Essay on Motivation and Its Impact on Performance of the Employees

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The research focuses on Motivation and Its Impact on Performance of the Employees. Motivation is derived from the concept of hedonism, which means that humans always search for joy and comfort and want to save themselves from tension and pain. (Kamal, Khan, Khan and Khan, 2006)
Li quoted , Motivation is a general term applying to the entire class of drives, desires, needs, and wishes. It is essentially a process by which an individual attempts to satisfy certain needs by engaging in various behaviors. A motivated behavior is goal-directed, sustained, and is a result from internal needs and drives. Not all behavior is motivated, but most of work behavior is motivated. A motive is an internal drive that arouses,
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Performance of employee is directly linked with ability and motivation. (Kamal et al., 2006) "Manager should consider both financial and non-financial tools for attracting, motivating and retaining employees". (Rynes, Gerhart and Minette, 2004, p.392)

An unsatisfied need creates tension, which stimulates drives within the individual. These drives generate a search to find particular goals that, if attained, will satisfy the need and lead to the reduction of tension. (Kamal et al., 2006)

The principal agent model of agency theory explains that when employment contract is to be made, monetary rewards should be given special importance because individual is always motivated by monetary incentives. By decreasing the monetary incentives, the employee's intrinsic motivation will be decreased. (Arocena and Villanueva, 2003) The intensity of motivation may vary from person to person and it depends upon needs for achievement. Self actualization and achievement needs are one of the factors of intrinsic motivation. Self actualization helps in developing individual. Intrinsic motivation is the pure enjoyment and desire to grow. If the internal pressure (intrinsic motivation) is high, then results produced will be better. It also helps in growth and personal development of an individual. (Arocena and Villanueva, 2003; Gagne and Deci, 2005).) If the potential of the employee is more than that of the job requirement than employee feels his self punished. Another

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