The Relationship between Simple Employee Recognition and Employee Productivity in Business Organizations. A Case Study
©2017
Textbook
71 Pages
Summary
Some managers shy away from implementing employee recognition programs fearing high associated costs. Yet, there are some simple and free-cost recognition programs – like saying “thank you” and “well done” – which are crucial. Upon this basis, this study’s main purpose is to assess the relationship between simple employee recognition and employee productivity. It is guided by the following objectives: Determining and measuring the best employee productivity, forms of simple employee recognition, relationship between simple employee recognition and employee productivity, and strategies of how to improve employee productivity through recognition.
For this purpose, related literature was reviewed and a case study research design in support of both quantitative and qualitative techniques was applied for data collection, presentation and analysis. A sample size of 400 respondents was selected and used with composition of all levels of management for M-Nic Consultancy & Research Centre. Data collection was done using questionnaires and interviews, presented, analysed, interpreted and discussed for conclusions and recommendations.
For this purpose, related literature was reviewed and a case study research design in support of both quantitative and qualitative techniques was applied for data collection, presentation and analysis. A sample size of 400 respondents was selected and used with composition of all levels of management for M-Nic Consultancy & Research Centre. Data collection was done using questionnaires and interviews, presented, analysed, interpreted and discussed for conclusions and recommendations.
Excerpt
Table Of Contents
iv
TABLE OF CONTENTS
ABSTRACT ... i
DEDICATION... ii
ACKNOWLEDGMENTS ... iii
TABLE OF CONTENTS ... iv
LIST OF TABLES ... vii
LIST OF FIGURES ... viii
ABBREVIATIONS ... ix
CHAPTER ONE: INTRODUCTION ... 1
1.1 Background to the Study ... 1
1.2 Problem Statement ... 3
1.3 Purpose of the Study ... 3
1.4 Objectives of the Study ... 4
1.5 Research Questions ... 4
1.6 Significance and Observable Outcomes from the study ... 4
1.7 Research Structure ... 5
CHAPTER TWO: LITERATURE REVIEW ... 6
2.1 Introduction ... 6
2.2 Conceptualization of Employee Recognition ... 6
2.3 Conceptualization of Employee Productivity ... 6
2.4 Theoretical Perspective of Employee Recognition and Productivity ... 6
2.5 How best employee productivity can be determined and measured ... 7
2.6 Various forms of simple employee recognition programs used ... 9
2.7 Relationship between simple employee recognition and productivity ... 10
v
2.8 Strategies of how to improve productivity through simple employee recognition ... 11
2.9 Conceptual Framework ... 13
CHAPTER THREE: METHODOLOGY ... 14
3.1 Introduction ... 14
3.2 Research Design... 14
3.3 Study Population and Sample size ... 15
3.4 Sampling Technique ... 16
3.5 Data Sources ... 16
3.6 Data Collection Methods and Instruments ... 17
3.7 Measurements of Variables...18
3.8 Validity and Reliability ... 19
3.9 Data Presentation and Analysis ... 19
3.10 Ethical Implication ... 20
3.11 Limitation to the Study and Solutions to the Limitations ... 20
CHAPTER FOUR: DATA PRESENTATION, ANALYSIS, INTERPRETATION,
AND DISCUSSION OF STUDY FINDINGS ... 21
4.1 Introduction ... 21
4.2 General Information ... 21
4.3 How Best Employee Productivity Can Be Determined and Measured ... 24
4.4 Various Forms of Simple Employee Recognition Programs used ... 27
4.5 Relationship between simple recognition programs and employee productivity ... 31
4.6 Strategies of how to improve productivity through simple recognition programs ... 37
vi
CHAPTER FIVE: SUMMARIES, CONCLUSIONS, RECOMMENDATIONS,
FURTHER RESEARCH AREAS, AND REFLECTIONS ... 43
5.1 Introduction ... 43
5.2 Summary of Key Findings from the Literature... 43
5.3 Summary of Key Findings from the Primary Research ... 45
5.4 Conclusion ... 46
5.5 Recommendations ... 47
5.6 Areas for Further Studies ... 49
5.7 Knowledge and skills ... 49
REFERENCES ... 51
APPENDICES ... 54
Appendix i: Questionnaire for Respondents ... 54
vii
LIST OF TABLES
Table 3.3.1: Sample size and composition ... 15
Table 4.2.2: Gender of respondents ... 21
Table 4.2.3: Age of respondents ... 22
Table 4.2.4: Level of Education ... 22
Table 4.2.5: Category of respondents ... 23
Table 4.2.6: Working experience of respondents ... 23
Table 4.3.7: How employee productivity is determined and measured ... 24
Table 4.4.8: Various forms of simple employee recognition programs used ... 27
Table 4.5.9: Relationship between simple recognition programs and productivity ... 31
Table 4.6.10: Strategies of how to improve productivity through simple recognition ... 37
viii
LIST OF FIGURES
Figure 2.4.1: Theoretical views on employee recognition ... 7
Figure 2.9.2: Conceptual Framework ... 13
Figure 4.3.3: Productivity measurement based on employee`s work done ... 25
Figure 4.4.4: Praises for good work done as an employee recognition form ... 28
Figure 4.6.5: Creation of goals/plans for recognition programs as a strategy ... 38
ix
ABBREVIATIONS
%
Percentage
CVI
Content Validity Index
Freq
Frequency
M-Nic CRC
M-Nic Consultancy and Research Centre Ltd
r
Pearson Correlation
SPSS
Statistical Package for Social Scientists
1
CHAPTER ONE: INTRODUCTION
1.1 Background to the Study
Employee recognition programs or awards according to Bonser (2013) are program activities
or gifts presented to staff or volunteers as a sign of gratitude. Employee recognition is a
judgment on a worker's contribution, in terms of the work process as well as dedication and
motivation (Chaire, et al., 2010). Brandenberg (2013) concurs with Bonser (2013) that the
reasons for receiving a recognition award include working with a company for a specific time
period, completing a significant task or project, reaching a goal or selling a significant
amount of products or services. In respect to the aforementioned definitions, the study
focused on simple recognition in form of less costly forms of employee recognition (like
saying thank you, well done, verbal appreciation, etc) and non-financial employee
recognition forms (like gifts, cards, photos, end-of-year parties, offering flexible, holiday
schedules, etc) plus less of or with little attention on financial employee recognition forms
(like bonuses, salary increments, etc).
Some employers spend hundreds of dollars (invest heavily) on recognition programs or
awards; however, this is not necessary as there are other cheap or less costly simple forms of
employee recognition systems which the study focused on. Balle (2013) added that non-
financial simple employee recognition programs are cheap to implement and thus important
for any business organization with employee motivation problem. Frost (2014) is in
agreement Balle (2013) as she emphasised that employee recognition activities do not require
a large investment and many simple and yet free or cheap recognition ideas keep employees
happy and fulfilled as compared to financial oriented recognition systems.
Laura (2010) defined employee productivity or equally termed as labour productivity to be
concerned with the amount (volume) of output that is obtained from each
employee. Muhammed (2011) and Bloch (2014) concurred on the definition of
employee/labour productivity as the Units of output per labour hour or units of output per
shift. De-Konink Griego (2000) equally defined employee productivity as how much an
employee accomplishes in a certain amount of time.
Globally, 9 out of 10 now invest in employee recognition (Aviva, 2011). This means that
employee recognition is embraced worldwide. Giving regular praise and recognition is
2
essential in any organization, large or small, and will aid performance, teamwork, retention
and overall employee engagement. Caon (2012) reported in 2012 that Siemens UK won an
award for employee recognition. According to Aviva (2011), over 55% of employees in UK
strongly agree that the quality of their companies recognition programme impacts their job
performance; 80% of UK respondents feel that recognition programmes strengthen
relationships with employers; 42% of employees in UK consider a company's reward and
recognition programme when seeking employment.
Irvine (2012) equally reported that employee recognition is among the six essentials the
employee wants in their job in South Africa, Asia or Pacific region and usually specifically
about China.
Atambo et al., (2013) greatly attributed employee recognition in form of
incentives play a key role in enhancing performance or productivity at both individual and
organizational levels in Kenya and across East Africa
Not only that employee recognition is embraced internationally like in UK (Aviva, 2011) and
China (Irvine, 2012), African wise like in South Africa (Irvine, 2012), and in east African
region like in Kenya (Atambo, et al., 2013), but also, employee recognition has been traced
among Ugandan business organizations like MTN Uganda and M-Nic Consultancy
Research Centre (Ntabgoba, 2013). MTN Uganda on 22
nd
February 2013 announced and
recognised the winners of the 2012 Y'ello Stars program, which is a peer to peer initiative
within the MTN group meant to recognise and reward employees who are outstanding in
performance, based on set parameters and as the MTN's biggest and most prestigious
recognition programme to help drive and encourage performance and excellence through
recognition by peers and leaders in Africa, the Middle East and generally in all 21 countries
where MTN operates (Ntabgoba Sekadde, 2013).
Irvine (2012) cautioned that despite employee recognition being beneficial to every business
organization, there are associated costs especially with financial employee recognition
programs or costs of poor decision making and poor implementation of employee recognition
programs. This is contrary to Cavanaugh (2014) who absolutely observed that employee
recognition is designed to create a better working environment that would enable employees
improve their productivity and in line with (Brandenberg, 2013) and Andy Smith (2010) who
observed that a mere thank you motivates employees to do their best on a daily basis
through improving their employee productivity, and simple employee recognition is essential
3
to the morale of every workplace which consequently have a positive impact on their
productivity respectively.
This implies that most organizations should be treasuring employee recognition which is not
the case and more so, not all organizations that embrace employee recognition have benefited
from improved employee productivity (Irvine, 2012). Therefore, the question remains as to
whether specifically simple employee recognition programs improve employee productivity
in reference to M-Nic Consultancy Research Centre, as one the prior highlighted business
firms that embrace employee recognition in Uganda.
1.2 Problem Statement
There are still contrasting views or gaps regarding the factors attributable to improved
employee productivity. For instance, employee recognition has been criticized for its
associated costly expenses with Irvine (2012) cautioning that "Stressed organizations could
be in danger of making employee reward decisions that they come to regret if they abandon
too readily the principles that underpin their people strategies." On the other hand, it has
been established that measuring and improving employee performance based on productivity
is a key strategy for enhancing organizational success through improved performance (Andy,
2010; Bennett, 2014). Among other associated benefits accruing from treasuring and
implementing employee recognition programs; maximizing employee productivity involves
employee recognition (Slusher, 2010), simple employee recognition is an essential
component to the morale of every workplace (Andy, 2010), and keeping morale high through
employee recognition programs increases productivity (Frost, 2014). Despite all the
numerous benefits associated with employee recognition, some of the business organizations
are failing to formally embrace employee recognition even with the cheap or free or less
costly simple employee recognition programs like saying "thank you", photograph of
employee of the month at the reception, appreciation card, and saying "well done". It is
pursuant to the forgone that the researcher set out with the intent to critically examine the
relationship between simple employee recognition and employee productivity.
1.3 Purpose of the Study
The purpose of this study was to critically analyse the relationship between Simple Employee
Recognition and Employee Productivity in Business Organizations. A case study of M-Nic
Consultancy and Research Centre Ltd (CRC Ltd).
4
1.4 Objectives of the Study
i.
To assess how best employee productivity can be determined and measured in business
organizations
ii.
To critically assess various forms of simple employee recognition programs used in
business organizations
iii.
To analyze the relationship between simple employee recognition and employee
productivity in business organizations
iv.
To establish strategies of how to improve employee productivity through simple
employee recognition programs
1.5 Research Questions
i.
How best employee productivity can be determined and measured in business
organizations?
ii.
What are the various forms of simple employee recognition programs used in business
organizations
iii.
What is the relationship between simple employee recognition and employee
productivity in business organizations
iv.
What strategies can be employed in business organizations to improve employee
productivity through simple employee recognition programs
1.6 Significance and Observable Outcomes from the study
Organizations: Study findings revealed the secrets behind simple employee recognition and
in particular, help business organizations such as M-Nic CRC to believe whether or not
recognition of employees` work done increases satisfaction and productivity.
Managers: The study further uncovered human behavior in terms of recognition programs at
the work place, like increased productivity as a result of saying thank you and showing
appreciation to employees for their work done. In order words how well managers
acknowledge or reward their staff as a result of good performance.
Future researchers: The study would be of great use to the researchers in the field of
management since it will act as reference of different citations in their respective studies.
5
The researcher: The study became the source of knowledge and skills to the researcher, in
terms of gaining full knowledge and practical experience in research methods (how to
conduct a research study), in addition to understanding the relationship between simple
employee recognition and employee productivity in the practical sense. The study also helped
to broaden the horizon of the research in the area of management especially as it relates to
performance management.
1.7 Research Structure
The study was presented and structured in five (5) chapters as briefly elucidated below:
The first chapter deals with introduction and thus entailing; background to the study, problem
statement, purpose of the study, study specific objectives, research questions, and
significance of the study in addition to observable outcomes from the study.
The second chapter covered review of the related literature in accordance with the study
objectives which included; how best employee productivity can be determined and measured,
forms of simple employee recognition programs, relationship between simple employee
recognition and employee productivity, and strategies of how best managers and employers
can improve employee productivity through simple employee recognition programs.
The third chapter goes further to elaborate the methodology adopted in the form of; research
design, study population, sample size and composition, sampling strategy, data sources, data
collection methods, data quality control, data collection procedure, data presentation and
analysis, study limitations and way-forward to the limitations.
The fourth chapter describes how data was presented, how data was interpreted and how the
presented data was analysed. Furthermore, discussions centred around major findings was
done under chapter four. This was done in accordance with the study objectives and as per
the stipulated methodology.
The fifth chapter expound on the presented study findings in the form of; summary of key
findings from the related literature, summary of key findings from the primary research, main
conclusions from the combined findings of literature and primary research, recommendations
to the study and suggested areas for future research.
6
CHAPTER TWO: LITERATURE REVIEW
2.1 Introduction
This chapter provides detailed explanations of the topic under study in relation to the study
objectives. These explanations were drawn from a variety of secondary sources which
include; publications, magazines, reports, textbooks, among other sources.
2.2 Conceptualization of Employee Recognition
According to Bonser (2013), employee recognition programs are series of activities or gifts
presented to staff or volunteers as a sign of gratitude. Employee recognition is a judgment on
a worker's contribution, in terms of the work process as well as dedication and motivation to
work (Chaire, et al., 2010). However, the researcher would wish to focus on simple
recognition in the shape of less costly forms of employee recognition (like saying thank you,
well done, verbal appreciation, etc) and non-financial employee recognition forms (like gifts,
cards, photos, end-of-year parties, offering flexible, holiday schedules, framed photograph of
employee of the month at the entrance or reception, etc). Thus, financial employee
recognition forms like bonuses and salary increments were less of focus as per this study.
2.3 Conceptualization of Employee Productivity
Employee or labour productivity according to a renowned scholar Laura (2010) is concerned
with the amount (volume) of output that is obtained from each employee. Muhammed (2011)
and Bloch (2014) also concurred on the definition of employee or labour productivity as the
Units of output per labour hour or units of output per shift. De-Konink Griego (2000)
equally defined employee productivity as how much an employee accomplishes in a certain
amount of time.
2.4 Theoretical Perspective of Employee Recognition and Productivity
According to Chaire, et al., (2010), there are many theoretical viewpoints on employee
recognition and these have been grouped according to four main theoretical viewpoints:
ethical, humanist and existential, psychodynamics of work, and behavioural approach, as
illustrated below;
7
Figure 2.4.1: Theoretical views on employee recognition
Source: Chaire, et al., (2010).
As illustrated above, the theoretical views as represented and implied are highlighted
hereunder:
The ethical theoretical perspective: The ethical perspective considers human beings as
dignified, equal, shared individual and collective duty to show concern for others (De-
Konink, Griego, 2000). The humanist and existential theoretical view: The humanist and
existentialist view emphasizes human beings as fully unique and distinct, places
unconditional faith in humans and their potential and recognition is perceived as special
attention to a person (Chaire, et al., 2010). The psychodynamics of work theory: The
psychodynamics of work looks at the subjective experiences of people in the workplace, and
recognition is perceived as a reward experienced mainly at a symbolic level, and is given for
actual work done (De-Konink Griego, 2000). The behavioral theoretical approach: The
behavioral approach focuses on observable and controllable individual behaviors, work
results, asserts that behavior is stimulated by the resulting consequences, and ties in with the
concept of contribution or reward (Chaire, et al., 2010).
2.5 How best employee productivity can be determined and measured in business
organizations
According to Corbett et al., (2012), one standard measurement of productivity is output per
worker- hour, or the ratio between the number of hours worked to total output and that one
can also measure productivity per week or month, if each unit of production takes more than
an hour to create. However, Bloch (2014) noted that employee productivity should be
8
measured based on tasks measurement or targets to be met not hours or days. Bennett (2014)
and Bloch (2014) concurred on the point that, the metric that matters in employee
productivity measurement is task completion in terms of individual or organizational set
objectives or targets, not minutes or hours spent at the office.
Employee productivity should be based on breaking down the work into tasks and assigning
them appropriately until projects are complete (Glascock, 2013; Bloch, 2014). According to
Laura (2010), Labour productivity is concerned with the amount (volume) of output that is
obtained from each employee. It is a key measure of business efficiency, particularly for
firms in which the production process is labour-intensive. Based on the old adage of "You
can not improve what you can't measure" Muhammed (2011) noted that employee or labour
productivity or performance (in terms of productivity, efficiency and effectiveness) can be
expressed as the Units of output per labour hour or units of output per shift.
It is however noted that employee productivity is measured depending on the nature of the
work done by different employees at different level of management. For instance, Corbett et
al., (2012) further noted that the most effective means of measuring performance by sales
representatives is by taking into account and measuring each of the following factors: the
volume of sales in dollars per given unit of time, the number of calls made upon existing
accounts, the number of new accounts opened, and the currency amount expended per sale.
Equally, Laura (2010) had earlier observed that determining the best tool for measuring
productivity depends on the purposes of measurement and how the information will be used.
Employee productivity measurement is best when tasks or results are used as determining
factors. Measure tasks, not hours of time worked (Bennett 2014). Thanks to social media
platforms and other technological developments, work and personal life continue to overlap.
There are plenty of distractions throughout the day competing with different priorities, so
employers have to simply ask themselves whether the needed work gets done. Breaking down
tasks and crossing them off as they are completed is more helpful than having employees
punch a time clock (hrcom.com, 2014). Results are the most important deciding factor of
employee worth (Bennett, 2014). In essence, priority should be placed on results rather than
methods.
Details
- Pages
- Type of Edition
- Erstausgabe
- Publication Year
- 2017
- ISBN (PDF)
- 9783960676591
- ISBN (Softcover)
- 9783960671596
- File size
- 640 KB
- Language
- English
- Institution / College
- Prifysgol Cymru University of Wales
- Publication date
- 2017 (June)
- Grade
- 64%
- Keywords
- M-NIC CONSULTANCY & RESEARCH CENTRE M-Nic CRC Business Organisation Working conditions Supervisor-employee relationship Supervision Productivity measurement
