ROLE OF MANAGEMENT IN MOTIVATING EMPOLEES IN THE BANKING SECTOR
The new awakening of humanism and humanization all over the world has in fact enlarged the scope of applying principle of personnel management in organizations. The development of people, their competencies and the process developing the total organization are the main concerns of personnel managers. According to my experience organizations in banking sectors face the major problems of professional incompetence and lack of motivation among their employees. Therefore, task of the management towards the employee motivation is very crucial.
According to findings of (Muluka, 2014) the Management should enhance following strategies to motivate the employees
1. Establishing Training and Performance scheme
Properly utilized Training and development, selection, job rotation, job analysis, job enrichment, job evaluation, performance appraisal, merit rating would to a greater extent revitalize the workforce. Not all employees progress at the same rate. As a result, it becomes necessary that management give constructive feedback to improve employee’s performance and train them. That process requires evaluating why an employee isn't meeting the expectations, how management can help employer, and working to find a solution.
Training increases a worker’s output and productivity thus a greater chance of commitment. Training makes employees feel worthy and with a higher sense of worth, they feel more loyal to organization. It also provides employees with a feeling of empowerment which motivates to get a job done well. It’s often recommended to increase the skill and work product level of the employees by implementing ongoing training offers (Muluka, 2014).
2. Establishing favorable Incentives rewards, Promotion, Salary increment system
Incentive pay, based on the quantity of work delivered rather than on the time spent on the job, is particularly beneficial for increasing worker productivity. Merit and hard work must be rewarded adequately. Rewards based on personal influences demoralize the workforce. Include both non-financial and financial mechanisms for rewarding employees’ performance and contributions. Promotions and lateral moves may be long term rewards that recognize employees’ professional growth, expertise, and capacity to contribute to the institution in new roles (Muluka ,2014).
3.Creating favorable Management style
Udoh (1999) says that management has a major influence on employee perception and needs. An employee’s relationship with a manager is the most important indicator of success or failure on the job. Managers have numerous ways to influence employee performance through behavior modeling, constructive feedback, and performance reviews, among other methods. However, these techniques won't succeed unless the manager tries to understand his employees' motivations. Managers who follow a "command and control" leadership model inspire lower loyalty and productivity than those who allow their subordinates some degree of autonomy.
It is important to engage employees in the decision-making process, but create realistic process. Managers and leaders who believe in their employee’s strengths, treat employees with respect, inquire employees for information about their performance and communicate regularly with employees reap a lot from them through a strong relationship and friendship (Muluka, 2014).
4. Providing a safe and non-threatening work environment
A safe and non-threatening work environment is necessary to maintain a high level of employee motivation. Flexible human resource policies, flexible time, work from home, childcare also be liable to have happier and more motivated workers. Employees who feel socially and emotionally disconnected from their co-workers respond by disengaging from the company and the job. Employees who feel a strong sense of social connection at work respond by identifying with their job and their company, and working hard for its success. Rather than focusing on reward and punishment to improve employee performance, companies should work to create an environment in which employees feel a sense of security, some degree of control over their circumstances, an overall sense of support and well-being, and a socially connected, engaging and satisfying workplace (Muluka, 2014).
Basing on the findings of the study: “An assessment of the contribution of employee motivation in providing quality customer service in the banking sector, a case of Akiba commercial bank plc, Tanzania (2015)., the researcher recommended that:
Management should think of increasing new motivational packages which influence performance at the bank. Sales employees and credit officers are the most productive staffs hence the management has to think on how can motivate them by giving them transport allowances or car loans to simplify field where employees go to visit customers and employee spend most of working hours there.
Motivation should be given mostly to the employees and once employee perform well then reward and recognition should be given accordingly. Reward and motivation to employees who exceeded their target and performance and for those who succeeded in challenging assignment is of no doubt and by motivating them will encourage others to perform like them.
Management should also make sure that it improves working environments and working machines equipment. By doing so employees will be comfortable in saving clients and level of employee the image of the bank will portray type of employee working in the office.
Recognition and promotion are another way management can use to influence service quality in bank. So, the management should be open on this and state it well to staffs on how employee qualifies for promotion. The management should think of extending loan and security free because already the staff is working with the bank. Moreover, the management should invest on staff training both indoor and outdoor trainings. This will sharpen skills of its staffs and will improve service quality by acquiring new knowledge and new exposure of what other competitors doing in the market. When a bank is assured of skilled staffs this is really motivational to employees because their comfortable of service they provide to customers and they do it comfortably. Then new employed staffs will learn to the senior employees, will also reduce turnover of staffs.
· Increased investment for talent development
· Promote our employee innovation and Ideation program with IDEABOX
· Implementation of a regular employee happiness level monitoring too
· Drive culture transformation
· Happy and Bright initiatives for employees
· HNB Talent Space, an e-learning platform with multiple learning and engagement faculties including peer group discussions
· Information security and data loss prevention training
· Digital literacy, Cyber security
· Launch of Talent Edge a superior dynamic HRIS
· Centralization of staff loans facilities
List of References
”International Journal of Business trends and Technology", 2(4)-2012. http://www.internationaljournalssrg.org
Muluka, KO 2014, The influence of motivation on performance of employees in commercial banks: case study of commercial banks in bongoma town. https://www.academia.edu/9426159
Mani, V 2010,” Development of Employee Satisfaction index scorecard”. European Journal of Social Sciences,15(1),pp.129-139.
Okan, V and Safakli, L 2012, Universality of Factors Motivating employees in banking Sector of Nothern Cyprus. Turkey.
Rose, GL 2015, “An assessment of the contribution of employee motivation in providing quality customer service in the banking sector, a case of Akiba commercial bank plc Tanzania”. https://core.ac.uk/download/pdf/44684901.pdf
“The Influence of Employee Involvement on Productivity: A Review of Research- June 2000”. http://www.hrsdc.gc.ca/en/cs/sp/hrsd/prc/publications/research/2000- 002584/page03.shtml.
Hi Janaka, According to Armstrong (2014) Money, in the form of pay or some other sort of remuneration, is regarded by many people as the most obvious extrinsic reward. Money seems to provide the carrot that most people want.
ReplyDeleteOrganization should give good salary, reward, recognition, job security and create good work environment to increase employee’s motivation level and efficiency (Wiley, 1997). Management need to implement combination of Hygiene and Motivation factors to motivate employees (Dartey-Baah and Amoako, 2011).
DeleteDifferent studies have shown the linkage between rewards to job satisfaction and motivation. The impact of rewards again depends on the extent to which employees are satisfied in terms of Intrinsic rewards, Extrinsic rewards and even Social rewards (Jehanzeb, K et al, 2012). Offering extrinsic rewards such as salary, fringe benefits and carrier development opportunities stands as the most motivating aspect, it is identified that sufficient provision of intrinsic rewards sometimes surpass the level of need for extrinsic rewarding (Nazzir, S et al, 2014).
ReplyDeleteThe variable “age “seems to play another key factor to be considered when it comes to employee preference for rewards. Research have shown that in banking industry those who are after 45 tends more towards the intrinsic rewarding rather than on extrinsic rewards ( Nazzir, S et al, 2014). Research done by Wodak and Fairclough (2004) indicates that those after 45 does not want to be unemployed since they believe that unemployment could make them lose their social identity and social rewards. Therefore, considering the demographic in banking industry counts a lot when it comes to deciding on applicable reward systems.
Management should implement new work environment and modern communication system to improve employee’s motivation and productivity. Focus on new generation therefor, organization need to arrange product and online training's for young and modern employees to retain them (Korzynski, 2013).Management should give freedom to carry out activities as a result, it generate higher performance and increase business performance.
DeleteHi Janaka…If the employees are getting involved in their daily activities, while only a small number of them consider work as a motivational factor, same is going to be reflected in a negative way in the company`s future performances(Curtis, et al., 2009).
ReplyDeleteI agree Kalum. The significance of engaged employees cannot be stressed enough. Therefore, companies must ensure employees are motivated by awarding constant recognition, offering opportunities for personal growth and being transparent (Robins, 2017).
DeleteHi Janaka, Employees dissatisfaction is the main problem that decrease their motivation level therefor, management can improve motivation by giving relevant responsibilities to employees idea that, self-actualized employees deliver maximum work efficacy and creativity (Ozguner and Ozguner, 2014).
ReplyDeleteThank You, to find the right reward for each performance level, the performance management system, compensation & benefits and personnel development should go hand in hand and all together support the overall business strategy. Performance management should comprise at least the following components: goal setting, performance evaluation, performance appreciation and development measures (Kuba, 2011)
DeleteAccording to Hoy and Miskel (1987), employees’ motivation is the complex forces drives, needs, tension states or other mechanism that starts and maintains voluntary activity directed towards the achievement of personal goals. Banking sector management should look in to motivate employees theyare willing to exert a particular level of effort (intensity), for a certain amount of time (persistence) toward a particular goal or direction.
ReplyDeleteAgreed. Cherian and Jacob (2013), stated that Indicators of engagement and organizational commitment influence employee motivation.
DeleteMotivated employees are the cornerstone of any successful organization. The three most motivating factors valued by employees are interpersonal relationship, workplace environment and interesting work, all of which have the potential to motivate employees at higher levels. For long-term motivation, job related factors such as meaningful work, flexible working hours and friendly social gestures were found to be effective motivators while, on the other hand, it was discovered that monetary, social gatherings, tangible items such as award, certificates and gifts are the most effective motivators for the short-term (Calista, 2009).
ReplyDeleteFor the success and survival of company in the competitive market, the most prioritized work of managers is to retain the skilled employees and motivate them to give their best performance. Nevertheless, employees are more interested in doing different jobs at the same time and are not willing to keep long term relationships with organizations. To add up, they are unlikely to be motivated as they use to be before (Ahmad, et. al 2014).
DeleteInteresting reading and adding current scenarios. Considering the current thinking of Motivation ,Lawrence and Nohria (2002) propose the “human drives” theory, which states that employees are guided by four basic emotional drives that are a product of common human evolutionary heritage: the drives to acquire, bond, comprehend, and defend. The researchers survey a financial service giant, a leading IT services firm and 300 Fortune 500 companies and find these four drives led to high levels of engagement, satisfaction, commitment and a reduced intention to quit, and ultimately better corporate performance.
ReplyDeleteThe analysis of the study Drivers of Employer Motivation in Banking Sector - A Radar Design Approach Subramanyam (2019) shows that factors namely “Fair wages and Promotion”, “Health and other services” , “Work environment” , “Job Specification”, “Prestige and Request” , “Management Policies and Style” , “Non-Cash Benefits”, “Sports” and lastly “Setting and Defining Goals” “Company Policy” , “Quality Supervision”, “Relation with worker” , “personal life”, “rate of pay”, “job security” and working conditions” play a significant role in motivating employees in the banking sectors
DeleteTraining is the formal process by which a person acquires knowledge, skills, and competencies. Motivation is the direction and intensity of one’s effort, or the psychological feature that arouses an organism to action toward a desired goal. Organizations that use training practices, directly or indirectly effect employee motivation as well as commitment to the organization (Meyer & Allen, 1991). According to Rowden and Conine (2005), the purpose of training is to enhance the satisfaction of employees towards their jobs and satisfied employees contend their customers with enhanced performance. Employees who commit to learn are more satisfied with their jobs and ultimately show more positive performance than others (Tsai et al, 2007).
ReplyDeleteIt is not possible for any division to solely motivate and satisfy employees without support of the senior management active participation and interest (Solanki, 2013).
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