Motivational factors as determinants of employee commitment and performance enhancement in profit oriented firms: a survey of selected brewery manufacturing companies in Nigeria
The objective of the study is to investigate the Impact of Motivational Factors such as extrinsic, intrinsic rewards and social motivational on employee commitment and performance enhancement in profit oriented firms with a focus on selected Brewery Manufacturing firms in Nigeria. Data for this research is obtained from both primary and secondary sources. The sample size for the study is 280 from six (6) Brewery firms. Multiple Regression test was used in testing the two (2) formulated hypotheses. The study findings revealed that motivational factors such as Intrinsic, extrinsic and social motivation have a good relationship with employee commitment and performance enhancement in profit oriented firms especially Brewery manufacturing companies. Other findings were that lack of motivational incentives will lead to employee frustration in these companies. The study recommends that adequate and consistent provision of intrinsic, extrinsic and social motivational incentive packages to staff to facilitate employee commitment and high performance attainment is important at all times. The study also recommended that, establishing organizational objectives and goals by companies is a good starting point by management to know the essential motivational incentives that should be granted to employees for productivity attainment. Introduction Understanding why people do the things they do on the job is not an easy task for the managers. Predicting their response to Management's latest productivity program is harder yet. Fortunately, enough is known about motivation to give the thoughtful manager practical, effective technique for increasing people's efforts and performance. Bateman and Snell (1996) and Dugguh (2008) maintained in their respective research endeavor that; organizational objectives/goals are unattainable without the enduring commitments of members of the organization. The degree of commitments and performance is a function of motivation. Motivating employee to perform tasks assigned to them is one of the major problems confronting management and managers. Motivation is one of the several factors that go into person's performance. Though, motivation is a factor that influence a worker's performance, it is in short supply and needs to be constantly replenished. Yalokwu (2006) see motivation as forces that energizes, direct and sustain a person's efforts. Zedeck Blood (1974) view motivation as an emotion or desire operating on a person's will and causing that person to act. A highly motivated person will work hard towards achieving performance goals. With adequate ability and understanding of the job, such a person will be committed and highly productive. To be effective motivators, managers must know what behaviors they want to motivate people to exhibit. Organization motivate employee to exhibit; International Journal of Business and Economic Development Vol. 4 Number 2 July 2016 www.ijbed.org A Journal of the Academy of Business and Retail Management (ABRM) 113 Joining the organization; To remain in the organization; To come to work regularly; To perform tasks assigned to them; To exhibit good citizenship behaviors. Robbins (1998) maintains that good citizens of the organization are committed, satisfied employees who perform above and beyond the call of duty by doing extra things that can help the company. The importance of citizenship behaviors may be less obvious than productivity but these behaviors help the organization function smoothly. They also make manager lives easier. It also helps managers motivate employee to engage in constructive behaviors. According to Mullins (1996) the needs and expectations of employees at work can be categorized in a number of ways. These include; Extrinsic motivation This is related to tangible rewards such as salary and fringe benefits, security, promotion, materials goods, contract of services, the work environment and conditions of work. Such tangible rewards are often determined at the organizational level and may be largely outside the control of individual managers. This is an instrumental orientation to work and concerned to other things. Intrinsic Motivation This is the 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. The psychological rewards are those that can usually be determined by the actions and behavior of individual managers. This is a personal orientation to work and concerned with oneself. Social relationship This is referring to things such as friendships, group working and the desire for affiliation, status and dependency. This is a relational orientation to work and concerned with other people. Buchanan and Huczynski (2004) maintains that, a person's motivation, job satisfaction and work performance will be determined by the comparative strength of these set of needs and expectations, and the extent to which they are fulfilled. For example, some people may make a deliberate choice to forgo intrinsic satisfaction and social relationships (particularly in the short term or in the earlier years of their working life) in return for high economic rewards. Other people are happy to accept comparatively lower economic rewards in favour of a job which has high intrinsic satisfaction and for social relationships. Nwachukwu (2009) maintains that the major problem confronting management of organization is that of motivating workers to perform assigned tasks and to be highly committed to meet or surpass predetermined standards. He emphasized that with adequate motivational factors in place, it will serve as energizing force that will induces or compels and maintains behaviors of employee towards high performance in organizations and contributes to person's degree of commitment. Daft (2005) emphasized that, to motivate employee for performance, the attributes of effective standards of performance needs to be identified. They include; Standards must be based on the job and not the person(s) in the job. In other words, standards of performance should be established for the job itself regardless of who occupies the job. Standards of performance must be achievable. Standards must be understood. Standards must be agreed on Standards must be specific and measurable as possible Standards must be time oriented Standards must be written Standards must be subject to change International Journal of Business and Economic Development Vol. 4 Number 2 July 2016 www.ijbed.org A Journal of the Academy of Business and Retail Management (ABRM) 114 Yalokwu (2006) identified performance categories and standards of performance for organizational jobs tasks, motivated employee are required to adopt. These includes: Work quality Standard: provides accurate, thorough, professional work regularly. Job knowledge Standard: well informed and educated in performing to the level expected for the job Organization and planning Standard: organize, plans, and forecasts work skillfully to meet job needs. Analysis and Judgment Standard: Analyses problem skillfully, use logic and good judgment to reach solutions. Dependability and Consistency Standard: Personally, responsible, steadfast and can be called upon for difficult and pressured challenges. Interpersonal skills Standard: work well with others, get things done with people and keep information open at all levels. Initiative Standard: Helps to determine the needs of the work place; help all to meet the goals. Team work Standard: Coordinates own work with others, seek opinions, values working relationships. Service centered work Standard: Regularly seek to provide quality service to achieve customer satisfaction. Attendance and punctuality Standard: regularly present and punctual Organizational commitment on the other hand is defined as a state in which an employee identified with a particular organization and its goals and wishes to maintain membership in the organization (Langton, Robbins and Judge, 2010) Professor John Meyer (1993) at the university of Western Ontario and his colleagues have identified and developed measures for three (3) types of commitment. These include; Affective commitment In this case there is an individual relationship to the organization: his or her emotional attachment to, identification with and involvement in the organization. Normative commitment This is the obligation an individual feels to staying with the organization. Continuances commitment This is an individual's calculation that it is in his or her best interest to stay with the organization based on the perceived costs of leaving the organization. A positive relationship appears to exist between organizational commitment and job productivity, but it is a modest one. Several researches have reveals that, the relationship between commitment and performance is strongest for new employees, and it is considerably weaker for more experienced employees. At the sometimes, there is research evidence demonstrates a negative relationship between commitment and both absenteeism and turnover. Research evidence on a number of companies known with high organizational commitment identified five reasons why employees commit themselves. These include; They are proud of the company's aspirations, accomplishments, and legacy, they share its values. They know that each person is expected to do, how performance is measured and why it matters. They are in control of their destinies; they savour the high risk, high reward work environment. International Journal of Business and Economic Development Vol. 4 Number 2 July 2016 www.ijbed.org A Journal of the Academy of Business and Retail Management (ABRM) 115 They are recognized mostly for the quality of their individual performance. They have fun and enjoy the supportive and highly interactive environment. (Shore and Wayne, 1993) It is pertinent to note t