1.1 Background of the Study
Organizational success is a measure by how well a company meet the individual objectives of its business plan. It lies in understanding how each element can support or restrain the other, on how to balance the dynamics between the elements to determine the most constructive solutions in any situation. To be successful, an organization must have a statement, a philosophy, and a series of programs and goals that focuses on the skills and talents of its employees. All of this must be managed with care and guidance so that the organization’s mission is successfully accomplished. Successful organizations need both inspirational leaders and sound managers. In order to achieve increased and sustainable results, organizations need to execute strategies and engage employees. Success is measured by analyzing where the organization is in regards to its goals and its mission. Organizations need to think about the future of their business and think of better ways to be successful. Organizations can either view their challenges as competition with others or as opportunities to push them closer to reaching their full potential. What route they choose to take determines if they are successful or not. One of the ways an organization can be successful is through extrinsic motivation.
Extrinsic Motivation is the most important matter for every organization public or private sector. For the success of any organization, motivation plays an important role. All organizations encounter the matter of motivation whether they are in the public or private sector (Chintallo &Mahadeo, 2013). According to Chaudhary & Sharma (2012), basically, the word motivation is derived from “Motive”. The meaning of “motive” is needs, wants, and the desire of the persons. Therefore, employee’s motivation means the process in which organizations inspire employees with the shape of rewards, bonus, etc. for achieving the organizational goals.
Today organizations can easily change their materials, needs, goods and services to other organizations, or to other countries. But the only one resource which is not easily exchangeable is human resources. Human resources are the very important or most competitive assets of any organization that cannot be exchangeable. Human resources or human assets mean the workers or the employees of any organization. So, motivation is the main factor that affects the human resources of the organization. The organization should be motivating their employees for the best performance or for achieving the organizational goals. In fact, motivation is the best tool for best performance. Today there are many discussions about motivation and the relationship of employee’s efficiency and the organizational efficiencies. Motivation will lead to the fact that workers or employees of the organization will seriously do his duties and responsibilities (Azarand Shafighi, 2013). Attractive Salaries or pays is also a Valuable tool, and plays an important role to increase employee’s performance and also increase the productivity of an organization (MUOGBOU.S, 2013).
According to Iqbal et al.(2012), Employee’s motivation and their ability collectively participate into employee’s performance and in their difficult tasks given by the manger to get maximum productivity. Now a days researcher has more concern with increase productivity, perfection and working ability. Employee’s needs and wants having more important in research history.
Motivation is one of the most important terms of psychology, and most managers who want maximum output and productivity, tackle this in a good way and motivate their employee in batter ways. And also, increase the cooperation between employee and mangers. It also encourages their responsibilities and also encourages participation of their subordinates, to take their responsibilities in batter ways and help to oversee other employees and monitor their performance. It motivates and gets their maximum interaction toward work and knowing employee’s working capacity and assign work according to their capacity to get maximum productivity (Ali,AbrarandHaider,2012).
Another way used to monitor employees’ performance is Performance Appraisal. By performance appraisal, we can monitor quality of performance of an employee. Employees play important roles in the customer perception about the company. Company spend huge amount of money to gain customer loyalty, but they forget the Employees motivation. Customers interact with the employees and also carry out company image in their mind through their behavior and attitude.
So, company should be moving their attention toward the employees’ motivation. In now era of globalization, companies face competition in the market. If a company could not successfully motivate their employees, the company wouldn’t exist in competitive environment of business (Ahmad, 2012). From the foregoing, therefore, the study seeks to examine the relationship between extrinsic motivation and organizational success in some selected oil and gas firms in Port Harcourt.
1.2 Statement of the Problem
The performance of organizations and employee motivation has been the focus of intensive research effort in recent times. How well an organization motivates its workers (Intrinsic or Extrinsic) in order to achieve their mission and vision is of paramount concern. Employers in both private and public organizations are becoming increasingly aware that motivations increase productivity. From the foregoing, and looking at today’s economic trend, it is evident that the pace of change in our business environment presents fresh challenges daily. Despite these, no research work has targeted to investigate the influence of extrinsic and intrinsic motivation on employee’s performance in Nigeria. Existing studies in Nigeria, aimed at the effect of motivators and hygiene on job performance by Jibowo (2007). Related studies on this subject was on influence of monetary incentives and its removal on performance (see Bergum and Lehr‘s, 2004). Of these studies in Nigeria, very few assessed the influence of Extrinsic and intrinsic motivation on employees’ performance on manufacturing sub-sector of the economy. Moreover, scanty studies have been done on motivation in Africa (Centres and Bugental, 2007). Daniel and Caryl1998 in Kenya, Akerele (2001), did not cover indeed, the areas that the objectives of this work covers. To this effect, this study attempts to examine the relationship between extrinsic motivation and organizational success in some selected oil and gas firms in Port Harcourt.
1.3 Objectives of the Study
The main objective of the study is to examine the relationship between extrinsic motivation and organizational success in some selected oil and gas firms in Port Harcourt. The specific objectives are as follows:
1. To examine the extent to which bonus enhances organizational success in some selected oil and gas firms in Port Harcourt.
2. To examine the extent to which salary/wages leads to organizational success in some selected oil and gas firms in Port Harcourt.
3. To examine the extent to which job security associates with organizational success in some selected oil and gas firms in Port Harcourt.
1.4 Significance of the Study
The study will serve as guide to the management of manufacturing firms in determining the best way of getting the best output from their employees who are presently demoralized in the face of the prevailing socio-economic hardship.
The study is also aimed at contributing to the literature in Motivation particularly with reference to employee performance in an organization. Also, this work on completion will broaden the essence for application of modern motivational techniques for both public and private sectors respectively.
In addition, this work after completion will aid and provide a guide to students who has interest to this study through the provision of related literature.
1.5 Research Questions
The following research questions are posed to guide the study:
1. To what extent does bonus enhance organizational success in some selected oil and gas firms in Port Harcourt?
2. To what extent does salary/wages lead to organizational success in some selected oil and gas firms in Port Harcourt?
3. To what extent does job security associate organizational success in some selected oil and gas firms in Port Harcourt?
1.6 Statement of Hypotheses
HO1: There is no significant relationship between bonus and organizational success in some selected oil and gas firms in Port Harcourt.
HO2: There is no significant relationship between salary/wages and organizational success in some selected oil and gas firms in Port Harcourt.
HO3: There is no significant relationship between job security and organizational success in some selected oil and gas firms in Port Harcourt.
1.7 Scope/Limitation of the Study
The study is delimited under the following heading: content scope, geographical scope and unit of analysis.
Content Scope: The content scope of this study involves investigation to ascertain the relationship between extrinsic motivation and organizational success. The dependent variable is organizational success, measured by profitability, goal achievement and customer satisfaction; while independent variable is extrinsic motivation measured by salary &Wages, incentives, job security and promotion.
Geographical Scope: This study is delimited to some selected oil and gas firms in Port Harcourt.
Unit of Analysis: The unit of analysis in this research involves the individuals at the time of carrying out the study. The scope of this study is to ascertain the relationship between extrinsic motivation and organizational success in some selected oil and gas firms in Port Harcourt.
The study is limited to the following limitations:
The level of frankness in response to questions by the respondents is quite doubtful.
Finance: Accessing fund for the research work was difficult, and this, to a great extent, limited the quality of research activity.
Time: The time allocated to the research work was not sufficient to give room for further intensive work on the field of study.
Organization Policy: Policies of the organization limited the level of information received. The personnel of the firms were not willing to give information, stating that it was against the organization’s policy.
1.8 Definition of Terms
Employees: Employees would refer generally to members of staff of an organization, both management and non-management and would be used interchangeably with workers.
Employees Needs: This refers to basic wants of employees, the desire to satisfy which activates their energy to satisfy and the fulfillment of which engender positive work attitudes. In the study, these needs are categorized into three: Existence, relatedness and growth needs.
Motivation: Motivation would be seen as that energizing force consciously applied through skillful appeal to employees basic needs to compel positive work attitude to achieve organizational goal.
Promotion: Elevation of an employee to better position in terms of greater responsibilities, enhanced authority, more prestige or status, greater skill, increased remuneration and fringe benefits.
Performance: The action or process of performing a task or function.
Work Attitude: This would refer to employee’s state of mind as expressed in concrete action, behavior or their manner of performing their duties.
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