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Title Page
THE IMPACT OF JOB SATISFACTION ON EMPLOYEE
PERFORMANCE IN GOVERNMENT OWNED ENTERPRISES
BY
OKEKE, CHIKAODILI P
PG/MBA/08/53186
FOR THE AWARD OF MASTERS IN BUSINESS ADMINISTRATION
(MBA)
DEPARTMENT OF MANAGEMENT
UNIVERSITY OF NIGERIA
ENUGU CAMPUS
MARCH, 2010
SUPERVISOR: CHIEF J.A. EZEH
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CERTIFICATION
I, Okeke Chikaodili P. a postgraduate Student of the Department of
Management with registration number PG/MBA/08/53186, has satisfactorily
completed the requirements of the course work and the research work for the
award of Master Degree in Business Administration.
The work embodied in the report is original and has not been submitted in part
or full for any other degree of this or any other University.
---------------------------------- --------------------------------- OKEKE, CHIKAODILI P. Date PG/MBA/08/53186
------------------------------------- ----------------------------------- CHIEF J.A. EZEH Date Supervisor
----------------------------- ---------------------------------- MR. CHUKWU C.O. Date Head of Department
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DEDICATION
This research work is dedicated to God Almighty who makes impossibility
possible. I am always thankful to God Almighty.
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ACKNOWLEDGEMENT
I offer my first thank and gratitude to God for his protection and guidance and
for making it possible for me to complete this project.
I deeply appreciate the love, understanding, moral and financial assistance given
to my by my caring husband, Engr. Emeka Akwuba.
I would like to express my humble gratitude to my supervisor, Chief J.A. Ezeh
for his patience, criticisms and encouragement.
I could not have gone far in this work and in my academic pursuit generally
without the undiluted love, support and prayers of my beloved parents Mr. and
Mrs. P.N. Okeke, my brothers Pastor Ifeanyichukwu, my only sister Pastor
Uche, Ikechukwu, Chigozie, Chukwuebuka and Uzochukwu.
I am very grateful to my friends who contributed in one way or the other to see
that this work comes through. May God continue to bless and provide for you
all.
I love you all.
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ABSTRACT
The topic of this project report on the Impact of Job Satisfaction on employee performance in Government Owned Enterprises (GOE’s). There was a time when it was considered sound economic policy for government to establish and invest in corporation and enterprises. It was then agreed that government owned enterprises were better for stimulating and accelerating natural economic development rather than private initiative. This research therefore aimed at investigating, identifying, analysis and presenting research findings on the Impact of Job Satisfaction on employee performance. To achieve the above aims, research hypothesis were formulated to that whether promotion has no impact on job satisfaction, there is no relationship between salary and job satisfaction and conducive environment does not contribute to job satisfaction in government owned enterprises. The researcher made use of research questionnaire, which were designed and distributed to staff of these government owned enterprises. The method of analysis is the use of tables, percentage and chi-square. The major finding of the research is that promotion has a significant relationship with job satisfaction, there is relationship between salary and job satisfaction and conductive environment contribute to job satisfaction among employee in government owned enterprises. In view of the above findings the study recommended that: 1.Government owned enterprises should see increase/prompt payment as a motivation factor, that can increase productivity in the organization. 2. Government should use employee inputs as a criteria for promotion of workers, because most of these workers in government are idle. 3. Government should make the working environment conducive, so that the workers, can see their working environment as their second home. 4. Government owned enterprises should adopt management by objective in which employee should be part in decision making of the organization so that all hands will be on deck. 5. The structure of the organization should be restructure so that there will be cordial relationship between the employees and employer. 6.Working conditions should be improved and sustainable to enhance performance. 7. Management should be sensitive to the difference in needs and values among the employee. Every individual is unique and will respond differently to attempts to motive him or her. 8. Management should be sensitive to employees, complaints about low pay and unchallenging work. Too often management delude them into thinking that employees dissatisfaction can be lessened by painting work area piping in music, giving out a few more words of praise, or giving people longer work breaks.
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TABLE OF CONTENTS
Title Page i
Certification ii
Dedication iii
Acknowledgement iv
Abstract v
Table of Content vi
CHAPTER ONE: INTRODUCTION
1.1 Background of the Study 1
1.2 Statement of Problem 4
1.3 Objectives of the Study 6
1.4 Research Questions 7
1.5 Research Hypothesis 7
1.6 Significance of the Study 7
1.7 Scope and Limitation 8
1.8 Delimitations of the Study 9
1.9 Definition of Terms 9
CHAPTER TWO: LITERATURE REVIEW
2.1 Motivation – Definition and Meaning 12
2.2 The Nature of Motivation 13
2.3 Types of Motivation 14
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2.4 Motivational Tools 14
2.5 Theories of Motivation 15
2.6 Importance of Motivation 26
2.7 Management by Objective 27
2.8 Employee Satisfaction 32
2.9 Employee Performance and Satisfaction 37
References
CHAPTER THREE: RESEARCH METHODOLOGY
3.1 Introduction 44
3.2 Research Design 44
3.3 Sources of Date 44
3.4 Instruments for Data Collection 45
3.5 Population of the Study 45
3.6 Pilot Survey 45
3.7 Reliability and Validity of Data and Test Instruments 46
3.8 Data Treatment Techniques 46
References 48
CHAPTER FOUR: PRESENTATION AND ANALYSIS OF DATA
4.1 Data Presentation 49
4.2 Data Analysis 50
4.3 Test of Hypothesis 59
References
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CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND
RECOMMENDATIONS
5.1 Summary of Findings 68
5.2 Conclusion 69
5.3 Recommendations 70
References 73
Bibliography 74
Appendixes 76
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
The importance of qualified manpower in the social, political and
economic development of any nation can hardly be over emphasized. No nation
is known to have attained and sustained high level of economic growth and
development without ample supply of manpower.
Of all the factors that unlock the forces of economic and development, a
country’s human resources is the most vital because without, it all the other
factors have to wait. (Nwachukwu 1988, p-128)
Positive changes in the quality of work force according to Nwachukwu,
account for rapid economic development that has taken place in advanced
countries, Kuznet in Nwachukwu once observed that “the major capital stock of
an industrially advance country is not its physical equipment; it is the body of
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knowledge amassed from tested findings and discoveries of empirical science,
and the capacity and training of its population to use this knowledge”.
At the organization level, the essence of any manpower programme is to
enhance the welfare of workers by maximizing their skills as well as the quality
and quality of their employment opportunity and by so doing add to their
economic strength (Nwachukwu ibid). Thus all employee programme are
aimed at human resource development and utilization bearing in mind that a
well-motivated and satisfied manpower is an asset to an organization, which
enhances productivity. In a real sense, three important elements, money, man
and material make up any business enterprises. While each of these elements is
particularly importance in any organization, it is however the people or the
human element that is often responsible for the success of an organization.
It is not uncommon to experience a situation where competing firms buy
materials in the same market, secure their money from the same sources and
employ their personnel in the same area, yet one company emerges as being
more productive and profitable than the other.
A study of such circumstances more often than not reveals that the
difference in the performance is due to the fact that one company has a more
“satisfied” work force, hence more productive. With this illustration,
people/manpower determine the success of enterprises.
A well-known management theorist, Rensis Likert concludes, “All the
activities of any enterprises are initiated and determined by persons who make
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up that institution, underscores the importance of employee function. Plant,
offices, computers, equipment and all else that a modern firm uses are
unproductive except for human effort and direction. Of all the tasks of
management, managing the human component is the central and most important
task because, all else depend on how well is done” (Likert quoted in Iyayi 1989,
p.151). Personnel/employee administration is that organization or enterprises
function which is especially concerned with the management of the human
component in organizations.
This human component pervades the entire organization and because of
this, it follows that the performance of the personnel, or at least an important
part of it, devolves on all individuals and managers who in one way or another
have responsibility for the performance of one or more subordinates in the
organization. The management function of leading, directing and motivating
are all personnel functions, which all management must perform. A manager
who fails in any of these respects is also likely to fail in the performance of
his/her primary responsibility even if such responsibility is for production,
accounting or marketing (Iyayi ibid).
The fact that all managers perform personnel functions is however, not to
imply that they are all personnel managers. In every organization, there is a
distinct department or section that is specifically charged with the responsibility
of initiating and formulating policy as well as providing advice, service and
control of all personnel matters. Thus, although the people designated as
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personnel managers perform all the personnel functions of all managers, they in
addition, usually have broad human skills, and specific technical skills for
dealing with people oriented problems in the organization. The personnel
manager usually applies his/her technical skills in dealing with issues that arise
in the following major areas: employment, training and development, transfer,
promotion and lay off, wage and salary administration, health and safety,
discipline and discharge, industrial and labour relations, employee benefits and
services, and personnel and behaviourial research.
The above, constitute staff conditions of service, which is the hub of
personnel management and on which depends industrial peace, industrial
expansion and the general well being of the staff and the organization ( Abah
1997, p.238).
Staff conditions of service vary from business to business, from industry
to industry and more significantly from government owned businesses to
privately owned ones and among government and private business enterprises,
which in turn accounts for the wide difference in job satisfaction and employee
performance in the various organizations. It is based on the foregoing that this
study dwelt on the impact of job satisfaction on employee performance with
special emphasis on government owned enterprises in Nigeria.
1.2 STATEMENT OF PROBLEM
Nigeria, like many other countries of the developing world became
vigorously involved in accelerating the wheels of economic and industrial
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development of her economy. She became actively involved in the
establishment of public enterprise and government businesses covering a large
complex spectrum of public utility, infrastructure facilities, strategic enterprises,
industries and commerce.
Since independence in 1960, the country has either inherited or
established such organizations as the Nigerian Railway Corporation, Nigerian
Airways, among many other corporations. However, the management of these
companies over the years has left much to be desired. For instance the Nigerian
Airways according to the Director General of Bureau of public enterprise is a
bankrupt company.
Reeling out the statistics about the organization, Director General of
Bureau of Public Enterprises said Nigerian Airways has 400 million Dolars
Debt. It has 2000 employees and one plane. It also has 40 million Dolars in
pension liabilities. This type of scenario applies to almost every government
owned company/corporation in Nigeria and has equally affected job satisfaction
and employee performance in them.
Management influences and determines the performance of employees.
But many managers in Government Owned Enterprises in Nigeria are either
lacking in the elementary principles of organizational behaviour or are not given
the free hand to run their firms. They do not know how to identify employees’
goals and link rewards to motivate employees.
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It has been observed that all the work related Nigerians possesse factors
necessary for productivity. The only thing lacking is the
supervisory/managerial abilities to harness these talents. Based on the fore
going, the study sought answers to the following questions:
a. What is the nature of supervisory/managerial practices in
government owned companies?
b. How has this affected job satisfaction and employee
performance?
c. Are the motivational and other management practices in
Government Owned Enterprises adequate to ensure job
satisfaction and enhance employee performance?
d. Do the supervisors/managers of Government Owned
Enterprises follow establishment management practices in
taking decisions affecting the employees?
1.3 OBJECTIVES OF THE STUDY
The objectives of the study are;
1. To identify the role of promotion on job satisfaction among staff.
2. To determine effect of salary on job satisfaction among staff.
3. To identify the important of conductive environment on job
satisfaction.
1.4 RESEARCH QUESTIONS
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1. What is the relationship between promotion and job satisfaction
among staff?
2. Is there any relationship between salary and job satisfaction among
staff?
3. To what extent does conducive environment contribute to job
satisfaction among staff?
1.5 RESEARCH HYPOTHESES
1. There is no relationship between promotion and job satisfaction
among staff
2. There is no relationship between salary and job satisfaction among
staff
3. Conducive environment does not contribute to satisfaction among
staff.
1.6 SIGNIFICANCE OF THE STUDY
Management of Government Owned Enterprises has been a thorny issue
in Nigeria and has generated quite a high number of debates and literature in the
last two decades. This study is therefore significant because it will add to the
existing body of literature in this areas.
It is also significant because it would provide information on the trend
and journey so far in the management of Government Owned Enterprises. The
results of the study will be discerning as it will reveal how much job satisfaction
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is obtainable in the government owned enterprises as well as how these have
affected employee productivity in the organizations.
Since independence, government in establishment of businesses and
maintaining them has invested so much; yet not much has been recorded in the
area of productivity and employee morale.
According, this study will be useful to economists, management
practitioners, students and the general public because it will provide direction
on the way forward. The recommendations are useful because they will serve
as advice to the government on what ought to be the appropriate relationship
between government and the businesses.
Finally, the study is significant because it is an academic exercise
required in partial fulfillment for the award of a Master Degree in Business
Administration.
1.7 SCOPE AND LIMITATION
The scope of the study covers Enugu, the Capital of Enugu State. The
concern of the study was the government owned companies within the city.
Enugu served as capital of defunct Eastern Region, East Central State, and old
Anambra State hence its good number of government businesses, which are
either headquartered in the city or have regional offices there. Such companies
studied are the Enugu State Transport Company (ENTRACO), Hotel
presidential, Enugu, Nigeria Railway Corporation, Eastern Regional Office
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among others. These companies were established to make profits, as aim yet to
be met.
This study has quite a number of significant limitations to it. The first
was that the researcher as a worker has to combine her work with the study and
this was not easy. Additionally the study was conducted during the period of
fuel scarcity this resulting in high cost of transportation and in some most cases,
low attendance by staff of the organizations visited for the distribution of
questionnaires. Conducting a study of this nature in our environment receptive
of answering the oral questions while others did not take time off of study the
questionnaire hence few of the discard due to wrong filling. These limitations
did not affect the outcome of the study in any way.
1.8 DELIMITATIONS OF THE STUDY
As already mentioned, Government Owned Enterprises like PHCN etc
were established to provide infrastructure services. For this group of
Government Owned Enterprises, performance is in the area of efficiency of
services provided. There are other categories of Government Owned
Enterprises established purely for profit making. For this group performance
comes in the area what is made in terms of profits.
This study is delimited mostly to the second group where it is assumed
that the impact of job satisfaction on productivity is felt more. This implies that
only companies established purely for profit were considered for the study. The
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above delimitation was considered normal for a study of this nature in a
developing country like ours with paucity of data.
1.9 DEFINITION OF TERMS
1. Motivation: This is a process of stimulating people to action in order to
achieve desired goals or accomplish a desired task: Hezbong, Fedenick
(1964). The motivation Hygiene concept and problems of manpower
personnel Administration January – February.
2. Personnel Administration is that organization or enterprises function
which is especially concerned with the management of the human
component in organization. Abah, Norbert C. (1997) Public Personnel
Administration Enugu: Jeen Publishers Ltd.
3. NA – Nigerian Airways. Sun Newspaper April 20, 2003
4. B.P.E.- Bureau of Public Enterprises Sun Newspaper April 20, 2003
5. MBO: Management by objective Ordiorne, CT Politics of Implementing
MBO” Business Horizon June 1974
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REFERENCES
Abah, Norbert C. (1997) Public Personnel Administration Enugu: Jeen
Publishers
Fubara, Bedford A. (1989) Government in Business in Pita Ejiofor (Ed) (1989)
Foundations of Business Administration, Onitsha: Africana Fep-
Publishers Ltd
Iyayi Festus (1989): Elements of Personnel Management, in Pita Ejiofor (Ed)
(1989) Ibid.
Nwachukwu C.C. (1988)” Management: Theory and Practice, Onitsha: Africana
Fep Publishers Limited
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Nasir el Rufai “Statistics of Nigeria Airways” Interview in the Sun Newspaper
April 20, 2003
CHAPTER TWO
LITERATURE REVIEW
2.1 DEFINITION OF MOTIVATION
According to Igboeli, (1990: 137) the word motivation comes from the
latin word- movere which means to move. It is a general term that refers to all
those inner forces such as desires, drives or motives wishes, and so forth, which
kindle, direct and sustain behaviour toward a goal.
Molokwu (1993:92) defines it as a process of stimulating people to action
in order to achieve desired goals or accomplish a desired task. It also refers to
efforts made to satisfy the basic physical, psychological, economic, emotional,
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spiritual, political, mental drive or need of the individual either in group or as a
person. It is a synthesis of how employees think and feel about their jobs, their
working conditions, their supervisors, their organization and fellow workers.
Applyby in his book “Modern Business Administration” defines
motivation as the urges, aspirations, drives and needs of human beings that
direct or explain their behaviour. According to him, motivation may be
described as keenness for a particular pattern of behaviour. Vroom gives the
definition of motivation as a process of governing choice made by a person or a
lower organism among alternative forms of voluntary action.
Further more, motivation is understanding the needs or urges which
prompt people to do things and provide ways of helping them satisfy these
needs through the organization, while at the same time harnessing their
contribution to satisfy the organizational needs.
Productivity and motivation of employees are subjects of considerable
concern to management, both of government and private organizations all over
the world.
2.2 THE NATURE OF MOTIVATION
As managing involves the creation and maintenance of an environment
for the performance of individuals working together in groups towards the
accomplishment of common objectives. It is obvious that a manager cannot do
this without known what motivates peoples. The basic element characteristics
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in people is the potential energy to behave in many different ways. Whatever
stimulates this energy need is the issue here.
People differ in their ways of itemizing needs and establishing priority.
These needs and their priority over others cause certain behaviours to take
place. Such behaviour directed towards a particular goal or want which the
person has learned will satisfy the need. In our complex society, satisfaction of
these need entails searching and obtaining employment from which to secure
money. Any single act executed by a particular person may be reflecting a
number of different needs. It is conceivable that at times, the act of behaviour
fails to effect satisfaction. Usually, alternative acts are thereby energyed in
search of satisfaction. If all acts fail, one often labels the person as frustrated.
There is an inter-relationship between job satisfaction/dissatisfaction and
motivation. The important point is that job satisfaction and dissatisfaction are
affected by different sets of factors and have different effects on employee’s
motivation and performance. It is a phenomenon most fundamentally based in
the physiological state of the individual. In simple terms motivation can be
understood as the forces of response to the existing needs of the organism.
2.4 MOTIVATIONAL TOOLS
It is important for every manager to bear in mind that employees come to
an organization with their needs, desires and motivations already determined.
Furthermore, the content to which workers expend energy in working towards
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the corporate goal depends on how well their personal needs for job security,
interest status and prestige can be achieved.
In this perceptive, the challenge to management, therefore is to recognize
and understand the impact of the various motivational tools that exist. These
tools includes:
1. Increase in wages and salaries
2. Providing job security
3. Promoting workers as and when due devoid of favouritism
4. Job enrichment
5. Objective testing and appraisal
6. Increase responsibilities
7. Authority and accountability
8. Understanding or realizing the subordinates goals aspirations
9. Provision of welfare services and recreational programmes.
10. Staff development programme within and outside the company
11. Recognition of labour unions and management associations
12. Fringe benefits- leaves allowance, housing, bonus etc
13. Effective communication listening to employees views
14 Staff participation in decision making especially in matters
concerning them.
15. Good working environment for efficient performances of workers
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When the above tools of motivation are carefully manipulated by the
organization, they will result in conducive psychological climate in which
workers feel good and happy with the company, identifying with the goals and
feeling motivated enough to make the invested capital, plants and materials
function for the realization of the organizational goals.
2.5 THEORIES OF MOTIVATION
The major theories of motivation have come to us from authors such as
Abraham Maslow, Douglas Mc-Gregor, Frederick Herzberg, David Mc-
Clelland, and Victor Vroom. There is also the contribution of Rensis Likert in
his Human relations Theory as well as the classical theory of motivation.
1. Frederick Taylor: known as “The father of scientific management” who
is inseparably tied with the classical theory was of the view that men
could produce more if only they earn more. His plan was unique in that it
greatly increased the reward for high productivity. Thus, men were able
to double their wages under the system. It is clear that the classical
theory makes the assumption that money is the best motivation. The
power of money as a motivator has never been generally established with
total agreement. People exist who can be motivated by money just as
those who have none beyond being motivated by money. Tailors
classical theory fails to specify other important considerations that affect
individual motivation to work, by trying to make money the simple
solution (Uzoma op cit).
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2. The Need Theory: Abraham Maslow:
Most people never reach the point where they no longer want more
money. But there definitely comes a time when we begin to think that
there is more to derive out of life than mere pay packets. Abraham
Maslow (1970,p.35-50) has constructed a continuum of the human needs
that motivate. This is popularly known as the Need hierarchy. These
needs are:
(a) Physical Needs: These needs are associated with man’s strong
drive towards self-preservation. They includes shelter, food and
water.
(b) Security Needs: The two types of security needs are physical and
economic. In as much as physical security is important, people
however lay greater emphasis on economic security. They want to
be secure against loss of income, unemployment and lack of
income in one’s old age.
(c) Social Needs: people need to feel relevant and accepted in any
group they are identified with. They also need to have some
influence over other group members.
(d) Esteem Needs: These are highlighted in the fact that man needs
recognition in whatever he does, status and prestige.
(e) Self-Actualisation Needs: This is the need to do what one is best
suited for. Some people aspire to be politicians, leaders and
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dictators and are consequently power-hungry. Such people believe
they are best suited for these, in terms of their skill and ability.
Such factors as higher responsibility/advancement, challenging
work, growth opportunity etc is all included here. It may be
convenient at this point, to combine physiological and security
needs into lower or “economic” needs.
3. The Two Factors Theory: (Herzberg)
Herzberg conducted experiments on motivation, and drawing from the
data collected, be identified two vital factor in every job. First, there are
certain elements in a job that he, called “maintenance factors” or hygiene
factors, which include adequate salary, adequate working conditions, job
security and fringe benefits. From Herzber’s point of view, these things
are necessary for the worker to even begin to be motivated. The
“maintenance factors” are those which when not present, will cause
dissatisfaction, and if present will prevent dissatisfaction, but will not
motivate people to greater performance. Herzberg (1964, p.3-7) has
named these maintenance factors, the “Hygiene” factors in a poor
analogy I must say with the way the term is used in preventive medicine.
He concluded that their were ten maintenance factors, namely:
(i) Company policy and administration
(ii) Technical supervision
(iii) Salary
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(iv) Interpersonal relations with supervisor
(v) Interpersonal relation with peers
(vi) Interpersonal relations with subordinates
(vii) Job security
(viii) Personal life
(ix) Working conditions
(x) Status
Beyond the maintenance factors Herzberg calls the remaining ones the
motivational factors. These are the things that could really bring about positive
attitudes and motivation. However, if these are lacking positive attitude and
motivation will not emerge. The motivational factors, which he called
‘satisfiers’ includes:
(i) Recognition
(ii) Achievement
(iii) Advancement
(iv) The work itself
(v) The possibility of growth
(vi) Responsibility
The insight into the motivational process that was gained via Herzberg’s
research blends very well with Maslow’s theory. For instance, Herzberg’s
maintenance factors are roughly-equivalent to Maslow’s lower (economic).
Needs – the things a worker must have to begin with. Herzberg’s motivational
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factors correspond with Maslow’s higher level needs. The significance of the
two factor theory lies in the recognition that those organizations or individual
managers who have traditionally approached the subject of motivation from a
purely maintenance (or hygiene) perspective, have been seriously deluding
themselves in some ways, because all they have succeeded in doing in most
cases is preventing dissatisfaction. No positive motivation has this resulted
beyond the neutral level. Furthermore, managers are often limited in their
control over wages- one of the most important elements of the hygiene
(maintenance) factors. Therefore, not only the effectiveness of money as a
motivator in question, but also the extent to which any individual manager has
control over it. Managers cannot motivate people with incentives over which
they have no control (Uzoma 1989 op cit p.168).
4. Theories X and Y: MCGREGOR
From previous theories, several factors exist that motivate people. The
manner, in which any of the theories is applied, will be determined by the
concepts about man himself. (McGregor 1960), come up with two theories in
explaining man and motivation, which he calls Theory X and Theory Y.
Theory x Assumptions According to Mcgregor are:
i. the average man dislikes work and will avoid it the extent he can
ii. therefore most people have to be forced or threatened with punishment to
get them to make the effort necessary to accomplish organizational goals.
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iii. the average individuals is basically passive and therefore prefers to be
directed, rather than to assume any risk or responsibility. Above all else,
he prefers security.
A manager who fits into the theory X group leans towards an
organizational climate of centralized authority, close control and automatic
leadership.
The Theory Y Assumptions are:
i. work is as natural to man as play or rest and therefore, cannot be avoided.
ii. self-motivation and inherent satisfaction in work will be achieved in
situations where the individual is committed to organizational goals.
Hence, coercion is not the only form of influence that can be used to
accomplish organizational goals.
iii. commitment is a crucial factor in motivation, and it is a function of the
rewards coming from it.
iv. the average individual learns to accept and even seek responsibility given
the proper environment.
v. contrary to popular stereotypes, the ability to be creative and innovative
in the solution of organizational problems is widely and not narrowly
distributed in the population.
vi. in modern business and organizations, human intellectual potentialities
are only partially realized.
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The manager who operates on Theory Y feels that an effective
organizational climate has greater decentralization of authority, relies less on
coercion and control, has a democratic leadership style, and more participation
in the decision process.
The question often arises as to which management philosophy and
organizational climate produces the best result. One might be tempted to favour
Theory Y because it is humanistic on the surface and less authoritative then
Theory X. But sentiments alone are not enough in making judgement because
there are occasions when Theory X is called for, while Theory Y works
brilliantly in others. Perhaps the optimum theory would be called Theory Z, in
which case, the manager would have to apply both approaches at one time or
another (Uwick, 1970, p.14-21).
5. Expectancy/Instrumentality Theories: VROOM
Instrumentality is the relationship between an individual’s goals or the
rewards he desires and the organizational objectives that he is expected to
fulfill. It exists when a person sees that attaining an organizational objective,
such as high productivity, will result in receiving the reward he deserves: wages
(Literer in Ejiofor op cit p.218). To make a recapitulation of the meaning of the
term, it can be said to refer to the individual’s perception of the degree of
relationship between the level out come and the second level outcome. (ibid-
p.152). the instrumentality theory attempts to relate effort to rewards. It
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however looks like an unattainable goal in its real sense because in many
Nigerian organizations; rewards are tied to favouritism and nepotism. The
practice has resulted in “bad attitude to work”, among Nigeria workers. The
favoured worker becomes lax knowing that he will always get an unexpected
strike of “good-luck” from his “master”. While those discriminated against,
perceiving that nothing would be forth-coming by way of rewards, become
disenchanted and refuse to put in their best through absenteeism, lateness to
work, slow work pace and many other subtle means, such as stealing office
stationery/equipment, conversion of office petty cash all in the attempt to
reward themselves.
CONDITIONS OF OPTIMUM MOTIVATION
Ejiofor (op cit p.210) has set out four conditions that must be met in the
application of the instrumentality theory for optimum motivation, namely:
i. The employer/organization must hold out rewards desired by the worker
ii. The worker must perceive that the desired reward can be obtained only
through the execution of more effort on his part.
iii. The reward must be achievable, and as immediately as possible.
iv. The worker must be mentally and physically able to strive for the reward.
The questions now are: Can the employer/organization hold out rewards?
Is it willing to give out reward as immediately as they have been genuinely
earned? Does the worker perceive that the desired reward can be obtained only
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through the exertion of greater effort on his part? To the extent that these
questions are answered positively, to that extent are workers motivated.
6. Achievement Motivation: MC-CLELLAND
There is a view on motivation that some people have a compelling drive
to succeed for the sake of succeed alone. David Mc-Clelland (1961) in Uzoma
op cit) has been the primary advocate of this view and he has named these “need
to achieve” the “n-Ach) motive.
After years of research, Mc-clelland described high achievers as:
i. People who seek to do things better
ii. People who seek situations where they can attain personal responsibility
for finding solution to problems;
iii. people who dislike succeeding by chance
vi. People who seek out opportunity where their desires to achieve will not
be thwarted.
v. People who seek and use concrete, measurable feed back of the results of
their actions.
vi. people who develop comprehensive plan to help them attain their goals.
The implications of n-Ach research are far-reaching. It drives people to
act on the basis of an internally induced stimulus, rather than relying on
externally imposed motivators. Further understanding of the concepts behind n-
Ach research can assist administrators in explaining and predicting employees
behaviour.
xxxii
The findings of the research conducted by Oloko (1977) suggest that the
Nigerian worker does not perceive that his advancement depends much on how
hard he works. Majority of those he interviewed were of the view that workers
were promoted “mostly for being bosses” favourites” while few believed that
promotion was based exclusively on skill and effort. These findings are in
reality negation of the postulations of the instrumentality theory. In place of
hand work, the Nigerian sees fate and favouritism as the path to successes. In
the words of Pita Ejiofor, the Nigerian “follows the rational path, the road he
believes led others to their gold mines. He assuges fate and the gods by offering
sacrifices wearing success claims, attending spiritual churches and joining
secret societies and social clubs (Ejiofor op cit. 2-4).
7. THE MISSING LINK
If rewards could be seen as inputs, and motivation as outputs, then there
appears to be what Ejiofor calls “the missing link in the motivational efforts of
many of our employers/organizations, which do not bring about the desired
motivation output, from the initiation reward inputs. The result therefore, is that
while enjoying many Nigerians are still not motivated to produce. Why is it so?
What is the missing link in the motivational chain? Vroom’s Expentancy
Theory (1964) throws much light on this. He explains that motivation depends
not just on the outcome desired by the worker, but also on the instrumentality of
effort. That is the relationship perceived by the worker between his own effort
(hard work, honestly, loyality, putting oneself last) and the desired outcome
xxxiii
(promotion, commendation, salary, movements, modals, trophics, and
recognition in the community) Building on vroom’s theory, Pita Ejiofor
identified four critical variables in workers motivation from which he later drew
up the preconditions for instrumentality.
8. A CONTINGENCY MODEL
Theories tend to make everything so simph because they carry an element
of truth. However they still present us with a world of incompleteness. We can
see from the scholarly erudition of notable writes that there is no universally
consistent motivational device applicable to everyone. Not all persons are
motivated by money or by jobs that are enriched/self-actualising. There are
people who are equally motivated by such factors as education, level of
aspirations, need for achievements, desire for autonomy attainment and
responsibility, to mentio0n but a few, therefore, one can conclude that what
motivates people varies from case to case.
2.6 IMPORTANCE OF MOTIVATION
For the purpose of this study, the researcher has advanced the underlisted
as the importance and need for motivation in an organization.
1. Motivation engages job satisfaction, which is effective relation of
feelings by an employee on how happy or satisfied he is with his
job supervisors, co-worker, pay. Pay and his current and future
career progress and potentials.
xxxiv
2. Motivation assists managers to understand the needs or urges
which prompt people to do things and provides ways of helping
them to satisfy these needs through the organization, while at the
same time harnessing their contribution to satisfy organizational
needs.
3. Motivation of employees brings about job satisfaction and reduces
the rate of labour turnover and absenteeism.
4. Employees feel that they are important members of the
organization and that their contribution is important towards the
attainment of the firms goals.
5. It eliminates industrial crisis by the workers out of dissatisfaction
of one kind or another.
6. It brings about employees commitment to the achievement of the
organizational goals.
7. It guarantees high productivity
8. It enables late workers to put in his best performance in the
organizations work.
9. It could generate lasting harmony in the organization between
worker and employers.
2.7 MANAGEMENT BY OBJECTIVE (MBO)
Employees are also motivated when management integrates their goals
into the organizational goal through MBO. Management by objectives is one of
xxxv
the latest methods advocated by Peter Drucker et al for achieving organizational
objectives.
The basic concepts is that top executives and managers should all be
involved in determining company objectives, defining major areas of
responsibility, and integrating them into the goal of the employees (Drucker
1964).
ORDWRNE DEFINES MBO AS: A process whereby superior and
subordinate managers of an organization jointly identify its common goals,
define each individuals major areas of responsibility in terms of the results
expected of him and use these measures as a guide for operating the unit and
assessing the contribution (Ordiorne 1965, p.49). Carroll (1973, p.3) sees MBO
as a process by which Managers and their subordinates participate jointly in
setting goals, activities and target dates as well as the evaluation of performance
as it relates, to established objectives.
Management by objectives is one of the most effective ways of
integrating activities and balancing organizational objectives. Peter Drucker
postulates that company objectives should be set in all the major areas such as:
1. Productivity
2. Market standing
3. Innovation
4. Physical and financial resources
5. Profitability
xxxvi
6. manager performance and development
7. Public relations or responsibility and
8. Worker performance and attitude.
MBO converts company objectives into individual goals, as a result it
contributes to higher levels of job satisfaction. By integrating employee goals
to company goals, there is goal congruency, which will help to elicit employee
commitment with resultant increase in productivity. MBO is often called
“management by results”. By this method, both the manager and employees are
evaluated by results achieved…. There is need for collaboration among the
vatriosu units and departments since success depends on the co-operation of
every department or unit understand the goals being pursued. Therefore,
everyone ought to get committed and pull towards the predetermined direction.
If everyone understands what is expected of him, goal ambiguity which gives
rise to frustration will be eliminated. In appraising the manager, he is assessed
in terms of his regular duties and responsibilities. He is assessed by his
technical competence, managerial skills and by his ability to enhance the career
prospects of his subordinates and anticipate changes in the manpower position
of the organization.
Advantages of MBO
Research according to Nwachukwu (1988, p.126) has shown that there
are many advantages in the use of MBO in organization.
Some of the major advantages are:
xxxvii
1. It allows subordinates to help plan control their own performance,
which results in a stronger motivation to do the best possible job.
2. It helps to integrate company goals of profit, productivity market
standing, human resources, social roles and technical growth.
3. It is one of the best way to integrating activities and balance
organizational objectives.
4. It is a very useful performance technique where particular are
evaluated on the basis of their contribution to overall goals rather
than on such characteristics as personality traits.
One of the strategic advantages of MBO especially in Nigeria is to aid in
personnel development. This is an individual need, which is integrated in the
organization objectives. Raia (1974, p.51) emphasized the importance of
personnel development when he pointed out that in its importance lay “an its
potential to improve current performance, to combat technological and
managerial obsolescence, to prepare the individual for additional responsibility
and advancement, and to increase his level of motivation and commitment to his
total set of job objectives”. Goal setting is the most important aspect of MBO
and therein lays the advantages. Raia has summarized the steps necessary for
establishing the goals.
The important Points to Note Include
1. The objectives must be related to organizational goals and strategic
plans.
xxxviii
2. The objectives have to be quantified or measurable.
3. They must be realistic in order to be achievable
4. They must be ample resources to make their attainment possible.
5. There must be appraisal on performance to know what objectives
are being met.
6. Objectives need be resolved into writing to make sure they are
clear, concise and intelligible.
7. The objectives must be communicated to all who are to be involved
in their accomplishment and they must be given the opportunity to
integrate their own goals into the overall objective.
8. All objective must be in the key areas of company performance and
must be made current by constant review.
Implementing MBO
The three steps necessary for the implementation of MBO in an
organization according to Orediorne (1974 p.12-13) are: authoritarian
education, persuasion and coercion. This means that the participants are to be
educated to appreciate the need for MBO and the advantages to be derived.
This would involve persuasion. Although Ordiorne believes that persuasion has
given rise to the failure of many MBO’s. it is still a good method to use in
certain circumstances. Persuasion is bad when it replaces education and total
xxxix
appreciation of the benefits to be derived from MBO programme. MBO takes
time, effort and commitment from all the participants and requires that a clear
sense of direction be given by the organization for it to produce the desired
effect.
Authoritarian method is used when there is resistance. The lower level
management and employees may not be enthusiastic about the programme for it
requires initiative and dedication that they are unaccustomed to. One of the
criticisms made against MBO is that excessive time is spent on persuasion, in
canceling and over emphasis on quantitative measures.
MBO is a good device as it helps to obtain total commitment of all the
organization to work together to achieve a common objective, which could have
been otherwise very difficult.
2.8 EMPLOYEE SATISFACTION
Employee satisfaction is the aim of most managers. The contention is
that a satisfied employee has a better attitude to work than a dissatisfied
employee. It was once believed that satisfaction would lead to higher
productivity. Research findings point to the fact that satisfied employee is not
necessarily productive. Thus there is no consistent correlation between
productivity and job satisfaction. (Ivancevich, 1970, p.139-151). Studies show,
xl
however, that job satisfaction correlates negatively with increased absenteeism
rate, labour turnover and poor morale.
Commenting on the lack of correlation between employee satisfaction
and productivity, Kahn observed that no significant relationships were
discovered between any of the indexes of satisfaction and the productivity of the
work group. In other words, employees in highly productive work groups were
no more likely than employees in low producing group to be satisfied with their
job and the company, or with their financial and status reward (Kahn 1960
p.277).
These studies consistently point out that a satisfied employee does not out
produce an unsatisfied employee but they do not claim that satisfaction is the
cause of low productivity or poor attitude to work. An employees who is
satisfied and motivated is an ideal employee. What satisfies employees is many
and varied. Factors such as gender, position, personal characteristics of the job
holder level of education, income level, supervision, relationship with co-
workers, size of the work group, job content, to mention but a few, are some of
the major factors that influences employee job satisfaction.
Employee job satisfaction is influenced by the equitable distribution of
organisational favours. Perceived inequity affects employee job satisfaction.
The ability of an employee to perform his work up to expected standards
influences job satisfaction.
xli
An employee who is capable of performing an assigned task derives
intrinsic reward from it, as he is capable of accomplishing something. He sees
himself as having some control over his environment and may perceive himself
as an achiever. This reward increases when the organization recognizes his
contribution and gives him added incentive in the way of promotion or other
privileges. If the employee believes that what he receives is equal to what other
employees who have achieved level of productivity are entitled, he derives
satisfaction. Extrinsic reward includes all forms of format recognition,
promotion, advancement, pay, amenities, fringe benefits, and a pat on the back.
These originate from the organization.
Intrinsic reward is an inner feeling of satisfaction originating from work
well done, achievement, personal growth, status or power possessed and
informal recognition. This inner warmth a form of self gratification is very
sustaining. Many employees will stay in the organization if they are denied
extrinsic reward but possess intrinsic reward. Where the later is lacking, the
employee is very likely to leave the organization, or become very tanty, play
truancy and characteristically, show a very poor attitude to work. Satisfaction is
very closely related to absenteeism and labour turnover (Nwachukwu op cit
p.201). Nwachukwu posits that job satisfaction is important because it
influences absenteeism and tardiness and to a less extent, turnover of labour but
not performance. It costs a lot of money to recruit and train employees
therefore no company can survive continuous high turnover of employee or
xlii
unexcused absenteeism. Job satisfaction affects staff turnover to an extent
because turnover is also influenced by availability of alternative job
opportunities. A dissatisfied employee does not resign his position unless
another equally attractive position is available.
Job performance can lead to job satisfaction. Job performance on the
other hand, is a factor of other variables such as technology ability supervision
and motivation.
Job Description Index (JDI)
Such (1960) isolated five factors that influenced job satisfaction. These
five factors were:
1. Work on the present job
2. Present pay
3. Opportunity for promotion
4. Supervision on the job
5. People on the job.
Smith observes that job satisfaction must be considered as a feeling,
which has arisen in the worker as a response to the total job situation. It is
equally true that job satisfaction is influenced by opportunities open to the
worker.
An employee who has limited alternative job opportunities are bound to
rationalize on this and derive satisfaction from what he has available. Another
xliii
employee who has opportunities is bound to complain and constantly think of
his opportunity cost and this affects his total job satisfaction.
The usefulness of the JDI is that the scale used has proven discriminate
and convergent validity (Ibid).
Work On the Present Job
It is believed that one of the major factors that influence job satisfaction
is work on the present job. The JDI attempts to find out if the job is fascinating,
routine, satisfying, boring, pleasant, tiresome, challenging or frustrating.
Whether an employee works hard or not, derives satisfaction from the job or
not, is influenced by the way he perceives the work (Nwachukwu op cit p.204).
Present Pay
According to HJerzberg, money is a dissatisfier despite the fact that
people have a sentimental attachment to it. As pointed out, money can be seen
as a symbol of achievement, success, status, prestige or power, above all there
are some people who have to work in order to maintain a large family or to meet
their physiological needs. Possession of a large amount of money gives one a
feeling that one has control over one’s environment. The JDI scale tries to find
out from an employee if the pay is adequate, or less than he deserves:
Opportunity for Promotion
An average employee looks forward to the day when he will earn a
promotion. Promotion is a reward for past performances, an encouragement to
nudge him to continue to excel. It is a vote of confidence and a blessing.
xliv
Promotion is a motivator of behaviour. An employee who is denied promotion
for a long time gets frustrated. The way an employee perceives his opportunity
for promotion influences his job satisfaction. Thus the JDI solicits information
from the employee on such issues as whether there is opportunity for promotion,
a dead end job, unfair promotion policy, promotion on ability and so on.
People on the Present Job
Co-workers of an employee influence his total job satisfaction. The
Hawthorne studies highlighted the importance of interpersonal relationship on a
job. If a worker associates with people who are committed and are motivated,
he could get motivated and increase his productivity. Interest and enthusiasm
are infectious. The JDI attempts to find out from the worker if co-workers are
stimulating, boring, slow, ambitious, stupid, fast, responsible, loyal, talk too
much, etc.
Supervision on the Job
The supervisor can make or break an employee. He is nearest to the
operative employee and performs the lynchpin function. The way he relates to
his subordinate and the way the employees perceive him influence their
satisfaction. The supervisor to a large extent determines how organizational
favours are distributed. Characteristics such as ask my advice, hard to pause,
knows the job well, lazy, influential, impolite etc are included in the JDI scale.
The JDI according to Nwachukwu is very useful instrument for
measuring job satisfaction. It is not only measures what is available in a job
xlv
situation but also what an employee perceives he should get from alternatives
open to him.
2.9 EMPLOYEE PERFORMANCE AND SATISFACTION
The essence of all motivational efforts is to increase employee
performance/productivity. Motivated workers out-produce unmotivated
employees. The factors that influence employee productivity are different from
the factors that influence satisfaction. Factors that influence productivity of an
employee include:
1. Ability
2. Possession or lack of technological know-how or skill
3. Possession or lack of physiological drive
4. Managerial ability and
5. Attitude, and technology employed (Nwachukwu 1988)
Ability
Different people are endowed with different abilities from birth. Those
who are strong, talented and specially gifted excel in one field of endeavour or
the other. We have people who have a fair for figures and others who resent it.
People who are physically weal are out-produced by those who are physically
strong and better built.
Skill
xlvi
Skill is required through training. Lack of skill could be due to the lack
of opportunity to acquire training during childhood, due to family
circumstances, lack of interest or any other reason.
Lack of Physiological Drive
Some people make a minimal demand on themselves. Their expectations
are low and they lack the drive. These people appear content with what they
have however small or big.
Employees who lack the competitive spirit lag behind those who are self-
motivated in maintenance factors and shy away from responsibility or
challenges.
Management Ability
One of the sky functions of management is to utilize people in the
accomplishment of organizational objectives. To accomplish these objectives,
management must not only create a favourable environment in which the
employees must work but also motivate employees to greater performance.
When management fails to motivate an employee the employee, becomes a
liability to the organization rotates. They set the pace, influence efficiency by
the choice of technology to be employed and determine the organizational
climate that prevails. Thus, an organizations ability to be productive or not
depends on how labour is utilized.
Attitude
xlvii
An employee with poor attitude to work and the organization is a low
producer. Attitude is observable and could be infectious. Employees who have
a bad attitude to work tend to fit into McGregor’s Theory X. they work because
of the compulsion of their economic circumstances. Poor attitude could be due
to lack of motivation poor work design that robs the employee of his intrinsic
reward, or factors unconnected with work environment and beyond the control
of management.
Technology
The type of technology in use in an organization influences employee
productivity. Obsolete equipment reduces output, increase stoppages, and bad
products. Where management employs good techniques and innovative
approaches, productivity is bound to increase. Productivity is very important in
management for it is a reflection of managements effectiveness and efficiency.
According to Lawler and Porter an individual’s efforts, abilities and traits
and task perception determine his performance. The role of environmental
factors in performance is three directional. They influence effort (energy
expanded) and task directions which are the behaviours the employee believes,
are required for the accomplishment of his task. Environmental factors include
education, supervision, organizational design, company policies, social
expectations, training, values and situational factors in the organization. It is
not sufficient to make the effort, the employee must have the abilities,
understand his role in the organization and have a good perception of the best
xlviii
way to channel his energies in the attainment of desired results. Management
should encourage productivity by making the employees aware of the reasons
behind the functions they are performing and providing the support required to
obtain sustained effort. The employees in any organization differ in attitude,
knowledge, skills health and physical vigour. In the same way, their
productivity differs. It is the functions of management to device ways of
encouraging higher productivity. This is accomplished through training and
development, motivation and judicious use of organizational favour.
REFERENCES
Carrol, Stephen J. and Henry Tosi, (1973) Management by Objectives:
Application and Research New York.
xlix
Drucker, Peter (1964): The Practice of Management, New York Harper and
Row Publishers
Ejiofor, Pita N.O. (1981): Management in Nigeria: Theories and Issues Onitsha:
African Fep Publishers Limited.
Faunce W. (1968): Social Problems of an Industrial Organisation, New York
Macraw Hill Book Company
French J.P. and R.D. Coaplon (1978): “Organisational Stress and Individual
Strain in A. Marrowed, The Failure of Success New York:
American Management Association
Herzberg, Frederick (1964): The Motivation Hygiene Concept and Problems of
Manpower Personnel Administration January-February
Invancevich J.M. A Study of the Impact of Management by Objective on
perceived Need Satisfaction Personnel Psychology Vol, 23, 1970
kalm Robert I. “Productivity and Job Satisfaction” Personnel Psychology Vol.
3, No., 13. autumn 1960,
Lickert, Rensis Quoted in Uzoma Ahamefule (1989) “Motivation and
Management Styles in Ejiofor PNO (Ed) Foundations of Business
Administration Onitsha: African Fep Publishers
Litterer, J.A. (1973): The Analysis of Organisations 2nd Edition, New York,
John Wiley and Sons Ltd
Herzberg, Federick (1964): The Motivation Hygiene Concept and Problems of
l
Manpower” Personnel Administration January-February
Maier, Norman Ra. Et al “Superior Subordinate Communication in
Management: American Management Association Research
Studies, No. 52 1961 Quoted in Uzoma op cit
Maslow, Abraham, (1970), Motivation and Personality 2nd Edition, New York,
Henper and Row Publishers
Mc-Clelland, David C. (1961) The Achieving Society: New York, Van
Nostrand Reinhold
McGregor, Douglas (1960): The Human Side of Enterprise, New York,
McGraw Hill Book Company.
Nwachukwu, C.C. (1988): Management Theory and practice, Onitsha, Africana
Feb Publishers Limited
Oloko, Olatunde, “Incentives and Records for Effect”, Management in Nigeria
Vol 15, No.5 June/July, 1977.
Olusanya, G.O. (2003); “Human Resources Management: The Value System
Approach, Paper Presented at the 6th Annual Eastern Zonal
Conference of the Institute of Personnel Management, March 28,
2003.
Ordiorne, G. “Politics of Implementing MBO”, Business Horizon June 1974
Smith Patricia C. “The Measurement of Satisfaction in Work” Quoted in
Nwachukwu op cit
li
CHAPTER THREE
RESEARCH METHODOLOGY
3.1 INTRODUCTION
lii
This chapter centres on the method that will be used to gather data for the
purpose of this study, the chapter will describe the research design, sources or
data, and population of the study. Other issues it will examine are reliabilities
and validity of the instrument for gathering.
3.2 RESEARCH DESIGN
Research is simply the blue print which the researcher intend to use
carryout the research task and for the purpose of this study, the survey research
method will be used so as to build the impact on job satisfaction and employee
performance.
3.3 SOURCES OF DATA
The data to be used for the research work will be obtained specifically
from two sources namely Primary and Secondary sources.
(a) Primary sources: Primary data are those sourced from personal
interview, observation and use of questionnaire
(b) Secondary sources: The secondary sources will involves the use of
existing but related data, which were produced by earlier
researchers for the purpose of contributing their quota to the
problem under study. The secondary data for this study include
journal, magazines, periodical, text books and internet.
3.4 INSTRUMENTS FOR DATA COLLECTION
liii
The instruments for data collection issued in this research include the
structured questionnaire, observation and interview.
3.5 POPULATION OF THE STUDY
The study population for the work includes all staff in the three selected
organization.
Table 3.1 Staff of the three Orgainisation
S/N NAMES OF ORGANIZATION NUMBER OF STAFF
1 NRC ENUGU 110
2 HOTEL PRESIDENTIAL 70
3 ENTRACO 70
TOTAL 250
Sources: Fieldheart 2010
3.6 PILOT SURVEY
In order to find possible faults which would be corrected before full
application of the research instrument to the population of the study the
researcher conducted a pilot study or survey with which the questionnaire was
pretested. The researcher administered few copies of questionnaire which were
carefully constructed to a randomly selected target sample for completion. At
the end of the exercise observation and criticism made were corrected.
3.7 RELIABILITY AND VALIDITY OF DATA AND TEST
INSTRUMENT
liv
3.7.1 Reliability of Data
The research observed from the pretested questionnaire that most of the
responses on the questionnaire were consistently, showing the research
instrument.
3.7.2 Validity of Measurement
The researcher was convinced that research instrument was valid after
pre-testing the questionnaire for the study and the responses on the
questionnaire showed that it measured and provided answers to achieve
the purpose of the research study.
3.8 DATA TREATMENT TECHNIQUE
The primary data collected for this study were first grouped according as
response and presented using percentage and tables for presentation aid and
analysis. Simple percentages were used in the presentation of some aspects of
the data collected. After the preliminary presentation and analysis chi-square
statistic was used to text the hypotheses formulated for this study. The
procedure for using chi-square (x2) analytical method is as show below.
X2 (oi - ei)
Ei
Where oi = observed frequency
Ei = expected frequency
O = ei = N = total frequency
lv
Degree of freedom (D.f) = (Number of rows - 1 x number of column - 1).
REFERENCE
Black, J.A. (1999) Methods and Issue in Research John Wiley and Sons Ltd
lvi
London
Osuala, E.C. (1987) Introduction to Research Methodology African FAP
Publishers Limited Nigeria, New Edition
CHAPTER FOUR
4.0 PRESENTATION AND ANALYSIS OF DATA
lvii
This chapter deals with the report and analysis of data obtained from the
research questionnaires. This analysis is solely based on the responses from the
questionnaire which are relevant to the objective of the study. The chapter will
also test the formulated hypotheses with the relevant sections of the questions to
find out whether such proposal will be accepted or rejected.
Table 4.1 Questionnaire Distribution
NAME OF
FIRMS
NUMBER
DISTRIBUTED
NUMBER
RETURNED
NOT
RETURNED
NRC ENUGU 110 105 5
HOTEL
PRESIDENTIAL
70 66 4
ENTRACO 70 64 6
TOTAL 250 235 15
SOURCE: FIELDWORK 2010
In the table above, 250 questionnaires were distributed, 235 was returned
and 15 was not returned.
4.2 ANALYSIS OF QUESTIONNAIRE
Table 4.2.1 Job Satisfaction and Output Organisations
lviii
RESPONSES NRC ENUGU HOTEL PRESIDENTIAL
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
YES 90 85 45 68 40 62 175 74
NO 5 5 10 15 10 16 25 11
NOT ALWAYS 10 10 11 17 14 22 35 15
TOTAL 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
The table above indicates that out of 235 respondents from these firms,
175 (74%) said that job satisfaction produce an increase of output, 25 (11%)
respondents said No, that job satisfaction does not produce an increase of output
while 35 (15%) said not always.
Table 4.2.2 General Working Condition
Organization
RESPONSES NRC ENUGU HOTEL PRESIDENTIAL
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
Satisfactory 100 95 50 76 55 86 205 87
Unsatisfactory 1 1 6 9 2 3 9 4
Just good 3 3 10 15 7 11 20 9
Bad 1 1 - - - - 1 -
Total 105 100 66 100 64 100 235 100
Refit shows that out of 235 respondent from these firms, 205(87%) said
that good working condition determines the level of satisfaction which an
lix
employee will have, 9(4%) said with good working condition, workers still
remain undsatisfactory, which 20(9%) said environment produce just good
satisfaction and 1said working condition has nothing to do with satisfaction.
Table 4.2.3 Effect of Increase in Salaries
RESPONSES NRC ENUGU HOTEL
PRESIDENTIAL
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
More productive 86 82 56 85 50 78 192 82
Just satisfied 14 13 8 12 10 16 32 14
Unchanged 5 5 2 3 4 6 11 4
TOTAL 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
From the above table, out of 235 respondents, 192 (82%) said the effect
of increase in salaries make them to be more productive, 32(14%) said just
satisfied which 11(14%) said that the increase of salaries has nothing to add that
they remain unchanged, when there is increase in salary.
Table 4.2.4 Gain of Employer from Job Satisfaction Organisation
RESPONSES NRC ENUGU HOTEL ENTRACO TOTAL
lx
PRESIDENTIAL
FREQ % FREQ % FREQ % FREQ %
YES 105 100 66 100 64 100 235 100
NO - - - - - - - -
TOTAL 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
From the table above, the researcher discovered that the entire staff of the
three organizations under study believed that their employers will gain a lot if
their staff are satisfy.
Table 4.2.5. Gain of the Employer Organisations
RESPONSES NRC ENUGU HOTEL PRESIDENTIAL
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
Increased performance
and productivity
60 57 30 45 40 63 130 55
Dedicated staff 10 10 5 8 4 6 19 8
Loyalty and obedience to
employer
20 19 5 8 6 9 31 14
Achievement of
established goal
15 14 26 25 14 22 55 23
Total 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
This table indicates that the staff of the organizations under research, out
of 235 respondents, 130(55%) said that employers’ gain through increased
lxi
performance and productivity, 19(8%) said dedicated staff, 31(14%) said that it
attract loyalty and obedience to employer while 55(23%) said that employers’
gain through achieving the organizational goal.
Table 4.2.6 Staff-Boss Relationship
RESPONSES NRC ENUGU HOTEL
PRESIDENTIAL
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
Cordial 90 86 55 83 60 94 205 87
Bossy 15 14 11 17 4 6 30 13
TOTAL 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
The table above indicates that out of 235 respondents from the firms
under study 205(87%) said that there is cordial relationship that exist between
the staff and Boss of these organizations while 30(13%) said that Bossy
relationship exist.
Table 4.2.7 Workers Opinion Above his Organisational Job
RESPONSES NRC ENUGU HOTEL ENTRACO TOTAL
lxii
PRESIDENTIAL
FREQ % FREQ % FREQ % FREQ %
It is boring and
monotorious
20 19 7 11 5 8 32 14
It is exciting 70 67 50 76 45 70 165 70
It is frustrating 6 6 3 4 5 8 14 6
It is depressing 5 5 4 6 6 9 15 6
I feel unconcern 4 4 2 3 3 5 9 4
Total 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
From the table above, it shows that out of 235 respondents from the study
organization, 32(14%) said that the content of the job is boring and monotorious
which result to dissatisfaction among workers but 165(70%) said that the
content of their job is exciting which produce job satisfaction, 14(6%)
respondents said that it has frustrating content which lead to lack of interest,
while 15(6%) said depressing and 9(4%) said that they feel unconcerned about
their job because they lack satisfaction on their job.
Table 4.2.8 Positive Communication Process
RESPONSES NRC ENUGU HOTEL ENTRACO TOTAL
lxiii
PRESIDENTIAL
FREQ % FREQ % FREQ % FREQ %
Yes 95 90 55 83 60 94 210 89
No 10 10 11 17 4 6 25 11
TOTAL 105 100 66 100 64 235 100
SOURCE: Fieldwork 2010
The table above shows that out of 235 respondents, 210(89%) said that
positive communication contributes to job satisfaction, while 25(11%) said No
that positive communication has nothing to contribute to job satisfaction.
Table 4.2.9 Promotion of Staff Organisation
RESPONSES NRC ENUGU HOTEL
PRESIDENTIAL
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
Agreed 98 93 60 90 59 92 217 92
Uncertain 2 2 3 5 1 2 6 3
Disagreed 5 5 3 5 4 6 12 5
TOTAL 105 100 66 100 64 00 235 100
SOURCE: Fieldwork 2010
The table above shows that out ot 235 respondents, 217(92%) said that
promotion of staff in their organization attract job satisfaction, 6(3%) said they
are uncertain about promotion being a tool for job satisfaction which 12(5%)
lxiv
respondents said that they disagreed that promotion contribute to job
satisfaction.
Table 4.2.10 Causes of Dissatisfaction Organisations
RESPONSES NRC ENUGU HOTEL
PRESIDENTIA
L
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
Poor pay package 50 48 20 30 30 47 100 43
Does not enhance any
social recognition
40 38 30 46 10 16 80 34
Unconducive
environment
15 14 16 24 24 37 55 23
TOTAL 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
The table above shows that out of 235 respondents of the firms under
study, 100(43%) said that what causes dissatisfaction is poor pay package,
80(34%) said that there is no social recognition while 55(23%) said lack of
conducive environment contribute the dissatisfaction among workers.
Table 4.2.11 Employees Involvement in Decision making Organisation
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RESPONSES NRC ENUGU HOTEL
PRESIDENTIAL
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
Yes 100 95 40 61 30 47 170 72
No 5 5 26 39 34 53 65 28
TOTAL 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
The table above indicates that out of 235 respondents, 170(72%) said that
employees’ involvement enhance job satisfaction among worker while 65(28%)
said No, it does not enhance job satisfaction.
Table 4.2.12 Position in your Organisations
RESPONSES NRC ENUGU HOTEL
PRESIDENTIAL
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
Junior worker 80 76 48 73 50 78 178 76
Middle/supervis
or
15 14 12 18 10 16 37 15
Senior level 10 10 6 9 4 6 20 9
TOTAL 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
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The table shows that in the firms under study out of 235 respondents
178(76%) are Junior workers, 37(15%) are middle/supervisors while 20(9%) are
senior level manager.
Table 4.2.13 Age Bracket (Organisation)
RESPONSES NRC ENUGU HOTEL
PRESIDENTIAL
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
20-30 30 29 40 61 30 47 100 43
31-40 40 38 10 15 18 28 68 29
41-50 25 24 9 14 10 16 44 18
51-60 10 9 7 10 6 9 23 10
Total 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
The table show that out of 235 respondents, 100(43%) fall within the
bracket of 20-30, 68(29%) fall within 31-40, while 44(18%) fall within 41-50
and 23(10%) fall within 51-60.
lxvii
Table 4.2.14 Educational Qualification
RESPONSES NRC ENUGU HOTEL
PRESIDENTIAL
ENTRACO TOTAL
FREQ % FREQ % FREQ % FREQ %
SSCE 10 10 30 45 20 31 60 26
OND 30 29 20 29 10 16 60 26
BSC/HND 60 57 10 16 30 47 100 42
MSC 5 4 6 10 4 6 15 6
TOTAL 105 100 66 100 64 100 235 100
SOURCE: Fieldwork 2010
The table above indicates that out of 235 respondents from firms under
study, 60(26%) have SSCE as qualification, 60(26%) have OND, 100(42%)
have B.Sc/HND as qualification while 15(6%) have M.Sc as qualification.
Table 4.3 HYPOTHESES TESTING
To test the hypothesis listed in chapter one (Ho1, Ho2, Ho3) the research
will use chi square distribution in all the test, the researcher will utilizes 95%
(0.05) significant level.
Decision Rule
If X2C > X2t, reject Ho accept H1
Testing of Hypothesis One
Ho: There is no relationship between promotion and job satisfaction
H1: There is relationship between promotion and job satisfaction
lxviii
Table 4.3.1 Table show the relationship between promotion and job
Satisfaction Promotion
Job
satis
fact
ion
Salary
increment
New
Office
Jos
security
Total
Increase in
output
95 54 40 189
Punctual at
work
10 12 24 46
Total 105 66 64 235
Expected frequency = Row total x Column total
Grand total
Cell1 = E1 189 x 105 = 84
235
Cell2 = E2 = 189 x 66 = 53
235
Cell3 = E3 = 189 x 64 = 51
235
Cell 4 = E4 = 46 x 105 = 20
235
lxix
Cell 5 = E5 = 46 x 66 = 13
235
Cell6 = E6 = 46 x 64 = 13
235
Chi-square (X2) calculation
O E O-E O-E2 O-E2
E
95 84 11 121 1
54 53 1 1 0
40 51 -11 121 2
10 20 -10 100 5
12 13 -1 1 0
24 13 11 121 9
17
Degree of freedom
df = (m – 1) (n – 1)
df = (3 – 1) (2 – 1)
df = 2 x 1 = 2
Test at 95% (0.05) significance
Calculated chi-square = x2c = 17
Tabulated chi-square = x2t = 5.991
lxx
Decision Rule
We reject the Ho and accept H1
Conclusion
Since x2c is 17 and x2t is 5.991. It follows that x2c > x2t and therefore we
reject the null hypothesis and accept the alternative hypothesis. This proves that
there is relationship between promotion and job satisfaction.
Hypothesis Two
Ho: There is no relationship between salary and job satisfaction
H1: There is relationship between salary and job satisfaction
Table 4.3.2 Table show the relationship between salary and job satisfaction
Salary
Job
satis
fact
ion
Productive Satisfied Committed Total
Satisfactory 90 40 50 180
Unsatisfactory 15 26 14 55
Total 105 66 64 235
Expected frequency = Row total x Column total
Grand total
Cell1 = E1 180 x 105 = 80
235
Cell2 = E2 = 180 x 66 = 50
235
lxxi
Cell3 = E3 = 180 x 64 = 49
235
Cell 4 = E4 = 55 x 105 = 25
235
Cell 5 = E5 = 55 x 66 = 15
235
Cell6 = E6 = 55 x 64 = 15
235
Chi-square (X2) calculation
O E O-E O-E2 O-E2
E
90 80 10 100 1
40 50 10 100 2
50 49 -1 1 0
15 25 10 100 4
26 15 11 121 8
14 15 1 1 0
15
lxxii
Degree of freedom
df = (m – 1) (n – 1)
df = (3 – 1) (2 – 1)
df = 2 x 1 = 2
df = 2
Test at 95% (0.05) significance level
Calculated chi-square = x2c = 15
Tabulated chi-square = x2t = 5.991
Decision Rule
We reject the Ho and accept H1
Conclusion
Since x2c is 15 and x2t is 5.991. It follows that x2c > x2t and therefore we
reject the null hypothesis and accept the alternative hypothesis. This proves that
there is relationship between salary and job satisfaction.
Hypothesis Three
Ho: Conducive environment does not contribute to job satisfaction
H1: Conducive environment contribute to job satisfaction
lxxiii
Table 4.3.3 Table show the Contribution of Conducive Environment on Job
Satisfaction Conducive Environment
Job
satis
fact
ion
Committed Satisfied productive Total
High 85 40 50 175
Low 20 26 14 60
Total 105 66 64 235
Expected frequency = Row total x Column total
Grand total
Cell1 = E1 = 175 x 105 = 78
235
Cell2 = E2 = 175 x 66 = 49
235
Cell3 = E3 = 175 x 64 = 47
235
Cell 4 = E4 = 60 x 105 = 17
235
Cell 5 = E5 = 60 x 64 = 16
235
lxxiv
Chi-square (X2) calculation
O E O-E O-E2 O-E2
E
85 78 7 49 1
40 49 9 81 2
50 47 3 9 0
20 27 7 49 1
26 17 9 81 5
14 16 2 4 0
9
Degree of freedom
df = (m – 1) (n – 1)
df = (3 – 1) (2 – 1)
df = 2 x 1 = 2
Test at 95% (0.05) significance
Calculated chi-square = x2c = 9
Tabulated chi-square = x2t = 5.991
Decision Rule
We reject the Ho and accept H1
lxxv
Conclusion
Since x2c is 9 and x2t is 5.991. It follows that x2c > x2t and therefore we reject
the null hypothesis and accept the alternative hypothesis. This proves that
conducive environment contribute to job satisfaction.
lxxvi
REFERENCES
Andrew, K.R. (1971), The Concept of Corporate Strategy, Home wood Illinois:
Don Jones Publishers
Fubara, Bedford A. (1989) “Government in Business” in Ejiofor PNO (Ed)
Foundations of Business Administration, Onitsha: Africana Feb
Publishers
Hussey D.E. (1981) in Fubara Ibid
Thune, S.S. and R.J. House “where Long Range Planning pays Off” Business
Horizons August, 1970
lxxvii
CHAPTER FIVE
SUMMARY OF FINDINGS, CONCLUSIONS AND
RECOMMENDATIONS
5.1 SUMMARY OF FINDINGS
1. Hypothesis one which state, that there is no relationship between
promotion and job satisfaction, was rejected. From the test of
hypothesis, it was showed that there is relationship between
promotion and job satisfaction. This therefore point to the fact
that most government owned enterprises use promotion to induce
job satisfaction among their employees.
2. Hypothesis two which states that conducive environment does not
contribute to job satisfaction, was not accepted, the test established
that conducive environment contribute to job satisfaction, which
applied that managers should made their working environment
conducive.
3. Hypothesis three which states, that salary does not has relationship
for job satisfaction which was rejected, because based on the
satisfied analysis research revealed that the calculated chi square
(x2c = 15) is greater that the table or critical chi-square (x2t =
5.911). This research shows that the Hull hypothesis (Ho) was
rejected and alternative hypothesis was accepted which state that
salary has relationship with job satisfaction.
lxxviii
Other findings are:
1. Employees in government owned enterprises are poorly motivated,
and this affect the level of their output.
2. They are faced with the problem of working under unconducive
environment, this cause most employee not to put in their best.
3. It was also discovered that staff- Boss relationship boost job
satisfaction.
4. Government don’t understand the impact of increase in salaries,
base on that they don’t see the need for increase in the salary.
5. As found in this study imployees are not fully involved in decision
making.
5.2 CONCLUSION
This study has been an attempt to examine the impact of job satisfaction
on organizational performance among government owned enterprises. Having
gone through the whole length of data analysis hypothesis testing and summary,
the following conclusions are hereby drawn most of the varied problem
encountered, have been unvested since most of these problem is as result of
poor management of the government owned enterprises. It look into
productivity will be increased.
5.3 RECOMMENDATION
If the benefits of job satisfaction are to be achieved and if it is to make its
fullest impact in increasing productivity in government owned enterprises like
lxxix
other firms that induce job satisfaction among their employees. It will be
necessary to make the following recommendation:
1. Government owned enterprises should see increase/prompt
payment as a motivation factor, that can increase productivity in
the organization.
2. Government should use employee inputs as a criteria for promotion
of workers, because most of these workers in government are idle.
3. Government should make the working environment conducive, so
that the workers, can see their working environment as their second
home.
4. Government owned enterprises should adopt management by
objective in which employee should be part in decision making of
the organization so that all hands will be on deck.
5. The structure of the organization should be restructure so that there
will be cordial relationship between the employees and employer.
6. Working conditions should be improved and sustainable to
enhance performance.
7. Management should be sensitive to the difference in needs and
values among the employee. Every individual is unique and will
respond differently to attempts to motive him or her.
8. Management should be sensitive to employees, complaints about
low pay and unchallenging work. Too often management delude
lxxx
them into thinking that employees dissatisfaction can be lessened
by painting work area piping in music, giving out a few more
words of praise, or giving people longer work breaks.
lxxxi
REFERENCES
Morse, Gardiner and Roger L. Martin “What Motivates you in your Jobs:
Money or Satisfaction” Management Talk, Sunday Champion
April 6, 2003.
Olusanya, G.O., “Human Resources Management. The Value System
Approach” Paper Presented at the 6th Annual Easter Zonal
Conference of the Institute of Personnel Management 28th March,
2003.
lxxxii
BIBLIOGRAPHY
Book
Abah, Norbert C. (1997) Personnel Administration, Enugu Joen Publisher
Carrol, Stephen J. and Henry Tosi (1973); Management By Objectives:
Application and Research, New York: Macmillian Company
Drucker, Peter (1964); The Practice of Management New York: Parper and
Row Publishers
Ejiofor, Pita N.O. 91981); Management in Nigeria Theories and Issues Onitsha:
Africana Feb Publishers Limited
Faunce, W. 91968): Social Problems of an Industrial Organisation, New York:
Macraw Hill Book Company
Litterer, J.A. (1973), The Analysis of Organisations 2nd Edition, New York,
John Wiley and Sons Ltd.
Maslow, Abraham (1970); Motivation and Personality 2nd WEdition, New
York: Harper and Row Publishers
Mc-Clelland, David C. (1961); The Achieving Society, New York: Douglas
(1960), The Human Side of Enterprises New York: Mcgraw Hill
Book Company.
Nwachukwu, C.C. (1988); Management, Theory and Practice, Onitsha: Africana
Feb Publishers Limted
Zikmund, William G. (1982), Exploring Marketing Research, Himsdale, and
Winston: CBS College Publishing
lxxxiii
Journals, Newspapers and Seminar Papers
Herzberg, Fredrick: “The Motivation Hygiene Concept and Problems of
Manpower” Personnel Administration, January-February 1964,
Psychology Vol. 23, 1970
Kahn, Robert L. “Productivity and Job Satisfaction” Personnel Psychology Vol.
3, Autumn 1960”
Livision, Henry, “Asinine Attitude Towards Motivation”, Harvard Business
Review Vol. 51, No. 1, January/February 1973
Morse, Gardiner and Roger L. Martin “What Motivates you in your Jobs:
Money or Satisfaction”, Management Talk, Sunday Champion
Newspaper April 6, 2003
Nasire el Rufai, “Statistics of Nigeria Airways”, The Sun Newspapers April
20,2003
Olusanya, G.O. “Human Resources Management, The Value system Approach”
Paper Present at the 6th Annual Easter Zonal Conference of the
Institute of Personnel Management 28th March, 2003
Oloko, Oladeinde, “Incentives and Records for Effect”, Management in Nigeria
Vol. 15, No. 5 june/July, 1977
Ordiorne, G. “Politics of Implementing MBO”, Business Horizon June 1974
Thune S.S. and R.J. House, “Where Long Range Planning Pays Off” Business
Horizons, August 1970
lxxxiv
APPENDIX
Department of Management University of Nigeria Enugu Campus 9th 2010
Dear Respondent,
I am a Postgraduate Student of Management Department in the above
named school. I am currently pursuing a Master Degree in Business
Administration (MBA Management). I am carrying out a research on “The
Impact of Job Satisfaction on Employee Performance in Government Owned
Enterprises”. The purpose of writing is to solicit your support and assistance by
supplying answers to the question in the attached questionnaire. Please answer
by ticking (√) against any option chosen and comment briefly in the spaces
provided. I, however wish to assure you that this is purely an academic exercise
and any information supplied will be treated with confidence and will be used
purely for academic purposes.
Thanks for your cooperation and assistance.
Yours faithfully,
OKEKE, CHIKAODILI P.
lxxxv
QUESTIONNAIRE 1. Name:…………………………………………………………………… 2. Does job satisfaction contributes to your organizational output?
(a) Yes ( ) (b) No ( )
3. How do you feel about your working environment?
(a) satisfactory ( ) (b) unsatisfactory ( )
(c) Just good ( ) (d) bad
4. What are the effect of increase in salary of your organisation?
(a) more productive ( ) (b) just satisfied ( )
(c) unchange
5. Is there any gain derive by the employer if job satisfaction exist?
(a) Yes ( ) (b) No ( )
6. What are these gains the employer has?
(a) dedicated staff ( )
(b) loyalty or obedient to employer ( )
(c) achievement of established goal ( )
7. What is the nature of relationship that exist between the managers and
subordinate in your organization?
(a) Cordial ( ) (b) Bossy ( )
8. What do you have to say about the content of your job?
(a) It is boring and monotonous ( )
(b) It is exciting ( )
lxxxvi
(c) It is frustrating
(d) It is depressing
9. Does positive communication contribute to job satisfaction?
(a) Yes ( ) (b) No ( )
10. Do promotion contribute to job satisfaction?
(a) Yes ( ) (b) No ( )
11. what are the causes of dissatisfaction in your organisation?
(a) poor pay package ( )
(b) Lack of social recognition ( )
(c) unconducive environment ( )
12. Do employees involve in decision making in your organisation?
(a) Yes ( ) (b) No ( )
13. What is your position in your organisation?
(a) Junior worker ( ) (b) middle supervisor ( )
(c) senior level ( )
14. Your Age bracket?
(a) 20 - 30 ( ) (b) 31 - 40 ( )
(c) 41 – 50 ( ) (d) 51 - 60 ( )
15. Academic qualification
(a) SSCE/GCE ( )
(b) OND ( )
(c) B.Sc/HND ( )
(d) M.Sc/MBA ( )
lxxxvii