Leadership

Themotivation of workers has become an essential part of firms sinceorganizations have come to appreciate that there is a closeassociation amid employee motivation, their productivity, andperformance of businesses. Mostcompanies are performing lowly and have reduced production levelsbecause of failing to motivate workers. Motivating of employees is ofmammoth importance because it makes sure that workers maintain theirproductivity in an entity. Businesses that ensured that workersremain motivated have profited from improved outcomes (Korzynski,2013).A key element of modern organization operation entails possessing aworkforce that is motivated to offer the best to an organization.This being the case, there is a need to inspire the workers so as tomake them have a positive approach towards their work. The manner inwhich employees take job in an entity can be deemed as part of theirculture in the firm. Employee culture is imperative in motivatingworkers since, they will always become inspired by a working culturethat takes into consideration their needs. Workersbeing a central part of a business need to be motivated in thepositive track for better outcomes (Korzynski,2013).Also, this aids in employee happiness, reduced turnover, anddeveloping an excellent culture in a firm along with attainment. Itis imperative for managers of an organization to comprehend thedriving factors of its employees. Managers should be involved inactions that make the workplace a setting, where employees arepleased about themselves. When workers are at their workplaces, theycannot change their human nature to something else because that isreality. This means that they cannot change their needs by adjustingtheir setting. Thus, it is vital for managers of entities to know thedriving needs of workers since it is these tend to motivate them andmake them productive.

PartI

A

Theissue affecting the organization is that it has a deterioratingperformance and the employees of the company lack the motivation towork. The research question that arises from the problem is whetherthe motivation of employees can influence the performance of thecompany in relation to profit and expenses of the firm. Motivationrefers to a process, which begins with a psychological orphysiological need that tend to stimulate a behavior or a drive thatis aimed at an objective. The significance of the problem is thatemployees that are not motivated may not perform to their best, whichmay tend to lower the outcomes of an organization. Thus, the problemhas a likelihood of adversely affecting the company. However, bysolving the issue, the entity would have positive results in terms ofperformance. From the problem, the performance of an organization isthe dependent variable while motivation of employees, profit, andexpenses of the firm are the independent variables.

B

Kim,Park, Cozart &amp Lee (2015) argue that engagement and motivationare dissimilar however, motivation can be changed into engagementthrough the formulation of a proper strategy. The authorsinvestigated the differences amid low and high performers in respectto adjustments in their regulation, motivation, and engagementthroughout a term. After conducting surveys and analyzing theresults, they concluded that motivation was different amid the lowand high performers (Kim et al., 2015). The article is relevant tothe issue under discussion because it depicts the importance ofmotivation in influencing performance. This emerges from the articlesince there is an indication that the low and high performersdiffered in terms of performance.

Inresearch conducted by Barbosa-McCoy(2016), she indicated that hotel employees are likely to perform wellwhen there was motivation through community engagement. From heranalysis, she indicated that motivational strategies are critical fora hotel manager since they help him/her to understand themotivational needs of employees and when they should be applied. Theauthor claims that motivation has a substantial role in promotingemployee performance and it is the responsibility of the managers touse various approaches to motivate workers. Further, she posits thatmotivation works like a synergy for facilitating the performance ofworkers, and leaders should consider positively motivating employeesas they are bound to do better than their unmotivated counterparts.Positive motivation has a higher chance of increasing revenues thatcan complement cash flows of an organization. This article is relatedto the research topic because it has discussed the relevance ofemployee motivation in the attainment of performance. The article isalso essential since it tries to answer the question underinvestigation.

Accordingto Joseph (2015), the success of almost any aspect of a business canbecome traced to employees who are motivated. In most of thecommercial industries today, their success is determined by how wellthey attract, retain, as well as develop workers. The author alsopoints out that unlike physical assets employees have theirindividual needs which require to be met as well as habits that mustbe controlled in case they are to lead to the progress of an entity.In case they become managed poorly, they have the ability toadversely limit the growth of an organization, and can even threatenthe existence of business (Joseph, 2015). In any firm, employees aredeemed to be very significant in establishing whether it will attainsuccess or failure. It is possible to have an organization that hasan excellent manager, a good vision and objectives but neglects itsemployee. Such an entity may be in turmoil. According to Joseph(2015), workers who are unsatisfied generate results that areunsatisfactory. Hence, it is exceedingly vital for entities to ensurethat they keep their employees satisfied. This article is crucial tothe topic under discussion because it attempts to relate theimportance of motivating employees, through gratifying them theirneeds, and the results that an organization is likely to attain.

Dobre(2013) posits that all firms desire to accomplish positive outcomes,despite the competitive market. However, he indicates that in orderfor organizations to achieve success, there is a need to overcomechallenges by developing robust relationships with their workers. Increating such associations, firms have to satisfy the needs of theiremployees. The author argues that since different people tend to havedistinct needs a company is supposed to look at the needs of itsvaried workers and identify ways of gratifying the necessities. By acompany satisfying the different employees’ needs, it motivatesthem. The author presents theories that can be used in theidentification of the various needs of employees. Additionally, theauthor has the idea that employee participation and engagement issubstantial in motivating employees. This article is important to theissue of motivation and performance since it shows that employees whoare motivated have the drive towards realizing positive outcomes.

Accordingto Solomon &amp Hashim (2012), there is a clear relationship amidthe human resource management and employee performance. The manner inwhich the human resource management perceives workers is critical ininfluencing the outcomes of a firm. In cases where the HRM does notproperly treat employees by not providing them with theirnecessities, human resources are likely to become demoralized andfail to give the best results. Alternatively, in instances where HRMis in a position to offer things that make satisfy the needs ofemployees, then the workers become motivated and make an entity to beproductive (Solomon &amp Hashim, 2012). The authors also claim thatthere are different kinds of motivational systems that organizationsneed to consider so as to encourage their personnel to do their besta move that results in higher employee productivity. The rewardsystem is perceived as important in influencing how workers wouldperform. From this article, it is apparent that the motivation ofworkers in an organization can be related to its performance sincemotivated employees have the tendency to produce high results.Therefore, the information in the article matches with what theresearch question is trying to find.

Froma study conducted by Muogbo (2013), he found that in the presenteconomic trend, most firms all over the globe have appreciated theidea that in order to remain aggressive and compete effectively withother firms, it is important to take into consideration theperformance of employees because it is their inputs that help inmaking an organization successful. According to the author, there aredifferent approaches that organizations can use to motivate employeesso as to realize high performances (Muogbo, 2013). In most cases,rewarding employees has been considered important in influencing theproductivity of workers. Furthermore, the author claims that theperformance of employees has become vital because of the increasingconcern of human resources and personnel experts concerning theoutput level obtained from employees (Muogbo, 2013). Inachieving success, an organization uses various strategies to competewith other firms and for enhancing the performance of the entities.In most cases, there are exceedingly few businesses that wouldbelieve that the employees, as well as the human personnel, are itsmain assets which can determine their success or failure. However, noorganization can fully attain its goals without first satisfying theneeds of its employees. Employeesare a significant part of an entity, so workers motivation issubstantial in retaining and inspiring them to become moreresult-oriented. Also, motivation is imperative because it is animportant ingredient for enhancing their outcomes. Fromthe article, there is a clear relationship between the motivation ofworkers and performance of an organization. Thus, the content of thearticle is of immense importance to the topic because it tries toprovide a resolution to the study question.

Fernandezand Pitts&nbsp(2011) claim that employees’ motivation emerges asthe primary aspect to enhancing their entire productivity. Thisoriginates from the reasoning that workers tend to be more productivewhen they are motivated.&nbspDifferent businesses have developedvarious ways in which employees can be motivated. The approaches areusually influenced by the aspects that drive workers. Furthermore,researchers have come up with&nbsptechniques, which&nbsphave beenconsidered by the human resource units to attain the sameoutcomes.&nbspIt is imperative for entities to understand whatdrives workers since it is through this understanding thatorganizations can know the drive that can best motivate workers.&nbspEmployee motivation acts as a way of guiding workers in a positiveroad for a better outcome and efficiency in an organization. It iscrucial to offer motivation to workers of an entity since it assiststhem to develop their ethics and self-esteem that further help themto work creatively. This article is important to the researchquestion as it provides information concerning how the concept isimportant to the performance of an organization.

Emekaet al. (2015) indicate that good remuneration to employees is one ofthe mostly used motivating factors by firms. This has been used byorganizations to ensure that employees increase their performance,which is critical for enhancing the productivity of firms. Also,Emeka et al. (2015) argue that organizations have now realized theneed to take into consideration the performance of their employeesbecause they have come to establish that workers go a long way indetermining the success of companies. Thus, businesses have resultedto treating their workers with dignity. The authors further point outthat the performance of workers in an organization is important, notfor the growth of the firm alone, but also for the growth of workersindividually (Emeka et al., 2015). Besides, the authors posit thatvery few companies would believe that the employees are their chiefresources, which can either lead them to failure or success. Theycome to believe the idea when they treat employees to theirsatisfaction or mistreat them. The article is pertinent to the topicunder discussion because it provides information that the researchquestion attempts to find out.

C

ABC’sData for the Past Five Years

Year

Retained Profit ($)

Expenses ($)

2011

8000

1000

2012

7500

1500

2013

6000

1800

2014

6000

2000

2015

4000

2200

Inthis case, the levels of measurement for profit made by the companyand the expenses for the entity are ratio this is because, it ispossible to have zero measurement for profits and expenses, whichwould make a meaningful value.

Alternatively,in obtaining data for whether motivation of employees influences theperformance of an organization, participants from the organizationwere required to indicate a Yes or No response. Data was gatheredfrom 20 individuals and their answers were as follows

Doyou think the motivation of workers influences a firm’sperformance?

Individual No.

Responses

1

yes

2

yes

3

yes

4

yes

5

no

6

yes

7

yes

8

yes

9

no

10

yes

11

yes

12

no

13

no

14

yes

15

yes

16

yes

17

yes

18

yes

19

yes

20

yes

Thekind of measurement that can be associated with this variable isnominal. This is because any number given to the variable ismeaningless.

PartII

A

Performance(net income) of an organization can be considered to be a function ofthe company’s retained profits, expenses, as well as employees’motivation. This can be presented as follows

Performance(net income) = Retained profits – Expenses + Motivation

GraphicalInterpretation of Retained Profits

Thegraph for retained profits for the organization is downward sloping,which implies that the retained profits for the company have beendecreasing for the period under consideration. The graph is flatbetween 2013 and 2014 because during the period, the retained profitsremained constant during the time. The graph shows that there was alarge decrease in retained profits for the firm between 2014 and2014, which can be evidenced by a steeper slope compared to the otherperiods.

GraphicalInterpretation of Expenses

Thegraph for expenses for the firm is upward sloping for the periodunder consideration. This is an indication that the costs encounteredby the organization have been on an upward trend for the period from2011 to 2015. The expenses for the organization were lowest in 2011and highest in 2015.

GraphicalInterpretation for Net Income

Performance(net income) = Profits – Expenses

Year

Profit ($)

Expenses ($)

Net Income

2011

8000

1000

7000

2012

7500

1500

6000

2013

6000

1800

4200

2014

6000

2000

4000

2015

4000

2200

1800

Thegraph for net income of the organization is downward sloping.However, the graph is not a straight line because the values do nothave a uniform change from one year to the next. The net income hasbeen decreasing, where 2011 had the highest net income while it waslowest in 2015.

B

Net Income

7000

6000

4200

4000

1800

Truemean of the Dependent Variable = (7000 + 6000 + 4200 + 4000 + 1800)/5

=23000 /5

=4600

95%confidence interval- in finding the confidence interval, the valuefor the 95% level has to be found from the z-table. From the table,the value for the 95% is 1.96. Therefore, the 95% confidence intervalwill be as follows

Upperinterval = 1.96 + 4600

=4601.96

Lowerinterval = 4600 – 1.96

=4598.04

Thus,the interval is 4598.04 – 4601.96

Fromthe calculation, it can be argued that the true mean of the dependentvariable falls within the 95% confidence interval of 4598.04 to4601.96, where 4598.04 is the lower boundary while 4601.96 is theupper boundary within the interval. Hence, the confidence interval is(4598.04, 4601.96).

C

Theindependent variable that I choose is expenses. The table belowprovides the values of expenses for the organization for a period offive years

Expenses ($)

1000

1500

1800

2000

2200

Fromthe table, the true mean for the expenses would be calculated asfollows

Mean= (1000 + 1500 + 1800 + 2000 + 2200) /5

=8500 /5

=1700

95%confidence interval: the upper boundary would be 1700 + 1.96 =1701.96

Thelower boundary will be 1700 – 1.96 = 1698.04

Theconfidence interval is (1698.04, 1701.96)

Fromthe calculation, the interval for the 95% confidence for the mean is1698.04 to 1701.96.

Forthe categorical variable, the sample proportion of the populationwould be established by considering the number of individuals whobelieve that motivation has an impact on the performance of theorganization. In this case, the sample proportion would be asfollows

Sampleproportion = 16 /20

=0.8

Sincethe critical value for 95% is 1.96, the upper and lower boundarieswould be as follows

Upperboundary = 0.8 + 1.96 = 2.76

Lowerboundary = 0.8 – 1.96 = -1.16

Therefore,the confidence interval is (-1.16, 2.76)

E

Hypothesistesting for the dependent variable

Nullhypothesis: True mean of the dependent variable is equal tocalculated mean

AlternativeHypothesis: True mean of the dependent variable is not equal to thecalculated mean

Thesignificance level is 0.05 or 95% confidence level

Therefore,the critical value is 1.96

Calculatedmean for the dependent variable = 4600

4600&gt 1.96

Therefore,since 4600 &gt 1.96, then the null hypothesis should be rejected,and the alternative hypothesis should be accepted. Hence, it can beargued that the means are not equal but different.

Hypothesistesting for the independent variable

NullHypothesis: the true mean of the independent variable is equal to thecalculated mean

AlternativeHypothesis: the true mean of the independent variable is not equal tothe calculated mean

Significancelevel = 0.5

Criticalvalue = 1.96

Truemean for the independent variable = (1000 + 1500 + 1800 + 2000 +2200) /5

=1700

1700&gt 1.96

Therefore,since 1700 &gt 1.96, the null hypothesis should be rejected, and thealternative hypothesis should be accepted. This implies that themeans are not equal.

PartIII

ScatterPlot for the dependent variable and one independent variable. In thiscase, the independent variable that has been selected is retainedprofits. The scatter plot and graph for the variables are as follows

Profit ($)

Net Income

8000

7000

7500

6000

6000

4200

6000

4000

4000

1800

Fromthe graph, it can be indicated that the linear relationship amid thedependent and the independent variables is a positive one implyingthat an increase in profits causes an increase in the performance ornet income of an organization. From the graph, the best fit line hasa positive slope, which adds to the idea that the two variables arepositively related.

B

Equationof the best fit

Theequation for the best fit can be determined by considering two pointswhere the line passes through it is from these two points that thegradient for the line can be established. After determining the slopeor gradient of the line, it would be possible to obtain the equationof the line using one of the sets of points.

Letletter x denote profit while letter y denote net income

Twopoints can be selected from the scatter plot for example, considertaking the points (7500, 6000) and (4000, 1800).

Fromthe two sets of points, the gradient would be calculated as follows

Gradient= (6000 – 1800) / (7500 – 4000)

=4200 / 3500

=1.2

Toestablish the equation of the line, one of the set of points can betaken. In this case, the point (4000, 1800) will be considered.

(Y– 1800) / (X – 4000) = 1.2

Y– 1800 = 1.2 (X – 4000)

Y– 1800 = 1.2 X – 4800

Y= 1.2 X – 4800 + 1800

Y= 1.2 X – 3000

Therefore,the equation for the best fit line is Y = 1.2 X – 3000

Interpretation:the line has a gradient of 1.2 and an intercept at the point -3000.

C

Coefficientof correlation

Year

Profit ($) (X)

Net Income (Y)

XY

X^2

Y^2

2011

8000

7000

56,000,000

64,000,000

49,000,000

2012

7500

6000

45,000,000

56,250,000

36,000,000

2013

6000

4200

25,200,000

36,000,000

17,640,000

2014

6000

4000

24,000,000

36,000,000

16,000,000

2015

4000

1800

7,200,000

16,000,000

3,240,000

Total 31,500 23,000157,400,000 208,250,000 121,880,000

Theformula for the coefficient of correlation would be as follows

r= n (Σxy)– (Σx) (Σy)

(nΣx2-(Σx)2)(n Σy2-(Σy)2)

Thesevalues can be substituted so as to obtain the value of r

r= 5 (157,400,000)– (31,500 * 23,000)

=787,000,000 – 724,500,000

=62,500,000

(nΣx2-(Σx)2)(n Σy2-(Σy)2)= (5*208,250,000– (31,500)^2) (5*121,880,000 – (23,000)^2

=(1,041,250,000 – 992,250,000) (609,400,000 – 529,000,000)

=49,000,000 * 80,400,000

Squareroot (49,000,000 * 80,400,000)

=62,766,232.96

r= 62,500,000 / 62,766,232.96

=0.996

Fromthe calculation of the coefficient of correlation, the value isalmost close to 1, which implies that the two variables tend to havea positive linear relationship. Therefore, the net income and profitshave a positive linear relationship.

D

Coefficientof determination

Thecoefficient of determination can be utilized in analysing how thedifferences in one of the variables can be explained by a differencein another variable. The coefficient of determination can becalculated using the coefficient of correlation formula however,after obtaining the coefficient of correlation, it should be squaredto obtain the coefficient of determination. From the calculationabove of correlation coefficient, the coefficient of determinationcan be obtained.

Fromabove, r = 0.996

Therefore,R2= (0.996)2

=0.992

R2=99%

Interpretation:since R2=99%, it means that 99% of the variations in net income can beexplained by the linear relationship between the net income andprofits.

of Findings Parts I, II &amp III

Part I

Inthis section, literature concerning the association of motivation andperformance of an organization was provided. From the literature,motivationhas a substantial role in promoting employee performance, and it isthe responsibility of the managers to use various approaches tomotivate workers. Further, it was indicated that motivation workslike a synergy for facilitating the performance of workers, andleaders should consider positively motivating employees as they arebound to do better than their unmotivated counterparts. Positivemotivation has a higher chance of increasing revenues that cancomplement cash flows of an organization. In case employees becomemanaged poorly, they have the ability to adversely limit the growthof an organization, and can even threaten the existence of abusiness. In any firm, employees are deemed to be very significant inestablishing whether it will attain success or failure. It ispossible to have an organization that has an excellent manager, agood vision and objectives but neglects its employee. Such an entitymay be in turmoil. Inthe present economic trend, most firms all over the globe haveappreciated the idea that in order to remain aggressive and competeeffectively with other firms, it is important to take intoconsideration the performance of employees because it is their inputsthat help in making an organization successful. From this section, itcan be indicated that the motivation of workers in an organizationcan be related to its performance since motivated employees have thetendency to produce high results. Therefore, the motivation ofemployees influences the performance of a firm.

PartII Summary

SectionII dealt with the analysis of data. In this part, performance (netincome) of an organization was considered to be a function of thecompany’s retained profits, expenses, as well as employees’motivation. The relationship amid the dependent and the independentvariables was established, and it emerged that there exists arelationship between profits and the net income of an organization.Also, it emerged that there is an association amid motivation and thenet income of a firm. Since in the literature part, it had beenconfirmed that the productivity of an entity can be deduced from themotivation of employees, it can be argued that motivation of workersdirectly influences the profitability of an organization, which alsoimpacts the net income or performance of a firm. Furthermore, throughhypothesis testing, it was established that the true means of thevariables were different from the means obtained by considering a 95%confidence interval.

PartIII Summary

Inthis section, there is a linear relationship amid the variables. Itcan be indicated that the linear relationship amid the dependent andthe independent variables is a positive one implying that anincrease in profits causes an increase in the performance or netincome of an organization. The best fit line is a straight linehaving a positive slope. From the calculation of the coefficient ofcorrelation, the value is almost close to 1, which implies that thetwo variables tend to have a positive linear relationship. Therefore,the net income and profits have a positive linear relationship.Besides, from the coefficient of determination, it is apparent that99% of the variations in net income can be explained by the linearrelationship between the net income and profits.

Conclusion

Fromthe discussion, all firms desire to accomplish positive outcomes,despite the competitive market. However, it can be indicated that inorder for organizations to achieve success, there is a need toovercome challenges by developing robust relationships with theirworkers. In creating such associations, firms have to satisfy theneeds of their employees. Different people tend to have distinctneeds, a company is supposed to look at the needs of its variedworkers and identify ways of gratifying the necessities. By a companysatisfying the different employees’ needs, it motivates them.Positivemotivation has a higher chance of increasing revenues that cancomplement cash flows of an organization. It is worth noting thatmotivation works like a synergy for facilitating the performance ofworkers, and leaders should consider positively motivating employeesas they are bound to do better than their unmotivated counterparts.Itis important to take into consideration the performance of employeesbecause it is their inputs that help in making an organizationsuccessful. Motivationis necessary within an entity so as to drive the workers in apositive manner for the attainment of organization objectives. Anemployee is likely to get inspired by the knowledge of new things.Motivation is substantial in a firm since it facilitates the use ofresources to the maximum level and within the allocated time byworkers. Thereare different approaches that organizations can use to motivateemployees so as to realize high performances. In most cases,rewarding employees has been considered important in influencing theproductivity of workers. Employees can either lead an organization tosuccess or failure depending on their motivation. Therefore, it canbe concluded that motivation of employees plays a critical role ininfluencing the performance of an organization.

References

Barbosa-McCoy,L.V. (2016). HotelManagers’ Motivational Strategies for Enhancing EmployeePerformance.Walden University.

Dobre,O. (2013). Employee Motivation and Organizational Performance. Reviewof Applied Socio-Economic ResearchVol. 5 (1).

Emeka,N., Amaka, O. &amp Ejim, P.E. (2015). The Effects of EmployeeMotivation on Organizational Performance of Selected ManufacturingFirms in Enugu State. WorldJournal of Management and Behavioral Studies3 (1).

Fernandez,S,&nbspand Pitts, D, (2011).&nbsp“Understanding EmployeeMotivation to Innovate: Evidence from Front Line Employees in UnitedStates Federal Agencies.”&nbspAustralianJournal of Public Administration,&nbsp70(2),pp. 202-222.

Joseph,B.O. (2015). The Effect of Employees’ Motivation on OrganizationalPerformance. Journalof Public Administration and Policy ResearchVol. 7 (4), 62-75.

Kim,C., Park, S. W., Cozart, J. &amp Lee, H. (2015). From Motivation toEngagement: The Role of Effort Regulation of Virtual High SchoolStudents in Mathematics Courses. EducationalTechnology &amp Society,18 (4), 261-272.

Korzynski,P. (2013) “Employee motivation in new workingenvironment.”&nbspInternationalJournal of Academic Research,5(5), pp.184-188.

Muogbo,U.S. (2013). The Impact of Employee Motivation on Organizationalperformance. TheInternational Journal of Engineering and ScienceVol. 2 (7).

Solomon,O. &amp Hashim, H.N. (2012). Employee Motivation and OrganizationalPerformance in Multinational Companies: A Study of Cadbury NigeriaPlc. InternationalJournal of Research in Management &amp TechnologyVol. 2 (3).