STAFF MOTIVATION AND PERFORMANCE APPRAISAL IN THE FINANCIAL SECTOR, PORT HARCOURT
DOWNLOAD THE COMPLETE PROJECT MATERIAL
Abstract
The primary purpose and objective of this study is to investigate and analyze performance evaluation and employee motivation in the financial sector in Portharcourt, Rivers state. Through the questionnaire, data were gathered. The sample consists of 75 Eco bank employees in Portharcourt. Due to time and resource limitations, a convenience sample was chosen to collect the data. Mean and standard deviation were utilized for analysis. Using reliability analysis, the data’s dependability was evaluated. The investigation reveals a positive association between the work performance, performance evaluation, and motivation of banking industry employees. This will aid other researchers in understanding their relationship in depth. This will aid and direct the firm in developing a performance evaluation system for its personnel and motivate them to achieve high levels of performance. This will help them improve their organization’s work performance.
DOWNLOAD THE COMPLETE PROJECT MATERIAL
Introduction
Introduction
Background of the study
Utilization of employee performance evaluation and motivation policies has expanded over time in the majority of Nigerian organizations. With the growth of technology and the emergence of new marketing concepts, it is crucial to remember that performance evaluation and motivation in modern corporate organizations cannot be overemphasized. Some consider it the “most essential part of organizational life” (Lawrie, 1990). Performance evaluation and incentive have become increasingly crucial to the human resource function of every for-profit firm. Effective performance evaluation and motivation can significantly contribute to the growth of a business.
According to the Macmillan English Dictionary for Advanced Learners (2002), “growth is an increase in a company’s or nation’s economic performance or the amount of money invested in them.” Any firm with a profit motive will seek development in terms of sales, profits, or expansion through performance. Americans have been taught that growth is “the way to success.” Organizational growth is impossible if employees’ performance is not evaluated for the purpose of improvement or reinforcement. According to Donegan (2002), “success will depend to a greater extent on the organization’s capacity to evaluate progress and hold accountable people responsible for carrying out specific duties.” This is precisely what performance evaluation and motivator tactics aim to accomplish. It seeks to evaluate the performance of the workforce against predetermined standards and, if necessary, to take corrective action. In many firms, performance evaluation and motivation are used to administer pay and salaries after worker feedback has been provided. The evaluation also assists management in identifying the strengths and weaknesses of each employee. This will result in training and other corrective steps for inefficiencies.
Performance evaluation and motivating tactics can be considered as an overall indicator of the effectiveness of a business. Individual staff members achieve organizational goals through their efforts. Teaching employees how to do their tasks and evaluating their performance are strategic functions of human resources and should not be consigned to the background. “Today, maximizing performance is a top priority for the majority of organizations,” Mathis et al (2004). Consequently, it is evident that performance evaluation and motivating tactics as a management tool are crucial to the success of an organization. If employee performance is enhanced, the organization achieves its objectives more effectively. In contrast, if employee performance is not enhanced, it has a negative impact on performance, and thus, organizational productivity.
Motivational strategies unquestionably meet the demands of employees, who in turn compensate the company via their diligence. Identifying employee requirements and meeting them is the most fundamental method for a company to acquire their commitment (Chughtai, 2008). With a motivated workforce, an employee’s performance can be reflected in organizational effectiveness, allowing workers to concentrate on the growth of their work in terms of behavior, skills and knowledge, ethics, and efficiency. It has been observed that motivation tends to invigorate the personnel, leading to their anticipated job performance (Byham and Moyer, 2005). Again, the motivating process increases or influences the job performance and other work outcomes of an individual, which can lead to the employees’ highest levels of performance and job satisfaction (Strain, 1995 and Chughtai, 2008). Numerous firms are in search of methods to encourage their personnel in order to boost their overall production. In today’s increasingly competitive market, firms must have well-planned and predictable procedures for controlling and developing employee performance. However, improper use or application of the technique employed to inspire employees may have a negative impact on their morale. This has become a significant challenge for most organizations, especially those in the service business. The service industry is one of the largest contributors to the country’s Gross Domestic Product (GDP) and socioeconomic growth. This has necessitated the implementation of procedures to ensure that the services provided to clients are of a high grade. Consumers’ expectations will be exceeded by a staff that is highly driven, and this will serve to attract and retain customers in order to achieve the ultimate goal (profitability). This is not the case, however, with the majority of organizations, including the financial sector. It may be argued that no employee would oppose better pay or a salary increase because it would allow him or her to accomplish a variety of activities, such as paying utility bills, school fees, buying clothes, automobiles, and land, etc. Because salaries in Nigeria are often low, some companies erroneously believe that if they increase their employees’ pay, everything else will naturally follow. Abraham Maslow, the pioneer of motivation, asserted in 1943 that “unmet needs act as motivation for individuals and groups.” He identified five (5) hierarchies of needs, including physiological, safety, social, esteem, and self-actualization requirements. And when a need is satisfied, according to him, it no longer serves as incentive; the next need is what matters. The study aims to analyze performance evaluation and employee motivation in the financial industry in Portharcourt, Rivers State.
1.2 Conceptual framework
On the basis of a survey of the literature, a conceptual framework has been established. Following is a discussion of the supporting literature for the developed conceptual framework; staff motivation is the dependent variable, whereas performance appraisal and work happiness are independent factors.
They defined staff motivation as “the individual’s desire to exhibit the behavior and indicates willingness to exert effort.” There are two types of motivation: extrinsic and intrinsic. Motivation is derived from motive, which refers to any concept, need, or feeling that prompts an individual to perform. Whatever the nature of man’s behavior, there is always an underlying cause. The stimulus depends on the motivation of the person concerned. Studying a person’s needs and wants can reveal their motivation. There is no universal theory that can explain the causes that influence the motivations that govern man’s behavior at any given moment. In general, the various motives function at various periods and influence the behaviors of various individuals. Motivation is the study of the underlying causes of different types of behavior in individuals. Young (2000) also described motivation as the internal drive that determines the level, direction, and persistence of an individual’s effort at work. According to Halepota (2005), motivation is “a person’s active participation and dedication to achieving the desired outcomes.”
performance appraisal:
Employee or staff appraisal can be defined as the practice of observing and discussing current job performance with the goal of enhancing that level of performance (Keith, 1996). It refers to the comparison of an employee’s actual performance versus predetermined goals or against predicted output. Performance evaluation is a central component of human resource management and has remained a significant research issue among organizational scholars. Performance management includes the evaluation of past performance and the creation of future targets (McKenna and Beech, 2002). Many managers consider that the most significant personnel/human resource outcome is the contribution of employees to the organization’s objectives (Heneman et al, 1983). This contribution is known as employee performance, which refers to how effectively an employee fulfills job tasks. An evaluation of the employee is required at the time of his hiring. Organizations provide employees with a detailed job description outlining the duties expected of them during their employment. The appraisal process begins with the establishment of performance goals for the employee, against which actual performance is measured during assessments. Nzuve and Singh (1992) believe that continuous evaluation of employees during their employment is highly desirable and beneficial. Annual staff evaluations are frequently one of the most difficult tasks a manager may face. There are a variety of techniques to appraisal, and the system chosen will reflect the organization’s style and culture. Many writers on performance appraisal acknowledge the age-old challenge of how to combine corporate concerns for control and compliance on the one hand with employee expectations of professional progress and personal aspirations on the other (Hendry et al., 2000). In banking institutions, yearly evaluations occur at the end of the year and are often conducted by the immediate supervisor. However, the marketing team of the bank is evaluated monthly by their immediate supervisor. Internal records and the employee himself, via an interview, serve as sources of information for evaluation.
Occupational satisfaction:
Job satisfaction has been defined as a pleasant emotional state coming from the pleasure a worker obtains from his or her work (Locke, 1976; Spector, 1997) and as an employee’s effective and cognitive attitudes toward many parts of his or her work (Spector, 1997). One measure for determining the health of an organization is job satisfaction. Effective service delivery is highly dependent on human resources, and the job happiness of employees will affect the quality of services they render. Situational theories imply that the interaction of variables including task characteristics, organizational features, and individual attributes affects job satisfaction (Hoy and Miskel, 1996). Before beginning employment, the individual examines the situational qualities, whereas situational happenings are reviewed later. ir Organizations attempt to increase employee satisfaction because employee satisfaction affects the firm’s level of performance and the industry’s overall competitiveness. Organizations implement award programs, promotions, and staff training programs as a result of performance evaluation in order to incentivize employees to work more. These initiatives play a role in enhancing employee satisfaction when they are implemented effectively.
1.3 Statement of the problem
Low productivity is typically the result of a lack of performance evaluation, and the absence of performance evaluation and motivation tactics leads to low job performance.
Labour unions are always concerned with the well-being of its members at work and in their home life so that they can give their all at work. However, giving promotions or wage increases on the basis of seniority can have a detrimental impact on performance evaluation, employee motivation, and management.
Every corporate organization’s primary objective is to fulfill its objectives, goals, or targets successfully. The organization’s goals will be in vain if the effort and performance of its personnel are not closely monitored to ensure their achievement. Focusing on performance evaluation is important for achieving goals and objectives successfully. Performance evaluation and employee motivation should be tied to an attractive incentive, allowing workers to exhibit greater productivity.
Most businesses in a competitive market fail because their employees are not encouraged to work more, resulting in subpar performance. Managers and employees are the lifeblood of any corporation. If management does not engage heavily in the wellbeing of their employees, issues will arise, leading to industrial strike actions, low dedication to work, low morale, and low product or service output.
Some businesses implement attractive appraisal systems to encourage their employees to work hard in order to be acknowledged and rewarded. Once employees are motivated, their performance corresponds to increased productivity. Employees combine their abilities, expertise, and efforts to achieve optimum output. Consequently, the purpose of this study is to determine the role of performance evaluation and motivation in the financial sector.
1.4 The purpose of the study
The purpose of this study is to investigate performance evaluation and employee motivation in the banking sector. The particular aims are;
Determine the elements that excite and demotivate financial industry employees
Determine the extent to which staff performance evaluation influences financial sector organizational performance.
To explore the elements influencing diverse incentive techniques in the financial sector 1.5
The study’s research questions are:
What variables excite and demotivate employees in the financial sector?
How has the performance evaluation of employees affected the organizational performance in the banking sector?
What elements influence diverse finance sector incentive strategies?
1.6 Research Hypotheses
The researcher formulated the following research hypotheses for the successful completion of the study:
There are no factors that motivate and de-motivate financial sector employees.
There are elements that motivate and de-motivate financial sector employees
H02: There is no evidence that employee performance evaluations affect organizational performance in the financial sector.
H2: the performance evaluation of employees has an impact on organizational performance in the financial sector.
H03: there are no factors influencing the variety of financial sector incentive strategies.
H3: a variety of elements influence motivational techniques in the financial industry
1.7 Importance of the research
The outcomes of the study will be advantageous to financial sector employees in Nigeria, particularly in Portharcourt. It will also assist managers in other firms in establishing goals and objectives for their employees to achieve through effective supervision by line managers. The study will assist in identifying and enhancing the training and development needs of employees, as well as in inspiring personnel to successfully contribute to the achievement of corporate goals and objectives. This study will serve as a resource for other academics who wish to conduct comparable research on the aforementioned topic. Lastly, the study will contribute to the current body of literature and expertise in this sector and serve as a foundation for future research.
1.8 Scope of the study
The scope of this research is performance evaluation and employee motivation in the financial sector in Portharcourt, Rivers State. The investigation would be restricted to Eco bank in Port Harcourt.
1.9 Restrictions of this study
Financial limitation – Inadequate funds tend to impede the researcher’s efficiency in locating relevant resources, literature, or information and in collecting data (internet, questionnaire and interview).
Due to time constraints, the researcher will conduct this study alongside other academic duties. This will consequently reduce the time spent conducting research.
1.10 Definition of operational terms
A formal evaluation, often conducted through an interview, of an employee’s performance over a certain period.
Efficiency is the level of performance that represents a process that employs the fewest inputs to produce the most outputs. Efficiency refers to the utilization of all inputs, including personal time and energy, in the production of a specific output.
Exploitation is the process of using a company’s natural resources for profit maximization, such as advertisements, event coverage, and event publicity.
Management is the efficient and optimal utilization of human and material resources to accomplish a goal.
A person who is dependable and capable of carrying out the different responsibilities set by the organization.
Evaluation is the methodical judgment of a subject’s merit, worth, and relevance in accordance with a set of criteria and standards. It can assist an organization, program, project, or other intervention or initiative in assessing any goal, realizable concept/proposal, or alternative in order to aid in decision-making, or in determining the degree of achievement or value in relation to the goal and objectives and outcomes of any such completed action.
Staff motivation is defined as the daily excitement, energy, devotion, and innovation that an employee gives to a business. The word motivation comes from the Latin word “movere,” which literally means “to move.”
1.11 Organization of the study
This study project is divided into five chapters for simple comprehension:
The first chapter is devoted to the introduction, which includes the (overview, of the study), historical context, statement of the problem, objectives of the study, research question, research hypotheses, significance of the study, scope of the study, limitations of the study, definition of terms, and historical context of the study. The second chapter focuses on the theoretical framework upon which the investigation is based, therefore the literature review. The third chapter discusses the study’s research strategy and methodology. Chapter four focuses on data collection, analysis, and findings presentation. The study’s summary, conclusion, and suggestions are presented in Chapter 5.
STAFF MOTIVATION AND PERFORMANCE APPRAISAL IN THE FINANCIAL SECTOR, PORT HARCOURT
DOWNLOAD THE COMPLETE PROJECT MATERIAL
Need help with a related project topic or New topic? Send Us Your Topic