also observed that majority of the respondents (55%) have attained first

degree with 10% having masters and above. Also, 31.2% have also gone through secondary

education and 3.8% of the respondents having basic education. This result shows that the vast

majority of respondents have been working at ECG for a period between 5 and 10 years.

Respondents who have worked between 10 and 15 years comprised of 32.5%, 10% have

worked with ECG for more than 15 years and respondents who have worked between 1 and 5

years represented 17.5%.

It was revealed that 58.8% were aware of motivational packages, 62.5% of the workers have

been motivated before since employment whiles 37.5% have not received any form of

motivation. The motivational packages outlined from the survey included study leave,

bonuses, Christmas packages, increment in salary, transport allowance, utility allowance,

appreciation, long service award, and best worker award, monthly distribution of toiletries,

maintenance allowance and promotion.

According to the respondents, they feel appreciated when there are signs of trust, respect and

high expectations from superiors and colleague workers. Majority of the respondents strongly

agreed to staff development as a form of motivation.

Bonuses, good and decent accommodation, car and rental loans are also forms of motivation

which can cause an increase in organisational performance and productivity and has been

proven with respect to the strong agreement given by respondents.

Ideally, employees perform at the best level when they are recognised and appreciated for the

good work done as this reflected in the analysis. Recognition or appreciation of an effort

made or a good job done is likely to produce even better job apart from making a happier and

more satisfied worker.

57

Electronic copy available at: https://ssrn.com/abstract=3563876


Employees at ECG believes in career advancement and this can be proven from the field

survey where majority of the population, that is, 50% strongly agreed that career

advancement can bring about an increase in performance.

Also, good working environment and interpersonal relationship enhances performance of

employees. 28.8% of the respondents strongly agreed that interpersonal relations between

superiors and their subordinates can bring about performance enhancement whiles the

majority of respondents (56.3%) agreed.

Arguably, it was revealed that additional responsibility can enhance performance whiles the

other half of the respondents believes additional responsibility cannot increase the

performance of employees and that of the organisation.

Some challenges of motivation were outlined by respondents; difficulty in selecting the

deserving candidate for the best worker award, poor planning on the part of management,

lack of supervision to determine which employee is putting in much effort to achieve

organisational goals and objectives, inadequate resources for motivation, insufficient

incentives and employee dissatisfaction in relation to discrimination among employees when

distributing toiletries and other logistics were.

It was also revealed that motivating employees is done on the basis of friendship and

individual parochial interests. Other criticisms included delay in the payment of overtime,

bonus, and allowances also affected employee motivation.

The outcome of these findings put together and reporting the views of employees of ECG,

Legon District shows that certainly there is a relationship between motivation and

performance at the workplace as all the indicators used pointed out to the fact. The way

employees feel about themselves, their work and treated by management goes a long way to

58

Electronic copy available at: https://ssrn.com/abstract=3563876


affect their work.

This confirms the research by (Drake, 2007) which stated that motivated employees are likely

to display superior performance and research by (lazaroiu, 2015) also confirmed a positive

relationship between satisfaction of employees needs and their performance in the

organization. Therefore, employee motivation and performance are directly proportional to

each other.

5.2 Conclusion
Employees at ECG, Legon District have worked for the organisation for relatively a long

time enabling them to back this research with their requisite knowledge and experiences as

well as their ability to contribute to motivational issues concerning the study.

Trust, Respect and High expectation between superiors and subordinates is not enough at the

workplace.

Strategies and policies put in place by management to promote staff development must be

reviewed and implemented.

Bonuses and Fat salaries are very good monetary forms of motivation and should not be

ignored from motivational packages of ECG, Legon District.

Good and decent accommodation and Car and rent loans of employees must be taken care of

because according to Maslow’s Hierarchy of needs theory, the safety needs of an individual

is very important because until it is satisfied the employees cannot perform at the workplace.

Recognition and appreciation should be looked at by the management of ECG, Legon

District. Hertzberg research identified that recognition and appreciation are true motivators at

the work place and as such superiors should make sure it is well institutionalised.

At ECG, Legon district the working environment of workers is quite impressive. Hertzberg’s

59

Electronic copy available at: https://ssrn.com/abstract=3563876


theory of motivation and hygiene factor supports this form of motivation because, he argues

that the hygiene factors of employees are very important to bring about improved efficiency

of the organisation.

Salaries at ECG, Legon district is moderate compared to other state institutions like Ghana

Education Service (GES) but management can do better looking at the economic conditions

in the country.

Career advancement, good working environment and promotion and growth was very

positive since over the years hardworking employees have risen through the ranks to top level

positions.

Also job security issues and interpersonal relationship among management and staff was very

good.

Outside seminars as a factor of motivation for an increase in performance does not exist at

ECG whiles additional responsibility is at the initial or basic level.

5.3 Recommendation
The study makes the following recommendations:

Employee motivation is a means of achieving organisational goals and due to this it should be

factored into organisations to help in the achievement of organisational goals and objectives.

Employee motivation should be captured in the company’s promotion package and

motivators should be shared equally.

There should be the institution and sustenance of the award of best workers at least every

quarter, providing accommodation for employees, frequent job training, incentives, timely

upgrades, and supervisors should appreciate and encourage their employees. Only deserving

candidates should be awarded without subjective feelings and prejudices.

60

Electronic copy available at: https://ssrn.com/abstract=3563876


Promotions and Job security should be given serious attention. This is because when workers

are assured of their jobs they tend to do well on the job. Promotions encourages them to give

out their best because of the prize that awaits them.

Outside seminars and additional responsibility must be improved upon because it forms part

of the self-actualisation needs of the employee which includes the desire for achievements,

personal growth and developments and until it is satisfied the employee cannot work well.

Management should also look at providing heath and canteen services.

Finally, it is understood that if the management makes positive effort at implementing these

suggestions ECG will regain its cherished traditions and boost productivity as the major

distributor of electricity in Ghana.

61

Electronic copy available at: https://ssrn.com/abstract=3563876


References

(2016, november 25). Retrieved from http://www.Idealibrary.com.University of Rochester


Al Jishi, H. (2009). ​Motivation and its effects on Performance of nurses In Aramoo Health
Centre.​ Kuala-Lampur: Open University Malaysia.
Armstrong, M. (2006). ​A handbook of human resource management practice (7th edition
ed.). London, UK: Kogan Page Limited .
Berg.L. (2009). ​Quantitative Research Methodology for behavioural Sciences.​ USA: Pearson.
Brown, R. (2006). ​Doing your Dissertation in Business Management:The reality of research
and Writing. sage Publications. Retrieved from
http://BusinessBalls.com/Hertzberg.htm
Byham, W. R. (2005, May 19). ​ddiworld.​ Retrieved from http//www.ddiworld.com/pdf/ddi
Coy, M. (2012). ​Putting Employee motivation in its place .​ USA: Womens Media.
Coy, M. (2015). ​Putting Employee Motivation in its place.​ USA: Womens Publisher.
Denhardt, R. M. (2008). ​Managing Human Behaviour in Public and Non-Profit Organisation
.​ Inc: Sage Publications.
Drake, W. ,. (2007). Empowerment,Motivation&Performance;examing the Impact of
feedback and incentive as management employees Behavioural Research in acc.
Fred.C.Lunenburg. (2011). Expectancy Theory of motivation;Motivating by Altering
Expectations. ​Journal of Management, Business and Administration​.
History of Electricity Provision in Ghana. (2017). ​2017 Diary​. Retrieved March 21, 2017
J.E, O. (2008). ​Human Learning ​(8th edition ed.). Upper saddle River,NJ: Pearson Merril
Prentice .
Kotelnikov, V. (2000). ​Effective Reward sytem Increasing Performance and Creating Happy
Employees .
lazaroiu, G. (2015). ​Employee and Job Performance ,Linguistic and Philosophical
Investigations .
managementstudy. (2017, february 17).
www.managementstudyhq.com/maslow-need-hierarchy-theory html. Retrieved from
managementstudyhq.com:

62

Electronic copy available at: https://ssrn.com/abstract=3563876


https:www.refernce.com/world-view/advantages-disadvantages-maslow-s-hierarchy-n
eeds
Manap, D. L. (2012, October 23). ​Borneo Post Online​. Retrieved February 17, 2017, from
Borneo Post online: www.thebornepost.com
Mansour, Q.-A. (n.d.). Impact of Employee Motivation on Organisational Effectiveness.
European Journal of Business and management, volume Three​.
Maslow, A. (1954). ​Motivation and Personality .​ New York: Haper and Row.
McCarthy, S. a. (1968). ​sampling Opinions and analysis of survey procedures.
McEwen, M. w. (2007). ​Theoritical basis for nursing (2nd edition ed.). Philadelphia, USA:
Lippincott williams and Wilkins.
Pride, W. ,. (2006). ​Business.​ MA: Cengage Learning.
Profile of Electricity Company of Ghana. (2017). ​2017 Diary.​
Ramlall, S. (2004). A review of employee Motivation.Theories and their implication for
Employee retention with Organisation. ​Journal Of American Academy of Business,​
52-63.
RB, B. (2006). ​Doing Your Dissertation in Business Management:The Reality of research
and Writing .​ Sage Publication.
RB, B. (2006). ​Doing Your Dissertation in Business Management:The Reality Of Research
and Writing .​ Sage Publications.
Redmond, B. (n.d.). ​cms.psu.edu.​ Retrieved February 2017, 17, from The Pennyslyvania
State university Website: https://cms.psu.edu/section/content/default.asp?
Ryan, R. L. (n.d.). ​Intrinsic and extrinsic Motivations;classic definitions and new directions.
contemporary Educational psychlogists.
Sekeran, U. (2000). ​Research method for buiness;A skill building approach (third edition
ed.). John Wiley and Sons.Inc.
sekeran, U. (2003). ​Research Method for Business; a skill Building Approach (fourth edition
ed.). John Wiley and sons.Inc.
Shanks, N. h. (2007). ​Management and motivation.​ Jonas and Bartlett Publishers.
Taylor, F. (1911). ​Principles of Scientific Management .​ Routledge.
Vroom, V. (1964). ​work and motivation.​ New York: wiley.
Vroom, V. (1964). ​Work and motivation.​ san Francisco, CA;, USA: Jossey Bass.
Wabba, M. &. (n.d.). Retrieved February 17, 2017, from The tavistock Institute Website:
http://hum.sagepub.com/cgt/content/abstract/27/2/121
walliman, N. a. (2011). ​Research Methods;the Basics.​ Taylor and Francis.

63

Electronic copy available at: https://ssrn.com/abstract=3563876


White, R. (1959). ​Motivtion Reconsidered.​ Psychological Review.
Wikipedia. (n.d.). ​wikipedia:The free encyclopedia​. Retrieved February 01, 2017, from
http://en.wikipedia.org/wiki/Stratified Sampling
Young, B. (2000). ​Methods of Motivating:Yesterday and Today. Retrieved September 29,
2016, from http://academic emperia.edu

Appendix 1

UNIVERSITY OF GHANA
DEPARTMENT OF POLITICAL SCIENCE
A QUESTIONNAIRE ON AN ASSESSMENT OF THE IMPACT OF EMPLOYEE
MOTIVATION ON ORGANISATIONAL PERFORMANCE AND PRODUCTIVITY
IN PUBLIC ENTERPRISES; THE CASE OF ELECTRICITY COMPANY OF
GHANA, LEGON DISTRICT.
NB: The study is meant for academic purposes and has no bearing on anyone or
institution. Confidentiality of respondents is assured.

Bio Data
1. Gender. Male Female
2. What is the level of your education?
Basic Secondary 1​st​ Degree Masters and above
3. How long have you been working in ECG?

1 - 5 years 5- 10 years 10 - 15 years 15 -20 years 20 years and above

Forms of Motivation

4. Are you aware of any motivation package or structure in your organisation?


Yes No

5. Have you ever been motivated since employment?


Yes No

If yes, what form did the motivation rendered you take?

64

Electronic copy available at: https://ssrn.com/abstract=3563876


…………………………………………………………………………………………

On a scale of strongly agree to strongly disagree, kindly indicate your degree of agreement
to the statement below in understanding the various forms of motivation:
A - Strongly agree B - Agree C - Undecided D - Disagree E - Strongly disagree

STATEMENT SA A U SD D

Trust, respect and High

expectation

Staff Development

Bonuses

Good and decent

accommodation

Car and recent loans

Motivational factors that increase performance.

6. This section seeks to understand the various motivational factors that increases

performance. Please tick the appropriate columns

STATEMENT SA A U SD D

Recognition and
appreciation

Fat salaries

Career advancements

65

Electronic copy available at: https://ssrn.com/abstract=3563876


Good working
environments

Promotion and
Growth

Job Security

Interpersonal
Relationship

Good working
environment

Outside seminars

Additional
Responsibility

Challenges in Motivating Employees.

7. Are you satisfied with the practise of motivation in your organisation?

Yes No

8. In your view, are workers who are motivated deserving?

Yes No

9. Kindly outline some of the challenges faced in motivation employees in your

organisation

………………………………………………………………………………………………

10. What are some of the measures that can help improve motivation in your

66

Electronic copy available at: https://ssrn.com/abstract=3563876


organisation?

………………………………………………………………………………………………

11. Do you think it is necessary to motivate employees aside their salaries?

………………………………………………………………………………………………

12. What recommendations do you have?

…………………………………………………………………………………………

Thank you for your time and assistance

Appendix 2

67

Electronic copy available at: https://ssrn.com/abstract=3563876


View publication stats

You might also like