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    The Impact of Motivation on

    the Employees SatisfactionCase Study in Arab Fertilizer

    & Chemicals Industries Ltd

    Company Kemapco in

    Aqaba City - JordanResearch submitted to-:

    Department of business administration

    Jordan of University

    Supervisor:

    Dr. Burhan Al-Omari

    Submitted By:

    Fathi Radi

    MBA Master 2012-2013

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    TABLE OF CONTENTS

    CHAPTERTITLEPAGE NO

    ABSTRACT

    LIST OF TABLE

    LIST OF CHART

    INTRODUCTION

    1.1 Sight of an Organization

    1.2 Need for the Study

    OBJECTIVES OF THE STUDY

    REVIEW OF LITERATURE

    RESEARCH METHODOLOGY

    DATA ANALYSIS AND INTERPRETATION

    FINDINGS OF THE STUDY

    SUGGESTION & RECOMMENDATION

    Conclusion

    LIMITATIONS AND SCOPE OF THE STUDY

    ANNEXURE

    Questionnaire

    Bibliography

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    Abstract:

    We are going to state in this research the results of motivation on employees whom

    they are working in Arab Fertilizer & Chemical industries Company which is

    operated in the south of Aqaba City.

    The researcher will try to identify how the motivational policies in this company will

    effects in increasing the workers satisfaction,

    Also to clear the important issues his may affect on the employees performance.

    The researcher, however, observed & thinks based on his experiences in the same

    filed that is related to more than seven and half years that most of the motivations

    policies in the different organizations still are not make the real change in order to

    urge and lead the employees in each company to put their best efforts and invest their

    strong skills to achieve the desired goals,

    In the other meaning we aims to generating the final targets for the stockholders and

    stakeholder that is a profit.

    On the same time, this study tries to determine the factors that effects on employee's

    motivation

    Keywords: Motivation, motivational policies

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    1. Introduction :

    Every organization today would like to reach to the organization goals, so we willnote that the most challenges and difficult are appearing about how the managers can

    use their knowledge and learning in order to create motivation in the workplace.

    In shortly, the motivation is too important both to an individual and a business, as for

    the motivation is significant to an individual we can says, the same will help him to

    achieve his personal goals, he will feel have job satisfaction, it will help in self-

    development of individual and an individual would always gain by working with a

    dynamic team.

    The motivation is important also to the organization due to the stakeholders

    demands.

    This research aims in studying the The Impact of Motivation on the Employees

    Satisfaction Kemapco.

    The main objective of this study is to know the level of satisfaction of each employee

    in the company.

    For this goal, the researcher was made randomly questioners in order to measure the

    difference motivational factors used by the company.

    Company Profile

    The Company has planned to use new machinery and high skills persons in order to

    produce their products with highly quality for export.

    Kemapco has also recently got qualification certificate ISO 9001 [ the researcher was

    a one of Kemapco ISO team by preparing the documents and asking the departments

    concerned to comply with the instructions] , acutely, Kemapco wants to be one of the

    best companies in the Middle East in Fertilizer manufacturing through continuously

    development in the different areas in addition getting marketing opportunities to

    export their products, so this issue will reflect in positively actions by carrying out the

    company plan.

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    Company History

    Kemapco

    Arab Fertilizer and Chemicals Industries Ltd Company:

    Kemapco was started to show on the papers in the beginning of 1990 between Kemira

    Agro Oy (Kemira) and Arab Potash Company Ltd (APC).

    (KEMAPCO) Kemira Arab Potash Co. Ltd was registered as Free Zone Corporation

    as a jointly business of Potash company in Jordan and Kemira Agro Oy in Finland.

    In summer 1999 the jointly project agreement was signed, so the company was started

    in plants setting up.

    In 2000 & in the end of 2003 became all plants are ready to produce the mainlyproducts of Kemapco (NOP, DCP).

    On Feb.2007, Kemira sold it 50% stake in favor of the Arab Potash Co., so in this

    case Kemapco was fully owned by Potash Company [APC], who is one of the world

    leader in the production Potassium Chloride.

    On Aug.2007, The company name has been changed to be (Arab Fertilizers and

    Chemical Industries Ltd) instead of (Kemira Arab Potash Co. Ltd) with keeping of the

    brand name as Kemapco.

    Now works in a company approximately 211 in permanent job, in addition around 20employees as monthly contracts workers.

    The importance point that we have to mention that the company grants attractive

    motivation such as 16 salary based on basic salary on yearly basis, Medical insurance,

    supported food meals [Hot & Fruit] , housing allowance , life insurance,

    transportation to and from company sites as well as there are two funds for saving and

    Housing.

    Company Chart

    The chart of Kemapco enclosed represents how departments and sections are link

    together and the mainly depts. in Kemapco will be as follows:

    Commercial Dept.

    - Planning

    - Exports & Logistic

    - Marketing & Sales

    Operation Dept.

    - Material Handling

    - Maintenance & Planning

    - Technical- Production

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    Finance Dept.

    - Accounting

    - Warehouse

    - Purchasing

    Projects, IT, HR & Security.

    Company Products

    Kemapco is manufacturing the following products:

    1. Potassium Nitrate (NOP), the main uses are:

    - Water-soluble NPK fertilizer mixtures- Liquid feeds

    2. Dicalcium Phosphate (DCP), the main uses are:

    - Animal feed concentrate

    - Compound animal feed

    - Mineral animal feed

    Resource: www.kemapco.com

    The importance of the study

    This study aims to achieve the following objectives:-

    To study and know the employee motivation design in Kemapco.

    To know the employees satisfaction level with the motivation factors that used

    by the company.

    To identify how the organization motivates the employees.

    2. Review of literature :

    2.1 Motivation:

    Motivation, simply, we can define it as the degree which makes people act in the

    certain way they do or like.

    Motivation (The extent to which they are willing to perform well) and by their

    ability (the extent to which they possess the skills and abilities necessary to perform

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    well). Feldman and Daniel (1983) are jointly determined by both motivation and

    ability.

    "Motivation" is the process of urging people to act in ways which serve the needs of

    the organization providing the incentive.

    We can say that the story of motivational theory is related to the starting of twenty

    century,

    Motivation can also be described as something desire the person needs to get it.

    Motivation plays an important in the connection between management and its

    employees.

    We can say the beginning of studies of motivations refers Hawthorne Experiments

    carried out by Elton Mayo.

    This study was seen the employees are not motivated alone by money and employeebehavior is linked to their attitudes (Dickson, 1973).

    We have to take into account that the studies cleared that performance in workers

    increased when workers were given attention and personal interest in their work was

    especial point.

    From that date we noted there are four specific theories of motivation were stated and

    generally accepted in the field of motivational theory.

    So, we will find Abraham Maslows Hierarchy of needs which states that employees

    have five levels of needs and the rest theories which will explain them in the next

    paragraph.

    Motivation Theories:

    Motivation, simplicity, we can define it as the degree which makes people act in the

    certain way they do or like.

    Truly the motivation begins with the needs that found in our life, so, if those things

    are not satisfied we put a target and do our utmost best to catch this goal/ target.

    The persons in any organization are differs from one to another , for example Fathi try

    to get his PHD trust in order to be as he thought while another person would like to

    earn different thing.

    Briefly, the organization environment sometime is differently due to situation for each

    person.

    Human life consists of the number of theories that explain peoples behavior.

    Those theories explain human motivation through human needs and human nature.

    The famous of the same is related to Maslow's Need Hierarchy Theory, McGregorsTheory x and y and Herzberg two factor theory.

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    We'll insert our perception on each theory in brief as follows:-

    1. Maslow's Need Hierarchy Theory

    2. McGregor Theory x and y and

    3. Hertzberg Two Factor Theory.

    1. Maslows Hierarchy of needs:

    it consider as the first theory and which is known in 1943 by Maslows Hierarchy of

    needs also its famous as A Theory of Human Motivation.

    According to this theory there are five levels of needs of individuals, starting with the

    physiological needs (which include of basic needs for Humans to be a life such as air,water and food) and ending with the top-level of needs which describe as self-

    actualization needs exist, this level of need a agree with getting the persons full

    possible so already walk in the previous steps safety needs, belonging needs and self

    esteem needs.

    2. Theory X and Theory Y:

    McGregor developed two theories of human behavior at work: Theory and X and

    Theory Y.

    Theory X workers could be mentioned as follows:-

    Individuals dislike work and avoid it where possible.

    Individuals lack willing to work.

    Individuals dislike responsibility and prefer to be led by others.

    Individuals like to security.

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    In this case the management will not be able to achieve the organization objective so

    the workers need follow up and control continuously.

    Theory Y workers could be stated as follows:-

    Individuals like work. Individuals have willing to work, so you will find them trying to comply with

    self-direction and self-control.

    Individuals are looking forward to accept responsibility

    Individuals like to make innovation in the workplace.

    3. Herzberg two factor theory:

    According to Hertzberg, there are two factor theories: kinds of needs, there are somejob factors that result in satisfaction while there are other job factors that keep from

    dissatisfaction,

    His idea was focuses between:

    Hygiene Factors:

    Wages & Salary

    Company policies & Interpersonal Relation with similar. Job Security & Supervisors Technical

    Hygiene factors present dissatisfaction in the organization, according to him, hygiene

    factors are very important in order to keep on the human resources.

    Motivational Factors:

    Job itself

    Estimation

    Achievement

    Responsibility

    Growth and Advancement.

    Above mentioned factors are linked together and will lead to positively feeling to

    motivation.

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    With reference to Hertzberg job promotions, higher responsibilities, participation in

    central decision making are all will be guide of growth and advancement of employee

    in the organization

    2.2 Satisfaction:

    Definition:

    Employee satisfaction used to describe whether employees are happy and they are

    going ahead in fulfilling their desires and needs at work.

    Many measures were mentioned as clearly that employee satisfaction is a factor inemployee motivation, employee goal achievement, and positive employee morale in

    the workplace.

    2.3 Importance of employee satisfaction foremployees

    Its very importance so we can summarize the importance of employees satisfaction

    for employees mainly by increasing the productivity and participation in doing the

    organization targets, therefore, the employ will act as the following:-

    To think that your firm will be satisfying in the long run.

    To do his best efforts to make the work with high quality.

    Case Study in Arab Fertilizer & Chemicals Industries Ltd Company

    Kemapco in Aqaba City - Jordan

    The resecgher was divided the motiviactionn that already applied in kemapco as

    follws:

    1. sdcvsd

    2. x xxc

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    http://humanresources.about.com/od/glossarye/g/employee-morale.htmhttp://humanresources.about.com/od/glossarye/g/employee-morale.htm
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    Table 1: Non-monetary incentives

    Clause No of Respondents Percentage

    Insurance Medical 25 25

    Life Insurance 12 12

    Transportation 18 18

    Supported Meals 45 45

    Total 100 100

    Non-monetary incentives

    051015

    20253035404550

    Insurance

    Life

    Insurance

    Supported

    Percentage

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    Table 1: Facilities to Employees:

    Particulars No of RespondentsPercentage

    Insurance4343

    Medical2525

    Transport____

    Canteen3232

    Total100 100

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    INFERENCES:

    From the above table shows that organization provides facilities to employees that

    43% of respondents say Insurance, 25% of respondents says medical &32% of

    respondents says canteen & there is no transport for the employees.

    6. FINDINGS OF THE STUDY

    In overall employee in Anglo French Textiles Limited 75% of respondents say

    that the company provides motivation to the employees, only 25%of

    respondents says no that the company did not provide motivation to

    employees.

    68% of the respondents are satisfied with the motivation that the company

    provides; only 32% of respondents are not satisfied with the motivation.

    56% of respondents say that motivation creates interest towards a job for

    employees & 44% of respondents say no that the motivation does not create

    interest towards a job.

    54% of respondents say that motivated employee will increase the productivity

    level to large extent & 24% of respondents say it to some extent & 22% says

    that not at all the motivated employee will increase the Productivity level.

    54% of respondents says that organization provide Recognition for

    performance & 46% of respondents says no that organization does not provide

    recognition for performance.

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    36% of respondents say that manager gives Continuous feedback about the

    performance to large extent, 34% of respondents says to some extent, 30% of

    respondents say not at all.

    55% of respondents say yes that the company teach employees to measure

    their own performance & 45% of respondents says no that the company does

    not teach employees to measure their own performance.

    Organization provides facilities to employees that 43% of respondents say

    Insurance, 25% of respondents says Medical &32% of respondents says

    Canteen & there is no Transport for the employees.

    65% of respondents say yes that Medical Facility &Insurance provided by

    company is highly motivate & 25% of respondents says no that it is not

    motivate for them.

    34% of respondents are highly satisfied with basic needs, 26% of respondents

    are satisfied, 18% of respondents say no opinion, 12% of respondents aredissatisfied, and 10% of respondents are highly dissatisfied with basic needs.

    32% of respondents say yes that company gives monetary reward to

    employees, 68% of respondents says no that company does not gives monetary

    reward to employees.

    Monetary reward the organization provides for the employees are 56% ofrespondents says Gifts, 25% of respondents say Cash Awards, 19% of

    respondents say Allowances.

    The activity which motivates them is 15% of respondents says Monetary

    Reward, 30% of respondents say Job Promotion &55% of respondents says

    Job Security & the company does not provide Transfer for them.

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    54% of respondents say yes that the company makes the employee as part of

    team & 46% of respondents say no that the company does not make the

    employee as part of team.

    45% of respondents says yes organization gives importance to Career

    development for employees & 55% of respondents says no that the

    organization does not gives importance to Career development for employees.

    54% of respondents say organization gives Training programmed to improve

    productivity to large extent, 32% of respondents Says to some extent & 14%

    of respondents says not at all.

    55% of respondents say that manager encourages employee to work

    independently to large extent, 33% of respondents say to some extent & 12%

    of respondents say not at all.

    Organization collects the employee opinion through 56% of respondents says

    Suggestion Box,25% of respondents says Weekly Meetings & 19% of

    respondents says Monthly Meetings.

    Hygiene factor will result in Job Satisfaction through 27% of respondents says

    Job Security,23% of respondents says Promotion,38% of respondents says

    Working Conditions,12% of respondents Says Pay & Allowances.

    53% of respondents say yes that Job Enrichment provide true motivation &

    47% of respondents say no that Job Enrichment does not provide true

    motivation.

    25% of respondents says yes organization select best performance of

    employee in year & 75% of respondents says no that organization does not

    select best performance of employee in year.

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    83% of respondents are proud to be the member of the organization & 17% of

    respondents are not proud to be the member of the organization.

    7. SUGGESTIONS AND RECOMMENDATIONS

    The company can provide transport facility to the employees. The

    management can invest certain amount in transport and fulfill employee needs.

    It improves productivity and on time on duty in the concern.

    In AFT Limited the management can provide transfer for the employees in

    which they can go to some other places and work for a certain period.

    In AFT Limited, the organization is not giving more importance to the career

    development for the employees, so it basically affects the employees future.

    In that case the company should concentrates on career development for the

    Employees.

    The organization can select the best performance for every year in which it

    will make the employee to perform well during the training period and during

    the work time.

    The organization can give training programmed in systematic programmed for

    the employees to improve the productivity level in the concern.

    In the company the manager can give feedback for the employees regarding

    their performance in which the employees can correct their mistake and they

    can perform well during the work time.

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    In the organization the manager can encourage the employees to work

    independently in which they can do their job well, and it will be motivating

    aspects for them.

    7.1 CONCLUSION

    The study conducted at Anglo French Textiles Limited deals with the Employee

    Motivation. In this present situation, every organization should provide motivation to

    the employees. Employee motivation will help to increase performance standard of an

    employee as well as concern. In the duration of the project I have a lot of experience.

    There are various factors that influence motivational factors such as salary, working

    conditions, training and job satisfaction. Motivation is the ultimate function of so

    many individuals attitudes together. It is very complex, complicated and personal

    experience. It is difficult to determine the relative importance of the factors

    influencing motivation as the importance varies with time and individuals. The

    motivation is the continuous process of the organization has come to conclusion that

    the employee motivation plays a significant role in modern organization

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    The study only based on employs side. It is not covering the staffs.

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    Title : -----------------------------------------------------------

    Department : -----------------------------------------------------------

    1. Less 3 Years 2. 03-05 Years 3. 05-08 Years 4. Above Years

    SALARY:

    1. Below 400 2. 401- 650 3. 651-850 4. Above 851

    Q1. What factors affect your motivation towards work?

    1. Financial factors

    2. Moral factors (Fear, Job security, Working environment, Others)

    3. Acknowledgement and Praise

    Q2.What is the factors which will not motivate you from doing work?

    1. Lower level of salary

    2. Poor working environment

    3. Poor scope for personal development

    Q3. What is your level of satisfaction from the work?

    1. More than satisfied

    2. Satisfied

    3. Not Satisfied

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    Q4.What is the things you like best about your working place?

    1. People and working conditions

    2. Financial incentives

    3. Challenging jobs

    Q5.Are you satisfied with the compensation received for your services?

    1. Yes

    2. No

    Q6.Are you provided with incentives other than the financial compensation?

    1. Yes

    2. No

    Q7.Are you provided with other opportunities for your personal and professionaldevelopment?

    1. Yes

    2. No

    Q8.Does the management system allows open ended communication with the

    employees?

    1. Yes

    2. No

    Q9.What kind of relationship do you have with your superiors?

    1. Personal

    2. Professional

    Q10. Do you think that the incentives provided by the management influence you

    towards work?

    1. Influence

    2. Doer not influence3. No opinion

    Q11. Does the company provide any motivation to the employees?

    (a) Yes (b) No

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    Q12. Are you satisfied with the motivation that the company provides?

    (a)Yes (b) No

    Q13. Does the motivation create any interest towards a job for employees?

    (a)Yes (b) No

    4. Do you think that a highly motivated employee will increase the productivity level?

    (a) To Large Extent (b)To Some Extent (c)Not at All

    Q14. Does the organization provide recognition for your employees?

    (a) Yes (b) No

    Q15. Does the manager give continuous feedback about your performance?

    (a)Yes (b) No

    Q16. Does the company teach the employees how to measure their own performance?

    (a)Yes (b) No

    Q17. Does the organization provide the following facilities to the employees?

    (a)Insurance (b) Medical (c) Transport (d) Canteen

    Q18. Does the medical facility and the insurance provided by the company is highly

    motivate to you.?

    (a)Yes (b) No

    Q19. Are you satisfied with the basic needs?

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    (a) Highly Satisfied (b) Satisfied (c) No opinion (d) Dissatisfied (e) Highly

    Dissatisfied

    Q20. Does the company give monetary reward to the employees?

    (a)Yes (b) No

    Q21. What type of monetary reward does the organization provides for the

    employees?

    (a) Gifts (b) Cash Awards (c) Allowances

    Q22. Which activities motivate you the most?

    (a)Monetary Reward (b) Job promotion (c) Job security (d) Transfer

    Q23. Does the company make the employee as part of team?

    (a)Yes (b) No

    Q24. Do you think that the organization gives importance to the career development

    for employees?

    (a)Yes (b) No

    Q25. Does the organization give training programmed in systematic manner to

    improve productivity?

    (a) To Large Extent (b) To Some Extent (c) Not at All

    Q26. Does the manager encourage employees to do your work independently?

    (a) To Large Extent (b) To Some Extent (c) Not at All

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    Q27. In which way does the organization collect the employees opinion?

    (a) Suggestion Box (b) Weekly Meetings (c) Monthly Meetings

    Q28. Which of the following hygiene factor will result in job satisfaction?

    (a)Job security (b) Promotion (c) Pay and Allowances (d) Working Conditions

    Q29. Does the job enrichment provide true motivation?

    (a) Yes (b) No

    Q30. Are you proud to be the member of the organization?

    (a)Yes (b) No

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    References ,,

    1. http://www.kemapco.com/2. http://www.ehow.com/about_6547505_effect-motivation-employee-

    performance.html.

    3. Schermerhorn/Hunt/Osborn (2005) Organizational Behavior, Ninth Edition.

    4. http://www.managementstudyguide.com/importance_of_motivation.htm.

    5. http://www.whatishumanresource.com/employee-motivation-introduction.

    6. http://www.academia.edu/769482/

    7. Research Journal of International Studies - Issue 14 (May, 2010) 54.

    8. "Managerial.Motivation."123HelpMe.com.12.Dec.2012

    .

    9. http://gettingclevertogether.com/index.php?s=motivation.10. http://humanresources.about.com/od/employeesurvey1/g/employee_satisfy.htm.

    11. http://www.humanresources.hrvinet.com/importance-of-employee-satisfaction/

    12. http://ozgurzan.com/management/management-theories/theories-about-

    motivation/

    13. http://www.bized.co.uk/virtual/bank/business/planning/types/theories.htm.

    14. http://www.managementstudyguide.com/herzbergs-theory-motivation.htm.

    15. http://www.managementstudyguide.com/maslows-hierarchy-needs-

    theory.htm.

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    http://www.ehow.com/about_6547505_effect-motivation-employee-performance.htmlhttp://www.ehow.com/about_6547505_effect-motivation-employee-performance.htmlhttp://www.managementstudyguide.com/importance_of_motivation.htmhttp://www.managementstudyguide.com/importance_of_motivation.htmhttp://www.whatishumanresource.com/employee-motivation-introductionhttp://gettingclevertogether.com/index.php?s=motivationhttp://humanresources.about.com/od/employeesurvey1/g/employee_satisfy.htmhttp://www.humanresources.hrvinet.com/importance-of-employee-satisfaction/http://ozgurzan.com/management/management-theories/theories-about-motivation/http://ozgurzan.com/management/management-theories/theories-about-motivation/http://www.bized.co.uk/virtual/bank/business/planning/types/theories.htmhttp://www.bized.co.uk/virtual/bank/business/planning/types/theories.htmhttp://www.managementstudyguide.com/herzbergs-theory-motivation.htmhttp://www.ehow.com/about_6547505_effect-motivation-employee-performance.htmlhttp://www.ehow.com/about_6547505_effect-motivation-employee-performance.htmlhttp://www.managementstudyguide.com/importance_of_motivation.htmhttp://www.whatishumanresource.com/employee-motivation-introductionhttp://gettingclevertogether.com/index.php?s=motivationhttp://humanresources.about.com/od/employeesurvey1/g/employee_satisfy.htmhttp://www.humanresources.hrvinet.com/importance-of-employee-satisfaction/http://ozgurzan.com/management/management-theories/theories-about-motivation/http://ozgurzan.com/management/management-theories/theories-about-motivation/http://www.bized.co.uk/virtual/bank/business/planning/types/theories.htmhttp://www.managementstudyguide.com/herzbergs-theory-motivation.htm
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