2. INTRODUCTION
RESEARCH PROBLEM
RESEARCH OBJECTIVES
RESEARCH METHODOLOGY
ANALYSIS
FINDINGS
RECOMMENDATION
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3. In any organisation employee motivation is the key factor for
organizational performance. Companies are spending huge
amounts of money on their reward programs which aim to
motivate, retain, commit and attract new employees but fails
to motivate the employees. The research is conducted to
measure the impact of non financial rewards on employees
motivation.
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4. Motivation is the word derived from the word ’motive’
which means needs, desires, wants or drives within the
individuals. It is the process of stimulating people to
actions to accomplish the goals. Motivation is defined as
the process that initiates, guides, and maintains goal-
oriented behaviour.
In the work goal context the psychological factors
stimulating the people’s behaviour can be
Desire for money
Success
Recognition
Job-satisfaction
Team work, etc
SOURCE- http://study.com/academy/lesson/what-is-motivation-in-
management-definition-process-types.html
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5. "The term motivation refers to factors that activate, direct, and
sustain goal-directed behaviour... Motives are the "whys" of
behaviour - the needs or wants that drive behaviour and
explain what we do. We don't actually observe a motive;
rather, we infer that one exists based on the behaviour we
observe." ( Nevid, 2013)
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6. The motivational factors that motivate a person to work and which can be
used to enhance their performance can be classified into two categories:
Financial Motivators
Non-Financial Motivators
SOURCE-
(http://www.yourarticlelibrary.com/hrm/incentives/incentivestypesfinanciala
ndnonfinancialincentivesexplained/35360/ 8/)
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7. Any benefit an employee receives from an employer or job
that is above and beyond the compensation package (salary,
insurance, etc) for the specific purpose of attracting to the
company as well as retaining and motivating the employees.
The non financial motivators include:-
Job Enrichment
Job enlargement
Communication
Workers participation in management decision
Training
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8. Low costs;
It has a stronger effect and remains longer embedded in the mind of the
employee as it appeals in it's emotional state;
Can be applied to a longer period of time;
If it's interrupted it doesn't generate resentments among those targeted;
Promotes membership in that team;
Raises the employee's fidelity for the organization
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9. To better understand employees attitudes and motivation, In
1959, Frederick Herzberg, a behavioural scientist proposed a
two-factor theory or the motivator-hygiene theory.
According to Herzberg, there are some job factors that result in
satisfaction while there are other job factors that prevent
dissatisfaction. According to Herzberg, the opposite of
“Satisfaction” is “No satisfaction” and the opposite of
“Dissatisfaction” is “No Dissatisfaction”.
SOURCE- http://psychology.about.com/od/mindex/g/motivation-
definition.html
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11. The Two-Factor theory implies that the managers must stress
upon guaranteeing the adequacy of the hygiene factors to
avoid employee dissatisfaction.
Also, the managers must make sure that the work is
stimulating and rewarding so that the employees are motivated
to work and perform harder and better.
This theory emphasize upon job-enrichment so as to motivate
the employees. The job must utilize the employee’s skills and
competencies to the maximum. Focusing on the motivational
factors can improve work-quality.
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12. The two-factor theory overlooks situational variables.
Herzberg assumed a correlation between satisfaction and productivity. But
the research conducted by Herzberg stressed upon satisfaction and ignored
productivity.
The theory’s reliability is uncertain. Analysis has to be made by the raters.
The raters may spoil the findings by analyzing same response in different
manner.
No comprehensive measure of satisfaction was used. An employee may
find his job acceptable despite the fact that he may hate/object part of his
job.
The two factor theory is not free from bias as it is based on the natural
reaction of employees when they are enquired the sources of satisfaction
and dissatisfaction at work.
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13. This research is conducted to know how Organizations
are using non-monetary rewards to motivate their
employees.
Is non monetary rewards helps to improve employees
motivation.
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14. The objective of our study is to find out for the company that
whether non financial rewards are motivating the youth
employees and measuring the impact on employees.
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15. The hypothesis of the study are-
H1: Better training opportunities leads to higher level of
motivation.
H2: Job enlargement has positive effect on employees
motivation.
H3: Providing fair recognition on performance to the
employees motivate the employees.
H4: Communication with employees guides in decision
making.
H5:Motivation factors has more impact on employees
performance than hygiene factors.
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16. GEOGRAPHICAL AREA
The study covers the area of BIHAR and JHARKHAND.
RESEARCH DESIGN
Exploratory and descriptive
SAMPLING TECHNIQUE
Convenience sampling
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18. PRIMARY DATA
Primary data is collected through Questionnaires from different
employees and telephonic interview with various employees
working in different sectors.
SECONDARY DATA
Secondary data is collected through different sites available on
the internet and we have also referred to various journals,
newspapers and magazine.
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31. 45% employees are motivated more through non-financial
incentives.
Training as a non financial tool has less effect than financial
tools.
100% employees liked to be recognized at the work place and
it has positive relation with employee motivation.
Only 10% employees does not have positive effect of non
financial rewards on performance.
Opportunity to achieve and advancement has negative
correlation(-0.198) with security and company policy and
administration.
Other motivating factors are positively co-related with
employees performance.
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32. Given the context and results of this study, it is safe to
say that there is a place for non-financial rewards.
It is recommended that organizations continually
review their reward practices to ensure alignment with
the potential impact of changes in the macro
environment and to make allowance for different
requirements based on the demographic factors of their
employees.
The fact that most of the employees differed in their
opinions , some rewards may not satisfy them
therefore, an employer should diversify their rewards to
include the different demographics of his employees .
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33. Non financial factors (Rewards) motivate the employee
performance and increase productivity of organisation.
Herzberg motivation theory has high impact on the employees
motivation.
Non financial rewards has equal importance as that of
financial rewards.
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