CHAPTER ONE
INTRODUCTION
1.1           Background to the Study
The  constant  changes  occurring  in  the  world  today, especially  with  regards  to technology and innovation in services call for organization to reassess the manner  in which they handle their employees. The greatest interest of every organization is to achieve its goals with every change they encounter. The achievement of organizational goals to a greatest extent is dependent on various resources, and human resource is one major resource which is directly related to the achievement of an organizational goals. Hence, the performance of employees is considered very significant in the realization of organizational goals as well as its productivity. [Harmon ,2007]. The staff of any industry are key resources to that industry’s success. Human asset in the 21st century is considered the most important asset of any company (Hafiza, Shah, Jamsheed & Zaman, 2011). The human resource is the most vital of all resources among other factors of production and the human capital is what distinguishes one organization from the other (Maimuna & Rashad, 2013).
Employee performance is a function of ability, effort, skill, environment, and motivation.Motivation is the process that energizes, maintain, and direct behavior of an individual towards goals of an organization. This process regulates behavior by initiating it when it is needed or fitting and termination when the goal is reached. It is worth noting that, the presence of ability, skill and effort without motivation might not yield high level of performance. Hence motivation is essential for employee performance.
Motivation, as a process, started with a need in human being which creates a vacuum in a person. In an attempt to fill the vacuum an internal driving force is generated which starts and sustains a chain of action and reaction. It is at that point that the vacuum is also filled. With this background information, Nnabuife (2009), define motivation as the internal or external driving force that produces the willingness to perform an act to a conclusive end. This first aspect of motivation we choose to describe as internal motivation because the driving force comes from within an individual. The second aspect is external motivation, is applied by the organization. This is because employees are motivated to identify with organization in order to satisfy their varied and variegates needs and desires. Until they have been identified and properly satisfied, they will never cease to impede smooth running of the organizations. The ability of managers to motivate their subordinates comprises the soft skills of human resource management, which is now a dominant trend in global management (Stýblo, 2008).
According to a study conducted by Grant (2008), motivation imposes employee outcomes for instance performance and productivity. He also established that motivated employees are more oriented towards autonomy and are more self-driven in contrast to less motivated employees. Further, motivated employees are highly engaged and involved in their work and jobs and are more willing to take responsibilities (Kuvaas & Dysvik, 2009).
Since all organizations are concerned with what should be done to achieve sustained high levels of performance through people, it means giving close attention to how individuals can best be motivated through such means as incentives, rewards and importantly, the work they do and the organization context within which they carry out that work cannot be understated (Armstrong, 2010). Without increased motivation and morale of the employees, the organization risks losing valuable employees and will be at a disadvantage in attracting potential top talents (Dessler, 2003).
According to Hafiza et al. (2011), there are several factors that can affect employee performance like training and career development opportunities, working environment, employee relationship with manager, job security and company over all policies and procedures for rewarding employees (compensation. Among the factors that affect employee performance, motivation that comes with rewards is of utmost importance (Carraher, Gibbson & Buckley, 2006).
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 are to purpose get maximum productivity. Now a day’s researcher have more concerned with increase productivity, perfection and working ability. Employee’s needs and wants having more important in research history. Motivation is the one of the most important term of psychology and most of mangers who want maximum output and productivity. They tackle this is with a good way and motivate their employee in batter way. And also increase the cooperation between employee and mangers, it also encourage their responsibilities. And also encourage participation their sub ordinates, to take their responsibilities in batter way and also help to overseas other employee and monitor their performance. And motivate get their maximum interaction toward work and knowing employee’s working capacity and assign work according to their capacity to get maximum productivity (Ali, Abrar and Haider, 2012).