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THE ROLE OF EMPLOYEE MOTIVATION IN ENHANCING
ORGANISATIONAL PERFORMANCE: THE CASE OF
VODACOM COMPANY
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THE ROLE OF EMPLOYEE MOTIVATION IN ENHANCING
ORGANISATIONAL PERFORMANCE: THE CASE OF
VODACOM COMPANY
By
Erick Charles Marupa
A Research Proposal Submitted in Partial Fulfilment of the Requirements for
the Degree of Master of Business Administration in Corporate Management
(MBA-CM) of Mzumbe University – Dar- Es- Salaam Campus.
2014
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CERTIFICATION
We, the undersigned, certify that we have read and hereby recommend for
acceptance by the Mzumbe University, a Dissertation entitled: The Role of
Employee motivation in Enhancing Organizational Performance in partial
fulfillment of the requirements for award of the degree of Master of Business
Administration in Corporate Management (MBA - CM)
of Mzumbe University.
_________________________
Major Supervisor
_________________________
Internal Examiner
Accepted for the Board of ………………………
___________________________________________
CHAIRPERSON, FACULTY/DIRECTORATEBOAR
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DECLARATION
AND
COPYRIGHT
I, Erick Marupa declare that in my own work. It has not been and will not be
presented for any other course of study. I confirm that appropriate credit has been
given where reference has made to the work of others.
©2014
No part of this dissertation may be reproduced, stored in any retrieval system, or
transmitted in any form or by any means without prior written permission by the
author or University.
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ACKNOWLEDGEMENT
This research is the result of the support, goodwill of a number of people, who all
deserve my sincere thanks. First and foremost, I offer my deep, sincere and painfully
inadequate thanks to my supervisor Dr Andrew Sulle for his inspiration, guidance,
enthusiasm and almost infinite patience. I will be forever influenced by incisive wit,
tenacity and clarity of thought, and I count myself most fortunate to have afforded
both his instruction and his friendship.
Heartfelt thanks to my friend and colleague Mr Joseph for his indispensable
optimism, challenging discussion, pragmatic advice and perpetual good humor.
Similarly, the academic staffs of Mzumbe University of Tanzania particularly
Masters of Business Administration Department for their counsel and claiming
influence cannot go unrecognized. Thanks for helping me across the line. Live long
and prosper.
Last but not least, I would wish to express very special thanks to my family, whose
forbearance and encouragement can never be forgotten, especially my beloved
parents Mr & Mrs Charles Marupa for enduring more than they could have possibly
anticipated yet not once wavering in their approbation.
“Thank You”.
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ABSTRACT
A study on the role of employee motivations in enhancing organisational
performance was done at Kinondoni Municipal Council in Dar-Es-Salaam City; the
general objective was to assess the role of employee motivations in enhancing
organisational performance. The specific objectives were; to determine the effect of
employee motivation on organizational performance; to identify types of motivators
for telecommunication employees; and, to determine the best employee motivational
techniques for organisational performance.
The study used a case study design at Vodacom Tanzania Limited at head office Dar-es-
Salaam within which valuable information was gathered. Questionnaire technique of data
collection was used in this study whereby, paper and pen approach was used for clear
interpretations of concepts that were seen to be complicated for respondents to understand.
Data analysis was done through the aid of computer software Excel and Statistical
Package for Social Scientist (SPSS) based on the research objectives.
Generally, the current study revealed that, respondents surveyed in this study agreed
that, employee motivations real determine organisational performance, employee
motivations in enhancing organisational performance in the telecom companies have
satisfactory results, the leading types of motivators identified to be good salary,
promotion and career development, the effectiveness of employee’s motivators used
by telecom companies are satisfactory, the leading techniques used to motivate
employees were identified to be staff training, medical and mobile allowances, the
effectiveness of the current employee motivational techniques were found to be
satisfactory.
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TABLE OF CONTENTS
CERTIFICATION ...................................................................................................... i
DECLARATION ........................................................................................................ ii
ACKNOWLEDGEMENT ........................................................................................ iii
ABSTRACT ............................................................................................................... iv
TABLE OF CONTENTS ........................................................................................... v
CHAPTER ONE ...................................................................................................... 41
1.1 Background Information ...................................................................................... 41
1.2 Statement of the Problem ................................................................................... 106
1.3 Study Objectives ................................................................................................ 117
1.3.1 General objective ............................................................................................ 118
1.3.2 Specific Objectives.......................................................................................... 118
1.4 Research Questions ............................................................................................ 128
1.5 Significance of the Study ................................................................................... 128
1.6 Limitation of the study ....................................................................................... 129
1.7 Scope of the study .............................................................................................. 139
1.8 Definition of Concepts ....................................................................................... 139
1.8.1 Telecommunication ......................................................................................... 139
1.8.2 Motivation ..................................................................................................... 1310
1.8.3 Employee Motivation .................................................................................... 1410
1.8.4 Organisatinal Performance ............................................................................ 1410
CHAPTER TWO ................................................................................................. 1511
LITERATURE REVIEW .................................................................................... 1511
2.1 Introduction .................................................................................................. 1511
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2.2 Theoretical Review ....................................................................................... 1511
2.2.1 Motivation Theories .................................................................................. 1511
2.2.1.1 Maslow’s hierarchy of needs theory ...................................................... 1612
2.2.1.2 Herzberg’s Motivation Theory ............................................................... 1713
2.2.1.3 Fifty-Fifty Theory ................................................................................... 1814
2.3 Empirical Review ............................................................................................. 1915
2.3.1 Employee Motivation on Organizational Performance ............................. 1915
2.3.2 Types of Motivators for Telecommunication Employees ......................... 2116
2.3.2.1Financial Motivation ............................................................................... 2117
2.3.2.2Non-Financial Motivation ....................................................................... 2117
2.3.3.Employee Motivational Techniques .......................................................... 2218
2.4 Conceptual Framework ................................................................................ 2521
Figure 1.1: The Conceptual Framework for the study ........................................... 2621
2.5 Knowledge Gap ............................................................................................ 2622
CHAPTER THREE ............................................................................................. 2723
RESEARCH METHODOLOGY ....................................................................... 2723
3.1 Introduction ............................................................................................. 2723
3.2 Rationale .................................................................................................. 2723
3.3 Research design ....................................................................................... 2823
3.4 Area of the study .......................................................................................... 2824
3.4.1 VODACOM Tanzania Limited ................................................................. 2824
3.4.2 VODACOM Tanzania Limited Profile................................................ 2924
3.6 Sampling Design ......................................................................................... 3026
3.7 Sampling and Sample size .......................................................................... 3126
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3.7.1 Purposive Sampling ...................................................................................... 3126
3.8 Methods of Data Collection ........................................................................ 3127
3.8.1 Primary Sources of Data ...................................................................... 3127
3.8.2 Secondary Sources of Data .................................................................. 3227
3.9 Tool for data collection .................................................................................... 3227
3.9.1 Questionnaire ...................................................................................... 3228
3.10 Data Analysis and Interpretation ................................................................. 3328
3.11 Ethical Consideration .................................................................................. 3328
CHAPTER FOUR ................................................................................................ 3430
DATA PRESENTATION ANALYSIS AND DISCUSSION ........................... 3430
4.1 Introduction ...................................................................................................... 3530
4.2 Characteristics of Respondents ........................................................................ 3530
4.2.1 Gender ....................................................................................................... 3530
4.2.2 Age ............................................................................................................ 3631
4.2.3 Marital Status ............................................................................................ 3732
4.2.4 Level of Education .................................................................................... 3833
4.2.5 Occupational Status ............................................................................. 4034
4.3 The Effect of Employee Motivation on Organizational Performance ............. 4136
4.3.1 The Results of Employee Motivation in Enhancing Organizational
Performance in the Respective Organization ..................................................... 4338
4.4 Types of Motivators for Telecommunication Employees ................................ 4640
4.5 Effectiveness of Types of Motivators .............................................................. 5044
4.6 Techniques Used to Motivate Employees in the Respective Company ........... 5246
4.7 Effectiveness of the Current Employee Motivational Techniques .................. 5650
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CHAPTER FIVE .................................................................................................. 6054
SUMMARY, CONCLUSION ............................................................................. 6054
5.1 Introduction ...................................................................................................... 6054
5.2 Summary of the study ................................................................................... 6054
5.3 Conclusion .................................................................................................... 6155
REFERENCE ................................................................................................... 6357
CERTIFICATION ...................................................................................................... i
CHAPTER ONE ........................................................................................................ 1
Figure 1.1: The Conceptual Framework for the study ......................................... 21
2.5 Knowledge Gap .................................................................................................. 22
CHAPTER THREE ................................................................................................. 23
RESEARCH METHODOLOGY ........................................................................... 23
3.1 Introduction ................................................................................................... 23
3.2 Rationale ........................................................................................................ 23
3.4 Area of the study ................................................................................................ 24
3.6 Sampling Design ............................................................................................ 26
3.7.1 Purposive Sampling ........................................................................................ 26
3.8 Methods of Data Collection .......................................................................... 27
3.10 Data Analysis and Interpretation ................................................................ 28
3.11 Ethical Consideration ................................................................................... 28
CHAPTER FOUR .................................................................................................... 30
DATA PRESENTATION ANALYSIS AND DISCUSSION ............................... 30
4.1 Introduction ........................................................................................................ 30
4.2 Characteristics of Respondents ......................................................................... 30
4.2.1 Gender .......................................................................................................... 30
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5.1 Introduction ........................................................................................................ 54
LIST OF TABLE
CERTIFICATION ......................................................................................................................... iii
DECLARATION ....................................................................................................................... iiiiii
ACKNOWLEDGEMENT ........................................................................................................ iiiiiiiii
ABSTRACT ........................................................................................................................... iviviv
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TABLE OF CONTENTS ............................................................................................................. vvv
CHAPTER ONE ...................................................................................................................... 411
1.1 Background Information ................................................................................................ 411
1.2 Statement of the Problem ........................................................................................... 1066
1.3 Study Objectives .......................................................................................................... 1177
1.3.1 General objective ...................................................................................................... 1188
1.3.2 Specific Objectives .................................................................................................... 1188
1.4 Research Questions ..................................................................................................... 1288
1.5 Significance of the Study .............................................................................................. 1288
1.6 Limitation of the study ................................................................................................. 1299
1.7 Scope of the study ....................................................................................................... 1399
1.8 Definition of Concepts ................................................................................................. 1399
1.8.1 Telecommunication .................................................................................................. 1399
1.8.2 Motivation ............................................................................................................. 131010
1.8.3 Employee Motivation ............................................................................................ 141010
1.8.4 Organisatinal Performance ................................................................................... 141010
CHAPTER TWO ............................................................................................................... 151111
LITERATURE REVIEW ...................................................................................................... 151111
2.1 Introduction ............................................................................................................. 151111
2.2 Theoretical Review ................................................................................................... 151111
2.2.1 Motivation Theories .............................................................................................. 151111
2.2.1.1 Maslow’s hierarchy of needs theory .................................................................. 161212
2.2.1.2 Herzberg’s Motivation Theory ........................................................................... 171313
2.2.1.3 Fifty-Fifty Theory ................................................................................................ 181414
2.3 Empirical Review ...................................................................................................... 191515
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2.3.1 Employee Motivation on Organizational Performance ........................................ 191515
2.3.2 Types of Motivators for Telecommunication Employees ..................................... 211616
2.3.2.1Financial Motivation ........................................................................................... 211717
2.3.2.2Non-Financial Motivation ................................................................................... 211717
2.3.3.Employee Motivational Techniques ..................................................................... 221818
2.4 Conceptual Framework ............................................................................................ 252121
Figure 1.1: The Conceptual Framework for the study ................................................... 262121
2.5 Knowledge Gap ........................................................................................................ 262222
CHAPTER THREE ............................................................................................................. 272323
RESEARCH METHODOLOGY ........................................................................................... 272323
3.1 .......................................................................................................................... Introduction
....................................................................................................................................... 272323
3.2 ............................................................................................................................... Rationale
....................................................................................................................................... 272323
3.3 .................................................................................................................... Research design
....................................................................................................................................... 282323
3.4 Area of the study ...................................................................................................... 282424
3.4.1 VODACOM Tanzania Limited ................................................................................ 282424
3.4.2 .................................................................................. VODACOM Tanzania Limited Profile
....................................................................................................................................... 292424
3.6 .................................................................................................................... Sampling Design
....................................................................................................................................... 302626
3.7 ..................................................................................................... Sampling and Sample size
....................................................................................................................................... 312626
3.7.1 Purposive Sampling ............................................................................................... 312626
3.8 .................................................................................................. Methods of Data Collection
....................................................................................................................................... 312727
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3.8.1 ................................................................................................... Primary Sources of Data312727
3.8.2 ............................................................................................... Secondary Sources of Data
....................................................................................................................................... 322727
3.9 Tool for data collection ............................................................................................ 322727
3.9.1 ................................................................................................................... Questionnaire
....................................................................................................................................... 322828
3.10 ........................................................................................ Data Analysis and Interpretation
....................................................................................................................................... 332828
3.11 .......................................................................................................... Ethical Consideration
....................................................................................................................................... 332828
CHAPTER FOUR .............................................................................................................. 343030
DATA PRESENTATION ANALYSIS AND DISCUSSION ....................................................... 343030
4.1 Introduction ............................................................................................................. 353030
4.2 Characteristics of Respondents................................................................................ 353030
4.2.1 Gender .................................................................................................................. 353030
Table: 4.2.1: Gender of respondents .................................................................. 353030
4.2.2 Age ........................................................................................................ 363131
Table: 4.2.2: Age of respondents ....................................................................... 363131
4.2.3 Marital Status ........................................................................................ 373232
Table: 4.2.3: Marital Status of respondents ....................................................... 383333
4.2.4 Level of Education ................................................................................ 383333
Table: 4.2.4: Level of Education of respondents ............................................... 393434
4.2.5 Occupational Status ......................................................................... 403434
Table: 4.2.5: Occupational Status * Companies’ Name Cross tabulation ......... 403535
4.3 The Effect of Employee Motivation on Organizational Performance ......... 413636
Table: 4.3.6: Employee motivation determine organizational Performance...... 413636
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4.3.1 The Results of Employee Motivation in Enhancing Organizational
Performance in the Respective Organization ................................................. 433838
performance * Companies’ Name Cross tabulation........................................... 443838
Table: 4.3.7: Result of employee motivation in enhancing organisational
performance * Companies’ Name Cross tabulation........................................... 443838
4.4 Types of Motivators for Telecommunication Employees ............................ 464040
tabulation ............................................................................................................ 474141
Table: 4.4.8: Types of motivators for telecom employees * Companies’ Name Cross
tabulation ............................................................................................................ 474141
4.5 Effectiveness of Types of Motivators .......................................................... 504444
Table: 4.5.9: Effectiveness of Motivators .......................................................... 504444
4.6 Techniques Used to Motivate Employees in the Respective Company ....... 524646
Companies’ Name Cross tabulation ................................................................... 534747
Table: 4.6.10: Techniques used to motivate employees in the organisation *
Companies’ Name Cross tabulation ................................................................... 534747
4.7 Effectiveness of the Current Employee Motivational Techniques .............. 565050
Table: 4.7.11: Effectiveness of motivational techniques within the organisation
............................................................................................................................ 565050
CHAPTER FIVE ................................................................................................ 605454
SUMMARY, CONCLUSION ........................................................................... 605454
5.1 Introduction .................................................................................................. 605454
5.2 Summary of the study ............................................................................... 605454
5.3 Conclusion ................................................................................................ 615555
REFERENCE ................................................................................................. 635757
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LIST OF FIGURE
Figure 1.1: The Conceptual Framework for the study ....................................... 262121
2.5 Knowledge Gap ............................................................................................ 262221
CHAPTER THREE ............................................................................................ 272323
RESEARCH METHODOLOGY ....................................................................... 272323
3.1 Introduction ............................................................................................. 272323
3.2 Rationale ................................................................................................. 272323
3.4 Area of the study .......................................................................................... 282424
3.6 Sampling Design ..................................................................................... 302626
3.7.1 Purposive Sampling .................................................................................. 312626
3.8 Methods of Data Collection .................................................................... 312727
3.10 Data Analysis and Interpretation ............................................................. 332828
3.11 Ethical Consideration .............................................................................. 332828
CHAPTER FOUR .............................................................................................. 343029
DATA PRESENTATION ANALYSIS AND DISCUSSION ........................... 343029
4.1 Introduction .................................................................................................. 353030
4.2 Characteristics of Respondents .................................................................... 353030
4.2.1 Gender ....................................................................................................... 353030
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5.1 Introduction .................................................................................................. 605454
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THE ROLE OF EMPLOYEE MOTIVATION IN ENHANCING
ORGANISATIONAL PERFORMANCE: THE CASE OF VODACOM
COMPANY
By
Erick Charles Marupa
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A Research Proposal Submitted in Partial Fulfilment of the Requirements for
the Degree of Master of Business Administration in Corporate Management
(MBA-CM) of Mzumbe University – Dar- Es- Salaam Campus.
2014
ABSTRACT
A study on the role of employee motivations in enhancing organisational
performance was done at Kinondoni Municipal Council in Dar-Es-Salaam City;
the general objective was to assess the role of employee motivations in
enhancing organisational performance. The specific objectives were; to
determine the effect of employee motivation on organizational performance; to
identify types of motivators for telecommunication employees; and, to
determine the best employee motivational techniques for organisational
performance.
The study used a case study design at Vodacom Tanzania Limited at head office
Dar-es-Salaam within which valuable information was gathered. Questionnaire
technique of data collection was used in this study whereby, paper and pen
approach was used for clear interpretations of concepts that were seen to be
complicated for respondents to understand. Data analysis was done through the
aid of computer software Excel and Statistical Package for Social Scientist
(SPSS) based on the research objectives.
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Generally, the current study revealed that, respondents surveyed in this study
agreed that, employee motivations real determine organisational performance,
employee motivations in enhancing organisational performance in the telecom
companies have satisfactory results, the leading types of motivators identified to
be good salary, promotion and career development, the effectiveness of
employee’s motivators used by telecom companies are satisfactory, the leading
techniques used to motivate employees were identified to be staff training,
medical and mobile allowances, the effectiveness of the current employee
motivational techniques were found to be satisfactory.
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CHAPTER ONE
INTRODUCTION
1.1 Background Information
Communication is an integral part of human life. From the very beginning of human
civilization people were tried to communicate each others to fulfill their social needs.
Over the passes of time though the tools of communication were changed but still it
is exist in the society. Currently cellular phone has brought a revolution in the field
of communication. Telecommunication makes the whole world in a small village and
by using this service life become more comfortable and easier (Zamil, & Hossen,
2012). The development of telecommunication sector in the world began in the
1830s. The first commercial electrical telegraphy was constructed by Sir Charles
Wheatstone and Sir William Forthergill Cooke. Alexander Bell invented the
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conventional telephone in 1876 and the first commercial telephone services were set-
up in 1878 and 1879 in both Haven and London (Bakare & Gold, 2011).
For example, in Pakistan telecommunication segment has changed the shape of
communication everywhere and this is a hot issue in Pakistan now-a-days. Telecom
sector has emerged as a fast growing industry during past few years and now
Pakistan is promising as one of the most progressive country where the number of
mobile phone subscribers has reached 40 million. For the reason different companies
are being attracted to invest heavily in this division (Butt, 2006 in Umar & Tahir,
2007). In Bangladesh the liberalization of telecommunications sector began with
small steps in 1989 with the issuance of a license to a private operator for the
provision of inter alia cellular mobile services to compete with the previous
monopoly provider of telecommunications services the Bangladesh Telegraph and
Telephone Board (BTTB). Significant changes in the number of fixed and mobile
services deployed in Bangladesh occurred in the late 1990s and the number of
services in operation has subsequently grown exponentially in the past five years
(Tanjeen, 2013).
The development of telecommunications in Nigeria began in 1886 when a cable
connection was established between Lagos and the colonial office in London.
Telegraph service was opened in Lagos on September 2nd, 1886. By 1893,
government offices in Lagos were provided with telephone service, which was later
extended to Ilorin and Jebba in the hinterland (Longe, 2011).
In Tanzania, Telecommunication sector is much older than just recent history which
can be traced back in 1920’s. This sector arrived in Tanzania with the beginning of
colonialism. When colonial administration, settlers, trading companies and
missionaries set up their centres they also started to build first rudimentary postal,
telegraph and telephone networks that followed the colonial patterns (Nielinger, 2004
in Kasanga, 2005). However, it was only 1951, that the creation of the EAPTA,
service provision was put under an administrative roof. As an instrument of
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colonialism and corresponding to British colonial territory, EAPTA provided postal
and telecommunications services to mainland Tanzania, the former Tanganyika,
Kenya and Uganda (TCC, 2001).0.
Up until 1977, telecommunication and postal services in Tanzania was controlled
and governed by the defunct East African Post and Telecommunication Corporation
(EAPTC) and the East African External Telecommunication Company (EAETC)
(Noll and Shirley, 2002). Tanzania Posts and Telecommunications Company (TPTC)
were established in 1978 with the aim of taking-over the functions and powers of
both EAPTC and EAETC. After the collapse of the East African Community (EAC)
that is 1977-1993, TPTC operated under a monopolistic environment as the doors to
competitors were closed (Nielinger, 2004 in Kasanga, 2005).
TPTC’s monopolistic environment contributed to its poor performance, inadequate
infrastructure and the state of despair (Noll and Shirley, 2002 in Kasanga, 2005).
Equally important is the fact that its policies were not clearly defined whilst
resources for bringing about change were severely limited. Additionally, the market
was regulated to an extent that importation of basic communication equipment such
as Private Automatic Branch Exchange (PABX) systems, telephone sets, computers,
etc was restricted and special permits were required if one was to import these basic
communication products (Ibid).
Before the liberalization of the telecommunication sector in 1990’s, the Tanzania
telephone communication service was the monopoly of the TTCL, a state-owned
company under the Tanzania Posts and Telecommunications Corporation (TPTC).
The TTCL held a monopoly in the provision of communication and was also
responsible for the regulation of the telecommunication sector. In the context of a
wider economic liberalization policy in the country, the Communications Act of
1993 paved the way for the government's move to liberalize the communications
sector. This led to the split of the TPTC into the Tanzania Posts Corporation (TPC),
the Tanzania Telecommunications Company Limited (TTCL) and the Tanzania
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Communication Commission (TCC). The National Telecommunications Policy
(NTP), launched in 1997, pushed for further reforms in the sector. Today,
telecommunications is one of the most liberalised sectors of the economy in
Tanzania (Materu-Behitsa and Diyamett, 2010).
Telecommunication sector is one among the fastest growing economic sector in
Tanzania recording 21.9% growth in 2009. The survival and growth of this sector has
been made possible by the Policy, Laws and Regulations enacted (Resto, 2011). In
1997 the Government of the United Republic of Tanzania through its Ministry of
Communications and Transport made and enacted the National Telecommunication
Policy for the period of 1997 through 2020 with the aim and vision of ensuring the
accelerated development of an efficient telecommunications network that can
provide an info-communication infrastructure and universal access to
telecommunications service by all sectors of national economy and segment of the
population (URT, 1997).
As of now, the mobile telephone market is the fastest growing sector; with more than
17 million subscribers in a population of about 43 million (see the current data). The
major operators are Vodacom, Zain, TiGO and TTCL-mobile, Zantel-mobile and
Sasatel. The penetration level is only around 30%, implying that there is still room
for growth (Materu-Behitsa and Diyamett, 2010). This service has changed people’s
daily life and significantly influenced business activity of organization. For example,
the major telephone companies (TTCL, Zantel, Vodacom, Zain, Tigo) directly
employ more than 5,000 people. Many more are employed in communication-related
services like reselling airtime, servicing and repair of mobile phones, maintenance of
base stations and masts, etc. This notwithstanding, it is difficult to get employment
statistics for the sector given the lack of a national database for such statistics (Ibid).
Interestingly, until March 31, 2006, VODACOM Tanzania had a total headcount of
438 employees and as of March, 2012 it is estimated 500 employees were recruited
(Kumalo, 2006; http://www.en.wikipedia.org/wiki/Vodacom_Tanzania).
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In order for Telecommunication companies to operate and have sustainable
production, they need to have human resources who are well motivated in the work
settings. The fact is, the current era is highly competitive and organizations
regardless of size, technology and market focus are facing employee retention
challenges. To overcome these restraints a strong and positive relationship and
bonding should be created and maintained between employees and their
organizations. As pointed out by Manzoor, (2012), that human resource or
employees of any organization are the most central part so they need to be influenced
and persuaded towards tasks fulfillment. For achieving prosperity, organizations
design different strategies to compete with the competitors and for increasing the
performance of the organizations. A very few organizations believe that the human
personnel and employees of any organization are its main assets which can lead them
to success or if not focused well, to decline. Unless and until, the employees of any
organization are satisfied with it, are motivated for the tasks fulfillment and goals
achievements and encouraged, none of the organization can progress or achieve
success (Manzoor, 2012).
This pushed Meyer and Peng, (2006) to argue that, good remuneration has been
found over the years to be one of the policies the organization can adopt to increase
their workers performance and thereby increase the organizations productivity. Also,
with the present global economic trend, most employers of labour have realized the
fact that for their organizations to compete favourably, the performance of their
employees goes a long way in determining the success of the organization. On the
other hand, performance of employees in any organization is vital, not only for the
growth of the organization, but also for the growth of individual employees (Meyer
and Peng, 2006 in Muogbo, 2013). On his side Aidis, (2005) contended that, an
organization must know who are its outstanding workers, those who need additional
training and those not contributing to the efficiency and welfare of the company or
organization. Also, performance on the job can be assessed at all levels of
employment such as: personnel decision relating to promotion, job rotation, job
enrichments etc (Aidis, 2005 in Muogbo, 2013).
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Lut, (2012) documented that, most professionals and managers associated
organizational performance with motivation of employees, with their participation
and involvement in the organization. Why an employee possessing skills and
competencies much higher than other achieve poorer results than another employee
with lower skills? How can such an employee be stimulated in order to achieve
results in line with its potential? These are the questions that managers and
researchers have set over time, and they are still looking for plausible answers (Lut,
2012).
.
Interest in the employees’ motivation and satisfaction was born precisely from the
need to understand and to use subjective factors explaining differences in behaviour
and performance of those who work. Job motivation and job satisfaction and
especially the connection of these variables to performance attracted the interest of
researchers both in the field of social psychology and the organizational psychology.
This issue has been addressed over time, differently from different perspectives and
in different ways. Although experts have not reached a conclusion universally
accepted and universally valid, however, certain specific features which explain
these phenomena and their importance in organizational activity have emerged
(Ibid).
According to Vinke (1999), employee motivation is the key success factor for a
company. Especially in contact centres, where operational employees are for a huge
amount responsible for sales generation, motivation is an issue which needs to be
optimized. In practice, Managers use different motivation techniques because they do
not seem to know what actually motivates their personnel (Vinke, 1999 in Litjens,
2011).
The current study therefore, was assessing the extent to which motivation have
impact on the performance of organization, types of motivations that best suit
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telecommunication employees and to find out the best employee motivational
techniques that leads to organizational performance, with specific references to
VODACOM Tanzania Limited the leading cellular network company within the
country. It should bear in mind that, in this study, the term telecommunication means
only the service of mobile phone or cellular phone operating in the country. The
study separated purposely cellular phone from other telecommunication services like
telephone (land phone), telegraph, television, radio and others to make the selected
sector more specific and understandable.
1.2 Statement of the Problem
Telecommunication sector has shown an immense rapid growth in Tanzania and it
has become a sizzling concern in different perspectives like economic growth,
foreign investments, and a great number of newly well job creations to mention just a
few. Trade Unions such as Trade Union Congress of Tanzania (TUCTA) and other
stakeholders have shown their concerns on how badly employees of this sector are
poorly motivated while the responsible company continues to prosper economically.
Many efforts have been done so far to increase monthly salaries and other working
environments so as to ensure that employees from this sector are well motivated at a
required standard in relation to the company’s productivity.
According to Shafiq and Naseem (2011), poorly designed employee motivation
system provided by the organization may result to employee job dissatisfaction and
hence low organizational performance (Shafiq and Naseem, 2011 in Munap, et al.,
2013). Thus, the unsatisfactory environment frequently results in decreased that will
then disrupt the level of employee morale and organizational performance (Quible,
2005). As it was contended by Munap, et al., (2013) in relation, inferior quality of
psychological factor of people may affect lower productivity in completing task.
Comparably, unsettled state of employee psychological readiness may result in lower
productivity, higher absenteeism, and tardiness-delay beyond the expected time.
Hence, no matter how good is the physical environment of the workstation provided
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by an organization, employees still cannot deliver the best effort if there is feeling of
unhappiness? In a write-up from an official website related to a study carried out by
Telekom Malaysia in professional comment box, it was mentioned that employees
usually walk out of the company because of their dissatisfaction with the payment
given, and argued for their inequity with others (Munap, et al., 2013).
However, despite of the above efforts, the implementation of good employee
motivation in telecommunication companies in Tanzania is still yet to be clarified.
Besides, the acceptance of employees towards certain motivators also yet has to be
examined. To this effect, this study was empirically assessing the role of employee
motivation in enhancing organisational performance by focusing on the following
three key areas namely; the effect of employee motivation on organizational
performance; types of motivators for telecommunication employees; and the best
employee motivational techniques for organisational performance.
1.3 Study Objectives
1.3.1 General objective
To assess the role of employee motivation in enhancing organisational performance
1.3.2 Specific Objectives
1. To determine the effect of employee motivation on organizational
performance
2. To identify types of motivators for telecommunication employees
3. To determine the best employee motivational techniques for organisational
performance
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1.4 Research Questions
1. Does employee motivation determine organisational performance?
2. What types of motivators those best suit telecommunication employees?
3. What are the best motivation techniques for org. performance?
1.5 Significance of the Study
The study would be of immense benefit to the VODACOM Tanzania the leading
cellular phone company in the country, same service providers and other stake-
holders in that it will highlight how the concept of motivation and organisational
performance are of value and understood and the need for all to pay attention to a
variety of motivation issues for employees. Furthermore, the study will bring to light
the different types and techniques of motivation which will in-form the design of
appropriate measures aimed at bringing out the best employees with regard to job
performance. Again, types and techniques of employee motivation leading to high
organizational performance as well as causes of low performance will inform
management and policy makers in their decision making. Administrators will be
helped through this study to be able to use motivation not just for the sake of it but to
know how, when, what type and techniques of employee motivation to use so as to
achieve maximum performance of a particular organisation. And lastly, the fact
findings to be used as a source of reference by the academicians, researchers and the
populace at large.
1.6 Limitation of the study
Major limitation of the study was lack of available information and previous
workings on the topic specifically in VODACOM Tanzania Limited leading to lack
enough supportive articles to make an extensive literature review. The study faced
the following minor limitations: reluctance of some staff from VODACOM Tanzania
Limited to give necessary information, time constrains due to the fact that data
collection process was done during working hours and some of respondents failing to
keep an appointment. These limitations were solved by a researcher creating rapport
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with employees a situation that helped a researcher to have access to those surveyed
in this study.
1.7 Scope of the study
The study was conducted at VODACOM Tanzania Limited Headquarters and its
sub-office as a case study which is situated at Dar Es Salaam City within which; the
rationale was to solicit in-depth information’s from employees of both carders.
1.8 Definition of Concepts
1.8.1 Telecommunication
According to Bakare & Gold, (2011), telecommunication can be defined as the art
and science of information transmission and circulation (Bakare & Gold, 2011).
Other scholars such as Zamil & Hossen, (2012), defined telecommunication as a
science of communicating information over distance by electronic transmission of
impulses, as by telephone, telegraph, television, satellites, and radio. Another way, it
can be said, telecommunication is any process or group of processes that allows the
transmission of audible or visible information or data over long distance by means of
electronic or electric signals (Zamil & Hossen, 2012).
1.8.2 Motivation
According to Helliegel, et al., (1992) describe motivation as the force acting on or
within a person that causes the person to behave in a specific, goal-directed manner
(Helliegel, et al., 1992 in Kim, 2006). On their side Reece and Brandt, (1990)
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suggest that motivation can be defined as the reason why people do the things they
do, and in a work setting, motivation is what makes people want to work (Reece and
Brandt, 1990 in Kim, 2006). Finally, Daft and Marcic (2004) explain that motivation
refers to the forces either within or external to a person that arouse enthusiasm and
persistence to pursue a certain course of action (Daft and Marcic, 2004).
1.8.3 Employee Motivation
According to Roos, (2005), employee motivation is an innate force, shaped and
maintained by a set of highly individualised factors that may change from time to
time, depending on the particular needs and motives of the employee (Roos, 2005).
1.8.4 Organisational Performance
Organizational performance is defined as the extent to which an organization, by the
use of certain resources, fulfils its objectives without depleting its resources and
without placing undue strain on its members and/or society (Mary et al., 1996 in
Manzoor, 2012). It is the net satisfaction of all constituents in the process of
gathering and transforming inputs into output in an efficient manner (Matthew, et al.,
2009).
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CHAPTER TWO
LITERATURE REVIEW
2.1 Introduction
This chapter discusses some of the literatures that are viewed in relation to the
research topic under investigation. It reviews theoretical and empirical literatures,
conceptual framework and knowledge gap that identified in the review and therefore
need to be covered through this study.
2.2 Theoretical Review
2.2.1 Motivation Theories
The significance of employee motivation, influencing the behaviors of their
employees to behave in certain ways, can ultimately decide the success or failure of
an organization. For example, scholar such as Kovach, (1987) suggests that, if a
company knows why its employees come to work on time, stay with the company for
their full working lives, and are productive, then the company may be able to ensure
that all of their employees behave in that way. Such a company would have a
decided marketplace advantage over competitors suffering from absenteeism, costly
re-training programs, and production slowdowns (Kovach, 1987 in Kim, 2006).
Moreover, Wiley (1997) also suggests ensuring the success of a company, employers
must understand what motivates their employees, and such understanding is essential
to improving productivity. These suggestions imply that organizational success
depends heavily on employee motivation, and managers must understand what
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motivates their employees in order to motivate their employees. Understanding the
concept of motivation could assist incompetent and inexperienced managers, in terms
of employee motivation, identify what motivates their employees (Wiley, 1997).
Understanding what motivated employees and how they are motivated was the focus
of many researchers (Maund 2001 in Mkisi, 2008). Many theories of which
workplace motivations are based on claim that motivations are needed to achieve
organisational performance (Awortwi 2006).
Three major theoretical approaches of motivation that will lead to the understanding
of employees’ motivation in this study are Maslow's need-hierarchy theory and
Herzberg's two-factor theory and Fifty-fifty theory of John, Adair.
2.2.1.1 Maslow’s hierarchy of needs theory
One of the most often-quoted motivation theories is that of Abraham Maslow, which
he introduced in 1943 (Van Niekerk, 1987 in Roos, 2005). The basic tenet of the
theory is that people are motivated by their quest to satisfy their needs, or
deficiencies, which may be grouped in five categories, and that these needs occur in
a specific hierarchy, where lower order needs have to be satisfied before those of a
higher order nature (Gouws, 1995 in Roos, 2005). Maslow, (1968) asserted that
“gratification of one basic need opens consciousness to domination by another”
(Maslow, 1968).
This theory focused on the psychological needs of employees. Maslow includes
intrinsic needs of human being in his theory (Champagne and McAfee, 1989). He
theorised that, there are five levels of human needs which employees need to have
fulfilled at work. These needs are; physiological, safety, social, ego, and self-
actualizing. He argued that lower level needs had to be satisfied before the next
higher level need would motivate employees. All of the needs are structured into a
hierarchy and only once a lower level of need has been fully met, would a worker be
motivated by the opportunity of having the next need up in the hierarchy satisfied
(Robbins 2002).
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Maslow’s needs theories have reminded managers to think of the welfare of the
employees (Champagne and McAfee 1989 in Mkisi, 2008). An employer should
therefore offer different incentives to workers in order to help them fulfil each need
in turn and progress up the hierarchy. Managers should also recognize that workers
are not all motivated in the same way and do not all move up the hierarchy at the
same pace. They may therefore have to offer a slightly different set of incentives
from worker to worker. However, Maslow have been criticised by failing to explain
how the hierarchy needs differ from individual to individual. There is little evidence
to show that employees will be continually motivated through Maslow’s hierarchy
needs (Robbins 2002).
Despite the limited empirical support, needs hierarchy theory has had a positive
impact on organisations, as it has focused attention on the importance of addressing
employees’ needs at work (Spector, 2003). In addition, one of its main constructs, the
self-actualisation concept, has become very popular with especially managers and
executives who have accepted this high-level need as a potent motivator (Schultz &
Schultz, 1998 in Roos, 2005).
2.2.1.2 Herzberg’s Motivation Theory
According to Herzberg’s motivation hygiene theory, the factors which motivate
people at work are different from, and not simply the opposite of the factors which
cause dissatisfaction. The theory states that there are certain factors in the workplace
that cause job satisfaction, while a separate set of factors cause dissatisfaction.
Individuals are not content with the satisfaction of lower-order needs at work, for
example, those associated with minimum salary levels or safe and pleasant working
conditions. Rather, individuals look for the gratification of higher-level
psychological needs having to do with achievement, recognition, responsibility,
advancement, and the nature of the work itself. This theory suggests that to improve
job attitudes and productivity, administrators must recognize and attend to both sets
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of characteristics and not assume that an increase in satisfaction leads to a decrease
in unpleasurable dissatisfaction (Herzberg, 1959 in Mintaa, 2012).
If a job cannot be designed to use an employee’s full abilities, then the firm should
consider automating the task or replacing the employee with one who has a lower
level of skill. If a person cannot be fully utilized, then there will be a motivation
problem. Herzberg’s research proves that people will strive to achieve ‘hygiene’
needs because they are unhappy. Then as now, poorly managed organizations fail to
understand that people are not ‘motivated’ by addressing ‘hygiene’ needs. People are
only truly motivated by enabling them to reach for and satisfy the factors that
Herzberg identified as real motivators, such as achievement, advancement and
development, which represent a far deeper level of meaning and fulfillment.
Examples of Herzberg’s ‘hygiene’ needs (or motivating factors) in the workplace
are: policy, relationship with supervisor, work conditions, salary, status, security,
relationship with subordinates and personal life (Ibid).
The critic to this theory is that, an employee may still have poor satisfaction with
hygiene factors yet their career satisfaction is high. And also employees may feel that
the job is acceptable but still dislike part of their job (Garsker, 1996). Furthermore,
this theory concentrates only on the satisfaction side, and forgotten to link
employee’s satisfaction and productivity. Nevertheless, this theory has been
providing recommendation for improving job satisfaction to workers, and therefore it
provides a practical course of action for employee motivation at workplace (Roderick
2004).
2.2.1.3 Fifty-Fifty Theory
The fifty-fifty theory was developed by John Adair as a motivational factor that
could influence company performance. According to John, (2007), fifty percent of
motivation comes from within a person and the remaining fifty percent comes from
the environment, mainly from people around us. This rule is not used to declare the
exact proportions, but it tries to explain that, fifty per cent of our motivation comes
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from within us and fifty per cent from an external influence, that is, from our
environment, particularly from the people around us (John, 2007).
This compelled William, (2010) to argue that, these observations are indicative rather
than mathematical and they may differ from person to person. Within these important
external factors the nature and quality of the leadership present is essentially
important. Hence the tough link between leadership and motivation becomes vital to
determine employee’s motivation. The Fifty-Fifty rule does have the benefit of
reminding leaders that they have a key role to play for the success or failure in the
motivation of employees at work. Fortunately or unfortunately not all the cards are in
their hands, for they are dealing with people who are self motivating in various
degree. These are the challenges that confront the Human Resources Management
(HRM) to galvanize employee motivation with the work environment (William,
2010).
2.3 Empirical Review
2.3.1 Employee Motivation on Organizational Performance
Employee motivation system is very important in any organization as the process
that is in command of human behavior within an organization. It helps to verify not
only performance in relation to current goals but also influences the possibility of
people joining and remaining in an organization. It also shapes the degree to which
effort is directed in the development of the organization future capabilities. If
correctly designed or administered, motivation systems can lead to attractive
behavior for a firm/organisation. On the other hand, if incorrectly designed or
administered, motivation systems can lead to the steady deterioration of an
organization and why not it’s immediate demise (Flamholtz 1996, in William, 2010).
This observation supported by Otley, (1999), in his study who argued that, the
performance of organisations is dependent upon the performance of employees (job
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performance) and other factors such as the environment of the organisation. The
distinction between organisational and job performance is evident; an organisation
that is performing well is one that is successfully attaining its objectives, in other
words: one that is effectively implementing an appropriate strategy (Otley, 1999).
As pointed out by Chelladurai, (2006), company’s effectiveness is augmented
through employee performance that in turn can be facilitated by an effective
motivation system. Porter and Lawler suggest that, the linkage between performance
and motivations (that is intrinsic and extrinsic rewards) is a strong factor influencing
subsequent performance of the organization (Chelladurai 2006, in William, 2010). In
the study of Herzberg & Snyderman, (1959) reported that, when intrinsic factors
(motivators) are present at the job, satisfaction is likely to occur as well as an
increase in employee motivation (Herzberg & Snyderman, 1959).
A study by Amabile, (1993) revealed that, work performances are dependent upon
the individual’s level of motivation; the individual’s level of motivation can be
intrinsically and/or extrinsically based (Amabile, 1993). Other scholars such as
Brass, (1981); Hackman & Oldham, (1976) argued that, certain job characteristics
are necessary in establishing the relationship between employee motivation and
performance (Brass, 1981; Hackman & Oldham, 1976). This arguments leads
Hackman and Oldham, (1976) to conclude that, employees can be motivated through
the design of their work; they argue that by providing certain intrinsic and extrinsic
factors an employee can be motivated to perform well hence organisatonal
performance (Hackman and Oldham,1976).
According to Shadare et al., (2009), employee motivation is one of the policies of
managers to increase effectual job management amongst employees in organizations.
A motivational employee is responsive of the definite goals and objectives he/she
must achieve, therefore he/she directs its effort in that direction (Shadare et al., 2009
in Muogbo, 2013). Rutherford, (1990) reported that, motivation formulates an
organization more successful because provoked employees are constantly looking for
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improved practices to do a work. Getting employees to do their best work even in
strenuous circumstances, is one of the employees most stable and greasy challenges
and this can be made possible through motivating them (Rutherford, 1990 in
Muogbo, 2013).
2.3.22.3.2 Types of Motivators for Telecommunication Employees
2.3.2
2.3.2.12.3.2.1Financial Motivation
Many types of financial inducement exist. Some directly provide the employee with
cash. Bonuses based on performance against budget, quality or other standards may
be used as immediate financial motivation. Management rewards by bonuses have
become popular in some companies as a means of providing employees with an
immediate buster for completion of a project or activity. While the number of
companies delivering cash awards has increased, only 7 percent actually use such
motivation at present (Ulrich & Lake 1990). According to Havaldar & Cavale
(2007), most companies make use of financial motivational plan to motivate their
employees. Sales contests are short term incentive programs that can be an effective
motivational tool if they are cautiously and accurately designed (Havaldar & Cavale
2007).
2.3.2.22.3.2.2Non-Financial Motivation
Armstrong, (2008) contended that, organizations with positive ambitions could make
available a framework within which high levels of motivation could be accomplished
through non-financial motivation systems by the provision of opportunities for
learning and development. But personal management skills still have a key role to
play in deploying their own motivating skills to get individual within their
organization to give their best performance by making good use of the motivational
systems and processes provided by the company (Armstrong, 2008). As pointed out
by Rizwan et al., (2010), among financial, economic and human resources, the latest
are more essential and have the capability to endow a company with competitive
edge as compared to others (Rizwan et al., 2010 in Muogbo, 2013).
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According to Parker, (2003), found out that, recognition is appreciation of
performance by the organization of an act done by the team or team member. In
common language, it is some time expressed as “I caught you doing something
right.” It is an approach of expressing gratitude for the special or extra effort done by
an employee within an organization. Recognition has two essential goals: to
encourage the employees or team to repeat or continue the behavior and to encourage
others employees to do the same. Most team recognition plans fall into celebrating
organizational objectives habitually as an event, designed to acknowledge the
successful completion of important company goals (Parker 2003, in William, 2010).
This is to create a greater awareness or to remind people of the importance of the
goals achieved within the company. For instance, a division of large
telecommunications company in Pakistan held an all hands meeting at an off-site
facility to celebrate the accomplishment of their goals (Ibid). This pushed Wilson,
(2003) to conclude that, recognition, either informal (oral) or formal (written remarks
and events), has been the most cost effective way to strengthen required actions for
performance within an organization. However, when recognition is acting in
isolation of compensation and equity rewards, it’s frequently loses much of its appeal
(Wilson 2003).
2.3.32.3.3.Employee Motivational Techniques
Motivational techniques inspired many scholars; among them is Locke (1979) who
stated that, goal setting is a simple, straightforward, and highly effective technique
for motivating employee in enhancing organizational performance. He concluded
that when goals are set unilaterally by the supervisor or together with employees,
goal setting significantly increases the level of production. Locke (1979) based these
conclusions on experimental research in the wood industry, whereas employee
motivation may differ between industries (Locke (1979).
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According to Herzberg, managers do not motivate employees by awarding
employees higher wages, more benefits or status symbols. Rather, employees are
motivated by their own inherent need to accomplish something at a challenging task.
The manager’s job then is not to motivate employees to get their tasks achieved;
rather, the manager should provide opportunities for people to achieve their task so
that they will become motivated (Marchington & Wilkinson, 2005). Moving
employees through a diversity of jobs, departments or functions is particularly an
excellent technique to expose the employees to challenging task. This is very suitable
to employees who have been on a job for a long time and are no longer challenged by
the job but rather who have a strong need for activities or change. By open-handed
the opportunity to change jobs, the manager has definitely exposed the employees to
new challenges and it will enable the employees to put in their best in order to meet
up to expectations. This therefore, creates an enabling environment for greater
motivation and performance within the organization (Stone 2003, in William, 2010).
A workplace and behavioral psychologist, Adams (1963) put forward his equity
theory on job motivation. He states that when people feel fairly or advantageously
treated, they are more likely to be motivated; when they feel unfairly treated they are
de-motivated (Adams, 1963). In a study of Rima & Islam, (2013), when reviewing
company's strategic objectives and unique characteristics and environment prevailing
in the Telecommunication industry found that, Grameenphone considers cash and
non-cash benefits, internal and external equity, competitiveness, consistency,
performance based pay etc. to determine an attractive motivational techniques. They
further observed that, pay and benefits are extremely important to both new
applicants and existing employees. The compensation received from work is a major
reason that most people seek employment (Rima & Islam, 2013).
Motivation not only provides a means of sustenance and allows people to satisfy
their materialistic and recreational needs, it also serves their ego or self-esteem
needs. Consequently, if a firm's motivational system is viewed as inadequate, top
applicants may reject that company's employment offers, and current employees may
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choose to leave the organization considering so many factors which needs to be cared
off. The study concluded that, the organizations can conduct an “Employee
Satisfaction Survey” every year to understand their perception and expectation in the
light of motivations (Ibid).
In his study McClelland (1961), was convinced of a humans need for achievement,
high need achievers want frequent and specific feedback about performance. They
are often found in jobs such as sales representative or real estate agent. This may be a
sign that the need for achievement is active for outbound contact centres employees
and less for inbound employees. According to him, people also have the need for
affiliation. These persons get motivated by friendly relationships, joining groups,
participating in pleasant social activities and enjoying shared activities (McClelland,
1961, in Litjens, 2011).
According to a study by Investors in People (2006), a good incentive system results
in motivated employees. This statement is based on their conclusion that, employees
who do not receive a promotion within half a year they work for the company, tend
to leave their employer soon after this period. This statement is in contradiction with
Kohn‘s report -Why incentive plans cannot work‖ (1993). Kohn, (1993), suggests
that rewards succeed only on a temporary basis. When it comes to producing lasting
change in attitudes and behaviour, incentive plans are ineffective (Kohn, 1993 in
Litjens, 2011).
A study by Rietdijk, (2010) found that, rewarding good behaviour works, as long as
managers involve their employees in the settings of their bonuses. He also
recommends that both financial and social rewards should be implemented in their
management (Rietdijk, 2010). As of Rustenburg & Hoften, (2002) mentions that, the
way to choose the best incentive system in order to increase the motivation of your
employees is dependent on the culture of the organization, the strategy of the
organization, the market situation and the character of the sales representatives. This
might explain a part of the contradictions that some managers are confirmed that
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incentive systems motivate, whereas others are against using those (Rustenburg &
Hoften, 2002 in Litjens, 2011).
A study into sales force practice did try to find out what are the best motivation
techniques. They did this by asking sales managers to rank eight factors that could be
effective in stimulating their salespeople to better their usual performance. Individual
meetings between manager and salesperson were thought to be the most effective,
followed by regular accompaniment in the field by their manager (PA Consultants,
1979 in Litjens, 2011). However, these conclusions are based on the response of
managers, instead of sales representatives (Litjens, 2011).
2.4 Conceptual Framework
Bartol and Martin (2008) describe motivation as a power that strengths behavior,
gives route to behavior, and triggers the tendency to continue (Bartol and Martin,
(2008) in Muogbo, 2013). It is an internal drives to satisfy an unsatisfied need and
the will to accomplish. Also motivation is a progression of moving and supporting
goal-directed behavior. It is an internal strength that drives individual to pull off
personal organizational goals. Motivation is a set of courses concerned with a kid of
strength that boosts performance and directs towards accomplishing some definite
targets (Kalimulla et al, 2010 in Muogbo, 2013).
Employee motivation in this study is the independent variable which falls under two
types of motivation Extrinsic- Salary, Promotion, Career development and Bonus;
and Intrinsic- Recognition, Sense of belongingness, Increase work morale and Needs
satisfaction. The combination of these motivators results in the organizational
performance which is the dependent variable in terms of Increase productivity and
Goal attainment.
Conceptual Framework is dramatically presented here below:
Employee Motivation Organisational Performance
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Figure 1.1: The Conceptual Framework for the study
2.5 Knowledge Gap
Empirical literature review above indicates that, the vast majority of literatures in
motivation issue have been written on the impact and relationships of motivation on
employee performance. Many literatures are based in developed countries and in that
case, little is known in developing countries notably Tanzania about the role of
employee motivation in enhancing organizational performance.
For example, study by Mkisi, (2008), from three telecommunication companies in
Tanzania VODACOM included, and revealed that, unlike private companies, the
public company also provides all the incentive such as job security, salary, fringe
benefits etc to motivate its workers. It further concluded that, the different in
performance between public and private companies is not because of incentive
structure; rather it may be explained by performance management process (Mkisi,
2008). The current study therefore, filled this gap by assessing the role of employee
motivation in enhancing organizational performance with specific reference to
VODACOM Tanzania Limited.
Extrinsic Motivation:
• Salary
• Promotion
• Career development
• Bonus etc
Intrinsic Motivation:
• Recognition
• Sense of Belongingness
• Increase Work Morale
• Needs Satisfaction etc
• Increase productivity
• Goals attainment
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CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Introduction
This chapter discusses inter alia, rationale of the study, research design, area of
study, VODACOM profile, study population, sampling design, sampling technique
and sample size, method of data collection, tool of data collection, data analysis and
interpretation, and ethical consideration.
3.2 Rationale
For the purpose of this study, VODACOM Tanzania Limited was selected primarily
because it is a place where there is no study carried out so far on the phenomenon
under investigation. It is leading cellular networks companies among six telecomm
companies in Tanzania within which there are employee motivation problems which
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are well pronounced and it is doing well in terms of production of its goods and
services. In that case, the current study assessed the role of employee motivation in
enhancing organisational performance by focusing on the following three key areas
namely; the effect of employee motivation on organizational performance; types of
motivators for telecommunication employees; and the best employee motivational
techniques for organisational performance.
3.3 Research design
Research design is the arrangement of conditions for collection and analysis of data
in a manner that aims to combine relevance to the research purpose with economy in
procedure. In fact, the research design is the conceptual structure within which
research is conducted; it constitutes the blueprint for the collection, measurement and
analysis of data (Kothari, 2007). It is the “glue” that hold all of the elements in a
research project together. A design is used to structure the research to show how all
of the major parts of the research project work together to try to address the central
research questions (Kombo and Tromp, 2006; Schaefer, 2005).
3.4 Area of the study
The selection of a research site is essential. It influences the usefulness of the
information produced. The idea is to start with a larger population and through
progressive elimination, end up with the actual site where data is collected (Orodho
and Kombo, 2002).
3.4.1 VODACOM Tanzania Limited
The study conducted in Dar-Es- Salaam city at the VODACOM Tanzania Limited
head office and its sub-offices. The aim of conducting this research was to solicit
some information from volunteered respondents on the issue of employee motivation
in telecom sector.
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3.4.2 VODACOM Tanzania Limited Profile
The company was created in late 1999 as a subsidiary company of Vodacom based in
South Africa. Vodacom Tanzania is a joint venture in which Vodacom Group owns a
majority share portion of about 65%, the remaining portion is owned by Tanzanian
shareholders that include Mirambo. By August 2000, the company completed its
GSM infrastructure and went live on August 14, 2000. Vodacom Tanzania
announced officially its commercial operations on August 15, 2000. Vodacom
Tanzania became the largest mobile operator in the country within one year of
launching and remains the largest mobile communications network operator in
Tanzania up to date.
Vodacom Tanzania has its executive headquarters on the 14th Floor of the PPF
Towers on Garden Avenue / Ohio Street in Dar- Es- Salaam and maintains
operational and engineering branches in all regions of Tanzania. The company has
active roaming agreements with many network operators in the world that include T-
Mobile USA, Inc in USA, Vodafone Ltd in UK and BPL Cellular (now Vodafone) in
Kerala, India. The company distributes its products and services through a number of
Super dealers and Vodashops. Vodacom is an acceptable short name for the company
within the country.
As of May 18, 2010, Vodacom Tanzania had over eight million customers and
became the largest wireless telecommunications network in Tanzania (based on total
wireless customers). Vodacom Tanzania is the second telecom company in Africa,
after Vodacom, to switch on its 3G High-Speed Downlink Packet Access (HSDPA)
which was available only in Dar Es Salaam in early 2007.
The company has been using some Swahili slang to coin and market its products
such as VodaFasta, VodaFlava, Nipige Tafu, Habari Ndio Hio and Kama Kawa
(Kama Kawaida). Historically, they have also pioneered new features; they were the
first and exclusive Tanzanian carrier to launch video call, video messaging and 3G
HSDPA USB Modem. As of January 11, 2008, Vodacom Tanzania was again the
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first and exclusive company to provide a free E-mail ID via a phone number
(http://www.en.wikipedia.org/wiki/Vodacom_Tanzania).
3.5 Study Population
Bless and Higson, (1995) defines population, also call universe as entire set of
people, events or objects which is object of research and about which the researcher
want to determine some characteristics. It is that aggregation from which the sample
is actually selected (Babbie, 1989). According to Bryman, (2008), population refers
to the entire group of people, event or things of interest that the researcher wished to
investigate, it forms a base from which the sample or subjects of the study will be
drawn (Bryman, 2008).
For this study, the target population was selected from VODACOM head office and
its sub-office located in different facets in the city, where about 32 respondents were
involved in this study. Although VODACOM employees in Dar-Es-Salaam are not
representatives of all employees in Tanzania, the findings are a representative sample
of telecommunication sector only.
3.6 Sampling Design
The sampling which was used for the interviews and questionnaires in this
dissertation, stem from the research objectives, where both purposive and
convenience sampling methods was used. Although Bryman, (2004), suggests that
these types of sampling are held in ‘low esteem’ because the results from any
research cannot be generalized to the wider public (Bryman, 2004). The study
suggested that the results from these findings are not meant to be representative of
the entire population of employees in Tanzania but only for the community of the
surveyed company.
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3.7 Sampling and Sample size
Keeping in view the cost that, due to the cost implications during the study only 32
respondents were selected to be the sample of the study. Both male and female
employees participated in the study. The researcher believed that this sample is
optimum in the sense that it fulfilled the requirement of efficiency,
representativeness, reliability and flexibility. As wised by Kothari (1990) that sample
size could be optimum – optimum sample is one which fulfills the requirement of
efficiency, representativeness, reliability and flexibility (Kothari, 1990).
3.7.1 Purposive Sampling
Non-probability sampling is a method applied to find out how a small group or a
representative group is doing for purpose of illustration or explanation. Purpose
sampling is one of the methods used in sampling. The researcher purposively
targeted a group of people believed to be reliable for the study. It can be used with
both qualitative and quantitative studies and it is relevant when you are concerned
with exploring the universe and understanding the audience (Kombo and Tromp,
2006).
VODACOM Tanzania Limited purposely selected as a case study. The study found
people who were willing to provide information by virtue of their work related,
knowledge and/or experiences in the issue of motivation. Furthermore, this sampling
was best because the study used quantitative research techniques, whereby, a
questionnaire tool was employed in this study to solicit information from the selected
respondents. Therefore, only employees who are recruited and paid on monthly basis
were involved in the study.
3.8 Methods of Data Collection
3.8.1 Primary Sources of Data
This is information gathered directly from respondents. This is through
questionnaires, interviews, Focus group discussions, observations and experimental
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studies. It involves creating “New” data. (Kombo and Tromp, 2006) Primary data are
those which are collected afresh and for the first time and thus happen to be original
in character ( Kothari, 2007) They represent “firsthand” raw data and structures, and
had yet to receive any of meaningful interpretation (Bush, 2003).
3.8.2 Secondary Sources of Data
This refers to variety of research techniques that make use of previously collected
and publicly accessible information and data. Generally, in conducting secondary
analysis, researchers utilize data in ways that were unintended by the initial
collectors of information. Sociologists consider secondary analysis to be non-
reactive, since it does not influence people’s behaviour (Schaefer, 2005).
The data collection process took four months period from May to August, 2014
whereby, the study used both primary and secondary methods of data collection.
Secondary data was collected from existing records on types and techniques of
motivation within the VODACOM office. In supporting these data the following tool
of primary data collection was employed.
3.9 Tool for data collection
3.9.1 Questionnaire
Rubin and Babbie (2005) defined questionnaire as a document that contains
questions and other types of items that are designed to solicit information appropriate
to analysis. They are used primarily in survey research and also in experiments, field
research and other modes of observation (Rubin and Babbie, 2005).
The study used both open and close-ended questionnaire in a combined printed
paper. The development and printing of questionnaires took one week, whereby, five
questionnaires were tested as a pilot study to employees to test its validity. Then they
were modified for easier understanding and avoiding ambiguity and then were
distributed to respondents after ensuring its reliability.
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3.10 Data Analysis and Interpretation
Hindle (2004) identified data analysis technique as “Methods for analyzing data
irrespective of either the methodical cluster with which the technique is applied or
the methods used to collect the data” (Hindle, 2004).The study used quantitative
research method of data analysis. Then data was coded selected by assigning code
numbers to questionnaires. The results presented in relation to research objectives
and emphasis was put on characteristics and variables for instance age, gender, level
of education, and occupation. Analysis was processed by using the aid of computer
software such as Excel software and Statistical Packages for Social Scientist (SPSS)
and interpretation was done through tables as shown in chapter four.
3.11 Ethical Consideration
According to Christian, (2005), interviews are insightful for the data collection
process. However, there is a downside when it comes to researcher bias and
inaccuracies due to poor recall. Interviews and Questionnaires have a similar process
of consent, although there is a different dynamic when the process is facilitated
(Christian, 2005). In this study, the researcher asked consent from the respondents
through an agreement which identified boundaries and extent of the permission to fill
in the questionnaires from their own words. The ethical considerations in this study
were guided by the following four guidelines as follows:
1) Informed consent from subjects who must voluntarily agree to
participate based on full and open information;
2) A basic moral principle is that, deception and misrepresentation will
no longer credible means to extract information from the participants;
3) Privacy and confidentiality needs will be respected, however, privacy
protection can be meaningless if “ there is no consensus or unanimity
on what is public and private; and,
4) There will be needs to assume that data will be accurate without
fabrications, fraudulent materials and omissions (Ibid).
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CHAPTER FOUR
DATA PRESENTATION ANALYSIS AND DISCUSSION
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4.1 Introduction
In this chapter data is presented, analyses and discussed based on research objectives
which were: to determine the effect of employee motivation on organizational
performance, to identify types of motivators for telecommunication employees, and
to determine the best employee motivational techniques for organisational
performance.
4.2 Characteristics of Respondents
The characteristics of respondents was analysed by demographic characteristics
including marital status, age, gender, occupation and level of education.
4.2.1 Gender
Gender usually means a range of characteristics distinguishing between male and
female as well as feminine and masculine attributes assigned to them socially and
culturally. Gender is a significant predictor of persons’ knowledge and his/her
participation in day-to-day organizational performance. This part presents gender
distribution on the surveyed respondents. Table: 4.2.1 Show genders of the
respondents surveyed in this study.
Table: 4.2.111: Gender of respondents
Gender Total Percent
Male 14 43.8
Female 18 56.3
Total 32 100.0
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Source: Field Survey, 2014
Table 4.2.1 shows that many respondents surveyed in this study equal to 56.3 percent
were females and the last group of respondent’s equals to 43.8 percent was females.
This means that, the survey covered many female respondents than male. This result
is consistent with population distribution in Tanzania whereby, there is high number
of female population than male (NBS Census Report, 2012). The same is true for this
survey as it was observed in this survey. This implies that in Tanzania the issue of
gender balances in fifty-fifty basis in political arena, is now working even in
telecommunications companies as the current study revealed.
4.2.2 Age
Age refers to the length of time that an organism has lived. As it can be seen, the
combination of various ages makes what is known as population structure which
shows the distribution of various age groups in human population. Population
structure can be used as a good indication of the human capital capabilities, skills,
experiences and likelihood of the organizational performances of a given
organisation. The age structure in this study is presented in age group of tenth. Table:
4.2 Show Age of the respondents surveyed in this study.
Table: 4.2.2: Age of respondents
Age Total Percent
21-30 27 84.4
31-40 5 15.6
Total 32 100.0
Source: Field Survey, 2014
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Table 4.2.2 shows that 27 respondent’s equals to 84.4 of the percent were aged
between 21 and 30 years, another group 5 respondent equals to 15.6 percent aged
between 31 and 40 years.
The data suggests that most of the respondents covered in this survey were youth
workers below 28 years. This is a common pattern in most of the African countries
whereby there is high number of youth than older employees. In Tanzania context to
be youth one should be aged not more than 45, but many of the organization
nowadays prefer to recruit new employees with the age not above 30 for junior
positions. This group of people has been found to be energetic, mobile and much
sensitive to any change that happen in the society, they are therefore likely to
participate in operational activities such as sales and marketing. The data implies
that, in Tanzania telecommunication companies surveyed in this study are held by
youth employees.
4.2.3 Marital Status
A person’s marital status indicates whether the person is married or not married. In
the simplest sense the only possible answers for marital status are single or married.
However, other options are often included such as divorced, widowed. Some
unmarried people do not identify as single for variety of reasons and they may be
reluctant to describe themselves that way. Combination of marital status with number
of children is known as family status. Person’s marital status can influence
employee’s commitment in organizational performance. Table: 4.3 Show Marital
Status of the marital status of respondents surveyed in this study, give us a glance
look of people who are married, divorced, single and widows.
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Table: 4.2.3: Marital Status of respondents
Marital Status Total Percent
Married 5 15.6
Single 27 84.4
Total 32 100.0
Source: Field Survey, 2014
Table 4.2.3 shows that majority of the respondents equals to 84.4 percent were
single, the rest group equals to 15.6 percent were single. These data tells us that large
numbers of respondents in this survey are single employees probably with no family
commitment and therefore, they are flexible to work anywhere in Tanzania due to the
nature of Sales and Marketing-oriented organizations like telecom companies. The
data suggests that single employees are the work force in the organization compared
to married employees who have frequent excuses in matters relating to family
problems.
4.2.4 Level of Education
Education in its general sense is a form of learning in which knowledge, skills and
habits of a group of people are transferred from one generation to the next through
teaching, training, research or simply through autodidactic. Generally, it occurs
through any experience that has a formative effect on the way one thinks, feels or
acts. Education is considered as an important indicator of a person’s professional
knowledge. This part therefore, analyses the distribution of level of education of the
surveyed respondents in this study. Education level is grouped into nine levels, i.e.
Standard Seven, Form Four, Form Six, Professional Certificate, Diploma, Bachelor
Degree, Master Degree, Post Graduate Diploma, and PhD, Table: 4.4 Show Level of
Education of the respondents surveyed in this study.
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Table: 4.2.4: Level of Education of respondents
Level of Education Total Percent
Bachelor Degree 30 93.8
Post Graduate Diploma 1 3.1
Masters Degree 1 3.1
Total 32 100.0
Source: Field Survey, 2014
Table 4.2.4 shows that 30 respondents surveyed equals to 93.8 percent possess
Bachelor Degree certificates, 1 respondent equals to 3.1 percent possess Post
Graduate Diploma, and 1 respondent equals to 3.1 percent posses Masters Degree
certificate. The data reveal that many of the surveyed respondents are having
Bachelor Degree education.
However, the data show that the number of respondents with post graduate Diploma
and Masters Education is low. This implies that, majority of employees in telecom
companies perform daily routine work related to marketing possess Bachelor
Degrees.
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4.2.5 Occupational Status
Occupation simply refers to a job or profession. This part analyses carder of
employee’s survey in this study. Table: 4.2.5 Show Occupational Status *
Companies’ Name Cross tabulation of the respondents surveyed in this study.
Table: 4.2.5: Occupational Status * Companies’ Name Cross tabulation
Companies’ Name
Total Occupational Status
Airte
l
MIC
(Tigo)
Smile
Commu
nication
s
Vodac
om
Account Manager-
Direct Sales
0 0 8 0 8
Back-up Supervisor 0 1 0 0 1
Customer Service 2 0 0 10 12
Customer Service Agent 0 1 0 0 1
Customer Service
Assistant Manager
0 0 0 1 1
Customer Service
Executive
0 4 0 0 4
Customer Service
Manager
1 0 0 1 2
Data Technical Support 0 1 0 0 1
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Executive
Quality Analyst 1 0 0 1 2
Total 4 7 8 13 32
Source: Field Survey, 2014
Table 4.2.5 shows that the majority 10 respondents were Customer Service carder
from Vodacom Company, 8 were Account Manager- Direct Sales from Smile
communications Company, and 4 respondents were Customer Executives Executive.
The data in the table revealed that, most of the respondents in this survey were
Customer Service, followed by Account Manager- Direct Sales. The reason for this
is because Customer Service are the one holding enormous composition of staff
within the telecom companies that are working closely with the potential customers
of a given company. The presence of this carder has positive effects organisational
performance if well motivated. This is because they are the one facing daily contact
with clientele. The study suggests that this carder is a brain child of any school;
therefore, they should be well motivated.
4.3 The Effect of Employee Motivation on Organizational Performance
According to Roos, (2005), employee motivation is an innate force, shaped and
maintained by a set of highly individualised factors that may change from time to
time, depending on the particular needs and motives of the employee (Roos, 2005).
Organizational performance is defined as the extent to which an organization, by the
use of certain resources, fulfils its objectives without depleting its resources and
without placing undue strain on its members and/or society (Mary et al., 1996 in
Manzoor, 2012).
Table: 4.3.6: Employee motivation determine organizational Performance
Level Total Percent
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Partially Agree 2 6.3
Agree 15 46.9
Strongly Agree 15 46.9
Total 32 100.0
Source: Field Survey, 2014
Respondents were asked as to whether employee motivations determine
organisational performance and the response is summerised in Table 4.3.6 above.
The study revealed that, on average about 93.8 percent were of the view that
employee motivations determine organisational performance, 6.3 percent were not
completely agree to it but to some extent determine organisational performance.
Employee motivation increase work performance of performance and job
satisfaction as Meyer and Peng, (2006) pointed out, good remuneration has been
found over the years to be one of the policies the organization can adopt to increase
their workers performance and thereby increase the organizations productivity. Also,
with the present global economic trend, most employers of labour have realized the
fact that for their organizations to compete favourably, the performance of their
employees goes a long way in determining the success of the organization.
The data implies that, employees are optimistic that if a given organization and or
company provide attractive motivations and other remunerations automatically will
improve organisational performance. The current study concurs with a study by
Afful-Broni, (2012) in Ghana, who revealed that, a greater percentage of 91.7 of the
respondents agreed that employees are keen to achieve high performance. They
stated among other things that motivation is rewarding and it leads to initiation and
innovation and that its presence at University of Mines and Technology (UMaT) will
go a long way to boost morale of workers to bring out the best in them.
The important issue to note here is that, telecom companies heave to make sure that
they put in place and transparently employees policy relating to motivations so that
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employees can have access to it and be in a position to choose types of motivators
that best suit them. The success of any marketing organization is determined by the
level of motivation of employees because it serves as mobilization to workers effort
towards attaining the organizational objectives as far as performance is concerned.
According to Olawepo, et al., (2013), motivation is directly related to the degree of
productivity in an organization. The needs of workers vary but the objectives of the
organization is superior to individual goals, hence any motivational package has to
take cognizance of such differences in employees needs and elicit the urge and drive
to make workers contribute immensely towards the achievement of organizational
goals. Research findings indicate that workers are motivated by a variety of
incentives including financial incentives, good working condition, promotion,
welfare packages, training as well as a host of others (Olawepo, et al., 2013).
The degree of attractiveness of motivation will determine the level of workers’
contribution towards the actualization of organizational goals and objectives. The
current study is therefore recommends that, it is necessary and a high time for
telecom companies to design motivational packages that will stimulate workers
effectively in order to contribute immensely towards the achievement of stated
organisational goals.
4.3.1 The Results of Employee Motivation in Enhancing Organizational
Performance in the Respective Organization
Organizational performance is defined as the extent to which an organization, by the
use of certain resources, fulfils its objectives without depleting its resources and
without placing undue strain on its members and/or society (Mary et al., 1996 in
Manzoor, 2012).
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Table: 4.3.7: Result of employee motivation in enhancing organisational
performance * Companies’ Name Cross tabulation
Companies’ Name
Total Level Airtel
MIC
(Tigo)
Smile
Communications
Voda
com
Poor Results 0 2 0 1 3
Satisfactory
Results
3 0 6 10 19
Good Results 1 2 2 2 7
Very good
Results
0 3 0 0 3
Total 4 7 8 13 32
Source: Field Survey, 2014
Respondents were asked to self-assess the results of employee motivations in
enhancing organisational performance in their respective company and the response
is summerised in Table 4.3.7 above. The study revealed that, 19 respondents were of
the view that in their companies the way they are currently motivated its results is
satisfactory, 7 respondents said it has good results, 3 respondents very good results
and the last group of respondents viewed it to have poor results.
The reason behind this response to majority of the respondents is that, the
responsible company does not view the issue of motivation as a key aspect to
increase employees work performance and hence increase company productivity,
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thus why they motivate in a way that employees view it as their companies are not
committed on it.
According to Olawepo, et al., (2013) some authors’ views on motivation have also
been expressed. Indeed some authors have contended that motivation only became
organizational issue when meaning was lost from work. Support to this view has
come from Savers (1986) who agreed and opined that in consequence, motivational
theories have become surrogates for the search for meaning. For Portal and Lawler
(1968), it is not just motivation that produces performance but a range of variables
such as the individual view of work, Ivancevich et al., (2011) have also taken the
view that certain conditions need to be present in order for rewards to be used to
motivate good staff (Olawepo, et al., 2013).
The data implies that, employees are not happy on the way their companies motivate
them. In Nigeria for example, a study by Nwachukwu (2004) blamed the
productivity of Nigerian workers on several factors, among them is employers’
failure to provide adequate compensation for hard work and indiscipline of the
privileged class that arrogantly displays their wealth, which is very demoralizing to
working class and consequently reduced their productivity (Nwachukwu, 2004).
The current study concurs with a study by Afful-Broni (2012) in Ghana, who
revealed that, a greater percentage of 91.7 of the respondents agreed that employees
are keen to achieve high performance. They stated among other things that
motivation is rewarding and it leads to initiation and innovation and that its presence
at University of Mines and Technology (UMaT) will go a long way to boost morale
of workers to bring out the best in them (Afful-Broni, 2012).
The important issue here to note is that, telecomm companies heave to make sure that
they put in place and transparently employees policy relating to motivations so that
employees can have access to it and be in a position to choose types of motivators
that best suit them. The success of any marketing organization is determined by the
level of motivation of employees because it serves as mobilization to workers effort
towards attaining the organizational objectives as far as performance is concerned.
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According to Olawepo, et al., (2013), motivation is directly related to the degree of
productivity in an organization. The needs of workers vary but the objectives of the
organization is superior to individual goals, hence any motivational package has to
take cognizance of such differences in employees needs and elicit the urge and drive
to make workers contribute immensely towards the achievement of organizational
goals. Research findings indicate that workers are motivated by a variety of
incentives including financial incentives, good working condition, promotion,
welfare packages, training as well as a host of others (Olawepo, et al., 2013).
The degree of attractiveness of motivation will determine the level of workers’
contribution towards the actualization of organizational goals and objectives. The
current study is therefore recommends that, it is necessary telecom companies to
design motivational packages that will stimulate workers effectively in order to
contribute immensely towards the achievement of stated goals.
4.4 Types of Motivators for Telecommunication Employees
According to Frey and Osterloh (2002) in the workplace, intrinsic motivations
consist of organisation loyalty, team spirit, autonomy, employees’ recognition,
absence of any kind of discrimination against workers and feeling of achievement.
Hence the motivation deriving from the activity itself or from within the person is
called internal or intrinsic motivation. While the extrinsic motivators are those things
satisfying the individual’s non job related needs and they are used to satisfy tangible
needs. These motivators are such as wage, bonuses, material goods, long holidays
and pension rights. Accordingly, the motivation steaming from external or from the
job to the person is called external or extrinsic motivation (Frey and Osterloh, 2002
in Mkisi, 2008). (See table 4.4.8)
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Table: 4.4.8: Types of motivators for telecom employees * Companies’ Name
Cross tabulation
Companies’ Name
Total
Motivators currently in
place Airtel
MIC
(Tigo)
Smile
Communi
cations
Vodac
om
Good salary, promotion 0 4 0 0 4
Good working condition,
Job security, Promotion,
good salary
0 0 2 0 2
Good working condition,
Job security, Career
development
0 0 3 0 3
Good working condition,
Job security, Promotion,
Good salary
0 0 0 2 2
Good working condition,
Promotion, Career
development
0 0 0 1 1
Good working condition,
Promotion, Good salary
0 0 0 1 1
Good working condition,
Relationship with
Supervisor
0 0 0 1 1
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Good working condition,
Job security, Promotion,
Good salary
2 0 0 0 2
Good working condition,
Promotion, Career
development
0 0 1 0 1
Good working condition,
Promotion, Career
development
2 0 0 0 2
Job security, Freedom
and/or autonomy
0 0 1 0 1
Job security, Career
development, Relationship
with Co-workers
0 0 0 3 3
Promotion, Good salary 0 0 0 1 1
Promotion, Career
development, Relationship
with Supervisor
0 0 0 4 4
Social Security Protection 0 3 0 0 3
Workers participation in
Organisational decision-
making
0 0 1 0 1
Total 4 7 8 13 32
Source: Field Survey, 2014
Respondents were asked to identify types of motivation that best suit telecomm
employees and the response is summarised in Table 4.4.8 above. The study revealed
that, 8 respondents,4 from Tigo and 4 from Vodacom were of the view that, the
leading types of motivators are offered by their respective companies are good
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salary, promotion and career development, promotion respectively. Followed by
Smile and Vodacom 6 respondents from each company- good working condition, job
security and career development respectively, the last one is 4 respondents from
Airtel- good working condition, job security, Promotion, good salary and career
development.
The reason behind this response to majority of the respondents is that, each employee
has its own priorities on the type of motivation that best suit him or her hence lack of
consistence between them. This statistics supported by the study of Kim, (2006) who
revealed that the priorities of employee motivational factors changed over time, and
there is more than one reason why these changes occurred. The reasons may be
economic conditions, change of working environment or industries, labor market
conditions, industry competitions, change in workers attitude, etc. (Kim, 2006).
For instance, Grayson and O’Dell (1988) explained that when World War II ended,
U.S. productivity soared: benefiting from new technology, flexibility in labour force,
and labour-management-government cooperation. Soared productivity and flexibility
in labour force could have boosted an employment rate which in turn increased wage
rates; therefore, employees were probably more concerned with intrinsic rewards
during this period, such as full appreciation of work done, feeling of being in on
things, and sympathetic help with personal problems. Furthermore, employees could
have valued intrinsic rewards because having a job itself was satisfying their needs, a
motivational factor, more than good wages or promotions due to the depression and
war prior to this period (Grayson and O’Dell,1988 in Kim, 2006).
The data implies that, each company has its own types of employee motivation
though they are performing activities of the same nature and characteristics due to
their policy and culture. According to Wiley (1997) suggests that there are some
motivators that employees value over time; however, the most preferred motivators
have changed over the last 40 years (Wiley, 1997 in Kim, 2006). She refers to the
survey results of 1946 by the Labour Relations Institutes of New York reported in
Foreman Facts, similar surveys administered in 1980 and 1986 (Kovach, 1984
&1987), and lastly her survey in 1992. The top motivator selected by employees in
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1946 was full appreciation of work done. Good wages ranked in the middle and
interesting work ranked at number 7. In 1980 and 1986, employees’ top concern was
interesting work, followed by full appreciation of work done with good wages and
job security (Kim, 2006).
The important issue here to note is that, these companies have to make sure that
when designing and or introducing type of employee motivation, consultation with
the employee is highly recommended so as to fit for all due to different human needs.
The current study is therefore recommends that, it is necessary for Tanzania
Communication Regulatory Authority (TCRA) to design types of motivations that
best suit all employees in telecom companies due to the nature of their activities.
4.5 Effectiveness of Types of Motivators
Accoeding to Baron, (1991) motivation is one of the most pivotal concerns of
modern organisational research (Baron, 1991 in Roos, 2005). Van Niekerk (1987)
emphasised this point by stating that productivity is a function of both the motivation
and the ability of an employee (Van Niekerk, 1987). Therefore, if motivation equals
zero, so does productivity. Since employee performance is a joint function of ability
and motivation, one of management’s primary tasks, therefore, is to motivate
employees to perform to the best of their ability (Moorhead & Griffin, 1998).
Table: 4.5.9: Effectiveness of Motivators
Level Total Percent
Poor 7 21.9
Satisfactory 15 46.9
Good 7 21.9
Very Good 3 9.4
Total 32 100.0
Source: Field Survey, 2014
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Respondents were asked to level the effectiveness of employee motivators used by
their company and the response is summerised in Table 4.5.9 above. The study
revealed many respondents 15 equals to 46.9 percent were of the view that types of
employees motivators offered by their company are satisfying them, on the average
10 respondents equals to 31.3 percent good and 7 respondents equals to 21.9 are
poor. The data above suggest that, telecom companies does not invested much on the
issue of employee motivation thus why respondents viewed it to be satisfactory to
them. It was also revealed by Afful-Broni, (2012), in his study that low monthly
salaries and the general lack of motivation were the major factors that reduce morale
for high performance at the University of Mines and Technology in Ghana. (Afful-
Broni, 2012).
The data implies that, motivation is critically important for workers. Among other
things, it puts staff into action. It also improves the level of efficiency of employees.
Apart from that, it leads to the achievement of organizational goals; it builds friendly
relationship and finally it leads to stability of workforce. Since individuals are unique
in their own ways, it is essential that management at the respective companies
identify the individual needs of their employees and motivate them accordingly so as
to bring out the best in them. The current study is supported by a study of Iqbal, et
al., (2011) in a study on employee’s job satisfaction in telecommunication companies
located in Pakistan, who found that employees’ motivation and satisfaction have
significant impact to promotion (Iqbal, et al., 2011).
As revealed by Rao (2005), satisfaction at the work place is achievable when a
person is motivated to work. Thus, keeping employees motivated serves as a pre-
condition for employees to remain loyal to the organization. As found from the
Telekom Malaysia (TM) Berhad official website (2011), the organization has
demonstrated increasing employee satisfaction, from 7.7% in 2007 to 8.6% in 2008,
and this is due to the interest of its corporate responsibility to the employees (Munap,
2013). The important issue here to note is that, poorly designed types of employee’s
motivations provided by the organization may result to employee job dissatisfaction
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and low motivation. Thus, the unsatisfactory environment frequently results in
decreased which will then disrupt the level of performance and employee morale.
As pointed out by Munap, (2013), in relation, inferior quality of psychological factor
of people may affect lower productivity in completing task. Comparably, unsettled
state of employee psychological readiness may result in lower productivity, higher
absenteeism, and tardiness. Hence, no matter how good is the physical environment
of the workstation provided by an organization, employees still cannot deliver the
best effort if there existed a feeling of unhappiness?. Employees usually walk out of
the company because of their dissatisfaction with the payment given, and argued for
their inequity with others (Munap, 2013). The current study suggests that, telecom
companies have to institute policies that have clear policy statements and guidelines
on how to effectively provide employee’s motivations within a given organization.
Effective provision of employee’s motivations within the organization increase
employee job satisfaction and increase organisational performance and or
productivity. It is therefore recommended that the management of telecom
companies should be more innovative and proactive in creating and strategizing new
measures that would ensure a fairer, logical and adequate motivation for all
employees.
4.6 Techniques Used to Motivate Employees in the Respective Company
Motivational techniques inspired many scholars; among them is Locke (1979) who
stated that, goal setting is a simple, straightforward, and highly effective technique
for motivating employee in enhancing organizational performance (Locke,1979).
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Table: 4.6.10: Techniques used to motivate employees in the organisation *
Companies’ Name Cross tabulation
Companies’ Name
Total
Motivation
Techniques Airtel
MIC
(Tigo)
Smile
Communications
Voda
com
Employee bonus 0 1 0 0 1
Employee bonus and
overtime allowances
0 0 0 1 1
House rent allowance 0 1 0 0 1
Medical and Overtime
allowances
1 0 0 1 2
Medical, Mobile
phone, Transport
allowances
0 1 0 0 1
Medical, Overtime,
Mobile phone
allowances
0 0 0 1 1
Overtime allowance 0 1 0 0 1
Staff training 0 2 0 0 2
Staff training,
Employee bonus and
Festival bonus
1 0 0 0 1
Staff training,
Medical, Mobile
phone allowances
0 0 3 4 7
Staff training, Mobile
phone, Meal
0 0 1 0 1
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allowances
Staff training,
Employee bonus,
Holyday allowances
1 0 2 3 6
Staff training,
Overtime, Mobile
phone allowances
0 1 0 0 1
Transport, Holyday,
House rent, Meal
allowances
1 0 2 3 6
Total 4 7 8 13 32
Source: Field Survey, 2014
Respondents were asked to identify techniques used to motivate employee in their
company and the response is summerised in Table 4.6.10 above. The study revealed
the leading technique is staff training, medical and mobile allowances which were
identified by 3 respondents from Smile communications and 4 respondents from
Vodacom. Another identified techniques were staff training, employee bonus and
holyday allowance from which 1 respondent from Airtel,2 from Smile
communications and 3 from Vodacom, and the last group were transport, holyday,
house rent and meal allowances where 1 respondent from Airtel, 2 from Smile
communications and 3 respondents from Vodacom.
The reason behind this response is that, each company finds its own techniques to
motivate and retain its employees for the betterment of company productivity.
According to Rietdijk, (2010) in his study revealed that, rewarding good behaviour
works, as long as managers involve their employees in the settings of their bonuses.
He also recommends that both financial and social rewards should be implemented in
their management. Rustenburg (2002) mentions, that the way to choose the best
incentive system in order to increase the motivation of your employees is dependent
on the culture of the organization, the strategy of the organization, the market
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situation and the character of the sales representatives. This might explain a part of
the contradictions that some managers are confirmed that incentive system s
motivate, whereas others are against using them (Rietdijk, 2010).
The data implies that, techniques used by telecom companies vary from company to
company, and therefore, there is no uniformity. The current study concurs with a
study by Afful-Broni (2012) in Ghana, who revealed that, a greater percentage of
91.7 of the respondents agreed that employees are keen to achieve high performance.
They stated among other things that motivation is rewarding and it leads to initiation
and innovation and that its presence at University of Mines and Technology (UMaT)
will go a long way to boost morale of workers to bring out the best in them (Afful-
Broni, 2012).
The important issue here to note is that, telecomm companies have to make sure that
they put in place and transparently employees policy relating to motivations so that
employees can have access to it and be in a position to choose types of motivators
that best suit them. The success of any marketing organization is determined by the
level of motivation of employees because it serves as mobilization to workers effort
towards attaining the organizational objectives as far as performance is concerned.
According to Olawepo, et al., (2013), motivation is directly related to the degree of
productivity in an organization. The needs of workers vary but the objectives of the
organization is superior to individual goals, hence any motivational package has to
take cognizance of such differences in employees needs and elicit the urge and drive
to make workers contribute immensely towards the achievement of organizational
goals. Research findings indicate that workers are motivated by a variety of
incentives including financial incentives, good working condition, promotion,
welfare packages, training as well as a host of others (Olawepo, et al., 2013).
The degree of attractiveness of motivation will determine the level of workers’
contribution towards the actualization of organizational goals and objectives. The
current study is therefore recommends that, it is necessary telecom companies to
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design motivational packages that will stimulate workers effectively in order to
contribute immensely towards the achievement of stated goals.
4.7 Effectiveness of the Current Employee Motivational Techniques
According to Paarlberg (2006), to achieve a certain desired goal the organisation
needs to motivate workers. Motivation cycle suggests that high performance leads to
the receipt of rewards, both intrinsic and extrinsic, which leads to increased
employee satisfaction when such rewards are valued by the employee and perceived
as equitable (Paarlberg 2006). Many theories of workplace incentives claim that a
particular act would result to an outcome (Vroom 1964 in Mkisi, 2008). This concept
which can be linked to in-put out-put model which means that, when an employee is
given a certain motivation it will lead to increase in performance and hence increase
in productivity (Mkisi, 2008).
Table: 4.7.11: Effectiveness of motivational techniques within the organisation
Level Total Percent
Poor 7 21.9
Satisfactory 15 46.9
Good 9 28.1
Very Good 1 3.1
Total 32 100.0
Source: Field Survey, 2014
Respondents were asked to rank the effectiveness of the current employee motivation
techniques that are offered in their respective companies and the response is
summerised in Table 4.7.11 above. The study revealed that, 15 respondent’s equals
to 46.9 percent were of the view that the techniques that are used in their companies
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are satisfactory, on the average 10 respondents equals to 31.2 percent were of the
view that the techniques are satisfactory and the last 7 respondent’s equals to 21.9
percent said the techniques are poor.
The reason behind this response is that, telecom companies are doing their best in
providing the employee motivational techniques. This in one way or another
discourages work morale and performance hence reducing companies productions.
According to Delaney and Huselid, (1996) the effectiveness of skilled employees is
likely to be limited if they are not motivated to perform. One of the means that
organizations can use to enhance employee motivation and performance is to provide
performance related compensation (Delaney and Huselid, 1996 in Yasmeen, 2013).
A reward and compensation system is based on the expectancy theory, which
suggests that employees are more likely to be motivated to perform when they
perceive that there is a strong link between their performance and the reward they
receive (Fey and Bjorkman, 2001; Guest, 2002; Mendonca, 2002 in Yasmeen, 2013).
In other words, the compensation system (e.g. profit sharing) contributes to
performance by linking the interests of employees to those of the team and the
organization, thereby enhancing effort and performance (Kalleberg and Moody,
1994; Huselid, 1995; Kling, 1995 in Yasmeen, 2013).
The data implies that, employee can perform better only if they are well motivated by
their company through different motivational techniques and approaches imposed
within the organizational settings. In Nigeria, a study by Muogbo, (2013), asserted
that workers tend to perform more effectively if their wages are related to
performance which is not based on personal bias or prejudice, but on objective
evaluation of an employee’s merit (Muogbo, 2013).
Though several technique of measuring job performance has been developed, in
general, the specific technique chosen varies with the type of work. For achieving
prosperity, organization designs different strategies and techniques to compete with
their rivals and for increasing the performance of the organizations. A very few
organizations believe that the human personnel and employees of any organization
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are its main assets which can lead them to success or if not focused well, to decline.
Unless and until, the employees of any organization are satisfied with it, are motivated for
the tasks fulfillment and goals achievement and encouraged, none of the organization can
progress or achieve success (Ibid).
The important issue here to note is that, telecomm companies should impose as
efforts as they can, so as to bring to focus how an appropriate techniques that can
influence employees to develop positive attitude towards their job and thereby
increase their productivity within the respective organization. According to Shadare
et al., 2009 employee motivation is one of the policies of managers to increase
effectual job management amongst employees in organizations (Shadare et al., 2009
in Muogbo, 2013).
A motivational employee is responsive of the definite goals and objectives he/she
must achieve, therefore he/she directs its effort in that direction. Rutherford (1990)
reported that motivation formulates an organization more successful because
provoked employees are constantly looking for improved practices to do a work.
Getting employees to do their best work even in strenuous circumstances, is one of
the employees most stable and greasy challenges and this can be made possible
through motivating them (Rutherford, 1990 in Muogbo, 2013).
Employees want to earn reasonable salary and payment, and desire their workers to
feel that is what they are getting (Houran, 2010 in Muogbo, 2013). Money is the
fundamental inducement; no other motivational technique comes even close to it
with respect to its influential value. It has the supremacy to magnetize, maintain and
motivate individuals towards higher performance. Frederick Taylor and his scientific
management associate described money as the most fundamental factor in motivating
the industrial workers to attain greater productivity. The study therefore recommends
that, leadership is all about getting things done the right way, to do that you need
people to follow you, you need to have them trust you. And if you want them to trust
you and do things for you and the organization, they need to be motivated (Baldoni,
2005 in Muogbo, 2013).
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This chapter discussed inter alia, research findings in detail within which data were
analysed and interpreted in tables. The study revealed the following; respondents
surveyed in this study agreed that, employee motivations real determine
organisational performance, employee motivations in enhancing organisational
performance in the telecom companies have satisfactory results, the leading types of
motivators identified to be good salary, promotion and career development, the
effectiveness of employee’s motivators used by telecom companies are satisfactory,
the leading techniques used to motivate employees were identified to be staff
training, medical and mobile allowances, the effectiveness of the current employee
motivational techniques were found to be satisfactory.
The following chapter discusses the conclusion of the study; recommendations of
key important issues and the observed further researchable area.
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CHAPTER FIVE
SUMMARY, CONCLUSION
5.1 Introduction
This chapter summarizes the findings, presents the discussion of the findings,
conclusion of entire paper and the general recommendations from the field survey
and areas for further study.
5.2 Summary of the study
A study on the role of employee motivations in enhancing organisational
performance was done at Kinondoni Municipal Council in Dar-Es-Salaam City; the
general objective was to assess the role of employee motivations in enhancing
organisational performance. The specific objectives were; to determine the effect of
employee motivation on organizational performance; to identify types of motivators
for telecommunication employees; and, to determine the best employee motivational
techniques for organisational performance.
The significance of the study was to benefit the Vodacom (T) and same service
providers and other stakeholders in the issue of employee motivations in relation to
organisational performance. It will further, bring light to different types and
techniques of motivation which will inform the design of appropriate measures
aimed at bringing out the best employees with regard to performance, causes of low
performance will inform the management and policy makers in their decision-
making. And finally, Administrators will be helped through the use of motivation not
just for the sake of it but to know how, when, what type and techniques that best suit
telecom employees.
Both theoretical and empirical literatures were reviewed and research gap which was
determined at the proposal stage was covered from the data analysis and discussion.
The population for the study was 32 respondents. Research design was case study
design and data collection method used was questionnaires. Data analysis was done
through the aid of computer software Excel and Statistical Package for Social
Scientist (SPSS) based on the research objectives.
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The study revealed the following;
In Objective One- the findings indicate that, employee motivation determine
organisational performance, i.e. 93.8 percents of the surveyed respondents agreed
that employee motivation determine organisational performance, 6.3 percent were
not completely agreed to it but to some extent determine organisational performance.
(See table 4.3.6)
In objective Two- the findings indicate that the leading type of motivators for
telecom employees are good salary, promotion and career development, followed by
good working condition, job security and career development, the last one were good
working condition, job security, promotion, good salary and career development.
(See table 4.4.8)
In objective Three- the findings indicate that, amongst the leading techniques used to
motivate employees in telecom companies were staff training, medical and mobile
allowances, followed by staff training, employee bonus and holyday allowances, the
last one transport, holyday, house rent and meal allowances. (See table 4.6.10)
5.3 Conclusion
The aim of this research was to assess the role of employee’s motivations in
enhancing organisational performance. According to Lut, (2012), most professionals
and managers associated organizational performance with motivation of employees,
with their participation and involvement in the organization. Interest in the
employees’ motivation and satisfaction was born precisely from the need to
understand and to use subjective factors explaining differences in behaviour and
performance of those who work. Job motivation and job satisfaction and especially
the connection of these variables to performance attracted the interest of researchers
both in the field of social psychology and the organizational psychology (Lut, 2012).
According to Vinke (1999), employee motivation is the key success factor for a
company. Especially in contact centres, where operational employees are for a huge
amount responsible for sales generation, motivation is an issue which needs to be
optimized. In practice, Managers use different motivation techniques because they do
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not seem to know what actually motivates their personnel (Vinke, 1999 in Litjens,
2011).
The current study revealed that, respondents surveyed in this study agreed that,
employee motivations real determine organisational performance, employee
motivations in enhancing organisational performance in the telecom companies have
satisfactory results, the leading types of motivators identified to be good salary,
promotion and career development, the effectiveness of employee’s motivators used
by telecom companies are satisfactory, the leading techniques used to motivate
employees were identified to be staff training, medical and mobile allowances, the
effectiveness of the current employee motivational techniques were found to be
satisfactory.
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APENDICES
Appendix I: Research Questionnaire
My name is Erick Charles Marupa, a student at Mzumbe University pursuing Master
of Business Administration Degree in Corporate Management (MBA-CM). This
questionnaire is part of the questions in my dissertation paper about the Title:
Telecommunication Sector in Tanzania: “An Assessment of Role of Employee
Motivation in enhancing Organisational Performance”. If you will agree voluntarily
to participate in this study, please correctly fill the questions below. And I would like
to assure you that your name and a place where you live will not be disclosed in this
study so as to observe confidentiality in research activities. Your answers will remain
confidential and will not be used against this study.
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Thanks you for your cooperation!
SECTION A: PERSONAL INFORMATION
Please give your answer by putting a tick (√) in the appropriate space or write your
answer in the space provided:
1. Gender: Male ( ) Female ( )
2. Age
S/No Age group [√]
1 21-30
2 31-40
3 41-50
5 51-60
6 61and above
3. Marital Status
Put a tick [√] at the correct answer
S/No Marital Status [√]
1 Married
2 Single
3 Divorce
4 Separate
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5 Widow
4. Level of education
Put a tick [√] at the correct answer
S/No Education Level [√]
1 Standard Seven
2 Form Four
3 Form Six
4 Professional Certificate
5 Diploma
6 Bachelor Degree
7 Post Graduate Diploma
8 Masters Degree
9 PhD Degree
5. Occupational
status/Position................................................................................................
6. Companies Name
............................................................................................................
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SECTION B: EMPLOYEE MOTIVATION ON ORGANIZATIONAL
PERFORMANCE
Put a tick [√] in the box at the correct answer
2.1 Does employee motivation determine organisational performance?
Levels Tick [√]
Strongly Disagree
Disagree
Partially Agree
Agree
Strongly Agree
2.2 If you have to self-assess, how do you assess the results of employee motivation
in enhancing organizational performance in your company?
Put a tick [√] below the number at the correct answer
Results Very
Poor
Results
Poor
Results
Satisfactory
Results
Good
Results
Very Good
Results
Tick
[√]
SECTION C: TYPES OF MOTIVATORS FOR TELECOMMUNICATION
EMPLOYEES
Put a tick [√] below the number at the correct answer
3.1 What types of motivators those best suit telecommunication employees?
S/No. Motivation Techniques Tick [√]
1 Good Working Condition
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2 Job Security
3 Workers participation in Organisational
Decision-Making
4 Promotion
5 Career Development
6 Freedom and/or Autonomy
7 Relationship With Supervisor
8 Relationship With Co-Workers
9 Good Salary
10. Social Security Protection
11. Others (Specify)
Put a tick [√] below the number at the correct answer
3.2 What are the types of motivators currently in place in your telecomm
company?
S/No. Motivation Techniques Tick [√]
1 Good Working Condition
2 Job Security
3 Workers participation in Organisational
Decision-Making
4 Promotion
5 Career Development
6 Freedom and/or Autonomy
7 Relationship With Supervisor
8 Relationship With Co-Workers
9 Good Salary
10. Social Security Protection
11. Others (Specify)
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3.3 How effective are the above types of motivators in your company in relation
to organizational performance?
Put a tick [√] below the number in the box at the correct answer
Effectiveness Very Poor Poor Satisfactory Good Very Good
Tick [√]
SECTION D: EMPLOYEE MOTIVATIONAL TECHNIQUES
Put a tick [√] at the correct answer
4.1 What are the best motivation techniques for organisational performance?
S/No. Motivation Techniques Tick [√]
1 Money
2 Staff training
3 Informational Availability
4 Medical Allowance
5 Employee Bonus
6 Festival Bonanza
7 Overtime Allowance- Shift and On-Call
8 Children Educational Allowance
9 Mobile Phone Allowance
10. Long Service Allowance
11. Transport Allowance
12. House Rent Allowance
13. Holyday Allowance
14. Meal Allowance
15. Disability Allowance
16. Others (Specify)
4.2 What are the techniques used to motivate employees in your company?
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Put a tick [√] at the correct answer
S/No. Motivation Techniques Tick [√]
1 Money
2 Staff training
3 Informational Availability
4 Medical Allowance
5 Employee Bonus
6 Festival Bonanza
7 Overtime Allowance- Shift and On-Call
8 Children Educational Allowance
9 Mobile Phone Allowance
10. Long Service Allowance
11. Transport Allowance
12. House Rent Allowance
13. Holyday Allowance
14. Meal Allowance
15. Disability Allowance
16. Others (Specify)
4.3 How effective are the current employee motivational techniques in your
company?
Put a tick [√] in the box provided at the correct answer
Status Very Poor Poor Satisfactory Good Very Good
Tick [√]
SECTION E: GENERAL RECOMMENDATIONS
5.1 What are your general recommendations on sustainable employee motivation on
organizational performance?
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