Impact of Employee’s Motivation on Organizational Effectiveness

 

Today in a world of competitive corporate environment, every company regardless of scales and markets is striving to gain competitive advantages, to perform better and to achieve productivity and effectiveness. In order to do that, it is important for an organization to clearly define its objectives and to know how to do it well with the use of available resources. However, mentioning an organization’s resources, it is the human resources that fill all the gaps between each step to success (Vemic, 2022). In addition to the above, the desire of every organization is to be successful and to have constant progress. This desire is being challenged by so many problems especially frequent employee’s turnover. It has become a serious task to retain employees by organization's as a result of fierce competition regardless of their size, market focus and technology. In order to guard against the desire to leave by employees, there is need to build a strong relationship between employees and the organizations they serve. Employees or human resource of any organization are the most central part so they need to be influenced and persuaded towards tasks fulfilment (Cherrie, 2021).

Organization's across the globe that consider their human resources as a central core of the business and continuously increase the level of their employee’s motivation and performance tend to be more effective. For achieving prosperity, organizations design different strategies to compete with the competitors and for increasing the performance of the organizations. A very few organizations believe that the human personnel and employees of any organization are its main assets which can lead them to success, or if not focused well, to decline (Nadeem, 2022). It remains almost an impossible goal to achieve progress, success, or effectiveness in an organization if the employees of such organization are not satisfied, are not motivated for the tasks to perform and goals to achieve (Konings, 2019).

Among financial, economic and human resources, the latest are more essential and have the capability to endow a company with competitive edge as compared to others. Employee Performance fundamentally depend on many factors like performance appraisals, employee motivation, Employee satisfaction, compensation, Training and development, job security, Organizational structure and other, but the area of study is focused only on employee motivation as this factor highly influence the performance of employees (Simon, 2019).

There are many ways to motivate employees in today’s working environment. Companies globally have been using different strategies and approach in order to improve employees’ motivation. However, it seems that the best motivator for employees is something that is indeed important in their lives. Furthermore, different people might have different values and approaches and, therefore, being able to understand employees’ needs and using appropriate motivating methods can help increase the level of motivation (Konings, 2019).

Employees want to earn reasonable salaries, as money represents the most important incentive, when speaking of its influential value. Financial rewards have the capacity to maintain and motivate individuals towards higher performance, especially workers from production companies, as individual may use the money to satisfy their needs. Therefore, pay has a significant impact in establishing employees’ diligence and commitment, being a key motivator for employees. Nevertheless, studies have shown that pay does not boost productivity on the long term and money does not improve performance significantly (Cherrie, 2021). Moreover, focusing only on this aspect might deteriorate employees’ attitude, as they might pursue only financial gains. Fortunately, there are other non-financial factors that have a positive influence on motivation, such as rewards, social recognition and performance feedbacks. Numerous researches have also pointed out that rewards lead to job satisfaction, which in turn influence directive and positively the performance of the employees. Moreover, rewards are one of the most efficient tools of management when trying to influence individual or group behavioral, as to improve organization’s effectiveness. The vast majority of companies use pay, promotion, bonuses and other types of rewards to motivate employees and to increase their performance. In order to use salary as a motivator, managers have to develop salary structures, according to the importance of each job, individual performance and special allowances (Vemic, 2022).

All organizations, regardless of size, market, and technology, want to be successful and maintain a constant progress even in a current highly competitive business environment. In order to achieve those goals and objectives, strategies must be developed and well-implemented with the effective utilization of all capable resources. A few companies believe that their employees are an important asset that can lead them to overcome difficulties, exceed their limits and reach prosperity. In contrast, companies that put their personnel in the center of the business, maintaining a positive and strong relationship with its employees, persuading them towards task fulfilment are proved to result in higher effectively and productivity (Nadeem, 2022).

However, today, companies are also facing challenges in employee retention. Acknowledging the important role of employees and the huge influence they bring towards organizational effectiveness, companies are trying to retain employees by creating motivation and a healthier workplace. This is very important because if the personnel are not focused well, it associates with a decline in business productivity and effectiveness (Simon, 2019). Unless and until the employees are motivated and satisfied, an organization cannot foster to success. Employee empowerment and participation consists of contribution of employees in administration and decision making associated to policies, objectives and strategies of the organization. Employees perceptive of the goals, standards and political principles of their firms were positively and significantly related to employee motivation and gratification towards work. Empowerment results in motivating employees that leads to constant expansion and organizational growth (Cherrie, 2021).

Empowerment directs faster decision of customer troubles for the reason that employees did not dissipate time referring customer objections to managers. Increased autonomy enhances work productivity, amplifies employees’ wisdom of self-efficacy and their motivation to get upon and complete certain tasks. Managers should regard employees in decision-making procedures (Simon, 2019). Sanderson (2018) believed that empowerment creates motivation and energy in workforce to do their work efficiently and effectively. The job characteristics of career revamp and employee empowerment are imperative characteristics in giving greater employee dedication and trustworthiness toward the organization and increased level of motivation. More the loyalty towards the organization and higher the motivation works best for the effectiveness and growth of a business (Vemic, 2022).

 

Conclusion

In summary, motivation is important to both an individual and the organization. For an individual, motivation is an essential factor that encourages a person to achieve his/her personal goals. Within an organization, motivation is said to be a factor that leads to employee satisfaction. Also, motivation inspires a person to widen one’s knowledge and unleash his/her full capabilities and potential. Correspondingly, from the organizational aspects, motivation leads to a positive attitude in the workplace, easy adaptation to changes and more creativity. The more motivated the employees are, the more contribution they bring, thus the more profitable and successful is the business.

References

Cherrie, 2021. Perceptions of the effectiveness of training and development of grey-collar workers. International Journal of Human Resource Development, 8(2), pp. 20-31.

Konings, 2019. The Impact of training on Productivity and Wages: Firm Level Evidence. International Journal of Business Management, 6(5), pp. 35-47.

Nadeem, 2022. Training and Development Program and its Benefits to Employee and Organization. European Journal of Business and Management, 5(2), pp. 45-68.

Simon, 2019. Toward improved employment relations practices of casual employees in the New South Wales registered clubs industry. International Journal of Human Resource Development, 5(3), pp. 23-45.

Vemic, 2022. Employee Training And Development And The Learning Organization. International Journal of Business Management, 1(1), pp. 12-38.