149 CHAPTER IV Motivation Analysis: A Comparative Study of SBI and ICICI Banks This chapter presents the analysis of employee perceived motivation and respondents profile. It also presents the results of anova and t test performed between motivation and respondents profile. Analysis of Motivation and Respondents Profile 4.1. Gender Distribution Since the days when women first began entering the work force scholars have studied perceived gender differences related to motivation in organizational settings. From the vantage point of the early 21st century, women have entered the workforce in large numbers. Although women have begun to attain leadership positions in government and middle management levels in business, those who reach top positions represent a very small portion of the population. Eagly, Karau, Miner, and Johnson (1994) conducted a meta-analysis of the motivation to manage issue that spanned 30 years. Their study compared male and female motivation to manage research that used the Miner Sentence Completion Scale as it related to gender in hierarchic organizations. The study emphasized that it is critical to understand the hierarchy of traditional business organization and the power that administrators have over subordinates. Since the top administrative positions are predominately male, managerial roles have traditionally been defined from a masculine viewpoint. Eagly et al. (1994) pointed out that a masculine-oriented managerial role description was a barrier to females wanting to assume such a role. He alluded to several other theorists, including Bass (as cited in Eagly et al., 1994), who expressed concern that women would encounter role conflicts. Heilman (as cited in Eagly et al., 1994) stated that a “lack of fit would be perceived to exist between women’s attributes and the requirements of the managerial role”. Motivation continued to be considered a key to attaining management levels Alderfer (1969). Researchers are still studying whether there are gender differences in motivation; hence an attempt has been made to study difference in motivation due to gender.
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149
CHAPTER IV
Motivation Analysis: A Comparative Study of SBI and ICICI Banks
This chapter presents the analysis of employee perceived motivation and respondents
profile. It also presents the results of anova and t test performed between motivation and
respondents profile.
Analysis of Motivation and Respondents Profile
4.1. Gender Distribution
Since the days when women first began entering the work force scholars have studied perceived
gender differences related to motivation in organizational settings. From the vantage point of the
early 21st century, women have entered the workforce in large numbers. Although women have
begun to attain leadership positions in government and middle management levels in business,
those who reach top positions represent a very small portion of the population.
Eagly, Karau, Miner, and Johnson (1994) conducted a meta-analysis of the motivation to manage
issue that spanned 30 years. Their study compared male and female motivation to manage
research that used the Miner Sentence Completion Scale as it related to gender in hierarchic
organizations. The study emphasized that it is critical to understand the hierarchy of traditional
business organization and the power that administrators have over subordinates. Since the top
administrative positions are predominately male, managerial roles have traditionally been
defined from a masculine viewpoint.
Eagly et al. (1994) pointed out that a masculine-oriented managerial role description was a
barrier to females wanting to assume such a role. He alluded to several other theorists, including
Bass (as cited in Eagly et al., 1994), who expressed concern that women would encounter role
conflicts. Heilman (as cited in Eagly et al., 1994) stated that a “lack of fit would be perceived to
exist between women’s attributes and the requirements of the managerial role”. Motivation
continued to be considered a key to attaining management levels Alderfer (1969). Researchers
are still studying whether there are gender differences in motivation; hence an attempt has been
made to study difference in motivation due to gender.
150
Table No 4.1. Gender Distribution
Gender
Banks Total
SBI ICICI
Male 106 71 177
70.7% 47.3% 59.0%
Female 44 79 123
29.3% 52.7% 41.0%
Total 150 150 300
100.0% 100.0% 100.0%
Source: Survey
The above analysis shows that 70.7 percent and 29.3 percent of the respondents were male and
female in SBI bank. The respondents in ICICI bank comprise more of female with 52.7 percent
and male 47.3 percent. The study has been administered by considering both the genders to be
important.
4.2. Age Distribution
Research on age and motivation is limited and conceptually ambiguous. Results of literature
review indicate that most age-related factors can have a negative impact on the work motivation
of older age employees. However, earlier research Paynter (2004), Rhodes (1983) has also found
a positive relation between age and work motivation. Furthermore, numerous factors intervene in
the relation between the different conceptualizations of age and work motivation. Consequently,
the present study wants to address age-related factors influencing the work motivation of bank
employees.
Table No 4.2. Age Distribution
Age of
Respondents Banks
Total SBI ICICI
Upto 25 years 15 35 50
10.0% 23.3% 16.7%
26 to 35 years 38 73 111
25.3% 48.7% 37.0%
36 to 45 years 52 39 91
34.7% 26.0% 30.3%
151
46 Years and above 45 3 48
30.0% 2.0% 16.0%
Total 150 150 300
100.0% 100.0% 100.0%
Source: Survey
Findings showed that of all respondents in SBI, more than 34.7 percent were aged
between 36 – 45yrs followed by the age groups of above 46 yrs and 26 – 35yrs which
accounted for 30 percent and 25.3 percent respectively. At ICICI bank 48.7 percent
respondents were in the age group of 26 – 35yrs followed by 36 – 45yrs and below 25yrs
which accounted for 26 percent and 23.3 percent respectively. Interestingly only 2
percent of the respondents were in the age group of above 46yrs, this might be due to
issues relating to stress and job security. Whereas at SBI above 46yrs accounted for 30
percent this situation might be due to promotions and other benefits of superannuation.
The young respondents aged below 25yrs were 10 percent at SBI and at ICICI were 23.3
percent. This can be due to most of the public sector banks have certain selection
formalities which restricts the entry level of the candidates where as at private banks the
situation is different.
The mean age of employees is 35.7967 and S.D is 9.36059. Most of the sample
employees are in the age of 29 years, the minimum age being 20 yrs and maximum being
58 yrs.
Mean 35.7967
Mode 29.00
Std. Deviation 9.36059
Minimum 20.00
Maximum 58.00
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4.3. Job Experience
Work Tenure provides job a financial security, as well as the ability to take risks in
one's job. Studies showed that job experience may influence behavioral outcomes
indirectly by affecting goal level and goal commitment, as well as work motivation.
Longer the tenure of working higher the confidence and motivational levels of
individuals.
Table No 4.3. Job Experience
Job Experience Banks Total
SBI ICICI
1yr--5 yrs 21 58 79
14.0% 38.7% 26.3%
6yrs--10yrs 13 46 59
8.7% 30.7% 19.7%
11yrs--15yrs 36 32 68
24.0% 21.3% 22.7%
16yrs--20yrs 27 10 37
18.0% 6.7% 12.3%
21yrs--25yrs 20 4 24
13.3% 2.7% 8.0%
Above 26yrs 33 0 33
22.0% .0% 11.0%
Total 150 150 300
100.0% 100.0% 100.0%
Source: Survey
Mean 12.7400
Mode 12.00
Std. Deviation 8.90290
Minimum 1.00
Maximum 38.00
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Experience wise the statistics show that at SBI 24 percent of the respondents are having
experience between 11—15yrs. At ICICI bank 38.7 percent, 30.7 percent and 21.3 percent were
the number of respondents having work experience between 1—5yrs, 6 – 10yrs and 11 –15yrs
respectively. The study finds that nearly 90 percent of the samples at ICICI are having
experience from 1---15yrs. This trend can be due to quick promotions and performance based
incentives which motivate the employees stay in the organization for a longer period. The mean
and SD are 12.7400, 8.90290. The mode is 12 which indicate that most of the sample
respondents have 12 yrs of job experience. The minimum and maximum job experience is 1 yr
and 38 yrs.
4.4. Educational Background
A person can enhance his/her social and economic status through education. Higher levels of
education are generally expected to have a broader outlook and so are their attitudes, values,
perceptions and motivations.
Table No 4.4. Educational Background
Education
Banks Total
SBI ICICI
Graduate 90 44 134
60.0% 29.3% 44.7%
Post Graduate 57 86 143
38.0% 57.3% 47.7%
Professional 3 20 23
2.0% 13.3% 7.7%
Total 150 150 300
100.0% 100.0% 100.0%
Source: Survey
Education wise the study finds that 60 percent and 29.3 percent of the respondents are graduates
followed by 38 percent and 57.3 percent post graduates at SBI and ICICI banks. Professionals
account for 2 percent and 13.3 percent respectively.
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4.5. Designation
The type of employment and the job characteristics inherent to the job also have an impact on
work motivation. Studies show that motivation levels of employees can significantly go up or
down with change in their official designations. Looking at it relatively, how important are
designations when placed against other factors like pay package, relationships with peers, overall
work responsibilities, etc. in modern day organizations. According to Debasis Chatterji, CEO,
Netxcell “most service sectors such as telecom, banking, hospitality, retail, etc. has a lot of
people working in areas where they directly have to deal with customers or clients at such times
if the designation is attractive as it instills confidence in the individual and equips him/her to
handle the situation with confidence”. No wonder workplaces today are coming up with
interesting roles like chief executive officer, executive operations so on. Also with designation
there is a certain level of authority that is given and the individual feels elated to work with that
kind of authority. The following table presents the designations of sample employees at SBI and
ICICI.
Table No 4.5. Designation
Designation Banks Total
SBI ICICI within bank
Manager 28 39 67
18.7% 26% 22.3%
Assistant Manager 48 28 76
32% 18.7% 25.3%
Clerk 63 63 126
42% 42% 42%
Chief Manager 3 15 18
2% 10% 6%
Assistant General Manager 2 5 7
1.3% 3.3% 2.3%
Deputy Manager 6 0 6
4% 0% 2%
Total 150 150 300
100% 100% 100
Source: Survey
The analysis finds that 18.7 percent of the respondents are managers at SBI banks followed by
assistant managers and clerks with 32 and 42 percent respectively. 2 percent are chief managers.
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The study finds that at ICICI 26 percent and 18.7 percent of the respondents are managers and
assistant managers and 42 percent are clerks, 10 percent of the sample are chief managers The
respondent designations are different as career planning is based on the employee performance.
4.6. Income Distribution
Employees are most valuable assets of any organization. They are motivated in many different
ways, such as by recognition, promotional opportunities, and by money. Money has been
recognized as a chief source of satisfying the needs of people. Money not only satisfies
psychological needs but also the security and social needs. Every employee want to earn fair
wages and salaries, and employers want their workers to feel that is what they are getting. To
that end, it is logical that employees and employers alike view money as the fundamental
incentive for satisfactory job performance. The use of monetary or other financial incentives in
the classic “work performance paradigm” is based primarily on reinforcement theory.
Reinforcement theory focuses on the relationship between a target behavior like work
performance and its consequences on pay. The following table depicts the annual salaries of
sample employees in banks.
Table No 4.6. Income Distributions
Annual Salary
Banks Total
SBI ICICI Within bank
Upto Rs 3 lakhs 18 27 45
12% 18% 15%
Rs 3 lakhs to Rs 6 lakhs 118 40 158
78.7% 26.6% 52.7%
Rs 6 lakhs to Rs 9 lakhs 14 31 45
9.3% 20.7% 15%
Rs 9 lakhs to Rs 12 lakhs 0 15 15
0 10% 5%
Above Rs 12 lakhs 0 37 37
0 24.7% 12.3%
Total 150 150 300
100% 100% 100%
Source: Survey
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Mean 6.3429
Mode 4.00
Std. Deviation 4.15490
Minimum 1.12
Maximum 20.00
An interesting finding of the study is that SBI bank has no respondent having annual salary
above 9 lakhs, whereas 10 percent and 24.6 percent of the respondents of ICICI bank have
annual salary between 9 –12 lakhs and above 12 lakhs (10 +37 repondents). 78.7 percent of the
respondents at SBI have annual salary between 3-–6 lakhs followed by 12 percent and 9.3
percent drawing salary below 3 lakhs and 6—9 lakhs respectively. Respondents at ICICI drawing
annual salary between 3---6 lakhs and 6---9lakhs is 26.6 percent and 20.7 percent and below 3
lakhs is 18 percent. The reason for drawing more salary might be due to performance and
promotions which are based on quantity and quality of work they perform. The mean and SD are
6.3429 and 4.15490. The mode is 4. The minimum and maximum annual salary drawn by sample
employee is Rs 112000 and Rs 2000000.
4.7. Job Security
Job motivation and job security are issues both of which are related to working. Motivation
factors do change though as the economy goes up or down. During these tough times, job
security is a major concern for employees. They have to try their best, even when job security is
uncertain, for the sake of keeping self-esteem intact and knowing they are doing the best job
possible. It is observed that job security is one of the most effective factors on job motivation due
to its eliminating employee’s future anxiety. Job security, which is crucial for an employee in
terms of keeping his or her job or finding a new job, is also important for the employers since it
enables them to keep their employees or find new ones. The following table depicts the job
security of employees at SBI and ICICI.
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Table No 4.7. Job Security
Job Security
Banks Total
SBI ICICI
Uncertain 0 150 150
.0% 100.0% 50.0%
Certain 150 0 150
100.0% .0% 50.0%
Total 150 150 300
100.0% 100.0% 100.0%
Source: Survey
The study finds that Job security is certain at SBI and uncertain at ICICI banks.
4.8. Shifts
Work that is scheduled outside “normal” daylight hours (i.e. 9 am to 5 pm) is called “Shift
work”. Shift work schedules can vary from one workplace to another. Workers may rotate
through shifts or remain on a single shift (i.e. permanent nights). The modern expectation of a
regular work schedule is a 45-hr workweek, 8-hrs a day, Monday-through-Saturday. With the
introduction of shift work, a 6-day workweek may change to a 4 or 3-day workweek depending
on the length of a single shift. Studies have examined the differences between various workweek
schedules. When comparing a 6-day/8-hr work schedule to a 5-day/10-hr work schedule, most
studies found that employees are more tired at the end of a 10-hr shift. Studies also found
employees to be more fatigued following a 12-hr shift when compared to an 8-hr shift. The table
below shows shifts in work.
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Table No 4.8. Shifts
Shifts
Banks Total
SBI ICICI
Yes 0 48 48
.0% 32.0% 16.0%
No 150 102 252
100.0% 68.0% 84.0%
Total 150 150 300
100.0% 100.0% 100.0%
Source: Survey
As per the above analysis 100 percent of the respondents at SBI and 68 percent at ICICI do not
work in shifts.
Table No 4.9. Working in Shifts
Working in Shifts Banks Total
SBI ICICI
No Shift 150 102 252
100.0% 68.0% 84.0%
General/Day Shift 0 31 31
.0% 20.7% 10.3%
Alternative Shift 0 17 17
.0% 11.3% 5.7%
Total 150 150 300
100.0% 100.0% 100.0%
Source: Survey
The above analysis reveals that 20.7 percent of the respondents work in day shift, and 11.3
percent work in alternate shift. 100 percent sample of SBI and 68 percent of ICICI do not work
in shifts
159
Table No 4.10. Working Days
Working Days in a
week
Banks Total
SBI ICICI
5 0 95 95
.0% 63.3% 31.7%
6 150 55 205
100.0% 36.7% 68.3%
Total 150 150 300
100.0% 100.0% 100.0%
Source: Survey
Almost 100 percent of SBI work for 6 days in a week and 63.3 percent of the ICICI respondents
work 5 days and 36.7 percent work for 6 days in a week.
4.9. Working Hours
Working hours are one of the important factors which effect employee motivation. A recent
study by University of Latvia examines certain aspects of employment conditions, such as self
assessment at work and people’s attitude towards working for long hours. The report was based
on the Survey on Human Capital in Latvia. The findings of the study revealed that Latvia
workers have long working hours and low pay which led to low motivation and fatigue. The
following table examines the working hours of sample employees’.
Table No 4.11. Working Hours
Working Hours in a
Week
Banks Total
SBI ICICI
8 hrs 78 26 104
52.0% 17.3% 34.7%
8 hrs--10 hrs 56 75 131
37.3% 50.0% 43.7%
10 hrs--12hrs 16 31 47
10.7% 20.7% 15.7%
160
12 hrs--14 hrs 0 10 10
.0% 6.7% 3.3%
Above 14 hrs 0 8 8
.0% 5.3% 2.7%
Total 150 150 300
100.0% 100.0% 100.0%
Source: Survey
At SBI no respondent works for more than 12 hrs, 52 percent of the sample work for 8 hrs
followed by 37.3 percent and 10.7 percent for 8—10 hrs and 10---12 hrs respectively.
Comparatively at ICICI 20.7 percent work for 10---12 hrs. 6.7 percent work for 12---14 hrs and
5.3 percent work for more than 14 hrs. Most of the ICICI sample employees work for 8 to 10 hrs
which is 50 percent of the sample. This situation might be due to most of the times private banks
work for more long working hours.
4.10. Work Motivation and Satisfaction
The world of work has changed dramatically over the past decade. Organizations are being
assessed against international standards and best practices. This is due to downsizing and
expanding, increasing globalization, workforces diversifying, new organizational forms and
benchmarking. All these changes have a profound influence on how organizations, including
banking organizations, attempt to motivate their employees in order to have a competitive edge.
The importance of employee motivation and job satisfaction is growing all the time in the
organizations. Motivation is believed to lead to an increase in employees’ work performance.
That in turn leads to an increase in overall organizational productivity levels. Furthermore,
motivation is said to improve employee job satisfaction. Many researchers have been made to
find out the effect the job satisfaction and motivation have in the productivity of the company.
According to Oosthuizen (2001), motivation is one of the key factors in getting employees to
increase performance. He further adds that “in today’s competitive world and market it is
essential that an organisation have positively motivated employees to improve productivity and
efficiency”. Furthermore, Ströh (2001) outlined that some employees do not produce the quality
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of work or maintain a consistent level of work outputs, which they are capable of. This may be
attributed to many factors, including the under utilization of their skills, lack of a challenge, or
unstimulating leadership styles. This could result in motivation levels decreasing, and hence
overall job satisfaction levels decreasing.
Research shows that employees are motivated by various factors, which in turn should satisfy
certain needs and expectations Luthans (1989). Analoui’s (2000) research indicates that in terms
of motives, managers are interested in power, status, achievement, income and advancement.
These are specifically related to the job itself (known as intrinsic factors) and factors related to
the work environment (known as extrinsic factors) Buitendach & De Witte, (2005); Mehta et al.,
(2000). Managers are continually challenged to motivate a workforce to do two things. The first
challenge is to motivate employees towards helping the organization achieve its goals. The
second is to motivate the employees towards achieving their own personal goals
Motivation is a need satisfying process. It is an interaction between the individual and his/her
situation or background. One factor that may motivate one employee may not be the motivating
factor for another. According to research, a great number of employees are motivated by
interesting work content and good wages. As for other factors there is inconsistency in the order
of what motivates one from another, which is dependent upon his/her education, cultural
differences, financial condition and other contexts in which he works. The concept of employee
motivation has been the subject of study in many different disciplines. However, within each
discipline different theories prevail about what motivates people to go to work each day and how
these motivations can be affected by changing the rewards of working. While economic theory
attributes changes in behaviour to changes in relative prices, psychology generally focuses on
people’s preferences Frey et al (2002). Psychologists have argued for a long time that people are
not only motivated to do things because of rewards from the outside. According to these
psychologists, people can also be motivated to do things even though there is no external reward
but the behaviour itself. In this case people are said to be intrinsically motivated Deci (1975).
Luthans (1998) asserts that motivation is the process that arouses, energizes, directs, and sustains
behaviour and performance. That is, it is the process of stimulating people to action and to
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achieve a desired task. One way of stimulating people is to employ effective motivation, which
makes workers more satisfied with and committed to their jobs. Money is not the only motivator.
There are other incentives which can also serve as motivators. Vroom (1964) defined motivation
as an internal force, based on an individual’s conscious and unconscious needs that drive him/her
to achieve. Robbins (1993) further defines motivation as a needs-satisfying process that reveals
that when an individual’s needs are satisfied or motivated by some factors (motivators), the
individual will exert high levels of effort towards organizational goals.
Motivators are referred to as “factors of motivation.” Motivators are the factors that influence or
lead to positive willingness, and include specific needs, wants, drives or impulses Hersey &
Blanchard (1988). These factors (for example, recognition, work content, promotion,
supervision, salary and working conditions) could trigger this willingness to achieve
organizational goals. Work motivation is shaped by the interplay between individuals and their
work organizations. Organizations hire high potential people under the expectation that they will
work to the full extent of their abilities, and exert all their effort and mental resources in their
job. This expectation recognizes the existence of two important factors such as potential physical
and mental resources, and motivational forces that energize and regulate the allocation of those
resources to work related activities. Motivation regulates the amount of resources to be allocated,
the direction or goal towards which those resources will be allocated, and the persistence of
allocation and direction over time. Motivation affects choice, action, and performance.
Individuals engage in work activities because work is a source of satisfying their basic needs for
existence, relatedness and growth, and because work creates opportunities for developing a sense
of self-worth and well-being Erez & Earley (1993; Locke (1991). However, these expectations
are not always fulfilled. For several decades, the Roper Organization in New York City has been
polling about twelve hundred employees every few years, and has found job satisfaction in
America to be at its lowest level during the early 1990’s. Similarly, the Hay Group, a
Philadelphia consulting firm whose clients included American Airlines, Disney, GE, Chase
Manhattan, Maytag and others, has surveyed 750,000 middle managers in 1000 large
corporations, and found that the Work Motivation percentage expressing favorable attitudes
towards their companies dropped from 65% in 1987 to 55% in 1990 Fisher (1991) . Dissatisfied
163
employees are not motivated to allocate effort and mental resources to do their work, and they
often show withdrawal behavior of lateness, absenteeism, and turnover, which is detrimental to
productivity. Therefore, motivating employees is essential for maintaining the competitive
advantage of the modern workplace.
4.11. Public and Private Sector Work-Motivation and Satisfaction
Overview
The purpose of this study is to research the different motivational factors that affect employees
motivation in the SBI and ICICI Banks. The banks represent one from public sector and the other
one being from private sector. Based on previous research it is viewed that employees employed
in the public sector will prioritize work motivation in different ways than their counterparts
employed in private sector. It is also observed that public sector and private sector employment
differ at a number of levels.
Today's work environment is undergoing a major shift; factors such as globalization, growing
economies, and improved technology are constantly presenting new challenges and creating new
opportunities for people. With these changes, people's perceptions regarding their jobs are also
changing. In this grow-or-die marketplace, the success of any organization relies on its
workforce. Satisfied and committed employees are the most significant assets of any
organization, including banks. As banking institutions are the backbone of a nation's economy,
the efficient management of human resources and the maintenance of higher job satisfaction
levels affect the growth and performance of an entire economy.
The Indian banking sector is a fast-growing financial service sector that has seen tremendous
progress following liberalization. The Indian banking system can be broadly categorized into
"scheduled commercial banks" and "non-scheduled commercial banks". Scheduled commercial
banks can be further classified into public sector banks, private sector banks (old and new) and
foreign banks. Over time, differences have been observed between public sector banks and
private sector banks in terms of various operational and efficiency parameters.
164
Literature indicates that the performance of the private and foreign banks have been stronger
than that of public sector banks IBA (2008). A recent study Selvaraj (2009) reveals that private
banks are more successful than public sector banks in terms of implementing Total Quality
Management (TQM) initiatives, such as human resource management, customer focus, and top
management commitment. Furthermore, public and private sector banks differ with respect to
their compensation structures, working environments, technology, growth opportunities, and job
security provided to the employees. Public sector banks structure compensation in a way such
that there are lower pay differentials between the employees, long-term tenure is rewarded and
there is a high base pay, whereas in the private sector banks, there are larger pay differentials,
fewer rewards for tenure, and pay for performance D'Souza (2002).
In addition, the working environment in private sector banks has been found as growth driven,
technologically advanced, and devoid of bureaucracy, where employees' promotions are highly
contingent on their performance and merit. However, private sector banks do not provide job
security and would lay off their employees in cases of poor performance or adverse market